SEC Schedule, Article 12-04, Condensed Financial Information of Registrant

12 Months Ended

Dec. 31, 2024

Condensed Financial Information Disclosure [Abstract]

Condensed Financial Information of Parent Company Only Disclosure

SCHEDULE I - CONDENSED FINANCIAL INFORMATION OF NORTHWESTERN ENERGY GROUP

NORTHWESTERN ENERGY GROUP

CONDENSED STATEMENTS OF COMPREHENSIVE INCOME

(PARENT COMPANY ONLY)

(in thousands)

	Year Ended December 31,
	2024		2023(1)
Operating Expenses:
Administrative and general	$	1,134	$	231
Total Operating Expenses	1,134		231
Operating Loss	1,134		231
Interest expense	(4,683)		—
Earnings from investments in subsidiaries, net of tax	207,650		83,142
Other income, net	212		230
Income before income taxes	202,045		83,141
Income tax benefit	22,066		—
Net Income	224,111		83,141
Other comprehensive income from subsidiaries, net of tax	952		365
Comprehensive Income	$	225,063	$	83,506

(1) NorthWestern Energy Group did not have operational activity until October 2, 2023. Refer to Note 1 - Basis of Presentation to the Condensed Financial Statements for further information.

See Notes to Condensed Financial Statements

NORTHWESTERN ENERGY GROUP

CONDENSED BALANCE SHEET

(PARENT COMPANY ONLY)

(in thousands)

	As of December 31,
	2024		2023
ASSETS:
Current Assets:
Cash and cash equivalents	$	726	$	59
Accounts receivable	1,689		207
Total current assets	2,415		266
Investments in subsidiaries	2,996,648		2,784,924
Deferred tax assets	9,578		—
Other noncurrent assets	4,613		4,063
Total Assets	$	3,013,254	$	2,789,253
LIABILITIES AND SHAREHOLDERS EQUITY
Current Liabilities:
Short-term borrowings	$	100,000	$	—
Accounts payable	2,742		—
Accrued expenses and other	21		—
Total current liabilities	102,763		—
Long-term debt	36,901		—
Deferred tax liabilities	3,083		—
Other noncurrent liabilities	12,807		3,939
Total Liabilities	155,554		3,939
Total Shareholders' Equity	2,857,700		2,785,314
Total Liabilities and Shareholders' Equity	$	3,013,254	$	2,789,253

See Notes to Condensed Financial Statements

NORTHWESTERN ENERGY GROUP

CONDENSED STATEMENTS OF CASH FLOWS

(PARENT COMPANY ONLY)

(in thousands)

	Year Ended December 31,
	2024		2023(1)
OPERATING ACTIVITIES:
Net Income	$	224,111	$	83,141
Adjustments to reconcile net income to cash used in operations:
Equity in earnings from subsidiaries, net of tax	(207,650)		(83,142)
Cash dividends received from subsidiaries	91,183		39,042
Amortization of debt issuance costs	25		—
Stock-based compensation costs	50		—
Deferred income taxes	(18,588)		—
Changes in assets and liabilities
Accounts receivable	(1,483)		(207)
Accounts payable	684		—
Accrued expenses	(219)		—
Other noncurrent assets and liabilities	(2,272)		—
Cash Provided by Operating Activities	85,841		38,834
INVESTING ACTIVITIES:
Contributions to subsidiaries	(64,777)		—
Return of capital from subsidiaries	—		—
Cash Used in Investing Activities	(64,777)		—
FINANCING ACTIVITIES:
Dividends on common stock	(158,589)		(39,002)
Issuances of short-term borrowings	100,000		—
Line of credit borrowings, net	37,000		—
Treasury stock activity	1,192		351
Financing costs	—		(124)
Cash Used in Financing Activities	(20,397)		(38,775)
Net Increase in Cash and Cash Equivalents	667		59
Cash, Cash Equivalents and Restricted Cash, beginning of period	59		—
Cash and Cash Equivalents end of period	$	726	$	59

(1) NorthWestern Energy Group did not have operational activity until October 2, 2023. Refer to Note 1 - Basis of Presentation to the Condensed Financial Statements for further information.

See Notes to Condensed Financial Statements

NOTES TO CONDENSED FINANCIAL STATEMENTS

(1) Basis of Presentation

NorthWestern Energy Group is an energy services holding company that conducts substantially all of its business operations through its subsidiaries, NW Corp and NWE Public Service. These condensed financial statements and related footnotes have been prepared in accordance with Rule 12-04, Schedule I of Regulation S-X. These financial statements, in which NorthWestern Energy Groups' subsidiary has been included using the equity method of accounting, should be read in conjunction with the Consolidated Financial Statements and notes thereto of NorthWestern Energy Group contained elsewhere within this Form 10-K.

There were $91.2 million and $39.0 million of cash dividends paid to NorthWestern Energy Group from wholly-owned subsidiaries for the year ending December 31, 2024, and December 31, 2023, respectively.

Holding Company Reorganization

On October 2, 2023, NW Corp and NorthWestern Energy Group completed a merger transaction pursuant to which NorthWestern Energy Group became the holding company parent of NW Corp. NW Corp became a wholly-owned subsidiary of NorthWestern Energy Group. The transaction was effected pursuant to a merger pursuant to Section 251(g) of the General Corporation Law of the State of Delaware, which provides for the formation of a holding company without a vote of the shareholders of the constituent corporation. As a result of the reorganization, NorthWestern Energy Group became the successor issuer to NW Corp pursuant to Rule 12g-3(a) of the Securities Exchange Act of 1934, and as a result, NorthWestern Energy Group's common stock was deemed registered under Section 12(b) of the Securities Exchange act of 1934.