NEW JERSEY RESOURCES CORP

For the period ended Mar 31, 2024. Filed May 7, 2024.

About this filing

A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.

Mar 31, 2024 · Filed May 7, 2024

NJR$54.71+0.6%Stored close · as of Nov 10, 2026

Extracted filing text, with the paragraph anchors used by the comparison.

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Item 1. Unaudited Condensed Consolidated Financial Statements

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)

Three Months Ended · Six Months Ended
	March 31,		March 31,
(Thousands, except per share data)	2024	2023	2024	2023
OPERATING REVENUES
Utility	$462,863	$400,500	$755,956	$757,909
Nonutility	195,050	243,527	369,167	609,685
Total operating revenues	657,913	644,027	1,125,123	1,367,594
OPERATING EXPENSES
Natural gas purchases:
Utility	204,347	156,370	320,467	338,816
Nonutility	105,018	160,364	164,495	392,434
Related parties	1,799	1,770	3,678	3,597
Operation and maintenance	107,223	99,095	201,662	178,596
Regulatory rider expenses	29,229	23,154	48,418	41,405
Depreciation and amortization	40,075	38,090	80,362	74,773
Total operating expenses	487,691	478,843	819,082	1,029,621
OPERATING INCOME	170,222	165,184	306,041	337,973
Other income, net	15,420	4,779	21,761	9,434
Interest expense, net of capitalized interest	31,621	30,261	63,094	59,752
INCOME BEFORE INCOME TAXES AND EQUITY IN EARNINGS OF AFFILIATES	154,021	139,702	264,708	287,655
Income tax provision	33,947	30,586	56,883	63,564
Equity in earnings of affiliates	738	1,131	2,398	2,077
NET INCOME	$120,812	$110,247	$210,223	$226,168
EARNINGS PER COMMON SHARE
Basic	$1.23	$1.14	$2.14	$2.34
Diluted	$1.22	$1.13	$2.13	$2.32
WEIGHTED AVERAGE SHARES OUTSTANDING
Basic	98,377	96,893	98,123	96,689
Diluted	99,102	97,556	98,839	97,346

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited)

Three Months Ended · Six Months Ended
	March 31,		March 31,
(Thousands)	2024	2023	2024	2023
Net income	$120,812	$110,247	$210,223	$226,168
Other comprehensive income, net of tax
Reclassifications of losses to net income on derivatives designated as hedging instruments, net of tax of $(80), $(80), $(159) and $(159), respectively	262	264	526	527
Adjustment to postemployment benefit obligation, net of tax of $(2,908), $(13), $(2,948) and $(25), respectively	9,624	41	9,755	82
Other comprehensive income, net of tax	$9,886	$305	$10,281	$609
Comprehensive income	$130,698	$110,552	$220,504	$226,777

Part I

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)

	Six Months Ended
	March 31,
(Thousands)	2024	2023
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$210,223	$226,168
Adjustments to reconcile net income to cash flows from operating activities
Unrealized loss (gain) on derivative instruments	20,057	(17,532)
Depreciation and amortization	80,362	74,773
Amortization of acquired wholesale energy contracts	260	1,283
Allowance for equity used during construction	(3,572)	(2,801)
Allowance for doubtful accounts	(24)	(395)
Non cash lease expense	2,130	1,848
Deferred income taxes	49,301	36,072
Equivalent value of ITCs recognized on equipment financing	(10,605)	(899)
Manufactured gas plant remediation costs	(12,577)	(4,362)
Cost of removal - asset retirement obligations	(763)	(644)
Contributions to postemployment benefit plans	(2,191)	(634)
Taxes related to stock-based compensation	1,186	554
Changes in:
Components of working capital	(3,021)	(42,519)
Other noncurrent assets and liabilities	7,836	72,209
Cash flows from operating activities	338,602	343,121
CASH FLOWS USED IN INVESTING ACTIVITIES
Expenditures for:
Utility plant	(160,937)	(157,914)
Solar equipment	(37,083)	(57,699)
Storage and Transportation and other	(21,846)	(30,741)
Cost of removal	(17,436)	(16,757)
Distribution from equity investees in excess of equity in earnings	2,284	1,374
Cash flows used in investing activities	(235,018)	(261,737)
CASH FLOWS USED IN FINANCING ACTIVITIES
Proceeds from long-term debt	50,000	175,000
Payments of long-term debt	(82,790)	(10,534)
Payments of term loan	—	(150,000)
Payments of short-term debt, net	(55,950)	(86,300)
Proceeds from sale leaseback transactions - solar	24,394	61,808
Proceeds from sale leaseback transactions - natural gas meters	8,814	8,441
Payments of common stock dividends	(82,156)	(75,200)
Proceeds from waiver discount issuance of common stock	35,838	17,919
Proceeds from issuance of common stock - DRP	7,522	7,610
Tax withholding payments related to net settled stock compensation	(5,027)	(4,024)
Cash flows used in financing activities	(99,355)	(55,280)
Change in cash, cash equivalents and restricted cash	4,229	26,104
Cash, cash equivalents and restricted cash at beginning of period	1,517	1,452
Cash, cash equivalents and restricted cash at end of period	$5,746	$27,556
CHANGES IN COMPONENTS OF WORKING CAPITAL
Receivables	$(144,321)	$(8,877)
Inventories	115,166	185,444
Recovery of natural gas costs	(3,853)	(28,825)
Natural gas purchases payable	13,178	(159,016)
Natural gas purchases payable - related parties	—	5
Deferred revenue, current	48,294	1,587
Accounts payable and other	(15,888)	(24,095)
Prepaid expenses	(6,350)	(6,493)
Prepaid and accrued taxes	30,705	51,591
Restricted broker margin accounts	(15,015)	(43,414)
Customers' credit balances and deposits	(20,032)	(7,725)
Other current assets and liabilities	(4,905)	(2,701)
Total	$(3,021)	$(42,519)
SUPPLEMENTAL DISCLOSURES OF CASH FLOWS INFORMATION
Cash paid for:
Interest (net of amounts capitalized)	$60,256	$57,622
Income taxes	$6,699	$1,967
Accrued capital expenditures	$17,513	$24,318
See Notes to Unaudited Condensed Consolidated Financial Statements

