MDU Resources Affirms 2024 Financial Guidance

MDU Resources Group, Inc. (NYSE: MDU) has affirmed its 2024 financial guidance and updated its long-term earnings per share growth rate outlook. The company expects earnings from its regulated energy delivery business to be in the range of $170 million to $180 million. Additionally, its construction services revenues are projected to be in the range of $2.9 billion to $3.1 billion, with margins comparable to 2023, and EBITDA of $220 million to $240 million.

Furthermore, the company has announced a tax-free spinoff of its construction services business, which is expected to be completed in late 2024. Following the spinoff, MDU Resources anticipates a 6% to 8% long-term compound annual growth on earnings per share.

These projections are based on several assumptions, including normal weather for the year, normal economic and operating conditions, continued availability of necessary equipment and materials, and electric and natural gas customer growth at a rate of 1% to 2% annually.

It's worth noting that the company's guidance does not include transaction costs or costs associated with standing up the construction services business as a separate public company. MDU Resources will be hosting an analyst and investor day at the New York Stock Exchange to discuss these updates.

These updates come after MDU Resources had previously provided its 2024 guidance information in connection with the announcement of its 2023 earnings results on February 8. As a result of these announcements, the company's shares have moved 0.6% on the market, and are now trading at a price of $22.95. If you want to know more, read the company's complete 8-K report here.

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