The company maintains strong profitability with a 39.0% operating margin in 2026Q2, supported by effective regulatory mechanisms that mitigate commodity price volatility.
| Metric | TTM | Sep'25 | Sep'24 | Sep'23 | Sep'22 | Sep'21 | Sep'20 | Sep'19 | Sep'18 | Sep'17 | Sep'16 | Sep'15 | Sep'14 | Sep'13 | Sep'12 | Sep'11 | Sep'10 | Sep'09 | Sep'08 | Sep'07 | Sep'06 | Sep'05 | Sep'04 | Sep'03 | Sep'02 | Sep'01 | Sep'00 | Sep'99 | Sep'98 | Sep'97 | Sep'96 |
|---|
| Revenue | 4.88B | 4.7B | 4.17B | 4.28B | 4.2B | 3.41B | 2.82B | 2.9B | 3.12B | 2.76B | 2.45B | 2.93B | 4.94B | 3.88B | 3.44B | 4.29B | 4.72B | 4.97B | 7.22B | 5.9B | 6.15B | 4.96B | 2.92B | 2.8B | 1.65B | 1.44B | 850.15M | 690.2M | 848.2M | 906.8M | 886.7M |
| Revenue Growth % | 8.81% | 12.91% | -2.58% | 1.75% | 23.31% | 20.78% | -2.78% | -6.86% | 12.89% | 12.43% | -16.14% | -40.76% | 27.49% | 12.78% | -19.84% | -9.18% | -5.02% | -31.19% | 22.43% | -4.13% | 23.99% | 69.92% | 4.29% | 69.59% | 14.47% | 69.65% | 23.17% | -18.63% | -6.46% | 2.27% | 18.29% |
| Cost of Revenue | 2.37B | 2.24B | 1.75B | 2.22B | 2.39B | 1.71B | 1.29B | 1.49B | 1.76B | 1.46B | 1.28B | 1.81B | 3.86B | 2.95B | 2.57B | 3.43B | 3.38B | 3.62B | 5.9B | 4.65B | 4.93B | 3.84B | 2.36B | 2.26B | 1.22B | 1.07B | 524.45M | 390.4M | 516.4M | 577.2M | 562.3M |
| Gross Profit | 2.51B | 2.46B | 2.41B | 2.06B | 1.81B | 1.7B | 1.53B | 1.41B | 1.35B | 1.3B | 1.17B | 1.11B | 1.08B | 924.03M | 870.13M | 857.86M | 1.34B | 1.35B | 1.32B | 1.25B | 1.22B | 1.12B | 562.19M | 534.98M | 431.14M | 374.72M | 325.71M | 299.8M | 331.8M | 329.6M | 324.4M |
| Gross Margin % | 51.43% | 52.37% | 57.92% | 48.14% | 43.05% | 49.77% | 54.33% | 48.68% | 43.42% | 46.94% | 47.66% | 38.09% | 21.8% | 23.84% | 25.32% | 20.01% | 28.34% | 27.1% | 18.3% | 21.21% | 19.79% | 22.56% | 19.25% | 19.11% | 26.11% | 25.98% | 38.31% | 43.44% | 39.12% | 36.35% | 36.59% |
| Gross Profit Growth % | - | 2.1% | 17.2% | 13.79% | 6.67% | 10.64% | 8.49% | 4.42% | 4.43% | 10.74% | 4.93% | 3.49% | 16.58% | 6.19% | 1.43% | -35.86% | -0.68% | 1.92% | 5.63% | 2.73% | 8.76% | 99.14% | 5.09% | 24.08% | 15.06% | 15.05% | 8.64% | -9.64% | 0.67% | 1.6% | 8.06% |
| Operating Expenses | 759.3M | 902.94M | 1.06B | 991.13M | 887.86M | 790.76M | 708.58M | 666.64M | 624.97M | 559.86M | 512.63M | 502.67M | 465.92M | 422.15M | 423.89M | 431.87M | 860.35M | 899.3M | 893.43M | 852.24M | 835.03M | 770.88M | 368.5M | 347.14M | 275.81M | 244.44M | 240.39M | 245.7M | 219M | 263.1M | 231.9M |
| Other Operating Expenses | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| EBITDA | 2.51B | 2.29B | 2.03B | 1.67B | 1.46B | 1.38B | 1.25B | 1.14B | 1.09B | 1.06B | 950.33M | 887.03M | 865.34M | 739.49M | 692.82M | 659.37M | 694.28M | 664.7M | 628.48M | 597.69M | 568.58M | 526.66M | 291.81M | 277.03M | 239.25M | 200.75M | 149.17M | 111M | 160.4M | 106.5M | 134.2M |
| EBITDA Margin % | 51.48% | 48.8% | 48.63% | 39.1% | 34.67% | 40.59% | 44.45% | 39.2% | 34.95% | 38.24% | 38.72% | 30.31% | 17.51% | 19.08% | 20.16% | 15.38% | 14.71% | 13.38% | 8.7% | 10.13% | 9.24% | 10.61% | 9.99% | 9.89% | 14.49% | 13.92% | 17.55% | 16.08% | 18.91% | 11.74% | 15.13% |
