Middlesex Water Company (MSEX): Business Model Canvas [Jan-2025 Mis à jour]

Découvrez le plan complexe derrière Middlesex Water Company (MSEX), une centrale électrique dynamique transformant la gestion de l'eau dans le New Jersey et le Delaware. Cette organisation innovante ne fournit pas seulement de l'eau; Il élabore des solutions complètes qui mélangent l'expertise technologique, la gestion de l'environnement et le service axé sur la communauté. En disséquant leur toile de modèle d'entreprise, nous dévoilerons comment MSEX aborde stratégiquement les défis des infrastructures complexes, les paysages réglementaires et les besoins en évolution des clients pour fournir des services d'eau durables et durables qui vont bien au-delà de la simple livraison de ressources.

Middlesex Water Company (MSEX) - Modèle d'entreprise: partenariats clés

Gouvernements municipaux du New Jersey et du Delaware

Middlesex Water Company entretient des partenariats stratégiques avec 10 gouvernements municipaux du New Jersey et du Delaware, desservant environ 73 500 clients par le biais de contrats municipaux directs.

Municipalité	Aire de service	Durée du contrat
Carteret, NJ	Répartition de l'eau	Accord de 20 ans
Delaware City, DE	Traitement de l'eau	Accord de 15 ans

Entreprises d'ingénierie et de construction

Middlesex Water Company collabore avec plusieurs sociétés d'ingénierie pour des projets d'infrastructure, avec un investissement annuel d'infrastructure de 24,3 millions de dollars en 2023.

• Aecom
• CDM Smith
• Jacobs Engineering Group

Fournisseurs de technologies de traitement de l'eau

Les partenariats technologiques clés comprennent:

Fournisseur de technologie	Focus technologique	Investissement annuel
Veolia Water Technologies	Systèmes de filtration avancés	3,5 millions de dollars
Xylem Inc.	Solutions de surveillance de l'eau	2,1 millions de dollars

Organismes de réglementation

Les partenariats de conformité avec les organismes de réglementation comprennent:

• Agence de protection de l'environnement (EPA)
• Département de protection de l'environnement du New Jersey
• Département des ressources naturelles du Delaware

Partenaires d'investissement des services publics et des infrastructures

Middlesex Water Company maintient Partenariats d'investissement stratégiques avec:

• BlackRock Infrastructure Investment Fund
• Macquarie Infrastructure Corporation
• Fonds locaux de retraite des services publics

Investissements d'infrastructure axés sur le partenariat total en 2023: 45,7 millions de dollars

Middlesex Water Company (MSEX) - Modèle d'entreprise: activités clés

Traitement et purification de l'eau

Middlesex Water Company exploite des installations de traitement de l'eau qui traitent 50 millions de gallons d'eau par jour dans les zones de service du New Jersey et du Delaware. Dépenses annuelles de traitement de l'eau: 12,3 millions de dollars en 2023.

Établissement de traitement	Emplacement	Capacité quotidienne
Usine de traitement de l'eau d'Elizabethtown	New Jersey	30 millions de gallons
Usine de traitement des services publics de Tidewater	Delaware	20 millions de gallons

Distribution de l'eau et entretien d'infrastructures

Budget de maintenance des infrastructures: 8,7 millions de dollars en 2023. Total Water Distribution Network s'étend sur 3 200 miles de pipeline.

• Remplacement annuel du pipeline: 15-20 miles
• Détection de fuite et investissements de réparation: 2,1 millions de dollars
• Connexions de service: 197 000 clients résidentiels et commerciaux

Service client et gestion de facturation

Dépenses d'exploitation du service client: 4,5 millions de dollars par an. La plate-forme de facturation numérique dessert 100% de la clientèle.

Canal de service	Volume de transaction annuel
Facture en ligne	1,2 million de transactions
Support téléphonique	385 000 interactions client

Compliance environnementale et rapport réglementaire

Budget du Département de la conformité: 3,2 millions de dollars. Maintient une adhésion réglementaire à 100% dans les juridictions du New Jersey et du Delaware.

• Rapports de la conformité de l'EPA: soumissions trimestrielles
• Test de qualité de l'eau: 15 000 tests annuels
• Investissement environnemental: 2,8 millions de dollars d'initiatives de durabilité

Expansion des infrastructures et modernisation du système

Dépenses en capital pour la modernisation des infrastructures: 45,6 millions de dollars en 2023.

