PHOENIX, Nov. 12, 2025 (GLOBE NEWSWIRE) -- Global Water Resources, Inc. (NASDAQ: GWRS), a pure-play water resource management company, reported results for the third quarter and nine months ended September 30, 2025. Unless otherwise noted, all comparisons are to the corresponding period in the prior year. The company will hold a conference call at 1:00 p.m. Eastern time tomorrow to discuss the results (see dial-in information below). Financial Highlights Total revenue increased 8.4% to $15.5 million for the ...

Core Insights - Global Water Resources (GWRS) reported second-quarter 2025 adjusted earnings of 6 cents per share, matching the Zacks Consensus Estimate but down 14.3% from 7 cents per share in the same quarter last year due to increased depreciation expenses related to capital improvement plans [1][8] Revenue Performance - Total operating revenues for the second quarter reached $14 million, aligning with the Zacks Consensus Estimate and reflecting a year-over-year increase of 5.4%, driven by organic connection growth, increased consumption, and higher rates [2][8] - Water Services contributed $7.36 million to total revenues, marking a 10.5% increase from $6.67 million in the prior year [2] - Wastewater and recycled water services generated $6.87 million in revenues, a slight increase of 0.5% from $6.84 million in the same quarter last year [3] Operational Metrics - Water consumption rose by 8.2% to 1.2 billion gallons, while total active service connections increased by 3.8% to 65,639 as of June 30, 2025 [4][8] - Net income for the second quarter decreased to $1.6 million from $1.7 million in the previous year [4] Financial Position - As of June 30, 2025, GWRS had cash and cash equivalents of $10.2 million, up from $9.04 million at the end of 2024 [5] - The company's net long-term debt decreased to $116.8 million from $118.5 million as of December 31, 2024 [5] - Cash flow from operating activities in the first half of 2025 was approximately $8.8 million, down from $13.6 million in the same period last year [5] Market Position - GWRS currently holds a Zacks Rank of 3 (Hold) [6]

Core Viewpoint - Global Water Resources, Inc. reported a 5.4% increase in total revenue for Q2 2025, driven by organic connection growth, increased consumption, and successful rate case strategies, despite a slight decline in net income due to higher depreciation expenses from capital improvements [5][8][19]. Financial Highlights - Total revenue for Q2 2025 was $14.2 million, up from $13.5 million in Q2 2024, reflecting a 5.4% increase [8]. - Net income decreased to $1.6 million or $0.06 per share, down from $1.7 million or $0.07 per share in the same period last year [19]. - Adjusted EBITDA rose by 2.1% to $6.9 million compared to $6.8 million in Q2 2024 [20]. - The company declared three monthly cash dividends of $0.02533 per common share, amounting to an annualized rate of $0.30396 per share [21]. Operational Highlights - Active service connections increased by 3.8% to 65,639 as of June 30, 2025, compared to 63,256 a year earlier [24]. - Water consumption rose by 8.2% to 1.2 billion gallons [8]. - The company invested $20.2 million in infrastructure projects to support existing utilities and future growth [8]. Strategic Developments - Approval of the GW-Farmers general rate case is expected to generate an additional $1.1 million in annual revenue once fully phased in [8]. - The Arizona Department of Transportation's inclusion of State Route 347 improvements in a $11.6 billion five-year plan is anticipated to drive residential and commercial development, increasing demand for water services [6]. - Arizona's Senate Bill 1611, effective September 26, 2025, is expected to support water management and housing accessibility, with potential for over 1 million new homes from agricultural land conversion [7]. Market Trends - The Phoenix metropolitan area is projected to grow significantly, with a population increase from 5.2 million in 2024 to an estimated 6.5 million by 2040 [25]. - The City of Maricopa's housing market remains attractive due to lower median home prices compared to Phoenix, which is expected to continue driving organic growth for the company [26]. - Despite a decrease in housing permits in early 2025, the company remains optimistic about long-term growth prospects in the Phoenix MSA due to existing infrastructure and available lots [27].

Core Viewpoint - Global Water Resources, Inc. reported a 7.3% increase in total revenue for Q1 2025, driven by organic growth in active water and wastewater connections and increased consumption, despite a 14.5% decrease in net income [7][21]. Financial Highlights - Total revenue for Q1 2025 reached $12.5 million, up from $11.6 million in Q1 2024 [7][15]. - Net income decreased to $0.6 million or $0.02 per share, down from $0.7 million or $0.03 per share in the same period last year [21]. - Adjusted EBITDA increased by 4.4% to $5.6 million compared to $5.4 million in Q1 2024 [22]. - Cash and cash equivalents rose significantly to $31.5 million from $9.0 million at the end of 2024 [7]. - The company raised net proceeds of $30.8 million from a public offering of common stock [10]. Operational Highlights - Active service connections increased by 4.3% to 65,163 as of March 31, 2025 [25]. - Water consumption surged by 24.2% to 0.84 billion gallons [7]. - The company invested $15.2 million in infrastructure projects to support existing utilities and growth [7]. Rate Case Applications - In March 2025, the company filed general rate case applications for GW-Santa Cruz and GW-Palo Verde utilities, seeking a net revenue increase of approximately $6.5 million [6][8]. - The Arizona Corporation Commission approved a rate case for GW-Farmers, expected to generate an additional $1.1 million in annual revenue [7][8]. Business Strategy - The company aims to enhance service connections, improve operational efficiencies, and increase utility rates as approved by the Arizona Corporation Commission [24]. - Plans include acquiring seven water systems from the City of Tucson, which would add approximately 2,200 water service connections [11]. Market Outlook - Arizona's economic outlook remains strong, with projections of adding 478,000 jobs by 2032, supporting continued growth in active service connections [13]. - The Phoenix metropolitan area is expected to grow significantly, with a population forecast of 5.8 million by 2030 [26]. Dividend Policy - The company declared a monthly cash dividend of $0.02533 per common share, equating to an annualized rate of $0.30396 [23]. Management Commentary - The CEO expressed confidence in maintaining solid revenue growth through appropriate rate increases and organic growth, supporting potential net income growth [5]. - The CFO highlighted the strengthening of capital resources to fund growth opportunities [10].