Slides
Page 1
Black Hills Corporation Ready 2026 Second Quarter Review Aug. 6 , 2026
Page 2
Forward-looking Statements 2 COMPANY INFORMATION Black Hills Corporation P.O. Box 1400 Rapid City, SD 57709-1400 NYSE Ticker: BKH www.blackhillscorp.com Company Contacts Kimberly Nooney Senior Vice President and CFO 605-721-2370 kim.nooney@blackhillscorp.com Sal Diaz Director of Investor Relations 605-399-5079 sal.diaz@blackhillscorp.com This presentation includes “forward-looking statements” as defined by the Securities and Exchange Commission. We make these forward-looking statements in reliance on the safe harbor protections provided under the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, included in this presentation that address activities, events or developments that we expect, believe or anticipate will or may occur in the future are forward-looking statements. This includes, without limitations, our 2026 earnings guidance, long-term growth target and our expectations for regulatory approvals for and the closing of the merger with NorthWestern Energy. These forward-looking statements are based on assumptions which we believe are reasonable based on current expectations and projections about future events and industry conditions and trends affecting our business. However, whether actual results and developments will conform to our expectations and predictions is subject to a number of risks and uncertainties that, among other things, could cause actual results to differ materially from those contained in the forward-looking statements, including without limitation, the risk factors described in Item 1A of Part I of our 2025 Annual Report on Form 10-K, and other reports that we file with the SEC from time to time, and the following: ➢ The accuracy of our assumptions on which our earnings guidance and growth target are based; ➢ Our ability to obtain timely and adequate regulatory approvals and cost recovery; ➢ Our ability to execute our capital investment program and strategic initiatives; ➢ Our ability to access capital markets and successfully execute financing plans; ➢ The effects of inflation, interest rates, commodity prices, supply chain constraints and labor availability; ➢ Severe weather, wildfire, cybersecurity incidents (including risks associated with the use of artificial intelligence and evolving cyber threats), operational and other business risks; ➢ Our ability to serve customer growth opportunities, including large-load customers; ➢ Changes in laws, regulations and governmental policies; and ➢ The expected timing and likelihood of completion and our ability to realize the anticipated benefits of the proposed merger with NorthWestern, including the timing, receipt and terms and conditions of any required governmental and regulatory approvals of the proposed acquisition that could reduce anticipated benefits or give rise to the termination of the merger. New factors that could cause actual results to differ materially from those described in forward-looking statements emerge from time to time, and it is not possible for us to predict all such factors, or the extent to which any such factor or combination of factors may cause actual results to differ from those contained in any forward-looking statement. We assume no obligation to update publicly any such forward-looking statements, whether as a result of new information, future events or otherwise.
Page 3
