Category: Banking

Source: GlobeNewswire (MIL-OSI)

WILLIAMSVILLE, N.Y., April 30, 2025 (GLOBE NEWSWIRE) — National Fuel Gas Company (“National Fuel” or the “Company”) (NYSE:NFG) today announced consolidated results for the second quarter of its 2025 fiscal year.

FISCAL 2025 SECOND QUARTER SUMMARY

• GAAP net income of $216 million, or $2.37 per share, an increase of 32% per share compared to the prior year.
• Adjusted operating results of $218 million, or $2.39 per share, an increase of 34% per share compared to the prior year. See non-GAAP reconciliation on page 2.
• Seneca produced a record 105.5 Bcf of natural gas, an increase of 3% from the prior year and 8% sequentially, largely due to strong results from pads recently turned in line in the Eastern Development Area (“EDA”).
• Utility segment net income of $63.5 million, or $0.70 per share, an increase of 44% per share compared to the prior year, primarily as a result of the New York jurisdiction’s 2024 rate settlement, which led to its first base rate increase since 2017.
• Pipeline & Storage segment net income of $31.7 million, or $0.35 per share, an increase of 5% per share compared to the prior year. In addition, Empire Pipeline reached an agreement with its customers to amend its existing rate settlement, which was approved by the FERC on March 17, 2025, with new rates effective November 1, 2025.
• The Company is increasing its guidance for fiscal 2025 adjusted earnings per share to a range of $6.75 to $7.05.

MANAGEMENT COMMENTS

David P. Bauer, President and Chief Executive Officer of National Fuel Gas Company, stated: “During our second quarter, National Fuel built upon its positive momentum which, along with the tailwind of higher natural gas price realizations, drove a 32% increase in earnings per share over the prior year.

“Our integrated Appalachian natural gas development program, focused on the highly prolific EDA, continues to deliver strong operational results and improving capital efficiency. Seneca’s recent well results exhibited the highest productivity we’ve seen to date, giving us further confidence in our deep, high-quality well inventory, and allowing us to increase our production guidance for fiscal 2025. On the regulated side of the business, we saw significant earnings growth during the quarter, driven by the ongoing impact of positive rate case outcomes that balance the continued investment in modernizing our infrastructure with the goal of maintaining affordable rates for our customers.

“National Fuel’s integrated natural gas business, track record of strong operational execution, and consistent approach to managing risk, collectively position us well to navigate an uncertain global economic backdrop. As such, we remain confident in our ability to provide strong returns, achieve our long-term growth targets, and continue to deliver shareholder value.”

RECONCILIATION OF GAAP EARNINGS TO ADJUSTED OPERATING RESULTS

	Three Months Ended March 31,
	(Thousands)								(Per Share)
		2025				2024				2025				2024
Reported GAAP Earnings	$	216,358			$	166,272			$	2.37			$	1.80
Items impacting comparability:
Premiums paid on early redemption of debt (E&P / Midstream)		2,385				—				0.03				—
Tax impact of premiums paid on early redemption of debt		(642	)			—				(0.01	)			—
Unrealized (gain) loss on derivative asset (E&P)		335				(536	)			0.00				0.00
Tax impact of unrealized (gain) loss on derivative asset		(90	)			147				0.00				0.00
Unrealized (gain) loss on other investments (Corporate / All Other)		(17	)			(769	)			0.00				(0.01	)
Tax impact of unrealized (gain) loss on other investments		4				162				0.00				0.00
Adjusted Operating Results	$	218,333			$	165,276			$	2.39			$	1.79

FISCAL 2025 GUIDANCE UPDATE

National Fuel is increasing its guidance for fiscal 2025 adjusted earnings per share, which is now expected to be within a range of $6.75 to $7.05, an increase of $0.15 at the midpoint of the Company’s prior guidance range. This updated range incorporates our second quarter results as well as higher expected production and lower unit costs in the Exploration and Production segment for the remainder of the fiscal year.

The Company is assuming NYMEX natural gas prices will average $3.50 per MMBtu for the remaining six months of fiscal 2025 (no change from previous guidance), which approximates the current NYMEX forward curve at this time. Given the continued volatility in NYMEX natural gas prices, the Company is providing the following sensitivities to its adjusted operating results guidance range:

NYMEX Assumption Remaining 6 months ($/MMBtu)		Fiscal 2025 Adjusted Earnings Per Share Sensitivities
$3.00		$6.50 – $6.80
$3.50		$6.75 – $7.05
$4.00		$7.05 – $7.35

The Company’s other fiscal 2025 guidance assumptions remain largely unchanged as detailed in the table on page 7.

FINANCING ACTIVITIES UPDATE

In February 2025, the Company issued $1 billion of new five- and ten-year notes (split in two equal tranches) to refinance the early redemption of $950 million of notes that were scheduled to mature in July 2025 and January 2026. In addition, the Company placed $50 million (plus interest) in trust for the benefit of holders of long-term debt issued under the Company’s 1974 Indenture and scheduled to mature in June 2025. Placing these funds in trust discharged the 1974 Indenture, relieving the Company from its obligations to comply with the indenture’s covenants. In connection with these transactions, the Company recognized an after-tax loss of $1.7 million, which is presented as an item impacting comparability for the quarter.

DISCUSSION OF SECOND QUARTER RESULTS BY SEGMENT

The following earnings discussion of each operating segment for the quarter ended March 31, 2025 is summarized in a tabular form on pages 8 and 9 of this report (earnings drivers for the six months ended March 31, 2025 are summarized on pages 10 and 11). It may be helpful to refer to those tables while reviewing this discussion.

Note that management defines adjusted operating results as reported GAAP earnings adjusted for items impacting comparability, and adjusted EBITDA as reported GAAP earnings before the following items: interest expense, income taxes, depreciation, depletion and amortization, other income and deductions, impairments, and other items reflected in operating income that impact comparability.

Upstream Business

Exploration and Production Segment

The Exploration and Production segment operations are carried out by Seneca Resources Company, LLC (“Seneca”). Seneca explores for, develops and produces primarily natural gas reserves in Pennsylvania.

	Three Months Ended
	March 31,
(in thousands)		2025				2024			Variance
GAAP Earnings	$	97,828			$	62,065			$	35,763
Premiums paid on early redemption of debt, net of tax		1,045				—				1,045
Unrealized (gain) loss on derivative asset (2022 CA asset sale), net of tax		245				(389	)			634
Adjusted Operating Results	$	99,118			$	61,676			$	37,442
Adjusted EBITDA	$	214,350			$	172,068			$	42,282

Seneca’s second quarter GAAP earnings increased $35.8 million versus the prior year. GAAP earnings included a $1.0 million after-tax loss recognized during the quarter on the early redemption of long-term debt for Seneca’s share of premiums paid by the Company associated with its long-term debt redemptions.

Excluding items impacting comparability, Seneca’s adjusted operating results in the second quarter increased $37.4 million primarily due to higher realized natural gas prices and natural gas production, as well as lower per unit operating expenses.

During the second quarter, Seneca produced 105.5 Bcf of natural gas, an increase of 2.6 Bcf, or 3%, from the prior year, and 7.8 Bcf, or 8%, higher compared to the fiscal 2025 first quarter. Two highly prolific pads turned in line this year in the EDA (Tioga Utica) were the main drivers behind these increases in production.

Seneca’s weighted average realized natural gas price, after the impact of hedging and transportation costs, was $2.94 per Mcf, an increase of $0.38 per Mcf from the prior year. This increase was primarily due to higher NYMEX prices and higher spot prices at local sales points in Pennsylvania.

	Three Months Ended
	March 31,
(Cost per Mcf)		2025				2024			Variance
Lease Operating and Transportation Expense (“LOE”)	$	0.67			$	0.68			$	(0.01	)
General and Administrative Expense (“G&A”)	$	0.18			$	0.17			$	0.01
Taxes and Other	$	0.07			$	0.06			$	0.01
Total Cash Operating Costs	$	0.92			$	0.91			$	0.01
Depreciation, Depletion and Amortization Expense (“DD&A”)	$	0.61			$	0.71			$	(0.10	)
Total Operating Costs	$	1.53			$	1.62			$	(0.09	)

On a per unit basis, the second quarter total cash operating costs were up slightly compared to the prior year as other taxes increased as a result of a higher Impact Fee in Pennsylvania due to the increase in NYMEX natural gas prices. LOE included $59 million ($0.56 per Mcf), or 84% of total LOE, for gathering and compression service fees paid to the Company’s Gathering segment to connect Seneca’s production to sales points along interstate pipelines. DD&A for the quarter was $0.61 per Mcf, a decrease of $0.10 per Mcf from the prior year, largely due to ceiling test impairments recorded in prior quarters that lowered Seneca’s full cost pool depletable base.

