Executive Summary

Q4 2024 delivered steady YoY growth: Operating Revenues $171.4M, Net Income $22.0M, and diluted EPS $0.61 vs $0.55 (+10.9% YoY), with Operating Income up to $27.6M from $24.2M .
Full‑year 2024 EPS rose to $3.33 from $3.25 on Net Income of $120.6M, despite lower Operating Revenues ($676.9M vs $690.4M), supported by increased electric investments included in rate base and continued renewable deployment; the Paris Solar project was completed in December 2024 .
Headwinds centered on weather‑driven demand softness: 2024 gas retail therm deliveries fell ~4% YoY, with ~4% declines for both residential and C&I; earlier in the year, higher fuel costs vs plan pressured Q2 results .
Dividends remained consistent at $0.45 per share (Dec 15, 2024 and Mar 15, 2025); ongoing renewable milestones (Strix Solar online Jan 2025, Darien Solar online Mar 2025; Darien battery expected 2026; High Noon Solar + storage expected 2027) serve as catalysts for rate base and growth visibility .
Wall Street (S&P Global) consensus for Q4 2024 EPS and revenue was unavailable at time of analysis; beat/miss vs estimates cannot be determined (see Estimates Context).

What Went Well and What Went Wrong

What Went Well

Continued earnings growth: Q4 diluted EPS $0.61 vs $0.55 YoY; Operating Income increased to $27.6M from $24.2M and Net Income to $22.0M from $20.1M, reflecting improved profitability versus Q4 2023 .
Rate base and renewables underpin performance: “An increase in electric investments included in rate base contributed to increased electric earnings for 2024.” Paris Solar was completed in Dec 2024, reinforcing asset growth momentum .
Strategic execution on clean energy: Strix Solar (6 MW) became operational in Jan 2025; Darien Solar (250 MW; MGEE 25 MW share) is online with 75 MW of batteries expected in 2026; High Noon Solar approval adds 30 MW solar/16.5 MW storage for 2027—broadening carbon‑free capacity and storage pipeline .

What Went Wrong

Weather‑driven gas softness: 2024 gas retail therm deliveries decreased ~4% YoY due to warmer‑than‑normal weather, with ~4% declines across residential and C&I customer classes .
Revenue pressure: Full‑year Operating Revenues declined to $676.9M from $690.4M despite higher full‑year earnings, indicating top‑line pressure from milder weather and lower usage .
Mid‑year headwinds: In Q2, higher fuel costs vs the PSCW‑approved plan and lower sales pressured electric earnings; residential electric sales fell ~4% and gas retail sales ~10% YoY in Q2 .

Financial Results

Quarterly performance (oldest → newest)

Metric	Q2 2024	Q3 2024	Q4 2024
Operating Revenues ($M)	$145.7	$168.5	$171.4
Operating Income ($M)	$29.7	$48.1	$27.6
Net Income ($M)	$23.8	$40.9	$22.0
Diluted EPS ($)	$0.66	$1.13	$0.61
Operating Margin (%)	20.4% (calc from 29.7/145.7)	28.6% (calc from 48.1/168.5)	16.1% (calc from 27.6/171.4)
Net Margin (%)	16.3% (calc from 23.8/145.7)	24.3% (calc from 40.9/168.5)	12.9% (calc from 22.0/171.4)

Full‑year comparison

Metric	FY 2023	FY 2024
Operating Revenues ($M)	$690.4	$676.9
Operating Income ($M)	$146.4	$146.3
Net Income ($M)	$117.7	$120.6
Diluted EPS ($)	$3.25	$3.33

Estimates comparison (Q4 2024)

Metric	Actual	S&P Global Consensus	Beat/Miss
Diluted EPS ($)	$0.61	N/A (Unavailable)	N/A
Operating Revenues ($M)	$171.4	N/A (Unavailable)	N/A

Note: S&P Global (Capital IQ) consensus for Q4 2024 was unavailable at time of analysis; therefore, beat/miss cannot be determined.

KPIs and operating context

KPI	Q2 2024	Q3 2024	Q4 2024 / FY 2024
Electric customers (approx.)	163,000	163,000	167,000
Gas customers (approx.)	176,000	176,000	178,000
Gas retail therm deliveries YoY (FY)	—	—	~-4% (FY 2024)
Notable projects	—	—	Paris Solar completed Dec 2024

Segment breakdown: MGEE reports consolidated results; qualitative commentary notes electric earnings benefited from higher rate‑base investments (Q3 and full‑year), while gas volumes softened with weather; no formal segment revenue/earnings table disclosed in the press materials .

