Financial Results Announcement - The York Water Company announced its third quarter and first nine months 2024 financial results on November 7, 2024[3]. - The press release detailing the financial results is included as Exhibit 99.1 in the Current Report on Form 8-K[2]. Regulatory Information - The report will not be deemed "filed" under the Securities Exchange Act of 1934, nor incorporated by reference in any future filings unless expressly stated[3]. - Matthew E. Poff, Chief Financial Officer, signed the report on behalf of The York Water Company[4].

Core Viewpoint - The York Water Company reported mixed financial results for the third quarter and the first nine months of 2024, with increased operating revenues but decreased net income compared to the same periods in 2023 [2][3]. Financial Performance - Third quarter operating revenues reached $19,715,000, an increase of $948,000 from the previous year, while net income fell to $5,863,000, a decrease of $1,705,000 [2]. - Basic and diluted earnings per share for the third quarter were $0.41, down $0.12 from the same period last year [2]. - For the first nine months of 2024, operating revenues totaled $56,093,000, an increase of $3,158,000, but net income decreased to $15,183,000, down $2,562,000 compared to the first nine months of 2023 [3]. - Basic and diluted earnings per share for the nine-month period were $1.06, a decrease of $0.18 from the previous year [3]. Revenue Drivers - The increase in revenues was primarily attributed to the Distribution System Improvement Charge (DSIC), growth in the customer base, and a rate increase effective March 1, 2023 [3]. - The DSIC is a charge allowed by the Pennsylvania Public Utility Commission for the replacement of aging infrastructure [2]. Expenses and Costs - Higher operation and maintenance expenses, depreciation, and interest on debt offset the increased revenues, along with a lower allowance for funds used during construction (AFUDC) [2][3]. - Income taxes rose due to lower deductions from IRS tangible property regulations [2]. Capital Investments - The company invested $33 million in capital projects during the first nine months of 2024, focusing on infrastructure improvements, including the Lake Williams dam and wastewater treatment plant [4]. - An additional investment of $9.7 million is estimated for 2024, excluding acquisitions, to ensure reliable water supply and proper wastewater handling [4]. Shareholder Returns - Dividends declared per common share for the third quarter were $0.2108, compared to $0.2027 in the previous year, while for the nine-month period, dividends were $0.6324, up from $0.6081 [5].

Core Viewpoint - The article emphasizes the long-term benefits of investing in dividend-paying stocks, highlighting their consistent performance and lower volatility compared to non-dividend stocks over the past decades [3][4]. Dividend Stocks Performance - Dividend stocks have averaged a 9.17% annual return from 1973 to 2023, with 6% less volatility than the S&P 500, while non-dividend stocks only achieved a 4.27% annualized return and were 18% more volatile [4]. Characteristics of Successful Dividend Stocks - Companies that regularly distribute dividends tend to be profitable and provide transparent long-term growth outlooks, making them attractive investments [5]. - Examples of strong dividend stocks include Coca-Cola and Johnson & Johnson, both of which have increased their dividends for 62 consecutive years [6][7]. York Water Company Overview - York Water, a small-cap utility company, has paid continuous dividends since its founding in 1816, boasting a 208-year streak, which is significantly longer than other public companies [11][13]. - The company operates in a regulated environment, ensuring predictable cash flow and stability in its operations [16]. Financial Performance and Growth - In January 2023, York Water received approval to increase rates for 75,000 customers, leading to an 18% revenue increase last year [17]. - Despite a modest yield of 2.2%, York Water's quarterly payout has grown by 164% since 2000, with its share price increasing by 573% during the same period [19].

