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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 10-Q
☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 2023
OR
☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from __________ to __________
Commission File Number 001-31303
Black Hills Corporation
Incorporated in South Dakota IRS Identification Number 46-0458824
7001 Mount Rushmore Road
Rapid City, South Dakota 57702
Registrant’s telephone number (605) 721-1700
Former name, former address, and former fiscal year if changed since last report
NONE
Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐
Indicate by check mark whether the Registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the Registrant was required to submit such files). Yes ☒ No ☐
Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
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Large Accelerated Filer |
x |
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Accelerated Filer |
☐ |
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Non-accelerated Filer |
☐ |
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Smaller Reporting Company |
☐ |
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Emerging Growth Company |
☐ |
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If an emerging growth company, indicate by check mark if the Registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o
Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).Yes ☐ No ☒
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Securities registered pursuant to Section 12(b) of the Act: |
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Title of each class |
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Trading Symbol(s) |
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Name of each exchange on which registered |
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Common stock of $1.00 par value |
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BKH |
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New York Stock Exchange |
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Indicate the number of shares outstanding of each of the issuer’s classes of common stock as of the latest practicable date.
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Class |
Outstanding at October 31, 2023 |
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Common stock, $1.00 par value |
67,991,643 |
shares |
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TABLE OF CONTENTS
2
Table of Contents
GLOSSARY OF TERMS AND ABBREVIATIONS
The following terms and abbreviations appear in the text of this report and have the definitions described below:
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AFUDC |
Allowance for Funds Used During Construction |
AOCI |
Accumulated Other Comprehensive Income (Loss) |
Arkansas Gas |
Black Hills Energy Arkansas, Inc., an indirect, wholly-owned subsidiary of Black Hills Utility Holdings, providing natural gas services to customers in Arkansas (doing business as Black Hills Energy). |
ATM |
At-the-market equity offering program |
Availability |
The availability factor of a power plant is the percentage of the time that it is available to provide energy. |
BHC |
Black Hills Corporation; the Company |
Black Hills Colorado IPP |
Black Hills Colorado IPP, LLC a 50.1% owned subsidiary of Black Hills Electric Generation |
Black Hills Electric Generation |
Black Hills Electric Generation, LLC, a direct, wholly-owned subsidiary of Black Hills Non-regulated Holdings, providing wholesale electric capacity and energy primarily to our affiliate utilities. |
Black Hills Electric Parent Holdings |
Black Hills Electric Utility Holdings, LLC., a direct, wholly-owned subsidiary of Black Hills Corporation |
Black Hills Energy |
The name used to conduct the business of our utility companies |
Black Hills Energy Services |
Black Hills Energy Services Company, an indirect, wholly-owned subsidiary of Black Hills Utility Holdings, providing natural gas commodity supply for the Choice Gas Programs (doing business as Black Hills Energy) |
Black Hills Non-regulated Holdings |
Black Hills Non-regulated Holdings, LLC, a direct, wholly-owned subsidiary of Black Hills Corporation |
Black Hills Utility Holdings |
Black Hills Utility Holdings, Inc., a direct, wholly-owned subsidiary of Black Hills Corporation (doing business as Black Hills Energy) |
Black Hills Wyoming |
Black Hills Wyoming, LLC, a direct, wholly-owned subsidiary of Black Hills Electric Generation |
Choice Gas Program |
Regulator-approved programs in Wyoming and Nebraska that allow certain utility customers to select their natural gas commodity supplier, providing for the unbundling of the commodity service from the distribution delivery service. |
Clean Energy Plan |
2030 Ready Plan that establishes a roadmap and preferred resource portfolio for Colorado Electric to cost-effectively achieve the State of Colorado's requirement calling upon electric utilities to reduce GHG emissions by a minimum of 80% from 2005 levels by 2030. The preferred resource portfolio calls for the addition of 149 MW of wind, 258 MW of solar and 50 MW of battery storage to Colorado Electric's system. The final mix of resources will be determined by the results of a competitive solicitation that started in July 2023. Colorado legislation allows electric utilities to own up to 50% of the renewable generation assets added to comply with the Clean Energy Plan. |
