California Water Service(US:CWT)2025-10-30 13:15Financial Performance - Q3 2025 net income was $61.2 million, with diluted EPS of $1.03, consistent with Q3 2024 results[6] - Revenue for Q3 2025 increased by $11.6 million or 3.9% to $311.2 million compared to $299.6 million in Q3 2024[7] - YTD 2025 net income decreased by 31.8% to $116.7 million or $1.96 per diluted share compared to $171.1 million or $2.93 per diluted share in YTD 2024[9] - YTD 2025 revenue decreased by $34.4 million or 4.2% to $780.2 million compared to $814.6 million in YTD 2024[9] - Operating revenue for Q3 2025 was $311,235,000, an increase from $299,563,000 in Q3 2024, representing a growth of approximately 0.22%[28] - Net income attributable to California Water Service Group for Q3 2025 was $61,230,000, compared to $60,680,000 in Q3 2024, reflecting a slight increase of about 0.90%[28] - Reported GAAP Revenue for the nine months ended September 30, 2025, was $780,162 million, a decrease from $814,611 million in 2024, reflecting a decline of approximately 4.1%[30] - Adjusted Revenue (non-GAAP) increased to $780,162 million in 2025 from $727,129 million in 2024, representing a growth of about 7.3%[30] - Reported GAAP Net Income for the nine months ended September 30, 2025, was $116,729 million, down from $171,148 million in 2024, indicating a decrease of approximately 31.8%[30] - Adjusted Net Income (non-GAAP) rose to $116,729 million in 2025 compared to $107,168 million in 2024, showing an increase of about 8.9%[30] - Reported GAAP Diluted Earnings Per Share (EPS) decreased to $1.96 in 2025 from $2.93 in 2024, a decline of approximately 33.2%[30] - Adjusted Diluted EPS (non-GAAP) increased to $1.96 in 2025 from $1.84 in 2024, reflecting a growth of about 6.5%[30] Operating Expenses and Investments - Operating expenses for Q3 2025 increased by $7.8 million or 3.4% to $240.6 million compared to $232.8 million in Q3 2024[9] - The company reported a total operating expense of $240,620,000 for Q3 2025, compared to $232,815,000 in Q3 2024, which is an increase of approximately 3.35%[28] - $135.2 million was invested in water system infrastructure during Q3 2025, a 14.8% increase from Q3 2024[6] - Capital investments for the nine months ending September 30, 2025, were $364.7 million, up 9.8% from $332.2 million in the same period of 2024[14] Dividends and Settlements - The Company declared its 323rd consecutive quarterly dividend of $0.30 per share, with a five-year compound annual dividend growth rate of 7.7%[6] - The Company received $24.2 million in additional proceeds from PFAS settlements in Q3 2025, totaling $34.8 million year-to-date[18] Regulatory and Compliance - The company has received regulatory approval for rate increases in Hawaii and is seeking a $4.9 million increase in Washington to recover higher operating costs[16][17] - The company anticipates challenges related to regulatory actions and environmental compliance impacting future performance[25] Balance Sheet and Assets - Total assets as of September 30, 2025, were $5,519,417,000, up from $5,180,283,000 as of December 31, 2024, indicating a growth of approximately 6.56%[27] - Total current liabilities increased to $729,919,000 as of September 30, 2025, from $538,364,000 at the end of 2024, marking an increase of about 35.54%[27] - The company’s cash and cash equivalents increased to $75,990,000 as of September 30, 2025, from $50,121,000 at the end of 2024, representing a growth of about 51.00%[27] - The company’s long-term debt as of September 30, 2025, was $1,103,819,000, slightly down from $1,104,571,000 at the end of 2024[27]