Welcome to our dedicated page for California Water Service news (Ticker: CWT), a resource for investors and traders seeking the latest updates and insights on California Water Service stock.
California Water Service (Cal Water), a subsidiary of the California Water Service Group, is the largest investor-owned American water utility west of the Mississippi River. Founded in 1926 and headquartered in San Jose, California, Cal Water serves over 472,000 customers across 28 customer and operations centers in the state. The company is dedicated to the production, treatment, storage, distribution, and sale of water for residential, commercial, and industrial use.
Cal Water operates through regulated and unregulated businesses spread across California, New Mexico, Washington, Hawaii, and Texas. Its regulated utilities provide essential water services to millions, ensuring safe and reliable water supply, while unregulated subsidiaries offer utility services to private companies and municipalities.
Recent notable achievements include the assignment of a $1.21 billion investment from 2021 through 2024 for water infrastructure projects. This investment aims to enhance the reliability and safety of water services, addressing critical needs such as wildfire hardening and water supply reliability. Additionally, the California Public Utilities Commission (CPUC) recently approved a progressive rate design to benefit low-income customers and promote water conservation.
Financially, Cal Water faced challenges in 2023 due to regulatory delays affecting rate decisions. However, the company remains resilient with strong liquidity, having $85 million in cash and substantial short-term borrowing capacity. Despite a slight decrease in operating revenue in 2023, Cal Water managed to positively impact net income through increased income tax benefits and net other income.
Cal Water is also proactive in meeting environmental regulations, particularly concerning per- and polyfluoroalkyl substances (PFAS). The company has committed $215 million to PFAS treatment, ensuring compliance with new federal water quality standards. Additionally, the company has taken legal action against PFAS manufacturers to mitigate financial burdens on its customers.
The company’s community impact extends beyond water services. Cal Water secured $83 million to assist customers with past-due balances incurred during the COVID-19 pandemic, demonstrating a commitment to customer support during challenging times.
Cal Water's commitment to sustainability is evident in their recent ESG initiatives, targeting a 63% reduction in Scope 1 and Scope 2 greenhouse gas emissions by 2035. This aligns with global efforts to limit temperature increases and highlights Cal Water’s dedication to environmental responsibility.
California Water Service Group, trading on the New York Stock Exchange under the symbol CWT, remains a key player in the water utility industry, providing essential services and maintaining a focus on sustainability, infrastructure investment, and customer well-being.
California Water Service Group (CWT) has promoted Sophie M. James to Chief Water Quality Officer, effective January 1, 2022. This new role underscores the company's commitment to exceeding state and federal drinking water standards. James has extensive experience, having worked at California Water Service since 2006 in various capacities including Director of Water Quality. She holds advanced degrees and certifications in chemistry and water treatment. This appointment strengthens the company's focus on delivering safe and clean water to over 2 million customers across multiple states.
California Water Service (CWT) has submitted a $20.8 million application to the State Water Resources Control Board to provide financial relief to customers struggling to pay water bills due to the COVID-19 pandemic. This funding will allow Cal Water to forgive past-due balances from March 2020 to June 2021. The company expects approval by early 2022 and will automatically apply credits to affected customers' accounts. Additionally, they offer interest-free payment plans for other outstanding balances and a Customer Assistance Program for income-eligible clients.
California Water Service has launched the eighth annual Cal Water H2O Challenge, encouraging K-12 students to develop solutions for local water issues. This year, the competition, in partnership with the California Association of Science Educators and DoGoodery, opens to classrooms and school clubs across Cal Water service areas. Participants can win up to $3,500, with additional scholarships and prizes. The program aims to engage students, enhance scientific literacy, and address water conservation.
The challenge has seen nearly 300 classrooms participate, adapting to hybrid learning environments.
California Water Service Group (CWT) reported a net income of $97.6 million or $1.91 per diluted share for the first nine months of 2021, up from $81.3 million or $1.66 per diluted share in the same period of 2020. This $16.3 million increase is largely due to rate relief from the 2018 California General Rate Case. However, third quarter net income dropped to $62.5 million from $96.4 million year-over-year, attributed to prior GRC rate relief.
Operating revenue also decreased by 15.6% to $256.7 million. Cash dividends remain stable at $0.23 per share.
California Water Service Group (CWT) has declared its 307th consecutive quarterly dividend of $0.23 per share, payable on November 19, 2021, to stockholders of record by November 8, 2021. The company, which provides water and wastewater services to over 2 million people across five states, including California and Texas, continues to demonstrate commitment to shareholder returns.
California Water Service Group (CWT) will release its third quarter 2021 earnings on October 28, 2021, at 9:00 a.m. ET, followed by a conference call at 11:00 a.m. ET. Investors can join the call by dialing 1-833-832-5130 or by accessing the live audio webcast. The call will feature key executives, including President and CEO Martin Kropelnicki. A replay will be available after the call. CWT provides water services to over 2 million customers across multiple states, including California, Hawaii, New Mexico, Texas, and Washington.
California Water Service Group (CWT) has been recognized as a Great Place to Work for six consecutive years by the Great Place to Work® Institute. This accolade follows the company's recent honors, including being named a Top Workplace in the Bay Area and receiving the Most Valuable Corporate COVID-19 Response award. The certification process involves a Culture Audit and a Trust Index based on employee feedback. President and CEO Martin A. Kropelnicki highlighted the company's commitment to flexibility during the pandemic while providing reliable water service to over two million customers.
California Water Service (CWT) has launched its 2021 Firefighter Grant Program, increasing the funds available to local fire departments to $175,000, an 18% increase from 2020. Grants assist fire departments with costs related to fire protection, equipment, and training. Since the program's inception in 2019, CWT has allocated over $300,000 to 17 departments, with average grants around $16,000. The application deadline is October 29, 2021. This initiative is part of CWT's philanthropic efforts and will not impact customer rates.
California Water Service Group (CWT) has launched a new employee charitable donation matching program to bolster support for local communities and non-profits. Under this initiative, the company will match employee donations up to $250 annually until the budget is exhausted. This effort aligns with the company's ongoing commitment to enhance community quality of life. President and CEO Martin A. Kropelnicki highlighted the program as a way to honor employees' generosity, particularly in response to challenges such as the pandemic and natural disasters.
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