Otter Tail Corp Files 10-Q for Q1 2024

TL;DR

<b>Otter Tail Corporation has filed its Q1 2024 10-Q report, detailing financial performance and operational status.</b>

AI Summary

Otter Tail Corp (OTTR) filed a Quarterly Report (10-Q) with the SEC on May 8, 2024. Otter Tail Corporation filed its 10-Q report for the period ending March 31, 2024. The filing covers the first quarter of 2024. The company's fiscal year ends on December 31. Otter Tail Corporation is incorporated in Minnesota. The company's SIC code is 4911 (Electric Services).

Why It Matters

For investors and stakeholders tracking Otter Tail Corp, this filing contains several important signals. This filing provides investors with the latest quarterly financial data, including revenue, expenses, and balance sheet information, crucial for assessing the company's current health and future prospects. Understanding the segment performance within the 10-Q is key to identifying growth drivers and potential risks across Otter Tail's diverse operations, such as Electric and Manufacturing.

Risk Assessment

Risk Level: low — Otter Tail Corp shows low risk based on this filing. The filing is a standard quarterly report (10-Q) and does not contain immediate, significant negative news, indicating a routine disclosure.

Analyst Insight

Review the detailed segment performance in the 10-Q to understand the drivers of Otter Tail's Q1 2024 results and identify any emerging trends.

Key Numbers

• 2024-03-31 — Reporting Period End Date (Conformed period of report)
• 2024-05-08 — Filing Date (Filed as of date)
• 1231 — Fiscal Year End (Fiscal year end)

Key Players & Entities

• Otter Tail Corp (company) — Filer name
• 2024-03-31 (date) — Conformed period of report
• 2024-05-08 (date) — Filed as of date
• MN (location) — State of incorporation
• 4911 (industry) — Standard Industrial Classification
• Otter Tail Holding Co (company) — Former company name

FAQ

Industry Context

Otter Tail Corporation operates primarily in the electric utility sector, providing essential energy services, alongside manufacturing and product sales.

Regulatory Implications

As an electric utility, Otter Tail Corporation is subject to extensive regulation by state and federal bodies concerning rates, service, and environmental standards.

What Investors Should Do

1. Analyze the financial statements for Q1 2024 to understand revenue and net income trends.
2. Examine the balance sheet for changes in assets, liabilities, and equity compared to prior periods.
3. Review any disclosures related to regulatory proceedings or significant operational events.

Key Dates

• 2024-03-31: Quarterly Period End — End of the reporting period for the 10-Q filing.
• 2024-05-08: Filing Date — Date the 10-Q report was officially submitted to the SEC.

Year-Over-Year Comparison

This is the initial filing for the first quarter of 2024, providing a baseline for future comparisons.

Key Financial Figures

• $5.00 — ch registered Common Shares, par value $5.00 per share OTTR The Nasdaq Stock Market
• $5 — icable date: 41,814,425 Common Shares ($5 par value) as of April 30, 2024. Tabl

Filing Documents

• ottr-20240331.htm (10-Q) — 1209KB
• a2024q110-qex311.htm (EX-31.1) — 9KB
• a2024q110-qex312.htm (EX-31.2) — 9KB
• a2024q110-qex321.htm (EX-32.1) — 4KB
• a2024q110-qex322.htm (EX-32.2) — 4KB
• 0001466593-24-000113.txt (&nbsp;) — 7037KB
• ottr-20240331.xsd (EX-101.SCH) — 47KB
• ottr-20240331_cal.xml (EX-101.CAL) — 81KB
• ottr-20240331_def.xml (EX-101.DEF) — 208KB
• ottr-20240331_lab.xml (EX-101.LAB) — 588KB
• ottr-20240331_pre.xml (EX-101.PRE) — 406KB
• ottr-20240331_htm.xml (XML) — 1153KB

Financial Statements

ITEM 1. Financial Statements: Consolidated Balance Sheets 3 Consolidated Statements of Income 4 Consolidated Statements of Comprehensive Income 5 Consolidated Statements of Shareholders' Equity 6 Consolidated Statements of Cash Flows 7 Condensed Notes to Consolidated Financial Statements 8

Management's Discussion and Analysis of Financial Condition and Results of Operations

