In connection with the Company’s 2025 Form 10-K, management identified errors in the calculation of estimated deferred income tax liabilities associated with state income taxes. The errors arose following the Company’s sale of shares of Centuri’s common stock in the second and third quarters of 2025, which resulted in the tax deconsolidation of Centuri. The errors occurred because the Company did not update estimated future state apportionment rates following the Company’s sale of 13,207,142 shares of Centuri common stock on May 22, 2025, which resulted in income tax deconsolidation for Arizona, and subsequently following the Company's sale of 18,823,500 shares of Centuri common stock on August 11, 2025, which resulted in income tax deconsolidation for the remaining states, primarily California. As a result, income tax expense and net deferred income tax liabilities were understated by approximately $27.3 million as of and for the three and six months ended June 30, 2025.


SOUTHWEST GAS HOLDINGS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share amounts)
(Unaudited)


	Three Months Ended June 30, 2025
	As Reported		Adjustments		As Restated		Discontinued Operations		As Restated and Recast


Utility infrastructure services revenues	$	724,052	$	—	$	724,052	$	(724,052)	$	—
Total operating revenues	1,120,370		—		1,120,370		(724,052)		396,318


Operations and maintenance	138,696		—		138,696		(1,195)		137,501
Depreciation and amortization	103,163		—		103,163		(34,223)		68,940

Utility infrastructure services expenses	657,671		—		657,671		(657,671)		—
Total operating expenses	1,024,914		—		1,024,914		(693,089)		331,825
Operating income (loss)	95,456		—		95,456		(30,963)		64,493

Net interest deductions	(71,612)		—		(71,612)		18,245		(53,367)
Other income (deductions)	18,421		—		18,421		(353)		18,068
Total other income and (expenses)	(53,191)		—		(53,191)		17,892		(35,299)
Income (loss) from continuing operations before income taxes	42,265		—		42,265		(13,071)		29,194
Income tax expense (benefit)	52,594		27,271		79,865		(49,940)		29,925
Income (loss) from continuing operations, net of income tax	(10,329)		(27,271)		(37,600)		36,869		(731)
Loss from discontinued operations, net of income tax	—		—		—		(36,869)		(36,869)
Net loss	(10,329)		(27,271)		(37,600)		—		(37,600)

Net loss attributable to Southwest Gas Holdings, Inc.	$	(12,883)	$	(27,271)	$	(40,154)	$	—	$	(40,154)

Earnings (loss) per share attributable to Southwest Gas Holdings, Inc.:
Continuing operations	$	(0.18)	$	(0.38)	$	(0.56)	$	0.55	$	(0.01)
Discontinued operations	—		—		—		(0.55)		(0.55)
Net loss per share - basic	$	(0.18)	$	(0.38)	$	(0.56)	$	—	$	(0.56)

Diluted earnings (loss) per share:
Continuing operations	$	(0.18)	$	(0.38)	$	(0.56)	$	0.55	$	(0.01)
Discontinued operations	—		—		—		(0.55)		(0.55)
Net loss per share - diluted	$	(0.18)	$	(0.38)	$	(0.56)	$	—	$	(0.56)

Weighted average shares:
Basic	72,088		72,088		72,088		72,088		72,088
Diluted	72,088		72,088		72,088		72,088		72,088


	Six Months Ended June 30, 2025
	As Reported		Adjustments		As Restated		Discontinued Operations		As Restated and Recast


Utility infrastructure services revenues	$	1,274,133	$	—	$	1,274,133	$	(1,274,133)	$	—
Total operating revenues	2,416,867		—		2,416,867		(1,274,133)		1,142,734


Operations and maintenance	269,947		—		269,947		(1,779)		268,168
Depreciation and amortization	231,076		—		231,076		(68,446)		162,630

Utility infrastructure services expenses	1,186,242		—		1,186,242		(1,186,242)		—
Total operating expenses	2,120,989		—		2,120,989		(1,256,467)		864,522
Operating income (loss)	295,878		—		295,878		(17,666)		278,212

Net interest deductions	(143,893)		—		(143,893)		36,107		(107,786)
Other income (deductions)	27,136		—		27,136		127		27,263
Total other income and (expenses)	(116,757)		—		(116,757)		36,234		(80,523)
Income from continuing operations before income taxes	179,121		—		179,121		18,568		197,689
Income tax expense (benefit)	80,263		27,271		107,534		(43,402)		64,132
Income (loss) from continuing operations, net of income tax	98,858		(27,271)		71,587		61,970		133,557
Loss from discontinued operations, net of income tax	—		—		—		(61,970)		(61,970)
Net income (loss)	98,858		(27,271)		71,587		—		71,587

