CHESAPEAKE UTILITIES CORPORATION REPORTS FIRST QUARTER 2021 RESULTS

  • Earnings per share (“EPS”)* from continuing operations was $1.96 for the first quarter of 2021, an increase of $0.19, or 10.7 percent, compared to $1.77 for the first quarter of 2020
  • Strong performance driven by over $17 million in additional gross margin** for the quarter
  • Natural gas expansion projects, regulatory initiatives and contributions from 2020 acquisitions generated $7.2 million in additional gross margin during the quarter
  • Return to more normal temperatures in the first quarter of 2021 increased gross margin by $6.4 million
  • Capital investments of $48.7 million for the quarter align with the 2021 capital forecast
  • Capital structure at the end of the first quarter of 2021 was 52 percent equity to total capitalization
  • Continued focus on RNG investments including the three previously announced projects

 Dover, Delaware — Chesapeake Utilities Corporation (NYSE: CPK) (“Chesapeake Utilities” or the “Company”) today announced its financial results for the first quarter of 2021. The Company’s net income from continuing operations for the quarter ended March 31, 2021 was $34.5 million, or $1.96 per share, compared to $29.0 million, or $1.77 per share, for the same quarter of 2020. Higher earnings for the first quarter of 2021 reflected a return to more normal weather compared to weather in the first quarter of 2020 that was 20.4 percent warmer than normal. The Company’s earnings also increased from pipeline expansion projects, favorable regulatory initiatives and contributions from the 2020 acquisitions of Elkton Gas Company (“Elkton Gas”) and Western Natural Gas Company (“Western Natural Gas”). Increased retail propane margins per gallon, organic growth in the natural gas distribution operations and increased margin from Marlin Gas Services, LLC (“Marlin Gas Services”) also generated additional earnings.

“The Company generated strong financial results during the first quarter, with margin increasing more than $17 million over the first quarter of 2020.  Our higher results were driven by growth across the Company, as well as higher consumption resulting from weather being closer to normal temperatures. Some of the key margin drivers included increases from pipeline expansion projects, the Hurricane Michael regulatory settlement, organic natural gas distribution customer growth, contributions from Elkton Gas and Western Natural Gas, and increased retail propane margins per gallon and margin from Marlin Gas Services. Beyond our strong financial results, our forecasted capital investments remained on track as we expended over $48.7 million during the quarter,” stated Jeffry M. Householder, President and Chief Executive Officer. “As we continue to focus on execution of our growth strategy across the enterprise, our employees remain steadfast in the safe delivery of our essential services to customers. We continue to successfully navigate through these challenging times and remain focused on generating increased shareholder value through continued earnings growth driven by new growth investments, including sustainable energy solutions, and our continued business transformation.”

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