Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2023 | Jul. 24, 2023 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2023 | |
Document Fiscal Year Focus | 2023 | |
Current Fiscal Year End Date | --12-31 | |
Document Transition Report | false | |
Entity File Number | 1-6659 | |
Entity Registrant Name | ESSENTIAL UTILITIES, INC. | |
Entity Incorporation, State or Country Code | PA | |
Entity Tax Identification Number | 23-1702594 | |
Entity Address, Address Line One | 762 W. Lancaster Avenue | |
Entity Address, City or Town | Bryn Mawr | |
Entity Address, State or Province | PA | |
Entity Address, Postal Zip Code | 19010 -3489 | |
City Area Code | 610 | |
Local Phone Number | 527-8000 | |
Title of 12(b) Security | Common stock, $0.50 par value | |
Trading Symbol | WTRG | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 264,505,777 | |
Amendment Flag | false | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0000078128 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Assets | ||
Property, plant and equipment, at cost | $ 14,344,435 | $ 13,737,387 |
Less: accumulated depreciation | 2,753,586 | 2,606,441 |
Net property, plant and equipment | 11,590,849 | 11,130,946 |
Current assets: | ||
Cash and cash equivalents | 11,642 | 11,398 |
Accounts receivable, net | 149,942 | 206,324 |
Unbilled revenues | 75,737 | 170,504 |
Inventory - materials and supplies | 45,300 | 46,592 |
Inventory - gas stored | 63,216 | 153,143 |
Current assets held for sale | 7,378 | 11,167 |
Prepayments and other current assets | 36,557 | 39,759 |
Regulatory assets | 16,938 | 19,272 |
Total current assets | 406,710 | 658,159 |
Regulatory assets | 1,518,079 | 1,342,753 |
Deferred charges and other assets, net | 166,391 | 166,653 |
Funds restricted for construction activity | 1,360 | 1,342 |
Goodwill | 2,340,755 | 2,340,792 |
Non-current assets held for sale | 34,419 | 32,124 |
Operating lease right-of-use assets | 39,151 | 41,734 |
Intangible assets | 4,221 | 4,604 |
Total assets | 16,101,935 | 15,719,107 |
Stockholders' equity: | ||
Common stock at $0.50 par value, authorized 600,000,000 shares, issued 267,818,219 and 266,973,321 as of June 30, 2023 and December 31, 2022 | 133,909 | 133,486 |
Capital in excess of par value | 3,827,199 | 3,793,262 |
Retained earnings | 1,740,682 | 1,534,331 |
Treasury stock, at cost, 3,312,850 and 3,236,237 shares as of June 30, 2023 and December 31, 2022 | (87,092) | (83,693) |
Total stockholders' equity | 5,614,698 | 5,377,386 |
Long-term debt, excluding current portion | 6,661,014 | 6,418,039 |
Less: debt issuance costs | 45,498 | 46,982 |
Long-term debt, excluding current portion, net of debt issuance costs | 6,615,516 | 6,371,057 |
Commitments and contingencies (See Note 14) | ||
Current liabilities: | ||
Current portion of long-term debt | 198,749 | 199,356 |
Loans payable | 48,043 | 228,500 |
Accounts payable | 178,902 | 238,843 |
Book overdraft | 32,490 | 28,694 |
Accrued interest | 50,625 | 47,063 |
Accrued taxes | 26,232 | 34,393 |
Liabilities related to assets held for sale | 3,081 | 3,263 |
Regulatory liabilities | 96,669 | 35,276 |
Dividends payable | 75,808 | |
Other accrued liabilities | 130,344 | 130,673 |
Total current liabilities | 765,135 | 1,021,869 |
Deferred credits and other liabilities: | ||
Deferred income taxes and investment tax credits | 1,459,002 | 1,345,766 |
Customers' advances for construction | 125,362 | 114,732 |
Regulatory liabilities | 807,240 | 778,754 |
Asset retirement obligations | 842 | 843 |
Operating lease liabilities | 36,387 | 37,666 |
Non-current liabilities related to assets held for sale | 803 | 974 |
Pension and other postretirement benefit liabilities | 31,196 | 31,244 |
Other | 24,648 | 28,562 |
Total deferred credits and other liabilities | 2,485,480 | 2,338,541 |
Contributions in aid of construction | 621,106 | 610,254 |
Total liabilities and equity | $ 16,101,935 | $ 15,719,107 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2023 | Dec. 31, 2022 |
Consolidated Balance Sheets [Abstract] | ||
Common stock, par value | $ 0.50 | $ 0.50 |
Common stock, shares authorized | 600,000,000 | 600,000,000 |
Common stock, shares issued | 267,818,219 | 266,973,321 |
Treasury stock, shares | 3,312,850 | 3,236,237 |
Consolidated Statements Of Oper
Consolidated Statements Of Operations And Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Consolidated Statements Of Operations [Abstract] | ||||
Operating revenues | $ 436,700 | $ 448,756 | $ 1,163,150 | $ 1,148,031 |
Operating expenses: | ||||
Operations and maintenance | 133,508 | 134,981 | 271,502 | 277,562 |
Purchased gas | 41,933 | 75,143 | 298,248 | 302,855 |
Depreciation | 84,937 | 77,425 | 167,860 | 155,303 |
Amortization | 724 | 1,751 | 1,595 | 2,219 |
Taxes other than income taxes | 20,348 | 21,720 | 43,226 | 44,727 |
Total operating expenses | 281,450 | 311,020 | 782,431 | 782,666 |
Operating income | 155,250 | 137,736 | 380,719 | 365,365 |
Other expense (income): | ||||
Interest expense | 69,182 | 55,221 | 141,850 | 108,857 |
Interest income | (970) | (824) | (1,789) | (1,433) |
Allowance for funds used during construction | (3,424) | (6,151) | (9,112) | (11,990) |
Gain on sale of other assets | (220) | (478) | (469) | (478) |
Other | (323) | (423) | (563) | (2,125) |
Income before income taxes | 91,005 | 90,391 | 250,802 | 272,534 |
Provision for income taxes (benefit) | (263) | 8,100 | (31,900) | (9,133) |
Net income | 91,268 | 82,291 | 282,702 | 281,667 |
Comprehensive income | $ 91,268 | $ 82,291 | $ 282,702 | $ 281,667 |
Net income per common share: | ||||
Basic | $ 0.35 | $ 0.31 | $ 1.07 | $ 1.08 |
Diluted | $ 0.34 | $ 0.31 | $ 1.07 | $ 1.07 |
Average common shares outstanding during the period: | ||||
Basic | 264,418,000 | 262,099,000 | 264,306,000 | 262,026,000 |
Diluted | 264,818,000 | 262,558,000 | 264,840,000 | 262,545,000 |
Consolidated Statements Of Capi
Consolidated Statements Of Capitalization - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Stockholders' equity: | ||
Common stock, $0.50 par value | $ 133,909 | $ 133,486 |
Capital in excess of par value | 3,827,199 | 3,793,262 |
Retained earnings | 1,740,682 | 1,534,331 |
Treasury stock, at cost | (87,092) | (83,693) |
Total stockholders' equity | 5,614,698 | 5,377,386 |
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Long-term debt of subsidiaries | 3,127,763 | 3,062,395 |
Total long-term debt | 6,859,763 | 6,617,395 |
Current portion of long-term debt | 198,749 | 199,356 |
Long-term debt, excluding current portion | 6,661,014 | 6,418,039 |
Less: debt issuance costs | 45,498 | 46,982 |
Long-term debt, excluding current portion, net of debt issuance costs | 6,615,516 | 6,371,057 |
Total capitalization | 12,230,214 | 11,748,443 |
Long-Term Debt Of Subsidiaries 0.00% To 0.99% [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Long-term debt of subsidiaries | 1,566 | 1,875 |
Long-Term Debt Of Subsidiaries 1.00% To 1.99% [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Long-term debt of subsidiaries | 7,925 | 8,369 |
Long-Term Debt Of Subsidiaries 2.00% To 2.99% [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Long-term debt of subsidiaries | 208,931 | 209,755 |
Long-Term Debt Of Subsidiaries 3.00% To 3.99% [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Long-term debt of subsidiaries | 1,347,413 | 1,351,432 |
Long-Term Debt Of Subsidiaries 4.00% To 4.99% [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Long-term debt of subsidiaries | 1,400,281 | 1,403,313 |
Long-Term Debt Of Subsidiaries 5.00% To 5.99% [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Long-term debt of subsidiaries | 88,912 | 14,357 |
Long-Term Debt Of Subsidiaries 6.00% To 6.99% [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Long-term debt of subsidiaries | 31,000 | 31,000 |
Long-Term Debt Of Subsidiaries 7.00% To 7.99% [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Long-term debt of subsidiaries | 28,251 | 28,378 |
Long-Term Debt Of Subsidiaries 8.00% To 8.99% [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Long-term debt of subsidiaries | 1,684 | 2,116 |
Long-Term Debt Of Subsidiaries 9.00% To 9.99% [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Long-term debt of subsidiaries | 11,800 | 11,800 |
Revolving Credit Agreement, Due 2027 [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Notes payable to bank under revolving credit agreement, variable rate, due Dec 2023 | 677,000 | 490,000 |
Notes at 2.40% due 2031 [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Unsecured notes payable | 400,000 | 400,000 |
Notes at 2.704% due 2030 [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Unsecured notes payable | 500,000 | 500,000 |
Notes ranging from 3.01% to 3.59% due 2029 through 2050 [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Unsecured notes payable | 1,125,000 | 1,125,000 |
Notes at 4.28%, due 2049 [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Unsecured notes payable | 500,000 | 500,000 |
Notes at 5.30%, due 2052 [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Unsecured notes payable | 500,000 | 500,000 |
Notes ranging at 5.95%, due 2023 through 2034 [Member] | ||
Long-term debt of subsidiaries (substantially collateralized by utility plant): | ||
Unsecured notes payable | $ 30,000 | $ 40,000 |
Consolidated Statements Of Ca_2
Consolidated Statements Of Capitalization (Parenthetical) - $ / shares | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Dec. 31, 2022 | |
Common stock, par value | $ 0.50 | $ 0.50 |
Long-Term Debt Of Subsidiaries 8.00% To 8.99% [Member] | ||
Maturity date | 2025 | 2025 |
Long-Term Debt Of Subsidiaries 9.00% To 9.99% [Member] | ||
Maturity date | 2026 | 2026 |
Revolving Credit Agreement, Due 2027 [Member] | ||
Maturity date | 2027 | 2027 |
Notes at 2.40% due 2031 [Member] | ||
Interest rate | 2.40% | 2.40% |
Maturity date | 2031 | 2031 |
Notes at 2.704% due 2030 [Member] | ||
Interest rate | 2.704% | 2.704% |
Maturity date | 2030 | 2030 |
Notes at 4.28%, due 2049 [Member] | ||
Interest rate | 4.28% | 4.28% |
Maturity date | 2049 | 2049 |
Notes at 5.30%, due 2052 [Member] | ||
Interest rate | 5.30% | 5.30% |
Maturity date | 2052 | 2052 |
Notes at 5.95%, due 2023 through 2034 [Member] | ||
Interest rate | 5.95% | 5.95% |
Minimum [Member] | Long-Term Debt Of Subsidiaries 0.00% To 0.99% [Member] | ||
Interest rate | 0% | 0% |
Maturity date | 2023 | 2023 |
Minimum [Member] | Long-Term Debt Of Subsidiaries 1.00% To 1.99% [Member] | ||
Interest rate | 1% | 1% |
Maturity date | 2023 | 2023 |
Minimum [Member] | Long-Term Debt Of Subsidiaries 2.00% To 2.99% [Member] | ||
Interest rate | 2% | 2% |
Maturity date | 2024 | 2024 |
Minimum [Member] | Long-Term Debt Of Subsidiaries 3.00% To 3.99% [Member] | ||
Interest rate | 3% | 3% |
Maturity date | 2023 | 2023 |
Minimum [Member] | Long-Term Debt Of Subsidiaries 4.00% To 4.99% [Member] | ||
Interest rate | 4% | 4% |
Maturity date | 2023 | 2023 |
Minimum [Member] | Long-Term Debt Of Subsidiaries 5.00% To 5.99% [Member] | ||
Interest rate | 5% | 5% |
Maturity date | 2023 | 2023 |
Minimum [Member] | Long-Term Debt Of Subsidiaries 6.00% To 6.99% [Member] | ||
Interest rate | 6% | 6% |
Maturity date | 2026 | 2026 |
Minimum [Member] | Long-Term Debt Of Subsidiaries 7.00% To 7.99% [Member] | ||
Interest rate | 7% | 7% |
Maturity date | 2025 | 2025 |
Minimum [Member] | Long-Term Debt Of Subsidiaries 8.00% To 8.99% [Member] | ||
Interest rate | 8% | 8% |
Minimum [Member] | Long-Term Debt Of Subsidiaries 9.00% To 9.99% [Member] | ||
Interest rate | 9% | 9% |
Minimum [Member] | Notes ranging from 3.01% to 3.59% due 2029 through 2050 [Member] | ||
Interest rate | 3.01% | 3.01% |
Maturity date | 2029 | 2029 |
Minimum [Member] | Notes at 5.95%, due 2023 through 2034 [Member] | ||
Maturity date | 2023 | 2023 |
Maximum [Member] | Long-Term Debt Of Subsidiaries 0.00% To 0.99% [Member] | ||
Interest rate | 0.99% | 0.99% |
Maturity date | 2033 | 2033 |
Maximum [Member] | Long-Term Debt Of Subsidiaries 1.00% To 1.99% [Member] | ||
Interest rate | 1.99% | 1.99% |
Maturity date | 2039 | 2039 |
Maximum [Member] | Long-Term Debt Of Subsidiaries 2.00% To 2.99% [Member] | ||
Interest rate | 2.99% | 2.99% |
Maturity date | 2058 | 2058 |
Maximum [Member] | Long-Term Debt Of Subsidiaries 3.00% To 3.99% [Member] | ||
Interest rate | 3.99% | 3.99% |
Maturity date | 2056 | 2056 |
Maximum [Member] | Long-Term Debt Of Subsidiaries 4.00% To 4.99% [Member] | ||
Interest rate | 4.99% | 4.99% |
Maturity date | 2059 | 2059 |
Maximum [Member] | Long-Term Debt Of Subsidiaries 5.00% To 5.99% [Member] | ||
Interest rate | 5.99% | 5.99% |
Maturity date | 2052 | 2052 |
Maximum [Member] | Long-Term Debt Of Subsidiaries 6.00% To 6.99% [Member] | ||
Interest rate | 6.99% | 6.99% |
Maturity date | 2036 | 2036 |
Maximum [Member] | Long-Term Debt Of Subsidiaries 7.00% To 7.99% [Member] | ||
Interest rate | 7.99% | 7.99% |
Maturity date | 2027 | 2027 |
Maximum [Member] | Long-Term Debt Of Subsidiaries 8.00% To 8.99% [Member] | ||
Interest rate | 8.99% | 8.99% |
Maximum [Member] | Long-Term Debt Of Subsidiaries 9.00% To 9.99% [Member] | ||
Interest rate | 9.99% | 9.99% |
Maximum [Member] | Notes ranging from 3.01% to 3.59% due 2029 through 2050 [Member] | ||
Interest rate | 3.59% | 3.59% |
Maturity date | 2050 | 2050 |
Maximum [Member] | Notes at 5.95%, due 2023 through 2034 [Member] | ||
Maturity date | 2034 | 2034 |
Consolidated Statements Of Equi
Consolidated Statements Of Equity - USD ($) $ in Thousands | Common Stock [Member] | Capital In Excess Of Par Value [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Total |
Balance at Dec. 31, 2021 | $ 128,050 | $ 3,705,814 | $ 1,434,201 | $ (83,615) | $ 5,184,450 |
Net income | 199,376 | 199,376 | |||
Dividends declared and paid | (67,821) | (67,821) | |||
Dividends declared | (67,863) | (67,863) | |||
Issuance of common stock under dividend reinvestment plan | 47 | 4,070 | 4,117 | ||
Repurchase of stock | (1,012) | (1,012) | |||
Equity compensation plan | 29 | (29) | |||
Exercise of stock options | 14 | 998 | 1,012 | ||
Stock-based compensation | 2,716 | (136) | 2,580 | ||
Other | (9) | 270 | 261 | ||
Balance at Mar. 31, 2022 | 128,140 | 3,713,560 | 1,497,757 | (84,357) | 5,255,100 |
Balance at Dec. 31, 2021 | 128,050 | 3,705,814 | 1,434,201 | (83,615) | 5,184,450 |
Net income | 281,667 | ||||
Balance at Jun. 30, 2022 | 132,707 | 3,715,975 | 1,577,442 | (84,092) | 5,342,032 |
Balance at Mar. 31, 2022 | 128,140 | 3,713,560 | 1,497,757 | (84,357) | 5,255,100 |
Net income | 82,291 | 82,291 | |||
Dividends declared and paid | (2,424) | (2,424) | |||
Issuance of common stock from stock purchase contracts | 4,515 | (4,515) | |||
Issuance of common stock under dividend reinvestment plan | 47 | 4,007 | 4,054 | ||
Repurchase of stock | (15) | (15) | |||
Equity compensation plan | 2 | (2) | |||
Exercise of stock options | 3 | 224 | 227 | ||
Stock-based compensation | 2,725 | (182) | 2,543 | ||
Other | (24) | 280 | 256 | ||
Balance at Jun. 30, 2022 | 132,707 | 3,715,975 | 1,577,442 | (84,092) | 5,342,032 |
Balance at Dec. 31, 2022 | 133,486 | 3,793,262 | 1,534,331 | (83,693) | 5,377,386 |
Net income | 191,434 | 191,434 | |||
Dividends declared and paid | (1) | (1) | |||
Dividends declared | (75,876) | (75,876) | |||
Issuance of common stock under dividend reinvestment plan | 49 | 4,068 | 4,117 | ||
Issuance of common stock from at-the-market sale agreements | 200 | 19,094 | 19,294 | ||
Repurchase of stock | (3,911) | (3,911) | |||
Equity compensation plan | 111 | (111) | |||
Exercise of stock options | 2 | 101 | 103 | ||
Stock-based compensation | 3,410 | (267) | 3,143 | ||
Other | (20) | 273 | 253 | ||
Balance at Mar. 31, 2023 | 133,848 | 3,819,804 | 1,649,621 | (87,331) | 5,515,942 |
Balance at Dec. 31, 2022 | 133,486 | 3,793,262 | 1,534,331 | (83,693) | 5,377,386 |
Net income | 282,702 | ||||
Balance at Jun. 30, 2023 | 133,909 | 3,827,199 | 1,740,682 | (87,092) | 5,614,698 |
Balance at Mar. 31, 2023 | 133,848 | 3,819,804 | 1,649,621 | (87,331) | 5,515,942 |
Net income | 91,268 | 91,268 | |||
Dividends declared and paid | (1) | (1) | |||
Issuance of common stock under dividend reinvestment plan | 51 | 3,901 | 3,952 | ||
