NiSource : Quarterly Materials Document

Segment and Financial Information Second Quarter 2021

Supplement to NiSource Second Quarter 2021

Earnings Presentation

NiSource Inc.

Consolidated Income Statements (GAAP)

		Three Months Ended		Six Months Ended
		June 30,			June 30,
(in millions, except per share amounts)		2021		2020		2021		2020
Operating Revenues
Customer revenues	$	952.4	$	932.7	$	2,458.9	$	2,458.6
Other revenues		33.6		30.0		72.7		109.6
Total Operating Revenues		986.0		962.7		2,531.6		2,568.2
Operating Expenses
Cost of energy		228.3		188.4		705.1		650.8
Operation and maintenance		362.8		353.1		724.3		797.7
Depreciation and amortization		186.3		177.5		371.3		361.8
Loss (gain) on sale of assets, net		(0.1)		83.8		8.0		363.9
Other taxes		66.5		68.2		147.5		154.1
Total Operating Expenses		843.8		871.0		1,956.2		2,328.3
Operating Income		142.2		91.7		575.4		239.9
Other Income (Deductions)
Interest expense, net		(84.5)		(97.0)		(169.1)		(189.9)
Other, net		12.4		6.5		22.9		11.9
Total Other Deductions, Net		(72.1)		(90.5)		(146.2)		(178.0)
Income before Income Taxes		70.1		1.2		429.2		61.9
Income Taxes		13.2		5.9		75.8		(9.0)
Net Income (Loss)		56.9		(4.7)		353.4		70.9
Net loss attributable to noncontrolling interest		(3.4)		-		(2.4)		-
Net Income (Loss) Attributable to NiSource		60.3		(4.7)		355.8		70.9
Preferred dividends		(13.8)		(13.8)		(27.6)		(27.6)
Net Income (Loss) Available to Common Shareholders		46.5		(18.5)		328.2		43.3
Earnings (Loss) Per Share
Basic Earnings (Loss) Per Share	$	0.12	$	(0.05)	$	0.84	$	0.11
Diluted Earnings (Loss) Per Share	$	0.11	$	(0.05)	$	0.80	$	0.11
Basic Average Common Shares Outstanding		393.0		383.5		392.8		383.3
Diluted Average Common Shares		422.9		383.5		408.5		384.2

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NiSource Inc.

Consolidated Balance Sheets (GAAP)

(in millions)		June 30,			December 31,
	2021			2020
ASSETS
Property, Plant and Equipment
Plant	$	24,948.2	$	24,179.9
Accumulated depreciation and amortization		(7,793.1)			(7,560.4)
Net Property, Plant and Equipment(1)		17,155.1			16,619.5
Investments and Other Assets
Available-for-sale debt securities (amortized cost of $161.0 and $163.9, allowance		166.3			170.9
for credit losses of $0.2 and $0.5, respectively)
Other investments		85.2			81.1
Total Investments and Other Assets		251.5			252.0
Current Assets
Cash and cash equivalents		77.5			116.5
Restricted cash		12.9			9.1
Accounts receivable		605.3			843.6
Allowance for credit losses		(41.6)			(52.3)
Accounts receivable, net		563.7			791.3
Gas inventory		148.8			191.2
Materials and supplies, at average cost		143.5			141.5
Electric production fuel, at average cost		38.6			68.4
Exchange gas receivable		31.7			34.1
Regulatory assets		180.1			135.7
Prepayments and other		187.4			171.6
Total Current Assets(1)		1,384.2			1,659.4
Other Assets
Regulatory assets		1,777.1			1,794.8
Goodwill		1,485.9			1,485.9
Deferred charges and other		260.0			228.9
Total Other Assets		3,523.0			3,509.6
Total Assets	$	22,313.8	$	22,040.5

(1)Includes $172.8 million and $175.6 million of net property, plant and equipment assets and $4.8 million and $1.7 million of current assets of a consolidated VIE as of June 30, 2021 and December 31, 2020 that may be used only to settle obligations of the consolidated VIE.

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NiSource Inc.

