American States Water Co (AWR)

American States Water Company Announces First Quarter 2026 ResultsMay 6, 2026 4:30 PM
Business Wire An 8.6% increase (or $0.06 per share) in reported first quarter 2026 consolidated diluted EPS compared to first quarter of 2025 Increased earnings per share at all operating business segments AWR’s regulated utilities authorized to spend approximately $650 million in capital investments as approved in the utilities’ general rate cases On target to invest $185 to $225 million in 2026 AWR’s contracted services business is expected to contribute $0.63 to $0.67 per share for the full 2026 year AWR Named One of America’s Most Trustworthy Companies by Newsweek Ranked #1 in the Energy & Utilities Industry American States Water Company (NYSE:AWR) today reported basic and fully diluted earnings per share of $0.76 for the quarter ended March 31, 2026, as compared to basic and fully diluted earnings per share of $0.70 for the quarter ended March 31, 2025, an increase of $0.06 per share or 8.6%, primarily generated from higher earnings at the water and electric utility segments resulting from the implementation of new customer rate increases approved by the California Public Utilities Commission (CPUC), and higher construction activities that resulted in higher earnings at the contracted services segment. First Quarter 2026 Results The table below sets forth a comparison of the first quarter of 2026 diluted earnings per share contribution reported by business segment and for the parent company compared with amounts reported during the same period in 2025.     Diluted Earnings per Share     Three Months Ended         3/31/2026   3/31/2025   CHANGE Water   $ 0.55     $ 0.52     $ 0.03 Electric     0.08       0.07       0.01 Contracted services     0.15       0.13       0.02 AWR (parent)     (0.02 )     (0.02 )     — Consolidated diluted earnings per share, as reported (GAAP)   $ 0.76     $ 0.70     $ 0.06 Water Segment: For the three months ended March 31, 2026, reported diluted earnings from AWR’s water utility segment, Golden State Water Company (GSWC), were $0.55 per share, as compared to $0.52 per share for the same period in 2025, an increase of $0.03 per share. The discussion below presents the major variances in earnings for the two periods. An increase in water operating revenues of $11.1 million was largely as a result of the CPUC-authorized second-year rate increases and additional revenues for capital projects approved in advice letter filings, both of which were effective January 1, 2026. Water consumption for the three months ended March 31, 2026 was consistent with the same period in 2025 and adopted levels. However, as a result of transitioning from a full revenue decoupling mechanism to a modified rate adjustment mechanism effective January 1, 2025, GSWC’s revenues and earnings will continue to be subject to future volatility from significant fluctuations in customer consumption. An increase in water supply costs of $4.8 million, which consist of purchased water, purchased power for pumping, groundwater production assessments and changes in the water supply cost balancing accounts. The increase in water supply costs compared to the same period in 2025 is largely because of (i) an overall increase in the per-unit purchased water costs that are covered in current rates resulting in no impact to net earnings, and (ii) an increase in purchased water volume compared to the same period in 2025 resulting from certain wells being temporarily offline in a few customer service areas. As a result, GSWC’s earnings for the three months ended March 31, 2026 were impacted by an actual water supply source mix that included more purchased water than in the same period of 2025. Due to transitioning from a full cost balancing account for water supply to an incremental cost balancing account effective January 1, 2025, GSWC’s earnings have been and will be subject to future volatility from favorable and unfavorable changes in the water supply source mix compared to the adopted mix incorporated in the revenue requirement. An overall increase in operating expenses of $2.4 million (excluding supply costs) due primarily to increases in (i) overall labor costs and other employee-related benefits, (ii) overall operation-related costs including lab fees for water quality testing and conservation spending, (iii) depreciation and amortization expenses, which are impacted by increasing capital additions placed in service and are reflected and recovered in customer rates, and (iv) property and other non-income taxes. An overall increase in interest expense (net of interest income) of $0.9 million resulting largely from (i) the impact of capitalizing debt costs related to certain advice letter projects approved by the CPUC in the latest general rate case effective January 1, 2025 that was reported in 2025 with no similar item in 2026, and (ii) a decrease in interest income earned on regulatory assets due to decreasing regulatory balances as GSWC recovers the amounts through surcharges; partially offset by decreases in overall borrowing levels and average interest rates. The advice letter projects discussed are now included in adopted rate base and are part of the rate increases effective January 1, 2026. An overall increase in other expense (net of other income) of $0.2 million due largely to losses totaling $1.3 million generated on investments held to fund one of the company’s retirement plans during the three months ended March 31, 2026, as compared to losses on investments of $0.6 million reported during the same period in 2025 due to financial market conditions; partially offset by a decrease in the non-service cost components related to GSWC’s benefit plans resulting from changes in actuarial assumptions. However, as a result of GSWC’s two-way pension balancing accounts authorized by the