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MDU Resources Q3 Earnings Surpass Estimates, Revenues Up Y/Y

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MDU Resources Group Inc. (MDU - Free Report) reported third-quarter 2024 operating earnings per share (EPS) of 32 cents, which surpassed the Zacks Consensus Estimate of 31 cents by 3.23%. The bottom line improved 10.3% year over year.

GAAP EPS was 32 cents compared with 37 cents in the prior-year period.

Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.

Total Revenues of MDU

Total operating revenues improved 4.5% to $1.05 billion from $1 billion in the comparable period of 2023.

Operating revenues in electric, natural gas distribution and regulated pipeline totaled $286 million, up 2.3% from the prior-year quarter’s figure. Revenues in the non-regulated pipeline, construction services and other segments were up nearly 6% from the prior-year levels to $764.5 million.

MDU Resources Group, Inc. Price, Consensus and EPS Surprise

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 MDU’s Q3 Release

MDU’s total retail electric and natural gas utility experienced 1.5% customer growth from the third quarter of 2023 in line with 1-2% yearly growth target.

Total operating expenses were nearly $959.7 million, up 4.7% from the year-ago quarter’s $916 million.

Operating income totaled $90.8 million, up 7.3% from the year-ago quarter’s $84.6 million.

Interest expenses were $29.4 million, down 8.4% year over year.

MDU Resources is now a pure-play regulated energy delivery business, after the successful spinoff of Everus Construction Group on Oct.31, following last year's Knife River Corporation spinoff.

Financial Highlights of MDU

As of Sept. 30, 2024, cash, cash equivalents and restricted cash were $104.1 million compared with $77 million as of Dec. 31, 2023.

The long-term debt amounted to $2.23 billion as of Sept. 30, compared with $2.24 billion as of Dec. 31, 2023.

In the first nine months of 2024, net cash provided by operating activities was $441.8 million compared with $174.9 million in the year-ago period.

Guidance of MDU

MDU Resources raised its 2024 regulated energy delivery earnings to the range of $180-$185 million from the earlier guidance of $170-$180 million. The company expects electric and natural gas customer growth to continue at a rate of 1-2% annually.

MDU’s Zacks Rank

MDU Resources currently has a Zacks Rank #5 (Strong Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Recent Releases

ONE Gas, Inc. (OGS - Free Report) reported third-quarter 2024 operating EPS of 34 cents, which lagged the Zacks Consensus Estimate of 41 cents by 17.1%. The figure was down 24.4% from the year-ago quarter’s earnings of 45 cents per share.

OGS’ long-term earnings growth rate is 5%. The consensus estimate for OGS’ 2024 EPS is pegged at $3.86, implying a decrease of 6.8% from the year-earlier level.

Southwest Gas Holdings Inc. (SWX - Free Report) recorded third-quarter 2024 operating earnings of 9 cents per share, which beat the Zacks Consensus Estimate of 7 cents by 28.6%. However, the bottom line decreased 47.1% from the year-ago quarter’s 17 cents.

SWX’s long-term earnings growth rate is 6%. The consensus estimate for SWX’s 2024 EPS is pegged at $3.13, implying a decrease of 6.8% from the year-earlier level.

National Fuel Gas Company (NFG - Free Report) reported fourth-quarter fiscal 2024 adjusted operating earnings of 77 cents per share, which missed the Zacks Consensus Estimate of 83 cents by 7.2%. The bottom line also decreased 1.3% from the year-ago quarter’s reported figure of 78 cents.

The consensus estimate for NFG’s fiscal 2025 EPS is pegged at $5.69, which implies an increase of 13.57% from the year-earlier level.
 

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