Black Hills Corporation Reports Revenue Increase to $439M in Q2 2025

Black Hills Corporation reported a notable increase in financial performance for the second quarter of 2025, with total revenue reaching $439.0 million, up from $402.6 million in the same period last year. The company's operating income also rose to $82.5 million, compared to $70.6 million in the prior year. For the first half of 2025, revenue totaled $1.244 billion, a significant increase from $1.129 billion in the first half of 2024. Net income available for common stock increased to $27.5 million, or $0.38 per share, compared to $22.8 million, or $0.33 per share, in the previous year.

The company experienced several operational changes that contributed to its improved financial results. The Electric Utilities segment saw an increase in operating income due to new rates and rider recovery, despite facing higher operating expenses and unplanned generation outages. The Gas Utilities segment also benefited from new rates and favorable weather conditions, leading to a $12.5 million increase in operating income compared to the same quarter last year. Overall, the operating income for the Gas Utilities segment reached $35.5 million, up from $23.0 million in the prior year.

In terms of strategic developments, Black Hills Corporation has been actively pursuing growth through infrastructure investments and regulatory approvals. The company is advancing its Clean Energy Plan, which includes the addition of 350 MW of renewable generation resources. Recent regulatory activities include rate reviews in multiple states, which are expected to generate additional annual revenue. For instance, Colorado Electric received a general rate increase order expected to generate approximately $17.5 million in new annual revenue. Additionally, the company is progressing with the Lange II project, which is set to begin construction in the third quarter of 2025.

Operationally, Black Hills Corporation reported a customer base of over 1.35 million across eight states, with significant growth in both electric and gas utility segments. The company has also been expanding its geographic footprint and enhancing its service offerings, including the implementation of an Emergency Public Safety Power Shutoff program to mitigate wildfire risks. The company’s capital expenditures for the first half of 2025 totaled $371.8 million, reflecting ongoing investments in infrastructure and renewable energy projects.

Looking ahead, Black Hills Corporation remains focused on executing its strategic objectives while navigating market conditions and regulatory environments. The company anticipates continued growth driven by infrastructure investments and regulatory approvals, although it acknowledges potential challenges related to supply chain disruptions and fluctuating energy prices. The outlook for the remainder of 2025 includes a commitment to enhancing operational efficiency and expanding its renewable energy portfolio, aligning with broader industry trends toward sustainability and clean energy.