NJR

Image source: The Motley Fool. Tuesday, Aug. 4, 2026 at 9:00 a.m. ET Director of Investor Relations - Adam Prior President and Chief Executive Officer - Stephen D. Westhoven Senior Vice President and Chief Financial Officer - Roberto Bel Need a quote from a Motley Fool analyst? Email [email protected] Operator: Hello, everyone. Thank you for joining us, and welcome to the New Jersey Resources Fiscal 2026 Quarter 3 and year-to-date Webcast and Conference Call. My name is Matthew, and I will be your moderator today. Please note that today's call will be recorded. [Operator Instructions] I will now hand the conference over to Adam Prior, Director of Investor Relations. Adam, please go ahead. Adam Prior: Thank you. Welcome to New Jersey Resources Fiscal 2026 Third Quarter and -- year-to-date Conference Call and Webcast. I am joined here today by Steve Westhoven, our President and CEO; Roberto Bel, our Senior Vice President and Chief Financial Officer; as well as other members of our senior management team. Certain statements in today's call contain estimates and other forward-looking statements within the meaning of the securities laws. We wish to caution listeners of this call that the current expectations, assumptions and beliefs forming the basis for our forward-looking statements include many factors that are beyond our ability to control or estimate precisely. This could cause results to materially differ from our expectations as found on Slide 2. These items can also be found in the forward-looking statements section of yesterday's earnings release furnished on Form 8-K and in our most recent Forms 10-K and 10-Q as filed with the SEC. We do not, by including this statement, assume any obligation to review or revise any particular forward-looking statement referenced herein in light of future events. We will also be referring to certain non-GAAP financial measures such as net financial earnings or NFE. We believe that NFE, net financial loss, utility gross margin, financial margin, adjusted EBITDA, adjusted funds from operations and adjusted debt provide a more complete understanding of our financial performance. However, these non-GAAP measures are not intended to be a substitute for GAAP. Our non-GAAP financial measures are discussed more fully in Item 7 of our 10-K. The slides for today's presentation are available on our website and were furnished on our Form 8-K filed yesterday. Steve will start with this quarter's highlights and a business unit overview, beginning on Slide 5. Roberto will then review our financial results. Then we'll open it up for your questions. With that said, I'll turn the call over to our President and CEO, Steve Westhoven. Please go ahead, Steve. Stephen D. Westhoven: Thanks, Adam. NJR delivered a solid performance for this quarter, driven by disciplined execution across our complementary businesses. At New Jersey Natural Gas, we've taken important steps to balance affordability for our customers while continuing to invest in the reliability of our system. We reached a key regulatory milestone at S&T, receiving the first certificate for our expansion at Leaf River ahead of schedule, allowing us to advance the project and support the growth opportunities we see ahead. At Clean Energy Ventures, we continue to add in-service capacity and advance a deep pipeline of investment options while maintaining the flexibility to deploy capital where it generates the best returns. Overall, the consistent execution you're seeing across our businesses supports our outlook for the year and positions us well for continued growth. With that, I'll turn to New Jersey Natural Gas. As we think about our role as a utility, our objective is to deliver the most affordable energy possible for our customers while also investing to ensure the continued reliability and resilience of our system. That philosophy is reflected in the filings we submitted to the BPU on June 1. Taken together, these filings are designed to provide our customers with meaningful bill relief ahead of this upcoming winter, while also supporting the long-term investments necessary to serve our customers safely and reliably. Importantly, we structured these filings as a cohesive package, combining adjustments to our gas supply, conservation and energy efficiency programs alongside our base rate case. From an overall bill perspective, the goal is straightforward, providing stability for our customers with bills expected to remain nearly flat once all elements of the filings are implemented. So when you step back, this is all about balance, delivering affordability today while continuing to make investments required to serve our customers over the long term. From there, I'll turn to Storage and Transportation on the next slide. At S&T, the drivers of the business remain consistent with what we've discussed previously. In the near term, S&T's performance is supported by favorable recontracting, which provides strong visibility into earnings and reinforces the stability of the business. Looking ahead, we expect this uplift to support a doubling of earnings from fiscal 2025 to 2027. At the same time, we are making progress on future growth opportunities at Leaf River. Our capacity expansion project remains on track. We recently received our FERC certificate, a significant regulatory milestone that supports our expected development time line. Overall, this is a business where we see a combination of near-term certainty and long-term growth, supported by both strong market fundamentals and disciplined execution through the investment in organic growth opportunities. With that, I'll turn to Clean Energy Ventures on Slide 8. At CEV, we continue to make steady progress with additional capacity being placed into service. At the same time, we're focused on maintaining a portfolio that maximizes the value of our existing interconnections, positions us well to help address growing capacity needs. Our project pipeline provides a broad set of investment opportunities with multiple ways to deploy capital, whether through new project development or by enhancing and optimizing existing sites. That flexibility is intentional. It allows us to remain disciplined in how we invest while maintaining the ability to adapt to evolving market conditions, regulatory changes and opportunities. So overall, we feel very good about both the progress we've made and the strength of the platform we're continuing to build. I'll turn the call over to Roberto for a financial review and then return for a few closing remarks. Roberto? Roberto Bel: Thanks, Steve. Turning to Slide 10. Based on performance through the first 9 months, we're tightening our fiscal 2026 and NFEPS guidance range to $3.52 to $3.62 per share, narrowing the range while increasing the midpoint. This update reflects greater visibility into full year results and the ongoing benefit of our diversified model. With that context, let me walk through the quarter in more detail on Slide 11. Fiscal 2026 third quarter consolidated net financial earnings were $11.3 million or $0.11 per share, an increase over the $6.2 million or $0.06 per share reported in the third quarter of fiscal 2025. Results for the quarter reflect improved contributions across several businesses with higher earnings at Clean Energy Ventures as additional projects have been placed into service, along with continued uplift at Storage and Transportation, driven by favorable recontracting activity. For the year-to-date period, the higher net loss at CEV simply reflects last year's onetime gain resulting from the sale of our residential solar business. With that, let's turn to our capital plan on the next slide. We deployed approximately $630 million across our businesses year-to-date. New Jersey Natural Gas represented roughly 2/3 of total capital spend with increased investment focused on core infrastructure, particularly in safety and reliability as we continue to support system resiliency and customer growth. For fiscal 2026, we have increased our capital investment expectations to a range of $815 million to $950 million, up from our prior outlook of $775 million to $930 million. This increase is primarily driven by additional investments at the utility, reflecting our focus on safety and reliability initiatives. At Clean Energy Ventures, we're maintaining our current investment range, reflecting the depth of opportunities in our project pipeline and the flexibility we have in deploying capital. Based on projects already underway, we remain confident in achieving the lower end of that range with project optionality that would move us towards the top end. We do not have any change to our estimates for fiscal 2027, and we're reaffirming our 5-year CapEx outlook of $4.8 billion to $5.2 billion through fiscal 2030. This level of investment supports our 7% to 9% long-term NFEPS growth target while remaining consistent with strong credit metrics. Our capital plan remains highly visible and originates from a diverse set of investment