Midstream Businesses

Pipeline and Storage Segment

The Pipeline and Storage segment’s operations are carried out by National Fuel Gas Supply Corporation (“Supply Corporation”) and Empire Pipeline, Inc. (“Empire”). The Pipeline and Storage segment provides natural gas transportation and storage services to affiliated and non-affiliated companies through an integrated system of pipelines and underground natural gas storage fields in western New York and Pennsylvania.

	Three Months Ended
	March 31,
(in thousands)		2025				2024			Variance
GAAP Earnings	$	31,707			$	30,737			$	970
Adjusted EBITDA	$	70,169			$	70,033			$	136

The Pipeline and Storage segment’s second quarter GAAP earnings increased $1.0 million versus the prior year primarily due to higher operating revenues. The increase in operating revenues of $1.6 million, or 1%, was primarily attributable to an increase in Supply Corporation’s transportation and storage rates effective February 1, 2024, in accordance with its rate settlement, which was approved in fiscal 2024.

Empire Rate Case Update

On March 17, 2025, FERC approved an amendment to Empire’s 2019 rate case settlement, which provides for modest unit rate reductions for Empire’s transportation services. Based on current contracts, this settlement amendment is estimated to decrease Empire’s revenues on a yearly basis by approximately $0.5 million with new rates effective November 1, 2025. Under the amendment, Empire may not file a new rate case before April 30, 2027, and is required to file a rate case by May 31, 2031.

Gathering Segment

The Gathering segment’s operations are carried out by National Fuel Gas Midstream Company, LLC’s limited liability companies. The Gathering segment constructs, owns and operates natural gas gathering pipelines and compression facilities in the Appalachian region, which delivers Seneca and other non-affiliated Appalachian production to the interstate pipeline system.

	Three Months Ended
	March 31,
(in thousands)		2025				2024			Variance
GAAP Earnings	$	26,342			$	28,706			$	(2,364	)
Premiums paid on early redemption of debt, net of tax		698				—				698
Adjusted Operating Results	$	27,040			$	28,706			$	(1,666	)
Adjusted EBITDA	$	52,748			$	53,103			$	(355	)

The Gathering segment’s second quarter GAAP earnings decreased $2.4 million versus the prior year as higher operating revenues were more than offset by higher O&M and DD&A expense. GAAP earnings also included a $0.7 million after-tax loss recognized during the quarter on the early redemption of long-term debt for Gathering’s share of premiums paid by the Company associated with its long-term debt redemptions.

Operating revenues increased $1.0 million, or 2%, primarily due to an increase in throughput from Seneca’s new wells in Tioga County. While O&M expense increased $1.5 million, the per unit rate of $0.09 per Mcf remained unchanged. DD&A expense increased $1.2 million primarily due to higher average depreciable plant in service compared to the prior year.

Downstream Business

Utility Segment

The Utility segment operations are carried out by National Fuel Gas Distribution Corporation (“Distribution Corporation”), which sells or transports natural gas to customers located in western New York and northwestern Pennsylvania.

	Three Months Ended
	March 31,
(in thousands)		2025				2024			Variance
GAAP Earnings	$	63,544			$	44,739			$	18,805
Adjusted EBITDA	$	95,270			$	78,326			$	16,944

The Utility segment’s second quarter GAAP earnings increased $18.8 million, or 42%, primarily as a result of the implementation of the recently approved rate case settlement in the Utility’s New York jurisdiction, which became effective October 1, 2024.

For the quarter, customer margin (operating revenues less purchased gas sold) increased $22.2 million, primarily due to the New York rate case settlement. Other income increased $10.8 million, largely due to the New York rate settlement, which required the recognition of non-service pension and post-retirement benefit income and a corresponding reduction in new base rates, resulting in no effect on net income.

O&M expense increased by $4.2 million, primarily driven by higher personnel costs, partially offset by a reduction related to amortizations of certain regulatory assets as a result of the New York rate settlement. Further, interest expense increased $2.4 million primarily due to a higher average amount of net borrowings.

Corporate and All Other

The Company’s operations that are included in Corporate and All Other generated a combined net loss of $3.1 million in the current year second quarter, compared to combined earnings of less than $0.1 million in the prior year. The reduction in earnings during the second quarter was primarily driven by higher interest expense due to a higher average amount of net borrowings. A decrease in investment income on marketable securities and corporate-owned life insurance policies also contributed to the earnings reduction.

EARNINGS TELECONFERENCE

A conference call to discuss the results will be held on Thursday, May 1, 2025, at 9 a.m. ET. All participants must pre-register to join this conference using the Participant Registration link. A webcast link to the conference call will be provided under the Events Calendar on the NFG Investor Relations website at investor.nationalfuelgas.com. A replay will be available following the call through the end of the day, Thursday, May 8, 2025. To access the replay, dial 1-866-813-9403 and provide Access Code 458634.

National Fuel is an integrated energy company reporting financial results for four operating segments: Exploration and Production, Pipeline and Storage, Gathering, and Utility. Additional information about National Fuel is available at www.nationalfuel.com.

Certain statements contained herein, including statements identified by the use of the words “anticipates,” “estimates,” “expects,” “forecasts,” “intends,” “plans,” “predicts,” “projects,” “believes,” “seeks,” “will,” “may” and similar expressions, and statements which are other than statements of historical facts, are “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties, which could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements. The Company’s expectations, beliefs and projections contained herein are expressed in good faith and are believed to have a reasonable basis, but there can be no assurance that such expectations, beliefs or projections will result or be achieved or accomplished. In addition to other factors, the following are important factors that could cause actual results to differ materially from those discussed in the forward-looking statements: changes in laws, regulations or judicial interpretations to which the Company is subject, including those involving derivatives, taxes, safety, employment, climate change, other environmental matters, real property, and exploration and production activities such as hydraulic fracturing; governmental/regulatory actions, initiatives and proceedings, including those involving rate cases (which address, among other things, target rates of return, rate design, retained natural gas and system modernization), environmental/safety requirements, affiliate relationships, industry structure, and franchise renewal; changes in economic conditions, including the imposition of additional tariffs on U.S. imports and related retaliatory tariffs, inflationary pressures, supply chain issues, liquidity challenges, and global, national or regional recessions, and their effect on the demand for, and customers’ ability to pay for, the Company’s products and services; the Company’s ability to estimate accurately the time and resources necessary to meet emissions targets; governmental/regulatory actions and/or market pressures to reduce or eliminate reliance on natural gas; impairments under the SEC’s full cost ceiling test for natural gas reserves; changes in the price of natural gas; the creditworthiness or performance of the Company’s key suppliers, customers and counterparties; financial and economic conditions, including the availability of credit, and occurrences affecting the Company’s ability to obtain financing on acceptable terms for working capital, capital expenditures and other investments, including any downgrades in the Company’s credit ratings and changes in interest rates and other capital market conditions; changes in price differentials between similar quantities of natural gas sold at different geographic locations, and the effect of such changes on commodity production, revenues and demand for pipeline transportation capacity to or from such locations; the impact of information technology disruptions, cybersecurity or data security breaches, including the impact of issues that may arise from the use of artificial intelligence technologies; factors affecting the Company’s ability to successfully identify, drill for and produce economically viable natural gas reserves, including among others geology, lease availability and costs, title disputes, weather conditions, water availability and disposal or recycling opportunities of used water, shortages, delays or unavailability of equipment and services required in drilling operations, insufficient gathering, processing and transportation capacity, the need to obtain governmental approvals and permits, and compliance with environmental laws and regulations; the Company’s ability to complete strategic transactions; increased costs or delays or changes in plans with respect to Company projects or related projects of other companies, as well as difficulties or delays in obtaining necessary governmental approvals, permits or orders or in obtaining the cooperation of interconnecting facility operators; increasing health care costs and the resulting effect on health insurance premiums and on the obligation to provide other post-retirement benefits; other changes in price differentials between similar quantities of natural gas having different quality, heating value, hydrocarbon mix or delivery date; the cost and effects of legal and administrative claims against the Company or activist shareholder campaigns to effect changes at the Company; negotiations with the collective bargaining units representing the Company’s workforce, including potential work stoppages during negotiations; uncertainty of natural gas reserve estimates; significant differences between the Company’s projected and actual production levels for natural gas; changes in demographic patterns and weather conditions (including those related to climate change); changes in the availability, price or accounting treatment of derivative financial instruments; changes in laws, actuarial assumptions, the interest rate environment and the return on plan/trust assets related to the Company’s pension and other post-retirement benefits, which can affect future funding obligations and costs and plan liabilities; economic disruptions or uninsured losses resulting from major accidents, fires, severe weather, natural disasters, terrorist activities or acts of war, as well as economic and operational disruptions due to third-party outages; significant differences between the Company’s projected and actual capital expenditures and operating expenses; or increasing costs of insurance, changes in coverage and the ability to obtain insurance. The Company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date thereof.

