Earnings Guidance

FY 2024

$170 million to $180 million "

$180 million to $185 million "

raised

Long-term EPS Growth

FY 2024

6% to 8% "

6% to 8% "

no change

Dividend Payout Ratio

FY 2024

60% to 70% annually "

60% to 70% annually "

no change

Customer Growth

FY 2024

1% to 2% annually "

1% to 2% annually "

no change

Data Center Dependency and Investment Strategy

In Q1 and Q2, data centers were described as key growth drivers with signed load figures (455 MW in Q2 vs new customer additions in Q1), minimal capital investments, and a focus on leveraging existing infrastructure for margins and organic growth. " " " " "

In Q3, the discussion expanded with higher load figures (580 MW under agreement, 180 MW online), new service agreements (including a 50-MW project in South Dakota and an amended increase in North Dakota), and a reaffirmation of the organic growth approach. " "

Increased emphasis and scale. Load numbers have grown and the strategic focus remains consistent while expanding in scope.

Pipeline Business Performance and Storage Revenue

Q1 and Q2 emphasized record earnings driven by record transportation volumes, new service rates effective August 2023, and strong contributions from storage revenue (with Q1 showing $15.1M and Q2 reporting record second‑quarter earnings). " " "

Q3 reported record third‑quarter earnings with a 27% increase over the prior year, noting that exceptional storage revenue performance, aided by new rates and higher transportation volumes, was a primary driver. " "

Consistently strong with enhanced storage focus. The performance remains robust with clear evidence of improved earnings and storage revenue emphasis.

Strategic Acquisition and Expansion in Natural Gas Pipeline Assets

In Q1, multiple expansion projects (Line Sections 27 & 28, Wahpeton Expansion) were addressed, and Q2 continued the narrative with completed expansions adding significant capacity. " " "

Q3 added the element of a strategic acquisition (a $17 million purchase expected to contribute $3 million in annual earnings) alongside continuing expansion projects, underscoring a solid commitment to growing natural gas pipeline capacity. " "

Stable momentum with an added acquisition twist. The core expansion approach continues from prior periods now supplemented by strategic acquisitions.

Regulatory Challenges and Rate Base Uncertainty

Q1 mentioned regulatory activities such as interim rate filings and multiyear rate cases (e.g., Washington), while Q2 referenced filings and approvals (e.g., North Dakota and Montana) though with less explicit discussion on challenges. " " "

Q3 saw a very active regulatory front with multiple filings and settlements (rate case in Montana, settlements in South Dakota/North Dakota, a settlement in principle in Washington, and a natural gas rate case in Wyoming). "

Increased emphasis on managing regulatory challenges. Q3 features a much busier regulatory slate compared to earlier periods.

Guidance Adjustments and Backlog Performance Variability

In Q1, guidance was reaffirmed with a focus on record backlogs (e.g., Everus at $2.18B) and steady EPS expectations, while Q2 saw adjustments with Everus revenue guidance lowered but backlog hitting a record $2.4B, driven by diversified projects. " " " " "

Q3 primarily reported an increased and narrowed regulated energy delivery earnings guidance (now $180M‑$185M) without specific commentary on backlog variability this period. "

Ongoing refinements with improved guidance clarity. Backlog performance remains important though Q3 emphasizes refined earnings guidance rather than variability details.

Diversification of Project Portfolio and Organic Growth Initiatives

Q1 described diversification via Everus and utility operations with growth in data centers, healthcare, institutional work, and renewables, while Q2 highlighted a highly diversified backlog including data centers, semiconductors, and industrial work with resource redeployment from hospitality. " " " " " "

Q3 continued to stress organic growth with a diversified approach in both the utility and pipeline segments, underlining opportunities in demand-driven projects including data centers and power generation. "

Consistent emphasis on diversification and organic growth. The message remains stable across periods.

Reliance on Non-Recurring Factors (Weather and Exceptional Storage Performance)

Q1 did not mention these factors. In Q2, there was reference to cooler weather negatively impacting electric volumes while storage revenues and record transportation volumes helped buoy performance. " "

Q3 explicitly acknowledged non‐recurring factors by highlighting weather-related impacts alongside exceptional storage performance that drove earnings above expectations, emphasizing the non-recurring nature of these effects. " "

Emerging and growing in prominence. Initially absent in Q1, then noted in Q2 and further emphasized in Q3 as key non-recurring factors affecting performance.

Reduced Emphasis on the Hospitality Market

Q1 had no discussion on the hospitality market.

Q2 noted a reduced emphasis on the hospitality market (particularly in Las Vegas), with resources from completed hospitality projects being redeployed to other sectors (like data centers, manufacturing, and healthcare). Q3 did not mention this topic at all. "

Now no longer mentioned. The focus on hospitality was reduced in Q2 and disappeared entirely in Q3, suggesting a strategic shift away from that sector.