CPUC, changes in total net periodic benefits costs related to the pension plan have no material impact to earnings. Changes in certain flowed-through income taxes and permanent items included in GSWC’s income tax expense for the three months ended March 31, 2026 as compared to the same period in 2025 unfavorably impacted the water segment’s earnings. As a regulated utility, GSWC treats certain temporary differences as being flowed-through in computing its income tax expense consistent with the income tax method used in its CPUC-jurisdiction rate making. Changes in the magnitude of flowed-through items either increase or decrease tax expense, thereby affecting diluted earnings per share. A decrease in earnings of approximately $0.01 per share due to the dilutive effects from the issuance of equity under AWR’s at-the-market (ATM) offering program beginning in February 2024. Under the ATM offering program, AWR may offer and sell its Common Shares, with an aggregate gross offering price of up to $200 million, from time to time at its sole discretion, with $34.3 million currently remaining available for sale. Through March 31, 2026, AWR has sold 2,133,225 Common Shares through this ATM offering program. Electric Segment: Diluted earnings from the electric utility segment increased $0.01 per share for the three months ended March 31, 2026 as compared to the same period in 2025 largely resulting from an increase of $3.7 million in electric revenues due to the CPUC-authorized fourth-year rate increases in 2026 and additional revenues approved after the first quarter of 2025 to recover the cost plus an allowance for funds used during construction (AFUDC) of certain advice letter capital projects, partially offset by an increase in electric supply costs of $0.3 million, which combined is an increase of approximately $3.4 million compared to the same period in 2025. The net increase discussed above was partially offset by (i) an overall increase in operating expenses of $2.3 million, mostly from operation and maintenance-related activities, and (ii) an increase in interest expense (net of interest and other income) of $0.5 million compared to the same period in 2025 due to a decrease in AFUDC related to certain advice letter projects approved by the CPUC in the latest general rate case that was reported in 2025 with no similar level of AFUDC reported in 2026, lower interest income earned on regulatory assets, and an increase in interest expense from higher average borrowing levels. The advice letter projects discussed are now included in adopted rate base and are part of the increase in 2026 revenues. Contracted Services Segment: Diluted earnings from the contracted services segment increased $0.02 per share for the first quarter of 2026 when compared to the same period in 2025 largely resulting from (i) an increase in construction activities, (ii) an increase in management fee revenues resulting from the resolution of various economic price adjustments, and (iii) a decrease in interest expense (net of interest income) due to lower average borrowing levels and average interest rates. These favorable variances were partially offset by an increase in overall operating expenses (excluding construction expenses). The contracted services segment is expected to contribute $0.63 to $0.67 per share for the full year of 2026. Dividends On May 4, 2026, AWR’s Board of Directors approved a second quarter dividend of $0.5040 per share on AWR’s Common Shares. Dividends on the Common Shares will be paid on June 2, 2026 to shareholders of record at the close of business on May 18, 2026. AWR has paid common dividends every year since 1931, and has increased the dividends received by shareholders each calendar year for 71 consecutive years, which places it in an exclusive group of companies on the New York Stock Exchange that have achieved that result. AWR has grown its quarterly dividend rate at a compound annual growth rate (CAGR) of 8.5% over the last five years since the second quarter of 2021, and has achieved a 10-year CAGR of 8.3% in its calendar year dividend payments through 2025. AWR’s current policy is to achieve a CAGR in the dividend of more than 7% over the long-term. Non-GAAP Financial Measures This press release includes a discussion on AWR’s operations in terms of diluted earnings per share by business segment and AWR (parent), which is each business segment’s earnings divided by the company’s weighted average number of diluted common shares. This measure by business segment is derived from consolidated financial information but is not presented in our financial statements that are prepared in accordance with Generally Accepted Accounting Principles (GAAP) in the United States. This item constitutes a “non-GAAP financial measure” under SEC rules, which supplements our GAAP disclosures but should not be considered as an alternative to the respective GAAP measure. Furthermore, this non-GAAP financial measure may not be comparable to similarly titled non-GAAP financial measures of other registrants. The company uses earnings per share by business segment and AWR (parent), a non-GAAP measure, as an important measure in evaluating its operating results and believes it provides investors with clarity surrounding the performance of its business segments and the parent company. The company reviews this measurement regularly and compares it to historical periods and to the operating budget. The company has provided the computations and reconciliations of diluted earnings per share from the measure of net income (loss) by business segment and for the parent company to AWR’s consolidated fully diluted earnings per share in this press release. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can often be identified by words such as “anticipate,” “estimate,” “expect,” “intend,” “may,” “should” and similar phrases and expressions, and variations or negatives of these words. 