Send me real-time posts from this site at my email
Zacks

MDU Resources (MDU) Q2 Earnings & Revenues Increase Y/Y

MDU Resources Group Inc. MDU delivered second-quarter 2020 operating earnings of 50 cents per share, which surged 61.3% from the year-ago quarter’s level. This upside was led by lower operation and maintenance expense, and higher returns on certain benefit plans.

Total Revenues

Total revenues in the second quarter were $1,362.9 million, up 4.5% from $1,303.6 million in the year-ago quarter.

Operating revenues in the electric, natural gas distribution and regulated pipeline inched up 2.1% to $241.3 million. Revenues in the non-regulated pipeline, construction materials and contracting, construction services and other segments increased 5.1% to $1,121.6 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

In the quarter under review, operating expenses of $1,224.6 million were up 1.5% from the prior-year quarter’s $1,206.3 million.

Operating income was $138.3 million, up 42.1% year over year.

The company’s interest expenses of $24.8 million were down 2.4% from $25.4 million in the prior-year quarter.

As of Jun 30, 2020, the construction services business had backlog of $1.31 billion, up 13.9% from $1.15 billion a year ago.

The construction materials business had a backlog of $875 million, down from $1.04 billion in the year-ago quarter.

Financial Highlights

Total debt amounted to $2,357 million as of Jun 30, 2020, down from $2,470 million as of Jun 30, 2019.

The company’s net cash provided by operating activities in the first six months of 2020 was $261.4 million compared with net cash used in operating activities of $22.9 million in the first six months of 2019.

Guidance

MDU Resources raised 2020 earnings per share guidance to $1.65-$1.85 from the prior projection of $1.50-$1.70 with the current Zacks Consensus Estimate being $1.60. This expectation is based on the assumption that the company will invest $614 million in capital projects.

Also, it anticipates Construction services revenues in the range of $1.90-$2.10 billion with margins compared to the 2019 levels and construction materials revenues in the band of $2.20-$2.40 billion with margins slightly higher than the 2019 reading.

Zacks Rank

MDU Resources carries a Zacks Rank #3 (Hold), currently. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Other Utility Releases

ONE Gas Inc. OGS delivered second-quarter 2020 earnings of 48 cents per share, beating the Zacks Consensus Estimate of 45 cents by 6.7%.

Sempra Energy’s SRE second-quarter 2020 adjusted earnings per share came in at $1.65, which missed the Zacks Consensus Estimate of $1.66 by 0.6%.

ONEOK Inc OKE posted second-quarter 2020 operating earnings of 32 cents per share, which lagged the Zacks Consensus Estimate of 50 cents by 36%.

More Stock News: This Is Bigger than the iPhone!

It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.

Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2021.

Click here for the 6 trades >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Sempra Energy (SRE): Free Stock Analysis Report
 
ONEOK, Inc. (OKE): Free Stock Analysis Report
 
MDU Resources Group, Inc. (MDU): Free Stock Analysis Report
 
ONE Gas, Inc. (OGS): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research

Welcome! Is it your First time here?

What are you looking for? Select your points of interest to improve your first-time experience:

Apply & Continue