New Jersey Resources Corporation (NYSE: NJR) Reports Fiscal 2024 Fourth Quarter and Year-End Financial Results
New Jersey Resources Corporation (NJR) announced its fiscal 2024 fourth-quarter and year-end financial results that ended September 30, 2024.
Financial Summary
Below is a summary of NJR's key financial metrics:
| Metric | Fiscal 2024 | Fiscal 2023 | Change (YoY) | Consensus Estimates |
|---|---|---|---|---|
| Earnings Per Share (EPS) - Year | $2.94 | $2.73 | +7.69% | $2.88 |
| Net Income - Year (in millions) | $289.8 | $264.7 | +9.49% | Not Provided |
| Earnings Per Share (EPS) - Quarter | $0.92 | $0.38 | +142.11% | $0.87 |
| Net Income - Quarter (in millions) | $91.1 | $37.0 | +146.21% | Not Provided |
NJR's fiscal 2024 performance showcased significant growth in both annual and quarterly earnings per share, surpassing consensus estimates. The notable earnings increase is primarily attributed to the substantial rise in operating revenue at the Energy Services segment.
Segment Revenue Breakdown
| Segment | Fiscal 2024 NFE (in millions) | Fiscal 2023 NFE (in millions) | Change (YoY) |
|---|---|---|---|
| New Jersey Natural Gas (NJNG) | $133.4 | $131.4 | +1.52% |
| Clean Energy Ventures (CEV) | $33.7 | $44.5 | -24.27% |
| Energy Services | $111.5 | $68.5 | +62.77% |
| Storage and Transportation | $12.2 | $12.8 | -4.69% |
| Home Services and Other Ops | $0.03 | $4.8 | -99.38% |
Energy Services led the revenue surge, while the Clean Energy Ventures segment faced declines due to lower revenues from SREC and TREC.
Key Developments and Operational Highlights
- NJNG received approval for a $157 million increase in base rates.
- NJNG's new SAVEGREEN® program received a $385.6 million investment approval.
- CEV announced the sale of its 91 MW residential solar portfolio for $132.5 million.
- Adelphia filed a Section 4 rate case with FERC, expected to influence rates by late 2025.
Management Commentary
Steve Westhoven, President and CEO, emphasized NJR's strong financial performance and strategic advancements, highlighting the successful rate case settlement and historic energy efficiency program initiatives.
Dividend and Share Repurchase Program
NJR announced a dividend increase of 7.1%, with a fiscal 2025 dividend set at $1.80 per share.
Forward Guidance
For fiscal 2025, NJR projects an NFEPS guidance range of $3.05 to $3.20, incorporating a one-time gain from the solar portfolio sale, which elevates this guidance beyond the long-term growth target.
Stock Price Movement
Following the earnings release, NJR's stock saw an increase of 1.03% in value, reflecting positive market reception to the financial results.
NJR's fiscal 2024 reflects robust growth and strategic strides across its major business segments, positioning the company for continued success in fiscal 2025.
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