Unitil Corporation Reports Second Quarter 2024 Financial Results
Intellectia.AI Updated: 2024-08-06
Unitil Corporation Reports Second Quarter 2024 Financial Results
Unitil Corporation (NYSE:UTL) released its financial results for the second quarter of 2024, showcasing key metrics and operational highlights.
Key Financial Metrics
| Metric | Q2 2024 | Q2 2023 | YoY Change | Consensus Estimate |
|---|---|---|---|---|
| Total Revenue | $ — | $ — | $ — | $94M |
| Earnings Per Share (EPS) | $0.27 | $0.25 | $0.02 | $0.29 |
| Six Months Revenue | $ — | $ — | $ — | $555.95M |
| Six Months EPS | $1.96 | $1.76 | $0.20 | $2.93 |
Interpretation: Unitil reported an EPS of $0.27 for Q2 2024, slightly below the consensus estimate of $0.29 but an increase from the $0.25 EPS in Q2 2023. The six-month EPS of $1.96 also showed an improvement from last year's $1.76, though it falls short of the current annual estimate of $2.93.
Revenue Performance by Segment
| Segment | Q2 2024 Revenue | Q2 2023 Revenue | YoY Change | Six Months 2024 | Six Months 2023 | YoY Change |
|---|---|---|---|---|---|---|
| Electric GAAP Margin | $17.8M | $17.8M | $0M | $37.9M | $38.0M | -$0.1M |
| Gas GAAP Margin | $20.5M | $19.4M | $1.1M | $70.6M | $64.3M | $6.3M |
| Electric Adjusted Margin | $24.9M | $24.2M | $0.7M | $52.0M | $50.9M | $1.1M |
| Gas Adjusted Margin | $31.3M | $29.3M | $2.0M | $92.3M | $84.2M | $8.1M |
Interpretation: The Electric GAAP Gross Margin remained steady at $17.8M for Q2 2024. Gas GAAP Gross Margin, on the other hand, saw a notable increase to $20.5M, largely driven by higher rates and customer growth. The adjusted margins for both Electric and Gas further substantiate the positive trend in revenue performance.
Comments from Company Officers
"The Company continues to provide best-in-class service to our customers and deliver solid financial results for our investors," said Thomas P. Meissner, Jr., Unitil's Chairman and CEO. "Our planned acquisition of Bangor Natural Gas and the successful outcomes of our rate cases in Massachusetts reflect the Company's commitment to long-term sustainable growth, which will continue to create exceptional value for all stakeholders."
Dividends
At its January, May, and July 2024 meetings, the Board of Directors declared quarterly dividends on the Company's common stock of $0.425 per share. The annualized dividend rate is $1.70 per share, representing an unbroken record of quarterly dividend payments since trading began in Unitil's common stock.
Forward Guidance
No forward guidance was provided in the earnings release.
Stock Price Movement
Following the earnings release, Unitil's stock price experienced a decrease of approximately -3.32%.
Summary: Unitil Corporation demonstrated stable financial performance with growth in both electric and gas segments, driven primarily by higher rates and customer growth. However, EPS slightly missed Wall Street expectations, and the stock price reacted negatively, showing a decline post-announcement. The company's ongoing commitment to sustainable growth and long-term value creation continues to underpin its business strategy.