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Connecticut Water (CTWS) Tops Q2 Earnings, Revenues Fall
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Connecticut Water Service Inc. reported second-quarter 2016 earnings of 89 cents per share, which surpassed the Zacks Consensus Estimate of 70 cents by 27.1%. Reported earnings also improved 15.6% year over year.
In the quarter under review, Connecticut Water’s total revenue was $27.6 million, down 2.1% year over year.
Highlights of the release
In the reported quarter, the company’s total operating expenses were $15.02 million, down nearly 11% year over year.
Connecticut Water’s quarterly operating income increased 12.7% year over year to $11.2 million.
During the quarter, the board of directors of Connecticut Water Service approved a 5.6% increase in its annualized cash dividend, raising the quarterly amount to 28.25 cents per share for an annualized dividend of $1.13.
As of Jun 30, 2016, Connecticut Water’s current assets were $30.9 million, compared with $35.7 million as of Jun 30, 2015.
Net Utility Plant was worth $568.4 million as of Jun 30, 2016, compared with $515.4 million as of Jun 30, 2015.
Long-term debt as of Jun 30, 2016, was $200.9 million, compared with $177.3 million as of Jun 30, 2015.
Peer Releases
American Water Works Company’s (AWK - Free Report) second-quarter earnings per share of 77 cents were 6.9% higher than the Zacks Consensus Estimate of 72 cents.
Aqua America Inc.’s second-quarter earnings of 33 cents per share were on par with the Zacks Consensus Estimate.
California Water Service Group’s (CWT - Free Report) second-quarter 2016 operating earnings per share of 24 cents lagged the Zacks Consensus Estimate of 26 cents by 7.69%.
Our View
Connecticut Water Service’s earnings per share surpassed the Zacks Consensus Estimate and the year-ago figure primarily due to robust contribution from its regulated Water Operations segment.
The company continues to strengthen its existing infrastructure through regular capital investment, a must in the water utility space. During the first half of 2016, the company added $28.6 million of utility assets compared with $14.3 million in the first half of 2015.
Strategic acquisition continues to be a part of this water utility’s growth strategy. During the second quarter, the company entered into an agreement to acquire Heritage Village Water Company, which is expected to close by the end of this year and boost its customer base by 8,200.
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Connecticut Water (CTWS) Tops Q2 Earnings, Revenues Fall
Connecticut Water Service Inc. reported second-quarter 2016 earnings of 89 cents per share, which surpassed the Zacks Consensus Estimate of 70 cents by 27.1%. Reported earnings also improved 15.6% year over year.
Total Revenue
In the quarter under review, Connecticut Water’s total revenue was $27.6 million, down 2.1% year over year.
Highlights of the release
In the reported quarter, the company’s total operating expenses were $15.02 million, down nearly 11% year over year.
Connecticut Water’s quarterly operating income increased 12.7% year over year to $11.2 million.
During the quarter, the board of directors of Connecticut Water Service approved a 5.6% increase in its annualized cash dividend, raising the quarterly amount to 28.25 cents per share for an annualized dividend of $1.13.
CONN WATER SVC Price, Consensus and EPS Surprise
CONN WATER SVC Price, Consensus and EPS Surprise | CONN WATER SVC Quote
Financial Update
As of Jun 30, 2016, Connecticut Water’s current assets were $30.9 million, compared with $35.7 million as of Jun 30, 2015.
Net Utility Plant was worth $568.4 million as of Jun 30, 2016, compared with $515.4 million as of Jun 30, 2015.
Long-term debt as of Jun 30, 2016, was $200.9 million, compared with $177.3 million as of Jun 30, 2015.
Peer Releases
American Water Works Company’s (AWK - Free Report) second-quarter earnings per share of 77 cents were 6.9% higher than the Zacks Consensus Estimate of 72 cents.
Aqua America Inc.’s second-quarter earnings of 33 cents per share were on par with the Zacks Consensus Estimate.
California Water Service Group’s (CWT - Free Report) second-quarter 2016 operating earnings per share of 24 cents lagged the Zacks Consensus Estimate of 26 cents by 7.69%.
Our View
Connecticut Water Service’s earnings per share surpassed the Zacks Consensus Estimate and the year-ago figure primarily due to robust contribution from its regulated Water Operations segment.
The company continues to strengthen its existing infrastructure through regular capital investment, a must in the water utility space. During the first half of 2016, the company added $28.6 million of utility assets compared with $14.3 million in the first half of 2015.
Strategic acquisition continues to be a part of this water utility’s growth strategy. During the second quarter, the company entered into an agreement to acquire Heritage Village Water Company, which is expected to close by the end of this year and boost its customer base by 8,200.
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 >>