BLACK HILLS CORP /SD/ Segments Disclosure
(16) BUSINESS SEGMENT INFORMATION
We are a holding company that, through our subsidiaries, conducts our operations through the following two reportable segments: Electric Utilities and Gas Utilities. Certain unallocated corporate expenses that support our reportable segments are presented as Corporate and Other.
Our operating segments, which are equivalent to our reportable segments, are based on our method of internal reporting, which is generally segregated by differences in products and services. All of our operations and assets are located within the United States.
Our Electric Utilities segment includes the operating results of the regulated electric utility operations of Colorado Electric, South Dakota Electric, and Wyoming Electric, which supply regulated electric utility services to areas in Colorado, Montana, South Dakota, and Wyoming. We also own and operate non-regulated power generation and mining businesses that are vertically integrated with our Electric Utilities.
Our Gas Utilities segment consists of the operating results of our regulated natural gas utility subsidiaries in Arkansas, Colorado, Iowa, Kansas, Nebraska, and Wyoming.
Corporate and Other consists of certain unallocated expenses for administrative activities that support our operating segments. Corporate and Other also includes our captive insurance cell, business development activities that are not part of our operating segments, and inter-segment eliminations.
Our , who is considered to be our CODM, sets financial performance objectives and budgets and establishes separate targets based on operating income for our Electric Utilities segment as well as our Gas Utilities segment. Our CODM assesses segment financial performance, including quarterly and annual budget-to-actual and year-over-year variances in revenues and expenses, to inform operating decisions, capital investments and cost recovery strategies. Our CODM reviews capital expenditures by operating segment rather than any individual or total asset amount.
Segment information was as follows:
|
Consolidating Income Statement |
|
|||||||||||||
Year Ended December 31, 2025 |
Electric Utilities |
|
Gas Utilities |
|
Total Reportable Segments |
|
Corporate |
|
Total |
|
|||||
|
(in millions) |
|
|||||||||||||
Revenue - |
|
|
|
|
|
|
|
|
|
|
|||||
External Customers |
$ |
933.2 |
|
$ |
1,376.8 |
|
$ |
2,310.0 |
|
$ |
— |
|
$ |
2,310.0 |
|
Inter-segment |
|
9.6 |
|
|
6.0 |
|
|
15.6 |
|
|
(15.6 |
) |
|
— |
|
Total revenue |
|
942.8 |
|
|
1,382.8 |
|
|
2,325.6 |
|
|
(15.6 |
) |
|
2,310.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Fuel, purchased power and cost of natural gas sold |
|
259.6 |
|
|
572.3 |
|
|
831.9 |
|
|
(0.4 |
) |
|
831.5 |
|
Operations and maintenance (a) - |
|
|
|
|
|
|
|
|
|
|
|||||
Direct |
|
138.6 |
|
|
159.5 |
|
|
298.1 |
|
|
(9.4 |
) |
|
288.7 |
|
Allocated |
|
132.6 |
|
|
168.5 |
|
|
301.1 |
|
|
— |
|
|
301.1 |
|
Depreciation, depletion and amortization |
|
152.4 |
|
|
131.4 |
|
|
283.8 |
|
|
— |
|
|
283.8 |
|
Taxes other than income taxes |
|
37.1 |
|
|
30.3 |
|
|
67.4 |
|
|
— |
|
|
67.4 |
|
Operating income (loss) |
$ |
222.5 |
|
$ |
320.8 |
|
$ |
543.3 |
|
$ |
(5.8 |
) |
$ |
537.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Interest expense, net |
|
|
|
|
|
|
|
|
|
(200.1 |
) |
||||
Other income (expense), net |
|
|
|
|
|
|
|
|
|
6.1 |
|
||||
Income tax (expense) |
|
|
|
|
|
|
|
|
|
(43.7 |
) |
||||
Net income |
|
|
|
|
|
|
|
|
|
299.8 |
|
||||
Net income attributable to non-controlling interest |
|
|
|
|
|
|
|
|
|
(8.2 |
) |
||||
Net income available for common stock |
|
|
|
|
|
|
|
|
$ |
291.6 |
|
||||
|
Consolidating Income Statement |
|
|||||||||||||
Year Ended December 31, 2024 |
Electric Utilities |
|
Gas Utilities |
