ATMOS ENERGY CORPATO
ATMOS ENERGY CORP Segments Disclosure
Segment Information
As of September 30, 2025, we manage and review our consolidated operations through the following two reportable segments:
•The distribution segment is comprised of our regulated natural gas distribution and related sales operations in eight states.
•The pipeline and storage segment is comprised primarily of the regulated pipeline and storage operations of our Atmos Pipeline-Texas division and our natural gas transmission operations in Louisiana.
Our determination of reportable segments considers the strategic operating units under which we manage sales of various products and services to customers. Although our distribution segment operations are geographically dispersed, they are aggregated and reported as a single segment as each natural gas distribution division has similar economic characteristics. In
addition, because the pipeline and storage operations of our Atmos Pipeline-Texas division and our natural gas transmission operations in Louisiana have similar economic characteristics, they have been aggregated and reported as a single segment.
The accounting policies of the segments are the same as those described in the summary of significant accounting policies. We evaluate performance based on net income or loss of the respective operating units. We allocate interest and pension expense to the pipeline and storage segment; however, there is no debt or pension liability recorded on the pipeline and storage segment balance sheet. All material intercompany transactions have been eliminated; however, we have not eliminated intercompany profits when such amounts are probable of recovery under the affiliates’ rate regulation process. Income taxes are allocated to each segment as if each segment’s income taxes were calculated on a separate return basis.
Our Chief Operating Decision Maker (CODM), the Chief Executive Officer, evaluates performance for each reportable segment based on net income, which is used to help inform the allocation of resources as part of the Company's process for budgeting and monitoring financial performance.
Income statement information and capital expenditures by segment are shown in the following tables.
| Year Ended September 30, 2025 | |||||||||||||||||
| Distribution | Pipeline and Storage | Total of Reportable Segments | |||||||||||||||
| (In thousands) | |||||||||||||||||
| Operating revenues from external parties | $ | 4,422,355 | $ | 280,400 | $ | 4,702,755 | |||||||||||
| Intersegment revenues | 3,042 | 784,900 | 787,942 | ||||||||||||||
| Total operating revenues | 4,425,397 | 1,065,300 | 5,490,697 | ||||||||||||||
| Operation and maintenance expense | 644,924 | 229,986 | 874,910 | ||||||||||||||
Depreciation and amortization expense (2) | 543,840 | 190,905 | 734,745 | ||||||||||||||
Interest charges (2) | 99,226 | 72,452 | 171,678 | ||||||||||||||
Income tax expense (2) | 150,961 | 128,319 | 279,280 | ||||||||||||||
Other segment items (1) | 2,239,665 | (8,335) | 2,231,330 | ||||||||||||||
Net income (2) | $ | 746,781 | $ | 451,973 | $ | 1,198,754 | |||||||||||
Capital expenditures (2) | $ | 2,662,703 | $ | 898,696 | $ | 3,561,399 | |||||||||||
| Reconciliation to consolidated total operating revenues: | |||||||||||||||||
| Total operating revenues of reportable segments | $ | 5,490,697 | |||||||||||||||
| Elimination of intersegment revenues | (787,942) | ||||||||||||||||
| Consolidated total operating revenues | $ | 4,702,755 | |||||||||||||||
| Year Ended September 30, 2024 | |||||||||||||||||
| Distribution | Pipeline and Storage | Total of Reportable Segments | |||||||||||||||
| (In thousands) | |||||||||||||||||
| Operating revenues from external parties | $ | 3,912,134 | $ | 253,053 | $ | 4,165,187 | |||||||||||
| Intersegment revenues | 3,007 | 684,976 | 687,983 | ||||||||||||||
| Total operating revenues | 3,915,141 | 938,029 | 4,853,170 | ||||||||||||||
| Operation and maintenance expense | 589,864 | 218,571 | 808,435 | ||||||||||||||
Depreciation and amortization expense (2) | 491,982 | 177,990 | 669,972 | ||||||||||||||
Interest charges (2) | 117,086 | 73,546 | 190,632 | ||||||||||||||
Income tax expense (2) | 96,041 | 96,840 | 192,881 | ||||||||||||||
Other segment items (1) | 1,948,755 | (400) | 1,948,355 | ||||||||||||||
Net income (2) | $ | 671,413 | $ | 371,482 | $ | 1,042,895 | |||||||||||
Capital expenditures (2) | $ | 2,249,280 | $ | 687,844 | $ | 2,937,124 | |||||||||||
| Reconciliation to consolidated total operating revenues: | |||||||||||||||||
| Total operating revenues of reportable segments | $ | 4,853,170 | |||||||||||||||
| Elimination of intersegment revenues | (687,983) | ||||||||||||||||
| Consolidated total operating revenues | $ | 4,165,187 | |||||||||||||||
| Year Ended September 30, 2023 | |||||||||||||||||
| Distribution | Pipeline and Storage | Total of Reportable Segments | |||||||||||||||
| (In thousands) | |||||||||||||||||
| Operating revenues from external parties | $ | 4,096,661 | $ | 178,696 | $ | 4,275,357 | |||||||||||
| Intersegment revenues | 3,029 | 606,478 | 609,507 | ||||||||||||||
| Total operating revenues | 4,099,690 | 785,174 | 4,884,864 | ||||||||||||||
| Operation and maintenance expense | 543,078 | 200,580 | 743,658 | ||||||||||||||
Depreciation and amortization expense (2) | 434,721 | 169,606 | 604,327 | ||||||||||||||
Interest charges (2) | 77,185 | 60,096 | 137,281 | ||||||||||||||
Income tax expense (2) | 60,032 | 53,747 | 113,779 | ||||||||||||||
Other segment items (1) | 2,404,277 | (4,320) | 2,399,957 | ||||||||||||||
Net income (2) | $ | 580,397 | $ | 305,465 | $ | 885,862 | |||||||||||
Capital expenditures (2) | $ | 1,927,125 | $ | 878,848 | $ | 2,805,973 | |||||||||||
| Reconciliation to consolidated total operating revenues: | |||||||||||||||||
| Total operating revenues of reportable segments | $ | 4,884,864 | |||||||||||||||
| Elimination of intersegment revenues | (609,507) | ||||||||||||||||
| Consolidated total operating revenues | $ | 4,275,357 | |||||||||||||||
(1)Other segment items consist of purchased gas cost, bad debt expense, taxes other than income taxes, the equity component of AFUDC, community support spending, and other segment income or expense deemed insignificant which are used to reach net income, our measurement of segment profit or loss.
