NorthWestern Energy Reports 9.5% Revenue Growth but Misses Q3 Earnings Estimates

NorthWestern Energy Group (NASDAQ:NWE) reported third-quarter adjusted earnings of $0.58 per share on Thursday, below analysts’ expectations of $0.74, while revenue increased 9.5% year over year to $423.8 million, exceeding the consensus estimate of $418.81 million.

The company’s shares were unchanged in after-hours trading following the announcement.

Colstrip Costs Affect Quarterly Earnings

NorthWestern attributed the earnings shortfall primarily to a $6.1 million net loss associated with additional ownership interests in Colstrip Units 3 and 4, alongside higher depreciation and interest expenses.

These costs were partially offset by lower non-recoverable Montana electric supply expenses, improved retail volumes and increased transmission revenue.

“Although the costs associated with our incremental ownership in Colstrip have created a temporary earnings headwind, this strategic decision helps ensure reliable energy for our customers and support economic development in Montana,” said President and CEO Brian Bird.

Full-Year Guidance and Investment Plans Maintained

NorthWestern reaffirmed its 2026 adjusted earnings guidance of $3.68 to $3.83 per diluted share. The midpoint of approximately $3.76 compares with analysts’ consensus estimate of $3.74.

The forecast assumes normal weather conditions, approval of the Power Cost and Credit Adjustment Mechanism waiver and an effective income tax rate of approximately 14% to 18%.

The company also maintained its long-term diluted earnings per share growth target of 4% to 6%, based on its 2024 adjusted baseline of $3.40 per share, and confirmed its $3.2 billion capital investment programme for 2026–2030.

Quarterly Dividend Declared

NorthWestern declared a quarterly dividend of $0.67 per share, payable on December 1, 2026, to shareholders of record as of November 17, 2026.

The company enters the final quarter of 2026 with its annual earnings guidance unchanged despite the additional costs affecting third-quarter profitability.

NorthWestern Energy Group