| EBITDA Growth % | 14.37% | 13.3% | 21.17% | 14.75% | 5.33% | 10.29% | 10.23% | 4.45% | 3.2% | 11.04% | 7.14% | 2.51% | 17.02% | 6.74% | 5.07% | -5.03% | 4.45% | 5.76% | 5.15% | 5.12% | 7.96% | 80.48% | 5.33% | 15.79% | 19.18% | 34.58% | 34.39% | -30.8% | 50.61% | -20.64% | 19.18% |
| Depreciation & Amortization | 761.79M | 734.75M | 669.97M | 604.33M | 535.65M | 477.98M | 429.83M | 391.46M | 361.08M | 319.63M | 293.1M | 274.8M | 253.99M | 237.61M | 246.58M | 233.38M | 217.13M | 217.3M | 200.59M | 199.06M | 185.97M | 178M | 98.11M | 89.19M | 83.92M | 70.47M | 63.85M | 56.9M | 47.6M | 0 | 0 |
| D&A / Revenue % | 15.61% | 15.62% | 16.09% | 14.14% | 12.75% | 14.03% | 15.24% | 13.49% | 11.59% | 11.58% | 11.94% | 9.39% | 5.14% | 6.13% | 7.18% | 5.44% | 4.6% | 4.37% | 2.78% | 3.37% | 3.02% | 3.59% | 3.36% | 3.19% | 5.08% | 4.89% | 7.51% | 8.24% | 5.61% | 0% | 0% |
| Operating Income (EBIT) | 1.75B | 1.56B | 1.36B | 1.07B | 920.98M | 905M | 824.1M | 746.06M | 727.93M | 735.63M | 657.23M | 612.23M | 611.35M | 501.88M | 446.24M | 425.99M | 477.15M | 447.4M | 427.89M | 398.64M | 382.62M | 348.65M | 193.69M | 187.84M | 155.33M | 130.28M | 85.32M | 54.1M | 112.8M | 66.5M | 92.5M |
| Operating Margin % | 35.87% | 33.17% | 32.54% | 24.96% | 21.92% | 26.56% | 29.21% | 25.71% | 23.36% | 26.66% | 26.77% | 20.92% | 12.37% | 12.95% | 12.99% | 9.94% | 10.11% | 9% | 5.93% | 6.76% | 6.22% | 7.03% | 6.63% | 6.71% | 9.41% | 9.03% | 10.04% | 7.84% | 13.3% | 7.33% | 10.43% |
| Operating Income Growth % | - | 15.1% | 27.01% | 15.87% | 1.77% | 9.82% | 10.46% | 2.49% | -1.05% | 11.93% | 7.35% | 0.14% | 21.81% | 12.47% | 4.75% | -10.72% | 6.65% | 4.56% | 7.34% | 4.19% | 9.74% | 80% | 3.12% | 20.93% | 19.23% | 52.7% | 57.7% | -52.04% | 69.62% | -28.11% | 28.47% |
| Interest Expense | 4M | 171.68M | 190.63M | 137.28M | 102.81M | 83.55M | 84.47M | 103.15M | 106.65M | 120.18M | 114.81M | 116.24M | 129.29M | 128.38M | 141.17M | 150.76M | 154.36M | 152.83M | 137.92M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Coverage | - | 9.61x | 7.48x | 8.28x | 9.29x | 10.81x | 9.84x | 7.30x | 6.73x | 6.03x | 5.72x | 5.26x | 4.69x | 3.91x | 3.06x | 2.97x | 3.09x | 2.91x | 3.12x | - | - | - | - | - | - | - | - | - | - | - | - |
| Interest / Revenue % | 0.08% | 3.65% | 4.58% | 3.21% | 2.45% | 2.45% | 2.99% | 3.55% | 3.42% | 4.35% | 4.68% | 3.97% | 2.62% | 3.31% | 4.11% | 3.52% | 3.27% | 3.08% | 1.91% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% |
| Non-Operating Income | -4M | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K |
| Pretax Income | 1.68B | 1.48B | 1.24B | 999.64M | 851.91M | 819.3M | 746.8M | 650.31M | 611.14M | 604.09M | 542.18M | 495.17M | 476.82M | 373.3M | 290.42M | 296.41M | 322.63M | 291.27M | 292.7M | 262.58M | 236.89M | 218.02M | 137.76M | 126.37M | 94.84M | 89.46M | 56.24M | 27.3M | 87.1M | 38.1M | 64.5M |
