NorthWestern Energy Group (NWE) Q2 2025 earnings summary

Executive summary

• Q2 2025 GAAP diluted EPS was $0.35 and non-GAAP EPS was $0.40, both down from $0.52 and $0.53 in 2024; net income fell to $21.2M from $31.7M, mainly due to lower usage, higher costs, and regulatory timing.

• Year-to-date 2025 net income was $98.2M, up 1.6% year-over-year; diluted EPS was $1.60, up 1.3%.

• Completed acquisition of Energy West and Cut Bank Gas for $36.5M, adding 33,000 customers.

• Declared a $0.66 per share dividend, maintaining a strong yield and targeting a 60–70% payout ratio.

• Progressed on data center growth, signing three letters of intent for up to 900 MW of new load by 2030.

Financial highlights

• Q2 2025 revenues rose to $342.7M (up 7.1% year-over-year); utility margin increased 9.9% to $267.4M.

• Q2 2025 operating income was $60.8M, down 1.3% year-over-year; interest expense increased to $36.3M.

• Margin improved by $0.24 from rate impacts, offset by $0.09 unfavorable weather and $0.05 detriment from Montana property tax legislation.

• Adjusted non-GAAP EPS excludes unfavorable weather and a $1.0M non-deductible penalty.

• Dividend per share for Q2 2025: $0.66 (up from $0.65); six-month dividend: $1.32 (up from $1.30).

Outlook and guidance

• 2025 non-GAAP EPS guidance set at $3.53–$3.65, representing 4–7% growth from 2024, assuming favorable regulatory outcomes and normal weather.

• Five-year regulated capital investment plan of $2.74B–$2.75B remains on track, with no equity issuances planned.

• Guidance based on 4–6% long-term EPS and rate base growth.

• Quarterly dividend of $0.66 per share declared, targeting a 60–70% payout ratio.

• Management expects cash flows, borrowing capacity, and future rate increases to be sufficient for operations, debt service, dividends, and capital expenditures.