American Water Q3 2026: adjusted EPS $2.00, 2027 guide implies 8.0% growth
American Water's third quarter was steady rather than spectacular: revenue rose 3.5% to $1.502 billion, adjusted EPS of $2.00 came in $0.07 under the $2.07 consensus, and GAAP EPS matched last year at $1.94. The real content is forward-looking — 2026 guidance narrowed to the top half of its range and new 2027 guidance implies 8.0% growth. Read the quarter as a down payment on that promise, funded with debt.
1 · Expected vs. Actual
Free preview belowGAAP EPS was $1.94, flat with a year ago, while adjusted EPS of $2.00 beat last year's $1.89 but fell $0.07 short of the $2.07 consensus. The bridge from GAAP was small: $0.03 of merger transaction costs and $0.03 of weather. Regulated net income still grew to $407 million from $383 million, but operating expenses rose $30 million and interest expense $9 million, which is where the consensus gap came from.
Revenue of $1.502 billion rose 3.5% from $1.451 billion a year earlier, and essentially all of it came from the Regulated Businesses at $1.51 billion. New rates did the work: $284 million of annualized revenue has been authorized since January 1, split $179 million from general rate cases and $105 million from infrastructure surcharges. Weather was a small drag, cutting $18 million from the quarter.
Log in to read 35 analyses a week for free
Create a free account to read 35 full earnings analyses each week — all five steps: expected vs. actual, guidance tracker, money flow, balance sheet and risks. Members get unlimited access.
Figures on this page come from the company's original SEC filings. The analysis is generated automatically and checked against validation rules, but may still contain errors or omissions. Not investment advice. · Generated 2026-11-03
Answers are based on the earnings release and the analysis above. Free accounts get 3 questions a week; members get 30 a day.