NATIONAL FUEL GAS COMPANY AND SUBSIDIARIES GUIDANCE SUMMARY

As discussed on page 2, the Company is revising its adjusted earnings per share guidance for fiscal 2025. Additional details on the Company’s forecast assumptions and business segment guidance are outlined in the table below.

The revised adjusted earnings per share guidance range excludes certain items that impacted the comparability of adjusted operating results during the six months ended March 31, 2025, including: (1) the after tax impairment of assets, which reduced earnings by $1.14 per share; (2) after-tax premiums paid on early redemptions of debt, which reduced earnings by $0.02 per share; (3) after-tax unrealized losses on a derivative asset, which reduced earnings by $0.01 per share; and (4) after-tax unrealized losses on other investments, which reduced earnings by $0.02 per share. While the Company expects to record certain adjustments to unrealized gain or loss on a derivative asset and unrealized gain or loss on investments during the remaining six months ending September 30, 2025, the amounts of these and other potential adjustments are not reasonably determinable at this time. As such, the Company is unable to provide earnings guidance other than on a non-GAAP basis.

	Previous FY 2025 Guidance		Updated FY 2025 Guidance
Consolidated Adjusted Earnings per Share	$6.50 to $7.00		$6.75 to $7.05
Consolidated Effective Tax Rate	~ 25%		~ 25%
Capital Expenditures (Millions)
Exploration and Production	$495 – $515		$495 – $515
Pipeline and Storage	$130 – $150		$130 – $150
Gathering	$95 – $110		$95 – $110
Utility	$165 – $185		$165 – $185
Consolidated Capital Expenditures	$885 – $960		$885 – $960
Exploration and Production Segment Guidance
Commodity Price Assumptions (remaining six months)
NYMEX natural gas price	$3.50 /MMBtu		$3.50 /MMBtu
Appalachian basin spot price	$2.90 /MMBtu		$2.60 /MMBtu
Realized natural gas prices, after hedging ($/Mcf)	$2.77 – $2.81		$2.72 – $2.76
Production (Bcf)	410 to 425		415 to 425
E&P Operating Costs($/Mcf)
LOE	$0.68 – $0.70		$0.68 – $0.69
G&A	$0.18 – $0.19		$0.18 – $0.19
DD&A	$0.63 – $0.67		$0.63 – $0.65
Other Business Segment Guidance(Millions)
Gathering Segment Revenues	$250 – $260		$250 – $260
Pipeline and Storage Segment Revenues	$415 – $435		$415 – $435
Utility Segment Guidance(Millions)
Customer Margin*	$445 – $465		$445 – $465
O&M Expense	$240 – $250		$240 – $245
Non-Service Pension & OPEB Income	$23 – $27		$23 – $27
* Customer Margin is defined as Operating Revenues less Purchased Gas Expense.

NATIONAL FUEL GAS COMPANY
RECONCILIATION OF CURRENT AND PRIOR YEAR GAAP EARNINGS
QUARTER ENDED MARCH 31, 2025
(Unaudited)
	Upstream				Midstream								Downstream
	Exploration &				Pipeline &												Corporate /
(Thousands of Dollars)	Production				Storage				Gathering				Utility				All Other				Consolidated*
Second quarter 2024 GAAP earnings	$	62,065			$	30,737			$	28,706			$	44,739			$	25			$	166,272
Items impacting comparability:
Unrealized (gain) loss on derivative asset		(536	)																			(536	)
Tax impact of unrealized (gain) loss on derivative asset		147																				147
Unrealized (gain) loss on other investments																		(769	)			(769	)
Tax impact of unrealized (gain) loss on other investments																		162				162
Second quarter 2024 adjusted operating results		61,676				30,737				28,706				44,739				(582	)			165,276
Drivers of adjusted operating results**
Upstream Revenues
Higher (lower) natural gas production		5,322																				5,322
Higher (lower) realized natural gas prices, after hedging		31,956																				31,956
Midstream Revenues
Higher (lower) operating revenues						1,227				819												2,046
Downstream Margins***
Impact of usage and weather														3,011								3,011
Impact of new rates in New York														14,577								14,577
Higher (lower) other operating revenues														(924	)							(924	)
Operating Expenses
Lower (higher) lease operating and transportation expenses		(1,196	)																			(1,196	)
Lower (higher) operating expenses		(1,855	)			(1,248	)			(1,168	)			(3,330	)							(7,601	)
Lower (higher) property, franchise and other taxes		(948	)																			(948	)
Lower (higher) depreciation / depletion		6,973				745				(966	)			(685	)							6,067
Other Income (Expense)
Higher (lower) other income														8,545				612				9,157
(Higher) lower interest expense						331				(891	)			(1,895	)			(2,902	)			(5,357	)
Income Taxes
Lower (higher) income tax expense / effective tax rate		(2,331	)			241				463				(545	)			(159	)			(2,331	)
All other / rounding		(479	)			(326	)			77				51				(45	)			(722	)
Second quarter 2025 adjusted operating results		99,118				31,707				27,040				63,544				(3,076	)			218,333
Items impacting comparability:
Premiums paid on early redemption of debt		(1,430	)							(955	)											(2,385	)
Tax impact of premiums paid on early redemption of debt		385								257												642
Unrealized gain (loss) on derivative asset		(335	)																			(335	)
Tax impact of unrealized gain (loss) on derivative asset		90																				90
Unrealized gain (loss) on other investments																		17				17
Tax impact of unrealized gain (loss) on other investments																		(4	)			(4	)
Second quarter 2025 GAAP earnings	$	97,828			$	31,707			$	26,342			$	63,544			$	(3,063	)		$	216,358
* Amounts do not reflect intercompany eliminations.
** Drivers of adjusted operating results have been calculated using the 21% federal statutory rate.
*** Downstream margin defined as operating revenues less purchased gas expense.

