AWR

All five Dividend Aristocrats posted better-than-expected Q2 earnings, raised full-year guidance, and carry Buy ratings from top Wall Street firms. American States Water (AWR) crushed Q2 estimates and rewarded shareholders with an 8% dividend hike, extending its 70-year streak of consecutive increases. Stanley Black & Decker (SWK) delivered a massive earnings beat, reporting $1.57 adjusted EPS versus the $1.21 consensus, while yielding 3.24%. It sounds nuts, but SoFi1 is giving new Active Invest users up to $3,000 in stock for a limited time, and all it takes is a $50 deposit to get started.2 See for yourself (Sponsor) Investors love dividend stocks because they provide dependable passive income streams and an excellent opportunity for solid total return. Total return includes interest, capital gains, dividends, and distributions realized over time. In other words, the total return on an investment or portfolio consists of income and stock appreciation. At 24/7 Wall St., we have focused on dividend stocks for over 15 years because, despite the stock market's ups and downs, many people need reliable passive income streams to supplement their income from employment or other sources such as Social Security and pensions. Investors seeking defensive companies that pay substantial dividends are drawn to the Dividend Aristocrats, and with good reason. The 69 companies that made the cut for the 2026 S&P 500 Dividend Aristocrats list have increased their dividends (not just maintained them) for 25 consecutive years. But the requirements go even further, with the following attributes also mandatory for membership on the Aristocrats list: SoFi Active Invest is offering a limited-time promotion. Open an account, fund it with $50 or more, and you could receive up to $3,000 in complimentary stock for Active Invest accounts. See for yourself by clicking here now. (Sponsor) Companies must be worth at least $3 billion for each quarterly rebalancing. Their average daily volume must be at least $5 million in transactions for every trailing three-month period at every quarterly rebalancing date. They must be S&P 500 members. With earnings for the second quarter all but over, we decided to screen the Dividend Aristocrats for the companies that posted better-than-expected results and also offered solid forward guidance for the rest of the year. Five top companies hit our screens and look like outstanding ideas for growth and income investors looking to shift their portfolios away from high-beta stocks to more conservative ideas that pay reliable dividends. All five are rated Buy by the top Wall Street firms we cover, and all offer solid entry points. S&P 500 companies that have paid and raised their dividends for 25 years or longer are the types that growth and income investors want to buy and hold in their stock portfolios for the long term. These stocks are mostly conservative, and should we see a dramatic market correction, they will likely keep their ground much better than volatile technology names. When you have products that everyone depends on and pay a very reliable 2.30% dividend that you have raised for 70 years, your investors will likely do well. American States Water (NYSE: AWR) is a holding company with segments in water, electric, and contracted services. The company crushed Q2 expectations, reporting earnings of $1.09 per share. The solid print allowed the company to increase the quarterly dividend by 8%. Within the segments, the company has three principal business units: water and electric service utility operations conducted through its regulated utilities, Golden State Water Company (GSWC) and Bear Valley Electric Service (BVES), respectively, and contracted services conducted through American States Utility Services (ASUS) and its subsidiaries. GSWC is a public water utility engaged in the purchase, production, distribution, and sale of water in 11 counties in the state of California, and provides wastewater collection and treatment services. BVES is a public electric utility that distributes electricity in several San Bernardino County Mountain communities in California. ASUS operates, maintains, and performs construction activities (including renewal and replacement capital work) on water and/or wastewater systems at various United States military bases. Weiss Ratings has a Buy rating but no target price. Coca-Cola (NYSE: KO) is an American multinational corporation founded in 1892. This company remains a top long-time holding of Warren Buffett, whose 400 million shares are 9.3% of the float and 9.9% of the portfolio. The stock pays a dependable 2.41% dividend. The company posted strong results, reporting $13.37 billion in revenue and $0.97 in comparable EPS, beating consensus estimates and raising its full-year earnings growth forecast to 8% to 9%. Coca-Cola is the world's largest beverage company, offering consumers more than 500 sparkling and still brands. Led by Coca-Cola, one of the world's most valuable and recognizable brands, the company's portfolio features 20 billion-dollar brands, including: Diet Coke Coca-Cola Light Coca-Cola Zero Sugar Caffeine-free Diet Coke Cherry Coke Fanta Orange Fanta Zero Orange Fanta Zero Sugar Fanta Apple Sprite Sprite Zero Sugar Simply Orange Simply Apple Simply Grapefruit Fresca Schweppes Dasani Fuze Tea Glacéau Smartwater Glacéau Vitaminwater Gold Peak Ice Dew Powerade Topo Chico Minute Maid Globally, it is the top provider of sparkling beverages, ready-to-drink coffees, juices, and juice drinks. Through the world's most extensive beverage distribution system, consumers in more than 200 countries enjoy the company’s beverages at a rate of over 1.9 billion servings per day. And remember that the company owns 19.5% of Monster Beverage (NASDAQ: MNST), which continues to deliver strong financial results. UBS has a Buy rating with a $104 target price. While somewhat off the radar, this company has increased the 1% dividend for an incredible 70 consecutive years. Dover (NYSE: DOV) is a diversified global manufacturer and solutions provider operating in five primary segments. The company posted strong quarterly results, with adjusted EPS climbing 12% to $2.74. This growth was fueled by a 7% rise in total revenue, including 5% from organic operations. Year over year, bookings surged 16%, pushing the book-to-bill ratio to a solid 1.06, largely thanks to robust demand across the data center, biopharma, and aerospace sectors. On the strength of this performance, Dover raised its full-year guidance for both organic revenue and adjusted earnings. Its five operating segments are: The Engineered Products segment provides a range of equipment, components, software, solutions, and services to the vehicle aftermarket, aerospace, defense, and other industries. Its Clean Energy & Fueling segment provides components, equipment, and software solutions and services. It also designs, manufactures, and supplies vacuum-insulated piping systems for various liquefied gases, including nitrogen, oxygen, carbon dioxide, and other industrial gases. The company's Imaging & Identification segment supplies precision marking and coding, product traceability, brand protection, and digital textile printing equipment. The Pumps & Process Solutions segment manufactures specialty pumps and flow meters, fluid transfer connectors, engineered precision components, instruments, and digital controls. Dover's Climate & Sustainability Technologies segment is a provider of energy-efficient equipment, components, and parts. Baird has an Outperform rating with a $270 target price. Founded in 1962, Federal Realty Investment Trust (NYSE: FRT) has a mission to deliver long-term, sustainable growth through investing in densely populated, affluent communities. While real estate has slowly recovered, demand is still growing, and hard assets are generally considered a prudent investment in times of inflation; this company pays a hefty 3.81% dividend. Federal Realty is a recognized leader in the ownership, operation, and redevelopment of high-quality retail-based properties in major coastal markets from the District of Columbia and Boston to San Francisco and Los Angeles. The company outperformed expectations, posting a strong 96% occupancy rate across its retail portfolio in the second quarter. Consistent growth in rental income underpinned its 59th consecutive annual dividend increase, a milestone that underscores the stability of its business. Its expertise includes creating urban, mixed-use neighborhoods like: Santana Row in San Jose, California Pike & Rose in North Bethesda, Maryland Assembly Row in Somerville, Massachusetts Federal Realty's portfolio comprises approximately 3,500 tenants across 27 million square feet of space and 3,100 residential units. Federal Realty has increased its quarterly dividend to its shareholders for 59 consecutive years, the longest record in the REIT industry. Piper Sandler has an Overweight rating with a $149 target price. Stanley Black & Decker (NYSE: SWK) is the world's largest tool company, with 50 manufacturing facilities in the United States and more than 100 worldwide, and its shares trade at 17.7 times forward earnings. With the potential for the economy to slow down somewhat, consumers are likely to repair rather than buy new, and this legendary stock is a solid idea now, while yielding a dependable 3.19% dividend. The company provides hand tools, power tools, outdoor products, and related accessories in North and South America, Europe, and Asia. The company reported solid Q2 2026 financial results, delivering a big earnings beat as adjusted EPS climbed to $1.57, significantly beating Wall Street consensus expectations of $1.21. Its Tools & Outdoor segment offers professional-grade corded and cordless electric power tools and equipment, including: Drills Impact wrenches and drivers Grinders, saws, routers, and sanders Pneumatic tools and fasteners, such as nail guns, nails, staplers and staples, and concrete and masonry anchors; corded and cordless electric power tools Hand-held vacuums, paint tools, and cleaning appliances Leveling and layout tools, planes, hammers, demolition tools, clamps, vises, knives, saws, chisels, and industrial and automotive tools Drill, screwdriver, router bits, abrasives, saw blades, and threading products Toolboxes, sawhorses, medical cabinets, and engineered storage solutions Electric and gas-powered lawn and garden products This segment sells its products under such brand names as: DeWalt Craftsman Black+Decker Stanley Flex Volt Irwin Lenox The Industrial segment provides: Threaded fasteners, blind rivets and tools, blind inserts and tools Drawn arc weld studs and systems Engineered plastic and mechanical fasteners Self-piercing riveting systems Precision nut running systems Micro fasteners High-strength structural fasteners Axle swage, latches, heat shields, pins, couplings, fittings, and other engineered products Attachments used on excavators and handheld tools The Industrial segment sells its products through a direct sales force and third-party distributors to various industries, including automotive, manufacturing, electronics, construction, aerospace, and others. Citigroup has a Buy rating on the shares and a $107 target price. Looking to grow your money but unsure where to begin? SoFi Active Invest is offering a limited-time promotion—open a new Active Invest account, fund it with $50 or more, and you could receive up to $3,000 in complimentary stock. From $0 commission trading3 to fractional shares4 and automated investing, this app is designed to simplify investing for everyone, whether you’re just starting or already experienced. Its easy to sign up and secure your bonus.(Sponsor) Contact [email protected] for any questions or corrections.

