Financial Performance - Operating revenues for the three months ended March 31, 2025, were $1,051.3 million, a decrease of 6.8% compared to $1,128.5 million for the same period in 2024[9]. - Net income for the three months ended March 31, 2025, was $209.3 million, slightly up from $204.3 million in the same period of 2024, representing a 0.5% increase[11]. - Operating income for the six months ended March 31, 2025, was $455.2 million, an increase of 4.0% from $437.8 million for the same period in 2024[9]. - Total operating expenses for the three months ended March 31, 2025, were $744.9 million, down 10.2% from $829.9 million in the same period of 2024[9]. - Basic earnings per common share for the three months ended March 31, 2025, were $3.52, compared to $3.59 for the same period in 2024, reflecting a decrease of 1.9%[9]. - The company reported a comprehensive income of $207.6 million for the three months ended March 31, 2025, compared to $210.8 million for the same period in 2024[11]. - Net income for the six months ended March 31, 2025, was $290.6 million, slightly up from $289.4 million for the same period in 2024, indicating stable performance[24]. - Adjusted earnings for the three months ended March 31, 2025, were $214.4 million, compared to $196.6 million for the same period in 2024, reflecting an increase of about 9.4%[115]. - Adjusted earnings for the six months ended March 31, 2025, were $295.5 million, up from $279.3 million in 2024, representing a growth of 5.9%[117]. Assets and Liabilities - Total assets as of March 31, 2025, were $11,346.7 million, an increase of 4.5% from $10,860.7 million as of March 31, 2024[14]. - Long-term debt (less current portion) as of March 31, 2025, was $3,348.5 million, a decrease of 9.6% from $3,704.4 million as of March 31, 2024[17]. - Total assets as of March 31, 2025, amounted to $6,127.4 million, up from $5,754.9 million as of March 31, 2024, indicating a growth of 6.5%[30]. - Total shareholder's equity increased to $2,205.0 million as of March 31, 2025, compared to $1,963.7 million as of March 31, 2024, reflecting a growth of 12.3%[33]. - Long-term debt (less current portion) was $1,803.8 million as of March 31, 2025, compared to $1,486.2 million as of March 31, 2024, indicating an increase of 21.3%[33]. - Total liabilities at fair value were reported at $39.2 million, with $23.4 million classified under Level 1 and $42.7 million under Level 2[102]. Cash Flow and Capital Expenditures - Cash and cash equivalents increased to $15.2 million as of March 31, 2025, compared to $4.5 million as of March 31, 2024[14]. - Capital expenditures for the six months ended March 31, 2025, were $479.2 million, an increase from $409.3 million in the prior year, indicating a focus on investment in growth[24]. - Net cash provided by operating activities for the six months ended March 31, 2025, was $453.8 million, down from $559.4 million in the same period of 2024, suggesting a decrease in operational efficiency[24]. - Cash and cash equivalents at the end of the period were $3.3 million, an increase from $1.5 million at the beginning of the period[45]. - Capital expenditures for the six months ended March 31, 2025, totaled $322.1 million, compared to $255.1 million in 2024, representing an increase of 26.3%[39]. Shareholder Equity and Dividends - Total shareholders' equity increased to $3,508.7 million as of March 31, 2025, compared to $3,390.3 million a year earlier, reflecting a growth of approximately 3.5%[21]. - The company declared dividends of $90.0 million on common stock and $7.4 million on preferred stock during the six months ended March 31, 2025[24]. - Common stock issued during the six months ended March 31, 2025, amounted to 1,206,134 shares, raising $74.8 million, compared to 4,490,282 shares issued in the same period of 2024, which raised $286.0 million[21]. Segment Performance - The Gas Utility segment remains the core business segment, contributing significantly to revenue and earnings, with operations in Missouri and Alabama[57]. - Revenues from external customers in the Gas Utility segment for the three months ended March 31, 2025, were $970.1 million, down from $1,072.4 million in the same period of 2024, a decrease of about 9.5%[115]. - The Gas Marketing segment generated revenues of $53.6 million for the three months ended March 31, 2025, compared to $46.0 million in the same period of 2024, an increase of about 16.5%[115]. - The Midstream segment reported revenues of $27.1 million for the three months ended March 31, 2025, up from $10.0 million in the same period of 2024, representing a significant increase of approximately 171%[115]. Regulatory and Market Environment - The company’s regulatory environment supports the continued use of regulatory accounting principles, ensuring recoverability of regulatory assets and liabilities[59]. - Spire Missouri's proposed general rate case includes a base rate increase request of $289.5 million, reflecting a 32% increase in rate base since the last filing[81]. - The Infrastructure System Replacement Surcharge (ISRS) allows Spire Missouri to recover $53.6 million from customers for eligible capital projects through August 2024[81]. - The common equity ratio assumed in Spire's rate case filing is 55.0%, with a proposed return on equity of 10.5%[81]. Challenges and Future Outlook - The company faces challenges including volatility in gas prices and potential disruptions from severe weather events, which could affect operational margins and competitive positioning[143]. - Future outlook indicates a cautious approach due to fluctuating commodity prices, particularly in natural gas, which has seen a significant drop[103]. - The company plans to explore potential mergers and acquisitions to strengthen its market position and diversify its offerings[103].

