WILLIAMSVILLE, N.Y., July 30, 2025 (GLOBE NEWSWIRE) — National Fuel Gas Company (“National Fuel” or the “Company”) (NYSE:NFG) today announced consolidated results for the third quarter of its 2025 fiscal year.
FISCAL 2025 THIRD QUARTER SUMMARY
- GAAP earnings per share of $1.64 compared to a net loss $0.59 per share in the prior year.
- Adjusted earnings per share of $1.64 increased 66% compared to $0.99 per share in the prior year. See non-GAAP reconciliation on page 2.
- Exploration and Production adjusted operating results of $0.95 per share increased 157% versus the prior year, driven by lower per unit operating costs, higher realized natural gas prices, and strong well performance in the Eastern Development Area (“EDA”), which contributed to 112 Bcf of natural gas production, up 16% versus the prior year’s third quarter.
- The Pipeline and Storage segment achieved several development milestones for expansion projects during the quarter with the announcement of the Shippingport Lateral Project and the receipt of FERC approval for the Tioga Pathway Project, which remains on track for a late calendar 2026 in-service date.
- The Company generated $196 million in net cash provided by operating activities less net cash used in investing activities during the third quarter.
- The Company is revising the midpoint of its fiscal 2025 adjusted earnings per share guidance to a range of $6.80 to $6.95 per share and is initiating its fiscal 2026 preliminary earnings guidance which, based upon a NYMEX price of $4.00, is expected to increase 20% from fiscal 2025 (see Guidance Summary on page 7).
MANAGEMENT COMMENTARY
David P. Bauer, President and Chief Executive Officer of National Fuel Gas Company, stated: “National Fuel’s excellent third quarter reflects ongoing success across the Company. Our integrated upstream and gathering operations saw record production and throughput during the quarter and a continued improvement in capital efficiency, while our regulated Utility and Pipeline & Storage segments continue to see an uplift in earnings from recent ratemaking activities and organic investment opportunities.
“As we look forward to fiscal 2026, we expect to see significant earnings growth versus the prior year. This highlights the momentum in each of our businesses and the overall positive long-term outlook for natural gas. Strong well results in the EDA continue to confirm the depth of our best-in-class inventory and operational excellence in Northeast Pennsylvania, and underpin our mid-single-digit production growth expectations in the coming years. In addition, we have line of sight to further growth in our regulated businesses, supporting our 5% to 7% average annual rate base growth projections. Taken together, along with the broader tailwinds from growing demand for natural gas, National Fuel is well positioned to create meaningful value for shareholders in the years to come.”
RETURN OF CAPITAL UPDATE
During the quarter, National Fuel announced that its Board of Directors approved a 4% increase in the Company’s dividend for an annual rate of $2.14 per share. This is our 55th consecutive year of dividend increases and the 123rd year of consecutive dividend payments, demonstrating the Company’s commitment to returning cash to shareholders.
With respect to the Company’s share repurchase program, since March 2024, the Company repurchased approximately 2 million shares at an average weighted price of $59.70 per share. Consistent with our disciplined approach to capital allocation, which balances growth with return of capital to shareholders, during the quarter the Company paused repurchases as it evaluated various growth opportunities, preserving balance sheet flexibility.
RECONCILIATION OF GAAP EARNINGS TO ADJUSTED OPERATING RESULTS
| Three Months Ended June 30, | ||||||||||||||||
| (Thousands) | (Per Share) | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Reported GAAP Earnings | $ | 149,818 | $ | (54,158 | ) | $ | 1.64 | $ | (0.59 | ) | ||||||
| Items impacting comparability: | ||||||||||||||||
| Impairment of assets (E&P) | — | 200,696 | 0.00 | 2.18 | ||||||||||||
| Tax impact of impairment of assets | — | (55,686 | ) | 0.00 | (0.60 | ) | ||||||||||
| Other (refer to Segment results for details) | (615 | ) | 873 | — | — | |||||||||||
| Adjusted Operating Results | $ | 149,203 | $ | 91,725 | $ | 1.64 | $ | 0.99 | ||||||||
FISCAL 2025 GUIDANCE UPDATE
National Fuel is revising its adjusted earnings per share guidance for fiscal 2025 to a range of $6.80 to $6.95. This updated range incorporates our third quarter results as well as lower expected realized natural gas prices for the remaining three months, which is largely offset by expected higher production and lower unit costs in the Exploration and Production segment. The Company is assuming an average NYMEX natural gas price of $3.25 per MMBtu for the remaining three months of fiscal 2025, which approximates the current NYMEX forward curve at this time.
The Company’s other fiscal 2025 guidance assumptions are detailed in the table on page 7.
INITIATION OF FISCAL 2026 PRELIMINARY GUIDANCE
The Company is initiating preliminary earnings guidance for fiscal 2026 which it is providing at various NYMEX prices:
| NYMEX Assumption ($/MMBtu) |
Fiscal 2026 Adjusted Earnings Per Share Sensitivities |
| $3.00 | $6.35 – $6.85 |
| $4.00 | $8.00 – $8.50 |
| $5.00 | $9.75 – $10.25 |
2026 OUTLOOK
- Seneca’s ongoing trend of improving capital efficiency is projected to continue in fiscal 2026 with capital expenditures expected to decrease by $20 million, or 4% at the midpoint, while production is expected to increase to a range of 440 to 455 Bcf, an increase of 6% at the midpoint.
- Regulated segment earnings are expected to increase as a result of ongoing modernization investments which are supported by recent ratemaking efforts, driven by Distribution’s three-year New York rate settlement that continues through fiscal 2027 and additional margin related to the Pennsylvania modernization tracker, or DSIC (Distribution System Improvement Charge).
- Combined Utility and Pipeline & Storage segment capital expenditures are expected to range between $395 and $455 million, an increase of $110 million from fiscal 2025 at midpoint of guidance, with continued investment in our longstanding modernization programs, as well as significant expansion-related spending on the Tioga Pathway and Shippingport Lateral projects driving meaningful rate base growth.
Additional details on the Company’s updated forecast assumptions and business segment guidance for fiscal 2026 are outlined in the table on page 7.
DISCUSSION OF THIRD QUARTER RESULTS BY SEGMENT
The following earnings discussion of each operating segment for the quarter ended June 30, 2025 is summarized in a tabular form on pages 8 and 9 of this report (earnings drivers for the nine months ended June 30, 2025 are summarized on pages 10 and 11). It may be helpful to refer to those tables while reviewing this discussion.
Note that management defines adjusted operating results as reported GAAP earnings adjusted for items impacting comparability, and adjusted EBITDA as reported GAAP earnings before the following items: interest expense, income taxes, depreciation, depletion and amortization, other income and deductions, impairments, and other items reflected in operating income that impact comparability.
Upstream Business
Exploration and Production Segment
The Exploration and Production segment operations are carried out by Seneca Resources Company, LLC (“Seneca”). Seneca explores for, develops and produces primarily natural gas reserves in Pennsylvania.
| Three Months Ended | ||||||||||||
| June 30, | ||||||||||||
| (in thousands) | 2025 | 2024 | Variance | |||||||||
| GAAP Earnings | $ | 86,671 | $ | (112,028 | ) | $ | 198,699 | |||||
| Impairment of assets | — | 200,696 | (200,696 | ) | ||||||||
| Tax impact of impairment of assets | — | (55,686 | ) | 55,686 | ||||||||
| Unrealized (gain) loss on derivative asset (2022 CA asset sale) | 45 | 1,186 | (1,141 | ) | ||||||||
| Tax impact of unrealized (gain) loss on derivative asset | (12 | ) | (325 | ) | 313 | |||||||
| Adjusted Operating Results | $ | 86,704 | $ | 33,843 | $ | 52,861 | ||||||
| Adjusted EBITDA | $ | 202,488 | $ | 128,535 | $ | 73,953 | ||||||
Seneca’s third quarter GAAP earnings increased $198.7 million versus the prior year. GAAP earnings in the prior year included a non-cash, pre-tax ceiling test impairment of $200.7 million ($145.0 million after-tax) to write-down the carrying value of Seneca’s reserves under the full cost method of accounting. GAAP earnings also included the impact of unrealized losses related to reductions in the fair value of contingent consideration received in connection with the June 2022 divestiture of Seneca’s California assets.
Excluding items impacting comparability, Seneca’s adjusted operating results in the third quarter increased $52.9 million primarily due to higher realized natural gas prices and production, as well as lower per unit operating expenses.
During the third quarter, Seneca produced a Company record 112 Bcf of natural gas, an increase of 15 Bcf, or 16%, from the prior year. 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.
Seneca’s weighted average realized natural gas price, after the impact of hedging and transportation costs, was $2.71 per Mcf, an increase of $0.43 per Mcf from the prior year. This increase was primarily due to higher NYMEX prices and higher spot prices at local sales points in Pennsylvania.
| Three Months Ended | ||||||||||||
| June 30, | ||||||||||||
| (Cost per Mcf) | 2025 | 2024 | Variance | |||||||||
| Lease Operating and Transportation Expense (“LOE”) | $ | 0.66 | $ | 0.69 | $ | (0.03 | ) | |||||
| General and Administrative Expense (“G&A”) | $ | 0.17 | $ | 0.19 | $ | (0.02 | ) | |||||
| Taxes and Other | $ | 0.08 | $ | 0.08 | $ | — | ||||||
| Total Cash Operating Costs | $ | 0.91 | $ | 0.96 | $ | (0.05 | ) | |||||
| Depreciation, Depletion and Amortization Expense (“DD&A”) | $ | 0.62 | $ | 0.71 | $ | (0.09 | ) | |||||
| Total Operating Costs | $ | 1.53 | $ | 1.67 | $ | (0.14 | ) | |||||
On a per unit basis, third quarter total cash operating costs were lower compared to the prior year, primarily due to higher production. LOE included $61 million ($0.55 per Mcf), or 83% of total LOE, for gathering and compression service fees paid to the Company’s Gathering segment to connect Seneca’s production to sales points along interstate pipelines. DD&A for the quarter was $0.62 per Mcf, a decrease of $0.09 per Mcf from the prior year, largely due to ceiling test impairments recorded in prior quarters that lowered Seneca’s full cost pool depletable base.
Midstream Businesses
Pipeline and Storage Segment
The Pipeline and Storage segment’s operations are carried out by National Fuel Gas Supply Corporation (“Supply Corporation”) and Empire Pipeline, Inc. (“Empire”). The Pipeline and Storage segment provides natural gas transportation and storage services to affiliated and non-affiliated companies through an integrated system of pipelines and underground natural gas storage fields in western New York and Pennsylvania.
| Three Months Ended | ||||||||||||
| June 30, | ||||||||||||
| (in thousands) | 2025 | 2024 | Variance | |||||||||
| GAAP Earnings | $ | 28,857 | $ | 30,690 | $ | (1,833 | ) | |||||
| Adjusted EBITDA | $ | 67,019 | $ | 68,221 | $ | (1,202 | ) | |||||
The Pipeline and Storage segment’s third quarter GAAP earnings decreased $1.8 million versus the prior year primarily due to higher Operations and Maintenance (“O&M”) expense. The increase in O&M expense was due largely to typical inflationary increases related to higher personnel costs and third-party contractors.
