National Fuel Gas to Post Q2 Earnings: Here's What You Need to Know

National Fuel Gas Company NFG is scheduled to release fiscal second-quarter 2025 results on April 30, after market close. The company delivered an earnings surprise of 5.7% in the last reported quarter. (See the Zacks Earnings Calendar to stay ahead of market-making news.)

Let’s discuss the factors that are likely to be reflected in the upcoming quarterly results.

Key Factors That May Impact NFG's Q2 Results

National Fuel Gas received approval on Dec. 19, 2024, from the New York Public Service Commission to increase its base delivery rates and charges for gas service effective Jan. 1, 2025. The added revenues are aimed at supporting necessary investments in the company’s pipeline infrastructure and workforce, addressing the rising cost of operating its gas delivery system, and advancing more affordable decarbonization initiatives. The increase in rates and improved infrastructure should have had a positive impact on its fiscal second-quarter performance.

The quarterly earnings are expected to have benefited from stronger demand for natural gas, as colder winters might have boosted demand for heating.

National Fuel Gas’ net E&P productivity improvements are expected to have driven production and gathering throughput for the quarter, therefore, boosting its overall performance.

The ongoing share repurchase program must have helped decrease the number of outstanding shares. It might have also boosted earnings for the to-be-reported quarter.

Q2 Expectations for NFG

The Zacks Consensus Estimate for earnings is pegged at $2.17 per share, indicating a year-over-year increase of 21.2%.

The Zacks Consensus Estimate for revenues is pinned at $783.13 million, indicating an increase of 24.3% year over year.

The Zacks Consensus Estimate for total production- Gas is pinned at 108.23 billion cubic feet per day (Bcfe), up 5.2% year over year. The Zacks Consensus Estimate for weighted average gas price is pinned at $3.08 per thousand cubic feet, up 55.6% from the figure registered in the year-ago quarter.

What Our Quantitative Model Predicts

Our proven model does not predict an earnings beat for National Fuel Gas this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That is not the case here, as you will see below.
 

National Fuel Gas Company Price and EPS Surprise

National Fuel Gas Company price-eps-surprise | National Fuel Gas Company Quote

Earnings ESP: The company’s Earnings ESP is 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Currently, National Fuel Gas has a Zacks Rank #1. You can see the complete list of today's Zacks #1 Rank stocks here.

Stocks to Consider

Investors may consider the following players from the same sector, as these have the right combination of elements to come up with an earnings beat this reporting cycle.

Devon Energy DVN is expected to come up with an earnings beat when it reports first-quarter results on May 6, after market close. It has an Earnings ESP of +1.71% and a Zacks Rank #3 at present.

DVN’s long-term (three to five years) earnings growth rate is 11.01%. The Zacks Consensus Estimate for first-quarter earnings is pinned at $1.25 per share.

APA Corporation APA is expected to post an earnings beat when it announces first-quarter results on May 7, after market close. It has an Earnings ESP of +4.65% and a Zacks Rank #3 at present.

The Zacks Consensus Estimate for first-quarter earnings is pinned at 81 cents per share. The Zacks Consensus Estimate for sales is pegged at $2.18 billion, indicating year-over-year growth of 14.6%.

Cheniere Energy LNG is likely to come up with an earnings beat when it announces first-quarter results on May 8, before market open. It has an Earnings ESP of +0.32% and a Zacks Rank #3 at present.

The Zacks Consensus Estimate for first-quarter earnings is pinned at $2.96 per share. The company delivered an average earnings surprise of 74.4% in the trailing four quarters.

 

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

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