MDU Resources Group reported third quarter earnings from continuing operations of $88.2 million, or 45 cents per common share, compared to earnings from continuing operations of $73.7 million, or 38 cents per common share, for the third quarter of 2015.
Including discontinued operations, primarily the exploration and production and refining businesses, the company reported earnings of $82.8 million, or 42 cents per common share, for third quarter 2016, compared to a loss of $139.6 million, or 72 cents per share, for third quarter 2015.
For the nine months ended Sept 30, MDU Resources reported earnings from continuing operations of $166 million, or 85 cents per common share, compared to $120 million, or 62 cents per share, for the first nine months of 2015. Including discontinued operations, the company had a loss of $1.8 million, or 1 cent per share, for the nine months ended Sept. 30, compared to a loss of $675.5 million, or $3.47 per share, in 2015.
“We have streamlined our company and our two primary business lines, construction materials and services and regulated energy delivery, are providing solid results,” said David L Goodin, president, MDU Resources.
“Our construction businesses continue to experience strong momentum as the country turns more attention to needed infrastructure improvements. Our construction materials segment achieved record third quarter earnings for the second consecutive year, and our construction services business improved earnings by 53%.
The construction materials business reported record third quarter earnings of $69.5 million, up from record third quarter 2015 earnings of $68.8 million. This business saw higher construction margins with increased construction activity in the Pacific and northwestern areas of the US and lower selling, general and administrative expense. Backlog at construction materials is $580 million, which is up 9% from last year.
Third quarter earnings at the construction services business were $7.2 million, up $2.5 million from third quarter 2015, with higher workloads and margins on inside electrical and outside work in the western area of the US. The construction services backlog of $518 million, which is up 13 percent from last year, includes projects from a broad variety of service areas and across geographic regions.