Gathering Segment
The Gathering segment’s operations are carried out by National Fuel Gas Midstream Company, LLC’s limited liability companies. The Gathering segment constructs, owns and operates natural gas gathering pipelines and compression facilities in the Appalachian region, which delivers Seneca and other non-affiliated Appalachian production to the interstate pipeline system.
| Three Months Ended | ||||||||||||
| June 30, | ||||||||||||
| (in thousands) | 2025 | 2024 | Variance | |||||||||
| GAAP Earnings | $ | 29,996 | $ | 24,979 | $ | 5,017 | ||||||
| Adjusted EBITDA | $ | 55,923 | $ | 47,631 | $ | 8,292 | ||||||
The Gathering segment’s third quarter GAAP earnings increased $5.0 million versus the prior year primarily due to higher operating revenues, which increased $7.8 million, or 13%, primarily due to an increase in throughput from Seneca’s new wells located in Tioga County.
Downstream Business
Utility Segment
The Utility segment operations are carried out by National Fuel Gas Distribution Corporation (“Distribution Corporation”), which sells or transports natural gas to customers located in western New York and northwestern Pennsylvania.
| Three Months Ended | ||||||||||||
| June 30, | ||||||||||||
| (in thousands) | 2025 | 2024 | Variance | |||||||||
| GAAP Earnings | $ | 4,997 | $ | 2,559 | $ | 2,438 | ||||||
| Adjusted EBITDA | $ | 25,743 | $ | 21,047 | $ | 4,696 | ||||||
The Utility segment’s third quarter GAAP earnings increased $2.4 million, or 95%, primarily as a result of new rates approved in the Utility’s New York rate case settlement, which became effective October 1, 2024, partially offset by higher operating costs and interest expense.
For the quarter, customer margin (operating revenues less purchased gas sold) increased $8.4 million, primarily due to an increase in customer usage, due in part to colder weather, as well as an increase in rates as part of the New York rate case settlement. Other income increased $4.0 million, largely due to the New York rate settlement, which required the recognition of non-service pension and post-retirement benefit income and a corresponding reduction in new base rates, resulting in no effect on net income.
O&M expense increased $2.7 million primarily driven by higher personnel costs, partially offset by a reduction in uncollectible expenses as a result of a tracker implemented as part of the New York rate case settlement. DD&A expense increased by $1.6 million primarily due to higher average depreciable plant in service compared to the prior year. Further, interest expense increased $2.5 million primarily due to a higher average amount of net borrowings.
Corporate and All Other
The Company’s operations that are included in Corporate and All Other generated a combined net loss of $0.7 million, which was largely consistent with the prior year.
EARNINGS TELECONFERENCE
A conference call to discuss the results will be held on Thursday, July 31, 2025, at 9 a.m. ET. All participants must pre-register to join this conference using the Participant Registration link. A webcast link to the conference call will be provided under the Events Calendar on the NFG Investor Relations website at investor.nationalfuelgas.com. A replay will be available following the call through the end of the day, Thursday, August 7, 2025. To access the replay, dial 1-866-813-9403 and provide Access Code 592578.
National Fuel is an integrated energy company reporting financial results for four operating segments: Exploration and Production, Pipeline and Storage, Gathering, and Utility. Additional information about National Fuel is available at www.nationalfuel.com.
Certain statements contained herein, including statements identified by the use of the words “anticipates,” “estimates,” “expects,” “forecasts,” “intends,” “plans,” “predicts,” “projects,” “believes,” “seeks,” “will,” “may” and similar expressions, and statements which are other than statements of historical facts, are “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties, which could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements. The Company’s expectations, beliefs and projections contained herein are expressed in good faith and are believed to have a reasonable basis, but there can be no assurance that such expectations, beliefs or projections will result or be achieved or accomplished. In addition to other factors, the following are important factors that could cause actual results to differ materially from those discussed in the forward-looking statements: changes in laws, regulations or judicial interpretations to which the Company is subject, including those involving derivatives, taxes, safety, employment, climate change, other environmental matters, real property, and exploration and production activities such as hydraulic fracturing; governmental/regulatory actions, initiatives and proceedings, including those involving rate cases (which address, among other things, target rates of return, rate design, retained natural gas and system modernization), environmental/safety requirements, affiliate relationships, industry structure, and franchise renewal; changes in economic conditions, including the imposition of additional tariffs on U.S. imports and related retaliatory tariffs, inflationary pressures, supply chain issues, liquidity challenges, and global, national or regional recessions, and their effect on the demand for, and customers’ ability to pay for, the Company’s products and services; the Company’s ability to estimate accurately the time and resources necessary to meet emissions targets; governmental/regulatory actions and/or market pressures to reduce or eliminate reliance on natural gas; impairments under the SEC’s full cost ceiling test for natural gas reserves; changes in the price of natural gas; the creditworthiness or performance of the Company’s key suppliers, customers and counterparties; financial and economic conditions, including the availability of credit, and occurrences affecting the Company’s ability to obtain financing on acceptable terms for working capital, capital expenditures and other investments, including any downgrades in the Company’s credit ratings and changes in interest rates and other capital market conditions; the Company’s ability to complete strategic transactions; changes in price differentials between similar quantities of natural gas sold at different geographic locations, and the effect of such changes on commodity production, revenues and demand for pipeline transportation capacity to or from such locations; the impact of information technology disruptions, cybersecurity or data security breaches, including the impact of issues that may arise from the use of artificial intelligence technologies; factors affecting the Company’s ability to successfully identify, drill for and produce economically viable natural gas reserves, including among others geology, lease availability and costs, title disputes, weather conditions, water availability and disposal or recycling opportunities of used water, shortages, delays or unavailability of equipment and services required in drilling operations, insufficient gathering, processing and transportation capacity, the need to obtain governmental approvals and permits, and compliance with environmental laws and regulations; increased costs or delays or changes in plans with respect to Company projects or related projects of other companies, as well as difficulties or delays in obtaining necessary governmental approvals, permits or orders or in obtaining the cooperation of interconnecting facility operators; increasing health care costs and the resulting effect on health insurance premiums and on the obligation to provide other post-retirement benefits; other changes in price differentials between similar quantities of natural gas having different quality, heating value, hydrocarbon mix or delivery date; the cost and effects of legal and administrative claims against the Company or activist shareholder campaigns to effect changes at the Company; negotiations with the collective bargaining units representing the Company’s workforce, including potential work stoppages during negotiations; uncertainty of natural gas reserve estimates; significant differences between the Company’s projected and actual production levels for natural gas; changes in demographic patterns and weather conditions (including those related to climate change); changes in the availability, price or accounting treatment of derivative financial instruments; changes in laws, actuarial assumptions, the interest rate environment and the return on plan/trust assets related to the Company’s pension and other post-retirement benefits, which can affect future funding obligations and costs and plan liabilities; economic disruptions or uninsured losses resulting from major accidents, fires, severe weather, natural disasters, terrorist activities or acts of war, as well as economic and operational disruptions due to third-party outages; significant differences between the Company’s projected and actual capital expenditures and operating expenses; or increasing costs of insurance, changes in coverage and the ability to obtain insurance. The Company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date thereof.
NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
GUIDANCE SUMMARY
As discussed on page 2, the Company is revising its adjusted earnings per share guidance for fiscal 2025. Additional details on the Company’s forecast assumptions and business segment guidance are outlined in the table below.
