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Jun 30, 2024

Southwest Gas Q2 2024 Earnings Report

Reported second quarter utility earnings growth of 44.5% and successfully executed Centuri IPO.

Key Takeaways

Southwest Gas Holdings, Inc. reported second quarter 2024 consolidated net income of $18.3 million, or $0.25 per diluted share, and adjusted consolidated net income of $22.5 million, or $0.31 per diluted share. The utility reported second quarter 2024 net income of $27.6 million.

Delivered second quarter utility earnings growth of 44.5%.

Margin improvement from Nevada Rate Case outcome.

Centuri IPO successfully executed; net proceeds used to reduce Centuri debt.

Raised utility net income guidance by $5 million to be in the range of $233 to $243 million.

Total Revenue
$1.18B
Previous year: $1.29B
-8.6%
EPS
$0.31
Previous year: $0.47
-34.0%
Gross Profit
$104M
Previous year: $218M
-52.1%
Cash and Equivalents
$565M
Previous year: $221M
+155.2%
Free Cash Flow
$83.3M
Previous year: $106M
-21.8%
Total Assets
$12B
Previous year: $12B
+0.3%

Southwest Gas

Southwest Gas

Southwest Gas Revenue by Segment

Forward Guidance

The Company has updated its net income guidance and re-affirmed its forward-looking guidance for Southwest.

Positive Outlook

  • 2024 Southwest net income guidance of $233 - $243 million.
  • 2024 Capital expenditures in support of customer growth, system improvements, and pipe replacement programs of ~$830 million.
  • 2024 - 2026 Southwest adjusted net income CAGR of 9.25% - 11.25%.
  • 2024 - 2026 Capital expenditures of $2,400 million.
  • 2024 - 2026 Southwest rate base CAGR of 6.5% - 7.5%.

Revenue & Expenses

Visualization of income flow from segment revenue to net income