NYSE$CWT

California Water Service Group · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

California Water Service Group announced third quarter results impacted by delayed proposed decision from the CPUC on California Water Service Company’s pending 2021 general rate case.

California Water Service Group reported a decrease in net income and earnings per share for the third quarter of 2023 compared to the same period in 2022, primarily due to the delayed decision from the California Public Utilities Commission on California Water Service Company’s pending 2021 general rate case.

  • Net income attributable to Group was $34.4 million, compared to $55.9 million for the same quarter last year.
  • Diluted earnings per share were $0.60, down from $1.03 in the third quarter of 2022.
  • Operating revenue decreased by 4.3% to $255.0 million, mainly due to a decrease in Water Revenue Adjustment Mechanism and Modified Cost Balancing Account revenue.
  • Operating expenses increased by 5.0% to $211.5 million, driven by higher water production costs and other operations expenses.

Headline financials

Total Revenue

$253M

Previous: $238M+6.3%
EPS (adj)

$0.60

Previous: $1.03-41.7%
Capital Expenditures

-$274M

Previous: -$222M-23.4%
Free Cash Flow

-$240M

Previous: -$166M-44.2%
Net Income

$34.4M

Previous: $55.9M-38.4%
Operating Income

$43.5M

Previous: $64.9M-33.1%
Gross Profit

$91.5M

Previous: $169M-45.9%
Cash & Equivalents

$34.7M

Previous: $90.5M-61.6%
Total Assets

$4.04B

Previous: $3.81B+6.2%

Revenue & EPS history

Cal Water · Revenue · Quarterly

$253M

Q3 2023+6.3%vs Q3 2022
Beat estimate in 4 of 15 quarters(27%)
ActualEstimate

Forward guidance

The company is hopeful that meaningful progress will be made on the GRC before the end of the year.

Tailwinds

  • Appointment of a second judge on the GRC case is viewed as a promising development.

Headwinds

  • The delay in Cal Water’s GRC clearly had a temporary adverse impact on company results.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

-0.6%

Avg return

Earnings day

-0.0%

Avg return

5 days after

+0.9%

Avg return

30 days after

44%

30 / 68 earnings

Positive

+10.0%

Q3 2020

Best reaction

-10.3%

Q2 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-6.9%-5.2%-0.7%
Q4 2025-4.4%+0.7%-3.5%
Q3 2025-5.2%-0.9%-4.4%
Q1 2025-0.8%-1.6%-6.7%
Q4 2024-2.2%+1.3%+5.0%
Q3 2024-2.2%-0.4%-0.2%
Q2 2024+3.1%-0.9%+3.5%
Q1 2024+2.9%+5.5%+8.0%
Q4 2023-0.8%-1.2%+1.2%
Q3 2023+4.5%+5.0%+10.4%
Q2 2023-1.4%-1.4%-2.3%
Q1 2023-1.6%-2.1%+0.2%
Q4 2022-0.8%-2.8%+1.7%
Q3 2022+7.3%+5.3%+15.3%
Q2 2022+2.9%+3.7%+3.9%
Q1 2022-0.7%-1.4%+2.9%
Q4 2021-2.7%-1.9%+1.3%
Q3 2021+2.4%+4.7%+5.9%
Q2 2021+1.8%+4.4%+2.3%
Q1 2021-1.0%-0.7%-4.2%
Q4 2020-1.6%-3.4%+0.4%
Q3 2020+10.0%+15.6%+7.5%
Q2 2020-5.1%-5.5%-6.7%
Q1 2020-8.4%-8.2%-7.0%
Q4 2019-8.9%-2.4%-8.9%
Q3 2019+2.5%-2.1%-6.1%
Q2 2019+0.4%-2.1%+5.7%
Q1 2019-0.3%+0.9%+1.5%
Q4 2018+1.5%+2.1%+4.9%
Q3 2018+0.1%+4.5%+8.9%
Q2 2018+0.2%+0.2%+0.2%
Q1 2018-1.7%+1.0%+3.8%
Q4 2017-4.1%-6.7%-1.8%
Q3 2017+3.4%+0.8%+5.6%
Q2 2017+1.7%+1.7%-4.8%
Q1 2017-6.8%-6.5%-10.1%
Q4 2016+4.2%+3.5%-1.3%
Q3 2016-6.3%-4.4%+9.2%
Q2 2016+2.0%+0.4%-6.2%
Q1 2016-0.5%
Q4 2015+1.0%
Q3 2015-4.7%
Q2 2015-10.3%
Q1 2015-4.2%
Q4 2014+3.2%
Q3 2014+1.8%
Q2 2014-0.1%
Q1 2014-1.2%
Q4 2013+1.0%
Q3 2013+4.4%
Q2 2013-0.7%
Q1 2013-4.0%
Q4 2012+0.2%
Q3 2012-3.8%
Q2 2012-1.6%
Q1 2012+0.2%
Q4 2011-1.7%
Q3 2011-0.3%
Q2 2011-3.1%
Q1 2010-2.1%
Q1 2011+1.0%
Q4 2010+2.9%
Q4 2008+2.9%
Q3 2009-0.9%
Q3 2010-0.9%
Q4 2009+0.2%
Q2 2009+0.2%
Q2 2010+0.2%

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