美國水務 (AWK) 2024 Q2 法說會逐字稿

Good morning and welcome to American Water's second quarter 2024 earnings conference call. As a reminder this call is being recorded and is also being webcast with an accompanying slide presentation through the company's Investor Relations web site. The audio webcast archive will be available for one year on American Water's Investor Relations website.

早安，歡迎參加美國水務公司 2024 年第二季財報電話會議。提醒一下，這次電話會議正在錄音，並透過公司的投資者關係網站進行網路廣播，並附有幻燈片簡報。音訊網路廣播檔案將在美國水務公司的投資者關係網站上提供一年。

I would now like to introduce your host for today's call Aaron Musgrave, Vice President of Investor Relations. Mr. Musgrave, you may begin.

現在我想介紹今天電話會議的主持人投資者關係副總裁亞倫·穆斯格雷夫 (Aaron Musgrave)。馬斯格雷夫先生，您可以開始了。

Thank you, Danielle. Good morning, everyone, and thank you for joining us for today's call. At the end of our prepared remarks, we will open the call for your questions. Let me first go over some Safe Harbor language. Today, we will be making forward-looking statements that represent our expectations regarding our future performance or other future events. These statements are predictions based on our current expectations, estimates and assumptions. However, since these statements deal with future events, they are subject to numerous known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from the results indicated or implied by such statements.

謝謝你，丹妮爾。大家早安，感謝您參加我們今天的電話會議。在我們準備好的演講結束後，我們將開始電話詢問您的問題。讓我先回顧一下安全港語言。今天，我們將做出前瞻性聲明，代表我們對未來業績或其他未來事件的期望。這些陳述是基於我們目前的預期、估計和假設的預測。然而，由於這些陳述涉及未來事件，因此它們受到許多已知和未知的風險、不確定性和其他因素的影響，這些因素可能導致實際結果與此類陳述所表明或暗示的結果有重大差異。

Additional information regarding these risks, uncertainties and factors as well as a more detailed analysis of our financials and other important information is provided in the second quarter earnings release and in our June 30 Form 10-Q, each filed yesterday with the SEC.

有關這些風險、不確定性和因素的更多信息，以及對我們財務狀況和其他重要信息的更詳細分析，請參見昨天向SEC 提交的第二季度收益報告和6 月30 日的10-Q 表格。

And finally, all statements during this presentation related to earnings and earnings per share refer to diluted earnings and diluted earnings per share. After our prepared remarks, we'll then close by answering your questions.

最後，本簡報中與收益和每股盈餘相關的所有陳述均指稀釋收益和稀釋每股盈餘。在我們準備好的發言之後，我們將回答您的問題。

With that, I'll turn the call over to American Water's CEO, Susan Hardwick.

接下來，我會將電話轉給美國水務公司的執行長蘇珊哈德威克。

Thanks, Aaron. Good morning, everyone. Let's turn to slide 5, and I'll start by covering some highlights of the first half of the year. As we announced yesterday, we delivered solid financial results in the second quarter and first half of 2024. Earnings were $1.42 per share for the quarter, compared to $1.44 for the same period last year.

謝謝，亞倫。大家早安。讓我們轉向幻燈片 5，我將首先介紹今年上半年的一些亮點。正如我們昨天所宣布的，我們在 2024 年第二季和上半年實現了穩健的財務表現。本季每股收益為 1.42 美元，去年同期為 1.44 美元。

In the first six months of 2024 and 2023, earnings were $2.37 per share. The results for both periods were in line with our expectations. Our expectations were based on the timing of revenue increases from several general rate case proceedings and infrastructure mechanism filings expected to be effective in the latter half of 2024, which I'll speak more about shortly.

2024 年和 2023 年前六個月，每股收益為 2.37 美元。兩個時期的結果都符合我們的預期。我們的預期是基於預計將於 2024 年下半年生效的幾項一般費率案件程序和基礎設施機製備案的收入增長時間，我將很快對此進行更多討論。

With our year-to-date execution and customer usage declines being a bit less than we had planned for so far in 2024, we have raised our 2024 EPS guidance by narrowing it to the top half of the guidance range. Our expectations for 2024 are now $5.25 per share to $5.30 per share. John will share more about our results and guidance a bit later.