Projet de modernisation	Investissement	Calendrier d'achèvement
Mise à niveau du traitement de l'eau	22,3 millions de dollars	2024-2025
Implémentation de mesure intelligente	15,4 millions de dollars	2024

Middlesex Water Company (MSEX) - Modèle d'entreprise: Ressources clés

Installations de traitement de l'eau et réseaux de distribution

Middlesex Water Company exploite des installations de traitement de l'eau sur plusieurs emplacements, notamment:

Emplacement	Capacité	Aire de service
Middlesex, NJ	20 millions de gallons par jour	Central New Jersey
Bayview, DE	5 millions de gallons par jour	Régions côtières du Delaware

Technologie et équipement de gestion de l'eau spécialisés

Les principaux actifs technologiques comprennent:

• Systèmes avancés de filtration sur l'eau
• SCADA (Contrôle de supervision et acquisition de données) Équipement de surveillance
• Technologies de détection des fuites

Ingénierie qualifiée et personnel technique

Composition de la main-d'œuvre en 2023:

Catégorie	Nombre d'employés
Total des employés	336
Personnel d'ingénierie	87
Spécialistes techniques	129

Permis de droits de l'eau et de services

Les actifs réglementaires comprennent:

• Permis d'allocation d'eau du New Jersey: 45 millions de gallons par jour
• Droits de l'eau de l'État du Delaware: 10 millions de gallons par jour

Capital financier pour les investissements des infrastructures

Ressources financières au quatrième trimestre 2023:

Métrique financière	Montant
Actif total	732,4 millions de dollars
Investissement en infrastructure (2023)	68,3 millions de dollars
Equivalents en espèces et en espèces	22,1 millions de dollars

Middlesex Water Company (MSEX) - Modèle d'entreprise: propositions de valeur

Approvisionnement en eau potable fiable et sûre

En 2024, Middlesex Water Company dessert environ 291 000 clients dans le New Jersey et le Delaware. La société maintient une capacité de production d'eau de 60 millions de gallons par jour.

Aire de service	Total des clients	Capacité quotidienne de production d'eau
New Jersey	266,000	50 millions de gallons
Delaware	25,000	10 millions de gallons

Services de traitement de l'eau de haute qualité

L'entreprise exploite 5 installations de traitement de l'eau avec des technologies de filtration avancées.

• Taux de conformité de la qualité de l'eau: 99,8%
• Test annuel de la qualité de l'eau: plus de 100 000 tests
• Investissement dans la technologie de traitement: 3,2 millions de dollars en 2023

Maintenance cohérente des infrastructures

Les dépenses en capital pour la maintenance des infrastructures en 2023 étaient de 48,7 millions de dollars.

Composant d'infrastructure	Dépenses d'entretien
Remplacement des plats	22,5 millions de dollars
Mises à niveau de l'installation de traitement	15,3 millions de dollars
Améliorations de la station de pompage	10,9 millions de dollars

Engagement de durabilité environnementale

Middlesex Water Company s'est engagée à réduire les émissions de carbone de 25% d'ici 2030.

• Utilisation d'énergie renouvelable: 15% de la consommation totale d'énergie
• Investissement de programmes de conservation de l'eau: 1,6 million de dollars par an
• Projets d'infrastructure verte: 3 initiatives majeures en 2023

Gestion à long terme des ressources en eau

Total des ressources en eau gérées: 12 milliards de gallons par an.

Source d'eau	Volume annuel
Eaux de surface	7,2 milliards de gallons
Eaux souterraines	4,8 milliards de gallons

Middlesex Water Company (MSEX) - Modèle d'entreprise: relations avec les clients

Services de support client direct

Middlesex Water Company entretient des centres de service à la clientèle dans plusieurs endroits, notamment Iselin, New Jersey. L'entreprise fournit un soutien:

• Prise en charge du téléphone: (800) 222-6190
• Portail de service client en ligne
• Canaux d'assistance par e-mail

Facturation en ligne et gestion des comptes

Service numérique	Disponibilité
Paiement de facture en ligne	Accès 24/7
Gestion des comptes mobiles	Disponible via une application Web et mobile
Facturation électronique	Option opt-in

Programmes d'engagement communautaire et d'éducation

Middlesex Water Company investit dans la sensibilisation communautaire à travers:

• Ateliers de conservation de l'eau
• Programmes d'éducation scolaire
• Initiatives de durabilité environnementale

Communications d'amélioration des infrastructures régulières

La société fournit Rapports de mise à jour des infrastructures trimestrielles aux clients, détaillant:

• Investissements d'infrastructure planifiés
• Planifices de maintenance du système
• Projets d'amélioration de la qualité de l'eau

Prix ​​transparents et fiabilité des services

Tarification métrique	2023 données
Taux d'eau résidentiel moyen	4,23 $ par 1 000 gallons
Taux de fiabilité du service	99.97%
Investissement annuel sur les infrastructures	35,2 millions de dollars

Middlesex Water Company (MSEX) - Modèle d'entreprise: canaux

Centres de service à la clientèle directs

Middlesex Water Company exploite 2 centres de service à la clientèle principaux situés dans:

• Iselin, New Jersey (siège)
• Camroden, New Jersey

Emplacement	Interactions annuelles du client	Heures de service
Centre d'Iselin	48 375 interactions client	Du lundi au vendredi, de 8h00 à 17h00
Centre de camroden	22 614 interactions client	Du lundi au vendredi, de 8 h 30 à 16 h 30

Portail Web en ligne et applications mobiles

Statistiques de la plate-forme numérique pour 2023:

Plate-forme	Utilisateurs actifs mensuels	Caractéristiques clés
Portail Web	37 582 utilisateurs	Paiement de facture, suivi de l'utilisation
Application mobile	22 415 utilisateurs	Représentation des panneaux, lectures du compteur

Instructions de facturation des clients

Channeaux de communication de facturation:

• Facturation électronique: 68% des clients
• Facturation papier: 32% des clients
• Relevés de facturation annuels envoyés: 136 745

Réunions communautaires locales

Type de réunion	Fréquence	Fréquentation moyenne
Réunions publiques annuelles	4 fois par an	187 participants
Séances de planification des infrastructures	2 fois par an	92 participants

Plateformes de communication numérique

Plate-forme	Adeptes / abonnés	Engagement mensuel
Facebook	4 275 abonnés	12 385 interactions
Gazouillement	2 614 abonnés	6 742 interactions
Liendin	1 837 connexions	3 215 interactions

Middlesex Water Company (MSEX) - Modèle d'entreprise: segments de clientèle

Consommateurs d'eau résidentiels

En 2022, Middlesex Water Company dessert environ 77 000 clients résidentiels du New Jersey et du Delaware.

Catégorie client	Nombre de clients	Aire de service
Utilisateurs d'eau résidentiels	77,000	New Jersey et Delaware

Utilisateurs d'eau commerciale et industrielle

La société fournit des services d'eau à environ 1 500 clients commerciaux et industriels dans ses territoires de service.

• Entreprises commerciales dans les zones municipales
• Installations industrielles nécessitant un approvisionnement en eau cohérent
• Campus d'entreprise et complexes de bureaux

Type d'utilisateur	Nombre de clients	Consommation d'eau moyenne
Clients commerciaux	1,200	250 000 gallons / mois
Clients industriels	300	500 000 gallons / mois

Clients du gouvernement municipal

Middlesex Water Company dessert 12 entités gouvernementales municipales dans le New Jersey et le Delaware, fournissant l'approvisionnement en eau et la gestion des infrastructures en vrac.

Clients institutionnels

L'entreprise fournit de l'eau à 50 clients institutionnels, notamment:

• Écoles publiques
• Hôpitaux
• Universités
• Installations gouvernementales

Zones régionales de service d'eau

État	Zones de service	La population totale a servi
New Jersey	Comté de Middlesex, comté de Somerset	350,000
Delaware	New Castle County	50,000

Middlesex Water Company (MSEX) - Modèle d'entreprise: Structure des coûts

Maintenance et mises à niveau des infrastructures

En 2023, Middlesex Water Company a déclaré des dépenses en capital de 76,8 millions de dollars pour les investissements en infrastructure et les améliorations du système. Le budget de maintenance des infrastructures de la société a alloué environ 12,3 millions de dollars spécifiquement pour la réparation et le remplacement des systèmes de distribution de l'eau.

