NEW JERSEY RESOURCES CORP

Previous wording

Net income by reportable segment and other business operations, which are discussed in more detail within the operating results sections of each reportable segment and other business operations, are as follows:

Current wording

Net income (loss) by reportable segment and other business operations, which are discussed in more detail within the operating results sections of each reportable segment and other business operations, are as follows:

Previous wording

•$8.4M increase at ES related to market volatility due to the colder weather;

Current wording

•$19.3M increase at ES related to favorable pricing spreads; and

Previous wording

•$37.0M increase at ES due to higher Financial Margin related to market volatility due to the colder weather;

Current wording

•$38.1M increase at ES due to market volatility and favorable pricing spreads related to colder weather;

Previous wording

•$5.4M increase at S&T due to higher rates at Adelphia; and

Current wording

•$9.9M increase at S&T due to higher firm transportation and storage rates at Adelphia and Leaf River; partially offset by

Previous wording

•$39.8M decrease at CEV due to the gain on sale of the residential solar portfolio in the prior period.

Current wording

•$33.3M decrease at CEV due to the gain on sale of the residential solar portfolio in the prior period.

Previous wording

Consolidated assets increased approximately $364.5M as of March 31, 2026, compared with September 30, 2025, due primarily to the following factors:

Current wording

Consolidated assets increased approximately $445.7M as of June 30, 2026, compared with September 30, 2025, due primarily to the following factors:

Previous wording

•$146.4M increase in utility plant expenditures, net at NJNG; and

Current wording

•$246.8M increase in utility plant expenditures, net at NJNG;

Previous wording

•$112.1M increase in nonutility plant and equipment, net at CEV due primarily to additional capital expenditures for commercial solar projects; partially offset by

Current wording

•$144.2M increase in nonutility plant and equipment, net at CEV due primarily to additional capital expenditures for commercial solar projects; and

Previous wording

•$350.0M increase in cash and customer receivables at NJNG, due to seasonality;

Current wording

•$85.2M increase in cash and customer receivables at NJNG, due to seasonality; partially offset by

Previous wording

•$155.3M decrease in gas in storage mainly at NJNG, due to seasonality; and

Current wording

•$62.9M decrease in gas in storage mainly at NJNG, due to seasonality.

Previous wording

•$5.4M increase at S&T due to higher rates at Adelphia; and

Current wording

•$9.9M increase at S&T, due to higher firm transportation and storage rates at Adelphia and Leaf River; partially offset by

Previous wording

•$39.8M decrease at CEV, due to the gain on sale of the residential solar portfolio in the prior period.

Current wording

•$33.3M decrease at CEV due to the gain on sale of the residential solar portfolio in the prior period.

Previous wording

Below is a summary of NJNG’s capital expenditures, including accruals, for the six months ended March 31, 2026, and estimates of expected investments for fiscal 2026 and 2027:

Current wording

Below is a summary of NJNG’s capital expenditures, including accruals, for the nine months ended June 30, 2026, and estimates of expected investments for fiscal 2026 and 2027:

Previous wording

NJNG expects new customer additions during the six months ended March 31, 2026, and those customers who added additional natural gas services to their premises, to contribute approximately $4.0M of incremental Utility Gross Margin on an annualized basis.

Current wording

NJNG expects new customer additions during the nine months ended June 30, 2026, and those customers who added additional natural gas services to their premises, to contribute approximately $5.9M of incremental Utility Gross Margin on an annualized basis.

Previous wording

In September 2025, NJNG submitted its annual SBC filing to the BPU requesting approval of RAC expenditures through June 2025, which included a decrease to the RAC annual recoveries of approximately $0.9M and a decrease to the NJCEP annual recoveries of approximately $5.0M, which would be effective April 1, 2026.

Current wording

On June 1, 2026, NJNG submitted its annual SAVEGREEN filing to the BPU for the recovery of costs, requesting a decrease in annual recoveries of approximately $18.3M, which would be effective October 1, 2026.

Previous wording

(1)Compared with the 20-year average, weather was 4.6% and 6.5% colder-than-normal during the three and six months ended March 31, 2026, and 0.4% and 3.4% warmer-than-normal during the three and six months ended March 31, 2025.

Current wording

(1)Compared with the 20-year average, weather was 3.3% warmer and 5.5% colder-than-normal during the three and nine months ended June 30, 2026, respectively, and 17.8% and 4.9% warmer-than-normal during the three and nine months ended June 30, 2025, respectively.