3BKH | 2026 Second Quarter Review | Aug. 6, 2026 | ✓ Reaffirmed guidance reflecting year -over-year adjusted EPS growth of 6% ✓ Maintained strong balance sheet to enable growth ✓ Increased dividend 56 consecutive years in 2026 at current annualized rate Q2 2026 Delivering Results for Stakeholders ✓ Completed Kansas Gas abbreviated rate review, advanced requests for Arkansas Gas and South Dakota Electric, and filed new rate review request for Colorado Electric ✓ On track to complete 99 MW Lange II generation project in South Dakota by year -end ✓ Progressing toward completion of multiple definitive agreements for 1.8GW data center ✓ Requested Large Customer Transmission Cost Adjustment Mechanism (LCTCAM) in Wyoming ✓ Served new all -time load peaks for Wyoming Electric; 16% increase over June 2025 ✓ Advancing $905 million capital plan in 2026 with minimal large -load investment ✓ Completed regulatory requirements for wildfire liability protections in South Dakota and Wyoming Advance Regulatory and Growth Initiatives Deliver Excellent Operational Performance Deliver on Financial Commitments Close Merger with NorthWestern Energy ✓ Obtained approvals from shareholders, FERC, Nebraska and South Dakota ✓ Completed antitrust waiting period under Hart -Scott-Rodino Act ✓ Reached partial settlement in Montana and completed hearing; awaiting final decision ✓ Expect to close transaction by year-end 2026
Page 4
4BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Current financial plan includes: • Data center load of 600 MW by 2030 with minimal capital investment • Data center demand contributing 10%+ of growing consolidated EPS beginning in 2028 Progress on 2.5 GW+ of upside opportunities: • Progressing to complete multiple definitive agreements with counterparties • Executed agreement to reserve generation equipment as part of resource mix to serve a 1.8 GW project Strong and growing data center demand • Innovative tariff 2 providing flexibility for the unique needs of our customers with a mix of: ✓ Market energy procurement (minimal capital) ✓ Contracted resources (minimal capital) ✓ Company-owned resources • Cost-effectively enabling speed to market • Benefits to other customers and communities High-Quality Data Center Pipeline1 of 3 GW+ Flexible service model 1 Pipeline includes large-load requests under non-disclosure agreements and in active negotiations 2 Large Power Contract Service (LPCS) tariff in Wyoming
Page 5
5BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Merger with NorthWestern Energy Update ✓ Filed joint applications for approval in Montana, Nebraska, and South Dakota in Q4 2025 ✓ Nebraska hearing held April 7, 2026; unanimous approval of settlements received May 19, 2026 ✓ South Dakota hearing held and unanimous approval of settlements received June 24, 2026 ✓ Settlements reached with certain key intervenors in Montana o Montana hearing concluded May 15, 2026; final briefs submitted July 13, 2026; awaiting final order ✓ Filed joint application with FERC on Dec. 22, 2025 ✓ FERC approval received on May 29, 2026 ✓ Filed S-4/Joint Proxy Statement on Jan. 30, 2026; ✓ Shareholder approvals received by both companies on April 2, 2026 ✓ Filed Hart-Scott-Rodino on March 20, 2026 ✓ The 30-day waiting period expired on April 20, 2026, satisfying a U.S. antitrust condition to closing Q3 2025 Q4 2025 Q1 2026 Q2 2026 Q3 2026 Q4 2026 Merger Announced August 19 File Regulatory Applications / Regulatory Approval Process: FERC, SEC, FTC/DOJ (HSR), MPSC, NPSC, SDPUC File Form S-4/Joint Proxy Statement BKH and NWE Shareholder Meetings Develop Transition and Integration Plans Anticipated Receipt of Required Approvals Anticipated Merger Close
Page 6
6 Q2 2026 Financial Review BKH | 2026 Second Quarter Review | Aug. 6, 2026 |
Page 7
$0.38 $0.50 $0.54 $0.26 $0.01 ($0.04) ($0.06) ($0.06) $0.02 $0.04 $0.00 $0.10 $0.20 $0.30 $0.40 $0.50 $0.60 $0.70 Q2 2025 Margin Weather O&M Financing D&A Taxes & Other Q2 2026 (GAAP) Merger Costs Q2 2026 (Adjusted)* 7BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Q2 2026 EPS Drivers Compared to Q2 2025 New shares ($0.03) Interest expense ($0.02) AFUDC ($0.01) Merger costs ($0.04) Lower employee costs +0.04 Q2 2025 unplanned generation outages +$0.03 Other ($0.07) New rates and rider recovery 1 +$0.21 Mark-to- Market impact +$0.01 Other +$0.04 Q2 2025: ($0.04)_ versus normal Q2 2026: ($0.03) versus normal 2 Note: Differences in totals may exist due to rounding * Adjusted EPS is a non-GAAP measure reflecting earnings net of merger -related costs; see Appendix for detail 1 New rates and rider recovery includes EPS of $0.11 for the gas utilities and $0.10 for the electric utilities 2 Weather compared to normal for Q2 2026 drove $0.03 of unfavorability for the gas utilities and $0.00 per share for the electric utilities
