RGC Resources(RGCO) - 2025 Q3 - Quarterly Results

Earnings Highlights RGC Resources reported a significant increase in earnings for the third quarter and first nine months of fiscal 2025, primarily driven by higher earnings from its investment in the Mountain Valley Pipeline Q3 Earnings Comparison (Ended June 30) | Metric | Q3 2025 | Q3 2024 | Change | | :--- | :--- | :--- | :--- | | Consolidated Earnings ($) | $0.54 million | $0.16 million | +243.6% | | Earnings Per Share (EPS) | $0.05 | $0.02 | +150.0% | Nine-Month Earnings Comparison (Ended June 30) | Metric | Nine Months 2025 | Nine Months 2024 | Change | | :--- | :--- | :--- | :--- | | Net Income ($) | $13.48 million | $11.62 million | +16.0% | | Earnings Per Share (EPS) | $1.31 | $1.15 | +13.9% | - The primary driver for the earnings increase in both the third quarter and the first nine months of fiscal 2025 was higher earnings from the company's investment in the Mountain Valley Pipeline, LLC (MVP)[2][3] Management Commentary CEO Paul Nester highlighted the Mountain Valley Pipeline's significant contribution to value and energy delivery, alongside Roanoke Gas's strong financial and operational performance - CEO Paul Nester stated that the Mountain Valley Pipeline (MVP) has been a successful and meaningful part of delivering value for a full year, and that Roanoke Gas continues to produce strong financial results from prudent system investment and exemplary operations[3] Financial Statements This section presents the unaudited Condensed Consolidated Statements of Income and Condensed Consolidated Balance Sheets for the periods ended June 30, 2025, and June 30, 2024 Condensed Consolidated Statements of Income For Q3 2025, operating revenues increased, but operating income declined due to higher expenses, while significant equity earnings from MVP boosted net income Condensed Consolidated Statements of Income (Unaudited) | | Three Months Ended June 30, | Nine Months Ended June 30, | | :--- | :--- | :--- | | | 2025 ($) | 2024 ($) | 2025 ($) | 2024 ($) | | Operating revenues | $17.26 million | $14.46 million | $81.02 million | $71.54 million | | Operating expenses | $16.07 million | $12.90 million | $62.09 million | $54.70 million | | Operating income | $1.20 million | $1.56 million | $18.92 million | $16.84 million | | Equity in earnings of unconsolidated affiliate | $0.77 million | $0.28 million | $2.43 million | $2.98 million | | Other income (expense), net | $0.24 million | $(0.07 million) | $1.18 million | $0.14 million | | Interest expense | $1.51 million | $1.57 million | $4.92 million | $4.77 million | | Income before income taxes | $0.70 million | $0.20 million | $17.61 million | $15.19 million | | Income tax expense | $0.16 million | $0.05 million | $4.13 million | $3.57 million | | Net income | $0.54 million | $0.16 million | $13.48 million | $11.62 million | | Basic EPS | $0.05 | $0.02 | $1.31 | $1.15 | | Diluted EPS | $0.05 | $0.02 | $1.31 | $1.15 | - Cash dividends per common share increased year-over-year for both the third quarter (from $0.2000 to $0.2075) and the nine-month period (from $0.6000 to $0.6225)[9] Condensed Consolidated Balance Sheets As of June 30, 2025, total assets increased to $324.8 million, driven by net utility property growth, supported by increases in long-term debt and stockholders' equity Condensed Consolidated Balance Sheets (Unaudited) | | June 30, 2025 ($) | June 30, 2024 ($) | | :--- | :--- | :--- | | Assets | | | | Current assets | $21.60 million | $25.41 million | | Utility property, net | $270.54 million | $257.94 million | | Other non-current assets | $32.62 million | $30.81 million | | Total Assets | $324.76 million | $314.15 million | | Liabilities and Stockholders' Equity | | | | Current liabilities | $20.70 million | $23.78 million | | Long-term debt, net | $139.74 million | $136.31 million | | Deferred credits and other non-current liabilities | $48.06 million | $45.29 million | | Total Liabilities | $208.50 million | $205.39 million | | Stockholders' Equity | $116.26 million | $108.77 million | | Total Liabilities and Stockholders' Equity | $324.76 million | $314.15 million | - Year-over-year, Total Assets grew by 3.4%, Total Liabilities increased by 1.5%, and Stockholders' Equity rose by 6.9%[11]