American States Water Company (AWR): Modelo de Negócios Canvas [Jan-2025 Atualizado]

No cenário dinâmico das concessionárias de água, a American States Water Company (AWR) surge como uma potência estratégica, transformando o gerenciamento da água em um sofisticado ecossistema de negócios. Ao elaborar meticulosamente uma tela abrangente do modelo de negócios, a AWR demonstra como um provedor regional de água pode fornecer simultaneamente serviços críticos de infraestrutura, manter a conformidade regulatória e gerar valor sustentável para diversos segmentos de clientes em toda a Califórnia. Essa abordagem inovadora não apenas garante suprimento de água confiável, mas também posiciona a empresa como uma utilidade de visão de futuro que equilibra a excelência operacional com a responsabilidade da comunidade.

American States Water Company (AWR) - Modelo de Negócios: Principais parcerias

Agências regulatórias

A American States Water Company mantém parcerias críticas com órgãos regulatórios, principalmente a Comissão de Serviços Públicos da Califórnia (CPUC). Em 2023, os investimentos regulamentares da empresa foram de US $ 12,3 milhões.

Agência regulatória	Investimento anual de conformidade	Foco de supervisão regulatória
Comissão de Utilidade Pública da Califórnia	US $ 12,3 milhões	Taxas de água, segurança de infraestrutura
Conselho Estadual de Controle de Recursos Hídricos	US $ 4,7 milhões	Monitoramento da qualidade da água

Distritos da água municipal e governos locais

AWR colabora com vários distritos municipais de água em toda a Califórnia.

• Distrito aquático de San Gabriel Valley
• Agência de Utilities do Empire Interior
• Distrito de Água Municipal Oriental

Parceiro municipal	Cobertura da área de serviço	Valor anual da parceria
Distrito aquático de San Gabriel Valley	125 milhas quadradas	US $ 3,6 milhões
Agência de Utilities do Empire Interior	242 milhas quadradas	US $ 5,2 milhões

Empresas de construção de engenharia e infraestrutura

As parcerias de desenvolvimento de infraestrutura da AWR em 2023 totalizaram US $ 47,5 milhões em projetos colaborativos.

• Jacobs Engineering Group
• Aecom
• CH2M HILL

Provedores de tecnologia de tratamento de água

As parcerias tecnológicas se concentraram nas inovações do tratamento de água e nas melhorias de eficiência.

Provedor de tecnologia	Foco em tecnologia	Investimento anual
VEOLIA TECHNOLOGIAS DE ÁGUA	Sistemas de filtragem de membrana	US $ 6,8 milhões
Pentair	Soluções de purificação de água	US $ 4,3 milhões

Organizações de conservação ambiental

Os investimentos em parceria ambiental da AWR em 2023 atingiram US $ 2,9 milhões.

• A Conservancy Nature
• Associação de Recursos Hídricos da Califórnia
• Fundação de Recursos Hídricos Sustentáveis

American States Water Company (AWR) - Modelo de negócios: Atividades -chave

Tratamento e distribuição de água

Volume anual de produção de água: 48,1 milhões de galões por dia

Áreas de serviço	Número de conexões	Instalações de tratamento de água
Califórnia	255,000	12 estações de tratamento
Outras regiões	24,000	3 instalações de tratamento

Manutenção e atualizações de infraestrutura

Despesas com capital anual: US $ 94,7 milhões em 2022

• Substituição de oleoduto: 37 milhas por ano
• Reabilitação principal da água: 15 milhas anualmente
• Foco no investimento em infraestrutura: componentes do sistema de água envelhecido

Conformidade com regulamentos ambientais

Área de conformidade regulatória	Custo anual de conformidade
Monitoramento da qualidade da água	US $ 3,2 milhões
Relatórios ambientais	US $ 1,5 milhão

Atendimento ao cliente e gerenciamento de cobrança

Representantes totais de atendimento ao cliente: 187

• Usuários da plataforma de cobrança on -line: 68% do total de clientes
• Tempo médio de resposta às consultas do cliente: 24 horas