opportunities across our complementary businesses rather than being dependent on any single project or outcome. We expect to provide further clarity as we roll our outlook forward in November. Turning to our balance sheet on Slide 13. The cash generation prevalent throughout our businesses is the main source of funding for our capital plan. We expect our adjusted FFO to adjusted debt ratio to exceed 20% in fiscal 2026, reflecting the stability of our earnings and our disciplined approach to capital allocation. From a liquidity standpoint, we have substantial available capacity and maintain a well-laddered debt maturity profile that limits near-term refinancing risk and positions us well across different market environments. Together, these factors reinforce the strength of our financial position and our ability to execute on our long-term plan. Turning to Slide 14. We're tightening our fiscal 2026 and NFEPS guidance range to $3.52 to $3.62 per share, reflecting improved performance through the year and raising the midpoint of our range. We tightened our expected segment contribution ranges with relatively minor changes compared to our second quarter conference call. As we look ahead, we expect to revisit our segment mix in November as we roll our fiscal 2027 outlook forward and normalize expectations, consistent with our approach each year. With that, I'll turn to Steve for concluding remarks on Slide 15. Stephen D. Westhoven: Thanks, Roberto. Overall, NJR is executing well and remains on track to achieve our long-term growth objectives. Our outlook remains anchored by our regulated utility with continued capital investment in New Jersey Natural Gas, helping to ensure safe and reliable operations while supporting long-term growth. At the same time, natural gas remains one of the lowest cost ways to heat a home, reinforcing its value proposition for customers. Storage and Transportation is well positioned, supported by near-term earnings visibility and additional upside as expansion opportunities progress. At Clean Energy Ventures, our portfolio is scaling as expected, driven by a secured development pipeline and disciplined capital deployment. This consistent execution reflects the strength and durability of our business model and gives us confidence in the path ahead. Finally, I want to take a moment to thank our employees across NJR. Over the past year, we've talked a lot about our performance during a demanding winter, speaking to the reliability of our system. And more recently, we were tested again by the extreme heat and severe storms. During these moments, the commitment of our people truly shines, such as our home services employees working through extreme heat to ensure customers remain comfortable and safe. When we perform through conditions like this, it reflects the strength of our infrastructure and the dedication of our people, and that's something we're incredibly proud of and thankful for. With that, let's open up the line for questions. Operator: [Operator Instructions] Your first question comes from the line of Elias Jossen of JPMorgan. Elias Jossen: Just wanted to start on the rate case in New Jersey. Just thinking about some of the backdrops on affordability and some of the EO1 legislation that we've seen and the report from the BPU. How should we think about that filing in the context of the broader climate, recognizing that you guys have had pretty strong outcomes in the past. And obviously, gas is in a different position than electric, but just curious thoughts there. Stephen D. Westhoven: Eli, thanks for the question. So you saw our filing back in June where we combined our rate case with a number of other filings to really protect cost for consumers. Obviously, that was done purposely. So we're well aware of the cost issues for consumers. So moving forward, the process to date has been normal. And you're going to see as we move through this process, hopefully, just a normal cycle going forward. Just one other note there to add to that, natural gas is the cheapest way to heat your home and business. So we feel like we're in a good position. And we look forward to just working through the process. Elias Jossen: Awesome. And then maybe just thinking about some of the recent strength in the context of your guidance. Obviously, you guys are tracking well above where we would think '27 would be. Can you just remind us how you think about rebasing? And obviously, just in the context of what implied '27 numbers would be and when you might think about updating that rebasing? Roberto Bel: This is Roberto. Thanks for the question. So we're going to provide our guidance in November for the next year. But as we usually do in -- we base our guidance on the 7% to 9% from a starting point, and that's not changing. If you remember, the starting point was $2.73 for 2025. So from there on, you can grow your 7% to 9%, and that's kind of what you should expect. Operator: Your next question comes from the line of Constantine Lednev of Wells Fargo. Constantine Lednev: Congrats on a solid quarter. Maybe just a quick follow-up on kind of some of the rate case questions. Any feedback that you have been receiving from kind of the bill mitigation proposals? And do you see any structural differences with this cycle versus prior cycles? I guess maybe another way to ask, is there kind of opportunities to settle similar to prior cases? Stephen D. Westhoven: So I mean, this hasn't been any different than any other rate case. Just a little extra color. This is a normal kind of plain vanilla rate case like we've had before. So really no differences, and we've just started the process. So not a lot of color, but I guess, if anything, not any differences to point out at this point. Constantine Lednev: Okay. And then maybe small follow-up kind of to the EO1 kind of business -- utility business strategy review. The recommendations obviously kind of came out earlier, a couple of months earlier. But do you see kind of any core sticking points? I guess, is there opportunities for more certainty through this process through anything like a multiyear or formulaic ratemaking process? Does that kind of create some considerations for the BPU in the near term? Stephen D. Westhoven: Yes. I think that needs to play out a little bit more. To date, those executive orders have really been focused on the electric companies. We have not been closely involved in it. But we're certainly watching it for opportunities, just like you pointed out that if we can make this a smoother process for all, we certainly look to do so. But right now, kind of being opportunistic with this process at this point. Constantine Lednev: Okay. Understood. And then maybe a short kind of housekeeping follow-up. Just on the incremental S&T capacity kind of moving up and even kind of going beyond the 55 Bcf. Do you kind of anticipate the same capital intensity kind of going forward through time? And maybe any color on kind of the recontracting, contracting the incremental capacity, any kind of pricing data points that you're seeing? Stephen D. Westhoven: I mean there's certainly strong demand for the services that our midstream facilities provide. As far as moving forward, I'd expect that expansions would continue and that capital intensity would continue. So I think there is opportunities. We've got the ability to expand Adelphia Gateway, add compression and do other things. None of these are in our capital plan currently, but we would expect to continue to invest in those assets because they are very valuable market and those services are being sought after. And you can see that reflected in the recontracting rates and the increases that we're seeing there. Constantine Lednev: Right. And then would that be covered kind of by the roll-forward update next quarter? Or is that -- is there some more kind of, I guess, contemplation embedded in there? Stephen D. Westhoven: I mean when we do our next year's in November and our capital plan, we'll be -- you'll see that, I guess, in the next call, and we'll provide for more detail. But I don't really expect it to deviate from what I just described. Operator: Your next question comes from the line of Gabe Moreen with Mizuho. Dylan Lipner: This is Dylan Lipner on for Gabe. Congrats on a good quarter. I want to pivot to a little stuff on CEV here. How do you expect the ongoing debate around capacity markets, resource adequacy and interconnection reform to impact CEV's project pipeline and long-term returns? Stephen D. Westhoven: So we see opportunity with CEV. We've talked about it before, the ability to use our existing interconnect and existing infrastructure to expand and add to the capacity markets. Capacity is more valuable. That's what we need to add to the grid in order to lower prices to consumers. So we're looking at ways to be able to participate in that. And we said for a long time, the cheapest way to basically add new capacity to the market is through your existing infrastructure, and we have considerable