Repurchase of stock | (42) | (42) | |||
Equity compensation plan | 9 | (9) | |||
Exercise of stock options | 1 | 105 | 106 | ||
Stock-based compensation | 3,515 | (206) | 3,309 | ||
Other | (117) | 281 | 164 | ||
Balance at Jun. 30, 2023 | $ 133,909 | $ 3,827,199 | $ 1,740,682 | $ (87,092) | $ 5,614,698 |
Consolidated Statements Of Eq_2
Consolidated Statements Of Equity (Parenthetical) - $ / shares | 3 Months Ended | |||
Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2022 | Mar. 31, 2022 | |
Consolidated Statements Of Equity (Parenthetical) [Abstract] | ||||
Common Stock, Dividends, Per Share, Cash Paid | $ 0.287 | $ 0.287 | $ 0.2682 | $ 0.2682 |
Dividend declared per common share | $ 0.287 | $ 0.2682 | ||
Issuance of common stock from stock purchase contracts , shares | 9,029,461 | |||
Issuance of common stock under dividend reinvestment plan, shares | 102,676 | 97,315 | 92,889 | 93,833 |
Issuance of common stock from at-the-market sale agreements, shares | 399,128 | |||
Repurchase of stock, shares | 971 | 88,051 | 305 | 21,290 |
Equity compensation plan, shares | 17,054 | 222,782 | 4,736 | 57,052 |
Exercise of stock options, shares | 3,026 | 2,917 | 6,462 | 28,516 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flow - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Cash flows from operating activities: | ||
Net income | $ 282,702 | $ 281,667 |
Adjustments to reconcile net income to net cash flows from operating activities: | ||
Depreciation and amortization | 169,455 | 157,522 |
Deferred income taxes | (34,711) | (13,810) |
Provision for doubtful accounts | 11,594 | 12,793 |
Stock-based compensation | 6,950 | 5,471 |
Gain on sale of utility systems and other assets | (469) | (478) |
Net change in receivables, deferred purchased gas costs, inventory and prepayments | 300,648 | 6,742 |
Net change in payables, accrued interest, accrued taxes and other accrued liabilities | (90,739) | (4,222) |
Pension and other postretirement benefits contributions | (14,564) | |
Other | (24,008) | (14,819) |
Net cash flows from operating activities | 621,422 | 416,302 |
Cash flows from investing activities: | ||
Property, plant and equipment additions, including the debt component of allowance for funds used during construction of $2,587 and $3,013 | (547,600) | (424,645) |
Acquisitions of utility systems, net | (25,793) | (50,010) |
Net proceeds from the sale of utility systems and other assets | 613 | 485 |
Other | 386 | 157 |
Net cash flows used in investing activities | (572,394) | (474,013) |
Cash flows from financing activities: | ||
Customers' advances and contributions in aid of construction | 9,375 | 5,796 |
Repayments of customers' advances | (1,958) | (901) |
Net proceeds (repayments) of short-term debt | (180,457) | (60,297) |
Proceeds from long-term debt | 384,715 | 770,376 |
Repayments of long-term debt | (136,604) | (464,585) |
Change in cash overdraft position | 3,795 | (61,061) |
Proceeds from issuance of common stock under dividend reinvestment plan | 8,069 | 8,171 |
Proceeds from issuance of common stock from at-the-market sale agreement | 19,294 | |
Proceeds from exercised stock options | 209 | 1,239 |
Repurchase of common stock | (3,953) | (1,027) |
Dividends paid on common stock | (151,686) | (138,108) |
Other | 417 | 517 |
Net cash flows from (used in) financing activities | (48,784) | 60,120 |
Net change in cash and cash equivalents | 244 | 2,409 |
Cash and cash equivalents at beginning of period | 11,398 | 10,567 |
Cash and cash equivalents at end of period | 11,642 | 12,976 |
Non-cash investing activities: | ||
Property, plant and equipment additions purchased at the period end, but not yet paid for | 124,503 | 94,473 |
Non-cash utility property contributions | $ 25,980 | $ 8,789 |
Consolidated Statements Of Ca_3
Consolidated Statements Of Cash Flow (Parenthetical) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Consolidated Statements Of Cash Flow [Abstract] | ||
Debt component of allowance for funds used during construction | $ 2,587 | $ 3,013 |
Basis Of Presentation
Basis Of Presentation | 6 Months Ended |
Jun. 30, 2023 | |
Basis Of Presentation [Abstract] | |
Basis Of Presentation | Note 1 – Basis of Presentation The accompanying unaudited consolidated balance sheets and statements of capitalization of Essential Utilities, Inc. and subsidiaries (collectively, the “Company”, “we”, “us” or “our”) at June 30, 2023, the unaudited consolidated statements of operations and comprehensive income for the three and six months ended June 30, 2023, and the unaudited consolidated statements of cash flows and of equity for the six months ended June 30, 2023 and 2022, have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim reporting and the rules and regulations for reporting on Quarterly Reports on Form 10-Q. Because they cover interim periods, the statements and related notes to the financial statements do not include all disclosures and notes normally provided in annual financial statements and, therefore, should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. Interim results are not necessarily indicative of results for a full year. In the opinion of management, all adjustments, consisting of only recurring accruals, which are necessary to present a fair statement of its consolidated balance sheets, consolidated statements of equity, consolidated statements of operations and comprehensive income, and consolidated cash flow for the periods presented, have been made. The preparation of financial statements often requires the selection of specific accounting methods and policies. Significant estimates and judgments may be required in selecting and applying those methods and policies in the recognition of the assets and liabilities in its consolidated balance sheets, the revenues and expenses in its consolidated statements of operations and comprehensive income, and the information that is contained in its summary of significant accounting policies and notes to consolidated financial statements. Making these estimates and judgments requires the analysis of information concerning events that may not yet be complete and of facts and circumstances that may change over time. Furthermore, we are exposed to the uncertain state of the economy and macroeconomic conditions, including inflation and rising interest rates. As these continue to evolve, future events and effects related to these conditions cannot be determined with precision. Accordingly, actual amounts or future results can differ materially from those estimates that the Company includes currently in its consolidated financial statements, summary of significant accounting policies, and notes. There have been no changes to the summary of significant accounting policies previously identified in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Jun. 30, 2023 | |
Revenue Recognition [Abstract] | |
Revenue Recognition | Note 2 – Revenue Recognition The following table presents our revenues disaggregated by major source and customer class: Three Months Ended Three Months Ended June 30, 2023 June 30, 2022 Water Revenues Wastewater Revenues Natural Gas Revenues Other Revenues Water Revenues Wastewater Revenues Natural Gas Revenues Other Revenues Revenues from contracts with customers: Residential $ 167,121 $ 34,046 $ 76,476 $ - $ 149,542 $ 30,653 $ 95,942 $ - Commercial 46,774 8,656 16,297 - 41,025 6,973 18,853 - Fire protection 10,185 - - - 9,547 - - - Industrial 8,289 509 471 - 7,604 432 957 - Gas transportation & storage - - 34,862 - - - 40,573 - Other water 11,917 - - - 15,899 - - - Other wastewater - 2,730 - - - 3,507 - - Other utility - - 10,845 2,649 - - 11,840 3,325 Revenues from contracts with customers 244,286 45,941 138,951 2,649 223,617 41,565 168,165 3,325 Alternative revenue program 767 29 32 - 1,109 ( 161 ) 176 - Other and eliminations - - - 4,045 ( 545 ) - - 11,505 Consolidated $ 245,053 $ 45,970 $ 138,983 $ 6,694 $ 224,181 $ 41,404 $ 168,341 $ 14,830 Six Months Ended Six Months Ended June 30, 2023 June 30, 2022 Water Revenues Wastewater Revenues Natural Gas Revenues Other Revenues Water Revenues Wastewater Revenues Natural Gas Revenues Other Revenues Revenues from contracts with customers: Residential $ 314,373 $ 67,536 $ 368,706 $ - $ 280,830 $ 57,148 $ 381,048 $ - Commercial 87,728 17,247 81,454 - 76,145 13,038 75,893 - Fire protection 20,444 - - - 18,740 - - - Industrial 16,146 1,087 2,260 - 14,785 776 2,799 - Gas transportation & storage - - 102,515 - - - 119,747 - Other water 20,761 - - - 33,250 - - - Other wastewater - 5,464 - - - 6,005 - - Other utility - - 23,922 8,808 - - 35,066 6,240 Revenues from contracts with customers 459,452 91,334 578,857 8,808 423,750 76,967 614,553 6,240 Alternative revenue program 1,169 209 1,421 - 1,724 ( 188 ) - - Other and eliminations - - - 21,900 ( 545 ) - - 25,530 Consolidated $ 460,621 $ 91,543 $ 580,278 $ 30,708 $ 424,929 $ 76,779 $ 614,553 $ 31,770 |
Acquisitions
Acquisitions | 6 Months Ended |
Jun. 30, 2023 | |
Acquisitions [Abstract] | |
Acquisitions | Note 3 – Acquisitions Water and Wastewater Utility Acquisitions - Completed In July 2023, the Company completed the following water utility asset acquisitions: Shenandoah Borough, Pennsylvania, which serves 2,887 customers for $ 12,291 ; La Rue, an Ohio municipality, which serves approximately 300 customers for $ 2,253 ; and, Southern Oaks Water System, which serves 765 customers in Texas for $ 3,321 . Additionally, in July 2023, the Company completed their acquisition of a portion of the water and wastewater utility assets of the Village of Frankfort, an Illinois municipality, which serves approximately 1,400 customers for $ 1,424 . In June 2023, the Company acquired the wastewater utility assets of Union Rome, Ohio, which serves 4,679 customers for a cash purchase price of $ 25,547 . In March 2023, the Company acquired the North Heidelberg Sewer Company in Berks County, Pennsylvania, which serves 273 customer connections for a cash purchase price of $ 136 . In November 2022, the Company acquired certain water utility assets of Oak Brook, Illinois, which serve 2,037 customers for a cash purchase price of $ 12,500 . On July 29, 2022, the Pennsylvania Public Utility Commission issued an order (the “PUC Order”) approving the Company’s acquisition of the municipal wastewater assets of East Whiteland Township, Chester County, Pennsylvania, which serves 4,018 customers (the “East Whiteland Wastewater Assets”). On August 12, 2022, the Company acquired the East Whiteland Wastewater Assets for a cash purchase price of $ 54,374 . Subsequently on August 25, 2022, the Office of Consumer Advocate (“OCA”) filed an appeal of the PUC Order to the Pennsylvania Commonwealth Court. On July 31, 2023, a decision was issued by the Pennsylvania Commonwealth Court, in which the Pennsylvania Commonwealth Court agreed with the OCA and reversed the PUC order which approved the acquisition. We are currently evaluating this decision by the Pennsylvania Commonwealth Court and while the final outcome of the decision cannot be predicted with certainty, the final resolution of this matter is not expected to have a material adverse effect on the Company’s financial position, results of operations or cash flows. In March 2022, the Company acquired the wastewater system of Lower Makefield Township, which serves 11,323 customer connections in Lower Makefield, Falls and Middletown townships, and Yardley Borough, Bucks County, Pennsylvania, for a cash purchase price of $ 53,000 . The purchase price allocation for these acquisitions consisted primarily of acquired property, plant and equipment. The pro forma effect of the utility systems acquired is not material either individually or collectively to the Company’s results of operations. Water and Wastewater Utility Acquisitions – Pending Completion In June 2023, the Company entered into a purchase agreement to acquire Westfield HOA wastewater assets, which serves approximately 225 customers within Westfield Homeowners Subdivision in Glenview, Illinois for $ 50 . In April 2023, the Company entered into a purchase agreement to acquire Greenville Sanitation Authority’s wastewater utility assets, which serves approximately 2,300 customers in Greenville, Pennsylvania for $ 18,000 . In October 2021, the Company entered into a purchase agreement to acquire the wastewater utility assets of the City of Beaver Falls, Pennsylvania which consists of approximately 7,600 customers for $ 41,250 . The purchase price for these pending acquisitions are subject to certain adjustments at closing, and are subject to regulatory approval, including the final determination of the fair value of the rate base acquired. We plan to finance the purchase price of these acquisitions by utilizing our revolving credit facility until permanent debt and common equity are secured. These pending acquisitions are expected to close in 2023 and in 2024. Closing for our utility acquisitions are subject to the timing of the respective regulatory approval processes. In January 2021, the Company entered into a purchase agreement to acquire the wastewater utility system assets of Willistown Township, Pennsylvania, which consist of approximately 2,300 customers, for $ 17,500 . On April 14, 2023, the Willistown Township supervisors exercised their right to terminate the agreement. DELCORA Purchase Agreement In September 2019, the Company entered into a purchase agreement to acquire the wastewater utility system assets of the Delaware County Regional Water Quality Control Authority (“DELCORA”), which consists of approximately 16,000 customers, or the equivalent of 198,000 retail customers, in 42 municipalities in Southeast Pennsylvania for $ 276,500 . In May 2020, Delaware County, Pennsylvania, filed a lawsuit alleging that DELCORA does not have the legal authority to establish and fund a customer trust with the net proceeds of the transaction. In December 2020, the judge in the Delaware County Court lawsuit issued an order that (1) the County cannot interfere with the purchase agreement between DELCORA and the Company; (2) the County cannot terminate DELCORA prior to the closing of the transaction; and (3) the establishment of the customer trust was valid. Delaware County appealed this decision to Commonwealth Court of Pennsylvania. On March 3, 2022, the Commonwealth Court issued a decision finding that Delaware County can dissolve DELCORA if it so chooses, but the purchase agreement must be upheld regardless of who is operating the system. The case was remanded back to the trial court for the entry of an order consistent with the Commonwealth Court’s opinion. This order was issued on September 8, 2022 (“Remand Order”). Since then, the County has challenged the Remand Order through two separate actions described in the below bullet points. The effect of those proceedings has resulted in the Remand Order being on appeal to the Commonwealth Court. In the appeal of the Remand Order, Delaware County filed its brief on June 8, 2023, and the Company filed its briefs on July 21, 2023. DELCORA will submit its brief on August 21, 2023. However, Delaware County filed its Reply brief to the Company’s brief of August 4, 2023. First, Delaware County filed an Application for Determination of Finality (“Application”) on October 13, 2022, with the Delaware County Court of Common Pleas. The Company filed its opposition to the Application on October 27, 2022, and on November 2, 2022, the Delaware County Court of Common Pleas denied Delaware County’s Application indicating that its previous order already constituted a final order that addressed the claims of all parties. On December 2, 2022, following the denial of its Application, Delaware County filed a Petition for Permission to Appeal (“Petition”) the Remand Order in the Commonwealth Court of Pennsylvania. On December 16, 2022, the Company filed an Answer in opposition to the Petition. The Commonwealth Court issued an Order denying the County’s Petition on February 2, 2023. The County filed an Application for Reconsideration of the Commonwealth Court’s February 2023 Order, which the Commonwealth