The revised adjusted earnings per share guidance range excludes certain items that impacted the comparability of adjusted operating results during the nine months ended June 30, 2025, including: (1) the after tax impairment of assets, which reduced earnings by $1.14 per share; (2) after-tax premiums paid on early redemptions of debt, which reduced earnings by $0.02 per share; (3) after-tax unrealized losses on a derivative asset, which reduced earnings by $0.01 per share; and (4) after-tax unrealized losses on other investments, which reduced earnings by $0.02 per share. While the Company expects to record certain adjustments to unrealized gain or loss on investments during the remaining three months ending September 30, 2025, the amounts of these and other potential adjustments are not reasonably determinable at this time. As such, the Company is unable to provide earnings guidance other than on a non-GAAP basis.
| Updated FY 2025 Guidance | Preliminary FY 2026 Guidance | |||
| Consolidated Adjusted Earnings per Share | $6.80 to $6.95 | See sensitivity table on p.2 | ||
| Consolidated Effective Tax Rate | ~ 25.5% | ~ 25.5% | ||
| Capital Expenditures (Millions) | ||||
| Exploration and Production | $500 – $510 | $470 – $500 | ||
| Pipeline and Storage | $120 – $140 | $210 – $250 | ||
| Gathering | $95 – $110 | $90 – $110 | ||
| Utility | $175 – $195 | $185 – $205 | ||
| Consolidated Capital Expenditures | $890 – $955 | $955 – $1,065 | ||
| Exploration and Production Segment Guidance | ||||
| Commodity Price Assumptions | (remaining three months) | |||
| NYMEX natural gas price (per MMBtu) | $3.25 | $3.00 / $4.00 / $5.00 | ||
| Appalachian basin spot price (per MMBtu) | $2.50 | $2.30 / $3.10 / $3.90 | ||
| Production (Bcf) | 420 to 425 | 440 to 455 | ||
| E&P Operating Costs ($/Mcf) | ||||
| LOE | $0.67 – $0.68 | $0.67 – $0.68 | ||
| G&A | ~$0.18 | ~$0.18 | ||
| DD&A | $0.63 – $0.65 | $0.65 – $0.69 | ||
| Other Business Segment Guidance (Millions) | ||||
| Gathering Segment Revenues | $255 – $260 | $245 – $255 | ||
| Pipeline and Storage Segment Revenues | $420 – $430 | $415 – $430 | ||
| Utility Segment Guidance (Millions) | ||||
| Customer Margin* | $450 – $460 | $470 – $490 | ||
| O&M Expense | $240 – $245 | $250 – $260 | ||
| Non-Service Pension & OPEB Income | $23 – $27 | $23 – $27 | ||
| * Customer Margin is defined as Operating Revenues less Purchased Gas Expense. | ||||
| NATIONAL FUEL GAS COMPANY | ||||||||||||||||||||||||
| RECONCILIATION OF CURRENT AND PRIOR YEAR GAAP EARNINGS | ||||||||||||||||||||||||
| QUARTER ENDED JUNE 30, 2025 | ||||||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||||||
| Upstream | Midstream | Downstream | ||||||||||||||||||||||
| Exploration & | Pipeline & | Corporate / | ||||||||||||||||||||||
| (Thousands of Dollars) | Production | Storage | Gathering | Utility | All Other | Consolidated* | ||||||||||||||||||
| Third quarter 2024 GAAP earnings | $ | (112,028 | ) | $ | 30,690 | $ | 24,979 | $ | 2,559 | $ | (358 | ) | $ | (54,158 | ) | |||||||||
| Items impacting comparability: | ||||||||||||||||||||||||
| Impairment of assets | 200,696 | 200,696 | ||||||||||||||||||||||
| Tax impact of impairment of assets | (55,686 | ) | (55,686 | ) | ||||||||||||||||||||
| Unrealized (gain) loss on derivative asset | 1,186 | 1,186 | ||||||||||||||||||||||
| Tax impact of unrealized (gain) loss on derivative asset | (325 | ) | (325 | ) | ||||||||||||||||||||
| Unrealized (gain) loss on other investments | 15 | 15 | ||||||||||||||||||||||
| Tax impact of unrealized (gain) loss on other investments | (3 | ) | (3 | ) | ||||||||||||||||||||
| Third quarter 2024 adjusted operating results | 33,843 | 30,690 | 24,979 | 2,559 | (346 | ) | 91,725 | |||||||||||||||||
| Drivers of adjusted operating results** | ||||||||||||||||||||||||
| Upstream Revenues | ||||||||||||||||||||||||
| Higher (lower) natural gas production | 27,144 | 27,144 | ||||||||||||||||||||||
| Higher (lower) realized natural gas prices, after hedging | 38,281 | 38,281 | ||||||||||||||||||||||
| Midstream Revenues | ||||||||||||||||||||||||
| Higher (lower) operating revenues | 6,125 | 6,125 | ||||||||||||||||||||||
| Downstream Margins*** | ||||||||||||||||||||||||
| Impact of usage and weather | 2,738 | 2,738 | ||||||||||||||||||||||
| Impact of new rates in New York | 2,788 | 2,788 | ||||||||||||||||||||||
| Regulatory revenue adjustments | 670 | 670 | ||||||||||||||||||||||
| Operating Expenses | ||||||||||||||||||||||||
| Lower (higher) lease operating and transportation expenses | (5,747 | ) | (5,747 | ) | ||||||||||||||||||||
| Lower (higher) operating expenses | (1,687 | ) | (2,126 | ) | (1,463 | ) | (5,276 | ) | ||||||||||||||||
| Lower (higher) property, franchise and other taxes | (1,636 | ) | (1,636 | ) | ||||||||||||||||||||
| Lower (higher) depreciation / depletion | (882 | ) | (1,242 | ) | (2,124 | ) | ||||||||||||||||||
| Other Income (Expense) | ||||||||||||||||||||||||
| Higher (lower) other income | (531 | ) | (1,238 | ) | 3,169 | 1,352 | 2,752 | |||||||||||||||||
| (Higher) lower interest expense | 589 | 510 | (2,007 | ) | (1,616 | ) | (2,524 | ) | ||||||||||||||||
| Income Taxes | ||||||||||||||||||||||||
| Lower (higher) income tax expense / effective tax rate | (5,564 | ) | (39 | ) | (178 | ) | (1,190 | ) | 710 | (6,261 | ) | |||||||||||||
| All other / rounding | 325 | 621 | (48 | ) | (362 | ) | 12 | 548 | ||||||||||||||||
| Third quarter 2025 adjusted operating results | 86,704 | 28,857 | 29,996 | 4,997 | (1,351 | ) | 149,203 | |||||||||||||||||
| Items impacting comparability: | ||||||||||||||||||||||||
| Unrealized gain (loss) on derivative asset | (45 | ) | (45 | ) | ||||||||||||||||||||
| Tax impact of unrealized gain (loss) on derivative asset | 12 | 12 | ||||||||||||||||||||||
| Unrealized gain (loss) on other investments | 820 | 820 | ||||||||||||||||||||||
| Tax impact of unrealized gain (loss) on other investments | (172 | ) | (172 | ) | ||||||||||||||||||||
| Third quarter 2025 GAAP earnings | $ | 86,671 | $ | 28,857 | $ | 29,996 | $ | 4,997 | $ | (703 | ) | $ | 149,818 | |||||||||||
| * Amounts do not reflect intercompany eliminations. | ||||||||||||||||||||||||
| ** Drivers of adjusted operating results have been calculated using the 21% federal statutory rate. | ||||||||||||||||||||||||
| *** Downstream margin defined as operating revenues less purchased gas expense. | ||||||||||||||||||||||||
| NATIONAL FUEL GAS COMPANY | ||||||||||||||||||||||||
| RECONCILIATION OF CURRENT AND PRIOR YEAR GAAP EARNINGS PER SHARE | ||||||||||||||||||||||||
| QUARTER ENDED JUNE 30, 2025 | ||||||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||||||
| Upstream | Midstream | Downstream | ||||||||||||||||||||||
| Exploration & | Pipeline & | Corporate / | ||||||||||||||||||||||
| Production | Storage | Gathering | Utility | All Other | Consolidated* | |||||||||||||||||||
| Third quarter 2024 GAAP earnings per share | $ | (1.22 | ) | $ | 0.33 | $ | 0.27 | $ | 0.03 | $ | — | $ | (0.59 | ) | ||||||||||
| Items impacting comparability: | ||||||||||||||||||||||||
| Impairment of assets, net of tax | 1.58 | 1.58 | ||||||||||||||||||||||
| Unrealized (gain) loss on derivative asset, net of tax | 0.01 | 0.01 | ||||||||||||||||||||||
| Unrealized (gain) loss on other investments, net of tax | — | — | ||||||||||||||||||||||
| Rounding | (0.01 | ) | (0.01 | ) | ||||||||||||||||||||
| Third quarter 2024 adjusted operating results per share | 0.37 | 0.33 | 0.27 | 0.03 | (0.01 | ) | 0.99 | |||||||||||||||||
| Drivers of adjusted operating results** | ||||||||||||||||||||||||
| Upstream Revenues | ||||||||||||||||||||||||
| Higher (lower) natural gas production | 0.30 | 0.30 | ||||||||||||||||||||||
| Higher (lower) realized natural gas prices, after hedging | 0.42 | 0.42 | ||||||||||||||||||||||
| Midstream Revenues | ||||||||||||||||||||||||
| Higher (lower) operating revenues | 0.07 | 0.07 | ||||||||||||||||||||||
| Downstream Margins*** | ||||||||||||||||||||||||
| Impact of usage and weather | 0.03 | 0.03 | ||||||||||||||||||||||
| Impact of new rates in New York | 0.03 | 0.03 | ||||||||||||||||||||||
| Regulatory revenue adjustments | 0.01 | 0.01 | ||||||||||||||||||||||
| Operating Expenses | ||||||||||||||||||||||||
| Lower (higher) lease operating and transportation expenses | (0.06 | ) | (0.06 | ) | ||||||||||||||||||||
| Lower (higher) operating expenses | (0.02 | ) | (0.02 | ) | (0.02 | ) | (0.06 | ) | ||||||||||||||||
| Lower (higher) property, franchise and other taxes | (0.02 | ) | (0.02 | ) | ||||||||||||||||||||
| Lower (higher) depreciation / depletion | (0.01 | ) | (0.01 | ) | (0.02 | ) | ||||||||||||||||||
| Other Income (Expense) | ||||||||||||||||||||||||
| Higher (lower) other income | (0.01 | ) | (0.01 | ) | 0.03 | 0.01 | 0.02 | |||||||||||||||||
| (Higher) lower interest expense | 0.01 | 0.01 | (0.02 | ) | (0.02 | ) | (0.02 | ) | ||||||||||||||||
| Income Taxes | ||||||||||||||||||||||||
| Lower (higher) income tax expense / effective tax rate | (0.06 | ) | — | — | (0.01 | ) | 0.01 | (0.06 | ) | |||||||||||||||
| All other / rounding | — | 0.01 | — | (0.02 | ) | 0.02 | 0.01 | |||||||||||||||||
| Third quarter 2025 adjusted operating results per share | 0.95 | 0.32 | 0.33 | 0.05 | (0.01 | ) | 1.64 | |||||||||||||||||
| Items impacting comparability: | ||||||||||||||||||||||||
| Unrealized gain (loss) on derivative asset, net of tax | — | — | ||||||||||||||||||||||
| Unrealized gain (loss) on other investments, net of tax | 0.01 | 0.01 | ||||||||||||||||||||||
| Rounding | (0.01 | ) | (0.01 | ) | ||||||||||||||||||||
| Third quarter 2025 GAAP earnings per share | $ | 0.95 | $ | 0.32 | $ | 0.33 | $ | 0.05 | $ | (0.01 | ) | $ | 1.64 | |||||||||||
| * Amounts do not reflect intercompany eliminations. | ||||||||||||||||||||||||
| ** Drivers of adjusted operating results have been calculated using the 21% federal statutory rate. | ||||||||||||||||||||||||
| *** Downstream margin defined as operating revenues less purchased gas expense. | ||||||||||||||||||||||||
| NATIONAL FUEL GAS COMPANY | ||||||||||||||||||||||||
| RECONCILIATION OF CURRENT AND PRIOR YEAR GAAP EARNINGS | ||||||||||||||||||||||||
| NINE MONTHS ENDED JUNE 30, 2025 | ||||||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||||||
| Upstream | Midstream | Downstream | ||||||||||||||||||||||
| Exploration & | Pipeline & | Corporate / | ||||||||||||||||||||||
| (Thousands of Dollars) | Production | Storage | Gathering | Utility | All Other | Consolidated* | ||||||||||||||||||
| Nine months ended June 30, 2024 GAAP earnings | $ | 2,521 | $ | 85,482 | $ | 82,510 | $ | 73,848 | $ | 773 | $ | 245,134 | ||||||||||||
| Items impacting comparability: | ||||||||||||||||||||||||
| Impairment of assets | 200,696 | 200,696 | ||||||||||||||||||||||
| Tax impact of impairment of assets | (55,686 | ) | (55,686 | ) | ||||||||||||||||||||
| Unrealized (gain) loss on derivative asset | 4,848 | 4,848 | ||||||||||||||||||||||
| Tax impact of unrealized (gain) loss on derivative asset | (1,330 | ) | (1,330 | ) | ||||||||||||||||||||
| Unrealized (gain) loss on other investments | (1,803 | ) | (1,803 | ) | ||||||||||||||||||||
| Tax impact of unrealized (gain) loss on other investments | 379 | 379 | ||||||||||||||||||||||
| Nine months ended June 30, 2024 adjusted operating results | 151,049 | 85,482 | 82,510 | 73,848 | (651 | ) | 392,238 | |||||||||||||||||
| Drivers of adjusted operating results** | ||||||||||||||||||||||||
| Upstream Revenues | ||||||||||||||||||||||||
| Higher (lower) natural gas production | 28,414 | 28,414 | ||||||||||||||||||||||
| Higher (lower) realized natural gas prices, after hedging | 70,158 | 70,158 | ||||||||||||||||||||||
| Midstream Revenues | ||||||||||||||||||||||||
| Higher (lower) operating revenues | 12,241 | 5,793 | 18,034 | |||||||||||||||||||||
| Downstream Margins*** | ||||||||||||||||||||||||
| Impact of usage and weather | 5,423 | 5,423 | ||||||||||||||||||||||
| Impact of new rates in New York | 25,230 | 25,230 | ||||||||||||||||||||||
| Higher (lower) other operating revenues | (1,400 | ) | (1,400 | ) | ||||||||||||||||||||
| Operating Expenses | ||||||||||||||||||||||||
| Lower (higher) lease operating and transportation expenses | (5,810 | ) | (5,810 | ) | ||||||||||||||||||||
| Lower (higher) operating expenses | (1,490 | ) | (3,790 | ) | (751 | ) | (6,700 | ) | (1,740 | ) | (14,471 | ) | ||||||||||||
| Lower (higher) property, franchise and other taxes | (2,381 | ) | (2,381 | ) | ||||||||||||||||||||
| Lower (higher) depreciation / depletion | 13,760 | (2,684 | ) | (2,551 | ) | 8,525 | ||||||||||||||||||
| Other Income (Expense) | ||||||||||||||||||||||||
| Higher (lower) other income | (2,420 | ) | (1,840 | ) | 14,888 | 3,653 | 14,281 | |||||||||||||||||
| (Higher) lower interest expense | 838 | (1,648 | ) | (5,686 | ) | (4,780 | ) | (11,276 | ) | |||||||||||||||
| Income Taxes | ||||||||||||||||||||||||
| Lower (higher) income tax expense / effective tax rate | (7,902 | ) | (286 | ) | 727 | (2,318 | ) | 755 | (9,024 | ) | ||||||||||||||
| All other / rounding | 555 | 374 | 234 | 306 | 67 | 1,536 | ||||||||||||||||||
| Nine months ended June 30, 2025 adjusted operating results | 243,933 | 93,019 | 84,181 | 101,040 | (2,696 | ) | 519,477 | |||||||||||||||||
| Items impacting comparability: | ||||||||||||||||||||||||
| Impairment of assets | (141,802 | ) | (141,802 | ) | ||||||||||||||||||||
| Tax impact of impairment of assets | 37,169 | 37,169 | ||||||||||||||||||||||
| Premiums paid on early redemption of debt | (1,430 | ) | (955 | ) | (2,385 | ) | ||||||||||||||||||
| Tax impact of premiums paid on early redemption of debt | 385 | 257 | 642 | |||||||||||||||||||||
| Unrealized gain (loss) on derivative asset | (729 | ) | (729 | ) | ||||||||||||||||||||
| Tax impact of unrealized gain (loss) on derivative asset | 196 | 196 | ||||||||||||||||||||||
| Unrealized gain (loss) on other investments | (1,780 | ) | (1,780 | ) | ||||||||||||||||||||
| Tax impact of unrealized gain (loss) on other investments | 374 | 374 | ||||||||||||||||||||||
| Nine months ended June 30, 2025 GAAP earnings | $ | 137,722 | $ | 93,019 | $ | 83,483 | $ | 101,040 | $ | (4,102 | ) | $ | 411,162 | |||||||||||
| * Amounts do not reflect intercompany eliminations. | ||||||||||||||||||||||||
| ** Drivers of adjusted operating results have been calculated using the 21% federal statutory rate. | ||||||||||||||||||||||||
| *** Downstream margin defined as operating revenues less purchased gas expense. | ||||||||||||||||||||||||
| NATIONAL FUEL GAS COMPANY | ||||||||||||||||||||||||
| RECONCILIATION OF CURRENT AND PRIOR YEAR GAAP EARNINGS PER SHARE | ||||||||||||||||||||||||
| NINE MONTHS ENDED JUNE 30, 2025 | ||||||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||||||
| Upstream | Midstream | Downstream | ||||||||||||||||||||||
| Exploration & | Pipeline & | Corporate / | ||||||||||||||||||||||
| Production | Storage | Gathering | Utility | All Other | Consolidated* | |||||||||||||||||||
| Nine months ended June 30, 2024 GAAP earnings per share | $ | 0.03 | $ | 0.92 | $ | 0.89 | $ | 0.80 | $ | 0.01 | $ | 2.65 | ||||||||||||
| Items impacting comparability: | ||||||||||||||||||||||||
| Impairment of assets, net of tax | 1.57 | 1.57 | ||||||||||||||||||||||
| Unrealized (gain) loss on derivative asset, net of tax | 0.04 | 0.04 | ||||||||||||||||||||||
| Unrealized (gain) loss on other investments, net of tax | (0.02 | ) | (0.02 | ) | ||||||||||||||||||||
| Rounding | (0.01 | ) | 0.01 | — | ||||||||||||||||||||
| Nine months ended June 30, 2024 adjusted operating results per share | 1.63 | 0.92 | 0.89 | 0.80 | — | 4.24 | ||||||||||||||||||
| Drivers of adjusted operating results** | ||||||||||||||||||||||||
| Upstream Revenues | ||||||||||||||||||||||||
| Higher (lower) natural gas production | 0.31 | 0.31 | ||||||||||||||||||||||
| Higher (lower) realized natural gas prices, after hedging | 0.77 | 0.77 | ||||||||||||||||||||||
| Midstream Revenues | ||||||||||||||||||||||||
| Higher (lower) operating revenues | 0.13 | 0.06 | 0.19 | |||||||||||||||||||||
| Downstream Margins*** | ||||||||||||||||||||||||
| Impact of usage and weather | 0.06 | 0.06 | ||||||||||||||||||||||
| Impact of new rates in New York | 0.28 | 0.28 | ||||||||||||||||||||||
| Higher (lower) other operating revenues | 0.01 | 0.01 | ||||||||||||||||||||||
| Operating Expenses | ||||||||||||||||||||||||
| Lower (higher) lease operating and transportation expenses | (0.06 | ) | (0.06 | ) | ||||||||||||||||||||
| Lower (higher) operating expenses | (0.02 | ) | (0.04 | ) | (0.01 | ) | (0.07 | ) | (0.02 | ) | (0.16 | ) | ||||||||||||
| Lower (higher) property, franchise and other taxes | (0.03 | ) | (0.03 | ) | ||||||||||||||||||||
| Lower (higher) depreciation / depletion | 0.15 | (0.03 | ) | (0.03 | ) | 0.09 | ||||||||||||||||||
| Other Income (Expense) | ||||||||||||||||||||||||
| Higher (lower) other income | (0.03 | ) | (0.02 | ) | 0.16 | 0.04 | 0.15 | |||||||||||||||||
| (Higher) lower interest expense | 0.01 | (0.02 | ) | (0.06 | ) | (0.05 | ) | (0.12 | ) | |||||||||||||||
| Income Taxes | ||||||||||||||||||||||||
| Lower (higher) income tax expense / effective tax rate | (0.09 | ) | — | 0.01 | (0.03 | ) | 0.01 | (0.10 | ) | |||||||||||||||
| Impact of reduction in shares | 0.03 | 0.01 | 0.01 | 0.01 | — | 0.06 | ||||||||||||||||||
| All other / rounding | 0.01 | 0.01 | 0.01 | (0.02 | ) | (0.01 | ) | — | ||||||||||||||||
| Nine months ended June 30, 2025 adjusted operating results per share | 2.67 | 1.02 | 0.92 | 1.11 | (0.03 | ) | 5.69 | |||||||||||||||||
| Items impacting comparability: | ||||||||||||||||||||||||
| Impairment of assets, net of tax | (1.14 | ) | (1.14 | ) | ||||||||||||||||||||
| Premiums paid on early redemption of debt, net of tax | (0.01 | ) | (0.01 | ) | (0.02 | ) | ||||||||||||||||||
| Unrealized gain (loss) on derivative asset, net of tax | (0.01 | ) | (0.01 | ) | ||||||||||||||||||||
| Unrealized gain (loss) on other investments, net of tax | (0.02 | ) | (0.02 | ) | ||||||||||||||||||||
| Rounding | 0.01 | 0.01 | ||||||||||||||||||||||
| Nine months ended June 30, 2025 GAAP earnings per share | $ | 1.51 | $ | 1.02 | $ | 0.91 | $ | 1.11 | $ | (0.04 | ) | $ | 4.51 | |||||||||||
| * Amounts do not reflect intercompany eliminations. | ||||||||||||||||||||||||
| ** Drivers of adjusted operating results have been calculated using the 21% federal statutory rate. | ||||||||||||||||||||||||
| *** Downstream margin defined as operating revenues less purchased gas expense. | ||||||||||||||||||||||||
| NATIONAL FUEL GAS COMPANY | ||||||||||||||||
| AND SUBSIDIARIES | ||||||||||||||||
| (Thousands of Dollars, except per share amounts) | ||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| (Unaudited) | (Unaudited) | |||||||||||||||
| SUMMARY OF OPERATIONS | 2025 | 2024 | 2025 | 2024 | ||||||||||||
| Operating Revenues: | ||||||||||||||||
| Utility Revenues | $ | 157,446 | $ | 124,858 | $ | 729,445 | $ | 616,977 | ||||||||
| Exploration and Production and Other Revenues | 303,883 | 220,905 | 864,701 | 739,537 | ||||||||||||
| Pipeline and Storage and Gathering Revenues | 70,501 | 71,679 | 217,116 | 216,228 | ||||||||||||
| 531,830 | 417,442 | 1,811,262 | 1,572,742 | |||||||||||||
| Operating Expenses: | ||||||||||||||||
| Purchased Gas | 27,986 | 4,952 | 228,661 | 167,444 | ||||||||||||
| Operation and Maintenance: | ||||||||||||||||
| Utility | 56,053 | 53,412 | 174,744 | 166,405 | ||||||||||||
| Exploration and Production and Other | 35,272 | 35,148 | 103,874 | 102,768 | ||||||||||||
| Pipeline and Storage and Gathering | 41,679 | 40,019 | 119,982 | 114,321 | ||||||||||||
| Property, Franchise and Other Taxes | 24,180 | 21,201 | 71,450 | 66,635 | ||||||||||||
| Depreciation, Depletion and Amortization | 116,408 | 113,454 | 337,055 | 348,179 | ||||||||||||
| Impairment of Assets | — | 200,696 | 141,802 | 200,696 | ||||||||||||
| 301,578 | 468,882 | 1,177,568 | 1,166,448 | |||||||||||||
| Operating Income (Loss) | 230,252 | (51,440 | ) | 633,694 | 406,294 | |||||||||||
| Other Income (Expense): | ||||||||||||||||
| Other Income (Deductions) | 8,534 | 3,188 | 31,486 | 12,989 | ||||||||||||
