XML 33 R23.htm IDEA: XBRL DOCUMENT v3.23.2
Business segment data
 6 Months Ended
Jun. 30, 2023
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 services.
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 United States. These specialty contracting services are provided to utilities, 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 supplying transmission and distribution 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, as well as costs associated with the announced strategic initiatives. Also included are certain general and administrative costs (reflected in operation and maintenance expense) and interest expense, which were previously allocated to the refining business, Fidelity and Knife River which do not meet the criteria for income (loss) from discontinued operations.
Discontinued operations includes strategic initiative costs and interest on debt facilities repaid in connection with the Knife River separation and 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 2022 Annual Report. Information on the Company's segments was as follows:
Three Months EndedSix Months Ended
June 30,June 30,
 2023 2022 2023 2022 
 (In thousands)
External operating revenues:   
Regulated operations:
Electric$90,989 $85,551 $186,686 $179,235 
Natural gas distribution218,995 210,510 784,590 660,998 
Pipeline30,508 27,555 43,147 37,000 
 340,492 323,616 1,014,423 877,233 
Non-regulated operations:
Pipeline3,701 2,263 5,536 3,938 
Construction services746,933 683,870 1,501,265 1,235,693 
Other— — — — 
 750,634 686,133 1,506,801 1,239,631 
Total external operating revenues$1,091,126 $1,009,749 $2,521,224 $2,116,864 
Intersegment operating revenues:    
Regulated operations:
Electric$27 $34 $55 $68 
Natural gas distribution69 71 139 137 
Pipeline7,699 7,404 33,958 33,338 
7,795 7,509 34,152 33,543 
Non-regulated operations:
Pipeline219 336 230 391 
Construction services— 1,527 — 2,353 
Other3,151 1,503 4,723 2,896 
3,370 3,366 4,953 5,640 
Total intersegment operating revenues$11,165 $10,875 $39,105 $39,183 
Operating income (loss):
Electric$21,561 $8,325 $42,654 $23,369 
Natural gas distribution2,428 (638)60,932 55,617 
Pipeline13,886 12,602 26,926 24,484 
Construction services54,310 46,141 89,527 75,639 
Other(10,154)(3,925)(19,486)(9,109)
Total operating income$82,031 $62,505 $200,553 $170,000 
Net income (loss):
Regulated operations:
Electric$16,338 $4,601 $32,945 $15,880 
Natural gas distribution(3,157)(7,498)35,771 28,817 
Pipeline8,651 7,326 17,580 15,350 
21,832 4,429 86,296 60,047 
Non-regulated operations:
Pipeline286 (57)(172)(674)
Construction services41,167 35,324 69,976 57,349 
Other84,348 (3,934)75,408 (12,194)
125,801 31,333 145,212 44,481 
Income from continuing operations147,633 35,762 231,508 104,528 
Discontinued operations, net of tax(16,941)34,905 (62,464)(2,098)
Net income$130,692 $70,667 $169,044 $102,430 
A reconciliation of reportable segment operating revenues to consolidated operating revenues is as follows:
Three Months EndedSix Months Ended
June 30,June 30,
2023 2022 2023 2022 
(In thousands)
Operating revenues reconciliation:
Total reportable segment operating revenues$1,099,140 $1,019,121 $2,555,606 $2,153,151 
Other revenue3,151 1,503 4,723 2,896 
Elimination of intersegment operating revenues(11,165)(10,875)(39,105)(39,183)
Total consolidated operating revenues$1,091,126 $1,009,749 $2,521,224 $2,116,864