SPIRE INC Q4 FY2024 earnings call

• Acknowledged Steve Rasche's retirement after 15 years and welcomed Adam Woodard as the new CFO. - Fiscal 2024 adjusted earnings were $4.13 per share, up $0.08 from the prior year. - Board approved a 4% increase in the common dividend, marking 22 consecutive years of dividend increases. - Rolled out a 10-year capital expenditure plan totaling $7.4 billion, with 98% allocated to Gas Utilities. - Fiscal 2025 earnings guidance set at $4.40 to $4.60 per share. - In 2024, capital investment totaled $861 million, with over 80% invested in Gas Utilities; 2025 plan includes $790 million in investments. - Gas Utilities investments focused on infrastructure modernization, customer affordability, and regulatory engagement. - Midstream investment in 2024 was $170 million, with storage expansion on track to come online next month.

Gas Utilities: Earned $221 million, up 10% ($20 million) from the previous year. Midstream: Delivered earnings of $34 million, an increase of $19 million. Gas Marketing: Earned $23 million, significantly lower than the prior year due to less favorable market conditions. Other Corporate Costs: $30 million, a nearly $4 million (11%) improvement from the previous year.

• Reaffirmed long-term adjusted earnings per share growth target of 5% to 7%. - Fiscal 2025 earnings guidance: $4.40 to $4.60 per share. - 10-year capital expenditure plan increased to $7.4 billion. - Gas Utilities expected to earn between $238 million and $258 million in 2025; Midstream targeted $40 million to $46 million; Gas Marketing expected $21 million to $25 million.

• Uncertainties in natural gas market fundamentals affecting Gas Marketing. - Regulatory outcomes and their impact on financial performance. - Fluctuations in interest rates and their effect on interest expense.

Q: Richard Sunderland asked about segment drivers, weather impact, and debt.

A: Steven Rasche and Adam Woodard discussed Marketing's organic growth strategy, Midstream's improved clarity due to storage expansion and contracts, weather normalization assumption in Utilities, and expectations of Fed rate cuts.

Q: Julien Dumoulin-Smith (James Ward) asked about debt refinancing and interest rates.

A: Adam Woodard discussed expected Fed rate cuts and comfortable long-term interest rate levels.

Q: Christopher Jeffrey asked about Missouri legislative session and CapEx run rate.

A: Scott Doyle and Adam Woodard talked about Missouri legislative progress and CapEx driven by meter replacements and Utilities' rate base growth.

Q: Bill Appicelli asked about Q4 results and O&M costs.

A: Steven Rasche and Scott Doyle discussed Q4 surprises in Marketing and interest costs, and O&M cost savings from labor optimizations and technology spend.