Earnings, credit and capital structure, judged on cash flow rather than on the adjusted numbers in the release.
Analysis
Management told investors on Thursday that no further deals will close before the September 2027 quarter. The shares fell 11% because the deals were the growth.
The disposal arrives a month before management had told lenders to expect news. It removes the leverage question and leaves the 2029 refinancing exactly where it was.
The filing asks for fifteen year minimum take commitments, collateral scaled to contracted demand, and an exit obligation that survives the customer walking away. Two neighbouring utilities have filings that look almost identical.
The distribution roll-up reports double digit revenue growth every quarter. A like for like read of its own disclosures puts underlying volumes slightly below where they stood in 2023.
The pump and valve maker has liquidity into next summer and a leverage test in March. Its unsecured bonds are trading as though only the second of those facts matters.
The bank held its net interest margin above 3.4% through the rate cycle by leaning on balances that paid nothing. Those balances have now fallen for seven consecutive quarters.
