Core Viewpoint - American Water Works Company (AWK) reported strong first-quarter 2025 results, with operating earnings per share (EPS) of $1.05, exceeding estimates and showing a year-over-year improvement of 10.5% from $0.95 [1] Financial Performance - Total revenues for the quarter reached $1.14 billion, surpassing the Zacks Consensus Estimate of $1.02 billion by 11% and increasing 12.9% from $1.01 billion in the previous year [2] - Operating expenses totaled $771 million, up 12.6% from $685 million a year ago, primarily due to increased operating and maintenance costs [4] - Operating income was reported at $371 million, reflecting a 13.8% increase from $326 million in the prior year [4] Segment Performance - Net revenues from regulated businesses were $1.04 billion, marking a 13% year-over-year increase [3] - Other net revenues amounted to $93 million, up 12% year over year [3] Growth Initiatives - The company added 2,150 customers through three completed acquisitions as of April 30, 2025, with 18 pending acquisitions expected to add 37,400 customers [5] - New rates effective January 1, 2025, are projected to increase revenues by $161 million for the full year, with potential additional revenue of $384 million from pending rate cases [5] Financial Position - Cash and cash equivalents stood at $114 million as of March 31, 2025, compared to $96 million at the end of 2024 [6] - Total long-term debt increased to $13.32 billion, up 6.4% from $12.51 billion at the end of 2024 [6] - Cash flow from operating activities was $331 million, down from $382 million in the same period last year [6] Long-Term Guidance - AWK reiterated its 2025 EPS guidance of $5.65-$5.75, with a Zacks Consensus Estimate of $5.72 [7] - The company aims for long-term earnings and dividend growth in the range of 7-9% and plans to invest approximately $3.3 billion in 2025 [7] - Capital expenditure is projected to be between $17-$18 billion for 2025-2029 and $40-$42 billion for 2025-2034 [8]

Financial Data and Key Metrics Changes - Earnings per share (EPS) for Q1 2025 were $1.05, an increase of nearly 11% compared to $0.95 in Q1 2024, affirming the company's full-year EPS guidance of 8% growth [7][12] - Consolidated reported earnings were $1.50 per share, up $0.10 per share versus the same period in 2024, with revenues higher by $0.44 per share due to authorized rate increases and acquisitions [13][14] - Operating costs increased by $0.15 per share, primarily due to employee-related costs and acquisition-related expenses [14] Business Line Data and Key Metrics Changes - The company achieved a constructive settlement in the general rate case in Missouri, with an annualized revenue increase of $63 million expected [15] - In Virginia, a settlement approved a $15 million annualized increase in water and wastewater revenues [15] Market Data and Key Metrics Changes - The company continues to expect to grow its dividend at 7% to 9% per year, in line with its EPS growth target [11] - The total debt to capital ratio was 58%, within the target of less than 60%, with strong credit ratings affirmed by S&P and Moody's [21] Company Strategy and Development Direction - The company aims for long-term earnings and dividend growth of 7% to 9%, driven by a capital investment program targeting approximately $3.3 billion in 2025 [10][22] - The company is focused on infrastructure investments, particularly in PFAS remediation and lead service line replacement, while maintaining a strong regulatory and operational execution [22][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to execute financial and operational plans, with no expected material impact from recent tariff-related announcements [20] - The company highlighted the need for significant investments in U.S. water infrastructure, estimating a total of $625 billion over the next twenty years [29] Other Important Information - The Board approved an increase in the quarterly cash dividend from $0.765 to $0.825 per share, marking an 8.2% increase [11] - The company is well-positioned for growth through acquisitions, with approximately 37,000 customer connections under agreement [26] Q&A Session Summary Question: Thoughts on pulling forward 2026 equity issuance - Management stated there are no plans to pull forward equity issuance and will evaluate the market as needed [37] Question: Acquisition outlook under potential recession - Management expects a continuous flow of acquisition opportunities, potentially driven by recession or reduced federal funding [38] Question: Update on California rate case - Management did not disclose the percentage increase for the California rate case and confirmed a separate proceeding for cost of capital [43][44] Question: Update on California desalination project - Management confirmed that the last major permit approval was received, and they expect to break ground on the desalination project this year [49] Question: Legislative progress and opportunities - Management did not quantify the opportunities from legislative changes but noted they would help earned returns in each state [56]

American Water Works Company (AWK) Q1 2025 Earnings Call May 01, 2025 09:00 AM ET Company Participants Aaron Musgrave - Vice President of Investor RelationsJohn Griffith - PresidentDavid Bowler - Executive VP & CFOCheryl Norton - Executive VP & COOM. Susan Hardwick - CEOAnthony Crowdell - Managing DirectorPaul Zimbardo - Managing Director Conference Call Participants Richard Sunderland - AnalystGregg Orrill - Analyst Operator Good morning, and welcome to American Water's First Quarter twenty twenty five Ear ...