Core Insights - Spire reported a revenue of $1.05 billion for the quarter ended March 2025, reflecting a decrease of 6.8% year-over-year and falling short of the Zacks Consensus Estimate of $1.09 billion by 3.97% [1] - The company's EPS for the quarter was $3.60, an increase from $3.45 in the same quarter last year, but below the consensus estimate of $3.70, resulting in an EPS surprise of -2.70% [1] Revenue Breakdown - Gas Utility operating revenues were $970.20 million, down 9.6% year-over-year, and below the average estimate of $982.65 million [4] - Gas Marketing operating revenues reached $53.60 million, exceeding the average estimate of $37.64 million, with a year-over-year increase of 16.5% [4] - Midstream operating revenues were $38.40 million, significantly above the average estimate of $28.36 million, marking a year-over-year increase of 78.6% [4] - Other operating revenues totaled $4.90 million, surpassing the average estimate of $4.07 million, with a year-over-year change of 19.5% [4] - Eliminations reported a figure of -$15.80 million, worse than the average estimate of -$4.47 million, with no year-over-year change [4] Operating Income Analysis - Gas Marketing operating income was $12.40 million, below the average estimate of $22.55 million [4] - Midstream operating income reached $21.80 million, exceeding the average estimate of $15.54 million [4] - Gas Utility operating income was $272 million, slightly below the average estimate of $279.87 million [4] - Other operating income was $0.20 million, significantly lower than the average estimate of $15.26 million [4] Stock Performance - Over the past month, Spire's shares have returned -2.2%, compared to a -0.2% change in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 2 (Buy), indicating potential for outperformance in the near term [3]

Financial Data and Key Metrics Changes - The company reported adjusted earnings of $3.6 per share for Q2 FY 2025, an increase from $3.45 per share in the same quarter last year, reflecting strong growth in utility and midstream segments [7] - Adjusted earnings for the quarter totaled over $214 million, an increase of almost $18 million compared to the previous year [17] - The Gas Utilities segment had earnings of approximately $195 million, over $7 million higher than last year, driven by increased ISRS revenues and usage [18] Business Line Data and Key Metrics Changes - The utility CapEx increased nearly 27% year over year, focusing on upgrading distribution infrastructure and connecting more homes to natural gas [14] - Midstream segment earnings showed strong growth due to new contracts and higher rates on contract renewals [19] - Marketing segment earnings were strong but slightly lower than the prior year due to reduced market volatility [20] Market Data and Key Metrics Changes - The labor market in St. Louis has fully recovered, reaching pre-pandemic employment levels, which is expected to drive economic growth [12] - The Missouri Public Service Commission staff recommended a $19 million revenue increase in the infrastructure system replacement surcharge [8] Company Strategy and Development Direction - The company remains focused on organic growth, infrastructure investment, and continuous improvement, with a long-term EPS growth target of 5% to 7% [11][26] - A ten-year capital investment plan of $7.4 billion is in place to support growth [11] - The company is committed to modernizing systems and enhancing regulatory engagement to maximize value for stakeholders [6] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving fiscal 2025 adjusted earnings guidance of $4.4 to $4.6 per share, despite challenges from weather-related margin headwinds [22][26] - The company is focused on executing its capital investment plan and driving operational excellence to strengthen utility and gas-related business performance [11][26] Other Important Information - The company is increasing its fiscal 2025 capital investment target by $50 million to $840 million, with significant investments in both utility and midstream segments [14] - The Missouri rate case is ongoing, with proposed revenue increases and discussions on weather mechanisms being a key focus [15][42] Q&A Session Summary Question: Can you speak about 1H trends and full-year guidance? - Management acknowledged margin weakness in Missouri and adjusted guidance accordingly, while midstream performance exceeded expectations [31][32] Question: What are the prospects for a settlement within the rate case? - Management indicated that settlement discussions are anticipated, with community meetings and public hearings scheduled [46] Question: Can you elaborate on the weather mechanism in the rate case? - Management confirmed that the weather mechanism is a significant focus and they are working on options to address it with stakeholders [42][44] Question: How does the passage of SB4 affect future rate cases? - Management stated that the first opportunity to file based on a future test year will be in July 2026, and they are focused on the current rate case [51][53] Question: How does the guidance modification reflect the utility business's earnings power? - Management confirmed that fixing the weather mechanism could restore earnings power, while midstream and marketing businesses show slight structural uplift [61][64]