Core Viewpoint - York Water (YORW) reported quarterly earnings of $0.35 per share, missing the Zacks Consensus Estimate of $0.45 per share, representing a -22.22% earnings surprise [1] - The company posted revenues of $18.75 million for the quarter, slightly missing the Zacks Consensus Estimate by 1.32% [2] Financial Performance - Year-over-year earnings decreased from $0.45 per share to $0.35 per share [1] - Revenues for the same quarter last year were $18.77 million, indicating a slight decline [2] - Over the last four quarters, the company has surpassed consensus EPS estimates three times and topped revenue estimates two times [2] Stock Performance - York Water shares have increased by approximately 6.6% since the beginning of the year, while the S&P 500 has gained 14.2% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the market [6] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.48 on revenues of $19 million, and for the current fiscal year, it is $1.61 on revenues of $74 million [7] - The estimate revisions trend for York Water is mixed, which may change following the recent earnings report [6] Industry Context - The Utility - Water Supply industry is currently ranked in the bottom 32% of over 250 Zacks industries, suggesting potential challenges ahead [8] - The performance of York Water may be influenced by the overall outlook of the industry [8]

Financial Results Announcement - The York Water Company announced its second quarter and first six months 2024 financial results on August 2, 2024[3]. - The press release detailing the financial results is included as Exhibit 99.1 in the Current Report on Form 8-K[2]. - The report will not be deemed "filed" under the Securities Exchange Act of 1934, nor incorporated by reference in any future filings[3]. Company Leadership - Matthew E. Poff serves as the Chief Financial Officer of The York Water Company[4].

Financial Performance - Net income for Q2 2024 was $4,993, a decrease of $1,531, or 23.5%, from $6,524 in Q2 2023 due to higher operating expenses and interest on debt [60]. - Net income for the first six months of 2024 was $9,320, a decrease of $857, or 8.4%, from $10,177 in the same period of 2023 [64]. - Operating revenues for Q2 2024 decreased by $17, or 0.1%, to $18,750, with total per capita consumption approximately 2.8% lower than the same period last year [61]. - Operating revenues for the first six months of 2024 increased by $2,210, or 6.5%, to $36,378, primarily due to a rate increase effective March 1, 2023 [66]. Operating Expenses and Debt - Operating expenses for Q2 2024 increased by $1,437, or 14.0%, to $11,688, driven by higher distribution system maintenance and uncollectible accounts [62]. - Interest on debt for Q2 2024 rose by $505, or 30.1%, to $2,183, attributed to increased long-term debt and higher interest rates [63]. - Interest on debt for the first six months of 2024 increased by $1,115, or 34.9%, to $4,306, mainly due to higher long-term debt and interest rates [68]. - As of June 30, 2024, the Company's total long-term debt as a percentage of total capitalization was 46.2%, up from 45.2% at the end of 2023, indicating a trend towards increased leverage [85]. Customer Growth and Acquisitions - Average number of water customers served increased by 1,007 to 72,304 in 2024, while wastewater customers increased by 560 to 6,499, primarily due to acquisitions [61]. - The Company signed an agreement to purchase wastewater collection assets, expected to add approximately 65 customers in 2025 and 230 customers in 2024 [73]. - The Company signed agreements to acquire water assets from Brookhaven Mobile Home Park, Houston Run Community Water System, and Pine Run Retirement Community, expected to add approximately 150, 15, and 100 water customers respectively, with closing anticipated in the second half of 2024 [74][75]. Capital Expenditures and Funding - Capital expenditures for the six months ended June 30, 2024, amounted to $20,867, with an anticipated additional $21,300 for the remainder of 2024, primarily funded through internally-generated funds and customer contributions [77]. - Internally-generated funds for operations in the first half of 2024 were $12,841, a decrease from $14,596 in the same period of 2023, attributed to higher interest and income taxes paid [80]. Liquidity and Credit Management - The Company generated a cash overdraft of $2,154 on its cash management account as of June 30, 2024, indicating liquidity management challenges [78]. - The Company has a credit line of $50,000 with $1,461 borrowed as of June 30, 2024, and expects to extend the maturity of this line into 2026 under similar terms [82]. - The Company maintains a credit rating of A- with a stable outlook, dependent on timely rate relief and balanced funding of capital expenditures [89]. Regulatory and Risk Management - The Company has a deferred income tax asset primarily due to accelerated depreciation, with expectations of generating future taxable income to offset these liabilities [87]. - The Company has received approval to replace up to 400 lead customer-owned service lines over nine years, with costs recorded as a regulatory asset to be recovered in future rates [94]. - The Company has not experienced material impacts from cyber security attacks, although it acknowledges potential vulnerabilities and has implemented measures to mitigate risks [93].

