NorthWestern Energy Group (NWE) Q1 2026 earnings summary

Executive summary

• Reported GAAP diluted EPS of $1.03 and non-GAAP diluted EPS of $1.31 for Q1 2026, with adjusted EPS up 7.4% year-over-year, but GAAP EPS down 17.6% due to higher operating and merger-related costs.

• Net income for Q1 2026 was $63.5 million, down from $76.9 million in Q1 2025, primarily due to higher operating, administrative, and merger-related costs, as well as increased depreciation and interest expenses, partially offset by new rates and transmission revenues.

• Affirmed 2026 earnings guidance of $3.68–$3.83 and long-term EPS and rate base growth target of 4%-6%.

• Achieved shareholder approval for the pending merger with Black Hills, with 99.7% of votes in favor; constructive settlements reached with key interveners in Montana, Nebraska, and South Dakota.

• Declared a $0.67 per share dividend, payable June 30, 2026.

Financial highlights

• Q1 2026 revenues were $497.6 million, up from $466.6 million in Q1 2025, with utility margin up 7.2% to $352.0 million, driven by new rates and acquisitions.

• Adjusted EPS of $1.31 for Q1 2026, up from $1.22 in Q1 2025.

• Operating income was $114.1 million, down from $124.7 million year-over-year; gross margin decreased 3.5% to $160.3 million.

• Operating costs increased due to incremental Colstrip ownership, labor, and merger-related expenses; interest expense rose to $39.9 million.

• Warmest winter in Montana in over 100 years led to a $0.17 unfavorable weather impact and reduced volumetric loads.

Outlook and guidance

• 2026 non-GAAP EPS guidance affirmed at $3.68–$3.83 per share; long-term EPS and rate base growth targeted at 4%-6% annually.

• Capital plan of $3.2 billion for 2026–2030 remains unchanged, including $300 million for South Dakota generation development.

• No new common equity issuance needed in 2026; equity needs expected in 2027 and beyond for incremental generation.

• Management expects sufficient liquidity and cash flows to fund operations, debt service, dividends, and capital expenditures.

• Ongoing regulatory proceedings and rate reviews may impact future results.