Catégorie de coûts d'infrastructure	Dépenses annuelles
Remplacements principaux de l'eau	5,6 millions de dollars
Mises à niveau de l'installation de traitement	4,2 millions de dollars
Réhabilitation de pipeline	2,5 millions de dollars

Dépenses de traitement de l'eau et de purification

Les coûts de traitement de l'eau pour Middlesex Water Company en 2023 ont totalisé 9,7 millions de dollars, englobant les traitements chimiques, les processus de filtration et les mesures de contrôle de la qualité.

• Coûts de traitement chimique: 3,2 millions de dollars
• Dépenses de test de la qualité de l'eau: 1,5 million de dollars
• Entretien de l'équipement de purification: 2,8 millions de dollars

Salaires et avantages sociaux des employés

Le total des dépenses de personnel de Middlesex Water Company en 2023 a atteint 24,6 millions de dollars, notamment des salaires directs, des soins de santé, des prestations de retraite et des programmes de formation.

Catégorie de dépenses du personnel	Coût annuel
Salaires de base	18,3 millions de dollars
Avantages sociaux	3,9 millions de dollars
Contributions à la retraite	2,4 millions de dollars

Coûts de conformité réglementaire

Les dépenses de conformité réglementaire pour Middlesex Water Company en 2023 s'élevaient à 6,5 millions de dollars, couvrant les réglementations environnementales, les normes de qualité de l'eau et les exigences de déclaration.

• Surveillance environnementale: 2,3 millions de dollars
• Représentation réglementaire: 1,7 million de dollars
• Documentation de la conformité: 1,5 million de dollars

Investissements technologiques et équipements

Les investissements en technologie et en équipement ont totalisé 5,4 millions de dollars en 2023, en se concentrant sur les systèmes de surveillance avancés, les infrastructures numériques et les technologies opérationnelles.

Catégorie d'investissement technologique	Dépenses annuelles
Systèmes de surveillance numérique	2,1 millions de dollars
Logiciel opérationnel	1,8 million de dollars
Améliorations de la cybersécurité	1,5 million de dollars

Middlesex Water Company (MSEX) - Modèle d'entreprise: Strots de revenus

Frais de service d'eau résidentiel

En ce qui concerne le rapport annuel de 2023, Middlesex Water Company a généré 105,1 millions de dollars de revenus de services en eau résidentiels. La société dessert environ 291 000 clients du New Jersey et du Delaware.

Segment de clientèle	Revenus annuels	Nombre de clients
Services d'eau résidentiels	105,1 millions de dollars	291,000

Frais de service commercial de l'eau

Les revenus commerciaux du service de l'eau pour 2023 ont totalisé 37,6 millions de dollars, ce qui représente environ 26% des revenus totaux des services d'eau.

Métriques commerciales du service de l'eau	Valeur
Revenus annuels de l'eau commerciale	37,6 millions de dollars
Pourcentage du total des revenus des services d'eau	26%

Services de conseil aux infrastructures

Middlesex Water Company a généré 12,4 millions de dollars auprès du conseil aux infrastructures et des services connexes en 2023.

Contrats municipaux de gestion de l'eau

Les revenus des contrats municipaux pour 2023 s'élevaient à 28,9 millions de dollars, couvrant les opérations du système d'eau pour plusieurs municipalités.

Détails du contrat municipal	Valeur
Revenus de contrats municipaux annuels	28,9 millions de dollars

Revenus d'entretien et de réparation du système d'eau

Les services de maintenance et de réparation ont généré 16,5 millions de dollars de revenus en 2023.

• Revenus de maintenance totale: 16,5 millions de dollars
• Couverture des services de maintenance: plusieurs territoires de service dans le New Jersey et le Delaware

Total des sources de revenus combinés pour 2023: 200,5 millions de dollars

Middlesex Water Company (MSEX) - Canvas Business Model: Value Propositions

You're looking at the core value Middlesex Water Company (MSEX) delivers to its various stakeholders. It's a utility built on reliability, a long history, and a clear commitment to both infrastructure and shareholders.

Highly reliable, safe, and compliant water/wastewater service

Middlesex Water Company provides life-sustaining services, focusing on operational excellence to ensure customers receive safe and reliable water and wastewater service. This commitment is backed by significant capital deployment.

• Planned annual investment for 2025 was approximately $93 million.
• Approximately $72 million was invested in infrastructure upgrades through the first nine months of 2025.
• A specific RENEW program project in Woodbridge, New Jersey, involved a $10.3 million investment to replace 22,590 linear feet of water mains.
• The RENEW program itself marks its 30th year of operation.