Colorado Electric |
Black Hills Colorado Electric, LLC, a direct, wholly-owned subsidiary of Black Hills Electric Parent Holdings, providing electric services to customers in Colorado (doing business as Black Hills Energy). |
Colorado Gas |
Black Hills Colorado Gas, Inc., an indirect, wholly-owned subsidiary of Black Hills Utility Holdings, providing natural gas services to customers in Colorado (doing business as Black Hills Energy). |
Common Use System |
The Common Use System is a jointly operated transmission system we participated in with Basin Electric Power Cooperative and Powder River Energy Corporation. The Common Use System provides transmission service over these utilities' combined 230-kilovolt (kV) and limited 69-kV transmission facilities within areas of southwestern South Dakota and northeastern Wyoming. |
Consolidated Indebtedness to Capitalization Ratio |
Any indebtedness outstanding at such time, divided by capital at such time. Capital being consolidated net worth (excluding non-controlling interest) plus consolidated indebtedness (including letters of credit and certain guarantees issued) as defined within the current Revolving Credit Facility. |
Cooling Degree Day |
A cooling degree day is equivalent to each degree that the average of the high and low temperatures for a day is above 65 degrees. The warmer the climate, the greater the number of cooling degree days. Cooling degree days are used in the utility industry to measure the relative warmth and to compare relative temperatures between one geographic area and another. Normal degree days are based on the National Weather Service data for selected locations. |
CP Program |
Commercial Paper Program |
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CPUC |
Colorado Public Utilities Commission |
DRSPP |
Dividend Reinvestment and Stock Purchase Plan |
Dth |
Dekatherm. A unit of energy equal to 10 therms or approximately one million British thermal units (MMBtu) |
FASB |
Financial Accounting Standards Board |
Fitch |
Fitch Ratings Inc. |
GAAP |
Accounting principles generally accepted in the United States of America |
Heating Degree Day |
A heating degree day is equivalent to each degree that the average of the high and the low temperatures for a day is below 65 degrees. The colder the climate, the greater the number of heating degree days. Heating degree days are used in the utility industry to measure the relative coldness and to compare relative temperatures between one geographic area and another. Normal degree days are based on the National Weather Service data for selected locations. |
HomeServe |
We offer HomeServe products to our natural gas residential customers interested in purchasing additional home repair service plans. |
Integrated Generation |
Non-regulated power generation and mining businesses that are vertically integrated within our Electric Utilities segment. |
Iowa Gas |
Black Hills Iowa Gas Utility Company, LLC, a direct, wholly-owned subsidiary of Black Hills Utility Holdings, providing natural gas services to customers in Iowa (doing business as Black Hills Energy). |
IPP |
Independent Power Producer |
IRS |
United States Internal Revenue Service |
Kansas Gas |
Black Hills Kansas Gas Utility Company, LLC, a direct, wholly-owned subsidiary of Black Hills Utility Holdings, providing natural gas services to customers in Kansas (doing business as Black Hills Energy). |
LIBOR |
London Interbank Offered Rate |
MMBtu |
Million British thermal units |
Moody's |
Moody's Investors Service, Inc. |
MW |
Megawatts |
MWh |
Megawatt-hours |
N/A |
Not applicable |
Nebraska Gas |
Black Hills Nebraska Gas, LLC, an indirect, wholly-owned subsidiary of Black Hills Utility Holdings, providing natural gas services to customers in Nebraska (doing business as Black Hills Energy). |
Northern Iowa Windpower |
Northern Iowa Windpower, LLC, a 87.1 MW wind farm located near Joice, Iowa, previously owned by Black Hills Electric Generation. In March 2023, Black Hills Electric Generation completed the sale of Northern Iowa Windpower assets to a third-party. |
OCI |
Other Comprehensive Income |
PPA |
Power Purchase Agreement |
PTC |
Production Tax Credit |
Revolving Credit Facility |
Our $750 million credit facility used to fund working capital needs, letters of credit and other corporate purposes, which was amended on May 9, 2023 and will terminate on July 19, 2026. |
RMNG |
Rocky Mountain Natural Gas LLC, an indirect, wholly-owned subsidiary of Black Hills Utility Holdings, providing natural gas transmission and wholesale services in western Colorado (doing business as Black Hills Energy). |
SEC |
United States Securities and Exchange Commission |
Service Guard Comfort Plan |
Appliance protection plan that provides home appliance repair services through on-going monthly service agreements to residential utility customers. |
S&P |
S&P Global Ratings, a division of S&P Global Inc. |
SOFR |
Secured Overnight Financing Rate |
South Dakota Electric |
