National Fuel Gas Q1 Adjusted EPS Up 24%, Raises $350M Equity for Ohio Acquisition
National Fuel Gas Company reported Q1 FY2026 GAAP earnings of $181.6 million (EPS $1.98) and adjusted EPS of $2.06, a 24% year-over-year increase. The company issued $350 million in equity for its Ohio utility acquisition, reaffirmed $7.60–$8.10 adjusted EPS guidance and expects late-2026 in-service dates for Shippingport and Tioga Pathway.
1. First Quarter Earnings Outperform Prior Year
National Fuel Gas Company reported GAAP earnings of $181.6 million, or $1.98 per share, in Q1 fiscal 2026, up from $45.0 million, or $0.49 per share, in the same period last year. Adjusted earnings rose 24% year-over-year to $187.7 million, or $2.06 per share, compared with $151.9 million, or $1.66 per share, in Q1 2025. The earnings beat reflects higher natural gas price realizations, strong production growth and the absence of prior-year impairment charges totaling $141.8 million.
2. Integrated Upstream and Gathering Drives Growth
Seneca Resources and National Fuel Gas Midstream delivered adjusted segment earnings of $124.0 million, a $38.8 million increase from Q1 2025. Natural gas production climbed 12% to 109 Bcf, driven by new Utica well pads in Tioga County. Realized natural gas prices averaged $2.89 per Mcf, 14% above last year, and total cash operating costs per Mcf rose modestly by $0.02 to $0.50, reflecting higher lease operating expenses and third-party gathering fees.
3. Utility and Midstream Projects Advance
The utility segment recorded a 5% rise in net income as investments in New York and Pennsylvania system modernization expanded customer margin. The Shippingport Lateral Project received FERC approval in November, joining the Tioga Pathway expansion on track for late-2026 in-service dates. These infrastructure enhancements are expected to bolster regulated earnings and throughput capacity in key Appalachian markets.
4. Capital Raises and Guidance Reaffirmed
The Company completed a $350 million private placement of common equity to fund its pending Ohio gas utility acquisition, anticipated to close in Q4 calendar 2026. National Fuel reaffirmed its fiscal 2026 adjusted EPS guidance of $7.60 to $8.10, with a midpoint of $7.85. Sensitivities show a remaining‐nine‐month NYMEX price of $3.00 per MMBtu equates to a $6.95–$7.45 EPS range, while $4.00 per MMBtu supports a $7.90–$8.40 range.