Spire Inc.

Spire reported an adjusted loss of $15 million, or $0.26 per share, in the third quarter, versus an adjusted loss of $13 million, or $0.29 per share, in the prior-year quarter. The Gas Utilities segment posted an adjusted loss of $3 million, improving from a $10 million loss last year, while other activities showed an adjusted loss of $12 million versus a $3 million loss a year ago. Discontinued operations contributed $253.8 million in the quarter, including an after-tax gain on sale of $254.6 million. Management reaffirmed fiscal 2026 adjusted EPS guidance of $3.90 to $4.10 and fiscal 2027 guidance of $5.40 to $5.60, and said it expects full-year 2026 capital expenditures of approximately $800 million. The company also reaffirmed its 5% to 7% long-term adjusted EPS growth target, using the original fiscal 2027 midpoint of $5.75 as the base.

Scott Doyle emphasized that Spire has transformed into a more focused, fully regulated utility after the Spire Tennessee acquisition and the divestitures of non-core businesses. He framed natural gas as increasingly important to the energy system and said the company is positioned for more predictable earnings growth through rate base growth and constructive regulation. His tone was confident and steady, while stressing affordability, operational excellence and disciplined execution.

Adam Woodard said quarterly results were in line with expectations and detailed the main drivers: new rates in Missouri and Alabama helped offset usage weakness, while O&M rose about $4 million mainly from higher bad debt expense. He highlighted nearly $600 million of capital spending in the first nine months, expected 2026 capex of about $800 million, and a $11.2 billion 10-year capital plan. On financing, he said most capex should be funded with operating company debt and cash from operations, with limited annual equity issuance, and noted a $375 million interest rate hedge portfolio. He also said FFO-to-debt currently stands at 13% and is targeted to reach 14% to 15% by the end of 2028.

Analysts focused on Alabama ROE requests, Missouri weather normalization and future test year mechanics, Tennessee’s first annual review, and whether Spire would guide for 2028 on the next call. Management said the Alabama hearing covers a limited set of issues, that the requested ROEs reflect regional averages and higher prevailing conditions, and that the cost control mechanism has benefited customers. On Missouri, management said the settlement is aimed at developing a durable and permanent solution, likely through decoupling and rate design, rather than quantifying or recovering specific lost margins now. Adam Woodard said 2028 guidance will be provided on the year-end call in November.