Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ Commission file number 1-11071 UGI CORPORATION (Exact name of registrant as specified in its charter) Pennsylvania 23-2668356 (Sta ...

Financial Data and Key Metrics Changes - UGI reported adjusted EPS of $1.91 for Q2 2022, a decrease from $1.99 in the prior year [7][14] - Adjusted EBIT for reportable segments was $631 million, consistent with the previous fiscal year [7][15] - The company expects adjusted EPS for fiscal 2022 to be within a revised guidance range of $2.90 to $3 [7][28] Business Line Data and Key Metrics Changes - AmeriGas reported a $12 million decrease in EBIT compared to the prior year, with retail volume declining by 8% [17][20] - UGI International's EBIT decreased to $120 million from $149 million in the prior year, despite a 2% increase in retail volumes [21][22] - The utility segment reported EBIT of $194 million, an increase of $52 million from the prior year, driven by higher volumes and base rate increases [26] Market Data and Key Metrics Changes - The LPG business at UGI International implemented price increases to mitigate higher commodity costs [10] - The company experienced significant increases in volatility in natural gas and power prices, particularly after geopolitical events [23] Company Strategy and Development Direction - UGI is focused on reliable earnings growth, targeting 6% to 10% EPS growth and 4% dividend growth [36] - The company is pursuing a renewables strategy, including agreements to purchase and distribute renewable LPG and investments in renewable energy projects [11][12] - A strategic review of the energy marketing business is underway, with options including potential exit from the business [31][44] Management's Comments on Operating Environment and Future Outlook - Management highlighted the resilience of the business amid a dynamic macroeconomic and geopolitical environment [6][34] - The company anticipates recovering nearly half of the energy marketing loss by the end of the fiscal year due to price increases and cost control actions [30][43] - Management expressed confidence in the ability to manage costs and improve margins moving forward [45][46] Other Important Information - UGI's available liquidity at quarter-end was $1.9 billion, up from $1.6 billion in the prior year [27] - The Board of Directors increased the quarterly dividend to $0.36 per share, marking the 138th consecutive year of dividend payments [27] Q&A Session Summary Question: Can you provide more detail on the recovery of energy marketing losses? - Management indicated that they expect to recover approximately half of the $80 million loss in EBIT attributed to the energy marketing business by implementing price increases and cost control measures [41][43] Question: What is the average remaining contract life for existing full requirement contracts in energy marketing? - Contracts typically have a duration of 2 to 3 years, with the company ceasing to sign new contracts [52][53] Question: How should we view the new FY '22 guidance in relation to long-term growth targets? - The new guidance of $2.90 to $3 is considered a base for long-term growth commitments, with historical growth rates still applicable [47][48]

Financial Performance - UGI Corporation reported a net loss of $97 million for the three-month period ended December 31, 2021, compared to a net income of $303 million for the same period in 2020, resulting in a loss per diluted share of $0.46 versus earnings of $1.44[141]. - Adjusted net income attributable to UGI Corporation for the 2021 three-month period was $201 million, or $0.93 per diluted share, down from $247 million, or $1.18 per diluted share, in the prior year[142]. - The decrease in adjusted net income was primarily due to lower earnings from LPG businesses impacted by warmer weather and commodity price volatility, partially offset by improved earnings from Utilities and higher renewable energy margins[142]. - AmeriGas Propane's adjusted net income decreased by $40 million, mainly due to lower retail propane margins from reduced volumes sold and increased operating expenses driven by inflation[143]. - UGI International's adjusted net income attributable to UGI Corporation decreased by $35 million in the 2021 three-month period due to lower total margin from energy marketing and higher costs[144]. - Midstream & Marketing's adjusted net income increased by $16 million in the 2021 three-month period, primarily due to higher margins from renewable energy marketing activities[145]. - Utilities' adjusted net income increased by $14 million in the 2021 three-month period, largely due to earnings from the acquisition of Mountaineer and increased base rates[146]. Revenue and Margin Analysis - AmeriGas Propane revenues increased by $112 million (17%) in the 2021 three-month period, while total margin decreased by $34 million (9%) due to lower retail gallons sold[147]. - UGI International revenues increased by $349 million (50%) in the 2021 three-month period, while total margin decreased by $61 million (19%) due to higher costs and lower margins from energy marketing[154]. - Utilities revenues increased by $119 million (40%) in the 2021 three-month period, driven by a $70 million increase from the Mountaineer acquisition and higher base rates[170]. - Midstream & Marketing