NYSE$WTRG

Essential Utilities Inc · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Essential Utilities reported an increase in revenue driven by rates, surcharges, and customer growth in the regulated water segment, offset by decreased natural gas volume due to warm weather.

Essential Utilities reported a net income of $191.4 million and earnings per share of $0.72 for the first quarter of 2023. Revenues increased by 3.9% to $726.5 million compared to the first quarter of 2022. The company reaffirms its full-year earnings per share guidance.

  • Net income reached $191.4 million, with earnings per share at $0.72 for Q1 2023.
  • Revenues increased by 3.9% to $726.5 million compared to Q1 2022, driven by rates, surcharges, and customer growth in the regulated water segment.
  • Operations and maintenance expenses decreased by 3.2% to $138.0 million in Q1 2023.
  • The company invested approximately $243.7 million in infrastructure improvements during the first three months of the year.

Headline financials

Total Revenue

$726M

Previous: $699M+3.9%
EPS (adj)

$0.72

Previous: $0.76-5.3%
Capital Expenditures

-$244M

Previous: -$233M-4.5%
Free Cash Flow

-$52.4M

Previous: -$34M-54.4%
Net Income

$191M

Previous: $199M-4.0%
Operating Income

$225M

Previous: $228M-0.9%
Gross Profit

$726M

Previous: $699M+3.9%
Cash & Equivalents

$20.1M

Previous: $58.3M-65.4%
Total Assets

$15.8B

Previous: $14.9B+6.3%
Stock-Based Comp

$3.42M

Previous: $2.73M+25.3%

Revenue & EPS history

Essential Utilities · Revenue · Quarterly

$726M

Q1 2023+3.9%vs Q1 2022
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

Essential Utilities · $709M total across 2 segments · Q1 2023

  • Regulated Natural Gas
    $441M-0.9%
  • Regulated Water
    $267M+11.7%

Forward guidance

Essential published guidance for 2023, including its long-term guidance, and reaffirms this guidance as previously announced.

Tailwinds

  • Reaffirms ESG Guidance and Commitments
  • Plans to achieve reductions through extensive gas pipeline replacement
  • Purchase of renewable energy
  • Accelerated methane leak detection and repair
  • Commitment to diversity, equity, and inclusion efforts

Headwinds

  • disruptions in the global economy
  • financial and workforce impacts from the COVID-19 pandemic
  • potential disruptions in the supply chain for raw and finished materials
  • housing and customer growth trends
  • unfavorable weather conditions

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 Q1 2023

Historical avgQ1 2023

-0.8%

Avg return

Earnings day

-0.7%

Avg return

5 days after

+0.0%

Avg return

30 days after

43%

30 / 69 earnings

Positive

+4.9%

Q3 2024

Best reaction

-9.5%

Q2 2011

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.4%+1.2%-0.5%
Q4 2025-0.2%+0.5%+1.1%
Q3 2025+3.3%+2.2%-1.0%
Q1 2025-4.1%-4.7%-6.5%
Q4 2024+0.2%+3.3%+4.7%
Q3 2024+4.9%+3.7%+2.4%
Q2 2024-4.9%-4.8%-5.2%
Q1 2024+1.5%+3.9%+1.4%
Q4 2023-3.4%-4.3%+0.7%
Q3 2023-2.2%-6.0%+1.5%
Q2 2023-0.4%-3.0%-12.6%
Q1 2023-1.5%-1.3%-3.2%
Q4 2022-3.6%-5.4%-4.2%
Q3 2022+1.1%+5.3%+8.8%
Q2 2022-0.1%-1.7%-4.7%
Q1 2022-5.3%+1.7%+4.8%
Q4 2021+2.8%+3.8%+10.0%
Q3 2021+0.4%+1.2%+0.3%
Q2 2021+1.4%-0.3%-0.8%
Q1 2021-1.4%-0.4%+0.9%
Q4 2020-3.4%-3.9%-1.3%
Q3 2020-1.5%+2.9%+14.8%
Q2 2020+1.0%+6.0%-7.8%
Q1 2020-3.4%-4.3%+8.8%
Q4 2019-8.1%-9.9%-19.8%
Q3 2019-0.9%-2.5%+0.4%
Q2 2019+2.8%+5.2%+9.6%
Q1 2019-1.3%-1.9%+2.4%
Q4 2018-0.3%+2.0%+1.7%
Q3 2018-1.0%+0.6%+4.0%
Q2 2018-0.6%+1.2%+0.6%
Q1 2018-3.3%-1.8%-4.6%
Q4 2017-2.3%-7.1%-2.7%
Q3 2017+0.0%+1.7%+7.3%
Q2 2017-0.2%+0.9%-0.4%
Q1 2017-3.9%-3.1%+0.6%
Q4 2016+1.2%+3.3%+4.8%
Q3 2016-3.0%-5.5%-3.5%
Q2 2016-2.8%-4.8%-12.7%
Q1 2016+0.9%
Q4 2015-0.4%
Q3 2015+2.2%
Q2 2015+1.5%
Q1 2015-2.2%
Q4 2014-0.0%
Q3 2014+0.9%
Q2 2014+1.8%
Q1 2014+0.1%
Q4 2013-0.3%
Q3 2013-0.1%
Q2 2013-5.1%
Q1 2013+0.5%
Q4 2012+0.3%
Q3 2012-0.4%
Q2 2012+0.4%
Q1 2012+0.3%
Q4 2008-2.4%
Q4 2011-2.4%
Q4 2007-2.4%
Q4 2009-2.4%
Q4 2010-2.4%
Q3 2011+0.3%
Q2 2011-9.5%
Q1 2010+2.5%
Q1 2011+1.5%
Q3 2010+1.3%
Q3 2009+1.3%
Q2 2009+0.9%
Q2 2010+0.9%

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