MDU Resources Reports Growth in Materials Business
- Published: Monday, 04 November 2013 19:12
- Written by Rock Products News
MDU Resources Group Inc. reported third-quarter consolidated adjusted earnings of $92.3 million, or 49 cents per share, compared to $71.9 million, or 38 cents per share in the third quarter of 2012. Consolidated GAAP earnings were $84.3 million, or 44 cents per common share, compared to a loss of $29.8 million, or 16 cents per common share for the third quarter of 2012.
“We are seeing excellent results from our businesses’ capital investments and strategic focus continuing the trend we have had for the last three quarters,” said David L. Goodin, president and CEO of MDU Resources. “Our strong operations have produced 38 percent growth year-to-date in consolidated adjusted earnings per share compared to last year. These results reflect the value of our diversified model with all of our business segments contributing to this success.
“Our exploration and production business continued to outperform its year-over-year production target. Fidelity increased third-quarter oil production by 37 percent from the same period last year, and is well positioned to deliver on its annual growth target of 30 to 35 percent.”
The construction materials and services businesses sustained its growth in volumes and margins with combined earnings of $61.4 million, compared to $51.8 million last year. The construction materials group had its best quarter since 2007. On a combined basis, the construction businesses’ earnings are 29 percent higher for the trailing twelve months ended Sept. 30, compared to 2012 annual earnings.
Combined backlog increased to $958 million compared to $834 million a year ago. This includes the largest road construction contract ever awarded to Knife River – a $55 million project in western North Dakota. Knife River began work on that project in September.