Aug 6, 2026 earnings call — Reaffirmed fiscal 2026 EPS and capital plan
Management reaffirmed fiscal '26 earnings per share guidance in the range of $8.40 to $8.50.
Revenue $0.9B (est $0.9B) · EPS $1.43 (est $1.35)
Key quotes
"APT is currently working on 2 separate projects to the Southeast of the DFW Metroplex that will install a total of 29 miles of 36-inch pipeline to connect 2 adjacent compressor stations to our Tri-City storage facility."
"We added nearly 51,000 new customers with nearly 39,000 of those new customers located here in Texas."
"Yesterday, we reported year-to-date fiscal '26 net income of $1.2 billion or $7.33 per diluted share and we reaffirmed our earnings per share guidance in the range of $8.40 to $8.50."
Analyst Q&A 4
Guidance and APT spreads
Q (Constantine Lednev · Wells Fargo): He asked if the company expects to hit the top end of guidance and if any fourth-quarter offsets could appear. He also asked whether APT contributions might narrow as Waha trading changes.
A: They reaffirmed guidance at $8.40 to $8.50 and said APT's third-quarter performance was in line with expectations. Management said spreads have narrowed because additional takeaway capacity came online sooner than expected (pipes in late June and late July), and they will monitor fourth-quarter spread opportunities and other operational factors.
"We've reaffirmed our guidance in the range of $8.40 to $8.50." — Christopher Forsythe (CFO)
APT range and O&M drivers
Q (Richard Sunderland · Truist): He asked whether the $0.08 to $0.12 uptick is still the right range for the rest of the year. He also asked if the $10 million O&M change was pulled forward from next year or driven by current activities.
A: They said they picked up $0.08 in the third quarter and expect to be at the lower end of the $0.08 to $0.12 range for the balance of the year. On the $10 million O&M change, they said it reflects typical seasonal and ongoing activity—line-locate, compliance and maintenance across the metroplex—rather than a one-time pull-forward from '27.
"I would say that we're probably going to be in the lower end of that range at this point in that [indiscernible]." — Christopher Forsythe (CFO)
Rule 7.7102 effect and affordability
Q (Julien Dumoulin-Smith · Jefferies): He asked whether the Rule 7.7102 benefit is a one-time boost in 2026 or will roll into future Texas recovery. He also asked about timing for mid-Texas cities, RRM, and customer bill affordability in Texas.
A: They said fiscal '26 is a step-year change from implementing 7.7102 and that going forward the effect should moderate; they are anticipating launching a 6% to 8% earnings per share growth off the current guidance range of $8.40 to $8.50. On affordability and mid-Texas positioning, they pointed to the May investor deck (Slides 18–21/22) and said their bills remain the lowest; on an energy basis their territories are 2% to 4% lower than electricity, and wallet share is about 1% to 1.2%.
"Fiscal '26 is a step year change as a result of the implementation of 7.7102." — Christopher Forsythe (CFO)
Waha capacity effect on APT
Q (Dylan Libner · Mizuho): He asked how Waha turning positive and new takeaway capacity will affect APT's earnings power and utilization in the near term.
A: They said they expect to be at the lower end of the $0.08 to $0.12 range and will budget to the benchmark for Rider REV. They will monitor summer cooling loads and the fall/winter seasons and said there is uncertainty so they will watch how demand and takeaway capacity ramp up before making further adjustments.
"Well, as we said, Chris just highlighted where we think we're going to be on the guidance we gave before at the lower end of the $0.08 to $0.12 range." — John Akers (CEO)