Essential Utilities Inc Stock Price, News & Analysis

Aqua Pennsylvania has completed the installation of a PFAS treatment system at its Perkiomen Woods well station in Montgomery County. This marks the fourth PFAS treatment facility the company has implemented since 2018, all meeting the new national drinking water standard. The system serves approximately 1,100 people in Upper Providence Township and utilizes four 3-foot diameter filter vessels with anion exchange media.

The $1.3 million project demonstrates Aqua Pennsylvania's commitment to removing 'forever chemicals' from drinking water and complying with state and federal regulations. The company's engineering team devised an innovative solution to install the equipment through rooftop hatches, avoiding more costly construction options. The treatment system became fully operational on July 30, reinforcing Aqua's dedication to providing safe drinking water to its customers.

Essential Utilities Inc. (NYSE: WTRG) reported Q2 2024 earnings of $0.28 per share, down from $0.34 in Q2 2023. Net income was $75.4 million, compared to $91.3 million last year. Revenues decreased 0.5% to $434.4 million. The company increased its quarterly dividend by 6.0% to $0.3255 per share.

Key factors affecting results include:

• Warmer-than-normal weather impacting natural gas segment
• Lower regulated natural gas and water segment volumes
• Increased revenues from regulatory recoveries and water customer growth
• Higher operations and maintenance expenses

Essential reaffirmed its 2024 guidance and long-term growth targets, including $1.3 to $1.4 billion in infrastructure investments for 2024 and $7.2 billion through 2028.

Essential Utilities Inc. (NYSE: WTRG) has announced a 6% increase in its quarterly cash dividend. The board of directors declared a dividend of $0.3255 per share, payable on September 3, 2024, to shareholders of record as of August 12, 2024. This represents a $0.0184 increase over the September 2023 dividend of $0.3071 per share. The company has maintained a strong dividend history, having paid consecutive quarterly cash dividends for 79 years and increased the dividend 34 times in the last 33 years. This consistent dividend growth demonstrates Essential Utilities' commitment to delivering value to its shareholders.

Aqua Pennsylvania has secured $77.5 million in low-interest loans from PENNVEST to support 21 infrastructure projects across Pennsylvania. The funding will enable the installation of 133,400 lineal feet of water mains and approximately 80 new fire hydrants over the next three years. These improvements will benefit customers in Bucks, Montgomery, Delaware, and Chester Counties, reducing water loss and enhancing service reliability.

Aqua Pennsylvania is the first PUC-regulated water utility to secure funding through PENNVEST's Programmatic Financing (ProFi) program. The company has now obtained nearly $115 million in grants and low-interest loans for projects across the Commonwealth in the past three years, demonstrating its commitment to upgrading aging infrastructure and improving customer service.

Essential Utilities (NYSE: WTRG) is set to report its Q2 2024 earnings on August 5, 2024, after market close. A conference call with financial analysts is scheduled for August 6, 2024, at 11 a.m. EDT. The call will be webcast live on Essential.co, with a recording available for replay starting at 2 p.m. on the same day until August 13, 2024. Access to the replay can be obtained by dialing (800) 770-2030 or (609) 800-9909 using pass code 9261648.

Peoples Natural Gas, H Quest, and the University of Pittsburgh have launched a pilot project in Western Pennsylvania to produce zero-emission hydrogen energy. This initiative, using H Quest’s microwave pyrolysis units, converts natural gas into pure hydrogen and solid carbon byproducts without CO2 emissions. The clean hydrogen, referred to as 'turquoise hydrogen,' is tested in various blends with natural gas to evaluate its impact on pipelines and appliances. The project aims to make hydrogen an affordable and zero-emission energy source, potentially transforming the energy landscape by reducing greenhouse gas emissions and creating valuable byproducts like carbon black.

Essential Utilities (WTRG) has been named to USA Today's list of America's Climate Leaders for the second consecutive year.

The recognition is based on significant reductions in greenhouse gas (GHG) emissions from 2020 to 2022. The company aims to reduce Scope 1 and 2 emissions by 60% by 2035, using a 2019 baseline.

Key strategies include renewable energy purchases, gas pipeline replacements, and advanced methane leak detection and repair.

By the end of 2022, Essential achieved a 25% reduction in emissions compared to 2019. Infrastructure improvements, particularly in gas operations, play a significant role in this achievement.

Essential Utilities (NYSE: WTRG) successfully concluded its third annual Essential Earth Day, a month-long initiative focusing on environmental stewardship and community engagement. Highlights include donating over $650,000 in grants to 32 sustainability-focused organizations, empowering 545 employees to volunteer 1,698 hours across 46 events, and educating 432 employees on water management, conservation, and urban gardening. Employees participated in river and trail cleanups, planting initiatives, and crafting enrichment activities for wildlife. The program aims to demonstrate the company's commitment to environmental responsibility and community service.

Aqua Pennsylvania has filed a rate adjustment request with the Pennsylvania Public Utility Commission (PUC) to recover $953 million in infrastructure investments by the end of 2025. This marks Aqua's first rate request in almost three years. The increase aims to support the replacement of around 200 miles of aging water mains, installation of new valves and service lines, and the replacement of hundreds of fire hydrants.

Aqua President Marc Lucca emphasized the need for modernizing water and wastewater infrastructure and highlighted the company's efforts to comply with new regulations and counter cyber threats. The proposed rate hike would raise the average residential water bill from $80.91 to $97.01 per month, and the wastewater bill from $81.18 to $96.10 per month.

The review process can take up to nine months, with any approved changes expected to take effect by February 2025. Aqua is also seeking grants and low-interest loans to mitigate the impact on customers and offers financial assistance options for those in need.