Black Hills Power, Inc., a direct, wholly-owned subsidiary of Black Hills Corporation, providing electric service to customers in Montana, South Dakota and Wyoming (doing business as Black Hills Energy). |
SSIR |
System Safety and Integrity Rider |
Tech Services |
Non-regulated product lines delivered by our Utilities that 1) provide electrical system construction services to large industrial customers of our electric utilities, and 2) serve gas transportation customers throughout its service territory by constructing and maintaining customer-owned gas infrastructure facilities, typically through one-time contracts. |
Utilities |
Black Hills' Electric and Gas Utilities |
4
Table of Contents
|
|
Wind Capacity Factor |
Measures the amount of electricity a wind turbine produces in a given time period relative to its maximum potential. |
Winter Storm Uri |
February 2021 winter weather event that caused extreme cold temperatures in the central United States and led to unprecedented fluctuations in customer demand and market pricing for natural gas and energy. |
WPSC |
Wyoming Public Service Commission |
WRDC |
Wyodak Resources Development Corp., a direct, wholly-owned subsidiary of Black Hills Non-regulated Holdings, providing coal supply primarily to five on-site, mine-mouth generating facilities (doing business as Black Hills Energy). |
Wygen I |
A mine-mouth, coal-fired power plant with a total capacity of 90 MW located at our Gillette, Wyoming energy complex. Black Hills Wyoming owns a 76.5% of the facility and Municipal Energy Agency of Nebraska (MEAN) owns the remaining 23.5%. |
Wyodak Plant |
The 362 MW mine-mouth, coal-fired generating facility near Gillette, Wyoming, jointly owned by PacifiCorp (80%) and South Dakota Electric (20%). Our WRDC mine supplies all of the fuel for the facility. |
Wyoming Electric |
Cheyenne Light, Fuel and Power Company, a direct, wholly-owned subsidiary of Black Hills Corporation, providing electric service to customers in the Cheyenne, Wyoming area (doing business as Black Hills Energy). |
Wyoming Gas |
Black Hills Wyoming Gas, LLC, an indirect and wholly-owned subsidiary of Black Hills Utility Holdings, providing natural gas services to customers in Wyoming (doing business as Black Hills Energy). |
Wyoming Integrity Rider |
The Wyoming Integrity Rider (WIR) is a WPSC-approved tariff that allows us to recover costs from customers associated with ongoing infrastructure replacement, gas meter and yard line replacement projects driven by federal regulation. |
5
Table of Contents
FORWARD-LOOKING INFORMATION
This Quarterly Report on Form 10-Q includes “forward-looking statements” as defined by the SEC. Forward-looking statements are all statements other than statements of historical fact, including without limitation those statements that are identified by the words “anticipates,” “estimates,” “expects,” “intends,” “plans,” “predicts” and similar expressions, and include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. We make these forward-looking statements in reliance on the safe harbor protections provided under the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on assumptions which we believe are reasonable based on current expectations and projections about future events and industry conditions and trends affecting our business. However, whether actual results and developments will conform to our expectations and predictions is subject to a number of risks and uncertainties that, among other things, could cause actual results to differ materially from those contained in the forward-looking statements, including without limitation, the risk factors described in Item 1A of Part I of our 2022 Annual Report on Form 10-K, Part II, Item 1A of this Quarterly Report on Form 10-Q and other reports that we file with the SEC from time to time, and the following:
•Our ability to obtain adequate cost recovery for our utility operations through regulatory proceedings and favorable rulings on periodic applications to recover costs for capital additions, plant retirements and decommissioning, fuel, transmission, purchased power, and other operating costs and the timing in which new rates would go into effect;
•Our ability to complete our capital program in a cost-effective and timely manner;
•Our ability to execute on our strategy;
•Our ability to successfully execute our financing plans;
•The effects of changing interest rates;
•Our ability to achieve our greenhouse gas emissions intensity reduction goals;
•Board of Directors’ approval of any future quarterly dividends;
•The impact of future governmental regulation;
•Our ability to overcome the impacts of supply chain disruptions on availability and cost of materials;
•The effects of inflation and volatile energy prices; and
•Other factors discussed from time to time in our filings with the SEC.
New factors that could cause actual results to differ materially from those described in forward-looking statements emerge from time-to-time, and it is not possible for us to predict all such factors, or the extent to which any such factor or combination of factors may cause actual results to differ from those contained in any forward-looking statement. We assume no obligation to update publicly any such forward-looking statements, whether as a result of new information, future events or otherwise.
