Middlesex Water Company Reports Second Quarter 2026 Earnings

Rhea-AI Summary

Middlesex Water Company (NASDAQ: MSEX) reported second quarter 2026 net income of $14.8 million and diluted EPS of $0.79, up from $10.8 million and $0.60 a year earlier. Operating revenues for the quarter ended June 30, 2026 rose to $56.4 million from $49.3 million, driven by higher wholesale demand, increased customer consumption and base rate increases in the Middlesex System, and customer growth and rate increases in the Tidewater System.

For the first half of 2026, net income was $25.4 million with diluted EPS of $1.36, compared with $20.3 million and $1.13 in 2025, on operating revenues of $105.1 million versus $93.6 million. According to Middlesex Water Company, it invested about $53 million in water and wastewater infrastructure during the first six months of 2026, approximately 42% of its planned $126 million 2026 program, and declared a third quarter cash dividend of $0.36 per common share, payable September 1, 2026 to shareholders of record on August 17, 2026.

Positive

• Q2 2026 EPS $0.79 vs. $0.60 in Q2 2025
• Q2 2026 operating revenue $56.4M vs. $49.3M year earlier
• Six-month 2026 net income $25.4M vs. $20.3M in 2025
• Infrastructure investment $53M in first half 2026, 42% of plan
• Average diluted shares 18.66M vs. 17.96M, supporting EPS growth
• Quarterly dividend $0.36 per share, 53 years of annual increases

Negative

• Q2 2026 operating expenses $38.1M vs. $35.4M in Q2 2025
• Six-month operating expenses $73.7M vs. $68.2M prior year period
• Q2 2026 O&M expenses $25.4M vs. $23.1M, higher credit loss reserve
• Interest charges $7.2M six months 2026 vs. $6.3M in 2025
• Other taxes six months 2026 $11.5M vs. $10.8M prior year

News Explained

The six-month diluted EPS figures were based on average diluted common shares of 18,657 thousand, versus 17,957 thousand a year earlier, so the reported per-share increase was measured over a larger average share base.

Market Context

Historical earnings reactions for MSEX included 0.10%, -13.14%, and 15.76% moves. The current result...

Analysis

Historical earnings reactions for MSEX included 0.10%, -13.14%, and 15.76% moves. The current results add to a mixed earnings record; operating-cost growth remains a disclosed consideration, warranting review of subsequent filings.

Key Figures

Net income: $14.8 million Diluted EPS: $0.79 Operating revenue: $56.4 million +5 more

8 metrics

Net income $14.8 million Q2 2026 vs. $10.8 million in Q2 2025

Diluted EPS $0.79 Q2 2026 vs. $0.60 in Q2 2025

Operating revenue $56.4 million Q2 2026, up $7.0 million year over year

Operating expenses $38.1 million Q2 2026, up approximately $2.7 million year over year

Six-month net income $25.4 million Six months ended June 30, 2026, up $5.1 million year over year

Six-month diluted EPS $1.36 Six months ended June 30, 2026 vs. $1.13 in 2025

Infrastructure investment $53 million First half of 2026 water and wastewater utility infrastructure investment

Common stock dividend $0.36 per share Third quarter 2026 cash dividend

Previous Earnings Reports

5 past events · Latest: Apr 30 (Positive)

Same Type Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
Apr 30	Q1 earnings report	Positive	+0.1%	Higher quarterly net income, EPS, revenue, infrastructure investment, and dividend
Oct 31	Q3 earnings report	Positive	-13.1%	Quarterly results, infrastructure investment, acquisition, and dividend declaration
Jul 31	Q2 earnings report	Positive	+1.5%	Higher revenue and net income alongside infrastructure investment and regulatory updates
May 01	Q1 earnings report	Positive	-3.9%	Revenue growth, asset acquisition, infrastructure investment, and quarterly dividend
Feb 28	2024 earnings report	Positive	+15.8%	Higher annual net income, EPS, revenue, infrastructure investment, and acquisition

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Tag-specific earnings reactions were mixed, with three positive alignments and two negative divergences despite positive earnings-related announcements.

Key Terms

diluted eps, allowance for credit loss reserve, capitalizable costs, gross receipts taxes

4 terms

diluted eps financial

"Middlesex reported net income of $14.8 million and diluted EPS of $0.79"

Diluted earnings per share (EPS) shows how much profit a company makes for each share of stock, assuming all possible shares from stock options or convertible securities are used. It provides a more conservative estimate than basic EPS, accounting for potential share increases that could dilute ownership. Investors use diluted EPS to get a clearer picture of a company's true profitability on a per-share basis.

allowance for credit loss reserve financial

"increases in the allowance for credit loss reserve and employee related costs"

An allowance for credit loss reserve is an accounting estimate banks and lenders set aside to cover loans and receivables that they expect may not be repaid. It functions like a rainy-day fund on the balance sheet: the lender reduces the value of its loan assets and records a provision that lowers reported earnings today to reflect expected future losses. Investors watch its size and changes because it signals credit quality, loss expectations, and can materially affect a lender’s reported profits and capital.

