v3.26.1
REVENUE
 6 Months Ended
Mar. 31, 2026
Revenue from Contract with Customer [Abstract]  
REVENUE
3. REVENUE

Revenue is recognized when a performance obligation is satisfied by transferring control of a product or service to a customer. Revenue is measured based on consideration specified in a contract with a customer using the output method of progress. The Company elected to apply the invoice practical expedient for recognizing revenue, whereby the amounts invoiced to customers represent the value to the customer and the Company’s performance completion as of the invoice date. Therefore, the Company does not disclose related unsatisfied performance obligations. The Company also elected the practical expedient to exclude from the transaction price all sales taxes that are assessed by a governmental authority and therefore presents sales tax net in operating revenues on the Unaudited Condensed Consolidated Statements of Operations.

Below is a listing of performance obligations that arise from contracts with customers, along with details on the satisfaction of each performance obligation, the significant payment terms and the nature of the goods and services being transferred, by reportable segment and other business operations:

Revenue Recognized Over Time:
Segment/
Operations		Performance ObligationDescription
NJNGNatural gas utility sales
NJNG's performance obligation is to provide natural gas to residential, commercial and industrial customers as demanded, based on regulated tariff rates, which are established by the BPU. Revenues from the sale of natural gas are recognized in the period that natural gas is delivered and consumed by customers, including an estimate for quantities consumed but not billed during the period. Payment is due each month for the previous month's deliveries. Natural gas sales to individual customers are based on meter readings, which are performed on a systematic basis throughout the billing period. The unbilled revenue estimates are based on estimated customer usage by customer type, weather effects and the most current tariff rates. NJNG is entitled to be compensated for performance completed until service is terminated.

Customers may elect to purchase the natural gas commodity from NJNG or may contract separately to purchase natural gas directly from third-party suppliers. As NJNG is acting as an agent on behalf of the third-party supplier, revenue is recorded for the delivery of natural gas to the customer.
CEVCommercial solar electricity
CEV operates wholly-owned solar projects that recognize revenue as electricity is generated and transferred to the customer. The performance obligation is to provide electricity to the customer in accordance with contract terms or the interconnection agreement and is satisfied upon transfer of electricity generated.

Revenue is recognized as invoiced and the payment is due each month for the previous month's services.
Revenue Recognized Over Time (continued):
Segment/
Operations		Performance ObligationDescription
CEVRenewable energy certificates
Certain CEV projects generate TRECs and SREC IIs under the established ADI & CSI Programs. A TREC or SREC II is created for every MWh of electricity produced by a solar generator. The performance obligation of CEV is to generate electricity. TRECs and SREC IIs under the ADI & CSI Programs are purchased monthly by a REC Administrator.

Revenue is recognized upon generation.
ESNatural gas services
The performance obligation of ES is to provide the customer transportation, storage and asset management services on an as-needed basis. ES generates revenue through management fees, demand charges, reservation fees and transportation charges centered around the buying and selling of the natural gas commodity, representing one series of distinct performance obligations.

Revenue is recognized based upon the underlying natural gas quantities physically delivered and the customer obtaining control. ES invoices customers in line with the terms of the contract and based on the services provided. Payment is due upon receipt of the invoice. For temporary releases of pipeline capacity, revenue is recognized on a straight-line basis over the agreed upon term.
S&T
Natural gas services
The performance obligation of S&T is to provide the customer with storage and transportation services. S&T generates revenues from firm storage contracts and transportation contracts, injection and withdrawal at the storage facility and the delivery of natural gas to customers. Revenue is recognized over time as customers receive the benefits of its service as it is performed on their behalf using an output method based on actual deliveries.

Demand fees are recognized as revenue over the term of the related agreement.
HSOService contracts
Home Services enters into service contracts with homeowners to provide maintenance and replacement of applicable heating, cooling or ventilation equipment. All services provided relate to a distinct performance obligation which is to provide services for the specific equipment over the term of the contract.

Revenue is recognized on a straight-line basis over the term of the contract and payment is due upon receipt of the invoice.
Revenue Recognized at a Point in Time:
ESNatural gas services
For a permanent release of pipeline capacity, the performance obligation of ES is the release of the pipeline capacity associated with certain natural gas transportation contracts and the transfer of the underlying contractual rights to the counterparty.

