H2O America Financials
This page shows H2O America (HTO) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 17 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Steady earnings are paired with externally financed asset growth, showing a capital-hungry business that does not fund expansion internally.
In FY2025, cash conversion was stronger than profit alone suggests:$244.8M of operating cash flow was more than double$102.6M of net income, aided by heavy depreciation and lower receivables even as revenue increased. That pattern has held for several years, yet the company is still not self-funding; investing outflows hit$520.1M and were bridged by$284.9M of financing inflow.
The balance sheet looks asset-heavy rather than cash-rich: total assets reached
Per-share progress lagged company-level growth, which is consistent with some expansion being financed with new equity alongside debt. Diluted EPS moved only from 2.87 to 2.92, indicating a larger share count diluted part of the company's growth. At the same time, interest costs still took
Financial Health Signals
Scored against utilities for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of H2O America's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
H2O America scores 0.86, below the 1.81 distress threshold. The score is driven primarily by a large market capitalization ($2.7B) relative to total liabilities ($3.6B). This indicates elevated financial distress risk and warrants close attention to liquidity and debt levels.
Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.
H2O America passes 4 of 8 computable financial strength tests (1 of the nine could not be computed from available data). 3 of 4 profitability signals pass, 1 of 3 leverage/liquidity signals pass, neither operating efficiency signal passes.
For every $1 of reported earnings, H2O America generates $2.39 in operating cash flow ($244.8M OCF vs $102.6M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
H2O America earns $2.4 in operating income for every $1 of interest expense ($177.5M vs $72.6M). This adequate coverage means the company can meet its interest obligations, but has limited cushion if earnings fall.
Key Financial Metrics
Earnings & Revenue
H2O America generated $800.6M in revenue in fiscal year 2025. This represents an increase of 7.0% from the prior year.
H2O America's EBITDA was $298.0M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 4.4% from the prior year.
H2O America reported $102.6M in net income in fiscal year 2025. This represents an increase of 9.2% from the prior year.
H2O America earned $2.92 per diluted share (EPS) in fiscal year 2025. This represents an increase of 1.7% from the prior year.
Cash & Balance Sheet
H2O America held $20.7M in cash against $1.9B in long-term debt as of fiscal year 2025.
H2O America paid $1.68 per share in dividends in fiscal year 2025. This represents an increase of 5.0% from the prior year.
H2O America had 36M shares outstanding in fiscal year 2025. This represents an increase of 7.4% from the prior year.
Margins & Returns
H2O America's operating margin was 22.2% in fiscal year 2025, reflecting core business profitability. This is down 0.6 percentage points from the prior year.
H2O America's net profit margin was 12.8% in fiscal year 2025, showing the share of revenue converted to profit. This is up 0.3 percentage points from the prior year.
H2O America's ROE was 6.7% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is down 0.2 percentage points from the prior year.