由於我們今年迄今的執行和客戶使用量下降幅度略低於我們在 2024 年迄今為止的計劃，我們提高了 2024 年每股收益指導，將其縮小到指導範圍的上半部分。我們對 2024 年的預期目前為每股 5.25 美元至 5.30 美元。約翰稍後將分享更多有關我們的結果和指導的資訊。

Moving on to some of our other key accomplishments so far in 2024. We invested $1.4 billion in capital projects year-to-date, again, reflecting great work by our teams responsible for planning and completing these investments. We were also very pleased to add 43,000 customers in our first half of the year from acquisitions and organic growth.

接下來我們將討論 2024 年迄今為止我們所取得的一些其他關鍵成就。今年迄今為止，我們在資本項目上投資了 14 億美元，這再次體現了我們負責規劃和完成這些投資的團隊所做的出色工作。我們也非常高興在今年上半年透過收購和有機成長增加了 43,000 名客戶。

Our outlook for future acquisitions remained very strong as we have nearly $500 million in acquisitions under agreement. And earlier this week, we were pleased to publish our company's latest sustainability report for 2023. It reflects how we are fulfilling our mission of providing safe, clean, reliable and affordable water and wastewater service in a very sustainable manner to American Water customers. This has been our mission for over 135 years and counting.

我們對未來收購的前景仍然非常樂觀，因為我們已達成近 5 億美元的收購協議。本週早些時候，我們很高興發布了該公司最新的 2023 年永續發展報告。它反映了我們如何履行我們的使命，即以可持續的方式為美國水務客戶提供安全、清潔、可靠和負擔得起的供水和污水處理服務。135 年來，這一直是我們的使命，而且這項使命還在繼續。

Turning to slide 6 and back to the topic of regulatory recovery, I want to acknowledge the great work of our state and corporate regulatory teams as they continue to successfully execute on our regulatory strategy. We have completed four cases already in 2024 in Indiana, West Virginia, Kentucky, and Pennsylvania all of which authorized 100% of the capital investments we have made or will make in each state.

轉向投影片 6，回到監管恢復的主題，我要感謝我們的州和企業監管團隊所做的出色工作，因為他們繼續成功執行我們的監管策略。我們已於 2024 年在印第安納州、西維吉尼亞州、肯塔基州和賓夕法尼亞州完成了四個案例，所有這些案例都授權我們在每個州已經或將要進行的資本投資的 100%。

We also have several other general rate cases and timely infrastructure recovery mechanisms currently in front of regulators that I'm confident will be reasonably decided. Cheryl will provide some additional updates on our active general rate cases a little later.

目前，我們還有其他幾個一般費率案件和及時的基礎設施恢復機制擺在監管機構面前，我相信監管機構會做出合理的決定。謝麗爾稍後將提供有關我們活躍的一般費率案例的一些額外更新。

Let's zoom out for a minute though, I want to remind investors that we strategically choose to operate in a diverse set of regulatory environments that we believe have been and will remain supportive of water and wastewater utility investments and consolidation. As I told you earlier this year American Water continues to receive tremendous support at the state and federal level for the work that we do across our footprint.

不過，讓我們把目光放遠一點，我想提醒投資者，我們策略性地選擇在多元化的監管環境中運營，我們相信這些環境已經並將繼續支持水和廢水公用事業的投資和整合。正如我今年早些時候告訴您的那樣，美國水務公司在我們的足跡中所做的工作繼續獲得州和聯邦層面的大力支持。

Policymakers in our states often understand that historic $20 or $30 per month water bills don't equate to adequately invested systems or the highest quality services for residents. Those relatively low legacy rates often signal significant underinvestment, below average reliability and/or water quality, wastewater overflow issues or all of the above.

我們各州的政策制定者常常明白，歷史性的每月 20 美元或 30 美元的水費並不等同於對系統的充分投資或為居民提供最高品質的服務。這些相對較低的遺留率通常表示投資嚴重不足、可靠性和/或水質低於平均水平、廢水溢出問題或以上所有問題。

That's why policymakers frequently encourage American Water to keep growing, keep investing, and keep solving problems in their states. states.We We often are called on by regulators and policymakers when there is a need for experts to take over a failing community water system. We have a very recent example of just that in the state of Pennsylvania.

