SR-A Spire Inc

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Commission File Number		Name of Registrant, Address of Principal Executive Offices and Telephone Number		State of Incorporation		IRS Employer Identification No.
1-16681		Spire Inc. 700 Market Street St. Louis, MO 63101 314-342-0500		Missouri		74-2976504

Title of each class		Trading Symbol(s)		Name of each exchange on which registered
Common Stock $1.00 par value		SR		New York Stock Exchange LLC
Depositary Shares, each representing a 1/1,000th interest in a share of 5.90% Series A Cumulative Redeemable Perpetual Preferred Stock, par value $25.00 per share		SR.PRA		New York Stock Exchange LLC

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99.1	Press release dated November 20, 2024.

104	Cover page Interactive Data File (embedded within the Inline XBRL document).

			Spire Inc.
Date:	November 20, 2024		By:	/s/ Steven P. Rasche
				Steven P. Rasche Executive Vice President and Chief Financial Officer

Exhibit 99.1

Investor Contact: Megan L. McPhail 314-309-6563 Megan.McPhail@SpireEnergy.com   Media Contact: Jason Merrill 314-342-3300 Jason.Merrill@SpireEnergy.com

 

For Immediate Release

 

Spire Reports Fiscal 2024 Results

Affirms long-term growth target; issues fiscal 2025 earnings guidance

 

ST. LOUIS (Nov. 20, 2024) - Spire Inc. (NYSE: SR) today reported results for its fiscal year 2024 ended September 30. Highlights include:

 

•	Fiscal 2024 net income of $250.9 million ($4.19 per share) compared to $217.5 million ($3.85 per share) in fiscal 2023
•	Adjusted earnings* of $247.4 million ($4.13 per share) compared to $228.1 million ($4.05 per share) in fiscal 2023
•	Reaffirms long-term adjusted earnings per share (EPS) growth target of 5–7% and launches fiscal 2025 adjusted EPS guidance of $4.40 to $4.60

 

For fiscal 2024, Spire reported consolidated adjusted earnings per share of $4.13, $0.08 better than last year. Gas utility earnings benefitted from new rates and lower operation and maintenance expense, offset, in part, by lower Spire Missouri weather-driven usage and higher interest and depreciation expense. Midstream earnings grew as a result of new storage capacity, new contracts at higher rates and acquisitions. Gas Marketing earnings trailed last year due to very favorable market conditions in fiscal 2023 that did not recur.

 

“During fiscal 2024, despite the impacts of warm winter weather and rising interest expense, our team delivered solid financial and operating performance while providing affordable, reliable and safe energy to our customers,” said Steve Lindsey, president and chief executive officer of Spire. “Significant infrastructure investments and improved operational efficiency drove growth in our gas utilities during the year. In addition, Gas Marketing and Midstream continued to deliver solid results. We remain focused on continued execution of our strategy committed to capital-driven growth and operational excellence.”

 

Fiscal Year Results		Year Ended September 30,
		(Millions)								(Per Diluted Common Share)
Adjusted Earnings (Loss)* by Segment			2024				2023				2024				2023
Gas Utility		$	220.8			$	200.5
Gas Marketing			23.4				47.6
Midstream			33.5				14.1
Other			(30.3	)			(34.1	)
Total		$	247.4			$	228.1			$	4.13			$	4.05
All adjustments, including tax effects			3.5				(10.6	)			0.06				(0.20	)
Net Income		$	250.9			$	217.5			$	4.19			$	3.85
Weighted Average Diluted Shares Outstanding			56.3				52.6

 

*Non-GAAP, see “Adjusted Earnings and Reconciliation to GAAP.”

 

*Non-GAAP, see “Adjusted Earnings and Reconciliation to GAAP.”

Due to the seasonal nature of natural gas demand and the timing of regulatory recovery in our gas utility business, we typically incur a loss in our fiscal fourth quarter ended September 30. For fiscal 2024 fourth quarter, Spire reported a consolidated net loss of $25.9 million, or $(0.51) per share, compared with a net loss of $31.1 million, or $(0.66) per share, last year. On an adjusted earnings basis, the quarterly loss was $27.6 million, or $(0.54) per share, compared to a loss of $37.6 million, or $(0.78) per share in the year-ago period.

