And thank you for listening, everyone, and spending this time with us today. Today, I will start by briefly covering this quarter's financial results and then turn the presentation over to Dave Goodin, President and CEO of MDU Resources for an update on our forecast for the remainder of 2020 and looking forward. Stock Advisor launched in February of 2002. 11 on a list of the top specialty contractors in the nation, up from No. We're dedicated to providing environmentally friendly and energy-efficient solutions that meet our clients’ technology and power requirements. After the speakers' remarks, there will be a question-and-answer period. MDU Resources Group Inc (MDU) ... We have increased revenue guidance at our Construction Service business and expect margins to be higher at our Construction … At the conclusion of those negotiations or conversations with customers, three customers elected to take a reduced volume, and then offset that impact in the first year with either an additional year in term or higher volume or rate increase. Bismarck, ND 58503, MDU Construction Services Group As Jason said, with strong performance we saw in the third quarter including record earnings at both construction companies and strong results from our regulated energy delivery companies, we are raising our earnings per share target for this year to a range of $1.80 to $1.90 per share. It would have an impact overall to the Bakken potentially. Its construction materials and contracting division (including Knife River) mines and sells concrete, gravel, and other materials. The pipeline business had earnings of $8 million in the third quarter, compared to $7.7 million in the third quarter of 2019. This marks the last call for questions. MDU Resources Group Inc (NYSE:MDU)Q3 2020 Earnings CallNov 5, 2020, 2:00 p.m. To summarize activity by business unit, I'll start off with the regulated energy delivery side of our business mix. MDU Resources Group, Inc. is a U.S.-based corporation supplying products and services through its regulated energy delivery and utilities related construction materials and services businesses. At this time, there are no further questions. Intermountain Gas Company, serving parts of Idaho, was acquired by MDU in 2008. And then actually we will end up with slightly higher year two volumes and a few contracts that will move, instead of through year 10, will move into year 11. With the help of our more than 15,000 employees, we are able to continue providing essential services to customers across all our business lines during this challenging time. © 2020 MDU Construction Services Group. Our services include natural gas ​and pipeline placement, directional drilling, cable and duct plowing, hydroexcavation, and conduit and vault installation. Our conference call is being broadcast live to the public over the Internet and slides will accompany our remarks. Operator? That summarizes the financial highlights for the quarter. These cookies will be stored in your browser only with your consent. Thanks, Ryan. We are a nationwide provider of power line and telecommunication wire stringing equipment and related tools. Dave? Would you be able to elaborate, as to the drivers of that? We have increased our expected revenues at construction services to now a range of $2 billion to $2.15 billion, with margins comparable to or slightly higher than 2019 levels; and adjusted construction material revenues to a range of $2.15 to $2.25 billion with margins higher than what we saw in 2019. This increase is even more impressive, when considering last year's results, included gains on the sale of assets, which were approximately $4.4 million higher after-tax, than the current year. Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. Operator? And higher depreciation and amortization expense in the quarter. Get reviews, hours, directions, coupons and more for MDU Resources Group Inc at 1200 W Century Ave, Bismarck, ND 58503. Turning to our construction businesses, Construction Services reported record third quarter earnings of $29.8 million, compared to $21.1 million in the third quarter of 2019. These increases were partially offset by work slowdowns, caused by tropical storms and wildfires in certain markets. That’s why Bismarck, N.D.-based MDU Construction Services Group, Inc. has relied on Spectrum® Construction Software to manage its multi-company needs, … But it is primarily a construction materials and services company. MDU Resources Group, Inc. engages in the provision of natural resource products and related services to energy and transportation infrastructure. The company, a unit of MDU Resources Group, provides electrical line construction, pipeline construction, inside electrical wiring, and cabling services.MDU Construction Services also manufactures and distributes related specialty equipment. Our electrical, mechanical and fire suppression services companies have deep experience in a wide variety of work across the country. CSG ended the quarter with record backlog of nearly $1.3 billion, showing the strength of the bidding opportunities across this business footprint. And now I'll turn the call over to Dave, for his formal remarks. A 14% increase in residential sales volumes, led to higher adjusted gross margin. It shouldn't directly. As we discussed in our news release and on last quarter's call, we have seen a delay in some new projects being awarded, specifically in the public sector, which we believe can be attributed to the COVID-19 pandemic. We provide industry leading services with a focus on safety. First question on the Pipeline segment, can you attack exactly what were the dynamics and how the contract has changed related to the one-year delay for certain customers on the North Bakken expansion? Not that concerned about our backlog. It hasn't to this point. These cookies do not store any personal information. MDU Resources Group Inc is a construction