New Jersey Resources Reports Fiscal 2025 Fourth-Quarter and Year-End Results

New Jersey Resources Corporation (NYSE:NJR) today reported financial and operating results for its fiscal 2025 fourth quarter and year-ended September 30, 2025.

Financial Highlights:

Annual

• Fiscal 2025 net income totaled $335.6 million, or $3.35 per share, compared with $289.8 million, or $2.94 per share, in fiscal 2024
• Fiscal 2025 consolidated net financial earnings (NFE), a non-GAAP financial measure, totaled $329.6 million, or $3.29 per share, compared with $290.8 million, or $2.95 per share, in fiscal 2024
• Achieved high end of fiscal 2025 net financial earnings per share (NFEPS) guidance range of $3.20 to $3.30, which was increased in the second quarter of fiscal 2025
• Fiscal 2025 marks the fifth consecutive year that NJR has outperformed its initial annual NFEPS guidance

Quarterly

• Fiscal 2025 fourth-quarter consolidated net income of $15.1 million, or $0.15 per share, compared with $91.1 million, or $0.92 per share, in the fourth quarter of fiscal 2024
• Fiscal 2025 fourth-quarter consolidated NFE of $16.2 million, or $0.16 per share, compared with $88.7 million, or $0.89 per share, in the fourth quarter of fiscal 2024. The decrease reflects higher operating revenue in the prior year period at Energy Services from the Asset Management Agreements (AMAs) signed in December 2020.

Operating Highlights

• New Jersey Natural Gas (NJNG): Record investment under SAVEGREEN^® energy efficiency program of $98 million
• Clean Energy Ventures (CEV): Placed a record 93 megawatts (MW*) of in-service capacity in fiscal 2025, the highest annual installed capacity in its history
• Storage and Transportation (S&T):

– Adelphia Gateway (Adelphia): Filed an offer of settlement with the Federal Energy Regulatory Commission (FERC) during the fourth quarter of fiscal 2025, and received the order approving settlement on November 4, 2025.

– Leaf River Energy Center (Leaf River): Submitted an application to FERC on October 31, 2025 to increase its certificated natural gas storage capacity by 17.6 BCF

• Energy Services (ES): Benefitted from natural gas volatility during the 2025 winter period, contributing to NFEPS guidance increase
• Home Services: Reported higher revenues in fiscal 2025 and was named a Ruud Top Twenty Pro Partner Contractor for the 9^th consecutive year

Fiscal 2026 Outlook

• Maintains 7 to 9 percent long-term NFEPS growth target, starting from a fiscal 2025 base of $2.83 per share**
• Introduces fiscal 2026 NFEPS guidance range of $3.03 to $3.18

Management Commentary

Steve Westhoven, President and CEO of New Jersey Resources, stated, "Fiscal 2025 was another strong year for NJR. We delivered NFEPS at the high end of our guidance range, surpassing our initial annual NFEPS guidance for the fifth consecutive year. We believe our performance reflects the strength of our complementary businesses, including record investments at NJNG, the highest annual installed capacity additions by CEV in our history, and strategic milestones at Adelphia Gateway and Leaf River."

Mr. Westhoven continued, "Looking ahead, we remain focused on delivering long-term value for our shareowners. Our fiscal 2026 NFEPS guidance of $3.03 to $3.18 reflects our confidence in achieving our 7 to 9 percent long-term NFEPS growth target. We believe our capital plan through 2030—driven by investment in our natural gas utility, disciplined capital deployment at CEV, and expansion opportunities at S&T—demonstrates a long-term vision for sustaining performance and creating enduring value. We believe this balanced, forward-looking strategy positions NJR to deliver consistent results and strengthen shareholder value."

Fiscal 2026 NFEPS Guidance

NJR is introducing its fiscal 2026 NFEPS guidance range of $3.03 to $3.18, subject to the risks and uncertainties identified below under "Forward-Looking Statements."