 

Gas Utility

 

Gas Utility reported a loss on an adjusted earnings basis during the quarter of $32.0 million compared to a loss of $34.0 million in the year-ago period. The improvement reflected an increase in contribution margin primarily due to higher Spire Missouri ISRS revenues and usage net of weather mitigation at Spire Missouri and Spire Alabama. Depreciation expense increased $4.5 million from last year reflecting increased capital investment. The benefit of carrying cost credits was $4.3 million lower, offset, in part, by a $1.7 million decrease in interest expense.

 

Gas Marketing

 

Gas Marketing reported a loss on an adjusted earnings basis during fiscal 2024 fourth quarter of $0.3 million compared to adjusted earnings of $2.6 million in the year-ago period. The comparison reflected less basis volatility this year. 

 

 

 

 

 

 

 

Spire will host a conference call and webcast today to discuss its fiscal 2024 fourth quarter and full-year financial results. To access the call, please dial the applicable number approximately 5-10 minutes prior to the start time.

 

Date and Time:		Wednesday, November 20
		8 a.m. CT (9 a.m. ET)
Phone Numbers:		U.S. and Canada:	844-824-3832
		International:	412-317-5142

 

The call will also be webcast and can be accessed at Investors.SpireEnergy.com under the Events & presentations tab. A replay of the webcast will be available for one year beginning approximately one hour after the close of the call.

 

 

About Spire

 

At Spire Inc. (NYSE: SR) we believe energy exists to help make people’s lives better. It’s a simple idea, but one that’s at the heart of our company. Every day we serve 1.7 million homes and businesses making us one of the largest publicly traded natural gas companies in the country. We help families and business owners fuel their daily lives through our gas utilities serving Alabama, Mississippi and Missouri. Our natural gas-related businesses include Spire Marketing and Spire Midstream. We are committed to transforming our business through growing organically, investing in infrastructure, and advancing through innovation. Learn more at SpireEnergy.com.

 

Cautionary Statements on Forward-Looking Information and Non-GAAP Measures

 

This news release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Spire’s future operating results may be affected by various uncertainties and risk factors, many of which are beyond the Company’s control, including weather conditions, economic factors, the competitive environment, governmental and regulatory policy and action, and risks associated with acquisitions. More complete descriptions and listings of these uncertainties and risk factors can be found in the Company’s annual (Form 10-K) filing with the Securities and Exchange Commission.

 

This news release includes the non-GAAP financial measures of “adjusted earnings,” “adjusted earnings per share,” and “contribution margin.” Management also uses these non-GAAP measures internally when evaluating the Company’s performance and results of operations. Adjusted earnings exclude from net income, as applicable, the impacts of fair value accounting and timing adjustments associated with energy-related transactions, the impacts of acquisition, divestiture and restructuring activities and the largely non-cash impacts of impairments and other non-recurring or unusual items such as certain regulatory, legislative, or GAAP standard-setting actions. The fair value and timing adjustments, which primarily impact the Gas Marketing segment, include net unrealized gains and losses on energy-related derivatives resulting from the current changes in the fair value of financial and physical transactions prior to their completion and settlement, lower of cost or market inventory adjustments, and realized gains and losses on economic hedges prior to the sale of the physical commodity. Management believes that excluding these items provides a useful representation of the economic impact of actual settled transactions and overall results of ongoing operations. Contribution margin adjusts revenues to remove the costs that are directly passed on to customers and collected through revenues, which are the wholesale cost of natural gas and gross receipts taxes. These internal non-GAAP operating metrics should not be considered as an alternative to, or more meaningful than, GAAP measures such as operating income, net income, or earnings per share.