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-looking statements are subject to a number of estimates and assumptions, and known and unknown risks, uncertainties and other factors, including those described in greater detail in the company’s filings with the SEC, particularly those described in the company’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Readers are encouraged to review the company’s filings with the SEC for a more complete discussion of risks and other factors that could affect any forward-looking statements. The statements made herein speak only as of the date of this press release and except as required by law, the company does not undertake any obligation to publicly update or revise any forward-looking statement. Conference Call Robert Sprowls, president and chief executive officer, and Eva Tang, senior vice president and chief financial officer, will host a conference call to discuss these results at 2:00 p.m. Eastern Time (11:00 a.m. Pacific Time) on Thursday, May 7. There will be a question and answer session as part of the call. Interested parties can listen to the live conference call and view accompanying slides on the internet at www.aswater.com. The call will be archived on the website and available for replay beginning May 7, 2026 at 5:00 p.m. Eastern Time (2:00 p.m. Pacific Time) through May 14, 2026. About American States Water Company American States Water Company is the parent of Golden State Water Company, Bear Valley Electric Service, Inc. and American States Utility Services, Inc., serving over one million people in ten states. Through its water utility subsidiary, Golden State Water Company, the company provides water service to approximately 265,100 customer connections located within more than 80 communities in Northern, Coastal and Southern California. Through its electric utility subsidiary, Bear Valley Electric Service, Inc., the company distributes electricity to approximately 24,900 customer connections in the City of Big Bear Lake and surrounding areas in San Bernardino County, California. Through its contracted services subsidiary, American States Utility Services, Inc., the company provides operations, maintenance and construction management services for water distribution, wastewater collection, and treatment facilities located on twelve military bases throughout the country under 50-year privatization contracts with the U.S. government and one military base under a 15-year contract.   American States Water Company Consolidated           Comparative Condensed Balance Sheets (Unaudited) (in thousands) March 31, 2026   December 31, 2025 Assets       Net Property, Plant and Equipment $2,329,693   $2,296,319 Other Property and Investments 57,257   58,664 Current Assets 221,356   231,074 Other Assets 125,834   129,035 Total Assets $2,734,140   $2,715,092 Capitalization and Liabilities       Capitalization $1,846,584   $1,828,281 Current Liabilities 181,597   174,612 Other Credits 705,959   712,199 Total Capitalization and Liabilities $2,734,140   $2,715,092   Condensed Statements of Income (Unaudited)   Three Months Ended March 31, (in thousands, except per share amounts) 2026 2025       Operating Revenues     Water $ 113,110   $ 102,003   Electric   18,657     15,002   Contracted services   37,424     31,008   Total operating revenues   169,191     148,013         Operating Expenses     Water purchased   21,360     16,308   Power purchased for pumping   3,297     3,149   Groundwater production assessment   5,527     5,679   Power purchased for resale   4,792     6,068   Supply cost balancing accounts   (318 )   (1,716 ) Other operation   11,268     10,490   Administrative and general   28,154     26,875   Depreciation and amortization   12,684     11,582   Maintenance   5,700     4,147   Property and other taxes   8,023     6,952   ASUS construction   17,333     12,933   Total operating expenses   117,820     102,467         Operating income   51,371     45,546         Other Income and Expenses     Interest expense   (12,107 )   (12,082 ) Interest income   976     2,013   Other, net   (420 )   (171 ) Total other income and (expenses), net   (11,551 )   (10,240 )       Income Before Income Tax Expense   39,820     35,306   Income tax expense   9,872     8,462   Net Income $ 29,948   $ 26,844         Weighted average shares outstanding   39,111     38,253   Basic earnings per Common Share $ 0.76   $ 0.70         Weighted average diluted shares   39,210     38,354   Fully diluted earnings per Common Share $ 0.76   $ 0.70         Dividends paid per Common Share $ 0.5040   $ 0.4655     Computation and Reconciliation of Non-GAAP Financial Measure (Unaudited) Below are the computation and reconciliation of diluted earnings per share from the measure of net income (loss) by business segment and AWR (parent) to AWR’s consolidated fully diluted earnings per share for the three months ended March 31, 2026 and 2025.   Water   Electric   Contracted Services AWR (Parent) Consolidated (GAAP) In 000's except per share amounts Q1 2026   Q1 2025   Q1 2026   Q1 2025   Q1 2026   Q1 2025   Q1 2026   Q1 2025   Q1 2026 Q1 2025 Net income (loss) $ 21,683   $ 19,906   $ 3,313   $ 2,626   $ 5,815   $ 5,124 $ (863 )   $ (812 ) $ 29,948 $ 26,844 Weighted Average Number of Diluted Shares   39,210     38,354     39,210     38,354     39,210     38,354   39,210       38,354     39,210   38,354 Diluted earnings (loss) per share $ 0.55   $ 0.52   $ 0.08   $ 0.07   $ 0.15   $ 0.13 $ (0.02 )   $ (0.02 ) $ 0.76 $ 0.70   View source version on businesswire.com: https://www.businesswire.com/news/home/20260504990961/en/ Eva G. Tang
Senior Vice President-Finance, Chief Financial Officer,
Corporate Secretary and Treasurer
Telephone: (909) 394-3600, ext. 707 Original: American States Water Company Announces First Quarter 2026 Results