| Pretax Margin % | 34.44% | 31.43% | 29.67% | 23.38% | 20.28% | 24.04% | 26.47% | 22.41% | 19.62% | 21.89% | 22.09% | 16.92% | 9.65% | 9.63% | 8.45% | 6.92% | 6.84% | 5.86% | 4.05% | 4.45% | 3.85% | 4.39% | 4.72% | 4.51% | 5.74% | 6.2% | 6.61% | 3.96% | 10.27% | 4.2% | 7.27% |
| Income Tax | 334.74M | 279.28M | 192.88M | 113.78M | 77.51M | 153.74M | 145.35M | 138.9M | 8.08M | 221.38M | 196.64M | 189.55M | 187M | 142.6M | 98.23M | 106.82M | 124.36M | 100.29M | 112.37M | 94.09M | 89.15M | 82.23M | 51.54M | 46.91M | 35.18M | 33.37M | 20.32M | 9.6M | 31.8M | 14.3M | 23.3M |
| Effective Tax Rate % | 19.91% | 18.9% | 15.61% | 11.38% | 9.1% | 18.76% | 19.46% | 21.36% | 1.32% | 36.65% | 36.27% | 38.28% | 39.22% | 38.2% | 33.82% | 36.04% | 38.55% | 34.43% | 38.39% | 35.83% | 37.63% | 37.72% | 37.41% | 37.12% | 37.1% | 37.3% | 36.13% | 35.16% | 36.51% | 37.53% | 36.12% |
| Net Income | 1.35B | 1.2B | 1.04B | 885.32M | 774.4M | 665.56M | 601.44M | 511.41M | 603.06M | 396.42M | 350.1M | 315.07M | 289.82M | 243.19M | 216.72M | 207.6M | 205.84M | 190.98M | 180.33M | 168.49M | 147.74M | 135.78M | 86.23M | 71.69M | 59.66M | 56.09M | 35.92M | 17.7M | 55.3M | 23.8M | 41.2M |
| Net Margin % | 27.58% | 25.49% | 25.04% | 20.71% | 18.43% | 19.53% | 21.32% | 17.62% | 19.36% | 14.36% | 14.26% | 10.76% | 5.87% | 6.28% | 6.31% | 4.84% | 4.36% | 3.84% | 2.5% | 2.86% | 2.4% | 2.74% | 2.95% | 2.56% | 3.61% | 3.89% | 4.22% | 2.56% | 6.52% | 2.62% | 4.65% |
| Net Income Growth % | 18.4% | 14.94% | 17.8% | 14.32% | 16.35% | 10.66% | 17.61% | -15.2% | 52.13% | 13.23% | 11.12% | 8.72% | 19.17% | 12.22% | 4.39% | 0.86% | 7.78% | 5.9% | 7.03% | 14.05% | 8.8% | 57.47% | 20.28% | 20.17% | 6.36% | 56.16% | 102.93% | -67.99% | 132.35% | -42.23% | 43.06% |
| EPS (Diluted) | 8.02 | 7.46 | 6.83 | 6.10 | 5.61 | 5.12 | 4.89 | 4.35 | 5.43 | 3.73 | 3.38 | 3.09 | 2.96 | 2.64 | 2.37 | 2.27 | 2.20 | 2.08 | 2.00 | 1.92 | 1.82 | 1.69 | 1.37 | 1.39 | 1.43 | 1.47 | 1.12 | 0.58 | 1.84 | 0.81 | 1.42 |
| EPS Growth % | 12.6% | 9.22% | 11.97% | 8.73% | 9.57% | 4.7% | 12.41% | -19.89% | 45.58% | 10.36% | 9.39% | 4.39% | 12.12% | 11.39% | 4.41% | 3.18% | 5.77% | 4% | 4.17% | 5.49% | 7.69% | 23.36% | -1.44% | -2.8% | -2.72% | 31.25% | 93.1% | -68.48% | 127.16% | -42.96% | 33.96% |
| EPS (Basic) | - | 7.54 | 6.83 | 6.10 | 5.62 | 5.12 | 4.89 | 4.36 | 5.43 | 3.73 | 3.38 | 3.09 | 2.96 | 2.68 | 2.39 | 2.28 | 2.22 | 2.10 | 2.02 | 1.94 | 1.83 | 1.69 | 1.37 | 1.39 | 1.43 | 1.47 | 1.12 | 0.58 | 1.85 | 0.81 | 1.42 |
| Diluted Shares Outstanding | 167.81M | 160.57M | 152.67M | 145.17M | 138.1M | 129.83M | 122.87M | 117.46M | 111.01M | 106.1M | 103.52M | 101.89M | 97.61M | 91.71M | 91.17M | 90.65M | 92.42M | 92.02M | 90.27M | 87.75M | 81.39M | 79.01M | 54.42M | 46.5M | 41.25M | 38.25M | 31.59M | 30.82M | 30.03M | 29.38M | 15.85M |
Low to Moderate
As reported in recent financial statements, Atmos Energy achieved a 0.6% year-over-year revenue increase in 2026Q2, reflecting the successful integration of capital-intensive pipeline projects into the rate base, which effectively offsets the inherent volatility of seasonal volumetric demand patterns across its primary Texas and Mississippi service territories.
