Black Hills Corporation Q1 2026 Earnings Recap

Black Hills Corporation’s shares rose modestly by 1.8% following Q1 2026 results that largely met expectations despite warm weather headwinds weighing on demand and adjusted EPS. Investors appear to view the reaffirmed guidance, rate recovery margin gains, and ongoing merger progress as offsetting the negative impact from weather and slightly lower earnings.

Key Takeaways

• Reported GAAP EPS of $1.73, or $1.79 adjusted for merger-related transaction costs, down from $1.87 in Q1 2025.
• Warm winter weather lowered demand, pressuring earnings by approximately $0.18 per share compared to prior year, and $0.13 versus normal weather assumptions.
• Positive offset from 24¢ per share in new rates and rider recovery margin and 10¢ per share lower operating & maintenance expenses (excluding merger costs).
• Higher financing and depreciation costs increased expenses by 16¢ per share.
• Merger with Northwestern Energy is progressing well, with key regulatory approvals advancing toward a second-half 2026 closing.