American States Water Company Announces Fourth Quarter and Full Year 2025 ResultsFebruary 18, 2026 4:30 PM
Business Wire

$0.01 per share decrease in reported consolidated diluted EPS in the fourth quarter of 2025 compared to the fourth quarter of 2024




$0.18 per share increase on an adjusted basis after excluding the following items from the fourth quarter of 2024 reported results:


a $0.13 per share one-time tax benefit as approved in the final decision in AWR’s water utility general rate case



$0.06 per share impact from retroactive rates related to the full year of 2023 and the nine months ended September 30, 2024 booked in the fourth quarter of 2024 after receiving the final decision in AWR’s electric utility general rate case









$0.20 per share increase in reported consolidated diluted EPS for the full year 2025 compared to the full year 2024, or $0.33 per share increase on an adjusted basis (see discussion below)


Increased earnings per share in 2025 at all operating business segments







AWR’s regulated utilities are authorized to spend nearly $650 million in capital investments over the respective rate cycles as approved in the latest utilities’ general rate cases


spent $210.9 million in company-funded capital expenditures in 2025



project to invest $185 to $225 million in 2026







AWR’s contracted services business was awarded $29.4 million during 2025 in additional new construction projects, which are expected to be completed through 2028




An 8.3% increase in the quarterly dividend during 2025



Quarterly dividend rate has grown at a CAGR of 8.5% over the last five years









American States Water Company (NYSE: AWR) today reported diluted earnings per share of $0.74 for the quarter ended December 31, 2025, as compared to diluted earnings per share of $0.75 for the quarter ended December 31, 2024, a decrease of $0.01 per share, which includes the impact from the final decisions in the water and electric general rate cases that were reported in the fourth quarter 2024 results as discussed further below.


Fourth Quarter 2025 Results


As noted in the table below, fully diluted earnings as reported for the fourth quarter 2025 were $0.74 per share as compared to $0.75 per share reported for the same period in 2024, a $0.01 per share decrease. Included in the results for the three months ended December 31, 2024 were: (i) the impact of recording a one-time tax benefit of $5.0 million, or $0.13 per share, resulting from the final decision at AWR’s water utility subsidiary, Golden State Water Company (“GSWC”), and (ii) the impact of retroactive rates totaling $0.06 per share related to the full 2023 year and the second-year rate increases through the nine months ended September 30, 2024 at AWR’s electric utility subsidiary, Bear Valley Electric Service, Inc. (“BVES”), both shown separately in the table below and also discussed in greater detail later.


Excluding the two items discussed above, adjusted consolidated diluted earnings for the three months ended December 31, 2024 were $0.56 per share as compared to reported diluted earnings of $0.74 per share for the three months ended December 31, 2025, an adjusted increase of $0.18 per share largely from the implementation of new customer rates at the regulated utilities and higher earnings at the contracted services segment largely from an increase in management fee revenues and construction activities.


The table below sets forth a comparison of the fourth quarter 2025 diluted earnings per share contribution reported by business segment and for the parent company with amounts reported during the same period in 2024.




 







Diluted Earnings per Share








 







Three Months Ended







 








 







12/31/2025







12/31/2024







CHANGE








Water







$






0.50






 







$






0.52






 







$






(0.02






)








Electric







 






0.11






 







 






0.13






 







 






(0.02






)








Contracted services







 






0.16






 







 






0.11






 







 






0.05






 








AWR (parent)







 






(0.03






)







 






(0.02






)







 






(0.01






)








Consolidated diluted earnings per share, as reported (GAAP)







$






0.74






 







$






0.75






 







$






(0.01






)








Adjustments to GAAP measure:







 







 







 








Impact of a tax benefit reported in the fourth quarter of 2024 resulting from a final decision in the water general rate case (1)







 






—






 







 






(0.13






)







 






0.13






 








Impact of retroactive rates related to the full year of 2023 and the nine months ended September 30, 2024 resulting from the final decision in the electric general rate case (2)







 






—






 







 






(0.06






)







 






0.06






 








Consolidated diluted earnings per share, as adjusted (Non-GAAP)







$






0.74






 







$






0.56






 







$






0.18






 








Water diluted earnings per share, as adjusted (Non-GAAP) (1)







$






0.50






 







$






0.39






 







$






0.11






 








Electric diluted earnings per share, as adjusted (Non-GAAP) (2)







$






0.11






 







$






0.07






 







$






0.04






 











Note: Certain amounts in the table above may not foot or crossfoot due to rounding.












(1)







The water segment’s adjusted earnings for 2024 exclude the impact of a one-time tax benefit of $0.13 per share reported during the fourth quarter of 2024 as a result of receiving a final decision from the California Public Utilities Commission (“CPUC”) in the water general rate case.








(2)







The electric segment’s adjusted earnings for 2024 exclude the impact from retroactive rates of $0.06 per share related to the full year of 2023 and the second-year rate increases through the nine months ended September 30, 2024 as a result of receiving a final decision in the electric general rate case. On January 16, 2025, the CPUC adopted a final decision in connection with the electric general rate case proceeding that set new rates for 2023 – 2026, with new electric rates retroactive to January 1, 2023.







