Financial Performance - Net income for Q1 2025 was $3,638, a decrease of $689, or 15.9%, from $4,327 in Q1 2024[76] - Operating revenues increased by $828, or 4.7%, from $17,628 in Q1 2024 to $18,456 in Q1 2025, driven by a growth in the customer base[77] - Operating expenses rose by $760, or 6.7%, from $11,413 in Q1 2024 to $12,173 in Q1 2025, primarily due to higher depreciation and maintenance costs[78] - Internally-generated funds from operations in Q1 2025 were $6,005, a decrease from $6,138 in Q1 2024, mainly due to higher interest and income taxes[95] Customer Base and Growth - The average number of water customers served increased by 1,238, from 71,948 in 2024 to 73,186 in 2025[77] - The Company signed agreements to acquire water and wastewater assets, expected to add approximately 485 customers upon completion[86][87][88] Debt and Financing - Interest on debt increased by $296, or 13.9%, from $2,123 in Q1 2024 to $2,419 in Q1 2025, attributed to higher interest rates[79] - Common stockholders' equity as a percent of total capitalization was 52.0% as of March 31, 2025, down from 52.6% as of December 31, 2024[96] - The Company's total long-term debt as a percentage of total capitalization was 48.0% as of March 31, 2025, compared to 47.4% as of December 31, 2024[101] - The Company maintained an unsecured line of credit of $50,000 with $21,843 in borrowings as of March 31, 2025, at an interest rate of 5.49%[98] - The Company has established a committed line of credit with a 2-year revolving maturity to manage the risk of reduced credit availability[99] Taxation - The effective tax rate for Q1 2025 was 11.5%, down from 12.2% in Q1 2024, with expectations for a lower rate for the remainder of the year[82] - The Company's effective tax rate will be influenced by income before income taxes and the level of eligible asset improvements expensed for tax purposes[103] - The Company has a substantial deferred income tax asset primarily due to accelerated depreciation from the Tax Cuts and Jobs Act of 2017[104] Future Expectations and Plans - The Company expects construction expenditures for the remainder of 2025 to be approximately $36,700, excluding any potential acquisitions[91] - The Company plans to file a rate increase request in 2025[85] - The Company expects to replace up to 400 lead customer-owned service lines at an estimated cost of $2,100, with costs recorded as a regulatory asset[113] External Factors - Pennsylvania state officials maintained a drought watch on April 2, 2025, calling for a voluntary reduction in nonessential water use of 5 to 10 percent, which could impact future revenues[114] Credit Rating - Standard & Poor's affirmed the Company's credit rating at A- with a stable outlook on August 6, 2024[107] Off-Balance Sheet Transactions - The Company does not engage in off-balance sheet transactions that may materially affect its financial condition[116]

Company Performance - York Water reported quarterly earnings of $0.25 per share, missing the Zacks Consensus Estimate of $0.33 per share, and down from $0.30 per share a year ago, representing an earnings surprise of -24.24% [1] - The company posted revenues of $18.46 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 2.86%, compared to year-ago revenues of $17.63 million [2] - Over the last four quarters, York Water has not surpassed consensus EPS estimates and has topped consensus revenue estimates only once [2] Stock Performance - York Water shares have increased by approximately 5.7% since the beginning of the year, contrasting with the S&P 500's decline of -3.9% [3] - The current consensus EPS estimate for the coming quarter is $0.36 on $19 million in revenues, and for the current fiscal year, it is $1.48 on $79 million in revenues [7] Industry Outlook - The Utility - Water Supply industry, to which York Water belongs, is currently in the top 19% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that industry performance can significantly impact stock performance [5][8]

