RAPID CITY, S.D. — Nov. 4, 2019 — Black Hills Corp. (NYSE: BKH) today announced financial results for the third quarter of 2019. GAAP results were impacted by a non-cash, pre-tax $20 million impairment of our investment in a privately held oil and gas company related to the divestiture of our Oil and Gas segment in 2018. Net income from continuing operations for the third quarter of 2019 compared to the third quarter of 2018 was:
“Black Hills delivered solid operational and financial performance during the quarter,” said Linden “Linn” R. Evans, president and CEO of Black Hills Corp. “Net income from continuing operations, as adjusted, was up 16 percent compared to last year. These results outpaced 11 percent dilution from higher share count resulting in a 5 percent increase in adjusted earnings per share. Our team made excellent progress on our customer focused capital investment program, finishing construction of several key strategic projects. We also increased our forecasted capital expenditures for 2019 through 2023 by $148 million to $2.9 billion.
“Black Hills delivered solid operational and financial performance during the quarter,”
“Earnings benefited from new rates, increased industrial demand, customer growth and lower purchased power capacity costs. The electric utilities benefited from warmer than normal temperatures in Colorado and Wyoming. Natural gas utilities’ margins were impacted by lower heating demand from warmer weather and reduced irrigation demand caused by heavy precipitation.
“We continued to execute on our capital program to support safe and reliable service and support customer growth. We energized the final segment of the 175-mile Rapid City to Stegall electric transmission line and expect to place into commercial operation the 60-megawatt Busch Ranch II wind generation project by mid-November. Construction of the 35-mile Natural Bridge transmission pipeline is nearly complete and the project is on schedule to be placed in service by the end of the year.
“I am pleased with the strong interest in our voluntary Renewable Ready program. Recent customer indications have fulfilled the availability of 40-megawatts of energy from the Corriedale Wind Energy Project, to be completed in 2020.
“Looking forward, strong operational and financial performance gives us confidence to narrow the range of our earnings guidance for 2019 and 2020,” concluded Evans.