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California Water (CWT) Q4 Earnings & Sales Surpass Estimates
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California Water Service Group (CWT - Free Report) recorded fourth-quarter 2022 operating earnings per share (EPS) of 35 cents, which surpassed the Zacks Consensus Estimate of 22 cents by 59.1%. The bottom line improved 400% from the year-ago quarter’s 7 cents.
For 2022, CWT reported earnings of $1.77 per share, down 9.7% from $1.96 in the previous year.
Total Revenues
Operating revenues for fourth-quarter totaled $200.9 million, which surpassed the Zacks Consensus Estimate of $180 million by 11.6%. The top line improved 16% from $173.3 million in the prior-year quarter.
Total revenues for 2022 came in at $846.4 million, up 7% from $790.9 million in 2021.
California Water Service Group Price, Consensus and EPS Surprise
Due to increased operational costs, California Water’s total operating expenses in the fourth quarter were $174.6 million, up 7.2% from the year-ago quarter’s $162.9 million.
Net operating income in the fourth quarter was $26.3 million, up 150.5% from the year-ago quarter’s $10.5 million.
Net interest expenses were $11.1 million, down 1.8% from the year-ago quarter’s $11.3 million.
Financial Update
As of Dec 31, 2022, CWT had cash and cash equivalents of $62.1 million compared with $78.4 million as of Dec 31, 2021.
As of Dec 31, 2022, California Water’s net long-term debt was $1,052.5 million, down 0.2% from $1,055.8 million as of Dec 31, 2021.
Subsidiaries' infrastructure investment was $327.8 million in 2022 compared with $293.2 million in 2021.
Guidance
In 2023, CWT will no longer be decoupled. The company expects to re-experience revenue and production cost variability this year.
CWT had proposed CPUC of spending $1 billion on water infrastructure investments in the 2022-2024 time period.
SJW Group (SJW - Free Report) reported fourth-quarter 2022 adjusted earnings of $1.09 per share, beating the Zacks Consensus Estimate of $1.03 by 5.8%.
The Zacks Consensus Estimate for 2023 EPS is $2.47, implying a year-over-year increase of 2.1%. It had delivered an average earnings surprise of 5.6% in the last four quarters.
American Water Works Company (AWK - Free Report) reported fourth-quarter 2022 operating EPS of 81 cents, which surpassed the Zacks Consensus Estimate of 76 cents by 6.6%.
Long-term (three- to five-year) earnings growth of American Water Works is pegged at 8.08%. The Zacks Consensus Estimate for AWK’s 2023 EPS is $4.77, indicating a 5.8% increase year over year.
Essential Utilities Inc. (WTRG - Free Report) reported fourth-quarter 2022 operating EPS of 44 cents, which lagged the Zacks Consensus Estimate of 45 cents by 2.2%.
Essential Utilities’ long-term earnings growth is pegged at 6%. The Zacks Consensus Estimate for WTRG’s 2023 EPS is $1.88, indicating a 6.2% increase year over year.
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California Water (CWT) Q4 Earnings & Sales Surpass Estimates
California Water Service Group (CWT - Free Report) recorded fourth-quarter 2022 operating earnings per share (EPS) of 35 cents, which surpassed the Zacks Consensus Estimate of 22 cents by 59.1%. The bottom line improved 400% from the year-ago quarter’s 7 cents.
For 2022, CWT reported earnings of $1.77 per share, down 9.7% from $1.96 in the previous year.
Total Revenues
Operating revenues for fourth-quarter totaled $200.9 million, which surpassed the Zacks Consensus Estimate of $180 million by 11.6%. The top line improved 16% from $173.3 million in the prior-year quarter.
Total revenues for 2022 came in at $846.4 million, up 7% from $790.9 million in 2021.
California Water Service Group Price, Consensus and EPS Surprise
California Water Service Group price-consensus-eps-surprise-chart | California Water Service Group Quote
Operational Update
Due to increased operational costs, California Water’s total operating expenses in the fourth quarter were $174.6 million, up 7.2% from the year-ago quarter’s $162.9 million.
Net operating income in the fourth quarter was $26.3 million, up 150.5% from the year-ago quarter’s $10.5 million.
Net interest expenses were $11.1 million, down 1.8% from the year-ago quarter’s $11.3 million.
Financial Update
As of Dec 31, 2022, CWT had cash and cash equivalents of $62.1 million compared with $78.4 million as of Dec 31, 2021.
As of Dec 31, 2022, California Water’s net long-term debt was $1,052.5 million, down 0.2% from $1,055.8 million as of Dec 31, 2021.
Subsidiaries' infrastructure investment was $327.8 million in 2022 compared with $293.2 million in 2021.
Guidance
In 2023, CWT will no longer be decoupled. The company expects to re-experience revenue and production cost variability this year.
CWT had proposed CPUC of spending $1 billion on water infrastructure investments in the 2022-2024 time period.
Zacks Rank
Currently, CWT carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Other Releases
SJW Group (SJW - Free Report) reported fourth-quarter 2022 adjusted earnings of $1.09 per share, beating the Zacks Consensus Estimate of $1.03 by 5.8%.
The Zacks Consensus Estimate for 2023 EPS is $2.47, implying a year-over-year increase of 2.1%. It had delivered an average earnings surprise of 5.6% in the last four quarters.
American Water Works Company (AWK - Free Report) reported fourth-quarter 2022 operating EPS of 81 cents, which surpassed the Zacks Consensus Estimate of 76 cents by 6.6%.
Long-term (three- to five-year) earnings growth of American Water Works is pegged at 8.08%. The Zacks Consensus Estimate for AWK’s 2023 EPS is $4.77, indicating a 5.8% increase year over year.
Essential Utilities Inc. (WTRG - Free Report) reported fourth-quarter 2022 operating EPS of 44 cents, which lagged the Zacks Consensus Estimate of 45 cents by 2.2%.
Essential Utilities’ long-term earnings growth is pegged at 6%. The Zacks Consensus Estimate for WTRG’s 2023 EPS is $1.88, indicating a 6.2% increase year over year.