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Regulated Businesses

- Pennsylvania

- New Jersey

- Missouri

- Illinois

- California

- Other States

Total Revenue

f9236ec35050f343e69f6a050261436aafc39d4405347cc09b334b9629e0e950

Billed water services volumes for Residential customers (millions of gallons)

Billed water services volumes for Commercial customers (millions of gallons)

Billed water services volumes for Industrial customers (millions of gallons)

Billed water services volumes for Fire service, public and other (millions of gallons)

Total billed water services volumes (millions of gallons)

Total new customers from acquisitions (customers)

New wastewater customers from Granite City acquisition (customers)

New wastewater customers in surrounding communities from the Granite City acquisition (customers)

New customers from organic growth in existing systems (customers)

7579f7d289545a759d9d5e21dd48eb2734a06c026831605b92b9bd01d816e348

Net income (USD, millions)

Depreciation and amortization (USD, millions)

Deferred income taxes and amortization of investment tax credits (USD, millions)

Provision for losses on accounts receivable (USD, millions)

Pension and non-pension postretirement benefits (USD, millions)

Other non-cash, net (USD, millions)

Pension contributions (USD, millions)

Net cash provided by operating activities (USD, millions)

Capital expenditures (USD, millions)

Acquisitions, net of cash acquired (USD, millions)

Removal costs from property, plant and equipment retirements, net (USD, millions)

Net cash used in investing activities (USD, millions)

Proceeds from long-term debt, net of discount (USD, millions)

Repayments of long-term debt (USD, millions)

Net proceeds from common stock financing (USD, millions)

Net short-term borrowings (repayments) with maturities less than three months (USD, millions)

Advances and contributions in aid of construction, net of refunds (USD, millions)

Debt issuance costs (USD, millions)

Dividends paid (USD, millions)

Other, net (Financing) (USD, millions)

Net cash provided by financing activities (USD, millions)

Net (decrease) increase in cash, cash equivalents and restricted funds (USD, millions)

Receivables and unbilled revenues (USD, millions)

Income tax receivable (USD, millions)

Accounts payable and accrued liabilities (USD, millions)

Accrued taxes (USD, millions)

Other assets and liabilities, net (USD, millions)

Cash, cash equivalents and restricted funds at beginning of period (USD, millions)

Cash, cash equivalents and restricted funds at end of period (USD, millions)

Capital expenditures acquired on account but unpaid as of the end of period (USD, millions)

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Operating Revenues (USD, millions)

Operation and Maintenance Expense (USD, millions)

Depreciation and Amortization (USD, millions)

General Taxes (USD, millions)

Total Operating Expenses, Net (USD, millions)

Operating Income (USD, millions)

Interest Expense (USD, millions)

Interest Income (USD, millions)

Non-operating Benefit Costs, Net (USD, millions)

Other, Net (USD, millions)

Total Other (Expense) Income (USD, millions)

Income Before Income Taxes (USD, millions)

Provision for Income Taxes (USD, millions)

Net Income Attributable to Common Shareholders (USD, millions)

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ec8afd5521b400c918af269cd750bfdb97ca776b5957c63fd0136b46c9ecbccc

Adjustments for Non-Cash Items [USD, Millions]

Stock-Based Compensation [USD, Millions]

Changes in Working Capital [USD, Millions]

Capital Expenditures (CapEx) [USD, Millions]

Proceeds from Debt [USD, Millions]

Repayments of Debt [USD, Millions]

Share Repurchases [USD, Millions]

Dividend Payments [USD, Millions]

Net Change in Cash [USD, Millions]

8fa23ecb614352d9175ef038d537492565269059432bd0e8aa2ea63ad45d6ae5

The jump in operating cash flow in **FY 2023** was driven by several key factors. **Changes in deferred taxes** played a major role due to the settlement of a deferred tax liability from the sale of the company’s New York regulated operations in early 2022. Additionally, **changes in working capital** contributed significantly because estimated tax payments related to the sale of the Homeowner Services Group and New York operations, which amounted to **$280 million** in FY 2022, did not recur in FY 2023. Lastly, an **increase in net income** from **$820 million** in FY 2022 to **$944 million** in FY 2023 further boosted the operating cash flow.  **[0001410636-24-000050_awk-20231231.htm:120]** **[0001410636-24-000050_awk-20231231.htm:146]** 

What drove the jump in operating cash flow in FY 2023?

