BRYN MAWR, PA — Essential Utilities Inc. (NYSE: WTRG) reported net income of $616.4 million, or $2.20 per share, for 2025, compared with $595.3 million, or $2.17 per share, in 2024, as the utility increased rates, expanded infrastructure investment, and secured shareholder approval for a planned merger with American Water.
The company reported fourth-quarter net income of $132.7 million, or $0.47 per share, compared with $184.8 million, or $0.67 per share, in the same period a year earlier.
Essential said full-year revenue rose to $2.47 billion in 2025 from $2.09 billion in 2024, an increase of 18.6 percent.
The company attributed the increase primarily to regulatory recoveries, higher purchased gas costs, and increased volumes.
Chairman and Chief Executive Officer Christopher Franklin said the company also continued infrastructure investments and shareholder returns during the year.
“We continued our track record of achieving strong growth, which allowed us to once again increase the dividend and continue our infrastructure investment program,” Franklin said.
Essential invested more than $1.4 billion in 2025 to upgrade water and natural gas infrastructure and improve service across its operations.
The company said the spending includes projects to replace aging underground utility pipes and address PFAS contamination.
In its regulated water segment, revenue rose to $1.33 billion in 2025 from $1.22 billion the previous year, driven largely by higher rates.
Operations and maintenance expenses in the water segment increased to $405.0 million, compared with $381.1 million in 2024.
Essential’s regulated natural gas segment reported revenue of $1.12 billion in 2025, up from $843.0 million in 2024.
The increase was driven by higher rates, increased gas volumes, and higher purchased gas costs, the company said.
The company also reported quarterly revenue of $699.1 million in the fourth quarter, up from $604.4 million in the fourth quarter of 2024.
Essential’s board declared quarterly dividends of $0.3426 per share payable March 2, 2026, and June 1, 2026.
The company has paid a quarterly dividend for more than 80 consecutive years.
Essential said shareholders of both companies voted February 10, 2026, to approve the proposed merger with American Water Works Company Inc.
The merger remains subject to regulatory approvals and is expected to close in the first quarter of 2027.
Essential also reported acquiring three water and wastewater systems in 2025, adding more than 12,700 new customers.
The company said it has four additional signed purchase agreements for wastewater systems in Pennsylvania and Texas representing about $300 million in potential acquisitions.
Essential expects long-term earnings per share growth of 5 percent to 7 percent annually through 2027, based on adjusted 2024 earnings per share of $1.97.
For the latest news on everything happening in Chester County and the surrounding area, be sure to follow MyChesCo on Google News and MSN.