Consolidated Water Co. Ltd. CWCO reported second-quarter 2026 earnings of 25 cents per share, beating the Zacks Consensus Estimate of 22 cents by 13.64%. Earnings declined 21.9% from 32 cents in the year-ago quarter. Revenues of $32.9 million missed the Zacks Consensus Estimate of $35 million by 6.07%. The top line also decreased 2.1% from the year-ago figure of $33.6 million. Manufacturing weakness weighed on the top line, while bulk water revenues advanced 20%. Consolidated Water Co. Ltd. price-consensus-eps-surprise-chart | Consolidated Water Co. Ltd. Quote Retail revenues were $8.66 million, up 0.3% year over year. Water sales volume declined 2% amid slightly wetter weather in Grand Cayman, but this was offset by higher rates and increased sales volume to a major non-potable water customer.Bulk revenues increased 20.1% to $9.93 million. Growth primarily reflected higher energy-related revenues in the Bahamas and contributions from two new seawater desalination plants on Cat Island, commissioned in 2026.Manufacturing revenues plunged 48.6% to $2.69 million due to the lower dollar amount of new purchase orders.Services revenues increased 1.2% to $11.59 million. Construction revenues surged 88.9% to $5.34 million, driven by projects involving a drinking water plant expansion in Colorado and a wastewater recycling plant in California. Both projects are scheduled for completion in 2026. Gross profit declined 14.6% year over year to $10.96 million from $12.83 million in the prior-year quarter.Total general and administrative expenses decreased nearly 4.4% to $7.24 million.The company secured a 25-year exclusive concession and water utility license to produce and supply water to Seven Mile Beach and West Bay, two of Grand Cayman’s three most populated areas.The company commissioned a second seawater desalination plant on Cat Island, The Bahamas, in 2026, expanding its supply of potable water to the Water and Sewerage Corporation of The Bahamas. As of June 30, 2026, cash and cash equivalents totaled $132.6 million compared with $123.8 million as of Dec. 31, 2025.As of June 30, 2026, total debt was $0.016 million, down from $0.074 million at Dec. 31, 2025.Net cash provided by operating activities totaled $18.57 million in the first six months of 2026 compared with $20.52 million a year earlier. Capital spending on property, plant and equipment and construction in progress was $5.19 million in the first six months of 2026 compared with $4.22 million a year earlier. Consolidated Water currently has a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. American Water Works Company Inc. AWK reported second-quarter 2026 adjusted earnings of $1.61 per share, which beat the Zacks Consensus Estimate of $1.59 by 1.3%. The bottom line increased 8.1% from $1.49 in the year-ago quarter.The Zacks Consensus Estimate for 2026 and 2027 EPS is pinned at $6.09 and $6.59, indicating year-over-year growth of 7.98% and 8.35%, respectively.American States Water Company AWR reported second-quarter 2026 earnings of $1.09 per share, up 25.3% year over year and beating the Zacks Consensus Estimate of 93 cents by 17.2%. Higher earnings at the water utility, driven largely by CPUC-approved rate increases, supported the gain.The Zacks Consensus Estimate for 2026 and 2027 EPS is pinned at $3.68 and $3.80, indicating year-over-year growth of 9.20% and 3.13%, respectively.California Water Service Group CWT reported second-quarter 2026 earnings of 93 cents per share, up 31% year over year. The figure beat the Zacks Consensus Estimate of 79 cents by 17.72%.The Zacks Consensus Estimate for 2026 and 2027 EPS is pinned at $2.55 and $2.73, indicating year-over-year growth of 18.60% and 7.06%, respectively. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Consolidated Water Co. Ltd. (CWCO) : Free Stock Analysis Report American Water Works Company, Inc. (AWK) : Free Stock Analysis Report California Water Service Group (CWT) : Free Stock Analysis Report American States Water Company (AWR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Five Dividend Kings with 50+ consecutive years of dividend increases beat Q2 earnings, making them defensive picks in a frothy, overbought market. Warren Buffett's KO beat Q2 EPS and upgraded full-year guidance, while FRT posted 96% occupancy and its 59th straight annual dividend increase. AWR raised its quarterly dividend 8% after Q2 EPS jumped to $1.09, extending its remarkable 70-year streak of consecutive dividend increases. It sounds nuts, but SoFi1 is giving new Active Invest users up to $3,000 in stock for a limited time, and all it takes is a $50 deposit to get started.2 See for yourself (Sponsor) Investors seeking defensive companies that pay substantial dividends are drawn to the Dividend Kings, and for good reason. The 58 companies that made the cut for the 2026 Dividend Kings list have increased their dividends (not just maintained them) for 50 consecutive years. Companies that have raised dividends for 50 or more consecutive years are exactly the kinds of investments passive income investors need to own. Dependability is crucial for individuals seeking to increase their annual income through dividend stock investments. With the second-quarter earnings season winding down, we wanted to see which companies in the legendary group posted the best results, and we were not disappointed. Some of the top companies, including a Warren Buffett favorite, posted stellar results and some outstanding forward-looking guidance. These are companies that make sense for growth and income investors seeking timely ideas in an overbought, frothy stock market. Companies that have paid and raised dividends for 50 years or more are the kinds of stocks growth and income investors want to buy and hold in stock portfolios forever. These stocks are mostly conservative, and should we see a dramatic market correction, they will likely hold their ground much better than volatile technology names. SoFi Active Invest is offering a limited-time promotion. Open an account, fund it with $50 or more, and you could receive up to $3,000 in complimentary stock for Active Invest accounts. See for yourself by clicking here now. (Sponsor) When you have products that everyone depends on and pays a very reliable 2.35% dividend that has been raised for 70 years, your investors will likely do well. American States Water (NYSE: AWR) is a holding company with segments in water, electric, and contracted services. The company reported strong Q2 EPS of $1.09 (up from $0.87 year over year) and raised its quarterly dividend by 8.2% following strong execution in utility and contracted services. Within the segments, the company has three