California Water Service Group Holding Stock Earnings Reports

California Water Service Group reported solid Q3 2025 results despite being in the third (typically most constrained) year of its California general rate case. Q3 revenue rose 3.9% year-over-year to $311.2 million; Q3 net income was $61.2 million ($1.03 per diluted share), essentially flat with prior year quarter. Year-to-date results (adjusted for prior interim rate relief) show revenue and net income growth versus non-GAAP 2024. The company invested $135.2 million in the quarter and $364.7 million year-to-date, with capital investment expected to drive nearly 12% compounded annual rate-base growth if approved as requested (PFAS work excluded from that estimate). Management highlighted regulatory developments: the California ALJ granted authorization to file a Tier 1 advice letter (CPI-linked interim inflationary step increase effective Jan 1, 2026) and a memorandum account to track lost revenues if a final GRC decision is delayed; management remains optimistic the delay will be limited. PFAS: the EPA reaffirmed a 4 ppt MCL for PFOA/PFAS; Cal Water estimates ~ $217 million of PFAS capex (2025–2029) and has recovered ~$35 million net from settlements so far to offset customer costs. Liquidity and financing: the company completed $370 million of long-term financing (oversubscribed), strengthening the balance sheet and replacing short-term borrowings. Dividends: the board declared the 323rd consecutive quarterly dividend of $0.30/share. Growth: continued expansion in Texas (BVRT JV), ~1,100 connections added YTD and ~15,500 committed but not yet connected, and a pending Texas rate-case settlement awaiting final approval. Management reiterated focus on executing capital program, regulatory outcomes, and maintaining operational and financial discipline.