Northwest Natural Company (NWN) investor relations material

Executive summary

• Adjusted EPS for the first six months of 2025 rose to $2.28, up from $1.60 year-over-year, driven by new Oregon rates, acquisitions, and strong utility growth.

• Over 92,000 utility connections were added in the past 12 months, with a 10.6% combined growth rate as of June 30, 2025.

• Acquired and integrated Pines Holdings (Hughes Gas Resources), expanding Texas gas utility operations.

• Reaffirmed 2025 adjusted EPS guidance of $2.75–$2.95 and long-term EPS growth target of 4–6% from 2025 baseline.

• Filed and reached settlements in Oregon general rate case, supporting future revenue and rate base growth.

Financial highlights

• Adjusted net income for Q2 2025 was $315,000 ($0.01 per share), compared to a loss of $2.8 million ($0.07 per share) in Q2 2024.

• Year-to-date adjusted net income was $92.1 million ($2.28 per share), up from $61 million ($1.60 per share) year-over-year.

• Q2 2025 operating revenues increased to $236.2 million from $211.7 million year-over-year.

• Margin increased $16.9 million in the gas segment due to new Oregon rates; O&M and depreciation expenses also rose.

• Diluted shares outstanding increased to 40.5 million in Q2 2025 from 38.3 million in Q2 2024.

Outlook and guidance

• Reaffirmed 2025 adjusted EPS guidance of $2.75–$2.95 per share, excluding $8.6 million pre-tax transaction and business development costs.

• Long-term EPS growth rate expected at 4%–6% compounded annually from 2025 adjusted EPS.

• Projecting 2%–2.5% consolidated organic customer growth for 2025.

• 2025 capital expenditures expected at $450–$500 million.

• Quarterly dividend of $0.49 per share declared, annualized at $1.96.