Northwest Natural reported third quarter 2026 results characterized by a seasonal loss that slightly exceeded analyst expectations, though revenues beat estimates. The company successfully navigated several major regulatory hurdles, securing rate increases in Washington and Oregon while reaching a settlement in Texas. These constructive outcomes, combined with disciplined cost management and steady customer growth, allowed management to raise the full-year earnings outlook.
Key Highlights
- Guidance Raised: Increased the 2026 EPS guidance range to $3.10 – $3.20, up from the previous range of $2.95 – $3.15, citing strong year-to-date execution.
- Constructive Regulatory Outcomes: Secured a $20.1 million first-year revenue increase in Washington effective August 1, 2026, and a $13.0 million annual revenue increase in Oregon via the alternative rate mechanism.
- Infrastructure and Growth: Added approximately 17,000 gas and water utility connections over the trailing 12 months (1.8% growth) while investing $373 million in system reliability through September.
- Dividend Milestone: Declared a quarterly dividend of $0.50 per share, marking the 71st consecutive year of increases and the largest hike since 2012.