NorthWestern Energy Group (NWE) Q2 2024 earnings summary

Executive summary

• Q2 2024 GAAP diluted EPS was $0.52 (up from $0.32 in Q2 2023), and non-GAAP diluted EPS was $0.53 (up from $0.35), with net income rising to $31.7 million from $19.1 million, driven by new base rates, higher electric transmission revenues, and increased property tax tracker collections.

• Year-to-date 2024 net income was $96.7 million, up from $81.7 million in the prior year, with diluted EPS at $1.58, a 15.4% increase.

• Affirmed 2024 diluted EPS guidance of $3.42–$3.62 and long-term EPS and rate base growth targets of 4–6%.

• Announced acquisitions: Energy West Montana's gas system for $39 million and Puget Sound's 370 MW Colstrip stake at no cost, expanding infrastructure and capacity.

• Declared a quarterly dividend of $0.65 per share, payable September 30, 2024.

Financial highlights

• Q2 2024 operating revenues were $319.9 million, up from $290.5 million in Q2 2023; utility margin increased 9.2% to $243.4 million.

• Q2 2024 operating income was $61.6 million (vs. $45.6 million in Q2 2023); net income was $31.7 million, up 66% year-over-year.

• Year-to-date operating revenues grew 6.7% to $795.3 million; utility margin up 6.3% to $544.1 million.

• Dividend paid per share increased to $0.65 in Q2 and $1.30 year-to-date.

• Effective tax rate for Q2 2024 was 11.8% (vs. 10.1% in Q2 2023); net liquidity as of June 30, 2024, was $393.4 million.

Outlook and guidance

• Affirmed 2024 diluted EPS guidance of $3.42–$3.62 and long-term 4–6% EPS and rate base growth targets.

• Nearly $2.5 billion in capital investment planned over five years, funded by operations and secured debt.

• No equity issuances expected for current capital plan; FFO/debt targeted above 14%.

• Guidance assumes interim rate relief and continued constructive regulatory outcomes.

• Expect to maintain a dividend payout ratio within a targeted 60–70% range.