| Interest Expense on Long-Term Debt | (34,333 | ) | (32,876 | ) | (107,356 | ) | (89,791 | ) | ||||||||
| Other Interest Expense | (3,556 | ) | (1,341 | ) | (13,033 | ) | (14,250 | ) | ||||||||
| Income (Loss) Before Income Taxes | 200,897 | (82,469 | ) | 544,791 | 315,242 | |||||||||||
| Income Tax Expense (Benefit) | 51,079 | (28,311 | ) | 133,629 | 70,108 | |||||||||||
| Net Income (Loss) Available for Common Stock | $ | 149,818 | $ | (54,158 | ) | $ | 411,162 | $ | 245,134 | |||||||
| Earnings (Loss) Per Common Share | ||||||||||||||||
| Basic | $ | 1.66 | $ | (0.59 | ) | $ | 4.54 | $ | 2.67 | |||||||
| Diluted | $ | 1.64 | $ | (0.59 | ) | $ | 4.51 | $ | 2.65 | |||||||
| Weighted Average Common Shares: | ||||||||||||||||
| Used in Basic Calculation | 90,358,018 | 91,874,049 | 90,546,228 | 91,966,034 | ||||||||||||
| Used in Diluted Calculation | 91,139,556 | 91,874,049 | 91,247,547 | 92,467,787 | ||||||||||||
| NATIONAL FUEL GAS COMPANY | ||||||||
| AND SUBSIDIARIES | ||||||||
| CONSOLIDATED BALANCE SHEETS | ||||||||
| (Unaudited) | ||||||||
| June 30, | September 30, | |||||||
| (Thousands of Dollars) | 2025 | 2024 | ||||||
| ASSETS | ||||||||
| Property, Plant and Equipment | $ | 15,044,963 | $ | 14,524,798 | ||||
| Less – Accumulated Depreciation, Depletion and Amortization | 7,588,956 | 7,185,593 | ||||||
| Net Property, Plant and Equipment | 7,456,007 | 7,339,205 | ||||||
| Current Assets: | ||||||||
| Cash and Temporary Cash Investments | 39,317 | 38,222 | ||||||
| Receivables – Net | 222,515 | 127,222 | ||||||
| Unbilled Revenue | 15,347 | 15,521 | ||||||
| Gas Stored Underground | 12,810 | 35,055 | ||||||
| Materials and Supplies – at average cost | 51,022 | 47,670 | ||||||
| Unrecovered Purchased Gas Costs | 2,903 | — | ||||||
| Other Current Assets | 64,241 | 92,229 | ||||||
| Total Current Assets | 408,155 | 355,919 | ||||||
| Other Assets: | ||||||||
| Recoverable Future Taxes | 90,493 | 80,084 | ||||||
| Unamortized Debt Expense | 6,701 | 5,604 | ||||||
| Other Regulatory Assets | 124,300 | 108,022 | ||||||
| Deferred Charges | 71,426 | 69,662 | ||||||
| Other Investments | 73,764 | 81,705 | ||||||
| Goodwill | 5,476 | 5,476 | ||||||
| Prepaid Pension and Post-Retirement Benefit Costs | 199,286 | 180,230 | ||||||
| Fair Value of Derivative Financial Instruments | 2,394 | 87,905 | ||||||
| Other | 8,158 | 5,958 | ||||||
| Total Other Assets | 581,998 | 624,646 | ||||||
| Total Assets | $ | 8,446,160 | $ | 8,319,770 | ||||
| CAPITALIZATION AND LIABILITIES | ||||||||
| Capitalization: | ||||||||
| Comprehensive Shareholders’ Equity | ||||||||
| Common Stock, $1 Par Value Authorized – 200,000,000 Shares; Issued and | ||||||||
| Outstanding – 90,355,956 Shares and 91,005,993 Shares, Respectively | $ | 90,356 | $ | 91,006 | ||||
| Paid in Capital | 1,047,406 | 1,045,487 | ||||||
| Earnings Reinvested in the Business | 1,953,533 | 1,727,326 | ||||||
| Accumulated Other Comprehensive Loss | (115,807 | ) | (15,476 | ) | ||||
| Total Comprehensive Shareholders’ Equity | 2,975,488 | 2,848,343 | ||||||
| Long-Term Debt, Net of Current Portion and Unamortized Discount and Debt Issuance Costs | 2,381,852 | 2,188,243 | ||||||
| Total Capitalization | 5,357,340 | 5,036,586 | ||||||
| Current and Accrued Liabilities: | ||||||||
| Notes Payable to Banks and Commercial Paper | 61,500 | 90,700 | ||||||
| Current Portion of Long-Term Debt | 300,000 | 500,000 | ||||||
| Accounts Payable | 123,131 | 165,068 | ||||||
| Amounts Payable to Customers | 24,275 | 42,720 | ||||||
| Dividends Payable | 48,340 | 46,872 | ||||||
| Interest Payable on Long-Term Debt | 39,060 | 27,247 | ||||||
| Customer Advances | — | 19,373 | ||||||
| Customer Security Deposits | 28,739 | 36,265 | ||||||
| Other Accruals and Current Liabilities | 207,179 | 162,903 | ||||||
| Fair Value of Derivative Financial Instruments | 57,673 | 4,744 | ||||||
| Total Current and Accrued Liabilities | 889,897 | 1,095,892 | ||||||
| Other Liabilities: | ||||||||
| Deferred Income Taxes | 1,153,427 | 1,111,165 | ||||||
| Taxes Refundable to Customers | 297,602 | 305,645 | ||||||
| Cost of Removal Regulatory Liability | 302,932 | 292,477 | ||||||
| Other Regulatory Liabilities | 137,025 | 151,452 | ||||||
| Other Post-Retirement Liabilities | 3,393 | 3,511 | ||||||
| Asset Retirement Obligations | 188,305 | 203,006 | ||||||
| Other Liabilities | 116,239 | 120,036 | ||||||
| Total Other Liabilities | 2,198,923 | 2,187,292 | ||||||
| Commitments and Contingencies | — | — | ||||||
| Total Capitalization and Liabilities | $ | 8,446,160 | $ | 8,319,770 | ||||
| NATIONAL FUEL GAS COMPANY | ||||||||
| AND SUBSIDIARIES | ||||||||
| CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
| (Unaudited) | ||||||||
| Nine Months Ended | ||||||||
| June 30, | ||||||||
| (Thousands of Dollars) | 2025 | 2024 | ||||||
| Operating Activities: | ||||||||
| Net Income Available for Common Stock | $ | 411,162 | $ | 245,134 | ||||
| Adjustments to Reconcile Net Income to Net Cash | ||||||||
| Provided by Operating Activities: | ||||||||
| Impairment of Assets | 141,802 | 200,696 | ||||||
| Depreciation, Depletion and Amortization | 337,055 | 348,179 | ||||||
| Deferred Income Taxes | 60,754 | 47,212 | ||||||
| Premiums Paid on Early Redemption of Debt | 2,385 | — | ||||||
| Stock-Based Compensation | 15,721 | 15,984 | ||||||
| Other | 19,296 | 18,542 | ||||||
| Change in: | ||||||||
| Receivables and Unbilled Revenue | (95,254 | ) | 5,253 | |||||
| Gas Stored Underground and Materials and Supplies | 18,803 | 18,981 | ||||||
| Unrecovered Purchased Gas Costs | (2,903 | ) | — | |||||
| Other Current Assets | 28,038 | 17,431 | ||||||
| Accounts Payable | 1,744 | (13,705 | ) | |||||
| Amounts Payable to Customers | (18,445 | ) | 3,550 | |||||
| Customer Advances | (19,373 | ) | (21,003 | ) | ||||
| Customer Security Deposits | (7,526 | ) | 7,910 | |||||
| Other Accruals and Current Liabilities | 44,283 | 23,846 | ||||||
| Other Assets | (35,348 | ) | (35,346 | ) | ||||
| Other Liabilities | (39,918 | ) | (14,649 | ) | ||||
| Net Cash Provided by Operating Activities | $ | 862,276 | $ | 868,015 | ||||
| Investing Activities: | ||||||||
| Capital Expenditures | $ | (627,316 | ) | $ | (684,200 | ) | ||
| Other | 9,352 | (1,371 | ) | |||||
| Net Cash Used in Investing Activities | $ | (617,964 | ) | $ | (685,571 | ) | ||
| Financing Activities: | ||||||||
| Changes in Notes Payable to Banks and Commercial Paper | (29,200 | ) | (287,500 | ) | ||||
| Shares Repurchased Under Repurchase Plan | (54,430 | ) | (27,847 | ) | ||||
| Reduction of Long-Term Debt | (1,004,086 | ) | — | |||||
| Net Proceeds From Issuance of Long-Term Debt | 988,731 | 299,396 | ||||||
| Dividends Paid on Common Stock | (140,098 | ) | (136,610 | ) | ||||
| Net Repurchases of Common Stock Under Stock and Benefit Plans | (4,134 | ) | (3,916 | ) | ||||
| Net Cash Used in Financing Activities | $ | (243,217 | ) | $ | (156,477 | ) | ||
| Net Increase in Cash and Cash Equivalents | 1,095 | 25,967 | ||||||
| Cash and Cash Equivalents at Beginning of Period | 38,222 | 55,447 | ||||||
| Cash and Cash Equivalents at June 30 | $ | 39,317 | $ | 81,414 | ||||
| NATIONAL FUEL GAS COMPANY | ||||||||||||||||||||||||
| AND SUBSIDIARIES | ||||||||||||||||||||||||
| SEGMENT OPERATING RESULTS AND STATISTICS | ||||||||||||||||||||||||
| (UNAUDITED) | ||||||||||||||||||||||||
| UPSTREAM BUSINESS | ||||||||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
| (Thousands of Dollars, except per share amounts) | June 30, | June 30, | ||||||||||||||||||||||
| EXPLORATION AND PRODUCTION SEGMENT | 2025 | 2024 | Variance | 2025 | 2024 | Variance | ||||||||||||||||||
| Total Operating Revenues | $ | 303,883 | $ | 220,905 | $ | 82,978 | $ | 864,701 | $ | 739,537 | $ | 125,164 | ||||||||||||
| Operating Expenses: | ||||||||||||||||||||||||
| Operation and Maintenance: | ||||||||||||||||||||||||
| General and Administrative Expense | 18,602 | 18,213 | 389 | 56,776 | 53,170 | 3,606 | ||||||||||||||||||
| Lease Operating and Transportation Expense | 73,856 | 66,581 | 7,275 | 210,671 | 203,317 | 7,354 | ||||||||||||||||||
| All Other Operation and Maintenance Expense | 3,816 | 4,526 | (710 | ) | 10,994 | 12,714 | (1,720 | ) | ||||||||||||||||
| Property, Franchise and Other Taxes | 5,121 | 3,050 | 2,071 | 12,778 | 9,764 | 3,014 | ||||||||||||||||||
| Depreciation, Depletion and Amortization | 68,848 | 68,778 | 70 | 196,773 | 214,191 | (17,418 | ) | |||||||||||||||||
| Impairment of Assets | — | 200,696 | (200,696 | ) | 141,802 | 200,696 | (58,894 | ) | ||||||||||||||||
| 170,243 | 361,844 | (191,601 | ) | 629,794 | 693,852 | (64,058 | ) | |||||||||||||||||
| Operating Income (Loss) | 133,640 | (140,939 | ) | 274,579 | 234,907 | 45,685 | 189,222 | |||||||||||||||||
| Other Income (Expense): | ||||||||||||||||||||||||
| Non-Service Pension and Post-Retirement Benefit Credit | 37 | 100 | (63 | ) | 111 | 301 | (190 | ) | ||||||||||||||||
| Interest and Other Income (Deductions) | 44 | (488 | ) | 532 | 416 | (830 | ) | 1,246 | ||||||||||||||||
| Interest Expense on Long-Term Debt | — | — | — | (1,949 | ) | — | (1,949 | ) | ||||||||||||||||
| Other Interest Expense | (13,925 | ) | (14,670 | ) | 745 | (44,215 | ) | (45,046 | ) | 831 | ||||||||||||||
| Income (Loss) Before Income Taxes | 119,796 | (155,997 | ) | 275,793 | 189,270 | 110 | 189,160 | |||||||||||||||||
| Income Tax Expense (Benefit) | 33,125 | (43,969 | ) | 77,094 | 51,548 | (2,411 | ) | 53,959 | ||||||||||||||||
| Net Income (Loss) | $ | 86,671 | $ | (112,028 | ) | $ | 198,699 | $ | 137,722 | $ | 2,521 | $ | 135,201 | |||||||||||
| Net Income (Loss) Per Share (Diluted) | $ | 0.95 | $ | (1.22 | ) | $ | 2.17 | $ | 1.51 | $ | 0.03 | $ | 1.48 | |||||||||||
| NATIONAL FUEL GAS COMPANY | ||||||||||||||||||||||||
| AND SUBSIDIARIES | ||||||||||||||||||||||||
| SEGMENT OPERATING RESULTS AND STATISTICS | ||||||||||||||||||||||||
| (UNAUDITED) | ||||||||||||||||||||||||