Part I

CONDENSED CONSOLIDATED BALANCE SHEETS

ASSETS

(Unaudited)
(Thousands)	March 31,2024	September 30,2023
PROPERTY, PLANT AND EQUIPMENT
Utility plant, at cost	$4,012,235	$3,843,037
Construction work in progress	223,421	237,428
Nonutility plant and equipment, at cost	1,791,100	1,767,306
Construction work in progress	171,396	142,768
Total property, plant and equipment	6,198,152	5,990,539
Accumulated depreciation and amortization, utility plant	(753,750)	(714,087)
Accumulated depreciation and amortization, nonutility plant and equipment	(278,854)	(254,397)
Property, plant and equipment, net	5,165,548	5,022,055
CURRENT ASSETS
Cash and cash equivalents	5,036	954
Customer accounts receivable
Billed	185,069	97,540
Unbilled revenues	74,456	19,100
Allowance for doubtful accounts	(9,576)	(11,036)
Regulatory assets	93,887	73,587
Natural gas in storage, at average cost	80,996	199,501
Materials and supplies, at average cost	30,361	27,022
Prepaid expenses	16,091	9,741
Prepaid taxes	18,299	43,046
Derivatives, at fair value	14,056	30,755
Restricted broker margin accounts	19,310	20,796
Other current assets	25,726	21,071
Total current assets	553,711	532,077
NONCURRENT ASSETS
Investments in equity method investees	101,778	104,134
Regulatory assets	535,104	584,830
Operating lease assets	177,176	175,740
Derivatives, at fair value	910	1,564
Software costs	9,734	8,375
Deferred income taxes	22,848	28,383
Postemployment employee benefit assets	18,618	18,684
Other noncurrent assets	61,950	61,654
Total noncurrent assets	928,118	983,364
Total assets	$6,647,377	$6,537,496

