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AWK

American Water Works Company, Inc.

AWK

American Water Works Company, Inc. • NYSE
$130.07 ▲ 0.17% (+0.22)
Market Cap $25.38 B
52w High $155.50
52w Low $118.74
Dividend Yield 3.25%
P/E 22.9
Volume 777.47K
Outstanding Shares 195.12M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $1.451B ▲ $314M ▲ $379M ▲ 26.12% ▲ $1.94 ▲ $878M ▲
Q2-2025 $1.276B ▲ $307M ▲ $289M ▲ 22.649% ▲ $1.48 ▲ $748M ▲
Q1-2025 $1.142B ▼ $303M ▲ $205M ▼ 17.951% ▼ $1.05 ▼ $630M ▼
Q4-2024 $1.201B ▼ $282M ▼ $239M ▼ 19.9% ▼ $1.23 ▼ $646M ▼
Q3-2024 $1.323B $284M $350M 26.455% $1.79 $785M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $256M ▲ $34.748B ▲ $23.841B ▲ $10.907B ▲
Q2-2025 $192M ▲ $33.913B ▲ $23.231B ▲ $10.682B ▲
Q1-2025 $114M ▲ $33.156B ▲ $22.622B ▲ $10.534B ▲
Q4-2024 $96M ▼ $32.83B ▲ $22.498B ▲ $10.332B ▼
Q3-2024 $127M $31.79B $21.428B $10.362B

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $379M ▲ $764M ▲ $-839M ▼ $149M ▼ $66M ▲ $-33M ▲
Q2-2025 $289M ▲ $301M ▼ $-772M ▼ $449M ▲ $-21M ▼ $-432M ▼
Q1-2025 $205M ▼ $331M ▼ $-568M ▲ $254M ▼ $7M ▲ $-217M ▲
Q4-2024 $239M ▼ $639M ▼ $-1.22B ▼ $544M ▲ $-42M ▼ $-295M ▼
Q3-2024 $350M $679M $-688M $88M $69M $-43M

Revenue by Products

Product Q4-2024Q1-2025Q2-2025Q3-2025
Regulated Business
Regulated Business
 $1.09Bn ▲$1.05Bn ▼$1.18Bn ▲$1.35Bn ▲
Market Based Businesses
Market Based Businesses
 $110.00M ▲$90.00M ▼$0 ▼$0 ▲

Five-Year Company Overview

Income Statement

Income Statement American Water’s revenue and operating profits have grown steadily over the past several years, reflecting a stable, rate-regulated business with ongoing customer and asset base expansion. Profitability at the operating level has been fairly consistent, suggesting good cost control and effective recovery of investments through regulated rates. Net income and earnings per share, however, show more year‑to‑year swings, likely influenced by one‑off items, asset sales, or regulatory adjustments. The overall direction is positive, but the earnings path has not been perfectly smooth, which is typical for a capital‑intensive regulated utility making periodic large investments and disposals.

Balance Sheet

Balance Sheet The balance sheet shows a company that has been steadily growing its asset base, mainly through continuous investment in infrastructure. Debt has increased over time, but so has shareholder equity, indicating that leverage is meaningful but broadly in line with a large utility funding long‑lived assets. Cash on hand is relatively low, which is normal for a regulated utility relying on stable cash inflows rather than large cash buffers. The key risk is that increasing debt levels make the business more sensitive to interest rates and regulatory decisions, but the regulated nature of the sector provides some offsetting stability.

Cash Flow

Cash Flow Operating cash flow has been solid and gradually improving, underscoring the reliability of the company’s underlying business and customer payments. However, free cash flow has been consistently negative because of very heavy spending on capital projects like pipelines, plants, and system upgrades. This pattern is typical for water utilities but means the company depends on external financing—mainly debt and possibly equity—to fund its growth program and shareholder returns. The main watch points are whether regulators continue to allow timely recovery of these investments and how future financing costs evolve.

Competitive Edge

Competitive Edge American Water holds a very strong competitive position as the largest publicly traded water and wastewater utility in the United States. In most of its territories it operates as a regulated monopoly, which limits direct competition and provides a predictable framework for setting customer rates. Its large scale brings purchasing power, operational efficiencies, and access to capital that many smaller municipal systems cannot match. Long‑term contracts with U.S. military bases add an extra, highly stable revenue source. High barriers to entry—such as massive upfront investment needs, complex regulation, and existing local networks—further protect its position, though they also tie the company closely to regulatory and political environments.

Innovation and R&D

Innovation and R&D Unlike many utilities, American Water runs a notable in‑house research and development program focused on water quality, treatment technologies, and emerging contaminants like PFAS. The company is actively using AI, machine learning, and advanced monitoring systems to predict pipe failures, reduce leaks, and optimize energy use, which can improve reliability and lower long‑term costs. Its investments in digital tools for customers—such as usage tracking and alerts—aim to raise satisfaction and reduce service issues. These efforts, combined with large planned infrastructure upgrades, position the company as a technology and process leader in its niche, but they also require disciplined execution and careful management of cyber, implementation, and regulatory risks.

Summary

Overall, American Water looks like a mature, regulated utility steadily expanding its footprint and infrastructure while leaning into technology and R&D to differentiate itself. Revenues and operating profits show a healthy upward trend, even though bottom‑line earnings can be bumpy from year to year. The balance sheet reflects growing assets funded by rising but still utility‑typical levels of debt, making the company reliant on stable regulation and manageable interest costs. Persistent negative free cash flow is largely a function of heavy, long‑term investment rather than weak operations. Its combination of regulatory protection, scale advantages, and internal R&D creates a strong competitive position, while heavy capital spending, evolving environmental rules, and regulatory oversight remain the main areas to monitor.

NEWS

November 26, 2025 · 9:33 AM UTC

New Jersey American Water Donates $25,000 and 1,000 Pounds of Food Through Statewide Food Drive for New Jersey Food Banks

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November 25, 2025 · 4:44 PM UTC

New Jersey American Water Announces 2025 Community Advancement Grant Program Recipients

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November 25, 2025 · 3:12 PM UTC

California American Water, Senator Niello and Assemblymember Hoover Partner to Support Local Food Pantries Ahead of Thanksgiving

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November 24, 2025 · 11:25 AM UTC

Young Artists Make Waves: Illinois American Water Announces 2025 “Water Keeps Life Flowing” Art Contest Winners

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November 21, 2025 · 10:45 AM UTC

California American Water and Assemblywoman Krell Partner to Support Benito Juarez Foundation in Combating Food Insecurity During the Holiday Season

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