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Atmos Energy Corporation
5/8/2025
Draw your question, press star, followed by the number one. As a reminder, today's call is being recorded. I will now hand today's call over to Dan Messer, Vice President of Investor Relations and Treasurer. Please go ahead, sir.
Thank you, Tamika. Good morning, everyone, and thank you for joining our fiscal 2025 second quarter earnings call. With me today are Kevin Akers, President and Chief Executive Officer of and Chris Forsythe, Senior Vice President and Chief Financial Officer. Our earnings release and conference call slide presentation, which we will reference in our prepared remarks, are available at atmosenergy.com under the Investor Relations tab. As we review these financial results and discuss future expectations, please keep in mind that some of our discussion might contain forward-looking statements within the meaning of the Securities Act and the Securities Exchange Act. Our forward-looking statements and projections could differ materially from actual results. The factors that could cause such material differences are outlined on slide 29 and are more fully described in our SEC filings. With that, I will turn the call over to Kevin Akers, our president and CEO. Kevin.
Thank you, Dan, and good morning, everyone. We appreciate your interest in Atmos Energy. Yesterday, we reported year-to-date fiscal 25 net income of $837 million for $5.26 per diluted share. We updated our fiscal 25 earnings per share guidance to a range of $7.20 to $7.30. This performance continues to reflect the commitment, dedication, focus, and effort of all Atmos Energy employees to successfully modernize our natural gas distribution transmission and storage systems, while safely providing reliable natural gas service to 3.4 million customers across 1,400 communities in eight states. For the quarter, we continue to experience robust growth driven by continually favorable employment trends in Texas. For the 12 months ended March 31, 2025, we added nearly 59,000 new customers with almost 46,000 of those new customers located in Texas. The Texas Workforce Commission reported in April that seasonally adjusted number of employed reached a new record high at over 14.3 million. Texas again added jobs at a faster rate than the nation over the last 12 months ending March, adding nearly 192,000 jobs representing a 1.4% annual growth rate. Commercial customer growth remained solid as well, with approximately 850 customers connecting to the system during the second quarter and nearly 2,000 customers connecting to the system fiscal year to date. Industrial demand for natural gas in our service territories also remained strong. During the second quarter, we added nine new industrial customers with an anticipated annual load of approximately 8 BCF once they are fully operational. Fiscal year to date, we've added 20 new industrial customers with an anticipated annual load of approximately 11 BCF once they are fully operational. On a volumetric basis, that is equivalent to adding approximately 204,000 residential customers. This growth continues to highlight the value and vital role natural gas plays in economic development across our service territories. In APT, we continue our work on several projects that will enhance the safety, reliability, versatility, and supply diversification of our system, as well as support the continued growth we are seeing in the local distribution companies behind APT's system. During the quarter, work started on phase two of APT's Line WA loop. This project will install approximately 44 miles of 36-inch pipe to the west of Fort Worth to support growth in the northwestern portion of the DFW Metroplex. This phase is expected to be completed by the end of the calendar year. Work continues on APT's Bethel to Grow project as well. As a reminder, this project will install approximately 55 miles of 36-inch pipe from our Bethel storage facility to our gross bed compressor station to provide additional pipeline capacity to the growing DFW Metroplex and to the Interstate 35 corridor. This project is scheduled to be placed in service late calendar year 2025. APT completed two more interconnect projects during the quarter. Fiscal year today, APT has added over one BCF of additional gas supply that will enhance supply reliability and versatility to support APT LDC customers. During the second quarter, our customer support associates and service technicians once again received a 98% satisfaction rating from our customers, reflecting the exceptional customer service they provide each and every day. Our customer advocacy team and customer support agents continue their outreach efforts to energy assistance agencies and customers during the first six months of the fiscal year. Through those efforts, the team helped nearly 32,000 customers receive over $10 million in funding assistance. Our results for the first half of fiscal 25 reflect the hard work and dedication of all Atmos Energy employees as we continue to safely deliver reliable and efficient natural gas to homes, businesses, and industries to fuel our energy needs now and in the future. I will now turn the call over to Chris for his update.
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