principal business units: water and electric service utility operations conducted through its regulated utilities, Golden State Water Company (GSWC) and Bear Valley Electric Service (BVES), respectively, and contracted services conducted through American States Utility Services (ASUS) and its subsidiaries. GSWC is a public water utility that purchases, produces, distributes, and sells water in 11 counties in the state of California. It provides wastewater collection and treatment services. BVES is a public electric utility that distributes electricity in several San Bernardino County Mountain communities in California. ASUS operates, maintains, and performs construction activities (including renewal and replacement capital work) on water and/or wastewater systems at various United States military bases. This company has raised its dividend for an impressive 77 years, yielding 2.57%. California Water Service (NYSE: CWT) is a holding company that provides water utility and other related services in California, Washington, New Mexico, Hawaii, and Texas. The company reported that net income rose to $56.5 million ($0.93 per share), up from $42 million in the prior year, backed by new rate case recognitions and infrastructure investments. Its business is conducted through its operating subsidiaries and provides utility services. The business consists of the production, purchase, storage, treatment, testing, distribution, and sale of water for domestic, industrial, public, and irrigation uses, as well as domestic and municipal fire protection services. The company provides wastewater collection and treatment services, including treatment that allows water recycling. It also provides non-regulated water-related services under agreements with municipalities and other private companies. The non-regulated services include full water system operation, meter reading, and billing services. Non-regulated operations also include the lease of communication antenna sites, lab services, and promotion of other non-regulated services. Coca-Cola (NYSE: KO) is an American multinational corporation founded in 1892. This company remains a long-time top holding of Warren Buffett, who owns a massive 400 million shares, or 9.3% of the float and 9.3% of the portfolio. The stock comes with a dependable 2.39% dividend, which was raised to $0.53 per share in May 2026, marking the 64th straight year of dividend increases. The company reported second-quarter revenue of $13.37 billion and comparable EPS of $0.97, beating expectations, and raised its full-year earnings growth forecast. Coca-Cola is the world's largest beverage company, offering consumers more than 500 sparkling and still brands. Led by Coca-Cola, one of the world's most valuable and recognizable brands, the company's portfolio features 20 billion-dollar brands, including: Diet Coke Coca-Cola Light Coca-Cola Zero Sugar Caffeine-free Diet Coke Cherry Coke Fanta Orange Fanta Zero Orange Fanta Zero Sugar Fanta Apple Sprite Sprite Zero Sugar Simply Orange Simply Apple Simply Grapefruit Fresca Schweppes Dasani Fuze Tea Glacéau Smartwater Glacéau Vitaminwater Gold Peak Ice Dew Powerade Topo Chico Minute Maid Globally, it is the top provider of sparkling beverages, ready-to-drink coffees, juices, and juice drinks. Through the world's most extensive beverage distribution system, consumers in more than 200 countries enjoy the company’s beverages at a rate of over 1.9 billion servings per day. Plus, the company owns 19.5% of Monster Beverage (NASDAQ: MNST), which continues to deliver strong financial results. Founded in 1962, Federal Realty Investment Trust (NYSE: FRT) continues to deliver long-term, sustainable growth by investing in densely populated, affluent communities and pays a strong 3.83% dividend. Real estate demand is still growing, and hard assets are generally considered prudent investments during periods of inflation. Federal Realty is a recognized leader in the ownership, operation, and redevelopment of high-quality retail-based properties in major coastal markets from the District of Columbia and Boston to San Francisco and Los Angeles. The company posted Q2 funds from operations of $1.88 per share (beating mid-guidance expectations), alongside strong 96% occupancy and its 59th consecutive annual dividend increase. Federal Realty's mission is to deliver long-term, sustainable growth through investing in densely populated, affluent communities where retail demand exceeds supply. Its expertise includes creating urban, mixed-use neighborhoods like: Santana Row in San Jose, California Pike & Rose in North Bethesda, Maryland Assembly Row in Somerville, Massachusetts Federal Realty's portfolio comprises approximately 3,500 tenants across 27 million square feet of space and 3,100 residential units. Federal Realty has increased its quarterly dividend for 57 consecutive years, the longest streak in the REIT industry. Procter & Gamble (NYSE: PG) was founded more than 185 years ago as a soap-and-candle company, and it currently pays a 2.92% dividend. The company is focused on providing branded consumer packaged goods to consumers worldwide. The consumer staples giant posted earnings per share of $1.43, beating estimates of $1.41, on steady revenue, and it continued its 70-year streak of dividend increases, raising it 3% in April. The company’s segments include: Beauty Grooming Health Care Fabric & Home Care Baby Feminine & Family Care Its products are sold in approximately 180 countries and territories primarily through mass merchandisers, e-commerce, including social commerce channels, grocery stores, membership club stores, drug stores, department stores, distributors, wholesalers, specialty beauty stores, including airport duty-free stores, high-frequency stores, pharmacies, electronics stores, and professional channels. It also sells directly to individual consumers. It has operations in approximately 70 countries. Procter & Gamble offers products under such brands as: Head & Shoulders Herbal Essences Pantene Rejoice Olay Old Spice Safeguard Secret SK-II Braun Gillette Venus Crest Oral-B Ariel Downy Gain Tide Always Always Discreet Tampax Bounty Looking to grow your money but unsure where to begin? SoFi Active Invest is offering a limited-time promotion—open a new Active Invest account, fund it with $50 or more, and you could receive up to $3,000 in complimentary stock. From $0 commission trading3 to fractional shares4 and automated investing, this app is designed to simplify investing for everyone, whether you’re just starting or already experienced. Its easy to sign up and secure your bonus.(Sponsor) Contact [email protected] for any questions or corrections.

