American States Water pany(AWR) - 2025 Q1 - Quarterly Results

Financial Performance - For the first quarter of 2025, American States Water Company reported diluted earnings per share of $0.70, an increase of $0.08 or 13% compared to $0.62 in the same period of 2024[2][6]. - Net income for Q1 2025 was $26,844,000, representing a 16.7% increase compared to $23,135,000 in Q1 2024[21]. - Basic earnings per common share rose to $0.70 in Q1 2025, up from $0.62 in Q1 2024, reflecting a 12.9% increase[21]. - Operating income for Q1 2025 was $45,546,000, a 16.8% increase from $38,974,000 in Q1 2024[21]. - Total operating revenues for Q1 2025 increased to $148,013,000, up 9.8% from $135,251,000 in Q1 2024[21]. Revenue Contributions - The water utility segment contributed $0.52 per share, up from $0.48 per share in the prior year, primarily due to new water rates approved by the California Public Utilities Commission (CPUC) for 2025-2027[5][6]. - The electric utility segment saw an increase in diluted earnings of $0.02 per share, attributed to new electric rates implemented retroactively to January 1, 2023, which supported revenue growth despite higher operating costs[9][6]. - The first quarter of 2025 saw an increase in water operating revenues of $11.7 million, largely due to the new rate increases effective January 1, 2025[10]. Dividends and Shareholder Returns - The company declared a second quarter dividend of $0.4655 per share, continuing a 70-year history of annual dividend increases[13]. - Dividends paid per common share increased to $0.4655 in Q1 2025, compared to $0.4300 in Q1 2024, reflecting an 8.0% increase[21]. Capital Investments and Financial Position - The company received CPUC authorization for nearly $650 million in capital investments related to its regulated utilities' general rate cases[6]. - Total assets increased to $2,545,453,000 as of March 31, 2025, compared to $2,500,209,000 at the end of 2024, marking a growth of 1.8%[21]. - Current liabilities rose to $294,296,000 in Q1 2025, up from $285,525,000 in Q4 2024, indicating a 3.0% increase[21]. Operating Expenses and Interest - Total operating expenses for Q1 2025 were $102,467,000, up from $96,277,000 in Q1 2024, representing a 6.5% increase[21]. - Interest expense decreased to $12,082,000 in Q1 2025 from $12,855,000 in Q1 2024, a reduction of 6.0%[21]. Share Issuance - The company has sold 1,479,767 Common Shares through its at-the-market offering program, which has a gross offering price of up to $200 million[10]. Future Outlook - AWR's contracted services business is projected to contribute between $0.59 and $0.63 per share for the full year 2025[6][11]. - AWR's transition to a modified rate adjustment mechanism (M-WRAM) may lead to future revenue volatility due to fluctuations in water consumption[5][10]. - AWR's diluted losses from the parent company decreased by $0.01 per share due to lower interest expenses from reduced borrowing levels[12].