UGI 2025 Q4 Earnings 95.2% Loss Reduction and Record $3.32 Adjusted EPS

UGI (UGI) reported Q4 2025 earnings on Nov 21, 2025, with a significant 95.2% reduction in net losses and a record $3.32 adjusted EPS. While revenue declined 3.6% to $1.20 billion, the stock surged 7.46% post-earnings, reflecting strong investor sentiment. The company raised its long-term EPS growth target to 5-7% CAGR through 2029, driven by operational improvements and strategic investments in LNG and RNG.

Revenue

UGI’s Q4 2025 total revenue fell to $1.20 billion, a 3.6% decline from $1.24 billion in Q4 2024. Segment performance varied: AmeriGas Propane, the largest division, saw 17% EBIT growth despite a 10% retail gallon decline. UGI International’s EBIT dipped 2.8% to $314 million, while Midstream & Marketing’s EBIT dropped 6.4% to $293 million. The Utilities segment, however, maintained stable EBIT at $403 million.

Earnings/Net Income

UGI narrowed its net loss to $-13 million in Q4 2025, a 95.2% improvement from $-273 million in Q4 2024. Adjusted EPS reached $3.32, driven by AmeriGas’ EBIT growth, utility segment efficiency, and tax benefits. The EPS beat of $0.21 (29.85%) outperformed forecasts, though the revenue miss of $300 million (20%) highlighted operational challenges. UGI’s 95.2% reduction in losses and record adjusted EPS underscore strong earnings performance, driven by operational improvements and strategic investments.

Post-Earnings Price Action Review

Following the earnings release, UGI’s stock price surged 7.46% on the day, 7.95% for the week, and 12.71% month-to-date. The 4.84% post-market rally reflected investor optimism, despite a 20% revenue miss. Analysts noted the EPS beat and strategic focus on LNG, RNG, and pipeline upgrades as key drivers. The stock’s 42% total shareholder return and $530 million free cash flow further bolstered confidence in UGI’s financial resilience and growth potential.

CEO Commentary

CEO Robert Flexon highlighted fiscal 2025’s record adjusted EPS of $3.32, driven by AmeriGas’ operational transformation and utility segment performance. He emphasized $530 million in free cash flow and investments in LNG, pipeline upgrades, and RNG. Flexon also noted a 30% reduction in AmeriGas’ safety incidents and AI-driven efficiency gains, positioning UGI for “sustainable shareholder value.”

Guidance

UGI provided 2026 adjusted EPS guidance of $2.85–$3.15, assuming normalized tax and weather conditions. The company targets a 5-7% EPS CAGR through 2029, supported by $4.5–$4.9 billion in capital investments and ongoing portfolio optimization.

Additional News

UGI outlined a 5-7% EPS CAGR target through 2029, driven by AmeriGas’ EBIT growth and operational efficiency. The company also announced $530 million in free cash flow and $150 million from LPG divestitures, with plans for further portfolio optimization. UGI International’s EBIT decline, attributed to higher tax expenses and lower LPG volumes, was offset by Midstream & Marketing’s operational improvements. Analysts noted the absence of $0.40 in one-time tax credits in 2026 and the impact of higher interest expenses.