Financial Performance - The company reported adjusted EPS of $0.98 for Q1 2025, a 15% increase from $0.85 in the same quarter last year [7][21] - The company reaffirmed its 2025 adjusted EPS guidance of $1.85 to $1.89 and annual growth of 6% to 8% through 2029 [7][24] - The company achieved over 52% of its projected midpoint earnings for the year, an increase of 8% compared to the same period last year [21] Business Lines and Capital Investments - The company continues to advance its energy transition strategy, having installed 2,100 megawatts of renewable nameplate capacity [18] - The capital investment outlook projects over $19 billion over the next five years, with $2 billion identified for safety and reliability improvements [19] - The company is actively developing its base plan to include investments that meet its standards, focusing on electric generation, gas and electric customer growth, and system modernization [19][20] Market and Regulatory Environment - The company is engaged in collaborative regulatory processes to ensure resources for critical investments, such as the Ohio legislative proposal to modernize natural gas rate making [6][10] - The company has filed new rate cases in Pennsylvania and Virginia to recover significant anticipated investments necessary for reliable service [13][14] - The regulatory framework is seen as stable, which helps mitigate the impact of rising product costs on the business [23][24] Strategic Direction and Industry Competition - The company emphasizes operational excellence through initiatives like AI and Project Apollo, which aim to enhance efficiency and reduce waste [12][11] - The company is focused on maintaining a strong balance sheet and enhancing visibility into how investments convert into earnings [26] - The company is positioned to capitalize on economic development opportunities, particularly in data center development and onshoring manufacturing [28][102] Management Commentary on Future Outlook - Management expressed confidence in achieving 2025 guidance and sustaining long-term growth through a balanced and diversified business plan [24][26] - The company is assessing the impact of regulatory changes and executive orders on its operational plans, particularly regarding coal asset retirements [40][41] - Management highlighted the importance of flexibility in capital allocation decisions to adapt to changing market conditions [20][26] Other Important Information - The company is leveraging AI to optimize operations, resulting in significant productivity improvements across various regions [12] - The company has secured a significant portion of critical equipment to support its operations and capital plans for the five-year horizon [22] - The company is exploring opportunities for data center development across its service territories, including Ohio and Virginia [94][95] Q&A Session Summary Question: On the NIPSCO, Jenco filing, do you need to receive an outcome before announcing a signed agreement? - The company can proceed with a special contract and announce it without having the Genco completed [31] Question: How do you think about the pricing of PPAs relative to regulatory perspectives? - The Genco structure allows flexibility to respond to stakeholder needs, and NIPSCO will still be the resource adequacy provider [33] Question: Is there an opportunity to accelerate the $2.2 billion currently outside of the base plan? - The $2.2 billion upside does not include data center development; any data center capital would be incremental to the plan [35] Question: How are you assessing the impact of executive orders on your asset retirement plans? - The company is currently assessing the impact and will work with regulators to determine the best course of action [41] Question: What is the current engagement pace with large load prospective customers? - The company is making excellent progress but emphasizes the complexity of these transactions [55] Question: Can you discuss the regulatory cap structure for Genco? - The financing structure for Genco has not been disclosed yet, as the focus is on completing special contracts with customers [59] Question: What are the expectations for O&M costs moving forward? - The company expects O&M to remain flat year over year, driven by efficiency initiatives [116]