revenues increased by $194 million (57%) in the 2021 three-month period, largely due to increased revenues from natural gas marketing activities[163]. - Utilities total margin increased by $46 million during the 2021 three-month period, primarily due to Mountaineer contributing $33 million[172]. Cost and Expense Factors - The company experienced significant inflationary pressures in global commodity and labor markets, affecting inventory costs and distribution expenses across all businesses[136]. - Utilities cost of sales increased by $73 million in the 2021 three-month period, primarily due to incremental costs from the Mountaineer acquisition and higher PGC rates[171]. - Operating income and earnings before interest and taxes rose by $19 million and $20 million, respectively, in the 2021 three-month period, despite higher operating expenses of $20 million and depreciation expenses of $6 million[173]. - Consolidated interest expense increased to $81 million in the 2021 three-month period from $78 million in the prior year, driven by higher long-term debt related to the Mountaineer acquisition[175]. Cash Flow and Liquidity - Cash flow used by operating activities was $594 million in the 2021 three-month period, a significant decrease from cash provided of $151 million in the prior year[193]. - Cash flow used by investing activities was $154 million in the 2021 three-month period, compared to $189 million in the prior year[196]. - Cash flow from financing activities increased to $234 million in the 2021 three-month period, compared to a cash outflow of $120 million in the same period of 2020[198]. - Total available liquidity was approximately $1.5 billion as of December 31, 2021, down from $2.2 billion at September 30, 2021[179]. - Cash and cash equivalents decreased significantly to $334 million at December 31, 2021, from $855 million at September 30, 2021, primarily due to commodity price volatility[181]. - Total debt increased to $7.118 billion as of December 31, 2021, compared to $6.816 billion at September 30, 2021[183]. Business Transformation and Future Outlook - Business transformation initiatives at AmeriGas Propane and UGI International were substantially completed by the end of Fiscal 2021, with anticipated benefits expected to be fully recognized in Fiscal 2022[139]. - UGI Corporation expects to incur approximately $40 million in non-recurring costs related to ongoing business transformation initiatives, resulting in over $15 million in annualized savings by the end of Fiscal 2023[140]. Market and Operational Risks - The ongoing COVID-19 pandemic continues to impact the company's operations, with potential effects on customer financial conditions and supply chain constraints[137]. - UGI Corporation's results are significantly influenced by weather conditions, particularly during the heating season from October through March[128]. - A 10% decline in foreign currencies against the U.S. dollar would reduce the net book value of UGI International operations by approximately $120 million[212]. - The maximum potential loss from derivative instrument counterparties was $1,156 million as of December 31, 2021[215]. - Cash collateral received from derivative instrument counterparties totaled $205 million as of December 31, 2021[215]. - The fair value of commodity price risk derivatives was $941 million, with a change of $(255) million due to market risks[218]. - The company uses derivative financial instruments to manage commodity price risk, interest rate risk, and foreign currency exchange rate risk[203]. Dividends and Regulatory Approvals - UGI's Board of Directors declared a cash dividend of $0.345 per common share, payable on January 1, 2022[190]. - PA Gas Utility filed a request to increase its base operating revenues by $83 million annually, effective March 29, 2022, to fund system improvements and operations[199]. - Electric Utility received approval to increase its annual base distribution revenues by $6 million effective November 9, 2021[200]. - PA Gas Utility was authorized to implement a Distribution System Improvement Charge (DSIC) effective April 1, 2021, after reaching a property threshold of $2,875 million[201]. Debt and Interest Rates - UGI Corporation's variable-rate debt totaled $1,089 million as of December 31, 2021, with interest rates indexed to short-term market rates[209].

1 1 1 Fiscal 2022 First Quarter Results Ro ge r Pe r re a u l t President and CEO, UGI Corporation Te d J . J a st r ze bs k i Chief Financial Officer, UGI Corporation Ro b e r t F. B e a rd Executive Vice President, Natural Gas, Global Engineering & Construction and Procurement About This Presentation This presentation contains forward-looking statements, including estimates and projections, within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Excha ...

UGI Corporation (NYSE:UGI) Q1 2022 Earnings Conference Call February 3, 2022 9:00 AM ET Company Participants Tameka Morris - Director, Investor Relations Roger Perreault - President and CEO Ted Jastrzebski - Chief Financial Officer Bob Beard - Executive Vice President, Natural Gas, Global Engineering & Construction, and Procurement Conference Call Participants Kody Clark - Bank of America Operator Hello. Thank you for standing by. And welcome to the UGI Corporation First Quarter Fiscal 2022 Earnings Confere ...