The following chart represents NJR's current expected NFE contributions from its business segments for fiscal 2026:

Financial Metrics

Net Financial Earnings (Loss) by Business Segment

New Jersey Natural Gas (NJNG)

NJNG reported fourth-quarter fiscal 2025 net financial loss of $(8.0) million, compared to net financial loss of $(19.0) million during the same period in fiscal 2024. Fiscal 2025 NFE totaled $213.5 million, compared with NFE of $133.4 million in fiscal 2024. The improvement in NFE for both the quarter and full year was primarily driven by higher utility gross margin resulting from NJNG's recent base rate case settlement, partially offset by higher depreciation expense.

Customers:

• At September 30, 2025, NJNG serviced approximately 589,000 customers in New Jersey's Monmouth, Ocean, Morris, Middlesex, Sussex and Burlington counties, compared to approximately 583,000 customers at September 30, 2024.

Infrastructure Update:

• NJNG's Infrastructure Investment Program (IIP) is a five-year, $150 million accelerated recovery program that began in fiscal 2021. IIP consists of a series of infrastructure projects designed to enhance the safety and reliability of NJNG's natural gas distribution system. During fiscal 2025, NJNG invested $40.0 million under the program on various distribution system reinforcement projects.

Basic Gas Supply Service (BGSS) Incentive Programs:

• BGSS incentive programs contributed $18.4 million to utility gross margin during fiscal 2025, compared with $17.9 million in fiscal 2024. This increase was primarily driven by higher margins from storage incentives.

For more information on utility gross margin, please see "Non-GAAP Financial Information" below.

Energy-Efficiency Programs:

• SAVEGREEN^® invested a record $98.0 million in fiscal 2025 in energy-efficiency upgrades for customers' homes and businesses. During fiscal 2025, NJNG recovered $15.7 million of its outstanding investments (program expenses, eligible for recovery) through its energy-efficiency rate. Investments in SAVEGREEN^® are incremental to rate base and earn near-real time returns through a rider that is updated annually.

Clean Energy Ventures (CEV)

CEV reported fourth-quarter fiscal 2025 NFE of $23.8 million, compared with $35.5 million during the same period in fiscal 2024. The decrease was primarily due to lower Solar Renewable Energy Certificate (SREC) sales and the absence of contributions from the residential solar portfolio, which was sold in November 2024.

Fiscal 2025 NFE totaled $61.2 million, compared with NFE of $33.7 million in fiscal 2024. The year-over-year increase was largely driven by the gain on the sale of its residential solar portfolio.

Solar Investment Update:

• In fiscal 2025, CEV placed eleven commercial projects into service, adding 93.6 MW to installed capacity.
• As of September 30, 2025, CEV had approximately 479 MW of commercial solar capacity in service across New Jersey, New York, Connecticut, Pennsylvania, Rhode Island, Indiana, and Michigan.

Storage and Transportation (S&T)

S&T reported fourth-quarter fiscal 2025 NFE of $4.6 million, compared with NFE of $2.5 million during the same period in fiscal 2024. Fiscal 2025 NFE totaled $18.5 million, compared with NFE of $12.2 million in fiscal 2024. NFE increased during both periods mainly due to an increase in operating revenues at Leaf River.

• Adelphia: On September 30, 2024, Adelphia filed a Section 4 rate case with the FERC seeking approval to revise its transportation cost-of-service rates to reflect investments made in its pipeline system. On June 26, 2025, Adelphia reached a settlement in principle with customers participating in the rate case. Adelphia filed an offer of settlement with the FERC during the fourth quarter of fiscal 2025, and received the order approving settlement on November 4, 2025.
• Leaf River: On October 31, 2025 Leaf River submitted an application to FERC to increase its certificated natural gas storage capacity by 17.6 BCF.

Energy Services (ES)

ES reported fourth-quarter fiscal 2025 net financial loss of $(4.5) million, compared with NFE of $68.3 million for the same period in fiscal 2024. Fiscal 2025 NFE totaled $34.9 million, compared with NFE of $111.5 million in fiscal 2024. The decrease in NFE for both the fiscal 2025 fourth quarter and year was due to expected lower contribution from the AMAs signed in December 2020 compared to the prior year.