[FORM 8-K Filing Information](index=1&type=section&id=FORM%208-K%20Filing%20Information) This section provides essential details about The York Water Company's Form 8-K filing, including registrant information, filing date, and securities details [Registrant and Filing Details](index=1&type=section&id=Registrant%20and%20Filing%20Details) This section identifies The York Water Company as the registrant and specifies the filing date of the current report on Form 8-K as May 6, 2025 - Registrant: The York Water Company[2](index=2&type=chunk) - Date of Report: May 6, 2025[2](index=2&type=chunk) [Securities Information](index=1&type=section&id=Securities%20Information) Details the registrant's common stock, including its trading symbol and the exchange on which it is registered Securities Listing | Title of Class | Trading Symbol | Name of Each Exchange on Which Registered | | :--- | :--- | :--- | | COMMON STOCK, NO PAR VALUE | YORW | The Nasdaq Global Select Market | [Current Report Items](index=2&type=section&id=Current%20Report%20Items) This section details the company's first-quarter 2025 financial results announcement and lists the accompanying exhibits [Item 2.02 Results of Operations and Financial Condition](index=2&type=section&id=Item%202.02%20Results%20of%20Operations%20and%20Financial%20Condition) The York Water Company announced its first-quarter 2025 financial results through a press release issued on May 6, 2025, which is furnished as Exhibit 99.1 to this Form 8-K - The York Water Company issued a press release on May 6, 2025, announcing its first quarter 2025 financial results[5](index=5&type=chunk) - The press release is furnished as Exhibit 99.1 with this Current Report on Form 8-K[5](index=5&type=chunk) [Item 9.01 Financial Statements and Exhibits](index=2&type=section&id=Item%209.01%20Financial%20Statements%20and%20Exhibits) This section lists the exhibits accompanying the Form 8-K, specifically identifying the press release regarding the first-quarter 2025 financial results as Exhibit 99.1 Exhibits Filed | Exhibit No. | Description of Exhibit | | :--- | :--- | | 99.1 | Press Release, May 6, 2025, issued by the York Water Company | [SIGNATURES](index=3&type=section&id=SIGNATURES) This section confirms the formal signing of the report by the Chief Financial Officer of The York Water Company [Report Signatures](index=3&type=section&id=Report%20Signatures) The report is formally signed on behalf of The York Water Company by Matthew E. Poff, its Chief Financial Officer, on May 6, 2025 - The report was signed by Matthew E. Poff, Chief Financial Officer[10](index=10&type=chunk) - Signature Date: May 6, 2025[10](index=10&type=chunk)

Financial Performance - The York Water Company reported first quarter operating revenues of $18,456,000, an increase of $828,000 compared to the same period in 2024 [2] - Net income for the first quarter was $3,638,000, a decrease of $689,000 from the previous year [2] - Basic and diluted earnings per share were $0.25, down $0.05 from $0.30 in the first quarter of 2024 [2][4] Revenue Drivers - The increase in revenues was primarily attributed to growth in the customer base and revenues from the Distribution System Improvement Charge (DSIC) [2] - The DSIC is a charge allowed by the Pennsylvania Public Utility Commission for the replacement of aging infrastructure [2] Cost Factors - The company experienced lower pension costs, but this was offset by a lower allowance for funds used during construction (AFUDC) and higher operation and maintenance expenses, depreciation, and interest on debt [2] - AFUDC represents the cost of debt and equity funds used to finance plant construction [2] Capital Investments - In the first three months of 2025, the company invested $9.3 million in capital projects, including main extensions and upgrades to the enterprise software system [3] - The company plans to invest an additional $36.7 million in 2025 for further main extensions, wastewater treatment plant construction, and routine improvements to infrastructure [3] Shareholder Returns - Dividends declared per common share increased to $0.2192 from $0.2108 in the previous year [4]

Company Overview - York Water (YORW) is a utilities company headquartered in York, with a year-to-date price change of 2.57% [3] - The company currently pays a dividend of $0.44 per share, resulting in a dividend yield of 2.61%, which is slightly below the Utility - Water Supply industry's yield of 2.65% and significantly above the S&P 500's yield of 1.57% [3] Dividend Performance - The annualized dividend of York Water is $0.88, reflecting a 3.3% increase from the previous year [4] - Over the past five years, the company has increased its dividend five times, achieving an average annual increase of 4.03% [4] - The current payout ratio is 57%, indicating that the company distributes 57% of its trailing 12-month earnings per share as dividends [4] Earnings Growth - The Zacks Consensus Estimate for York Water's earnings per share for 2025 is $1.53, representing a year-over-year growth rate of 7.75% [5] Investment Considerations - Dividends are favored by investors as they enhance stock investing profits and reduce overall portfolio risk [6] - Larger, established companies are more likely to offer dividends compared to tech start-ups or high-growth businesses [7] - York Water is positioned as a compelling investment opportunity due to its strong dividend profile and a Zacks Rank of 3 (Hold) [7]

York Water (YORW) came out with quarterly earnings of $0.36 per share, missing the Zacks Consensus Estimate of $0.37 per share. This compares to earnings of $0.42 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -2.70%. A quarter ago, it was expected that this purifying and distribution company would post earnings of $0.41 per share when it actually produced earnings of $0.41, delivering no surprise.Over the last four quarters, ...