| MIDSTREAM BUSINESSES | ||||||||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
| (Thousands of Dollars, except per share amounts) | June 30, | June 30, | ||||||||||||||||||||||
| PIPELINE AND STORAGE SEGMENT | 2025 | 2024 | Variance | 2025 | 2024 | Variance | ||||||||||||||||||
| Revenues from External Customers | $ | 67,982 | $ | 68,035 | $ | (53 | ) | $ | 207,916 | $ | 204,071 | $ | 3,845 | |||||||||||
| Intersegment Revenues | 37,597 | 37,384 | 213 | 113,849 | 103,781 | 10,068 | ||||||||||||||||||
| Total Operating Revenues | 105,579 | 105,419 | 160 | 321,765 | 307,852 | 13,913 | ||||||||||||||||||
| Operating Expenses: | ||||||||||||||||||||||||
| Purchased Gas | (164 | ) | 614 | (778 | ) | (42 | ) | 1,540 | (1,582 | ) | ||||||||||||||
| Operation and Maintenance | 30,264 | 28,128 | 2,136 | 87,940 | 83,142 | 4,798 | ||||||||||||||||||
| Property, Franchise and Other Taxes | 8,460 | 8,456 | 4 | 25,727 | 25,776 | (49 | ) | |||||||||||||||||
| Depreciation, Depletion and Amortization | 18,601 | 18,453 | 148 | 55,733 | 56,157 | (424 | ) | |||||||||||||||||
| 57,161 | 55,651 | 1,510 | 169,358 | 166,615 | 2,743 | |||||||||||||||||||
| Operating Income | 48,418 | 49,768 | (1,350 | ) | 152,407 | 141,237 | 11,170 | |||||||||||||||||
| Other Income (Expense): | ||||||||||||||||||||||||
| Non-Service Pension and Post-Retirement Benefit Credit | 952 | 1,257 | (305 | ) | 2,857 | 3,772 | (915 | ) | ||||||||||||||||
| Interest and Other Income | 1,111 | 2,362 | (1,251 | ) | 4,945 | 6,340 | (1,395 | ) | ||||||||||||||||
| Interest Expense | (11,209 | ) | (11,855 | ) | 646 | (34,637 | ) | (35,698 | ) | 1,061 | ||||||||||||||
| Income Before Income Taxes | 39,272 | 41,532 | (2,260 | ) | 125,572 | 115,651 | 9,921 | |||||||||||||||||
| Income Tax Expense | 10,415 | 10,842 | (427 | ) | 32,553 | 30,169 | 2,384 | |||||||||||||||||
| Net Income | $ | 28,857 | $ | 30,690 | $ | (1,833 | ) | $ | 93,019 | $ | 85,482 | $ | 7,537 | |||||||||||
| Net Income Per Share (Diluted) | $ | 0.32 | $ | 0.33 | $ | (0.01 | ) | $ | 1.02 | $ | 0.92 | $ | 0.10 | |||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
| June 30, | June 30, | |||||||||||||||||||||||
| GATHERING SEGMENT | 2025 | 2024 | Variance | 2025 | 2024 | Variance | ||||||||||||||||||
| Revenues from External Customers | $ | 2,519 | $ | 3,644 | $ | (1,125 | ) | $ | 9,200 | $ | 12,157 | $ | (2,957 | ) | ||||||||||
| Intersegment Revenues | 65,354 | 56,476 | 8,878 | 184,834 | 174,544 | 10,290 | ||||||||||||||||||
| Total Operating Revenues | 67,873 | 60,120 | 7,753 | 194,034 | 186,701 | 7,333 | ||||||||||||||||||
| Operating Expenses: | ||||||||||||||||||||||||
| Operation and Maintenance | 11,929 | 12,382 | (453 | ) | 33,633 | 32,682 | 951 | |||||||||||||||||
| Property, Franchise and Other Taxes | 21 | 107 | (86 | ) | (206 | ) | 224 | (430 | ) | |||||||||||||||
| Depreciation, Depletion and Amortization | 10,848 | 9,732 | 1,116 | 32,197 | 28,800 | 3,397 | ||||||||||||||||||
| 22,798 | 22,221 | 577 | 65,624 | 61,706 | 3,918 | |||||||||||||||||||
| Operating Income | 45,075 | 37,899 | 7,176 | 128,410 | 124,995 | 3,415 | ||||||||||||||||||
| Other Income (Expense): | ||||||||||||||||||||||||
| Non-Service Pension and Post-Retirement Benefit Credit (Costs) | (1 | ) | 9 | (10 | ) | (1 | ) | 28 | (29 | ) | ||||||||||||||
| Interest and Other Income | — | 113 | (113 | ) | 152 | 257 | (105 | ) | ||||||||||||||||
| Interest Expense on Long-Term Debt | — | — | — | (1,334 | ) | — | (1,334 | ) | ||||||||||||||||
| Other Interest Expense | (3,870 | ) | (3,393 | ) | (477 | ) | (12,531 | ) | (10,824 | ) | (1,707 | ) | ||||||||||||
| Income Before Income Taxes | 41,204 | 34,628 | 6,576 | 114,696 | 114,456 | 240 | ||||||||||||||||||
| Income Tax Expense | 11,208 | 9,649 | 1,559 | 31,213 | 31,946 | (733 | ) | |||||||||||||||||
| Net Income | $ | 29,996 | $ | 24,979 | $ | 5,017 | $ | 83,483 | $ | 82,510 | $ | 973 | ||||||||||||
| Net Income Per Share (Diluted) | $ | 0.33 | $ | 0.27 | $ | 0.06 | $ | 0.91 | $ | 0.89 | $ | 0.02 | ||||||||||||
| NATIONAL FUEL GAS COMPANY | ||||||||||||||||||||||||
| AND SUBSIDIARIES | ||||||||||||||||||||||||
| SEGMENT OPERATING RESULTS AND STATISTICS | ||||||||||||||||||||||||
| (UNAUDITED) | ||||||||||||||||||||||||
| DOWNSTREAM BUSINESS | ||||||||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
| (Thousands of Dollars, except per share amounts) | June 30, | June 30, | ||||||||||||||||||||||
| UTILITY SEGMENT | 2025 | 2024 | Variance | 2025 | 2024 | Variance | ||||||||||||||||||
| Revenues from External Customers | $ | 157,446 | $ | 124,858 | $ | 32,588 | $ | 729,445 | $ | 616,977 | $ | 112,468 | ||||||||||||
| Intersegment Revenues | 77 | 86 | (9 | ) | 279 | 479 | (200 | ) | ||||||||||||||||
| Total Operating Revenues | 157,523 | 124,944 | 32,579 | 729,724 | 617,456 | 112,268 | ||||||||||||||||||
| Operating Expenses: | ||||||||||||||||||||||||
| Purchased Gas | 64,292 | 40,096 | 24,196 | 337,541 | 264,983 | 72,558 | ||||||||||||||||||
| Operation and Maintenance | 57,039 | 54,349 | 2,690 | 177,742 | 169,261 | 8,481 | ||||||||||||||||||
| Property, Franchise and Other Taxes | 10,449 | 9,452 | 997 | 32,761 | 30,471 | 2,290 | ||||||||||||||||||
| Depreciation, Depletion and Amortization | 17,945 | 16,373 | 1,572 | 51,908 | 48,678 | 3,230 | ||||||||||||||||||
| 149,725 | 120,270 | 29,455 | 599,952 | 513,393 | 86,559 | |||||||||||||||||||
| Operating Income | 7,798 | 4,674 | 3,124 | 129,772 | 104,063 | 25,709 | ||||||||||||||||||
| Other Income (Expense): | ||||||||||||||||||||||||
| Non-Service Pension and Post-Retirement Benefit Credit | 5,328 | 462 | 4,866 | 23,498 | 1,788 | 21,710 | ||||||||||||||||||
| Interest and Other Income | 628 | 1,485 | (857 | ) | 1,869 | 4,735 | (2,866 | ) | ||||||||||||||||
| Interest Expense | (10,958 | ) | (8,417 | ) | (2,541 | ) | (32,601 | ) | (25,402 | ) | (7,199 | ) | ||||||||||||
| Income (Loss) Before Income Taxes | 2,796 | (1,796 | ) | 4,592 | 122,538 | 85,184 | 37,354 | |||||||||||||||||
| Income Tax Expense (Benefit) | (2,201 | ) | (4,355 | ) | 2,154 | 21,498 | 11,336 | 10,162 | ||||||||||||||||
| Net Income | $ | 4,997 | $ | 2,559 | $ | 2,438 | $ | 101,040 | $ | 73,848 | $ | 27,192 | ||||||||||||
| Net Income Per Share (Diluted) | $ | 0.05 | $ | 0.03 | $ | 0.02 | $ | 1.11 | $ | 0.80 | $ | 0.31 | ||||||||||||
| NATIONAL FUEL GAS COMPANY | ||||||||||||||||||||||||
| AND SUBSIDIARIES | ||||||||||||||||||||||||
| SEGMENT OPERATING RESULTS AND STATISTICS | ||||||||||||||||||||||||
| (UNAUDITED) | ||||||||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
| (Thousands of Dollars, except per share amounts) | June 30, | June 30, | ||||||||||||||||||||||
| ALL OTHER | 2025 | 2024 | Variance | 2025 | 2024 | Variance | ||||||||||||||||||
| Total Operating Revenues | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
| Operating Expenses: | ||||||||||||||||||||||||
| Operation and Maintenance | — | — | — | — | — | — | ||||||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||||
| Operating Income | — | — | — | — | — | — | ||||||||||||||||||
| Other Income (Expense): | ||||||||||||||||||||||||
| Interest and Other Income (Deductions) | (131 | ) | (65 | ) | (66 | ) | (489 | ) | (184 | ) | (305 | ) | ||||||||||||
| Interest Expense | (141 | ) | (97 | ) | (44 | ) | (389 | ) | (262 | ) | (127 | ) | ||||||||||||
| Loss before Income Taxes | (272 | ) | (162 | ) | (110 | ) | (878 | ) | (446 | ) | (432 | ) | ||||||||||||
| Income Tax Benefit | (63 | ) | (38 | ) | (25 | ) | (204 | ) | (105 | ) | (99 | ) | ||||||||||||
| Net Loss | $ | (209 | ) | $ | (124 | ) | $ | (85 | ) | $ | (674 | ) | $ | (341 | ) | $ | (333 | ) | ||||||
| Net Loss Per Share (Diluted) | $ | — | $ | — | $ | — | $ | (0.01 | ) | $ | — | $ | (0.01 | ) | ||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
| June 30, | June 30, | |||||||||||||||||||||||
| CORPORATE | 2025 | 2024 | Variance | 2025 | 2024 | Variance | ||||||||||||||||||
| Revenues from External Customers | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
| Intersegment Revenues | 1,341 | 1,285 | 56 | 4,024 | 3,856 | 168 | ||||||||||||||||||
| Total Operating Revenues | 1,341 | 1,285 | 56 | 4,024 | 3,856 | 168 | ||||||||||||||||||
| Operating Expenses: | ||||||||||||||||||||||||
| Operation and Maintenance | 5,725 | 3,873 | 1,852 | 14,992 | 12,789 | 2,203 | ||||||||||||||||||
| Property, Franchise and Other Taxes | 129 | 136 | (7 | ) | 390 | 400 | (10 | ) | ||||||||||||||||
| Depreciation, Depletion and Amortization | 166 | 118 | 48 | 444 | 353 | 91 | ||||||||||||||||||
| 6,020 | 4,127 | 1,893 | 15,826 | 13,542 | 2,284 | |||||||||||||||||||
| Operating Loss | (4,679 | ) | (2,842 | ) | (1,837 | ) | (11,802 | ) | (9,686 | ) | (2,116 | ) | ||||||||||||
| Other Income (Expense): | ||||||||||||||||||||||||
| Non-Service Pension and Post-Retirement Benefit Costs | (212 | ) | (386 | ) | 174 | (635 | ) | (1,161 | ) | 526 | ||||||||||||||
| Interest and Other Income | 41,073 | 39,025 | 2,048 | 123,918 | 120,288 | 3,630 | ||||||||||||||||||
| Interest Expense on Long-Term Debt | (34,333 | ) | (32,876 | ) | (1,457 | ) | (104,073 | ) | (89,791 | ) | (14,282 | ) | ||||||||||||
| Other Interest Expense | (3,748 | ) | (3,595 | ) | (153 | ) | (13,815 | ) | (19,363 | ) | 5,548 | |||||||||||||
| Income (Loss) before Income Taxes | (1,899 | ) | (674 | ) | (1,225 | ) | (6,407 | ) | 287 | (6,694 | ) | |||||||||||||
| Income Tax Benefit | (1,405 | ) | (440 | ) | (965 | ) | (2,979 | ) | (827 | ) | (2,152 | ) | ||||||||||||
| Net Income (Loss) | $ | (494 | ) | $ | (234 | ) | $ | (260 | ) | $ | (3,428 | ) | $ | 1,114 | $ | (4,542 | ) | |||||||
| Net Income (Loss) Per Share (Diluted) | $ | (0.01 | ) | $ | — | $ | (0.01 | ) | $ | (0.03 | ) | $ | 0.01 | $ | (0.04 | ) | ||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
| June 30, | June 30, | |||||||||||||||||||||||
| INTERSEGMENT ELIMINATIONS | 2025 | 2024 | Variance | 2025 | 2024 | Variance | ||||||||||||||||||
