American Water Works Company (AWK) Investor presentation summary

Business overview and footprint

• Operates as the only pure-play, large-cap water utility in the U.S., serving 3.6 million regulated customers across 14 states and 18 military installations.

• Manages 55,000 miles of pipe, 600 water treatment plants, and 170 wastewater treatment plants.

• Military Services Group provides regulated-like earnings and strategic value, with 70 additional installation opportunities identified.

Financial performance and guidance

• Affirmed long-term EPS CAGR target of 7-9% and 2026 adjusted EPS guidance of $6.02–$6.12, reflecting ~8% growth over 2025.

• Achieved 2025 adjusted EPS of $5.64, up 8.9% from 2024, with dividend growth of 8.2% and a payout ratio of 58%.

• Maintains a strong balance sheet with S&P A and Moody’s Baa1 ratings, total debt to capital at 59%, and $1.17 billion in available liquidity.

Capital investment and infrastructure

• Plans $19–$20 billion in capital investments from 2026–2030, including $2 billion for PFAS compliance and $1.5 billion for lead pipe replacement.

• Estimated rate base to grow at 8–9% CAGR, reaching $24.3 billion by end of 2025.

• Focuses on system renewal, resiliency, and water quality, with affordability maintained at or below 1% of median household income.