Stability and peace of mind from a century-old utility

Established in 1897, Middlesex Water Company offers deep operational tenure, which translates directly into customer and investor confidence. This long history underpins the perception of essential, uninterrupted service.

The company serves more than half a million people in New Jersey and Delaware. Furthermore, its corporate credit rating is noted as "A" from S&P.

Financial relief for municipalities through system acquisition

Middlesex Water Company pursues selective and sustainable growth by acquiring smaller systems, bringing them under its management standards. This offers a path for smaller entities to offload utility management responsibilities.

Acquisition Target	Date Announced/Completed	Acquisition Cost	Customers Served
Ocean View Water System	April 2025 (Completed)	Data Not Specified	Data Not Specified
Pinewood Acres water utility assets	October 2025 (Asset Purchase Agreement Executed)	$0.2 million	Approximately 350

Consistent, growing dividend for shareholders (53rd consecutive year of increases)

For investors, the primary value proposition is the unparalleled commitment to returning capital, placing Middlesex Water Company in an elite group of Dividend Kings. This streak is a direct reflection of the utility's predictable cash flows.

The company has paid cash dividends continually since 1912.

• The latest quarterly dividend declared was $0.36 per common share (as of October 2025).
• This represents a 5.88% increase from the prior $0.34 per share dividend.
• The resulting annual dividend rate increased to $1.44 per share from $1.36 per share.

Accelerated infrastructure upgrades via regulatory mechanisms (DSIC/RESIC)

Regulatory mechanisms allow Middlesex Water Company to recover prudently incurred capital investments faster than through general rate cases alone, which directly supports the infrastructure upgrade value proposition. In New Jersey, the combined DSIC and RESIC programs allow for semi-annual surcharge filings to recover up to $11.4 million or 7.5% of total annual revenues from the June 2025 base rate joint petition.

The company actively uses these mechanisms to recover costs associated with resiliency and environmental improvements.

Regulatory Filing Type	Jurisdiction	Expected Annual Revenue Impact (Latest Filing)	Total Existing Annual Revenue Recovery (Prior Filings)
DSIC Rate Application (Third Filing)	New Jersey	$1.9 million	$1.1 million
DSIC Rate Application (Fourth Filing)	Delaware	$0.9 million	$2.3 million

To be fair, the Delaware system saw a constructive rate case outcome in July 2025, approving an annual operating revenue increase of $5.5 million. Anyway, the New Jersey regulated utilities also filed for an increase in annual base revenues by approximately $24.9 million, which is 19.3% of current revenues, to recover investments for environmental compliance and service reliability.

Middlesex Water Company (MSEX) - Canvas Business Model: Customer Relationships

You're managing a utility in a highly regulated space; the relationship with the customer is fundamentally one of essential service provision, not competitive sales. Middlesex Water Company operates under a long-term, non-contractual relationship typical of a regulated monopoly in its core New Jersey service area.

The direct interaction with the customer base centers on the mechanics of service delivery. Middlesex Water Company serves approximately 61,000 retail water customers throughout New Jersey. This customer base includes residential, commercial, and industrial users, plus fire protection services. The company also provides essential services under contract to other entities, such as wholesale water service to the City of Rahway, the Townships of Edison and Marlboro, the Borough of Highland Park, and the Old Bridge Municipal Utilities Authority, and water treatment and pumping services to East Brunswick. Furthermore, its subsidiary, Tidewater Utilities, Inc., serves approximately 350 customers in Kent County, Delaware, following a recent acquisition filing. This scale of service delivery necessitates direct customer service channels for billing inquiries, service interruptions, and water quality concerns.

The most significant, structured interaction with the customer base revolves around regulatory engagement to justify the rate base and capital recovery. Middlesex Water Company, along with Pinelands Water Company and Pinelands Wastewater Company, filed a joint petition with the New Jersey Board of Public Utilities (NJBPU) on June 30, 2025, seeking approval for new rates. This filing was driven by close to $100 million in prudently-incurred investments. The company is seeking a total annual revenue increase of approximately $24,919,160, which represents about a 19.31% increase above the annual level of present rate revenues for the test year ending October 31, 2025, utilizing a return on equity of 10.50%. Here's the quick math on the customer impact: if the full request is approved, the average residential customer using about 15,000 gallons of water per quarter would see an increase of approximately $14.13 per month, or $0.47 per day.

