NiSource (NI) Q3 2024 earnings summary

Executive summary

• Q3 2024 adjusted EPS was $0.20, up $0.01 year-over-year, with GAAP net income of $85.7M and adjusted net income of $89.9M, both rising year-over-year.

• Reaffirmed 2024 adjusted EPS guidance of $1.70–$1.74, expecting results at the upper half, and initiated 2025 guidance at $1.84–$1.88, maintaining a 6–8% annual EPS growth target through 2029.

• Five-year capital plan updated to $19.3 billion, supporting 8–10% rate base growth and robust investments in renewables and infrastructure from 2025–2029.

• Major regulatory settlements and approvals achieved in Pennsylvania, Kentucky, and Indiana, supporting ongoing investments and system reliability.

• Data center opportunities and AI-driven operational improvements are being developed for future growth.

Financial highlights

• Q3 2024 adjusted EPS increased to $0.20 from $0.19; GAAP net income rose to $85.7M from $77.0M; adjusted net income increased to $89.9M from $83.7M.

• Q3 2024 diluted EPS was $0.19 (GAAP) and $0.20 (adjusted), up from $0.17 and $0.19, respectively, year-over-year.

• Revenue for Q3 2024 increased to $1,076.3M from $1,027.4M, driven by new rates and customer growth.

• Year-to-date adjusted net income reached $567.4M, up from $477.0M; adjusted EPS YTD was $1.26, up from $1.07.

• Customer count and usage growth contributed $2.6M in the quarter and over $28M year-to-date.

Outlook and guidance

• 2024 adjusted EPS guidance reaffirmed at $1.70–$1.74, with expectations to achieve the upper half; 2025 guidance set at $1.84–$1.88.

• Five-year capital plan of $19.3B, up $2.9B from prior plan, with upside CapEx plan at $1.8B.

• 6–8% annual adjusted EPS growth and 8–10% annual rate base growth targeted for 2025–2029.

• Dividend payout ratio targeted at 60–70%; total shareholder return expected at 9–11% annually.

• Targeting FFO to debt of 14–16% throughout the plan horizon.