York Water Co.: Q1 FY2026 earnings call
What management said about Q1 FY2026, from the documents filed with the SEC on 5 May 2026: press release. The quarter’s numbers.
Key takeaways
- Revenue and net income both rose: Operating revenues were $20,074,000 and net income $4,814,000, up $1,618,000 and $1,176,000 from the first quarter of 2025. Source
- Diluted EPS rose $0.08: Basic and diluted EPS was $0.33, up $0.08 from $0.25 in the same period last year. Source
- Operating costs rose, partly offsetting: Higher operation and maintenance expenses, depreciation, and interest on debt partly offset the revenue and tax gains. Source
- Rate increase effective March 1: Revenue rose primarily because of the rate increase effective March 1, 2026. Source
- DSIC reset to zero offset revenue: The Distribution System Improvement Charge was reset to zero, partly offsetting the rate increase in the quarter. Source
- $9.8 million invested in first quarter: Capital projects in the first three months covered main extensions and an enterprise software upgrade, totaling $9.8 million. Source
“President Hand reported that first quarter operating revenues of $20,074,000 increased $1,618,000, and net income of $4,814,000 increased $1,176,000 compared to the first quarter of 2025.”
JT Hand, President & CEO
Guidance
| Area | Period | Figure | Against last quarter |
|---|---|---|---|
| Capital expenditures Source | 2026, additional to first-quarter spending, excluding acquisitions | an additional $38.1 million |
What changed from last quarter
- New: Rates increased effective March 1, 2026, primarily driving higher revenue, partly offset by the DSIC reset to zero. Source
- New: Company invested $470,000 to acquire two wastewater systems in the quarter. Source
Results and growth drivers
- Revenue and net income both rose: Operating revenues were $20,074,000 and net income $4,814,000, up $1,618,000 and $1,176,000 from the first quarter of 2025. Source
- Diluted EPS rose $0.08: Basic and diluted EPS was $0.33, up $0.08 from $0.25 in the same period last year. Source
- Customer growth added to revenue: Growth in the customer base also added to revenues, according to the company. Source
Costs, taxes and other income
- Operating costs rose, partly offsetting: Higher operation and maintenance expenses, depreciation, and interest on debt partly offset the revenue and tax gains. Source
- Income taxes fell on IRS deductions: Income taxes decreased because of higher deductions under the IRS tangible property regulations. Source
- Prior report cited life insurance gain: The March release described a non-recurring gain on life insurance. The first-quarter release does not mention one.
“The increased revenue and lower income taxes were partially offset by higher operation and maintenance expenses, depreciation, and interest on debt.”
York Water Co., press release
Rates and the DSIC charge
- Rate increase effective March 1: Revenue rose primarily because of the rate increase effective March 1, 2026. Source
- DSIC reset to zero offset revenue: The Distribution System Improvement Charge was reset to zero, partly offsetting the rate increase in the quarter. Source
- DSIC charge explained: Management described the DSIC as a Pennsylvania PUC-allowed charge water utilities collect to replace aging infrastructure. Source
Capital spending and projects
- $9.8 million invested in first quarter: Capital projects in the first three months covered main extensions and an enterprise software upgrade, totaling $9.8 million. Source
- Routine infrastructure work also funded: First-quarter spending also covered replacements and improvements to infrastructure and routine items. Source
- Enterprise software upgrade continues: Company says the enterprise software upgrade is continuing, alongside routine improvements to pipes, service lines, and other facilities. Source
- Investments aim at reliable water supply: Company says the spending is meant to ensure a safe, adequate, and reliable supply of drinking water. Source
Dividends, shares and customer growth
- Dividends declared per share rose: Dividends declared per common share were $0.2280, compared with $0.2192 a year earlier. Source
- Average share count edged up: Average common shares outstanding were 14,438 thousand, compared with 14,381 thousand a year earlier. Source
- Investment tied to customer growth: Company ties the wastewater and drinking water investment to its growing customer base. Source
Prior report background
- 2025 revenue up, net income down: The March release said 2025 revenue rose $2,529,000 to $77,488,000, while net income fell $267,000 to $20,058,000.
- Fourth quarter 2025 results: Fourth quarter 2025 revenue rose $606,000 and net income rose $25,000; EPS was $0.36, the same as the prior-year quarter.
- 2025 capital spending and replacements: The March release put 2025 capital investment at $48.7 million and noted about 54,100 feet of water main replaced.
Figures management reported
| Figure | Reported |
|---|---|
| Capital plan Source | $38.1 million additional in 2026, excluding acquisitions |
| Rate changes Source | increase in rates effective March 1, 2026 |
| Customer growth Source | growth described, no figure given |
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.