Home Services and Other Operations

Home Services and Other Operations reported fourth-quarter fiscal 2025 net financial loss of $(0.8) million, compared to a net financial loss of $(0.6) million for the same period in fiscal 2024. Fiscal 2025 net financial loss totaled $(0.4) million, compared with breakeven NFE in fiscal 2024.

Capital Expenditures and Cash Flows:

• During fiscal 2025, capital expenditures were $752.5 million, including accruals, compared with $575.1 million in fiscal 2024. The increase in capital expenditures was primarily due to higher expenditures at NJNG and CEV.
• NJR expects to deploy between $4.8 billion and $5.2 billion in capital expenditures through 2030, with utility spending at NJNG representing over 60% of the investment, all planned CEV capital expenditures safe-harbored to preserve tax credit eligibility, and strategic growth opportunities at S&T supporting long-term value creation.
• During fiscal 2025, cash flows from operations increased to $466.3 million, compared to cash flows from operations of $427.4 million in fiscal 2024, due primarily to an increase in base rates at NJNG.

Conference Call to be Webcast on November 20, 2025

New Jersey Resources will host a live webcast of its fiscal 2025 fourth quarter and year-end financial results on Thursday, November 20, 2025, at 10 a.m. ET. A few minutes prior to the webcast, visit www.njresources.com and select "Investor Relations." Scroll down and click the webcast link under "Latest Events" on the right side of the page.

Forward-Looking Statements:

This earnings release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. NJR cautions readers that the assumptions forming the basis for forward-looking statements include many factors that are beyond NJR's ability to control or estimate precisely, such as expectations regarding future market conditions and the behavior of other market participants. Words such as "anticipates," "estimates," "expects," "projects," "may," "will," "intends," "plans," "believes," "should" and similar expressions may identify forward-looking statements and such forward-looking statements are made based upon management's current expectations, assumptions and beliefs as of this date concerning future developments and their potential effect upon NJR. There can be no assurance that future developments will be in accordance with management's expectations, assumptions and beliefs or that the effect of future developments on NJR will be those anticipated by management. Forward-looking statements in this earnings release include, but are not limited to, statements regarding NJR's NFEPS guidance for fiscal 2026, projected NFEPS growth rates and our guidance range, forecasted contributions of business segments to NJR's NFE for fiscal 2026, our capital plan through 2030, including our capital expenditure projections through 2030, infrastructure programs and investments, future decarbonization opportunities including IIP, Energy Efficiency programs; and other legal and regulatory expectations, and statements that include other projections, predictions, expectations or beliefs about future events or results or otherwise are not statements of historical fact.

Additional information and factors that could cause actual results to differ materially from NJR's expectations are contained in NJR's filings with the U.S. Securities and Exchange Commission (SEC), including NJR's Annual Reports on Form 10-K and subsequent Quarterly Reports on Form 10-Q, recent Current Reports on Form 8-K, and other SEC filings, which are available at the SEC's website, http://www.sec.gov. Information included in this earnings release is representative as of today only and while NJR periodically reassesses material trends and uncertainties affecting NJR's results of operations and financial condition in connection with its preparation of management's discussion and analysis of results of operations and financial condition contained in its Quarterly and Annual Reports filed with the SEC, NJR does not, by including this statement, assume any obligation to review or revise any particular forward-looking statement referenced herein in light of new information, future events or otherwise, except as required by law.

Non-GAAP Financial Information:

This earnings release includes the non-GAAP financial measures NFE/net financial loss, NFE per basic share, financial margin and utility gross margin. A reconciliation of these non-GAAP financial measures to the most directly comparable financial measures calculated and reported in accordance with GAAP can be found below. As an indicator of NJR's operating performance, these measures should not be considered an alternative to, or more meaningful than, net income or operating revenues as determined in accordance with GAAP. This information has been provided pursuant to the requirements of SEC Regulation G.

