Company: ATO
Filing Date: 2025-11-14
Form Type: 10-K
Source: 0000731802-25-000056
Chunk: 104

Company: ATMOS ENERGY CORP
Filing Date: 2025-11-14
Form: 10-K
Item: Item 8
Chunk 104
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September 30, 2024Weighted average discount rateFinance leases4.0 %4.0 %Operating leases4.5 %4.1 %Lease costs for the years ended September 30, 2025, 2024, and 2023 are presented in the table below. These costs include both amounts recognized in expense and amounts capitalized.  For the years ended September 30, 2025, 2024, and 2023 we did not have material short-term lease costs or variable lease costs. Year Ended September 30202520242023(In thousands)Finance lease cost$4,467 $4,523 $4,499 Operating lease cost56,695 48,421 44,090 Total lease cost$61,162 $52,944 $48,589 

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Table of ContentsATMOS ENERGY CORPORATIONNOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)

Our ROU assets and lease liabilities are presented as follows on the consolidated balance sheets:Balance Sheet ClassificationSeptember 30, 2025September 30, 2024(In thousands)AssetsFinance leasesNet property, plant and equipment$42,064 $44,748 Operating leasesDeferred charges and other assets293,934 249,556 Total right-of-use assets$335,998 $294,304 LiabilitiesCurrentFinance leasesCurrent maturities of long-term debt$1,775 $1,651 Operating leasesOther current liabilities45,010 34,340 NoncurrentFinance leasesLong-term debt45,459 47,239 Operating leasesDeferred credits and other liabilities262,549 224,498 Total lease liabilities$354,793 $307,728 Three service center leases are expected to commence in fiscal 2026 that impact our future lease payments. The total future lease payments for these leases is $116.5 million. We also entered into one service center lease during the first quarter of fiscal 2026 that is expected to commence in fiscal 2027. The total future lease payments for this lease is $33.1 million. These amounts are not included in the tables below.Other pertinent information related to leases was as follows. During the years ended September 30, 2025, 2024, and 2023 amounts paid in cash for our finance leases were not material.Year Ended September 30202520242023(In thousands)Cash