California Water Service Group · NYSE:CWT
California Water Service — Wells Fargo 2025 Energy and Utilities Symposium
38 slides from California Water Service's conference presentation, November 2025
Slide 1: Investing for Life
California Water Service Group Investing for Life Wells Fargo 2025 Energy and Utilities Symposium ©2025 California Water Service Group 1
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: Who We Are
WHO WE STRONG CONSISTENT STRATEGIC SOCIAL ARE VALUE RESULTS GROWTH RESPONSIBILITY & SERVICE ©2025 California Water Service Group 3
Slide 4: Leading water utility holding company offering predictable returns
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 United States. ©
Slide 5: Largest Regulated Water Utility in the Western United States
Largest Regulated Water Utility in the Western United States 499,400 6,700 11,500 38,300 4,200 Total connections Total connections Total connections Total connections Total connections 92.3% 4.3% 0.7% 2.3% 0.4% of consolidated revenue of consolidated revenue of consolidated revenue of consolidated r
Slide 6: Financial Strength Drives Strategic Growth
Financial Strength Drives Strategic Growth $1.04B $191M $179M 2024 revenue* 2024 net income* Returned to shareholders in dividends over 3 most recent ended years A+/stable AA- Global credit rating affirmed Cal Water’s First by S&P Global Mortgage Bonds rating *2024 revenue and net income increased d
Slide 7: Guided by Our Strategic Framework
Guided by Our Strategic Framework ©2025 California Water Service Group 7
Slide 8: Extensive Infrastructure with Reinvestment Opportunity
Extensive Infrastructure with Reinvestment Opportunity 7,900 1,135 681 155,000+ Miles of water main Groundwater wells Storage tanks Valves 50,000+ 2010+ 6 12 Fire hydrants Sampling stations Surface water treatment Wastewater treatment plants plants ©2025 California Water Service Group 8
Slide 9: Strong Value
WHO WE STRONG CONSISTENT STRATEGIC SOCIAL ARE VALUE RESULTS GROWTH RESPONSIBILITY & SERVICE ©2025 California Water Service Group 9
Slide 10: CWT has a strong track record of providing value to stockholders
CWT has a strong track record of providing value to stockholders. ©2025 California Water Service Group 10
Slide 11: 20-Year Total Return
20-Year Total Return $800 $721 S&P 500 CWT $700 $616 $575 On $100 stock purchase $563 $600 $539 on 1/1/05, with dividends reinvested $461 $456 $451 $500 $428 $420 $407 $378 $370 $358 $400 $294 $279 $265 $242 $300 $211 $211 $184 $184 $178 $162 $144 $200 $141 $131 $127 $124 $124 $123 $122 $120 $117 $1
Slide 12: 59 Years of Dividend Growth
59 Years of Dividend Growth Strong history of returning cash to shareholders $1.40 323rd Consecutive Quarterly Dividend in Amount of $0.30 $1.20 $1.12 $1.24 $1.04 Announced Annual Increase $1.00 58th Expected to Yield 2025 Annual Dividend of $1.20 $1.00 $0.92 $0.80 $0.04 $1.24 One-Time Special Divid
Slide 13: Consistent Results
WHO WE STRONG CONSISTENT STRATEGIC SOCIAL ARE VALUE RESULTS GROWTH RESPONSIBILITY & SERVICE ©2025 California Water Service Group 13
Slide 14: Regulated business model delivers predictable long-term results
CWT’s regulated business model, favorable regulatory environments, and innovative approach to ratemaking enable the company to deliver predictable and consistent long-term results. ©2025 California Water Service Group 14
Slide 15: Stable, Regulated Model with Transparent Returns
Stable, Regulated Model with Transparent Returns Earn reasonable return on Recover costs through Add non-regulated income capital invested in constructive regulatory policies (e.g., water system operations, infrastructure and efficient operations HomeServe, antenna leases) 97.7% of revenue is regula
Slide 16: Regulatory Framework that Supports Long-Term Value
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 Construction work in progress / AFUDC included in rate base Deferred debits (like CA memo accounts) Group d
Slide 17: 2024 California General Rate Case
2024 California General Rate Case $1.6B Investment proposed in Cal Water from Hearings are held before Administrative Key updates since filing Parties file briefs & ALJ requests more time, approves interim Law Judge (ALJ) reply briefs rates & memo account 2025-2027 18 (anticipated) May 2025 June 202
Slide 18: Progressive Regulatory Strategy Supports Customers and Stockholders
Progressive Regulatory Strategy Supports Customers and Stockholders 2 3 Greater percentage 1 of revenues in fixed service charge Significantly Rate design to balance balanced with discounted first tier affordability, progressive tiered rate pricing for conservation, and design nondiscretionary water
Slide 19: 2026 California Cost of Capital
2026 California Cost of Capital Filing Deadline Extended One Year 10.27% Authorized Return on Equity (ROE) Provides automatic adjustment (up or down) of adopted ROE Water Cost of Capital 7.46% Authorized Return on Rate Base Current decision remains in place through Mechanism (WCCM) remains in Trigge
Slide 20: Strong Financial Results September 2025 YTD
Strong Financial Results September 2025 YTD Sept. YTD 2024 GAAP Sept. YTD 2025 vs. Sept. YTD 2024 Non-GAAP* (in millions, except EPS) (in millions, except EPS) $900 $125 $2.25 $900 $116.7 $814.6 $780.2 $107.2 $2.00 $1.96 $750 $727.1 $1.84 $750 $100 $1.75 $600 $600 $1.50 $75 $1.25 $450 $4.00 $450 $2.
