SWX Earnings Prediction
The chart below shows how SWX performed 10 days before and after its earnings report, based on data from the past quarters. Typically, SWX sees a +1.77% change in stock price 10 days leading up to the earnings, and a +2.96% change 10 days following the report. On the earnings day itself, the stock moves by +0.40%. This data can give you a slight idea of what to expect for the next quarter's release.
SWX Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
1.08B
-7.72%
-8.71%
Gross Margin
79.70%
4.26%
11.69%
Operating Margin
5.70%
10.68%
-19.03%
Net Margin
0.25%
-26.47%
-85.38%
EPS
0.00
-100.00%
-100.00%
No Data Available
SWX Earnings Analysis
Southwest Gas Holdings, Inc. Corporation (SWX.N) Earnings Conference Call
Positive
Transformational Strategy Progress: Southwest Gas continues to press forward on our transformational strategy of becoming a premier fully regulated natural gas utility.
Strong Cash Position: We finished the third quarter with more than $450 million of cash on hand and nearly $1 billion of liquidity on a consolidated basis.
Utility Net Income Guidance: We expect our 2024 utility net income to finish within the top half of the guidance range of $233 million to $243 million.
Utility Operating Margin Increase: The utility operating margin increased by nearly $23 million compared to the same period last year, driven primarily by a $16 million of increased rate relief largely resulting from prior investments in Nevada and California.
Net Income Growth Forecast: We are reaffirming our expected compound annual growth rate for net income at the utility to fall within the range of 9.25% to 11.25% from 2024 to 2026.
Negative
EPS Decline Analysis: Consolidated adjusted EPS decreased by $0.08 per share compared to the third quarter of 2023, reflecting a decline in profitability.
Revenue Decline Impact: The utility was impacted by lower quarter-over-quarter performance at Centuri due to lower volumes of MSA and bid work, leading to reduced revenue.
Operational Challenges and Costs: The company experienced unforeseen operational issues, including equipment breakdowns, resulting in higher rental and repair costs.
Interest Expense Increase: Interest expense increased by $6.5 million from the prior year's third quarter, primarily due to regulatory treatment timing related to utility development revenue bonds.
Quarterly Net Income Decline: The utility's net income results were lower for the quarter as the third quarter of 2023 benefited from higher offshore wind work and above-average natural gas bid work that did not recur in this year's third quarter.
SWX FAQs
How does SWX typically perform around its earnings report dates?
Is Southwest Gas Holdings, Inc. (SWX) Q3 2024 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
SWX Earning Call Sentiment
Southwest Gas Holdings, Inc. (SWX) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
SWX.N
-0.23%Positive
The earnings call revealed mixed sentiments: positive utility margin growth, increased rate base, and strong liquidity, but concerns over increased expenses, interest rates, and regulatory lag. The Q&A highlighted uncertainties in separation timing and regulatory impacts, slightly dampening optimism. The raised net income guidance and steady dividend policy suggest stability, while the EPS decline and flat dividend raise caution. Overall, the sentiment is balanced, leading to a neutral stock price prediction.