Previous wording

NJNG is eligible to receive financial incentives for reducing BGSS costs through a series of Utility Gross Margin-sharing programs that include off-system sales, capacity release and storage incentive programs. These programs are designed to encourage better utilization and hedging of NJNG’s natural gas supply and transportation and storage assets. Depending on the program, NJNG shares 80% or 85% of Utility Gross Margin generated by these programs with firm customers. Utility Gross Margin from incentive programs was approximately $11.7M and $7.4M during the three months ended March 31, 2026 and 2025, respectively, and approximately $17.3M and $10.6M during the six months ended March 31, 2026 and 2025, respectively.

Current wording

NJNG is eligible to receive financial incentives for reducing BGSS costs through a series of Utility Gross Margin-sharing programs that include off-system sales, capacity release and storage incentive programs. These programs are designed to encourage better utilization and hedging of NJNG’s natural gas supply and transportation and storage assets. Depending on the program, NJNG shares 80% or 85% of Utility Gross Margin generated by these programs with firm customers. Utility Gross Margin from incentive programs was approximately $3.1M and $3.9M during the three months ended June 30, 2026 and 2025, respectively, and approximately $20.4M and $14.5M during the nine months ended June 30, 2026 and 2025, respectively.

Previous wording

The maximum price per MMBtu was $122.84 and $40.02 and the minimum price was $1.42 and $1.05 for the six months ended March 31, 2026 and 2025, respectively. As a result of NJNG's hedging strategy as previously discussed, customers are protected from much of the short-term price volatility during the winter months. A more detailed discussion of the impacts of the price of natural gas on operating revenues, natural gas purchases and cash flows can be found in the Operating Results and Cash Flow sections of Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations.

Current wording

The maximum price per MMBtu was $122.84 and $40.02 and the minimum price was $1.42 and $1.05 for the nine months ended June 30, 2026 and 2025, respectively. As a result of NJNG's hedging strategy as previously discussed, customers are protected from much of the short-term price volatility during the winter months. A more detailed discussion of the impacts of the price of natural gas on operating revenues, natural gas purchases and cash flows can be found in the Operating Results and Cash Flow sections of Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations.

Previous wording

NJNG is responsible for the environmental remediation of former MGP sites, which contain contaminated residues from former gas manufacturing operations that ceased operating at these sites by the mid-1950s and, in some cases, had been discontinued many years earlier. Actual MGP remediation costs may vary from management’s estimates due to the developing nature of remediation requirements, regulatory decisions by the NJDEP and related litigation. NJNG reviews these costs periodically, and at least annually, and adjusts its liability and corresponding regulatory asset as necessary to reflect its expected future remediation obligation. Accordingly, NJNG recognized a regulatory asset and an obligation of approximately $166.1M as of March 31, 2026, a decrease of approximately $0.9M compared with September 30, 2025. See Note 13. Commitments and Contingent Liabilities for a more detailed description of MGP expenditures.

Current wording

NJNG is responsible for the environmental remediation of former MGP sites, which contain contaminated residues from former gas manufacturing operations that ceased operating at these sites by the mid-1950s and, in some cases, had been discontinued many years earlier. Actual MGP remediation costs may vary from management’s estimates due to the developing nature of remediation requirements, regulatory decisions by the NJDEP and related litigation. NJNG reviews these costs periodically, and at least annually, and adjusts its liability and corresponding regulatory asset as necessary to reflect its expected future remediation obligation. Accordingly, NJNG recognized a regulatory asset and an obligation of approximately $165.2M as of June 30, 2026, a decrease of approximately $1.8M compared with September 30, 2025. See Note 13. Commitments and Contingent Liabilities in the accompanying Unaudited Condensed Consolidated Financial Statements for a more detailed description of MGP expenditures.

Previous wording

(3)Includes related party transactions of approximately $1.6M and $2.3M during the three months ended March 31, 2026 and 2025, respectively, and $3.2M and $4.7M during the six months ended March 31, 2026 and 2025, respectively, a portion of which is eliminated in consolidation.

Current wording

(3)Includes related party transactions of approximately $1.6M during both the three months ended June 30, 2026 and 2025, and $4.9M and $6.3M during the nine months ended June 30, 2026 and 2025, respectively, a portion of which is eliminated in consolidation.

