Black Hills Corp (BKH, Financial) announced its financial results for the third quarter of 2023 on November 1, 2023. The company reported a net income of $45.4 million for the quarter, marking a significant increase from $35 million in the same period last year. Earnings per share for the quarter stood at $0.67, up from $0.54 in Q3 2022.
Financial Performance
The company's operating income for the quarter was $97.8 million, up from $79.5 million in Q3 2022. This increase was driven by new rates and rider recovery, recapture of lost revenue from a 2021 generation outage, expense management, and a gain on a strategic sale of land in Wyoming. These positive drivers more than offset impacts of inflation on operating expenses and interest expense and the impact of new shares of common stock issued.
CEO Commentary
Linn Evans, president and CEO of Black Hills Corp, commented on the company's performance, stating,
Our strong earnings are driven by solid execution as we continue to invest in the core needs of our customers, advance our regulatory plan, and deliver creative energy solutions for our customers."
Future Outlook
Black Hills Corp (BKH, Financial) reaffirmed its 2023 earnings guidance, expecting earnings per share to be in the range of $3.65 to $3.85. The company also expects to deliver earnings at the top end of its 2023 guidance range and plans to share more details about its growing pipeline of investment opportunities early next year.
Key Financial Tables
The company's Electric Utilities segment reported an operating income of $83 million for Q3 2023, up from $69.5 million in Q3 2022. The Gas Utilities segment reported an operating income of $15.4 million for Q3 2023, up from $10.6 million in Q3 2022. The Corporate and Other segment reported an operating loss of $0.6 million for both Q3 2023 and Q3 2022.
Conclusion
Overall, Black Hills Corp (BKH, Financial) reported strong financial results for Q3 2023, with significant increases in net income and earnings per share. The company's reaffirmation of its 2023 earnings guidance reflects its confidence in its financial performance and strategic initiatives.
Explore the complete 8-K earnings release (here) from Black Hills Corp for further details.
