| --- | --- | --- | --- | --- | --- | --- | |------------------------------|-------|-------|-------|-------|-------|-------| | | | | | | | | | Financial Metrics Comparison | | | | | | | | Growth (CAGR) | AWK | WTRG | AWR | | | | | Revenue 10Y | 4.0% | 9.7% | 2.1% | | | | | Revenue 5Y | 4.3% | 18.1% | 5.1% | | | | | Revenue 3Y | 4.1% | 2.7% | 4.7% | | | | | Revenue Fwd | 7.7% | 1.8% | 7.4% | | | | | EPS 10Y | 8.8% | 5.6% | 7.1% | | | | | EPS 5Y | 9.1% | 19.3% | 11.5% | | | | | EPS 3Y | 7.5% | 9.0% | 7.4% | | ...

Currently, the company carries a Zacks Rank #2 (Buy). Let's look at the factors that are driving the stock. The company's long-term (three to five years) earnings growth is pinned at 5.75%. The company has paid shareholders a cash dividend on its common stock for 79 years and has increased the dividend 33 times in the past 32 years. Its current dividend yield is 3.28%, better than the industry average yield of 2.35%. WTRG is making continuous investments to improve its water and natural gas infrastructure. ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON DC 20549 FORM 10-Q (Mark One) S QUARTERLY REPORT PURSUANT TO SECTION 13 or 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the quarterly period ended March 31, 2024 £ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the transition period from_______________ to _______________ Commission File Number 1-6659 ESSENTIAL UTILITIES, INC. (Exact name of registrant as specified in its charter ...

Financial Data and Key Metrics Changes - The company reported GAAP earnings of $0.90 to $0.97 per share, including a significant gain of $66 million from the sale of energy projects [6][36] - Net income grew by 38.8% and earnings per share increased by 34.7% compared to the previous year [36] Business Line Data and Key Metrics Changes - The gas segment, serving 750,000 customers in Pennsylvania and Kentucky, has focused on safety and reliability, reducing outstanding leaks by 83% over the past five years [25][28] - The water segment saw revenue contributions from acquisitions and organic growth, with a slight decline in operating revenues due to lower natural gas commodity prices [35][37] Market Data and Key Metrics Changes - The company invested approximately $253 million through March 31, 2024, with expectations to invest between $1.3 billion and $1.4 billion for the year, marking a record capital spend [10][51] - The gas segment filed a rate case in Pennsylvania, doubling the rate base from $2.1 billion to $4.2 billion, primarily for replacing aging infrastructure [29] Company Strategy and Development Direction - The company is focused on infrastructure investments to enhance reliability and service, with a planned investment of about $7.2 billion in regulated infrastructure through 2028 [51] - The company aims to maintain a 60% reduction in Scope 1 and Scope 2 greenhouse gas emissions by 2035, having already achieved over 25% reduction as of last year [53] Management's Comments on Operating Environment and Future Outlook - Management noted that warmer-than-normal weather impacted natural gas sales, resulting in a revenue shortfall of about $20 million for the quarter [39][50] - The company is optimistic about its ability to navigate regulatory challenges and expects continued growth from acquisitions and organic customer growth [49][52] Other Important Information - The company has seen strong shareholder support, with over 90% approval for all agenda items at the Annual Meeting of Shareholders [12] - The EPA's new PFAS limits align with the company's expectations, and it has been proactive in addressing PFAS issues, estimating $450 million in mitigation costs [21][23] Q&A Session Summary Question: Update on the gas rate case in Pennsylvania - Management feels confident about the case presented and is in discussions for potential settlements, maintaining good relationships with advocates and the commission [55] Question: Any lawsuits related to PFAS in service territories? - Management reported no lawsuits against the company, attributing this to proactive measures taken over the years regarding PFAS [56][57] Question: Insights on pending municipal transactions and PFAS guidance - The $450 million estimate for PFAS mitigation does not include pending acquisitions, and discussions about PFAS are expected to ramp up as new regulations are enforced [59][62] Question: Impact of weather normalization on financials - Management indicated that weather normalization could have mitigated some revenue shortfalls, estimating a $5 million impact from the weather normalization clause [64] Question: Supply chain constraints for PFAS mitigation - Management acknowledged potential constraints in raw materials and equipment but emphasized proactive procurement strategies to manage costs [67][69] Question: Clarification on guidance excluding the gain on sale - Management indicated that achieving full-year EPS within the guidance range may be challenging due to the weather impact experienced in Q1 [75][76] Question: Prospects for settlement in the Peoples Gas case - Discussions are constructive, but management cannot predict the outcome, emphasizing the importance of healthy exchanges between parties [81] Question: Legislative changes regarding fair market value framework - Management believes that any changes will likely come from the commission rather than legislative actions, with ongoing discussions in the House of Representatives [86][88]

