Black Hills Reaffirms Guidance, Advances Merger, Secures Major 1.8 GW Data Center Project
BKH sits 33% above its 52-week low of $55.485.
Summary
Black Hills Corp. reported Q1 results, reaffirmed 2026 guidance, and announced significant progress on its merger with NorthWestern Energy and a new 1.8 GW data center project.
Key Events · Earnings and Guidance · BKH
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Q1 2026 Financial Results
Adjusted EPS of $1.79, down from $1.87 in Q1 2025, primarily due to mild winter weather and higher costs, partially offset by new rates.
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2026 Guidance Reaffirmed
The company reaffirms its adjusted EPS guidance of $4.25 to $4.45 per share for 2026, excluding merger-related costs, indicating confidence in future performance.
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Merger with NorthWestern Energy Progress
Shareholders approved the merger, the Hart-Scott-Rodino Act waiting period completed, and settlement agreements reached with intervenors, moving closer to a H2 2026 closing.
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Major Data Center Project Secured
Black Hills executed an agreement for a 1.8 GW data center project in Wyoming, with a $201 million customer contribution for generation equipment, signaling significant future load growth.
Analysis · BKH · Energy & Transportation
This filing highlights Black Hills' strategic progress, particularly the advancement of its merger with NorthWestern Energy and the securing of a substantial 1.8 GW data center project in Wyoming, backed by a $201 million customer contribution. While Q1 adjusted EPS saw a slight decrease due to weather impacts, the reaffirmation of full-year guidance signals management's confidence. The new data center project represents a significant growth opportunity and future load for the utility, enhancing its long-term outlook. Additionally, new wildfire liability legislation in South Dakota provides positive risk mitigation.
At the time of this filing, BKH was trading at $73.92 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $5.6B. The 52-week trading range was $55.49 to $78.69. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.