NiSource(US:NI)2025-08-06 16:02Financial Data and Key Metrics Changes - The company reported second quarter adjusted EPS of $0.22, bringing the year-to-date total to $1.19, which is an increase of $0.13 from the same period last year [8][24]. - The 2025 adjusted EPS guidance has been narrowed to the upper half of the previously stated range of $1.85 to $1.89 [9][25]. - The company is reaffirming long-term financial commitments, targeting 6% to 8% annual adjusted EPS growth and 8% to 10% rate base growth through 2029 [25][29]. Business Line Data and Key Metrics Changes - Strong performance was noted in both the NIPSCO and Columbia segments, which continue to outperform expectations [24]. - The operational excellence initiatives, including Project Apollo and WAM, have enabled consistent and high-quality results across the business [24]. Market Data and Key Metrics Changes - Customer growth in the electric business was nearly 1% and 0.6% in the gas business, both surpassing forecasts [26]. - The metro growth in Columbus, Ohio was reported to be 38% higher than the national average last year, indicating strong economic tailwinds [26]. Company Strategy and Development Direction - The company focuses on disciplined capital deployment, operational excellence, and constructive regulatory relationships to drive value [6][7]. - The regulatory agenda has seen progress with approved rate cases in Virginia and Indiana, supporting significant revenue increases and investments [12][13]. - The company is advancing initiatives to support broader economic development, including revitalizing infrastructure to attract new industrial customers [14][15]. Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the demand for data centers in Northern Indiana and emphasized a disciplined approach to executing opportunities [32][33]. - The company remains focused on maximizing opportunities for stakeholders while ensuring financial integrity [32][33]. - The outlook for 2025 is positive, with expectations to deliver strong financial results and continued growth [28][29]. Other Important Information - The company has successfully issued $1.65 billion of senior notes to meet 2025 funding needs while maintaining a strong credit profile [27]. - The company is exploring AI capabilities to enhance operational efficiency and improve service delivery [9][10]. Q&A Session Summary Question: How is the company thinking about the data center opportunity, especially in the NISCO territory? - Management highlighted a strong demand for data centers in Northern Indiana and emphasized a disciplined approach to executing this opportunity while protecting existing customers [32][33]. Question: Can you provide an update on the Genco operating model and its timeline? - Management confirmed that the Genco declination process is moving forward, with an order expected by the third quarter of this year [36][64]. Question: How does the company plan to finance the Genco structure? - Management indicated that flexibility in financing will be retained, evaluating options once customer contracts are in place [57][58]. Question: What is the status of the coal plant retirements? - The company plans to retire the Schaeffer plant by the end of the year but will work closely with state officials to align with any new directives [54]. Question: Can you clarify the timeline for converting the Genco opportunity into reality? - Management reiterated that they are on track to execute the Genco opportunity in 2025 [76].