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Dec 31, 2024
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.
Southwest Gas
Southwest Gas
Southwest Gas Revenue by Segment
Revenue by Segment
Natural Gas Distribution Revenue
CapyFin.com 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.