Black Hills Corp. Reports 2024 Fourth-Quarter and Full-Year Results and Initiates 2025 Earnings Guidance

Core Insights - Black Hills Corp. reported strong financial results for Q4 and the full year 2024, with operating income of $163.3 million for Q4 and$503.1 million for the full year, representing increases from $136.5 million and$472.7 million in 2023 respectively [1][11][19] - The company achieved a net income available for common stock of $98.1 million for Q4 and$273.1 million for the full year, compared to $79.6 million and$262.2 million in 2023 [1][11][19] - Earnings per share (EPS) for 2024 were $3.91, benefiting from$0.82 per share from new rates, rider recovery, and customer growth [1][5] Financial Performance - Operating income increased by 19.6% in Q4 2024 compared to Q4 2023, and by 6.4% for the full year [1][19] - Net income for Q4 2024 was up 23.2% year-over-year, while full-year net income increased by 4.0% [1][19] - The company’s revenue for Q4 2024 was $597.1 million, slightly up from$591.7 million in Q4 2023, while full-year revenue decreased to $2,127.7 million from$2,331.3 million in 2023 [11][19] Growth Initiatives - Black Hills Corp. plans to increase its five-year capital forecast by 10% to $4.7 billion, with$1.0 billion allocated for 2025 [3][5] - The company has a pipeline of data center demand exceeding one gigawatt from existing customers over the next 10 years, with approximately 500 megawatts expected to be served by the end of 2029 [3][5] - The company initiated a 2025 earnings guidance range of $4.00 to$4.20 per share [10] Regulatory and Infrastructure Developments - The company reached constructive settlements for natural gas rate reviews in Arkansas and Iowa, contributing to its solid financial position [2][5] - Black Hills invested approximately $800 million in electric and gas infrastructure, including the first phase of the Ready Wyoming transmission expansion project, the largest in its history [2][5] - Colorado Electric received final approval for its Clean Energy Plan, which includes 350 megawatts of new renewable generation resources [9] Dividend and Shareholder Returns - The company increased its quarterly dividend by 4$182 million during 2024 [9] Credit Ratings - Black Hills maintained solid investment-grade credit ratings, with Fitch affirming a long-term issuer rating of BBB+ and Moody's affirming a Baa2 rating [12]