RGC Resources, Inc. Reports Third Quarter Earnings
Rhea-AI Summary
RGC Resources (Nasdaq: RGCO) reported strong financial results for Q3 2025, with consolidated earnings of $538,412 ($0.05 per share), up significantly from $156,692 ($0.02 per share) in Q3 2024. The improvement was primarily driven by increased earnings from the Mountain Valley Pipeline (MVP) investment.
For the first nine months of fiscal 2025, net income reached $13.48 million ($1.31 per share), representing a 16% increase from $11.62 million ($1.15 per share) in the same period last year. Operating revenues grew to $81.02 million, up from $71.54 million, while operating income improved to $18.92 million from $16.84 million year-over-year.
Positive
- None.
Negative
- Operating expenses increased 24.6% year-over-year in Q3 2025
- Operating income decreased 23.2% in Q3 2025 compared to Q3 2024
- Interest expense rose 3.2% to $4.92 million for the nine-month period
News Market Reaction 1 Alert
On the day this news was published, RGCO gained 6.16%, reflecting a notable positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
ROANOKE, Va., Aug. 11, 2025 (GLOBE NEWSWIRE) -- RGC Resources, Inc. (Nasdaq: RGCO) announced consolidated earnings of
CEO Paul Nester stated, “We continue to honor our mission of creating value for shareholders and our community by providing safe and reliable energy to the Roanoke region. MVP has been a successful and meaningful part of delivering value and energy for a full year. Roanoke Gas continues to produce strong financial results resulting from prudent system investment and exemplary operational performance.”
Through the first nine months of fiscal 2025, the Company’s net income of
RGC Resources, Inc. provides energy and related products and services to customers in Virginia through its operating subsidiaries Roanoke Gas Company and RGC Midstream, LLC.
The statements in this release that are not historical facts constitute “forward-looking statements” made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. In order to comply with the terms of the safe harbor, the Company notes that a variety of factors could cause the Company’s actual results and experience to differ materially from any expectations expressed in the Company’s forward-looking statements, regarding inflation, customer growth, infrastructure investment and margins. These risks and uncertainties include gas prices and supply, geopolitical considerations, expectations regarding inflation and interest rate along with risks included under Item 1-A in the Company’s fiscal 2024 Form 10-K. Forward-looking statements reflect the Company’s current expectations only as of the date they are made. The Company assumes no duty to update these statements should expectations change or actual results differ from current expectations except as required by applicable laws and regulations.
Past performance is not necessarily a predictor of future results.
Summary financial statements for the third quarter and fiscal year to date are as follows:
| RGC Resources, Inc. and Subsidiaries | |||||||||||||||
| Condensed Consolidated Statements of Income | |||||||||||||||
| (Unaudited) | |||||||||||||||
| Three Months Ended | Nine Months Ended | ||||||||||||||
| June 30, | June 30, | ||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||
| Operating revenues | $ | 17,264,615 | $ | 14,458,202 | $ | 81,016,198 | $ | 71,536,930 | |||||||
| Operating expenses | 16,068,055 | 12,900,609 | 62,091,675 | 54,697,591 | |||||||||||
| Operating income | 1,196,560 | 1,557,593 | 18,924,523 | 16,839,339 | |||||||||||
| Equity in earnings of unconsolidated affiliate | 772,082 | 282,604 | 2,427,470 | 2,979,823 | |||||||||||
| Other income (expense), net | 244,000 | (69,349 | ) | 1,180,969 | 140,924 | ||||||||||
| Interest expense | 1,512,754 | 1,567,093 | 4,922,959 | 4,769,979 | |||||||||||
| Income before income taxes | 699,888 | 203,755 | 17,610,003 | 15,190,107 | |||||||||||
| Income tax expense | 161,476 | 47,063 | 4,125,694 | 3,570,033 | |||||||||||
| Net income | $ | 538,412 | $ | 156,692 | $ | 13,484,309 | $ | 11,620,074 | |||||||
| Net earnings per share of common stock: | |||||||||||||||
| Basic | $ | 0.05 | $ | 0.02 | $ | 1.31 | $ | 1.15 | |||||||
| Diluted | $ | 0.05 | $ | 0.02 | $ | 1.31 | $ | 1.15 | |||||||
| Cash dividends per common share | $ | 0.2075 | $ | 0.2000 | $ | 0.6225 | $ | 0.6000 | |||||||
| Weighted average number of common shares outstanding: | |||||||||||||||
| Basic | 10,319,232 | 10,188,592 | 10,294,227 | 10,129,111 | |||||||||||
| Diluted | 10,324,165 | 10,192,797 | 10,298,688 | 10,132,347 | |||||||||||
| Condensed Consolidated Balance Sheets | |||||||||||||||
| (Unaudited) | |||||||||||||||
| June 30, | |||||||||||||||
| Assets | 2025 | 2024 | |||||||||||||
| Current assets | $ | 21,595,712 | $ | 25,408,031 | |||||||||||
| Utility property, net | 270,538,465 | 257,936,755 | |||||||||||||
| Other non-current assets | 32,623,816 | 30,809,374 | |||||||||||||
| Total Assets | $ | 324,757,993 | $ | 314,154,160 | |||||||||||
| Liabilities and Stockholders' Equity | |||||||||||||||
| Current liabilities | $ | 20,695,773 | $ | 23,782,556 | |||||||||||
| Long-term debt, net | 139,743,390 | 136,311,348 | |||||||||||||
| Deferred credits and other non-current liabilities | 48,057,512 | 45,292,464 | |||||||||||||
| Total Liabilities | 208,496,675 | 205,386,368 | |||||||||||||
| Stockholders' Equity | 116,261,318 | 108,767,792 | |||||||||||||
| Total Liabilities and Stockholders' Equity | $ | 324,757,993 | $ | 314,154,160 | |||||||||||
| Contact: | Timothy J. Mulvaney | |
| Vice President, Treasurer and CFO | ||
| Telephone: | (540) 777-3997 |
FAQ
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