MSEXP Middlesex Water Company (PK)

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

 

Date of Report: February 28, 2025

 

MIDDLESEX WATER COMPANY

(Exact name of registrant as specified in its charter)

 

New Jersey	0-422	22-1114430
(State or other jurisdiction of	(Commission	(I.R.S. Employer
incorporation or organization)	File Number)	Identification No.)

 

485C Route 1 South, Suite 400, Iselin, New Jersey 08830

(Address of Principal Executive Offices) (Zip Code)

 

732-634-1500

(Registrant’s telephone number, including area code)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, No Par Value	MSEX	The NASDAQ Stock Market, LLC

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02 Results of Operations and Financial Condition.

 

On February 28, 2025, Middlesex Water Company announced its financial results for the year ended 2024. A copy of the press release announcing these results is attached hereto as Exhibit 99.1 and incorporated into this Form 8-K by reference.

 

The information in Item 2.02, including the exhibit, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities under that Section, nor shall it be deemed to be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such filing.

 

Item 9.01 Financial Statements and Exhibits.

 

(c) Exhibits

 

Exhibit Number	Description of Document
99.1	Press Release issued by Middlesex Water Company dated February 28, 2025 reporting 2024 Financial Results.
104	The cover page from this Current Report on Form 8-K, formatted in Inline XBRL.

 

 

SIGNATURE

 

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf of the undersigned hereunto duly authorized.

 

 

	MIDDLESEX WATER COMPANY
	(Registrant)
	/s/Mohammed G. Zerhouni
	Sr. Vice President, Chief Financial Officer
	and Treasurer

 

 

Dated: February 28, 2025

2

 

Exhibit 99.1

 

 

Middlesex Water Company Reports 2024 Financial Results

 

·

Diluted earnings per share (“EPS”) of $2.47 for 2024, compared to 2023 earnings of $1.76

·

Invested $75 million in capital expenditures in 2024 to upgrade, replace and enhance the resiliency of its water and wastewater utility infrastructure

·

Utility infrastructure investment of $387 million planned from 2025 through 2027

 

 

ISELIN, N.J., February 28, 2025 -- Middlesex Water Company (“Middlesex” or the “Company”) (NASDAQ: MSEX) today announced financial results for the fourth quarter and year end 2024. Middlesex reported net income of $44.4 million and diluted EPS of $2.47 for 2024, compared to net income of $31.5 million and diluted EPS of $1.76 in 2023.

"Our strong 2024 performance underscores the strength of our growth strategy, the dedication of our team members, a constructive regulatory environment, and the trust we have earned from our stakeholders,” said Nadine Leslie, President and Chief Executive Officer of Middlesex Water Company. “We are excited to build on this momentum to position the company for long-term growth while delivering life-sustaining water utility service at affordable rates to our customers.”

2024 Operating Results

Middlesex reported net income for 2024 of $44.4 million, a $12.8 million increase when compared to 2023. A significant amount of the increase is attributable to the base rate increase in the Middlesex System, one-time recovery of previously incurred depreciation, operating and carrying costs of $6.0 million (net of tax) associated with the prior year construction and operation of the water treatment facilities at Middlesex’s Park Avenue water treatment plant, and increases in weather-driven customer demand across all its operating regulated water utility systems.

Revenues for 2024 were $191.9 million, an increase of $25.6 million when compared to $166.3 million in 2023. Middlesex System revenues increased $19.9 million due primarily to the New Jersey Board of Public Utilities (“NJBPU”) approved base rate increase in March 2024, and increased weather-driven customer demand. In our Delaware System, Tidewater Utilities, Inc. (“Tidewater”) revenues increased $4.5 million due primarily to increased weather-related customer demand and customer growth. Non-regulated revenues increased $0.7 million due to higher supplemental contract services.

Operations and maintenance expenses for 2024, were $92.4 million, an increase of $9.3 million when compared to $83.1 million in 2023, primarily due to higher legal, financial, and regulatory matter costs, increased labor costs due to annual wage increases, higher costs related to an enhanced water treatment process at Middlesex’s Park Avenue water treatment plant, and higher energy costs due to increased water demand.

Fourth Quarter 2024 Operating Results

Middlesex reported net income of $8.8 million and diluted EPS of $0.49, for the fourth quarter of 2024, compared to net income of $5.8 million and diluted EPS of $0.32 for the same quarter in 2023. A significant amount of the increase is attributable to the base rate increase in the Middlesex System, increases in weather-driven customer demand across all its operating regulated water utility systems, and the implementation of new interim rates in Tidewater.

Infrastructure Investments

In 2024, Middlesex invested $75 million to upgrade, replace and enhance the resiliency of its water and wastewater utility infrastructure. These investments enhanced water quality, service reliability, security, and regulatory compliance.

