York Water Co.: Q4 FY2025 earnings call
What management said about Q4 FY2025, from the documents filed with the SEC on 3 March 2026: press release. Guidance figures: 1 new. The quarter’s numbers.
Key takeaways
- Revenue rose, net income slipped: Full-year 2025 operating revenues were $77,488,000, up $2,529,000. Net income was $20,058,000, down $267,000 from 2024. Source
- Customer growth and DSIC lifted revenue: The company attributed the full-year revenue increase mainly to customer base growth and revenues from the DSIC. Source
- Fourth-quarter revenue and net income rose: Fourth-quarter operating revenues were $19,472,000, up $606,000. Fourth-quarter net income was $5,167,000, up $25,000 from the prior year quarter. Source
- Costs and interest offset revenue gains: Higher operation and maintenance, depreciation, and interest on debt, plus lower AFUDC, more than offset the revenue increase, lower income taxes and the life insurance gain. Source
- 2025 capital spending reached $48.7 million: The company invested $48.7 million in capital projects during 2025, covering main extensions, a software upgrade, and routine infrastructure items. Source
- About $48 million a year planned: Management anticipates investments of approximately $48 million in each of 2026 and 2027, excluding acquisitions. Source
“President Hand reported that 2025 operating revenues of $77,488,000 increased $2,529,000, but net income of $20,058,000 decreased $267,000 compared to 2024.”
JT Hand, President and CEO
Guidance
| Area | Period | Figure | Against last quarter |
|---|---|---|---|
| Capital expenditure Source | 2026 and 2027 | approximately $48 million in each year, excluding acquisitions | New |
What changed from last quarter
- New guidance: Investment figures for 2026 and 2027 are given for the first time in these documents; the prior release gave only a 2025 estimate. Source
- New: A non-recurring gain on life insurance was recognized in the fourth quarter; the prior release did not mention it. Source
Full-year 2025 results
- Revenue rose, net income slipped: Full-year 2025 operating revenues were $77,488,000, up $2,529,000. Net income was $20,058,000, down $267,000 from 2024. Source
- Full-year EPS down $0.03: Basic and diluted EPS were $1.39 for 2025, down $0.03 from $1.42 in 2024. Average shares outstanding were 14,404 thousand for the year. Source
- Customer growth and DSIC lifted revenue: The company attributed the full-year revenue increase mainly to customer base growth and revenues from the DSIC. Source
- DSIC is a state-allowed charge: The DSIC is a Pennsylvania Public Utility Commission allowed charge that water utilities collect from customers for replacement of aging infrastructure. Source
Fourth-quarter 2025 results
- Fourth-quarter revenue and net income rose: Fourth-quarter operating revenues were $19,472,000, up $606,000. Fourth-quarter net income was $5,167,000, up $25,000 from the prior year quarter. Source
- Fourth-quarter EPS flat at $0.36: Basic and diluted EPS were $0.36 in the fourth quarter, the same as the prior year quarter. Source
- Life insurance gain recognized in quarter: The company recognized a non-recurring gain on life insurance, noted in both the fourth-quarter and full-year discussion. Source
“President Hand reported that York Water anticipates investments for 2026 and 2027 of approximately $48 million in each year, excluding acquisitions”
JT Hand, President and CEO
Costs, taxes and financing effects
- Costs and interest offset revenue gains: Higher operation and maintenance, depreciation, and interest on debt, plus lower AFUDC, more than offset the revenue increase, lower income taxes and the life insurance gain. Source
- Tax deductions lowered income taxes: Income taxes decreased because of higher deductions under the IRS tangible property regulations. Source
- Lower AFUDC reduced capitalized financing: AFUDC is the cost of debt and equity funds used to finance plant construction, and the allowance was lower in 2025. Source
2025 capital spending
- 2025 capital spending reached $48.7 million: The company invested $48.7 million in capital projects during 2025, covering main extensions, a software upgrade, and routine infrastructure items. Source
- Full-year spending above Q3 projection: The Q3 release reported $37.1 million invested through nine months and estimated $10.0 million more for 2025; the full year reached $48.7 million.
- Water and wastewater main replaced: The company replaced about 54,100 feet of water main and 1,800 feet of wastewater main to improve distribution and collection systems and reduce ongoing expenses. Source
“President Hand also reported that for the fourth quarter of 2025 operating revenues increased $606,000 and net income increased $25,000 compared to the fourth quarter of 2024.”
JT Hand, President and CEO
Capital plan for 2026 and 2027
- About $48 million a year planned: Management anticipates investments of approximately $48 million in each of 2026 and 2027, excluding acquisitions. Source
- Named projects for 2026 and 2027: Listed work includes main extensions, the software upgrade, water and wastewater treatment plant construction, and water tank replacement. Source
- Plan tied to customer growth: The investment is described as supporting safe, adequate, and reliable drinking water and proper wastewater handling for the growing customer base. Source
Dividends and share count
- Dividends declared per share rose: Dividends declared were $0.2280 per share in the fourth quarter, against $0.2192 a year earlier; the full-year total was $0.8856, against $0.8516. Source
- Average share count edged higher: Average common shares outstanding were 14,426 thousand in the fourth quarter, against 14,366 thousand, and 14,404 thousand for the year, against 14,347 thousand. Source
- Nine-month dividends were higher: The Q3 release showed dividends declared of $0.6576 per share for the first nine months of 2025, against $0.6324 for the same period of 2024.
Coming up, as management said on 3 March 2026
- Named projects for 2026 and 2027: Planned 2026 and 2027 work includes main extensions, the enterprise software upgrade, water and wastewater treatment plant construction, and water tank replacement. Source
Figures management reported
| Figure | Reported |
|---|---|
| Capital plan Source | approximately $48 million in each of 2026 and 2027, excluding acquisitions |
| Capital plan Source | $48.7 million invested in 2025 |
Risks management discussed
- Operational: Higher operation and maintenance expenses and depreciation partly offset the fourth-quarter revenue increase. Source
- Financial: Higher interest on debt and lower AFUDC were among the items that offset revenue gains in 2025. Source
Earlier plans management reported on
- Not stated: The Q3 release estimated $10.0 million more in 2025 after $37.1 million in nine months; full-year 2025 investment was $48.7 million.
Other quarters
Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.