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Sep 30
Essential Utilities Q3 2025 Earnings Report
Essential Utilities reported increased earnings and revenue in Q3 2025 driven by rate hikes across water and gas segments.
Key Takeaways
Essential Utilities delivered strong results for Q3 2025 with net income rising to $92.1 million and revenue increasing to $477 million. Both water and natural gas segments saw top-line growth supported by rate adjustments.
Net income rose to $92.1 million compared to $69.4 million in Q3 2024.
Total revenue reached $477.0 million, driven by rate increases in water and gas segments.
The company invested $983 million in infrastructure through the first nine months of 2025.
Essential reaffirmed its 2025 guidance and expects GAAP EPS above prior range of $2.07–$2.11.
Essential Utilities
Essential Utilities
Essential Utilities Revenue by Segment
Revenue by Segment
Regulated Water Revenue
CapyFin.comRegulated Natural Gas Revenue
CapyFin.com Forward Guidance
Essential expects full-year 2025 GAAP EPS to exceed previous guidance due to non-recurring benefits and reaffirms long-term earnings and infrastructure investment outlook.
Positive Outlook
- 2025 GAAP EPS expected above $2.07–$2.11 range
- 2025 infrastructure investments projected at $1.4–$1.5 billion
- Long-term EPS growth of 5–7% CAGR from 2024 adjusted EPS
- Rate base expected to grow over 8% CAGR through 2029
- Anticipated 60% GHG emissions reduction by 2035 from 2019 baseline
Challenges Ahead
- No inclusion of DELCORA acquisition in guidance due to pending status
- Weather-related revenue impacts cited in 2024 may recur
- Higher interest and depreciation expenses noted
- Guidance assumes successful equity issuance
- Regulatory approvals still needed for announced acquisitions and merger