Dafinchi AI

Southwest Gas Holdings, Inc.

SWX

Energy & Utilities

2w

Nevada SB 417 legislative impact on ratemaking

Nevada legislation SB 417 signed into law by Governor Lombardo.
Legislation allows for alternative ratemaking including formula rates, multiyear rate plans, and performance-based rates.
Focus on formula rates as they align with utility's business model.
Rulemaking process at Nevada Commission underway, expected to complete within a year.
Legislation enables use of next rate case as baseline for formula rates, with potential separate filings afterward.

Southwest Gas Holdings, Inc.

SWX

Energy & Utilities

2w

Financial Performance Summary

Centuri's quarterly earnings improved due to reduced interest expense, and Southwest Gas Holdings used over $470 million in net proceeds from Centuri share sales to repay debt.
Deferred tax liabilities and assets related to Centuri deconsolidation resulted in a net $45 million impact excluded from adjusted net income.
Depreciation and amortization increased by $9.3 million reflecting a 7% increase in average gas plant in service.
Interest expense rose by $4.9 million primarily due to interest on the over-collected PGA balance, which flipped from an $82 million asset to a $349 million liability.
O&M expenses increased by $7 million year-over-year, mainly due to higher labor and benefit costs and contractor services, but year-to-date O&M expense growth remains below inflation at just over 2%.
Other income increased by $3.6 million, including a $4.5 million gain from COLI policy value increases and a $1.6 million one-time nonoperating gain from an asset sale.
Southwest Gas Holdings reported record net income for the first half of 2025 with modest increases in O&M expenses compared to the prior year.
Utility operating margin increased by $26.6 million in Q2 2025, driven by $24 million of combined rate relief and $2 million from customer growth.

Portland General Electric Company

POR

Energy & Utilities

3w

Progress on Oregon Regulatory Framework and Multiyear Rate Making

PGE completed filings for a holding company structure to reduce investment costs and support clean energy goals.
The company signed an MOU with Oregon regulators and stakeholders to govern key rate base investments, including the Seaside Battery Project and distribution system assets, aiming for regulatory predictability.
The new regulatory approach emphasizes multiyear rate making, securitization, and flexible recovery mechanisms, reducing the need for frequent rate cases and enhancing planning certainty.

OGS

Energy & Utilities

1w

Impact of Texas House Bill 4384 on Regulatory and Financial Strategy

The enactment of Texas House Bill 4384 supports recovery of system investments, potentially adding $4-5 million annually to pretax earnings through deferrals and accruals.
The bill extends existing deferral and accrual mechanisms to all capital expenditures in Texas, enhancing cash flow and earnings stability.
Management indicated that the bill's benefits are additive to their previous guidance, with no expected need to alter their capital or growth plans.
The procedural rules for implementing the bill are still being drafted by the Railroad Commission, with completion expected by next spring.
The bill's impact is reflected in the 2025 guidance update, which now includes these additional deferrals, supporting the company's growth outlook.
This legislative change exemplifies how regulatory environment shifts can materially influence financial performance and strategic planning.

SR

Energy & Utilities

2w

Strategic Acquisition of Piedmont Natural Gas Tennessee Business

Announced acquisition of Piedmont Natural Gas Tennessee from Duke Energy, adding $900 million to 5-year capital plan.
Transaction aims to increase scale, diversify portfolio, and expand into a high-growth, regulated jurisdiction.
Expected to close in Q1 2026, with regulatory approval sought within 45 days of announcement.
Funding strategy includes a bridge facility, potential sale of nonutility assets, and a balanced mix of debt, equity, and hybrid securities.
Integration expected to leverage existing shared services platform, with a focus on efficiency and long-term EPS growth of 5-7%.

Northwestern Energy Group Inc

NWE

Energy & Utilities

2w

Montana Wildfire Law Significantly Reduces Utility Liability

Montana Wildfire Law (490) passed with nearly unanimous support, eliminating strict liability for utilities related to wildfires.
Law shifts negligence standard to Montana-specific circumstances, presumption of reasonableness if wildfire mitigation plan is followed.
Damages for economic property loss remain, but noneconomic damages limited to bodily injury or death.
Punitive damages only with clear and convincing evidence of gross negligence or intent.
Utility plans to file wildfire mitigation plan in August, aiming for favorable regulatory approval, reducing potential liabilities.

American States Water Company

AWR

Energy & Utilities

1w

Impact of California CPUC Rate Decisions on Earnings and Operations

The final decisions from the California Public Utilities Commission (CPUC) in January significantly increased water and electric rates for 2025-2027 and 2023-2026 respectively, positively impacting earnings.
Management highlighted that these rate decisions are expected to contribute to higher revenue and earnings stability moving forward.
The company is preparing to file its next electric rate case in early 2026 and a water rate case in July 2026, indicating ongoing regulatory engagement.
The CPUC's adoption of the Monterey-Style Water Revenue Adjustment Mechanism (MRAM) introduces a new rate adjustment approach that could influence future revenue volatility.

California Water Service Group

CWT

Energy & Utilities

2w

Impact of 2021 California Rate Case Delay on Earnings Presentation

The 2021 general rate case was 16 months late, approved in 2024, and retroactive, causing earnings to appear 'wonky' and funky year-over-year.
Non-GAAP EPS increased 15% YoY, considered a strong performance given the rate case delay, especially in California, their largest operating entity.

Eversource Energy

ES

Energy & Utilities

2w

Impact of Connecticut Legislation SB4 on Storm Cost Securitization and Customer Bills

SB4 allows for securitization of storm costs from 2018-2025, improving customer bill predictability and strengthening the balance sheet.
Legislation enables bonds to cover public benefit program costs, potentially reducing customer bill impact.
Legal and regulatory approval process ongoing, with securitization expected to take 12-18 months, likely completing in 2027.

PG&E Corporation

PCG

Energy & Utilities

2w

Legislative Focus on Wildfire and Affordability Reforms in California

Management emphasizes ongoing legislative efforts to improve wildfire construct and affordability legislation.
Key focus on ensuring wildfire fund durability and comprehensive societal approach to wildfire risk amid climate change.
Management expects meaningful legislative measures this session, with a need for the IOUs to opt into wildfire fund contributions.
Support for moving public purpose program funding off utility bills and potential reforms in claims limitations and wildfire liability.
Management advocates against securitization for wildfire funding, citing potential bill increases and preference for long-term, affordable solutions.