1 1 1 Fiscal 2021 Results Ro ge r Pe r re a u l t President and CEO, UGI Corporation Te d J . J a st r ze bs k i Chief Financial Officer, UGI Corporation Ro b e r t F. B e a rd Executive Vice President, Natural Gas, Global Engineering & Construction and Procurement About This Presentation This presentation contains statements, estimates and projections that are forward-looking statements (as defined in Section 21E of the Securities Exchange Act of 1934, as amended). Management believes that these are reason ...

Part I [Business and Properties](index=16&type=section&id=Items%201.%20and%202.%20Business%20and%20Properties) UGI Corporation operates four main segments, focusing on reliable earnings growth, renewable energy, and portfolio rebalancing - UGI operates through **four principal business segments**: AmeriGas Propane, UGI International, Midstream & Marketing, and UGI Utilities[37](index=37&type=chunk)[38](index=38&type=chunk)[39](index=39&type=chunk) - The company's business strategy centers on reliable earnings growth, investing in renewable energy solutions, and rebalancing its portfolio towards natural gas and renewables[41](index=41&type=chunk)[42](index=42&type=chunk) - In Fiscal 2021, UGI pledged to reduce its enterprise Scope 1 GHG emissions by **55%** over the next five years, using Fiscal 2020 as a baseline[55](index=55&type=chunk) [AmeriGas Propane](index=20&type=section&id=AMERIGAS%20PROPANE) AmeriGas, the largest U.S. retail propane distributor, serves nearly 1.4 million customers, distributing 1.1 billion gallons in FY2021 AmeriGas Propane FY2021 Retail Gallons Sold by Customer Type | Customer Type | Percentage of Retail Gallons Sold | | :--- | :--- | | Commercial/Industrial | 41% | | Residential | 32% | | Motor Fuel | 19% | | Agricultural | 4% | | Transport | 4% | - The AmeriGas Cylinder Exchange (ACE) program had cylinders available at over **50,000** retail locations as of September 30, 2021, with Cynch home delivery expanded into twenty-two cities[63](index=63&type=chunk) - Business transformation initiatives are substantially complete, expected to provide total annual benefits of more than **$150 million** by the end of Fiscal 2022[68](index=68&type=chunk)[315](index=315&type=chunk) [UGI International](index=25&type=section&id=UGI%20INTERNATIONAL) UGI International distributes LPG in 17 European countries, selling over 975 million gallons in FY2021, and invests in renewable energy projects UGI International FY2021 LPG Volume by Customer Type | Customer Type | Percentage of LPG Volume Sold | | :--- | :--- | | Commercial/Industrial | 45% | | Wholesale & Other (incl. autogas) | 25% | | Residential | 19% | | Agricultural | 11% | - The segment is pursuing renewable energy projects, including a partnership for bioLPG supply in Poland and a joint venture to produce renewable dimethyl ether (rDME), targeting **300 kilotons per year** by 2027[103](index=103&type=chunk)[107](index=107&type=chunk) - Business transformation activities are substantially complete and are expected to generate over **€30 million** of annual benefits by the end of Fiscal 2022[108](index=108&type=chunk)[316](index=316&type=chunk) [Midstream & Marketing](index=28&type=section&id=MIDSTREAM%20%26%20MARKETING) This segment conducts energy marketing and operates midstream assets, with a key focus on expanding into Renewable Natural Gas (RNG) projects - The segment sells natural gas, RNG, liquid fuels, and electricity to approximately **12,600 customers** at over **42,400 locations**[115](index=115&type=chunk) - In Fiscal 2021, the segment made significant investments in RNG production projects, including joint ventures to develop dairy farm digesters in New York and South Dakota, and food waste digesters in Ohio and Kentucky[127](index=127&type=chunk)[50](index=50&type=chunk) - The segment's assets include natural gas gathering systems with a total capacity of approximately **2,675,000 dekatherms per day** and processing capacity of **240,000 dekatherms per day** in the Appalachian Basin[123](index=123&type=chunk) [UGI Utilities](index=31&type=section&id=UGI%20UTILITIES) UGI Utilities operates regulated natural gas and electric businesses, serving nearly 900,000 customers, and focuses on infrastructure replacement - In September 2021, UGI completed the acquisition of Mountaineer Gas Company, the largest natural gas distribution company in West Virginia, serving nearly **214,000 customers**[154](index=154&type=chunk)[44](index=44&type=chunk) - Gas Utility serves approximately **672,000 customers** in eastern and central Pennsylvania and is regulated by the PAPUC[137](index=137&type=chunk)[138](index=138&type=chunk) - Gas Utility is on schedule to replace the cast iron portion of its gas mains by