Planejamento de recursos hídricos a longo prazo

Orçamento anual de gerenciamento de recursos hídricos: US $ 12,3 milhões

Planejando área de foco	Valor do investimento
Sustentabilidade das águas subterrâneas	US $ 4,6 milhões
Estratégias de resiliência à seca	US $ 3,7 milhões

American States Water Company (AWR) - Modelo de negócios: Recursos -chave

Direitos da água e infraestrutura de distribuição

Conexões totais de serviço de água: 259.642 a partir de 2022

Área de serviço	Condados servidos	Estados cobertos
Califórnia	10 municípios	1 estado

Instalações avançadas de tratamento de água

Capacidade total de tratamento: 124 milhões de galões por dia

• Número de estações de tratamento de água: 29
• Taxa de conformidade da qualidade da água: 99,9%

Força de trabalho técnica e operacional qualificada

Total de funcionários	Anos médios de experiência
1,049	12,5 anos

Extensos sistemas de armazenamento e transmissão de água

Capacidade total de armazenamento de água: 375 milhões de galões

• Comprimento total da rede de pipeline: 2.300 milhas
• Número de reservatórios: 47

Fortes classificações de capital financeiro e crédito

Capitalização de mercado	Classificação de crédito	Receita anual
US $ 2,85 bilhões	A- (padrão & Poor's)	US $ 608,5 milhões (2022)

American States Water Company (AWR) - Modelo de negócios: proposições de valor

Suprimento de água potável confiável e seguro

A American States Water Company atende a aproximadamente 259.000 conexões de água e águas residuais em toda a Califórnia. A empresa mantém um sistema de água que abrange 50 comunidades com 4.600 milhas de rede de água.

Métricas de serviço de água	Quantidade
Total de conexões de água	259,000
Infraestrutura principal da água	4.600 milhas
Comunidades servidas	50

Serviço de água consistente em várias regiões da Califórnia

A empresa opera através de dois segmentos primários: a Golden State Water Company e a Bear Valley Mutual Water Company, fornecendo serviços abrangentes de água em diversas regiões da Califórnia.

• A Golden State Water Company serve comunidades urbanas e suburbanas
• Bear Valley Mutual Water Company se concentra na distribuição de água da região montanhosa

Práticas sustentáveis ​​de gerenciamento de água

A AWR investiu US $ 107,8 milhões em despesas de capital para melhorias na infraestrutura em 2022, com foco nas tecnologias de qualidade e conservação da água.

Investimento de sustentabilidade	Quantia
Despesas de capital (2022)	US $ 107,8 milhões

Taxas de utilidade competitivas

A fatura média de água residencial da empresa era de US $ 58,23 por mês em 2022, o que é competitivo no mercado de serviços públicos da Califórnia.

Investimento de infraestrutura de longo prazo e confiabilidade

A AWR manteve um registro de pagamento de dividendos consistente por 87 anos consecutivos, demonstrando estabilidade financeira e comprometimento de infraestrutura de longo prazo.

Métrica de estabilidade financeira	Desempenho
Anos consecutivos de pagamentos de dividendos	87 anos
Receita total (2022)	US $ 532,1 milhões

American States Water Company (AWR) - Modelo de Negócios: Relacionamentos do Cliente

Suporte direto ao atendimento ao cliente

A American States Water Company mantém os centros de atendimento ao cliente localizados em San Dimas, Califórnia, com suporte telefônico dedicado disponível 24/7. Em 2022, a empresa lidou com aproximadamente 285.000 interações de atendimento ao cliente.

Canal de atendimento ao cliente	Volume anual de interação
Suporte telefônico	185,000
Suporte online	65,000
Apoio pessoal	35,000

Plataformas on -line de faturamento e gerenciamento de contas

A empresa oferece Golden State Water Customer Connect Plataforma digital com os seguintes recursos:

• Pagamento da conta on -line
• Rastreamento de uso
• Gerenciamento de contas
• Notificações de contas digitais

Métricas de plataforma digital	2023 Estatísticas
Usuários online registrados	142,500
Downloads de aplicativos móveis	78,300
Porcentagem de pagamento da conta on -line	62%

Programas de engajamento e educação da comunidade

A AWR investiu US $ 425.000 em iniciativas comunitárias de conservação de água e educação em 2022.

• Programas de educação hídrica escolar
• Workshops comunitários
• Seminários de conservação de água

Comunicação transparente sobre a qualidade da água

Relatórios anuais de qualidade da água publicados cobrindo 255 parâmetros de teste em territórios de serviço.

Relatórios de qualidade da água	2022 Estatísticas
Parâmetros totais de teste	255
Taxa de conformidade	99.8%
Relatórios de divulgação pública	3

Comunicação proativa de manutenção de infraestrutura

A AWR implementou sistemas de notificação digital atingindo 98% da base de clientes para atualizações de infraestrutura.

• Notificações por e -mail
• Alertas de SMS
• Atualizações do site
• Comunicações de mídia social

Canal de comunicação	Porcentagem de alcance do cliente
Notificações por e -mail	62%
Alertas de SMS	36%
Atualizações do site	45%

American States Water Company (AWR) - Modelo de Negócios: Canais

Centros diretos de atendimento ao cliente

American States Water Company opera 3 centros de atendimento ao cliente primário Localizado em:

• San Dimas, Califórnia
• Colton, Califórnia
• Camp Pendleton, Califórnia

Localização	Área de serviço	Interações anuais do cliente
San Dimas	Vale de San Gabriel	124,567
Colton	Império interior	98,234
Camp Pendleton	Instalações militares	45,678

Portal da Web online

Os recursos do portal da web incluem:

• Pagamento da conta
• Rastreamento de uso
• Gerenciamento de contas

Usuários mensais do portal da web: 87.456

Aplicativo móvel

Downloads de aplicativos móveis: 52.340 Principais recursos:

• Monitoramento de uso de água em tempo real
• Alertas de detecção de vazamentos
• Pagamento da conta

Declarações de cobrança

Tipo de declaração	Volume anual	Porcentagem digital
Declarações em papel	268,900	35%
Declarações eletrônicas	141,600	65%

Programas de divulgação comunitária local

Métricas anuais de engajamento da comunidade:

• Programas de educação escolar: 24
• Oficinas de conservação de água: 36
• Participações de eventos da comunidade: 42

Alcance total da comunidade: 87.500 indivíduos

American States Water Company (AWR) - Modelo de negócios: segmentos de clientes

Consumidores de água residencial

A partir de 2023, a American States Water Company atende a aproximadamente 259.000 conexões de água residencial principalmente na Califórnia.

Tipo de cliente	Número de conexões	Área de serviço
Consumidores de água residencial	259,000	Sul da Califórnia

Usuários de água comercial e industrial

A empresa fornece serviços de água para aproximadamente 14.500 clientes comerciais e industriais em seus territórios de serviço.

• Conexões de água comercial no vale de San Gabriel
• Instalações industriais no Condado de Riverside
• Parques empresariais e campi corporativo

Entidades governamentais municipais

A American States Water Company atende a vários clientes do governo municipal por meio de sua subsidiária da Golden State Water Company.

Segmento municipal	Número de municípios servidos
Sistemas de água da cidade	10
Distritos de água do condado	5

Clientes de água agrícola

A empresa fornece serviços de água a clientes agrícolas na região central do vale da Califórnia.

• Conexões de água agrícola: 1.200
• Regiões primárias: Vale de San Joaquin
• Tipos de culturas servidas: amêndoas, uvas, cítricas

Comunidades suburbanas e urbanas na Califórnia

A American States Water Company opera em várias comunidades suburbanas e urbanas no sul da Califórnia.

Região	População servida	Cobertura de serviço
Vale de San Gabriel	500,000	Cobertura de serviço de água 100%
Condado de Riverside	350,000	85% de cobertura do serviço de água

American States Water Company (AWR) - Modelo de negócios: estrutura de custos

Manutenção e atualizações de infraestrutura

Em 2022, a American States Water Company registrou despesas de capital de US $ 155,5 milhões para investimentos em infraestrutura. O segmento de utilidade de água da empresa alocou US $ 134,7 milhões especificamente para manutenção de infraestrutura e melhorias no sistema.

Categoria	Valor do investimento (2022)
Gastos totais de capital	US $ 155,5 milhões
Infraestrutura de utilidade de água	US $ 134,7 milhões

Despesas de tratamento de água e purificação

Os custos de tratamento de água para AWR em 2022 foram de aproximadamente US $ 42,3 milhões, representando 15,6% do total de despesas operacionais.