Water Segment:


On January 30, 2025, the CPUC issued a final decision in connection with GSWC’s general rate case that set new rates for 2025 - 2027 that, among other things, adopted a settlement agreement between GSWC and the Public Advocates Office at the CPUC, which excluded from customer rates certain excess deferred income tax balances generated by activities outside of ratemaking that were previously reported as regulatory liabilities as a result of the 2017 Tax Cuts and Jobs Act that reduced the corporate income tax rate from 35% to 21%. Because of the final CPUC decision, GSWC reported the tax benefit of $5.0 million, or $0.13 per share, during the fourth quarter of 2024 to reflect a change in estimate that decreased its regulatory liabilities associated with excess deferred income tax balances as of December 31, 2024.


Excluding the impact from the one-time tax benefit reported in the fourth quarter of 2024 discussed above, adjusted diluted earnings from the water segment for the fourth quarter of 2024 were $0.39 per share as compared to reported diluted earnings for the fourth quarter of 2025 of $0.50 per share, an adjusted increase of $0.11 per share. The discussion below presents the major variances in adjusted earnings for the two periods:



An increase in water operating revenues of approximately $17.4 million largely as a result of the CPUC-authorized new rate increases effective January 1, 2025 in connection with the approved general rate case. GSWC transitioned from a full revenue decoupling mechanism to a modified rate adjustment mechanism effective January 1, 2025. As a result, GSWC’s revenues and earnings may be subject to future volatility from significant fluctuations in customer consumption compared to adopted levels.



An increase in water supply costs of $10.2 million, which consist of purchased water, purchased power for pumping, groundwater production assessments and changes in the water supply cost balancing accounts. The increase in water supply costs compared to the same period in 2024 is largely due to an increase in the overall per-unit purchased water costs covered in customer rates. As a result of transitioning from a full cost balancing account for water supply to an incremental cost balancing account, GSWC’s earnings will be subject to future volatility from favorable and unfavorable changes in the water supply source mix compared to the adopted mix incorporated in the revenue requirement.



An overall increase in operating expenses of $2.6 million (excluding supply costs) due primarily to increases in (i) overall labor costs, (ii) administrative and general expenses (excluding labor) primarily due to higher outside services costs and insurance-related costs, and (iii) depreciation and amortization expenses, which is impacted by increases in capital additions placed in service and are reflected and recovered in customer rates; partially offset by a decrease in chemical and water treatment costs, maintenance expense, and property taxes resulting from favorable true-ups in assessed property values, as compared to the same period in 2024.



An overall increase in other income (net of other expense) of $0.7 million due largely to higher gains generated on investments held to fund one of the company's retirement plans for the quarter ended December 31, 2025 as compared to the same period in 2024.



An overall decrease in the effective income tax rate due to changes in certain flowed-through income taxes and permanent items included in GSWC’s income tax expense for the quarter ended December 31, 2025 as compared to 2024 that favorably impacted the water segment's earnings. As a regulated utility, GSWC treats certain temporary differences as being flowed-through in computing its income tax expense consistent with the income tax method used in its CPUC-jurisdiction rate making. Changes in the magnitude of flowed-through items either increase or decrease tax expense, thereby affecting diluted earnings per share.



A decrease in earnings of approximately $0.01 per share due to the dilutive effects from the issuance of equity under AWR’s At-the-Market (“ATM”) offering program. Under the program, AWR may offer and sell its Common Shares, with an aggregate gross offering price of up to $200 million, from time to time at its sole discretion, with $40.7 million currently remaining available for sale. Through December 31, 2025, AWR has sold 2,048,988 Common Shares through this ATM offering program.



Electric Segment:


Diluted earnings reported from the electric utility segment were $0.11 per share for the three months ended December 31, 2025, as compared to $0.13 per share for the same period in 2024, a decrease of $0.02 per share. On January 16, 2025, the CPUC adopted a final decision in connection with BVES’s general rate case proceeding that set new rates for 2023 – 2026, with new electric rates retroactive to January 1, 2023. As a result of receiving the final decision, the impact from retroactive rates totaling $0.06 per share for the full year of 2023 and from the second-year rate increases related to the nine months ended September 30, 2024 have been reflected in the 2024 fourth quarter results.


Excluding the impact from retroactive rates reported in the fourth quarter of 2024 discussed above, adjusted diluted earnings from the electric segment for the fourth quarter of 2024 were $0.07 per share as compared to reported diluted earnings for the fourth quarter of 2025 of $0.11 per share, an adjusted increase of $0.04 per share largely from (i) the third-year rate increases authorized by the CPUC effective January 1, 2025, (ii) additional revenues approved in 2025 in connection with advice letter filings requesting recovery of certain capital projects, (iii) the recovery of previously incurred costs resulting from a final decision issued by the CPUC in December 2025 related to BVES’s solar and battery project application, and (iv) a decrease in the effective income tax rate largely due to changes in certain flowed-through income taxes. These increases in earnings were partially offset by an overall increase in operating expenses and interest expense (net of interest income).


