Analyst’s Disclosure:I/we have a beneficial long position in the shares of MSEX, VEOEY, YORW either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. While this article may sound like financial advice, please observe that the author is not a CFA or in any way licensed to give fin ...

Analyst’s Disclosure:I/we have a beneficial long position in the shares of MSEX, VEOEY, YORW either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. While this article may sound like financial advice, please observe that the author is not a CFA or in any way licensed to give fin ...

ISELIN, N.J., Dec. 22, 2025 (GLOBE NEWSWIRE) -- Middlesex Water Company, (“Middlesex” or the “Company) (NASDAQ:MSEX), announced today the appointment of Robert Hoglund to its Board of Directors, effective January 1, 2026. Over his career, Mr. Hoglund has held several senior financial leadership roles, including more than 18 years as Chief Financial Officer of Consolidated Edison, Inc. He previously served as a Managing Director in Citigroup’s Mergers & Acquisitions Group, advising Fortune 500 utilities and ...

Company Overview - Middlesex Water Company is a leading investor-owned water and wastewater utility in the United States, established in 1897 [2] - The company serves over half a million people in New Jersey and Delaware, focusing on employee engagement, operational excellence, and superior customer experience [2] - Middlesex emphasizes investment in infrastructure and sustainable growth to deliver value to customers, investors, and communities [2] Upcoming Event - Senior Vice President, Chief Financial Officer, and Treasurer Rally Zerhouni will present at the Baird 2025 Global Industrial Conference in Chicago on November 12, 2025, at 10:50 a.m. CT [1]

Core Viewpoint - Middlesex Water Company reported its financial results for the third quarter of 2025, highlighting a focus on sustainable growth and an acquisition strategy to enhance operational excellence and customer service [2][3]. Financial Performance - For Q3 2025, Middlesex reported a net income of $14.0 million and diluted EPS of $0.77, a slight decrease from $14.3 million and $0.80 in Q3 2024 [3]. - Operating revenues for Q3 2025 were $54.1 million, down $1.0 million from $55.1 million in the same quarter last year, primarily due to lower consumption from unfavorable weather [3]. - Operating expenses for Q3 2025 decreased to $36.4 million from $37.6 million in Q3 2024, driven by higher capitalizable costs and lower legal and regulatory costs [4]. Year-to-Date Results - For the nine months ended September 30, 2025, net income was $34.2 million, a decrease of $1.3 million compared to the same period in 2024, with diluted EPS at $1.90 versus $1.98 [5]. - Year-to-date operating revenues increased to $147.7 million, up approximately $2.9 million from $144.8 million in 2024, attributed to rate increases and customer growth [6]. - Operating expenses for the nine months increased by $2.5 million, mainly due to higher variable production costs and increased depreciation [7]. Investment and Growth Strategy - Middlesex invested approximately $72 million in upgrading and enhancing its water and wastewater utility infrastructure during the first nine months of 2025, representing about 77% of its planned annual investment of $93 million [8]. - The company executed an asset purchase agreement to acquire the Pinewood Acres water utility assets in Delaware for $0.2 million, serving approximately 350 customers [10]. Dividend Announcement - The Board of Directors declared a fourth-quarter cash dividend of $0.36 per common share, marking a 5.88% increase from the previous dividend of $0.34, raising the annual dividend rate to $1.44 from $1.36 [11].

Revenue Performance - Middlesex Water Company's operating revenues for Q3 2025 decreased by $1.0 million compared to Q3 2024, primarily due to lower customer consumption driven by unfavorable weather [125]. - The Middlesex System revenues decreased by $1.3 million, while Tidewater System revenues increased by $0.3 million due to customer growth and base rate increases [125]. - Operating revenues for the nine months ended September 30, 2025, increased by $2.9 million to $147.715 million compared to the same period in 2024 [133]. Capital Investment and Acquisitions - The Company plans to invest approximately $93 million in 2025 as part of its multi-year capital construction program to upgrade and replace utility infrastructure [118]. - In April 2025, Tidewater completed the acquisition of the water utility assets of the Town of Ocean View, Delaware, for approximately $4.6 million, serving about 900 customers [113]. Operating Income and Expenses - Operating income for Q3 2025 was $17.703 million, compared to $17.501 million in Q3 2024, reflecting a slight increase [124]. - Operations and Maintenance Expense for the nine months ended September 30, 2025, increased by $0.3 million to $67.913 million due to increased production costs and higher labor costs [134]. - Depreciation expense for the nine months ended September 30, 2025, increased by $2.2 million to $20.171 million due to higher average utility plant in service [135]. Other Financial Metrics - Other Income, net for the nine months ended September 30, 2025, decreased by $4.4 million to $5.582 million primarily due to lower retirement benefit plans [137]. - Interest Charges for the nine months ended September 30, 2025, decreased by $0.2 million to $10.535 million due to lower average debt outstanding [138]. - Income Taxes for the nine months ended September 30, 2025, decreased by $2.4 million to $4.001 million primarily due to lower pretax income [139]. Cash Flow Analysis - Cash flows from operating activities increased by $6.8 million to $44.1 million for the nine months ended September 30, 2025 [141]. - Cash flows used in investing activities increased by $26.8 million to $76.2 million due to increased utility plant expenditures and Tidewater's acquisition of water utility assets [142]. - Cash flows from financing activities increased by $16.8 million to $32.9 million due to higher borrowings and proceeds from the issuance of common stock [143]. Regulatory and Compliance - The Company is implementing strategies to meet new USEPA PFAS regulations, including preliminary engineering studies for treatment solutions [117]. - The Company filed a Joint Application for a general base rate increase in June 2025 to address rising operating costs and infrastructure investments [121]. - Middlesex received approval to borrow up to $300 million from the New Jersey SRF Program through December 31, 2025 [145]. Customer Growth - Organic residential customer growth in the Tidewater system was approximately 3.5% in 2024, although current economic conditions may challenge this growth [121]. - The Company operates under a 10-year contract for the City of Perth Amboy, New Jersey, which includes emergency response and capital project management responsibilities [108]. Legal Matters - The Company received an initial settlement payment of $0.4 million from 3M Company related to PFAS litigation, with additional payments anticipated [112].

