National Fuel Gas Company (NFG) Q2 2025 earnings summary

Executive summary

• Q2 FY2025 net income was $216.4 million ($2.37/share), up 32% per share year-over-year, driven by record production, strong segment results, and regulatory tailwinds.

• Adjusted operating results for Q2 FY2025 were $218 million ($2.39/share), up 34% per share year-over-year.

• FY25 adjusted EPS guidance was raised to $6.75–$7.05, supported by strong regulated and non-regulated performance and robust capital allocation.

• 122 years of consecutive dividend payments and 54 years of increases, with $650 million returned to shareholders in the last 3 years.

• Continued progress on emissions reduction, surpassing methane intensity targets and maintaining industry-leading sustainability certifications.

Financial highlights

• Q2 adjusted operating results rose 32%, with higher natural gas prices, improved cost structure, and record production of 105.5 Bcf.

• Consolidated operating revenues for Q2 FY2025 were $729.9 million, up from $629.9 million in Q2 FY2024.

• Adjusted EBITDA for Q2 FY2025 was $428.5 million, up from $369.6 million in Q2 FY2024.

• EPS guidance for adjusted operating results raised to $6.75–$7.05 per share, a $0.15 increase at the midpoint from prior guidance.

• Capital expenditures for FY2025 expected to be $885–$960 million.

Outlook and guidance

• FY2025 adjusted EPS guidance raised to $6.75–$7.05, with upside to $7.05–$7.35 at $4.00 NYMEX.

• Production guidance for E&P segment increased to 415–425 Bcf for FY2025.

• Free cash flow generation projected to remain robust, supporting share buybacks and flexible capital allocation.

• Utility customer margin guidance: $445–$465 million; O&M expense: $240–$245 million.

• Hedges for fiscal 2026–2027 include 76 BCF of swaps and collars, with swaps above $4 and collars at $4–$5.50.