March 2027 and the bare steel portion by September 2041 to enhance safety and reduce emissions[139](index=139&type=chunk)[54](index=54&type=chunk) [Human Capital Management](index=39&type=section&id=HUMAN%20CAPITAL%20MANAGEMENT) UGI focuses on attracting and retaining employees, emphasizing safety, diversity, and talent development through its BIDE initiative - The company introduced the Belonging, Inclusion, Diversity and Equity (BIDE) Initiative in Fiscal 2020 to promote diversity and inclusion[199](index=199&type=chunk) - Effective Fiscal 2021, all executives have a diversity and inclusion (D&I) component in their annual bonus plan to support the BIDE Initiative[204](index=204&type=chunk) [Risk Factors](index=42&type=section&id=Item%201A.%20Risk%20Factors) The company faces risks from seasonality, climate change, competition, cybersecurity, international operations, and regulatory changes - The business is highly seasonal and dependent on weather, with a significant portion of earnings derived during the peak heating season of October through March, where warmer-than-normal weather adversely affects results[213](index=213&type=chunk) - The company's information technology systems are targets of cybersecurity attacks, where a successful breach could disrupt operations, harm reputation, and adversely affect internal controls[230](index=230&type=chunk)[231](index=231&type=chunk)[232](index=232&type=chunk) - The retail LPG business is a "margin-based" business, and profitability is subject to LPG pricing and inventory risk, potentially preventing timely pass-through of product cost increases to customers[242](index=242&type=chunk) - The COVID-19 pandemic and its variants could adversely impact business operations by affecting customer financial conditions, reducing energy consumption, and disrupting supply chains and infrastructure projects[278](index=278&type=chunk) [Legal Proceedings](index=55&type=section&id=Item%203.%20Legal%20Proceedings) No material legal proceedings are pending beyond those disclosed in Note 17 and ordinary course of business claims - No material legal proceedings are pending, other than those mentioned in Note 17 and ordinary course of business claims[294](index=294&type=chunk) Part II [Market for Common Equity, Stockholder Matters, and Issuer Purchases](index=57&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) UGI Common Stock trades on NYSE, with expected quarterly dividends and 5.85 million shares available for repurchase as of Sept 2021 - The company's Common Stock trades on the NYSE under the symbol "UGI"[300](index=300&type=chunk) - The company expects to continue paying quarterly dividends, subject to declaration by the Board of Directors[301](index=301&type=chunk) - As of September 30, 2021, **5.85 million shares** of Common Stock were available for repurchase under a program authorized to repurchase up to **8 million shares**, expiring in January 2022[303](index=303&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=59&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) UGI reported significantly increased net income in FY2021, driven by derivative gains and segment earnings, maintaining strong liquidity - On September 1, 2021, UGI acquired Mountaineer Gas Company, the largest natural gas distribution company in West Virginia, for a purchase price of **$540 million**[310](index=310&type=chunk) FY2021 vs. FY2020 Financial Performance | Metric | FY 2021 | FY 2020 | | :--- | :--- | :--- | | Net Income Attributable to UGI | $1,467 million | $532 million | | Diluted EPS | $6.92 | $2.54 | | Adjusted Net Income Attributable to UGI | $629 million | $561 million | | Adjusted Diluted EPS | $2.96 | $2.67 | - The company expects to have sufficient liquidity, with a total available balance of approximately **$2.2 billion** at September 30, 2021, to support long-term commitments and ongoing operations[358](index=358&type=chunk) [Results of Operations](index=62&type=section&id=Results%20of%20Operations) All four segments reported increased adjusted net income in FY2021, driven by lower expenses, colder weather, and rate increases Segment Adjusted Net Income Attributable to UGI (FY2021 vs FY2020) | Segment | FY 2021 ($M) | FY 2020 ($M) | Change ($M) | | :--- | :--- | :--- | :--- | | AmeriGas Propane | 168 | 156 | +12 | | UGI International | 221 | 173 | +48 | | Midstream & Marketing | 107 | 92 | +15 | | UGI Utilities | 144 | 136 | +8 | [Financial Condition and Liquidity](index=67&type=section&id=Financial%20Condition%20and%20Liquidity) Liquidity increased to $2.2 billion in FY2021, with operating cash flow up and estimated FY2022 capital expenditures at $990 million - Total available liquidity was approximately **$2.2 billion** at September 30, 