Court granted on April 4, 2023. In that April 4, 2023 Order, the Commonwealth Court construed the Petition as a Notice of Appeal and has initiated a briefing schedule for this appeal. Second, on November 2, 2022, Delaware County filed a Notice of Appeal (“Notice of Appeal”) from the Remand Order with the Delaware County Court of Common Pleas. On December 2, 2022, the Delaware County Court of Common Pleas issued an Opinion concluding that the County Court did not err in issuing the Remand Order. On January 13, 2023, Delaware County filed an Application in Commonwealth Court seeking confirmation of briefing deadlines with respect to the Notice of Appeal. In response, by Order dated January 24, 2023, the Commonwealth Court stated that “the record received from the Court of Common Pleas of Delaware County is currently under review for finality. A briefing schedule will be issued upon completion of this review.” The Company filed an Application to quash the County’s Appeal on February 7, 2023. On April 4, 2023, the Commonwealth Court granted the Company’s Application and quashed the appeal. On January 25, 2023, DELCORA filed in the Delaware Court of Common Pleas a complaint for Declaratory Judgment against the Company and Delaware County seeking resolution of whether the County Ordinance dissolving DELCORA is a final action prohibiting DELCORA from carrying out the material transaction of the Asset Purchase Agreement and, in the event that DELCORA retains the ability to close the transaction, whether DELCORA is permitted to exist as a trust. The Company filed preliminary objections to DELCORA’s complaint, which are scheduled for a hearing on October 12, 2023. Meanwhile, the administrative law judges (“ALJ”) in the regulatory approval process recommended that the Company’s application to acquire DELCORA be denied, and subsequently, the Company provided exceptions to the recommended decision. On March 30, 2021, the Pennsylvania Public Utility Commission (“PUC”) ruled that the case be remanded back to the Office of Administrative Law Judge and vacated the original administrative law judges’ recommended decision (“2021 Order”). This 2021 Order was also appealed to the Commonwealth Court by Delaware County on April 29, 2021. A decision was issued by the Commonwealth Court on September 12, 2022, which dismissed the appeal of the County. After the PUC issued the 2021 Order, on April 16, 2021, the ALJ issued an order staying the proceeding until the Delaware County Court lawsuit is final and unappealable. On March 25, 2022, the Company sent a letter notifying the PUC of the March 3, 2022, Commonwealth Court decision (that originated in Delaware County Court of Common Pleas) and requested that the PUC move forward with processing the application. On July 14, 2022, the Commission moved to lift the stay imposed by the ALJ, and required the ALJ to establish a schedule on remand for the proceeding. The ALJ established a procedural schedule for the remand proceeding. On August 17, 2022, Receiver for the City of Chester filed suit in Delaware County Common Pleas Court against DELCORA premised upon the claimed reversionary interest of the City in some of DELCORA’s assets. The Company intervened in that matter on October 19, 2022 and on March 27, 2023 filed preliminary objections. A hearing on the objections is scheduled for August 28, 2023. On January 26, 2023, several parties involved in the PUC case filed a joint motion for stay based on DELCORA’s filing of the January 25, 2023 Complaint for Declaratory Judgment and referenced the City of Chester’s bankruptcy filing in which the City of Chester has asserted reversionary contract interests regarding some of DELCORA’s wastewater assets. On February 6, 2023, the ALJ stayed the PUC DELCORA application proceedings again. On May 23, 2023, the Bankruptcy Court issued an order in the City of Chester’s bankruptcy filing staying the PUC proceedings until relief from the stay is granted by the Bankruptcy Court. The Company appealed the Bankruptcy Court stay order to the United States District Court for the Eastern District of Pennsylvania on June 6, 2023. On June 16, 2023, the Company filed a Complaint against DELCORA in the Delaware County Court of Common Pleas requesting a declaratory judgment and injunctive relief regarding breach of the Asset Purchase Agreement in acting outside the ordinary course of business by attempting to enter into a new agreement with Philadelphia Water Department for the treatment of wastewater without the Company’s consent. The purchase price for this pending acquisition is subject to certain adjustments at closing, and is subject to regulatory approval, including the final determination of the fair value of the rate base acquired. We plan to finance the purchase price of this acquisition with a mix of equity and debt financing, utilizing our revolving credit facility until permanent debt is secured. Closing of our acquisition of DELCORA is subject to the timing of the above-described regulatory approval process and on-going litigation. |
Assets Held for Sale
Assets Held for Sale | 6 Months Ended |
Jun. 30, 2023 | |
Assets Held for Sale [Abstract] | |
Assets Held for Sale | Note 4 – Assets Held for Sale In the fourth quarter of 2022, the Company decided to market for sale the assets of its regulated natural gas system in West Virginia that serves approximately 13,000 customers and is part of the Company’s Regulated Natural Gas segment. On December 31, 2022, the Company entered into a definitive agreement with Hope Gas, Inc. for the sale of its membership interests in its West Virginia assets for cash at closing of $ 37,000 . The purchase price is subject to certain adjustments at closing and is subject to applicable regulatory approvals. Closing on the sale is expected later in 2023, and completion of this transaction will conclude the Company’s operations in West Virginia. Based on an assessment of the sale price and the carrying value of the planned disposition, there is no anticipated impairment expected to be recognized because of this sale agreement. These assets and liabilities do not qualify as discontinued operations, are reported as held for sale in the Company’s consolidated balance sheet, and consist of the following: June 30, 2023 December 31, 2022 Inventory - gas stored $ 592 $ 2,807 Other current assets 1,778 3,284 Regulatory assets 5,008 5,076 Current assets held for sale $ 7,378 $ 11,167 Property, plant and equipment, net 33,804 30,267 Regulatory assets and other 615 1,857 Non-current assets held for sale $ 34,419 $ 32,124 Current liabilities related to assets held for sale $ 3,081 $ 3,263 Regulatory liabilities 529 649 Other long-term liabilities 274 325 Non-current liabilities related to assets held for sale $ 803 $ 974 |
Goodwill
Goodwill | 6 Months Ended |
Jun. 30, 2023 | |
Goodwill [Abstract] | |
Goodwill | Note 5 – Goodwill The following table summarizes the changes in the Company’s goodwill, by business segment: Regulated Water Regulated Natural Gas Other Consolidated Balance at December 31, 2022 $ 58,504 $ 2,277,447 $ 4,841 $ 2,340,792 Reclassification to utility plant acquisition adjustment ( 37 ) - - ( 37 ) Balance at June 30, 2023 $ 58,467 $ 2,277,447 $ 4,841 $ 2,340,755 The reclassification of goodwill to utility plant acquisition adjustment results from a mechanism approved by the applicable utility commission. The mechanism provides for the transfer over time, and the recovery through customer rates, of goodwill associated with some acquisitions upon achieving specific objectives. |
Capitalization
Capitalization | 6 Months Ended |
Jun. 30, 2023 | |
Capitalization [Abstract] | |
Capitalization | Note 6 – Capitalization At-the-Market Offering On October 14, 2022, the Company entered into at-the market sales agreements (“ATM”) with third-party sales agents, under which the Company may offer and sell shares of its common stock, from time to time, at its option, having an aggregate gross offering price of up to $ 500,000 pursuant to the Company’s effective shelf registration statement on Form S-3 (File No. 333-255235). The Company intends to use the net proceeds from the sales of shares through the ATM for working capital, capital expenditures, water and wastewater utility acquisitions and repaying outstanding indebtedness . As of December 31, 2022, the Company issued 1,321,994 shares of common stock under the ATM for proceeds of $ 63,040 , net of expenses. In January 2023, the Company issued 399,128 shares of common stock under the ATM for proceeds of $ 19,294 , net of expenses. No shares were issued under the ATM in the second quarter of 2023. Tangible Equity Units On April 23, 2019, the Company issued $ 690,000 , less expenses of $ 16,358 , of its tangible equity units (the “Units”), with a stated amount of $ 50.00 per unit. This issuance was part of the permanent financing to close the Peoples Gas Acquisition. Each Unit consisted of a prepaid stock purchase contract and an amortizing note, each issued by the Company. The amortizing notes had an initial principal amount of $ 8.62909 , or $ 119,081 in aggregate, and yielded interest at a rate of 3.00 % per year, and paid equal quarterly per unit cash installments of $ 0.75 per amortizing note (except for the July 30, 2019 installment payment, which was $ 0.80833 per amortizing note), that constituted a payment of interest and a partial repayment of principal. This cash payment in the aggregate was equivalent to 6.00 % per year with respect to each $ 50.00 stated amount of the Units. The amortizing notes represented unsecured senior obligations of the Company. Certain holders of the tangible equity units had early settled their prepaid stock purchase contracts prior to the due date, and, in exchange, the Company issued shares of its common stock. During April 2022, 981,919 stock purchase contracts were early settled by the holders of the contracts, resulting in the issuance of 1,166,107 shares of the Company’s common stock. On May 2, 2022, the remaining 6,621,315 stock purchase contracts were each mandatorily settled for 1.18758 shares of the Company’s common stock, and in the aggregate the Company issued 7,863,354 shares of its common stock. Additionally, the final quarterly installment payment was made, which resulted in the complete pay-off of the amortizing notes. Long-term Debt and Loans Payable On June 29, 2023, Aqua Pennsylvania and Peoples Natural Gas Companies amended the terms of their respective $ 100,000 and $ 300,000 , 364 -day revolving credit agreements, as follows: (1) extended the maturity dates to June 27, 2024; and (2) updated the adjustment on the Bloomberg Short-Term Bank Yield Index (BSBY) Rate. In January 2023 and October 2022, the Company’s subsidiary, Aqua Pennsylvania, issued $ 75,000 and $ 125,000 of first mortgage bonds, due in 2043 and 2052 , and with interest rates of 5.60 % and 4.50 %, respectively. The proceeds from these bonds were used to repay existing indebtedness and for general corporate purposes. On May 20, 2022, the Company issued $ 500,000 of long-term debt (the “Senior Notes”), less expenses of $ 5,815 , due in 2052 with an interest rate of 5.30 %. The Company used the net proceeds from the issuance of Senior Notes to (1) to repay $ 49,700 of borrowings under Aqua Pennsylvania’s 364-day revolving credit facility and $ 410,000 of borrowings under the Company’s existing five year unsecured revolving credit facility, and (2) for general corporate purposes. On December 14, 2022, the Company entered into a five year $ 1,000,000 unsecured revolving credit facility, which replaced the Company’s prior five year $ 1,000,000 unsecured revolving credit facility. The Company’s new unsecured revolving credit facility was used to repay all indebtedness and fees under our prior unsecured revolving credit facility, and for other general corporate purposes. The facility includes a $ 100,000 sublimit for daily demand loan. Funds borrowed under this facility are classified as long-term debt and are used to provide working capital as well as support for letters of credit for insurance policies and other financing arrangements. As of June 30, 2023, the Company has the following sublimits and available capacity under the credit facility: $ 100,000 letter of credit sublimit, $ 82,362 of letters of credit available capacity, $ 0 borrowed under the swing-line commitment, $ 100,000 was available for borrowing under the swing-line commitment, $ 305,362 available for borrowing and $ 677,000 of funds borrowed under the agreement. |
Financial Instruments
Financial Instruments | 6 Months Ended |
Jun. 30, 2023 | |
Financial Instruments [Abstract] | |
Financial Instruments | Note 7 – Financial Instruments Financial instruments are recorded at carrying value in the financial statements and approximate fair value as of the dates presented. The fair value of these instruments is disclosed below in accordance with current accounting guidance related to financial instruments. There have been no changes in the valuation techniques used to measure fair value, or asset or liability transfers between the levels of the fair value hierarchy for the six months ended June 30, 2023 and 2022. The fair value of loans payable is determined based on its carrying amount and utilizing Level 1 methods and assumptions. As of June 30, 2023 and December 31, 2022, the carrying amount of the Company’s loans payable was $ 48,043 and $ 228,500 , respectively, which equates to their estimated fair value. The fair value of cash and cash equivalents, is determined based on Level 1 methods and assumptions. As of June 30, 2023 and December 31, 2022, the carrying amounts of the Company's cash and cash equivalents was $ 11,642 and $ 11,398 , respectively, which equates to their fair value. The Company’s assets underlying the deferred compensation and non-qualified pension plans are determined by the fair value of mutual funds, which are based on quoted market prices from active markets utilizing Level 1 methods and assumptions. As of June 30, 2023 and December 31, 2022, the carrying amount of these securities was $ 25,319 and $ 24,962 , respectively, which equates to their fair value, and is reported in the consolidated balance sheet in deferred charges and other assets. Unrealized gain and losses on equity securities held in conjunction with our non-qualified pension plan is as follows: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Net gain (loss) recognized during the period on equity securities $ 211 $ ( 459 ) $ 342 $ ( 737 ) Less: net gain / loss recognized during the period on equity securities sold during the period - - - - Unrealized gain (loss) recognized during the reporting period on equity securities still held at the reporting date $ 211 $ ( 459 ) $ 342 $ ( 737 ) The net gain (loss) recognized on equity securities is presented on the consolidated statements of operations and comprehensive income on the line item “Other.” The carrying amounts and estimated fair values of the Company’s long-term debt is as follows: June 30, December 31, 2023 2022 Carrying amount $ 6,859,763 $ 6,617,395 Estimated fair value 5,638,394 5,528,131 The fair value of long-term debt has been determined by discounting the future cash flows using current market interest rates for similar financial instruments of the same duration utilizing Level 2 methods and assumptions. The Company’s customers’ advances for construction have a carrying value of $ 125,362 as of June 30, 2023, and $ 114,732 as of December 31, 2022. Their relative fair values cannot be accurately estimated because future refund payments depend on several variables, including new customer connections, customer consumption levels, and future rates. Portions of these non-interest-bearing instruments are payable annually through 2032, and amounts not paid by the respective contract expiration dates become non-refundable. The fair value of these amounts would, however, be less than their carrying value due to the non-interest-bearing feature. |
Net Income Per Common Share
Net Income Per Common Share | 6 Months Ended |
Jun. 30, 2023 | |
