Ugi Corporation · NYSE:UGI
Ugi — Q2 FY2022 Earnings Presentation
25 slides from Ugi's earnings presentation, May 5, 2022
Slide 1: Fiscal 2022 Second Quarter Results
1 Fiscal 2022 Second Quarter Results Roger Perreault President and CEO, UGI Corporation Te d J . J a s t r ze b s k i Chief Financial Officer, UGI Corporation R o b e r t F. B e a r d Executive Vice President, Natural Gas, Global Engineering & Construction and Procurement 1 1
Slide 2: About This Presentation
About This Presentation This presentation contains forward-looking statements, including estimates and projections, within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on
Slide 3: Second Quarter Summary
Second Quarter Summary Roger Perreault President and CEO, UGI Corporation 3 3
Slide 4: Q2 FY22 Financial Highlights
Q2 FY22 Financial Highlights Q2 FY22 Adjusted Diluted EPS1 GAAP diluted EPS of $4.32 vs. $2.33 in Q2 FY22 Reportable Segments Earnings Adjusted diluted EPS1 of $1.91 in Q2 FY22 vs before interest expense and $1.99 in Q2 FY21 income taxes ($ in Million)2 Results reflect: $630 $631 $1.99 $1.91
Slide 5: Recent Accomplishments
1 Recent Accomplishments • ~4,000 customers added in Q2 FY22 at the Utilities; 8,400+ customers in YTD FY22 Reliable Earnings • Strong contributions from recent strategic acquisitions: Mountaineer and Stonehenge Growth • Continued growth in ACE and National Accounts volumes when compared to pre-pand
Slide 6: Second Quarter Financial Review
Second Quarter Financial Review Ted J. Jastrzebski Chief Financial Officer, UGI Corporation 6 6
Slide 7: Q2 FY22 Adjusted Diluted Earnings per Share
Q2 FY22 Adjusted Diluted Earnings per Share Q2 FY22 Q2 FY21 AmeriGas Propane $0.64 $0.71 UGI International 0.41 0.47 Midstream & Marketing 0.26 0.31 Utilities 0.62 0.47 Corporate & Other (a) 2.39 0.37 Earnings per share – diluted 4.32 2.33 Net gains on commodity derivative instruments not associated
Slide 8: Q2 FY22 Results Recap
Q2 FY22 Results Recap Q2 FY22 Adjusted Diluted EPS1 Compared to Q2 FY21 YTD Adjusted Diluted EPS1 by Segment ($0.07) ($0.06) $0.15 ($0.05) $3.173 ($0.05) $2.844 0.71 Utilities 0.91 0.47 Midstream $1.99 $1.91 & Marketing 0.50 0.91 UGI International 0.68 AmeriGas 1.07 0.80 Q2 FY21 AmeriGas UGI Midstre
Slide 9: Financial Results – AmeriGas Propane
Financial Results – AmeriGas Propane (Dollars in Millions) Q2 FY21 Q2 FY22 Weather versus normal Earnings Before Interest Expense & Income Taxes $239 Total Margin (6) Operating and Administrative Expenses (7) Other Income and Expense, net 1 2.9% Earnings Before Interest Expense & Income Taxes $227 Q
Slide 10: Financial Results – UGI International
Financial Results – UGI International (Dollars in Millions) Q2 FY21 Q2 FY22 Weather versus normal Earnings Before Interest Expense & Income Taxes $149 Total Margin (49) Operating and Administrative Expenses 2 Depreciation and Amortization 5 Realized FX Gains 5 Other Income and Expense, net 8 Q2 FY22
Slide 11: Financial Results – Midstream & Marketing
Financial Results – Midstream & Marketing (Dollars in Millions) Q2 FY21 Q2 FY22 Weather versus normal Earnings Before Interest Expense & Income Taxes $100 Total Margin (10) Operating and Administrative Expenses (2) Depreciation and Amortization 1 Other Income and Expense, net 1 Earnings Before Inter
Slide 12: Financial Results – Utilities
Financial Results – Utilities (Dollars in Millions) Q2 FY21 Q2 FY221 Weather versus normal Earnings Before Interest Expense & Income Taxes $142 Total Margin 79 Operating and Administrative Expenses (24) Depreciation (7) Other Income and Expense, net 4 Earnings Before Interest Expense & Income Taxes
Slide 13: Liquidity Update
Liquidity Update Available Liquidity • Strong balance sheet position Liquidity ($ in Billions) • $1.9 Billion in available $2.4 $2.2 liquidity1 as of March 31, $1.6 $1.9 $1.5 2022 • On May 4, our Board of Directors approved an Mar-21 Jun-21 Sep-21 Dec-21 Mar-22 increased quarterly dividend of $0.36
Slide 14: FY22 Updated Guidance
FY22 Updated Guidance With focus on margin management and disciplined expense control actions, UGI is well positioned to deliver strong Fiscal 2022 results despite the impact of warmer than normal weather and significant increases and volatility in commodity costs, particularly on the international
Slide 15: Conclusion
Conclusion Roger Perreault President and CEO, UGI Corporation 15 15
Slide 16: Conclusion
Conclusion We continue to remain well-positioned to deliver on our long-term commitments to shareholders of 6-10% annual Reliable Earnings EPS growth and 4% dividend growth. Growth • On track to publish 4th ESG report in May 2022 Renewables Rebalance 16 16
Slide 17: Q&A
Q Q & A 17 17
Slide 18: Appendix
Appendix 18 18
Slide 19: UGI Supplemental Footnotes
UGI Supplemental Footnotes • Management uses “adjusted net income attributable to UGI Corporation” and “adjusted diluted earnings per share,” both of which are non-GAAP financial measures, when evaluating UGI’s overall performance. Management believes that these non-GAAP measures provide meaningful
Slide 20: Q2 FY22 Adjusted Net Income
Q2 FY22 Adjusted Net Income (Dollars in Millions) Q2 FY22 Q2 FY21 AmeriGas Propane $138 $150 UGI International 89 99 Midstream & Marketing 58 64 Utilities 134 99 Corporate & Other (a) 514 77 Net income attributable to UGI Corporation 933 489 Net gains on commodity derivative instruments not associat
Slide 21: YTD FY22 Adjusted Diluted Earnings per Share
YTD FY22 Adjusted Diluted Earnings per Share (Dollars in Millions) YTD FY22 YTD FY21 AmeriGas Propane $0.80 $1.07 UGI International 0.68 0.91 Midstream & Marketing 0.50 0.47 Utilities 0.91 0.71 Corporate & Other (a) 0.98 0.61 Earnings per share – diluted 3.87 3.77 Net gains on commodity derivative i
Slide 22: Adjusted Net Income and Adjusted Diluted EPS Reconciliations (1/2)
Adjusted Net Income and Adjusted Diluted EPS Reconciliations (1/2) (Millions of dollars, except per share amounts) Year Ended September 30, 2010 2011 2012 2013 2014 2015 2016 2017 NON-GAAP RECONCILIATION: Adjusted net income attributable to UGI Corporation: Net income attributable to UGI Corporation
Slide 23: Adjusted Net Income and Adjusted Diluted EPS Reconciliations (2/2)
Adjusted Net Income and Adjusted Diluted EPS Reconciliations (2/2) (Millions of dollars, except per share amounts) Year Ended September 30, 2018 2019 2020 2021 NON-GAAP RECONCILIATION: Adjusted net income attributable to UGI Corporation: Net income attributable to UGI Corporation $719 $256 $532 $1,4
Slide 24: Q2 FY22 Segment Reconciliation (GAAP)
Q2 FY22 Segment Reconciliation (GAAP) ($ in Million) AmeriGas UGI Midstream & Total Propane International Marketing Utilities Corp & Other Revenues $3,466 $1,048 $1,224 $671 $707 $(184) Cost of sales (1,470) (545) (930) (540) (380) 925 1 Total margin 1,996 503 294 131 327 741 1 Operating and adminis
Slide 25: Investor Relations
Investor Relations: Tameka Morris Arnab Mukherjee 610-456-6297 610-768-7498 morrista@ugicorp.com mukherjeea@ugicorp.com 25 25