| Intersegment Revenues | $ | (104,369 | ) | $ | (95,231 | ) | $ | (9,138 | ) | $ | (302,986 | ) | $ | (282,660 | ) | $ | (20,326 | ) | ||||||
| Operating Expenses: | ||||||||||||||||||||||||
| Purchased Gas | (36,142 | ) | (35,758 | ) | (384 | ) | (108,838 | ) | (99,079 | ) | (9,759 | ) | ||||||||||||
| Operation and Maintenance | (68,227 | ) | (59,473 | ) | (8,754 | ) | (194,148 | ) | (183,581 | ) | (10,567 | ) | ||||||||||||
| (104,369 | ) | (95,231 | ) | (9,138 | ) | (302,986 | ) | (282,660 | ) | (20,326 | ) | |||||||||||||
| Operating Income | — | — | — | — | — | — | ||||||||||||||||||
| Other Income (Expense): | ||||||||||||||||||||||||
| Interest and Other Deductions | (40,295 | ) | (40,686 | ) | 391 | (125,155 | ) | (122,345 | ) | (2,810 | ) | |||||||||||||
| Interest Expense | 40,295 | 40,686 | (391 | ) | 125,155 | 122,345 | 2,810 | |||||||||||||||||
| Net Income | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
| Net Income Per Share (Diluted) | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
| NATIONAL FUEL GAS COMPANY | ||||||||||||||||||||||||
| AND SUBSIDIARIES | ||||||||||||||||||||||||
| SEGMENT INFORMATION (Continued) | ||||||||||||||||||||||||
| (Thousands of Dollars) | ||||||||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
| June 30, | June 30, | |||||||||||||||||||||||
| (Unaudited) | (Unaudited) | |||||||||||||||||||||||
| Increase | Increase | |||||||||||||||||||||||
| 2025 | 2024 | (Decrease) | 2025 | 2024 | (Decrease) | |||||||||||||||||||
| Capital Expenditures: | ||||||||||||||||||||||||
| Exploration and Production | $ | 123,369 | (1) | $ | 114,679 | (3) | $ | 8,690 | $ | 354,355 | (1)(2) | $ | 399,820 | (3)(4) | $ | (45,465 | ) | |||||||
| Pipeline and Storage | 22,700 | (1) | 26,212 | (3) | (3,512 | ) | 58,117 | (1)(2) | 68,791 | (3)(4) | (10,674 | ) | ||||||||||||
| Gathering | 26,638 | (1) | 29,570 | (3) | (2,932 | ) | 58,164 | (1)(2) | 69,088 | (3)(4) | (10,924 | ) | ||||||||||||
| Utility | 50,025 | (1) | 49,257 | (3) | 768 | 128,322 | (1)(2) | 117,508 | (3)(4) | 10,814 | ||||||||||||||
| Total Reportable Segments | 222,732 | 219,718 | 3,014 | 598,958 | 655,207 | (56,249 | ) | |||||||||||||||||
| All Other | — | — | — | — | — | — | ||||||||||||||||||
| Corporate | 138 | 71 | 67 | 518 | 253 | 265 | ||||||||||||||||||
| Eliminations | — | — | — | (3,520 | ) | — | (3,520 | ) | ||||||||||||||||
| Total Capital Expenditures | $ | 222,870 | $ | 219,789 | $ | 3,081 | $ | 595,956 | $ | 655,460 | $ | (59,504 | ) | |||||||||||
| (1) Capital expenditures for the quarter and nine months ended June 30, 2025, include accounts payable and accrued liabilities related to capital expenditures of $61.5 million, $5.7 million, $11.6 million, and $9.8 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts have been excluded from the Consolidated Statement of Cash Flows at June 30, 2025, since they represent non-cash investing activities at that date. | ||||||||||||||||||||||||
| (2) Capital expenditures for the nine months ended June 30, 2025, exclude capital expenditures of $63.3 million, $14.4 million, $21.7 million and $20.6 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts were in accounts payable and accrued liabilities at September 30, 2024 and paid during the nine months ended June 30, 2025. These amounts were excluded from the Consolidated Statement of Cash Flows at September 30, 2024, since they represented non-cash investing activities at that date. These amounts have been included in the Consolidated Statement of Cash Flows at June 30, 2025. | ||||||||||||||||||||||||
| (3) Capital expenditures for the quarter and nine months ended June 30, 2024, include accounts payable and accrued liabilities related to capital expenditures of $50.9 million, $7.0 million, $14.6 million, and $8.0 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts were excluded from the Consolidated Statement of Cash Flows at June 30, 2024, since they represented non-cash investing activities at that date. | ||||||||||||||||||||||||
| (4) Capital expenditures for the nine months ended June 30, 2024, exclude capital expenditures of $43.2 million, $31.8 million, $20.6 million and $13.6 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts were in accounts payable and accrued liabilities at September 30, 2023 and paid during the nine months ended June 30, 2024. These amounts were excluded from the Consolidated Statement of Cash Flows at September 30, 2023, since they represented non-cash investing activities at that date. These amounts have been included in the Consolidated Statement of Cash Flows at June 30, 2024. | ||||||||||||||||||||||||
| DEGREE DAYS | |||||||||||||||
| Percent Colder | |||||||||||||||
| (Warmer) Than: | |||||||||||||||
| Three Months Ended June 30, | Normal | 2025 | 2024 | Normal (1) | Last Year (1) | ||||||||||
| Buffalo, NY (2) | 843 | 825 | 565 | (2.1 | ) | 46.0 | |||||||||
| Erie, PA | 776 | 813 | 519 | 4.8 | 56.6 | ||||||||||
| Nine Months Ended June 30, | |||||||||||||||
| Buffalo, NY (2) | 6,195 | 5,825 | 5,128 | (6.0 | ) | 13.6 | |||||||||
| Erie, PA | 5,693 | 5,527 | 4,759 | (2.9 | ) | 16.1 | |||||||||
| (1) Percents compare actual 2025 degree days to normal degree days and actual 2025 degree days to actual 2024 degree days. | |||||||||||||||
| (2) Normal degree days changed from NOAA 30-year degree days to NOAA 15-year degree days with the implementation of new base rates in New York effective October 2024. | |||||||||||||||
| NATIONAL FUEL GAS COMPANY | ||||||||||||||||||||||||
| AND SUBSIDIARIES | ||||||||||||||||||||||||
| EXPLORATION AND PRODUCTION INFORMATION | ||||||||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||||||||
| June 30, | June 30, | |||||||||||||||||||||||
| Increase | Increase | |||||||||||||||||||||||
| 2025 | 2024 | (Decrease) | 2025 | 2024 | (Decrease) | |||||||||||||||||||
| Gas Production/Prices: | ||||||||||||||||||||||||
| Production (MMcf) | ||||||||||||||||||||||||
| Appalachia | 111,588 | 96,504 | 15,084 | 314,819 | 300,144 | 14,675 | ||||||||||||||||||
| Average Prices (Per Mcf) | ||||||||||||||||||||||||
| Weighted Average | $ | 2.69 | $ | 1.50 | $ | 1.19 | $ | 2.66 | $ | 1.93 | $ | 0.73 | ||||||||||||
| Weighted Average after Hedging | $ | 2.71 | $ | 2.28 | $ | 0.43 | $ | 2.73 | $ | 2.45 | $ | 0.28 | ||||||||||||
| Selected Operating Performance Statistics: | ||||||||||||||||||||||||
| General and Administrative Expense per Mcf (1) | $ | 0.17 | $ | 0.19 | $ | (0.02 | ) | $ | 0.18 | $ | 0.18 | $ | — | |||||||||||
| Lease Operating and Transportation Expense per Mcf (1)(2) | $ | 0.66 | $ | 0.69 | $ | (0.03 | ) | $ | 0.67 | $ | 0.68 | $ | (0.01 | ) | ||||||||||
| Depreciation, Depletion and Amortization per Mcf (1) | $ | 0.62 | $ | 0.71 | $ | (0.09 | ) | $ | 0.63 | $ | 0.71 | $ | (0.08 | ) | ||||||||||
| (1) Refer to page 15 for the General and Administrative Expense, Lease Operating and Transportation Expense and Depreciation, Depletion, and Amortization Expense for the Exploration and Production segment. | ||||||||||||||||||||||||
| (2) Amounts include transportation expense of $0.56 and $0.59 per Mcf for the three months ended June 30, 2025 and June 30, 2024, respectively. Amounts include transportation expense of $0.57 per Mcf for the nine months ended June 30, 2025 and June 30, 2024. | ||||||||||||||||||||||||
| NATIONAL FUEL GAS COMPANY | ||||||||||||||||||
| AND SUBSIDIARIES | ||||||||||||||||||
| Pipeline and Storage Throughput – (millions of cubic feet – MMcf) | ||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||
| June 30, | June 30, | |||||||||||||||||
| Increase | Increase | |||||||||||||||||
| 2025 | 2024 | (Decrease) | 2025 | 2024 | (Decrease) | |||||||||||||
| Firm Transportation – Affiliated | 20,123 | 18,377 | 1,746 | 101,233 | 92,433 | 8,800 | ||||||||||||
| Firm Transportation – Non-Affiliated | 158,910 | 150,133 | 8,777 | 515,411 | 498,435 | 16,976 | ||||||||||||
| Interruptible Transportation | 149 | 118 | 31 | 665 | 1,508 | (843 | ) | |||||||||||
| 179,182 | 168,628 | 10,554 | 617,309 | 592,376 | 24,933 | |||||||||||||
| Gathering Volume – (MMcf) | ||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||
| June 30, | June 30, | |||||||||||||||||
| Increase | Increase | |||||||||||||||||
| 2025 | 2024 | (Decrease) | 2025 | 2024 | (Decrease) | |||||||||||||
| Gathered Volume | 133,271 | 118,445 | 14,826 | 384,003 | 367,832 | 16,171 | ||||||||||||
| Utility Throughput – (MMcf) | ||||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||||
| June 30, | June 30, | |||||||||||||||||
| Increase | Increase | |||||||||||||||||
| 2025 | 2024 | (Decrease) | 2025 | 2024 | (Decrease) | |||||||||||||
| Retail Sales: | ||||||||||||||||||
| Residential Sales | 10,151 | 8,123 | 2,028 | 60,738 | 53,168 | 7,570 | ||||||||||||
| Commercial Sales | 1,658 | 1,308 | 350 | 9,997 | 8,401 | 1,596 | ||||||||||||
| Industrial Sales | 93 | 62 | 31 | 594 | 389 | 205 | ||||||||||||
| 11,902 | 9,493 | 2,409 | 71,329 | 61,958 | 9,371 | |||||||||||||
| Transportation | 13,853 | 12,819 | 1,034 | 55,881 | 52,984 | 2,897 | ||||||||||||
| 25,755 | 22,312 | 3,443 | 127,210 | 114,942 | 12,268 | |||||||||||||
NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
NON-GAAP FINANCIAL MEASURES
In addition to financial measures calculated in accordance with generally accepted accounting principles (GAAP), this press release contains information regarding adjusted operating results, adjusted EBITDA and free cash flow, which are non-GAAP financial measures. The Company believes that these non-GAAP financial measures are useful to investors because they provide an alternative method for assessing the Company’s ongoing operating results or liquidity and for comparing the Company’s financial performance to other companies. The Company’s management uses these non-GAAP financial measures for the same purpose, and for planning and forecasting purposes. The presentation of non-GAAP financial measures is not meant to be a substitute for financial measures in accordance with GAAP.
