York Water Company Reports Increased 3rd Quarter and Nine Months Earnings
November 02 2017 - 09:30AM
The York Water Company's (NASDAQ:YORW) President, Jeffrey R. Hines,
announced today the Company's financial results for the third
quarter and the first nine months of 2017.
President Hines reported that third quarter
operating revenues of $12,692,000 increased $91,000 and net income
of $3,931,000 increased $360,000 compared to the third quarter of
2016. Earnings per share of $0.31 for the three-month period
increased $0.04 compared to the same period last year.
Increased earnings resulted primarily from utilization of the
Distribution System Improvement Charge (DSIC), lower taxes and an
increased allowance for funds used during construction
(AFUDC). DSIC is a Pennsylvania Public Utility Commission
allowed charge that water utilities collect from customers for the
replacement of aging infrastructure. AFUDC is the cost of
debt and equity funds used to finance plant construction.
President Hines also reported that the first nine
months operating revenues of $36,236,000 increased $537,000, and
net income of $9,447,000 increased $543,000 compared to the first
nine months of 2016. Lower income taxes due to higher
maintenance and repair deductions, increased AFUDC, and higher
revenues due to recent acquisitions and the utilization of the DSIC
were the main reasons for the increased income. The increased
income was partially offset by higher operations and maintenance
expenses, depreciation and health insurance costs. Earnings
per share of $0.74 for the nine-month period increased $0.05
compared to the same period last year.
During the first nine months of 2017, the Company
invested $20.6 million in construction expenditures for an
additional raw water pumping station and force main, as well as
various replacements and improvements to infrastructure including
company-owned lead service lines. In addition, the Company
invested $472,000 in the acquisition of water and wastewater
systems. The Company estimates it will invest an additional
$4.2 million in 2017, excluding acquisitions, for expansion and
improvements to its pipes, completion of the additional pumping
station and force main, and various replacements and upgrades to
other infrastructure to ensure a safe, adequate, and reliable
supply of drinking water and to maintain proper handling and
disposal of wastewater for the Company’s growing customer base.
|
Period Ended September 30 |
|
In 000's (except per share) |
|
Quarter |
Nine Months |
|
|
2017 |
|
2016 |
|
2017 |
|
2016 |
Operating Revenues |
$ |
12,692 |
$ |
12,601 |
$ |
36,236 |
$ |
35,699 |
Net Income |
$ |
3,931 |
$ |
3,571 |
$ |
9,447 |
$ |
8,904 |
Average Number of
Common Shares Outstanding |
|
12,847 |
|
12,868 |
|
12,845 |
|
12,847 |
Basic and Diluted
Earnings Per Common Share |
$ |
0.31 |
$ |
0.27 |
$ |
0.74 |
$ |
0.69 |
Dividends Declared Per
Common Share |
$ |
0.1602 |
$ |
0.1555 |
$ |
0.4806 |
$ |
0.4665 |
This news release may contain forward-looking
statements regarding the Company’s operational and financial
expectations. These statements are based on currently available
information and are subject to risks, uncertainties, and other
events which could cause the Company’s actual results to be
materially different from the results described in this statement.
The Company undertakes no duty to update any forward-looking
statement.
Contact:
Jeffrey R. Hines, President
jeffh@yorkwater.com
or
Kathleen M. Miller, Chief Financial Officer
kathym@yorkwater.com
Phone: 717-845-3601
York Water (NASDAQ:YORW)
Historical Stock Chart
From Feb 2024 to Mar 2024
York Water (NASDAQ:YORW)
Historical Stock Chart
From Mar 2023 to Mar 2024