NYSE$NWN

Northwest Natural Holding Company · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Reported fourth quarter and full year results, initiated 2022 earnings guidance, and increased long-term EPS growth rate target.

NW Natural Holdings reported a net income of $40.5 million for the fourth quarter of 2021, a decrease compared to $45.8 million for the same period in 2020. The company initiated 2022 earnings guidance in the range of $2.45 to $2.65 per share and increased the long-term earnings per share growth rate target to 4% to 6%.

  • Net income from continuing operations decreased by $5.3 million in Q4 2021 compared to Q4 2020.
  • Natural gas distribution segment net income decreased due to higher operations and maintenance and depreciation expenses, partially offset by new rates in Oregon and Washington.
  • Margin increased primarily due to new rates and customer growth of 1.5% over the last 12 months.
  • NW Natural Renewables launched a competitive RNG strategy and hired a president to lead the new business line.

Headline financials

Total Revenue

$294M

Previous: $260M+13.0%
EPS (adj)

$1.31

Previous: $1.50-12.7%
Capital Expenditures

$294M

Previous: $273M+7.6%
Free Cash Flow

-$315M

Previous: -$279M-13.2%
Net Income

$40.5M

Previous: $45.8M-11.5%
Operating Income

$70.2M

Previous: $74.6M-5.9%
Gross Profit

$113M

Previous: $115M-1.2%
Cash & Equivalents

$18.6M

Previous: $30.2M-38.5%
Total Assets

$4.06B

Previous: $3.76B+8.2%

Revenue & EPS history

NW Natural · Revenue · Quarterly

$294M

Q4 2021+13%vs Q4 2020
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Forward guidance

NW Natural Holdings is initiating 2022 earnings guidance in the range of $2.45 to $2.65 per share. NW Natural Holdings increased its long-term earnings per share growth rate target to 4% to 6% compounded annually from 2022 through 2027.

Tailwinds

  • Continued customer growth
  • Average weather conditions
  • No significant changes in prevailing regulatory policies
  • No significant changes in mechanisms, or outcomes
  • No significant local, state or federal laws, legislation or regulations

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

-0.4%

Avg return

Earnings day

+0.1%

Avg return

5 days after

-0.6%

Avg return

30 days after

36%

23 / 64 earnings

Positive

+10.7%

Q4 2021

Best reaction

-7.9%

Q4 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-7.7%-4.4%-5.5%
Q4 2025+5.7%+4.5%+5.1%
Q3 2025-1.3%+0.6%-1.0%
Q1 2025+0.0%-1.7%-8.6%
Q4 2024-0.6%+1.3%+3.6%
Q3 2024-0.4%-0.7%+0.3%
Q2 2024-5.6%-6.1%-0.3%
Q1 2024-0.7%+0.0%-4.5%
Q4 2023-7.9%-6.6%-9.7%
Q3 2023-2.2%-4.8%-3.3%
Q2 2023-1.8%-2.8%-7.5%
Q1 2023+2.0%+0.3%-6.1%
Q4 2022-0.8%-2.3%-3.6%
Q3 2022+1.0%+5.0%+6.4%
Q2 2022-1.4%-1.9%-10.9%
Q1 2022+3.7%+4.8%+16.7%
Q4 2021+10.7%+14.7%+17.2%
Q3 2021-1.0%-1.0%-3.6%
Q2 2021-0.7%-1.8%-5.2%
Q1 2021+1.2%+2.3%-0.5%
Q4 2020-1.1%-2.7%+7.9%
Q3 2020-1.0%+16.5%+10.1%
Q2 2020+1.3%+2.4%-6.8%
Q1 2020+0.3%-6.4%+1.5%
Q4 2019-1.1%+5.2%-14.9%
Q3 2019-2.1%-3.2%+2.7%
Q2 2019-0.3%-0.1%+1.3%
Q1 2019-1.9%+0.4%-1.0%
Q4 2018+2.0%+0.1%+2.2%
Q3 2018+2.3%+3.1%+0.3%
Q2 2018-3.6%-2.2%+2.5%
Q1 2018-3.1%-2.2%-6.9%
Q4 2017-1.8%-4.7%+1.3%
Q3 2017-0.1%+1.4%+3.5%
Q2 2017+0.5%+0.9%+3.6%
Q1 2017-0.5%+0.8%+3.9%
Q4 2016-2.1%-3.3%-3.5%
Q3 2016-1.5%+0.6%-0.5%
Q2 2016+0.3%-0.8%-7.6%
Q1 2016+4.9%
Q4 2015-5.2%
Q3 2015-0.3%
Q2 2015+1.0%
Q1 2015-3.7%
Q4 2014-2.8%
Q3 2014-0.7%
Q2 2014-0.2%
Q1 2014+0.9%
Q4 2013-1.9%
Q3 2013+0.1%
Q2 2013-1.5%
Q1 2013-0.7%
Q4 2012+3.5%
Q3 2012+0.0%
Q2 2012+0.2%
Q1 2012+0.9%
Q4 2011-0.1%
Q3 2011-2.6%
Q2 2011+2.0%
Q1 2011+0.2%
Q4 2010-0.4%
Q3 2010+1.5%
Q2 2010-1.2%
Q1 2010-0.0%

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