Net income (loss) attributable to Southwest Gas Holdings, Inc.	$	100,987	$	(27,271)	$	73,716	$	—	$	73,716

Earnings (loss) per share attributable to Southwest Gas Holdings, Inc.:
Continuing operations	$	1.40	$	(0.38)	$	1.02	$	0.83	$	1.85
Discontinued operations	—		—		—		(0.83)		(0.83)
Net earnings (loss) per share - basic	$	1.40	$	(0.38)	$	1.02	$	—	$	1.02

Diluted earnings (loss) per share:
Continuing operations	$	1.40	$	(0.38)	$	1.02	$	0.83	$	1.85
Discontinued operations	—		—		—		(0.83)		(0.83)
Net earnings (loss) per share - diluted	$	1.40	$	(0.38)	$	1.02	$	—	$	1.02

Weighted average shares:
Basic	72,050		72,050		72,050		72,050		72,050
Diluted	72,195		72,195		72,195		72,195		72,195


SOUTHWEST GAS HOLDINGS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(In thousands)
(Unaudited)
	Three Months Ended June 30, 2025						Six Months Ended June 30, 2025
	As Reported		Adjustments		As Restated		As Reported		Adjustments		As Restated
Net income (loss)	$	(10,329)	$	(27,271)	$	(37,600)	$	98,858	$	(27,271)	$	71,587








Comprehensive income (loss)	(3,351)		(27,271)		(30,622)		106,208		(27,271)		78,937

Comprehensive income (loss) attributable to Southwest Gas Holdings, Inc.	$	(6,970)	$	(27,271)	$	(34,241)	$	107,252	$	(27,271)	$	79,981


SOUTHWEST GAS HOLDINGS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)

	Six Months Ended June 30, 2025
	As Reported		Adjustments		As Restated		Discontinued Operations		As Restated and Recast
CASH FLOW FROM OPERATING ACTIVITIES:
Net income (loss)	$	98,858	$	(27,271)	$	71,587	$	—	$	71,587
Less: Loss from discontinued operations, net of income tax	—		—		—		(61,970)		(61,970)
Income (loss) from continuing operations, net of income tax	98,858		(27,271)		71,587		61,970		133,557
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	231,076		—		231,076		(68,446)		162,630
Deferred income taxes	94,033		27,271		121,304		(45,187)		76,117
Gains on sale of property and equipment	(2,188)		—		(2,188)		584		(1,604)
Share-based compensation expense	11,003		—		11,003		(3,750)		7,253

Changes in current assets and liabilities:
Accounts receivable, net of allowances	17,082		—		17,082		51,237		68,319


Accounts payable	(67,223)		—		(67,223)		(1,692)		(68,915)
Accrued taxes	(25,778)		—		(25,778)		4,642		(21,136)
Other current assets and liabilities	(70,993)		—		(70,993)		26,481		(44,512)
Changes in deferred charges and other assets	(13,147)		—		(13,147)		(12,673)		(25,820)
Changes in other liabilities and deferred credits	(19,010)		—		(19,010)		(2,183)		(21,193)
Net cash provided by operating activities of continuing operations	417,611		—		417,611		10,983		428,594
Net cash used in operating activities of discontinued operations	—		—		—		(10,983)		(10,983)
Net cash provided by operating activities	417,611		—		417,611		—		417,611


CASH FLOW FROM INVESTING ACTIVITIES:
Capital expenditures and property additions	(407,619)		—		(407,619)		45,162		(362,457)



Other	2,345		—		2,345		(2,521)		(176)
Net cash used in investing activities of continuing operations	(396,015)		—		(396,015)		42,641		(353,374)
Net cash used in investing activities of discontinued operations	—		—		—		(42,641)		(42,641)
Net cash used in investing activities	(396,015)		—		(396,015)		—		(396,015)
CASH FLOW FROM FINANCING ACTIVITIES:


Issuance of long-term debt, net	113,932		—		113,932		(113,932)		—
Retirement of long-term debt	(75,125)		—		(75,125)		75,125		—




Withholding remittance – share-based compensation	(3,544)		—		(3,544)		932		(2,612)
Proceeds from the sale of Centuri stock, net	448,662		—		448,662		(448,662)		—
Other, including principal payments on finance leases	(9,309)		—		(9,309)		5,188		(4,121)
Net cash used in financing activities of continuing operations	(30,008)		—		(30,008)		(481,349)		(511,357)
Net cash provided by financing activities of discontinued operations	—		—		—		481,349		481,349
Net cash used in financing activities	(30,008)		—		(30,008)		—		(30,008)