這就是為什麼政策制定者經常鼓勵美國水務公司繼續發展、繼續投資、繼續解決所在州的問題。當需要專家接管故障的社區供水系統時，監管機構和政策制定者經常會向我們求助。我們在賓州就有一個最近的例子。

As you know, we just completed our rate case in Pennsylvania, and the Commission released its order in that case on July 22. It was a case that reflected $1 billion of investment since our last case, which was decided just a short 18 months ago.

如您所知，我們剛剛完成了賓州的費率案件，委員會於 7 月 22 日發布了該案件的命令。自從我們上一個案件（僅在短短 18 個月前做出裁決）以來，該案件反映了 10 億美元的投資。

It's important to note that the commission approved 100% of the capital invested or to be invested by the end of the future test year of June 30, 2025. There is no dispute about the investments being made and the absolute need for the investment to continue to update our systems to ensure that citizens of Pennsylvania, where we operate our confident in their water and wastewater service.

值得注意的是，到 2025 年 6 月 30 日未來測試年結束時，委員會已批准 100% 已投資或將投資的資本。正在進行的投資是沒有爭議的，而且絕對需要投資來繼續更新我們的系統，以確保我們經營所在地賓州的公民對他們的供水和廢水處理服務充滿信心。

Certainly, we've received comments about the pace of our regulatory strategy in Pennsylvania. What drives that pace is the need, plain and simple. And of course that pace of investment leads to increased customer bills. We're focused on that issue in every aspect of our regulatory planning and the efforts we continue to drive to ensure customer affordability. From cost management and driving efficiencies to innovative tariff approaches, to a direct customer assistance. At the end of the day, though, the need for investment is not decreasing.

當然，我們收到了有關賓州監管策略步伐的評論。推動這步伐的是需求，簡單明了。當然，這種投資速度會導致客戶帳單增加。我們在監管規劃的各個方面以及我們繼續努力確保客戶負擔能力的過程中都專注於這個問題。從成本管理和提高效率到創新的關稅方法，再到直接的客戶幫助。但歸根究底，投資需求並沒有減少。

As you assess the recent Pennsylvania order outcome, it's helpful to understand the reconciliation of the order findings to our request. Really there are only two or three things that reconcile the full difference. Recall that we requested a revenue increase of about $200 million and an ROE of 10.95%. An ROE request, which is fully reflective of an increasingly risky business because of higher capital costs, new and emerging regulations, and an increasing need for resiliency, to name just a few of the drivers.

當您評估最近的賓州訂單結果時，了解訂單結果與我們的要求的一致性會很有幫助。事實上，只有兩三件事可以調和全部差異。回想一下，我們要求收入增加約 2 億美元，淨資產收益率 (ROE) 為 10.95%。ROE 要求充分反映了由於資本成本上升、新法規以及對彈性的需求不斷增加等原因，業務風險日益增加，僅舉幾個驅動因素。

The ROE differential between our request and the commission's unprecedented and frankly unsupported finding of 9.45% is $71 million of revenue. Additionally, the Butler Area Sewer Authority acquisition, though fully approved by the commission previously, was removed from the revenue requirement because the transaction is not yet closed.

我們的要求與委員會史無前例且坦率地說不受支持的 9.45% 的調查結果之間的 ROE 差異為 7100 萬美元的收入。此外，巴特勒地區下水道管理局的收購雖然之前得到了委員會的完全批准，但由於交易尚未結束，因此被從收入要求中刪除。

That impact is $23 million of requested revenue. The remaining $11 million delta from our request to the final authorized revenue requirement is made up of a few cost-of-service items.

這一影響相當於要求的收入 2300 萬美元。從我們的請求到最終授權收入要求的剩餘 1,100 萬美元增量由一些服務成本項目組成。

In summary, the order found our request to be fully reasonable but for the ROE finding. We will continue to be very present in Pennsylvania as we serve our customers, but we will evaluate what this result means to our overall allocation of capital investment among our various states. Investors certainly expect a fair return, and it is part of our mission to provide that opportunity while fully serving our customers.