Guidance Changes

Metric/Item	Period	Previous Guidance	Current Guidance	Change
Dividend per share	Q4 2024 (paid Dec 15, 2024)	$0.45/qtr	$0.45/qtr	Maintained
Dividend per share	Q1 2025 (paid Mar 15, 2025)	$0.45/qtr	$0.45/qtr	Maintained
Paris Solar status	2024	Under construction	Completed Dec 2024	New completion
Strix (Fitchburg) Solar	2025	Not previously in service	In service Jan 2025 (6 MW; two‑thirds for all customers)	New in‑service
Darien Solar (25 MW share)	2025/2026	In development	Solar online; 75 MW battery expected 2026 (MGEE 7.5 MW share)	Timeline clarified
High Noon Solar + Storage	2027	Proposed	Approved; in‑service expected 2027 (30 MW solar, 16.5 MW storage)	New approval/timing
Carbon reduction goals	2030/2050	80% by 2030; net‑zero by 2050	Reiterated (halfway to 2030 goal)	Maintained

Note: MGEE does not provide formal quantitative quarterly guidance for revenue, margins, OpEx, or tax rate in press materials reviewed.

Earnings Call Themes & Trends

Note: No Q4 2024 earnings call transcript was available; themes reflect company disclosures across Q2–Q4 press releases.

Topic	Previous Mentions (Q2 2024)	Previous Mentions (Q3 2024)	Current Period (Q4 2024)	Trend
Rate base growth / investments	Rate‑base increase noted, though Q2 impacted by higher fuel costs	Electric net income +$3.9M YoY; rate‑base investments and lower fuel costs aided results	“Increase in electric investments included in rate base contributed to increased electric earnings for 2024”	Improving/Supportive
Fuel costs vs plan	Higher than PSCW plan; pressured earnings	Lower than plan; tailwind	Not specifically cited for Q4; no pressure noted	Mixed, normalized
Weather/demand	Lower electric residential (~~-4%) and gas retail (~~-10%) sales YoY in Q2	Gas net income relatively flat YoY	Gas retail therm deliveries ~-4% YoY (FY) due to warm weather	Ongoing headwind in gas
Renewables execution	—	—	Paris Solar completed (Dec 2024); new solar projects and storage progressing (Strix, Darien, High Noon)	Strengthening
Regulatory context	PSCW fuel cost plan referenced	Fuel below plan was a benefit	No new regulatory updates in Q4 press materials	Stable

Management Commentary

“MGE continues to invest in new, cost‑effective renewable generation, which is helping to fuel the company's asset growth. An increase in electric investments included in rate base contributed to increased electric earnings for 2024. The Paris solar project was completed in December 2024.” (MGEE Q4 earnings press release) .
“With the recent completion of the Paris solar project and now Strix Solar, MGE continues to grow our use of renewable energy, which is one of MGE's key strategies for achieving our science‑based carbon reduction goals.” — Jeff Keebler, Chairman, President and CEO (Strix/Fitchburg Solar) .
“Carbon is our target, and the Darien Solar Energy Center is another important step as we continue our progress toward achieving our science‑based carbon reduction goals.” — Jeff Keebler (Darien Solar) .

Q&A Highlights

No Q4 2024 earnings call transcript was found in our document set; as a result, there are no Q&A disclosures to summarize for the period.

Estimates Context

S&P Global (Capital IQ) consensus for Q4 2024 EPS and revenue was unavailable at the time of analysis (API limit error). Therefore, we cannot assess beat/miss vs consensus for Q4 2024. Actuals are shown above for context .
Implication: Absent consensus, investors may anchor on YoY/seq trends and qualitative drivers (rate‑base growth, renewables, weather impacts) until third‑party estimates can be retrieved.

Key Takeaways for Investors

Rate‑base growth and renewable additions are translating into earnings resilience: Q4 EPS grew to $0.61 and FY 2024 EPS increased to $3.33 despite lower revenues, supported by higher electric investments included in rate base .
Weather remains a swing factor: FY gas retail therm deliveries fell ~4% YoY due to warmth, pressuring gas volumes; monitor normalization into 2025 shoulder seasons .
Project pipeline de‑risks medium‑term growth: Paris (in service), Strix (in service), Darien (online; batteries 2026), and High Noon (2027) should support asset base expansion and earnings visibility .
Fuel cost variability improved vs mid‑year: Q2 faced higher‑than‑plan fuel costs; Q3 benefited from lower‑than‑plan costs; Q4 showed no explicit fuel headwinds, suggesting normalization .
Dividend consistency continues (49 consecutive annual increases; $0.45 quarterly maintained through Dec 2024 and Mar 2025), reinforcing income profile .
Near‑term trading lens: Absent consensus prints, stock reaction likely hinges on the narrative—steady EPS growth, visible renewables timelines, and weather normalization. Medium term, incremental solar/storage approvals and in‑service milestones are key catalysts for further rate base growth .

Sources: MGEE 8‑K and earnings press releases for Q2 2024, Q3 2024, and Q4 2024; additional company press releases on dividends and renewable project milestones .

MGE ENERGY INC (MGEE)·Q4 2024 Earnings Summary