Page 8
8BKH | 2026 Second Quarter Review | Aug. 6, 2026 | YTD 2026 EPS Drivers Compared to YTD 2025 $2.24 $2.23 $2.33 $0.41 ($0.18) $0.01 ($0.17) ($0.12) $0.04 $0.10 $0.00 $0.25 $0.50 $0.75 $1.00 $1.25 $1.50 $1.75 $2.00 $2.25 $2.50 $2.75 YTD (June) 2025 Margin Weather O&M Financing D&A Taxes & Other YTD (June) 2026 GAAP Merger Costs YTD (June) 2026 Adjusted* Note: Differences in totals may exist due to rounding * Adjusted EPS is a non-GAAP measure reflecting earnings net of merger -related costs; see Appendix for detail 1 New rates and rider recovery includes EPS of $0.24 for the gas utilities and $0.21 for the electric utilities 2 Weather compared to normal for YTD 2026 drove $0.14 of unfavorability for the gas utilities and $0.03 per share of unfavorability for the electric utilities New shares ($0.12) Interest expense ($0.04) AFUDC ($0.01) Merger costs ($0.10) Lower employee costs +0.05 Q2 2025 unplanned outages +$0.03 Other +$0.03 New rates and rider recovery 1 +$0.45 Lower retail usage ($0.06) Other +$0.02 YTD 2025: +$0.02_ versus normal YTD 2026: ($0.16) versus normal 2
Page 9
$0 $250 $500 $750 $1,000 $250 million accordion feature (with bank consent) 45% 50% 55% 60% Jun-23 Jun-24 Jun-25 Jun-26 $0 $1 $2 $3 $4 $5 Net Debt Equity Net Debt to Capitalization $0 $100 $200 $300 $400 $500 2026 2030 2035 2040 2045 2050 (millions) BKH | 2026 Second Quarter Review | Aug. 6, 2026 | 9 Solid Investment-Grade Financial Position Capital Structure * Liquidity and Cash Flow Debt Maturities (millions) Long-term target $657 million of available liquidity on revolving credit facility at quarter-end (billions) Credit Ratings FFO / Debt Long-term Target 14-15% Downgrade Threshold 13% Note: FFO / Debt is a non-GAAP measure calculated in accordance with rating agencies’ methodologies 3-month average short-term borrowings Moody’s S&P Baa2 BBB+ Stable outlook Stable outlook * Net debt to capitalization is a non-GAAP measure reconciled in Appendix; equity excludes non-controlling interest
Page 10
10BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Note: Outlook excludes pending merger with NorthWestern Energy, expected to close by year -end 2026 1 Adjusted EPS is a non-GAAP measure which excludes merger-related costs; see slide 22 or earnings press release for a list of key guidance assumptions 2 Average annual compound growth rate off 2023 guidance midpoint of $3.75 per share 3 56 consecutive years of increase based on annualized rate for 2026 BKH Financial Outlook Targeting 55% to 65% payout ratio 56 consecutive years of increases in 2026 3 Dividend Reaffirmed guidance in the range of $4.25 to $4.45 Midpoint represents 6% growth compared to $4.10 adjusted EPS in 2025 Expect to deliver in upper half of 4% to 6% growth in 2026 to 2030 Includes 600 MW of data center pipeline with minimal capital investment Long-term EPS Growth 2 2026 Adjusted EPS1 Capital Investment Forecasting $4.7 billion in 2026 to 2030, including $0.9 billion in 2026 Excludes upside potential from investments as part of resource mix to serve additional data center demand
Page 11
$2.81* 1970 1980 1990 2000 2010 2020 2026* 11BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Dividend Track Record 56 Consecutive Years of Annual Increases in 2026 and 84 Consecutive Years Paid* Annual Dividend Per Share * 2026 dividend represents current quarterly dividend at annualized rate 4.4% CAGR 2020-2026
Page 12
12BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Business Update
Page 13
13BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Lange II Generation Project to Serve South Dakota Electric Resource Needs Adding 99 MW of Dispatchable Natural Gas Generation in Q4 2026 ✓ Q1 2025 – Requested CPCN from Wyoming Public Service Commission ✓ Q2 2025 – Obtained CPCN from Wyoming Public Service Commission; no CPCN process in South Dakota ✓ Q3 2025 – Commenced construction ✓ August 2026 – Requested recovery through rider available under state law ❑ Q4 2026 – Expect to place in service and begin recovery Pictured: Lange II generation project site under construction in Rapid City, South Dakota Note: The South Dakota Electric system serves customers in western South Dakota, northeastern Wyoming and southeastern Montan a
Page 14
14BKH | 2026 Second Quarter Review | Aug. 6, 2026 | 600 MW+ Other opportunities 1,800 MW data center 600 MW by 2030 Microsoft and Meta Mix of resources with end customers under LPCS4 tariff in Wyoming, including investment in generation and transmission Market energy and contracted resources Negotiating mix of resources and agreements, including LPCSA4 Continue to support ongoing growth High-Quality Data Center Pipeline1 of 3 GW+ Service Model Next Steps 3 GW+ In 2026-2030 plan + Upside Pipeline 2 1 Pipeline includes large-load requests under non-disclosure agreements and in active negotiations 2 Upside pipeline excludes Microsoft land purchase for future expansion and other potential projects in early -stage development 3 Large Customer Transmission Cost Adjustment Mechanism (LCTCAM); framework to recover transmission -related investments and expenses from large-load customers benefiting from the transmission facilities 4 Large Power Contract Service (LPCS) tariff and Large Power Contract Service Agreement (LPCSA) to serve large -load customers in Wyoming; see slide 21 for more detail Current Progress Actively negotiating 600 MW+, of which a LPCSA4 for 75 MW is expected in Q3 2026 Serving Microsoft’s and Meta’s growing load + ✓ Reserved generation equipment ✓ Site permitting underway ✓ Filed transmission recovery mechanism (LCTCAM)3
Page 15
15BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Regulatory Progress * As requested in filing ** Abbreviated rate case and returns and capital structure based upon black box settlement approved on July 24, 2025 Jurisdiction Filing Date Annual Revenue Increase ROE Debt / Equity New Rates Comments / Status Arkansas Gas Docket 25-064-U Dec. 5, 2025 $29.4 million* 10.5%* 49.8% / 50.2%* 2H 2026* Sur-surrebuttal testimony filed; hearing scheduled for Aug. 20, 2026 Colorado Electric Docket 26AL-0232E June 12, 2026 $26.7 million 10.5%* 49%/51% Q1 2027* Seeking recovery of $184 million of investments since last rate review in 2024 South Dakota Electric South Dakota Docket EL26-003 Feb. 19, 2026 $50.6 million* 10.5%* 46.8% / 53.2%* Q1 2027* Seeking recovery of $523 million of investments and increased costs to serve since last rate review in 2014; interim rates expected to be in effect Aug. 18, 2026 South Dakota Electric Wyoming Docket 20002-148-ER-26; Record No: 18089 March 18, 2026 $5.1 million* 10.5%* 47.0% / 53.0%* Q1 2027* Seeking recovery of investments and increased costs to serve since last rate review in 2014 Kansas Gas Docket 26-BHCG-0240-RTS March 2, 2026 $2.4 million n/a** n/a** July 1, 2026 New rates approved and in effect for abbreviated rate case for recovery of capital through Dec. 31, 2025 • Advanced rate review requests for Arkansas Gas and South Dakota Electric • Filed new rate review request for Colorado Electric • In July, received approval of Wildfire Mitigation Plan in Wyoming and submitted plan to South Dakota Public Utilities Commission, satisfying regulatory requirements in both states for new wildfire liability protections ✓
Page 16
16BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Wyoming Integrated Resource Plan (IRP) • Plan focused on non-LPCS* retail needs; excludes capacity to serve large customers under LPCS* • 20-year planning horizon (2026-2045) with near-term analysis through 2033 • Identifies 95 MW of near-term capacity needs beginning in 2027 • Recommends cost-effectively serving through the following resources: ▪ 36 MW of new natural gas-fired generation ▪ 50 MW of new battery storage ▪ Market energy purchases Expanding Electric Infrastructure to Serve Our Customers in Wyoming Pictured: Cheyenne Prairie Generating Station in Cheyenne, Wyoming * Large Power Contract Service (LPCS) tariff serving large -load customers in Wyoming; initial 13 MW of each large -load customer’s usage is classified as industrial retail load
Page 17
17BKH | 2026 Second Quarter Review | Aug. 6, 2026 | 2 Compelling Long-term Value Proposition 4% to 6% Adjusted EPS CAGR 2026-2030* $4.7 billion capital plan 600 MW data center demand by 2030 Note: Excludes pending merger with NorthWestern Energy, expected to close by year -end 2026 * Average compounded annual growth rate off 2023 guidance midpoint of $3.75 per share; adjusted EPS is a non -GAAP measure reconciled to GAAP in the Appendix ~ 4% Dividend yield 55%-65% dividend payout target 56 years of consecutive annual increases 3 GW+ Data center pipeline • Margins on market energy and contracted resources service model • Investment opportunities as a mix of resources to serve demand ✓ Customer-focused strategy prioritizing safety, reliability and affordability ✓ Diversity of large electric and natural gas infrastructure across eight stable and growing states ✓ Constructive regulatory jurisdictions and mechanisms Vertically-integrated Utility with Strategic Diversity and Significant Growth Opportunities Expecting to deliver in upper half of range
Page 18
18 Questions BKH | 2026 Second Quarter Review | Aug. 6, 2026 |
Page 19
19 Appendix BKH | 2026 Second Quarter Review | Aug. 6, 2026 |
Page 20
$0 $200 $400 $600 $800 $1,000 2026 2027 2028 2029 2030 Key investment categories in current plan • Customer growth • Safety, integrity and modernization programs • Generation and transmission expansion • Battery storage for Colorado emission reduction requirements (50 MW in 2027) • Minimal investment to serve 600 MW of data center demand 20BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Investing for Customer Needs Drives Growth (millions) * Forecasted capital is subject to changes in timing and costs of projects and other factors Capital Investment Depreciation Opportunities for upside to plan • Generation and transmission as part of resource mix to serve data center demand • Natural gas pipelines and storage $4.7 billion capital investment forecast 2026-2030*
Page 21
21BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Flexible Large-Load Demand Service Model Legislation-Backed, Commission-Approved Tariff Black Hills’ Wyoming Electric System Large-load Customer Energy delivered through our system Energy costs and service fees Contracted resources • Black Hills Energy secures specific resources and delivers energy through Black Hills Energy system • Customer pays risk-adjusted, demand-based microgrid management fee along with other pass- through costs Market energy procurement • Black Hills Energy secures market energy and delivers energy through Black Hills Energy system • Customer pays demand-based microgrid management fee comparable to returns from a rate base investment along with other pass-through costs Company-owned resources • Traditional rate base generation investments • Risk-adjusted return on and of investments recovered through rates specific to customer Note: Large-load service model supported in Wyoming by Large Power Contract Services Tariff (LPCS) Benefits to Other Customers Flexibility to serve through a mix of energy resources:
Page 22