6
Table of Contents
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
BLACK HILLS CORPORATION
CONSOLIDATED STATEMENTS OF INCOME
|
|
|
|
|
|
|
|
|
|
|
|
|
(unaudited) |
Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
|
|
2023 |
|
2022 |
|
2023 |
|
2022 |
|
|
(in thousands, except per share amounts) |
|
Revenue |
$ |
407,126 |
|
$ |
462,612 |
|
$ |
1,739,568 |
|
$ |
1,760,377 |
|
|
|
|
|
|
|
|
|
|
Operating expenses: |
|
|
|
|
|
|
|
|
Fuel, purchased power and cost of natural gas sold |
|
102,241 |
|
|
168,535 |
|
|
749,753 |
|
|
793,632 |
|
Operations and maintenance |
|
125,767 |
|
|
134,449 |
|
|
412,522 |
|
|
403,549 |
|
Depreciation, depletion and amortization |
|
64,878 |
|
|
64,019 |
|
|
191,235 |
|
|
188,610 |
|
Taxes - property and production |
|
16,469 |
|
|
16,130 |
|
|
49,888 |
|
|
49,365 |
|
Total operating expenses |
|
309,355 |
|
|
383,133 |
|
|
1,403,398 |
|
|
1,435,156 |
|
|
|
|
|
|
|
|
|
|
Operating income |
|
97,771 |
|
|
79,479 |
|
|
336,170 |
|
|
325,221 |
|
|
|
|
|
|
|
|
|
|
Other income (expense): |
|
|
|
|
|
|
|
|
Interest expense incurred net of amounts capitalized |
|
(44,477 |
) |
|
(40,580 |
) |
|
(131,809 |
) |
|
(118,454 |
) |
Interest income |
|
3,479 |
|
|
561 |
|
|
5,786 |
|
|
1,126 |
|
Other income (expense), net |
|
(647 |
) |
|
464 |
|
|
(1,513 |
) |
|
2,731 |
|
Total other income (expense) |
|
(41,645 |
) |
|
(39,555 |
) |
|
(127,536 |
) |
|
(114,597 |
) |
|
|
|
|
|
|
|
|
|
Income before income taxes |
|
56,126 |
|
|
39,924 |
|
|
208,634 |
|
|
210,624 |
|
Income tax (expense) |
|
(7,366 |
) |
|
(2,090 |
) |
|
(15,950 |
) |
|
(15,920 |
) |
Net income |
|
48,760 |
|
|
37,834 |
|
|
192,684 |
|
|
194,704 |
|
Net income attributable to non-controlling interest |
|
(3,377 |
) |
|
(2,861 |
) |
|
(10,164 |
) |
|
(8,790 |
) |
Net income available for common stock |
$ |
45,383 |
|
$ |
34,973 |
|
$ |
182,520 |
|
$ |
185,914 |
|
|
|
|
|
|
|
|
|
|
Earnings per share of common stock: |
|
|
|
|
|
|
|
|
Earnings per share, Basic |
$ |
0.67 |
|
$ |
0.54 |
|
$ |
2.74 |
|
$ |
2.87 |
|
Earnings per share, Diluted |
$ |
0.67 |
|
$ |
0.54 |
|
$ |
2.74 |
|
$ |
2.86 |
|
|
|
|
|
|
|
|
|
|
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|
Basic |
|
67,315 |
|
|
64,876 |
|
|
66,652 |
|
|
64,722 |
|
Diluted |
|
67,389 |
|
|
65,061 |
|
|
66,725 |
|
|
64,910 |
|
The accompanying Condensed Notes to Consolidated Financial Statements are an integral part of these Consolidated Financial Statements.
