RGC Resources Inc.

strong year for main extensions. In addition, renewal activity was steady during the fiscal 2025 year. Residential growth in the Roanoke Valley has not abated. We installed nearly five main miles, which is 50% higher than the total main miles installed in fiscal 2024. We also connected more than 700 new services. This compares to customer additions in fiscal 2024 of approximately 630 and fiscal year 2023 ads of approximately 550. Those that dive into our year-over-year customer count will notice that our average customer count increases slower than the actual ad site of the bot. This is due to the nature of our business. We routinely have customers that use natural gas exclusively to heat their homes, disconnect their service, or will not pay their bills and will be disconnected through the collections process once spring weather arrives. This past spring, we had over 1,500 customers disconnect, many of which are now returning to the system with the onset of cold weather. In fact, we have reconnected over 500 customers since October. By the end of the second quarter, we expect our customer count to be approximately 65,000 customers. Focusing on the right side of the slide, our system safety and reliability is always a high priority. Through our SAVE program, we renewed 4.2 miles of main and nearly 350 services during the fiscal 2025 period. Transitioning to slide four, we delivered record volumes of gas in fiscal 2025. However, I will come back to that in a moment as slide four shows delivered gas volumes for the quarter. Total volumes increased 8% compared to the fourth quarter of 2024. one industrial customer with fuel switching capability continued their higher natural gas consumption this year as we have discussed in previous quarters. Residential and commercial volumes were slightly up when compared to the same quarter in the prior year. Slide five. The combination of that same industrial customer along with a few other customers combined with colder weather, also as discussed on previous calls, enabled us to achieve a new gas delivery record With heating degrees days up 18%, total volumes moved up 14% compared to last year. This record level of gas delivery outstripped our prior annual record 3 foot set in 2021. Slide 6 shows full year capex. Total spending was $20.7 million in the current year, down 6% compared to the 2024 fiscal year. However, recall that in 2024, we spent approximately $3.2 million to complete the MVP interconnections, which enables us to grow our system in Franklin County. We did not have that kind of one-time expenditure in fiscal 2025, but continue to invest in extending and renewing our system as noted above. We will provide our outlook for CapEx as we discuss fiscal 2026 later in this presentation. I will now turn the presentation over to our CFO, Tim Mulvaney, to review our financial results and to comment on the consummation of the financing that we told you about at the end of quarter three. Tim?

Thank you, Tommy. Turning to slide seven now, we experienced a slight loss in the current quarter. The fourth quarter is traditionally seasonally weaker for us, And we hit higher expenses in the same period a year earlier as inflation, while lower, is still present. This resulted in a net loss of $204,000, or $0.02 per share, compared to net income in the same quarter a year ago of $141,000, or $0.01 per share. We will touch on our plans to deal with higher expenses in the outlook section. One item present in both periods were gains of approximately six cents per share each year related to donations from the local housing authority as we converted master meter arrangements into system assets to improve reliability and safety for customers. This will not recur in 2026. Year-to-date results are also shown on slide seven. Our performance for the year was outstanding. That income for fiscal 2025 was $13.3 million, or $1.29 per share, an increase of 15% from fiscal 2024's $11.8 million, or $1.16 per share. The strong increase reflected the record levels of gas deliveries that Tommy discussed and was aided by higher operating margins, partially offset by inflationary cost increases and lower equity earnings from the company's investment in the Mountain Valley pipeline. MVP's equity earnings for the first three quarters of fiscal 2024 contain significant amounts of AFUDC. Moving to slide eight, we ended the year with a strong balance sheet. During the fourth quarter, we refinanced the debt that supports our investment in MVP for the long term. We have disclosed the details in our investor communications in September and in Note 7 of our Form 10-K that was filed yesterday. All of these documents can be found on our website. So I will not repeat all the details here. We were pleased to extend the maturity of all the debt supporting our MVP investment to 2032 with reasonable amortization. During the intervening years, we expect cash flows will be enhanced by the Southgate and Boost projects at MVP, and we have addressed our share of funding these projects as well. With these projects generating cash flow, our investment will be more valuable. Now let me turn the presentation over to Paul Nestor, our President and CEO, to take us through our 2026 Outlook. Paul?

Thank you, Tim, and good morning to everyone. I would like to take a moment before we dive into the Outlook just to issue our thanks to our customers and our employees for a fantastic fiscal 2025, as Tim and Tommy have just reviewed. certainly to all of our employees for their everyday dedication to serving the customer and doing that safely and reliably. It's translated in these incredible, what are really record earnings and earnings per share results, so thank you. As you can see on slide nine, we have a short agenda here for the 2026 outlook, and let's move on to slide 10. We continue to have momentum with new housing here in the greater Roanoke Valley. Tommy mentioned our customer additions over the last three years. If you average those out, it's over 660 customers per year, which is just almost exactly 1% customer growth. And if you look back over the history of the company for really the last 20 years, we've been in that upper 1%, lower 1% range, and that continues to be steady. We're very optimistic about in that regard. We continue to have expansion in our healthcare and medical sector and complex here in the Roanoke Valley. It's really one of the shining stars, both scientifically and economically, but we are seeing more real estate there, more footprint, which is hopefully going to result or translate into additional natural gas. usage. Tim mentioned MVP and the Southgate and BOOST projects. We are thrilled to continue as a partner in those, and we're very optimistic about the success of those projects and what it'll mean to this region. As you can see on the slide, we have the Google logo there, and we've talked about Google in the past and the announcement that was made in our physical third quarter about their location in the Roanoke Valley. That's progressing on schedule. Again, I think there'll be more to come about that in our physical 2026. We're still working on Franklin County, as Tommy mentioned, and some of you, Business Park, they're working very closely with the county to hopefully spur some economic development in the park. And we're also still working on expanding gas service in other parts of the county. We recently had some discussion with our westernmost territory, Montgomery County, which you may recall is actually where most of the MVP in this region is located and, in fact, where the BOOST project will do some construction hopefully in the near future about some expansion opportunities there. Moving on to slide 11, I'd like to hand it back over to Tommy. so he can give us a few more details on the recently filed rate case. Tommy?