Capital Allocation
HTO Income Statement
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $183.3M-5.6% | $194.2M-19.3% | $240.6M+21.3% | $198.3M+18.3% | $167.6M-15.3% | $197.8M-12.1% | $225.1M+27.8% | $176.2M |
| Cost of Revenue | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Gross Profit | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| R&D Expenses | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| SG&A Expenses | $29.8M-21.8% | $38.1M+21.8% | $31.3M+8.7% | $28.8M+3.7% | $27.8M-18.0% | $33.9M+31.7% | $25.7M+25.6% | $20.5M |
| Operating Income | $37.4M+12.9% | $33.1M-48.7% | $64.6M+47.3% | $43.9M+22.2% | $35.9M-17.8% | $43.7M-25.2% | $58.4M+43.8% | $40.6M |
| Interest Expense | $18.8M+3.0% | $18.3M+2.2% | $17.9M-1.2% | $18.1M-0.8% | $18.3M+1.5% | $18.0M+2.7% | $17.5M-4.3% | $18.3M |
| Income Tax | $3.4M+315.2% | -$1.6M-127.2% | $5.8M+24.0% | $4.7M+34.5% | $3.5M+219.3% | $1.1M-43.6% | $1.9M-48.2% | $3.7M |
| Net Income | $19.0M+17.2% | $16.2M-64.1% | $45.1M+82.9% | $24.7M+49.1% | $16.6M-27.8% | $22.9M-40.7% | $38.7M+86.8% | $20.7M |
| EPS (Diluted) | $0.49 | N/A | $1.27+78.9% | $0.71+44.9% | $0.49 | N/A | $1.17+82.8% | $0.64 |
HTO Balance Sheet
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $5.4B+4.0% | $5.1B+2.8% | $5.0B+3.4% | $4.8B+2.5% | $4.7B+1.5% | $4.7B+2.3% | $4.6B+2.5% | $4.4B |
| Current Assets | $323.4M+69.7% | $190.6M-8.0% | $207.2M+3.4% | $200.4M+1.6% | $197.3M+3.4% | $190.7M+1.8% | $187.3M+8.1% | $173.2M |
| Cash & Equivalents | $153.0M+639.7% | $20.7M+82.8% | $11.3M-43.0% | $19.8M-16.2% | $23.7M+113.2% | $11.1M+180.2% | $4.0M-82.6% | $22.8M |
| Inventory | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Accounts Receivable | $62.1M-0.6% | $62.5M-27.4% | $86.0M+12.1% | $76.8M+16.6% | $65.9M-4.1% | $68.7M-9.5% | $75.8M+8.0% | $70.2M |
| Goodwill | $640.3M0.0% | $640.3M0.0% | $640.3M0.0% | $640.3M0.0% | $640.3M0.0% | $640.3M0.0% | $640.3M0.0% | $640.3M |
| Total Liabilities | $3.5B-2.5% | $3.6B+3.5% | $3.5B+3.1% | $3.4B+1.5% | $3.3B+1.2% | $3.3B+2.3% | $3.2B+1.7% | $3.2B |
| Current Liabilities | $160.0M-41.5% | $273.4M-10.1% | $304.2M-3.2% | $314.2M+5.9% | $296.7M+13.6% | $261.2M+7.0% | $244.0M-30.3% | $350.1M |
| Long-Term Debt | $1.9B-0.1% | $1.9B+6.3% | $1.8B+3.8% | $1.7B0.0% | $1.7B-0.9% | $1.7B+2.0% | $1.7B+8.0% | $1.5B |
| Total Equity | $1.8B+19.0% | $1.5B+1.1% | $1.5B+3.9% | $1.5B+4.9% | $1.4B+2.2% | $1.4B+2.5% | $1.3B+4.6% | $1.3B |
| Retained Earnings | $584.2M+0.5% | $581.1M+0.2% | $579.9M+5.5% | $549.6M+1.9% | $539.6M+0.4% | $537.2M+1.8% | $527.6M+5.1% | $502.0M |
HTO Cash Flow Statement
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $43.7M-31.2% | $63.5M-17.8% | $77.3M+27.0% | $60.8M+40.9% | $43.2M+4.2% | $41.5M-22.6% | $53.5M+8.6% | $49.3M |
| Capital Expenditures | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Free Cash Flow | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Investing Cash Flow | -$92.9M+38.3% | -$150.6M+0.7% | -$151.7M-13.9% | -$133.1M-57.1% | -$84.8M+21.1% | -$107.4M-5.6% | -$101.7M-79.3% | -$56.7M |
| Financing Cash Flow | $181.5M+88.3% | $96.4M+46.4% | $65.9M-3.7% | $68.4M+26.4% | $54.2M-25.9% | $73.1M+149.3% | $29.3M+14.3% | $25.7M |
| Dividends Paid | $15.9M+5.8% | $15.0M+1.2% | $14.9M+1.8% | $14.6M+3.3% | $14.1M+6.3% | $13.3M+1.5% | $13.1M+1.6% | $12.9M |
| Share Buybacks | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
HTO Financial Ratios
| Metric | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Operating Margin | 20.4%+3.4pp | 17.1%-9.8pp | 26.9%+4.7pp | 22.1%+0.7pp | 21.4%-0.7pp | 22.1%-3.9pp | 25.9%+2.9pp | 23.0% |
| Net Margin | 10.4%+2.0pp | 8.3%-10.4pp | 18.8%+6.3pp | 12.4%+2.6pp | 9.9%-1.7pp | 11.6%-5.6pp | 17.2%+5.4pp | 11.8% |