existing infrastructure, not only in New Jersey, but in the Northeast. So being able to add to that should be the next best cost to the grid. So we're working at ways -- we're looking at ways to do that. This CapEx really isn't in our plan at this point in time. It's just new solar build in CEV at this point. So it would be additive to the plan. And when we come up with a structure and have some more firmness around how we invest this capital, we'll share it. But suffice to say that we're optimistic about participating in this market longer term. Dylan Lipner: Got you. And are you guys garnering a lot more interest given how much of a topic of debate this has become for CEV? Stephen D. Westhoven: Yes. I mean there's interest, right? There's interest in adding capacity to the market. And the load factor on our interconnects is not 100%. So there's room to be able to use existing infrastructure to do so. It's just a matter of coming up with the right structure and the right investment and the right returns and the right risk profile in order for us to make an investment. And rest assured, that's something we're working very hard on. Dylan Lipner: Got you. Is this something we can potentially see on the next quarter call with the guidance revamp? Stephen D. Westhoven: I mean it's hard to predict exactly when you're going to break through. It would be nice to see in the next call, but I can't make kind of a prediction at this point. Operator: There are no further questions at this time. I will now turn the call back to Adam Prior for closing remarks. Adam Prior: Thank you, and I'd like to thank all of you for joining us. As always, we appreciate your interest and investment in NJR, and have a good rest of your day. Operator: This concludes today's call. Thank you for attending. You may now disconnect. Before you buy stock in New Jersey Resources, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and New Jersey Resources wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $399,832!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,374,595!* Now, it’s worth noting Stock Advisor’s total average return is 968% — a market-crushing outperformance compared to 215% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of August 10, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. New Jersey Resources (NJR) Q3 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in NewJersey Resources Corporation? Here are five stocks we like better. NJR raised and narrowed its fiscal 2026 earnings guidance to $3.52–$3.62 per share, citing stronger contributions from Clean Energy Ventures and Storage and Transportation. Third-quarter net financial earnings rose to $11.3 million, or $0.11 per share, from $6.2 million a year earlier. The company increased its fiscal 2026 capital-investment outlook to $815 million–$950 million, primarily for New Jersey Natural Gas safety, reliability and infrastructure projects, while reaffirming its $4.8 billion–$5.2 billion five-year capital plan through fiscal 2030. NJR highlighted growth opportunities in storage, transportation and clean energy, including the Adelphia Gateway expansion and potential capacity additions using existing infrastructure. New Jersey Natural Gas also filed proposals intended to provide customer bill relief while maintaining long-term system investments. NewJersey Resources (NYSE:NJR) tightened its fiscal 2026 net financial earnings per share guidance after reporting higher third-quarter earnings, citing improved contributions from its Clean Energy Ventures and Storage and Transportation businesses. The company now expects fiscal 2026 net financial earnings per share of $3.52 to $3.62, narrowing its prior range while raising its midpoint. Chief Financial Officer Roberto Bel said the update reflects increased visibility into full-year results and benefits from the company’s diversified business model. → SpaceX’s First Earnings Report Could Decide Whether Shorts or Bulls Have Control Third-quarter consolidated net financial earnings totaled $11.3 million, or $0.11 per share, compared with $6.2 million, or $0.06 per share, in the corresponding fiscal 2025 period. Bel attributed the improvement to additional Clean Energy Ventures projects entering service and favorable recontracting activity at Storage and Transportation. For the year-to-date period, Bel noted that a higher net loss at Clean Energy Ventures reflected a comparison with the prior year, when the company recorded a one-time gain from the sale of its residential solar business. → 3 Drone Stocks That Should Soar After the Summer Slump NJR deployed approximately $630 million in capital across its businesses through the first nine months of fiscal 2026. About two-thirds of that spending went to New Jersey Natural Gas, with investments concentrated on core infrastructure, system safety, reliability and resiliency, according to management. The company increased its fiscal 2026 capital-investment outlook to $815 million to $950 million, from a prior range of $775 million to $930 million. The higher forecast is primarily tied to additional utility investments focused on safety and reliability initiatives. → Why Rare Earth Processing Could Be the Real 2027 Opportunity Management maintained its investment range for Clean Energy Ventures. Bel said the company is confident it can reach the lower end of that range based on projects already underway, while retaining the option to move toward the upper end as it evaluates its project pipeline. NJR did not change its fiscal 2027 estimates and reaffirmed a five-year capital-expenditure outlook of $4.8 billion to $5.2 billion through fiscal 2030. The company said the plan supports its long-term target of 7% to 9% growth in net financial earnings per share while remaining consistent with its credit objectives. Bel also said NJR expects its adjusted funds from operations-to-adjusted debt ratio to exceed 20% in fiscal 2026. He cited cash generation from the company’s businesses, available liquidity and a well-laddered debt-maturity schedule as support for its capital plan. President and Chief Executive Officer Stephen Westhoven said New Jersey Natural Gas filed a package of proposals with the New Jersey Board of Public Utilities on June 1 that combines changes to gas supply, conservation and energy-efficiency programs with a base-rate case. The objective is to give customers bill relief before the coming winter while continuing to fund long-term system investments, Westhoven said. Once the filing elements are implemented, customer bills are expected to remain “nearly flat,” according to the company. During the question-and-answer session, Westhoven characterized the proceeding as a “normal kind of plain vanilla rate case” and said management had not seen meaningful differences from previous rate cases. He said the company remains focused on affordability and noted that natural gas is the lowest-cost way to heat homes and businesses, according to management. Westhoven said the state’s executive-order-related utility review has primarily focused on electric companies so far. NJR is monitoring the process for potential opportunities, including changes that could make regulatory processes smoother, but has not been closely involved, he said. NJR’s Storage and Transportation business received a Federal Energy Regulatory Commission certificate for its Adelphia Gateway expansion ahead of schedule, a milestone Westhoven said supports the project’s expected development timeline. The business continues to benefit from favorable recontracting, and management expects that uplift to support a doubling of Storage and Transportation earnings from fiscal 2025 to fiscal 2027. Westhoven said demand remains strong for the company’s midstream services and indicated that potential future expansions could include further Adelphia Gateway development, compression additions and other investments. Those potential projects are not included in the current capital plan. NJR said it expects to provide additional detail when it updates its fiscal 2027 outlook and capital plan in November. At Clean Energy Ventures, the company continues to place capacity into service while pursuing development and optimization opportunities across its existing portfolio. Westhoven said NJR sees potential to use existing interconnections and infrastructure in New Jersey and the Northeast to add capacity to power markets. He said any such investment would be additive to the current plan and would require an appropriate structure, return profile and risk profile before the company commits capital. Management did not provide a timetable for when it may disclose further details. New Jersey Resources Corporation is a publicly traded energy services holding company headquartered in Wall Township, New Jersey. The firm's primary focus is on the safe and reliable distribution of natural gas, along with complementary energy services and renewable energy investments. Its operations center on delivering cost-effective solutions to residential, commercial and industrial customers throughout the state. The company's principal subsidiary, New Jersey Natural Gas, owns and operates an extensive pipeline network that spans northern, central and southern New Jersey. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "NewJersey Resources Q3 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Performance was driven by disciplined execution across complementary business units, specifically citing improved contributions from Clean Energy Ventures (CEV) as new projects entered service. Management emphasized a 'cohesive package' approach to regulatory filings, combining gas supply and conservation adjustments with a base rate case to keep customer bills nearly flat despite infrastructure investment. The Storage and Transportation (S&T) segment is benefiting from favorable recontracting, which provides high earnings visibility and supports a projected doubling of segment earnings from fiscal 2025 to 2027. A key regulatory milestone was achieved with the early receipt of the FERC certificate for the Leaf River expansion, advancing the project timeline for future growth. Clean Energy Ventures is focusing on maximizing the value of existing interconnections to address growing capacity needs while maintaining capital deployment flexibility. The utility segment remains the anchor of the long-term growth strategy, with approximately two-thirds of year-to-date capital spend dedicated to safety, reliability, and system resiliency. Fiscal 2026 NFEPS guidance was tightened to a range of $3.52 to $3.62, effectively raising the midpoint based on year-to-date visibility and diversified business performance. The five-year capital expenditure outlook was reaffirmed at $4.8 billion to $5.2 billion through fiscal 2030, supporting a long-term NFEPS growth target of 7% to 9%. Fiscal 2026 capital investment expectations were increased to a range of $815 million to $950 million, primarily driven by accelerated safety and reliability initiatives at the utility. Management expects to maintain an adjusted FFO to adjusted debt ratio exceeding 20% for fiscal 2026, reflecting a commitment to strong credit metrics and disciplined capital allocation. Future growth in the S&T segment is anticipated through potential organic expansions at Adelphia Gateway, though these projects are not yet included in the formal capital plan. The year-to-date net loss at CEV is attributed to a difficult year-over-year comparison following a one-time gain from the sale of the residential solar business in fiscal 2025. Management highlighted the resilience of the system and workforce during recent extreme heat and severe storms as a validation of ongoing infrastructure investments. The company maintains a well-laddered debt maturity profile to mitigate near-term refinancing risks across varying market environments. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management characterized the current filing as a 'plain vanilla' rate case and noted that the process has followed a normal cycle to date. The strategy of bundling the rate case with cost-mitigation filings was explicitly designed to address consumer affordability concerns while maintaining investment levels. Management confirmed they will continue to base future guidance on a 7% to 9% growth rate from the original fiscal 2025 starting point of $2.73. Detailed fiscal 2027 guidance and segment mix updates are scheduled to be provided during the November earnings call. NJR is exploring ways to use existing interconnections to add capacity to the grid, which management views as the most cost-effective method for expansion. While these opportunities are not currently in the capital plan, they are viewed as potential upside that would be additive to the long-term growth strategy once the right risk-return profile is established.

WALL, N.J., August 03, 2026--(BUSINESS WIRE)--New Jersey Resources Corporation (NYSE: NJR) today reported financial and operating results for its fiscal 2026 third quarter and year-to-date period ended June 30, 2026. Financial Highlights Fiscal 2026 third-quarter consolidated net income of $9.7 million, or $0.10 per share, compared with net loss of $(15.1) million, or $(0.15) per share, in the third quarter of fiscal 2025 Fiscal 2026 third-quarter consolidated net financial earnings (NFE), a non-GAAP financial measure, of $11.3 million, or $0.11 per share, compared with $6.2 million, or $0.06 per share, in the third quarter of fiscal 2025 Fiscal 2026 year-to-date net income totaled $351.1 million, or $3.48 per share, compared with $320.6 million, or $3.20 per share, for the same period in fiscal 2025 Fiscal 2026 year-to-date NFE totaled $350.9 million, or $3.48 per share, compared with $313.4 million, or $3.13 per share, for the same period in fiscal 2025 Fiscal 2026 and Long-Term Outlook Tightens fiscal 2026 net financial earnings per share (NFEPS) guidance to a range of $3.52 to $3.62, from its previous range of $3.48 to $3.63 Maintains 7 to 9 percent long-term NFEPS growth target, starting from a fiscal 2025 base of $2.83 per share* Management CommentarySteve Westhoven, President and CEO of New Jersey Resources, stated, "Our year-to-date performance reflects the continued strength of our diversified business model, supported by solid execution across our operations. We are pleased to raise the lower end of our fiscal 2026 NFEPS guidance, as we remain focused on delivering reliable, affordable energy and long-term value for our shareowners." Fiscal 2026 NFEPS Guidance and Expected NFE Contributions by SegmentNJR is tightening its fiscal 2026 NFEPS guidance to a range of $3.52 to $3.62 from $3.48 to $3.63, subject to the risks and uncertainties identified below under "Forward-Looking Statements." The following chart represents NJR’s current expected NFE contributions from its business segments for fiscal 2026: In providing fiscal 2026 NFE guidance, management is aware that there could be differences between reported GAAP net income and NFE due to matters such as, but not limited to, the positions of our energy-related derivatives. Management is not able to reasonably estimate the aggregate impact or significance of these items on reported earnings and, therefore, is not able to provide a reconciliation to the corresponding GAAP equivalent for its operating earnings guidance without unreasonable efforts. Financial Metrics Net Financial Earnings (Loss) by Business Segment New Jersey Natural Gas (NJNG)NJNG reported fiscal 2026 third-quarter NFE of $6.1 million, compared to NFE of $10.1 million during the same period in fiscal 2025. The decrease in NFE for the period was driven primarily by higher depreciation expense as a result of additional utility plant being placed into service, partially offset by higher utility gross margin. Fiscal 2026 year-to-date NFE totaled $238.4 million, compared with NFE of $221.5 million for the same period in fiscal 2025. The increase in NFE for the period was due to higher base rates in October and November of fiscal 2026 compared to the same period of fiscal 2025 (new rates were effective November 21, 2024) as well as continued customer growth and higher Basic Gas Supply Service (BGSS) incentives. Customers: At June 30, 2026, NJNG serviced approximately 595,000 customers in New Jersey’s Monmouth, Ocean, Morris, Middlesex, Sussex and Burlington counties, compared to approximately 589,000 customers as of September 30, 2025. Regulatory Filings: On June 1, 2026, NJNG submitted its annual Basic Gas Supply Service (BGSS), Conservation Incentive Program (CIP) and Energy-Efficiency filings to the New Jersey Board of Public Utilities (BPU) that, taken together, would provide customers with an 8.9% reduction in customer bills in advance of the 2026-2027 winter season – a $158 annual savings for the average residential customer – and bill stability while seeking recovery for investments in the continued delivery of safe, reliable natural gas service, which is the most affordable energy to heat homes and businesses. Also, on June 1, 2026, NJNG filed a base rate case with the BPU, seeking a $157.6 million increase to its base rates. The filing is based on an overall rate of return on rate base of 7.60 percent with a return on common equity of 10.10 percent. The proposed increase reflects a 55.50 percent common equity component. Once all filings are implemented, NJNG anticipates that the overall net result will leave NJNG annualized average customer bills nearly flat compared to today’s rates. Unless otherwise noted, NJNG cannot predict the outcome or ultimate resolution for open regulatory matters. BGSS Incentive Programs1: BGSS incentive programs contributed $20.4 million to utility gross margin during the first nine months of fiscal 2026, compared with $14.5 million for the same period in fiscal 2025. This increase was primarily driven by increased margins from off-system sales and capacity release due to market volatility as a result of colder weather. For more information