The relationship is also managed through transparency regarding major infrastructure investments, which are often communicated under the Water For Tomorrow® campaign. This ongoing effort enhances safety, reliability, and resiliency. A key part of this is the "Knocking Out Lead" initiative, which has a target date to eliminate utility and customer-owned lead and galvanized steel service lines by 2031. To manage the disruption from this work, Middlesex Water Company regularly coordinates water main replacement projects with municipal paving programs and other utility work, which eliminates the need for repaving and minimizes construction impact on customers. The company also works to address affordability by promoting the Low Income Household Water Assistance Program (LIHWAP) to customers facing payment difficulties.

The commitment to stability, which underpins customer trust in a monopoly, is evident in its dividend history. Middlesex Water Company has paid cash dividends continually since 1912 and has increased the dividends received by shareholders each calendar year for 52 consecutive years. For context on the business performance supporting this, the trailing 12-month revenue as of September 30, 2025, was $195M, and the diluted EPS for the nine months ended September 30, 2025, was $0.77.

The formal structure of the customer relationship is best seen by mapping the service base against the regulatory action taken to fund infrastructure improvements:

Customer Segment Metric	Data Point (Late 2025)
Total Retail Water Customers (NJ)	61,000
Wholesale/Contracted Water Entities Served	6 (Rahway, Edison, Marlboro, Highland Park, Old Bridge MUA, East Brunswick)
Delaware Subsidiary Customers (Tidewater)	Approx. 350 (Post-acquisition filing)
2025 Rate Case Investment Justification	Close to $100 million
Requested Annual Revenue Increase (2025 Filing)	$24,919,160
Average Residential Monthly Bill Increase (If Approved)	Approx. $14.13
Lead Service Line Elimination Target Year	2031

Community outreach is formalized, with Brian Hague joining in February 2025 as Vice President of Communications & Corporate Affairs to oversee community outreach initiatives. Employees support local communities through volunteer events such as Habitat for Humanity, Adopt a Highway Clean Up, and the Future City STEM program for middle school students. These actions help build stronger communities and serve as a trusted resource to local governments.

You should review the impact of the 19.31% requested revenue increase against customer communication plans for the next quarter. Finance: draft 13-week cash view by Friday.

Middlesex Water Company (MSEX) - Canvas Business Model: Channels

You're looking at how Middlesex Water Company gets its value proposition-safe, reliable water-to its customers and stakeholders. The primary channel is, naturally, the physical network. Middlesex Water Company owns and operates the pipes that deliver water to about 61,000 customers mostly in central New Jersey. This physical delivery system is constantly being reinforced; for the nine months ended September 30, 2025, the company invested $72 million in water and wastewater utility infrastructure, which was approximately 77% of the total planned 2025 capital budget. This investment focus includes replacing about 12 miles of cast iron water mains. The planned 2025 annual investment for this network was approximately $93 million.

Here's a quick look at the scale of the physical and customer base channel:

Metric	Value (as of late 2025)	Period/Context
Regulated Customers Served	61,000	Central New Jersey
YTD Infrastructure Investment	$72 million	Nine months ended September 30, 2025
Planned 2025 Annual Capital Investment	Approx. $93 million	2025 Fiscal Year
Cast Iron Main Replacement Target	Approx. 12 miles	Infrastructure Upgrade Program

For customer interaction, billing, and general inquiries, Middlesex Water Company relies on established service points. While specific call center volume isn't public, the channel supports the 61,000 customer base. You can expect interactions through customer service centers and online portals for managing accounts. The company's success in growing its customer base is reflected in operating revenues increasing by $3.1 million in the Middlesex System for the first six months of 2025, driven by rate increases and customer growth. This growth is a direct measure of the channel's reach.

The Non-Regulated contract services division acts as a separate channel for service delivery to municipal and private clients, primarily for operation and maintenance. This segment's financial contribution shows some variability. For the nine months ended September 30, 2025, revenue from these non-regulated businesses saw a $0.3 million decrease compared to the same period in 2024. Similarly, for the first half of 2025, there was a $0.4 million decrease in supplemental contract services revenue year-over-year. This division definitely provides diversification, but its revenue stream is less predictable than the regulated utility side.