|
Total Reportable Segments |
|
Corporate |
|
Total |
|
|||||
|
(in millions) |
|
|||||||||||||
Revenue - |
|
|
|
|
|
|
|
|
|
|
|||||
External Customers |
$ |
864.4 |
|
$ |
1,263.3 |
|
$ |
2,127.7 |
|
$ |
— |
|
$ |
2,127.7 |
|
Inter-segment |
|
11.7 |
|
|
6.1 |
|
|
17.8 |
|
|
(17.8 |
) |
|
— |
|
Total revenue |
|
876.1 |
|
|
1,269.4 |
|
|
2,145.5 |
|
|
(17.8 |
) |
|
2,127.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Fuel, purchased power and cost of natural gas sold |
|
206.4 |
|
|
524.3 |
|
|
730.7 |
|
|
(0.4 |
) |
|
730.3 |
|
Operations and maintenance (a) - |
|
|
|
|
|
|
|
|
|
|
|||||
Direct |
|
127.5 |
|
|
155.4 |
|
|
282.9 |
|
|
(16.3 |
) |
|
266.6 |
|
Allocated |
|
125.1 |
|
|
165.3 |
|
|
290.4 |
|
|
— |
|
|
290.4 |
|
Depreciation, depletion and amortization |
|
145.3 |
|
|
124.7 |
|
|
270.0 |
|
|
0.1 |
|
|
270.1 |
|
Taxes other than income taxes |
|
38.8 |
|
|
28.4 |
|
|
67.2 |
|
|
— |
|
|
67.2 |
|
Operating income (loss) |
$ |
233.0 |
|
$ |
271.3 |
|
$ |
504.3 |
|
$ |
(1.2 |
) |
$ |
503.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Interest expense, net |
|
|
|
|
|
|
|
|
|
(181.7 |
) |
||||
Other income (expense), net |
|
|
|
|
|
|
|
|
|
(1.4 |
) |
||||
Income tax (expense) |
|
|
|
|
|
|
|
|
|
(36.3 |
) |
||||
Net income |
|
|
|
|
|
|
|
|
|
283.7 |
|
||||
Net income attributable to non-controlling interest |
|
|
|
|
|
|
|
|
|
(10.6 |
) |
||||
Net income available for common stock |
|
|
|
|
|
|
|
|
$ |
273.1 |
|
||||
|
Consolidating Income Statement |
|
|||||||||||||
Year Ended December 31, 2023 |
Electric Utilities |
|
Gas Utilities |
|
Total Reportable Segments |
|
Corporate |
|
Total |
|
|||||
|
(in millions) |
|
|||||||||||||
Revenue - |
|
|
|
|
|
|
|
|
|
|
|||||
External Customers |
$ |
853.6 |
|
$ |
1,477.7 |
|
$ |
2,331.3 |
|
$ |
— |
|
$ |
2,331.3 |
|
Inter-segment |
|
11.4 |
|
|
6.5 |
|
|
17.9 |
|
|
(17.9 |
) |
|
— |
|
Total revenue |
|
865.0 |
|
|
1,484.2 |
|
|
2,349.2 |
|
|
(17.9 |
) |
|
2,331.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Fuel, purchased power and cost of natural gas sold |
|
200.1 |
|
|
783.2 |
|
|
983.3 |
|
|
(0.4 |
) |
|
982.9 |
|
Operations and maintenance (a) - |
|
|
|
|
|
|
|
|
|
|
|||||
Direct |
|
112.2 |
|
|
162.2 |
|
|
274.4 |
|
|
(12.9 |
) |
|
261.5 |
|
Allocated |
|
124.0 |
|
|
166.5 |
|
|
290.5 |
|
|
— |
|
|
290.5 |
|
Depreciation, depletion and amortization |
|
142.6 |
|
|
113.9 |
|
|
256.5 |
|
|
0.3 |
|
|
256.8 |
|
Taxes other than income taxes |
|
37.3 |
|
|
29.6 |
|
|
66.9 |
|
|
— |
|
|
66.9 |
|
Operating income (loss) |
$ |
248.8 |
|
$ |
228.8 |
|
$ |
477.6 |
|
$ |
(4.9 |
) |
$ |
472.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Interest expense, net |
|
|
|
|
|
|
|
|
|
(167.9 |
) |
||||
Other income (expense), net |
|
|
|
|
|
|
|
|
|
(3.2 |
) |
||||
Income tax (expense) |
|
|
|
|
|
|
|
|
|
(25.6 |
) |
||||
Net income |
|
|
|
|
|
|
|
|
|
276.0 |
|
||||
Net income attributable to non-controlling interest |
|
|
|
|
|
|
|
|
|
(13.8 |
) |
||||
Net income available for common stock |
|
|
|
|
|
|
|
|
$ |
262.2 |
|
||||
Capital Expenditures (a) for the years ended December 31, |
2025 |
|
2024 |
|
2023 |
|
|||
|
(in millions) |
|
|||||||
Electric Utilities |
$ |
481.3 |
|
$ |
381.9 |
|
$ |
210.7 |
|
Gas Utilities |
|
397.2 |
|
|
402.7 |
|
|
371.9 |
|
Corporate and Other |
|
11.3 |
|
|
13.0 |
|
|
7.3 |
|
Total capital expenditures |
$ |
889.8 |
|
$ |
797.6 |
|
$ |
589.9 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 11, 2026 | Showing above |
| 2024 | Feb 12, 2025 | |
| 2023 | Feb 14, 2024 | |
| 2022 | Feb 14, 2023 | |
| 2021 | Feb 15, 2022 | |
| 2020 | Feb 26, 2021 | |
| 2019 | Feb 14, 2020 | |
| 2018 | Feb 19, 2019 | |
| 2017 | Feb 26, 2018 | |
| 2016 | Feb 27, 2017 | |
| 2015 | Feb 25, 2016 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.