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MDU Resources' (MDU) Q3 Earnings Miss Estimates, Sales Up Y/Y

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MDU Resources Group Inc. (MDU - Free Report) reported third-quarter 2018 operating earnings of 55 cents per share, which missed the Zacks Consensus Estimate of 56 cents by 1.79%. Operating earnings were 22.2% higher than the year-ago quarter’s level.

Total Revenues

Total revenues were $1,280.8 million, up 0.65% from $1,272.5 million in the year-ago quarter.

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

 

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

 

Highlights of the Release

In the quarter under review, operating expenses amounted to $1,140.8 million, up 2.1% from the prior-year quarter’s figure of $1,117.2 million.

Operating income was $140 million, down 9.8% year over year.

The company incurred interest expense of $21 million, up from $20.9 million in the prior-year quarter.

MDU Resources had a combined backlog of $1.48 billion of work in the construction services and construction materials businesses at the end of the third quarter compared with $1.19 billion in the year-ago quarter.

Company’s operating revenues from the electric, natural gas distribution and regulated pipeline as well as midstream segments fell 3% to $200.6 million. However, revenues from the non-regulated pipeline and midstream, construction materials and contracting, construction services and other segments increased 1.3% to $1,080.2 million.

The company completed the purchase of an expansion to Thunder Spirit Wind farm in southwestern North Dakota.

Financial Highlights

Total debt was $1,915 million as of Sep 30, 2018, up from $1,741 million as of Jun 30, 2017.

The company’s net cash flow from operating activities in the first nine months of 2018 was $317.4 million, up from $271.9 million in the year-ago period.

Guidance

MDU Resources reaffirmed 2018 guidance for earnings per share in the range of $1.25-$1.45.

The company plans to invest $786 million toward capital projects and acquisitions in 2018.

Zacks Rank

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

Other Utility Releases

ONEOK Inc (OKE - Free Report) posted third-quarter 2018 operating earnings of 75 cents per share, which beat the Zacks Consensus Estimate of 71 cents by 5.63%.

DTE Energy Company (DTE - Free Report) reported third-quarter 2018 operating EPS of $2.13, which outpaced the Zacks Consensus Estimate of $1.74 by 22.4%.

FirstEnergy Corporation (FE - Free Report) reported third-quarter 2018 operating earnings of 80 cents per share, beating the Zacks Consensus Estimate of 73 cents by 9.59%.

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