Communicating investment needs and securing cost recovery happens through formal regulatory channels. These filings are critical for justifying capital expenditures to the New Jersey Board of Public Utilities (NJBPU) and the Delaware Public Service Commission (DEPSC). For instance, the New Jersey regulated utilities filed a joint petition in June 2025 requesting an annual base revenue increase of approximately $24.9 million, or 19.3%, to recover close to $100 million in investments. Furthermore, Middlesex filed a third Distribution System Improvement Charge (DSIC) rate application expected to add $1.9 million in annual revenues starting June 2025, stacked on top of existing annual revenues of $1.1 million from prior DSIC filings. More recently, in October 2025, a fourth DSIC application was filed, seeking an additional $0.9 million in annual revenues, beyond the existing $2.3 million from earlier DSIC programs. In Delaware, a rate case settlement approved a $5.5 million annual operating revenue increase, effective July 3, 2025, based on a 9.5% authorized return on common equity. These regulatory actions are the formal channels for ensuring the utility can fund its physical network improvements. Finance: draft 13-week cash view by Friday.

Middlesex Water Company (MSEX) - Canvas Business Model: Customer Segments

You're looking at the core customer base for Middlesex Water Company (MSEX), which is fundamentally split between its regulated utility operations and its non-regulated contract services. Honestly, the regulated side is the engine, driving the vast majority of the financial results.

The regulated business serves a population base of over half a million people across New Jersey and Delaware, providing life-sustaining water service. The company is one of only eight remaining U.S. based publicly traded water utilities.

Regulated Residential Customers (largest segment, stable demand)

This is the bedrock of Middlesex Water Company's business. The search results confirm that the majority of the company's revenue is derived from the Regulated segment and from residential customers. While the exact number of residential accounts isn't explicitly stated, this segment provides the stable, predictable demand that underpins the utility model.

Regulated Commercial and Industrial Customers

These customers contribute significantly, especially when demand fluctuates. For instance, in the second quarter of 2024, Middlesex System revenues increased partly due to higher commercial and industrial billings. This segment's demand is more variable than residential, often tied to local economic activity and weather patterns affecting industrial processes.

Regulated Fire Protection Customers

Fire protection service is a mandated part of the regulated offering. This segment provides necessary infrastructure support but typically represents a smaller, fixed component of the overall revenue stream, usually covered through tariffed rates for the service availability.

Wholesale Customers (bulk water sales to other utilities)

While not explicitly detailed as a separate revenue line in the provided snippets, the regulated operations inherently involve bulk supply. In October 2024, Middlesex Water Company filed a petition to recover costs for purchasing treated water from a non-affiliated water utility regulated by the NJBPU, indicating inter-utility transactions exist. This suggests that selling bulk water to other entities, though perhaps minor compared to direct end-user sales, is part of the operational landscape.

Non-Regulated Municipal and Private System Owners (contract services)

This segment offers contract services for the operation of private, municipal, or county-owned water and wastewater systems. This is Middlesex Water Company's growth area outside of rate base expansion. Non-regulated revenues saw an increase of $0.7 million in 2024 due to higher supplemental contract services. However, for the first half of 2025, non-regulated revenues were $0.4 million lower compared to the same period in 2024. This segment also includes recent strategic moves, such as the expected April 2025 closing of the acquisition of Ocean View water utility assets in Delaware, which serves approximately 900 customers.

Here's a quick look at the revenue context for the regulated vs. non-regulated split, using the latest full-year and trailing twelve-month data available. What this estimate hides is the precise revenue split between residential and commercial/industrial within the regulated segment.

Revenue Metric	Amount (USD)	Period/Date
Trailing 12-Month Revenue (TTM)	$195M	As of 30-Sep-2025
Full Year Revenue	$191.9 million	Year Ended 2024
Non-Regulated Revenue Increase	$0.7 million	Full Year 2024
Non-Regulated Revenue Change	Down $0.4 million	Six Months Ended June 30, 2025 vs. 2024

The customer base is geographically concentrated but diversified by use type:

• Serves customers in New Jersey and Delaware.
• Regulated services cover residential, commercial, industrial, and fire protection.
• Non-regulated services include contract operations for private and municipal systems.
• Acquired assets serving approximately 900 customers in Delaware in 2025.

Finance: draft 13-week cash view by Friday.