SUPPLEMENTAL INFORMATION:
Interest paid, net of amounts capitalized - continuing operations	$	137,866	—		$	137,866	$	(32,563)	$	105,303
Interest paid, net of amounts capitalized - discontinued operations	—		—		—		32,563		32,563
Interest paid, net of amounts capitalized	$	137,866	$	—	$	137,866	$	—	$	137,866

Income taxes paid (received), net - continuing operations	$	13,069	$	—	$	13,069	$	(13,069)	$	—
Income taxes paid (received), net - discontinued operations	—		—		—		13,069		13,069
Income taxes paid, net	$	13,069	$	—	$	13,069	$	—	$	13,069

Decrease of capital expenditures in Accounts payable or Other current liabilities- continuing operations	$	(5,783)	$	—	$	(5,783)	$	1,783	$	(4,000)
Decrease of capital expenditures in Accounts payable or Other current liabilities - discontinued operations	—		—		—		(1,783)		(1,783)
Decrease of capital expenditures in Accounts payable or Other current liabilities	$	(5,783)	$	—	$	(5,783)	$	—	$	(5,783)


SOUTHWEST GAS HOLDINGS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF EQUITY
(In thousands)
(Unaudited)

	As Reported		Adjustments		As Restated
Net loss attributable to Southwest Gas Holdings, Inc., for the three months ended June 30, 2025	$	(12,883)	$	(27,271)	$	(40,154)
Retained earnings, June 30, 2025	769,723		(27,271)		742,452
Total equity attributable to Southwest Gas Holdings, Inc., June 30, 2025	3,674,657		(27,271)		3,647,386
Total equity, June 30, 2025	$	4,115,805	$	(27,271)	$	4,088,534

In connection with the preparation of the Company’s 2025 Form 10-K for Southwest Gas, management identified errors in the calculation of the estimated deferred income tax liabilities associated with state income taxes. The issues result from not timely updating estimated apportionment rates to reflect certain events. For Southwest Gas, the errors date back to the formation of Southwest Gas Holdings in 2017, when Southwest Gas and Centuri became wholly-owned subsidiaries of Southwest Gas Holdings. These errors were determined to be not material to any previously issued Southwest Gas financial statements. However, Southwest Gas revised the historical financial statements due to the magnitude of the cumulative effect of the prior year errors. Southwest Gas also revised the historical financial statements to correct other previously identified immaterial errors.


SOUTHWEST GAS CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In thousands)
(Unaudited)

	Three Months Ended June 30, 2025						Six Months Ended June 30, 2025
	As Reported		Adjustments		As Revised		As Reported		Adjustments		As Revised
Regulated operations revenues	$	396,318	$	—	$	396,318	$	1,142,734	$	2,100	$	1,144,834
Operating income	65,342		—		65,342		280,321		2,100		282,421
Income before income taxes	38,411		—		38,411		218,061		2,100		220,161
Income tax expense (benefit)	4,734		(11,969)		(7,235)		41,442		(9,522)		31,920
Net income	$	33,677	$	11,969	$	45,646	$	176,619	$	11,622	$	188,241


SOUTHWEST GAS CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)

	Six Months Ended June 30, 2025
	As Reported		Adjustments		As Revised
CASH FLOW FROM OPERATING ACTIVITIES:
Net income	$	176,619	$	11,622	$	188,241
Adjustments to reconcile net income to net cash provided by operating activities:
Deferred income taxes	51,504		(9,522)		41,982
Changes in current assets and liabilities:
Accounts receivable, net of allowance	68,311		(2,100)		66,211
Deferred purchased gas costs	120,709		1,997		122,706
Accounts payable	(69,232)		(1,997)		(71,229)
Net cash provided by operating activities	$	459,287	$	—	$	459,287


SOUTHWEST GAS CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY
(In thousands)
(Unaudited)

	As Reported		Adjustments		As Revised


Net income (loss), for the three months ended March 31, 2025	$	142,942	$	(347)	$	142,595
Retained earnings, March 31, 2025	1,238,775		(36,723)		1,202,052
Total Equity, March 31, 2025	3,416,872		(36,723)		3,380,149
Net income for the three months ended June 30, 2025	33,677		11,969		45,646
Retained earnings, June 30, 2025	1,227,760		(24,754)		1,203,006
Total Equity, June 30, 2025	$	3,408,373	$	(24,754)	$	3,383,619