YORK, Pa., Aug. 02, 2024 (GLOBE NEWSWIRE) -- The York Water Company's (NASDAQ:YORW) President, JT Hand, announced the Company's financial results for the second quarter and the first six months of 2024. President Hand reported that second quarter operating revenues of $18,750,000 decreased $17,000 and net income of $4,993,000 decreased $1,531,000 compared to the second quarter of 2023. Basic and Diluted Earnings per share of $0.35 for the three-month period decreased $0.10 compared to the same period last y ...

YORK, Pa., Aug. 02, 2024 (GLOBE NEWSWIRE) -- The York Water Company's (NASDAQ:YORW) President, JT Hand, announced the Company's financial results for the second quarter and the first six months of 2024. President Hand reported that second quarter operating revenues of $18,750,000 decreased $17,000 and net income of $4,993,000 decreased $1,531,000 compared to the second quarter of 2023. Basic and Diluted Earnings per share of $0.35 for the three-month period decreased $0.10 compared to the same period last y ...

THE YORK WATER COMPANY (Exact name of registrant as specified in its charter) Pennsylvania 001-34245 23-1242500 (State or other jurisdiction (Commission (I.R.S. Employer of incorporation) File Number) Identification No.) 130 East Market Street, York, Pennsylvania 17401 (Address of principal executive offices) (Zip Code) UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934 Date of Report: May 7, ...

