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

  1. Slide 1: Third Quarter 2026 Earnings Presentation

    Third Quarter 2026 Earnings Presentation October 29, 2026

  2. Slide 2: Today's Speakers

    Today’s Speakers 2 Marty Kropelnicki Chairman & CEO James Lynch Sr. Vice President, CFO & Treasurer

  3. 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

  4. 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

  5. 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

  6. 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

  7. 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

  8. 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

  9. 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

  10. 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

  11. 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

  12. 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

  13. 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

  14. 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

  15. 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

  16. 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

  17. 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

  18. Slide 18: Questions & Answers

    Questions & Answers

  19. Slide 19: Strategic Initiatives Appendix

    Strategic Initiatives Appendix

  20. 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

  21. 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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