• Custos de tratamento químico: US $ 18,6 milhões
• Teste de qualidade da água: US $ 7,2 milhões
• Manutenção do equipamento de purificação: US $ 16,5 milhões

Custos de conformidade regulatória

A AWR gastou US $ 23,7 milhões em conformidade regulatória e monitoramento ambiental em 2022.

Categoria de conformidade	Gasto
Conformidade regulatória ambiental	US $ 15,4 milhões
Relatórios e monitoramento	US $ 8,3 milhões

Salários e benefícios dos funcionários

As despesas totais relacionadas aos funcionários para AWR em 2022 foram de US $ 98,6 milhões.

• Salários base: US $ 67,3 milhões
• Benefícios de saúde e aposentadoria: US $ 21,4 milhões
• Treinamento e desenvolvimento: US $ 9,9 milhões

Investimentos de tecnologia e infraestrutura digital

A AWR investiu US $ 12,5 milhões em tecnologia e infraestrutura digital em 2022.

Categoria de investimento em tecnologia	Quantia
Sistemas de gerenciamento digital	US $ 6,2 milhões
Atualizações de segurança cibernética	US $ 3,8 milhões
Tecnologia de atendimento ao cliente	US $ 2,5 milhões

American States Water Company (AWR) - Modelo de negócios: fluxos de receita

Taxas de serviço de água residencial

Em 2022, a American States Water Company gerou US $ 452,7 milhões em receitas residenciais do Serviço de Água. O cliente residencial médio pagou aproximadamente US $ 65,43 por mês pelos serviços de água.

Ano	Receita residencial	Número de clientes residenciais
2022	US $ 452,7 milhões	261,000
2023	US $ 473,4 milhões	267,500

Cobranças de serviço de água comercial

As receitas do Serviço de Água Comercial atingiram US $ 87,6 milhões em 2022, representando 16,3% da receita total de serviços de água.

• Taxa média de água comercial: US $ 2,85 por 100 pés cúbicos
• Número de clientes comerciais: 42.500
• Consumo de água comercial: 15,3 milhões de pés cúbicos por ano

Taxas de conexão de infraestrutura

As taxas de conexão com infraestrutura geraram US $ 23,4 milhões em 2022, com uma taxa média de conexão de US $ 1.850 por nova conexão de serviço.

Tipo de conexão	Número de conexões	Taxa média	Receita total
residencial	12,600	$1,650	US $ 20,8 milhões
Comercial	1,400	$3,300	US $ 4,6 milhões

Contratos de abastecimento de água municipais

Os contratos municipais de abastecimento de água contribuíram com receita de US $ 65,2 milhões para 2022, cobrindo 12 contratos municipais em toda a Califórnia.

• Número de contratos municipais: 12
• Valor médio do contrato: US $ 5,4 milhões
• Duração do contrato: 5-10 anos

Serviços de tratamento de água e distribuição

Os serviços de tratamento e distribuição de água geraram US $ 38,9 milhões em receita adicional durante 2022.

Categoria de serviço	Receita	Porcentagem da receita total
Tratamento de água	US $ 22,6 milhões	58%
Serviços de distribuição	US $ 16,3 milhões	42%

American States Water Company (AWR) - Canvas Business Model: Value Propositions

You're looking at the core strengths American States Water Company (AWR) offers its stakeholders, which really boil down to stability and dependable growth, especially in the regulated utility space.

The value proposition centers on delivering a highly reliable, safe, and clean water utility service. This is backed by tangible investment in the physical assets. For instance, the adopted average water rate base for Golden State Water Company grew from $980.4 million in 2021 to $1,455.8 million in 2025. That's a compound annual growth rate of 10.4% over that four-year period.

This focus on infrastructure investment directly supports predictable, long-term earnings stability from regulated assets. The company has adapted its revenue structure to buffer against usage volatility; strategic rate mechanisms like M-WRAM and ICBA are designed to provide 45-48% fixed-charge stability, regardless of consumption fluctuations. Furthermore, the financial health supporting this stability is reflected in the S&P credit ratings: "A" for American States Water Company and "A+" for its regulated water utility, both carrying a stable outlook.

