Essential Utilities Inc Stock Price, News & Analysis

Essential Utilities Inc. (NYSE: WTRG) will report its Q1 earnings on May 8, 2023, after market close. A conference call is scheduled for May 9 at 11 a.m. EDT, accessible via their website. Operating mainly under the Aqua and Peoples brands, Essential serves around 5.5 million customers across 10 states, focusing on water, wastewater, and natural gas services. The company emphasizes sustainable growth and community advocacy, while being a significant player in the U.S. utility sector.

Essential Utilities (NYSE: WTRG) announced significant developments regarding PFAS 'forever chemicals' in drinking water. The EPA proposed a maximum PFAS level for the U.S., expecting finalization by early next year. Essential has proactively tested its water systems for over six years. Customers will soon access local PFAS levels on the company's website. Additionally, they are advocating for cost recovery from responsible parties through lawsuits and applying for grants to alleviate customer expenses. Essential's commitment to transparency and environmental stewardship underscores its leadership in water quality.

Essential Utilities reported a successful 2022 with earnings per share of $1.77, marking a 6% growth from 2021. Total operating revenues reached $2.29 billion, a 21.8% increase year-over-year, fueled by higher gas costs recovery and customer growth. Record infrastructure investments of $1.06 billion supported operational enhancements. The company closed three acquisitions, adding $120 million in rate base and over 23,000 customers. Guidance for 2023 projects net income per share between $1.85 and $1.90, with continued focus on ESG commitments and capital expenditures expected to increase to $1.1 billion annually through 2025.

The board of directors of Essential Utilities (NYSE: WTRG) has declared a quarterly cash dividend of $0.2870 per share, payable on June 1, 2023, to shareholders of record on May 12, 2023. This represents a 7% increase from the $0.2682 dividend paid in June 2022, marking the 32nd increase in the last 31 years. Essential Utilities has maintained consecutive quarterly dividends for 78 years, demonstrating its commitment to returning value to shareholders.

Essential Utilities Inc. (NYSE: WTRG) reaffirmed its 2022 earnings per share (EPS) guidance of $1.75 to $1.80 and announced a 2023 EPS guidance of $1.85 to $1.90. The company plans to invest $3.3 billion in infrastructure through 2025, with a focus on growing the rate base for the regulated water segment by 6-7% and for the regulated natural gas segment by 8-10%. Essential is committed to ESG initiatives including a 60% reduction in greenhouse gas emissions by 2035.

Essential Utilities Inc. (NYSE: WTRG) announced the acquisition of the Union Rome Sewer system in Ohio for $25.5 million. The deal includes a wastewater collection network and treatment plant serving 5,300 connections. Aqua Ohio, the company's regulated water subsidiary, aims to enhance system operations impacted by regulatory demands and rising costs. Aqua plans to invest an additional $12.7 million over five years for compliance upgrades. The transaction is expected to close in summer 2023, pending approval from the Public Utilities Commission of Ohio.

Essential Utilities Inc. (NYSE: WTRG) has agreed to sell its West Virginia natural gas utility assets to Hope Gas. This strategic move aims to enhance the growth of its core water and wastewater business by allowing the company to focus on regions where it has greater scale. The sale involves approximately 13,000 customers in West Virginia and is expected to close by mid-2023, subject to regulatory approval. Furthermore, the company will concentrate on operational excellence and investments in its remaining gas operations.

The board of directors of Essential Utilities (NYSE: WTRG) declared a quarterly cash dividend of $0.2870 per share, payable on March 1, 2023, to shareholders of record on Feb. 10, 2023. This marks a 7% increase from the $0.2682 dividend paid in March 2022. Essential has consistently increased its dividend, having paid consecutive quarterly dividends for 78 years and raised the dividend 32 times in the last 31 years.