Recent Updates — AWK
American Water Works Company, Inc., Essential Utilities, Inc., and their affiliates filed a joint petition for non-unanimous settlement in the Pennsylvania Public Utility Commission proceeding regarding American Water's proposed merger with Essential Utilities. The Settlement Agreement was entered into with the Bureau of Investigation and Enforcement, the Office of the Consumer Advocate, the Office of the Small Business Advocate, and certain other parties; however, one or more parties did not join. The agreement will be reviewed by Administrative Law Judges who will issue a Recommended Decision to the PaPUC for final approval. American Water Works Company, Inc. operates in the water utility industry, providing water and wastewater services.
American Water Works Company, Inc.'s finance subsidiary, American Water Capital Corp., sold $500.0 million of 5.550% Senior Notes due 2033 on September 16, 2026, receiving net proceeds of approximately $496.6 million after underwriting discounts. The company intends to use the proceeds to repay $250.0 million of outstanding 3.000% senior notes maturing December 1, 2026, lend funds to its regulated utility subsidiaries, repay commercial paper obligations, and for general corporate purposes. American Water Works Company, Inc. operates in the water utility industry, providing water and wastewater services.
The New Jersey Board of Public Utilities approved a settlement in the general rate case for subsidiary New Jersey-American Water, authorizing $68 million in annualized revenue increases effective September 15, 2026. The approval is based on an authorized return on equity of 9.5%, a rate base of $6.06 billion, and supports over $1.4 billion in capital investments for infrastructure upgrades. Eligible water customers will receive a one-time monthly credit of $9.88 for 12 months from PFAS litigation proceeds to offset bill impacts. American Water Works Company, Inc. is the largest regulated water and wastewater utility company in the United States.
On August 28, 2026, Administrative Law Judges for the Pennsylvania Public Utility Commission issued an interim order regarding the proposed merger between American Water Works Company, Inc. and Essential Utilities, Inc. The order confirmed that the parties reached a non-unanimous settlement in the proceeding, which remains subject to final approval by the PaPUC. This regulatory development is material as it impacts the timeline and conditions for completing the strategic combination of these two major utility entities. American Water Works Company operates in the water and wastewater utility industry.
American Water Works reported second quarter 2026 adjusted diluted earnings per share of $1.61, up from $1.49 in the prior year period. Year-to-date adjusted EPS reached $2.62 compared to $2.51 in 2025. The company affirmed its full-year 2026 adjusted EPS guidance range of $6.02 to $6.12 and long-term growth targets of 7-9%. Operating revenues increased by $90 million for the quarter, driven by authorized rate increases and acquisition activity. Capital investment totaled $1.8 billion in the first half of 2026, supporting a full-year plan of approximately $3.7 billion. Progress continues on the proposed merger with Essential Utilities, which has received regulatory approval in three states. Additionally, the Board declared a quarterly cash dividend of $0.8950 per share, payable September 1, 2026 to shareholders of record as of August 11, 2026. American Water Works is the largest regulated water and wastewater utility company in the United States.
Pennsylvania American Water, a subsidiary of American Water Works Company, Inc., received approval from the Pennsylvania Public Utility Commission for an annual revenue increase of approximately $74.9 million. This rate adjustment is intended to support critical infrastructure improvements, including PFAS treatment expansion and lead service line elimination. American Water Works Company, Inc. is a regulated water and wastewater utility company.