and natural resources company operating in the United States. Revenues at this business were $822.5 million, down slightly compared to the $869.5 million, for the same period in 2019. We take seriously our responsibility to foster a culture of safety. Providing industry leading construction services across the country. Ready-mix concrete pricing also continues to be strong in most markets. We really haven't seen any change in margins. Our customers are as varied as our experience. The effective date for this increase has not yet been determined. And for your continued interest in MDU Resources. MDU Resources Group warns job applicants to be leery of individuals or organizations offering false employment opportunities with our company or subsidiaries. The bid schedule looks strong in most of our areas. We also use third-party cookies that help us analyze and understand how you use this website. Sure, Ryan. The Ascent is The Motley Fool's new personal finance brand devoted to helping you live a richer life. ET, Hello my name is Maria and I will be your conference facilitator. Given the last few weeks, have you noticed any change in the margin profile, for your business? A lot of our regions were out in February and March. Ryan, we were able to get out earlier. By continuing to use this application, you consent to the use of cookies in accordance with our, MDU Construction Services Group climbs one spot on top contractors list, ISG PCM floats nearly 1 million pounds of buildings down Columbia River, ESI attains UL certification for prefabricated electrical assemblies. The company's File Number is listed as 2549659. We had Dave Barney dialed in from another state. And then Ryan, in the -- oh, go ahead. And then, switching gears to Construction Materials, I noticed the backlog had fallen. Construction Service Group revenue guidance is now expected to be in the range of $1.6 billion to ... Jeffrey S. Thiede-- President and Chief Executive Officer of MDU Construction Services Group… Our customer contracts support the design capacity of 200 million cubic feet per day and the long-term viability of this project, which can be readily expanded in the future when forecasted production growth levels rebound. And so, over the look of the whole project from kind of a return hurdle standpoint, the product really remains full, other than we'll have lower year one volumes. Revenue in 2018: $3.3 Billion * Parent company’s “Nonregulated pipeline and midstream, construction materials and contracting, construction services and other” revenues for 2018. With these recent organic growth projects, WBI now is able to move approximately 2.2 billion cubic feet of natural gas through its system each and every day. It's still rising in most areas. MDU Resources Group revenue breakdown by business segment: 7.7% from Electric, 19.1% from Natural Gas Distribution, 40.8% from Construction Materials and Contracting, 30.7% from Construction Services and 1.7% from Other If you would like to view the slides, you can find them on the Events & Presentations page under the Investors tab of our website at www.mdu.com. Because it's really a keynote project for WBI as we think about 2021 and beyond. Search for other Electric Companies in Bismarck on The Real Yellow Pages®. Market data powered by FactSet and Web Financial Group. Construction Materials backlog was $571 million at the end of the quarter, down from the prior year's $747 million. Our pipeline business also performed very well throughout the third quarter. Concrete, National Fuel Gas Company and Nine Energy Service. You also have the option to opt-out of these cookies. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. And as we noted, in our earnings guidance for Construction Materials that we do expect margins to be increasing in that segment. 400 N. Fourth St. But if you look at we're about where we were in 2018 and we had record earnings, in 2020. I want to make sure Dave is here to answer that. Our combined utility business reported a net loss of $800,000 for the quarter, down from earnings of $700,000 in the third quarter of 2019. But opting out of some of these cookies may have an effect on your browsing experience. This volume increase was partially offset by decreased industrial and commercial volumes attributable, to the slowdowns from the COVID-19 pandemic. All lines have been placed on mute to prevent any background noise. On an overall basis, MDU Resources and our companies had very strong results, reporting combined record third quarter earnings, all while operating under new protocols and safety measures related to the COVID-19 pandemic. I would now like to turn the conference over to Jason Vollmer, Vice President, Chief Financial Officer and Treasurer of MDU Resources Group. In addition to Dave and myself, members of our management team who will be available to answer questions today include, Dave Barney, President and CEO of Knife River Corporation; Jeff Thiede, President and CEO of MDU Construction Services Group; Nicole Kivisto, President and CEO of our Utility Group; Trevor Hastings, President and CEO of WBI Energy; and Stephanie Barth, Vice President, Chief Accounting Officer and Controller of MDU Resources. MDU Construction Services Group, Inc. Construction Bismarck, ND 468 followers Local brands, national strength. Inside specialty contracting workloads increased during the quarter with strong demand for hospitality and high-tech projects, while natural disaster recovery work drove an increase in the outside specialty contracting workloads. Partially offsetting these decreases was higher adjusted gross margin from approved rate recovery in certain jurisdictions. This is an increase from our previous range of $1.65 to $1.85 per share. And finally, turning to our Construction Materials business. In some areas, they've flattened. But certainly there's been -- it's largely returned to, again, nearly pre-pandemic