Contracted Services Segment:


Diluted earnings from the contracted services segment increased $0.05 per share for the fourth quarter of 2025 as compared to the same period in 2024, largely due to (i) an increase in management fee revenues from the resolution of economic price adjustments, (ii) an increase in construction activities, and (iii) a decrease in interest expense resulting from lower borrowing levels and interest rates.


AWR (Parent):


For the fourth quarter of 2025, diluted losses from AWR (parent) increased $0.01 per share compared to 2024 due primarily to higher interest expense resulting from higher borrowing levels under AWR’s credit facility, partially offset by lower overall average interest rates.


Full Year 2025 Results



Full year 2025 reported consolidated diluted earnings per share increased by 6.3% (or $0.20 per share) compared to full year 2024



Full year 2025 adjusted consolidated diluted earnings per share increased by 10.9% (or $0.33 per share) after excluding a $0.13 per share one-time tax benefit reported in the fourth quarter of 2024 as approved in the final decision in the water utility general rate case



Earnings per share increased at all operating business segments



The table below sets forth a comparison of the diluted earnings per share contribution by business segment and for the parent company.




 







Diluted Earnings per Share








 







Year Ended







 








 







12/31/2025







12/31/2024







CHANGE








Water







$






2.61






 







$






2.51






 







$






0.10








Electric







 






0.25






 







 






0.21






 







 






0.04








Contracted services







 






0.61






 







 






0.55






 







 






0.06








AWR (parent)







 






(0.09






)







 






(0.10






)







 






0.01








Consolidated fully diluted earnings per share, as reported (GAAP)







$






3.37






 







$






3.17






 







$






0.20








Adjustment to GAAP measure:











 








Impact of a tax benefit reported in the fourth quarter of 2024 resulting from a final decision in the water general rate case (1)







 






—






 







 






(0.13






)







 






0.13








Consolidated diluted earnings per share, as adjusted (Non-GAAP)







$






3.37






 







$






3.04






 







$






0.33








Water diluted earnings per share, as adjusted (Non-GAAP) (1)







$






2.61






 







$






2.38






 







$






0.23











Note: Certain amounts in the table above may not foot or crossfoot due to rounding.












(1)







As previously discussed in the quarterly results, the water segment’s adjusted earnings for 2024 exclude the impact of a one-time tax benefit of $0.13 per share reported during the fourth quarter of 2024 as a result of receiving a final decision from the CPUC in the water general rate case.







For the year ended December 31, 2025, AWR’s reported consolidated diluted earnings were $3.37 per share, as compared to $3.17 per share for 2024, an increase of $0.20 per share. Excluding the one-time tax benefit shown separately in the table above, adjusted consolidated diluted earnings for 2024 were $3.04 per share as compared to reported diluted earnings of $3.37 per share for 2025, an adjusted increase of $0.33 per share, or 10.9%, largely from the implementation of new customer rates at the regulated utilities and higher earnings at the contracted services segment largely from an increase in management fee revenues and construction activities. AWR’s consolidated diluted earnings in 2025 were negatively impacted by approximately $0.10 per share from the higher number of dilutive shares in 2025 compared to 2024 due to the continued issuance of equity under AWR’s ATM offering program.


For more details on the full year 2025 results, please refer to the company’s Form 10-K filed with the Securities and Exchange Commission.


Dividends


On February 10, 2026, AWR’s Board of Directors approved a 2026 first quarter dividend of $0.5040 per share on AWR’s Common Shares. Dividends on the Common Shares will be paid on March 5, 2026 to shareholders of record at the close of business on February 23, 2026. AWR has paid common dividends every year since 1931, and has increased the dividends received by shareholders each calendar year for 71 consecutive years, which places it in an exclusive group of companies on the New York Stock Exchange that have achieved that result. AWR has grown its quarterly dividend rate at a compound annual growth rate (CAGR) of 8.5% over the last five years since the first quarter of 2021, and has achieved a 10-year CAGR of 8.3% in its calendar year dividend payments through 2025. AWR’s current policy is to achieve a CAGR in the dividend of more than 7% over the long-term.