Financial Data and Key Metrics Changes - The company reported adjusted earnings of $3.6 per share for Q2 FY 2025, an increase from $3.45 per share a year ago, reflecting strong growth in utility and midstream segments [8][12] - Adjusted earnings for the quarter totaled over $214 million, an increase of almost $18 million compared to the previous year [18] - The Gas Utilities segment had earnings of approximately $195 million, over $7 million higher than last year, driven by increased ISRS revenues and usage [19] Business Line Data and Key Metrics Changes - The utility CapEx increased nearly 27% year over year, focusing on upgrading distribution infrastructure and connecting more homes to natural gas [15] - Midstream segment earnings showed strong growth due to new contracts and higher rates on contract renewals [19] - Marketing segment earnings were strong but slightly lower than the prior year due to reduced market volatility [19] Market Data and Key Metrics Changes - The company experienced colder temperatures in both Missouri and Alabama compared to last year, impacting volumetric margins [20] - The weather mitigation adjustment in Missouri was ineffective, leading to misalignment between revenues and usage [20] Company Strategy and Development Direction - The company is focused on organic growth, infrastructure investment, and continuous improvement, with a long-term EPS growth target of 5% to 7% [12][27] - A ten-year capital investment plan of $7.4 billion is in place, with an increased fiscal 2025 capital investment target of $840 million [15][12] - The company aims to modernize systems and enhance regulatory engagement to maximize value for customers and stakeholders [7][12] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving fiscal 2025 adjusted earnings guidance of $4.4 to $4.6 per share, despite challenges from weather-related margin headwinds [12][22] - The company is committed to executing its capital investment plan and driving operational excellence [12][27] - Management highlighted the positive economic developments in St. Louis, including job growth from Boeing's new contracts [13] Other Important Information - The Missouri Public Service Commission staff recommended a $19 million revenue increase in the infrastructure system replacement surcharge [10] - Senate Bill four was signed into law, allowing utilities to set rates based on projected costs, which is expected to enhance system reliability [11] Q&A Session Summary Question: Can you speak about 1H trends and full-year guidance? - Management acknowledged margin weakness in Missouri but noted strong performance in the midstream segment, indicating a mixed outlook for the utility business [32][34] Question: Is weather the sole deviation on the utility side? - Management confirmed that weather-related margin issues were the main driver of the deviation, with some minor additional factors [34] Question: Is the $8 million increase in midstream guidance a one-off? - Management indicated that while there is some optimization contributing to the increase, it suggests a potential uplift in run rate over time [36] Question: What are the prospects for a settlement within the rate case? - Management expressed optimism about engaging in constructive discussions with stakeholders regarding the rate case [48][49] Question: Timing on future rate cases after SB4? - Management clarified that the first opportunity to file based on a future test year would be in July 2026, with current focus on the ongoing rate case [56] Question: Will there be a rulemaking process before filing for a future test year? - Management confirmed that rulemaking is required and they will actively participate once it begins [72]

Company Performance - Spire reported quarterly earnings of $3.60 per share, missing the Zacks Consensus Estimate of $3.70 per share, but showing an increase from $3.45 per share a year ago, resulting in an earnings surprise of -2.70% [1] - The company posted revenues of $1.05 billion for the quarter ended March 2025, missing the Zacks Consensus Estimate by 3.97%, and down from $1.13 billion year-over-year [2] - Over the last four quarters, Spire has surpassed consensus EPS estimates only once and has not beaten consensus revenue estimates during the same period [2] Stock Outlook - Spire shares have increased approximately 13.6% since the beginning of the year, contrasting with a -5.5% decline in the S&P 500 [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the upcoming quarter is -$0.13 on revenues of $412.11 million, and for the current fiscal year, it is $4.50 on revenues of $2.53 billion [7] Industry Context - The Utility - Gas Distribution industry, to which Spire belongs, is currently ranked in the top 12% of over 250 Zacks industries, indicating a favorable outlook for stocks in this sector [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors or through tools like the Zacks Rank [5][6]

