UNITIL CORP Files 2023 Annual Report on Form 10-K

TL;DR

<b>UNITIL CORP has filed its 2023 10-K report detailing its financial performance and operations.</b>

AI Summary

UNITIL CORP (UTL) filed a Annual Report (10-K) with the SEC on February 13, 2024. UNITIL CORP filed its 10-K report for the fiscal year ending December 31, 2023. The filing includes financial data and business operations for the period. Key dates mentioned include December 31, 2023, as the fiscal year end. The company is incorporated in New Hampshire (NH). The SIC code for the company is 4931 (ELECTRIC & OTHER SERVICES COMBINED).

Why It Matters

For investors and stakeholders tracking UNITIL CORP, this filing contains several important signals. This 10-K filing provides a comprehensive overview of UNITIL CORP's financial health and operational status for the fiscal year 2023, crucial for investors and stakeholders to assess performance and future outlook. The detailed financial statements and risk factors within the report are essential for understanding the company's regulatory environment, market position, and potential challenges in the electric and gas utility sector.

Risk Assessment

Risk Level: medium — UNITIL CORP shows moderate risk based on this filing. The company operates in the regulated utility sector, which inherently involves significant regulatory oversight and potential changes in rates and policies that can impact financial performance.

Analyst Insight

Review the detailed financial statements and management's discussion and analysis in the 10-K to understand UNITIL CORP's revenue streams, cost structure, and any significant changes from the prior year.

Key Numbers

• 2023-12-31 — Fiscal Year End (Reporting period)
• 2024-02-13 — Filing Date (Date the 10-K was submitted)
• 4931 — SIC Code (Electric & Other Services Combined)
• NH — State of Incorporation (New Hampshire)

Key Players & Entities

• UNITIL CORP (company) — Filer of the 10-K report
• 2023-12-31 (date) — Fiscal year end
• 2024-02-13 (date) — Filing date
• New Hampshire (location) — State of incorporation
• 4931 (industry) — Standard Industrial Classification
• Fitchburg Gas and Electric Light Company (company) — Subsidiary/segment mentioned
• Northern Utilities Inc (company) — Subsidiary/segment mentioned
• Granite State (company) — Subsidiary/segment mentioned

Forward-Looking Statements

• UNITIL will continue to rely on rate adjustment mechanisms to manage revenue in the coming years. (UNITIL CORP) — high confidence, target: 2025-12-31
• The 3.52% Senior Notes due in 2027 will remain a significant fixed cost for Fitchburg Gas and Electric Light Company until maturity. (Fitchburg Gas and Electric Light Company) — high confidence, target: 2027-11-01

FAQ

Risk Factors

• Regulatory Environment [high — regulatory]: The company operates in a heavily regulated industry, subject to state and federal regulations that impact rates, operations, and financial performance.
• Market Conditions [medium — market]: Changes in energy demand, fuel costs, and competition can affect the company's revenue and profitability.
• Infrastructure and Operations [medium — operational]: Maintaining and upgrading aging infrastructure, ensuring reliability, and managing operational risks are critical for service delivery.
• Financing and Debt [medium — financial]: The company's ability to access capital markets and manage its debt obligations is crucial for ongoing operations and investments.

Key Dates

• 2023-12-31: Fiscal Year End — End of the reporting period for the 10-K.
• 2024-02-13: Filing Date — Date the 10-K was officially submitted to the SEC.

Key Financial Figures

• $1,420.9 million — d an investment in Net Utility Plant of $1,420.9 million at December 31, 2023. The Company's tot
• $557.1 million — e Company's total operating revenue was $557.1 million in 2023. Unitil's operating revenue is
• $306.5 million — nitil's electric utility operations was $306.5 million in 2023, which represents about 55% of
• $78.1 million — ompany's GAAP Electric Gross Margin was $78.1 million in 2023. The Company's Electric Adjuste
• $104.1 million — rgin (a non-GAAP financial measure) was $104.1 million in 2023, or 40% of Unitil's total Adjus
• $222.6 m — y's 2023 electric operating revenue was $222.6 million, of which approximately 62% was d
• $83.9 m — g's 2023 electric operating revenue was $83.9 million, of which approximately 57% was d
• $250.6 million — evenue from Unitil's gas operations was $250.6 million in 2023, which represents about 45% of
• $114.1 million — The Company's GAAP Gas Gross Margin was $114.1 million in 2023. The Company's Gas Adjusted Gro
• $154.5 million — rgin (a non-GAAP financial measure) was $154.5 million in 2023, or 60% of Unitil's total Adjus
• $195.5 m — ilities' 2023 gas operating revenue was $195.5 million, of which approximately 37% was d
• $46.4 m — chburg's 2023 gas operating revenue was $46.4 million, of which approximately 59% was d
• $8.7 million — Granite State had operating revenue of $8.7 million in 2023. Granite State derives its reve