Find winning stocks in any market cycle. Join 7 million investors using Simply Wall St's investing ideas for FREE. American States Water (AWR) is back on many investors screens after reporting second quarter 2026 earnings and confirming another increase in its quarterly dividend, alongside recent capital raising and updated investment plans. See our latest analysis for American States Water. The latest earnings and dividend news come on top of a solid run in American States Water’s share price, with an 18.56% year to date share price return and a 15.74% total shareholder return over the past year, which may suggest improving sentiment rather than fading momentum. If you are reassessing utilities exposure after American States Water’s update, it can be useful to broaden your search and look at 36 power grid technology and infrastructure stocks After a strong Q2, a higher dividend and a double digit gain in American States Water’s share price this year, the real issue now is whether the current valuation still offers an attractive trade off between risk and reward. American States Water last closed at $85.67 compared with a most followed narrative fair value of $76, which points to a rich pricing gap that investors are now scrutinising closely. Read the complete narrative. Curious what level of steady revenue growth and expanding margins are baked into that fair value. The narrative leans on measured earnings compounding and a future profit multiple that edges above the wider water utilities group. Want to see which specific long term forecasts have to land for American States Water to match that price path. Result: Fair Value of $76 (OVERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, the story around American States Water could shift if California specific regulatory decisions continue to increase earnings volatility, or if higher water and wildfire related costs outpace future rate relief. Find out about the key risks to this American States Water narrative. With sentiment on American States Water split between concern and optimism, it makes sense to move quickly and test the details yourself. To see how the potential upsides compare with the key issues that have investors cautious, take a closer look at the 2 key rewards and 2 important warning signs If American States Water has you rethinking your next move, do not stop at one stock. You could miss opportunities that fit your goals even better. Pinpoint potential value opportunities by scanning 50 high quality undervalued stocks that pair reasonable pricing with solid fundamentals. Strengthen your income focus by reviewing 9 dividend fortresses that aim to combine higher yields with staying power. Dial down risk by checking 78 resilient stocks with low risk scores that our models flag for more resilient profiles. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include AWR. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

American States Water Company recently reported past second-quarter 2026 results showing sales rising to US$181.29 million and net income to US$43.27 million, alongside a higher quarterly dividend of US$0.5455 per share approved in July 2026. The combination of stronger earnings, driven by new customer rates and higher consumption, and an 8.2% annualized dividend increase underscores how regulatory decisions and capital deployment are shaping American States Water’s cash generation and shareholder returns. With this backdrop of stronger earnings and a higher dividend, we will now assess how these developments influence American States Water’s investment narrative. The future of work is here. Discover the 36 top robotics and automation stocks leading the charge in AI-driven automation and industrial transformation. To own American States Water, you need to believe in the durability of regulated water and electric utility earnings in California, supported by ongoing capital investment and constructive regulation. The latest results, with higher sales, earnings and an increased dividend, support that narrative in the near term, but do not remove the key short term catalyst around future CPUC decisions, nor the central risk of revenue volatility now that full decoupling has been removed. The most relevant update here is the 8.2% dividend increase to US$0.5455 per share, bringing the annualized payout to US$2.182 and extending the company’s multi decade record of raising dividends. In the context of recent earnings strength and continued capital deployment, this reinforces the role of the dividend in the investment case, while also raising the stakes if future regulatory outcomes or water usage patterns introduce more volatility into cash flows. Yet behind the higher earnings and dividend, investors should be aware that reduced revenue decoupling could leave results more exposed to shifts in customer water use and... Read the full narrative on American States Water (it's free!) American States Water's narrative projects $763.8 million revenue and $167.1 million earnings by 2029. This requires 4.0% yearly revenue growth and about a $34.0 million earnings increase from $133.1 million today. Uncover how American States Water's forecasts yield a $76.00 fair value, a 11% downside to its current price. Two members of the Simply Wall St Community currently place American States Water’s fair value between US$65.02 and US$76.00. You can weigh those views against the key risk that reduced revenue decoupling may increase earnings volatility over time and consider how that might affect the company’s ability to support its investment plans and dividend profile. Explore 2 other fair value estimates on American States Water - why the stock might be worth as much as $76.00! Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts. A great starting point for your American States Water research is our analysis highlighting 2 key rewards and 2 important warning signs that could impact your investment decision. Our free American States Water research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate American States Water's overall financial health at a glance. Opportunities like this don't last. These are today's most promising picks. Check them out now: Find 51 companies with promising cash flow potential yet trading below their fair value. We've uncovered the 9 dividend fortresses yielding 5%+ that don't just survive market storms, but thrive in them. Rare earth metals are an input to most high-tech devices, military and defence systems and electric vehicles. The global race is on to secure supply of these critical minerals. Beat the pack to uncover the 28 best rare earth metal stocks of the very few that mine this essential strategic resource. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include AWR. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

This article first appeared on GuruFocus. Earnings Per Share (EPS): Reported EPS of $1.09 for Q2 2026, up 25.3% from $0.87 in Q2 2025. Water Segment EPS: $0.91 per share, up from $0.73 in Q2 2025. Electric Segment EPS: $0.04 per share, up from $0.03 in Q2 2025. ASUS (Contracted Services) EPS: $0.16 per share, up from $0.13 in Q2 2025. Consolidated Revenue: Increased by $18.2 million in Q2 2026 compared to Q2 2025. Water Segment Revenue: Increased by $11.4 million. Electric Segment Revenue: Increased by $700,000. ASUS Revenue: Increased by $6.2 million. Operating Expenses: Remaining consolidated operating expenses increased by $4.6 million. Cash Flow from Operations: $116.6 million for year-to-date 2026, up from $109.6 million in the same period of 2025. Capital Expenditures: $91.7 million invested in company-funded capital projects during the first half of 2026; full-year expectation of $185 million to $200 million. Dividend: Board approved an 8.2% increase, resulting in an annualized dividend rate of $2.182 per share. Water Consumption: Increased by 4% in Q2 2026. Warning! GuruFocus has detected 4 Warning Signs with AWR. High Yield Dividend Stocks in Gurus' Portfolio This Powerful Chart Made Peter Lynch 29% A Year For 13 Years How to calculate the intrinsic value of a stock? Is AWR fairly valued? Test your thesis with our free DCF calculator. Release Date: August 06, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Reported strong Q2 2026 EPS of $1.09, a 25.3% increase year-over-year, driven by new customer rates and higher construction activities. Board approved an 8.2% dividend increase, marking 72 consecutive years of dividend growth, reflecting confidence in long-term sustainable earnings. Regulated utilities are on track to invest $185 million to $220 million in infrastructure, supporting rate base growth and future earnings. Successfully completed the at-the-market equity offering program, raising $200 million, with no plans for additional equity issuance through at least 2029. S&P affirmed strong credit ratings (A for American States Water, A+ for Golden State Water) with stable outlooks, among the highest in the industry. Filed new general rate cases for electric (2027-2030) and water (2028-2030), requesting significant capital budgets to support continued growth. ASUS segment performed well, with earnings up $0.03 per share year-over-year, and is projected to contribute $0.63-$0.67 per share in 2026. Uncertainty remains whether favorable Q2 conditions (4% higher water consumption and less purchased water) will continue, with potential for earnings reversal. Earnings face future volatility due to CPUC's modified revenue decoupling mechanism and incremental water supply cost balancing account. Higher water supply costs and increased interest expense (net of interest income) partially offset earnings growth in the quarter. Dilutive effect from share issuances under the at-the-market offering program reduced EPS by $0.02 per share in Q2. Operating expenses increased by $4.6 million year-over-year, largely due to higher ASUS construction expenses and overall cost increases. The cost of capital application deferral to 2027 leaves current authorized return on equity (10.06%) in place through 2027, but future adjustments are uncertain. Affordability challenges exist in a few smaller service areas, requiring measures to address concerns, which could impact rate recovery. Q: What drove the strong