Financial Data and Key Metrics Changes - Revenue increased by 7% sequentially to $712 million, with growth in each end market sector led by gas utilities [10][26] - Adjusted gross profit margins were strong at 21.5%, above the target of 21% [11][29] - Adjusted EBITDA was $36 million, or 5.1% of sales, an improvement over the previous quarter [12][30] - Operating cash flow from continuing operations was $21 million, reflecting strong working capital management [12][31] - Net income from continuing operations was $8 million, or $0.09 per diluted share, compared to a net loss in the previous quarter [30] Business Line Data and Key Metrics Changes - Gas utilities revenue was $273 million, an 8% increase driven by normalized buying patterns and increased capital budgets [27] - Diet sector revenue was $220 million, a 6% increase due to chemical project deliveries and mining activity [27] - PTI sector revenue was $219 million, an 8% increase driven by midstream customer projects [27] Market Data and Key Metrics Changes - U.S. revenue was $591 million, a 9% increase, with all end market sectors improving [28] - International revenue was $121 million, down 1% due to timing of project deliveries [28] Company Strategy and Development Direction - The company is optimistic about growth in the gas utilities sector, which is experiencing a resurgence with a 26% increase in backlog [9][14] - A $125 million share repurchase program has been initiated, reflecting confidence in financial strength [9][10] - The capital allocation strategy focuses on maintaining a healthy balance sheet, targeting a net debt leverage ratio of 1.5 times or lower, and investing in growth opportunities [10][38] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving strong sequential revenue improvement in the second quarter, supported by a growing backlog [9][24] - There are concerns about macroeconomic uncertainties impacting the second half of 2025, but no significant changes in customer behavior have been observed [25][32] - The gas utilities sector is expected to be resilient due to limited exposure to tariffs and low commodity prices [33][34] Other Important Information - The company is focused on navigating tariff impacts and supply chain challenges, with over 60% of U.S. product sales sourced domestically [16][17] - The company is targeting operating cash flow of at least $100 million for 2025, with capital expenditures expected to be elevated due to ERP implementation [36][38] Q&A Session Summary Question: How is inflation tracking in the business today? - The tariff situation is dynamic, with significant impacts on steel and aluminum products, particularly from China [44][45] Question: Did inventory step up in the first quarter? - The company strategically increased inventory in anticipation of tariffs and to prepare for the year [49][50] Question: What are the growth opportunities in gas utilities? - The gas utilities business has returned to growth, with opportunities to increase market share and wallet share through new services [52][54] Question: What is the outlook for the diet sector? - The diet sector backlog increased by 16%, primarily driven by refining and chemical projects [68][70] Question: What is the growth outlook for the PTI business internationally? - The company projects growth in the PTI space internationally, particularly in the North Sea and Europe [88] Question: How is the company positioned regarding upstream customers amid lower oil prices? - While lower oil prices may impact activity, the customer base is resilient, and no significant budget reductions are anticipated [77][78]

Financial Performance & Growth - NiSource reaffirmed its 2025 adjusted EPS guidance of $1.85-$1.89[12] - The company projects an annual adjusted EPS growth of 6%-8% from 2025-2029[9, 12] - NiSource anticipates an 8%-10% rate base growth from 2025-2029[9] - The company is targeting a 14%-16% annual FFO/Debt through 2029[9, 12] - NiSource reported Q1 2025 GAAP net income available to common shareholders of $474.8 million, compared to $344.3 million in Q1 2024, an increase of $130.5 million[26] - Adjusted net income available to common shareholders for Q1 2025 was $462.3 million, up from $382.8 million in Q1 2024, representing a $79.5 million increase[26] - Adjusted earnings per share for Q1 2025 was $0.98, compared to $0.85 in Q1 2024, a $0.13 increase[26] Capital Investments & Funding - NiSource plans a base plan capital investment of $19.4 billion from 2025-2029[9, 12] - The company has an upside 5-year capital opportunity of $2.2 billion from 2025-2029, which is not included in the base plan[29] - The capital investment funding sources are projected to be 50%-55% from cash from operations, 35%-40% from net new debt, 6%-8% from equity, and 3%-5% from minority interest contribution[31] Strategic Initiatives - NiSource aims to achieve Net Zero emissions by 2040[9, 58] - The company is focused on building a constructive regulatory foundation, including rate case filings and approvals in various states[12, 19] - NiSource is prioritizing operational excellence through AI utilization and continuous improvement initiatives[12, 16]