7
Table of Contents
BLACK HILLS CORPORATION
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
|
|
|
|
|
|
|
|
|
|
|
|
|
(unaudited) |
Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
|
|
2023 |
|
2022 |
|
2023 |
|
2022 |
|
|
(in thousands) |
|
Net income |
$ |
48,760 |
|
$ |
37,834 |
|
$ |
192,684 |
|
$ |
194,704 |
|
|
|
|
|
|
|
|
|
|
Other comprehensive income (loss), net of tax; |
|
|
|
|
|
|
|
|
Reclassification adjustments of benefit plan liability - prior service cost (net of tax of $--, $8, $-- and $22, respectively) |
|
- |
|
|
(16 |
) |
|
- |
|
|
(48 |
) |
Reclassification adjustments of benefit plan liability - net loss
(net of tax of $(19), $(66), $(62) and $(179), respectively) |
|
24 |
|
|
122 |
|
|
67 |
|
|
384 |
|
Derivative instruments designated as cash flow hedges: |
|
|
|
|
|
|
|
|
Reclassification of net realized (gains) losses on settled/amortized interest rate swaps (net of tax of $(162), $(134), $(489) and $(549), respectively) |
|
550 |
|
|
578 |
|
|
1,649 |
|
|
1,589 |
|
Net unrealized gains (losses) on commodity derivatives
(net of tax of $58, $(559), $291 and $(165), respectively) |
|
(195 |
) |
|
1,776 |
|
|
(937 |
) |
|
509 |
|
Reclassification of net realized (gains) losses on settled commodity derivatives (net of tax of $(8), $10, $(592) and $881, respectively) |
|
26 |
|
|
(33 |
) |
|
1,881 |
|
|
(2,739 |
) |
Other comprehensive income, net of tax |
|
405 |
|
|
2,427 |
|
|
2,660 |
|
|
(305 |
) |
|
|
|
|
|
|
|
|
|
Comprehensive income |
|
49,165 |
|
|
40,261 |
|
|
195,344 |
|
|
194,399 |
|
Less: comprehensive income attributable to non-controlling interest |
|
(3,377 |
) |
|
(2,861 |
) |
|
(10,164 |
) |
|
(8,790 |
) |
Comprehensive income available for common stock |
$ |
45,788 |
|
$ |
37,400 |
|
$ |
185,180 |
|
$ |
185,609 |
|
See Note 9 for additional disclosures.
The accompanying Condensed Notes to Consolidated Financial Statements are an integral part of these Consolidated Financial Statements.
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Table of Contents
BLACK HILLS CORPORATION
CONSOLIDATED BALANCE SHEETS
|
|
|
|
|
|
|
(unaudited) |
As of |
|
|
September 30, 2023 |
|
December 31, 2022 |
|
|
(in thousands) |
|
ASSETS |
|
|
|
|
Current assets: |
|
|
|
|
Cash and cash equivalents |
$ |
594,289 |
|
$ |
21,430 |
|
Restricted cash and equivalents |
|
6,213 |
|
|
5,555 |
|
Accounts receivable, net |
|
228,830 |
|
|
508,192 |
|
Materials, supplies and fuel |
|
168,079 |
|
|
207,421 |
|
Derivative assets, current |
|
126 |
|
|
582 |
|
Income tax receivable, net |
|
17,749 |
|
|
17,637 |
|
Regulatory assets, current |
|
191,746 |
|
|
260,312 |
|
Other current assets |
|
33,242 |
|
|
50,579 |
|
Total current assets |
|
1,240,274 |
|
|
1,071,708 |
|
|
|
|
|
|
Property, plant and equipment |
|
8,767,954 |
|
|
8,374,790 |
|
Less: accumulated depreciation and depletion |
|
(1,755,606 |
) |
|
(1,576,842 |
) |
Total property, plant and equipment, net |
|
7,012,348 |
|
|
6,797,948 |
|
|
|
|
|
|
Other assets: |
|
|
|
|
Goodwill |
|
1,299,454 |
|
|
1,299,454 |
|
Intangible assets, net |
|
8,708 |
|
|
9,589 |
|
Regulatory assets, non-current |
|
313,113 |
|
|
392,669 |
|
Other assets, non-current |
|
59,031 |
|
|
46,862 |
|
Total other assets, non-current |
|
1,680,306 |
|
|
1,748,574 |
|
|
|
|
|
|
TOTAL ASSETS |
$ |
9,932,928 |
|
$ |
9,618,230 |
|
The accompanying Condensed Notes to Consolidated Financial Statements are an integral part of these Consolidated Financial Statements.
