Financial Performance - Global Water Resources, Inc. (GWRS) reported quarterly earnings of $0.12 per share, exceeding the Zacks Consensus Estimate of $0.11 per share, and showing an increase from $0.11 per share a year ago, representing an earnings surprise of 9.09% [1] - The company posted revenues of $14.32 million for the quarter ended September 2024, which was below the Zacks Consensus Estimate by 2.25%, and a decrease from $14.53 million in the same quarter last year [2] - Over the last four quarters, the company has surpassed consensus EPS estimates two times and topped consensus revenue estimates two times [2] Stock Performance and Outlook - Global Water Resources shares have declined approximately 2.4% since the beginning of the year, contrasting with the S&P 500's gain of 21.2% [3] - The company's earnings outlook is mixed, with the current consensus EPS estimate for the upcoming quarter at $0.06 on revenues of $13.2 million, and $0.27 on revenues of $53.4 million for the current fiscal year [7] - The stock currently holds a Zacks Rank 3 (Hold), indicating it is expected to perform in line with the market in the near future [6] Industry Context - The Utility - Water Supply industry, to which Global Water Resources belongs, is currently ranked in the top 27% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Service Connections and Growth - As of September 30, 2024, active service connections increased by 2,853, or 4.7%, to 63,889 compared to 61,036 active service connections as of September 30, 2023[118] - The company continues to experience an organic growth rate of 4.7% in active connections, up from 2.6% for the same period in 2023[114] - Active water connections increased by 4.4% to 35,464 as of September 30, 2024, from 33,976 as of September 30, 2023[158] Financial Performance - Revenues for the three months ended September 30, 2024, were $14.321 million, a decrease of 1.5% compared to $14.532 million in the same period of 2023[154] - Operating expenses decreased to $10.337 million from $10.695 million, resulting in an operating income of $3.984 million, up from $3.837 million year-over-year[154] - Net income for the three months ended September 30, 2024, was $2.925 million, compared to $2.634 million in the same period of 2023, reflecting an increase of 11%[154] - Basic and diluted earnings per common share for the third quarter of 2024 were both $0.12, an increase from $0.11 in the same quarter of 2023[154] - Total revenues decreased by $0.2 million, or 1.5%, to $14.3 million for the three months ended September 30, 2024, compared to $14.5 million for the same period in 2023[155] - Net income decreased by $1.5 million, totaling $5.3 million for the nine months ended September 30, 2024, compared to $6.8 million for the same period in 2023[198] Revenue Sources - Water service revenue remained stable at $7.5 million for both the three months ended September 30, 2024 and 2023[156] - Wastewater and recycled water service revenue increased by $0.3 million, or 5.1%, to $6.8 million for the three months ended September 30, 2024, compared to $6.5 million for the same period in 2023[161] - Water service revenue increased by $0.5 million, or 2.5%, to $19.4 million for the nine months ended September 30, 2024, compared to $18.9 million for the same period in 2023[179] - Wastewater service revenue increased by $1.0 million for the nine months ended September 30, 2024, driven by a 5.0% increase in active wastewater connections[183] - Recycled water service revenue increased by 40.2% with 882 million gallons delivered for the nine months ended September 30, 2024, compared to 629 million gallons for the same period in 2023[184] Expenses and Costs - Total operating expenses decreased by $0.4 million, or 3.7%, to $10.3 million for the three months ended September 30, 2024, compared to $10.7 million for the same period in 2023[165] - Total operating expenses increased by approximately $1.4 million, or 4.6%, to $31.4 million for the nine months ended September 30, 2024, compared to $30.0 million for the same period in 2023[186] - Operations and maintenance costs rose by approximately $0.6 million, or 6.9%, to $10.2 million for the nine months ended September 30, 2024, compared to $9.6 million for the same period in 2023[186] - General and administrative costs increased by $0.4 million, or 3.2%, to $12.3 million for the nine months ended September 30, 2024, compared to $11.9 million for the same period in 2023[190] Capital Expenditures and Investments - The company is in the process of complying with the National Primary Drinking Water Regulation (NPDWR) and expects increased capital expenditures for PFAS-contaminated water treatment[126][127] - The company has an established capital improvement plan to enhance infrastructure and address operational needs[132] - The company expects to complete the acquisition of seven isolated public water systems from the City of Tucson for $8.4 million in the first quarter of 2025[150] - The estimated rate base of the seven water systems to be acquired is approximately $7.8 million[150] Regulatory and Legal Matters - The company is subject to extensive regulation by the Arizona Corporation Commission (ACC), which influences its rates and financial performance[121] - The company expects to recover expenses associated with compliance for environmental and health standards through rate increases, although this may be affected by regulatory lag[127] - The company is involved in ongoing settlement talks related to the Aqueous Film-Forming Foams (AFFF) Products Liability Litigation, which could impact its financial condition[129] Cash Flow and Financing - Cash flows provided by operating activities totaled approximately $15.8 million for the nine months ended September 30, 2024, a decrease of $6.9 million compared to $22.7 million for the same period in 2023[206] - Net cash used in investing activities was approximately $19.2 million for the nine months ended September 30, 2024, compared to $24.8 million for the same period in 2023, a decrease of $5.7 million[207] - Net cash provided by financing activities increased by $18.5 million to $20.7 million for the nine months ended September 30, 2024, compared to $2.3 million for the same period in 2023[209] Debt and Compliance - The Company amended the Northern Trust Loan Agreement to extend the maturity date to July 1, 2026 and increase the maximum borrowing amount to $15.0 million[218] - The Northern Trust Loan Agreement requires a debt service coverage ratio of consolidated EBITDA to consolidated debt service of at least 1.10 to 1.00[220] - The Company was in compliance with its financial debt covenants under the Northern Trust Loan Agreement as of September 30, 2024[221] Internal Controls and Insurance - There were no material changes in the Company's internal control over financial reporting during the fiscal quarter ended September 30, 2024[228] - The Company is self-insured for losses within policy deductibles or exceeding the amount of insurance maintained, which could materially affect its financial condition[224] - The Company is not involved in any legal proceedings expected to have a material effect on its operations[230]

