Chesapeake Utilities Reports Strong 2025 Financial Results
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
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Should l Buy CPK?
Source: Newsfilter
- Earnings Growth: Chesapeake Utilities reported an EPS of $5.97 for 2025, up 13.5% from $5.26 in 2024, indicating robust profitability improvements following the acquisition of Florida City Gas.
- Adjusted Gross Margin Increase: The adjusted gross margin rose by $71.1 million in 2025, primarily driven by regulatory initiatives and infrastructure projects, reflecting strong growth in the natural gas market and increased service demand.
- Record Capital Expenditures: Capital expenditures reached $470.4 million in 2025, exceeding guidance by approximately $20 million, with over $100 million expected to contribute to earnings starting in 2026, showcasing the company's proactive growth strategy.
- Strong Customer Growth: In 2025, residential customer growth was 4.1% in Delmarva and 2.8% in Florida, enhancing market share and laying a solid foundation for future revenue growth.
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Analyst Views on CPK
Wall Street analysts forecast CPK stock price to rise
4 Analyst Rating
2 Buy
2 Hold
0 Sell
Moderate Buy
Current: 135.050
Low
141.00
Averages
151.17
High
160.00
Current: 135.050
Low
141.00
Averages
151.17
High
160.00
About CPK
Chesapeake Utilities Corporation is a diversified energy delivery company. The Company offers sustainable energy solutions through its natural gas transmission and distribution, electricity generation and distribution, propane gas distribution, mobile compressed natural gas utility services and solutions, and other businesses. Its Regulated Energy segment includes energy distribution and transmission services (natural gas distribution, natural gas transmission and electric distribution operations). Its Unregulated Energy segment includes energy transmission, energy generation (the operations of its Eight Flags' CHP plant), propane distribution operations, mobile compressed natural gas distribution and pipeline solutions operations, and sustainable energy investments, including renewable natural gas related investments. It also includes other unregulated energy services, such as energy-related merchandise sales and heating, ventilation and air conditioning, plumbing, and others.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
- Earnings Growth: Chesapeake Utilities reported an EPS of $5.97 for 2025, up 13.5% from $5.26 in 2024, indicating robust profitability improvements following the acquisition of Florida City Gas.
- Adjusted Gross Margin Increase: The adjusted gross margin rose by $71.1 million in 2025, primarily driven by regulatory initiatives and infrastructure projects, reflecting strong growth in the natural gas market and increased service demand.
- Record Capital Expenditures: Capital expenditures reached $470.4 million in 2025, exceeding guidance by approximately $20 million, with over $100 million expected to contribute to earnings starting in 2026, showcasing the company's proactive growth strategy.
- Strong Customer Growth: In 2025, residential customer growth was 4.1% in Delmarva and 2.8% in Florida, enhancing market share and laying a solid foundation for future revenue growth.
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- Earnings Performance: Chesapeake Utilities reported a Q4 non-GAAP EPS of $1.94, missing expectations by $0.03, indicating potential pressure on profitability that may affect investor confidence.
- Revenue Growth: The company achieved Q4 revenue of $258.9 million, a 20.4% year-over-year increase, surpassing market expectations of $258.31 million, demonstrating significant progress in market demand and operational efficiency.
- Capital Expenditure Guidance: Chesapeake Utilities initiated its 2026 capital expenditure guidance at $450-$500 million while reaffirming its 2024-2028 guidance of $1.5-$1.8 billion, reflecting the company's confidence in future growth prospects.
- Long-term Earnings Outlook: The company projects an EPS range of $7.75 to $8.00 for 2028, showcasing management's optimistic outlook on future profitability, which may attract long-term investor interest.
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- Net Income Growth: Chesapeake Utilities reported a net income of $140.3 million ($5.97 per share) for 2025, representing an 18.5% increase from $118.6 million ($5.26 per share) in 2024, showcasing the company's strong performance and enhanced profitability in the energy market.
- Adjusted Net Income Performance: Excluding transaction and transition-related expenses from the FCG acquisition, the adjusted net income for 2025 was $141.1 million ($6.01 per share), up 16.2% from $121.5 million ($5.39 per share) in 2024, reflecting successful operational efficiency and cost control measures.
- Capital Investment Innovation: The company's capital expenditures reached $470.4 million in 2025, exceeding guidance by approximately $20 million, indicating a strong commitment to infrastructure and technology upgrades, with projected capital expenditures for 2026 between $450 million and $500 million to further drive future growth.
- Customer Base Expansion: Chesapeake Utilities serves over 450,000 customers with safe and reliable energy, and the growth in customer numbers is closely tied to the company's expansion in natural gas and electric services, which is expected to lay a solid foundation for future revenue growth.
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- Quarterly Dividend Declaration: Chesapeake Utilities has declared a quarterly dividend of $0.685 per share, consistent with previous distributions, reflecting the company's stable cash flow and profitability, which enhances investor confidence.
- Dividend Yield: The forward yield of 2.05% provides investors with a relatively attractive return, particularly in the current market environment, potentially appealing to those seeking stable income.
- Payment Schedule: The dividend is payable on April 6, with a record date of March 16 and an ex-dividend date also on March 16, providing shareholders with a clear timeline that aids in financial planning.
- Increased Market Appeal: The recent price drop has made Chesapeake Utilities' valuation more attractive, which may draw more investor attention, thereby improving the company's market performance and shareholder returns.
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- Quarterly Cash Dividend: Chesapeake Utilities Corporation's Board of Directors declared a cash dividend of $0.685 per share, to be paid on April 6, 2026, reflecting the company's ongoing financial health and commitment to shareholders.
- Dividend History: The company has increased its annual dividend every year since 2004 and has paid uninterrupted dividends for 65 years, demonstrating stable profitability and effective cash flow management.
- Diversified Energy Solutions: As a publicly listed diversified energy delivery company, Chesapeake Utilities offers sustainable energy solutions including natural gas transmission and distribution, electricity generation and distribution, and propane distribution, enhancing its competitive position in the market.
- Investor Relations: By actively engaging with investors, the company showcases its strategic positioning in the sustainable energy sector, further solidifying trust and relationships with shareholders.
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- New Investment Disclosure: According to a 13F filing dated February 20, 2026, Dean Capital Management disclosed an acquisition of 27,851 shares in Chesapeake Utilities Corporation (CPK), valued at $3.47 million, indicating confidence in the company's prospects.
- Asset Allocation Insight: This new position represents 1.48% of Dean Capital's reportable U.S. equity assets under management, highlighting a strategic focus on utility investments that enhances the diversity of its portfolio.
- Company Performance Outlook: Chesapeake Utilities is expected to report continued profit growth in Q4 2025, with adjusted net income rising 10.1% year-over-year to $4.03 per share during the first nine months, reflecting robust profitability.
- Future Growth Expectations: The company reaffirmed its earnings guidance range of $7.75 to $8.00 per share for 2028, indicating a positive outlook for sustained growth in the coming years, which is likely to attract investor interest.
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