NorthWestern Energy Group (NWE) Q2 2026 earnings summary

Executive summary

• Q2 2026 GAAP diluted EPS was $0.40 (up from $0.35), non-GAAP diluted EPS was $0.50 (up from $0.40), and net income rose to $25.0 million from $21.2 million, driven by new rates and higher retail volumes, partially offset by increased operating, administrative, and merger-related costs.

• Year-to-date net income was $88.5 million, down from $98.2 million, primarily due to lower retail volumes and higher costs.

• Affirmed 2026 earnings guidance of $3.68–$3.83 per share and long-term EPS growth targets of 4%–6%.

• Merger with Black Hills progressing, with key regulatory and shareholder approvals received; final Montana PSC order pending.

• Declared $0.67 per share dividend, aligning with Black Hills' schedule.

Financial highlights

• Q2 2026 operating revenues were $392.6 million, up 14.6% year-over-year; utility margin increased 13.2% to $302.8 million.

• Q2 2026 operating income was $64.2 million, up from $60.8 million; operating expenses (excluding fuel and supply) rose 15.4% to $238.6 million.

• Interest expense rose to $40.3 million from $36.3 million.

• Q2 2026 gross margin was $106.6 million, up 12.8% year-over-year.

• Q2 included $0.04 in merger costs and $0.05 in unrecovered Colstrip operating expenses.

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.

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

• Equity issuances expected to begin in 2027 to fund generation investments.

• Financing plans for the year executed, with no expected impact in the second half.

• Targeting FFO/debt ratio above 14% and a 50–55% debt-to-capital ratio.