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Atmos Energy Q3 Earnings Lag Estimates, Revenues Rise Y/Y

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Key Takeaways

  • {\"0\":\"ATO reported Q3 EPS of $1.16, missing estimates but rising 7.4% year over year.\",\"1\":\"Total revenues rose 19.6% to $838.8M but fell short of the $938M consensus estimate.\",\"2\":\"ATO raised FY25 EPS guidance to $7.35-$7.45 and expects $3.7B in capital expenditures.\"}

Atmos Energy (ATO - Free Report) posted third-quarter fiscal 2025 earnings of $1.16 per share, which missed the Zacks Consensus Estimate of $1.17 by 0.85%. However, the bottom line improved 7.4% from the year-ago quarter’s $1.08.

ATO’s Revenues

Total revenues of $838.8 million missed the Zacks Consensus Estimate of $938 million by 10.6%. However, the top line increased 19.6% from the year-ago quarter’s reported number of $701.5 million.

 

Atmos Energy Corporation Price, Consensus and EPS Surprise

Atmos Energy Corporation Price, Consensus and EPS Surprise

Atmos Energy Corporation price-consensus-eps-surprise-chart | Atmos Energy Corporation Quote

ATO’s Segmental Revenues

Distribution: Net income totaled $70 million, highlighting a 6.1% increase from $66 million in the year-ago quarter.

Pipeline and Storage: Income amounted to $116 million, reflecting a 16% increase from $100 million reported in the year-ago quarter.

Highlights of ATO’s Q3 Release

Operation and maintenance expenses amounted to $222.1 million, up 5.1% from the year-ago quarter’s level.

Operating income totaled $252.1 million, up 14.4% from the year-ago quarter’s figure.

Atmos Energy incurred interest expenses of $41.5 million, up 0.7% from the year-earlier quarter’s level.

The company reported 75.4 million cubic feet of consolidated distribution throughput for the quarter, up 4% from the year-ago quarter’s reported actuals.

ATO’s Financial Highlights

As of June 30, 2025, Atmos Energy reported a strong balance sheet with approximately $5.5 billion in available liquidity.

As of June 30, 2025, ATO had cash and cash equivalents of $709.4 million compared with $307.3 million as of Sept. 30, 2024.

Net cash flow provided by operating activities in the first nine months of fiscal 2025 was $1.7 billion compared with $1.4 billion in the year-ago period.

In the first nine months of fiscal 2025, the company invested nearly $2.6 billion, with 86% of the amount allocated for improving the safety and reliability of its distribution and transportation systems.

ATO’s Guidance

Atmos Energy raised its fiscal 2025 earnings guidance to $7.35-$7.45 per share from $7.20-$7.30. The Zacks Consensus Estimate is pegged at $7.27 per share, lower than the company’s revised guided range.

Total net income is now expected to be in the range of $1.185-$1,205 billion compared with previous guidance of $1.15-$1.17 billion. 

ATO also anticipates its fiscal 2025 capital expenditure to be $3.7 billion.

ATO’s Zacks Rank

The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Recent Releases

Spire Inc. (SR - Free Report) reported third-quarter fiscal 2025 earnings of a cent per share, which beat the Zacks Consensus Estimate of a loss of 9 cents by 111.1%.

SR’s long-term (three to five years) earnings growth rate is 7.11%. The Zacks Consensus Estimate for fiscal 2025 sales is pinned at $2.44 billion. 

ONE Gas, Inc. (OGS - Free Report) reported second-quarter 2025 operating earnings of 53 cents per share, which came in line with the Zacks Consensus Estimate.

OGS’ long-term earnings growth rate is 5.56%. The Zacks Consensus Estimate for 2025 sales is pinned at $2.43 billion. 

UGI Corporation (UGI - Free Report) reported third-quarter fiscal 2025 adjusted operating loss of a cent per share compared with the Zacks Consensus Estimate of a loss of 12 cents.

UGI’s long-term earnings growth rate is 6.7%. The Zacks Consensus Estimate for fiscal 2025 sales is pinned at $7.81 billion. 


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