Essential Utilities beats Q3 revenue estimates on price hikes in water and gas segments

Essential Utilities

04/11/2025 22:13

Overview

Essential Utilities Q3 revenue grows 9.6% yr/yr, beating analyst expectations

Net income for Q3 rises to $92.1 mln, reflecting strong operational performance

Company announces merger with American Water Works to create leading U.S. utility

Outlook

Essential expects 2025 GAAP EPS to exceed prior guidance of $2.07-$2.11

Company plans $1.4-$1.5 bln in infrastructure investments in 2025

Through 2029, regulated water segment rate base to grow at ~6% CAGR

Result Drivers

RATE INCREASES - Revenue growth driven by increased rates in both water and gas segments

BAD DEBT CREDIT - Prior year credit to bad debt expense boosted net income

HIGHER EXPENSES - Gains offset by increased depreciation, interest, and operations expenses

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$476.97 mln
$472.40 mln (2 Analysts)
Q3 EPS
$0.33
Q3 Net Income
$92.07 mln
Q3 Operating income
$169.77 mln
Q3 Pretax Profit
$96.37 mln


Press Release: ID:nBw5JSryja

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)