California Water Service Group · NYSE:CWT
California Water Service — Investor Presentation (May 2026)
36 slides from California Water Service's investor presentation, May 2026
Slide 1: Celebrating Our Centennial
California Water Service Group Celebrating Our Centennial May 2026 Investor Presentation ©2025 California Water Service Group
Slide 2: Forward-Looking Statements and Other Important Information
Forward-Looking Statements and Other Important Information 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 se
Slide 3: Today's Presentation
Today’s Presentation A GREAT CONSISTENT, WHO STRATEGIC REGULATORY START PREDICTABLE WE ARE GROWTH PROGRESS TO 2026 RESULTS 3
Slide 4: Who We Are: Leading water utility holding company
WHO WE ARE California Water Service Group (CWT) is a leading water utility holding company offering predictable returns, long-term value, and growth potential to stockholders by investing in water and wastewater systems and providing essential, affordable services to communities in the western Unite
Slide 5: Celebrating 100 Years of "Trust on Tap"
WHO WE ARE Celebrating 100 Years of “Trust on Tap” Formed in 1926 by three WWI veterans to serve five California communities, and today serving over 2.2 million people in five states “Trust on Tap” earned over decades of operational ingenuity, regulatory integrity, and commitment to public health Ce
Slide 6: Largest Regulated Water Utility in the Western United States
WHO WE ARE Largest Regulated Water Utility in the Western United States 500,000 6,800 11,800 38,500 4,900 Total connections Total connections Total connections Total connections Total connections 91.2% 4.6% 0.8% 2.6% 0.8% of consolidated revenue of consolidated revenue of consolidated revenue of con
Slide 7: Financial Strength Drives Strategic Growth
WHO WE ARE Financial Strength Drives Strategic Growth $1.0B $128M $198M A+/stable AA- 2025 revenue 2025 net income Returned to shareholders Global credit rating affirmed Cal Water’s First in dividends over 3 most by S&P Global Mortgage Bonds rating recent ended years 7
Slide 8: Extensive Infrastructure with Reinvestment Opportunity
WHO WE ARE Extensive Infrastructure with Reinvestment Opportunity 8,033 1,119 689 155,000+ Miles of water main Groundwater wells Storage tanks Valves 50,000+ 2010+ 6 17 Fire hydrants Sampling stations Surface water treatment Wastewater treatment plants plants 8
Slide 9: Kicking Off Our Centennial Year with Good News on Regulatory and Business Development Fronts
A GREAT START TO 2026 Kicking Off Our Centennial Year with Good News on Regulatory and Business Development Fronts Regulatory Acquisition Acquisition Rate Case Activity BVRT Utilities Nexus Water Group 2024 California General Rate Reached agreement to purchase Executed agreement to Case decision in
Slide 10: Great Start to 2026: California 2024 General Rate Case Decision
Great Start to 2026 Decision reached on California 2024 General Rate Case $1.6B Authorizes Additional Revenues of: 2024-2027 pre-approved and advice letter project capital investments $90.5M $43.2M $48.9M (10.9%) (4.7%) (5.1%) 5% Increase 2026 2027 2028 Increase in monthly fixed service charge up to
Slide 11: Acquisition Bolsters Our Position as Leader in Western U.S.
