American States Water Company Posts Strong Q1 2025 Results, Driven by Favorable Rate Decisions and Infrastructure Investments
The American States Water Company (ASWC) has announced its first quarter 2025 results, showcasing a strong start to the year. The company's consolidated earnings per share (EPS) reached $0.70 for the quarter, marking an increase of $0.08 compared to the same period in 2024.
The favorable variance is attributed to the receipt of final decisions from the California Public Utilities Commission (CPUC) in the water and electric general rate cases. These decisions authorized new water rates for 2025-2027 and new electric rates for 2023-2026, resulting in a $0.04 per share increase in earnings for Golden State Water's water utility segment.
However, the favorable variances were partially offset by higher operating expenses, including losses incurred on investments to fund one of the company's retirement plans and the dilutive effects from the issuance of equity under ASWC's at-the-market offering program. These factors contributed to a $0.02 per share decrease in consolidated earnings.
The regulated utilities are on pace to invest a combined $170 million to $210 million in infrastructure investments this year, further solidifying the company's commitment to upgrading its services and improving efficiency.
Golden State Water reported earnings of $0.52 per share for the quarter, up from $0.48 per share in 2024, while the Electric segment saw a $0.02 per share increase, reaching $0.07 per share for the period. The ASUS segment maintained consistent earnings with $0.13 per share for the quarter.
The company's CEO, Bob Sprowls, highlighted the significance of these rate decisions and infrastructure investments in driving growth and improving performance. Eva Tang, Senior Vice President of Finance and Chief Financial Officer, also provided an overview of the company's financial results, emphasizing the importance of these factors in shaping its future.
The conference call transcript notes that certain statements made during the discussion may be forward-looking, subject to estimates and assumptions, and known and unknown risks. Listeners are cautioned not to place undue reliance on them, and the company does not undertake any obligation to publicly update or revise any forward-looking statement.
