NorthWestern Energy Reports $21.2 Million Net Income, Revenue Growth Driven by Electric and Natural Gas

NorthWestern Energy Group, Inc. reported a consolidated net income of $21.2 million for the three months ended June 30, 2025, a decrease from $31.7 million in the same period of 2024. The company's total revenues increased to $342.7 million, up from $319.9 million year-over-year, driven by higher electric and natural gas revenues. Electric revenues rose to $279.5 million from $260.1 million, while natural gas revenues increased to $63.2 million from $59.8 million. The decline in net income was attributed to lower retail natural gas and electric usage, primarily due to adverse weather conditions, as well as increased operating and maintenance costs.

In the first half of 2025, NorthWestern Energy's net income was $98.2 million, slightly up from $96.7 million in the prior year. Total revenues for the six months reached $809.3 million, compared to $795.3 million in 2024. The increase in revenues was primarily due to higher retail rates and electric transmission revenues, which were partially offset by increased operating expenses and non-recoverable supply costs. The company's utility margin, a non-GAAP measure, increased by 9.5% to $595.9 million, reflecting improved performance in both electric and natural gas segments.

Strategically, NorthWestern Energy completed the acquisition of the Energy West natural gas distribution system from Hope Utilities for approximately $36.5 million, which serves around 33,000 customers in Montana. This acquisition, approved by the Montana Public Service Commission, is expected to enhance the company's service capabilities in the region. Additionally, the company is pursuing infrastructure investments aimed at improving grid reliability and integrating renewable energy sources, including participation in the North Plains Connector project, which aims to enhance regional energy transmission.

Operationally, NorthWestern Energy serves approximately 842,100 customers across Montana, South Dakota, Nebraska, and Yellowstone National Park. The company reported a slight increase in customer counts, with notable growth in the natural gas segment. However, electric retail volumes were negatively impacted by unfavorable weather conditions, leading to a decrease in demand. The company continues to focus on improving operational efficiency and managing costs, with total operating expenses for the second quarter rising to $281.9 million from $258.3 million in the previous year.

Looking ahead, NorthWestern Energy anticipates continued growth driven by strategic investments and regulatory support. The company is actively engaged in rate reviews and settlements with regulatory bodies to ensure cost recovery and maintain financial stability. Despite challenges such as fluctuating weather patterns and rising operational costs, NorthWestern Energy remains committed to delivering reliable energy services while pursuing its goal of achieving net-zero carbon emissions by 2050.