NFE and financial margin exclude unrealized gains or losses on derivative instruments related to NJR's unregulated subsidiaries and certain realized gains and losses on derivative instruments related to natural gas that has been placed into storage at Energy Services, net of applicable tax adjustments as described below. Financial margin also differs from gross margin as defined on a GAAP basis as it excludes certain operations and maintenance expense and depreciation and amortization [expenses] as well as the effects of derivatives as discussed above. Volatility associated with the change in value of these financial instruments and physical commodity reported on the income statement in the current period. In order to manage its business, NJR views its results without the impacts of the unrealized gains and losses, and certain realized gains and losses, caused by changes in value of these financial instruments and physical commodity contracts prior to the completion of the planned transaction because it shows changes in value currently instead of when the planned transaction ultimately is settled. An annual estimated effective tax rate is calculated for NFE purposes and any necessary quarterly tax adjustment is applied to NJR Energy Services Company.

NJNG's utility gross margin is defined as operating revenues less natural gas purchases, sales tax, and regulatory rider expenses. This measure differs from gross margin as presented on a GAAP basis as it excludes certain operations and maintenance expense and depreciation and amortization. Utility gross margin may also not be comparable to the definition of gross margin used by others in the natural gas distribution business and other industries. Management believes that utility gross margin provides a meaningful basis for evaluating utility operations since natural gas costs, sales tax and regulatory rider expenses are included in operating revenues and passed through to customers and, therefore, have no effect on utility gross margin.

Management uses these non-GAAP financial measures as supplemental measures to other GAAP results to provide a more complete understanding of NJR's performance. Management believes these non-GAAP financial measures are more reflective of NJR's business model, provide transparency to investors and enable period-to-period comparability of financial performance. A reconciliation of all non-GAAP financial measures to the most directly comparable financial measures calculated and reported in accordance with GAAP can be found below. For a full discussion of NJR's non-GAAP financial measures, please see NJR's most recent Annual Report on Form 10-K, Item 7.

About New Jersey Resources

New Jersey Resources (NYSE:NJR) is a Fortune 1000 company that, through its subsidiaries, provides safe and reliable natural gas and clean energy services, including transportation, distribution, asset management and home services. NJR is composed of five primary businesses:

• New Jersey Natural Gas, NJR's principal subsidiary, operates and maintains natural gas transportation and distribution infrastructure to serve customers in New Jersey's Monmouth, Ocean, Morris, Middlesex, Sussex and Burlington counties.
• Clean Energy Ventures invests in, owns and operates solar projects, providing customers with low-carbon solutions.
• Energy Services manages a diversified portfolio of natural gas transportation and storage assets and provides physical natural gas services and customized energy solutions to its customers across North America.
• Storage and Transportation serves customers from local distributors and producers to electric generators and wholesale marketers through its ownership of Leaf River and the Adelphia Gateway pipeline, as well as our 50% equity ownership in the Steckman Ridge natural gas storage facility.
• Home Services provides service contracts as well as heating, central air conditioning, water heaters, standby generators and other indoor and outdoor comfort products to residential homes throughout New Jersey.

NJR and its over 1,300 employees are committed to helping customers save energy and money by promoting conservation and encouraging efficiency through Conserve to Preserve^® and initiatives such as SAVEGREEN^®.

For more information about NJR:

www.njresources.com/.

Follow us on X.com (Twitter) @NJNaturalGas.

"Like" us on facebook.com/NewJerseyNaturalGas.

NFE is a measure of earnings based on the elimination of timing differences to effectively match the earnings effects of the economic hedges with the physical sale of natural gas, SRECs and foreign currency contracts. Consequently, to reconcile net income and NFE, current-period unrealized gains and losses on the derivatives are excluded from NFE as a reconciling item. Realized derivative gains and losses are also included in current-period net income. However, NFE includes only realized gains and losses related to natural gas sold out of inventory, effectively matching the full earnings effects of the derivatives with realized margins on physical natural gas flows. NFE also excludes certain transactions associated with equity method investments, including impairment charges, which are non-cash charges, and return of capital in excess of the carrying value of our investment. These are not indicative of the Company's performance for its ongoing operations. Included in the tax effects are current and deferred income tax expense corresponding with the components of NFE.