NiSource beats fourth-quarter profit estimates, reaffirms 2026 forecast

Reuters
Feb 11
NiSource beats fourth-quarter profit estimates, reaffirms 2026 forecast

Feb 11 (Reuters) - NiSource NI.N narrowly beat Wall Street expectations for fourth-quarter profit on Wednesday, while reaffirming its 2026 earnings forecast and a robust capital spending roadmap to meet rising commercial power demand, including from artificial intelligence-focused data centers.

Massive demand from such data centers is expected to push power consumption to record highs in 2026, according to the U.S. Energy Information Administration.

In October, the U.S. electric and gas utility had unveiled plans for about $28 billion in capital expenditure through 2030, including roughly $7 billion for data center-related infrastructure.

"Our pipeline of opportunities remains robust, positioning us for continued growth," said CEO Lloyd Yates.

NiSource expects adjusted earnings per share of $2.02 to $2.07 in 2026.

Meanwhile, the Merrillville, Indiana-based company reported profit per share of 51 cents for the quarter ended December 31, narrowly beating analysts' average estimate of 50 cents, according to data compiled by LSEG.

It also beat profit estimates for 2025, with full-year net income rising to $905.2 million, or $1.90 per share, from $798.6 million, or $1.75 per share, a year earlier. Analysts had expected net income of $1.88 per share.

"It's been a strong year, highlighted by delivering a landmark data center agreement with Amazon and a novel solution that flows back more than $1 billion in savings to retail customers in a differentiated and impactful way," Yates said.

The Amazon AMZN.O deal, signed in November 2025, strengthens demand visibility for NiSource as utilities prepare themselves to field massive AI and cloud computing power needs.

NiSource has also been investing in grid modernization and infrastructure upgrades, aiming to expand its regulated rate base.

The company serves 3.3 million natural gas customers across six states through its Columbia Gas division and 500,000 electricity customers in Indiana through its NIPSCO unit.

(Reporting by Varun Sahay in Bengaluru; Editing by Jonathan Ananda)

((Varun.Sahay@thomsonreuters.com;))

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