UGI (UGI) investor relations material

Executive summary

• Fiscal 2026 Q2 featured stable EBIT, strong cash flow, and progress on strategic priorities, including the sale of the electric division for ~$470 million and a partnership with Prime Data Centers for major gas infrastructure.

• Underlying earnings growth was achieved year-to-date, driven by disciplined execution, portfolio strength, and robust customer demand.

• AmeriGas operational transformation delivered measurable improvements in safety, efficiency, and customer satisfaction, positioning for a strong heating season in FY27.

• UGI International generated strong free cash flow and managed margins effectively despite dynamic conditions.

• Significant capital was deployed in regulated utilities, with over 6,000 new heating customers added and $26 million returned to customers via weather normalization riders.

Financial highlights

• Q2 2026 revenues were $2.69 billion, nearly flat year-over-year; six-month revenues were $4.77 billion, up from $4.70 billion.

• Q2 net income attributable to shareholders was $520 million ($2.33 per diluted share), up from $479 million ($2.19 per share); adjusted net income was $466 million ($2.09 per share), down from $484 million ($2.21 per share).

• Year-to-date adjusted diluted EPS was $3.35, down from $3.58; GAAP diluted EPS was $3.68, down from $3.93.

• Reportable segments EBIT for Q2 was $688 million, down slightly from $692 million; YTD EBIT was $1,129 million, up from $1,112 million.

• Available liquidity at quarter-end was ~$2.1 billion, up $200 million year-over-year.

Outlook and guidance

• Fiscal 2026 adjusted diluted EPS guidance revised to $2.75–$2.90, reflecting lower expected earnings from Midstream & Marketing due to delayed investments and lower Appalachian production.

• Operational improvements at AmeriGas are translating into earnings more slowly than anticipated, but long-term growth trajectory remains strong.

• Long-term EPS CAGR target of 5%-7% between FY24 and FY29 reaffirmed.

• The company expects sufficient liquidity to support long-term commitments and ongoing operations.