Company: ATO
Filing Date: 2025-11-14
Form Type: 10-K
Source: 0000731802-25-000056
Chunk: 64

Company: ATMOS ENERGY CORP
Filing Date: 2025-11-14
Form: 10-K
Item: Item 7
Chunk 64
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,873 33,110 25,082 Operating income596,581 500,928 374,521 95,653 126,407 Other non-operating income56,163 40,940 44,787 15,223 (3,847)Interest charges72,452 73,546 60,096 (1,094)13,450 Income before income taxes580,292 468,322 359,212 111,970 109,110 Income tax expense128,319 96,840 53,747 31,479 43,093 Net income$451,973 $371,482 $305,465 $80,491 $66,017 Gross pipeline transportation volumes — MMcf907,536 831,534 834,847 76,002 (3,313)Consolidated pipeline transportation volumes — MMcf709,645 635,728 635,508 73,917 220 

Fiscal year ended September 30, 2025 compared with fiscal year ended September 30, 2024

Operating income for our pipeline and storage segment increased 19.1 percent. Key drivers for the change in operating income include:

•an $89.4 million increase primarily due to rate adjustments from the GRIP filings approved in May 2024 and June 2025, the System Safety and Integrity Rider filing approved in November 2024, and the rate case approved in December 2023.

•a $7.7 million increase in APT's through-system activities.

•a $9.1 million decrease in refunds of excess deferred taxes to customers, which is substantially offset in income tax expense.

•a $16.5 million increase due to higher capacity contracted by tariff-based customers due to their increased peak day demand.

Partially offset by:

•a $23.5 million increase in depreciation expense and property taxes  associated with increased capital investments.

•an $18.9 million increase in expenses recognized as a result of the System Safety and Integrity Rider filing approved in November 2024, which is offset in operating revenues.

Other non-operating income increased $15.2 million primarily due to higher AFUDC largely as a result of increased capital spending. Additionally, our pipeline and storage segment's fiscal 2025 results were favorably impacted by $7.7 million as a result of Texas legislation that became effective during the third quarter of fiscal