NATIONAL FUEL GAS COMPANY
RECONCILIATION OF CURRENT AND PRIOR YEAR GAAP EARNINGS PER SHARE
QUARTER ENDED MARCH 31, 2025
(Unaudited)
	Upstream				Midstream								Downstream
	Exploration &				Pipeline &												Corporate /
	Production				Storage				Gathering				Utility				All Other				Consolidated*
Second quarter 2024 GAAP earnings per share	$	0.67			$	0.33			$	0.31			$	0.48			$	0.01			$	1.80
Items impacting comparability:
Unrealized (gain) loss on derivative asset, net of tax		—																				—
Unrealized (gain) loss on other investments, net of tax																		(0.01	)			(0.01	)
Second quarter 2024 adjusted operating results per share		0.67				0.33				0.31				0.48				—				1.79
Drivers of adjusted operating results**
Upstream Revenues
Higher (lower) natural gas production		0.06																				0.06
Higher (lower) realized natural gas prices, after hedging		0.35																				0.35
Midstream Revenues
Higher (lower) operating revenues						0.01				0.01												0.02
Downstream Margins***
Impact of usage and weather														0.03								0.03
Impact of new rates in New York														0.16								0.16
Higher (lower) other operating revenues														(0.01	)							(0.01	)
Operating Expenses
Lower (higher) lease operating and transportation expenses		(0.01	)																			(0.01	)
Lower (higher) operating expenses		(0.02	)			(0.01	)			(0.01	)			(0.04	)							(0.08	)
Lower (higher) property, franchise and other taxes		(0.01	)																			(0.01	)
Lower (higher) depreciation / depletion		0.09				0.01				(0.01	)			(0.01	)							0.08
Other Income (Expense)
Higher (lower) other income														0.09				0.01				0.10
(Higher) lower interest expense						—				(0.01	)			(0.02	)			(0.03	)			(0.06	)
Income Taxes
Lower (higher) income tax expense / effective tax rate		(0.03	)			—				0.01				(0.01	)			—				(0.03	)
All other / rounding		(0.02	)			0.01				—				0.03				(0.02	)			—
Second quarter 2025 adjusted operating results per share		1.08				0.35				0.30				0.70				(0.04	)			2.39
Items impacting comparability:
Premiums paid on early redemption of debt, net of tax		(0.01	)							(0.01	)											(0.02	)
Unrealized gain (loss) on derivative asset, net of tax		—																				—
Unrealized gain (loss) on other investments, net of tax																		—				—
Second quarter 2025 GAAP earnings per share	$	1.07			$	0.35			$	0.29			$	0.70			$	(0.04	)		$	2.37
* Amounts do not reflect intercompany eliminations.
** Drivers of adjusted operating results have been calculated using the 21% federal statutory rate.
*** Downstream margin defined as operating revenues less purchased gas expense.

NATIONAL FUEL GAS COMPANY
RECONCILIATION OF CURRENT AND PRIOR YEAR GAAP EARNINGS
SIX MONTHS ENDED MARCH 31, 2025
(Unaudited)
	Upstream				Midstream								Downstream
	Exploration &				Pipeline &												Corporate /
(Thousands of Dollars)	Production				Storage				Gathering				Utility				All Other				Consolidated*
Six months ended March 31, 2024 GAAP earnings	$	114,548			$	54,792			$	57,531			$	71,289			$	1,132			$	299,292
Items impacting comparability:
Unrealized (gain) loss on derivative asset		3,662																				3,662
Tax impact of unrealized (gain) loss on derivative asset		(1,004	)																			(1,004	)
Unrealized (gain) loss on other investments																		(1,818	)			(1,818	)
Tax impact of unrealized (gain) loss on other investments																		382				382
Six months ended March 31, 2024 adjusted operating results		117,206				54,792				57,531				71,289				(304	)			300,514
Drivers of adjusted operating results**
Upstream Revenues
Higher (lower) natural gas production		(817	)																			(817	)
Higher (lower) realized natural gas prices, after hedging		33,964																				33,964
Midstream Revenues
Higher (lower) operating revenues						10,865				(332	)											10,533
Downstream Margins***
Impact of usage and weather														2,685								2,685
Impact of new rates in New York														22,442								22,442
Higher (lower) other operating revenues														(1,364	)							(1,364	)
Operating Expenses
Lower (higher) operating expenses		(1,742	)			(2,105	)			(1,108	)			(4,575	)							(9,530	)
Lower (higher) property, franchise and other taxes		(746	)																			(746	)
Lower (higher) depreciation / depletion		13,816				452				(1,802	)			(1,309	)							11,157
Other Income (Expense)
Higher (lower) other income		(1,888	)			(603	)							11,720				2,300				11,529
(Higher) lower interest expense						328				(1,271	)			(3,679	)			(3,165	)			(7,787	)
Income Taxes
Lower (higher) income tax expense / effective tax rate		(2,338	)			(246	)			905				(1,128	)			43				(2,764	)
All other / rounding		(226	)			679				262				(38	)			(219	)			458
Six months ended March 31, 2025 adjusted operating results		157,229				64,162				54,185				96,043				(1,345	)			370,274
Items impacting comparability:
Impairment of assets		(141,802	)																			(141,802	)
Tax impact of impairment of assets		37,169																				37,169
Premiums paid on early redemption of debt		(1,430	)							(955	)											(2,385	)
Tax impact of premiums paid on early redemption of debt		385								257												642
Unrealized gain (loss) on derivative asset		(684	)																			(684	)
Tax impact of unrealized gain (loss) on derivative asset		184																				184
Unrealized gain (loss) on other investments																		(2,600	)			(2,600	)
Tax impact of unrealized gain (loss) on other investments																		546				546
Six months ended March 31, 2025 GAAP earnings	$	51,051			$	64,162			$	53,487			$	96,043			$	(3,399	)		$	261,344
* Amounts do not reflect intercompany eliminations.
** Drivers of adjusted operating results have been calculated using the 21% federal statutory rate.
*** Downstream margin defined as operating revenues less purchased gas expense.

NATIONAL FUEL GAS COMPANY
RECONCILIATION OF CURRENT AND PRIOR YEAR GAAP EARNINGS PER SHARE
SIX MONTHS ENDED MARCH 31, 2025
(Unaudited)
	Upstream				Midstream								Downstream
	Exploration &				Pipeline &												Corporate /
	Production				Storage				Gathering				Utility				All Other				Consolidated*
Six months ended March 31, 2024 GAAP earnings per share	$	1.24			$	0.59			$	0.62			$	0.77			$	0.02			$	3.24
Items impacting comparability:
Unrealized (gain) loss on derivative asset, net of tax		0.03																				0.03
Unrealized (gain) loss on other investments, net of tax																		(0.02	)			(0.02	)
Six months ended March 31, 2024 adjusted operating results per share		1.27				0.59				0.62				0.77				—				3.25
Drivers of adjusted operating results**
Upstream Revenues
Higher (lower) natural gas production		(0.01	)																			(0.01	)
Higher (lower) realized natural gas prices, after hedging		0.37																				0.37
Midstream Revenues
Higher (lower) operating revenues						0.12				—												0.12
Downstream Margins***
Impact of usage and weather														0.03								0.03
Impact of new rates in New York														0.25								0.25
Higher (lower) other operating revenues														(0.01	)							(0.01	)
Operating Expenses
Lower (higher) operating expenses		(0.02	)			(0.02	)			(0.01	)			(0.05	)							(0.10	)
Lower (higher) property, franchise and other taxes		(0.01	)																			(0.01	)
Lower (higher) depreciation / depletion		0.15				—				(0.02	)			(0.01	)							0.12
Other Income (Expense)
Higher (lower) other income		(0.02	)			(0.01	)							0.13				0.03				0.13
(Higher) lower interest expense						—				(0.01	)			(0.04	)			(0.03	)			(0.08	)
Income Taxes
Lower (higher) income tax expense / effective tax rate		(0.03	)			—				0.01				(0.01	)			—				(0.03	)
All other / rounding		0.02				0.02				0.01				(0.01	)			(0.01	)			0.03
Six months ended March 31, 2025 adjusted operating results per share		1.72				0.70				0.60				1.05				(0.01	)			4.06
Items impacting comparability:
Impairment of assets, net of tax		(1.14	)																			(1.14	)
Premiums paid on early redemption of debt, net of tax		(0.01	)							(0.01	)											(0.02	)
Unrealized gain (loss) on derivative asset, net of tax		(0.01	)																			(0.01	)
Unrealized gain (loss) on other investments, net of tax																		(0.02	)			(0.02	)
Rounding																		(0.01	)			(0.01	)
Six months ended March 31, 2025 GAAP earnings per share	$	0.56			$	0.70			$	0.59			$	1.05			$	(0.04	)		$	2.86
* Amounts do not reflect intercompany eliminations.
** Drivers of adjusted operating results have been calculated using the 21% federal statutory rate.
*** Downstream margin defined as operating revenues less purchased gas expense.

