Energy and construction materials company MDU Resources (NYSE:MDU) will be reporting results this Thursday morning. Here’s what to expect.
MDU Resources beat analysts’ revenue expectations by 3.3% last quarter, reporting revenues of $674.8 million, up 14.7% year on year. It was a mixed quarter for the company, with a narrow beat of analysts’ EBITDA estimates but a significant miss of analysts’ EPS estimates.
Is MDU Resources a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting MDU Resources’s revenue to decline 71.1% year on year to $303 million, a further deceleration from the 4% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.13 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. MDU Resources has missed Wall Street’s revenue estimates six times over the last two years.
Looking at MDU Resources’s peers in the construction and engineering segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Ameresco delivered year-on-year revenue growth of 7.8%, beating analysts’ expectations by 13%, and Quanta reported revenues up 21.1%, topping estimates by 3.5%. Ameresco traded up 48.6% following the results while Quanta was down 4%.
Read our full analysis of Ameresco’s results here and Quanta’s results here.
There has been positive sentiment among investors in the construction and engineering segment, with share prices up 2.1% on average over the last month. MDU Resources is up 7.1% during the same time and is heading into earnings with an average analyst price target of $19.50 (compared to the current share price of $17.70).
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