Core Viewpoint - Southwest Gas Holdings, Inc. has rescheduled its financial results release and conference call for the first quarter of fiscal year 2025 to May 12, 2025, from the previously scheduled date of May 7, 2025 [1]. Financial Guidance and Outlook - The company affirms its full year 2025 net income guidance to be between $265 million and $275 million [4]. - Capital expenditures for 2025 are estimated to be approximately $880 million, aimed at customer growth, system improvements, and pipe replacement programs [4]. - The compound annual growth rate (CAGR) for adjusted net income from 2025 to 2029 is projected to be between 6.0% and 8.0% [4]. - Total capital expenditures from 2025 to 2029 are expected to reach $4.3 billion [4]. - The rate base CAGR for the same period (2025-2029) is also projected to be between 6.0% and 8.0% [4]. Company Overview - Southwest Gas Holdings, Inc. operates through its subsidiary, Southwest Gas Corporation, which is involved in the purchasing, distributing, and transporting of natural gas [6]. - The company serves over 2 million customers across Arizona, Nevada, and California, focusing on safe and reliable service while promoting sustainable energy solutions [6]. - Southwest Gas Holdings is the majority owner of Centuri Holdings, Inc., which provides utility infrastructure services across North America [6][5].

Core Viewpoint - Unitil Corporation reported a net income of $27.5 million, or $1.69 in EPS, for Q1 2025, reflecting a slight increase compared to the same period in 2024, driven by strong operational performance and strategic initiatives [1][2]. Financial Performance - The adjusted net income for Q1 2025 was $28.4 million, or $1.74 in EPS, an increase of $1.2 million, or $0.05 in EPS, compared to Q1 2024 [1][19]. - Electric GAAP gross margin decreased to $19.6 million, down $0.5 million from Q1 2024, primarily due to higher depreciation and amortization expenses [2]. - Electric adjusted gross margin increased to $27.5 million, reflecting a $0.4 million rise compared to Q1 2024, attributed to higher rates and customer growth [3][24]. - Gas GAAP gross margin rose to $57.1 million, an increase of $6.9 million from Q1 2024, driven by higher rates, customer growth, and favorable winter weather [5][24]. - Gas adjusted gross margin reached $70.9 million, up $9.9 million from the previous year, also influenced by higher rates and customer growth [6][24]. Operational Expenses - Operation and maintenance expenses increased by $4.4 million in Q1 2025, reflecting higher utility operating costs, labor costs, and professional fees [7]. - Depreciation and amortization expenses rose by $3.7 million, influenced by higher depreciation rates and additional utility plant in service [8]. - Interest expense increased by $1.8 million, primarily due to higher long-term debt levels and interest expenses on regulatory liabilities [11]. Sales and Revenue - Total electric kWh sales increased by 6.9% to 438.2 million kWh in Q1 2025, with residential sales up by 11.1% [27]. - Total gas therm sales increased by 26.1% to 113.1 million therms, with residential sales rising by 33.5% [27]. - Electric revenues decreased by $13.4 million to $60.2 million, while gas revenues increased by $5.5 million to $110.6 million [27]. Dividends - The Board of Directors declared quarterly dividends of $0.45 per share, maintaining an annualized dividend rate of $1.80 per share, continuing a record of consistent quarterly payments [13].

ONE Gas, Inc. (OGS) reported first-quarter 2025 operating earnings per share (EPS) of $1.98, which beat the Zacks Consensus Estimate of $1.85 by 7%. The figure also came in 13.1% higher than the year-ago quarter’s earnings of $1.75. (See the Zacks Earnings Calendar to stay ahead of market-making news.)OGS’ RevenuesONE Gas recorded revenues of $935.2 million, which surpassed the Zacks Consensus Estimate of $804 million by 16.4%. The top line also increased 23.3% from $758.3 million in the prior-year quarter. ...