Filing Documents

• utl-20231231.htm (10-K) — 4100KB
• utl-ex10_20.htm (EX-10.20) — 29KB
• utl-ex19_1.htm (EX-19.1) — 121KB
• utl-ex21_1.htm (EX-21.1) — 3KB
• utl-ex23_1.htm (EX-23.1) — 7KB
• utl-ex31_1.htm (EX-31.1) — 15KB
• utl-ex31_2.htm (EX-31.2) — 15KB
• utl-ex31_3.htm (EX-31.3) — 15KB
• utl-ex32_1.htm (EX-32.1) — 25KB
• utl-ex97_1.htm (EX-97.1) — 47KB
• utl-ex99_1.htm (EX-99.1) — 238KB
• img121274776_0.jpg (GRAPHIC) — 5KB
• img137435808_0.jpg (GRAPHIC) — 15KB
• img137541086_0.gif (GRAPHIC) — 16KB
• 0000950170-24-014186.txt (&nbsp;) — 19599KB
• utl-20231231.xsd (EX-101.SCH) — 2237KB
• utl-20231231_htm.xml (XML) — 4761KB

Business

Business 3 Unitil Corporation 3 Operations 4 Rates and Regulation 6 Employees 6 Available Information 7 Investor Information 7 1A.

Risk Factors

Risk Factors 8 1B. Unresolved Staff Comments 14 1C. Cybersecurity 14 2.

Properties

Properties 16 3.

Legal Proceedings

Legal Proceedings 17 4. Mine Safety Disclosures 17 PART II 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 18 6. Reserved 20 7.

Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)

Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A) 21 7A.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 34 8.

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 35 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 80 9A.

Controls and Procedures

Controls and Procedures 80 9B. Other Information 80 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 80 PART III 10. Directors, Executive Officers and Corporate Governance 81 11.

Executive Compensation

Executive Compensation 81 12.

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 81 13. Certain Relationships and Related Transactions, and Director Independence 81 14. Principal Accountant Fees and Services 81 PART IV 15. Exhibits and Financial Statement Schedules 82

Signatures

Signatures 90 In this Annual Report on Form 10-K, the "Company", "Unitil", "we", "us", "our" and similar terms refer to Unitil Corporation and its subsidiaries, unless the context requires otherwise. CAUTIONARY STATEMENT This report and the documents incorporated by reference into this report contain statements that may constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended (the Securities Act), Section 21E of the Securities Exchange Act of 1934, as amended (the Exchange Act), and the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical fact, included or incorporated by reference into this report, including, without limitation, statements regarding the financial position, business strategy and other plans and objectives for the future operations of the Company (as such term is defined in Part I, Item I (Business)), are forward-looking statements. These statements include declarations regarding the Company's beliefs and current expectations. In some cases, forward-looking statements can be identified by terminology such as "may," "will," "should," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "potential" or "continue" or the negative of such terms or other comparable terminology. These forward-looking statements are subject to inherent risks and uncertainties in predicting future results and conditions that could cause the actual results to differ materially from those projected in these forward-looking statements. Some, but not all, of the risks and uncertainties include those described in Part I, Item 1A (Risk Factors) and the following: numerous hazards and operating risks relating to the Company's electric and natural gas distribution activities, which could result in accidents and other operating risks and costs; fluctuations in the supply of, demand for, and the prices of, electric and gas energy commodities and t

Business

Item 1. Business UNITIL CORPORATION In this Annual Report on Form 10-K, the "Company", "Unitil", "we", and "our" refer to Unitil Corporation and its subsidiaries, unless the context requires otherwise. Unitil is a public utility holding company incorporated under the laws of the State of New Hampshire in 1984. The following companies are wholly-owned subsidiaries of Unitil: Company Name Organization Principal Business Unitil Energy Systems, Inc. (Unitil Energy) NH - 1901 Electric Distribution Utility Fitchburg Gas and Electric Light Company (Fitchburg) MA - 1852 Electric & Natural Gas Distribution Utility Northern Utilities, Inc. (Northern Utilities) NH - 1979 Natural Gas Distribution Utility Granite State Gas Transmission, Inc. (Granite State) NH - 1955 Natural Gas Transmission Pipeline Unitil Power Corp. (Unitil Power) NH - 1984 Wholesale Electric Power Utility Unitil Service Corp. (Unitil Service) NH - 1984 Utility Service Company Unitil Realty Corp. (Unitil Realty) NH - 1986 Real Estate Management Unitil Resources, Inc. (Unitil Resources) NH - 1993 Non-regulated Energy Services Unitil and its subsidiaries are subject to regulation as a holding company system by the Federal Energy Regulatory Commission (FERC) under the Energy Policy Act of 2005. Unitil's principal business is the local distribution of electricity and natural gas to approximately 196,900 customers throughout its service territories in the states of New Hampshire, Massachusetts and Maine. Unitil is the parent company of three wholly-owned distribution utilities: i) Unitil Energy, which provides electric service in the southeastern seacoast and state capital regions of New Hampshire, including the capital city of Concord, ii) Fitchburg, which provides both electric and natural gas service in the greater Fitchburg area of north central Massachusetts, and iii) Northern Utilities, which provides natural gas service in south

View Full Filing

View this 10-K filing on SEC EDGAR