Non-GAAP Financial Measures


This press release includes a discussion on AWR’s operations in terms of diluted earnings per share by business segment, which is each business segment’s reported and adjusted (if applicable) earnings divided by the company’s weighted average number of diluted common shares. In this press release, the impact of a one-time tax benefit reported during the fourth quarter of 2024 at the water segment has been excluded when communicating AWR’s consolidated and the water segment’s results for the three and twelve months ended December 31, 2024. In addition, the impact of retroactive rates related to the full 2023 year and the second-year rate increases through the nine months ended September 30, 2024 reported during the fourth quarter of 2024 at the electric segment has been excluded when communicating AWR’s consolidated and the electric segment’s results for the three months ended December 31, 2024. These adjustments have been excluded from the analysis to help facilitate comparisons of the company’s performance from period to period. All of these measures are derived from consolidated financial information but are not presented in our financial statements that are prepared in accordance with Generally Accepted Accounting Principles (“GAAP”) in the United States. These items constitute “non-GAAP financial measures” under Securities and Exchange Commission rules, which supplement our GAAP disclosures but should not be considered as an alternative to the respective GAAP measures. Furthermore, the non-GAAP financial measures may not be comparable to similarly titled non-GAAP financial measures of other registrants.


The company uses earnings per share by business segment and AWR (parent), a non-GAAP measure, as an important measure in evaluating its operating results and believes it provides investors with clarity surrounding the performance of its business segments. The company reviews this measurement regularly and compares it to historical periods and to the operating budget. Reconciliations of this measure and of diluted earnings per share as adjusted (if applicable), to AWR’s consolidated fully diluted earnings per share prepared in accordance with GAAP have been provided in this press release.


Forward-Looking Statements


This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can often be identified by words such as “anticipate,” “estimate,” “expect,” “intend,” “may,” “should” and similar phrases and expressions, and variations or negatives of these words. 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-looking statements are subject to a number of estimates and assumptions, and known and unknown risks, uncertainties and other factors, including those described in greater detail in the company’s filings with the SEC, particularly those described in the company’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Readers are encouraged to review the company’s filings with the SEC for a more complete discussion of risks and other factors that could affect any forward-looking statements. The statements made herein speak only as of the date of this press release and except as required by law, the company does not undertake any obligation to publicly update or revise any forward-looking statement.


Conference Call


Robert Sprowls, president and chief executive officer, and Eva Tang, senior vice president and chief financial officer, will host a conference call to discuss these results at 2:00 p.m. Eastern Time (11:00 a.m. Pacific Time) on Thursday, February 19, 2026. There will be a question and answer session as part of the call. Interested parties can listen to the live conference call and view accompanying slides on the internet at www.aswater.com. The call will be archived on the website and available for replay beginning February 19, 2026 at 5:00 p.m. Eastern Time (2:00 p.m. Pacific Time) through February 26, 2026.


About American States Water Company


American States Water Company is the parent of Golden State Water Company, Bear Valley Electric Service, Inc. and American States Utility Services, Inc., serving over one million people in ten states. Through its water utility subsidiary, Golden State Water Company, the company provides water service to approximately 265,100 customer connections located within more than 80 communities in Northern, Coastal and Southern California. Through its electric utility subsidiary, Bear Valley Electric Service, Inc., the company distributes electricity to approximately 24,900 customer connections in the City of Big Bear Lake and surrounding areas in San Bernardino County, California. Through its contracted services subsidiary, American States Utility Services, Inc., the company provides operations, maintenance and construction management services for water distribution, wastewater collection, and treatment facilities located on twelve military bases throughout the country under 50-year privatization contracts with the U.S. government and one military base under a 15-year contract.




American States Water Company








Consolidated








 







 







 








 







Comparative Condensed Balance Sheets








(in thousands)







December 31, 2025







December 31, 2024








Assets







 







 








Net Property, Plant and Equipment







$






2,296,319







$






2,099,625








Other Property and Investments







 






58,664







 






50,418








Current Assets







 






231,074







 






233,346








Other Assets







 






129,035







 






116,820








Total Assets







$






2,715,092







$






2,500,209








Capitalization and Liabilities







 







 








Capitalization







$






1,828,281







$






1,560,433








Current Liabilities







 






174,612







 






285,525








Other Credits







 






712,199







 






654,251








Total Capitalization and Liabilities







$






2,715,092







$






2,500,209













 




 







Condensed Statements of Income








 







Three Months Ended December 31,







Twelve Months Ended December 31,








(in thousands, except per share amounts)







2025







2024







2025







2024








 







(unaudited)







 







 








Operating Revenues







 







 







 







 








Water







$






110,091






 







$






92,678






 







$






464,114






 







$






417,410






 








Electric







 






15,955






 







 






21,697






 







 






57,217






 







 






51,645






 








Contracted services







 






38,232






 







 






28,723






 







 






136,742






 







 






126,404






 








Total operating revenues







 






164,278






 







 






143,098






 







 






658,073






 







 






595,459






 








 







 







 







 







 








Operating Expenses







 







 







 







 








Water purchased







 






30,260






 







 






18,486






 







 






98,224






 







 






74,274






 








Power purchased for pumping







 






2,919






 







 






3,676






 







 






14,076






 







 






15,025






 








Groundwater production assessment







 






2,713






 







 






6,502






 







 






21,489






 







 






24,145






 








Power purchased for resale







 






5,288






 







 






3,328






 







 






18,110






 







 






11,630






 








Supply cost balancing accounts







 






(2,795






)