| Return on Equity | 1.0%-0.0pp | 1.1%-1.9pp | 3.0%+1.3pp | 1.7%+0.5pp | 1.2%-0.5pp | 1.7%-1.2pp | 2.9%+1.3pp | 1.6% |
| Return on Assets | 0.4%+0.1pp | 0.3%-0.6pp | 0.9%+0.4pp | 0.5%+0.2pp | 0.4%-0.1pp | 0.5%-0.4pp | 0.9%+0.4pp | 0.5% |
| Current Ratio | 2.02+1.3 | 0.70+0.0 | 0.68+0.0 | 0.64-0.0 | 0.66-0.1 | 0.73-0.0 | 0.77+0.3 | 0.49 |
| Debt-to-Equity | 1.02-0.2 | 1.21+0.1 | 1.150.0 | 1.15-0.1 | 1.21-0.0 | 1.250.0 | 1.25+0.0 | 1.22 |
| FCF Margin | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
Note: The current ratio is below 1.0 (0.70), indicating current liabilities exceed current assets, which may suggest potential short-term liquidity concerns.
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Frequently Asked Questions
What is H2O America's annual revenue?
H2O America (HTO) reported $800.6M in total revenue for fiscal year 2025. This represents a 7.0% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is H2O America's revenue growing?
H2O America (HTO) revenue grew by 7% year-over-year, from $748.4M to $800.6M in fiscal year 2025.
Is H2O America profitable?
Yes, H2O America (HTO) reported a net income of $102.6M in fiscal year 2025, with a net profit margin of 12.8%.
What is H2O America's EBITDA?
H2O America (HTO) had EBITDA of $298.0M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does H2O America have?
As of fiscal year 2025, H2O America (HTO) had $20.7M in cash and equivalents against $1.9B in long-term debt.
What is H2O America's operating margin?
H2O America (HTO) had an operating margin of 22.2% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is H2O America's net profit margin?
H2O America (HTO) had a net profit margin of 12.8% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
Does H2O America pay dividends?
Yes, H2O America (HTO) paid $1.68 per share in dividends during fiscal year 2025.
What is H2O America's return on equity (ROE)?
H2O America (HTO) has a return on equity of 6.7% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is H2O America's operating cash flow?
H2O America (HTO) generated $244.8M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are H2O America's total assets?
H2O America (HTO) had $5.1B in total assets as of fiscal year 2025, including both current and long-term assets.
What is H2O America's current ratio?
H2O America (HTO) had a current ratio of 0.70 as of fiscal year 2025, which is below 1.0, which may suggest potential liquidity concerns.
What is H2O America's debt-to-equity ratio?
H2O America (HTO) had a debt-to-equity ratio of 1.21 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is H2O America's return on assets (ROA)?
H2O America (HTO) had a return on assets of 2.0% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is H2O America's Altman Z-Score?
H2O America (HTO) has an Altman Z-Score of 0.86, placing it in the Distress Zone (elevated bankruptcy risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.
What is H2O America's Piotroski F-Score?
H2O America (HTO) has a Piotroski F-Score of 4 out of 8 computable signals; 1 of the nine could not be computed from available data, so the full-scale strength rating is not shown. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are H2O America's earnings high quality?
H2O America (HTO) has an earnings quality ratio of 2.39x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can H2O America cover its interest payments?
H2O America (HTO) has an interest coverage ratio of 2.4x, meaning it can adequately cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is H2O America?
H2O America (HTO) scores 41 out of 100 on our Financial Health Score, indicating moderate standing within its utilities peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.