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
(Thousands of Dollars, except per share amounts)
	Three Months Ended								Six Months Ended
	March 31,								March 31,
	(Unaudited)								(Unaudited)
SUMMARY OF OPERATIONS		2025				2024				2025				2024
Operating Revenues:
Utility Revenues	$	343,574			$	290,198			$	571,998			$	492,119
Exploration and Production and Other Revenues		311,958				264,614				560,818				518,633
Pipeline and Storage and Gathering Revenues		74,418				75,127				146,616				144,549
		729,950				629,939				1,279,432				1,155,301
Operating Expenses:
Purchased Gas		135,338				105,940				200,675				162,491
Operation and Maintenance:
Utility		63,447				59,288				118,691				112,993
Exploration and Production and Other		35,059				32,794				68,600				67,620
Pipeline and Storage and Gathering		42,363				39,340				78,304				74,303
Property, Franchise and Other Taxes		25,214				23,019				47,270				45,434
Depreciation, Depletion and Amortization		111,277				118,935				220,647				234,725
Impairment of Assets		—				—				141,802				—
		412,698				379,316				875,989				697,566
Operating Income		317,252				250,623				403,443				457,735
Other Income (Expense):
Other Income (Deductions)		15,232				6,070				22,952				9,801
Interest Expense on Long-Term Debt		(39,662	)			(28,453	)			(73,024	)			(56,915	)
Other Interest Expense		(5,095	)			(6,636	)			(9,476	)			(12,910	)
Income Before Income Taxes		287,727				221,604				343,895				397,711
Income Tax Expense		71,369				55,332				82,551				98,419
Net Income Available for Common Stock	$	216,358			$	166,272			$	261,344			$	299,292
Earnings Per Common Share
Basic	$	2.39			$	1.81			$	2.88			$	3.25
Diluted	$	2.37			$	1.80			$	2.86			$	3.24
Weighted Average Common Shares:
Used in Basic Calculation		90,500,162				92,114,415				90,640,333				92,011,772
Used in Diluted Calculation		91,176,327				92,512,447				91,312,334				92,478,604

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Unaudited)
	March 31,				September 30,
(Thousands of Dollars)		2025				2024
ASSETS
Property, Plant and Equipment	$	14,834,817			$	14,524,798
Less – Accumulated Depreciation, Depletion and Amortization		7,487,618				7,185,593
Net Property, Plant and Equipment		7,347,199				7,339,205
Current Assets:
Cash and Temporary Cash Investments		39,954				38,222
Cash Held in Trust for Bondholders		51,352				—
Receivables – Net		291,132				127,222
Unbilled Revenue		49,077				15,521
Gas Stored Underground		6,413				35,055
Materials and Supplies – at average cost		48,451				47,670
Unrecovered Purchased Gas Costs		3,562				—
Other Current Assets		78,532				92,229
Total Current Assets		568,473				355,919
Other Assets:
Recoverable Future Taxes		88,623				80,084
Unamortized Debt Expense		7,166				5,604
Other Regulatory Assets		118,800				108,022
Deferred Charges		69,572				69,662
Other Investments		71,958				81,705
Goodwill		5,476				5,476
Prepaid Pension and Post-Retirement Benefit Costs		194,325				180,230
Fair Value of Derivative Financial Instruments		45				87,905
Other		8,326				5,958
Total Other Assets		564,291				624,646
Total Assets	$	8,479,963			$	8,319,770
CAPITALIZATION AND LIABILITIES
Capitalization:
Comprehensive Shareholders’ Equity
Common Stock, $1 Par Value Authorized – 200,000,000 Shares; Issued and
Outstanding – 90,397,698 Shares and 91,005,993 Shares, Respectively	$	90,398			$	91,006
Paid in Capital		1,042,822				1,045,487
Earnings Reinvested in the Business		1,855,366				1,727,326
Accumulated Other Comprehensive Loss		(222,975	)			(15,476	)
Total Comprehensive Shareholders’ Equity		2,765,611				2,848,343
Long-Term Debt, Net of Current Portion and Unamortized Discount and Debt Issuance Costs		2,381,126				2,188,243
Total Capitalization		5,146,737				5,036,586
Current and Accrued Liabilities:
Notes Payable to Banks and Commercial Paper		208,400				90,700
Current Portion of Long-Term Debt		350,000				500,000
Accounts Payable		127,611				165,068
Amounts Payable to Customers		34,393				42,720
Dividends Payable		46,555				46,872
Interest Payable on Long-Term Debt		19,454				27,247
Customer Advances		—				19,373
Customer Security Deposits		30,358				36,265
Other Accruals and Current Liabilities		184,925				162,903
Fair Value of Derivative Financial Instruments		201,464				4,744
Total Current and Accrued Liabilities		1,203,160				1,095,892
Other Liabilities:
Deferred Income Taxes		1,072,436				1,111,165
Taxes Refundable to Customers		302,293				305,645
Cost of Removal Regulatory Liability		300,256				292,477
Other Regulatory Liabilities		140,828				151,452
Other Post-Retirement Liabilities		3,404				3,511
Asset Retirement Obligations		193,802				203,006
Other Liabilities		117,047				120,036
Total Other Liabilities		2,130,066				2,187,292
Commitments and Contingencies		—				—
Total Capitalization and Liabilities	$	8,479,963			$	8,319,770

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
	Six Months Ended
	March 31,
(Thousands of Dollars)		2025				2024
Operating Activities:
Net Income Available for Common Stock	$	261,344			$	299,292
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities:
Impairment of Assets		141,802				—
Depreciation, Depletion and Amortization		220,647				234,725
Deferred Income Taxes		25,787				65,187
Premiums Paid on Early Redemption of Debt		2,385				—
Stock-Based Compensation		10,487				10,477
Other		14,317				11,874
Change in:
Receivables and Unbilled Revenue		(197,553	)			(50,123	)
Gas Stored Underground and Materials and Supplies		27,861				25,675
Unrecovered Purchased Gas Costs		(3,562	)			—
Other Current Assets		13,737				15,201
Accounts Payable		17,322				(15,641	)
Amounts Payable to Customers		(8,327	)			13,327
Customer Advances		(19,373	)			(21,003	)
Customer Security Deposits		(5,907	)			1,836
Other Accruals and Current Liabilities		21,528				26,927
Other Assets		(20,282	)			(22,165	)
Other Liabilities		(28,343	)			(9,328	)
Net Cash Provided by Operating Activities	$	473,870			$	586,261
Investing Activities:
Capital Expenditures	$	(434,260	)		$	(481,958	)
Other		8,881				(1,189	)
Net Cash Used in Investing Activities	$	(425,379	)		$	(483,147	)
Financing Activities:
Changes in Notes Payable to Banks and Commercial Paper		117,700				(8,600	)
Shares Repurchased Under Repurchase Plan		(50,471	)			(4,230	)
Reduction of Long-Term Debt		(954,086	)			—
Net Proceeds From Issuance of Long-Term Debt		989,019				—
Dividends Paid on Common Stock		(93,543	)			(91,048	)
Net Repurchases of Common Stock Under Stock and Benefit Plans		(4,026	)			(3,914	)
Net Cash Provided by (Used in) Financing Activities	$	4,593			$	(107,792	)
Net Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash		53,084				(4,678	)
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period		38,222				55,447
Cash, Cash Equivalents, and Restricted Cash at March 31	$	91,306			$	50,769

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
SEGMENT OPERATING RESULTS AND STATISTICS
(UNAUDITED)
UPSTREAM BUSINESS
	Three Months Ended												Six Months Ended
(Thousands of Dollars, except per share amounts)	March 31,												March 31,
EXPLORATION AND PRODUCTION SEGMENT		2025				2024			Variance					2025				2024			Variance
Total Operating Revenues	$	311,958			$	264,614			$	47,344			$	560,818			$	518,633			$	42,185
Operating Expenses:
Operation and Maintenance:
General and Administrative Expense		18,847				17,165				1,682				38,173				34,958				3,215
Lease Operating and Transportation Expense		71,176				69,662				1,514				136,816				136,736				80
All Other Operation and Maintenance Expense		3,310				2,644				666				7,178				8,188				(1,010	)
Property, Franchise and Other Taxes		4,275				3,075				1,200				7,657				6,713				944
Depreciation, Depletion and Amortization		64,622				73,448				(8,826	)			127,925				145,413				(17,488	)
Impairment of Assets		—				—				—				141,802				—				141,802
		162,230				165,994				(3,764	)			459,551				332,008				127,543
Operating Income		149,728				98,620				51,108				101,267				186,625				(85,358	)
Other Income (Expense):
Non-Service Pension and Post-Retirement Benefit Credit		37				100				(63	)			74				201				(127	)
Interest and Other Income (Deductions)		101				1,170				(1,069	)			373				(342	)			715
Interest Expense on Long-Term Debt		(1,949	)			—				(1,949	)			(1,949	)			—				(1,949	)
Other Interest Expense		(15,091	)			(15,108	)			17				(30,291	)			(30,377	)			86
Income Before Income Taxes		132,826				84,782				48,044				69,474				156,107				(86,633	)
Income Tax Expense		34,998				22,717				12,281				18,423				41,559				(23,136	)
Net Income	$	97,828			$	62,065			$	35,763			$	51,051			$	114,548			$	(63,497	)
Net Income Per Share (Diluted)	$	1.07			$	0.67			$	0.40			$	0.56			$	1.24			$	(0.68	)

