Energy distributor UGI's Q1 revenue slightly rises

Overview

• Energy distributor's Q1 revenue missed analyst expectations

• Adjusted EPS for Q1 meets analyst expectations

• Company to divest LPG businesses in 5 countries for €48 mln

Outlook

• UGI plans disciplined capital deployment and executing long-term growth strategy

Result Drivers

• STRONG GAS DEMAND - UGI's natural gas businesses saw strong results driven by increased gas demand and impact of gas base rate case

• OPERATIONAL IMPROVEMENTS - Global LPG segment offset divestiture impacts through operational improvements and margin management

• COLDER WEATHER - Colder weather increased core market volumes in Utilities segment by 16%

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the natural gas utilities peer group is "buy."

• Wall Street's median 12-month price target for UGI Corp is $44.50, about 10.2% above its February 4 closing price of $40.39

• The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release: ID:nBw8FKnzva

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