ITEM 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 21

Quantitative and Qualitative Disclosures About Market Risk

ITEM 3. Quantitative and Qualitative Disclosures About Market Risk 28

Controls and Procedures

ITEM 4. Controls and Procedures 28 PART II

Legal Proceedings

ITEM 1. Legal Proceedings 28

Risk Factors

ITEM 1A. Risk Factors 29

Other Information

ITEM 5. Other Information 29

Exhibits

ITEM 6. Exhibits 30

Signatures

Signatures 31 1 Table of Contents DEFINITIONS The following abbreviations or acronyms are used in the text. AME Available Maximum Emergency MISO Midcontinent Independent System Operator, Inc. ARP Alternative Revenue Program MPUC Minnesota Public Utilities Commission BTD BTD Manufacturing, Inc. NDDEQ North Dakota Department of Environmental Quality CCS Carbon Capture and Sequestration NDPSC North Dakota Public Service Commission ECO Energy Conservation and Optimization Rider OTC Otter Tail Corporation EGU Electric Generating Units OTP Otter Tail Power Company EPA Environmental Protection Agency PIR Phase-In Rider ESSRP Executive Survivor and Supplemental Retirement Plan PSLRA Private Securities Litigation Reform Act of 1995 EUIC Electric Utility Infrastructure Costs Rider PTC Production Tax Credits FERC Federal Energy Regulatory Commission PVC Polyvinyl chloride GCR Generation Cost Recovery Rider RHR Regional Haze Rule GHG Greenhouse Gas ROE Return on equity IRP Integrated Resource Plan RRR Renewable Resource Rider ISO Independent System Operator SEC Securities and Exchange Commission kwh kilowatt-hour T.O. Plastics T.O. Plastics, Inc. MDT Meter and Distribution Technology TCR Transmission Cost Recovery Rider Merricourt Merricourt Wind Energy Center FORWARD-LOOKING INFORMATION This Quarterly Report on Form 10-Q contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (the "PSLRA"). When used in this Form 10-Q and in future filings by Otter Tail Corporation (the "Company") with the Securities and Exchange Commission ("SEC"), in the Company's press releases and in oral statements, words such as "anticipate," "believe," "can," "could," "estimate," "expect," "future," "goal," "intend," "likely," "may," "outlook," "plan," "possible," "potential," "predict," "probable," "projected," "should," "target," "will," "would" or similar expressions are intended to identify forward-looking sta

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS 2 Table of Contents OTTER TAIL CORPORATION CONSOLIDATED BALANCE SHEETS (unaudited) (in thousands, except share data) March 31, 2024 December 31, 2023 Assets Current Assets Cash and Cash Equivalents $ 238,158 $ 230,373 Receivables, net of allowance for credit losses 195,674 157,143 Inventories 148,194 149,701 Regulatory Assets 9,175 16,127 Other Current Assets 16,742 16,826 Total Current Assets 607,943 570,170 Noncurrent Assets Investments 66,110 62,516 Property, Plant and Equipment, net of accumulated depreciation 2,459,189 2,418,375 Regulatory Assets 96,682 95,715 Intangible Assets, net of accumulated amortization 6,568 6,843 Goodwill 37,572 37,572 Other Noncurrent Assets 51,968 51,377 Total Noncurrent Assets 2,718,089 2,672,398 Total Assets $ 3,326,032 $ 3,242,568 Liabilities and Shareholders' Equity Current Liabilities Short-Term Debt $ — $ 81,422 Accounts Payable 92,170 94,428 Accrued Salaries and Wages 21,922 38,134 Accrued Taxes 26,486 26,590 Regulatory Liabilities 33,513 25,408 Other Current Liabilities 34,383 43,775 Total Current Liabilities 208,474 309,757 Noncurrent Liabilities Pension Benefit Liability 32,945 33,101 Other Postretirement Benefits Liability 27,501 27,676 Regulatory Liabilities 277,056 276,547 Deferred Income Taxes 246,560 237,273 Deferred Tax Credits 14,985 15,172 Other Noncurrent Liabilities 77,511 75,977 Total Noncurrent Liabilities 676,558 665,746 Commitments and Contingencies ( Note 9 ) Capitalization Long-Term Debt 943,536 824,059 Shareholders' Equity Common Shares: 50,000,000 shares authorized, $ 5 par value; 41,783,750 and 41,710,521 outstanding at March 31, 2024 and December 31, 2023 208,918 208,553 Additional Paid-In Capital 426,358 426,963 Retained Earnings 861,127 806,342 Accumulated Other Comprehensive Income 1,061 1,148 Total Shareholders' Equity 1,497,464 1,443,006 Total Capitalization 2,441,000 2,267,065 Total Liabilities and Shareholders'