Chesapeake Utilities (CPK) investor relations material

Executive summary

• Achieved 8% year-over-year growth in YTD adjusted EPS and 12% growth in adjusted net income compared to YTD 2025; Q2 2026 net income was $25.4M with diluted EPS of $1.05.

• Announced the $1.2 billion Florida Energy Pathway (FEP) project, the largest in company history, targeting service in 2030 and CPK to own at least 51%.

• Increased full-year 2026 capital guidance by $100 million to $550–$600 million, driven by FEP and other regulated investments.

• Amended and upsized revolving credit facility to $650 million, increasing total liquidity to $797.5 million as of June 30, 2026.

• Continued strong commercial and above-average residential customer growth in core regions, with Delmarva (1.8%), FPU (2.1%), and FCG (3.0%) YTD growth.

Financial highlights

• Q2 2026 adjusted gross margin increased 5% to $150.2M; YTD adjusted gross margin up 10% to $356.4M.

• Q2 2026 GAAP net income was $25.4M, up 6% year-over-year; YTD GAAP net income was $84.7M, up 13%.

• Q2 2026 GAAP operating revenues rose 5% to $201.9M; YTD revenues up 13% to $555.0M.

• Dividend per share increased to $2.94 annualized, with a 10-year CAGR of 9.2%.

• Operating expenses as a percentage of adjusted gross margin reached a multi-year low in 1H 2026.

Outlook and guidance

• 2026 capital expenditure guidance raised by $100M to $550–$600M, reflecting increased investment in transmission, distribution, and infrastructure.

• Long-term capital investment expected to reach $1.4B through 2026 and exceed $2.2B by 2028.

• 2028 EPS guidance reaffirmed at $7.75–$8.00.

• Long-term guidance update, including 2027–2031 capital and EPS growth, expected in February 2027.

• 19 consecutive years of EPS growth, with a 9.1% CAGR since 2006.