AI-extracted from the 10-Q filed 2026-08-06 — Q3 FY2026 (quarter ended June 30, 2026). Every figure is machine-verified against the filing text on SEC EDGAR.
RGC Resources' discrete third-quarter revenue fell 1% to $17.1M as weather normalization and lower gas prices offset new base rates, while net income rose modestly to $0.56M.
Biggest Revenue Drivers
Residential natural gas$8.86M+2% YoY
Weather-sensitive volumes declined as the quarter was 18% warmer than the 30-year norm, despite higher HDD.
Commercial natural gas$6.15M-2% YoY
Weather-sensitive commercial volumes declined as the quarter was 18% warmer than the 30-year norm.
Biggest Revenue Drivers
Total revenue: $17.1M-1% YoY
Residential natural gas$8.86M+2% YoY
Weather-sensitive volumes declined as the quarter was 18% warmer than the 30-year norm, despite higher HDD.
Commercial natural gas$6.15M-2% YoY
Weather-sensitive commercial volumes declined as the quarter was 18% warmer than the 30-year norm.
Transportation and interruptible$1.53M+4% YoY
Increased business activity of a single, multi-fuel customer using natural gas as its primary fuel source.
Alternative revenue programs$0.45M-31% YoY
Lower WNA accrual for weather 18% warmer than normal, compared with a larger accrual in the prior-year quarter.
Largest Expense Items
Cost of gas - utility$6.90M-12% YoY
Pipeline capacity charges decreased over $350,000 and average commodity price fell to $3.10 per dekatherm from $3.60.
Operations and maintenance$5.12M+12% YoY
Inflation in health care, insurance, professional services and IT costs, plus personnel increases; capitalized overheads declined.
Depreciation and amortization$3.07M+6% YoY
Corresponded to a similar increase in investments in depreciable utility property.
Interest expense$1.55M+3% YoY
Roanoke Gas interest rose on higher line-of-credit borrowings, partly offset by lower Midstream interest from principal payments.
Margins: Gross utility margin rose 8% to $10.2M, driven by non-gas base rate increases, higher delivered volumes and SAVE revenues. Operating income was roughly flat at $1.17M as O&M and depreciation grew.
Watch Items from the Filing
LNG tank damage means the LNG facility will not be available for the 2026-2027 winter; further investigation costs could exceed $1 million and total cost is not yet estimable.
Company established a $2.1 million regulatory asset for costs to empty the LNG tank; insurance recovery portion is unknown.
Settlement of rate case provides an annual revenue increase of $3.85 million effective August 1, 2026, with a provision for refund of interim rate differences.
Three primary pipelines serve the distribution system; failure of one could significantly impact gas delivery to customers.
AI-extracted and verified against SEC EDGAR filing text. Not investment advice.
About RGC RESOURCES INC (RGCO): stock profile, AI score and financials
RGC RESOURCES INC (RGCO) stock profile, AI quality score, and SEC EDGAR financial data, a Energy sector company. 13F Pro's AI-powered ranking engine scores RGCO at 48.8/100 on a composite quality score built from its SEC filings, placing it at rank #1,720 of 2,925 stocks — the bottom half of the AI-ranked universe. Areas of concern include revenue scale (17.3) and institutional flow (32.4), which score below median versus the broader universe. Based on the latest XBRL financial filings (Q3 2026), RGC RESOURCES INC reports quarterly revenue of $17.1M, net income of $558.9K, an operating margin of 6.9%. Top institutional holders of RGCO by reported 13-F value include AMERIPRISE FINANCIAL, BlackRock, GAMCO INVESTORS, ET AL, based on the most recent SEC filings. RGCO trades on the Nasdaq exchange and files with the SEC under CIK 1069533. 13F Pro's AI research platform runs 10 specialized AI analysts — value, growth, momentum, macro, and activist specialists — that debate RGCO daily and publish AI-generated analysis with cited SEC sources. The platform aggregates historical XBRL financial facts, 10-Q and 10-K filings, insider Form 4 transactions, and institutional 13-F holdings for RGC RESOURCES INC directly from SEC EDGAR.