Southwest Gas Q4 2024 Earnings Report

Southwest Gas reported growth in net income and adjusted EPS compared to the previous year.

Key Takeaways

Southwest Gas delivered strong performance in Q4 2024, with a 34% increase in net income driven by higher operating margin and improved cost management.

Net income increased to $92.5 million, up from $72.9 million in Q4 2023.

Adjusted EPS increased to $1.39, up from $1.20 in Q4 2023.

Natural gas distribution net income rose to $97.2 million.

Higher operating margin and lower O&M expenses contributed to earnings growth.

Total Revenue

$1.27B

Previous year: $702M

+80.9%

EPS

$1.39

Previous year: $1.13

+23.0%

New Meter Sets

41K

Customer Growth

Capital Expenditures

$859M

Gross Profit

$387M

Previous year: $160M

+142.2%

Cash and Equivalents

$311M

Previous year: $107M

+191.9%

Southwest Gas Revenue

Southwest Gas EPS

Southwest Gas Revenue by Segment

Southwest Gas Revenue by Geographic Location

Forward Guidance

Southwest Gas anticipates continued growth driven by pending rate cases, cost management, and investments in infrastructure.

Positive Outlook

Anticipated rate increases in key territories.
Continued investment in infrastructure projects.
Improved cost optimization across the utility business.
Strong customer growth expected in 2025.
Focus on pure-play natural gas utility strategy.

Challenges Ahead

Higher interest expenses projected in 2025.
Potential regulatory challenges affecting margins.
Variable debt cost exposure due to rate increases.
Lower other income from investment returns.
Risk of supply chain disruptions impacting capital projects.

Revenue & Expenses

Visualization of income flow from segment revenue to net income