In 2025, the Company plans to invest approximately $93 million in infrastructure investments, including our RENEW program to replace water mains in our Middlesex System, installation of hydrants and meters, and various water main and services replacements and improvements. From 2025 through 2027, the Company expects to invest $387 million in infrastructure investments, which includes $105 million to install treatment for Perfluoroalkyl (“PFAS”) at our Carl J. Olsen surface water treatment plant.

Selective and Sustainable Growth

In February 2025, the Delaware Public Service Commission approved the application of Tidewater to purchase the water utility assets of Ocean View for approximately $4.6 million. Ocean View serves approximately 900 customers in Sussex County, Delaware. The acquisition is expected to close by April 2025.

Quarterly Dividend Declared

On January 28, 2025, the Company’s Board of Directors declared a first quarter cash dividend of $0.34 per common share. Dividends on common shares will be paid on March 3, 2025, to shareholders of record as of February 18, 2025. The Company has paid cash dividends continually since 1912 and has increased the dividends received by shareholders each calendar year for 52 consecutive years.

About Middlesex Water Company

Middlesex Water Company (NASDAQ: MSEX) is one of the nation’s premier investor-owned water and wastewater utilities. Established in 1897, Middlesex is a trusted provider of life-sustaining services to more than half a million people in New Jersey and Delaware. The company focuses on operational excellence, superior customer experience, investment in infrastructure, selective and sustainable growth, and employee engagement to deliver value to our customers, investors, and the communities we serve.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of U.S. federal securities laws reflecting the current beliefs or expectations of Middlesex Water Company “MSEX” or the “Company” regarding its future performance, its financial condition, its strategic plans and cash flows, its results of operations as well as any other statements that do not directly relate to any historical or current facts. These statements reflect the Company’s current views and information currently available. This information is based on estimates, assumptions, and analysis that the Company believes, as of the date hereof, provide a reasonable basis for the information contained herein. Forward-looking statements can generally be identified by the use of forward-looking words such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates,” “foresees.” Actual results, performance or achievements may differ materially from forward-looking statements, and the assumptions on which forward-looking statements are based. There can be no assurance that the information contained herein is reflective of future performance, and investors are cautioned not to place undue reliance on forward-looking statements as a predictor of future performance. Unless otherwise specified, all information contained in this press release speaks only as of the date hereof. The Company undertakes no duty to update or revise the information contained herein, whether as a result of new information, future events or otherwise.

 

 

Investor Relations Contact:

Jennifer Ketschke, Director, Treasury and Investor Relations

jketschke@middlesexwater.com

(732) 638-7523

 

Media Contact:

Brian Hague, Vice President of Communications & Corporate Affairs

bhague@middlesexwater.com

(732) 638-7549

MIDDLESEX WATER COMPANY

 CONSOLIDATED STATEMENTS OF INCOME

(In thousands except per share amounts)

 

		Years Ended December 31,								Quarters Ended December 31,
		2024				2023				2024				2023
Operating Revenues		$	191,877			$	166,274			$	47,107			$	38,602
Operating Expenses:
Operations and Maintenance			92,363				83,113				24,714				19,071
Depreciation			24,430				25,194				6,420				6,648
Other Taxes			21,874				18,744				5,444				4,640
Total Operating Expenses			138,667				127,051				36,578				30,359
Operating Income			53,210				39,223				10,529				8,243
Other Income:
Allowance for Funds Used During Construction			1,254				2,433				467				272
Other Income, net			10,815				4,053				1,613				929
Total Other Income, net			12,069				6,485				2,080				1,201
Interest Charges			14,023				13,143				3,302				3,779
Income before Income Taxes			51,256				32,565				9,307				5,665
Income Taxes			6,905				1,041				503				(102	)
Net Income			44,351				31,524				8,804				5,767
Preferred Stock Dividend Requirements			112				120				23				30
Earnings Applicable to Common Stock		$	44,239			$	31,404			$	8,781			$	5,737
Earnings per share of Common Stock:
Basic		$	2.48			$	1.77			$	0.49			$	0.32
Diluted		$	2.47			$	1.76			$	0.49			$	0.32
Average Number of
Common Shares Outstanding:
Basic			17,842				17,732				17,881				17,803
Diluted			17,946				17,847				17,954				17,917

v3.25.0.1

Cover	Feb. 28, 2025
Cover [Abstract]
Document Type	8-K
Amendment Flag	false
Document Period End Date	Feb. 28, 2025
Entity File Number	0-422
Entity Registrant Name	MIDDLESEX WATER COMPANY
Entity Central Index Key	0000066004
Entity Tax Identification Number	22-1114430
Entity Incorporation, State or Country Code	NJ
Entity Address, Address Line One	485C Route 1 South
Entity Address, Address Line Two	Suite 400
Entity Address, City or Town	Iselin
Entity Address, State or Province	NJ
Entity Address, Postal Zip Code	08830
City Area Code	732
Local Phone Number	634-1500
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Title of 12(b) Security	Common Stock, No Par Value
Trading Symbol	MSEX
Security Exchange Name	NASDAQ
Entity Emerging Growth Company	false

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