second-quarter 2026 earnings results, and are these drivers expected to persist?A: CEO Bob Sprowls reported EPS of $1.09, a 25.3% increase year-over-year, driven by new customer rates at regulated utilities, a 4% increase in water consumption, and a favorable water supply mix with less purchased water. However, he cautioned that it is uncertain whether these favorable conditions will continue, as consumption and supply mix can be affected by climate, weather events like El Nino/La Nina, and groundwater quality issues. Q: What is the company's capital expenditure plan and equity issuance outlook?A: CFO Eva Tang stated that company-funded capital expenditures are expected to total between $185 million and $200 million for the full year 2026. CEO Bob Sprowls added that the company successfully completed its at-the-market equity offering program in June, raising the maximum $200 million in gross proceeds, and has no plans to issue additional equity through at least the end of 2029. Q: What are the key details of the new water general rate case filed in July?A: CEO Bob Sprowls explained that Golden State Water filed a general rate case application on July 1 to set new water rates for 2028 through 2030. The company requested capital budgets of approximately $1 billion for the three-year rate cycle and, importantly, requested to reinstate regulatory mechanisms for full revenue decoupling and a full supply cost balancing account to reduce earnings volatility. A decision is scheduled for the fourth quarter of 2027. Q: Can you provide details on the recent dividend increase and the company's dividend growth track record?A: CEO Bob Sprowls announced that the Board approved an 8.2% dividend increase, resulting in an annualized dividend rate of $2.182 per share. This marks the 72nd consecutive year of dividend increases. The company aims for a compound annual growth rate of more than 7% over the long term, and has achieved an 8.4% CAGR over the last five years and is on pace for an 8.7% CAGR over ten years through 2026. Q: What is the status of the cost of capital application and the current authorized return?A: CEO Bob Sprowls noted that the CPUC approved a one-year deferral of the cost of capital application, postponing the filing to May 1, 2027, with an effective date of January 1, 2028. Golden State Water's current authorized rate of return on rate base is 7.93%, which includes a return on equity of 10.06% and a capital structure of 57% equity and 43% debt, and this will remain in effect through December 31, 2027. Q: What is the status of the proposed acquisition of the water system in Norwalk, California?A: CEO Bob Sprowls stated that Golden State Water and Cal Advocates filed a joint settlement in July to approve the acquisition of an existing water system serving almost 900 customer connections in Norwalk. If approved by the CPUC, the system will be incorporated into an existing ratemaking area and result in increased water revenues. A proposed decision is expected in the fourth quarter of 2026. Q: What are the key financial details of the Electric segment's performance and its new general rate case?A: CFO Eva Tang reported that the Electric segment's earnings were $0.04 per share, up $0.01 from last year, primarily due to rate increases. CEO Bob Sprowls added that Bear Valley Electric filed a general rate case in January for rates covering 2027 through 2030, requesting capital budgets of approximately $133 million, a return on equity of 11.30%, and a return on rate base of 9.15%. Q: How did the ASUS (Contracted Services) segment perform, and what is its full-year outlook?A: CFO Eva Tang noted that ASUS earnings were $0.16 per share, up $0.03 from last year, due to higher construction activities, increased management fee revenues from resolved economic price adjustments, and lower interest expenses. CEO Bob Sprowls provided guidance that ASUS is projected to contribute $0.63 to $0.67 per share for the full year 2026. Q: What is the company's liquidity position and credit rating status?A: CFO Eva Tang reported that net cash provided by operating activities was $116.6 million for the first half of 2026, up from $109.6 million last year, driven by new rates and PFAS litigation proceeds. She also confirmed that Standard & Poor's affirmed the company's credit ratings of A for American States Water and A+ for Golden State Water, both with stable outlooks, which are among the highest in the US investor-owned water utility industry. Q: How is the company addressing customer affordability while making significant infrastructure investments?A: CEO Bob Sprowls emphasized that the company takes affordability seriously and balances infrastructure investment needs with customer bill impacts. He noted that the majority of water service areas perform well under the CPUC's affordability metrics, and for a few smaller areas with challenges, the company is implementing or has proposed measures to address concerns. Electric customer bills and affordability metrics remain within a manageable range. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

American States Water Company AWR reported second-quarter 2026 earnings of $1.09 per share, up 25.3% year over year and beating the Zacks Consensus Estimate of 93 cents by 17.2%. Higher earnings at the water utility, driven largely by CPUC-approved rate increases, supported the gain. Operating revenues rose 11.2% to $181.29 million from $163.07 million. Water consumption increased about 4%, while contracted services revenues advanced 20.3%, adding to the quarter’s growth.Water segment revenues increased 9.5% year over year to $131.05 million. The increase mainly reflected second-year customer rate increases effective Jan. 1, 2026, additional revenues tied to approved capital projects and higher water consumption. Lower billed surcharges partly offset these gains.Contracted Services revenues rose 20.3% to $36.61 million, while Electric segment revenues increased 5.4% to $13.63 million. The Electric revenues were $13.6 million, up 5.4% year over year, and the surge reflects authorized 2026 rate increases and additional recovery on completed capital projects, partly offset by lower billed surcharges. American States Water Company price-consensus-eps-surprise-chart | American States Water Company Quote Operating expenses increased 4.6% to $117.32 million. ASUS construction expense climbed 29.9% to $16.75 million, while depreciation and amortization rose 9.1% to $12.75 million. Administrative and general expenses declined 2.8% to $24.52 million.Operating income increased 25.5% to $63.97 million. Interest expense was $12.17 million, up 0.5%, while other income, net, increased 41.8% to $5.07 million. Net income rose 28.4% to $43.27 million. Cash provided by operating activities totaled $116.6 million in the first six months of 2026, compared with $109.6 million a year earlier. The improvement reflected new regulated utility rates, various surcharges, about $4 million of proceeds from PFAS contamination litigation and working-capital timing.The regulated utilities invested $91.7 million in company-funded capital work year to date. American States Water expects regulated utility capital expenditures of $185-$220 million in 2026. Cash and cash equivalents stood at $21.66 million at June 30, up from $18.82 million at year-end 2025. Golden State Water filed its 2028-2030 general rate case on July 1, seeking nearly $1 billion of capital budgets for the three-year cycle. It also requested reinstatement of the WRAM and MCBA regulatory mechanisms. A decision is scheduled for the fourth quarter of 2027, with new rates targeted for Jan. 1, 2028.Bear Valley Electric filed its 2027-2030 rate case in January. The application seeks about $133 million of capital budgets, plus roughly $17 million, along with allowance for funds used during construction, for projects to be recovered through advice letters. It also requests an 11.30% return on equity. The board approved an 8.2% increase in the third-quarter dividend to 54.55 cents per share from 50.40 cents. This increase marks the 72nd consecutive calendar year in which AWR has raised annual dividends to its shareholders.AWR also completed its at-the-market equity offering program in June after reaching the $200 million maximum aggregate offering capacity. The company said no further shares will be sold under that program and it has no plans to issue additional equity through at least the end of 2029 to support current operations. American States Water’s capital expenditures for 2026 are expected to be $185-$220 million.Contracted Services (“ASUS”) is projected to contribute 63-67 cents per share in 2026. American States Water currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. American Water Works Company Inc. AWK reported second-quarter 2026 adjusted earnings of $1.61 per share, which beat the Zacks Consensus Estimate of $1.59 by 1.3%. The bottom line increased 8.1% from $1.49 in the year-ago quarter.Revenues of $1.36 billion surpassed the Zacks Consensus Estimate of $1.28 billion by 6.2% and rose 6.2% year over year. The company added nearly 52,000 customer connections through acquisitions in the first half.California Water Service Group CWT reported second-quarter 2026 earnings of 93 cents per share, up 31% year over year. The figure beat the Zacks Consensus Estimate of 79 cents per share by 17.72%.Quarterly revenues rose 16.5% to $308.6 million and surpassed the Zacks Consensus Estimate of $277 million by 11.41%. Results benefited from regulatory catch-up revenues, rate changes and higher customer consumption, while infrastructure investment reached a record $147 million.Essential Utilities Inc. WTRG reported second-quarter 2026 adjusted earnings of 38 cents per share, in line with the Zacks Consensus Estimate and reflecting no surprise. Quarterly revenues of $530.9 million rose 3.1% year over year and beat the consensus estimate of $502 million by 5.76%. Regulatory recoveries and purchased gas costs supported the top line, while regulated water revenues advanced 7.6%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American States Water Company (AWR) : Free Stock Analysis Report American Water Works Company, Inc. (AWK) : Free Stock Analysis Report California