NiSource Q2 Earnings Call Highlights

NiSource reaffirmed its 2026 outlook despite lower second-quarter adjusted EPS of $0.16, down from $0.22 a year earlier. The company maintained its $2.02–$2.07 adjusted EPS guidance and long-term earnings growth targets. Data-center agreements with Amazon and Alphabet are a major growth driver, representing 4 GW of signed load and $7.6 billion in planned GenCo investment. NiSource expects the contracts to reduce NIPSCO customers’ bills by approximately $1.4 billion, with savings potentially beginning in the fourth quarter of 2026. NiSource kept its five-year capital plan unchanged, including $21 billion in base-business investment and up to $2 billion in additional opportunities. Management said regulatory developments in Indiana have not changed its capital spending, earnings outlook or rate-case timing. NiSource NYSE: NI reported second-quarter 2026 adjusted earnings of $0.16 per share, compared with $0.22 per share a year earlier, while reaffirming its full-year earnings outlook and long-term growth targets. Year-to-date adjusted earnings rose to $1.22 per share, up $0.03 from the same period in 2025. President and Chief Executive Officer Lloyd Yates said the company remains on track to meet its 2026 commitments, supported by regulatory progress, infrastructure investment and its strategy to serve large data-center customers. NiSource operates regulated gas and electric utilities across six states. “With strong visibility into second-half performance, we remain firmly on track to deliver on our full-year commitments,” Yates said. Chief Financial Officer Shawn Anderson said higher revenue from new rates and recovery mechanisms, including rate implementation at NIPSCO Electric and Columbia Gas operations in Ohio and Pennsylvania, supported results. Those benefits were offset by increased operations and maintenance expense associated with unusually active storm activity and expenses intended to maintain workforce continuity during ongoing union negotiations. NiSource said 2026 has included a record number of tornadoes, which contributed to outages and other system impacts across its service territory. The company said its field, operations and customer-care teams responded to assess damage, restore service and support affected communities. The company expects earnings growth to be more heavily weighted toward the second half of 2026. Anderson cited approved recovery mechanisms, new regulatory activity in Virginia and Ohio, and Alphabet-related energization activity expected during the second half. NiSource reaffirmed its 2026 adjusted EPS guidance of $2.02 to $2.07. It also reaffirmed its base-plan adjusted EPS growth target of 6% to 8% annually through 2030, as well as a consolidated adjusted EPS compound annual growth rate of 9% to 10% from 2026 through 2033. The company said it has identified more than $40 million in cost-optimization initiatives, including process improvements and technology-enabled efficiencies. NiSource expects many of these efforts to improve its cost structure beyond 2026 while benefiting customer rate structures. NiSource highlighted its data-center strategy as a source of growth and customer bill relief. The company said its agreements with Amazon and Alphabet are expected to provide approximately $1.4 billion in bill reductions for existing NIPSCO electric customers over the terms of the contracts.