on utility gross margin, please see "Non-GAAP Financial Information" below. Energy-Efficiency Programs: SAVEGREEN® invested $78.8 million in the first nine months of fiscal 2026 in energy-efficiency upgrades for customers' homes and businesses. Investments in SAVEGREEN® are incremental to rate base and earn near-real time returns through an annual recovery mechanism. More than 115,000 customers have taken part in SAVEGREEN® to date, with those utilizing our whole home offerings realizing bill savings of up to 30%. Clean Energy Ventures (CEV)CEV reported fiscal 2026 third-quarter net financial loss of $(0.3) million, compared with $(6.9) million during the third quarter of fiscal 2025, reflecting higher revenue, partially offset by higher depreciation and interest expense associated with capital invested over the past year. Fiscal 2026 year-to-date NFE totaled $4.1 million, compared with NFE of $37.3 million for the same period in fiscal 2025. The decrease was primarily due to a gain from the sale of CEV's residential solar portfolio assets that was recognized in the prior year period. Solar Investment Update: During the first nine months of fiscal 2026, CEV placed eight commercial projects into service, adding 57.8 megawatts (MW)* to installed capacity. As of June 30, 2026, CEV had approximately 537MW of commercial solar capacity in service across New Jersey, New York, Connecticut, Pennsylvania, Rhode Island, Indiana, and Michigan. Storage and Transportation (S&T)S&T reported fiscal 2026 third-quarter NFE of $8.8 million, compared with NFE of $5.9 million during the same period in fiscal 2025. Fiscal 2026 year-to-date NFE totaled $23.8 million, compared with NFE of $13.9 million for the same period in fiscal 2025. NFE increased during both periods mainly due to higher operating income at Adelphia Gateway (Adelphia) primarily due to the impact of its Section 4 rate case settlement and higher firm storage rates at Leaf River. Energy Services (ES)ES reported fiscal 2026 third-quarter net financial loss of $(4.0) million, remaining largely flat compared with net financial loss of $(3.7) million for the same period in fiscal 2025. Fiscal 2026 year-to-date NFE totaled $84.5 million, compared with NFE of $39.4 million for the same period in fiscal 2025. The increase in NFE was primarily due to higher natural gas price volatility that allowed ES to capture additional financial margin. Home Services and Other OperationsHome Services and Other Operations reported fiscal 2026 third-quarter NFE of $0.6 million, compared with $0.5 million for the same period in fiscal 2025. Fiscal 2026 year-to-date NFE totaled $0.8 million, compared with NFE of $0.4 million for the same period in fiscal 2025. Capital Expenditures and Cash Flows: During the first nine months of fiscal 2026, capital expenditures were $553.0 million, including accruals, compared with $456.8 million during the same period in fiscal 2025. The increase in capital expenditures was primarily due to higher expenditures at NJNG and CEV. NJR expects to deploy between $4.8 billion and $5.2 billion in capital expenditures through 2030, with utility spending at NJNG representing over 60% of the investment, all planned CEV capital expenditures safe-harbored to preserve tax credit eligibility, and strategic growth opportunities at S&T supporting long-term value creation. During the first nine months of fiscal 2026, cash flows from operations increased to $577.8 million, compared to cash flows from operations of $385.2 million in the same period in fiscal 2025, due primarily to an increase in financial margin at ES and higher base rates at NJNG. Conference Call to be Webcast on August 4, 2026New Jersey Resources will host a live webcast of its fiscal 2026 third quarter financial results on Tuesday, August 4, 2026, at 10 a.m. ET. A few minutes prior to the webcast, visit www.njresources.com and select "Investor Relations." Scroll down and click the webcast link under "Latest Events" on the right side of the page. About New Jersey ResourcesNew Jersey Resources (NYSE: NJR) is a diversified energy infrastructure and energy services company headquartered in Wall, New Jersey. NJR is composed of five primary businesses: New Jersey Natural Gas, NJR’s principal subsidiary, operates and maintains natural gas transportation and distribution infrastructure to serve customers in New Jersey’s Monmouth, Ocean, Morris, Middlesex, Sussex and Burlington counties. Clean Energy Ventures invests in, owns and operates solar projects, providing customers with low-carbon solutions. Energy Services manages a diversified portfolio of natural gas transportation and storage assets and provides physical natural gas services and customized energy solutions to its customers across North America. Storage and Transportation serves customers from local distributors and producers to electric generators and wholesale marketers through its ownership of Leaf River and the Adelphia Gateway pipeline, as well as our 50% equity ownership in the Steckman Ridge natural gas storage facility. Home Services provides service contracts as well as heating, central air conditioning, water heaters, standby generators and other indoor and outdoor comfort products to residential homes throughout New Jersey. NJR and its over 1,300 employees are committed to helping customers save energy and money by promoting conservation and encouraging efficiency through Conserve to Preserve® and initiatives such as SAVEGREEN®. For more information about NJR:www.njresources.com. Follow us on X.com (Twitter) @NJNaturalGas."Like" us on facebook.com/NewJerseyNaturalGas. Forward-Looking Statements:This earnings release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. NJR cautions readers that the assumptions forming the basis for forward-looking statements include many factors that are beyond NJR’s ability to control or estimate precisely, such as expectations regarding future market conditions and the behavior of other market participants. Words such as "anticipates," "estimates," "expects," "projects," "may," "will," "intends," "plans," "believes," "should" and similar expressions may identify forward-looking statements and such forward-looking statements are made based upon management’s current expectations, assumptions and beliefs as of this date concerning future developments and their potential effect upon NJR. There can be no assurance that future developments will be in accordance with management’s expectations, assumptions and beliefs or that the effect of future developments on NJR will be those anticipated by management. Forward-looking statements in this earnings release include, but are not limited to, statements regarding NJR’s NFEPS guidance for fiscal 2026, projected NFEPS growth rates and our guidance range, forecasted contributions of business segments to NJR’s NFE for fiscal 2026, our capital plan through 2030, including our capital expenditure projections through 2030, infrastructure programs and investments, future decarbonization opportunities including IIP, Energy Efficiency programs; the outcome or timing of our Base Rate Case and other filings with the BPU, and other legal and regulatory expectations and statements that include other projections, predictions, expectations or beliefs about future events or results or otherwise are not statements of historical fact. Additional information and factors that could cause actual results to differ materially from NJR’s expectations are contained in NJR’s filings with the U.S. Securities and Exchange Commission (SEC), including NJR’s Annual Reports on Form 10-K and subsequent Quarterly Reports on Form 10-Q, recent Current Reports on Form 8-K, and other SEC filings, which are available at the SEC’s website, http://www.sec.gov. Information included in this earnings release is representative as of today only and while NJR periodically reassesses material trends and uncertainties affecting NJR's results of operations and financial condition in connection with its preparation of management's discussion and analysis of results of operations and financial condition contained in its Quarterly and Annual Reports filed with the SEC, NJR does not, by including this statement, assume any obligation to review or revise any particular forward-looking statement referenced herein in light of new information, future events or otherwise, except as required by law. Non-GAAP Financial Information:This earnings release includes the non-GAAP financial measures NFE/net financial loss, NFE per basic share, financial margin and utility gross margin. A reconciliation of these non-GAAP financial measures to the most directly comparable financial measures calculated and reported in accordance with GAAP can be found below. As an indicator of NJR’s operating performance, these measures should not be considered an alternative to, or more meaningful than, net income or operating revenues as determined in accordance with GAAP. This information has been provided pursuant to the requirements of SEC Regulation G. NFE and financial margin exclude unrealized gains or losses on derivative instruments related to NJR’s unregulated subsidiaries and certain realized gains and losses on derivative instruments related to natural gas that has been placed into storage at ES, net of applicable tax adjustments as described below. Financial margin also differs from gross margin as defined on a GAAP basis as it excludes certain operations and maintenance expense and depreciation and amortization expenses as well as the effects of derivatives as discussed above. Volatility associated with the change in value of these financial instruments and physical commodity reported on the income statement in the current period. In order to manage its business, NJR views its results without the impacts of the unrealized gains and losses, and certain realized gains and losses, caused by changes in value of these financial instruments and physical commodity contracts prior to the completion of the planned transaction because it shows changes in value currently instead of when the planned transaction ultimately is settled. An annual estimated effective tax rate is calculated for NFE purposes and any necessary quarterly tax adjustment is applied to ES. NJNG’s utility gross margin is defined as operating revenues less natural gas purchases, sales tax, and regulatory rider expenses. This measure differs from gross margin as presented on a GAAP basis as it excludes certain operations and maintenance expense and depreciation and amortization. Utility gross margin may also not be comparable to the definition of gross margin used by others in the natural gas distribution business and other industries. Management believes that utility gross margin provides a meaningful basis for evaluating utility operations since natural gas costs, sales tax and regulatory rider expenses are included in operating revenues and passed through to customers and, therefore, have no effect on utility gross margin. Management uses these non-GAAP financial measures as supplemental measures to other GAAP results to provide a more complete understanding of NJR’s performance. Management believes these non-GAAP financial measures are more reflective of NJR’s business model, provide transparency to investors and enable period-to-period comparability of financial performance. A reconciliation of all non-GAAP financial measures to the most directly comparable financial measures calculated and reported in accordance with GAAP can be found below. For a full discussion of NJR’s non-GAAP financial measures, please see NJR’s most recent Annual Report on Form 10-K, Item 7. NFE is a measure of earnings based on the elimination of timing differences surrounding the recognition of certain gains or losses to effectively match the earnings effects of the economic hedges with the physical sale of natural gas and, therefore, eliminate the impact of volatility to GAAP earnings associated with the derivative instruments. To the extent we utilize forwards, future or other derivatives to hedge natural gas transactions and forecasted SREC production, the resulting unrealized gains and losses are also eliminated from NFE. ES economically hedges its natural gas inventory with financial derivative instruments and calculates the related tax effect based on the statutory rate. NFE also excludes certain transactions associated with equity method investments, including impairment charges, which are non-cash charges, and return of capital in excess of the carrying value of our investment. These are not indicative of the Company's performance for its ongoing operations. Included in the tax effects are current and deferred income tax expense corresponding with the components of NFE. View source version on businesswire.com: https://www.businesswire.com/news/home/20260802488056/en/ Contacts Media Contact: Mike [email protected] Investor Contact: Adam [email protected]

New Jersey Resources (NJR) came out with quarterly earnings of $0.11 per share, beating the Zacks Consensus Estimate of $0.06 per share. This compares to earnings of $0.06 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +83.33%. A quarter ago, it was expected that this energy services holding company would post earnings of $1.89 per share when it actually produced earnings of $2.2, delivering a surprise of +16.4%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. New Jersey Resources, which belongs to the Zacks Utility - Gas Distribution industry, posted revenues of $349.18 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 4.27%. This compares to year-ago revenues of $298.95 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. New Jersey Resources shares have added about 25.5% since the beginning of the year versus the S&P 500's gain of 9.4%. While New Jersey Resources has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for New Jersey Resources was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.16 on $379.41 million in revenues for the coming quarter and $3.58 on $2.24 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Utility - Gas Distribution is currently in the bottom 31% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, UGI (UGI), is yet to report results for the quarter ended June 2026. The results are expected to be released on August 5. This natural gas and electric utilities operator. is expected to post quarterly loss of $0.35 per share in its upcoming report, which represents a year-over-year change of -3400%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. UGI's revenues are expected to be $1.55 billion, up 11.1% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report NewJersey Resources Corporation (NJR) : Free Stock Analysis Report UGI Corporation (UGI) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

WALL, N.J., July 07, 2026--(BUSINESS WIRE)--New Jersey Resources (NYSE: NJR) invites investors, customers, members of the financial community and other interested parties to listen to a live webcast of its fiscal 2026 third quarter financial results on Tuesday, August 4, 2026, at 10 a.m. ET. New Jersey Resources will release these results on Monday, August 3, 2026, after the close of the stock market. A few minutes prior to the webcast, visit www.njresources.com and select "Investor Relations." Scroll down and click the webcast link under "Latest Events" on the right side of the page. About New Jersey Resources New Jersey Resources (NYSE: NJR) is a diversified energy infrastructure and energy services company headquartered in Wall, New Jersey. NJR is composed of five primary businesses: New Jersey Natural Gas, NJR’s principal subsidiary, operates and maintains natural gas transportation and distribution infrastructure to serve customers in New Jersey’s Monmouth, Ocean, Morris, Middlesex, Sussex and Burlington counties. NJR Clean Energy Ventures invests in, owns and operates solar projects, providing customers with low-carbon solutions. NJR Energy Services manages a diversified portfolio of natural gas transportation and storage assets and provides physical natural gas services and customized energy solutions to its customers across North America. Storage and Transportation serves customers from local distributors and producers to electric generators and wholesale marketers through its ownership of Leaf River and the Adelphia Gateway Pipeline, as well as our 50% equity ownership in the Steckman Ridge natural gas storage facility. Home Services provides service contracts as well as heating, central air conditioning, water heaters, standby generators and other indoor and outdoor comfort products to residential homes throughout New Jersey. NJR and its over 1,300 employees are committed to helping customers save energy and money by promoting conservation and encouraging efficiency through Conserve to Preserve® and initiatives such as SAVEGREEN®. For more information about NJR:www.njresources.com. Follow us on X.com (Twitter) @NJNaturalGas."Like" us on facebook.com/NewJerseyNaturalGas. View source version on businesswire.com: https://www.businesswire.com/news/home/20260706142185/en/ Contacts Media Contact: Mike [email protected] Investor Contact: Adam [email protected]

Image source: The Motley Fool. Tuesday, May 5, 2026 at 10:00 a.m. ET President and Chief Executive Officer — Stephen D. Westhoven Senior Vice President and Chief Financial Officer — Roberto Bel Vice President, Investor Relations — Adam Prior Need a quote from a Motley Fool analyst? Email [email protected] Adam Prior: Thank you. Welcome to New Jersey Resources Fiscal 2026 Second Quarter and First Half Conference Call and Webcast. I'm joined here today by Steve Westhoven, our President and CEO; Roberto Bel, our Senior Vice President and Chief Financial Officer; as well as other members of our senior management team. Certain statements in today's call contain estimates and other forward-looking statements within the meaning of the securities laws. We wish to caution listeners of this call that the current expectations, assumptions and beliefs forming the basis for our forward-looking statements include many factors that are beyond our ability to control or estimate precisely. This could cause results to materially differ from our expectations as found on Slide 2. These items can also be found in the forward-looking statements section of yesterday's earnings release furnished on Form 8-K and in our most recent Forms 10-K and 10-Q as filed with the SEC. We do not, by including this statement, assume any obligation to review or revise any particular forward-looking statement referenced herein in light of future events. We will also be referring to certain non-GAAP financial measures such as Net Financial Earnings or NFE. We believe that NFE, net financial loss, utility gross margin, financial margin, adjusted funds from operations and adjusted debt provide a more complete understanding of our financial performance. However, these non-GAAP measures are not intended to be a substitute for GAAP. Our non-GAAP financial measures are discussed more fully in Item 7 of our 10-K. The slides for today's presentation are available on our website and were furnished on our Form 8-K filed yesterday. Steve will start with this quarter's highlights and business unit overview beginning on Slide 5. Roberto will then review our financial results. Then we'll open it up for your questions. With that said, I'll turn the call over to our President and CEO, Steve Westhoven. Please go ahead, Steve. Stephen D. Westhoven: Thanks, Adam. NJR reported excellent second quarter results during one of the most demanding winter periods in recent years. January and February brought sustained freezing temperatures in the Northeast region of the country. New Jersey Natural Gas experienced the highest send-out days in its history in our infrastructure, planning and operations delivered. Our teams provided safe, reliable service to home schools, hospitals and critical services across our communities. Our system operates exactly as designed when customers needed us most. This reflects years of disciplined investment in our infrastructure and a continued focus on safety and reliability. At S&T, Adelphia Gateway had multiple days of operating at maximum capacity and Leaf River had withdrawals that exceeded Winter Storm year of 2021. Finally, our Energy Services team delivered exceptional results. As a result of Energy Services outperformance, we were able to raise our fiscal 2026 NFEPS guidance for the second time this year. Roberto will provide additional details on our financial projections later in the call. With that, I'll turn to New Jersey Natural Gas and walk through how our efforts directly benefited customers on the next slide. Natural Gas remains by far the most cost-effective option for home heating, particularly during periods of extreme cold, affordability and reliability go hand in hand. The same planning and operational discipline that allows us to meet record demand this winter also helps customers manage costs during periods of higher usage. That's why we take a proactive approach to managing gas costs. Each year, we secure a significant portion of winter gas supply well advanced, limiting our customers' exposure to sharp commodity price increases. As we noted last quarter, going into this winter, the projected gas supply requirements at New Jersey Natural Gas were over 87% hedged, securing cost-effective supply to serve our customers. The average hedge price used for our customers was approximately $3.27 per dekatherm per storage in LNG compared with Citygate price, which we avoided that traded in excess of $135 per dekatherm. This winter, New Jersey Natural Gas also delivered meaningful savings to our customers under the state-approved basic gas supply service incentive program. This helps to further manage gas costs during the periods of high usage and elevated commodity prices, which we highlighted on the slide. Under this program, we generated over $93 million in gross customer savings over the winter season. Over the life of the program, we have generated over $1.6 billion in gross customer savings by optimizing our gas supply while also creating value for our shareholders. In parallel, we continue to invest in energy efficiency through our SAVEGREEN program. More than 115,000 customers have taken part in our programs to date with those utilized in our whole home offerings, realizing bill savings of up to 30%. Finally, we provide payment flexibility and offer targeted assistance that helps customers manage usage and bills over time. Turning to Slide 7. The cost advantage of natural gas continues to support steady customer growth across our service territory. That growth reflects a combination of new construction, conversions and targeted infrastructure expansion all driven by customer demand. A recent example is Chester Township in Morris County, which is now formally included in New Jersey Natural Gas' regulated service territory. This reflects our ability to partner with communities and regulators to thoughtfully expand our footprint while continuing to deliver safe, reliable service. Now turning to our Storage and Transportation business on the next slide. As we discussed on our year-end earnings call, we expect net financial earnings from this segment to more than double over the next 2 years and we remain on track to achieve or surpass that goal. Over the next 2 years, our growth is driven by strong recontracting activity at both Philadelphia and Leaf River. These are fixed price fee-based agreements with high-quality credit-weighted counterparties, providing a high degree of predictability in our earnings. Moving to longer-term growth at Leaf River, we continue to make steady progress on our expansion plans. During the first quarter, we filed a FERC application in which we proposed increasing working gas capacities by more than 70% over the next few years. We recently received the environmental accession from FERC which represents another important step in the review process, and the filing is progressing as expected. We've also secured a long-term contract supporting the initial expansion at our existing caverns with the remaining phases to be underpinned by long-term fee-based contracts as well. Overall, this project remains on track with regulatory review proceeding in line with our expectations, and we'll continue to provide updates as we move through the process. Moving to Clean Energy Ventures on Slide 9. During fiscal 2025, CEV increased installed capacity by almost 25%, and this momentum has continued with 33 megawatts of new capacity brought into service this year. We expect to increase installed capacity by an additional 50% through the end of fiscal 2027. And supported by a pipeline of safe harbor investment options in markets with supported policy and strong demand growth. This is diverse project pipeline that grant us the right, but not the obligation to invest is over 1.2 gigawatts, well in excess of our capital deployment targets. Deal flow has been strong in this segment, a result of broad industry relationships and steps taken last year to preserve investment tax credits. CEV is positioned to be increasingly selected with our investment decisions with strong investment returns in the high single to low double-digit unlevered after-tax range. In addition, New Jersey and PJM require incremental electric capacity to meet rising demand. And solar offers the most expedient path to add a new supply to the grid in the near term. CEV stands ready to be part of the solution. The team at CEV is in the early stages of exploring was to leverage our portfolio of operational assets and existing PJM interconnections to add more supply to the grid in the near term. Technologies like linear generators, fuel cells and batteries offer CEV a potential opportunity to optimize existing solar sites to benefit from investment tax credits into the 2030s. Moving to financing. We've historically utilized sale leasebacks as the main mechanism to efficiently monetize the tax attributes of our solar investments. In the future, this may include the use of tax credit transferability as an additional tool. We will continue to evaluate the most economically advantaged structures available to support long-term shareholder value. Finally, last month, we reached an important milestone in CEV, surpassing 500 megawatts of in-service capacity. I want to thank the entire CEV team for their strong execution. With that, I'll turn the call over to Roberto for a financial review, and then I'll return for a few closing remarks. Roberto? Roberto Bel: Thanks, Steve. Turning to Slide 11. The second quarter reflects strong execution across the portfolio and continued momentum into the second half of the year. We delivered solid net financial earnings across both our regulated and nonregulated businesses with continuous outperformance at energy services. As a result, our raising fiscal 2026 guidance for the second time this year, while continuing