Exhibit 99.1 Essential Utilities Reports Financial Results for Q1 2024 Earnings per share of $0.97 for Q1 2024 vs. $0.72 for Q1 2023 Closes sale of non-core energy projects BRYN MAWR, PA (May 2, 2024) – Essential Utilities Inc. (NYSE: WTRG) today reported results for the first quarter ended March 31, 2024. Essential's net income of $265.8 million or $0.97 per share for the first quarter of 2024 compared favorably to $191.4 million or $0.72 per share reported for the first quarter of 2023. "Although our gas ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K (Mark One) þ ANNUAL REPORT PURSUANT TO SECTION 13 or 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 Or ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __________ to __________ Commission File number 1-6659 ESSENTIAL UTILITIES, INC. (Exact name of registrant as specified in its charter) Pennsylvania 23-1702594 (St ...

Financial Data and Key Metrics Changes - The company reported earnings per share (EPS) of $1.86, which aligns with the guidance of 5% to 7% growth [7][32] - Total revenue for the year was $2.05 billion, down from $2.29 billion in the previous year, reflecting a decrease of 10.2% [31][34] - Net income increased by 7.1% year-over-year, from $465.2 million to $498.2 million [32][34] Business Line Data and Key Metrics Changes - The Regulated Water segment generated $1.15 billion in revenue, while the Regulated Natural Gas segment contributed nearly $864 million [31] - Operations and maintenance expenses decreased by 6.2% to $575.5 million, primarily due to lower outside services costs and reduced contributions to the foundation [32][39] Market Data and Key Metrics Changes - The company experienced a $43 million net revenue shortfall due to adverse weather conditions, particularly warmer temperatures affecting gas usage [7][33] - Purchase gas costs decreased by $249.7 million or 41.5% compared to the prior year, significantly impacting revenue [31][35] Company Strategy and Development Direction - The company plans to invest approximately $7.2 billion annually on regulated infrastructure through 2028, with a focus on PFAS and lead mitigation [69][70] - The strategy includes continued consolidation in the water and wastewater industry, with a strong pipeline of acquisition opportunities [57][60] Management's Comments on Operating Environment and Future Outlook - Management highlighted the importance of affordability and regulatory compliance, particularly regarding PFAS regulations, which may require significant capital investment [22][62] - The company is optimistic about its ability to meet compliance deadlines and manage costs associated with new regulations [25][94] Other Important Information - The company has been recognized on Newsweek's 2024 list of America's most responsible companies for the third consecutive year [12] - The company completed rate cases or surcharge filings in all 9 states, resulting in total annualized revenue increases of $47.2 million for Water and $21.3 million for Natural Gas [47] Q&A Session Summary Question: Impact of Pennsylvania rate increases on tactical thinking - Management indicated that the cadence of capital expenditures may be influenced by regulatory timelines for PFAS compliance, which could allow for a more spread-out investment approach [76] Question: Effect of recent PUC decisions on acquisition pipeline - Management noted that recent decisions provide clearer guidance on expected purchase prices, which may affect seller sentiment but still allow for attractive premiums for troubled systems [78][80] Question: Long-term growth rate expectations - Management refrained from providing long-term EPS guidance due to pending rate cases, emphasizing the importance of regulatory outcomes [102][103] Question: Discussion on PFAS investment needs - Management confirmed that the estimated costs for PFAS compliance could increase depending on regulatory timelines and the ability to secure low-interest loans [93][94] Question: Weather normalization clause in rate case - Management confirmed that a request for a weather normalization clause has been included in the current rate case, which could benefit the company [98][100]

Earnings per share of $1.86 for 2023, compared to 2022 earnings of $1.77 Record infrastructure investments of $1.19 billion Acquired seven systems, adding over $44 million in rate base and 11,000 customers Initiating 2024 annual earnings per share guidance range of $1.96 to $2.00 Initiating capital investment guidance of $7.2 billion from 2024 through 2028 Exhibit 99.1 Essential Utilities Reports Financial Results for Full-Year 2023 and Announces Guidance BRYN MAWR, PA (February 22, 2024) – Essential Utilit ...

BRYN MAWR, Pa.--(BUSINESS WIRE)--Essential Utilities today announced that its Essential Foundation made a $20,000 donation to the Chester County Food Bank as a part of the company's Fall for Food Banks initiative. Essential Utilities Chairman and CEO Chris Franklin presented the donation during a recent visit to the food bank, where he and other company leaders toured the facility and learned about the organization's innovative programs for alleviating food insecurity in Chester County. Essential's annual F ...

Commission File Number 1-6659 ESSENTIAL UTILITIES, INC. (Exact name of registrant as specified in its charter) Pennsylvania 23-1702594 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON DC 20549 FORM 10-Q (Mark One) S QUARTERLY REPORT PURSUANT TO SECTION 13 or 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934. For the quarterly period ended September 30, 2023 £ TRANSITION REPORT PURSUAN ...