Financial Performance - Q2 FY25 adjusted earnings were $360 per share, compared to $345 in Q2 FY24[10] - The company reaffirmed FY25 adjusted EPS guidance range of $440 to $460[10] - Overall adjusted earnings were $178 million higher due to Gas Utility growth, Midstream growth, and other factors[22] Capital Expenditure - Q2 YTD FY25 capex reached $479 million, driven by Gas Utility investment[16] - FY25 capex target was raised to $840 million from $790 million[16] - The company maintains a 10-year capex target of approximately $74 billion[10, 16] Regulatory Matters - Missouri Public Service Commission (MoPSC) Staff recommended a $2462 million revenue increase for Spire Missouri in the rate case[10, 17] - Spire Missouri originally requested a $2895 million revenue increase in November 2024[17, 19] - Senate Bill 4 was signed into law in Missouri, enabling future test year ratemaking beginning July 2026[10] Segment Performance - Gas Utility earnings (pre-tax) grew due to higher Missouri ISRS revenues (+$87 million), Missouri usage net of weather mitigation (+$65 million), Alabama RSE (+$57 million), and lower run-rate O&M (+$08 million)[23] - Midstream growth was driven by additional storage capacity, contract renewals at higher rates, and asset optimization[23]

Core Viewpoint - Spire Inc. has appointed Scott Doyle as the new president and chief executive officer, succeeding Steve Lindsey, who has resigned from the Board of Directors [1][5]. Company Leadership - Scott Doyle, previously the executive vice president and chief operating officer at Spire, has extensive experience in utility operations and leadership roles within the energy sector [3][5]. - The Board of Directors expressed confidence in Scott's ability to lead Spire into its next phase, emphasizing his commitment to operational excellence and customer service [5]. Company Background - Spire Inc. serves over 1.7 million customers across Alabama, Missouri, and Mississippi, making it one of the largest publicly traded natural gas companies in the United States [8]. - The company is focused on modernizing its systems and investing in infrastructure to enhance service delivery [7][8].

Core Viewpoint - Spire (SR) is anticipated to report a year-over-year increase in earnings despite a decline in revenues, which could significantly influence its stock price depending on the actual results compared to estimates [1][2]. Earnings Expectations - The upcoming earnings report is scheduled for April 30, 2025, with expectations of quarterly earnings at $3.70 per share, reflecting a 7.3% increase year-over-year, while revenues are projected to be $1.09 billion, down 3% from the previous year [3][2]. Estimate Revisions - The consensus EPS estimate has been revised 1.47% higher in the last 30 days, indicating a positive reassessment by analysts regarding the company's earnings prospects [4][10]. Earnings Surprise Prediction - The Zacks Earnings ESP model shows a positive Earnings ESP of +0.90%, suggesting a higher likelihood of beating the consensus EPS estimate, although the stock currently holds a Zacks Rank of 3 [11][10]. Historical Performance - In the last reported quarter, Spire was expected to post earnings of $1.42 per share but delivered only $1.34, resulting in a surprise of -5.63%. Over the past four quarters, the company has only beaten consensus EPS estimates once [12][13]. Conclusion - While Spire is positioned as a potential earnings-beat candidate, it is essential to consider other influencing factors beyond just the earnings report when evaluating the stock [14][16].

Core Viewpoint - Spire Inc. will host a conference call on April 30, 2025, to discuss its fiscal 2025 second quarter financial results and earnings guidance [1] Group 1: Conference Call Details - The conference call is scheduled for April 30, 2025, at 9 a.m. CT (10 a.m. ET) [1] - Participants can access the call by dialing the provided phone numbers 5-10 minutes prior to the start time [1] - A news release will be issued before the market opens on the same day [1] Group 2: Replay Information - A replay of the call will be available until May 7, 2025, with specific access numbers for the U.S., Canada, and international callers [2] - The replay access code for the call is 5397934 [2] - A replay of the webcast will also be available on the company's website [2] Group 3: Company Overview - Spire Inc. serves 1.7 million homes and businesses, making it one of the largest publicly traded natural gas companies in the U.S. [3] - The company operates gas utilities in Alabama, Mississippi, and Missouri [3] - Spire's business strategy focuses on organic growth, infrastructure investment, and innovation [3]

Core Insights - Spire Global (NYSE: SPIR) is identified as a growing satellite and data company, previously rated as a Buy in two analyses, with the most recent coverage in January indicating a significant price drop since then [1] Company Analysis - The analysis approach focuses on value investing, adopting an owner's mindset and a long-term perspective, with no recommendations for short selling [1] - The analyst holds a beneficial long position in SPIR shares through various financial instruments, indicating confidence in the company's future performance [2] Market Context - The article emphasizes that past performance does not guarantee future results, highlighting the inherent uncertainties in investment decisions [3]