Otter Tail Corp Files Q2 2024 10-Q

Ticker: OTTR · Form: 10-Q · Filed: Aug 7, 2024

Sentiment: neutral

Topics: 10-Q, earnings, electric-services

Related Tickers: OTTR

TL;DR

OTTR Q2 10-Q is in. Financials and ops data out.

AI Summary

Otter Tail Corporation filed its 10-Q for the period ending June 30, 2024. The company reported financial results for the second quarter and the first half of the year. Key financial data and operational metrics were disclosed, reflecting the company's performance in its electric and product sales segments.

Why It Matters

This filing provides investors with the latest financial performance data for Otter Tail Corp, crucial for understanding the company's operational health and future prospects.

Risk Assessment

Risk Level: low — This is a routine quarterly filing providing standard financial disclosures.

Key Numbers

Key Players & Entities

FAQ

What were the key segments reported in Otter Tail Corp's 10-Q?

The 10-Q reports on segments including ottr:ElectricMember and ottr:ProductSalesMember.

What is the Standard Industrial Classification code for Otter Tail Corp?

Otter Tail Corp's SIC code is 4911, which corresponds to Electric Services.

When was the company name last changed?

The company's former name was Otter Tail Holding Co, and the date of name change was 20090618.

What is the fiscal year end for Otter Tail Corp?

Otter Tail Corp's fiscal year ends on 1231.

What is the filing date of this 10-Q report?

This 10-Q report was filed on 20240807.

Filing Stats: 4,511 words · 18 min read · ~15 pages · Grade level 20 · Accepted 2024-08-07 12:48:42

Key Financial Figures

Filing Documents

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 23

Quantitative and Qualitative Disclosures About Market Risk

ITEM 3. Quantitative and Qualitative Disclosures About Market Risk 34

Controls and Procedures

ITEM 4. Controls and Procedures 34 PART II

Legal Proceedings

ITEM 1. Legal Proceedings 34

Risk Factors

ITEM 1A. Risk Factors 34

Other Information

ITEM 5. Other Information 34

Exhibits

ITEM 6. Exhibits 35

Signatures

Signatures 36 1 Table of Contents DEFINITIONS The following abbreviations or acronyms are used in the text. ADP Advanced Determination of Prudence MISO Midcontinent Independent System Operator, Inc. AME Available Maximum Emergency NDDEQ North Dakota Department of Environmental Quality ARO Asset Retirement Obligation NDPSC North Dakota Public Service Commission ARP Alternative Revenue Program OTC Otter Tail Corporation BTD BTD Manufacturing, Inc. OTP Otter Tail Power Company CCR Coal Combustion Residual PIR Phase-In Rider CO2 Carbon Dioxide PSLRA Private Securities Litigation Reform Act of 1995 ECO Energy Conservation and Optimization Rider PTC Production Tax Credits EPA Environmental Protection Agency PVC Polyvinyl chloride ESSRP Executive Survivor and Supplemental Retirement Plan RHR Regional Haze Rule EUIC Electric Utility Infrastructure Costs Rider ROE Return on equity FERC Federal Energy Regulatory Commission RRR Renewable Resource Rider GHG Greenhouse Gas RTO Regional Transmission Organizations IRP Integrated Resource Plan 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 statements within

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) June 30, 2024 December 31, 2023 Assets Current Assets Cash and Cash Equivalents $ 230,672 $ 230,373 Receivables, net of allowance for credit losses 191,946 157,143 Inventories 161,787 149,701 Regulatory Assets 8,172 16,127 Other Current Assets 21,551 16,826 Total Current Assets 614,128 570,170 Noncurrent Assets Investments 117,062 62,516 Property, Plant and Equipment, net of accumulated depreciation 2,538,841 2,418,375 Regulatory Assets 95,605 95,715 Intangible Assets, net of accumulated amortization 6,293 6,843 Goodwill 37,572 37,572 Other Noncurrent Assets 51,282 51,377 Total Noncurrent Assets 2,846,655 2,672,398 Total Assets $ 3,460,783 $ 3,242,568 Liabilities and Shareholders' Equity Current Liabilities Short-Term Debt $ 12,809 $ 81,422 Accounts Payable 126,926 94,428 Accrued Salaries and Wages 25,972 38,134 Accrued Taxes 20,608 26,590 Regulatory Liabilities 45,183 25,408 Other Current Liabilities 39,454 43,775 Total Current Liabilities 270,952 309,757 Noncurrent Liabilities Pension Benefit Liability 32,781 33,101 Other Postretirement Benefits Liability 27,759 27,676 Regulatory Liabilities 275,068 276,547 Deferred Income Taxes 249,489 237,273 Deferred Tax Credits 14,799 15,172 Other Noncurrent Liabilities 80,691 75,977 Total Noncurrent Liabilities 680,587 665,746 Commitments and Contingencies ( Note 10 ) Capitalization Long-Term Debt 943,592 824,059 Shareholders' Equity Common Shares: 50,000,000 shares authorized, $ 5 par value; 41,814,425 and 41,710,521 outstanding at June 30, 2024 and December 31, 2023 209,072 208,553 Additional Paid-In Capital 427,264 426,963 Retained Earnings 928,553 806,342 Accumulated Other Comprehensive Income 763 1,148 Total Shareholders' Equity 1,565,652 1,443,006 Total Capitalization 2,509,244 2,267,065 Total Liabilities and Sharehold

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