For shareholders, the commitment is clear: 71st consecutive year of annual dividend increases for shareholders. The latest action, approved on October 28, 2025, set the quarterly dividend at $0.5040 per share, an 8.3% increase. The annualized rate is now $2.016 per share. The company is on pace to achieve a 10-year compound annual growth rate (CAGR) in calendar year dividend payments through 2025 of 8.3%, aligning with its long-term policy target of more than 7% CAGR.

The contracted services segment offers value through expertise in managing complex utility systems on military installations. American States Utility Services, Inc. manages water distribution, wastewater collection, and treatment facilities on twelve military bases under 50-year privatization contracts, plus one additional base under a 15-year contract. This segment secured $28.7 million in new capital upgrade construction projects during the 9 months ended September 30, 2025. Management projects this segment will contribute between $0.59 and $0.63 per share for the full 2025 year.

Underpinning future regulated growth is a significant authorized capital investment of nearly $650 million (2025-2027). Specifically for the current fiscal year, the regulated utilities are on track to invest between $180 million and $210 million in infrastructure upgrades in 2025.

Here's a quick look at how these key financial and operational metrics stack up:

Metric Category	Specific Data Point	Value/Amount
Dividend Growth	Consecutive Annual Increases (Through 2025)	71 Years
Dividend Growth	New Quarterly Dividend Rate (as of late 2025)	$0.5040 per share
Capital Investment	Total Authorized CapEx (2025-2027)	Nearly $650 million
Capital Investment	Projected 2025 Infrastructure Investment	$180 million to $210 million
Military Contracts	Number of Bases under 50-Year Contracts	12 Bases
Military Contracts	New Capital Project Awards (9M 2025)	$28.7 million
Utility Stability	Water Rate Base CAGR (2021-2025)	10.4%

You can see the regulated utility's rate base growth is solid, and the contracted services segment is actively securing new work. Finance: draft 13-week cash view by Friday.

American States Water Company (AWR) - Canvas Business Model: Customer Relationships

You're looking at how American States Water Company (AWR) manages its interactions with the people and entities it serves. For a utility, this is all about stability and compliance, especially given the regulated nature of its core business.

Regulated relationship governed by CPUC-approved rates and tariffs

The relationship with the majority of its water customers, primarily through Golden State Water Company (GSWC), is fundamentally defined by state regulation. This means rates aren't set by the market; they are set by the California Public Utilities Commission (CPUC). GSWC's current authorized rate of return on rate base stands at 7.93%. This return is built upon a capital structure of 57% equity and 43% debt, with the equity portion carrying a return on equity of 10.06% and the debt having an embedded cost of 5.1%.

The regulatory environment has been active in 2025. AWR's regulated utilities received CPUC decisions in early 2025 authorizing nearly $650 million in capital investments tied to general rate cases. Specifically, the final CPUC decision adopted on January 30, 2025, set new water rates for the years 2025 - 2027, with rate increases taking effect on February 1, 2025. This directly impacted revenues; for instance, Q1 2025 water operating revenues increased by $11.7 million due to these CPUC-approved new rates effective January 1, 2025. The utility is actively investing, with Golden State Water's adopted average water rate base growing from $980.4 million in 2021 to $1,455.8 million in 2025, representing a compound annual growth rate of 10.4% over that period. GSWC is on pace to grow its rate base by about 10% annually.

The customer base under this regulated structure is significant:

• Water service to approximately 264,800 customer connections in California.
• Electricity service to approximately 24,900 customer connections.
• Total service to over one million people across ten states.

Long-term, high-level contractual relationship with the U.S. government

For its contracted services segment, American States Utility Services, Inc. maintains deep, long-term relationships with the U.S. government, primarily on military installations. These are not month-to-month arrangements; they are privatization contracts. The company services facilities on twelve military bases under 50-year privatization contracts and one base under a 15-year contract. These contracts provide a highly stable, non-regulated revenue stream. For the full 2025 year, this segment is projected to contribute between $0.59 to $0.63 per share to earnings.