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
SEGMENT OPERATING RESULTS AND STATISTICS
(UNAUDITED)
MIDSTREAM BUSINESSES
	Three Months Ended												Six Months Ended
(Thousands of Dollars, except per share amounts)	March 31,												March 31,
PIPELINE AND STORAGE SEGMENT		2025				2024			Variance					2025				2024			Variance
Revenues from External Customers	$	71,185			$	71,210			$	(25	)		$	139,935			$	136,036			$	3,899
Intersegment Revenues		38,388				36,810				1,578				76,251				66,397				9,854
Total Operating Revenues		109,573				108,020				1,553				216,186				202,433				13,753
Operating Expenses:
Purchased Gas		162				325				(163	)			121				926				(805	)
Operation and Maintenance		30,642				29,062				1,580				57,677				55,013				2,664
Property, Franchise and Other Taxes		8,600				8,600				—				17,266				17,320				(54	)
Depreciation, Depletion and Amortization		18,547				19,490				(943	)			37,132				37,704				(572	)
		57,951				57,477				474				112,196				110,963				1,233
Operating Income		51,622				50,543				1,079				103,990				91,470				12,520
Other Income (Expense):
Non-Service Pension and Post-Retirement Benefit Credit		952				1,257				(305	)			1,905				2,515				(610	)
Interest and Other Income		1,794				2,046				(252	)			3,833				3,978				(145	)
Interest Expense		(11,700	)			(12,119	)			419				(23,428	)			(23,843	)			415
Income Before Income Taxes		42,668				41,727				941				86,300				74,120				12,180
Income Tax Expense		10,961				10,990				(29	)			22,138				19,328				2,810
Net Income	$	31,707			$	30,737			$	970			$	64,162			$	54,792			$	9,370
Net Income Per Share (Diluted)	$	0.35			$	0.33			$	0.02			$	0.70			$	0.59			$	0.11
	Three Months Ended												Six Months Ended
	March 31,												March 31,
GATHERING SEGMENT		2025				2024			Variance					2025				2024			Variance
Revenues from External Customers	$	3,233			$	3,917			$	(684	)		$	6,681			$	8,513			$	(1,832	)
Intersegment Revenues		61,797				60,076				1,721				119,480				118,068				1,412
Total Operating Revenues		65,030				63,993				1,037				126,161				126,581				(420	)
Operating Expenses:
Operation and Maintenance		12,275				10,796				1,479				21,703				20,300				1,403
Property, Franchise and Other Taxes		7				94				(87	)			(227	)			117				(344	)
Depreciation, Depletion and Amortization		10,834				9,611				1,223				21,349				19,068				2,281
		23,116				20,501				2,615				42,825				39,485				3,340
Operating Income		41,914				43,492				(1,578	)			83,336				87,096				(3,760	)
Other Income (Expense):
Non-Service Pension and Post-Retirement Benefit Credit (Costs)		—				9				(9	)			(1	)			19				(20	)
Interest and Other Income		93				72				21				152				143				9
Interest Expense on Long-Term Debt		(1,334	)			—				(1,334	)			(1,334	)			—				(1,334	)
Other Interest Expense		(4,450	)			(3,701	)			(749	)			(8,661	)			(7,431	)			(1,230	)
Income Before Income Taxes		36,223				39,872				(3,649	)			73,492				79,827				(6,335	)
Income Tax Expense		9,881				11,166				(1,285	)			20,005				22,296				(2,291	)
Net Income	$	26,342			$	28,706			$	(2,364	)		$	53,487			$	57,531			$	(4,044	)
Net Income Per Share (Diluted)	$	0.29			$	0.31			$	(0.02	)		$	0.59			$	0.62			$	(0.03	)

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
SEGMENT OPERATING RESULTS AND STATISTICS
(UNAUDITED)
DOWNSTREAM BUSINESS
	Three Months Ended												Six Months Ended
(Thousands of Dollars, except per share amounts)	March 31,												March 31,
UTILITY SEGMENT		2025				2024			Variance					2025				2024			Variance
Revenues from External Customers	$	343,574			$	290,198			$	53,376			$	571,998			$	492,119			$	79,879
Intersegment Revenues		119				306				(187	)			203				393				(190	)
Total Operating Revenues		343,693				290,504				53,189				572,201				492,512				79,689
Operating Expenses:
Purchased Gas		171,777				140,836				30,941				273,249				224,886				48,363
Operation and Maintenance		64,444				60,229				4,215				120,704				114,913				5,791
Property, Franchise and Other Taxes		12,202				11,113				1,089				22,313				21,019				1,294
Depreciation, Depletion and Amortization		17,135				16,268				867				33,962				32,305				1,657
		265,558				228,446				37,112				450,228				393,123				57,105
Operating Income		78,135				62,058				16,077				121,973				99,389				22,584
Other Income (Expense):
Non-Service Pension and Post-Retirement Benefit Credit		12,299				857				11,442				18,170				1,327				16,843
Interest and Other Income		714				1,340				(626	)			1,242				3,250				(2,008	)
Interest Expense		(10,927	)			(8,528	)			(2,399	)			(21,643	)			(16,986	)			(4,657	)
Income Before Income Taxes		80,221				55,727				24,494				119,742				86,980				32,762
Income Tax Expense		16,677				10,988				5,689				23,699				15,691				8,008
Net Income	$	63,544			$	44,739			$	18,805			$	96,043			$	71,289			$	24,754
Net Income Per Share (Diluted)	$	0.70			$	0.48			$	0.22			$	1.05			$	0.77			$	0.28

