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Mar 31, 2022

Black Hills Q1 2022 Earnings Report

Reported strong first quarter financial and operational performance.

Key Takeaways

Black Hills Corp. announced strong first quarter 2022 financial results, with earnings per share increasing 18% compared to the first quarter of 2021. The company reaffirmed its 2022 EPS guidance of $3.95 to $4.15.

Earnings per share increased 18% in the first quarter of 2022 compared to the first quarter of 2021.

Earnings benefited from new rates and rider recovery, customer growth, increased off-system energy sales and mark-to-market benefits on energy contracts.

The company delivered financial results in line with expectations.

Black Hills is reaffirming its 2022 EPS guidance of $3.95 to $4.15.

Total Revenue
$824M
Previous year: $633M
+30.0%
EPS
$1.82
Previous year: $1.54
+18.2%
Contracted generated facilities availability
94.1%
Previous year: 89.8%
+4.8%
Wind capacity factor
42%
Previous year: 37.2%
+12.9%
Gross Profit
$234M
Previous year: $211M
+11.1%
Cash and Equivalents
$16.3M
Previous year: $13.4M
+21.5%
Free Cash Flow
$127M
Previous year: -$532M
-123.9%
Total Assets
$9.13B
Previous year: $8.7B
+5.0%

Black Hills

Black Hills

Black Hills Revenue by Segment

Forward Guidance

Black Hills affirms its guidance for 2022 earnings per share available for common stock to be in the range of $3.95 to $4.15.

Positive Outlook

  • Normal weather conditions within our utility service territories including temperatures, precipitation levels and wind conditions
  • Normal operations and weather conditions for planned construction, maintenance and/or capital investment projects
  • Constructive and timely outcomes of utility regulatory dockets
  • No significant unplanned outages at any of our generating facilities
  • Adjusted contract price for Wygen I power purchase agreement beginning Jan. 1, 2022

Challenges Ahead

  • Our ability to obtain adequate cost recovery for our utility operations through regulatory proceedings and favorable rulings on periodic applications to recover costs for capital additions, plant retirements and decommissioning, fuel, transmission, purchased power, and other operating costs and the timing in which new rates would go into effect
  • Our ability to complete our capital program in a cost-effective and timely manner
  • Our ability to execute on our strategy
  • Our ability to successfully execute our financing plans
  • Our ability to achieve our greenhouse gas emissions intensity reduction goals

Revenue & Expenses

Visualization of income flow from segment revenue to net income