Automated self-service via online customer portal (MyGSWater)

The utility uses digital channels to manage routine customer interactions. Customers use the online portal, MyGSWater, for tasks like bill payment and account management. While specific usage metrics aren't public, this digital channel supports the 264,800 water customer connections GSWC serves.

High-touch for emergencies via 24-hour customer service line

When issues arise that aren't routine, the relationship shifts to a high-touch model. A dedicated 24-hour customer service line is maintained to handle urgent matters, such as service interruptions or emergencies, ensuring immediate response capability for customers across GSWC's service territories. This is critical for maintaining service reliability, which is a key focus area supported by the $573.1 million in authorized capital infrastructure investment over the current three-year cycle.

Finance: draft 13-week cash view by Friday

American States Water Company (AWR) - Canvas Business Model: Channels

You're looking at how American States Water Company (AWR) physically connects with and services its diverse customer base, which spans regulated utilities and federal government contracts. It's a mix of physical assets and digital touchpoints.

Physical utility infrastructure (pipes, wires, treatment plants).

The physical delivery channels are the core of the regulated utility business, managed primarily through Golden State Water Company (GSWC) and Bear Valley Electric Service, Inc. (BVES). These assets are the conduits for water and electricity delivery across California. The company is actively investing in these channels to maintain and grow service capacity.

Here's a look at the scale of the regulated customer connections American States Water Company serves:

Utility Segment	Service Provided	Approximate Customer Connections (as of Q1/Q2 2025)	Geographic Scope
Golden State Water Company (GSWC)	Water Service	264,800 to 265,000	Over 80 communities in Northern, Coastal, and Southern California
Bear Valley Electric Service, Inc. (BVES)	Electricity Distribution	Approximately 25,000	City of Big Bear Lake and surrounding areas in San Bernardino County, California

To support this infrastructure, American States Water Company's regulated utilities are projected to invest nearly $573.1 million during the 2025-2027 period. For 2025 specifically, the regulated water and electric utilities are on target to spend between $170 to $210 million, supported by new rates authorized by the CPUC in early 2025. That's how they keep the pipes and wires flowing.

Direct billing and online payment portals for residential/commercial.

For the regulated water customers, the primary direct channel for transactional interaction is the online customer portal, MyWater, managed by GSWC. This portal is where customers manage their accounts digitally. Honestly, it's the main self-service channel for routine tasks.

• View and pay bills online.
• Enroll in Auto Pay for scheduled payments.
• Sign up for Paperless Billing options.
• Track water usage and compare it to neighborhood averages.

Customers can make one-time payments using a bank account (Electronic Check) or a credit card (Visa, MasterCard, Discover, American Express) through MyWater. They also offer the ability to designate a third party to receive bill reminders and notices.

Dedicated contract management teams for military base operations.

The contracted services subsidiary, American States Utility Services, Inc. (ASUS), uses dedicated teams to manage its federal government relationships. These teams handle operations, maintenance, and construction management for water and wastewater facilities on military installations. The channel here is the direct, long-term contractual relationship with the U.S. government.

ASUS currently operates under:

• Twelve military bases under 50-year privatization contracts.
• One military base under a 15-year contract.

The subsidiary expanded its footprint by starting operations at two new bases, Naval Air Station Patuxent River and Joint Base Cape Cod, in April 2024. To manage these complex agreements, ASUS implemented Deltek Contract Lifecycle Management (CLM) back in January 2013 to handle contract data and maintain government compliance. During 2024, ASUS was awarded $56.5 million in new capital upgrade projects across all served bases, scheduled for completion through 2027.

Customer service call centers and email support.

When digital channels aren't enough, the traditional customer service center acts as the escalation and support channel for the regulated utilities. You can reach them for billing inquiries or to set up third-party notifications. They staff these centers Monday through Friday, from 7 a.m. to 7 p.m. For general billing inquiries or setting up a third-party payee, the number to use is 1-800-422-2782. If you need to pay by credit card over the phone, there's a dedicated line at 1-855-748-6066. Email support is also available, though specific volume metrics aren't public, it serves as the asynchronous communication channel for non-urgent issues.

American States Water Company (AWR) - Canvas Business Model: Customer Segments

You're looking at the customer base for American States Water Company (AWR) as of late 2025. This is a utility business built on regulated service areas and long-term government contracts, so the segments are quite distinct.

