ATO · Earnings call · 2026Q2T · Full report

APT Spread Compression

ATMOS ENERGY CORP · 2026-08-05 · Importance 27 · Surprise 24 · In source text

APT through-system performance in the third fiscal quarter was in line with management expectations. Beginning in June, spreads narrowed significantly as additional takeaway capacity came online, including two pipelines that started operations earlier than expected in late June and late July. Management said the narrowing reduced the expected second-half APT contribution to the lower end of the previously discussed $0.08-$0.12 per-share range. Atmos continued to budget approximately $107 million of APT through-system business as the benchmark for Rider REV planning.

Key facts

• Atmos captured $0.08 in the third quarter with the tightening of spreads and now expects to be at the lower end of the previously discussed $0.08 to $0.12 range for the balance of the year.
• For the first nine months of fiscal 26, the spreads captured by APT averaged $4.66 compared with $1.77 in the prior year period.
• Two pipelines expected to go online in the fourth quarter of the calendar year came on: one in late June and one in late July, and they are beginning to ramp up.
• Beginning in June, spreads have narrowed significantly as additional takeaway capacity has come online, some sooner than expected.

Impact estimates