Net Income Per Common Share [Abstract] | |
Net Income Per Common Share | Note 8 – Net Income per Common Share Basic net income per common share is based on the weighted average number of common shares outstanding and the weighted average minimum number of shares issued upon settlement of the stock purchase contracts issued under the tangible equity units. Diluted net income per common share is based on the weighted average number of common shares outstanding and potentially dilutive shares. The dilutive effect of employee stock-based compensation is included in the computation of diluted net income per common share. The dilutive effect of stock-based compensation is calculated using the treasury stock method and expected proceeds upon exercise of the stock-based compensation. The treasury stock method assumes that the proceeds from stock-based compensation is used to purchase the Company’s common stock at the average market price during the period. The following table summarizes the shares, in thousands, used in computing basic and diluted net income per common share: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Average common shares outstanding during the period for basic computation 264,418 262,099 264,306 262,026 Effect of dilutive securities: Employee stock-based compensation 400 459 534 519 Average common shares outstanding during the period for diluted computation 264,818 262,558 264,840 262,545 Based on the minimum number of shares to be issued upon settlement of the stock purchase contracts issued in April 2019 under the tangible equity units, the average common shares outstanding during the period for basic computation includes the weighted-average impact of the following shares: 2,830,021 shares for the three and six months ended June 30, 2023; and, 5,912,617 shares for the three and six months ended June 30, 2022. On May 2, 2022, all of the remaining stock purchase contracts under the tangible equity units were mandatorily settled. The number of outstanding employee stock options that were not included in the diluted earnings per share calculation because the effect would have been anti-dilutive was: 150,062 for the three and six months ended June 30, 2023; and, 83,080 for the three and six months ended June 30, 2022. Additionally, the dilutive effect of performance share units and restricted share units granted are included in the Company’s calculation of diluted net income per share. |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2023 | |
Stock-Based Compensation [Abstract] | |
Stock-Based Compensation | Note 9 – Stock-based Compensation Under the Company’s Amended and Restated Equity Compensation Plan (the “Plan”) approved by the Company’s shareholders on May 2, 2019, to replace the 2004 Equity Compensation Plan, stock options, stock units, stock awards, stock appreciation rights, dividend equivalents, and other stock-based awards may be granted to employees, non-employee directors, and consultants and advisors. The Plan authorizes 6,250,000 shares for issuance under the Plan. A maximum of 3,125,000 shares under the Plan may be issued pursuant to stock awards, stock units and other stock-based awards, subject to adjustment as provided in the Plan. During any calendar year, no individual may be granted (i) stock options and stock appreciation rights under the Plan for more than 500,000 shares of Company stock in the aggregate or (ii) stock awards, stock units or other stock-based awards under the Plan for more than 500,000 shares of Company stock in the aggregate, subject to adjustment as provided in the Plan. Awards to employees and consultants under the Plan are made by a committee of the Board of Directors of the Company, except that with respect to awards to the Chief Executive Officer, the committee recommends those awards for approval by the non-employee directors of the Board of Directors. In the case of awards to non-employee directors, the Board of Directors makes such awards. At June 30, 2023, 1,506,793 shares were still available for issuance under the Plan. No further grants may be made under the Company’s 2004 Equity Compensation Plan. Performance Share Units – A performance share unit (“PSU”) represents the right to receive a share of the Company’s common stock if specified performance goals are met over the three year performance period specified in the grant, subject to exceptions through the respective vesting period, which is generally three years . Each grantee is granted a target award of PSUs and may earn between 0 % and 200 % of the target amount depending on the Company’s performance against the performance goals. The following table provides compensation expense for PSUs: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Stock-based compensation within operations and maintenance expenses $ 1,962 $ 1,692 $ 4,405 $ 3,342 Income tax benefit 492 485 1,104 952 The following table summarizes the PSU transactions for the six months ended June 30, 2023: Number Weighted of Average Share Units Fair Value Nonvested share units at beginning of period 556,462 $ 42.77 Granted 161,981 45.06 Performance criteria adjustment 9,521 42.60 Actual vested ( 168,549 ) 53.77 Forfeited ( 9,837 ) 43.94 Nonvested share units at end of period 549,578 40.05 A portion of the fair value of PSUs was estimated at the grant date based on the probability of satisfying the market-based conditions using the Monte Carlo valuation method, which assesses probabilities of various outcomes of market conditions. The other portion of the fair value of the PSUs is based on the fair market value of the Company’s stock at the grant date, regardless of whether the market-based condition is satisfied. The per unit weighted-average fair value at the date of grant for PSUs granted during the six months ended June 30, 2023 and 2022 was $ 45.06 and $ 42.31 , respectively. The fair value of each PSU grant is amortized monthly into compensation expense on a straight-line basis over their respective vesting periods, generally 36 months. The accrual of compensation costs is based on the Company’s estimate of the final expected value of the award and is adjusted as required for the portion based on the performance-based condition. The Company assumes that forfeitures will be minimal, and recognizes forfeitures as they occur, which results in a reduction in compensation expense. As the payout of the PSUs includes dividend equivalents, no separate dividend yield assumption is required in calculating the fair value of the PSUs. The recording of compensation expense for PSUs has no impact on net cash flows. Restricted Stock Units – A restricted stock unit (“RSU”) represents the right to receive a share of the Company’s common stock. RSUs are eligible to be earned at the end of a specified restricted period, which is generally three years , beginning on the date of grant. The Company assumes that forfeitures will be minimal and recognizes forfeitures as they occur, which results in a reduction in compensation expense. As the payout of the RSUs includes dividend equivalents, no separate dividend yield assumption is required in calculating the fair value of the RSUs. The following table provides the compensation expense and income tax benefit for RSUs: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Stock-based compensation within operations and maintenance expenses $ 759 $ 727 $ 1,440 $ 1,504 Income tax benefit 190 209 361 428 The following table summarizes the RSU transactions for the six months ended June 30, 2023: Number Weighted of Average Stock Units Fair Value Nonvested stock units at beginning of period 180,306 $ 45.94 Granted 73,696 45.61 Stock units vested and issued ( 52,611 ) 49.26 Forfeited ( 3,794 ) 44.99 Nonvested stock units at end of period 197,597 44.94 The per unit weighted-average fair value at the date of grant for RSUs granted during the six months ended June 30, 2023 and 2022 was $ 45.61 and $ 45.10 , respectively. Stock Options – A stock option represents the option to purchase a number of shares of common stock of the Company as specified in the stock option grant agreement at the exercise price per share as determined by the closing market price of our common stock on the grant date. Stock options are exercisable in installments of 33 % annually, starting one year from the grant date and expire 10 years from the grant date, subject to satisfaction of designated performance goals. The fair value of each stock option is amortized into compensation expense using the graded-vesting method, which results in the recognition of compensation costs over the requisite service period for each separately vesting tranche of the stock options as though the stock options were, in substance, multiple stock option grants. The following table provides the compensation cost and income tax benefit for stock-based compensation related to stock options: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Stock-based compensation within operations and maintenance expenses $ 222 $ 141 $ 299 $ 241 Income tax benefit 56 41 75 69 The fair value of options was estimated at the grant date using the Black-Scholes option-pricing model. The following assumptions were used in the application of this valuation model: 2023 2022 Expected term (years) 5.5 5.5 Risk-free interest rate 4.03 % 1.92 % Expected volatility 27.80 % 26.50 % Dividend yield 2.53 % 2.37 % Grant date fair value per option $ 11.37 $ 9.34 Historical information was the principal basis for the selection of the expected term and dividend yield. The expected volatility is based on a weighted-average combination of historical and implied volatilities over a time period that approximates the expected term of the option. The risk-free interest rate was selected based upon the U.S. Treasury yield curve in effect at the time of grant for the expected term of the option. The following table summarizes stock option transactions for the six months ended June 30, 2023: Weighted Weighted Average Average Aggregate Exercise Remaining Intrinsic Shares Price Life (years) Value Outstanding at beginning of period 820,061 $ 36.29 Granted 74,632 45.39 Forfeited ( 2,076 ) 45.31 Expired ( 664 ) 35.20 Exercised ( 5,943 ) 35.21 Outstanding at end of period 886,010 $ 37.04 6.0 $ 3,347 Exercisable at end of period 763,196 $ 35.71 5.5 $ 3,347 Restricted Stock – Restricted stock awards provide the grantee with the rights of a shareholder, including the right to receive dividends and to vote such shares, but not the right to sell or otherwise transfer the shares during the restriction period. Restricted stock awards result in compensation expense that is equal to the fair market value of the stock on the date of the grant and is amortized ratably over the restriction period. The Company expects forfeitures of restricted stock to be de minimis. The following table provides the compensation cost and income tax benefit for stock-based compensation related to restricted stock: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Stock-based compensation within operations and maintenance expenses $ 13 $ 13 $ 25 $ 25 Income tax benefit 4 3 7 7 The following table summarizes restricted stock transactions for the six months ended June 30, 2023: Number Weighted of Average Shares Fair Value Nonvested restricted stock at beginning of period 1,170 $ 42.75 Granted - - Vested - - Nonvested restricted stock at end of period 1,170 $ 42.75 There were no restricted stock awards granted during the six months ended June 30, 2023 and 2022. Stock Awards – Stock awards represent the issuance of the Company’s common stock, without restriction. The issuance of stock awards results in compensation expense that is equal to the fair market value of the stock on the grant date and is expensed immediately upon grant. The following table provides the compensation cost and income tax benefit for stock-based compensation related to stock awards: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Stock-based compensation within operations and maintenance expenses $ 570 $ 165 $ 780 $ 357 Income tax benefit 160 47 219 103 The following table summarizes stock award transactions for the six months ended June 30, 2023: Number Weighted of Average Stock Awards Fair Value Nonvested stock awards at beginning of period - $ - Granted 18,676 41.78 Vested ( 18,676 ) ( 41.78 ) Nonvested stock awards at end of period - - The weighted-average fair value at the date of grant for stock awards granted during the six months ended June 30, 2023 and 2022 was $ 41.78 and $ 46.66 , respectively. |
Pension Plans And Other Postret
Pension Plans And Other Postretirement Benefits | 6 Months Ended |
Jun. 30, 2023 | |
Pension Plans And Other Postretirement Benefits [Abstract] | |
Pension Plans And Other Postretirement Benefits | Note 10 – Pension Plans and Other Postretirement Benefits The Company maintains a qualified defined benefit pension plan (the “Pension Plan”), a nonqualified pension plan, and other postretirement benefit plans for certain of its employees. The following tables provide the components of net periodic benefit cost (credit) for the Company’s pension and other postretirement benefit plans: Pension Benefits Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Service cost $ 400 $ 707 $ 801 $ 1,414 Interest cost 4,309 3,202 8,617 6,403 Expected return on plan assets ( 5,673 ) ( 5,894 ) ( 11,345 ) ( 11,789 ) Amortization of prior service cost 171 134 342 268 Amortization of actuarial loss 809 436 1,618 871 Net periodic benefit cost (credit) $ 16 $ ( 1,415 ) $ 33 $ ( 2,833 ) Other Postretirement Benefits Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Service cost $ 337 $ 477 $ 674 $ 955 Interest cost 1,119 843 2,238 1,685 Expected return on plan assets ( 1,093 ) ( 1,126 ) ( 2,186 ) ( 2,251 ) Amortization of actuarial loss ( 330 ) ( 334 ) ( 659 ) ( 668 ) Net periodic benefit cost (credit) $ 33 $ ( 140 ) $ 67 $ ( 279 ) The net periodic benefit cost (credit) is based on estimated values and an extensive use of assumptions about the discount rate, expected return on plan assets, the rate of future compensation increases received by the Company’s employees, mortality, turnover, and medical costs. The Company presents the components of net periodic benefit cost (credit) other than service cost in the consolidated statements of operations and comprehensive income on the line item “Other”. There were no cash contributions made to the Pension Plan during the first six months of 2023. |
Rate Activity
Rate Activity | 6 Months Ended |
Jun. 30, 2023 | |
Rate Activity [Abstract] | |