Part I

CAPITALIZATION AND LIABILITIES

(Unaudited)
(Thousands, except share data)	March 31,2024	September 30,2023
CAPITALIZATION
Common stock, $2.50 par value; authorized 150,000,000 shares; outstanding shares March 31, 2024 — 98,744,915; September 30, 2023 — 97,584,455	$246,367	$243,458
Premium on common stock	604,009	558,654
Accumulated other comprehensive income (loss), net of tax	322	(9,959)
Treasury stock at cost and other; shares March 31, 2024 — 16,302;September 30, 2023 — 13,041	22,936	20,748
Retained earnings	1,305,591	1,177,834
Common stock equity	2,179,225	1,990,735
Long-term debt	2,726,221	2,768,017
Total capitalization	4,905,446	4,758,752
CURRENT LIABILITIES
Current maturities of long-term debt	148,375	116,155
Short-term debt	196,150	252,100
Natural gas purchases payable	64,455	51,277
Natural gas purchases payable to related parties	859	859
Deferred revenue	109,698	61,404
Accounts payable and other	127,159	151,790
Dividends payable	41,290	40,981
Accrued taxes	16,048	10,090
Regulatory liabilities	33,163	32,287
New Jersey Clean Energy Program	6,827	15,804
Derivatives, at fair value	10,725	16,145
Operating lease liabilities	4,780	4,772
Restricted broker margin accounts	4,689	8,029
Customers' credit balances and deposits	24,878	44,910
Total current liabilities	789,096	806,603
NONCURRENT LIABILITIES
Deferred income taxes	330,805	285,427
Deferred investment tax credits	2,295	2,434
Deferred revenue	612	659
Derivatives, at fair value	13,791	7,967
Manufactured gas plant remediation	157,813	169,390
Postemployment employee benefit liability	42,333	102,528
Regulatory liabilities	178,276	180,458
Operating lease liabilities	150,971	148,023
Asset retirement obligations	62,817	61,993
Other noncurrent liabilities	13,122	13,262
Total noncurrent liabilities	952,835	972,141
Commitments and contingent liabilities (Note 13)
Total capitalization and liabilities	$6,647,377	$6,537,496

Part I

CONDENSED CONSOLIDATED STATEMENTS OF COMMON STOCK EQUITY (Unaudited)

(Thousands)	Number of Shares	Common Stock	Premium on Common Stock	Accumulated Other Comprehensive (Loss) Income	Treasury Stock and Other	Retained Earnings	Total
Balance as of September 30, 2023	97,584	$243,458	$558,654	$(9,959)	$20,748	$1,177,834	$1,990,735
Net income	—	—	—	—	—	89,411	89,411
Other comprehensive income	—	—	—	395	—	—	395
Common stock issued:
Incentive compensation plan	116	290	3,451	—	—	—	3,741
Dividend reinvestment plan	94	236	3,552	—	—	—	3,788
Waiver discount	410	1,025	16,894	—	—	—	17,919
Cash dividend declared ($.42 per share)	—	—	—	—	—	(41,176)	(41,176)
Treasury stock and other	(2)	—	—	—	1,388	—	1,388
Balance as of December 31, 2023	98,202	$245,009	$582,551	$(9,564)	$22,136	$1,226,069	$2,066,201
Net income	—	—	—	—	—	120,812	120,812
Other comprehensive income	—	—	—	9,886	—	—	9,886
Common stock issued:
Incentive compensation plan	25	64	1,178	—	—	—	1,242
Dividend reinvestment plan	84	209	3,446	—	—	—	3,655
Waiver discount	435	1,085	16,834	—	—	—	17,919
Cash dividend declared ($.42 per share)	—	—	—	—	—	(41,290)	(41,290)
Treasury stock and other	(1)	—	—	—	800	—	800
Balance as of March 31, 2024	98,745	$246,367	$604,009	$322	$22,936	$1,305,591	$2,179,225

(Thousands)	Number of Shares	Common Stock	Premium on Common Stock	Accumulated Other Comprehensive (Loss) Income	Treasury Stock and Other	Retained Earnings	Total
Balance as of September 30, 2022	96,250	$241,616	$519,697	$(4,826)	$(6,805)	$1,067,528	$1,817,210
Net income	—	—	—	—	—	115,921	115,921
Other comprehensive income	—	—	—	304	—	—	304
Common stock issued:
Incentive compensation plan	92	229	3,243	—	—	—	3,472
Dividend reinvestment plan (1)	93	—	437	—	3,429	—	3,866
Waiver discount	368	—	4,469	—	13,450	—	17,919
Cash dividend declared ($.39 per share)	—	—	—	—	—	(37,665)	(37,665)
Treasury stock and other	—	—	—	—	1,768	—	1,768
Balance as of December 31, 2022	96,803	$241,845	$527,846	$(4,522)	$11,842	$1,145,784	$1,922,795
Net income	—	—	—	—	—	110,247	110,247
Other comprehensive income	—	—	—	305	—	—	305
Common stock issued:
Incentive plan	29	74	1,096	—	—	—	1,170
Dividend reinvestment plan	77	—	877	—	2,794	—	3,671
Cash dividend declared ($.39 per share)	—	—	—	—	—	(37,791)	(37,791)
Treasury stock and other	(8)	—	—	—	439	—	439
Balance as of March 31, 2023	96,901	$241,919	$529,819	$(4,217)	$15,075	$1,218,240	$2,000,836

(1)Certain shares sold through the DRP issued from treasury stock are at average cost, which may differ from the actual market price paid.

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The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.