Otter Tail Corp (NASDAQ: OTTR)

Otter Tail Corporation (OTC), also known as OTTR, operates in the electric utility and manufacturing industries. Headquartered in Fergus Falls, Minnesota, the company has a presence in western Minnesota, eastern North Dakota, and northeastern South Dakota.

Otter Tail's operations are divided into three segments: Electric, Manufacturing, and Plastics. The Electric segment is the largest, accounting for approximately 39% of the company's operating revenues in 2023. This segment includes the generation, transmission, and distribution of electric energy to over 133,000 customers in more than 400 communities. Otter Tail's electric generation capacity is primarily fueled by coal, natural gas, and wind power. The company also owns and operates a number of transmission and distribution lines, including approximately 14,000 miles of transmission and distribution lines.

The Manufacturing segment is engaged in the production of various products, including plastic thermoformed horticultural containers, life science and industrial packaging, material handling components, and extruded raw material stock. This segment operates manufacturing facilities in Georgia, Illinois, and Minnesota, and sells its products primarily in the United States.

The Plastics segment is engaged in the production of polyvinyl chloride (PVC) pipe at plants in North Dakota and Arizona. The PVC pipe is sold primarily in the western half of the United States and Canada.

Otter Tail has a strong competitive position in the electric utility industry, with a long history of providing reliable and affordable electricity to its customers. The company's competitive advantages include its vertically integrated operations, which allow it to control its own generation and transmission assets, as well as its strong relationships with its customers and suppliers.

The company's customers include a diverse range of residential, commercial, and industrial customers, including farmers, ranchers, and small businesses. The company's largest customers account for a significant portion of its retail electric revenues, with two customers accounting for 21% of segment operating revenues in 2023.

In terms of its competitive conditions, Otter Tail faces competition from other electric utilities, as well as from alternative energy sources such as wind and solar power. The company also faces competition from other manufacturers and suppliers of PVC pipe.

Otter Tail is committed to transitioning to a lower-carbon and increasingly clean energy future, while maintaining affordable and reliable electricity to serve its customers. The company has set goals to reduce its carbon emissions from owned generation resources by 50% by 2030 and 97% by 2050 from 2005 levels.

The company's brand names and/or trade names of its products and services include Otter Tail Corporation, OTTR, plastic thermoformed horticultural containers, life science and industrial packaging, material handling components, extruded raw material stock, and PVC pipe.