Rate Activity | Note 11 – Rate Activity On July 27, 2023, the Company’s regulated water and wastewater operating subsidiary in Virginia, Aqua Virginia, filed an application with the State Corporation Commission designed to increase revenues by $ 6,911 annually. On June 5, 2023, the Company’s regulated water and wastewater operating subsidiary in North Carolina, Aqua North Carolina, received an order from the North Carolina Utilities Commission designed to increase rates by $ 14,001 in the first year of new rates being implemented, then an additional $ 3,743 and $ 4,130 in the second and third years, respectively. In February 2023, the Company had implemented interim rates, based on an estimate of the final outcome of the order, and no refunds or additional billings are required for the difference between interim and final approved rates. On March 28, 2023, the Company received authorization, in advance of the final order being approved, to implement infrastructure rehabilitation surcharges designed to increase total operating revenues on an annual basis by $ 7,685 in its water and wastewater utility operating divisions in Texas effective on April 1, 2023. The additional revenue billed and collected prior to the final order is subject to refund based on the outcome of the ruling. In January 2023, the Company’s two water utility operating divisions in Ohio that are regulated by local regulatory authorities implemented base rate increases designed to increase total operating revenues on an annual basis by $ 1,569 . Further, one of the Company’s wastewater divisions in Indiana implemented a base rate increase designed to increase operating revenues on an annual basis by $ 134 . Lastly, during the first six months of 2023, the Company implemented infrastructure rehabilitation surcharges designed to increase total operating revenues on an annual basis by $ 1,919 in its water and wastewater utility operating divisions in Illinois and by $ 1,483 and $ 20,887 in its natural gas operating divisions in Kentucky and Pennsylvania, respectively. On December 30, 2022, our water and wastewater utility operating divisions in Ohio filed an application with the Public Utilities Commission of Ohio designed to increase rates by $ 9,816 annually. On September 21, 2022, our regulated water and wastewater utility operating divisions in Ohio received an order from the Public Utilities Commission of Ohio designed to increase operating revenues by $ 5,483 annually. New rates for water and sewer service went into effect on September 21, 2022. On May 16, 2022, the Company’s regulated water and wastewater operating subsidiary in Pennsylvania, Aqua Pennsylvania, received an order from the Pennsylvania Public Utility Commission that allowed base rate increases that would increase total annual operating revenues by $ 69,251 . New rates went into effect on May 19, 2022. At the time the rate order was received, the rates in effect also included $ 35,470 in Distribution System Improvement Charges (“DSIC”), which was 7.2 % above prior base rates. Consequently, the aggregate base rates increased by $ 104,721 since the last base rate increase and DSIC was reset to zero . On January 3, 2022, the Company’s natural gas operating division in Kentucky received an order from the Kentucky Public Service Commission resulting in an increase of $ 5,238 in annual revenues, and new rates went into effect on January 4, 2022. On June 7, 2022, an additional $ 260 was approved and made effective by the Commission, resulting from a rehearing requested by the operating division. |
Taxes Other Than Income Taxes
Taxes Other Than Income Taxes | 6 Months Ended |
Jun. 30, 2023 | |
Taxes Other Than Income Taxes [Abstract] | |
Taxes Other Than Income Taxes | Note 12 – Taxes Other than Income Taxes The following table provides the components of taxes other than income taxes: Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Property $ 8,431 $ 8,239 $ 16,535 $ 16,253 Gross receipts, excise and franchise 4,175 4,017 8,205 8,117 Payroll 4,935 4,778 11,567 11,439 Regulatory assessments 1,715 1,812 3,398 3,577 Pumping fees 181 1,947 1,647 3,323 Other 911 927 1,874 2,018 Total taxes other than income $ 20,348 $ 21,720 $ 43,226 $ 44,727 |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2023 | |
Segment Information [Abstract] | |
Segment Information | Note 13 – Segment Information The Company has eleven operating segments and two reportable segments. The Regulated Water segment is comprised of eight operating segments representing its water and wastewater regulated utility companies, which are organized by the states where the Company provides water and wastewater services. The eight water and wastewater utility operating segments are aggregated into one reportable segment, because each of these operating segments has the following similarities: economic characteristics, nature of services, production processes, customers, water distribution or wastewater collection methods, and the nature of the regulatory environment. The Regulated Natural Gas segment is comprised of one operating segment representing natural gas utility companies, acquired in the Peoples Gas Acquisition, for which the Company provides natural gas distribution services. In addition to the Company’s two reportable segments, we include two of our operating segments within the Other category below. These segments are not quantitatively significant and are comprised of our non-regulated natural gas operations and Aqua Resources. Our non-regulated natural gas operations consist of utility service line protection solutions and repair services to households and the operation of gas marketing and production entities. Aqua Resources offers, through a third party, water and sewer service line protection solutions and repair services to households. In addition to these segments, Other is comprised of business activities not included in the reportable segments, corporate costs that have not been allocated to the Regulated Water and Regulated Natural Gas segments, and intersegment eliminations. Corporate costs include general and administrative expenses, and interest expense. The Company reports these corporate costs within Other as they relate to corporate-focused responsibilities and decisions and are not included in internal measures of segment operating performance used by the Company to measure the underlying performance of the operating segments. The following table presents information about the Company’s reportable segments: Three Months Ended Three Months Ended June 30, 2023 June 30, 2022 Regulated Water Regulated Natural Gas Other Consolidated Regulated Water Regulated Natural Gas Other Consolidated Operating revenues $ 293,672 $ 138,983 $ 4,045 $ 436,700 $ 269,355 $ 167,729 $ 11,672 $ 448,756 Operations and maintenance expense 93,227 41,114 ( 833 ) 133,508 92,815 44,907 ( 2,741 ) 134,981 Purchased gas - 39,665 2,268 41,933 - 63,392 11,751 75,143 Depreciation and amortization 53,231 32,188 242 85,661 50,260 29,131 ( 215 ) 79,176 Interest expense, net (a) 30,523 20,982 16,707 68,212 27,604 19,171 7,622 54,397 Allowance for funds used during construction ( 2,940 ) ( 484 ) - ( 3,424 ) ( 5,347 ) ( 804 ) - ( 6,151 ) Provision for income taxes (benefit) 15,859 ( 13,314 ) ( 2,808 ) ( 263 ) 13,847 ( 5,170 ) ( 577 ) 8,100 Net income (loss) 90,027 13,630 ( 12,389 ) 91,268 76,342 11,478 ( 5,529 ) 82,291 Six Months Ended Six Months Ended June 30, 2023 June 30, 2022 Regulated Water Regulated Natural Gas Other Consolidated Regulated Water Regulated Natural Gas Other Consolidated Operating revenues $ 560,972 580,278 $ 21,900 $ 1,163,150 $ 508,553 612,912 $ 26,566 $ 1,148,031 Operations and maintenance expense 176,029 98,264 ( 2,791 ) 271,502 178,903 104,359 ( 5,700 ) 277,562 Purchased gas - 281,521 16,727 298,248 - 280,698 22,157 302,855 Depreciation and amortization 106,698 62,316 441 169,455 98,976 58,835 ( 289 ) 157,522 Interest expense, net (a) 60,236 48,489 31,336 140,061 55,159 39,823 12,442 107,424 Allowance for funds used during construction ( 7,886 ) ( 1,226 ) - ( 9,112 ) ( 10,496 ) ( 1,493 ) ( 1 ) ( 11,990 ) Provision for income taxes (benefit) 29,373 ( 56,798 ) ( 4,475 ) ( 31,900 ) 21,346 ( 31,645 ) 1,166 ( 9,133 ) Net income (loss) 167,429 137,176 ( 21,903 ) 282,702 136,885 150,964 ( 6,182 ) 281,667 Capital expenditures 329,862 215,212 2,526 547,600 216,612 207,394 639 424,645 (a) The regulated water and regulated natural gas segments report interest expense that includes long-term debt that was pushed-down to the regulated operating subsidiaries from Essential Utilities, Inc. June 30, December 31, 2023 2022 Total assets: Regulated water $ 9,144,894 $ 8,792,633 Regulated natural gas 6,548,153 6,528,654 Other 408,888 397,820 Consolidated $ 16,101,935 $ 15,719,107 |
Commitments And Contingencies
Commitments And Contingencies | 6 Months Ended |
Jun. 30, 2023 | |
Commitments And Contingencies [Abstract] | |
Commitments And Contingencies | Note 14 – Commitments and Contingencies The Company is routinely involved in various disputes, claims, lawsuits and other regulatory and legal matters, including both asserted and unasserted legal claims, in the ordinary course of business. The status of each such matter, referred to herein as a loss contingency, is reviewed and assessed in accordance with applicable accounting rules regarding the nature of the matter, the likelihood that a loss will be incurred, and the amounts involved. As of June 30, 2023, the aggregate amount of $ 19,427 is accrued for loss contingencies and is reported in the Company’s consolidated balance sheet as other accrued liabilities and other liabilities. These accruals represent management’s best estimate of probable loss (as defined in the accounting guidance) for loss contingencies or the low end of a range of losses if no single probable loss can be estimated. For some loss contingencies, the Company is unable to estimate the amount of the probable loss or range of probable losses. Further, Essential Utilities has insurance coverage for certain of these loss contingencies, and as of June 30, 2023, estimates that approximately $ 1,428 of the amount accrued for these matters are probable of recovery through insurance, which amount is also reported in the Company’s consolidated balance sheet as deferred charges and other assets, net. During a portion of 2019, the Company initiated a do not consume advisory for some of its customers in one division served by the Company’s Illinois subsidiary. The do not consume advisory was lifted in 2019 and, in 2022, the water system was determined to be in compliance with the federal Lead and Copper Rule. D uring the second quarter of 2021, an amount was accrued for the portion of the fine or penalty that we determined to be probable and estimable of being incurred. In addition, on September 3, 2019, two individuals, on behalf of themselves and those similarly situated, commenced an action against the Company’s Illinois subsidiary in the State court in Will County, Illinois related to this do not consume advisory. The complaint seeks class action certification, attorney's fees, and "damages, including, but not limited to, out of pocket damages, and discomfort, aggravation, and annoyance” based upon the water provided by the Company’s subsidiary to a discrete service area in University Park, Illinois. The complaint contains allegations of damages as a result of supplied water that exceeded the standards established by the federal Lead and Copper Rule. The complaint is in the discovery phase and class certification has not been granted. During the third quarter of 2022, the Company established an accrual for the amount of loss asserted in the complaint that we determined to be probable and estimable of being incurred. The Company is vigorously defending against this claim . The Company submitted a claim for the expenses incurred to its insurance carrier for potential recovery of a portion of these costs and is currently in litigation with one of its carriers seeking to enforce its claims . The Company continues to assess the potential loss contingency on this matter. While the final outcome of this claim cannot be predicted with certainty, and unfavorable outcomes could negatively impact the Company, at this time in the opinion of management, the final resolution of this matter is not expected to have a material adverse effect on the Company’s financial position, results of operations or cash flows. Although the results of legal proceedings cannot be predicted with certainty, other than disclosed above, there are no pending legal proceedings to which the Company or any of its subsidiaries is a party or to which any of its properties is the subject that are material or are expected to have a material effect on the Company’s financial position, results of operations, or cash flows. In addition to the aforementioned loss contingencies, the Company self-insures a portion of its employee medical benefit program, and maintains stop-loss coverage to limit the exposure arising from these claims. The Company’s reserve for these claims totaled $ 2,327 at June 30, 2023 and represents a reserve for unpaid claim costs, including an estimate for the cost of incurred but not reported claims. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2023 | |
Income Taxes [Abstract] | |
Income Taxes | Note 15 – Income Taxes The Company’s effective tax rate was ( 0.3 )% and ( 12.7 )% for the three and six months ended June 30, 2023, respectively. The Company’s effective tax rate was 9.0 % and ( 3.4 )% for the three and six months ended June 30, 2022, respectively. The decreases in the effective tax rate for the second quarter and first half of the year are primarily attributed to the increase in income tax benefits associated with the tax deduction for qualifying infrastructure. In determining its interim tax provision, the Company reflects its estimated permanent and flow-through tax differences for the taxable year . The Company uses the flow-through method to account for the tax deduction for qualifying utility infrastructure at its regulated Pennsylvania and New Jersey subsidiaries. The statutory Federal tax rate is 21.0 % for the six months ended June 30, 2023 and 2022. For states with a corporate net income tax, the state corporate net income tax rates range from 2.5 % to 9.99 % for all periods presented. On July 8, 2022, Pennsylvania enacted House Bill 1342 into law, which among other things, reduces Pennsylvania’s corporate income tax rate from 9.99 % to 8.99 % beginning January 1, 2023, and an additional 0.5 % annually through 2031, when it reaches to 4.99 %. The Company evaluated the impacts of the tax rate change and recorded, in the year ended December 31, 2022, a reduction to our deferred tax liabilities of $ 244,537 with a corresponding reduction primarily to our regulatory assets. In April 2023, the Internal Revenue Service issued Revenue Procedure 2023-15 which provides a safe harbor method of accounting that taxpayers may use to determine whether expenses to repair, maintain, replace, or improve natural gas transmission and distribution property must be capitalized for tax purposes. The Company is evaluating the safe harbor and intends to adopt the methodology on its 2023 tax return. Based on the tax legislative guidance that was issued, the Company reevaluated the uncertain tax positions and ultimately released a portion of its historical income tax reserves. Concurrently, the Company deferred this tax benefit from the reserve release as a regulatory liability, as the accounting treatment is expected to be determined in the next rate case. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2023 | |
Recent Accounting Pronouncements [Abstract] | |
Recent Accounting Pronouncements | Note 16 – Recent Accounting Pronouncements Pronouncement adopted during the year: In October 2021, the FASB issued accounting guidance on accounting for acquired revenue contracts with customers in a business combination. The guidance specifies for all acquired revenue contracts, regardless of their timing of payment, the circumstances in which the acquirer should recognize contract assets and contract liabilities that are acquired in a business combination, as well as how to measure those contract assets and contract liabilities. The updated accounting guidance is effective for fiscal years beginning after December 15, 2022 with early adoption permitted. The Company adopted this guidance effective January 1, 2023, and will apply it prospectively to business combinations occurring on or after that date. |
Basis Of Presentation (Policy)
Basis Of Presentation (Policy) | 6 Months Ended |
Jun. 30, 2023 | |