2021, compared to **$1.5 billion** at September 30, 2020[358](index=358&type=chunk) - Cash flows from operating activities increased to **$1,481 million** in Fiscal 2021 from **$1,102 million** in Fiscal 2020[378](index=378&type=chunk) Capital Expenditures (in millions) | Segment | 2022 (estimate) | 2021 | 2020 | | :--- | :--- | :--- | :--- | | AmeriGas Propane | $160 | $130 | $135 | | UGI International | $140 | $107 | $89 | | Midstream & Marketing | $130 | $43 | $93 | | UGI Utilities | $545 | $394 | $348 | | **Total** | **$990** | **$674** | **$665** | [Critical Accounting Policies and Estimates](index=76&type=section&id=Critical%20Accounting%20Policies%20and%20Estimates) Management identifies critical accounting policies requiring judgment, including goodwill impairment, loss contingencies, and regulatory accounting - Goodwill, totaling **$3,770 million** as of September 30, 2021, is tested for impairment at least annually at the reporting unit level, with no impairments recorded in the periods presented[413](index=413&type=chunk)[414](index=414&type=chunk) - The accounting for rate-regulated utility businesses requires deferring certain costs as regulatory assets when future recovery through rates is probable, with regulatory assets totaling **$397 million** and regulatory liabilities totaling **$388 million** as of September 30, 2021[421](index=421&type=chunk) [Controls and Procedures](index=78&type=section&id=Item%209A.%20Controls%20and%20Procedures) Disclosure controls and internal control over financial reporting were effective as of Sept 2021, excluding recent acquisitions - The CEO and CFO concluded that the company's disclosure controls and procedures were effective at a reasonable assurance level as of September 30, 2021[429](index=429&type=chunk)[430](index=430&type=chunk) - Management's assessment of internal control over financial reporting excluded the Mountaineer business (acquired Sept 1, 2021) and the Redeo Energies business (acquired June 30, 2021)[431](index=431&type=chunk) Part III [Directors, Executive Officers, Compensation, and Corporate Governance](index=81&type=section&id=Items%2010-14) Information for these items is incorporated by reference from the Proxy Statement, with a list of current executive officers provided - Most information for Part III is incorporated by reference from the company's Proxy Statement[444](index=444&type=chunk) Executive Officers | Name | Position | | :--- | :--- | | Roger Perreault | President and Chief Executive Officer | | Ted J. Jastrzebski | Chief Financial Officer | | Robert F. Beard, Jr. | Executive Vice President, Natural Gas... | | Monica M. Gaudiosi | Vice President, General Counsel and Secretary | | John Koerwer | Chief Information Officer | | Jean Felix Tematio Dontsop | Vice President - Chief Accounting Officer and Corporate Controller | | Judy A. Zagorski | Vice President - Chief Human Resources Officer | Part IV [Exhibits and Financial Statement Schedules](index=84&type=section&id=Item%2015.%20Exhibits%20and%20Financial%20Statement%20Schedules) This section lists financial statements, schedules, and exhibits, including consolidated financials and various corporate agreements - This part includes the consolidated financial statements, schedules for Condensed Financial Information of Registrant and Valuation and Qualifying Accounts, and a list of all exhibits filed with the report[459](index=459&type=chunk)[460](index=460&type=chunk)[461](index=461&type=chunk) Financial Statements and Supplementary Data [Consolidated Financial Statements](index=104&type=section&id=Consolidated%20Financial%20Statements) UGI reported increased revenues and net income in FY2021, with total assets growing to $16.72 billion and equity to $5.53 billion Consolidated Statement of Income Highlights (in millions) | Metric | 2021 | 2020 | | :--- | :--- | :--- | | Revenues | $7,447 | $6,559 | | Operating Income | $2,350 | $982 | | Net Income Attributable to UGI | $1,467 | $532 | Consolidated Balance Sheet Highlights (in millions) | Metric | Sep 30, 2021 | Sep 30, 2020 | | :--- | :--- | :--- | | Total Assets | $16,723 | $13,985 | | Total Liabilities | $11,192 | $9,848 | | Total Equity | $5,531 | $4,137 | [Notes to Consolidated Financial Statements](index=112&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Notes detail operations, accounting policies, the Mountaineer acquisition, $6.45 billion in long-term debt, and segment financial data - Note 5: The acquisition of Mountaineer on September 1, 2021, for a purchase price of **$540 million**, including the assumption of **$140 million** in debt, resulted in **$255 million** of goodwill allocated to the UGI Utilities segment[599](index=599&type=chunk)[601](index=601&type=chunk)[602](index=602&type=chunk) - Note 6: As of September 30, 2021, the company had **$6.45 billion** in total long-term debt, with AmeriGas Propane carrying the largest portion at **$2.56 billion**[631](index=631&type=chunk) Segment Financial Data for Fiscal Year 2021 (in millions) | Segment | Revenues from External Customers | Earnings before Interest and Income Taxes | Total Assets | | :--- | :--- | :--- | :--- | | AmeriGas Propane | $2,614 | $385 | $4,485 | | UGI International | $2,651 | $317 | $4,421 | | Midstream & Marketing | $1,182 | $190 | $3,010 | | UGI Utilities | $1,015 | $242 | $4,859 |