2025 First Quarter Earnings Conference Call May 1, 2025 Aaron Musgrave Vice President, Investor Relations Safe Harbor This presentation includes forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and the Federal securities laws. They are not guarantees or assurances of any outcomes, financial results, levels of activity, performance or achievements, and readers are cautioned not to place undue reliance upon them. The forward-lo ...

First Quarter 2025 Financial Results Presentation On Today's Call Andrew Walters 2 2 Forward-Looking Statements Safe Harbor This presentation contains forward-looking statements within the meaning of the federal securities laws relating to future events and future results of SJW Group and its subsidiaries that are based on current expectations, estimates, forecasts, and projections about SJW Group and its subsidiaries and the industries in which SJW Group and its subsidiaries operate and the beliefs and ass ...

Financial Data and Key Metrics Changes - In Q1 2025, the company reported GAAP diluted EPS of $0.49 and adjusted diluted EPS of $0.50, reflecting a nearly 41% increase in net income compared to Q1 2024 [10][14] - Revenue for Q1 2025 was $167.6 million, a 12% increase from $149.4 million in Q1 2024, primarily due to rate increases in California and Connecticut [15][16] - GAAP net income was $16.6 million, a 41% increase year-over-year, while adjusted net income was $16.7 million, a 43% increase [15][16] Business Line Data and Key Metrics Changes - The company invested $70.8 million in water and wastewater utility infrastructure across four states in Q1 2025, on track to meet its 2025 capital plan [9][12] - The completion of successful general rate cases in California and Connecticut has reduced regulatory risk, with these states generating 90% of the company's water utility services net income in 2024 [11] Market Data and Key Metrics Changes - The new rates for San Jose Water effective January 1, 2025, support $450 million in capital expenditures over three years, with a total revenue increase of 9.4% [22] - In Connecticut, a $1.6 million revenue increase was authorized effective April 1, 2025, with a cumulative surcharge now at 4.9% [24][25] Company Strategy and Development Direction - The company is focused on a long-term growth strategy that includes a robust $2 billion capital plan and opportunistic acquisitions that benefit customers [12][60] - The company aims to maintain affordability while investing in infrastructure and enhancing operational efficiencies through technology advancements [31][33] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's performance for 2025, expecting to meet guidance of adjusted diluted EPS between $2.9 and $3 [14][45] - The leadership transition is progressing smoothly, with a focus on maintaining a strong culture of safety and service [35][68] Other Important Information - The company raised its credit outlook to stable, indicating a commitment to maintaining a strong credit rating [13] - The company is exploring a Water Quality and Treatment Adjustment mechanism to improve regulatory recovery processes [48][51] Q&A Session Summary Question: Can you frame where you're trending relative to guidance for the year? - Management indicated they are trending right on plan for the year and expect to meet the guidance of $2.9 to $3 [42][45] Question: What is the potential impact of the WQTA mechanism? - The WQTA is expected to streamline recovery for environmental improvements, enhancing regulatory capabilities for timely recovery [50][52] Question: Are there specific states in mind for potential acquisitions? - Management highlighted Texas as a prime area for continued acquisition activity, with additional opportunities in California, Connecticut, and Maine [58][60]

Xylem (XYL) Q1 2025 Earnings Call April 29, 2025 02:14 PM ET Speaker0 Day, and welcome to Xylem's First Quarter twenty twenty five Earnings Conference Call. All participants will be in a listen only mode. Please note this event is being recorded. I would now like to turn the conference over to Mr. Keith Buettner, Vice President of Investor Relations in FP and A. Please go ahead, sir. Speaker1 Thank you, operator. Good morning, everyone, and welcome to Xylem's first quarter twenty twenty five earnings call. ...

2025 First Quarter Results and Earnings April 29, 2025 Forward-Looking Statements This presentation contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Generally, the words "anticipate," "estimate," "expect," "project," "intend," "plan," "contemplate," "predict," "forecast," "likely," "believe," "target," "will," "could," "would," "should," "potential," "may" and similar express ...

Xylem (XYL) reported $2.07 billion in revenue for the quarter ended March 2025, representing a year-over-year increase of 1.8%. EPS of $1.03 for the same period compares to $0.90 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $2.04 billion, representing a surprise of +1.26%. The company delivered an EPS surprise of +8.42%, with the consensus EPS estimate being $0.95.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they c ...

Xylem (XYL) Q1 2025 Earnings Call April 29, 2025 09:00 AM ET Company Participants Keith Buettner - Vice President - IRMatthew Pine - President & CEOWilliam Grogan - Senior VP & CFODeane Dray - Managing DirectorMichael Halloran - Associate Director of ResearchScott Davis - CEO & ChairmanNathan Jones - Managing DirectorSaree Boroditsky - Senior Vice PresidentJoseph Giordano - Managing Director Conference Call Participants Bryan Blair - Managing Director & Senior Research Analyst Operator Day, and welcome to X ...