Previous wording

Operating revenues increased 3.6% and natural gas purchases increased 0.5% during the three months ended March 31, 2026, compared with the three months ended March 31, 2025. Operating revenues increased 10.4% and natural gas purchases increased 10.4% during the six months ended March 31, 2026, compared with the six months ended March 31, 2025.

Current wording

Operating revenues decreased 1.9% and natural gas purchases decreased 12.1% during the three months ended June 30, 2026, compared with the three months ended June 30, 2025. Operating revenues increased 8.2% and natural gas purchases increased 6.9% during the nine months ended June 30, 2026, compared with the nine months ended June 30, 2025.

Previous wording

(1)Excludes SG&A of approximately $51.0M and $31.7M for the three months ended March 31, 2026 and 2025, respectively, and $55.1M and $57.8M for the six months ended March 31, 2026 and 2025, respectively.

Current wording

(1)Excludes SG&A of approximately $27.8M and $27.1M for the three months ended June 30, 2026 and 2025, respectively, and $82.9M and $85.0M for the nine months ended June 30, 2026 and 2025, respectively.

Previous wording

Utility firm gross margin increased approximately $6.1M during the three months ended March 31, 2026, compared with the three months ended March 31, 2025, due primarily to customer growth. Utility firm gross margin increased $28.7M during the six months ended March 31, 2026, compared with the six months ended March 31, 2025, due primarily to an increase in base rates, effective November 21, 2024, along with customer growth.

Current wording

Utility firm gross margin increased approximately $6.8M during the three months ended June 30, 2026, compared with the three months ended June 30, 2025, due primarily to customer growth. Utility firm gross margin increased $35.5M during the nine months ended June 30, 2026, compared with the nine months ended June 30, 2025, due primarily to an increase in base rates, effective November 21, 2024, along with customer growth.

Previous wording

BGSS incentive programs increased during the three months ended March 31, 2026, compared with the three months ended March 31, 2025, due primarily to higher margins from off-system sales and capacity release, related to market volatility due to colder weather. BGSS incentive programs increased during the six months ended March 31, 2026, compared with the six months ended March 31, 2025, due primarily to higher margins from off-system sales and storage.

Current wording

BGSS incentive programs decreased during the three months ended June 30, 2026, compared with the three months ended June 30, 2025, due primarily to lower margins from storage and off-system sales. BGSS incentive programs increased during the nine months ended June 30, 2026, compared with the nine months ended June 30, 2025, due primarily to higher margins from off-system sales and capacity release related to market volatility due to colder weather.

Previous wording

Net income increased approximately $4.0M during the three months ended March 31, 2026, compared with the three months ended March 31, 2025, due primarily to the following factors:

Current wording

Net income decreased approximately $4.0M during the three months ended June 30, 2026, compared with the three months ended June 30, 2025, due primarily to the following factors:

Previous wording

•$6.7M increase in depreciation expense as a result of additional utility plant being placed into service;

Current wording

•$4.4M increase in depreciation expense as a result of additional utility plant being placed into service;

Previous wording

•$4.5M increase in O&M due to higher employee expenses.

Current wording

•$2.8M increase in O&M due to higher employee expenses; and

Previous wording

•$4.2M increase in interest expense, net of capitalized interest due to higher outstanding long-term debt; partially offset by

Current wording

•$2.8M increase in interest expense due to higher outstanding long-term debt; partially offset by

Previous wording

•$3.8M increase in interest expense due to higher outstanding long-term debt; and

Current wording

•$6.6M increase in interest expense due to higher outstanding long-term debt;

Previous wording

•$3.4M increase in income tax expense related to higher operating income.

Current wording

•$3.1M increase in income tax expense related to higher operating income.

Previous wording

CEV placed one commercial solar project in service, totaling 3.7 MWs, during the three months ended March 31, 2026, with related expenditures of approximately $9.3M. CEV placed three commercial solar projects in service totaling 13.4 MWs during the six months ended March 31, 2026, with related expenditures of approximately $30.2M. CEV placed one commercial solar project in service totaling 2.2 MWs during the three months ended March 31, 2025, with related expenditures of approximately $8.3M. CEV placed three commercial solar projects in service totaling 12.7 MWs during the six months ended March 31, 2025, with related expenditures of approximately $28.7M. CEV has approximately 493 MW of commercial solar capacity in service.