$3.75 $3.90 $4.10$3.91 $3.91 $4.10 $3.00 $3.25 $3.50 $3.75 $4.00 $4.25 $4.50 2023 2024 2025 2026 2027-2030 $4.45 $4.25 22BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Strategic Growth Trajectory on Track ~4% EPS Guidance Midpoint Actual Adjusted EPS* Adjusted EPS Guidance Range* 2026-2030 4% to 6% EPS Growth target off 2023 guidance midpoint of $3.75 ~5% Consistently Delivering on EPS Guidance and Long-term Growth Target Key 2026 Guidance Assumptions • Normal weather • Constructive and timely outcomes of regulatory dockets • Excludes mark-to-market adjustments • 3.5% increase in O&M expense off $580 million in 2025 (excludes merger-related costs, depreciation and amortization and taxes other than income taxes) • Equity issuance between $50 million and $70 million • Effective tax rate of 14% for full year * Adjusted EPS is a non-GAAP measure reconciled on slide 27; reflects earnings net of merger -related costs. ~5% ~6%
Page 23
23BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Merger with NorthWestern Benefits Stakeholders Increases Scale Position and Growth Increases the combined company target EPS growth rate to 5-7%, supported by the doubling of each company’s rate base to total of ~$11 billion with significant growth opportunities Expands Investment Opportunity Leverages enhanced resources to make strategic investments that foster economic development, including addressing the growing demand for energy, including from data centers Substantial Long-Term Value for Customers Enhances Business Diversity Delivering energy to more than 2.1 million customers across multiple contiguous jurisdictions, served by a highly skilled workforce focused on safety and reliability Strengthens Balance Sheet Strong and predictable cash flows support a customer-focused capital investment program while producing high-quality, investment- grade credit metrics Bringing together two complementary teams focused on reliability and exceptional customer service to deliver even greater value. For more information, see http://www.blackhillsnorthwesternbettertogether.com Strategic combination represents a highly attractive value creation opportunity for both companies
Page 24
Jun-23 Sep-23 Dec-23 Mar-24 Jun-24 Sep-24 Dec-24 Mar-25 Jun-25 Sep-25 Dec-25 Mar-26 Jun-26 Capitalization Short-term Debt 525 1,125 600 600 600 18 134 360 424 126 - 662 785 Long-term Debt 3,956 3,800 3,801 3,803 4,247 4,249 4,250 3,952 3,952 4,253 4,701 3,993 3,994 Total Debt 4,481 4,925 4,401 4,403 4,847 4,266 4,384 4,311 4,376 4,379 4,701 4,655 4,779 Equity 2 3,110 3,167 3,215 3,334 3,357 3,447 3,501 3,635 3,636 3,768 3,824 3,945 3,943 Total Capitalization 7,591 8,092 7,617 7,737 8,204 7,713 7,886 7,947 8,012 8,147 8,525 8,600 8,722 Net Debt to Net Capitalization Debt 4,481 4,925 4,401 4,403 4,847 4,266 4,384 4,311 4,376 4,379 4,701 4,655 4,779 Cash and Cash Equivalents (153) (594) (87) (123) (625) (13) (16) (7) (8) (21) (183) (24) (72) Net Debt 3 4,328 4,330 4,315 4,280 4,222 4,254 4,368 4,305 4,368 4,358 4,518 4,631 4,707 Net Capitalization 7,438 7,498 7,530 7,614 7,580 7,700 7,869 7,940 8,004 8,126 8,342 8,576 8,652 Debt to Capitalization 59.0% 60.9% 57.8% 56.9% 59.1% 55.3% 55.6% 54.3% 54.6% 53.7% 55.1% 54.1% 54.8% Net Debt to Capitalization 3 58.2% 57.8% 57.3% 56.2% 55.7% 55.2% 55.5% 54.2% 54.6% 53.6% 54.2% 54.0% 54.4% Long-term Debt to Total Debt 88.3% 77.2% 86.4% 86.4% 87.6% 99.6% 96.9% 91.7% 90.3% 97.1% 100.0% 85.8% 83.6% 24BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Capital Structure 1 June 2026 short-term debt includes $285 million of refundable advances for construction 2 Excludes noncontrolling interest 3 Net debt is a non-GAAP measure which includes total debt net of cash and cash equivalents ($ in millions) Note: Differences in totals due to rounding 1 1
Page 25