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
SEGMENT OPERATING RESULTS AND STATISTICS
(UNAUDITED)
	Three Months Ended												Six Months Ended
(Thousands of Dollars, except per share amounts)	March 31,												March 31,
ALL OTHER		2025				2024			Variance					2025				2024			Variance
Total Operating Revenues	$	—			$	—			$	—			$	—			$	—			$	—
Operating Expenses:
Operation and Maintenance		—				—				—				—				—				—
		—				—				—				—				—				—
Operating Income		—				—				—				—				—				—
Other Income (Expense):
Interest and Other Income (Deductions)		(222	)			(41	)			(181	)			(358	)			(119	)			(239	)
Interest Expense		(131	)			(84	)			(47	)			(248	)			(165	)			(83	)
Loss before Income Taxes		(353	)			(125	)			(228	)			(606	)			(284	)			(322	)
Income Tax Benefit		(82	)			(29	)			(53	)			(141	)			(67	)			(74	)
Net Loss	$	(271	)		$	(96	)		$	(175	)		$	(465	)		$	(217	)		$	(248	)
Net Loss Per Share (Diluted)	$	—			$	—			$	—			$	(0.01	)		$	—			$	(0.01	)
	Three Months Ended												Six Months Ended
	March 31,												March 31,
CORPORATE		2025				2024			Variance					2025				2024			Variance
Revenues from External Customers	$	—			$	—			$	—			$	—			$	—			$	—
Intersegment Revenues		1,341				1,286				55				2,683				2,571				112
Total Operating Revenues		1,341				1,286				55				2,683				2,571				112
Operating Expenses:
Operation and Maintenance		5,219				5,121				98				9,266				8,916				350
Property, Franchise and Other Taxes		130				137				(7	)			261				265				(4	)
Depreciation, Depletion and Amortization		139				118				21				279				235				44
		5,488				5,376				112				9,806				9,416				390
Operating Loss		(4,147	)			(4,090	)			(57	)			(7,123	)			(6,845	)			(278	)
Other Income (Expense):
Non-Service Pension and Post-Retirement Benefit Costs		(212	)			(387	)			175				(423	)			(774	)			351
Interest and Other Income		41,785				40,234				1,551				82,846				81,262				1,584
Interest Expense on Long-Term Debt		(36,379	)			(28,453	)			(7,926	)			(69,741	)			(56,915	)			(12,826	)
Other Interest Expense		(4,905	)			(7,683	)			2,778				(10,066	)			(15,767	)			5,701
Income (Loss) before Income Taxes		(3,858	)			(379	)			(3,479	)			(4,507	)			961				(5,468	)
Income Tax Benefit		(1,066	)			(500	)			(566	)			(1,573	)			(388	)			(1,185	)
Net Income (Loss)	$	(2,792	)		$	121			$	(2,913	)		$	(2,934	)		$	1,349			$	(4,283	)
Net Income (Loss) Per Share (Diluted)	$	(0.04	)		$	0.01			$	(0.05	)		$	(0.03	)		$	0.02			$	(0.05	)
	Three Months Ended												Six Months Ended
	March 31,												March 31,
INTERSEGMENT ELIMINATIONS		2025				2024			Variance					2025				2024			Variance
Intersegment Revenues	$	(101,645	)		$	(98,478	)		$	(3,167	)		$	(198,617	)		$	(187,429	)		$	(11,188	)
Operating Expenses:
Purchased Gas		(36,601	)			(35,221	)			(1,380	)			(72,695	)			(63,321	)			(9,374	)
Operation and Maintenance		(65,044	)			(63,257	)			(1,787	)			(125,922	)			(124,108	)			(1,814	)
		(101,645	)			(98,478	)			(3,167	)			(198,617	)			(187,429	)			(11,188	)
Operating Income		—				—				—				—				—				—
Other Income (Expense):
Interest and Other Deductions		(42,109	)			(40,587	)			(1,522	)			(84,861	)			(81,659	)			(3,202	)
Interest Expense		42,109				40,587				1,522				84,861				81,659				3,202
Net Income	$	—			$	—			$	—			$	—			$	—			$	—
Net Income Per Share (Diluted)	$	—			$	—			$	—			$	—			$	—			$	—

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
SEGMENT INFORMATION (Continued)
(Thousands of Dollars)
	Three Months Ended												Six Months Ended
	March 31,												March 31,
	(Unaudited)												(Unaudited)
									Increase												Increase
		2025				2024			(Decrease)					2025				2024			(Decrease)
Capital Expenditures:
Exploration and Production	$	108,384		(1)	$	124,184		(3)	$	(15,800	)		$	230,986		(1)(2)	$	285,141		(3)(4)	$	(54,155	)
Pipeline and Storage		15,626		(1)		18,025		(3)		(2,399	)			35,417		(1)(2)		42,579		(3)(4)		(7,162	)
Gathering		18,499		(1)		19,949		(3)		(1,450	)			31,526		(1)(2)		39,518		(3)(4)		(7,992	)
Utility		41,867		(1)		37,741		(3)		4,126				78,298		(1)(2)		68,251		(3)(4)		10,047
Total Reportable Segments		184,376				199,899				(15,523	)			376,227				435,489				(59,262	)
All Other		—				—				—				—				—				—
Corporate		174				121				53				378				182				196
Eliminations		(3,520	)			—				(3,520	)			(3,520	)			—				(3,520	)
Total Capital Expenditures	$	181,030			$	200,020			$	(18,990	)		$	373,085			$	435,671			$	(62,586	)

(1)		Capital expenditures for the quarter and six months ended March 31, 2025, include accounts payable and accrued liabilities related to capital expenditures of $44.8 million, $2.4 million, $6.8 million, and $4.8 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts have been excluded from the Consolidated Statement of Cash Flows at March 31, 2025, since they represent non-cash investing activities at that date.
(2)		Capital expenditures for the six months ended March 31, 2025, exclude capital expenditures of $63.3 million, $14.4 million, $21.7 million and $20.6 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts were in accounts payable and accrued liabilities at September 30, 2024 and paid during the six months ended March 31, 2025. These amounts were excluded from the Consolidated Statement of Cash Flows at September 30, 2024, since they represented non-cash investing activities at that date. These amounts have been included in the Consolidated Statement of Cash Flows at March 31, 2025.
(3)		Capital expenditures for the quarter and six months ended March 31, 2024, include accounts payable and accrued liabilities related to capital expenditures of $44.4 million, $5.0 million, $5.5 million, and $8.0 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts were excluded from the Consolidated Statement of Cash Flows at March 31, 2024, since they represented non-cash investing activities at that date.
(4)		Capital expenditures for the six months ended March 31, 2024, exclude capital expenditures of $43.2 million, $31.8 million, $20.6 million and $13.6 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts were in accounts payable and accrued liabilities at September 30, 2023 and paid during the six months ended March 31, 2024. These amounts were excluded from the Consolidated Statement of Cash Flows at September 30, 2023, since they represented non-cash investing activities at that date. These amounts have been included in the Consolidated Statement of Cash Flows at March 31, 2024.

DEGREE DAYS
													Percent Colder
													(Warmer) Than:
Three Months Ended March 31,		Normal				2025				2024			Normal(1)					Last Year(1)
Buffalo, NY(2)		3,226				3,116				2,705				(3.4	)			15.2
Erie, PA		3,023				3,017				2,576				(0.2	)			17.1
Six Months Ended March 31,
Buffalo, NY(2)		5,352				5,000				4,563				(6.6	)			9.6
Erie, PA		4,917				4,714				4,240				(4.1	)			11.2

(1)		Percents compare actual 2025 degree days to normal degree days and actual 2025 degree days to actual 2024 degree days.
(2)		Normal degree days changed from NOAA 30-year degree days to NOAA 15-year degree days with the implementation of new base rates in New York effective October 2024.

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
EXPLORATION AND PRODUCTION INFORMATION
	Three Months Ended												Six Months Ended
	March 31,												March 31,
									Increase												Increase
		2025				2024			(Decrease)					2025				2024			(Decrease)
Gas Production/Prices:
Production (MMcf)
Appalachia		105,514				102,883				2,631				203,232				203,640				(408	)
Average Prices (Per Mcf)
Weighted Average	$	3.02			$	1.98			$	1.04			$	2.64			$	2.14			$	0.50
Weighted Average after Hedging	$	2.94			$	2.56			$	0.38			$	2.74			$	2.53			$	0.21
Selected Operating Performance Statistics:
General and Administrative Expense per Mcf(1)	$	0.18			$	0.17			$	0.01			$	0.19			$	0.17			$	0.02
Lease Operating and Transportation Expense per Mcf(1)(2)	$	0.67			$	0.68			$	(0.01	)		$	0.67			$	0.67			$	—
Depreciation, Depletion and Amortization per Mcf(1)	$	0.61			$	0.71			$	(0.10	)		$	0.63			$	0.71			$	(0.08	)

(1)		Refer to page 15 for the General and Administrative Expense, Lease Operating and Transportation Expense and Depreciation, Depletion, and Amortization Expense for the Exploration and Production segment.
(2)		Amounts include transportation expense of $0.57 per Mcf for the three months ended March 31, 2025 and March 31, 2024. Amounts include transportation expense of $0.57 per Mcf for the six months ended March 31, 2025 and March 31, 2024.

