NISOURCE INC (NYSE:NI) reported second-quarter adjusted earnings of $0.16 per share, just below the $0.1635 analyst consensus, while revenue of $1.358 billion came in modestly short of the $1.377 billion expected. Shares were down about 1.9% in pre-market trading following the release, extending a slide that has left the stock roughly 6% lower over the past month.
Results vs. expectations
For the three months ended June 30, 2026, the utility reported GAAP net income available to common shareholders of $45.5 million, or $0.09 per diluted share, down from $102.2 million, or $0.22 per share, in the same period last year. On an adjusted basis, net income came to $77.6 million, or $0.16 per share, compared with $101.9 million, or $0.22 per share, a year earlier.
The headline numbers were mixed relative to the Street:
- Adjusted EPS: $0.16 versus consensus of $0.1635
- Revenue: $1.358 billion versus consensus of $1.377 billion
- GAAP EPS: $0.09 versus $0.22 in the prior-year quarter
- Adjusted net income: $77.6 million versus $101.9 million a year ago
Revenue landed about 1.4% below the consensus estimate, so the quarter was effectively in line on the top line. The EPS gap was slightly wider at roughly 2.1%, which explains some of the cautious reaction.
What moved the quarter
Operating income in the quarter included $16.0 million of positive weather effects compared with normal conditions, but that benefit was more than offset by costs tied to the NIPSCO lockout and the company's Value Captured efficiency program. The lockout-related work continuity expenses added $21.4 million, while Value Captured consulting and severance costs added another $5.4 million. After tax, total adjustments to net income came to $32.1 million.
Management also highlighted continued progress on its data center strategy, including regulatory approvals for special contracts with Amazon and Alphabet. Those agreements are seen as a way to support load growth while spreading costs across a larger customer base.
Guidance and market reaction
The company reaffirmed its 2026 non-GAAP adjusted EPS guidance of $2.02 to $2.07, along with a long-term adjusted EPS growth target of 9% to 10% compounded annually from 2026 through 2033. The midpoint of that range sits just below the current analyst consensus of about $2.12 for the full year, while the sell-side revenue forecast is roughly $7.34 billion. That gap may be weighing on sentiment alongside the softer second-quarter results.
The pre-market move reflects a market still weighing the company's growth narrative against near-term cost and execution risks. The stock has lost about 2.6% over the past week and 6.2% over the past month, so the earnings response adds to an already negative trend.
Capital plan and longer-term view
NiSource is sticking with its 2026-2030 capital investment plan of $28.6 billion, which includes:
- $21.0 billion of base capital investments
- $7.6 billion of strategic data center infrastructure
- Expected consolidated rate base growth of 9% to 11% from 2026 to 2033
The plan is central to management's confidence in delivering the reaffirmed guidance. Still, the scale of the data center program introduces financing, construction, and regulatory recovery risks, and the second quarter's storm and labor costs are a reminder that utility earnings can be affected by factors outside management's control.
For investors looking to track the earnings history in more detail, NiSource's earnings page provides a longer record of quarterly performance. Consensus projections for future periods are also available on the forecast overview page.
Disclaimer: This article is for informational and educational purposes only and does not constitute financial advice or a recommendation to buy or sell any security. Always conduct your own research and consider your risk tolerance before making investment decisions.
Read full article here »
View the Zacks #1 Rank List
NiSource (NYSE:NI) Q2 Earnings Miss, Reaffirms 2026 Guidance
NISOURCE INC (NYSE:NI) reported second-quarter adjusted earnings of $0.16 per share, just below the $0.1635 analyst consensus, while revenue of $1.358 billion came in modestly short of the $1.377 billion expected. Shares were down about 1.9% in pre-market trading following the release, extending a slide that has left the stock roughly 6% lower over the past month.
Results vs. expectations
For the three months ended June 30, 2026, the utility reported GAAP net income available to common shareholders of $45.5 million, or $0.09 per diluted share, down from $102.2 million, or $0.22 per share, in the same period last year. On an adjusted basis, net income came to $77.6 million, or $0.16 per share, compared with $101.9 million, or $0.22 per share, a year earlier.
The headline numbers were mixed relative to the Street:
Revenue landed about 1.4% below the consensus estimate, so the quarter was effectively in line on the top line. The EPS gap was slightly wider at roughly 2.1%, which explains some of the cautious reaction.
What moved the quarter
Operating income in the quarter included $16.0 million of positive weather effects compared with normal conditions, but that benefit was more than offset by costs tied to the NIPSCO lockout and the company's Value Captured efficiency program. The lockout-related work continuity expenses added $21.4 million, while Value Captured consulting and severance costs added another $5.4 million. After tax, total adjustments to net income came to $32.1 million.
Management also highlighted continued progress on its data center strategy, including regulatory approvals for special contracts with Amazon and Alphabet. Those agreements are seen as a way to support load growth while spreading costs across a larger customer base.
Guidance and market reaction
The company reaffirmed its 2026 non-GAAP adjusted EPS guidance of $2.02 to $2.07, along with a long-term adjusted EPS growth target of 9% to 10% compounded annually from 2026 through 2033. The midpoint of that range sits just below the current analyst consensus of about $2.12 for the full year, while the sell-side revenue forecast is roughly $7.34 billion. That gap may be weighing on sentiment alongside the softer second-quarter results.
The pre-market move reflects a market still weighing the company's growth narrative against near-term cost and execution risks. The stock has lost about 2.6% over the past week and 6.2% over the past month, so the earnings response adds to an already negative trend.
Capital plan and longer-term view
NiSource is sticking with its 2026-2030 capital investment plan of $28.6 billion, which includes:
The plan is central to management's confidence in delivering the reaffirmed guidance. Still, the scale of the data center program introduces financing, construction, and regulatory recovery risks, and the second quarter's storm and labor costs are a reminder that utility earnings can be affected by factors outside management's control.
For investors looking to track the earnings history in more detail, NiSource's earnings page provides a longer record of quarterly performance. Consensus projections for future periods are also available on the forecast overview page.
Disclaimer: This article is for informational and educational purposes only and does not constitute financial advice or a recommendation to buy or sell any security. Always conduct your own research and consider your risk tolerance before making investment decisions.
Read full article here »