Slide 21: Strong Three-Year Financial Growth
Strong Three-Year Financial Growth (in millions, except EPS data) Three-Year Revenue Three-Year Net Income Three-Year Diluted EPS $1,036.8 $1,000.0 $190.8 $200.0 $3.25 $846.4 $3.50 $850.0 $794.6 $3.00 $150.0 $700.0 $2.50 GAAP $96.0 $2.00 $1.77 $550.0 $100.0 $1.50 $400.0 $51.9 $0.91 $50.0 $1.00 $250.
Slide 22: Strategic Growth
WHO WE STRONG CONSISTENT STRATEGIC SOCIAL ARE VALUE RESULTS GROWTH RESPONSIBILITY & SERVICE ©2025 California Water Service Group 22
Slide 23: Infrastructure investment is the primary growth driver
Infrastructure investment is the primary growth driver, with strategic acquisitions in high-growth areas providing additional opportunity. ©2025 California Water Service Group 23
Slide 24: Infrastructure Investment Powers Long-Term Reliability and Earnings
Infrastructure Investment Powers Long-Term Reliability and Earnings Growth in capital investment outpaces depreciation (in millions) $800 Capital Investment Depreciation $760 2025-2027 TOTAL CapEx $690 $700 4x $610 $600 $500 $471 DEPRECIATION $400 $384 $328 $299 $293 $300 $272 $274 Cap-Ex $200 Q3 20
Slide 25: Earnings Performance Driven by Double-Digit Rate Base Growth
Earnings Performance Driven by Double-Digit Rate Base Growth Rate base estimated to reach over $3.3 billion by 2027 (in billions) $4.00 $3.50 $3.35 $2.93 $3.00 $2.58 $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* 2026* 2027* *20
Slide 26: Strong Liquidity Profile Supports Growth Strategy
Strong Liquidity Profile Supports Growth Strategy Group maintains strong liquidity profile to execute capital plan and strategic M&A investments (in millions) $500 • Combination of California Water Service Group (Group) Notes and California Water Sept 30, 2025 Service Company (Cal Water) Bonds issue
Slide 27: Expanding Footprint in a Priority Growth Region: Texas
Expanding Footprint in a Priority Growth Region: Texas 7 19,000+ Total connected & committed Anticipated Customer Growth BVRT-owned regulated utilities in high-growth areas customers in 2024 20,000+ 100,000+ 20,000 Additional likely customers Additional potential customers in existing service areas
Slide 28: Strategic Approach to Acquisitions
Strategic Approach to Acquisitions Customer Count* Accretive in the short-term or strategic 570,000 in nature 560,000 550,000 540,000 2-2.5% 47,100 530,000 520,000 510,000 Total connections added since Average growth achieved per year from 500,000 2019 new business and business development 2019 2020
Slide 29: Social Responsibility & Service
WHO WE STRONG CONSISTENT STRATEGIC SOCIAL ARE VALUE RESULTS GROWTH RESPONSIBILITY & SERVICE ©2025 California Water Service Group 29
Slide 30: CWT brings life and vitality to its communities
CWT brings life and vitality to its communities by providing affordable, high-quality water and wastewater services to customers. The Company is committed to protecting the planet, caring for people, and operating with the utmost integrity. ©2025 California Water Service Group 30
Slide 31: Keeping Water Affordable
Keeping Water Affordable Median Monthly Median Monthly Bill as % of Household Income Cal Water Bill Income Actively pursue Maintain assets Invest in conservation grants to lower strategically to keep programs that keep bills costs and water facilities operating lower (Cal Water bills are up to 2020
Slide 32: Providing Quality and Service to Customers
Providing Quality and Service to Customers Achieved 100% Well-positioned to meet new Achieving customer Providing 24/7 compliance with PFAS drinking water regulation service performance emergency all primary and ahead of compliance deadline targets more rigorous response and secondary WQ than those
Slide 33: Caring for People
Caring for People High employee satisfaction: Recognized as Great Place to Work® and USA Top Workplace, due in part to offering competitive pay and benefits; providing pathways to advancement; and prioritizing employee health and safety Dedication to community support through philanthropy: Donated $
Slide 34: Takeaways
Takeaways Our regulated business model makes us a predictable, reliable investment for our stockholders, particularly as we operate in states with favorable regulatory environments. We have a proven track record of delivering value to stockholders. We grow by investing in our extensive water system
Slide 35: Appendix
APPENDIX ©2025 California Water Service Group 35
Slide 36: Non-GAAP Financial Measures
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 on filings with the Securities and Exchange Commission. Adjusted revenue, net income, and dilut
Slide 37: Reconciliation of Non-GAAP Financial Measures
Reconciliation of Non-GAAP Financial Measures Year-to-Date, (in thousands, except per share amounts) 2025 2024 Reported GAAP Operating Revenue $780,162 $814,611 Adjustments: 2023 interim rate relief related to the 2021 California GRC recorded in 2024 - ($87,482) Adjusted Operating Revenue (non-GAAP)
Slide 38: Reconciliation of Non-GAAP Financial Measures
Reconciliation of Non-GAAP Financial Measures Year Ended (in thousands, except per share amounts) 2024 2023 2022 Reported GAAP Operating Revenue $1,036,806 $794,632 $846,431 Adjustments: 2023 interim rate relief related to the 2021 California GRC recorded in 2024 ($87,482) $87,482 Adjusted Operating
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