NJR · New Jersey Resources Corporation

New Jersey Resources Corporation delivered strong fiscal 2026 second-quarter results, with consolidated net income of $218.9 million ($2.17 basic EPS), up from $204.3 million ($2.04) in the prior-year quarter, driven by higher operating revenues of $939.4 million (vs. $913.0 million) and operating income of $301.0 million (vs. $279.9 million). Net financial earnings (NFE), a non-GAAP measure excluding derivative volatility, reached $221.5 million ($2.20 per share), a significant improvement from $178.3 million ($1.78) last year. Year-to-date, net income was $341.4 million ($3.39 per share) and NFE $339.6 million ($3.37 per share), reflecting sustained momentum.

Energy Services was the standout performer, posting Q2 NFE of $72.3 million versus $35.3 million YoY, fueled by natural gas price volatility enabling higher financial margins of $107.5 million (vs. $60.7 million). This outperformance prompted NJR to raise its fiscal 2026 NFEPS guidance for the second time, now $3.48-$3.63 (previously $3.28-$3.43), with Energy Services expected to contribute 19-23% of full-year NFE. New Jersey Natural Gas (NJNG) contributed steadily with $148.5 million NFE (vs. $144.5 million), supported by customer growth to 594,227 and $17.3 million YTD BGSS incentives (vs. $10.6 million). Utility gross margin rose to $305.1 million (vs. $294.8 million), aided by higher base rates effective November 2024 and colder weather boosting throughput.

Clean Energy Ventures reported a Q2 net loss of $5.2 million due to higher depreciation, though YTD NFE was positive at $4.4 million; capacity grew with 13.4 MW added. Storage & Transportation NFE doubled to $7.7 million on Adelphia Gateway's rate settlement. Capital expenditures accelerated to $353.9 million YTD (vs. $287.1 million), with $4.8-$5.2 billion planned through 2030, over 60% at NJNG. Cash from operations surged to $589.3 million YTD. Management, led by CEO Steve Westhoven, highlighted winter reliability and Energy Services strength, reaffirming 7-9% long-term NFEPS growth from a $2.83 fiscal 2025 base. A webcast is scheduled for May 5, 2026.