Current wording

CEV placed five commercial solar projects in service, totaling 44.4 MWs, during the three months ended June 30, 2026, with related expenditures of approximately $123.8M. CEV placed eight commercial solar projects in service totaling 57.8 MWs during the nine months ended June 30, 2026, with related expenditures of approximately $154.0M. CEV placed two commercial solar projects in service totaling 19.3 MWs during the three months ended June 30, 2025, with related expenditures of approximately $55.0M. CEV placed five commercial solar projects in service totaling 32.0 MWs during the nine months ended June 30, 2025, with related expenditures of approximately $83.7M. CEV has approximately 537 MW of commercial solar capacity in service as of June 30, 2026.

Previous wording

CEV may enter into transactions to sell certain of its commercial solar assets concurrent with agreements to lease the assets back over a period of five to seven years. The Company will continue to operate the solar assets and is responsible for related expenses and entitled to retain the revenue generated from RECs and energy sales. ITCs and other tax attributes associated with these solar projects transfer to the buyer if applicable; however, the lease payments are structured so that CEV is compensated for the transfer of the related tax incentives. Accordingly, for solar projects financed under sale leasebacks for which the assets were sold during the first five years of in-service life, CEV recognizes the equivalent value of the ITC in other income on the Unaudited Condensed Consolidated Statements of Operations over the respective five-year ITC recapture periods, starting with the second year of the lease. CEV received proceeds of approximately $26.0M and $13.2M during the three months ended March 31, 2026 and 2025, and approximately $49.3M and $25.7M during the six months ended March 31, 2026 and 2025, respectively, in connection with the sale leaseback of commercial solar assets. As an alternative, CEV may evaluate other structures to monetize the value of ITCs, such as the direct transfer of ITCs to a third party in exchange for cash.

Current wording

associated with these solar projects transfer to the buyer if applicable; however, the lease payments are structured so that CEV is compensated for the transfer of the related tax incentives. Accordingly, for solar projects financed under sale leasebacks for which the assets were sold during the first five years of in-service life, CEV recognizes the equivalent value of the ITC in other income on the Unaudited Condensed Consolidated Statements of Operations over the respective five-year ITC recapture periods, starting with the second year of the lease. CEV received proceeds of approximately $51.3M and $74.5M during the three months ended June 30, 2026 and 2025, and approximately $100.6M and $100.3M during the nine months ended June 30, 2026 and 2025, respectively, in connection with the sale leaseback of commercial solar assets. As an alternative, CEV may evaluate other structures to monetize the value of ITCs, such as the direct transfer of ITCs to a third party in exchange for cash.

Previous wording

CEV operated a residential solar portfolio, which provided qualifying homeowners with the opportunity to have a solar system installed at their home in exchange for monthly lease payments and with no installation or maintenance expenses. In November 2024, CEV completed the sale of its residential solar portfolio, and related assets and liabilities to a third party for a purchase price of $132.5M. See Note 16. Dispositions for more details.

Current wording

CEV operated a residential solar portfolio, which provided qualifying homeowners with the opportunity to have a solar system installed at their home in exchange for monthly lease payments and with no installation or maintenance expenses. In November 2024, CEV completed the sale of its residential solar portfolio, and related assets and liabilities to a third party for a purchase price of $132.5M. See Note 16. Dispositions in the accompanying Unaudited Condensed Consolidated Financial Statements for more details.

Previous wording

REC activity for the six months ended, consisted of the following:

Current wording

REC activity for the nine months ended, consisted of the following:

Previous wording

•$7.3M increase in operating revenues due to higher REC sales.

Current wording

•$7.1M increase in operating revenues due to higher REC sales; and

Previous wording

•$2.2M increase in interest expense, net of capitalized interest due to higher outstanding long-term debt; and

Current wording

•$2.2M increase in interest expense, net of capitalized interest due to higher outstanding debt;

Previous wording

Net income decreased approximately $39.8M during the six months ended March 31, 2026, compared with the six months ended March 31, 2025, due primarily to the following factors:

Current wording

Net income decreased approximately $33.3M during the nine months ended June 30, 2026, compared with the nine months ended June 30, 2025, due primarily to the following factors:

Previous wording

•$55.5M decrease due to the gain on the sale of the residential solar portfolio in the prior period; and

Current wording

•$56.1M decrease due to the gain on the sale of the residential solar portfolio in the prior period;

Previous wording

•$2.0M increase in operating revenues due to higher REC sales.

Current wording

•$14.5M increase in operating revenues due to higher REC sales;

Previous wording

•$12.2M decrease in income tax expense related to lower operating income; and

Current wording

•$10.1M decrease in income tax expense related to lower operating income; and