總而言之，該命令認為我們的要求完全合理，但就交戰規則的結果而言。我們將繼續在賓州為客戶提供服務，但我們將評估這一結果對我們在各州之間的資本投資總體分配意味著什麼。投資者當然期望獲得公平的回報，在充分服務客戶的同時提供這種機會是我們使命的一部分。

Selectively, we believe there is a very long runway of investment opportunities in the communities we serve across our 14 states for organic CapEx and for growth through acquisitions. And further, we believe the regulatory and legislative environments in our 14 states continue to be conducive to earning a fair and reasonable return on the investments we're making and that you, our investors are counting on. We do all of this while keeping customer bills affordable and staying true to our high value of quality service and sustainable operations.

我們選擇性地認為，在我們所服務的 14 個州的社區中，存在著很長的投資機會，可以實現有機資本支出和透過收購實現成長。此外，我們相信，我們 14 個州的監管和立法環境將繼續有利於我們的投資獲得公平合理的回報，而您，我們的投資者也對此寄予厚望。我們在做所有這一切的同時，保持客戶的帳單負擔得起，並忠於我們優質服務和永續營運的高價值。

Which leads us to slide 7, and what I believe are the drivers of American Water's very competitive and sustainable shareholder return built on the foundation of the regulatory execution I just discussed. This quarter we are again affirming our long-term targets, including both earnings and dividend growth targets at an industry-leading pace of 7% to 9% over the next five years and beyond.

這讓我們看到投影片 7，我認為美國水務公司在我剛才討論的監管執行的基礎上實現了極具競爭力和可持續的股東回報，這是驅動因素。本季度，我們再次確認了我們的長期目標，包括未來五年及以後的獲利和股息成長目標，達到業界領先的 7% 至 9%。

This affirmation is based on our clear top-tier growth, capital growth plan, and our solid regulatory and operational execution. Our track record of execution on these fronts gives us confidence and should give investors confidence in our ability to achieve our short-term and our long-term financial targets.

這項肯定是基於我們明確的頂級成長、資本成長計劃以及我們堅實的監管和營運執行力。我們在這些方面的執行記錄給了我們信心，也應該讓投資者對我們實現短期和長期財務目標的能力充滿信心。

Finally, let me spend just a few minutes on the leadership news we detailed in our earnings release. I'm excited to relate John has been named President of American Water. This is a decision the American Water Board and I have worked on for some time and it really is about our intentional effort to build a pipeline of talent through career development to ensure we have a strong leadership foundation for the long-term.

最後，讓我花幾分鐘時間介紹一下我們在收益報告中詳細介紹的領導力新聞。我很高興宣布約翰被任命為美國水務公司總裁。這是美國水務局和我花了一段時間做出的決定，這確實是我們有意透過職涯發展建立人才管道的努力，以確保我們擁有強大的長期領導基礎。

With this shift, I will continue to lead the overall strategic direction of our company as the CEO, and as an American Water Board member. John will lead the continued execution of our strategies and daily operations. He will continue to report to me and our Executive Leadership team will report to John.

透過這一轉變，我將作為執行長和美國水務局成員繼續領導我們公司的整體策略方向。約翰將領導我們策略和日常營運的持續執行。他將繼續向我匯報，我們的執行領導團隊將向約翰報告。

Cheryl will expand her COO role and now lead Business Development. When you consider how she has led our increased capital program, her extensive water quality expertise given the ever-increasing regulations, and her reputation in this industry. This is a natural expansion of her role as we continue to bring solutions to even more communities across the country.

謝麗爾將擴大她的營運長職位，現在負責業務開發。當您考慮她如何領導我們增加的資本計劃、她在不斷增加的法規下的廣泛的水質專業知識以及她在該行業的聲譽時。隨著我們繼續為全國更多社區提供解決方案，這是她角色的自然擴展。

David Bowler, who you will hear from next quarter has been named Executive Vice President and CFO, and Nick Furia has been named Vice President and Treasurer. Let me just say a few words about John, Cheryl, David and Nick, as we are really pleased to have all four expand their roles.

您將在下個季度聽到 David Bowler 被任命為執行副總裁兼首席財務官，Nick Furia 被任命為副總裁兼財務主管。讓我簡單介紹一下約翰、謝麗爾、大衛和尼克，因為我們非常高興這四人能夠擴大他們的角色。

You know John well. He has more than 25 years of industry knowledge and expertise and significant experience in leading high-performance teams, strategy development and execution. Most importantly, he has a deep understanding of our company's purpose and a strong commitment to our customers, employees, and shareholders.

你很了解約翰。他擁有超過 25 年的行業知識和專業知識，以及在領導高績效團隊、策略制定和執行方面的豐富經驗。最重要的是，他對我們公司的宗旨有著深刻的理解，並對我們的客戶、員工和股東做出了堅定的承諾。

Cheryl has more than 35 years of experience and expertise. She has led our lab, served as President in three of our states, and does an incredible job leading all areas of our operations. She too has a strong sense of the purpose of American Water.

Cheryl 擁有超過 35 年的經驗和專業知識。她領導了我們的實驗室，擔任了我們三個州的總裁，並在領導我們所有業務領域方面做出了令人難以置信的工作。她也對美國水務公司的宗旨有著強烈的認知。

David has nearly 20 years of deep experience in the utility industry and has been our Deputy CFO and Treasurer since 2022. He has significant experience in all aspects of financial management and strategy, including finance strategy and planning, treasury, accounting, enterprise risk and capital markets.

David 在公用事業行業擁有近 20 年的豐富經驗，自 2022 年起擔任我們的副財務長和財務主管。他在財務管理和策略的各個方面擁有豐富的經驗，包括財務策略和規劃、財務、會計、企業風險和資本市場。

And Nick Furia has 10 years of experience with American Water and has served as our Assistant Treasurer since 2021 overseeing key treasury-related functions, including financing, cash flow, liquidity, overall cap structure management. He also served as the Director of Acquisitions at American Water and has nearly 20 years of experience in accounting and finance roles. All have a strong commitment to the success of our company and are well suited for their new and expanded roles.

Nick Furia 在美國水務公司擁有 10 年的工作經驗，自 2021 年起擔任我們的助理財務主管，負責監督關鍵的財務相關職能，包括融資、現金流量、流動性、整體上限結構管理。他還曾擔任 American Water 的收購總監，擁有近 20 年的會計和財務經驗。所有人都對我們公司的成功做出了堅定的承諾，並且非常適合他們新的和擴展的角色。

We firmly believe we have further solidified an already top talent leadership team. Our leadership team and the American Water Board of Directors are excited about these changes and highly confident this team will support the execution of our plans now and well into the future.

我們堅信，我們已經進一步鞏固了一支已經頂尖的人才領導團隊。我們的領導團隊和美國水務董事會對這些變化感到興奮，並且非常有信心團隊將支持我們現在和未來計劃的執行。

And with that, I'll turn it over to Cheryl to talk more about our recent regulatory updates, affordability and the capital plan. Cheryl?

接下來，我將把它交給謝麗爾，更多地討論我們最近的監管更新、負擔能力和資本計劃。謝麗爾？

Thanks, Susan, and good morning, everyone. Let me start by saying how excited I am about today's leadership news, and I look forward to working even more closely with our business development team to provide water and wastewater solutions to many more new communities. I'm also very confident that we have the right team for the long-term success of this company.

謝謝，蘇珊，大家早安。首先我要說的是，我對今天的領導力新聞感到非常興奮，我期待與我們的業務開發團隊更加密切地合作，為更多新社區提供水和廢水處理解決方案。我也非常有信心，我們擁有適合公司長期成功的團隊。

On slide 9, I'll cover the latest regulatory activity in our states. In Pennsylvania, as Susan just laid out the commission issued an order in July authorizing an additional $99 million in annualized revenues effective August 7. There are two other items from the order worth noting. The PUC encouraged Pennsylvania American Water to set a target donation to its hardship fund of an additional $1 million.

