BKH BLACK HILLS CORP /SD/

Overview and Growth

BLACK HILLS CORP /SD/ generated $2.31B of revenue in fiscal 2025, with net income of $291.60M and an operating cash inflow of $673.40M. At $2.31B, the top line establishes the operating scale supporting the company’s profit and cash-flow profile. Revenue was 8.6% above fiscal 2024 revenue of $2.13B, marking a year-over-year increase. On a per-share basis, diluted EPS was $3.98, which connects the reported earnings outcome with the company’s diluted share count. Against diluted EPS of $3.91 in fiscal 2024, the current result was 1.8% higher. Asset turnover was 0.21x, relating the company’s annual revenue directly to the total assets reported at the period end.

Profitability

Operations produced $537.50M of income after the reported operating expense base, before the remaining non-operating and tax effects. Relative to revenue, operating income represented 23.3%, showing how efficiently sales converted into operating profit. The bottom-line result was net income of $291.60M, after the operating, financing, tax, and other items recognized for the period. Net margin was 12.6%, meaning that this portion of revenue remained as net income after all recognized expenses. Pretax income was $343.50M, isolating the reported earnings outcome before the income-tax provision recognized for the fiscal year. Pretax income represented 14.9% of revenue, placing earnings before tax in the context of the company’s operating scale. Income tax expense totaled $43.70M, providing the reported tax component that separates pretax and after-tax earnings. Relative to pretax income, the tax provision measured 12.7%, quantifying the portion of pre-tax earnings paid in income tax. The relationship between net income and period-end equity was 7.5%, indicating the profitability achieved on book capital. The net-income-to-assets relationship measured 2.7%, showing earnings relative to the full balance sheet.

Liquidity and Capital Structure

The company held $10.87B of assets against $6.96B of liabilities and $3.91B of equity, revealing how the asset base was financed. Current assets were $995.90M against $740.00M of current liabilities, framing the resources and obligations classified within the near-term balance-sheet horizon. The current ratio was 1.35x, with current assets exceeding current liabilities and providing a short-term liquidity cushion. The company held $182.80M in cash and equivalents, a narrower liquidity measure than total current assets. The cash balance equaled 24.7% of current liabilities, showing how much near-term coverage came from cash alone. The company carried $4.70B of total debt at period end, which frames its leverage and debt-service burden. Against book equity, debt measured 1.2x, placing the company’s financial leverage in clear balance-sheet terms. The debt-to-assets relationship was 43.2%, comparing borrowing with the total asset balance. Relative to total assets, liabilities measured 64.1%, complementing the separate equity-based view of the company’s capital structure. Cash and equivalents equaled 1.7% of total assets, showing the liquid cash component within the company’s broader resource base. The asset base changed 8.5% from $10.02B in fiscal 2024, leaving current total assets higher year over year.

Cash Flow and Earnings Quality

The company reported $673.40M of operating cash flow, a cash inflow that shows the cash generated by operations. Operating cash flow equaled 2.31x of net income, showing how strongly accounting earnings converted into cash from operations. The cash-flow statement records $819.80M of capital expenditures, the investment amount considered after operating cash generation. Capital spending absorbed 121.7% of operating cash flow, quantifying the share of cash from operations directed to investment. The company recorded a $146.40M cash deficit after capital spending for the period. The free-cash-flow deficit equaled 6.3% of revenue, showing the post-investment cash shortfall relative to sales. The cash deficit after capital spending represented 1.3% of the period-end asset base.

Based on the annual report for the fiscal year ending Dec 31, 2025. Analysis generated Oct 21, 2026.