Revenue is recognized upon the transfer of the underlying contractual rights.
S&T
Natural gas services
The performance obligation of S&T is to provide the customer with storage and transportation services. S&T generates revenues from usage fees and hub services for the use of storage space, injection and withdrawal from the storage facility. Hub services include park and loan transactions and wheeling.

Usage fees and hub services revenues are recognized as services are performed.
HSOInstallationsHome Services installs appliances, including but not limited to, furnaces, air conditioning units, boilers and generators for customers. The distinct performance obligation is the installation of the contracted appliance, which is satisfied at the point in time the item is installed.

The transaction price for each installation differs accordingly. Revenue is recognized at a point in time upon completion of the installation, which is when the customer is billed.
Disaggregated revenues from contracts with customers by product line and by reportable segment and other business operations during the three months ended March 31, 2026 and 2025, are as follows:
(Thousands)NJNGCEVESS&THSOTotal
2026
Natural gas utility sales (1)
$574,822 — — — — $574,822 
Natural gas services— — 13,491 29,434 — 42,925 
Service contracts— — — — 9,528 9,528 
Installations and maintenance— — — — 5,430 5,430 
Renewable energy certificates— 3,380 — — — 3,380 
Electricity sales— 5,503 — — — 5,503 
Eliminations (2)
(238)— — — — (238)
Revenues from contracts with customers574,584 8,883 13,491 29,434 14,958 641,350 
Alternative revenue programs (3)
(24,299)— — — — (24,299)
Derivative instruments90,637 1,049 (4)230,664 — — 322,350 
Revenues out of scope66,338 1,049 230,664 — — 298,051 
Total operating revenues$640,922 9,932 244,155 29,434 14,958 $939,401 
2025
Natural gas utility sales (1)
$509,451 — — — — $509,451 
Natural gas services— — 11,890 25,307 — 37,197 
Service contracts— — — — 9,270 9,270 
Installations and maintenance— — — — 5,848 5,848 
Renewable energy certificates— 2,866 — — — 2,866 
Electricity sales— 4,967 — — — 4,967 
Eliminations (2)
(306)— — 1 (95)(400)
Revenues from contracts with customers509,145 7,833 11,890 25,308 15,023 569,199 
Alternative revenue programs (3)
(20,145)— — — — (20,145)
Derivative instruments129,339 134 (4)234,500 — — 363,973 
Revenues out of scope109,194 134 234,500 — — 343,828 
Total operating revenues$618,339 7,967 246,390 25,308 15,023 $913,027 
(1)Includes building rent related to the Wall headquarters, which is eliminated in consolidation.
(2)Consists of transactions between subsidiaries that are eliminated in consolidation.
(3)Includes CIP revenue.
(4)Includes SREC revenue.
Disaggregated revenues from contracts with customers by product line and by reportable segment and other business operations during the six months ended March 31, 2026 and 2025, are as follows:

(Thousands)NJNGCEVESS&THSOTotal
2026
Natural gas utility sales (1)
$949,680 — — — — $949,680 
Natural gas services— — 26,331 57,514 — 83,845 
Service contracts— — — — 18,983 18,983 
Installations and maintenance— — — — 11,981 11,981 
Renewable energy certificates— 7,117 — — — 7,117 
Electricity sales— 11,118 — — — 11,118 
Eliminations (2)
(475)— — — — (475)
Revenues from contracts with customers949,205 18,235 26,331 57,514 30,964 1,082,249 
Alternative revenue programs (3)
(50,555)— — — — (50,555)
Derivative instruments152,173 23,457 (4)336,931 — — 512,561 
Revenues out of scope101,618 23,457 336,931 — — 462,006 
Total operating revenues$1,050,823 41,692 363,262 57,514 30,964 $1,544,255 
2025
Natural gas utility sales (1)
$805,853 — — — — $805,853 
Natural gas services— — 23,837 51,935 — 75,772 
Service contracts— — — — 18,502 18,502 
Installations and maintenance— — — — 12,410 12,410 
Renewable energy certificates— 5,762 — — — 5,762 
Electricity sales— 10,793 — — — 10,793 
Eliminations (2)
(643)— — (41)(256)(940)
Revenues from contracts with customers805,210 16,555 23,837 51,894 30,656 928,152 
Alternative revenue programs (3)
(25,536)— — — — (25,536)
Derivative instruments172,093 17,818 (4)308,861 — — 498,772 
Revenues out of scope146,557 17,818 308,861 — — 473,236 
Total operating revenues$951,767 34,373 332,698 51,894 30,656 $1,401,388 
(1)Includes building rent related to the Wall headquarters, which is eliminated in consolidation.
(2)Consists of transactions between subsidiaries that are eliminated in consolidation.
(3)Includes CIP revenue.
(4)Includes SREC revenue.
Disaggregated revenues from contracts with customers by customer type and by reportable segment and other business operations during the three months ended March 31, 2026 and 2025, are as follows:
(Thousands)NJNGCEVESS&THSOTotal
2026
Residential$444,413 — — — 14,928 $459,341 
Commercial and industrial84,260 8,883 13,491 29,434 30 136,098 
Firm transportation43,841 — — — — 43,841 
Interruptible, off-tariff and other2,070 — — — — 2,070 
Revenues out of scope66,338 1,049 230,664 — — 298,051 
Total operating revenues$640,922 9,932 244,155 29,434 14,958 $939,401 
2025
Residential$392,100 — — — 14,980 $407,080 
Commercial and industrial73,496 7,833 11,890 25,308 43 118,570 
Firm transportation42,408 — — — — 42,408 
Interruptible, off-tariff and other1,141 — — — — 1,141 
Revenues out of scope109,194 134 234,500 — — 343,828 
Total operating revenues$618,339 7,967 246,390 25,308 15,023 $913,027 

Disaggregated revenues from contracts with customers by customer type and by reportable segment and other business operations during the six months ended March 31, 2026 and 2025, are as follows:
(Thousands)NJNGCEVESS&THSOTotal
2026
Residential$728,514 — — — 30,909 $759,423 
Commercial and industrial137,701 18,235 26,331 57,514 55 239,836 
Firm transportation78,518 — — — — 78,518 
Interruptible, off-tariff and other4,472 — — — — 4,472 
Revenues out of scope101,618 23,457 336,931 — — 462,006 
Total operating revenues$1,050,823 41,692 363,262 57,514 30,964 $1,544,255 
2025
Residential$615,919 2,110 — — 30,524 $648,553 
Commercial and industrial115,301 14,445 23,837 51,894 132 205,609 
Firm transportation69,733 — — — — 69,733 
Interruptible, off-tariff and other4,257 — — — — 4,257 
Revenues out of scope146,557 17,818 308,861 — — 473,236 
Total operating revenues$951,767 34,373 332,698 51,894 30,656 $1,401,388 
Customer Accounts Receivable/Credit Balances and Deposits

The timing of revenue recognition, customer billings and cash collections resulting in accounts receivables, billed and unbilled, and customers’ credit balances and deposits on the Unaudited Condensed Consolidated Balance Sheets during the six months ended March 31, 2026 and 2025, are as follows:
Customer Accounts ReceivableCustomers' Credit
(Thousands)BilledUnbilledBalances and Deposits
Balance as of September 30, 2025$109,366 $24,194 $31,297 
Increase (decrease)181,686 54,817 (8,353)
Balance as of March 31, 2026$291,052 $79,011 $22,944 
Balance as of September 30, 2024$105,531 $20,094 $38,595 
Increase (decrease)157,720 53,531 (15,746)
Balance as of March 31, 2025$263,251 $73,625 $22,849 

The following table provides information about receivables, which are included within accounts receivable, billed and unbilled, and customers’ credit balances and deposits, respectively, on the Unaudited Condensed Consolidated Balance Sheets as of March 31, 2026 and September 30, 2025:
(Thousands)NJNGCEVESS&THSOTotal
March 31, 2026
Customer accounts receivable
Billed$247,580 5,640 28,513 7,793 1,526 $291,052 
Unbilled70,568 8,443 — — — 79,011 
Customers' credit balances and deposits(22,915)— — (29)— (22,944)
Total$295,233 14,083 28,513 7,764 1,526 $347,119 
September 30, 2025
Customer accounts receivable
Billed$75,789 6,818 17,483 8,172 1,104 $109,366 
Unbilled14,817 9,377 — — — 24,194 
Customers' credit balances and deposits(31,257)— — (40)— (31,297)
Total$59,349 16,195 17,483 8,132 1,104 $102,263