third quarter 2026
Filed Oct 28, 2026NiSource reports third-quarter GAAP diluted EPS of $0.27 and non-GAAP consolidated adjusted EPS of $0.27, narrows 2026 guidance to the upper half of $2.02-$2.07, and introduces 2027 guidance of $2.22-$2.30.
Third-quarter GAAP and non-GAAP earnings per share were each $0.27, versus $0.20 and $0.19, respectively, in the same period of 2025. The company narrowed 2026 non-GAAP consolidated adjusted EPS guidance to the upper half of its $2.02-$2.07 range and introduced higher 2027 guidance, supported by an extended capital plan and data-center-related investment opportunities.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| GAAP net income available to common shareholders, three months ended September 30GAAP | $129.5M | – | – |
| GAAP diluted earnings per share, three months ended September 30GAAP | $0.27 | – | – |
| Adjusted net income available to common shareholders, three months ended September 30non-GAAP | $130.9M | – | – |
| Consolidated adjusted earnings per share, three months ended September 30non-GAAP | $0.27 | – | – |
| Diluted average common shares, three months ended September 30other | 481.1 | – | – |
| Weather compared to normal, three months ended September 30non-GAAP | −$4M | – | – |
| Value Captured initiative operating expenses, three months ended September 30non-GAAP | $6M | – | – |
| Total adjustments to operating income, three months ended September 30non-GAAP | $2M | – | – |
| Tax effect of above items, three months ended September 30non-GAAP | −$600K | – | – |
| Total adjustments to net income, three months ended September 30non-GAAP | $1.4M | – | – |
| Adjustments to diluted earnings per share, three months ended September 30non-GAAP | — | – | – |
| GAAP net income available to common shareholders, nine months ended September 30GAAP | $685.7M | – | – |
| GAAP diluted earnings per share, nine months ended September 30GAAP | $1.42 | – | – |
| Adjusted net income available to common shareholders, nine months ended September 30non-GAAP | $718.1M | – | – |
| Consolidated adjusted earnings per share, nine months ended September 30non-GAAP | $1.49 | – | – |
| Diluted average common shares, nine months ended September 30other | 481.1 | – | – |
| Weather compared to normal, nine months ended September 30non-GAAP | $15.7M | – | – |
| Workplace continuity operating expenses, nine months ended September 30non-GAAP | $21.4M | – | – |
| Value Captured initiative operating expenses, nine months ended September 30non-GAAP | $11.4M | – | – |
| Total adjustments to operating income, nine months ended September 30non-GAAP | $48.5M | – | – |
| Tax effect of above items, nine months ended September 30non-GAAP | −$12.5M | – | – |
| Preferred dividends redemption premium, nine months ended September 30non-GAAP | −$3.6M | – | – |
| Total adjustments to net income, nine months ended September 30non-GAAP | $32.4M | – | – |
| Adjustments to diluted earnings per share, nine months ended September 30non-GAAP | $0.07 | – | – |
2026, 2027 and 2027-2033 outlook
- Note2026 non-GAAP consolidated adjusted EPS: upper half of $2.02-$2.07 range
- Note2027 non-GAAP consolidated adjusted EPS: $2.22-$2.30
- Note2027-2033 consolidated total capital expenditures: $40.0 billion
- Note2027-2033 base plan capital expenditures: $32.0 billion
- Note2027-2033 data center investments: $8.0 billion
- Note2027-2033 consolidated investment base growth: 9%-10%
- Note2027-2033 consolidated non-GAAP adjusted EPS CAGR: 10%-11%
- Note2027-2033 base plan non-GAAP adjusted EPS growth: 6%-8% annually
- Note2027-2033 rate base growth: 8%-10%
What drove it
- Third-quarter GAAP net income available to common shareholders was $129.5 million, compared with $94.7 million for the same period of 2025.
- Third-quarter non-GAAP adjusted net income available to common shareholders was $130.9 million, compared with $91.8 million for the same period of 2025.
- The company extended its capital plan through 2033, comprising $32.0 billion in base plan capital expenditures and $8.0 billion for data center investments.
- Signed GenCo agreements are expected to deliver approximately $1.75 billion in customer savings.
- Management cited Microsoft and its GenCo pipeline as opportunities that strengthen the outlook.
Concerns
- The company cited extreme weather events during the year and reported weather compared to normal of $(4.0) million for the third quarter and $15.7 million for the nine months ended September 30, 2026.
- Nine-month adjustments included $21.4 million of workplace continuity costs associated with NIPSCO work continuity plans during the April 2026 lockout period.