Customer Growth and Revenue - The Company increased its number of customers from 77,893 to 79,771 during the year ended December 31, 2024, reflecting organic growth and acquisitions[40]. - Revenue for the year ended December 31, 2024, was $74,959, an increase of $3,928, or 5.5%, compared to $71,031 in 2023[42]. - Operating revenues increased in 2024 due to a rate increase effective March 1, 2023, an increase in the number of customers, and higher revenues from the distribution system improvement charge (DSIC)[93]. - Operating revenues rose to $74,959,000 in 2024, up from $71,031,000 in 2023, reflecting a growth of 5.1%[167]. - The average number of water customers served increased by 999, from 71,416 in 2023 to 72,415 in 2024, while wastewater customers increased by 522, from 5,999 to 6,521[96]. Financial Performance - The York Water Company experienced a 14.4% decrease in net income in 2024 compared to 2023, with a return on year-end common equity of 8.8%, lower than the 2023 result and the five-year historical average of 10.7%[93]. - Net income for 2024 decreased by $3,432, or 14.4%, to $20,325 compared to $23,757 in 2023, primarily due to higher operating expenses and interest on debt[95]. - Basic earnings per share decreased to $1.42 in 2024 from $1.66 in 2023, a decrease of 14.5%[167]. - Operating expenses rose by $5,418, or 13.1%, from $41,500 in 2023 to $46,918 in 2024, mainly due to higher depreciation, wages, and maintenance costs[98]. - Interest on debt increased by $1,857, or 26.4%, from $7,047 in 2023 to $8,904 in 2024, attributed to higher long-term debt and interest rates[99]. Capital Expenditures and Investments - Capital expenditures for 2024 were $48,226, with anticipated expenditures of approximately $46,000 and $48,500 for 2025 and 2026, respectively[112][113]. - The Company completed the dam armoring and spillway replacement at Lake Williams in 2023 at a total cost of approximately $40 million[38]. - The Company has a substantial deferred income tax asset primarily due to excess accumulated deferred income taxes on accelerated depreciation, with no valuation allowance required due to expected future taxable income generation[128]. - The Company has seen an increase in deferred income tax liability amounts due to accelerated depreciation deductions, which is expected to continue as significant capital expenditures are made[129]. Dividends and Shareholder Returns - The Company’s dividend payout ratios for 2024 were 60.2% relative to net income and 39.6% relative to net cash provided by operating activities, an increase from 49.3% and 36.3% in 2023, respectively[140]. - The Board declared a dividend of $0.2192 per share for January 2025, payable on April 15, 2025, with future dividends dependent on earnings and financial condition[141]. - Dividends paid increased to $12,088,000 in 2024 from $11,590,000 in 2023, an increase of 4.3%[172]. Regulatory and Compliance Matters - Capital expenditures for environmental compliance are budgeted to represent less than 15% of the expected total capital expenditures over the next five years[39]. - The Company was granted approval to modify its tariff to include the cost of replacing up to 400 lead service lines over nine years, with costs recorded as a regulatory asset[137]. - The Company estimates the cost for customer-owned lead service line replacements to be approximately $2,000, with costs recorded as a regulatory asset to be recovered in future base rates[137]. Acquisitions and Growth Opportunities - The Company is continuously seeking water and wastewater acquisition and expansion opportunities within and outside its current service territory[24]. - The Company signed agreements to acquire water and wastewater assets, expected to add approximately 485 customers upon completion in the second half of 2025[107][109][110]. - The acquisition of MESCO, Inc. on January 31, 2024, involved a purchase price of approximately $44, adding 180 wastewater customers[219]. - The acquisition of Longstown Mobile Estates on February 21, 2024, had a purchase price of approximately $8, adding 90 water customers[220]. - The acquisitions are considered immaterial to the Company's overall results[218][219][220]. Operational Metrics - The average daily availability of water was 41.1 million gallons, while average daily consumption was approximately 22.4 million gallons as of December 31, 2024[22]. - The Company owns two impounding dams with a combined capacity of approximately 2.5 billion gallons and has an average daily availability of 41.1 million gallons as of December 31, 2024[63]. - The Company operates a primary water filtration plant with a rated capacity of 39.0 million gallons per day, capable of short-term maximum supply of 42.0 million gallons per day[70]. - The Company has eleven wastewater treatment facilities with a combined permitted flow capacity of 1,222,500 gallons, supporting a projected maximum daily demand of 439,734 gallons[73]. Miscellaneous - The Company has not experienced a material impact on business or operations from cyber security attacks, although it maintains processes and insurance to mitigate potential costs[136]. - Pennsylvania state officials declared a drought watch for 33 counties, including the Company's service territory, which could impact future revenues and net income[139]. - The Company maintains cash balances exceeding federally insured limits but has not experienced significant credit risk[184]. - The reserve for doubtful accounts is based on lifetime expected credit losses and the aging of account balances, reflecting management's evaluation of credit risk[185].

