California Water Service Group · NYSE:CWT
California Water Service — Q3 2026 Earnings Presentation
21 slides from California Water Service's earnings presentation, Oct 29, 2026
Slide 1: Third Quarter 2026 Earnings Presentation
Third Quarter 2026 Earnings Presentation October 29, 2026
Slide 2: Today's Speakers
Today’s Speakers 2 Marty Kropelnicki Chairman & CEO James Lynch Sr. Vice President, CFO & Treasurer
Slide 3: Forward-Looking Statements
This presentation contains forward - looking statements within the meaning established by the Private Securities Litigation Reform Act of 1995 (“PSLRA”) . The forward - looking statements are intended to qualify under provisions of the federal securities laws for “safe harbor” treatment established
Slide 4: Third-Quarter 2026 Highlights
Third - Quarter 2026 Highlights 4 Our solid Q3 2026 results reflect April 2026 resolution of the 2024 CA GRC, other regulatory outcomes , and successful execution of our business strategy 1 Our strong liquidity profile supports growth; expecting Q4 close of Nevada and Oregon acquisitions 5 We focuse
Slide 5: Q3 2026 Results Compared to Q3 2025 Results
Q3 2026 Results Compared to Q3 2025 Results 5 $332.2 $311.2 $0 $50 $100 $150 $200 $250 $300 $350 $400 Operating Revenue $65.4 $61.2 $0 $10 $20 $30 $40 $50 $60 $70 $80 Net Income $1.05 $1.03 $0.00 $0.15 $0.30 $0.45 $0.60 $0.75 $0.90 $1.05 $1.20 Diluted EPS Q3 2026 vs. Q3 2025 Q3 2025 Q3 2026 Q3 2025
Slide 6: Diluted EPS Bridge – Q3 2025 to Q3 2026 Results
Diluted EPS Bridge – Q3 2025 to Q3 2026 Results $1.03 $0.28 $0.05 $0.06 - $0.06 - $0.04 - $0.06 - $0.06 - $0.15 Q3 2025 Diluted EPS Customer rate changes, new customers, and other Drought Recovery Memorandum Account (DREMA) approval Regulatory approval of memorandum account cost recovery Customer co
Slide 7: Q3 2026 YTD Results Compared to Q3 2025 YTD
Q3 2026 YTD Results Compared to Q3 2025 YTD 7 $855.3 $780.2 $0 $100 $200 $300 $400 $500 $600 $700 $800 $900 Operating Revenue $125.9 $116.7 $0 $20 $40 $60 $80 $100 $120 $140 Net Income $2.07 $1.96 $0.00 $0.25 $0.50 $0.75 $1.00 $1.25 $1.50 $1.75 $2.00 $2.25 Diluted EPS Q3 YTD 2026 vs. Q3 YTD 2025 Q3
Slide 8: Diluted EPS Bridge – Q3 YTD 2025 to Q3 YTD 2026 Results
Diluted EPS Bridge – Q3 YTD 2025 to Q3 YTD 2026 Results $1.96 $0.66 $0.20 $0.18 - $0.05 - $0.18 - $0.11 - $0.07 - $0.12 - $0.05 - $0.05 - $0.10 - $0.20 $0.00 $0.50 $1.00 $1.50 $2.00 $2.50 $3.00 $3.50 $2.07 8
Slide 9: Infrastructure Investment Improves Reliability, Powers Long-Term Earnings
Infrastructure Investment Improves Reliability, Powers Long - Term Earnings 9 Capital expenditure estimates for 2026 - 2028 are based on actual amounts included in the 2024 California GRC decision, plus estim ated 2028 California capital expenditures and estimated 2026 - 2028 capital expenditures in
Slide 10: Earnings Performance Driven by Capital Investment/Rate Base Growth
Earnings Performance Driven by Capital Investment/Rate Base Growth 10 Rate base estimated to reach over $3.45 billion by 2028 Rate base estimates for 2026 - 2028 are based on actual amounts included in the 2024 California GRC decision, plus estimated 2028 California rate base and estimated 2026 - 20
Slide 11: Strong Liquidity Profile Supports Growth Strategy
Strong Liquidity Profile Supports Growth Strategy 11 Capital structure consistent with authorized Cal Water structure; Cal Water authorized ROE is 10.27% ATM equity program renewed in May 2025; $350.0M shelf registration; $49.8M net program sales occurred in Q3 2026 Group entered into forward sales
Slide 12: Regulatory Approvals Enable Us to Make Investments
Regulatory Approvals Enable Us to Make Investments to Provide Safe, Reliable Water WUTC approved revenue increase of $4.1 million for Washington, effective October 1, 2026. HPUC approved revenue increase for Kapalua systems of $1.9 million , effective October 21, 2026. CPUC approved use of the advic
Slide 13: PFAS Regulatory Compliance Program
PFAS Regulatory Compliance Program 13 $228.0M Total investment projected for PFAS Regulatory Compliance program (CA/NM/WA) $23.3M 2026 YTD PFAS treatment / well replacement investments 65 Number of PFAS treatment / well replacement projects currently planned (8 in grant - funding process) 18 Number
Slide 14: Recovering Costs While Keeping Rates Affordable
Recovering Costs While Keeping Rates Affordable Actively pursue grants to reduce costs that impact water bills Maintain assets strategically to keep facilities operating optimally for longer periods Invest in conservation programs that help reduce water bills (Cal Water bills are up to 20.5% lower o
Slide 15: Years of Dividend Growth
59 Years of Dividend Growth Strong history of returning cash to shareholders $1.00 $1.04 $1.12 $1.24 $1.34 $0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40 $1.60 2022 2023 2024 2025 2026 327 th $0.335 consecutive quarterly dividend in amount of 59 th $1.34 previously announced annual increase expecte
Slide 16: Strategic Initiatives
Strategic Initiatives 16 Oregon and Nevada System acquisitions: • Change of control applications approved • Integration planning on target and within budget • Expect to close before year end BVRT Joint Venture: • Consolidated Rate Case remanded to the Commission for approval • Interim rates remain i
Slide 17: Other Q3 Highlights
Other Q3 Highlights 17 Continued celebrating our centennial ( 100years.calwatergroup.com ) Connected Indianola Elementary to our system and began providing safe water to 400 students and faculty Continue to prioritize emergency preparedness in advance of El Niño
Slide 18: Questions & Answers
Questions & Answers
Slide 19: Strategic Initiatives Appendix
Strategic Initiatives Appendix
Slide 20: Nevada and Oregon Acquisition Bolsters Our Position as Western U.S. Leader
20 Nevada and Oregon Acquisition Bolsters Our Position as Leader in Western U.S., Provides Platform for Additional Growth Subject matter experts at Group focused on IT, shared service, and operating process integrations Group management has met with future employees and utilities commissions Change
Slide 21: Nevada and Oregon System Highlights
Nevada and Oregon System Highlights 21 • 9,127 total equivalent residential connections: 4,835 water / 4,292 wastewater • 10 utility systems across three counties, regulated water and unregulated wastewater assets • Second largest water utility in Oregon • Regulated by Oregon Public Utility Commissi
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