Spire : Investor Presentation December 2024

Published: 2024-12-06 16:45:08 ET SR

The Future is Bright

Investor Presentation

December 2024

Spire at-a-glance

Gas Utilities

Gas Marketing

Midstream

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Strategy driving growth, value and sustainability

At Spire, we're focused on growing our businesses organically, investing in infrastructure and driving continuous improvement to deliver value.

90%+ regulated business mix

$7.4B Robust 10-year capex plan

5-7% long-term EPS growth

22 Growing dividend for 22 consecutive years

Strong ESG performance

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Constructive regulatory jurisdictions

Spire Alabama and

Spire

Spire Gulf

Mississippi

Missouri

Regulatory commission

Alabama PSC

Mississippi PSC

Missouri PSC

Rate stabilization and

Rate stabilization adjustment

Traditional approach -

Rate setting mechanism

equalization (RSE) -

(RSA) -

historical test year

forward test year

formula ratemaking

Rate filing deadline

Annual filing by Oct.

Annual filing by Sept.

RSE reset Oct. 2025

Infrastructure rider

Infrastructure System

Replacement Surcharge

Cost control incentive

Cost Control Measure

Weather normalization

✓

Purchased gas rider

✓

Pension / OPEB tracker

✓

Property tax tracker

✓

Energy efficiency tracker

✓

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Approved regulatory filings

Spire

Alabama

Gulf

Mississippi

Missouri

Effective date

Dec. 2024

Jan. 2024

Dec. 2022

of current base rates

Rate base for ratemaking (Millions)

n/a1

$502

n/a3

Avg. common equity for ratemaking

$7561

$1491

n/a

(Millions)

Return on equity

9.70%4

9.95%5

10.34%6

n/a3

Equity ratio

55.5%4

55.5%5

50.0%

n/a3

May 2023 - $7.7

Effective date of infrastructure rider

Oct. 2023 - $12.4

and revenues (Millions)

May 2024 - $16.8

Nov. 2024 - $16.7

1The Rate Stabilization and Equalization (RSE) mechanism in Alabama uses forward looking average common equity, rather than rate base, for ratemaking purposes. Amounts shown are actual average common equity as of 9/30/24.

2Mississippi net plant less deferred taxes for Rate Stabilization Adjustment (RSA) purposes, as of 6/30/23.

3Settled Spire Missouri 2022 rate case; rate base, return on equity and equity ratio not specified. Actual rate base at March 31, 2023 was $3.413 billion. The approved Infrastructure System Replacement Surcharge (ISRS) pre-tax rate of return is 8.25%.

4Terms of renewed RSE effective 10/1/22 through 9/30/25. Allowed ROE range of 9.50% - 9.90%, with a 9.70% midpoint.

5Terms of revised RSE effective 10/1/21 through 9/30/25. Allowed ROE range of 9.7% - 10.3%, with a 9.95% midpoint.

6Allowed ROE range of 9.34% - 11.34%, with a 10.34% midpoint.

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Delivering essential energy

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Gas Utility update

• Operational and financial performance

Safely and reliably delivering natural gas

Robust investment in infrastructure

modernization driving benefits for customers,

shareholders and communities we serve

Run-rate Gas Utility O&M2

(Millions)

3% lower

- Focusing on enhancing efficiencies and

customer affordability

• Regulatory update

$443

$430

- Filed MO rate case in Nov. 20241

- Approved MO annual ISRS revenues of

$53.6M since last rate case

- Filed Spire MO Integrated Resource Plan

- Spire AL and Spire Gulf annual RSE rate

setting complete; new rates effective in early

Dec. 2024

1Docket No. GR-2025-0107.

2Run-rate O&M excludes bad debt expense of $16.6M and $23.0M in FY23 and FY24, respectively, and excludes the impact of a pension reclass of +$2.8M and $(4.7)M in FY23 and FY24, respectively. FY24 also excludes $5.0M charge for the long-term customer affordability initiative.

20232024

Average leak response time

(Minutes)

13%

faster

31.2

27.3

20212024

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Missouri rate case filing

Docket number: GR-2025-0107

Rate case filing key requests

Rate base

$4.4 billion (May 31, 2025 true-up with other discrete adjustments)

Return on equity

10.50%

Cost of debt

4.254%

Capital structure

55% equity / 45% debt

Cost of capital

7.689%

Revenue requirement increase

$289.5M, includes $53.6M already recovered through ISRS

Test year

Test year ended Sept. 30, 2024, with certain pro-forma adjustments

• Normal weather reflects 10-year historical weather data

Other key terms

•

Seeks an improved mechanism to mitigate lost revenues resulting from

variances of usage due to the impacts of weather and conservation

Key dates

• MoPSC decision expected by Sept. 2025

•

Rates effective by Oct. 2025

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Spire Marketing overview

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Midstream - Pipeline

Spire STL Pipeline

MoGas/Omega

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Disclaimer

Spire Inc. published this content on December 06, 2024, and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on December 06, 2024 at 21:43:56.947.