RGCO RGC RESOURCES INC

Overview and Growth

RGC RESOURCES INC generated $95.33M of revenue in fiscal 2025, with net income of $13.28M and an operating cash inflow of $28.95M. At $95.33M, the top line establishes the operating scale supporting the company’s profit and cash-flow profile. Compared with $84.64M in fiscal 2024, revenue recorded a 12.6% year-over-year increase. On a per-share basis, diluted EPS was $1.29, which connects the reported earnings outcome with the company’s diluted share count. The per-share result recorded a 11.2% increase from fiscal 2024 diluted EPS of $1.16. The revenue-to-assets relationship was 0.29x, showing the sales generated relative to the resources carried on the balance sheet.

Profitability

Operations produced $18.45M of income after the reported operating expense base, before the remaining non-operating and tax effects. The operating result equaled 19.4% of revenue, placing the absolute operating-income figure in the context of the company’s sales base. Net income came to $13.28M, completing the progression from revenue through gross and operating profitability to the final reported result. Measured against reported revenue, net income produced a 13.9% margin after operating costs and the remaining recognized items. Before income taxes, the company reported $17.37M of earnings, providing a bridge between the operating result and final net income. The pretax margin was 18.2%, relating income before taxes directly to revenue. Income tax expense totaled $4.09M, providing the reported tax component that separates pretax and after-tax earnings. The effective relationship between income tax and positive pretax income was 23.6%, without assuming a statutory-rate comparison. Net income equaled 11.7% of period-end equity, showing the earnings generated on shareholders’ book capital. Return on period-end assets was 4.0%, connecting net income with the company’s total asset base.

Liquidity and Capital Structure

Total assets were $329.84M, supported by $216.29M of liabilities and $113.55M of shareholder equity. At period end, current assets of $23.32M compared with current liabilities of $22.54M, defining the company’s short-term resource position. The current ratio was 1.03x, with current assets exceeding current liabilities and providing a short-term liquidity cushion. Reported cash and equivalents were $2.32M, separating immediately recognizable cash resources from the rest of the current-asset base. The cash balance equaled 10.3% of current liabilities, showing how much near-term coverage came from cash alone. The company carried $148.62M of total debt at period end, which frames its leverage and debt-service burden. The debt-to-equity relationship was 1.31x, showing how much debt the company carried for each unit of book equity. The debt-to-assets relationship was 45.1%, comparing borrowing with the total asset balance. Relative to total assets, liabilities measured 65.6%, complementing the separate equity-based view of the company’s capital structure. Measured against total assets, cash and equivalents represented 0.7%, a balance-sheet composition measure rather than a liquidity forecast. The asset base changed 2.9% from $320.70M in fiscal 2024, leaving current total assets higher year over year.

Cash Flow and Earnings Quality

Operating activities produced a cash inflow of $28.95M, giving the cash-flow counterpart to the accrual-based profit measures reported for the year. Against net income, operating cash flow measured 2.18x, showing the relationship between accrual earnings and operating cash. Capital expenditures used $20.73M, identifying the reported investment outflow deducted from operating cash flow in the free-cash-flow calculation. Capital expenditures represented 71.6% of operating cash flow, leaving the remainder available as free cash flow. After capital spending, free cash flow was $8.22M, leaving cash available for debt reduction, shareholder returns, or further investment. The free-cash-flow margin was 8.6%, measuring cash remaining after capital spending against revenue. Free cash flow equaled 2.5% of total assets, relating post-investment cash generation to the company’s resource base.

Based on the annual report for the fiscal year ending Sep 30, 2025. Analysis generated Oct 21, 2026.