levels on gas volumes. Although the company believes that its expectations and beliefs are based on reasonable assumptions, actual results may differ materially. This is an increase of over 41%. Well, thank you for taking the time to join us on our third quarter earnings call today. Company Size: 5,500 MDU Resources Group Inc Q1 2020 earnings call dated May 08, 2020Corporate Participants: Jason L. Vollmer — Vice President, Chief Financial Officer and Treasurer. Higher transportation revenues from organic growth projects that were placed in service in 2019 and early 2020, as well as stronger demand for the company storage services were the primary drivers behind the earnings increase. The first year volumes will be 133,600 per day. ... Search for jobs at MDU Construction Services. We hope that, you are both, safe and healthy. What percentage of the overall customer volume expectation was amended in this revision of the contract? Thanks, Dave. The electric utility segment reported a strong third quarter earnings of $16.8 million, compared to $16.3 million for the same period in 2019. MDU Construction Services Group has resources across the country to get any job done. Most of our work starts bidding in the first five to six months of this coming year, 2021. The EBITDA at this business increased $8.5 million from the same period in 2019, to $172.3 million for the quarter. MDU Resources' energy business is focused on natural gas transmission, gathering, and storage. So not really worried about, picking up backlog, we'll get our share. MDU Construction Services Group Inc. provides utility construction services. During the course of this presentation, we will make certain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934. Let's conquer your financial goals together...faster. David L. Goodin — President and Chief Executive Officer. I was going to ask if to the extent that DAPL is shut down, does that trigger any events in terms of customer demand for the system, or have any impact on this project commercial viability. See you at the top! I would like to turn the conference back over to management for closing remarks. [Operator Instructions]. Now moving on to results achieved by each of our business segments. [Operator Instructions] This call will be available for replay beginning at 5:00 p.m. Eastern today through 11:59 p.m. Eastern on November 19th. It is headquartered in Bismarck, North Dakota, and operates in 48 states. Sector Industry Market Cap Revenue; Utilities: Utility - Natural Gas Distribution: $4.532B: $5.337B: MDU Resources Group, Inc. provides value-added natural resource products and related services that are essential to energy and transportation infrastructure, including regulated businesses, an exploration and production company and construction companies. You can read more about these in our 10-Q filed just this morning. Thanks, Dave. We are optimistic that this extension will allow states where we operate to evaluate their budgetary needs and dedicate dollars to much needed surface and transportation updates. And then, I'll ask Dave Barney. Cumulative Growth of a $10,000 Investment in Stock Advisor, MDU Resources Group Inc (MDU) Q3 2020 Earnings Call Transcript @themotleyfool #stocks $MDU, MDU Resources Group Inc (MDU) Q2 2020 Earnings Call Transcript, MDU Resources Group Inc (MDU) Q2 2019 Earnings Call Transcript, Copyright, Trademark and Patent Information. In Minnesota, the Public Utilities Commission approved a $2.6 million natural gas rate increase with IRM rates in effect since January 1 of this year. And given our strong results for the first nine months of the year, we have increased our earnings per share guidance range to $1.80 to $1.90 per share for 2020. And it's a demand in response. MDU Construction Services Group. Our margins are staying strong. As a reminder, we were able to post record results at our businesses, while all working under modified conditions as it relates to the COVID-19 pandemic. Engineering News Record, a leading construction industry publication, ranks the 600 largest specialty contractors in the United States based on annual revenue. Construction operations, which generate the majority of revenue, provides construction and maintenance services, specializing in electric and communication lines, gas pipelines, fire suppression systems, and external lighting and traffic signals. MDU Construction Services Group is part of MDU Resources Group, a major natural resources company that provides essential products and services through two lines of business: regulated energy delivery and construction materials and services.MDU Resources Group has $7.7 billion in assets and $5.3 billion in annual revenues (as of Dec. 31, 2019). We added to our workforce over the quarter and are now operating with record employment of more than 15,600 employees. This call will be available for replay, beginning at 5 PM Eastern Time today through 11:59 PM Eastern Time on August 19. What's Nearby TM Looking at our forecasts for the remainder of 2020 and our performance in the third quarter, we are also narrowing revenue guidance for both construction services and construction materials. Well, thank you, Jason. As Dave noted, we anticipate our FERC approval early in 2021, construction to follow that with an in-service date that's unchanged to November of 2021. Preparatory work continues on the North Bakken Expansion Project. Curious, if you're seeing that continues. With the help of each of our employees and our balanced mix of business, regulated energy delivery and construction, we have been able to continue providing the infrastructure support that our nation needs. Knife River Corporation provides construction-related products and services, including aggregate, asphalt, building materials, cement, construction services, liquid asphalt, and ready-mix concrete in 13 states. 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