Atmos Energy Reports 11.4% Revenue Growth to $3.13 Billion in Latest 10-Q

Atmos Energy Corporation reported significant financial growth in its latest 10-Q filing for the six months ending March 31, 2025, with total operating revenues reaching $3.13 billion, a 11.4% increase from $2.81 billion in the same period last year. The company’s net income also rose to $837.4 million, or $5.26 per diluted share, compared to $743.3 million, or $4.93 per diluted share, in the prior year, reflecting a 12.7% year-over-year increase. This growth was attributed to positive rate adjustments and increased customer demand, particularly in the distribution segment, which serves over 3.3 million customers across eight states.

The distribution segment alone generated $2.99 billion in revenues, up from $2.69 billion, while the pipeline and storage segment contributed $514.4 million, compared to $434.7 million in the previous year. The increase in revenues was partially offset by higher costs, including a $106.3 million rise in purchased gas costs and a $97.9 million increase in operating expenses. The company’s operating income for the six-month period was $1.09 billion, up from $950.1 million, indicating effective management of operational costs despite rising expenses.

In terms of strategic developments, Atmos Energy has been actively pursuing regulatory approvals for rate adjustments, resulting in an increase in annual operating income of $152.6 million during the reporting period. The company is also in the process of seeking an additional $224.7 million in annual operating income through ongoing ratemaking efforts. Capital expenditures for the period totaled $1.73 billion, with approximately 85% allocated to enhancing the safety and reliability of its distribution and transportation systems.

Operationally, Atmos Energy reported a slight increase in customer counts, with 3.42 million meters in service as of March 31, 2025, compared to 3.37 million a year earlier. The company’s distribution throughput remained stable, with total sales volumes of 215.1 million cubic feet, reflecting a marginal increase from 214.3 million cubic feet in the previous year. The company’s focus on modernizing its infrastructure and improving service reliability is expected to continue driving growth, with plans to invest approximately $24 billion over the next five years, primarily for safety and reliability enhancements.

Looking ahead, Atmos Energy maintains a positive outlook, supported by strong liquidity of approximately $5.3 billion, which includes $543.5 million in cash and cash equivalents. The company is well-positioned to meet its capital needs and continue its growth trajectory, although it acknowledges potential risks related to regulatory changes, market conditions, and operational challenges. The management remains committed to executing its capital spending program and enhancing its service offerings to meet the evolving needs of its customer base.