Water Service Group (CWT) : Free Stock Analysis Report Essential Utilities Inc. (WTRG) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in American States Water Company? Here are five stocks we like better. Second-quarter earnings rose to $1.09 per share from $0.87 a year earlier, with growth across the water, electric and contracted-services businesses. The company also raised its quarterly dividend by 8.2% to an annualized $2.182 per share. Golden State Water led results, benefiting from new 2026 rates, a 4% increase in customer consumption and lower reliance on purchased water. Management cautioned that weather, conservation and supply conditions could reverse these gains later in 2026. American States Water plans $185 million to $220 million of regulated-utility infrastructure investment in 2026, while ASUS expects to contribute $0.63 to $0.67 per share for the full year. The company completed its equity offering program and said it does not expect to issue additional equity through at least 2029. Dividend Aristocrats or Dividend Kings: Which Is Best for You? American States Water (NYSE:AWR) reported second-quarter 2026 earnings of $1.09 per share, up from $0.87 per share a year earlier, as its water, electric and contracted services businesses each posted year-over-year gains. President and Chief Executive Officer Bob Sprowls said the results reflected “strong execution across our business” and cited new customer rates at the regulated utilities as well as higher construction activity at the company’s contracted services segment. The company also announced an 8.2% increase in its quarterly dividend, bringing its annualized dividend rate to $2.182 per share. → Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth 3 Dividend Kings Poised to Outperform the Market Golden State Water, the company’s water utility, generated second-quarter earnings of $0.91 per share, compared with $0.73 per share in the prior-year period. Chief Financial Officer Eva Tang said the $0.18-per-share increase was driven largely by water rates implemented for 2026, including revenue from capital projects approved through advice letters in late 2025. Other contributors included higher gains on investments supporting a retirement plan. These benefits were partly offset by higher water supply costs, interest expense net of interest income, and a higher effective income tax rate. Tang also said share issuances under the parent company’s at-the-market equity offering program reduced earnings by $0.02 per share. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High What Are Utility Stocks? An Overview of the Utilities Sector Water segment revenue increased by $11.4 million from the second quarter of 2025, while electric segment revenue rose by $700,000. The gains were largely tied to new 2026 rates and revenue associated with approved advice letter projects. Sprowls said Golden State Water benefited during the quarter from a 4% increase in customer water consumption and a more favorable supply mix, including less reliance on purchased water. Certain wells that had been temporarily offline during the first quarter returned to service during the second quarter. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling However, he cautioned that those favorable trends may not persist for the rest of 2026. Golden State Water’s current regulatory framework includes a modified revenue decoupling mechanism and an incremental water supply cost balancing account, which Sprowls said expose earnings to volatility from consumption changes and shifts in water supply mix. “It remains uncertain whether these favorable conditions in the second quarter will continue through the remainder of 2026 or if their positive earnings impact will reverse,” Sprowls said. He noted that weather, conservation, precipitation patterns, groundwater quality and pumping conditions can affect consumption and supply costs. Golden State Water received approval in December to implement its full second-year rate increases effective Jan. 1, 2026. The approval increased adopted operating revenue less water supply costs by $32 million for 2026 compared with 2025, including nearly $11 million related to advice letter capital projects. On July 1, Golden State Water filed a general rate case application covering 2028 through 2030. The utility requested capital budgets of approximately $1 billion for the three-year period and asked the California Public Utilities Commission to reinstate full revenue decoupling and a full water supply cost balancing account. A decision is scheduled for the fourth quarter of 2027. The company’s current authorized return on rate base is 7.93%, based on a 10.06% return on equity and a capital structure of 57% equity and 43% debt. That authorization will remain in effect through Dec. 31, 2027, following the CPUC’s approval to delay the next water cost-of-capital filing until May 2027. Golden State Water and the CPUC’s Public Advocates Office also filed a joint settlement in July seeking approval to acquire an existing water system in Norwalk, California, serving nearly 900 customer connections. If approved, the system would be added to an existing rate-making area. A proposed decision is expected in the fourth quarter. The company expects its regulated utilities to invest $185 million to $220 million in infrastructure during 2026. Tang said company-funded capital expenditures are expected to total between $185 million and $200 million for the year, after $91.7 million was invested during the first half. Bear Valley Electric earned $0.04 per share in the second quarter, compared with $0.03 per share a year earlier. Tang attributed the increase primarily to rate increases, partly offset by higher operating and interest expenses. Bear Valley Electric implemented new 2026 rates in January, the final year of its current four-year rate cycle. The utility filed a new general rate case in January for rates covering 2027 through 2030, requesting approximately $133 million in capital budgets during the period and roughly $17 million plus allowance for funds used during construction for additional projects to be recovered through advice letters. American States Utility Services, or ASUS, contributed $0.16 per share, up from $0.13 per share in the second quarter of 2025. The increase reflected higher construction activity, increased management fee revenue tied to the resolution of economic price adjustments, and lower interest expense. ASUS expects to contribute between $0.63 and $0.67 per share for full-year 2026. Net cash provided by operating activities totaled $116.6 million in the first half of 2026, compared with $109.6 million in the prior-year period. Tang said the increase resulted from new utility rates, approved surcharges, advice letter project revenue and PFAS litigation proceeds received during the year. The company completed its at-the-market equity offering program in June, raising the program’s maximum aggregate capacity of $200 million in gross proceeds since it was established in February 2024. During the first half, the company raised $39.9 million net of issuance and legal costs. Sprowls said American States Water does not plan to issue additional equity through at least the end of 2029 to support current operations. Standard & Poor’s affirmed the company’s A credit rating and Golden State Water’s A+ rating, both with stable outlooks. The company’s dividend increase marks its 72nd consecutive year of raising dividends paid to shareholders. American States Water has paid dividends every year since 1931, according to Sprowls. American States Water Company (NYSE: AWR), founded in 1929 and headquartered in San Dimas, California, is a publicly traded utility holding company. The company operates primarily through two regulated segments—water and electric utilities—and provides non-regulated water system services. Over its history, American States Water has expanded its footprint through strategic acquisitions and organic growth, positioning itself as a reliable provider of essential services in its core territories. Within its regulated water utility segment, American States Water serves more than 250,000 residential, commercial and industrial customers across 35 communities in six counties of California. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "American States Water Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

A 25.3% increase, or $0.22 per share, in reported second quarter 2026 consolidated diluted EPS compared to second quarter of 2025 Quarterly dividend increased 8.2% with first payment on September 2 to holders of record on August 17 AWR’s regulated utilities on target to invest $185 to $220 million in 2026 AWR’s contracted services business is expected to contribute $0.63 to $0.67 per share for full year 2026 In July, Standard & Poor’s affirmed the company’s strong credit ratings of "A" for AWR with a stable outlook, and "A+" for its regulated water utility with a stable outlook SAN DIMAS, Calif., August 05, 2026--(BUSINESS WIRE)--American States Water Company (NYSE:AWR) today reported basic and fully diluted earnings per share of $1.10 and $1.09, respectively, for the quarter ended June 30, 2026, as compared to basic and fully diluted earnings per share of $0.87 for the quarter ended June 30, 2025, an increase of $0.22 per fully diluted share or 25.3%, primarily generated from higher earnings at the water utility segment resulting largely from, among other factors, the implementation of new customer rate increases approved by the California Public Utilities Commission (CPUC) as discussed in more detail below. In addition, there was an increase in construction activities that resulted in higher earnings at the contracted services segment. On June 12, 2026, AWR successfully completed its at-the-market (ATM) offering program, which was originally established on February 27, 2024. AWR reached the maximum aggregate offering capacity of $200 million in gross proceeds raised that resulted in the total sale of 2,575,947 Common Shares through this ATM offering program. No further sales of Common Shares will be made under this program, and AWR has no plans to issue additional equity through, at least, the end of 2029 to support its current