National Fuel Gas Q3 Earnings Top Estimates, Revenues Increase Y/Y

National Fuel Gas Company NFG reported third-quarter fiscal 2025 adjusted operating earnings of $1.64 per share, which surpassed the Zacks Consensus Estimate of $1.50 by 9.3%. The bottom line also increased 65.7% from the year-ago quarter’s reported figure of 99 cents. 

GAAP earnings for the quarter were $1.64 per share against a loss of 59 cents in the year-ago quarter.

NFG’s Total Revenues

NFG reported sales of $531.8 million, which missed the Zacks Consensus Estimate of $617 million by 13.8%. However, the top line increased 27.4% from the prior-year recorded figure of $417.4 million.

NFG’s Segmental Revenues

Utility: Revenues totaled $157.4 million, up 26.1% from $124.8 million in the year-ago quarter.

Exploration and Production and Other: Revenues totaled $303.9 million, up 37.6% from $220.9 million in the year-ago quarter.

Pipeline and Storage and Gathering: Revenues amounted to $70.5 million, reflecting a 1.7% decrease from $71.7 million recorded in the year-ago quarter.

Highlights of NFG’s Q3 Release

Total operating expenses decreased 35.7% year over year to $301.6 million. 

Operating income totaled $230.3 million against an operating loss of $51.4 million in the year-ago quarter. 

Interest expense on long-term debt totaled $34.3 million, up 4.3% from the year-ago figure of $32.9 million.

During the fiscal third quarter, Seneca produced 112 billion cubic feet (Bcf) of natural gas, reflecting an increase of 15 Bcf, or 16%, from the prior-year level. Two highly prolific Utica pads turned in line this year in the EDA’s Tioga County were the main drivers behind this increase in production.

NFG’s Financial Highlights

As of June 30, 2025, National Fuel Gas had cash and temporary cash investments of $39.3 million compared with $38.2 million as of Sept. 30, 2024.

Net cash provided by operating activities for the first nine months of fiscal 2025 totaled $862.3 million compared with $868 million in the year-ago period.

Capital expenditures amounted to $627.3 million in the first nine months of fiscal 2025 compared with $684.2 million in the year-ago period.

NFG’s Guidance

NFG has revised its guidance for fiscal 2025 adjusted earnings per share to $6.80-$6.95 from $6.75-$7.05. This updated range incorporates third-quarter results as well as lower expected realized natural gas prices for the remaining three months, largely offset by expected higher production and lower unit costs in the Exploration and Production segment. The Zacks Consensus Estimate is pegged at $6.80, which is the lower end of the company’s revised guided range. 

The company now expects capital expenditure for fiscal 2025 to be in the $890-$955 million band compared with the earlier projection of $885-$960 million. 

Production for fiscal 2025 is now expected to be in the range of 420-425 Bcf compared with the previous estimate of 415-425 Bcf.

NFG’s Zacks Rank

National Fuel Gas currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Upcoming Releases

ONE Gas, Inc. OGS is slated to report second-quarter 2025 results on Aug. 5, after market close. The Zacks Consensus Estimate for earnings is pegged at 53 cents per share.

OGS’ long-term (three to five years) earnings growth rate is 5.56%. The Zacks Consensus Estimate for second-quarter sales is pinned at $404.11 million. 

Atmos Energy Corporation ATO is slated to report third-quarter fiscal 2025 results on Aug. 6, after market close. The Zacks Consensus Estimate for earnings is pegged at $1.17 per share.

ATO’s long-term earnings growth rate is 7.32%. It delivered an average earnings surprise of 2.6% in the past four quarters. 

UGI Corporation UGI is slated to report third-quarter fiscal 2025 results on Aug. 6, after market close. The Zacks Consensus Estimate for earnings is pegged at a loss of 12 cents per share.

UGI’s long-term earnings growth rate is 6.7%. The company delivered an average earnings surprise of 75.7% in the past four quarters. 

 

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This article originally published on Zacks Investment Research (zacks.com).

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