Financial Data and Key Metrics Changes - The company reported net income of $119 million or $1.98 per diluted share, an increase from $99.3 million or $1.75 in the same period last year [5][9] - Revenues increased by approximately $52 million from new rates and $2 million from continued customer growth [9] - First quarter O&M expenses were approximately 2% higher than the first quarter last year, with a projected 4% CAGR in O&M expenses across the five-year plan [10][54] Business Line Data and Key Metrics Changes - The company completed $178 million worth of capital projects this quarter, consistent with the same period last year [14] - Nearly 8,000 new meters were installed through April, driven by new housing developments in major metropolitan areas [17] Market Data and Key Metrics Changes - Weather across service territories was 5% colder than normal and 16% colder than the first quarter last year, contributing to strong customer demand [9] Company Strategy and Development Direction - The company aims for an earnings per share CAGR of approximately 6% through 2029, with reduced capital intensity and related funding needs [7] - The company is focused on in-sourcing activities to improve efficiency and reduce costs, with ongoing efforts in line locating services [48] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving the upper half of stated guidance ranges due to strong financial performance and effective expense management [9] - The company is well-positioned to respond to ongoing demand for new housing and is exploring opportunities to serve power generation needs [18] Other Important Information - The Board of Directors declared a dividend of $0.67 per share, unchanged from the previous quarter [11] - The company received the American Gas Association Safety Award for having the lowest rate of significant injuries among peers for the eighth consecutive year [8] Q&A Session Summary Question: O&M expenses and sustainability - Management noted that O&M expenses have been managed effectively, achieving a 1.9% year-over-year increase in Q1, and expressed caution about future trends due to labor market conditions [21][23] Question: Legislative impacts in Texas - Management indicated that proposed legislation could benefit the company by improving recovery rates on investments, but emphasized a cautious and opportunistic approach to legislative changes [26][27] Question: Guidance for the year - The guidance increase is attributed to strong margins from customer demand and better-than-expected cost management [35] Question: Project details in Austin - The project in Austin is not a significant investment but highlights the company's strategic approach to linking initiatives for growth [36] Question: Tariff impacts on operations - Management stated that the company is insulated from tariff impacts due to direct supplier relationships established before COVID-19 [39] Question: Weather impact on working capital - Strong demand due to weather conditions has increased working capital needs, but management expects some relief as the company moves out of winter [46] Question: Future of in-sourcing program - The in-sourcing program will continue, with a focus on efficiency and innovation, but will not be rushed to completion [49]

Financial Data and Key Metrics Changes - The company reported adjusted net income of $91.8 million or $2.28 per share for Q1 2025, compared to $63.8 million or $1.69 per share for the same period in 2024, reflecting strong results across all business segments [12][25][26] - The combined utility customer growth rate was 9.6% for the twelve months ended March 31, 2025, primarily driven by the acquisition of Sea Energy, which added approximately 73,000 gas meters in Texas [13][26] Business Line Data and Key Metrics Changes - The Northwest Natural Gas Utility segment saw net income increase by $21.5 million or $0.42 per share, with margin increasing by $38.7 million due to new rates effective November 1, 2024 [26] - Sea Energy contributed net income of $5.5 million or $0.14 per share for Q1 2025, meeting expectations for the quarter [27] - The Northwest Natural Water segment's net income increased by $2.4 million or $0.06 per share, driven by new rates and additional revenues from acquisitions [28] Market Data and Key Metrics Changes - The company expects to invest approximately $60 million in water utilities in 2025 to replace aging infrastructure and improve treatment facilities [21] - The company anticipates a quarterly profile for 2025 to be similar to previous years, with the majority of revenues generated in the first and fourth quarters during winter heating months [29] Company Strategy and Development Direction - The company is focused on expanding its customer base and enhancing service reliability through strategic acquisitions, such as the recent acquisition of Hughes Gas Resources for $60 million [18][19] - The company plans to refresh rates at multiple water utilities in 2025, primarily related to recovering critical infrastructure investments [21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving full-year guidance, reaffirming annual adjusted earnings guidance in the range of $2.75 to $2.95 per share [29] - The company highlighted the importance of its gas distribution and storage infrastructure in the Pacific Northwest, emphasizing its role in providing reliable and cost-effective energy solutions [24] Other Important Information - The company has a liquidity of over $600 million as of March 31, 2025, with significant availability on lines of credit and cash on hand [32] - The company completed a $325 million junior subordinated debenture issuance to secure financing for the Sea Energy transaction [33] Q&A Session Summary Question: What is the outlook for water utilities in 2025? - Management indicated that the increase in Q1 results is largely driven by rate case activity from last year, with expectations for continued growth and earnings contribution from Northwest Natural Water [36][37] Question: Is the Hughes acquisition similar to Sea Energy in terms of customer base? - Management confirmed that the Hughes acquisition primarily consists of residential and commercial customers, similar to Sea Energy, and provides geographic overlap for operational synergies [39][40]

