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• Adjusted Diluted EPS: Increased by 12% year over year for the fiscal second quarter.

• Fiscal 2025 Guidance: Adjusted diluted EPS guidance range increased to $3 to $3.15.

• Available Liquidity: $1.9 billion at the end of the quarter.

• Leverage Ratio: Overall leverage ratio of 3.8 times.

• Capital Investment: $160 million deployed, primarily in natural gas businesses.

• Customer Base Growth: Over 6,600 new residential heating and commercial accounts year-to-date.

• Utility Segment EBIT: $241 million, up $15 million from the prior year period.

• Midstream and Marketing EBIT: $154 million, comparable to the prior year.

• UGI International EBIT: Grew by $12 million due to operational efficiencies.

• AmeriGas EBIT: $154 million, up $16 million from the prior year period.

• Free Cash Flow: Approximately $490 million year-to-date, up 55% year over year.

• AmeriGas Debt Reduction: Net debt to EBITDA ratio reduced to 5.4 times from 6 times.

• Warning! GuruFocus has detected 9 Warning Signs with UGI.

Release Date: May 08, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• UGI Corp (NYSE:UGI) reported a 12% year-over-year increase in adjusted diluted EPS for the fiscal second quarter, marking the highest in the company's history.

• All four segments of UGI Corp (NYSE:UGI) showed EBIT growth, driven by solid operational execution and higher demand due to colder weather.

• The company increased its fiscal 2025 guidance range to $3 to $3.15, reflecting strong financial performance and continued business momentum.

• UGI Corp (NYSE:UGI) has strengthened its balance sheet with $1.9 billion in available liquidity and a reduced leverage ratio of 3.8 times.

• The expansion project at the Manning LNG facility has been completed, doubling liquefaction capacity and enhancing the ability to fulfill additional peaking contracts.

Negative Points

• AmeriGas experienced a 6% decline in adjusted diluted EPS due to higher income tax expenses despite an increase in EBIT.

• UGI International faced a 4% decline in LPG volumes due to structural conservation and customer conversion from natural gas to LPG.

• The utility segment's operating and administrative expenses rose by $6 million, reflecting higher investments in system maintenance and increased uncollectible account expenses.

• UGI Corp (NYSE:UGI) had to delay certain planned operational investments to meet winter demand, which will now be executed in the second half of the fiscal year.

• The company is operating in a fluid environment with evolving trade and tariff policies, which have placed downward pressure on propane prices, potentially impacting future earnings.