A GREAT START TO 2026 Acquisition Bolsters Our Position as Leader in Western U.S., Provides Platform for Additional Growth Acquisition Acquisition Nexus Water Group BVRT Utilities Executed agreement to purchase Reached agreement to purchase Nexus Water Group’s Nevada and outstanding minority interes
Slide 12: Nevada and Oregon Acquisitions to Expand Group's Footprint
A GREAT START TO 2026 Nevada and Oregon Acquisitions to Expand Group’s Footprint ~36,000 ~$109M Acquiring Nexus Water Total equivalent residential connections serving an estimated 115,000 people Increased consolidated year-end 2025 rate base Group’s subsidiaries in Nevada and Oregon 16 $218M* Purcha
Slide 13: Strategic Rationale
A GREAT START TO 2026 Strategic Rationale Geographic diversification into Nevada and Oregon enhances regulatory and financial balance Provides a rate-base-driven growth platform with customer growth and capex investment opportunities Hybrid ratemaking frameworks in OR & NV support ongoing infrastruc
Slide 14: Acquiring the remaining outstanding membership interests of BVRT in Texas
A GREAT START TO 2026 Acquiring the remaining outstanding membership interests of BVRT in Texas Group has entered into agreement to purchase remaining outstanding membership interests in BVRT Would become sole owner of 7 subsidiary water and wastewater 7 19,000+ BVRT-owned regulated Total connected
Slide 15: Consistent, Predictable Results
CONSISTENT, PREDICTABLE RESULTS CWT’s regulated business model, favorable regulatory environments, and innovative approach to ratemaking enable the company to deliver stockholder value and predictable and consistent long- term results. 15
Slide 16: Stable, Regulated Model with Transparent Returns
CONSISTENT, PREDICTABLE RESULTS Stable, Regulated Model with Transparent Returns Earn reasonable return Recover costs through Add non-regulated income on capital invested in constructive regulatory policies (e.g., water system operations, infrastructure and efficient operations HomeServe, antenna le
Slide 17: Regulatory Framework that Supports Long-Term Value
CONSISTENT, PREDICTABLE RESULTS Regulatory Framework that Supports Long-Term Value Forward-looking test years; rates based on future budget and GRCs for multiple districts in one application every three years Statewide rates WA Deferred debits (like CA Construction work in progress / AFUDC included
Slide 18: Progressive Regulatory Strategy Supports Customers and Stockholders
CONSISTENT, PREDICTABLE RESULTS Progressive Regulatory Strategy Supports Customers and Stockholders 1 2 3 Greater percentage of revenues in fixed service charge Significantly Rate design to balance balanced with discounted first tier affordability, progressive tiered rate pricing for conservation, a
Slide 19: 2026 California Cost of Capital
CONSISTENT, PREDICTABLE RESULTS 2026 California Cost of Capital Filing Deadline Extended One Year (to 2027) 10.27% Authorized Return on Equity (ROE) Provides automatic adjustment (up or 7.46% Authorized Return on Rate Base Current decision remains in place Water Cost of Capital down) of adopted ROE
Slide 20: First Quarter 2026 Results In Line With Expectations
CONSISTENT, PREDICTABLE RESULTS First Quarter 2026 Results In Line With Expectations* Q1 2026 vs. Q1 2025 (in millions, except EPS) $250 $15 $0.25 $13.3 $0.22 $214.6 $204.0 $200 $12 $0.20 $150 $9 $0.15 $100 $6 $0.10 $4.0 $0.07 Q1 2025 Q1 2026 Q1 2025 Q1 2026 Q1 2025 Q1 2026 $50 $3 $0.05 $0 $0 $0.00
Slide 21: YE 2025 Financial Results Solid; Impacted by Q4 Wet Weather
CONSISTENT, PREDICTABLE RESULTS YE 2025 Financial Results Solid; Impacted by Q4 Wet Weather, Third Year of CA Rate Case Cycle 2024 GAAP Results 2025 vs. 2024 Non-GAAP* Results (in millions, except EPS) (in millions, except EPS) $1,200 $150 $2.50 $1,200 $128.2 $2.25 $2.15 $2.16 $1,050 $1,036.8 $1,000
Slide 22: Strong Three-Year Financial Growth
CONSISTENT, PREDICTABLE RESULTS Strong Three-Year Financial Growth (in millions, except EPS data) Three-Year Revenue Three-Year Net Income Three-Year Diluted EPS $1,036.8 $190.8 $1,100.0 $1,000.1 $200.0 $3.50 $3.25 $900.0 $794.6 $3.00 $150.0 $128.2 $2.15 $2.50 GAAP $700.0 $2.00 $100.0 $1.50 $0.91 $5
Slide 23: Strong Liquidity Profile Supports Growth Strategy; 59 Years of Dividend Growth