 

 

Condensed Consolidated Statements of Income – Unaudited

 

(In millions, except per share amounts)		Three Months Ended September 30,								Year Ended September 30,
		2024				2023				2024				2023
Operating Revenues		$	293.8			$	310.4			$	2,593.0			$	2,666.3
Operating Expenses:
Natural gas			54.6				85.3				1,103.3				1,260.8
Operation and maintenance			112.2				127.9				507.4				517.6
Depreciation and amortization			71.1				65.8				278.4				254.8
Taxes, other than income taxes			36.1				35.3				215.6				214.5
Total Operating Expenses			274.0				314.3				2,104.7				2,247.7
Operating Income (Loss)			19.8				(3.9	)			488.3				418.6
Interest Expense			49.5				48.2				201.1				185.7
Other (Expense) Income, Net			(4.8	)			4.1				22.4				23.4
(Loss) Income Before Income Taxes			(34.5	)			(48.0	)			309.6				256.3
Income Tax (Benefit) Expense			(8.6	)			(16.9	)			58.7				38.8
Net (Loss) Income			(25.9	)			(31.1	)			250.9				217.5
Provision for preferred dividends			3.7				3.7				14.8				14.8
(Loss) income allocated to participating securities			—				(0.1	)			0.3				0.3
Net (Loss) Income Available to Common Shareholders		$	(29.6	)		$	(34.7	)		$	235.8			$	202.4
Weighted Average Number of Shares Outstanding:
Basic			57.7				52.5				56.1				52.5
Diluted			57.7				52.5				56.3				52.6
Basic (Loss) Earnings Per Share		$	(0.51	)		$	(0.66	)		$	4.20			$	3.86
Diluted (Loss) Earnings Per Share			(0.51	)			(0.66	)			4.19				3.85
Dividends Declared Per Common Share			0.755				0.72				3.02				2.88

 

 

Condensed Consolidated Balance Sheets – Unaudited

 

(In millions)		September 30,				September 30,
		2024				2023
ASSETS
Utility Plant		$	8,779.1			$	8,210.1
Less: Accumulated depreciation and amortization			2,535.8				2,431.2
Net Utility Plant			6,243.3				5,778.9
Other Property and Investments			1,070.6				731.1
Current Assets:
Cash and cash equivalents			4.5				5.6
Accounts receivable, net			277.4				288.5
Inventories			263.9				279.5
Other			225.5				503.3
Total Current Assets			771.3				1,076.9
Deferred Charges and Other Assets:
Goodwill			1,171.6				1,171.6
Other deferred charges and other assets			1,603.9				1,555.1
Total Deferred Charges and Other Assets			2,775.5				2,726.7
Total Assets		$	10,860.7			$	10,313.6
CAPITALIZATION AND LIABILITIES
Capitalization:
Preferred stock		$	242.0			$	242.0
Common stock and paid-in capital			1,959.9				1,669.7
Retained earnings			1,018.7				958.0
Accumulated other comprehensive income			12.1				47.6
Total Shareholders' Equity			3,232.7				2,917.3
Temporary equity			8.6				16.5
Long-term debt (less current portion)			3,704.4				3,554.0
Total Capitalization			6,945.7				6,487.8
Current Liabilities:
Current portion of long-term debt			42.0				156.6
Notes payable			947.0				955.5
Accounts payable			237.2				253.1
Accrued liabilities and other			477.7				390.2
Total Current Liabilities			1,703.9				1,755.4
Deferred Credits and Other Liabilities:
Deferred income taxes			808.4				743.7
Other deferred credits and other liabilities			1,402.7				1,326.7
Total Deferred Credits and Other Liabilities			2,211.1				2,070.4
Total Capitalization and Liabilities		$	10,860.7			$	10,313.6

 

 

Condensed Consolidated Statements of Cash Flows – Unaudited

 

(In millions)		Year Ended September 30,
		2024				2023
Operating Activities:
Net income		$	250.9			$	217.5
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization			278.4				254.8
Deferred income taxes and investment tax credits			57.0				36.9
Changes in assets and liabilities			317.8				(82.0	)
Other			8.3				13.0
Net cash provided by operating activities			912.4				440.2
Investing Activities:
Capital expenditures			(861.3	)			(662.5	)
Business acquisition, net of cash acquired			(175.9	)			(37.0	)
Other			10.0				4.0
Net cash used in investing activities			(1,027.2	)			(695.5	)
Financing Activities:
Issuance of long-term debt			495.0				755.0
Repayment of long-term debt			(456.6	)			(281.2	)
Repayment of short-term debt, net			(8.5	)			(82.0	)
Issuance of common stock			287.0				41.9
Dividends paid on common stock			(167.1	)			(150.7	)
Dividends paid on preferred stock			(14.8	)			(14.8	)
Other			(11.1	)			(7.6	)
Net cash provided by financing activities			123.9				260.6
Net Increase in Cash, Cash Equivalents, and Restricted Cash			9.1				5.3
Cash, Cash Equivalents, and Restricted Cash at Beginning of Year			25.8				20.5
Cash, Cash Equivalents, and Restricted Cash at End of Year		$	34.9			$	25.8