Revenue growth appears structurally tied to the company's aggressive capital expenditure program rather than organic volume expansion. The reliance on rate-base growth suggests a durable trajectory, provided that regulatory commissions continue to approve timely recovery mechanisms for safety-related infrastructure investments.
Based on figures from the latest quarterly filings, Atmos Energy maintained an operating margin of 39.0% in 2026Q2, suggesting that the company is successfully navigating regulatory lag through mechanisms like the Gas Reliability Infrastructure Program, which allows for consistent recovery of capital investments without frequent, full-scale rate cases.
The ability to sustain high operating margins indicates a constructive relationship with state regulators, particularly in Texas. Investors should monitor whether this margin profile remains resilient if inflationary pressures on labor and materials begin to outpace the speed of authorized rate adjustments.
According to SEC filings, the company's cost structure is heavily influenced by natural gas pass-through items, which inflate top-line revenue without impacting core earnings power, thereby insulating the bottom line from the commodity price volatility that often plagues less integrated regional gas distribution utilities.
Because fuel costs are largely recovered through automatic adjustment mechanisms, the primary operational risk shifts from commodity pricing to the efficiency of O&M spending. The company appears to manage these costs effectively, though persistent inflation in pipeline safety maintenance warrants ongoing scrutiny by institutional observers.
As indicated by the 14.5% EPS growth reported in 2026Q2, Atmos Energy's earnings quality appears high, as the growth is primarily driven by the expansion of its regulated asset base rather than non-recurring items or aggressive accounting adjustments that might obscure long-term operational performance.
The consistency of EPS growth suggests that the company's earnings power is fundamentally tied to its 'steel-in-the-ground' strategy. Analysts should remain cautious, however, as the reliance on weather normalization adjustments may mask underlying shifts in demand that could impact future earnings if climate patterns deviate significantly from historical norms.
Based on the company's reported financial data, the consistent increase in depreciation and amortization expenses to $195.7M in 2026Q2 confirms a sustained cycle of infrastructure investment, which serves as the primary engine for future rate base growth and subsequent earnings accretion for shareholders.
Incremental capital expenditures appear to be translating into earnings growth at a predictable rate, supported by the regulatory framework. The current cycle represents a strategic focus on safety and reliability, which likely secures long-term rate base growth while minimizing the risk of regulatory pushback.
As noted in recent regulatory disclosures, the implementation of securitization for Winter Storm Uri costs represents a critical inflection point, effectively stabilizing the balance sheet by spreading extraordinary gas costs over a longer period and reducing immediate working capital strain on the company's financial position.
This regulatory outcome appears to have significantly de-risked the company's financial profile by preventing a massive, one-time impact on customer bills. The shift toward securitization suggests a supportive regulatory environment that prioritizes long-term utility stability over short-term rate shocks.
While reported figures show strong performance, the income statement may hide long-term terminal value risks, as the current reliance on natural gas infrastructure could face future headwinds from municipal electrification mandates that are not yet reflected in the company's current depreciation schedules or long-term growth projections.
Investors should investigate whether the company's commitment to gas infrastructure will remain viable if political environments shift toward decarbonization. The potential for stranded assets in non-Texas jurisdictions warrants further investigation, as these risks are not currently captured in the standard utility P&L metrics.
Quick answers to the most common questions about buying ATO stock.
For fiscal year 2025, Atmos Energy Corporation (ATO) reported total revenue of $4.70B. This represents a 430.4% increase compared to $886.7M in 1996.
Atmos Energy Corporation (ATO) is profitable, generating $1.20B in net income for the fiscal year ending 2025 with a net profit margin of 25.5%.
Atmos Energy Corporation (ATO) reported an operating income of $1.56B, resulting in an operating profit margin of 33.2%. This margin reflects the operational efficiency of the business before interest and taxes.
Atmos Energy Corporation (ATO) generated $2.46B in gross profit for the year, representing a gross profit margin of 52.4%. This demonstrates the company's core pricing power and production efficiency.