$3.78 $3.79 $4.02 $4.10 $4.21 $2.48 $0.00 $0.50 $1.00 $1.50 $2.00 $2.50 $3.00 $3.50 $4.00 $4.50 Full Year $1.48 $0.41 $0.62 $1.29 $1.72 $0.54 $0.45 $1.10 $1.73 $0.36 $0.65 $1.28 $1.93 $0.39 $0.32 $1.47 $1.82 $0.42 $0.50 $1.48 $1.91 $0.58 — — $0.00 $0.50 $1.00 $1.50 $2.00 2021 2022 2023 2024 2025* 2026* 25BKH | 2026 Second Quarter Review | Aug. 6, 2026 | * Adjusted EPS is a non-GAAP measure and is reconciled to GAAP for merger -related costs on slide 27. Adjusted EPS in 2025 and 2026 is reflective of adjustments for costs related to the pending merger with NorthWestern Energy. Normalized total excludes weather impact versus normal and mark-to-market impacts on energy contracts Note: Differences in totals due to rounding and timing of dilution driven by weighted average number of shares outstanding Adjusted EPS Normalized for Weather and Mark-to-Market* • Q1 and Q4 seasonality driven by peak heating demand at gas utilities • Q2 and Q3 driven by peak cooling demand, off-system energy sales opportunities and agricultural irrigation for gas utilities Adjusted EPS* Q1 Q2 Q3 Q4 FY / YTD 2021 $1.54 $0.40 $0.70 $1.11 $3.74 2022 $1.82 $0.52 $0.54 $1.11 $3.97 2023 $1.73 $0.35 $0.67 $1.17 $3.91 2024 $1.87 $0.33 $0.35 $1.37 $3.91 2025* $1.87 $0.38 $0.45 $1.41 $4.10 2026* $1.79 $0.54 — — $2.33 Weather impact versus normal Q1 Q2 Q3 Q4 FY / YTD 2021 $0.07 $0.01 $0.00 ($0.16) ($0.07) 2022 $0.06 $0.01 $0.07 $0.05 $0.19 2023 $0.03 ($0.02) $0.02 ($0.09) ($0.06) 2024 ($0.07) ($0.06) $0.03 ($0.10) ($0.20) 2025 $0.04 ($0.04) ($0.04) ($0.07) ($0.11) 2026 ($0.13) ($0.03) — — ($0.16) Mark-to-Market (MTM) gains (losses) on energy contracts Q1 Q2 Q3 Q4 FY / YTD 2021 ($0.01) ($0.02) $0.08 ($0.02) $0.03 2022 $0.04 ($0.03) $0.02 ($0.04) ($0.01) 2023 ($0.04) $0.01 $0.00 ($0.02) ($0.05) 2024 $0.01 $0.00 $0.00 $0.00 $0.01 2025 $0.01 ($0.01) ($0.01) $0.00 $0.00 2026 $0.00 $0.00 — — $0.00 Adjusted EPS Normalized for Weather and MTM* Q1 Q2 Q3 Q4 FY / YTD 2021 $1.48 $0.41 $0.62 $1.29 $3.78 2022 $1.72 $0.54 $0.45 $1.10 $3.79 2023 $1.73 $0.36 $0.65 $1.28 $4.02 2024 $1.93 $0.39 $0.32 $1.47 $4.10 2025* $1.82 $0.42 $0.50 $1.48 $4.21 2026* $1.91 $0.58 — — $2.48
Page 26
26BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Adjusted earnings and Adjusted EPS As noted in this presentation, in addition to presenting its earnings information in conformity with Generally Accepted Accounting Principles (GAAP), the company has presented non-GAAP Adjusted earnings and Adjusted EPS, which reflect adjustments for expenses, gains and losses that the company believes do not reflect ongoing core operating performance, such as costs related to the pending merger with NorthWestern Energy. The company’s management uses non-GAAP measures for financial planning and analysis, for reporting of results to the Board of Directors, in determining performance-based compensation and communicating its earnings outlook to analysts and investors. Non-GAAP financial measures are intended to supplement investors’ understanding of our performance and should not be considered alternatives for financial measures presented in accordance with GAAP. Our non-GAAP measures may not be comparable to those of other companies. Reconciliation of non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the reconciliation on the following page. Non-GAAP Financial Measures
Page 27
27BKH | 2026 Second Quarter Review | Aug. 6, 2026 | Non-GAAP Financial Measures 2021 2022 2023 2024 2025 Q2 2026 YTD 2026 2021 2022 2023 2024 2025 Q2 2026 YTD 2026 Net income available for common stock (GAAP) 236.7$ 258.4$ 262.2$ 273.1$ 291.6$ 38.2$ 169.2$ 3.74$ 3.97$ 3.91$ 3.91$ 3.98$ 0.50$ 2.23$ Adjustments, after tax Merger-related costs - - - - 8.8 3.3 7.5 - - - - 0.12 0.04 0.10 Total Non-GAAP Adjustments - - - - 8.8 3.3 7.5 - - - - 0.12 0.04 0.10 Rounding - - - - - - (0.1) - - - - - - Adjusted Earnings (Non-GAAP) 236.7$ 258.4$ 262.2$ 273.1$ 300.4$ 41.5$ 176.6$ 3.74$ 3.97$ 3.91$ 3.91$ 4.10$ 0.54$ 2.33$ Adjusted Earnings Per ShareAdjusted Earnings (in millions)
Page 28
Agility Communication Creating Value Customer Service Integrity Leadership Partnership Respect Safety STRATEGIC PRIORITIES 28BKH | 2026 Second Quarter Review | Aug. 6, 2026 |