Consolidated Balance Sheets (GAAP) (continued)

(in millions, except share amounts)		June 30,		December 31,
	2021		2020
CAPITALIZATION AND LIABILITIES
Capitalization
Stockholders' Equity
Common stock - $0.01 par value, 600,000,000 shares authorized; 392,328,441 and
391,760,051 shares outstanding, respectively	$	3.9	$	3.9
Preferred stock - $0.01 par value, 20,000,000 shares authorized; 1,302,500 and
440,000 shares outstanding, respectively		1,718.8		880.0
Treasury stock		(99.9)		(99.9)
Additional paid-in capital		6,728.0		6,890.1
Retained deficit		(1,704.1)		(1,765.2)
Accumulated other comprehensive loss		(123.6)		(156.7)
Total NiSource Stockholders' Equity		6,523.1		5,752.2
Noncontrolling interest in consolidated subsidiaries		90.4		85.6
Total Stockholders' Equity		6,613.5		5,837.8
Long-term debt, excluding amounts due within one year		9,201.6		9,219.8
Total Capitalization		15,815.1		15,057.6
Current Liabilities
Current portion of long-term debt		45.3		23.3
Short-term borrowings		-		503.0
Accounts payable		480.4		589.0
Dividends payable - common stock		86.3		-
Dividends payable - preferred stock		8.1		-
Customer deposits and credits		148.1		243.3
Taxes accrued		232.0		244.1
Interest accrued		105.2		104.7
Exchange gas payable		34.9		48.5
Regulatory liabilities		154.0		161.3
Accrued compensation and employee benefits		149.8		141.8
Other accruals		262.8		220.4
Total Current Liabilities		1,706.9		2,279.4
Other Liabilities
Deferred income taxes		1,587.5		1,470.6
Accrued liability for postretirement and postemployment benefits		323.3		336.1
Regulatory liabilities		1,877.2		1,904.2
Asset retirement obligations		437.0		477.1
Other noncurrent liabilities		566.8		515.5
Total Other Liabilities		4,791.8		4,703.5
Commitments and Contingencies		-		-
Total Capitalization and Liabilities	$	22,313.8	$	22,040.5

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NiSource Inc.

Statements of Consolidated Cash Flows (GAAP)

Six Months Ended June 30, (in millions)		2021		2020
Operating Activities
Net Income	$	353.4	$	70.9
Adjustments to Reconcile Net Income to Net Cash from Operating Activities:
Depreciation and amortization		371.3		361.8
Deferred income taxes and investment tax credits		70.8		(11.4)
Loss on sale of assets		8.0		364.6
Other adjustments		8.9		7.7
Changes in Assets and Liabilities:
Components of working capital		(106.2)		(75.9)
Regulatory assets/liabilities		21.5		17.0
Deferred charges and other noncurrent assets		(2.5)		(17.4)
Other noncurrent liabilities		(22.2)		(9.6)
Net Cash Flows from Operating Activities		703.0		707.7
Investing Activities
Capital expenditures		(798.1)		(819.3)
Cost of removal		(59.1)		(66.7)
Payment to renewable generation asset developer		(7.4)		-
Other investing activities		2.2		(0.6)
Net Cash Flows used for Investing Activities		(862.4)		(886.6)
Financing Activities
Proceeds from issuance of long-term debt		-		1,000.0
Repayments of long-term debt and finance lease obligations		(12.2)		(7.8)
Issuance of short-term debt (maturity > 90 days)		-		1,350.0
Repayment of short-term debt (maturity > 90 days)		-		(1,350.0)
Change in short-term borrowings, net (maturity ≤ 90 days)		(503.0)		(609.7)
Issuance of common stock, net of issuance costs		6.0		7.5
Equity costs, premiums and other debt related costs		(5.9)		(17.6)
Issuance of equity units, net of issuance costs		839.9		-
Dividends paid - common stock		(172.5)		(160.7)
Dividends paid - preferred stock		(27.6)		(27.6)
Other financing activities		(0.5)		-
Net Cash Flows from Financing Activities		124.2		184.1
Change in cash, cash equivalents and restricted cash		(35.2)		5.2
Cash, cash equivalents and restricted cash at beginning of period		125.6		148.4
Cash, Cash Equivalents and Restricted Cash at End of Period	$	90.4	$	153.6

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