Black Hills Q2 profit rises, reaffirms 2025 EPS guidance

Overview

• Black Hills Q2 revenue of $439 mln, missed analyst expectations, per LSEG data

• EPS for Q2 was $0.38, reflecting an increase from last year

• Co reaffirmed 2025 earnings guidance and established PSPS program

Outlook

• Black Hills reaffirms 2025 EPS guidance of $4.00 to $4.20

• Company expects 2025 EPS growth of 5% at midpoint

• Company forecasts 10% EPS contribution from data centers by 2028

Result Drivers

• NEW RATES - Increased operating income driven by new rates and rider recovery, partially offset by higher expenses

• PEAK LOAD - Wyoming Electric served new all-time peak load of 379 megawatts, up 21% from 2024

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 3 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the multiline utilities peer group is "buy."

• Wall Street's median 12-month price target for Black Hills Corp is $65.50, about 13.7% above its July 29 closing price of $56.53

• The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 15 three months ago

Press Release: ID:nGNXbgHPtL