capitalizable costs financial

"partially offset by higher capitalizable costs"

Costs that are recorded on the balance sheet as part of an asset rather than expensed immediately, because they are expected to provide benefit over multiple reporting periods. For investors, capitalizable costs change how quickly expenses hit the income statement and how assets and profits are reported — like treating a big repair as a one-time investment that will be counted over years instead of a single, immediate bill.

gross receipts taxes financial

"higher gross receipts taxes on higher revenues in the Middlesex System"

A gross receipts tax is a tax charged on a business’s total revenue from sales of goods or services, calculated on the top-line amount rather than on profits, so companies cannot deduct their costs or expenses from the base. It matters to investors because it acts like a per-dollar toll on sales that reduces margins and cash flow, can distort comparisons between companies and regions, and can affect pricing and profitability even when a company reports accounting losses.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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• Diluted earnings per share (“EPS”) of $0.79
• Invested $53 million in water and wastewater utility infrastructure during the first half of 2026
• Declared $0.36 common stock cash dividend
  
  

ISELIN, N.J., July 30, 2026 (GLOBE NEWSWIRE) -- Middlesex Water Company (“Middlesex” or the “Company”) (NASDAQ: MSEX) today announced financial results for the second quarter ended June 30, 2026.

"Our results demonstrate the effectiveness of our disciplined approach to operational, financial, and strategic execution,” said Nadine Leslie, Chair, President, and Chief Executive Officer of Middlesex Water Company. “Strong earnings, driven in part by increased wholesale customer demand and favorable weather, contributed to another solid quarter of performance. In addition, we continue to invest in critical infrastructure to increase long-term reliability, growth, and value for our customers and shareholders under our MWC 2030 Vision."

Second Quarter 2026 Results

Middlesex reported net income of $14.8 million and diluted EPS of $0.79, compared to net income of $10.8 million and diluted EPS of $0.60 for the same quarter in 2025.

Operating revenues for the quarter ended June 30, 2026, were $56.4 million, an increase of $7.0 million, compared to the same quarter last year. Operating revenues for the Middlesex System increased $5.3 million due to increased wholesale demand, customer consumption and base rate increases. Tidewater System revenues increased $1.7 million due to increased customer consumption, customer growth and rate increases.

Operating expenses for the quarter ended June 30, 2026, were $38.1 million, an increase of approximately $2.7 million, compared to $35.4 million for the same quarter last year. Operations and maintenance expenses increased $2.3 million primarily due to increases in the allowance for credit loss reserve and employee related costs, partially offset by higher capitalizable costs; and other taxes increased $0.3 million due to higher gross receipts taxes on higher revenues in the Middlesex System.

Year-to-Date Results

Net income for the six months ended June 30, 2026, was $25.4 million, a $5.1 million increase when compared to the same period in 2025. Diluted earnings per share were $1.36 and $1.13 for the six months ended June 30, 2026, and 2025, respectively.

Operating revenues for the six months ended June 30, 2026, were $105.1 million, an increase of approximately $11.4 compared to the same period in 2025. Middlesex System revenues increased $8.8 million due to increased wholesale demand, customer consumption and base rate increases. Tidewater System revenues increased $2.5 million due to increased customer consumption, customer growth, and rate increases. Non-regulated revenues increased $0.1 million, primarily due to higher supplemental contract services.

Operating expenses for the six months ended June 30, 2026, increased $5.6 million compared to the same period in 2025. Operations and maintenance expenses increased $4.2 million primarily due to increases in allowance for credit loss reserve, employee related costs, and variable production costs, partially offset by higher capitalizable costs. Depreciation expense increased $0.6 million due to higher average utility plant in service. Other taxes increased $0.8 million due to higher gross receipts taxes on higher revenues in the Middlesex System.

Selective and Sustainable Growth

Middlesex invested approximately $53 million to upgrade, replace and enhance the resiliency of its water and wastewater utility infrastructure during the six months ended June 30, 2026, or approximately 42% of its planned 2026 annual investment of $126 million.

Dividend Declared

As previously announced on July 23, 2026, the Company’s Board of Directors declared a third quarter cash dividend of $0.36 per common share. Dividends on common shares will be paid on September 1, 2026, to shareholders of record as of August 17, 2026. Middlesex has paid cash dividends each year since 1912 and has increased the dividends received by shareholders each calendar year for 53 consecutive years.