 

 

Adjusted Earnings and Reconciliation to GAAP

 

(In millions, except per share amounts)		Gas Utility				Gas Marketing				Midstream				Other				Total				Per Diluted Common Share (2)
Three Months Ended September 30, 2024
Net (Loss) Income [GAAP]		$	(32.4	)		$	2.0			$	13.2			$	(8.7	)		$	(25.9	)		$	(0.51	)
Adjustments, pre-tax:
Fair value and timing adjustments			(0.1	)			(3.1	)			—				—				(3.2	)			(0.06	)
Acquisition and restructuring activities			0.6				—				0.2				0.1				0.9				0.02
Income tax effect of adjustments (1)			(0.1	)			0.8				—				(0.1	)			0.6				0.01
Adjusted (Loss) Earnings [Non-GAAP]		$	(32.0	)		$	(0.3	)		$	13.4			$	(8.7	)		$	(27.6	)		$	(0.54	)
Three Months Ended September 30, 2023
Net (Loss) Income [GAAP]		$	(33.5	)		$	10.2			$	0.9			$	(8.7	)		$	(31.1	)		$	(0.66	)
Adjustments, pre-tax:
Fair value and timing adjustments			(0.7	)			(10.1	)			—				—				(10.8	)			(0.20	)
Acquisition activities			—				—				2.0				—				2.0				0.04
Income tax effect of adjustments (1)			0.2				2.5				(0.4	)			—				2.3				0.04
Adjusted (Loss) Earnings [Non-GAAP]		$	(34.0	)		$	2.6			$	2.5			$	(8.7	)		$	(37.6	)		$	(0.78	)
Year Ended September 30, 2024
Net Income (Loss) [GAAP]		$	217.0			$	32.7			$	31.7			$	(30.5	)		$	250.9			$	4.19
Adjustments, pre-tax:
Fair value and timing adjustments			—				(12.4	)			—				—				(12.4	)			(0.22	)
Acquisition and restructuring activities			5.0				—				2.3				0.3				7.6				0.14
Income tax effect of adjustments (1)			(1.2	)			3.1				(0.5	)			(0.1	)			1.3				0.02
Adjusted Earnings (Loss) [Non-GAAP]		$	220.8			$	23.4			$	33.5			$	(30.3	)		$	247.4			$	4.13
Year Ended September 30, 2023
Net Income (Loss) [GAAP]		$	200.5			$	39.1			$	12.0			$	(34.1	)		$	217.5			$	3.85
Adjustments, pre-tax:
Fair value and timing adjustments			—				11.4				—				—				11.4				0.21
Acquisition activities			—				—				2.5				—				2.5				0.05
Income tax effect of adjustments (1)			—				(2.9	)			(0.4	)			—				(3.3	)			(0.06	)
Adjusted Earnings (Loss) [Non-GAAP]		$	200.5			$	47.6			$	14.1			$	(34.1	)		$	228.1			$	4.05

 

(1) Income tax effect is calculated by applying federal, state, and local income tax rates applicable to ordinary income to the amounts of the pre-tax reconciling items.

 

(2) Adjusted earnings (formerly known as net economic earnings) per share is calculated by replacing consolidated net income with consolidated adjusted earnings in the GAAP diluted EPS calculation, which includes reductions for cumulative preferred dividends and participating shares.