operations. Second Quarter 2026 Results The table below sets forth a comparison of the second quarter of 2026 diluted earnings per share contribution reported by business segment and for the parent company compared with amounts reported during the same period in 2025. Water Segment: For the three months ended June 30, 2026, reported diluted earnings from AWR's water utility segment, Golden State Water Company (GSWC), were $0.91 per share, as compared to $0.73 per share for the same period in 2025, an increase of $0.18 per share, or 24.7%. This growth stems largely from CPUC-approved rate increases effective January 1, 2026, which boosted 2026 full-year adopted operating revenues less water supply costs by $32.0 million over 2025 adopted amounts, including $11.0 million for capital projects approved through advice letter filings. To a lesser extent, 2026 second-quarter earnings also benefited from a 4% increase in water consumption and a lower reliance on purchased water included in the water supply source mix compared to 2025 second-quarter. Due to the CPUC’s approval of a modified revenue decoupling mechanism and an incremental water supply cost balancing account effective January 1, 2025, GSWC’s earnings face future volatility from consumption fluctuations and water supply mix changes. It is uncertain whether the second quarter’s trend of higher customer demand and a favorable water supply source mix will continue throughout the remainder of 2026, or if their positive earnings effects will reverse. Consumption changes depend on factors like climate change, conservation, and weather conditions. For example, El Niño or La Niña weather events could cause fluctuating precipitation that shifts outdoor water use. Additionally, water supply mix changes can occur due to unforeseen changes in groundwater quality and operating conditions of groundwater basins and associated pumping facilities. Any of these factors could directly impact GSWC’s future net earnings. The following discussion analyzes the primary variances in the water segment’s earnings between the two periods. An increase in water operating revenues of $11.4 million was largely a result of (i) the CPUC-authorized second-year rate increases effective January 1, 2026, (ii) additional revenues for the recovery of capital projects approved in various advice letter filings effective January 1, 2026, (iii) additional revenues for increases in the per-unit water supply costs incurred, which, as noted below, result in no net impact to earnings, and (iv) an increase in water consumption of approximately 4% favorably impacting net earnings when compared to the same period in 2025. These increases were partially offset by a decrease of $1.6 million in billed surcharges. CPUC-approved surcharges are billed to customers to recover previously incurred costs. Changes in billed surcharge revenues are offset by equal changes in operating expenses, resulting in no net impact to earnings. An increase in water supply costs of $0.7 million, which consist of purchased water, purchased power for pumping, groundwater production assessments and changes in the water supply cost balancing accounts. The increase in water supply costs compared to the same period in 2025 was largely because of (i) an overall increase in per-unit water supply costs that are covered in current rates, as noted above, resulting in no net impact to earnings, and (ii) an increase in the production of water resulting from higher customer consumption. These increases were partially offset by the impact of an actual water supply source mix that included less purchased water during the second quarter of 2026 as compared to the same period in 2025 due primarily to wells being brought back online in certain customer service areas. An overall increase in operating expenses of $0.2 million (excluding supply costs) due largely to increases in (i) overall labor costs, (ii) depreciation and amortization expenses, which are impacted by increasing capital additions placed in service and are reflected and recovered in customer rates, and (iii) property and other non-income taxes; partially offset by a decrease in surcharges of $1.6 million. As noted above, changes in billed surcharge revenues are offset by equal changes in operating expenses, resulting in no net impact to earnings. An overall increase in interest expense (net of interest income) of $0.9 million resulting largely from (i) the impact of capitalizing debt costs related to certain advice letter projects approved by the CPUC in the latest general rate case effective January 1, 2025 that was recorded in 2025 with no similar item in 2026, and (ii) a decrease in interest income earned on regulatory assets due to decreasing regulatory balances as GSWC recovers the amounts through surcharges. The advice letter projects discussed are now included in adopted rate base and are part of the rate increases effective January 1, 2026. An overall increase in other income (net of other expense) of $2.0 million due largely to gains totaling $4.3 million generated on investments held to fund one of the company’s retirement plans during the three months ended June 30, 2026, as compared to gains on investments of $2.7 million recorded during the same period in 2025 due to financial market conditions, and a decrease in the non-service cost components related to GSWC’s benefit plans resulting from changes in actuarial assumptions. However, as a result of GSWC’s two-way pension balancing accounts authorized by the CPUC, changes in total net periodic benefits costs related to the pension plan have no material impact to earnings. Changes in certain flowed-through income taxes and permanent items included in GSWC’s income tax expense for the three months ended June 30, 2026 as compared to the same period in 2025 unfavorably impacted the water segment’s earnings. As a regulated utility, GSWC treats certain temporary differences as being flowed-through in computing its income tax expense consistent with the income tax method used in its CPUC-jurisdiction rate making. Changes in the magnitude of flowed-through items either increase or decrease tax expense, thereby affecting diluted earnings per share. A decrease in earnings of approximately $0.02 per share due to the dilutive effects from the issuance of equity under AWR’s ATM offering program as previously discussed. Electric Segment: Diluted earnings from the electric utility segment increased $0.01 per share for the second quarter of 2026 as compared to the same period in 2025 largely resulting from an increase of $0.7 million in electric revenues due to the CPUC-authorized fourth-year rate increases in 2026 and additional revenues approved largely after the second quarter of 2025 to recover the cost plus an allowance for funds used during construction of certain advice letter capital projects. This increase was partially offset by a decrease in billed surcharges of $0.4 million. As previously discussed, changes in billed surcharge revenues are offset by equal changes in operating expenses, resulting in no net impact to earnings. The net increase in electric revenues discussed above was partially offset by an overall increase in operating expenses and interest expense (net of interest and other income), partially offset by a decrease in surcharges as discussed above. Contracted Services Segment: Diluted earnings from the contracted services segment increased $0.03 per share for the second quarter of 2026 when compared to the same period in 2025 largely resulting from (i) an increase in construction activities, (ii) an increase in management fee revenues resulting from the resolution of various economic price adjustments, and (iii) a decrease in interest expense (net of interest income) due to lower average borrowing levels and average interest rates. These favorable variances were partially offset by an increase in overall operating expenses (excluding construction expenses). The contracted services segment is expected to contribute $0.63 to $0.67 per share for the full year of 2026. Year-to-Date ("YTD") 2026 Results YTD 2026 consolidated diluted earnings per share were $1.86 compared to YTD 2025 of $1.57 per share, an increase of $0.29 per share or 18.5%, largely from new rates implemented at AWR's regulated utilities and higher earnings at the contracted services segment from an increase in construction activities The table below sets forth a comparison of the diluted earnings per share contribution by business segment and for the parent company as recorded during the year-to-date June 30, 2026 and 2025. For the six months ended June 30, 2026, AWR’s recorded consolidated diluted earnings were $1.86 per share, as compared to $1.57 per share recorded for the same period in 2025, an increase of $0.29 per share or 18.5%, primarily generated from higher earnings at the water utility segment resulting from, among other factors, the implementation of new customer rate increases approved by the CPUC as previously discussed. In addition, there was an increase in construction activities that resulted in higher earnings at the contracted services segment. AWR’s consolidated diluted earnings for the six months ended June 30, 2026 were negatively impacted by approximately $0.04 per share due to the continued dilutive effects from the issuance of equity under AWR’s ATM offering program. AWR successfully completed the ATM offering program, reaching the maximum aggregate offering capacity of $200 million in gross proceeds raised, and no further sales of Common Shares will be made under this program. For more details on the YTD results, please refer to the company’s Form 10-Q filed with the Securities and Exchange Commission. Dividends On July 28, 2026, AWR’s Board of Directors approved an 8.2% increase in the third quarter dividend of $0.5455 per share from $0.5040 per share on AWR’s Common Shares. Dividends on the Common Shares will be paid on September 2, 2026 to shareholders of record at the close of business on August 17, 2026. AWR has paid common dividends every year since 1931, and has increased the dividends received by shareholders each calendar year for 72 consecutive years, which places it in an exclusive group of companies on the New York Stock Exchange