CONSISTENT, PREDICTABLE RESULTS Strong Liquidity Profile Supports Growth Strategy; 59 years of Dividend Growth Strategic M&A investment expected to At March 30, 2026, Company had $58.1M Continue to maintain focus primarily on tuck-in acquisitions in unrestricted cash and $45.6M in Liquidity strong l
Slide 24: Strategic Growth
STRATEGIC GROWTH Infrastructure investment is the primary growth driver, with strategic acquisitions in high- growth areas providing additional opportunity. 24
Slide 25: Infrastructure Investment Improves Reliability and Sustainability
STRATEGIC GROWTH Infrastructure Investment Improves Reliability and Sustainability, Powers Long-Term Earnings Growth in capital investment outpaces depreciation (in millions) $800 Capital Investment Depreciation 2025-2027 TOTAL CapEx $700 $627 $667 4x $600 $500 $471 $517 DEPRECIATION $400 $384 $328
Slide 26: Earnings Performance Driven Capital Investment / Rate Base Growth
STRATEGIC GROWTH Earnings Performance Driven Capital Investment / Rate Base Growth (in billions) Rate base estimated to reach over $3.2 billion by 2027 $3.50 $3.21 $3.00 $3.00 $2.65 $2.50 $2.39 $2.20 $2.01 $2.00 $1.87 $1.61 $1.50 $1.24 $1.26 $1.00 $0.50 $0.00 2018 2019 2020 2021 2022 2023 2024 2025
Slide 27: Strategic Approach to Acquisitions
STRATEGIC GROWTH Strategic Approach to Acquisitions Customer Count* 570,000 Accretive in the short-term or strategic in nature 560,000 550,000 2-2.5% 540,000 530,000 520,000 48,000 Total connections added since 2019 Average growth achieved per year from 510,000 new business and business development
Slide 28: Nevada and Oregon Acquisitions to Expand Footprint
STRATEGIC GROWTH Nevada and Oregon Acquisitions to Expand Footprint WA Nevada OR • 26,466 total equivalent residential connections: 19,919 water / 6,547 wastewater NV • 6 utility systems across three counties CA • Largest investor-owned water/wastewater utility in Nevada • Regulated by Public Utilit
Slide 29: New Utilities in High-Growth Texas Region
STRATEGIC GROWTH New Utilities in High-Growth Texas Region Customer Growth 20,000 15,000 14,000 10,000 10,000 8,500 5,000 2,000 3,000 4,200 5,000 2,000 2,000 2,800 0 2021 2022 2023 2024 2025* Connected Committed *Estimated customer counts based on developer buildout schedules and connection deposits
Slide 30: Regulatory Progress
REGULATORY PROGRESS CWT brings life and vitality to its communities by high-quality water and wastewater services to customers. The Company is committed to designing and requesting rates that are both affordable and allow for continued investment to help ensure safety and reliability. 30
Slide 31: Keeping Water Affordable
REGULATORY PROGRESS Keeping Water Affordable Median Monthly Median Monthly Bill as % of Household Income Cal Water Bill Income Actively pursue Maintain assets Invest in conservation programs grants to lower strategically to keep that keep bills lower (Cal Water costs and water facilities operating b
Slide 32: Other Regulatory Updates
REGULATORY PROGRESS Other Regulatory Updates In November 2025, Hawaii Water filed rate case with HPUC for HI In September 2025, Washington Water filed rate $2.2 million annual revenue increase in Kapalua system to recover case with WUTC for $4.9 million annual revenue higher operating expenses and c
Slide 33: Takeaways
IN CLOSING Takeaways We provide reliable, Our regulated high-quality service to We are a 100-year- We are kicking off We grow by business model makes our customers and old, leading our centennial year investing in our us a predictable, are committed to regulated water and with good news on extensive
Slide 34: Appendix
Appendix 34
Slide 35: Non-GAAP Financial Measures
APPENDIX Non-GAAP Financial Measures The Company’s revenue, net income, and diluted earnings per share are prepared in accordance with Generally Accepted Accounting Principles (GAAP) and represent amounts reported in filings with the Securities and Exchange Commission. Adjusted revenue, net income,
Slide 36: Reconciliation of Non-GAAP Financial Measures
APPENDIX Reconciliation of Non-GAAP Financial Measures (in thousands, except per share amounts) Year Ended 2025 2024 2023 Reported GAAP Operating Revenue $1,000,140 $1,036,806 $794,632 Adjustments: 2023 interim rate relief related to the 2021 California GRC recorded in 2024 — ($87,482) $87,482 Adjus
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