Operating cash flow nearly doubled—from **$345 million** in Q2 2024 to **$679 million** in Q3 2024—due to a combination of factors. Although the documents detail these dynamics over the nine‐month period ending in September 2024, the same drivers likely played a significant role in Q3. Specifically, an increase in **net income** (rising from **$773 million** to **$812 million**) helped boost operating cash, and **improvements in non-cash activities** (adding an additional **$28 million**) further strengthened the cash flows. These positive impacts were partially offset by factors such as lower deferred income tax benefits and changes in working capital. In summary, the synergy of higher net income and better non-cash adjustments resulted in the substantial increase in operating cash flow in Q3 2024 compared to Q2 2024.  **[0001410636-24-000134_awk-20240630.htm:8]** **[0001410636-24-000187_awk-20240930.htm:8]** **[0001410636-24-000187_awk-20240930.htm:73]** 

Why did operating cash flow nearly double from Q2 2024 to Q3 2024?

What contributed to free cash flow nearly breaking even in Q3 2024?

61bf21df0b78a55b5299aed81e417a90c854804e00516a25a1a14334da99b8b8

In Q3 2024, operating revenues increased by **$156 million** compared to Q3 2023 due to several key factors. The primary driver was **authorized rate increases**—including new infrastructure surcharges—contributing **$83 million** to the boost. Additionally, **acquisitions and organic growth** added **$11 million**, while a **reduction in amortization of Excess Accumulated Deferred Income Taxes (EADIT)** provided a benefit of **$7 million**. Finally, **stronger demand** contributed an extra **$20 million** to the overall revenue jump.  **[0001410636-24-000187_awk-20240930.htm:48]** **[0001193125-24-247634_d821194dex991.htm:2]** **[0001410636-24-000187_awk-20240930.htm:66]** 

Why did Operating Revenues increase in Q3 2024?

The increase in Q3 2024 operating income was primarily driven by a significant **rise in operating revenues**—an increase of **$124 million** due to authorized revenue increases from completed general rate cases and infrastructure proceedings for the recovery of incremental capital and acquisition investments. Although **operating expenses** also increased by **$63 million**, the net effect resulted in a **$65 million** bump in operating income.  **[0001410636-24-000187_awk-20240930.htm:7]** **[0001193125-24-247634_d821194dex991.htm:2]** 

What drove the bump in Operating Income in Q3 2024?

American Water Works Company, Inc.'s **Q1 2024** increase in interest expense is not attributed to a specific cause in the documents. However, the documents note that the company completed a **$1.4 billion debt issuance** in February 2024, which included **$700 million** of 10-year notes at **5.15%** and **$700 million** of 30-year notes at **5.45%**. This additional debt likely contributed to the rise in interest expense during the quarter.  **[0001410636-24-000093_ex991-3312024q1pressrelease.htm:10]** **[0001410636-24-000092_awk-20240331.htm:7]** **[0001410636-24-000092_awk-20240331.htm:51]** **[AWK_3382320_1]** **[AWK_3382320_6]** 

What caused Interest Expense to rise in Q1 2024?

The full-year net income of **$944 million** was driven by several factors across the entire year, whereas the Q4 net income was **$171 million**.  **[0001410636-24-000050_awk-20231231.htm:144]**  Dividing the full-year figure by four gives an approximate quarterly average of **$236 million**, indicating that **Q4's performance was below the average quarter** and does not appear to be exceptional on its own.  **[0001410636-24-000050_awk-20231231.htm:144]** **[0001410636-24-000050_awk-20231231.htm:99]** 

Is the full-year Net Income figure reflecting an exceptional quarter performance?

Based on the provided information, **no specific reasons were given for the slight dip in Operating Revenues in Q1 2024 compared to Q4 2023**. The documents only detail the factors that contributed to the **increase from Q1 2023 to Q1 2024**—namely, authorized rate increases, acquisitions and organic growth, and reduced amortization of EADIT.  **[0001410636-24-000093_ex991-3312024q1pressrelease.htm:10]** **[0001410636-24-000092_awk-20240331.htm:7]**  There is no explanation for the quarter‐on‐quarter decline between Q4 2023 and Q1 2024 in the available documents.  **[0001410636-24-000050_awk-20231231.htm:144]** **[0001410636-24-000092_awk-20240331.htm:51]** 

Why did Operating Revenues dip slightly in Q1 2024?

0fef601242a9205be56567dcc55289996f5cec6bb51fa42a1fe067dadf633881

American Water Works Company Inc (AWK)

Financials