PART I: Financial Information [Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited interim financial statements for The York Water Company as of March 31, 2024, and for the three-month period then ended, reflecting all normal recurring adjustments necessary for a fair presentation - The interim financial statements are unaudited and should be read in conjunction with the company's 2023 Annual Report on Form 10-K[26](index=26&type=chunk) [Balance Sheets](index=3&type=section&id=Balance%20Sheets) As of March 31, 2024, total assets increased to $602.3 million from $588.2 million at year-end 2023, driven by growth in Net Utility Plant and cash, while total stockholders' equity rose slightly to $222.9 million and long-term debt increased to $189.6 million Key Balance Sheet Items (in thousands) | Account | Mar. 31, 2024 | Dec. 31, 2023 | | :--- | :--- | :--- | | **Total Assets** | **$602,287** | **$588,205** | | Net utility plant | $502,428 | $493,704 | | Cash and cash equivalents | $3,321 | $1 | | **Total Liabilities & Equity** | **$602,287** | **$588,205** | | Long-term debt | $189,613 | $180,007 | | Total common stockholders' equity | $222,931 | $221,178 | [Statements of Income](index=5&type=section&id=Statements%20of%20Income) For Q1 2024, net income increased by 18.5% to $4.3 million, driven by a 14.5% rise in operating revenues that outpaced operating expense growth, leading to diluted earnings per share of $0.30 Q1 Income Statement Highlights (in thousands, except per share data) | Metric | Q1 2024 | Q1 2023 | Change | | :--- | :--- | :--- | :--- | | Operating Revenues | $17,628 | $15,401 | +14.5% | | Operating Income | $6,215 | $5,418 | +14.7% | | Net Income | $4,327 | $3,653 | +18.5% | | Diluted EPS | $0.30 | $0.26 | +15.4% | [Statements of Common Stockholders' Equity](index=6&type=section&id=Statements%20of%20Common%20Stockholders%27%20Equity) Total common stockholders' equity increased from $221.2 million at year-end 2023 to $222.9 million by March 31, 2024, primarily due to net income of $4.3 million, partially offset by $3.0 million in cash dividends Changes in Stockholders' Equity Q1 2024 (in thousands) | Description | Amount | | :--- | :--- | | Balance, December 31, 2023 | $221,178 | | Net income | $4,327 | | Cash dividends declared | ($3,022) | | Issuance of common stock & other | $448 | | **Balance, March 31, 2024** | **$222,931** | [Statements of Cash Flows](index=7&type=section&id=Statements%20of%20Cash%20Flows) In Q1 2024, net cash from operating activities was $6.1 million, with $8.5 million used in investing activities and $5.7 million provided by financing activities, resulting in a net cash increase of $3.3 million Q1 Cash Flow Summary (in thousands) | Activity | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Net cash provided by operating activities | $6,138 | $6,224 | | Net cash used in investing activities | ($8,502) | ($10,581) | | Net cash provided by financing activities | $5,684 | $4,522 | | **Net change in cash and cash equivalents** | **$3,320** | **$165** | [Notes to Interim Financial Statements](index=8&type=section&id=Notes%20to%20Interim%20Financial%20Statements) The notes detail two immaterial Q1 2024 acquisitions, the issuance of $40 million in new senior notes, the impact of a March 2023 rate increase on revenues, and ongoing capital commitments for the Lake Williams dam project - In Q1 2024, the company completed two immaterial acquisitions, adding approximately **180 wastewater customers** and **90 water customers**[28](index=28&type=chunk)[29](index=29&type=chunk) - On February 27, 2024, the company issued **$40 million** of **5.67% Senior Notes** due 2054, using the proceeds to refinance line of credit borrowings[35](index=35&type=chunk) - A PPUC-authorized rate increase, effective March 1, 2023, was a primary driver of revenue growth in Q1 2024 compared to Q1 2023[58](index=58&type=chunk) - The company has a remaining commitment of approximately **$1.8 million** for the Lake Williams dam spillway project as of March 31, 2024[48](index=48&type=chunk) [Management's Discussion and Analysis (MD&A)](index=17&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q1 2024 financial results, highlighting an 18.5% net income increase driven by a rate increase, outlines $33.7 million in planned capital expenditures, details liquidity strengthened by a $40 million debt issuance, and covers growth strategy and operational risks [Results of Operations](index=19&type=section&id=Results%20of%20Operations) Net income for Q1 2024 increased by $674,000 (18.5%) to $4.3 million, primarily due to a $2.2 million (14.5%) rise in operating revenues, partially offset by a $1.4 million (14.3%) increase in operating expenses and a $610,000 rise in interest expense - Net income increased by **18.5%** in Q1 2024 compared to Q1 2023, primarily due to higher operating revenues[81](index=81&type=chunk) - Operating revenues grew **14.5%**, mainly because of a rate increase effective March 1, 2023, and growth in the water and wastewater customer base[82](index=82&type=chunk) - Operating expenses increased **14.3%**, with notable rises in distribution system maintenance (**+$365 thousand**), depreciation (**+$269 thousand**), and wages (**+$205 thousand**)[83](index=83&type=chunk) - Interest on debt increased by **40.3%** due to a larger amount of long-term debt outstanding and higher interest rates on the line of credit[84](index=84&type=chunk) [Acquisitions and Growth](index=20&type=section&id=Acquisitions%20and%20Growth) The company is actively pursuing growth through five signed agreements to acquire small water and wastewater systems, expected to add approximately 560 customers upon regulatory approval and closing between H2 2024 and H1 2025 - The company has signed **five agreements** to acquire small water and wastewater systems, which are expected to add approximately **560 new customers** upon closing[89](index=89&type=chunk)[90](index=90&type=chunk)[91](index=91&type=chunk) - Closing for these acquisitions is contingent on regulatory approvals and is anticipated between **H2 2024** and **H1 2025**[90](index=90&type=chunk)[91](index=91&type=chunk)[93](index=93&type=chunk) [Capital Expenditures](index=20&type=section&id=Capital%20Expenditures) The company invested $8.5 million in capital projects during Q1 2024, with an additional $33.7 million planned for the remainder of 2024, funded by internally-generated funds, line of credit borrowings, and stock plans - Invested **$8,457 thousand** in construction expenditures for the three months ended March 31, 2024[96](index=96&type=chunk) - Anticipates approximately **$33,700 thousand** in additional construction expenditures for the remainder of 2024, excluding potential acquisitions[97](index=97&type=chunk) - Primary funding sources for 2024 capital projects will be internally-generated funds, supplemented by line of credit borrowings and stock purchase plans[97](index=97&type=chunk) [Liquidity and Capital Resources](index=21&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains strong liquidity with a $50 million unsecured line of credit and internally generated cash flow, having issued $40 million in long-term debt in February 2024 to refinance its line of credit, while targeting an equity ratio between 50% and 55% - Maintains a **$50,000 thousand** unsecured line of credit, which had no outstanding balance as of March 31, 2024, after being repaid with proceeds from a new debt offering[103](index=103&type=chunk) - In February 2024, issued **$40,000 thousand** in **5.67% senior notes** to refinance the line of credit used for interim financing of capital projects[106](index=106&type=chunk) Capitalization Ratios | Metric | Mar. 31, 2024 | Dec. 31, 2023 | | :--- | :--- | :--- | | Common Stockholders' Equity % | 53.7% | 54.8% | | Long-term Debt % | 46.3% | 45.2% | - Standard & Poor's affirmed the company's credit rating at **A-** with a stable outlook on July 26, 2023[113](index=113&type=chunk) [Environmental Matters](index=24&type=section&id=Environmental%20Matters) The company is implementing a PPUC-approved plan to replace up to 400 customer-owned lead service lines annually, with costs recorded as a regulatory asset, having spent approximately $1.8 million as of March 31, 2024, while all Pennsylvania counties returned to normal drought status in March 2024 - The company has a program to replace up to **400 customer-owned lead service lines** annually, with costs recovered through future rates. The cumulative cost was approximately **$1,819 thousand** as of March 31, 2024[119](index=119&type=chunk) - On March 6, 2024, Pennsylvania state officials returned all counties to normal drought status[120](index=120&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=25&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company has determined that this item is not applicable for the reporting period - Not applicable[123](index=123&type=chunk) [Controls and Procedures](index=25&type=section&id=Item%204.%20Controls%20and%20Procedures) Based on management's evaluation, including the CEO and CFO, the company's disclosure controls and procedures were effective as of March 31, 2024, with no material changes to internal control over financial reporting during the first quarter - The President and CEO, along with the CFO, concluded that the company's disclosure controls and procedures are effective as of the end of the reporting period[124](index=124&type=chunk) - No changes in internal control over financial reporting occurred during the quarter that have materially affected, or are reasonably likely to materially affect, these controls[125](index=125&type=chunk) [Other Information](index=25&type=section&id=Item%205.%20Other%20Information) During the first quarter of 2024, no director, officer, or the company itself adopted or terminated a Rule 10b5-1 trading arrangement or a non-Rule 10b5-1 trading arrangement - No director or officer adopted or terminated a "Rule 10b5-1 trading arrangement" or "non-Rule 10b5-1 trading arrangement" during the three months ended March 31, 2024[126](index=126&type=chunk) PART II: Other Information [Exhibits](index=26&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including CEO and CFO certifications required by the Sarbanes-Oxley Act and Inline XBRL documents for interactive data - The filing includes CEO and CFO certifications pursuant to Rule 13a-14(a)/15d-14(a) and Section 906 of the Sarbanes-Oxley Act of 2002[130](index=130&type=chunk) - Interactive Data Files (XBRL) are included as exhibits **101** and **104**[130](index=130&type=chunk) [Signatures](index=27&type=section&id=Signatures) The report was officially signed and authorized on May 7, 2024, by the company's Principal Executive Officer, Joseph T. Hand, and its Principal Financial and Accounting Officer, Matthew E. Poff - The report is signed by Joseph T. Hand, Principal Executive Officer, and Matthew E. Poff, Principal Financial and Accounting Officer[134](index=134&type=chunk) - The date of the signatures is **May 7, 2024**[134](index=134&type=chunk)