Basis Of Presentation [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited consolidated balance sheets and statements of capitalization of Essential Utilities, Inc. and subsidiaries (collectively, the “Company”, “we”, “us” or “our”) at June 30, 2023, the unaudited consolidated statements of operations and comprehensive income for the three and six months ended June 30, 2023, and the unaudited consolidated statements of cash flows and of equity for the six months ended June 30, 2023 and 2022, have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim reporting and the rules and regulations for reporting on Quarterly Reports on Form 10-Q. Because they cover interim periods, the statements and related notes to the financial statements do not include all disclosures and notes normally provided in annual financial statements and, therefore, should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. Interim results are not necessarily indicative of results for a full year. In the opinion of management, all adjustments, consisting of only recurring accruals, which are necessary to present a fair statement of its consolidated balance sheets, consolidated statements of equity, consolidated statements of operations and comprehensive income, and consolidated cash flow for the periods presented, have been made. The preparation of financial statements often requires the selection of specific accounting methods and policies. Significant estimates and judgments may be required in selecting and applying those methods and policies in the recognition of the assets and liabilities in its consolidated balance sheets, the revenues and expenses in its consolidated statements of operations and comprehensive income, and the information that is contained in its summary of significant accounting policies and notes to consolidated financial statements. Making these estimates and judgments requires the analysis of information concerning events that may not yet be complete and of facts and circumstances that may change over time. Furthermore, we are exposed to the uncertain state of the economy and macroeconomic conditions, including inflation and rising interest rates. As these continue to evolve, future events and effects related to these conditions cannot be determined with precision. Accordingly, actual amounts or future results can differ materially from those estimates that the Company includes currently in its consolidated financial statements, summary of significant accounting policies, and notes. |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Policy) | 6 Months Ended |
Jun. 30, 2023 | |
Recent Accounting Pronouncements [Abstract] | |
Recent Accounting Pronouncements | Pronouncement adopted during the year: In October 2021, the FASB issued accounting guidance on accounting for acquired revenue contracts with customers in a business combination. The guidance specifies for all acquired revenue contracts, regardless of their timing of payment, the circumstances in which the acquirer should recognize contract assets and contract liabilities that are acquired in a business combination, as well as how to measure those contract assets and contract liabilities. The updated accounting guidance is effective for fiscal years beginning after December 15, 2022 with early adoption permitted. The Company adopted this guidance effective January 1, 2023, and will apply it prospectively to business combinations occurring on or after that date. |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Revenue Recognition [Abstract] | |
Schedule Of Disaggregation Of Revenue | Three Months Ended Three Months Ended June 30, 2023 June 30, 2022 Water Revenues Wastewater Revenues Natural Gas Revenues Other Revenues Water Revenues Wastewater Revenues Natural Gas Revenues Other Revenues Revenues from contracts with customers: Residential $ 167,121 $ 34,046 $ 76,476 $ - $ 149,542 $ 30,653 $ 95,942 $ - Commercial 46,774 8,656 16,297 - 41,025 6,973 18,853 - Fire protection 10,185 - - - 9,547 - - - Industrial 8,289 509 471 - 7,604 432 957 - Gas transportation & storage - - 34,862 - - - 40,573 - Other water 11,917 - - - 15,899 - - - Other wastewater - 2,730 - - - 3,507 - - Other utility - - 10,845 2,649 - - 11,840 3,325 Revenues from contracts with customers 244,286 45,941 138,951 2,649 223,617 41,565 168,165 3,325 Alternative revenue program 767 29 32 - 1,109 ( 161 ) 176 - Other and eliminations - - - 4,045 ( 545 ) - - 11,505 Consolidated $ 245,053 $ 45,970 $ 138,983 $ 6,694 $ 224,181 $ 41,404 $ 168,341 $ 14,830 Six Months Ended Six Months Ended June 30, 2023 June 30, 2022 Water Revenues Wastewater Revenues Natural Gas Revenues Other Revenues Water Revenues Wastewater Revenues Natural Gas Revenues Other Revenues Revenues from contracts with customers: Residential $ 314,373 $ 67,536 $ 368,706 $ - $ 280,830 $ 57,148 $ 381,048 $ - Commercial 87,728 17,247 81,454 - 76,145 13,038 75,893 - Fire protection 20,444 - - - 18,740 - - - Industrial 16,146 1,087 2,260 - 14,785 776 2,799 - Gas transportation & storage - - 102,515 - - - 119,747 - Other water 20,761 - - - 33,250 - - - Other wastewater - 5,464 - - - 6,005 - - Other utility - - 23,922 8,808 - - 35,066 6,240 Revenues from contracts with customers 459,452 91,334 578,857 8,808 423,750 76,967 614,553 6,240 Alternative revenue program 1,169 209 1,421 - 1,724 ( 188 ) - - Other and eliminations - - - 21,900 ( 545 ) - - 25,530 Consolidated $ 460,621 $ 91,543 $ 580,278 $ 30,708 $ 424,929 $ 76,779 $ 614,553 $ 31,770 |
Assets Held for Sale (Tables)
Assets Held for Sale (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Assets Held for Sale [Abstract] | |
Schedule Of Disposal Groups Including Discontinued Operations | June 30, 2023 December 31, 2022 Inventory - gas stored $ 592 $ 2,807 Other current assets 1,778 3,284 Regulatory assets 5,008 5,076 Current assets held for sale $ 7,378 $ 11,167 Property, plant and equipment, net 33,804 30,267 Regulatory assets and other 615 1,857 Non-current assets held for sale $ 34,419 $ 32,124 Current liabilities related to assets held for sale $ 3,081 $ 3,263 Regulatory liabilities 529 649 Other long-term liabilities 274 325 Non-current liabilities related to assets held for sale $ 803 $ 974 |
Goodwill (Tables)
Goodwill (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Goodwill [Abstract] | |
Schedule Of Goodwill | Regulated Water Regulated Natural Gas Other Consolidated Balance at December 31, 2022 $ 58,504 $ 2,277,447 $ 4,841 $ 2,340,792 Reclassification to utility plant acquisition adjustment ( 37 ) - - ( 37 ) Balance at June 30, 2023 $ 58,467 $ 2,277,447 $ 4,841 $ 2,340,755 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Financial Instruments [Abstract] | |
Summary Of Unrealized Gain And Losses | Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Net gain (loss) recognized during the period on equity securities $ 211 $ ( 459 ) $ 342 $ ( 737 ) Less: net gain / loss recognized during the period on equity securities sold during the period - - - - Unrealized gain (loss) recognized during the reporting period on equity securities still held at the reporting date $ 211 $ ( 459 ) $ 342 $ ( 737 ) |
Schedule Of Carrying Amounts And Estimated Fair Values Of Long-Term Debt | June 30, December 31, 2023 2022 Carrying amount $ 6,859,763 $ 6,617,395 Estimated fair value 5,638,394 5,528,131 |
Net Income Per Common Share (Ta
Net Income Per Common Share (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Net Income Per Common Share [Abstract] | |
Schedule Of Earnings Per Share | Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Average common shares outstanding during the period for basic computation 264,418 262,099 264,306 262,026 Effect of dilutive securities: Employee stock-based compensation 400 459 534 519 Average common shares outstanding during the period for diluted computation 264,818 262,558 264,840 262,545 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Summary Of PSU Transactions | Number Weighted of Average Share Units Fair Value Nonvested share units at beginning of period 556,462 $ 42.77 Granted 161,981 45.06 Performance criteria adjustment 9,521 42.60 Actual vested ( 168,549 ) 53.77 Forfeited ( 9,837 ) 43.94 Nonvested share units at end of period 549,578 40.05 |
Summary Of RSU Transactions | Number Weighted of Average Stock Units Fair Value Nonvested stock units at beginning of period 180,306 $ 45.94 Granted 73,696 45.61 Stock units vested and issued ( 52,611 ) 49.26 Forfeited ( 3,794 ) 44.99 Nonvested stock units at end of period 197,597 44.94 |
Summary Of Stock Option Transactions | Weighted Weighted Average Average Aggregate Exercise Remaining Intrinsic Shares Price Life (years) Value Outstanding at beginning of period 820,061 $ 36.29 Granted 74,632 45.39 Forfeited ( 2,076 ) 45.31 Expired ( 664 ) 35.20 Exercised ( 5,943 ) 35.21 Outstanding at end of period 886,010 $ 37.04 6.0 $ 3,347 Exercisable at end of period 763,196 $ 35.71 5.5 $ 3,347 |
Performance Share Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Summary Of Compensation Costs | Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Stock-based compensation within operations and maintenance expenses $ 1,962 $ 1,692 $ 4,405 $ 3,342 Income tax benefit 492 485 1,104 952 |
Restricted Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Summary Of Compensation Costs | Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Stock-based compensation within operations and maintenance expenses $ 759 $ 727 $ 1,440 $ 1,504 Income tax benefit 190 209 361 428 |
Stock Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Summary Of Compensation Costs | Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Stock-based compensation within operations and maintenance expenses $ 222 $ 141 $ 299 $ 241 Income tax benefit 56 41 75 69 |
Assumptions Used In The Pricing Model | 2023 2022 Expected term (years) 5.5 5.5 Risk-free interest rate 4.03 % 1.92 % Expected volatility 27.80 % 26.50 % Dividend yield 2.53 % 2.37 % Grant date fair value per option $ 11.37 $ 9.34 |
Restricted Stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Summary Of Compensation Costs | Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Stock-based compensation within operations and maintenance expenses $ 13 $ 13 $ 25 $ 25 Income tax benefit 4 3 7 7 |
Summary Of Restricted Stock Transactions | Number Weighted of Average Shares Fair Value Nonvested restricted stock at beginning of period 1,170 $ 42.75 Granted - - Vested - - Nonvested restricted stock at end of period 1,170 $ 42.75 |
Stock Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Summary Of Compensation Costs | Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Stock-based compensation within operations and maintenance expenses $ 570 $ 165 $ 780 $ 357 Income tax benefit 160 47 219 103 |
Summary Of Nonvested Share Activity | Number Weighted of Average Stock Awards Fair Value Nonvested stock awards at beginning of period - $ - Granted 18,676 41.78 Vested ( 18,676 ) ( 41.78 ) Nonvested stock awards at end of period - - |
Pension Plans And Other Postr_2
Pension Plans And Other Postretirement Benefits (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Pension Plans And Other Postretirement Benefits [Abstract] | |
Components Of Net Periodic Benefit Costs | Pension Benefits Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Service cost $ 400 $ 707 $ 801 $ 1,414 Interest cost 4,309 3,202 8,617 6,403 Expected return on plan assets ( 5,673 ) ( 5,894 ) ( 11,345 ) ( 11,789 ) Amortization of prior service cost 171 134 342 268 Amortization of actuarial loss 809 436 1,618 871 Net periodic benefit cost (credit) $ 16 $ ( 1,415 ) $ 33 $ ( 2,833 ) Other Postretirement Benefits Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Service cost $ 337 $ 477 $ 674 $ 955 Interest cost 1,119 843 2,238 1,685 Expected return on plan assets ( 1,093 ) ( 1,126 ) ( 2,186 ) ( 2,251 ) Amortization of actuarial loss ( 330 ) ( 334 ) ( 659 ) ( 668 ) Net periodic benefit cost (credit) $ 33 $ ( 140 ) $ 67 $ ( 279 ) |
Taxes Other Than Income Taxes (
Taxes Other Than Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Taxes Other Than Income Taxes [Abstract] | |
Components Of Taxes Other Than Income Taxes | Three Months Ended Six Months Ended June 30, June 30, 2023 2022 2023 2022 Property $ 8,431 $ 8,239 $ 16,535 $ 16,253 Gross receipts, excise and franchise 4,175 4,017 8,205 8,117 Payroll 4,935 4,778 11,567 11,439 Regulatory assessments 1,715 1,812 3,398 3,577 Pumping fees 181 1,947 1,647 3,323 Other 911 927 1,874 2,018 Total taxes other than income $ 20,348 $ 21,720 $ 43,226 $ 44,727 |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Segment Information [Abstract] | |
Company's Segment Information, Continuing Operations | Three Months Ended Three Months Ended June 30, 2023 June 30, 2022 Regulated Water Regulated Natural Gas Other Consolidated Regulated Water Regulated Natural Gas Other Consolidated Operating revenues $ 293,672 $ 138,983 $ 4,045 $ 436,700 $ 269,355 $ 167,729 $ 11,672 $ 448,756 Operations and maintenance expense 93,227 41,114 ( 833 ) 133,508 92,815 44,907 ( 2,741 ) 134,981 Purchased gas - 39,665 2,268 41,933 - 63,392 11,751 75,143 Depreciation and amortization 53,231 32,188 242 85,661 50,260 29,131 ( 215 ) 79,176 Interest expense, net (a) 30,523 20,982 16,707 68,212 27,604 19,171 7,622 54,397 Allowance for funds used during construction ( 2,940 ) ( 484 ) - ( 3,424 ) ( 5,347 ) ( 804 ) - ( 6,151 ) Provision for income taxes (benefit) 15,859 ( 13,314 ) ( 2,808 ) ( 263 ) 13,847 ( 5,170 ) ( 577 ) 8,100 Net income (loss) 90,027 13,630 ( 12,389 ) 91,268 76,342 11,478 ( 5,529 ) 82,291 Six Months Ended Six Months Ended June 30, 2023 June 30, 2022 Regulated Water Regulated Natural Gas Other Consolidated Regulated Water Regulated Natural Gas Other Consolidated Operating revenues $ 560,972 580,278 $ 21,900 $ 1,163,150 $ 508,553 612,912 $ 26,566 $ 1,148,031 Operations and maintenance expense 176,029 98,264 ( 2,791 ) 271,502 178,903 104,359 ( 5,700 ) 277,562 Purchased gas - 281,521 16,727 298,248 - 280,698 22,157 302,855 Depreciation and amortization 106,698 62,316 441 169,455 98,976 58,835 ( 289 ) 157,522 Interest expense, net (a) 60,236 48,489 31,336 140,061 55,159 39,823 12,442 107,424 Allowance for funds used during construction ( 7,886 ) ( 1,226 ) - ( 9,112 ) ( 10,496 ) ( 1,493 ) ( 1 ) ( 11,990 ) Provision for income taxes (benefit) 29,373 ( 56,798 ) ( 4,475 ) ( 31,900 ) 21,346 ( 31,645 ) 1,166 ( 9,133 ) Net income (loss) 167,429 137,176 ( 21,903 ) 282,702 136,885 150,964 ( 6,182 ) 281,667 Capital expenditures 329,862 215,212 2,526 547,600 216,612 207,394 639 424,645 (a) The regulated water and regulated natural gas segments report interest expense that includes long-term debt that was pushed-down to the regulated operating subsidiaries from Essential Utilities, Inc. |
Company's Segment Information, Assets | June 30, December 31, 2023 2022 Total assets: Regulated water $ 9,144,894 $ 8,792,633 Regulated natural gas 6,548,153 6,528,654 Other 408,888 397,820 Consolidated $ 16,101,935 $ 15,719,107 |
Revenue Recognition (Schedule O
Revenue Recognition (Schedule Of Disaggregation Of Revenue) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 436,700 | $ 448,756 | $ 1,163,150 | $ 1,148,031 |
Water [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 244,286 | 223,617 | 459,452 | 423,750 |
Revenue | 245,053 | 224,181 | 460,621 | 424,929 |
Water [Member] | Residential [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 167,121 | 149,542 | 314,373 | 280,830 |
Water [Member] | Commercial [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 46,774 | 41,025 | 87,728 | 76,145 |
Water [Member] | Fire Protection [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 10,185 | 9,547 | 20,444 | 18,740 |
Water [Member] | Industrial [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 8,289 | 7,604 | 16,146 | 14,785 |
Water [Member] | Other Water [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 11,917 | 15,899 | 20,761 | 33,250 |
Water [Member] | Alternative Revenue Program [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 767 | 1,109 | 1,169 | 1,724 |
Water [Member] | Other And Eliminations [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | (545) | (545) | ||
Wastewater [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 45,941 | 41,565 | 91,334 | 76,967 |
Revenue | 45,970 | 41,404 | 91,543 | 76,779 |
Wastewater [Member] | Residential [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 34,046 | 30,653 | 67,536 | 57,148 |
Wastewater [Member] | Commercial [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 8,656 | 6,973 | 17,247 | 13,038 |
Wastewater [Member] | Industrial [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 509 | 432 | 1,087 | 776 |
Wastewater [Member] | Other Wastewater [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 2,730 | 3,507 | 5,464 | 6,005 |
Wastewater [Member] | Alternative Revenue Program [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 29 | (161) | 209 | (188) |
Natural Gas [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 138,951 | 168,165 | 578,857 | 614,553 |
Revenue | 138,983 | 168,341 | 580,278 | 614,553 |