Financial Results Announcement - The York Water Company announced its fourth quarter and annual 2025 financial results on March 4, 2025[5]. - The financial results include key metrics that will be detailed in the press release[5]. - The report includes a press release as Exhibit 99.1, which contains detailed financial information[7]. Company Information - The company is listed on the Nasdaq Global Select Market under the trading symbol YORW[3]. - The address of the company's principal executive offices is 130 East Market Street, York, Pennsylvania 17401-1219[2]. Regulatory Compliance - The report does not indicate whether the company is an emerging growth company[3]. - The report is not deemed "filed" for the purposes of the Securities Exchange Act of 1934[5]. - The filing is intended to satisfy the reporting obligations under the Securities Exchange Act[3]. Signatory Information - The Chief Financial Officer Matthew E. Poff signed the report on behalf of the company[10]. - The press release detailing the financial results is incorporated by reference in the Current Report on Form 8-K[5].

Core Viewpoint - The York Water Company reported mixed financial results for 2024, with increased operating revenues but decreased net income compared to 2023 [2][4]. Financial Performance - Operating revenues for 2024 were $74,959,000, an increase of $3,928,000 from 2023 [2]. - Net income for 2024 was $20,325,000, a decrease of $3,432,000 compared to 2023 [2]. - Basic and diluted earnings per share for 2024 were $1.42, down $0.24 from the previous year [2]. - Dividends per share increased by 4% compared to 2023 [2]. Revenue Drivers - The increase in revenues was primarily attributed to a rate increase effective March 1, 2023, revenues from the Distribution System Improvement Charge (DSIC), and growth in the customer base [2]. - The DSIC is a charge allowed by the Pennsylvania Public Utility Commission for the replacement of aging infrastructure [2]. Cost Factors - Higher operation and maintenance expenses, depreciation, interest on debt, and a lower allowance for funds used during construction (AFUDC) offset the increased revenues [2]. - The company incurred lower pension costs during the year [2]. Capital Expenditures - The company invested $48.2 million in construction expenditures, including dam improvements, wastewater treatment plant construction, and infrastructure upgrades [3]. - Approximately 50,200 feet of pipe were replaced to enhance the distribution system [3]. - The company also invested $783,000 in acquiring four water and two wastewater systems [3]. Quarterly Performance - For Q4 2024, operating revenues increased by $770,000, but net income decreased by $870,000 compared to Q4 2023 [4]. - Basic and diluted earnings per share for Q4 2024 were $0.36, down $0.06 from the same period last year [4]. Future Investment Plans - The company plans to invest approximately $46.0 million in 2025 and $48.5 million in 2026 for various infrastructure improvements and upgrades [5].

Core Insights - The article highlights the exceptional performance of dividend stocks, particularly focusing on a lesser-known company, York Water, which has maintained a continuous dividend for 209 years, far surpassing other companies in the U.S. [1][12][14] Dividend Stocks Performance - Dividend stocks have consistently outperformed non-dividend payers, with an annualized return of 9.17% compared to 4.27% over a 50-year period from 1973 to 2023, while being less volatile than the S&P 500 [3][4]. Characteristics of Great Dividend Stocks - Great dividend stocks are rare and typically share characteristics such as profitability, resilience during economic downturns, and transparent long-term growth outlooks [10][4]. Dividend Kings - Fewer than 60 companies qualify as Dividend Kings, having increased their annual payouts for at least 50 consecutive years [5]. Notable Examples - Coca-Cola has raised its dividend for 63 consecutive years, while Johnson & Johnson has done so for 62 years, showcasing the stability and predictability of cash flows in these companies [6][7]. York Water Company - York Water, a small-cap utility company, has paid dividends continuously since 1816, making it the longest-standing dividend payer in the U.S. [12][14]. - The company operates in a regulated environment, which provides cash flow predictability and stability [17][15]. - York Water has a dividend yield of 2.6% and has increased its payout for 28 consecutive years, with a nearly 500% rise in share price since 2000 [19][20].