NorthWestern Energy Group (NWE) investor relations material

Executive summary

• Announced and closed key acquisitions, including Avista and Puget Colstrip interests, increasing Montana plant ownership from 15% to 55%, and agreed to an all-stock merger of equals with Black Hills Corporation, expected to close in the second half of 2026.

• Advanced major data center agreements and development opportunities in Montana and South Dakota, progressing large load customer strategy.

• Achieved favorable legislative and regulatory outcomes in Montana, including wildfire risk limitation and transmission investment support.

• Completed the Energy West and Cut Bank Gas acquisitions, enhancing natural gas distribution assets.

• Merger regulatory filings underway in multiple states and FERC, with shareholder votes scheduled for April 2026.

Financial highlights

• Reported 2025 GAAP diluted EPS of $2.94, down from $3.65 in 2024, mainly due to higher operating expenses, a non-cash regulatory disallowance, and merger costs; non-GAAP diluted EPS was $3.58, up 5.3% year-over-year.

• Adjusted Q4 2025 EPS was $1.17, up from $1.13 in Q4 2024; Q4 2025 GAAP EPS was $0.72, down from $1.31.

• Operating revenues for 2025 rose 6.4% to $1.61 billion; utility margin increased 11.2% to $1.20 billion.

• Operating income for 2025 was $325.8 million, up 0.8% year-over-year.

• Increased quarterly dividend by 1.5% to $0.67 per share, with a payout ratio target of 60–70%.

Outlook and guidance

• Initiated 2026 non-GAAP EPS guidance of $3.68–$3.83 per share, representing 4–6% growth from the 2024 base.

• Affirmed long-term diluted EPS and rate base growth targets of 4–6% annually.

• Five-year capital plan increased 17% to $3.21 billion, including $300 million for South Dakota generation and incremental Colstrip ownership.

• Base capital plan remains self-funded; equity issuances expected beginning in 2027 for incremental investments.

• Capital expenditures to be funded by operations, credit, debt, and future rate increases.