Management defines adjusted operating results as reported GAAP earnings before items impacting comparability. The following table reconciles National Fuel’s reported GAAP earnings to adjusted operating results for the three and nine months ended June 30, 2025 and 2024:
| Three Months Ended | Nine Months Ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| (in thousands except per share amounts) | 2025 | 2024 | 2025 | 2024 | ||||||||||||
| Reported GAAP Earnings | $ | 149,818 | $ | (54,158 | ) | $ | 411,162 | $ | 245,134 | |||||||
| Items impacting comparability: | ||||||||||||||||
| Impairment of assets (E&P) | — | 200,696 | 141,802 | 200,696 | ||||||||||||
| Tax impact of impairment of assets | — | (55,686 | ) | (37,169 | ) | (55,686 | ) | |||||||||
| Premiums paid on early redemption of debt (E&P / Midstream) | — | — | 2,385 | — | ||||||||||||
| Tax impact of premiums paid on early redemption of debt | — | — | (642 | ) | — | |||||||||||
| Unrealized (gain) loss on derivative asset (E&P) | 45 | 1,186 | 729 | 4,848 | ||||||||||||
| Tax impact of unrealized (gain) loss on derivative asset | (12 | ) | (325 | ) | (196 | ) | (1,330 | ) | ||||||||
| Unrealized (gain) loss on other investments (Corporate / All Other) | (820 | ) | 15 | 1,780 | (1,803 | ) | ||||||||||
| Tax impact of unrealized (gain) loss on other investments | 172 | (3 | ) | (374 | ) | 379 | ||||||||||
| Adjusted Operating Results | $ | 149,203 | $ | 91,725 | $ | 519,477 | $ | 392,238 | ||||||||
| Reported GAAP Earnings Per Share | $ | 1.64 | $ | (0.59 | ) | $ | 4.51 | $ | 2.65 | |||||||
| Items impacting comparability: | ||||||||||||||||
| Impairment of assets, net of tax (E&P) | — | 1.58 | 1.14 | 1.57 | ||||||||||||
| Premiums paid on early redemption of debt, net of tax (E&P / Midstream) | — | — | 0.02 | — | ||||||||||||
| Unrealized (gain) loss on derivative asset, net of tax (E&P) | — | 0.01 | 0.01 | 0.04 | ||||||||||||
| Unrealized (gain) loss on other investments, net of tax (Corporate / All Other) | (0.01 | ) | — | 0.02 | (0.02 | ) | ||||||||||
| Rounding | 0.01 | (0.01 | ) | (0.01 | ) | — | ||||||||||
| Adjusted Operating Results Per Share | $ | 1.64 | $ | 0.99 | $ | 5.69 | $ | 4.24 | ||||||||
Management defines adjusted EBITDA as reported GAAP earnings before the following items: interest expense, income taxes, depreciation, depletion and amortization, other income and deductions, impairments, and other items reflected in operating income that impact comparability. The following tables reconcile National Fuel’s reported GAAP earnings to adjusted EBITDA for the three and nine months ended June 30, 2025 and 2024:
| Three Months Ended | Nine Months Ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| (in thousands) | 2025 | 2024 | 2025 | 2024 | ||||||||||||
| Reported GAAP Earnings | $ | 149,818 | $ | (54,158 | ) | $ | 411,162 | $ | 245,134 | |||||||
| Depreciation, Depletion and Amortization | 116,408 | 113,454 | 337,055 | 348,179 | ||||||||||||
| Other (Income) Deductions | (8,534 | ) | (3,188 | ) | (31,486 | ) | (12,989 | ) | ||||||||
| Interest Expense | 37,889 | 34,217 | 120,389 | 104,041 | ||||||||||||
| Income Taxes | 51,079 | (28,311 | ) | 133,629 | 70,108 | |||||||||||
| Impairment of Assets | — | 200,696 | 141,802 | 200,696 | ||||||||||||
| Adjusted EBITDA | $ | 346,660 | $ | 262,710 | $ | 1,112,551 | $ | 955,169 | ||||||||
| Adjusted EBITDA by Segment | ||||||||||||||||
| Pipeline and Storage Adjusted EBITDA | $ | 67,019 | $ | 68,221 | $ | 208,140 | $ | 197,394 | ||||||||
| Gathering Adjusted EBITDA | 55,923 | 47,631 | 160,607 | 153,795 | ||||||||||||
| Total Midstream Businesses Adjusted EBITDA | 122,942 | 115,852 | 368,747 | 351,189 | ||||||||||||
| Exploration and Production Adjusted EBITDA | 202,488 | 128,535 | 573,482 | 460,572 | ||||||||||||
| Utility Adjusted EBITDA | 25,743 | 21,047 | 181,680 | 152,741 | ||||||||||||
| Corporate and All Other Adjusted EBITDA | (4,513 | ) | (2,724 | ) | (11,358 | ) | (9,333 | ) | ||||||||
| Total Adjusted EBITDA | $ | 346,660 | $ | 262,710 | $ | 1,112,551 | $ | 955,169 | ||||||||
| NATIONAL FUEL GAS COMPANY AND SUBSIDIARIES NON-GAAP FINANCIAL MEASURES SEGMENT ADJUSTED EBITDA |
||||||||||||||||
| Three Months Ended | Nine Months Ended | |||||||||||||||
| June 30, | June 30, | |||||||||||||||
| (in thousands) | 2025 | 2024 | 2025 | 2024 | ||||||||||||
| Exploration and Production Segment | ||||||||||||||||
| Reported GAAP Earnings | $ | 86,671 | $ | (112,028 | ) | $ | 137,722 | $ | 2,521 | |||||||
| Depreciation, Depletion and Amortization | 68,848 | 68,778 | 196,773 | 214,191 | ||||||||||||
| Other (Income) Deductions | (81 | ) | 388 | (527 | ) | 529 | ||||||||||
| Interest Expense | 13,925 | 14,670 | 46,164 | 45,046 | ||||||||||||
| Income Taxes | 33,125 | (43,969 | ) | 51,548 | (2,411 | ) | ||||||||||
| Impairment of Assets | — | 200,696 | 141,802 | 200,696 | ||||||||||||
| Adjusted EBITDA | $ | 202,488 | $ | 128,535 | $ | 573,482 | $ | 460,572 | ||||||||
| Pipeline and Storage Segment | ||||||||||||||||
| Reported GAAP Earnings | $ | 28,857 | $ | 30,690 | $ | 93,019 | $ | 85,482 | ||||||||
| Depreciation, Depletion and Amortization | 18,601 | 18,453 | 55,733 | 56,157 | ||||||||||||
| Other (Income) Deductions | (2,063 | ) | (3,619 | ) | (7,802 | ) | (10,112 | ) | ||||||||
| Interest Expense | 11,209 | 11,855 | 34,637 | 35,698 | ||||||||||||
| Income Taxes | 10,415 | 10,842 | 32,553 | 30,169 | ||||||||||||
| Adjusted EBITDA | $ | 67,019 | $ | 68,221 | $ | 208,140 | $ | 197,394 | ||||||||
| Gathering Segment | ||||||||||||||||
| Reported GAAP Earnings | $ | 29,996 | $ | 24,979 | $ | 83,483 | $ | 82,510 | ||||||||
| Depreciation, Depletion and Amortization | 10,848 | 9,732 | 32,197 | 28,800 | ||||||||||||
| Other (Income) Deductions | 1 | (122 | ) | (151 | ) | (285 | ) | |||||||||
| Interest Expense | 3,870 | 3,393 | 13,865 | 10,824 | ||||||||||||
| Income Taxes | 11,208 | 9,649 | 31,213 | 31,946 | ||||||||||||
| Adjusted EBITDA | $ | 55,923 | $ | 47,631 | $ | 160,607 | $ | 153,795 | ||||||||
| Utility Segment | ||||||||||||||||
| Reported GAAP Earnings | $ | 4,997 | $ | 2,559 | $ | 101,040 | $ | 73,848 | ||||||||
| Depreciation, Depletion and Amortization | 17,945 | 16,373 | 51,908 | 48,678 | ||||||||||||
| Other (Income) Deductions | (5,956 | ) | (1,947 | ) | (25,367 | ) | (6,523 | ) | ||||||||
| Interest Expense | 10,958 | 8,417 | 32,601 | 25,402 | ||||||||||||
| Income Taxes | (2,201 | ) | (4,355 | ) | 21,498 | 11,336 | ||||||||||
| Adjusted EBITDA | $ | 25,743 | $ | 21,047 | $ | 181,680 | $ | 152,741 | ||||||||
| Corporate and All Other | ||||||||||||||||
| Reported GAAP Earnings | $ | (703 | ) | $ | (358 | ) | $ | (4,102 | ) | $ | 773 | |||||
| Depreciation, Depletion and Amortization | 166 | 118 | 444 | 353 | ||||||||||||
| Other (Income) Deductions | (435 | ) | 2,112 | 2,361 | 3,402 | |||||||||||
| Interest Expense | (2,073 | ) | (4,118 | ) | (6,878 | ) | (12,929 | ) | ||||||||
| Income Taxes | (1,468 | ) | (478 | ) | (3,183 | ) | (932 | ) | ||||||||
| Adjusted EBITDA | $ | (4,513 | ) | $ | (2,724 | ) | $ | (11,358 | ) | $ | (9,333 | ) | ||||
Management defines free cash flow as net cash provided by operating activities, less net cash used in investing activities, adjusted for acquisitions and divestitures. The Company is unable to provide a reconciliation of any projected free cash flow measure to its comparable GAAP financial measure without unreasonable efforts. This is due to an inability to calculate the comparable GAAP projected metrics, including operating income and total production costs, given the unknown effect, timing, and potential significance of certain income statement items.
