A public utility holding company based in Hampton, New Hampshire, Unitil delivers electricity and natural gas to roughly 215,000 homes and businesses across New Hampshire, Massachusetts, and Maine through five regulated distribution utilities. Though the holding company formed in 1984, its roots stretch back to 19th-century predecessors like the Fitchburg Gas Company, which began supplying coal gas for street lighting in 1852. Its name is a blend of "utility" and "until," and it runs the Granite State interstate pipeline that carries gas to its own Northern Utilities.
Unitil entered the water sector via the June 30, 2026 acquisition of AWC-NH and Abenaki
Unitil entered the water sector with two acquisitions closed this quarter. rose 14% to $117.0M and was $0.26 as electric and gas rate increases and prior acquisitions lifted results, while held at 13.2% and interest and weighed on . The company now runs a fourth utility line alongside its gas and electric businesses.
Key takeaways
Unitil closed the acquisition of AWC-NH and Abenaki on June 30, 2026, adding water distribution operations, $1.2M in , and a new regulatory risk surface distinct from its gas and electric utilities.
rose 14% to $117.0M for the quarter, with electric revenue up 21% to $61.7M and gas revenue up 7% to $55.3M on higher distribution rates and customer growth.
grew 16% to $15.4M and rose 18% to $4.7M, but higher ($10.4M vs. $9.3M) and ($24.2M vs. $21.8M) limited the gain.
Section summaries
Management's Discussion and Analysis
Unitil's Q2 2026 net income rose to $4.7M driven by electric and gas rate increases and acquisitions, partially offset by higher operating costs.
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Total operating revenues increased 14% to $117.0M for the quarter, with electric up 21% to $61.7M and gas revenue up 7% to $55.3M, reflecting higher distribution rates and customer growth.
grew 16% to $15.4M, but applicable to common shares rose only 18% to $4.7M as higher ($10.4M vs. $9.3M) and ($24.2M vs. $21.8M) weighed on results.
The electric 's increased to $4.6M from $2.8M on new approved for Unitil Energy, while gas segment net income fell to $1.4M from $2.5M a year ago.
was $55.7M for the quarter and $105.8M for the six months; investing activities used $118.6M, including $76.0M for plant additions and $42.6M for the water acquisitions.
Risk factors added water-sector exposures — environmental, supply, and network failures — not previously carried, while no shares were repurchased and prior risk factors were unchanged.
What changed
Q3 2025 was flagged after Q2 2025's $2.0M reading; Q3 2025 came in at -$39.0M and Q2 2026 free cash flow was $12.1M, a increase of 505% from -$3.0M implied by the table move.
2026 of $221M and narrowing from -$53.8M in 2025: Q2 2026 free cash flow was $12.1M, down 31.6% from Q1's $17.7M, with six-month investing outflows of $118.6M already booked.
Northern Utilities Maine and New Hampshire base rate decisions: the company continues to pursue those rate cases as of this filing, with no stated margin impact disclosed.
Maine Natural Gas integration (4.9% of total assets): no new integration result stated this quarter beyond prior accretion to gas margin.
Variable-rate short-term debt at $169.7M and Canadian natural gas tariff risk: carried into the unchanged risk factors, with no update this quarter.
rose 7.0% to $680.4M and 7.8% from Q1, reversing the prior-year decline and reflecting acquisition and capital funding.
What to watch
Northern Utilities' Maine and New Hampshire base rate decisions and any stated margin impact in Q3 2026
in Q3 2026 given the recurring negative third-quarter history after Q2's $12.1M
Integration and margin contribution of AWC-NH and Abenaki water operations acquired June 30, 2026
trajectory after it rose to $680.4M, up 7.8% from Q1, on acquisition and capital spend
The gas contributed $1.4M in for the quarter, down from $2.5M a year ago, while the electric segment's net income increased to $4.6M from $2.8M, driven by new base rates approved for Unitil Energy.
Operation and maintenance expenses increased to $23.8M from $21.3M, and cost of electric sales rose to $30.1M from $25.2M, largely due to higher pass-through supply costs.
Cash provided by operating activities was $105.8M for the six months, while investing activities used $118.6M, including $76.0M for plant additions and $42.6M for the acquisition of Aquarion water companies.
The company closed the acquisition of AWC-NH and Abenaki on June 30, 2026, adding water distribution operations and $1.2M in , and continues to pursue rate cases for Northern Utilities in Maine and New Hampshire.
The Company is involved in legal and administrative proceedings and claims of various types, which arise in the ordinary course of business. Certain specific matters are discussed in Notes 7 and 8 to the Consolidated Financial Statements. In the opinion of Management, based upon…
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The Company is involved in legal and administrative proceedings and claims of various types, which arise in the ordinary course of business. Certain specific matters are discussed in Notes 7 and 8 to the Consolidated Financial Statements. In the opinion of Management, based upon information furnished by counsel and others, the ultimate resolution of these claims will not have a material effect on the Company’s financial position.
There have been no material changes to the risk factors disclosed in the Company’s Form 10-K for the year-ended December 31, 2025 as filed with the SEC on February 9, 2026, except as set forth below. The Company entered the water sector through the acquisition of AWC-NH and Aben…
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There have been no material changes to the risk factors disclosed in the Company’s Form 10-K for the year-ended December 31, 2025 as filed with the SEC on February 9, 2026, except as set forth below.
The Company entered the water sector through the acquisition of AWC-NH and Abenaki. As noted above in the Cautionary Statements, water businesses are subject to a number of risks. Although the water businesses are not currently expected to materially contribute to the results of operations for Unitil, these businesses are subject to risks that could adversely affect their results of operations including: environmental, water quality and health and safety laws and regulations; limitations of water supplies; conservation efforts by customers; contamination of water supplies, including water service provided to customers; and failure of the water network. Significant losses, liabilities, or impairments arising from these businesses may adversely affect Unitil's financial position or results of operations.
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
Recent Sales of Unregistered Securities
There were no sales of unregistered equity securities by the Company for the fiscal period ended June 30, 2026.
Issuer Purchases of Equity Securities
There were no purchases of equity securities by the Company for the fiscal period ended June 30, 2026.