Core Viewpoint - Global Water Resources, Inc. (GWRS) reported quarterly earnings of $0.07 per share, missing the Zacks Consensus Estimate of $0.08 per share, representing an earnings surprise of -12.50% [1] Financial Performance - The company posted revenues of $13.51 million for the quarter ended June 2024, missing the Zacks Consensus Estimate by 0.66%, compared to revenues of $13 million a year ago [2] - Over the last four quarters, GWRS has surpassed consensus EPS estimates two times and topped consensus revenue estimates three times [2] Stock Performance - Shares of Global Water Resources have lost about 7.2% since the beginning of the year, while the S&P 500 has gained 9.9% [3] - The current consensus EPS estimate for the coming quarter is $0.11 on revenues of $14.8 million, and for the current fiscal year, it is $0.29 on revenues of $53.4 million [7] Industry Outlook - The Utility - Water Supply industry, to which GWRS belongs, is currently in the bottom 24% of over 250 Zacks industries, indicating potential challenges ahead [8] - The performance of GWRS may be influenced by the overall outlook for the industry, as empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions [5][8]

Investors in Global Water Resources, Inc. (GWRS) need to pay close attention to the stock based on moves in the options market lately. That is because the Aug 16, 2024 $7.50 Put had some of the highest implied volatility of all equity options today. Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is a ...

PHOENIX, May 10, 2024 (GLOBE NEWSWIRE) -- Global Water Resources, Inc., ("the Company"), (NASDAQ:GWRS), a pure-play water resource management company, announced that the nominees listed in the Proxy Statement, dated March 26, 2024, for the 2024 Annual Meeting of Stockholders ("the Meeting") were selected as Directors of the Company. As of the March 14, 2024 record date for the determination of the shareholders entitled to notice of and to vote at the meeting, 24,175,947 shares of common stock were outstandi ...

Global Water Resources, Inc. (GWRS) came out with quarterly earnings of $0.03 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.03 per share a year ago. These figures are adjusted for non-recurring items.A quarter ago, it was expected that this company would post earnings of $0.05 per share when it actually produced earnings of $0.07, delivering a surprise of 40%.Over the last four quarters, the company has surpassed consensus EPS estimates two times.Global Water Resource ...

PHOENIX, May 08, 2024 (GLOBE NEWSWIRE) -- Global Water Resources, Inc. (NASDAQ:GWRS), a pure-play water resource management company, reported results for the first quarter ended March 31, 2024. All comparisons are to the same year-ago period unless otherwise noted. The company will hold a conference call at 1:00 p.m. Eastern time tomorrow to discuss the results (see dial-in information below). Q1 2024 Financial Highlights Total revenue decreased $1.5 million or 11.6% to $11.6 million, primarily attributable ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 _____________________________________________________________ FORM 10-Q _____________________________________________________________ (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______________ to _______________ C ...

PHOENIX, May 07, 2024 (GLOBE NEWSWIRE) -- Global Water Resources, Inc. (NASDAQ:GWRS), a pure-play water resource management company, has entered into an agreement to acquire seven water systems from the City of Tucson's water utility. The systems are located in and around Pima County where they serve approximately 2,200 customers. Following their acquisition, they would be integrated with existing Global Water utilities in the area. The addition of the new systems will bring the total number of Global Wate ...

PHOENIX, April 30, 2024 (GLOBE NEWSWIRE) -- Global Water Resources, Inc. (NASDAQ:GWRS), a pure-play water resource management company, has declared, under its dividend policy a monthly cash dividend in the amount of $0.02508 per common share (an annualized dividend rate of $0.30096 per share). The dividend will be payable on May 31, 2024, to holders of record at the close of business on May 17, 2024. About Global Water Resources Global Water Resources, Inc. is a leading water resource management company tha ...