NiSource Announces Dividend Increase and Outlines Strategic Financing

NiSource US65473P1057

As NiSource prepares to release its full-year 2025 financial results, the U.S. utility has taken significant steps to strengthen its financial position and reward shareholders. The company has declared a higher quarterly dividend while also securing future funding flexibility through a new equity program.

In a move underscoring its commitment to returning capital to investors, NiSource's board approved an increase to its quarterly cash dividend. The payout will rise to $0.30 per share, up from the previous $0.28 per share. This represents a 7.1% enhancement in shareholder income. The upcoming dividend schedule is as follows:
* Record Date: February 3, 2026
* Payment Date: February 20, 2026

This adjustment aligns with the firm's long-term financial strategy, which balances consistent shareholder returns with substantial ongoing investments in infrastructure modernization.

Strategic Capital Initiatives

Ahead of its detailed earnings release on February 11, the company has established a new "At-the-Market" (ATM) equity program. This facility authorizes NiSource to issue up to $1.5 billion in common stock, providing access to capital through December 2028. This tool is designed to support the company's growth initiatives and financial planning alongside its appeal to income-focused investors.

Operational Update and Analyst Outlook

On the operational front, a regulatory development has impacted subsidiary NIPSCO. A federal agency has mandated an extended operation for the R.M. Schahfer generating station. The plant's retirement, initially scheduled for the end of 2025, is now postponed until spring 2026, requiring it to remain online for an additional 90 days.

Market analysts continue to view the company's prospects favorably. The research firm Jefferies recently reaffirmed its "Buy" rating on the stock. While it slightly adjusted its price target from $50.00 to $49.00, its analysts highlighted significant growth drivers. They specifically cited rising demand from data center expansion and partnerships with major technology infrastructure providers as key tailwinds for the coming years.

Investors anticipate that management will provide detailed 2026 guidance and updates on its energy transition projects when the full-year report is published on February 11. This disclosure is expected to shed light on how near-term investments in grid infrastructure are influencing per-share earnings.

@ boerse-global.de | US65473P1057 NISOURCE