UGI (UGI) Investor presentation summary

Strategic and financial overview

• Targeting 4–6% EPS growth and $3.7–$4.1B in capital expenditures for FY24–27, with a 9%+ rate base CAGR and leverage ratio of 3.5–4.0x.

• Capital allocation prioritizes regulated utilities, balance sheet strength, and shareholder returns, with 45–55% dividend payout ratio.

• $1.3B planned for shareholder returns and debt reduction, with 85% of capital invested in natural gas businesses.

• ESG initiatives include a 55% Scope 1 GHG reduction target by 2025 and 90%+ reduction in fugitive methane emissions.

• Liquidity position at $1.9B as of June 2025, with a 3.8x leverage ratio and well-laddered debt maturities.

Natural gas businesses

• Utilities segment is the 2nd largest regulated gas utility in PA and largest in WV, with ~900,000 customers and $4.2B rate base.

• $605M YTD FY25 capital expenditure, 80%+ allocated to natural gas; ~9,000 new customers added.

• Robust infrastructure investment supports 9%+ rate base CAGR and timely capital recovery via DSIC/IREP programs.

• Pipeline replacement program targets all cast iron by 2027 and all bare steel by 2041, modernizing ~19,000 miles of pipeline.

• Peak day demand CAGR of 5.6% (FY15–25), with strong growth from residential, commercial, and data center customers.

Midstream & marketing

• Operates 17 pipelines and gathering systems, 15M Dth storage, and 450,000 Dth/d LNG peaking capacity in the Marcellus/Utica region.

• 81% of FY24 margin is fee-based, providing earnings stability; contract tenures range up to 20+ years.

• $505M FY24 segment margin, with diversified sources including storage, capacity management, and gathering.

• $500M committed to renewable natural gas (RNG) projects, with $475M invested and 11 projects in service or development.