Northwest Natural Company (NWN) investor relations material

Executive summary

• Achieved record adjusted EPS of $2.93 for 2025, up from $2.33 in 2024, with strong performance across all utility segments and reported EPS of $2.77.

• Added 98,000 gas and water utility connections, reflecting 11.1% combined growth, mainly from the SiEnergy acquisition.

• Expanded into water utilities and Texas gas utilities, now operating three businesses in six states.

• Strategic focus on regulatory outcomes, customer growth, and infrastructure investments, including the MX3 Gas Storage Expansion project.

• Increased dividend for the 70th consecutive year, with a current annual rate of $1.97 per share.

Financial highlights

• Adjusted EPS rose to $2.93 in 2025 from $2.33 in 2024, with GAAP net income per share at $2.77.

• Generated $270 million in operating cash flow, 35% above 2024, and operating revenues increased to $1.29 billion.

• Invested $467 million in capital expenditures and $340 million in acquisitions.

• Liquidity of $590 million at year-end 2025.

• Initiated 2026 EPS guidance of $2.95–$3.15.

Outlook and guidance

• Reaffirmed long-term EPS growth target of 4%–6% through 2030, increasing to 5%–7% with MX3 project approval.

• 2026 guidance includes $500–$550 million in capital expenditures and a five-year CapEx plan of $2.6–$2.9 billion through 2030.

• SiEnergy and Water expected to contribute up to 25% of consolidated earnings in 2026.

• Dividend payout ratio targeted at 55%–65%, with continued annual dividend growth.

• Rate base growth expected at 6%–8% through 2030.