VALLEY FORGE, PA — UGI Corporation (NYSE: UGI) has reported robust fiscal Q1 2025 financial results, underscoring its efforts to drive operational improvements and enhance shareholder value. The company posted GAAP diluted earnings per share (EPS) of $1.74 and adjusted diluted EPS of $1.37, marking a 14% increase in adjusted EPS from the same period last year.
Earnings before interest expense and income taxes (EBIT) came in at $420 million, slightly lower than the $425 million recorded a year ago. UGI closed the quarter with a solid liquidity position of $1.5 billion, reflecting its strategic focus on financial strength and flexibility.
“Disciplined execution in our natural gas and international propane businesses, combined with a renewed focus on operational performance at AmeriGas, has resulted in strong first-quarter results,” said Bob Flexon, President and CEO. “By prioritizing operational improvements at AmeriGas and leveraging demand in our natural gas businesses, we have created a more stable foundation for future growth.”
Key Initiatives and Operational Progress
- Gas Base Rate Filing: UGI Utilities submitted a gas base rate case to the Pennsylvania Public Utility Commission on January 27, 2025. The proposed $110 million distribution rate increase seeks to support infrastructure improvements and ensure reliable service delivery.
- Redemption of AmeriGas Senior Notes: On February 5, AmeriGas Partners, L.P. and AmeriGas Finance Corp announced the full redemption of their 2025 Senior Notes. The redemption will be funded through a two-year unsecured intercompany loan from UGI International to AmeriGas, which will repay the loan using free cash flow.
- Operational Enhancements at AmeriGas: UGI outlined plans to improve AmeriGas by streamlining business processes, refining commercial practices, and enhancing service quality. These changes aim to position AmeriGas for more consistent performance in the increasingly competitive propane market.
Strategic Focus Going Forward
Flexon emphasized UGI’s commitment to strengthening its core businesses while optimizing its portfolio and ensuring disciplined capital allocation. “The operational improvements underway, coupled with strategic financial and portfolio actions, will drive consistent growth and deliver greater shareholder value,” Flexon added.
Looking Ahead
With strong first-quarter results and a focus on operational excellence, UGI remains well-positioned to capitalize on market opportunities across its core natural gas and global LPG businesses. The company’s investments in infrastructure, efficiency, and customer satisfaction are expected to support its long-term growth strategy and deliver enhanced returns for shareholders.
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