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Atmos Energy to Release Q1 Earnings: Here's What You Need to Know

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Key Takeaways

  • Customer growth and infrastructure upgrades likely supported ATO's quarterly performance.
  • Higher distribution revenues are expected to have aided ATO's first-quarter performance.
  • Higher operation and maintenance expenses may have weighed on ATO's bottom line.

Atmos Energy Corporation (ATO - Free Report) is scheduled to release first-quarter fiscal 2026 results on Feb. 3, after market close. In the last reported quarter, the company delivered an earnings surprise of 5.94%.

Let’s discuss the factors that are likely to be reflected in the upcoming quarterly results.

Key Factors That May Have Influenced ATO’s Q1 Earnings

Atmos Energy is poised to benefit from its focused investments in upgrading transmission and distribution systems. These initiatives are likely to have improved system reliability, enhanced customer service quality and contributed to the company’s bottom-line performance for the quarter.

The company’s earnings are likely to have been bolstered by rising demand from steady customer growth across its service territories. Additionally, the implementation of new rates and constructive regulatory mechanisms across ATO’s service territories may have enhanced its bottom-line performance. Higher distribution revenues also seem to have supported the company’s quarterly performance.

However, higher operation and maintenance expenses may have weighed on the company’s bottom-line performance.

Q1 Expectations for ATO

The Zacks Consensus Estimate for earnings is pegged at $2.41 per share, indicating a year-over-year increase of 8.1%. 

The Zacks Consensus Estimate for revenues is pinned at $1.44 billion, implying a year-over-year improvement of 22%.

What Our Quantitative Model Predicts for ATO

Our proven model predicts an earnings beat for Atmos Energy this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here, as you will see below.

Atmos Energy Corporation Price and EPS Surprise

Atmos Energy Corporation Price and EPS Surprise

Atmos Energy Corporation price-eps-surprise | Atmos Energy Corporation Quote

Earnings ESP: The company’s Earnings ESP is +0.49%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Currently, Atmos Energy carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Other Stocks to Consider

Investors may consider the following players from the same sector, as these also have the right combination of elements to post an earnings beat this reporting cycle.

Spire Inc. (SR - Free Report) is slated to report its first-quarter fiscal 2026 results on Feb. 3, before market open. It has an Earnings ESP of +3.93% and a Zacks Rank of 2 at present.

SR’s long-term (three to five years) earnings growth rate is 10.54%. The Zacks Consensus Estimate for earnings stands at $1.58 per share, which implies a year-over-year increase of 17.9%.

American Electric Power (AEP - Free Report) is scheduled to report its fourth-quarter 2025 results on Feb. 12, before market open. It has an Earnings ESP of +2.08% and a Zacks Rank of 3 at present.

AEP’s long-term earnings growth rate is 6.61%. The Zacks Consensus Estimate for sales stands at $5.23 billion, which implies a year-over-year rise of 11.4%.

Exelon Corporation (EXC - Free Report) is slated to report its fourth-quarter 2025 results on Feb. 12, before market open. It has an Earnings ESP of +4.74% and a Zacks Rank of 3 at present.

EXC’s long-term earnings growth rate is 6.03%. The Zacks Consensus Estimate for sales stands at $5.54 billion, which implies a year-over-year improvement of 1.3%.

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