Chesapeake Utilities (NYSE: CPK) reported a 5% rise in adjusted net income and an 8% increase in adjusted earnings per share for the first half of 2026. The company generated an additional $10 million in margin during the second quarter while investing $140 million, leading to a year-to-date total of $262 million. Chesapeake has raised its 2026 capital spending guidance by $100 million, now estimating between $550 million and $600 million, attributed to the Florida Energy Pathway (FEP) natural gas project.
The FEP is a proposed 97-mile intrastate natural gas transmission line from Palm Beach County to Miami-Dade County, with a total investment expected to reach approximately $1.2 billion. The project is set to enter service in 2030 and has commitments for nearly 250,000 decatherms per day. Chesapeake’s senior management anticipates investing roughly $600 million in FEP before revenue starts in 2030. In parallel, the company expects capital investments to exceed $2.2 billion from 2024 to 2028.
For the second quarter, adjusted gross margin reached approximately $150 million, with adjusted net income around $25 million. Additionally, the regulated segment adjusted gross margin increased by 6% to about $125 million. Chesapeake’s customer growth showed a 3% increase in Delmarva and 2.1% in Florida Public Utilities, amidst a broader housing market slowdown. The company continues its efforts to secure necessary regulatory approvals for its latest projects.
5 Stocks Our Experts Predict Could Double In the Next Year
By submitting your email, you'll also get a free pivot & flow membership. A free daily market overview. You can unsubscribe at any time.
