8-KEarnings & ResultsRegulation FDExhibits & Filings

American Water Works Company, Inc. 8-K Report, Financial Results (Jan 24, 2013)

Filed January 24, 2013For Securities:AWK

Summary

American Water Works Company, Inc. (AWK) filed an 8-K on January 24, 2013, to provide updated guidance on its 2012 earnings and its initial outlook for 2013. The company announced that its 2012 earnings per share (EPS) from continuing operations are expected to be at the low end of its previously projected range of $2.12 to $2.22, before considering a $7 million donation to the American Water Charitable Foundation. This guidance revision is attributed to the fourth quarter performance and is partly influenced by unseasonably hot and dry weather in the East and Midwest, which contributed $0.13 to $0.16 per share.

Key Highlights

  • 12012 EPS guidance revised to the low end of the $2.12-$2.22 range.
  • 2Fourth quarter performance and weather conditions are key drivers for the 2012 EPS revision.
  • 3Unseasonably hot and dry weather in East and Midwest contributed $0.13 to $0.16 per share to 2012 earnings.
  • 4Company provided a 2013 EPS estimate of $2.15 to $2.25 per share.
  • 5A $7 million donation to the American Water Charitable Foundation was made, impacting reported 2012 earnings.
  • 6The filing includes a cautionary statement regarding forward-looking statements and various risk factors.

Frequently Asked Questions

The company revised its 2012 earnings per share guidance to the low end of its previously announced range due to its fourth quarter performance. Unseasonably hot and dry weather in the East and Midwest also contributed to the earnings expectations.

American Water Works Company provided an initial earnings per share estimate for 2013 in the range of $2.15 to $2.25.

Yes, the company made a $7 million donation to the American Water Charitable Foundation, which was not included in the initial earnings per share guidance range provided. The actual reported 2012 EPS would reflect this donation.

The filing highlights several risks, including regulatory decisions on rates, changes in laws and regulations, weather conditions, customer demand, infrastructure maintenance and expansion, access to capital, economic conditions, and interest rate fluctuations.