NYSE$SWX

Southwest Gas Holdings Inc. · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Announced second quarter earnings increase of $0.27 per share compared to Q2 2019.

Southwest Gas Holdings reported consolidated earnings of $0.68 per diluted share for the second quarter of 2020, a $0.27 increase from $0.41 per diluted share for the second quarter of 2019. Consolidated net income was $38 million for the second quarter of 2020, compared to $22.1 million for the second quarter of 2019.

  • Consolidated earnings per share increased by $0.27 compared to the second quarter of 2019.
  • Natural gas segment contributed net income of $11.9 million, compared to $3.4 million for the same period last year.
  • Utility infrastructure services segment had net income of $26.3 million, compared to $18.9 million for the second quarter of 2019.
  • Operating income for both segments improved over the prior year.

Headline financials

Total Revenue

$757M

Previous: $713M+6.2%
EPS (adj)

$0.68

Previous: $0.41+65.9%
Capital Expenditures

-$423M

Previous: -$472M+10.2%
Free Cash Flow

-$385M

Previous: -$450M+14.2%
Net Income

$38M

Previous: $22.1M+72.1%
Operating Income

$67.6M

Previous: $54.9M+23.2%
Gross Profit

$327M

Previous: $311M+5.2%
Cash & Equivalents

$200M

Previous: $38.4M+419.1%
Total Assets

$8.43B

Previous: $7.67B+9.9%
Stock-Based Comp

$2K

Previous: $75K-97.3%

Revenue & EPS history

Southwest Gas · Revenue · Quarterly

$757M

Q2 2020+6.2%vs Q2 2019
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Revenue by segment

Southwest Gas · $262M total across 1 segment · Q2 2020

  • Natural Gas Distribution
    $262M

Forward guidance

Management affirms estimated 2020 diluted earnings per share between $3.75 and $4.00.

Tailwinds

  • Operating margin for 2020 is anticipated to benefit from customer growth of 1.6%.
  • Infrastructure tracker mechanisms are expected to contribute to operating margin.
  • Expansion projects are expected to increase operating margin.
  • Rate relief is expected to increase operating margin.
  • Centuri’s revenues for 2020 are expected to be 2% to 7% greater than 2019.

Headwinds

  • Governmental policies and economic challenges associated with COVID-19 may influence operating results.
  • The timing of processing unsettled utility general rate case applications may impact results.
  • Utility customer growth rates and employment statistics could influence results.
  • Operations and maintenance expense changes may affect the outlook.
  • The timing of the release of Centuri project orders from its utility customers could impact results.

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 Q2 2020

Historical avgQ2 2020

-0.2%

Avg return

Earnings day

-0.1%

Avg return

5 days after

+0.5%

Avg return

30 days after

51%

32 / 63 earnings

Positive

+9.0%

Q4 2023

Best reaction

-7.8%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025-1.4%+0.6%-1.5%
Q3 2025-4.1%-3.8%-4.0%
Q1 2025-7.8%-8.8%-5.2%
Q4 2024-2.5%-1.9%-5.6%
Q3 2024-0.3%+4.7%+2.7%
Q2 2024-1.0%+0.0%-1.9%
Q1 2024+0.9%-0.6%-2.9%
Q4 2023+9.0%+12.2%+21.7%
Q3 2023-1.8%-1.0%+2.9%
Q2 2023+3.1%+1.7%-4.6%
Q1 2023+1.9%+0.3%+11.2%
Q4 2022-6.6%-5.6%-2.3%
Q3 2022-2.9%-6.0%+4.8%
Q2 2022-2.5%-0.3%+6.2%
Q1 2022+2.5%+4.0%+5.2%
Q4 2021+2.3%+3.8%+10.4%
Q3 2021+2.7%+1.0%-0.5%
Q2 2021+0.2%-1.8%-0.5%
Q1 2021+1.5%+2.0%-4.1%
Q4 2020-4.1%-2.5%+3.5%
Q3 2020+0.1%+11.1%-3.2%
Q2 2020+5.7%+5.5%-7.6%
Q1 2020+7.5%+2.4%+6.6%
Q4 2019-6.4%-7.2%-6.5%
Q3 2019-6.1%-10.4%-11.5%
Q2 2019+1.3%+1.7%+3.8%
Q1 2019-2.3%+0.3%+5.3%
Q4 2018+0.8%+4.3%+1.2%
Q3 2018+3.3%+4.6%+1.6%
Q2 2018-0.0%+0.5%+2.7%
Q1 2018-1.9%-2.0%-1.3%
Q4 2017-4.4%-6.9%-1.8%
Q3 2017+4.1%+0.2%+3.4%
Q2 2017+2.0%+1.0%-1.2%
Q1 2017-4.3%-5.4%-7.9%
Q4 2016+0.3%+1.1%-2.0%
Q3 2016+3.8%+1.6%+6.1%
Q2 2016-2.0%-3.8%-4.5%
Q1 2016+1.7%
Q4 2015+3.2%
Q3 2015-4.5%
Q2 2015-2.5%
Q1 2015-4.6%
Q4 2014-0.7%
Q3 2014-1.1%
Q2 2014-0.1%
Q1 2014+1.3%
Q4 2013-1.8%
Q3 2013+0.5%
Q2 2013-0.7%
Q1 2013+0.2%
Q4 2012+4.0%
Q3 2012-1.0%
Q2 2012+0.4%
Q1 2012+1.4%
Q4 2011+0.3%
Q3 2011-5.4%
Q2 2011+2.3%
Q1 2011+1.2%
Q4 2010+1.3%
Q3 2010+0.7%
Q2 2010-1.5%
Q1 2010-0.8%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro