NiSource — Second Quarter 2026 Earnings Summary

Financial Performance

• GAAP net income available to common shareholders for the quarter ended June 30, 2026, was $45.5 million ($0.09 per diluted share), down from $102.2 million ($0.22 per diluted share) in the same period of 2025.
• GAAP net income available to common shareholders for the six months ended June 30, 2026, was $556.2 million ($1.15 per diluted share), down from $577.0 million ($1.22 per diluted share) in the same period of 2025.
• Non-GAAP adjusted net income available to common shareholders for the quarter ended June 30, 2026, was $77.6 million ($0.16 per consolidated adjusted share), down from $101.9 million ($0.22 per consolidated adjusted share) in the same period of 2025.
• Non-GAAP adjusted net income available to common shareholders for the six months ended June 30, 2026, was $587.2 million ($1.22 per consolidated adjusted share), up from $564.2 million ($1.19 per consolidated adjusted share) in the same period of 2025.
• Adjustments to operating income for the quarter included $16.0 million for weather compared to normal, $21.4 million for workplace continuity, and $5.4 million for the Value Captured initiative.
• Adjustments to operating income for the six months included $19.7 million for weather compared to normal, $21.4 million for workplace continuity, and $5.4 million for the Value Captured initiative.
• Total adjustments to net income for the quarter were $32.1 million, while adjustments for the six months were $31.0 million.
• Diluted average common shares were 481.2 million for the quarter and 481.0 million for the six months.

Guidance and Future Outlook

• Reaffirmed 2026 non-GAAP consolidated adjusted EPS guidance of $2.02-$2.07.
• Reaffirmed non-GAAP consolidated adjusted EPS compound annual growth rate (CAGR) of 9%-10% from 2026-2033.
• The 2026-2030 consolidated capital investment plan totals $28.6 billion, comprising $21.0 billion in base capital investments and $7.6 billion in strategic data center infrastructure investments.
• The capital investment plan is expected to support 9%-11% consolidated rate base growth from 2026-2033.

Business Segments and Product Lines

• Advanced data center strategy with regulatory approvals for special contracts with Amazon and Alphabet.
• These agreements are expected to advance $1.4 billion in savings for existing customers.
• The company serves approximately 3.3 million natural gas customers and 500,000 electric customers across six states through Columbia Gas and NIPSCO brands.

Market and Competitive Landscape

• No specific market share, competitor names, or market trend data points were provided in the press release.

Risks and Challenges

• Risks include the ability to execute business plans, manage data center growth, and construct assets on time and within cost estimates.
• Potential risks involve obtaining financing, recovering investments, maintaining credit ratings, and customer contract performance or termination.
• Operational risks include weather fluctuations, aging infrastructure, cybersecurity attacks, natural disasters, and regulatory changes.
• Financial risks include interest rate increases, inflation, recession, and pension funding obligations.

Management Commentary and Tone

• President and CEO Lloyd Yates stated the company delivered a strong value proposition by providing safe and reliable service across various weather conditions.
• Management thanked employees and partners for dedication during elevated storm activity.
• Yates noted that regulatory approvals for Amazon and Alphabet contracts demonstrate the ability to support economic growth while creating value for customers.
• Management expressed confidence in the plan for the second half of the year, citing disciplined execution of efficiency initiatives and regulatory mechanisms for cost recovery visibility.

Other Key Points

• The company began presenting base plan adjusted EPS and consolidated adjusted EPS in 2026.
• Base plan adjusted EPS excludes the impact of data center operations and development activities, while consolidated adjusted EPS includes them.
• The company does not provide a GAAP equivalent reconciliation for its non-GAAP EPS guidance due to unpredictable factors like weather and asset sales.
• NiSource is a member of the Dow Jones Sustainability - North America Index and is on Forbes lists for America's Best Employers for Women and Diversity.
• The company has approximately 7,700 employees.