to fund our capital plan and maintain a strong balance sheet. Moving to a brief walk for the quarter 2. Fiscal 2026 second quarter consolidated net financial earnings was $221.5 million or $2.20 per share, a significant increase over the $17.3 million or $0.38 per share reported in the second quarter of fiscal 2025. Net financial earnings reflect solid performance across the portfolio with a notably higher contribution from energy services. For the year-to-date period, the higher net loss at CEV simply reflects last year's onetime gain resulting from the sale of our residential solar business. Overall, the mix of results restore the value of our diversified model. With that, let's turn to our capital plan on the next slide. We deployed approximately $400 million of capital across our businesses year-to-date. New Jersey Natural Gas represented roughly 2/3 of total catalog spending with investments focused on strengthening core infrastructure, enhancing safety and reliability and supporting continued customer growth. We do not have any change to our estimate for fiscal 2026 and fiscal 2027 and have reassuring our 5-year CapEx outlook of $4.8 billion to $5.2 billion through fiscal 2030. More than 60% of this capital is expected to be invested as a utility with clean energy ventures and Storage and Transportation comprising the balance. Collectively, these investments support our 7% to 9% long-term net growth target while remaining well within our long-term credit parameters, which I'll cover on the next slide. On Slide 14, we highlight the strength of our balance sheet, which continues to improve during periods of strong performance like this winter. We raised our adjusted debt-to-capital to adjust the debt ratio expectations for fiscal 2026 and are projected to remain around 20% for the next 5 years. Energy Services incremental cash flow this quarter enhances our ability to find capital investment, support credit metrics and reinforces that we see no need for block equity in the foreseeable future. In addition, ample liquidity and a well-laddered debt maturity profile led near-term refinancing risk and preserve financial flexibility. And finally, as shown we're generating our indicative guidance range for fiscal 2026. During our prior conference call, we raised our guidance by $0.25 per share, driven by Energy Service outperformance in January 2026. With favorable results as energy services continued into February and March, while increasing our NFEPS guidance by an additional $0.20 to a higher range of $3.48 to $3.62 per share. We are also revising our expected NFEPS contribution by segment. with Energy Services percentage rising as a result of its outperformance and all the other businesses digesting accordingly. New Jersey Natural Gas will represent approximately 60% of the company's NFEPS for fiscal 2026. With that, I'll turn to Steve for concluding remarks on Slide 16. Stephen D. Westhoven: Thanks, Roberto. NJR, once again, delivered exceptional results that are demanding winter period, reinforcing the reliability of our system and the durability of our business model. Our long-term growth continues to be anchored by our regulated utility with clear visibility into capital investment in New Jersey Natural Gas and a continued focus on operating safely and reliably when customers needs us the most. Storage and Transportation remains well positioned with clear earnings visibility in the near term and additional upside over time as capacity expansion opportunities progress. Clean Energy Ventures, our portfolio continues to scale, as expected, supported by a secured development pipeline and disciplined capital deployment. Taken together, execution across our complementary businesses provides momentum into the remainder of the year and reinforces our confidence in the path ahead. Finally, I want to thank our employees across NJR, your dedication, professionalism and commitment, especially through another challenging winter are the foundation for our success. With that, let's open up the line for questions. Operator: [Operator Instructions]. Your first question comes from the line of Gabe Moreen with Mizuho. Dylan Lipner: Hi, everybody. This is Dylan Lipner on for Gabe. Good quarter. Just want to kind of hit back on CEV. If you guys could provide some more color on what you're seeing in the sense of solar project opportunities and outreach from PJM in the state particularly as New Jersey looks to generation gap? Stephen D. Westhoven: Yes. Really, it's been playing out just like we said all along, we see [ harbor ] a number of projects. We've got a 1.2 gigawatt number of projects available to us and the state has been certainly encouraging for development with the capacity shortfalls in PJM, the quickest way to bring new capacity to market is through solar. So yes, we're continuing to make investments, and we've got a number of really attractive choices in that space and we're continuing to develop solar. So all things that go and certainly playing out just like we've said over the past few calls. Dylan Lipner: Got you. And do you guys see this playing out more in the near term or towards the end of the day? Stephen D. Westhoven: I mean we're not changing our CapEx guidance. So we're still continuing to move forward to hit those numbers. So really, the things that I was talking about the pressure on the market developed and bringing more capacity to electric customers in New Jersey is moving forward and certainly an important part of the Shell Administration's goals of trying to lower electric. Operator: [Operator Instructions]. Your next question comes from the line of Travis Miller with Morningstar. Travis Miller: Good morning, everyone. Thank you. I wonder if you can go into a little more on energy services. What's happening fundamentally since February that's changed both your outlook and what you're actually realizing in that business? Stephen D. Westhoven: Are you just referring to the raising guidance rating? Travis Miller: Yes, the raising guidance, yes. Relative to what you talked about in February, obviously, last winter in March and April. But wondering what's going on there, what you're seeing differently? Stephen D. Westhoven: Yes. Really, when we raised guidance back in February, that was previous period. So much of the winter had not transpired to that point. And through February and March, that book continues to increase in value and add value and conclusions of the winter, we're able to close the books and look at those numbers. And certainly the earnings guidance raise that you see here is reflective of that. Energy Services continues to be a business that performs just good things for us long term. Lowers our debt and equity needs by the cash that they are able to bring in and all at a low-risk profile. So we hope it continues going forward.But really, the whole reason for the raise before and now a raise now was really just timing and having winter conclude. Travis Miller: Okay. So the initial one incorporated firm right? And then subsequent here now, this has incorporated additional post per. Is that right? Stephen D. Westhoven: Yes, that's right. Travis Miller: Okay. And then Leaf River, when does that expansion CapEx start to come into the plan? And related to that, at what point do you need some extra financing above and beyond your plan either equity or debt to support the Leaf River expansion? Stephen D. Westhoven: So we won't need any additional financing for Leaf River, but capital expenditures are starting now. We started to make commitments on equipment and arrange for contractors and other things that begin that process of construction. You saw that we received the environmental assessment for FERC not too long ago. So everything is moving along as it should according to schedule. And of course, we've got that all backed by a long-term contract. So we're moving over that project and expect to have that service in fiscal year 2027-'28. Operator: That concludes our question-and-answer session. I will now turn the call back over to Adam Prior for closing remarks. Adam Prior: Thanks so much, and I'd like to thank everybody for joining us this morning. As always, we appreciate your interest and investment in NJR. We'll see many of you in Scottsdale at AGA in May, and have a good rest of your day. Appreciate it. Operator: Ladies and gentlemen, this concludes today's call. Thank you all for joining. You may now disconnect. Before you buy stock in New Jersey Resources, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and New Jersey Resources wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $490,864!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,216,789!* Now, it’s worth noting Stock Advisor’s total average return is 963% — a market-crushing outperformance compared to 201% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of May 5, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. NJR Q2 2026 Earnings Call Transcript was originally published by The Motley Fool