UGI Posts $94MM Quarterly Profit
February 4, 2024 | by magnews24.com
UGI Corp. has posted a net income of $94 million for the first quarter of financial year 2024, swinging back to black from a $954 million loss for the corresponding quarter the prior fiscal year.
It reported $425 million in earnings before interest expense and income tax, rising over the $411 million reported for the corresponding quarter the prior fiscal year.
UGI said in a media release it saw a strong first quarter despite warmer than normal weather across its service territories, thanks to a 77 percent increase in EBIT from UGI International attributable to the continued exit of the non-core energy marketing business, higher LPG volumes and increased unit margins.
“Our fiscal first quarter results reflect the strong performance of UGI International and the natural gas businesses, and underscores our commitment to our customers, shareholders and employees”, said Mario Longhi, Interim President and Chief Executive Officer. “As previously anticipated and discussed on our year-end earnings call, AmeriGas experienced a decline in its year-over-year financial results. While effort was made to address the segment’s performance, it is clear that there is a need for renewed focus on execution”.
“Our strategic priorities are geared towards delivering reliable earnings growth, returning cash to shareholders through dividends, achieving sustainable cost savings, and strengthening the balance sheet. We have initiated actions to align our cost structure with the performance of each business, adjusted our capital allocation priorities, and lowered capital expenditures in the near term. Diligent execution of these actions should strengthen our core businesses and better position UGI to deliver sustainable value for its shareholders”, Longhi added.
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