Nisource Inc · NYSE:NI
Nisource — Q3 2022 Earnings Presentation
19 slides from Nisource's earnings presentation, Nov 7, 2022
Slide 1: Supplemental Slides 3Q 2022 Results
SUPPLEMENTAL SLIDES 3Q 2022 RESULTS November 7, 2022 NiSource | NYSE: NI | nisource.com |
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation contains “forward-looking statements,” within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Investors and prospective i
Slide 3: Key Takeaways
KEY TAKEAWAYS • 2022 guidance narrowed • 2022 non-GAAP diluted NOEPS guidance range of $1.44 to $1.46 • Continue to expect 2022 capital expenditures of $2.4 to $2.7B • Initiating 2023 Guidance • Initiated 2023 non-GAAP diluted NOEPS guidance of $1.50 to $1.57 (consistent with 5-7% annual growth comm
Slide 4: Third Quarter & YTD Consolidated Financial Results
THIRD QUARTER & YTD CONSOLIDATED FINANCIAL RESULTS GAAP THIRD QUARTER YTD Change Change 2022 2021 Fav/(Unfav) 2022 2021 Fav/(Unfav) Net Income (Loss) Available to Common Shareholders $52.0 $49.4 $2.6 $518.2 $377.6 $140.6 ($ in Millions) Diluted Earnings (Loss) Per Share $0.12 $0.12 $0.00 $1.18 $0.91
Slide 5: Third Quarter & YTD Segment Non-GAAP Results
THIRD QUARTER & YTD SEGMENT NON-GAAP* RESULTS THIRD QUARTER YTD GAS DISTRIBUTION OPERATIONS ($ Millions) Change Change 2022 2021 2022 2021 Fav/(Unfav) Fav/(Unfav) Operating Revenues $ 573.7 $ 476.0 $ 97.7 $ 2,754.8 $ 2,199.9 $ 554.9 Cost of Energy $ 158.0 $ 89.0 $ (69.0) $ 1,000.5 $ 597.0 $ (403.5)
Slide 6: NiSource Debt and Credit Profile
NISOURCE DEBT AND CREDIT PROFILE ◦ Debt level: ~$10.8B as of September 30, 2022 ▪ ~$9.5B of long-term debt ▪ Weighted average maturity ~14 years ▪ Weighted average interest rate of 3.72% ◦ Solid liquidity position ▪ ~$0.9B in net available liquidity as of September 30, 2022* ▪ ~$2.2B of committed fa
Slide 7: Investing $15B from 2023-2027
INVESTING $15B FROM 2023-2027 Regulatory Program and New Customer Demand Support Timely Recovery ~75% of Capital Investments Begin Earning in Less Than 18 Months NiSource | NYSE: NI | nisource.com | 7
Slide 8: Strengthened Financing Plan Provides Flexibility to Invest in Growth
STRENGTHENED FINANCING PLAN PROVIDES FLEXIBILITY TO INVEST IN GROWTH Dividends and capital Sources / Uses (2023 – 2027)2 investments primarily funded through cash from operations ATM (2025+) Incremental Financing Minority interest Needed Equity = ~15% New Debt ~$4.5- sale adds flexibility Debt = ~85
Slide 9: Gas Distribution Operations
GAS DISTRIBUTION OPERATIONS ◦ Settlement achieved in Columbia Gas of Ohio gas rate case ◦ Columbia Gas of Pennsylvania received recommendation for settlement from ALJ ◦ Proposed order received from PULJ on Columbia Gas of Maryland gas rate case ◦ Final order received approving NIPSCO gas rate case s
Slide 10: Electric Operations
ELECTRIC OPERATIONS ◦ Renewable generation projects remain on target with previously revised in-service dates ◦ New request for proposals (RFP) for generation resources closed in September; bid evaluation underway HIGHLIGHT KEY COMPONENTS STATUS • Requested a revenue increase of $291.8 million net o
Slide 11: Safety and Infrastructure Programs
SAFETY AND INFRASTRUCTURE PROGRAMS MODERNIZATION ESTIMATED ANNUAL YEAR-END 2021 AUTHORIZED RECOVERY COMPANY PROGRAM MODERNIZATION RATE BASE PROGRAM ROE MECHANISM INVESTMENTS PROGRAM INVESTMENTS Columbia Gas of OH $3.9B 9.60%(1) ~$10.6B $520M - $600M Tracked Rate Case (Forward Columbia Gas of PA $2.4
Slide 12: Safety and Infrastructure Investment and Tracker Filing Details
SAFETY AND INFRASTRUCTURE INVESTMENT AND TRACKER FILING DETAILS INCREMENTAL INVESTMENTS RECOVERY COMPANY MECHANISM PERIOD AMOUNT ($M) EFFECTIVE DATE Infrastructure Replacement Program FY 2020 $212.6 May 2021 Columbia Gas of Ohio (IRP) FY 2021 May 2022 $232.9 FY 2020 $177.2 Sept 2021 Columbia Gas of
Slide 13: Robust Renewable Investments in Indiana
Robust Renewable INVESTMENTS in Indiana NIPSCO Estimated JV Projects Status Investment ($M) In Service Rosewater Wind ~$100 2020 Complete Indiana Crossroads Wind ~$300 2021 Complete Dunns Bridge I Solar JV: 265 Dunns Bridge I Solar ~$240 2Q23 Under Construction Dunns Bridge II Solar + Storage JV: 43
Slide 14: Environmental, Social & Governance (ESG)
ENVIRONMENTAL, SOCIAL & GOVERNANCE (ESG) NiSource's Corporate Strategy is Aligned with Commitment to Best-In-Class ESG Practices 42 * Compared to 2005 baseline Data based on latest ESG Report – can be found on investors.nisource.com NiSource | NYSE: NI | nisource.com | 14
Slide 15: Appendix
APPENDIX 3Q 2022 RESULTS NiSource | NYSE: NI | nisource.com |
Slide 16: Liquidity and Capitalization as of 3Q 2022
LIQUIDITY AND CAPITALIZATION AS OF 3Q 2022 ($M) CURRENT LIQUIDITY ACTUAL 9/30/22 MATURITY Revolving Credit Facility $1,850.0 Feb. 18, 2027 Accounts Receivable Programs* 318.2 Less: Drawn on Credit Facility — Commercial Paper 956.0 Accounts Receivable Programs Utilized 318.2 L/C's Outstanding Under C
Slide 17: Schedule 1 - Reconciliation of Consolidated Net Income to Net Operating Earnings
NiSource Inc. Schedule 1 - Reconciliation of Consolidated Net Income Available to Common Shareholders to Net Operating Earnings Available to Common Shareholders (Non-GAAP) (unaudited) NiSource | NYSE: NI | nisource.com | 17
Slide 18: Schedule 2 - Reconciliation by Segment (GAAP to Non-GAAP)
NiSource Inc. Schedule 2 - Reconciliation by Segment of Operating Revenues, Expenses (Benefits), and Income (Loss) (GAAP) to Operating Revenues, Expenses (Benefits), and Income (Loss) (Non-GAAP) (unaudited) See footnote descriptions contained with Schedule 1. NiSource | NYSE: NI | nisource.com | 18
Slide 19: Schedule 2 - Reconciliation by Segment (GAAP to Non-GAAP)
NiSource Inc. Schedule 2 - Reconciliation by Segment of Operating Revenues, Expenses (Benefits), and Income (Loss) (GAAP) to Operating Revenues, Expenses (Benefits), and Income (Loss) (Non-GAAP) (unaudited) See footnote descriptions contained with Schedule 1. NiSource | NYSE: NI | nisource.com | 19