Natural Gas [Member] | Residential [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 76,476 | 95,942 | 368,706 | 381,048 |
Natural Gas [Member] | Commercial [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 16,297 | 18,853 | 81,454 | 75,893 |
Natural Gas [Member] | Industrial [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 471 | 957 | 2,260 | 2,799 |
Natural Gas [Member] | Gas Transportation [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 34,862 | 40,573 | 102,515 | 119,747 |
Natural Gas [Member] | Other Utility [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 10,845 | 11,840 | 23,922 | 35,066 |
Natural Gas [Member] | Alternative Revenue Program [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 32 | 176 | 1,421 | |
Other [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 2,649 | 3,325 | 8,808 | 6,240 |
Revenue | 6,694 | 14,830 | 30,708 | 31,770 |
Other [Member] | Other Utility [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 2,649 | 3,325 | 8,808 | 6,240 |
Other [Member] | Other And Eliminations [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 4,045 | $ 11,505 | $ 21,900 | $ 25,530 |
Acquisitions (Narrative) (Detai
Acquisitions (Narrative) (Details) $ in Thousands | 1 Months Ended | |||||||||||
Jul. 31, 2023 USD ($) customer | Jun. 30, 2023 USD ($) customer | Apr. 30, 2023 USD ($) customer | Mar. 31, 2023 USD ($) customer | Nov. 30, 2022 USD ($) customer | Aug. 31, 2022 USD ($) customer | Mar. 31, 2022 USD ($) customer | Oct. 31, 2021 USD ($) customer | Jan. 31, 2021 USD ($) customer | Sep. 30, 2019 USD ($) customer item | Jan. 31, 2023 USD ($) | Oct. 31, 2022 USD ($) | |
Union Rome [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of customers | customer | 4,679 | |||||||||||
Total purchase price | $ | $ 25,547 | |||||||||||
North Heidelberg Sewer Company [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of customers | customer | 273 | |||||||||||
Total purchase price | $ | $ 136 | |||||||||||
Water And Wastewater Utility Systems [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of customers | customer | 2,300 | |||||||||||
Total purchase price | $ | $ 18,000 | |||||||||||
Aqua Pennsylvania, Inc [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Debt instrument, issued | $ | $ 75,000 | $ 125,000 | ||||||||||
Oak Brook Illinois [Member] | Water And Wastewater Utility Systems [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of customers | customer | 2,037 | |||||||||||
Total purchase price | $ | $ 12,500 | |||||||||||
Delaware [Member] | Water Utility System [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of customers | customer | 16,000 | |||||||||||
Total purchase price | $ | $ 276,500 | |||||||||||
Retail customers | customer | 198,000 | |||||||||||
Number of municipalities | item | 42 | |||||||||||
East Whiteland Township [Member] | Water And Wastewater Utility Systems [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of customers | customer | 4,018 | |||||||||||
Total purchase price | $ | $ 54,374 | |||||||||||
Lower Makefield Township [Member] | Water And Wastewater Utility Systems [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of customers | customer | 11,323 | |||||||||||
Total purchase price | $ | $ 53,000 | |||||||||||
Beaver Falls Pennsylvania [Member] | Water Utility System [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of customers | customer | 7,600 | |||||||||||
Total purchase price | $ | $ 41,250 | |||||||||||
Pennsylvania [Member] | Water And Wastewater Utility Systems [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of customers | customer | 2,300 | |||||||||||
Total purchase price | $ | $ 17,500 | |||||||||||
Subsequent Event [Member] | Shenandoah Borough [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of customers | customer | 2,887 | |||||||||||
Total purchase price | $ | $ 12,291 | |||||||||||
Subsequent Event [Member] | La Rue [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of customers | customer | 300 | |||||||||||
Total purchase price | $ | $ 2,253 | |||||||||||
Subsequent Event [Member] | Southern Oaks Water System [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of customers | customer | 765 | |||||||||||
Total purchase price | $ | $ 3,321 | |||||||||||
Subsequent Event [Member] | Village of Frankfort [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of customers | customer | 1,400 | |||||||||||
Total purchase price | $ | $ 1,424 | |||||||||||
Water And Wastewater Utility Systems [Member] | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of customers | customer | 225 | |||||||||||
Total purchase price | $ | $ 50 |
Assets Held for Sale (Narrative
Assets Held for Sale (Narrative) (Details) - West Virginia [Member] $ in Thousands | 3 Months Ended |
Dec. 31, 2022 USD ($) customer | |
Discontinued Operations And Other Dispositions [Line Items] | |
Number of customers | customer | 13,000 |
Cash [Member] | |
Discontinued Operations And Other Dispositions [Line Items] | |
Total purchase price | $ | $ 37,000 |
Assets Held for Sale (Schedule
Assets Held for Sale (Schedule Of Disposal Groups Including Discontinued Operations) (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Assets Held for Sale [Abstract] | ||
Inventory - gas stored | $ 592 | $ 2,807 |
Other current assets | 1,778 | 3,284 |
Regulatory assets | 5,008 | 5,076 |
Current assets held for sale | 7,378 | 11,167 |
Property, plant and equipment, net | 33,804 | 30,267 |
Regulatory assets and other | 615 | 1,857 |
Non-current assets held for sale | 34,419 | 32,124 |
Current liabilities related to assets held for sale | 3,081 | 3,263 |
Regulatory liabilities | 529 | 649 |
Other long-term liabilities | 274 | 325 |
Non-current liabilities related to assets held for sale | $ 803 | $ 974 |
Goodwill (Schedule Of Goodwill)
Goodwill (Schedule Of Goodwill) (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Goodwill [Line Items] | |
Balance | $ 2,340,792 |
Reclassification to utility plant acquisition adjustment | (37) |
Balance | 2,340,755 |
Water [Member] | |
Goodwill [Line Items] | |
Balance | 58,504 |
Reclassification to utility plant acquisition adjustment | (37) |
Balance | 58,467 |
Natural Gas [Member] | |
Goodwill [Line Items] | |
Balance | 2,277,447 |
Balance | 2,277,447 |
Other [Member] | |
Goodwill [Line Items] | |
Balance | 4,841 |
Balance | $ 4,841 |
Capitalization (Narrative) (Det
Capitalization (Narrative) (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||||
Jun. 29, 2023 | Dec. 14, 2022 | Oct. 14, 2022 | May 20, 2022 | May 02, 2022 | Apr. 23, 2019 | Jan. 31, 2023 | Oct. 31, 2022 | Apr. 30, 2022 | Jun. 30, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Jun. 30, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Debt Instrument [Line Items] | |||||||||||||||
Issuance of common stock from forward equity sale agreement | $ 500,000,000 | ||||||||||||||
Stock purchase contracts early settled by holders of the contracts | 981,919 | ||||||||||||||
Shares settled | 6,621,315 | 1,166,107 | |||||||||||||
Issuance of common stock from stock purchase contracts , shares | 7,863,354 | 9,029,461 | |||||||||||||
Conversion to shares | $ 1.18758 | ||||||||||||||
At Market Sales Agreements [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Sale of stock, shares | 399,128 | 0 | 1,321,994 | ||||||||||||
Common stock issued | $ 19,294,000 | $ 63,040,000 | |||||||||||||
Revolving Credit Facility [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt term | 5 years | ||||||||||||||
Repayment of line of credit | $ 410,000,000 | ||||||||||||||
Notes at 5.30%, due 2052 [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, interest rate | 5.30% | 5.30% | 5.30% | 5.30% | 5.30% | ||||||||||
Maturity date | 2052 | 2052 | |||||||||||||
Debt issuance expense | $ 5,815,000 | ||||||||||||||
Maturity Year | 2052 | ||||||||||||||
Unsecured notes payable | $ 500,000,000 | $ 500,000,000 | $ 500,000,000 | $ 500,000,000 | $ 500,000,000 | ||||||||||
Amended Unsecured Facility [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt term | 364 days | ||||||||||||||
Unsecured Debt [Member] | Revolving Credit Facility [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Amount borrowed | $ 1,000,000 | $ 1,000,000 | |||||||||||||
Debt term | 5 years | 5 years | |||||||||||||
Sublimit for daily demand loans | $ 100,000 | 82,362 | |||||||||||||
Available barrowing capacity credit sublimit | 100,000 | 100,000 | |||||||||||||
Available capacity borrowed | 677,000 | 677,000 | |||||||||||||
Unsecured Debt [Member] | Swing Line Commitment [Member] | Revolving Credit Facility [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Available barrowing capacity credit sublimit | 100,000 | 100,000 | |||||||||||||
Swing-line commitment | 0 | ||||||||||||||
Available capacity borrowed | $ 305,362 | $ 305,362 | |||||||||||||
Aqua Pennsylvania, Inc [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, interest rate | 5.60% | 4.50% | |||||||||||||
Face Amount | $ 75,000,000 | $ 125,000,000 | |||||||||||||
Maturity Year | 2043 | 2052 | |||||||||||||
Aqua Pennsylvania, Inc [Member] | Revolving Credit Facility [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Repayment of line of credit | $ 49,700,000 | ||||||||||||||
Aqua Pennsylvania, Inc [Member] | Amended Unsecured Facility [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Amount borrowed | $ 100,000,000 | ||||||||||||||
LDC Funding LLC [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Private placement, per share | $ 50 | ||||||||||||||
Proceeds from tangible equity units | $ 690,000,000 | ||||||||||||||
Debt instrument, interest rate | 3% | ||||||||||||||
Initial principal amount | $ 119,081,000 | ||||||||||||||
Initial principal amount per share | $ 8.62909 | ||||||||||||||
Cash installment | $ 0.75 | ||||||||||||||
Cash installment rate | 6% | ||||||||||||||
Debt issuance expense | $ 16,358,000 | ||||||||||||||
LDC Funding LLC [Member] | July 30, 2019 [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Cash installment | $ 0.80833 | ||||||||||||||
Peoples Gas Acquisition [Member] | Amended Unsecured Facility [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Amount borrowed | $ 300,000,000 |
Financial Instruments (Narrativ
Financial Instruments (Narrative) (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and cash equivalents | $ 11,642 | $ 11,398 |
Customers' advances for construction | 125,362 | 114,732 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Loans payable | 48,043 | 228,500 |
Mutual funds | 25,319 | 24,962 |
Cash and cash equivalents | $ 11,642 | $ 11,398 |
Financial Instruments (Summary
Financial Instruments (Summary Of Unrealized Gain And Losses) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Financial Instruments [Abstract] | ||||
Net gain (loss) recognized during the period on equity securities | $ 211 | $ (459) | $ 342 | $ (737) |
Less: net gain / loss recognized during the period on equity securities sold during the period | ||||
Unrealized gain (loss) recognized during the reporting period on equity securities still held at the reporting date | $ 211 | $ (459) | $ 342 | $ (737) |
Financial Instruments (Schedule
Financial Instruments (Schedule Of Carrying Amounts And Estimated Fair Values Of Long-Term Debt) (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Carrying Amount [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt | $ 6,859,763 | $ 6,617,395 |
Estimated Fair Value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term debt | $ 5,638,394 | $ 5,528,131 |
Net Income Per Common Share (Na
Net Income Per Common Share (Narrative) (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Net Income Per Common Share [Abstract] | ||||
Weighted average impact | 2,830,021 | 5,912,617 | 2,830,021 | 5,912,617 |
Employee stock options excluded from calculations of diluted net income per share | 150,062 | 83,080 | 150,062 | 83,080 |
Net Income Per Common Share (Sc
Net Income Per Common Share (Schedule Of Earnings Per Share) (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Net Income Per Common Share [Abstract] | ||||
Average common shares outstanding during the period for basic computation | 264,418,000 | 262,099,000 | 264,306,000 | 262,026,000 |
Effect of dilutive securities: | ||||
Employee stock-based compensation | 400,000 | 459,000 | 534,000 | 519,000 |
Average common shares outstanding during the period for diluted computation | 264,818,000 | 262,558,000 | 264,840,000 | 262,545,000 |
Stock-Based Compensation (Narra
Stock-Based Compensation (Narrative) (Details) - $ / shares | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Performance period specified in grant, in years | 3 years | |||||
Granted | 17,054 | 222,782 | 4,736 | 57,052 | ||
2004 Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares available for issuance | 0 | 0 | ||||
Amended and Restated Equity Compensation Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of shares authorized for issuance | 6,250,000 | 6,250,000 | ||||
Maximum number of shares may be issued pursuant to stock awards, stock units and other stock-based awards | 3,125,000 | |||||
Maximum number of shares subject to grants to any one individual in any one year | 500,000 | |||||
Shares available for issuance | 1,506,793 | 1,506,793 | ||||
Performance Share Units [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Vesting period, in years | 3 years | |||||
Granted | 161,981 | |||||
Weighted average fair value of stock awards granted | $ 45.06 | $ 42.31 | ||||
Amortization period of fair value of shares, in months | 36 months | |||||
Performance Share Units [Member] | Minimum [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Percentage of target award amount the grantee may earn | 0% | |||||
Performance Share Units [Member] | Maximum [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Percentage of target award amount the grantee may earn | 200% | |||||
Restricted Stock Units [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Restricted period | 3 years | |||||
Granted | 73,696 | |||||
Weighted average fair value of stock awards granted | $ 45.61 | $ 45.10 | ||||
Stock Options [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Granted, Shares | 74,632 | |||||
Vesting period, start, in years | 1 year | |||||
Vesting period, in years | 10 years | |||||
Stock Options [Member] | Share-based Payment Arrangement, Tranche One [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Vesting percentage | 33% | |||||
Stock Options [Member] | Share-based Payment Arrangement, Tranche Two [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Vesting percentage | 33% | |||||
Stock Options [Member] | Share-based Payment Arrangement, Tranche Three [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Vesting percentage | 33% | |||||
Restricted Stock [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Granted | 0 | 0 | ||||
Weighted average fair value of stock awards granted | $ 0 | |||||
Stock Awards [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Granted | 18,676 | |||||
Weighted average fair value of stock awards granted | $ 41.78 | $ 46.66 |
Stock-Based Compensation (Summa
Stock-Based Compensation (Summary Of Compensation Costs) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Performance Share Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation within operations and maintenance expenses | $ 1,962 | $ 1,692 | $ 4,405 | $ 3,342 |
Income tax benefit | 492 | 485 | 1,104 | 952 |
Restricted Stock Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation within operations and maintenance expenses | 759 | 727 | 1,440 | 1,504 |
Income tax benefit | 190 | 209 | 361 | 428 |
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation within operations and maintenance expenses | 222 | 141 | 299 | 241 |
Income tax benefit | 56 | 41 | 75 | 69 |
Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation within operations and maintenance expenses | 13 | 13 | 25 | 25 |
Income tax benefit | 4 | 3 | 7 | 7 |
Stock Awards [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation within operations and maintenance expenses | 570 | 165 | 780 | 357 |
Income tax benefit | $ 160 | $ 47 | $ 219 | $ 103 |
Stock-Based Compensation (Sum_2
