On January 28, 2026, National Fuel Gas Company (NYSE:NFG) announced impressive first-quarter earnings for its fiscal year 2026, showcasing a remarkable rebound from previous periods. The company reported GAAP earnings of $181.6 million, translating to earnings per share (EPS) of $1.98. This marks a significant increase from the prior year, where GAAP earnings stood at $45.0 million, or $0.49 per share.

In terms of adjusted earnings, National Fuel reported $187.7 million, or adjusted EPS of $2.06, reflecting a robust 24% increase compared to the adjusted earnings of $151.9 million, or $1.66 per share, in the same quarter last year. This growth is attributed primarily to strong operational performance in the Integrated Upstream and Gathering segment.

2. Key Drivers of Growth

Upstream and Gathering Segment Performance

The Integrated Upstream and Gathering segment saw an impressive adjusted EPS of $1.36, a 45% increase from the previous year. This growth was driven by a 14% increase in natural gas price realizations and a 12% rise in natural gas production, which reached 109 billion cubic feet (Bcf) for the quarter. The production increase was largely due to successful well results from the Tioga County Utica region.

Utility Segment Strength

In the Utility segment, net income rose by 5% compared to the previous year, bolstered by ongoing investments in system modernization programs across New York and Pennsylvania, which helped increase customer margins. The Utility's improved performance is a testament to National Fuel’s commitment to enhancing service quality while maintaining affordability for its customers.

3. Strategic Developments and Future Outlook

Infrastructure Projects and Acquisitions

National Fuel also made strides in its capital projects with the Shippingport Lateral Project receiving FERC authorization in November 2025. This project, along with the previously approved Tioga Pathway Project, is anticipated to be operational by late 2026. Furthermore, the company successfully raised $350 million in common equity through a private placement to finance its pending acquisition of CenterPoint Energy's Ohio gas utility business, expected to close in the fourth quarter of calendar 2026.

Reaffirmed Guidance

The company reaffirmed its fiscal 2026 adjusted EPS guidance range, maintaining expectations between $7.60 and $8.10 per share. This guidance takes into account first-quarter results and assumes an average NYMEX natural gas price of $3.75 per million British thermal units (MMBtu) for the remaining months of the fiscal year.

4. Management Insights

David P. Bauer, President and CEO of National Fuel Gas Company, expressed optimism about the company’s performance: “National Fuel’s first-quarter results were a great start to the fiscal year. Strong operational execution within our Integrated Upstream and Gathering segment continues to deliver growing production and increasing cash flow generation. We remain focused on executing our plan to deliver long-term growth in earnings and free cash flow, which in turn should create meaningful value for shareholders.”

5. Conclusion

National Fuel Gas Company's first-quarter earnings demonstrate a robust recovery and strategic effectiveness in navigating the energy market. With significant growth in production, a strong utility performance, and ongoing infrastructure investments, the company is well-positioned for continued success in fiscal 2026 and beyond. As the energy landscape evolves, National Fuel remains committed to enhancing shareholder value while ensuring affordable energy solutions for its customers.

Original press release