Revenue and Accounts Receivable

6 Months Ended

Mar. 31, 2023

Revenue from Contract with Customer [Abstract]

Revenue and Accounts Receivable

Revenue and Accounts Receivable

Revenue

Our revenue recognition policy is fully described in Note 2 to the consolidated financial statements in our Annual Report on Form 10-K for the fiscal year ended September 30, 2022. The following tables disaggregate our revenue from contracts with customers by customer type and segment and provide a reconciliation to total operating revenues, including intersegment revenues, for the three and six months ended March 31, 2023 and 2022.

	Three Months Ended March 31, 2023				Three Months Ended March 31, 2022
	Distribution		Pipeline and Storage		Distribution		Pipeline and Storage
	(In thousands)
Gas sales revenues:
Residential	$	943,090	$	—	$	1,090,702	$	—
Commercial	398,812		—		428,330		—
Industrial	45,044		—		54,372		—
Public authority and other	22,686		—		26,396		—
Total gas sales revenues	1,409,632		—		1,599,800		—
Transportation revenues	33,511		190,248		32,801		163,850
Miscellaneous revenues	2,662		1,152		2,680		2,284
Revenues from contracts with customers	1,445,805		191,400		1,635,281		166,134
Alternative revenue program revenues (1)	53,910		(6,976)		(25,246)		(2,387)
Other revenues	495		—		511		—
Total operating revenues	$	1,500,210	$	184,424	$	1,610,546	$	163,747

	Six Months Ended March 31, 2023				Six Months Ended March 31, 2022
	Distribution		Pipeline and Storage		Distribution		Pipeline and Storage
	(In thousands)
Gas sales revenues:
Residential	$	1,896,141	$	—	$	1,666,543	$	—
Commercial	787,479		—		679,091		—
Industrial	104,259		—		103,053		—
Public authority and other	45,512		—		41,588		—
Total gas sales revenues	2,833,391		—		2,490,275		—
Transportation revenues	65,673		385,500		60,670		327,709
Miscellaneous revenues	4,944		3,874		5,279		8,827
Revenues from contracts with customers	2,904,008		389,374		2,556,224		336,536
Alternative revenue program revenues (1)	35,588		(18,321)		25,740		(9,871)
Other revenues	1,040		—		1,004		—
Total operating revenues	$	2,940,636	$	371,053	$	2,582,968	$	326,665

(1)    In our distribution segment, we have weather-normalization adjustment mechanisms that serve to mitigate the effects of weather on our revenue. Additionally, APT has a regulatory mechanism that requires that APT shares with its tariffed customers 75% of the difference between the total non-tariffed revenues earned during a test period and a revenue benchmark.

Accounts receivable and allowance for uncollectible accounts

Accounts receivable arise from natural gas sales to residential, commercial, industrial, public authority and other customers. Our accounts receivable balance includes unbilled amounts which represent a customer’s consumption of gas from the date of the last cycle billing through the last day of the month. Our policy related to the accounting for our accounts receivable and allowance for uncollectible accounts is fully described in Note 2 to the consolidated financial statements in our Annual Report on Form 10-K for the fiscal year ended September 30, 2022. During the six months ended March 31, 2023, there were no material changes to this policy. Rollforwards of our allowance for uncollectible accounts for the three and six months ended March 31, 2023 and 2022 are presented in the table below. The allowance excludes the gas cost portion of customers’

bills for approximately 81 percent of our customers as we have the ability to collect these gas costs through our gas cost recovery mechanisms in most of our jurisdictions.

	Three Months Ended March 31, 2023
	(In thousands)
Beginning balance, December 31, 2022	$	47,613
Current period provisions	13,009
Write-offs charged against allowance	(8,333)
Recoveries of amounts previously written off	462
Ending balance, March 31, 2023	$	52,751

	Three Months Ended March 31, 2022
	(In thousands)
Beginning balance, December 31, 2021	$	64,934
Current period provisions	5,705
Write-offs charged against allowance	(9,029)
Recoveries of amounts previously written off	603
Ending balance, March 31, 2022	$	62,213

	Six Months Ended March 31, 2023
	(In thousands)
Beginning balance, September 30, 2022	$	49,993
Current period provisions	20,242
Write-offs charged against allowance	(18,754)
Recoveries of amounts previously written off	1,270
Ending balance, March 31, 2023	$	52,751

	Six Months Ended March 31, 2022
	(In thousands)
Beginning balance, September 30, 2021	$	64,471
Current period provisions	12,075
Write-offs charged against allowance	(15,458)
Recoveries of amounts previously written off	1,125
Ending balance, March 31, 2022	$	62,213