Black Hills (BKH) Investor presentation summary

Strategic direction and growth outlook

• Targets 4–6% adjusted EPS CAGR from 2026–2030, supported by a $4.7 billion capital plan and a robust data center pipeline exceeding 3 GW, with 600 MW of data center demand expected by 2030.

• Maintains a customer-focused strategy emphasizing safety, reliability, and affordability, operating across eight stable and growing states.

• Dividend yield is approximately 4%, with a payout target of 55–65% and 56 consecutive years of annual increases.

• Expects data center demand to contribute over 10% of consolidated EPS beginning in 2028, with minimal capital investment required for initial 600 MW.

• Merger with NorthWestern Energy, anticipated to close in late 2026, is excluded from current projections.

Recent achievements and operational performance

• Achieved midpoint of 2025 earnings guidance and long-term growth target, maintaining a strong balance sheet and liquidity.

• Completed rate reviews in Colorado, Kansas, and Nebraska; energized a 260-mile transmission expansion in Wyoming.

• Commenced construction on the 99 MW Lange II generation project and obtained approval for a 50 MW battery project in Colorado.

• Increased data center pipeline to over 3 GW and delivered industry-leading reliability.

• Announced a tax-free, all-stock merger with NorthWestern Energy and filed joint regulatory requests for transaction approval.

2026 initiatives and regulatory progress

• Aims for 6% year-over-year adjusted EPS growth and continued dividend increases.

• Completing rate reviews for Arkansas Gas and South Dakota Electric, and finalizing the Lange II generation project.

• Focused on serving growing data center demand and capturing upside opportunities.

• Pursuing approval of wildfire mitigation plans and supporting new liability legislation.

• Progressing toward closing the NorthWestern merger, with regulatory and shareholder approvals underway.