About Middlesex Water Company

Middlesex Water Company (“Middlesex”) is one of the nation’s premier investor-owned water and wastewater utilities. Established in 1897, Middlesex is a trusted provider of life-sustaining services to more than half a million people in New Jersey and Delaware. The company focuses on employee engagement, operational excellence, superior customer experience, investment in infrastructure, and selective and sustainable growth to deliver value to our customers, investors, and the communities we serve.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of U.S. federal securities laws reflecting the current beliefs or expectations of Middlesex Water Company “Company” regarding its future performance, its financial condition, its strategic plans and cash flows, its results of operations as well as any other statements that do not directly relate to any historical or current facts. These statements reflect the Company’s current views and information currently available. This information is based on estimates, assumptions, and analysis that the Company believes, as of the date hereof, provide a reasonable basis for the information contained herein. Forward-looking statements can generally be identified by the use of forward-looking words such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates,” “foresees,” or the negative of those words or other comparable terminology. The Company intends that these statements be covered by the safe harbors created under those laws. Actual results, performance or achievements may differ materially from forward-looking statements, and the assumptions on which forward-looking statements are based. There can be no assurance that the information contained herein is reflective of future performance, and investors are cautioned not to place undue reliance on forward-looking statements as a predictor of future performance. Unless otherwise specified, all information contained in this press release speaks only as of the date hereof. The Company undertakes no duty to update or revise the information contained herein, whether as a result of new information, future events or otherwise.

Media Contact:
Summer DeFEO, Senior Director of Communications
sdefeo@middlesexwater.com
(732) 638-7510

Investor Relations Contact:
Jennifer Ketschke, Director, Investor Relations and Treasury
InvestorRelations@middlesexwater.com
(732) 638-7523

MIDDLESEX WATER COMPANY CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) (In thousands except per share amounts)
	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
Operating Revenues	$56,357		$49,323		$105,071		$93,624
Operating Expenses:
Operations and Maintenance	25,399		23,066		48,411		44,175
Depreciation	6,761		6,703		13,797		13,230
Other Taxes	5,968		5,642		11,532		10,750
Total Operating Expenses	38,128		35,411		73,740		68,155
Operating Income	18,229		13,912		31,331		25,469
Other Income:
Allowance for Funds Used During Construction	700		413		1,334		786
Other Income, net	1,648		1,485		3,017		2,910
Total Other Income, net	2,348		1,898		4,351		3,696
Interest Charges	4,016		3,623		7,231		6,336
Income before Income Taxes	16,561		12,187		28,451		22,829
Income Taxes	1,789		1,409		3,074		2,571
Net Income	14,772		10,778		25,377		20,258
Preferred Stock Dividend Requirements	18		19		35		41
Earnings Applicable to Common Stock	$14,754		$10,759		$25,342		$20,217
Earnings per share of Common Stock:
Basic	$0.79		$0.60		$1.36		$1.13
Diluted	$0.79		$0.60		$1.36		$1.13
Average Number of
Common Shares Outstanding:
Basic	18,707		17,962		18,627		17,926
Diluted	18,737		17,993		18,657		17,957

FAQ

How did Middlesex Water (NASDAQ: MSEX) perform in Q2 2026?

Middlesex Water reported Q2 2026 net income of $14.8 million and diluted EPS of $0.79, compared with $10.8 million and $0.60 in Q2 2025. According to Middlesex Water Company, quarterly operating revenues rose to $56.4 million from $49.3 million.

What were Middlesex Water’s Q2 2026 revenues and key growth drivers (MSEX)?

Middlesex Water’s operating revenues were $56.4 million in Q2 2026, up from $49.3 million a year earlier. According to Middlesex Water Company, growth came from increased wholesale demand, higher customer consumption, and rate increases in both the Middlesex and Tidewater systems.

How did Middlesex Water’s year-to-date 2026 results compare to 2025 (MSEX)?

For the first half of 2026, Middlesex Water generated net income of $25.4 million and diluted EPS of $1.36, versus $20.3 million and $1.13 in 2025. According to Middlesex Water Company, operating revenues rose to $105.1 million from $93.6 million.

How much did Middlesex Water invest in infrastructure in the first half of 2026?

Middlesex Water invested approximately $53 million in water and wastewater infrastructure during the first six months of 2026. According to Middlesex Water Company, this represents about 42% of its planned $126 million capital program for 2026.

What dividend did Middlesex Water declare for Q3 2026 and when is it payable (MSEX)?

Middlesex Water declared a third quarter 2026 cash dividend of $0.36 per common share. According to Middlesex Water Company, the dividend will be paid on September 1, 2026, to shareholders of record as of August 17, 2026.

What is Middlesex Water’s long-term dividend track record for shareholders (MSEX)?

Middlesex Water has paid cash dividends every year since 1912 and raised dividends for 53 consecutive calendar years. According to Middlesex Water Company, the declared $0.36 per share Q3 2026 dividend continues this long-standing shareholder return pattern.

How did operating expenses change for Middlesex Water in Q2 2026?

Operating expenses were $38.1 million in Q2 2026, up from $35.4 million in Q2 2025. According to Middlesex Water Company, increases were mainly in operations and maintenance, including higher allowance for credit loss reserves and employee-related costs, plus higher other taxes.