Overview
Energy delivery firm's Q4 revenue missed analyst expectations
Company acquired 49% stake in Badger Wind Farm
Outlook
MDU Resources expects 2026 EPS between $0.93 and $1.00
Company plans $560 mln capital investment in 2026
MDU Resources anticipates long-term EPS growth of 6%–8%
Result Drivers
ELECTRIC SEGMENT EXPENSES - Higher operation and maintenance expenses impacted electric utility earnings, partially offset by increased retail sales revenue
RATE RELIEF - Natural gas distribution earnings increased primarily due to rate relief in Washington, Montana, South Dakota, and Wyoming
PIPELINE EXPANSION - Pipeline segment earnings driven by expansion projects and demand for short-term firm capacity contracts
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Revenue | Miss | $534 mln | $561.47 mln (2 Analysts) |
Q4 Net Income | $76.30 mln | ||
Q4 Operating Expenses | $426.60 mln | ||
Q4 Operating Income | $107.40 mln | ||
Q4 Pretax Profit | $84.40 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 3 "hold" and no "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 MDU Resources Group Inc is $22.50, about 7% above its February 4 closing price of $21.03
The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 19 three months ago
Press Release: ID:nPn1MJcxta
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)