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MDU Resources (MDU) Q1 Earnings Miss Estimates, Sales Rise Y/Y
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MDU Resources Group Inc. (MDU - Free Report) reported first-quarter 2022 operating earnings per share (EPS) of 16 cents, which missed the Zacks Consensus Estimate of 17 cents by a penny. The bottom line also decreased by 38.5% from the year-ago earnings of 26 cents per share.
Total Revenues
Total revenues came in at $1,416.6 million, up 15.4% from $1,227.9 million in the year-ago quarter.
Operating revenues in the electric, natural gas distribution and regulated pipeline improved by 25% from the prior-year quarter’s level to $553.5 million. Revenues in the non-regulated pipeline, construction materials and contracting, construction services and other segments improved by 9.9% from the year-ago quarter are level to $863.1 million.
MDU Resources Group, Inc. Price, Consensus and EPS Surprise
Total operating expenses for the first quarter amounted to $1,349.2 million, up 18.1% from the year-ago quarter’s $1,142.7 million, due to an increase in operation and maintenance expenses by 11.9% along with the higher manufacturing cost.
Operating income for the reported quarter was down 20.9% year over year to $67.4 million.
MDU Resources’ interest expenses of $25.3 million were up 8.1% from $23.4 million in the prior-year quarter.
As of Mar 31, 2022, the construction services business had a backlog of $1.67 billion, up 31% from the year-ago quarter’s $1.27 billion.
As of Mar 31, 2022, the construction materials business had a backlog of $940 million, up 15% from $819 million year over year.
Financial Highlights
Cash and cash equivalents as of Mar 31, 2022 were $64.9 million compared with $54.2 million on Dec 31, 2021.
Total debt amounted to $2,848 million as of Mar 31, 2022 compared with $2,742 million on Dec 31, 2021.
MDU Resources’ net cash provided by the operating activities in the first three months of 2022 was $112.4 million compared with $95.6 in the prior-year quarter.
Guidance
MDU Resources affirmed 2022 earnings guidance in the range of $2.00-$2.15 per share. This estimate is based on several assumptions, of which worth mentioning are normal weatherfor the remainder of 2022 and continued addition to the electric and natural gas customer base at a 1% to 2% rate annually.
MDU Resources plans to invest $770 million in capital projects in 2022. The capital program is expected to be largely funded by operating cash flows in the range of $550-$600 million.
Spire (SR - Free Report) is scheduled to announce first-quarter 2022 results on May 6 before market open. The Zacks Consensus Estimate for earnings is pegged at $3.08 per share.
Spire’s long-term earnings growth is projected at 5%. The Zacks Consensus Estimate for SR’s 2023 EPS suggests year-over-year growth of 11.3%.
Duke Energy (DUK - Free Report) is set to release first-quarter 2022 results on May 9 before market open. The Zacks Consensus Estimate for EPS is pegged at $1.37.
Duke Energy’s long-term earnings growth is projected at 6.2%. The Zacks Consensus Estimate for DUK’s 2022 EPS indicates year-over-year growth of 4.2%.
Algonquin Power & Utilities (AQN - Free Report) is set to release first-quarter 2022 results on May 12 after market close. The Zacks Consensus Estimate for EPS is pegged at 23 cents.
Algonquin Power & Utilities’ long-term (three to five years) earnings growth is projected at 8.1%. The Zacks Consensus Estimate for AQN’s 2022 EPS indicates year-over-year growth of 5.6%.
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MDU Resources (MDU) Q1 Earnings Miss Estimates, Sales Rise Y/Y
MDU Resources Group Inc. (MDU - Free Report) reported first-quarter 2022 operating earnings per share (EPS) of 16 cents, which missed the Zacks Consensus Estimate of 17 cents by a penny. The bottom line also decreased by 38.5% from the year-ago earnings of 26 cents per share.
Total Revenues
Total revenues came in at $1,416.6 million, up 15.4% from $1,227.9 million in the year-ago quarter.
Operating revenues in the electric, natural gas distribution and regulated pipeline improved by 25% from the prior-year quarter’s level to $553.5 million. Revenues in the non-regulated pipeline, construction materials and contracting, construction services and other segments improved by 9.9% from the year-ago quarter are level to $863.1 million.
MDU Resources Group, Inc. Price, Consensus and EPS Surprise
MDU Resources Group, Inc. price-consensus-eps-surprise-chart | MDU Resources Group, Inc. Quote
Highlights of the Release
Total operating expenses for the first quarter amounted to $1,349.2 million, up 18.1% from the year-ago quarter’s $1,142.7 million, due to an increase in operation and maintenance expenses by 11.9% along with the higher manufacturing cost.
Operating income for the reported quarter was down 20.9% year over year to $67.4 million.
MDU Resources’ interest expenses of $25.3 million were up 8.1% from $23.4 million in the prior-year quarter.
As of Mar 31, 2022, the construction services business had a backlog of $1.67 billion, up 31% from the year-ago quarter’s $1.27 billion.
As of Mar 31, 2022, the construction materials business had a backlog of $940 million, up 15% from $819 million year over year.
Financial Highlights
Cash and cash equivalents as of Mar 31, 2022 were $64.9 million compared with $54.2 million on Dec 31, 2021.
Total debt amounted to $2,848 million as of Mar 31, 2022 compared with $2,742 million on Dec 31, 2021.
MDU Resources’ net cash provided by the operating activities in the first three months of 2022 was $112.4 million compared with $95.6 in the prior-year quarter.
Guidance
MDU Resources affirmed 2022 earnings guidance in the range of $2.00-$2.15 per share. This estimate is based on several assumptions, of which worth mentioning are normal weatherfor the remainder of 2022 and continued addition to the electric and natural gas customer base at a 1% to 2% rate annually.
MDU Resources plans to invest $770 million in capital projects in 2022. The capital program is expected to be largely funded by operating cash flows in the range of $550-$600 million.
Zacks Rank
MDU Resources currently has a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Upcoming Releases
Spire (SR - Free Report) is scheduled to announce first-quarter 2022 results on May 6 before market open. The Zacks Consensus Estimate for earnings is pegged at $3.08 per share.
Spire’s long-term earnings growth is projected at 5%. The Zacks Consensus Estimate for SR’s 2023 EPS suggests year-over-year growth of 11.3%.
Duke Energy (DUK - Free Report) is set to release first-quarter 2022 results on May 9 before market open. The Zacks Consensus Estimate for EPS is pegged at $1.37.
Duke Energy’s long-term earnings growth is projected at 6.2%. The Zacks Consensus Estimate for DUK’s 2022 EPS indicates year-over-year growth of 4.2%.
Algonquin Power & Utilities (AQN - Free Report) is set to release first-quarter 2022 results on May 12 after market close. The Zacks Consensus Estimate for EPS is pegged at 23 cents.
Algonquin Power & Utilities’ long-term (three to five years) earnings growth is projected at 8.1%. The Zacks Consensus Estimate for AQN’s 2022 EPS indicates year-over-year growth of 5.6%.