 






(4,341






)







 






(5,014






)







 






(1,894






)








Other operation







 






12,459






 







 






9,941






 







 






47,041






 







 






41,318






 








Administrative and general







 






25,301






 







 






27,907






 







 






102,811






 







 






100,941






 








Depreciation and amortization







 






12,587






 







 






11,306






 







 






47,784






 







 






43,647






 








Maintenance







 






5,906






 







 






9,776






 







 






21,663






 







 






20,255






 








Property and other taxes







 






6,330






 







 






6,929






 







 






28,008






 







 






27,091






 








ASUS construction







 






18,273






 







 






10,895






 







 






60,606






 







 






54,544






 








Total operating expenses







 






119,241






 







 






104,405






 







 






454,798






 







 






410,976






 








 







 







 







 







 








Operating income







 






45,037






 







 






38,693






 







 






203,275






 







 






184,483






 








 







 







 







 







 








Other Income and Expenses







 







 







 







 








Interest expense







 






(10,875






)







 






(11,165






)







 






(46,776






)







 






(50,382






)








Interest income







 






1,075






 







 






1,972






 







 






5,650






 







 






7,874






 








Other, net







 






1,238






 







 






1,297






 







 






7,649






 







 






7,466






 








Total other income and expenses, net







 






(8,562






)







 






(7,896






)







 






(33,477






)







 






(35,042






)








 







 







 







 







 








Income Before Income Tax Expense







 






36,475






 







 






30,797






 







 






169,798






 







 






149,441






 








Income tax expense







 






7,734






 







 






2,362






 







 






39,356






 







 






30,173






 








Net Income







$






28,741






 







$






28,435






 







$






130,442






 







$






119,268






 








 







 







 







 







 








Weighted average shares outstanding







 






38,864






 







 






37,945






 







 






38,550






 







 






37,464






 








Basic earnings per Common Share







$






0.74






 







$






0.75






 







$






3.37






 







$






3.17






 








 







 







 







 







 








Weighted average diluted shares







 






38,995






 







 






38,076






 







 






38,673






 







 






37,583






 








Fully diluted earnings per Common Share







$






0.74






 







$






0.75






 







$






3.37






 







$






3.17






 








 







 







 







 







 








Dividends paid per Common Share







$






0.5040






 







$






0.4655






 







$






1.9390






 







$






1.7910






 







Computation and Reconciliation of Non-GAAP Financial Measure (Unaudited)


Below are the computations and reconciliations of diluted earnings per share from the measure of net income (loss) by business segment and AWR (parent) (as disclosed in Note 17 to the consolidated financial statements included in the company’s 2025 Annual Report on Form 10-K), to AWR’s consolidated fully diluted earnings per share for the three and twelve months ended December 31, 2025 and 2024 prepared in accordance with GAAP.




 







Water







Electric







Contracted Services







AWR (Parent)







Consolidated (GAAP)








In 000's except per share amounts







Q4 2025







Q4 2024







Q4 2025







Q4 2024







Q4 2025







Q4 2024







Q4 2025







Q4 2024







Q4 2025







Q4 2024








Net income (loss)







$






19,602







$






19,908







$






4,096







$






5,088







$






6,199







$






4,296







$






(1,156






)







$






(857






)







$






28,741







$






28,435








Weighted Average Number of Diluted Shares







 






38,995







 






38,076







 






38,995







 






38,076







 






38,995







 






38,076







 






38,995






 







 






38,076






 







 






38,995







 






38,076








Diluted earnings (loss) per share







$






0.50







$






0.52







$






0.11







$






0.13







$






0.16







$






0.11







$






(0.03






)







$






(0.02






)







$






0.74







$






0.75








 







 







 







 







 







 







 







 







 







 







 








 







Water







Electric







Contracted Services







AWR (Parent)







Consolidated (GAAP)








In 000's except per share amounts







2025







2024







2025







2024







2025







2024







2025







2024







2025







2024








Net income (loss)







$






100,946







$






94,463







$






9,615







$






7,754







$






23,457







$






20,642







$






(3,576






)







$






(3,591






)







$






130,442







$






119,268








Weighted Average Number of Diluted Shares







 






38,673







 






37,583







 






38,673







 






37,583







 






38,673







 






37,583







 






38,673






 







 






37,583






 







 






38,673







 






37,583








Diluted earnings (loss) per share







$






2.61







$






2.51







$






0.25







$






0.21







$






0.61







$






0.55







$






(0.09






)







$






(0.10






)







$






3.37







$






3.17











Note: Certain amounts in the tables above may not foot or crossfoot due to rounding.







 

View source version on businesswire.com: https://www.businesswire.com/news/home/20260216265294/en/
Eva G. Tang

Senior Vice President-Finance, Chief Financial Officer

Corporate Secretary and Treasurer

Telephone: (909) 394-3600, ext. 707


Original: American States Water Company Announces Fourth Quarter and Full Year 2025 Results