- The company identified execution, financing, construction, regulatory recovery, customer-performance and credit-rating risks related to its data center strategy.
- The company does not provide a GAAP equivalent or reconciliation for base plan adjusted EPS or consolidated adjusted EPS guidance because of unpredictable factors including weather, asset sales, impairments and other unusual or infrequent items.
What to watch
- Delivery of 2026 non-GAAP consolidated adjusted EPS within the upper half of the $2.02-$2.07 range.
- Execution of the $40.0 billion 2027-2033 capital expenditure plan and the targeted 9%-10% consolidated investment base growth.
- Progress in data center operations and development activities, which are expected to have a different growth profile from the base plan.
- Realization of approximately $1.75 billion in expected customer savings under signed GenCo agreements.
- Performance against the targeted 10%-11% consolidated non-GAAP adjusted EPS CAGR for 2027-2033.
Analysis
NiSource reported improved third-quarter earnings. GAAP net income available to common shareholders was $129.5 million, or $0.27 of diluted earnings per share, compared with $94.7 million, or $0.20 per diluted share, in the same period of 2025. Non-GAAP adjusted net income available to common shareholders was $130.9 million, or $0.27 of consolidated adjusted EPS, compared with $91.8 million, or $0.19 of consolidated adjusted EPS, a year earlier.
For the nine months ended September 30, GAAP net income available to common shareholders was $685.7 million, or $1.42 of diluted earnings per share, compared with $671.7 million, or $1.42 per diluted share, in the same period of 2025. Non-GAAP adjusted net income available to common shareholders rose to $718.1 million, or $1.49 of consolidated adjusted EPS, from $656.0 million, or $1.38 per share. The reconciliation shows $48.5 million of total adjustments to operating income for the nine-month period, including $21.4 million of workplace continuity costs and $11.4 million of Value Captured initiative costs.
Weather was a meaningful reported adjustment. Weather compared to normal was $(4.0) million in both the third quarter of 2026 and the third quarter of 2025. For the nine-month periods, the weather adjustment was $15.7 million in 2026 versus $(21.1) million in 2025. Management also referenced extreme weather events during the year and emphasized investment in safety, reliability and resiliency.
The outlook centers on a substantial extension of the capital program and data-center-related opportunities. NiSource narrowed 2026 non-GAAP consolidated adjusted EPS guidance to the upper half of the $2.02-$2.07 range and introduced 2027 guidance of $2.22-$2.30. Its 2027-2033 capital plan totals $40.0 billion, including $32.0 billion of base plan capital expenditures and $8.0 billion for data center investments. The company targets 9%-10% consolidated investment base growth and a 10%-11% consolidated non-GAAP adjusted EPS CAGR over 2027-2033, while base plan adjusted EPS growth is expected to be 6%-8% annually.
The principal execution items are the construction, financing and regulatory recovery of investments supporting data-center customers, as well as customer performance under current and future contracts. NiSource stated that signed GenCo agreements are expected to deliver approximately $1.75 billion in customer savings. The release did not provide revenue, segment financial results, cash flow, balance sheet data, dividends or share repurchases.
Management, verbatim
The extension of our long-term plan reflects the significant opportunities ahead for NiSource and our confidence in our ability to deliver.
Lloyd Yates, President and Chief Executive Officer of NiSource
Our seven-year capital plan supports critical infrastructure investments to enhance the safety, reliability, and resiliency of our systems while enabling significant economic development across our footprint.
Lloyd Yates, President and Chief Executive Officer of NiSource
Our signed GenCo agreements are expected to deliver approximately $1.75 billion in customer savings, positioning us to deliver industry-leading growth and long-term value for customers, communities, and shareholders.
Lloyd Yates, President and Chief Executive Officer of NiSource
Not in the filing
stated, not guessed- Total operating revenue for the third quarter and nine months ended September 30, 2026 and comparable 2025 periods
- Segment revenue, segment profit and segment operating metrics
- Gross profit and gross margin
- Operating income
- Operating expenses excluding reconciliation adjustments
- Income tax expense and effective tax rate
- Cash flow from operating activities
- Free cash flow
- Cash and cash equivalents
- Debt and liquidity
- Capital expenditures incurred during the reported quarter and nine-month period
- Dividends declared or paid
- Share repurchases
- Prior-quarter financial comparisons
- Prior guidance for comparison
- GAAP equivalent and reconciliation for non-GAAP adjusted EPS guidance
AlphAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.