 

 

Contribution Margin and Reconciliation to GAAP

 

(In millions)		Gas Utility				Gas Marketing				Midstream				Other				Eliminations				Consolidated
Three Months Ended September 30, 2024
Operating (Loss) Income [GAAP]		$	(0.5	)		$	1.7			$	18.7			$	(0.1	)		$	—			$	19.8
Operation and maintenance expenses			100.1				3.3				8.7				4.5				(4.4	)			112.2
Depreciation and amortization			67.3				0.4				3.3				0.1				—				71.1
Taxes, other than income taxes			34.8				0.3				0.9				0.1				—				36.1
Less: Gross receipts tax expense			(14.7	)			—				—				—				—				(14.7	)
Contribution Margin [Non-GAAP]		$	187.0			$	5.7			$	31.6			$	4.6			$	(4.4	)		$	224.5
Three Months Ended September 30, 2023
Operating (Loss) Income [GAAP]		$	(16.3	)		$	12.6			$	3.2			$	(3.4	)		$	—			$	(3.9	)
Operation and maintenance expenses			110.9				3.2				10.4				7.5				(4.1	)			127.9
Depreciation and amortization			62.8				0.5				2.4				0.1				—				65.8
Taxes, other than income taxes			34.1				0.1				1.0				0.1				—				35.3
Less: Gross receipts tax expense			(15.1	)			(0.1	)			—				—				—				(15.2	)
Contribution Margin [Non-GAAP]		$	176.4			$	16.3			$	17.0			$	4.3			$	(4.1	)		$	209.9
Year Ended September 30, 2024
Operating Income (Loss) [GAAP]		$	400.6			$	41.2			$	48.2			$	(1.7	)		$	—			$	488.3
Operation and maintenance expenses			452.8				18.2				34.7				18.7				(17.0	)			507.4
Depreciation and amortization			263.6				1.5				12.8				0.5				—				278.4
Taxes, other than income taxes			210.2				1.4				3.9				0.1				—				215.6
Less: Gross receipts tax expense			(128.0	)			(0.2	)			—				—				—				(128.2	)
Contribution Margin [Non-GAAP]			1,199.2				62.1				99.6				17.6				(17.0	)			1,361.5
Natural gas costs			1,110.7				36.9				1.1				—				(45.4	)			1,103.3
Gross receipts tax expense			128.0				0.2				—				—				—				128.2
Operating Revenues		$	2,437.9			$	99.2			$	100.7			$	17.6			$	(62.4	)		$	2,593.0
Year Ended September 30, 2023
Operating Income (Loss) [GAAP]		$	350.8			$	49.3			$	24.3			$	(5.8	)		$	—			$	418.6
Operation and maintenance expenses			461.8				19.4				30.5				21.9				(16.0	)			517.6
Depreciation and amortization			244.4				1.5				8.4				0.5				—				254.8
Taxes, other than income taxes			210.3				1.2				2.9				0.1				—				214.5
Less: Gross receipts tax expense			(131.5	)			(0.3	)			—				—				—				(131.8	)
Contribution Margin [Non-GAAP]			1,135.8				71.1				66.1				16.7				(16.0	)			1,273.7
Natural gas costs			1,189.6				107.7				—				—				(36.5	)			1,260.8
Gross receipts tax expense			131.5				0.3				—				—				—				131.8
Operating Revenues		$	2,456.9			$	179.1			$	66.1			$	16.7			$	(52.5	)		$	2,666.3

 

v3.24.3

Document And Entity Information	Nov. 20, 2024
Document Information [Line Items]
Entity, Registrant Name	Spire Inc.
Document, Type	8-K
Document, Period End Date	Nov. 20, 2024
Entity, File Number	1-16681
Entity, Address, Address Line One	700 Market Street
Entity, Address, City or Town	St. Louis
Entity, Address, State or Province	MO
Entity, Address, Postal Zip Code	63101
City Area Code	314
Local Phone Number	342-0500
Entity, Incorporation, State or Country Code	MO
Entity, Tax Identification Number	74-2976504
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Entity, Emerging Growth Company	false
Amendment Flag	false
Entity, Central Index Key	0001126956
CommonStock100ParValue Custom [Member]
Document Information [Line Items]
Title of 12(b) Security	Common Stock $1.00 par value
Trading Symbol	SR
Security Exchange Name	NYSE
DepositaryShares Custom [Member]
Document Information [Line Items]
Title of 12(b) Security	Depositary Shares
Trading Symbol	SR.PRA
Security Exchange Name	NYSE

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