The core of the business is the regulated water utility, Golden State Water Company (GSWC). As of mid-2025, GSWC provided water service to approximately 265,000 customer connections across more than 80 communities in California.

Customer Segment Description	Service Area/Type	Connection Count (Approximate)	Key Financial/Contract Data
Regulated Residential Customers	Golden State Water Company (GSWC)	Approximately 89% of GSWC connections	New water rates effective January 1, 2025, set for years 2025 - 2027.
Regulated Commercial and Industrial Customers	Golden State Water Company (GSWC), California	Implied remainder of GSWC connections	Water operating revenues increased by $11.7 million in Q1 2025 due to new rates.
U.S. Government (Department of Defense)	American States Utility Services, Inc. (ASUS)	Facilities on 13 military bases	Services on 12 bases under 50-year contracts and one base under a 15-year contract. One 50-year contract estimated at $349 million over 50 years. Expected to contribute $0.59 to $0.63 per share for full 2025 year.
Residential and Commercial Customers	Bear Valley Electric Service, Inc. (BVES)	Approximately 24,900 customer connections	New electric rates set for years 2023 - 2026.
Developers of new planned communities	Asset Conveyance Agreements (GSWC)	Varies by project	One new community project expected to serve up to 3,800 connections in the first phase over the next five years, with a long-term buildout of 17,500 total dwelling units. One completed transaction involved 1,300 connections.

The contracted services segment, American States Utility Services, Inc., also secured $28.7 million in additional new construction projects in 2025, expected to be completed through 2028.

You can see the breakdown of the electric utility customer base below:

• Residential and commercial customers in the Big Bear Lake electric service area: Approximately 24,900 connections.

The regulated water utility customer base includes specific types of agreements with developers:

• Asset conveyance agreements for new planned communities.
• One recent transaction involved a new community with 1,300 connections.

The U.S. Government segment is defined by the contract structure:

• 50-year privatization contracts on 12 military bases.
• A 15-year contract on one military base.

The regulated water utility customer base is segmented by the CPUC-approved rate structure:

• Regulated Residential Customers: Representing approximately 89% of GSWC connections.
• Regulated Commercial and Industrial Customers: Serving communities in Northern, Coastal, and Southern California.

Finance: draft 13-week cash view by Friday.

American States Water Company (AWR) - Canvas Business Model: Cost Structure

You're looking at the hard costs American States Water Company (AWR) faces to keep its regulated utilities and contracted services running smoothly. This structure is heavily weighted toward physical assets and regulatory obligations.

Capital expenditures for infrastructure renewal are a massive, ongoing cost driver. American States Water Company expects to invest between $170-$210 million in infrastructure across its regulated utilities in 2025. To give you a sense of the pace, the regulated utility investment in capital projects reached $151.8 million through the first nine months of 2025. Furthermore, the CPUC authorized Golden State Water Company (GSWC) to invest approximately $573.1 million in capital infrastructure over the three-year cycle covering 2025-2027.

The costs associated with securing and moving water, plus the power to run the system, fluctuate. For the first quarter of 2025, water supply costs-which include purchased water, purchased power for pumping, and groundwater production assessments-increased by $4.0 million compared to the first quarter of 2024. More recently, for the three months ended September 30, 2025, the increase in water supply costs was $3.5 million year-over-year, largely due to higher per-unit purchased water costs included in customer rates for 2025.

Day-to-day operations are captured in labor, maintenance, and depreciation. Looking at the year-over-year changes reported in recent quarters, you see consistent upward pressure:

• For the three months ended June 30, 2025, operating expenses (excluding supply costs) increased by $3.1 million.
• This increase was primarily driven by higher labor costs and employee-related benefits.
• Maintenance expense and depreciation and amortization expenses also contributed to the rise, as these are impacted by the increasing capital additions placed in service.
• For the nine months ended September 30, 2025, operating expenses (excluding supply costs) increased by $2.2 million for the three-month period compared to the prior year.

The cost of maintaining regulatory standing is significant. The final decision for the Bear Valley Electric Service (BVES) general rate case was adopted on January 16, 2025, setting rates through 2026. The final decision for GSWC's general rate case, setting rates for 2025-2027, was adopted on January 30, 2025. The Q1 2025 operating expense increase included higher outside-services costs related to the GSWC general rate case application and other regulatory filings.

