10-K · February 26, 2026
Essential Utilities reported consolidated operating revenues of $2,474,615,000 and net income of $616,369,000 (diluted EPS $2.20) for 2025, driven by Regulated Water revenues of $1,326,629,000 (53.6%) and Regulated…
Earnings analysis · 10-Q
WTRG earnings analysis
Filed May 7, 2026 · Our reading of the company's report
The latest report
Essential Utilities, Inc. reported strong revenue growth in Q1 2026, with revenues rising 10.0% to $861.8 million, significantly outperforming estimates. However, EPS fell short of expectations, coming in at $0.79…
Read full summary
Essential Utilities, Inc. reported strong revenue growth in Q1 2026, with revenues rising 10.0% to $861.8 million, significantly outperforming estimates. However, EPS fell short of expectations, coming in at $0.79 versus $0.90, reflecting increased operational costs including significant pre-merger expenses and higher gas purchase costs. The company reaffirmed its long-term EPS growth target of 5-7%.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.79
What stood out
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Strong Revenue Growth
Revenue increased 10.0% year-over-year to $861.8 million, beating estimates of $780 million.
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EPS Misses Estimates
Reported EPS was $0.79, missing the estimate of $0.90 by 12.22%.
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Pre-Merger Expenses Impacting Profitability
Pre-merger expenses totaled $16.3 million, contributing to increased operational costs.
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Increase in Operating Cash Flow
Net cash flows from operating activities were $265.4 million, despite a decrease from $299.5 million in Q1 2025.
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Liquidity Improvements
Cash and equivalents increased to $75.9 million from $34.8 million as of December 31, 2025.
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Successful Infrastructure Investments
Spent $269.2 million on capital improvements, demonstrating ongoing commitment to infrastructure development.
What to watch
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Increased Operational Costs
Operations and maintenance expenses rose by 27.6% to $175.8 million, affecting overall profitability.
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Market Risk From Gas Prices
Purchased gas increased by 29.2% year-over-year, impacting cost structure and profitability.
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Regulatory and Legal Risks from Merger
Ongoing merger with American Water may face regulatory hurdles that could delay or impact financial outcomes.
Management's outlook
Long-term EPS growth reaffirmed at 5-7%.
Earlier filings 4
10-Q · November 5, 2025
Essential Utilities reported operating revenues of $476,971,000 and net income of $92,077,000 for the three months ended September 30, 2025, up versus the year‑ago quarter (revenues $435,255,000; net income…
10-Q · May 12, 2025
Essential Utilities reported Q1 2025 operating revenues of $783,626,000 and diluted EPS of $1.03, up vs. the year‑ago quarter (revenues $612,069,000; EPS $0.97). Operating income rose to $338,905,000 (operating margin…
10-K · February 27, 2025
Essential Utilities (WTRG) reported fiscal 2024 operating revenues of $2,086,113,000 and net income of $595,314,000 (diluted EPS $2.17), driven by its Regulated Water ($1,221,880,000; 58.6%) and Regulated Natural Gas…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.