Black Hills Corporation (NYSE:BKH) Q1 2024 Earnings Call Transcript

Brandon Lee: Great. And then, just on Slide 18, and I appreciate that, typically, you’re pretty conservative with your CapEx outlook. I guess if we think about post-2026, just for modeling purposes, should we model ’27 and ’28 at $1 billion run rate per year or something closer to the $1.2 billion per year. I appreciate, it’s probably a little early for you to give out exact numbers, but just how should we think of the shape of the CapEx profile?

Kimberly Nooney: Yes, Brandon. Great question. What we’ve normally said is 2026 is a unique year. And so, as you look in the out years, you can think about it in that roughly $700 million, $750 million run rate from a CapEx perspective and we’ll update that as we talked about earlier, as we get additional data on some of the projects that we’re actively working on.

Brandon Lee: Okay. Just can you remind us, for additional CapEx to your plan, how much of that is financed by equity? Is it 25% to 30% range?

Kimberly Nooney: Generally, we haven’t given, obviously, as you know, equity guidance passed this year. But as you think about it, we’re focused on that BBB+ solid credit quality perspective. And so, once we get through the stormy area cash flows, you can think about it as that $0.25 to $0.3 on every dollar.

Operator: [Operator Instructions]. I’m showing no further questions in queue at this time. I’d like to turn the call back to Lynn Evans for closing remarks.

Linden Evans: Thank you, Liz, and thank you to my talented team. Great job answering questions, as you can tell. Thank you very much for your time. Thank you for your interest in Black Hills Corporation today. I thank my fellow coworkers for their focus on our customers and our shareholders in driving value and delivering a great quarter. Job well done. We’ll look forward to seeing many of you at the American Gas Association Financial Conference, I think, in about 10 days. Finally, best wishes for Black Hills Energy Safe and productive day, and thank you for joining us.

Operator: This concludes today’s conference call. Thank you for participating. You may now disconnect.