Financial Data and Key Metrics Changes - UGI Corporation achieved record earnings with GAAP EPS of $6.92 and adjusted EPS of $2.96, an 11% increase from the previous year [4][5] - The company reported a 34th consecutive year of increasing dividends, with a 7.2% dividend growth rate and a 7.7% EPS growth rate over the past decade [5] - Adjusted diluted EPS for fiscal 2021 was $2.96 compared to $2.67 in the prior year, with significant adjustments related to commodity price changes and transformation initiatives [17][18] Business Line Data and Key Metrics Changes - UGI International delivered record performance, benefiting from normal weather conditions and strong margin management [5][9] - AmeriGas reported a $12 million increase in EBIT, despite a 2% decline in retail volume due to COVID-19 impacts [22] - The Natural Gas business reported EBIT of $190 million, up from $168 million in fiscal 2020, driven by improved margins and capacity management [25] Market Data and Key Metrics Changes - Average wholesale propane prices in the U.S. increased by approximately 97% compared to fiscal 2020, while UGI International saw a 52% increase in Europe [18] - The PA gas utility added over 12,000 new residential and commercial heating customers, contributing to core market volume growth [26] Company Strategy and Development Direction - The company aims to continue reliable earnings growth, invest in renewable energy solutions, and rebalance its portfolio towards a more equal split between LPG and Natural Gas [6][15] - UGI is committed to a 55% reduction in Scope 1 greenhouse gas emissions by 2025 and has established partnerships for renewable natural gas production [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about growth prospects and the ability to maintain momentum from 2021 into 2022 [6][31] - The fiscal 2022 guidance for adjusted EPS is projected to be in the range of $3.05 to $3.25, reflecting expected reliable earnings growth [27][30] Other Important Information - The company has a strong liquidity position with $2.2 billion available, which is approximately $700 million more than the prior year [27] - UGI's transformation initiatives are expected to yield over $150 million in annual benefits by the end of fiscal 2022 [11] Q&A Session Summary Question: Did the SEC inquiries lead to a change in accounting practices? - Management acknowledged awareness of inquiries during the creation of the new instrument and confirmed a shift to the If-Converted Method for accounting, impacting FY2021 results by $0.03 [35] Question: How much unutilized capacity exists on the Midstream System? - Management confirmed excess capacity on the acquired Columbia Midstream System and expressed ongoing interest in Midstream investments [36][37] Question: How is the company managing margins in the global LPG business? - Management stated that margin management remains strong, with a hedging process in place to adjust prices according to commodity costs [39] Question: Has volatility in European gas markets impacted the International Gas Marketing business? - Management confirmed that the business model locks in margins, and recent commodity cost increases have led to substantial mark-to-market gains [42][43] Question: How is GHI positioned for scalability in renewable projects? - Management expressed confidence in GHI's capabilities to handle upcoming projects and highlighted a commitment to invest over $1 billion in renewable energy [45]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ Commission file number 1-11071 UGI CORPORATION (Exact name of registrant as specified in its charter) Pennsylvania 23-2668356 (Stat ...

1 1 1 Fiscal 2021 Third Quarter Results Ro ge r Pe r re a u l t President and CEO, UGI Corporation Te d J . J a st r ze bs ki Chief Financial Officer, UGI Corporation Ro b e r t F. B e a rd Executive Vice President Natural Gas, UGI Corporation About This Presentation This presentation contains statements, estimates and projections that are forward-looking statements (as defined in Section 21E of the Securities Exchange Act of 1934, as amended). Management believes that these are reasonable as of today's dat ...