Financial Performance - Middlesex reported net income of $14.0 million and diluted EPS of $0.77 for Q3 2025, compared to net income of $14.3 million and diluted EPS of $0.80 in Q3 2024[3]. - Year-to-date net income for the nine months ended September 30, 2025, was $34.2 million, a decrease of $1.3 million compared to the same period in 2024[5]. - The company reported a diluted EPS of $1.90 for the nine months ended September 30, 2025, down from $1.98 in the same period in 2024[5]. Revenue and Expenses - Operating revenues for Q3 2025 were $54.1 million, a decrease of $1.0 million from $55.1 million in Q3 2024, primarily due to lower consumption from unfavorable weather[3]. - Operating revenues for the nine months ended September 30, 2025, were $147.7 million, an increase of approximately $2.9 million over the same period in 2024[6]. - Operating expenses for the nine months ended September 30, 2025, increased by $2.5 million compared to the same period in 2024, primarily due to higher variable production costs and increased main break activity[8]. Investments and Acquisitions - The company invested approximately $72 million in water and wastewater utility infrastructure during the nine months ended September 30, 2025, representing about 77% of its planned 2025 capital budget of $93 million[9]. - The company executed an asset purchase agreement to acquire Pinewood Acres water utility assets in Delaware for $0.2 million, serving approximately 350 customers[11]. Dividends and Rate Applications - Middlesex declared a cash dividend of $0.36 per common share, marking a 5.88% increase from the previous dividend of $0.34[12]. - Middlesex filed a fourth Distribution System Improvement Charge (DSIC) rate application expected to generate an additional $0.9 million in annual revenues[10].

Group 1 - Middlesex Water Company declared a quarterly cash dividend of $0.36 per share, marking a 5.88% increase from the previous dividend of $0.34 per share [1] - This increase raises the annual dividend rate to $1.44 from $1.36 per share, representing the 53rd consecutive year of dividend increases for Middlesex [1] - The new dividend rate will be payable on December 1, 2025, to shareholders of record as of November 17, 2025 [1] Group 2 - Middlesex Water Company is a leading investor-owned water and wastewater utility, established in 1897 [2] - The company serves over half a million people in New Jersey and Delaware, focusing on employee engagement, operational excellence, and sustainable growth [2] - Middlesex has been paying cash dividends since 1912, demonstrating a long-standing commitment to returning value to shareholders [1][2]

Core Insights - The article discusses the investment positions held by the author in MSEX and YORW, indicating a beneficial long position in these stocks [1]. Group 1 - The author expresses personal opinions regarding the stocks mentioned, emphasizing that the article is not receiving compensation beyond Seeking Alpha [1]. - It is noted that the author is not a licensed financial advisor, and the content should not be construed as financial advice [2]. - The article highlights the importance of due diligence and research by investors before making any investment decisions [2]. Group 2 - The article clarifies that past performance does not guarantee future results, and no specific investment recommendations are provided [3]. - It mentions that the views expressed may not reflect those of Seeking Alpha as a whole, indicating a diversity of opinions among analysts [3]. - The article emphasizes that the authors may include both professional and individual investors who may not be licensed or certified [3].

Core Points - The article discusses the investment positions held by the author in MSEX and YORW, indicating a beneficial long position in these shares [1] - It emphasizes the importance of conducting due diligence and research before making any investment decisions, particularly in high-risk trading styles [2] - The article clarifies that past performance does not guarantee future results and that the views expressed may not reflect those of Seeking Alpha as a whole [3] Company and Industry Summary - The author has a long position in MSEX and YORW, suggesting potential confidence in these companies' future performance [1] - The article highlights the risks associated with short-term trading and the necessity for investors to understand their risk tolerance [2] - It notes that Seeking Alpha's analysts may include both professional and individual investors, which could influence the perspectives shared in the article [3]