9
Table of Contents
BLACK HILLS CORPORATION
CONSOLIDATED BALANCE SHEETS
(Continued)
|
|
|
|
|
|
|
(unaudited) |
As of |
|
|
September 30, 2023 |
|
December 31, 2022 |
|
|
(in thousands) |
|
LIABILITIES AND EQUITY |
|
|
|
|
Current liabilities: |
|
|
|
|
Accounts payable |
$ |
124,033 |
|
$ |
310,020 |
|
Accrued liabilities |
|
257,458 |
|
|
243,457 |
|
Derivative liabilities, current |
|
2,193 |
|
|
6,600 |
|
Regulatory liabilities, current |
|
93,988 |
|
|
46,013 |
|
Notes payable |
|
- |
|
|
535,600 |
|
Current maturities of long-term debt |
|
1,125,000 |
|
|
525,000 |
|
Total current liabilities |
|
1,602,672 |
|
|
1,666,690 |
|
|
|
|
|
|
Long-term debt, net of current maturities |
|
3,799,510 |
|
|
3,607,340 |
|
|
|
|
|
|
Deferred credits and other liabilities: |
|
|
|
|
Deferred income tax liabilities, net |
|
530,985 |
|
|
508,941 |
|
Regulatory liabilities, non-current |
|
468,969 |
|
|
472,560 |
|
Benefit plan liabilities |
|
119,046 |
|
|
116,742 |
|
Other deferred credits and other liabilities |
|
152,174 |
|
|
156,062 |
|
Total deferred credits and other liabilities |
|
1,271,174 |
|
|
1,254,305 |
|
|
|
|
|
|
Commitments, contingencies and guarantees (Note 3) |
|
|
|
|
|
|
|
|
|
Equity: |
|
|
|
|
Stockholder's equity - |
|
|
|
|
Common stock $1 par value; 100,000,000 shares authorized; issued 68,046,262 and 66,140,396 shares, respectively |
|
68,046 |
|
|
66,140 |
|
Additional paid-in capital |
|
1,994,439 |
|
|
1,882,653 |
|
Retained earnings |
|
1,121,196 |
|
|
1,064,122 |
|
Treasury stock, at cost - 54,428 and 36,726 shares, respectively |
|
(3,457 |
) |
|
(2,435 |
) |
Accumulated other comprehensive income (loss) |
|
(12,907 |
) |
|
(15,567 |
) |
Total stockholders' equity |
|
3,167,317 |
|
|
2,994,913 |
|
Non-controlling interest |
|
92,255 |
|
|
94,982 |
|
Total equity |
|
3,259,572 |
|
|
3,089,895 |
|
|
|
|
|
|
TOTAL LIABILITIES AND TOTAL EQUITY |
$ |
9,932,928 |
|
$ |
9,618,230 |
|
The accompanying Condensed Notes to Consolidated Financial Statements are an integral part of these Consolidated Financial Statements.
10
Table of Contents
BLACK HILLS CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|
|
|
|
|
|
(unaudited) |
Nine Months Ended September 30, |
|
|
2023 |
|
2022 |
|
Operating activities: |
(in thousands) |
|
Net income |
$ |
192,684 |
|
$ |
194,704 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
|
Depreciation, depletion and amortization |
|
191,235 |
|
|
188,610 |
|
Deferred financing cost amortization |
|
6,928 |
|
|
7,430 |
|
Stock compensation |
|
4,563 |
|
|
6,779 |
|
Deferred income taxes |
|
16,114 |
|
|
16,062 |
|
Employee benefit plans |
|
7,929 |
|
|
2,677 |
|
Other adjustments, net |
|
(6,099 |
) |
|
(10,243 |
) |
Changes in certain operating assets and liabilities: |
|
|
|
|
Materials, supplies and fuel |
|
43,546 |
|
|
(88,405 |
) |
Accounts receivable and other current assets |
|
302,764 |
|
|
64,280 |
|
Accounts payable and other current liabilities |
|
(186,500 |
) |
|
5,963 |
|
Regulatory assets |
|
199,093 |
|
|
118,330 |
|
Other operating activities, net |
|
(16,205 |
) |
|
(11,900 |
) |
Net cash provided by operating activities |
|
756,052 |
|
|
494,287 |
|
|
|
|
|
|
Investing activities: |
|
|
|
|
Property, plant and equipment additions |
|
(421,770 |
) |
|
(466,302 |
) |
Other investing activities |
|
17,985 |
|
|
(19 |
) |
Net cash (used in) investing activities |
|
(403,785 |
) |
|
(466,321 |
) |
|
|
|
|
|
Financing activities: |
|
|
|
|
Dividends paid on common stock |
|
(125,446 |
) |
|
(115,850 |
) |
Common stock issued |
|
107,380 |
|
|
20,027 |
|
Net borrowings (payments) of Revolving Credit Facility and CP Program |
|
(535,600 |
) |
|
81,170 |
|
Long-term debt - issuance |
|
800,000 |
|
|
- |
|
Distributions to non-controlling interests |
|
(12,891 |
) |
|
(11,678 |
) |
Other financing activities |
|
(12,193 |
) |
|
1,647 |
|
Net cash provided by (used in) financing activities |
|
221,250 |