that have achieved that result. AWR has grown its quarterly dividend rate at a compound annual growth rate (CAGR) of 8.4% over the last five years since the third quarter of 2021, and is on pace to achieve a 10-year CAGR of 8.7% in its calendar year dividend payments through 2026. AWR’s current policy is to achieve a CAGR in the dividend of more than 7% over the long-term. Non-GAAP Financial Measures This press release includes a discussion on AWR’s operations in terms of diluted earnings per share by business segment and AWR (parent), which is each business segment’s earnings divided by the company’s weighted average number of diluted common shares. This measure by business segment is derived from consolidated financial information but is not presented in our financial statements that are prepared in accordance with Generally Accepted Accounting Principles (GAAP) in the United States. This item constitutes a "non-GAAP financial measure" under SEC rules, which supplements our GAAP disclosures but should not be considered as an alternative to the respective GAAP measure. Furthermore, this non-GAAP financial measure may not be comparable to similarly titled non-GAAP financial measures of other registrants. The company uses earnings per share by business segment and AWR (parent), a non-GAAP measure, as an important measure in evaluating its operating results and believes it provides investors with clarity surrounding the performance of its business segments and the parent company. The company reviews this measurement regularly and compares it to historical periods and to the operating budget. The company has provided the computations and reconciliations of diluted earnings per share from the measure of net income (loss) by business segment and for the parent company to AWR’s consolidated fully diluted earnings per share in this press release. Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can often be identified by words such as "anticipate," "estimate," "forecast," "expect," "intend," "may," "can," "will," "likely," "possibility," "should," "could," "plan," and similar phrases and expressions, and variations or negatives of these words. They are not guarantees or assurances of any outcomes, financial results, levels of activity, performance or achievements, and readers are cautioned not to place undue reliance upon them. The forward-looking statements are subject to a number of estimates and assumptions, and known and unknown risks, uncertainties and other factors, including those described in greater detail in the company’s filings with the SEC, particularly those described in the company’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Readers are encouraged to review the company’s filings with the SEC for a more complete discussion of risks and other factors that could affect any forward-looking statements. The statements made herein speak only as of the date of this press release and except as required by law, the company does not undertake any obligation to publicly update or revise any forward-looking statement. Conference Call Robert Sprowls, president and chief executive officer, and Eva Tang, senior vice president and chief financial officer, will host a conference call to discuss these results at 2:00 p.m. Eastern Time (11:00 a.m. Pacific Time) on Thursday, August 6. There will be a question and answer session as part of the call. Interested parties can listen to the live conference call and view accompanying slides on the internet at www.aswater.com. The call will be archived on the website and available for replay beginning August 6, 2026 at 5:00 p.m. Eastern Time (2:00 p.m. Pacific Time) through August 13, 2026. About American States Water Company American States Water Company is the parent of Golden State Water Company, Bear Valley Electric Service, Inc. and American States Utility Services, Inc., serving over one million people in ten states. Through its water utility subsidiary, Golden State Water Company, the company provides water service to approximately 265,200 customer connections located within more than 80 communities in Northern, Coastal and Southern California. Through its electric utility subsidiary, Bear Valley Electric Service, Inc., the company distributes electricity to approximately 24,900 customer connections in the City of Big Bear Lake and surrounding areas in San Bernardino County, California. Through its contracted services subsidiary, American States Utility Services, Inc., the company provides operations, maintenance and construction management services for water distribution, wastewater collection, and treatment facilities located on twelve military bases throughout the country under 50-year privatization contracts with the U.S. government in 8 states and one military base under a 15-year contract in 1 additional state. Computation and Reconciliation of Non-GAAP Financial Measure (Unaudited) Below are the computation and reconciliation of diluted earnings per share from the measure of net income (loss) by business segment and AWR (parent) to AWR’s consolidated fully diluted earnings per share for the three and six months ended June 30, 2026 and 2025. View source version on businesswire.com: https://www.businesswire.com/news/home/20260804609207/en/ Contacts Eva G. TangSenior Vice President-Finance, Chief Financial Officer,Corporate Secretary and TreasurerTelephone: (909) 394-3600, ext. 707

Essential Utilities Inc. WTRG reported second-quarter 2026 adjusted earnings of 38 cents per share, in line with the Zacks Consensus Estimate and reflecting no surprise. GAAP earnings were 37 cents per share, down 2.6% from 38 cents a year ago, as merger-related costs weighed on results. Quarterly revenues of $530.9 million rose 3.1% year over year and beat the consensus estimate of $502 million by 5.76%. Regulatory recoveries and purchased gas costs supported the top line, while regulated water revenues advanced 7.6%. Regulated water segment revenues totaled $357.5 million, up from $332.3 million in the second quarter of 2025. Regulatory recoveries and increased volume were the largest contributors to the growth.Regulated natural gas revenues declined to $169.3 million from $177.3 million a year ago. Higher rates and surcharges provided support, but lower purchased gas costs and reduced volumes due to warmer weather pressured the segment. Essential Utilities Inc. price-consensus-eps-surprise-chart | Essential Utilities Inc. Quote Operations and maintenance expenses increased 3.5% year over year to $153.6 million in the second quarter of 2026 from $148.5 million a year earlier. The rise was mainly caused by higher employee-related costs, including annual merit increases and increased medical claims, along with higher water and wastewater production expenses. Operating income reached $193.3 million, up 4.3% from $185.3 million a year earlier. Net income, however, declined 1.9% to $105.7 million from $107.8 million, reflecting higher interest expense and other cost pressures. Essential invested $662.2 million in regulated water and natural gas infrastructure during the first six months of 2026. The company remains on track to invest $1.7 billion in infrastructure for the full year.Rate awards and infrastructure surcharges secured so far in 2026 are expected to increase annual water revenues by $43.9 million and natural gas revenues by $12.7 million. Pending water and wastewater cases seek $79.7 million in incremental annual revenues, while a Pennsylvania natural gas case requests a $163.2 million increase. As of June 30, 2026, net property, plant and equipment totaled $14.75 billion, up from $14.26 billion at the end of 2025. Long-term debt, excluding the current portion, increased to $8.42 billion from $8.11 billion.The company had $960 million available under its credit lines, while the weighted average cost of fixed-rate long-term debt was 4.16%. Essential also raised its quarterly dividend 5.25% to 36.06 cents per share, payable on Sept. 1, 2026, to shareholders of record as of Aug. 11. The company reaffirmed its expectation for adjusted earnings growth of 5% to 7% annually from adjusted 2024 earnings of $1.97 per share through 2027. Its guidance continues to incorporate signed municipal water and wastewater acquisitions, excluding the pending DELCORA transaction. The Zacks Consensus Estimate is currently pegged at $2.21 per share.Essential also continues to expect its merger with American Water to close in the first quarter of 2027. The transaction has received regulatory approvals in Kentucky, Ohio and Virginia, while shareholders of both companies approved the merger-related proposals in February 2026. Essential currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. American Water Works Company Inc. AWK reported second-quarter 2026 adjusted earnings of $1.61 per share, which beat the Zacks Consensus Estimate of $1.59 by 1.3%. The bottom line increased 8.1% from $1.49 in the year-ago quarter.Revenues of $1.36 billion surpassed the Zacks Consensus Estimate of $1.28 billion by 6.2% and rose 6.2% year over year. The company added nearly 52,000 customer connections through acquisitions in the first half.California Water Service Group CWT reported second-quarter 2026 earnings of 93 cents per share, up 31% year over year. The figure beat the Zacks Consensus Estimate of 79 cents per share by 17.72%.Quarterly revenues rose 16.5% to $308.6 million and surpassed the Zacks Consensus Estimate of $277 million by 11.41%. Results benefited from regulatory catch-up revenues, rate changes and higher customer consumption, while infrastructure investment reached a record $147 million. American States Water AWR is slated to report second-quarter 2026 results on Aug. 5, after market close. The Zacks Consensus Estimate for AWR’s second-quarter EPS is pegged at 93 cents, implying an increase of 6.9% from the prior-year figure. The company has a dividend yield of 2.29%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Essential Utilities Inc. (WTRG) : Free Stock Analysis Report American Water Works Company, Inc. (AWK) : Free Stock Analysis Report California Water Service Group (CWT) : Free Stock Analysis Report American States Water Company (AWR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research