Stock-Based Compensation (Summary Of PSU Transactions) (Details) - $ / shares | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Granted, Number of Share Units | 17,054 | 222,782 | 4,736 | 57,052 | ||
Performance Share Units [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Nonvested share units at beginning of period, Number of Share Units | 556,462 | 556,462 | ||||
Granted, Number of Share Units | 161,981 | |||||
Performance criteria adjustment, Number of Share Units | 9,521 | |||||
Actual vested, Number of share Units | (168,549) | |||||
Forfeited, Number of Share Units | (9,837) | |||||
Nonvested share units at end of period, Number of Share Units | 549,578 | 549,578 | ||||
Nonvested share units at beginning of period, Weighted Average Fair Value | $ 42.77 | $ 42.77 | ||||
Granted, Weighted Average Fair Value | 45.06 | $ 42.31 | ||||
Performance criteria adjustment, Weighted Average Fair Value | 42.60 | |||||
Actual vested, Weighted Average Fair Value | 53.77 | |||||
Forfeited, Weighted Average Fair Value | 43.94 | |||||
Nonvested share units at end of period, Weighted Average Fair Value | $ 40.05 | $ 40.05 |
Stock-Based Compensation (Sum_3
Stock-Based Compensation (Summary Of RSU Transactions) (Details) - $ / shares | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Granted, Number of Share Units | 17,054 | 222,782 | 4,736 | 57,052 | ||
Restricted Stock Units [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Nonvested share units at beginning of period, Number of Share Units | 180,306 | 180,306 | ||||
Granted, Number of Share Units | 73,696 | |||||
Actual vested, Number of share Units | (52,611) | |||||
Forfeited, Number of Share Units | (3,794) | |||||
Nonvested share units at end of period, Number of Share Units | 197,597 | 197,597 | ||||
Nonvested share units at beginning of period, Weighted Average Fair Value | $ 45.94 | $ 45.94 | ||||
Granted, Weighted Average Fair Value | 45.61 | $ 45.10 | ||||
Actual vested, Weighted Average Fair Value | 49.26 | |||||
Forfeited, Weighted Average Fair Value | 44.99 | |||||
Nonvested share units at end of period, Weighted Average Fair Value | $ 44.94 | $ 44.94 |
Stock-Based Compensation (Assum
Stock-Based Compensation (Assumptions Used In The Pricing Model) (Details) - Stock Options [Member] - $ / shares | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected term (years) | 5 years 6 months | 5 years 6 months |
Risk-free interest rate | 4.03% | 1.92% |
Expected volatility | 27.80% | 26.50% |
Dividend yield | 2.53% | 2.37% |
Grant date fair value per option | $ 11.37 | $ 9.34 |
Stock-Based Compensation (Sum_4
Stock-Based Compensation (Summary Of Stock Option Transactions) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2023 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Exercised, Shares | (3,026) | (2,917) | (6,462) | (28,516) | |
Stock Options [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Outstanding at beginning of period, Shares | 820,061 | 820,061 | |||
Granted, Shares | 74,632 | ||||
Forfeited, Shares | (2,076) | ||||
Expired, Shares | (664) | ||||
Exercised, Shares | (5,943) | ||||
Outstanding at end of period, Shares | 886,010 | 886,010 | |||
Exercisable at end of period, Shares | 763,196 | 763,196 | |||
Outstanding at beginning of period, Weighted Average Exercise Price | $ 36.29 | $ 36.29 | |||
Granted, Weighted Average Exercise Price | 45.39 | ||||
Forfeited, Weighted Average Exercise Price | 45.31 | ||||
Expired, Weighted Average Exercise Price | 35.20 | ||||
Exercised, Weighted Average Exercise Price | 35.21 | ||||
Outstanding at end of period, Weighted Average Exercise Price | $ 37.04 | 37.04 | |||
Exercisable at end of period, Weighted Average Exercise Price | $ 35.71 | $ 35.71 | |||
Outstanding at end of period, Weighted Average Remaining Life (years) | 6 years | ||||
Exercisable at end of period, Weighted Average Remaining Life (years) | 5 years 6 months | ||||
Outstanding at end of period, Aggregate Intrinsic Value | $ 3,347 | $ 3,347 | |||
Exercisable at end of period, Aggregate Intrinsic Value | $ 3,347 | $ 3,347 |
Stock-Based Compensation (Sum_5
Stock-Based Compensation (Summary Of Restricted Stock Transactions) (Details) - $ / shares | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Equity compensation plan, shares | (17,054) | (222,782) | (4,736) | (57,052) | ||
Restricted Stock [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Nonvested share units at beginning of period, Number of Share Units | 1,170 | 1,170 | ||||
Equity compensation plan, shares | 0 | 0 | ||||
Vested, number of shares | ||||||
Nonvested share units at end of period, Number of Share Units | 1,170 | 1,170 | ||||
Nonvested share units at beginning of period, Weighted Average Fair Value | $ 42.75 | $ 42.75 | ||||
Granted, Weighted Average Fair Value | 0 | |||||
Actual vested, Weighted Average Fair Value | ||||||
Nonvested share units at end of period, Weighted Average Fair Value | $ 42.75 | $ 42.75 |
Stock-Based Compensation (Sum_6
Stock-Based Compensation (Summary Of Nonvested Share Activity) (Details) - $ / shares | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Granted, Number of Share Units | (17,054) | (222,782) | (4,736) | (57,052) | ||
Stock Awards [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Nonvested share units at beginning of period, Number of Share Units | ||||||
Granted, Number of Share Units | (18,676) | |||||
Actual vested, Number of share Units | (18,676) | |||||
Nonvested share units at end of period, Number of Share Units | ||||||
Nonvested share units at beginning of period, Weighted Average Fair Value | ||||||
Granted, Weighted Average Fair Value | 41.78 | $ 46.66 | ||||
Actual vested, Weighted Average Fair Value | (41.78) | |||||
Nonvested share units at end of period, Weighted Average Fair Value |
Pension Plans And Other Postr_3
Pension Plans And Other Postretirement Benefits (Narrative) (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2023 USD ($) | |
Pension Plans And Other Postretirement Benefits [Abstract] | |
Cash contributions made by the Company | $ 0 |
Pension Plans And Other Postr_4
Pension Plans And Other Postretirement Benefits (Components Of Net Periodic Benefit Costs) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 400 | $ 707 | $ 801 | $ 1,414 |
Interest cost | 4,309 | 3,202 | 8,617 | 6,403 |
Expected return on plan assets | (5,673) | (5,894) | (11,345) | (11,789) |
Amortization of prior service cost | 171 | 134 | 342 | 268 |
Amortization of actuarial loss | 809 | 436 | 1,618 | 871 |
Net periodic benefit cost (credit) | 16 | (1,415) | 33 | (2,833) |
Other Postretirement Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 337 | 477 | 674 | 955 |
Interest cost | 1,119 | 843 | 2,238 | 1,685 |
Expected return on plan assets | (1,093) | (1,126) | (2,186) | (2,251) |
Amortization of actuarial loss | (330) | (334) | (659) | (668) |
Net periodic benefit cost (credit) | $ 33 | $ (140) | $ 67 | $ (279) |
Rate Activity (Narrative) (Deta
Rate Activity (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 6 Months Ended | |||||||||
Jul. 27, 2023 | Jun. 05, 2023 | Mar. 28, 2023 | Dec. 30, 2022 | Sep. 21, 2022 | Jun. 07, 2022 | May 16, 2022 | Jan. 03, 2022 | Jan. 31, 2023 | Jun. 30, 2023 | Feb. 28, 2023 | |
North Carolina [Member] | |||||||||||
Water And Wastewater Rates [Line Items] | |||||||||||
No refunds of revenue previously billed and collected | $ 0 | ||||||||||
Illinois [Member] | |||||||||||
Water And Wastewater Rates [Line Items] | |||||||||||
Base rate increase (decrease) | $ 1,919 | ||||||||||
Texas [Member] | |||||||||||
Water And Wastewater Rates [Line Items] | |||||||||||
Infrastructure rehabilitation surcharges designed to increase total operating revenues on an annual basis | $ 7,685 | ||||||||||
Indiana [Member] | |||||||||||
Water And Wastewater Rates [Line Items] | |||||||||||
Base rate increase (decrease) | $ 134 | ||||||||||
Pennsylvania [Member] | |||||||||||
Water And Wastewater Rates [Line Items] | |||||||||||
Authorized increase in revenue | $ 69,251 | ||||||||||
Base rate increase (decrease) | $ 104,721 | $ 20,887 | |||||||||
Base rate increase designed to increase total operating revenues on an annual basis | 7.20% | 0% | |||||||||
Distribution system improvement charges reset level upon new base rates | $ 35,470 | ||||||||||
Ohio [Member] | |||||||||||
Water And Wastewater Rates [Line Items] | |||||||||||
Base rate increase (decrease) | $ 9,816 | $ 5,483 | $ 1,569 | ||||||||
Kentucky [Member] | |||||||||||
Water And Wastewater Rates [Line Items] | |||||||||||
Base rate increase (decrease) | $ 260 | $ 5,238 | $ 1,483 | ||||||||
Subsequent Event [Member] | West Virginia [Member] | |||||||||||
Water And Wastewater Rates [Line Items] | |||||||||||
Base rate increase (decrease) | $ 6,911 | ||||||||||
Year 1 [Member] | North Carolina [Member] | |||||||||||
Water And Wastewater Rates [Line Items] | |||||||||||
Base rate increase (decrease) | $ 14,001 | ||||||||||
Year 2 [Member] | North Carolina [Member] | |||||||||||
Water And Wastewater Rates [Line Items] | |||||||||||
Base rate increase (decrease) | 3,743 | ||||||||||
Year 3 [Member] | North Carolina [Member] | |||||||||||
Water And Wastewater Rates [Line Items] | |||||||||||
Base rate increase (decrease) | $ 4,130 |
Taxes Other Than Income Taxes_2
Taxes Other Than Income Taxes (Components Of Taxes Other Than Income Taxes) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Taxes Other Than Income [Line Items] | ||||
Total taxes other than income | $ 20,348 | $ 21,720 | $ 43,226 | $ 44,727 |
Property [Member] | ||||
Taxes Other Than Income [Line Items] | ||||
Total taxes other than income | 8,431 | 8,239 | 16,535 | 16,253 |
Gross Receipts, Excise And Franchise [Member] | ||||
Taxes Other Than Income [Line Items] | ||||
Total taxes other than income | 4,175 | 4,017 | 8,205 | 8,117 |
Payroll [Member] | ||||
Taxes Other Than Income [Line Items] | ||||
Total taxes other than income | 4,935 | 4,778 | 11,567 | 11,439 |
Regulatory Assessments [Member] | ||||
Taxes Other Than Income [Line Items] | ||||
Total taxes other than income | 1,715 | 1,812 | 3,398 | 3,577 |
Pumping Fees [Member] | ||||
Taxes Other Than Income [Line Items] | ||||
Total taxes other than income | 181 | 1,947 | 1,647 | 3,323 |
Other [Member] | ||||
Taxes Other Than Income [Line Items] | ||||
Total taxes other than income | $ 911 | $ 927 | $ 1,874 | $ 2,018 |
Segment Information (Narrative)
Segment Information (Narrative) (Details) | 6 Months Ended |
Jun. 30, 2023 segment | |
Segment Reporting Information [Line Items] | |
Operating Segments | 11 |
Reportable Segments | 2 |
Other [Member] | |
Segment Reporting Information [Line Items] | |
Operating Segments | 2 |
Water And Wastewater Utility Systems [Member] | |
Segment Reporting Information [Line Items] | |
Operating Segments | 8 |
Reportable Segments | 1 |
Natural Gas [Member] | |
Segment Reporting Information [Line Items] | |
Operating Segments | 1 |
Segment Information (Company's
Segment Information (Company's Segment Information, Continuing Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Segment Reporting Information [Line Items] | ||||||
Operating revenues | $ 436,700 | $ 448,756 | $ 1,163,150 | $ 1,148,031 | ||
Operations and maintenance expense | 133,508 | 134,981 | 271,502 | 277,562 | ||
Purchased gas | 41,933 | 75,143 | 298,248 | 302,855 | ||
Depreciation and amortization | 85,661 | 79,176 | 169,455 | 157,522 | ||
Interest expense, net | 68,212 | 54,397 | 140,061 | 107,424 | ||
Allowance for funds used during construction | (3,424) | (6,151) | (9,112) | (11,990) | ||
Provision for income taxes (benefit) | (263) | 8,100 | (31,900) | (9,133) | ||
Net income (loss) | 91,268 | $ 191,434 | 82,291 | $ 199,376 | 282,702 | 281,667 |
Capital expenditures | 547,600 | 424,645 | ||||
Water [Member] | Regulated [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating revenues | 293,672 | 269,355 | 560,972 | 508,553 | ||
Operations and maintenance expense | 93,227 | 92,815 | 176,029 | 178,903 | ||
Depreciation and amortization | 53,231 | 50,260 | 106,698 | 98,976 | ||
Interest expense, net | 30,523 | 27,604 | 60,236 | 55,159 | ||
Allowance for funds used during construction | (2,940) | (5,347) | (7,886) | (10,496) | ||
Provision for income taxes (benefit) | 15,859 | 13,847 | 29,373 | 21,346 | ||
Net income (loss) | 90,027 | 76,342 | 167,429 | 136,885 | ||
Capital expenditures | 329,862 | 216,612 | ||||
Natural Gas [Member] | Regulated [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating revenues | 138,983 | 167,729 | 580,278 | 612,912 | ||
Operations and maintenance expense | 41,114 | 44,907 | 98,264 | 104,359 | ||
Purchased gas | 39,665 | 63,392 | 281,521 | 280,698 | ||
Depreciation and amortization | 32,188 | 29,131 | 62,316 | 58,835 | ||
Interest expense, net | 20,982 | 19,171 | 48,489 | 39,823 | ||
Allowance for funds used during construction | (484) | (804) | (1,226) | (1,493) | ||
Provision for income taxes (benefit) | (13,314) | (5,170) | (56,798) | (31,645) | ||
Net income (loss) | 13,630 | 11,478 | 137,176 | 150,964 | ||
Capital expenditures | 215,212 | 207,394 | ||||
Other [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating revenues | 4,045 | 11,672 | 21,900 | 26,566 | ||
Operations and maintenance expense | (833) | (2,741) | (2,791) | (5,700) | ||
Purchased gas | 2,268 | 11,751 | 16,727 | 22,157 | ||
Depreciation and amortization | 242 | (215) | 441 | (289) | ||
Interest expense, net | 16,707 | 7,622 | 31,336 | 12,442 | ||
Allowance for funds used during construction | (1) | |||||
Provision for income taxes (benefit) | (2,808) | (577) | (4,475) | 1,166 | ||
Net income (loss) | $ (12,389) | $ (5,529) | (21,903) | (6,182) | ||
Capital expenditures | $ 2,526 | $ 639 |
Segment Information (Company'_2
Segment Information (Company's Segment Information, Assets) (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Segment Reporting Information [Line Items] | ||
Total assets | $ 16,101,935 | $ 15,719,107 |
Other [Member] | ||
Segment Reporting Information [Line Items] | ||
Total assets | 408,888 | 397,820 |
Regulated [Member] | Water [Member] | ||
Segment Reporting Information [Line Items] | ||
Total assets | 9,144,894 | 8,792,633 |
Regulated [Member] | Natural Gas [Member] | ||
Segment Reporting Information [Line Items] | ||
Total assets | $ 6,548,153 | $ 6,528,654 |
Commitments And Contingencies (
Commitments And Contingencies (Narrative) (Details) $ in Thousands | Jun. 30, 2023 USD ($) |
Commitments And Contingencies [Abstract] | |
Aggregate amount accrued for loss contingencies | $ 19,427 |
Amount probable of recovery through insurance | 1,428 |
Insurance reserve for employee medical benefit program | $ 2,327 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Income Taxes [Line Items] | |||||
Effective income tax rate | (0.30%) | 9% | (12.70%) | (3.40%) | |
Corporate federal income tax rate | 21% | 21% | |||
Decrease in deferred income tax liability | $ 244,537 | ||||
Minimum [Member] | |||||
Income Taxes [Line Items] | |||||
Effective Income Tax Rate Reconciliation, at State Statutory Income Tax Rate, Percent | 0.50% | ||||
Minimum [Member] | State [Member] | |||||
Income Taxes [Line Items] | |||||
Effective Income Tax Rate Reconciliation, at State Statutory Income Tax Rate, Percent | 2.50% | 2.50% | |||
Maximum [Member] | |||||
Income Taxes [Line Items] | |||||
Effective Income Tax Rate Reconciliation, at State Statutory Income Tax Rate, Percent | 4.99% | ||||
Maximum [Member] | State [Member] | |||||
Income Taxes [Line Items] | |||||
Effective Income Tax Rate Reconciliation, at State Statutory Income Tax Rate, Percent | 9.99% | 9.99% | |||
Pennsylvania [Member] | Minimum [Member] | |||||
Income Taxes [Line Items] | |||||
Effective Income Tax Rate Reconciliation, at State Statutory Income Tax Rate, Percent | 8.99% | ||||
Pennsylvania [Member] | Maximum [Member] | |||||
Income Taxes [Line Items] | |||||
Effective Income Tax Rate Reconciliation, at State Statutory Income Tax Rate, Percent | 9.99% | 9.99% |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Jun. 30, 2023 | |
Insider Trading Arrangements [Line Items] | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |