Southwest Gas Holdings, Inc. · NYSE:SWX

Southwest Gas — Q2 2026 Earnings Presentation

34 slides from Southwest Gas's earnings presentation, Aug 5, 2026

  1. Slide 1: Second Quarter 2026 Results

    EARNINGS CONFERENCE CALL Second Quarter 2026 Results August 5, 2026

  2. Slide 2: Safe Harbor Statement

    Safe Harbor Statement Forward-Looking Statements Unless context otherwise requires, in this presentation, references to “we”, “us” and “our” are to Southwest Gas Holdings, Inc. (NYSE: SWX) (“Southwest Gas Holdings” or the “Company” or “SWX”) together with its current consolidated subsidiaries, which

  3. Slide 3: Non-GAAP Measures

    Non-GAAP Measures This presentation contains financial measures that have not been calculated in accordance with accounting principles generally accepted in the U.S. (“GAAP”). These non-GAAP measures include (i) Southwest Gas Holdings adjusted earnings (loss) per share, (ii) Southwest Gas Holdings a

  4. Slide 4: Speakers and Agenda

    Speakers and Agenda PRESENTATION AGENDA Strategic and Business Update Regulatory and Economic Update Financial Update Guidance and Karen Haller Justin Brown Justin Forsberg Outlook PRESIDENT AND CEO PRESIDENT AND CEO CFO AND TREASURER SOUTHWEST GAS HOLDINGS SOUTHWEST GAS HOLDINGS SOUTHWEST GAS HOLDI

  5. Slide 5: Key Messages

    Key Messages A PURE PLAY FULLY REGULATED NATURAL GAS BUSINESS POSITIONED FOR GROWTH AND COMMITTED TO DELIVERING LONG-TERM VALUE • Safe, reliable, and affordable natural gas service anchored by a strong safety culture, pursuit of operational excellence, and commitment to continuous improvement 2Q 202

  6. Slide 6: Advancing SWX’s 2026 Strategic Priorities

    Advancing SWX’s 2026 Strategic Priorities 2026 Utility and Regulatory Strategy AZ Rate Case Filing (requesting formula rates) ü 1Q 2026 AZ SIM Filing ($50 million capital tracker) ü 1Q 2026 NV Rate Case Filing ü 1Q 2026 CA Rate Case Approval Excluding Cost of Capital ü 2Q 2026 NV Triennial Resource

  7. Slide 7: Delivering Strong Results

    Delivering Strong Results Finished the quarter with nearly $270.5 million in consolidated cash and cash equivalents and nearly $1.0 billion in available liquidity Corporate and administrative expenses for the second quarter of 2026 reflects $8.6 million lower interest expense related to repayment of

  8. Slide 8: Regulatory and Economic Update

    Regulatory and Economic Update

  9. Slide 9: Regulatory Update

    Regulatory Update SWG remains committed to a purposeful regulatory strategy intended to support the timely recovery of prudent investments California Nevada Arizona Requested Requested Requested Docket # 24-09-001 Docket # 26-03021 Docket # G-01551A-26-0018 Filing Date Sept. 2024 Filing Date 3/1/202

  10. Slide 10: Great Basin 2028 Expansion Project Overview

    Great Basin 2028 Expansion Project Overview 2028 Brownfield Expansion Project Highlights: • Executed binding precedent agreements for 2028 in-service date • Incremental capacity under contract: 1.0 bcf1/day (received surety) Expected Project Schedule for 4Q 2028 In-service Date • Estimated increment

  11. Slide 11: Financial Update

    a) Southwest Gas. HOLDINGS Financial Update

  12. Slide 12: 2Q 2026 SWX Adjusted EPS Walk

    2Q 2026 SWX Adjusted EPS Walk CONTINUING OPERATIONS ADJ. EARNINGS PER DILUTED SHARE FINANCIAL HIGHLIGHTS RELATED TO CONTINUING OPERATIONS2 • Natural Gas Distribution segment adjusted results primarily Favorable impact Unfavorable impact impacted by increases in margin from rate relief across all $0.

  13. Slide 13: 2Q 2026 Natural Gas Distribution Segment Adjusted Net Income

    2Q 2026 Natural Gas Distribution Segment Adjusted Net Income Year-over-year net income key drivers include: NATURAL GAS DISTRIBUTION SEGMENT (parentheses indicate unfavorable net income drivers) Favorable impact Unfavorable impact Adj. Net Income ($ in millions) Operating Margin • $6.7 million - com

  14. Slide 14: 2026 Expected Sources & Uses

    2026 Expected Sources & Uses PLAN HIGHLIGHTS & ASSUMPTIONS Available for • Significant beginning cash balance, future investment primarily a result of remaining proceeds from Centuri separation in SWG Bond Retirement September 2025 Dividend to SWG Bond SWX Equity • Planned ~$325 million net SWG stoc

  15. Slide 15: Balance Sheet Strength

    Balance Sheet Strength SWX and SWG are positioned to maintain an investment grade profile, targeting S&P FFO/Debt >17% over time Net Debt1 ($ in billions) Credit Ratings and Outlook3 Total PGA2 Net Debt Moody’s Standard and Poor’s Fitch Cash Net Debt Debt Balance less PGA Ratings Outlook Ratings Out

  16. Slide 16: 2026 and Forward-Looking Financial Guidance

    2026 and Forward-Looking Financial Guidance Reaffirming 2026 and long-term guidance metrics that include assumptions for alternative rate making in AZ and NV, and the Great Basin 2028 Expansion Project4 12.0% – 14.0% $6.3 Billion 5-Year Capital Plan 9.5% – 11.5% 5-year Adj. EPS CAGR1 (2026E – 2030E)

  17. Slide 17: Contact

    Contact INVESTORS & ANALYSTS: Tyler Franek MANAGER, INVESTOR RELATIONS (702) 876-7263 tyler.franek@swgas.com MEDIA: Sean Corbett MANAGER, CORPORATE COMMUNICATIONS (702) 364-3310 corpcomms@swgas.com

  18. Slide 18: Appendices

    Appendices A Southwest Gas. HOLDINGS

  19. Slide 19: Opportunities for Alternative Ratemaking in Nevada and Arizona

    Opportunities for Alternative Ratemaking in Nevada and Arizona NV SB 417 Arizona and Nevada Anticipated Rate Case Roadmap In June of 2025, Governor Lombardo signed Senate Rates Potential Bill 417 (“SB 417”), allowing General alternative ratemaking plans effective alternative rate case ratemaking in

  20. Slide 20: Regulatory Update - Arizona

    Regulatory Update - Arizona Arizona Rate Case Filing Summary In February 2026, Southwest Gas filed a rate case requesting a revenue increase of approximately $101 million with rates anticipated to become effective April 2027. Southwest Gas Request1 Actual Equity Ratio 50% ROE 10.25% Fair Value Retur

  21. Slide 21: Regulatory Update - Nevada

    Regulatory Update - Nevada Nevada Rate Case Filing Summary In March 2026, Southwest Gas filed a rate case requesting a revenue increase of approximately $74 million2 with rates anticipated to become effective October 2026. Southwest Gas Request1 Staff Position BCP3 Position Actual Equity Ratio 50.05

  22. Slide 22: Regulatory Update - California

    Regulatory Update - California California Rate Case Filing Summary In September 2024, SWG filed a rate case1 requesting a revenue increase of ~$50 million, updated to ~$44 million as of February 2025. Southwest Gas Public Advocate’s Office As Settled Partial settlement in principle reached by partie

  23. Slide 23: 5-Year SWG Capital Plan

    5-Year SWG Capital Plan $6.3 billion five-year capital plan supports rate base growth through 2030 with 73% of investment expected at SWG and 27% expected at Great Basin7 5-Year Capital Plan1,3 5-Year Rate Base Growth1 (in billions) (in billions) Southwest Gas GB 2028 Expansion Project Incremental R

  24. Slide 24: Committed to Delivering Value Through Continuous Dividend Growth

    Committed to Delivering Value Through Continuous Dividend Growth SWX ANNUAL DIVIDEND PER SHARE 4% • Southwest Gas Holdings has paid a dividend every Expected Increase year since 1956 • February 25, 2026: Southwest Gas Holdings Board of Directors announced an expected increase in its annual dividend

  25. Slide 25: Financial Guidance Drivers and Assumptions

    Financial Guidance Drivers and Assumptions 2026 2027 2028 2029 2030 Net Income Drivers Potential AZ and NV FERC Filing AZ and NV Filings Tracking Periods CA Filing AZ & NV Formula Rate Adjustments Margin Assuming rate case outcomes in line with historical experience ~1.4% Annual Net Customer Growth

  26. Slide 26: Summary of Gas Cost Balances and Recovery Mechanisms

    Summary of Gas Cost Balances and Recovery Mechanisms PGA1 Balance and Recovery Mechanism Summary June 30, 20252 March 30,20262 June 30, 20262 Return of Nevada PGA Balance Receivable Gas Cost Rate Receivable (Payable) Receivable (Payable) » Southwest Gas received approval, for rates State (Payable) C

  27. Slide 27: 2025 Arizona General Rate Case

    2025 Arizona General Rate Case Arizona Rate Case Outcome On March 27, 2025, the ACC approved an increase in rates effective on approval. Rate Case Highlights Southwest Gas and Staff Stipulation1 ACC Final Decision » The $80.2M revenue increase represents 64% of the original request Target Equity Rat

  28. Slide 28: 2024 Nevada General Rate Case

    2024 Nevada General Rate Case Nevada Rate Case1 Outcome Summary Dollars in millions ~98% Proposed Revenue Increase2 $73.9 of request after Authorized $59 million Depreciation Expense ($6.8) depreciation Cost of Service Adjustment ($1.6) adjustment and before adjustments to cost of revenue increase i

  29. Slide 29: 2025 GBGTC General Rate Case

    2025 GBGTC General Rate Case GBGTC Rate Case Outcome1 On March 3, 2025, FERC approved an increase in rates. Requested Approved Target Equity Ratio 56% 50% Return on Equity 13.05% 11.95%3 Pre-Tax Rate of 11.18% 9.76%4 Return Rate Base $206 million (~$99 million increase) $191 million (~$55 million in

  30. Slide 30: Nevada Gas Resource Plan

    Nevada Gas Resource Plan Nevada Gas Resource Plan required by Senate Bill 281, filed September 2025 and approved in April of 2026 Prudency pre-determinations for ~$186 million of capital investment: To ensure increased energy demand is met, respond to economic growth, and fortify safety and system r

  31. Slide 31: SWG Regulatory Update – Other Regulatory Activity

    SWG Regulatory Update – Other Regulatory Activity Arizona Gas Cost Balancing Account (GCBA) California Hydrogen Demonstration Project In response to lower purchased gas costs, Southwest Gas filed an application in Jan. 2025 to return an over-collected Application pending before California Public Uti

  32. Slide 32: 2Q 2026 Financial Results

    2Q 2026 Financial Results CONSOLIDATED Three Months Ended Six Months Ended Results of Consolidated Operations June 30, June 30, (in millions, except per share items) 2026 2025 2026 2025 Natural gas distribution income1 $ 40.8 $ 45.6 $ 178.5 $ 188.6 Corporate and administrative income (loss) 1.4 (46.

  33. Slide 33: Summary of Operating Results

    Summary of Operating Results NATURAL GAS DISTRIBUTION SEGMENT Three Months Ended Six Months Ended Results of Consolidated Operations1 June 30, June 30, (in thousands of dollars) 2026 2025 2026 2025 Regulated operations revenues $ 358,154 $ 396,318 $ 943,273 $ 1,142,734 Net cost of gas sold 38,442 10

  34. Slide 34: Non-GAAP Measures

    Non-GAAP Measures Three Months Ended Six Months Ended (in thousands, except per share items) June 30, June 30, Adjusted Net Income and Adjusted EPS from Continuing Operations 2026 2025 2026 2025 Net income from continuing operations $ 42,122 $ (731) $ 180,496 $ 133,557 State income tax apportionment

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