(2)The totals of reportable segments for these items reconcile to consolidated totals.
The following table summarizes our revenues from external parties, excluding intersegment revenues, by products and services for the fiscal years ended September 30.
| 2025 | 2024 | 2023 | |||||||||||||||
| (In thousands) | |||||||||||||||||
| Distribution revenues: | |||||||||||||||||
| Gas sales revenues: | |||||||||||||||||
| Residential | $ | 2,916,245 | $ | 2,583,681 | $ | 2,638,689 | |||||||||||
| Commercial | 1,154,591 | 1,016,675 | 1,112,236 | ||||||||||||||
| Industrial | 122,576 | 100,596 | 151,970 | ||||||||||||||
| Public authority and other | 52,606 | 52,180 | 62,476 | ||||||||||||||
| Total gas sales revenues | 4,246,018 | 3,753,132 | 3,965,371 | ||||||||||||||
| Transportation revenues | 149,853 | 132,608 | 119,371 | ||||||||||||||
| Other gas revenues | 26,484 | 26,394 | 11,919 | ||||||||||||||
| Total distribution revenues | 4,422,355 | 3,912,134 | 4,096,661 | ||||||||||||||
| Pipeline and storage revenues | 280,400 | 253,053 | 178,696 | ||||||||||||||
| Total operating revenues | $ | 4,702,755 | $ | 4,165,187 | $ | 4,275,357 | |||||||||||
Balance sheet information at September 30, 2025 and 2024 by segment is presented in the following tables.
| September 30, 2025 | |||||||||||||||||
| Distribution | Pipeline and Storage | Total of Reportable Segments | |||||||||||||||
| (In thousands) | |||||||||||||||||
Property, plant and equipment, net (1) | $ | 18,765,128 | $ | 6,527,862 | $ | 25,292,990 | |||||||||||
| Total assets | $ | 27,296,805 | $ | 6,896,646 | $ | 34,193,451 | |||||||||||
| Reconciliation to consolidated assets: | |||||||||||||||||
| Total assets of reportable segments | $ | 34,193,451 | |||||||||||||||
| Elimination of intersegment assets | (5,943,929) | ||||||||||||||||
| Consolidated total assets | $ | 28,249,522 | |||||||||||||||
| September 30, 2024 | |||||||||||||||||
| Distribution | Pipeline and Storage | Total of Reportable Segments | |||||||||||||||
| (In thousands) | |||||||||||||||||
Property, plant and equipment, net (1) | $ | 16,372,659 | $ | 5,831,708 | $ | 22,204,367 | |||||||||||
| Total assets | $ | 24,328,877 | $ | 6,181,558 | $ | 30,510,435 | |||||||||||
| Reconciliation to consolidated assets: | |||||||||||||||||
| Total assets of reportable segments | $ | 30,510,435 | |||||||||||||||
| Elimination of intersegment assets | (5,315,970) | ||||||||||||||||
| Consolidated total assets | $ | 25,194,465 | |||||||||||||||
(1)The total of reportable segments for this item reconciles to consolidated total.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Nov 14, 2025 | Showing above |
| 2024 | Nov 18, 2024 | |
| 2023 | Nov 14, 2023 | |
| 2022 | Nov 14, 2022 | |
| 2021 | Nov 12, 2021 | |
| 2020 | Nov 13, 2020 | |
| 2019 | Nov 12, 2019 | |
| 2018 | Nov 13, 2018 | |
| 2017 | Nov 13, 2017 | |
| 2016 | Nov 14, 2016 | |
| 2015 | Nov 6, 2015 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.