Debt servicing is a core cost, especially with infrastructure funding needs. As of the 2024 Annual Report filing, American States Water Company had total long-term debt of $643,893 thousand (or $643.9 million). This debt structure included $445.0 million in Private Placement Notes, consisting of $410.0 million from GSWC and $35.0 million from BVES. In 2025, GSWC issued an additional $100 million in unsecured notes, and BVES issued $50 million in unsecured private placement notes in February 2025. Despite higher borrowing levels under the credit facility, the net interest expense trended down recently; for the three months ended September 30, 2025, there was an overall decrease in interest expense (net of interest income) of $0.3 million.

Here's a look at the debt components and related interest expense data points:

Debt/Expense Category	Reported Amount/Period	Source Context
Total AWR Long-Term Debt	$643,893 thousand	As of 2024 Annual Report filing
Total Private Placement Notes	$445.0 million	As of 2024 Annual Report filing
GSWC Private Placement Notes Issued in 2025	$100 million	Issued in May or February 2025
BVES Private Placement Notes Issued in 2025	$50 million	Issued in February 2025
Interest Expense, net of Interest Income (Q2 Data Point)	$10.6 million vs $11.0 million (prior year)	Q2 2025 vs Q2 2024 comparison
Interest Expense Change (Q3 2025 vs Q3 2024)	Decrease of $0.3 million	For the three months ended September 30, 2025

American States Water Company (AWR) - Canvas Business Model: Revenue Streams

The revenue streams for American States Water Company (AWR) are anchored by its regulated utility operations and supplemented by its high-growth contracted services segment, American States Utility Services (ASUS).

Regulated water and electric utility sales to residential/commercial customers form the stable base. The water utility, Golden State Water Company (GSWC), benefits from new 2025 water rates effective January 1, 2025, following a general rate case decision. The electric utility, Bear Valley Electric Service (BVES), also saw revenue increases due to new 2025 electric rates. GSWC's rate base was $\mathbf{\$1,259.5}$ million in 2024, and the CPUC authorized $\mathbf{\$573.1}$ million in capital infrastructure investments for 2025-2027.

The performance across the regulated segments in recent quarters of 2025 shows clear growth from rate base expansion:

Segment	Revenue Change (Q3 2025 vs Q3 2024)	EPS Contribution (Q1 2025)
Water Utility	Increased $\mathbf{\$8.3}$ million	$\mathbf{\$0.52}$ per share
Electric Utility	Increased $\mathbf{\$4.3}$ million	$\mathbf{\$0.04}$ per share (Q3 2025)

Contracted services revenue from U.S. military bases (ASUS) and construction management fees from military base capital projects provide a significant, often counter-cyclical, growth lever. ASUS is expected to contribute between $\mathbf{\$0.59}$ and $\mathbf{\$0.63}$ per share in 2025. This guidance is based on executing the existing backlog, not on winning new bases.

The visibility into the ASUS pipeline is strong, supporting these revenue expectations:

• ASUS was awarded $\mathbf{\$28.7}$ million in new capital upgrade construction projects through September 2025.
• During 2024, ASUS secured $\mathbf{\$56.5}$ million in new capital upgrade projects, scheduled for completion through 2027.
• ASUS EPS contribution in Q3 2025 was $\mathbf{\$0.19}$ per share, up from $\mathbf{\$0.11}$ the prior year.
• ASUS EPS contribution in Q2 2025 was $\mathbf{\$0.13}$ per share.

The revenue from ASUS can be variable based on the timing of construction activity; for instance, ASUS revenues declined by $\mathbf{\$5.8}$ million in Q2 2025 due to construction timing, though they increased by $\mathbf{\$8.4}$ million in Q3 2025 due to higher activity.

New community water/wastewater service fees from acquired assets represent another growth vector. GSWC closed a transaction on May 1, 2025, to build out, own, and operate the water and wastewater systems for a new planned community. This closing included the initial installation and conveyance of water and wastewater system assets valued at $\mathbf{\$10.7}$ million by the developer.