American States Water Co (AWR) · Nov 4, 2026 · Earnings
Miss — GAAP EPS $1.06 vs published consensus around $1.09
American States Water earnings came in below Q3 EPS expectations, though rate increases drove better underlying earnings and strong nine-month growth.
American States Water is a regulated California water and electric utility funding rate-base investment, alongside a military-base contracted-services business. The quarter shows that the regulated utility story is still working, but the consolidated result landed just below the market’s earnings bar.
The headline result was a narrow miss. GAAP diluted EPS was $1.06, unchanged from $1.06 a year earlier, versus published expectations around $1.09. The company’s $192.5 million of revenue also trailed the roughly $197 million published expectation, making this a modest execution shortfall rather than a clean beat.
| Q3 2026 | Q3 2025 | Consensus | |
|---|---|---|---|
| Diluted EPS (Financial Highlights) | $1.06 | $1.06 | ~$1.09 |
| Operating revenues (Income Statement) | $192.5M | $182.7M | ~$197.0M |
| Operating income (Income Statement) | $67.3M | $61.7M | |
| Nine-month diluted EPS (Financial Highlights) | $2.92 | $2.63 |
The underlying utility engine improved despite the reported flat EPS. Excluding volatile retirement-plan investment results, adjusted Q3 EPS rose to $1.06 from $1.01, while water-segment adjusted EPS increased $0.04 per share. Rate increases approved by California regulators helped lift water revenue by $7.6 million and electric revenue by $1.6 million, partly offset by higher operating and interest costs.
The mix was uneven outside the core water business. Electric contributed modestly more, but contracted-services EPS fell to $0.17 from $0.19 as operating and construction expenses rose. That matters because the services segment had been adding to growth, even though management still expects it to contribute $0.63-$0.67 per share for full-year 2026.
The balance-sheet and dilution overhang is becoming less threatening. AWR completed its $200 million ATM equity program in June and said it does not plan additional equity issuance through at least the end of 2029, removing a known source of dilution from the current operating plan. That is supportive for future per-share growth, but it was already disclosed and does not rescue a quarter that missed consensus. 〔0〕
Bottom line: This was a slight negative on the quarter itself because EPS and revenue missed expectations, but the core regulated-utility earnings trend remains constructive. The miss looks limited rather than a break in the business story, with rate-driven growth and reduced future dilution still intact.
Q3 earnings call, November 5, 2026
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