The York Water Company Reports 2023 Annual And Fourth Quarter Results
March 05 2024 - 9:33AM
The York Water Company's (NASDAQ:YORW) President and CEO, JT Hand,
announced the Company's 2023 financial results.
President Hand reported that 2023 operating
revenues of $71,031,000 increased $10,970,000 and net income of
$23,757,000 increased $4,177,000 compared to 2022. Basic and
Diluted Earnings per share of $1.66 for 2023 increased $0.26
compared to 2022. Dividends per share rose 4% compared to
2022. Increased revenues were primarily due to an
increase in rates effective March 1, 2023 partially offset by a
reset to zero of the Distribution System Improvement Charge (DSIC).
The DSIC is a Pennsylvania Public Utility Commission allowed charge
that water utilities collect from customers for the replacement of
aging infrastructure. Growth in the customer base also
added to revenues. The increased revenue was partially offset by
higher operation and maintenance expenses and depreciation. Income
taxes increased due to higher taxable income partially offset by
higher deductions from the IRS tangible property regulations.
During the year, the Company invested $64.6
million in construction expenditures for armoring and replacing the
spillway of the Lake Williams dam, wastewater treatment plant
construction, and routine items, as well as various replacements
and improvements to infrastructure. During 2023, the Company
replaced approximately 50,200 feet of pipe to improve its
distribution system, reduce ongoing expenses, and improve customer
service. In addition, the Company invested a combined $625,000 in
the acquisition of a water and wastewater system.
President Hand also reported that for the fourth
quarter of 2023 operating revenues increased $2,985,000 and net
income increased $1,001,000 compared to the fourth quarter of 2022.
Basic and Diluted Earnings per share of $0.42 for the fourth
quarter of 2023 increased $0.07 compared to the same period last
year. Increased revenues were primarily due to an increase in rates
effective March 1, 2023 partially offset by a reset to zero of the
DSIC. Growth in the customer base also added to revenues. The
increased revenue was partially offset by higher operation and
maintenance expenses and depreciation.
President Hand reported that York Water plans to
invest approximately $42.2 million in 2024 and $46.1 million in
2025, excluding acquisitions, for additional main extensions,
completion of armoring and replacing the spillway of the Lake
Williams dam, wastewater treatment plant construction, an upgrade
to the enterprise software system, and improvements to its pipes,
service lines, and other facilities 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 December 31 |
|
In 000's (except per share) |
|
Quarter |
Twelve Months |
|
|
2023 |
|
2022 |
|
2023 |
|
2022 |
Operating Revenues |
$ |
18,096 |
$ |
15,111 |
$ |
71,031 |
$ |
60,061 |
Net Income |
$ |
6,012 |
$ |
5,011 |
$ |
23,757 |
$ |
19,580 |
Average Number of Common Shares Outstanding |
|
14,314 |
|
14,266 |
|
14,295 |
|
13,958 |
Basic and Diluted Earnings Per Common Share |
$ |
0.42 |
$ |
0.35 |
$ |
1.66 |
$ |
1.40 |
Dividends Declared Per Common Share |
$ |
0.2108 |
$ |
0.2027 |
$ |
0.8189 |
$ |
0.7874 |
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:
JT Hand, President and CEO
jth@yorkwater.com, 717-718-7554
or
Matthew E. Poff, Chief Financial Officer
matthewp@yorkwater.com, 717-718-7549
Phone: 717-845-3601
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