Business segment data

3 Months Ended

Mar. 31, 2022

Segment Reporting [Abstract]

Business segment data

Business segment data

The Company's reportable segments are those that are based on the Company's method of internal reporting, which generally segregates the strategic business units due to differences in products, services and regulation. The internal reporting of these operating segments is defined based on the reporting and review process used by the Company's chief executive officer. The Company's operations are located within the United States.

The electric segment generates, transmits and distributes electricity in Montana, North Dakota, South Dakota and Wyoming. The natural gas distribution segment distributes natural gas in those states, as well as in Idaho, Minnesota, Oregon and Washington. These operations also supply related value-added services.

The pipeline segment provides natural gas transportation and underground storage services through a regulated pipeline system primarily in the Rocky Mountain and northern Great Plains regions of the United States. This segment also provides non-regulated cathodic protection and other energy-related services.

The construction materials and contracting segment mines, processes and sells construction aggregates (crushed stone, sand and gravel); produces and sells asphalt mix; and supplies ready-mix concrete. This segment focuses on vertical integration of its contracting services with its construction materials to support the aggregate-based product lines including aggregate placement, asphalt and concrete paving, and site development and grading. Although not common to all locations, other products include the sale of cement, asphalt oil for various commercial and roadway applications, various finished concrete products and other building materials and related contracting services. This segment operates in the central, southern and western United States, including Alaska and Hawaii.

The construction services segment provides a full spectrum of construction services through its electrical and mechanical and transmission and distribution specialty contracting services across the country. These specialty contracting services are provided to utilities and manufacturing, transportation, commercial, industrial, institutional, renewable and governmental customers. Its electrical and mechanical contracting services include construction and maintenance of electrical and communication wiring and infrastructure, fire suppression systems, and mechanical piping and services. Its transmission and distribution contracting services include construction and maintenance of overhead and underground electrical, gas and communication infrastructure, as well as manufacturing and distribution of transmission line construction equipment and tools.

The Other category includes the activities of Centennial Capital, which, through its subsidiary InterSource Insurance Company, insures various types of risks as a captive insurer for certain of the Company's subsidiaries. The function of the captive insurer is to fund the self-insured layers of the insured Company's general liability, automobile liability, pollution liability and other coverages. Centennial Capital also owns certain real and personal property. In addition, the Other category includes certain assets, liabilities and tax adjustments of the holding company primarily associated with corporate functions and certain general and administrative costs (reflected in operation and maintenance expense) and interest expense, which were previously allocated to the refining business and Fidelity and do not meet the criteria for income (loss) from discontinued operations.

Discontinued operations include the supporting activities of Fidelity other than certain general and administrative costs and interest expense as described above.

The information below follows the same accounting policies as described in Note 2 of the Notes to Consolidated Financial Statements in the 2021 Annual Report. Information on the Company's segments was as follows:

	Three Months Ended
	March 31,
	2022		2021
	(In thousands)
External operating revenues:
Regulated operations:
Electric	$	93,594	$	84,673
Natural gas distribution	450,418		350,206
Pipeline	9,444		7,502
	553,456		442,381
Non-regulated operations:
Pipeline	1,676		2,411
Construction materials and contracting	309,836		265,659
Construction services	551,591		517,470
Other	—		17
	863,103		785,557
Total external operating revenues	$	1,416,559	$	1,227,938

	Three Months Ended
	March 31,
	2022		2021
	(In thousands)
Intersegment operating revenues:
Regulated operations:
Electric	$	124	$	136
Natural gas distribution	136		142
Pipeline	25,933		25,990
	26,193		26,268
Non-regulated operations:
Pipeline	7		239
Construction materials and contracting	130		62
Construction services	1,059		1,042
Other	4,341		3,324
	5,537		4,667
Intersegment eliminations	(31,730)		(30,935)
Total intersegment operating revenues	$	—	$	—
Operating income (loss):
Electric	$	15,044	$	13,865
Natural gas distribution	56,256		53,573
Pipeline	11,882		12,536
Construction materials and contracting	(44,605)		(34,889)
Construction services	29,498		40,277
Other	(732)		(198)
Total operating income	$	67,343	$	85,164
Net income (loss):
Regulated operations:
Electric	$	11,278	$	10,749
Natural gas distribution	36,315		36,178
Pipeline	7,956		9,194
	55,549		56,121
Non-regulated operations:
Pipeline	(619)		(296)
Construction materials and contracting	(40,010)		(30,813)
Construction services	21,324		29,825
Other	(4,511)		(2,721)
	(23,816)		(4,005)
Income from continuing operations	31,733		52,116
Income from discontinued operations, net of tax	30		15
Net income	$	31,763	$	52,131