Financial Data and Key Metrics Changes - The company reported net income of $119 million or $1.98 per diluted share, an increase from $99.3 million or $1.75 in the same period last year [4][10] - Revenues increased by approximately $52 million from new rates and $2 million from continued customer growth [10] - First quarter O&M expenses were approximately 2% higher than the first quarter last year, with a projected 4% CAGR in O&M expenses across the five-year plan [10][52] Business Line Data and Key Metrics Changes - The company completed $178 million worth of capital projects this quarter, consistent with the same period last year [14] - Nearly 8,000 new meters were installed through April, driven by new housing developments, particularly in major metropolitan areas in Texas and Oklahoma [16] Market Data and Key Metrics Changes - Weather across service territories was 5% colder than normal and 16% colder than the first quarter last year, contributing to strong customer demand [9] - The company expects to achieve the upper half of its stated guidance ranges, including net income of $254 million to $261 million and earnings per diluted share of $4.20 to $4.32 [9] Company Strategy and Development Direction - The company aims for an earnings per share CAGR of approximately 6% through 2029, with reduced capital intensity and related funding needs [6] - The company is focused on growth opportunities in power generation and system reinforcement, particularly in response to new housing demands [18] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in expense management and the ability to remain insulated from material tariff impacts through 2025 [5][39] - The company remains committed to safely and reliably delivering natural gas to customers, supported by a highly engaged workforce [7] Other Important Information - The Board of Directors declared a dividend of $0.67 per share, unchanged from the previous quarter [11] - The company is actively monitoring legislative developments that could impact gas investments in Texas [26][27] Q&A Session Summary Question: O&M expense sustainability in an inflationary environment - Management noted that while O&M expenses have come in lower than expected, they remain cautious about future trends due to labor market influences [22][24] Question: Impact of Texas legislation on capital spending - Management indicated that proposed legislation could enhance recovery rates but would not significantly alter capital spending plans [26][29] Question: Factors driving guidance increase - The increase in guidance was attributed to strong customer demand, growth in the customer base, and better-than-expected cost management [35] Question: Weather impact on working capital - Management confirmed that strong demand due to weather has increased working capital needs, but they expect some relief as they move into warmer months [46] Question: Future of the in-sourcing program - The in-sourcing program will continue, with ongoing evaluations to identify further opportunities for efficiency [48][49] Question: O&M expense expectations for the year - Management anticipates O&M expenses will align with the 4% growth target, factoring in employee costs and efficiency gains [52][53]

Core Insights - ONE Gas, Inc. reported strong financial results for the first quarter of 2025, with expectations to achieve the upper half of its previously announced financial guidance for the year [1][10] - The company declared a quarterly dividend of $0.67 per share, reflecting a commitment to returning value to shareholders [9] Financial Performance - Operating income for Q1 2025 was $180.5 million, up from $145.9 million in Q1 2024, driven by effective regulatory strategies and disciplined expense management [3][30] - Net income for the first quarter was $119.4 million, or $1.98 per diluted share, compared to $99.3 million, or $1.75 per diluted share, in the same period last year [9][20] - Total revenues increased to $935.2 million in Q1 2025 from $758.3 million in Q1 2024, with natural gas sales contributing significantly to this growth [30] Capital Expenditures and Investments - Capital expenditures and asset removal costs for Q1 2025 were $177.7 million, slightly down from $179.4 million in the same period last year, focusing on system integrity and service extension [4][30] - The company anticipates total capital investments of approximately $750 million for 2025, primarily for system integrity and replacement projects [10] Regulatory Activities - Kansas Gas Service submitted a request for a $7.2 million increase related to its Gas System Reliability Surcharge, with a decision expected by August 2025 [5] - Oklahoma Natural Gas filed for a $41.5 million base rate revenue increase, with a hearing scheduled for June 12, 2025 [6] Customer Metrics - The average number of customers increased to 2.305 million in Q1 2025, up from 2.290 million in Q1 2024, indicating growth in customer base across service areas [30][31] - The company experienced colder weather conditions, with actual degree days being 5% colder than normal, which positively impacted natural gas demand [9][31]