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
Pipeline and Storage Throughput – (millions of cubic feet – MMcf)
	Three Months Ended												Six Months Ended
	March 31,												March 31,
									Increase												Increase
		2025				2024			(Decrease)					2025				2024			(Decrease)
Firm Transportation – Affiliated		49,240				42,561				6,679				81,110				74,056				7,054
Firm Transportation – Non-Affiliated		185,490				179,697				5,793				356,502				348,303				8,199
Interruptible Transportation		454				1,271				(817	)			515				1,389				(874	)
		235,184				223,529				11,655				438,127				423,748				14,379
Gathering Volume – (MMcf)
	Three Months Ended												Six Months Ended
	March 31,												March 31,
									Increase												Increase
		2025				2024			(Decrease)					2025				2024			(Decrease)
Gathered Volume		129,771				125,565				4,206				250,732				249,388				1,344
Utility Throughput – (MMcf)
	Three Months Ended												Six Months Ended
	March 31,												March 31,
									Increase												Increase
		2025				2024			(Decrease)					2025				2024			(Decrease)
Retail Sales:
Residential Sales		32,111				27,063				5,048				50,587				45,045				5,542
Commercial Sales		5,420				4,293				1,127				8,339				7,093				1,246
Industrial Sales		302				190				112				501				327				174
		37,833				31,546				6,287				59,427				52,465				6,962
Transportation		25,086				22,637				2,449				42,028				40,166				1,862
		62,919				54,183				8,736				101,455				92,631				8,824

NATIONAL FUEL GAS COMPANY AND SUBSIDIARIES NON-GAAP FINANCIAL MEASURES

In addition to financial measures calculated in accordance with generally accepted accounting principles (GAAP), this press release contains information regarding adjusted operating results, adjusted EBITDA and free cash flow, which are non-GAAP financial measures. The Company believes that these non-GAAP financial measures are useful to investors because they provide an alternative method for assessing the Company’s ongoing operating results or liquidity and for comparing the Company’s financial performance to other companies. The Company’s management uses these non-GAAP financial measures for the same purpose, and for planning and forecasting purposes. The presentation of non-GAAP financial measures is not meant to be a substitute for financial measures in accordance with GAAP.

Management defines adjusted operating results as reported GAAP earnings before items impacting comparability. The following table reconciles National Fuel’s reported GAAP earnings to adjusted operating results for the three and six months ended March 31, 2025 and 2024:

	Three Months Ended								Six Months Ended
	March 31,								March 31,
(in thousands except per share amounts)		2025				2024				2025				2024
Reported GAAP Earnings	$	216,358			$	166,272			$	261,344			$	299,292
Items impacting comparability:
Impairment of assets (E&P)		—				—				141,802				—
Tax impact of impairment of assets		—				—				(37,169	)			—
Premiums paid on early redemption of debt (E&P / Midstream)		2,385				—				2,385				—
Tax impact of premiums paid on early redemption of debt		(642	)			—				(642	)			—
Unrealized (gain) loss on derivative asset (E&P)		335				(536	)			684				3,662
Tax impact of unrealized (gain) loss on derivative asset		(90	)			147				(184	)			(1,004	)
Unrealized (gain) loss on other investments (Corporate / All Other)		(17	)			(769	)			2,600				(1,818	)
Tax impact of unrealized (gain) loss on other investments		4				162				(546	)			382
Adjusted Operating Results	$	218,333			$	165,276			$	370,274			$	300,514
Reported GAAP Earnings Per Share	$	2.37			$	1.80			$	2.86			$	3.24
Items impacting comparability:
Impairment of assets, net of tax (E&P)		—				—				1.14				—
Premiums paid on early redemption of debt, net of tax (E&P / Midstream)		0.02				—				0.02				—
Unrealized (gain) loss on derivative asset, net of tax (E&P)		—				—				0.01				0.03
Unrealized (gain) loss on other investments, net of tax (Corporate / All Other)		—				(0.01	)			0.02				(0.02	)
Rounding		—				—				0.01				—
Adjusted Operating Results Per Share	$	2.39			$	1.79			$	4.06			$	3.25

Management defines adjusted EBITDA as reported GAAP earnings before the following items: interest expense, income taxes, depreciation, depletion and amortization, other income and deductions, impairments, and other items reflected in operating income that impact comparability. The following tables reconcile National Fuel’s reported GAAP earnings to adjusted EBITDA for the three and six months ended March 31, 2025 and 2024:

	Three Months Ended								Six Months Ended
	March 31,								March 31,
(in thousands)		2025				2024				2025				2024
Reported GAAP Earnings	$	216,358			$	166,272			$	261,344			$	299,292
Depreciation, Depletion and Amortization		111,277				118,935				220,647				234,725
Other (Income) Deductions		(15,232	)			(6,070	)			(22,952	)			(9,801	)
Interest Expense		44,757				35,089				82,500				69,825
Income Taxes		71,369				55,332				82,551				98,419
Impairment of Assets		—				—				141,802				—
Adjusted EBITDA	$	428,529			$	369,558			$	765,892			$	692,460
Adjusted EBITDA by Segment
Pipeline and Storage Adjusted EBITDA	$	70,169			$	70,033			$	141,122			$	129,174
Gathering Adjusted EBITDA		52,748				53,103				104,685				106,164
Total Midstream Businesses Adjusted EBITDA		122,917				123,136				245,807				235,338
Exploration and Production Adjusted EBITDA		214,350				172,068				370,994				332,038
Utility Adjusted EBITDA		95,270				78,326				155,935				131,694
Corporate and All Other Adjusted EBITDA		(4,008	)			(3,972	)			(6,844	)			(6,610	)
Total Adjusted EBITDA	$	428,529			$	369,558			$	765,892			$	692,460

NATIONAL FUEL GAS COMPANY AND SUBSIDIARIES NON-GAAP FINANCIAL MEASURES SEGMENT ADJUSTED EBITDA
	Three Months Ended								Six Months Ended
	March 31,								March 31,
(in thousands)		2025				2024				2025				2024
Exploration and Production Segment
Reported GAAP Earnings	$	97,828			$	62,065			$	51,051			$	114,548
Depreciation, Depletion and Amortization		64,622				73,448				127,925				145,413
Other (Income) Deductions		(138	)			(1,270	)			(447	)			141
Interest Expense		17,040				15,108				32,240				30,377
Income Taxes		34,998				22,717				18,423				41,559
Impairment of Assets		—				—				141,802				—
Adjusted EBITDA	$	214,350			$	172,068			$	370,994			$	332,038
Pipeline and Storage Segment
Reported GAAP Earnings	$	31,707			$	30,737			$	64,162			$	54,792
Depreciation, Depletion and Amortization		18,547				19,490				37,132				37,704
Other (Income) Deductions		(2,746	)			(3,303	)			(5,738	)			(6,493	)
Interest Expense		11,700				12,119				23,428				23,843
Income Taxes		10,961				10,990				22,138				19,328
Adjusted EBITDA	$	70,169			$	70,033			$	141,122			$	129,174
Gathering Segment
Reported GAAP Earnings	$	26,342			$	28,706			$	53,487			$	57,531
Depreciation, Depletion and Amortization		10,834				9,611				21,349				19,068
Other (Income) Deductions		(93	)			(81	)			(151	)			(162	)
Interest Expense		5,784				3,701				9,995				7,431
Income Taxes		9,881				11,166				20,005				22,296
Adjusted EBITDA	$	52,748			$	53,103			$	104,685			$	106,164
Utility Segment
Reported GAAP Earnings	$	63,544			$	44,739			$	96,043			$	71,289
Depreciation, Depletion and Amortization		17,135				16,268				33,962				32,305
Other (Income) Deductions		(13,013	)			(2,197	)			(19,412	)			(4,577	)
Interest Expense		10,927				8,528				21,643				16,986
Income Taxes		16,677				10,988				23,699				15,691
Adjusted EBITDA	$	95,270			$	78,326			$	155,935			$	131,694
Corporate and All Other
Reported GAAP Earnings	$	(3,063	)		$	25			$	(3,399	)		$	1,132
Depreciation, Depletion and Amortization		139				118				279				235
Other (Income) Deductions		758				781				2,796				1,290
Interest Expense		(694	)			(4,367	)			(4,806	)			(8,812	)
Income Taxes		(1,148	)			(529	)			(1,714	)			(455	)
Adjusted EBITDA	$	(4,008	)		$	(3,972	)		$	(6,844	)		$	(6,610	)

Management defines free cash flow as net cash provided by operating activities, less net cash used in investing activities, adjusted for acquisitions and divestitures. The Company is unable to provide a reconciliation of any projected free cash flow measure to its comparable GAAP financial measure without unreasonable efforts. This is due to an inability to calculate the comparable GAAP projected metrics, including operating income and total production costs, given the unknown effect, timing, and potential significance of certain income statement items.

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