Q3 2024 RGC Resources Inc Earnings Call Transcript
Key Points
- Mountain Valley Pipeline (MVP) is now operational, providing initial natural gas delivery into the Roanoke Gas system.
- RGC Resources Inc (RGCO) connected 478 new services and renewed 319 services in the first nine months of fiscal 2024, reflecting growth in the customer base.
- The company reported a net income of $11.6 million or $1.15 per diluted share for the first nine months of fiscal 2024, an increase from $10.3 million or $1.04 per diluted share in fiscal 2023.
- RGC Resources Inc (RGCO) is optimistic about economic development in the region due to the operational MVP.
- The company is maintaining a strong focus on customer service and safety, contributing to overall performance.
- Third quarter operating income decreased by $240,000 or 13% compared to the third quarter of 2023 due to higher costs not offset by new revenues.
- Delivered gas volumes for the quarter were 6% lower compared to the third quarter of last year, attributed to warmer weather.
- Interest expense increased by $145,000 compared to the same quarter a year ago due to the higher interest rate environment.
- Equity and earnings of the unconsolidated affiliates (MVP) were down $237,000 pretax compared to a year ago due to the transition from construction to operational phase.
- Net income for the third quarter was $160,000 compared to $690,000 in the same quarter a year ago, impacted by cost pressures, lower MVP results, and higher interest expense.
Good morning, everyone, and thank you for joining us as we discuss RGC Resources 2024 Third Quarter Results. I am Tommy Oliver, Senior Vice President, Regulatory and External Affairs for RGC Resources. I am joined this morning by Paul Nester, President and CEO of RGC Resources; and Tim Mulvaney, our VP, Treasurer and Chief Financial Officer.
Before we begin, I want to review a few administrative items. (Event Instructions) The link to today's presentation is available on the Investor and Financial Information page of our website at www.rgcresources.com. Third, at the conclusion of the presentation and our remarks, we will take questions.
So let's turn to slide 1. This presentation contains forecasts and projections. Slide 1 has information about risks and uncertainties, including forward-looking statements that should be understood in the context of our public filings.
Slide 2
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