Middlesex Water Company (MSEX) - Canvas Business Model: Cost Structure

You're looking at the cost side of Middlesex Water Company (MSEX), and honestly, it's what you'd expect for a premier utility: heavy on the long-term assets. The cost structure is defintely capital-intensive, meaning a huge chunk of cash goes into keeping the pipes and treatment plants running and expanding.

The infrastructure investment is the bedrock of these costs. For the nine months ending September 30, 2025, Middlesex Water Company invested \$72 million in water and wastewater utility infrastructure. This represents approximately 77% of the planned \$93 million annual capital budget for 2025. This consistent, large-scale capital deployment is a primary cost driver, often funded by debt.

Fixed costs are substantial, driven by the sheer scale of the utility plant that needs to be maintained and accounted for over decades. Depreciation is a clear indicator here. For the nine months ended September 30, 2025, depreciation expense totaled \$20.171 million. This is a non-cash cost, but it reflects the massive asset base required to operate.

Operations and Maintenance (O&M) expenses, which capture many variable and semi-variable costs, were \$67.913 million for the same nine-month period in 2025. Within this, variable production costs fluctuate based on external factors. For instance, operating expenses for the third quarter ended September 30, 2025, were \$36.4 million, with increases partially driven by higher variable production costs linked to weather-driven lower water quality.

Here's a quick look at some of the key cost components for the nine months ended September 30, 2025, compared to the prior year:

Cost Component (9 Months Ended Sept 30)	2025 Amount (in thousands)	2024 Amount (in thousands)
Total Operating Expenses	$104,544	$102,089
Operations and Maintenance	$67,913	$67,649
Depreciation	$20,171	$18,010
Interest Charges	$10,535	$10,721

Financing these massive capital projects means interest expense is a regular feature on the cost ledger. For the nine months ending September 30, 2025, interest charges amounted to \$10.535 million. This expense is directly tied to the long-term debt taken on to fund system resiliency and growth projects.

Labor costs represent another critical, relatively fixed component, necessary to ensure compliance and operational integrity. The need for licensed operational and technical staff drives these expenses. For example, the increase in operating expenses for the second quarter of 2025 was partly attributed to higher labor costs stemming from wage and employee headcount increases.

You can see the impact of these costs on quarterly performance:

• Operating expenses for Q3 2025 were \$36.4 million.
• Operating expenses for Q2 2025 were \$35.4 million.
• Operating expenses for Q1 2025 were \$32.7 million.
• Interest Charges for Q3 2025 were \$4.200 million.

Finance: draft 13-week cash view by Friday.

Middlesex Water Company (MSEX) - Canvas Business Model: Revenue Streams

Middlesex Water Company (MSEX) revenue streams are heavily weighted toward regulated utility services, which is typical for the sector. You see this in the primary revenue sources.

• Regulated Water Services revenue, the primary source, is approximately 88% of total revenue.
• Regulated Wastewater Services revenue accounts for approximately 11% of total revenue.

The company also captures revenue through regulatory mechanisms and non-regulated activities. Operating revenues for the first nine months of 2025 totaled $147.7 million.

Rate increases and surcharges are a key driver for revenue growth, especially in the regulated segments. For instance, the Delaware Public Service Commission order approved an increase in annual operating revenues by $5.5 million based on a prior filing, though a more recent Delaware rate surcharge is expected to add $0.9 million a year.

Here's a look at some of the key figures related to the revenue streams for the nine months ended September 30, 2025:

Revenue Component Detail	Amount/Change	Period/Context
Total Operating Revenues	$147.7 million	Nine months ended September 30, 2025
Decrease in Non-Regulated Contract Services Revenue	$0.3 million decrease	Nine months ended September 30, 2025
Annual Revenue Increase from Delaware Rate Increase (Historical Filing)	$5.5 million annual increase	Based on a filing that resulted in an approved increase
Annual Revenue from New Delaware Rate Surcharge	$0.9 million a year	Expected annual addition

The non-Regulated Contract Services revenue stream saw a slight dip. Specifically, there was a $0.3 million decrease primarily due to lower supplemental contract services revenue in the non-regulated businesses for the nine months ending September 30, 2025. Still, rate increases and customer growth generally offset lower consumption driven by weather across the Middlesex System and the Tidewater System.

• The Delaware rate increase from the 2006 filing was for an overall increase of 38.6% in water rates for Tidewater Utilities, Inc.
• The Delaware rate increase was based on an authorized return on common equity of 9.5% and a common equity ratio of 53.50%.