在投影片 9 上，我將介紹我們各州的最新監管活動。在賓州，正如蘇珊剛剛指出的那樣，該委員會於 7 月發布了一項命令，授權額外增加 9,900 萬美元的年化收入，從 8 月 7 日起生效。該訂單中還有另外兩項值得注意。PUC 鼓勵賓州美國水務公司為其困難基金設定額外 100 萬美元的目標捐款。

Of note, as part of its acquisition of the Butler Area Sewer Authority, Pennsylvania American Water already committed to increase its shareholder contribution to the H2O Help to Others grant program by $3.5 million over five years. As you know, the BASA acquisition was approved by the PUC in November of 2023, but it was appealed to the Commonwealth Court. So the PUC approved expansion of these assistance programs awaits a decision from that court.

值得注意的是，作為收購巴特勒地區下水道管理局的一部分，賓州美國水務公司已承諾在五年內將其股東對 H2O Help to Others 贈款計劃的捐款增加 350 萬美元。如您所知，BASA 收購於 2023 年 11 月獲得 PUC 批准，但已向聯邦法院提起上訴。因此，PUC 批准擴大這些援助計劃正在等待法院的決定。

Regarding the water quality issues raised in the order, we acknowledged that some customers in the Northeast part of our Pennsylvania service area experience temporary aesthetic disturbances associated with system improvements and operational maintenance.

關於訂單中提出的水質問題，我們承認賓州服務區東北部的一些客戶遇到了與系統改進和營運維護相關的暫時的美學幹擾。

Let me be clear. Our water meets all state and federal drinking water regulations. We take customer comments about water quality very seriously and will work with the commission on the matters raised. As part of this commitment, we attempted personal outreach to every customer who raised a water quality concern during the public hearings to better understand and resolve their issues.

讓我說清楚。我們的水符合所有州和聯邦飲用水法規。我們非常重視客戶有關水質的意見，並將與委員會合作解決所提出的問題。作為這項承諾的一部分，我們嘗試與在公開聽證會上提出水質問題的每位客戶進行個人聯繫，以更好地了解和解決他們的問題。

With 33 Pennsylvania American Water's water treatment plants nationally recognized with the Director's Awards for participating in the EPA's Partnership for Safe Water. We are fully committed to high quality, reliable and affordable water and wastewater services.

賓州美國水務公司的 33 家水處理廠因參與 EPA 安全水合作夥伴關係而獲得全國認可的總監獎。我們完全致力於提供高品質、可靠且負擔得起的供水和污水處理服務。

Switching over to Kentucky, the Commission there issued an order on May 3 authorizing an additional $11 million in annualized revenues. Since the company had implemented interim rates effective February 6 based on the requested revenue of $26 million. The order requires a refund with interest to customers retroactive to this date. It does not include the infrastructure surcharge revenues of $10 million, which add to our investment recovery in the state.

轉向肯塔基州，該州的委員會於 5 月 3 日發布命令，授權額外增加 1,100 萬美元的年化收入。由於該公司已根據要求的 2600 萬美元收入實施了自 2 月 6 日起生效的臨時費率。該訂單要求向客戶退款，並追溯至該日期。這還不包括 1000 萬美元的基礎設施附加費收入，這增加了我們在州內的投資回收。

We filed with the Commission a petition for a rehearing of the rate case order seeking clarification or correction of certain quantifications with respect to the authorized amount of annualized revenues. Of the handful of issues we have raised, the one of most significance appears to be a mathematical error that once corrected would result in a higher revenue requirement. We expect resolution of this proceeding later in 2024.

我們向委員會提交了一份重新審理費率案件命令的請願書，要求澄清或更正有關年化收入授權金額的某些量化數據。在我們提出的少數問題中，最重要的一個似乎是數學錯誤，一旦糾正，將導致更高的收入要求。我們預計該訴訟將於 2024 年稍後解決。

Turning to active cases, you can see we have general rate cases in progress in seven jurisdictions. All of these cases are centered around the capital investments we've made and will continue to make in these states, and all of them are proceeding as we expected.

談到活躍案件，您可以看到我們在七個司法管轄區正在進行一般費率案件。所有這些案例都圍繞著我們已經並將繼續在這些州進行的資本投資，並且所有這些都按照我們的預期進行。

On July 1, we filed a general rate case in Missouri, reflecting a $1.5 billion in system investments, covering January 2023 through May 2026. We are seeking $148 million of additional annual revenue. Rate cases in Missouri usually take up to 11 months, and we expect new rates to become effective mid-2025.

7 月 1 日，我們在密蘇裡州提交了一份一般費率案件，反映了 15 億美元的系統投資，涵蓋 2023 年 1 月至 2026 年 5 月。我們正在尋求 1.48 億美元的額外年收入。密蘇裡州的費率案件通常需要長達 11 個月的時間，我們預計新費率將於 2025 年中期生效。

In Illinois, the next milestones in the case will be evidentiary hearings in August, followed by briefing from all parties in September, and then a proposed order due in October. In California, we still expect a final rate case decision in the second half of 2024. New rates will be implemented retroactively to January 1, 2024.

在伊利諾州，該案的下一個里程碑將是 8 月舉行證據聽證會，隨後是 9 月各方通報情況，最後是 10 月提交擬議命令。在加州，我們仍預計最終費率案件判決將在 2024 年下半年做出。新費率將追溯至 2024 年 1 月 1 日實施。

As a reminder, we reached the partial settlement agreement in November of 2023 with the CPUC's Public Advocates Office, which would address our revenue requirement request, but does not address rate design or certain other matters, including our request for continuation of a revenue stability mechanism.

謹此提醒，我們於2023 年11 月與CPUC 公共倡議辦公室達成了部分和解協議，該協議將解決我們的收入要求請求，但不解決費率設計或某些其他問題，包括我們關於繼續實施收入穩定機制的請求。

Also of note, the California Supreme Court issued a unanimous opinion concluding that the Commission erred when it prohibited water utilities from proposing to continue their water revenue adjustment mechanisms. Accordingly, the court vacated the portion of the Commission's 2020 decision relating to this prohibition. Decoupling is a critical tool for conservation efforts in California.

另外值得注意的是，加州最高法院發表了一致意見，認為委員會在禁止水務公司提議繼續實施水收入調整機制時犯了錯誤。因此，法院撤銷了委員會 2020 年決定中與此禁令相關的部分。脫鉤是加州保育工作的重要工具。

Adequate water supply reliability for all uses is essential to the future economic and environmental health of the communities we serve there. In New Jersey, as outlined in the procedural schedule, the company is in confidential settlement discussions among the parties to the proceeding and we hope to have a resolution soon.

為所有用途提供足夠的供水可靠性對於我們所服務的社區未來的經濟和環境健康至關重要。在新澤西州，正如程序時間表所述，該公司正在與訴訟各方進行秘密和解討論，我們希望盡快達成解決方案。

To show the magnitude of our regulatory execution efforts, you can see on slide 10 that we have $266 million in annualized new revenues and rates so far in 2024. This includes $176 million from general rate cases and step increases and $90 million from infrastructure surcharges. In total, we have $546 million of total annualized revenue requests pending. Most of the annual authorized revenues we are expecting in 2024, have effective dates which will have a stronger impact on financial results in the second half of the year.

為了展示我們監管執行工作的規模，您可以在投影片 10 中看到，截至 2024 年，我們的年化新收入和費率為 2.66 億美元。其中包括 1.76 億美元的一般費率案例和階梯式增長以及 9000 萬美元的基礎設施附加費。總共，我們有 5.46 億美元的年度收入請求待處理。我們預計 2024 年大部分的年度授權收入都有生效日期，這將對下半年的財務表現產生更大的影響。

Moving to slide 11, and a topic you've heard us cover just about every quarter, customer affordability. And as we've said, we are very focused on balancing customer affordability and the magnitude of the system investments that are needed.

轉到投影片 11，這是您聽到我們幾乎每季都會討論的主題：客戶負擔能力。正如我們所說，我們非常注重平衡客戶的承受能力和所需系統投資的規模。

An example of this is included in the Missouri general rate case we filed on July 1. We are proposing a new income-based discounted rate for customers below 150% of the federal poverty level. We also currently offer assistance through our H2O Help to Others program, which is available to any Missouri American Water customer and meets the basic needs criteria as set by the community action agency caseworkers.

我們 7 月 1 日提交的密蘇裡州一般費率案件中就有一個這樣的例子。我們提議為聯邦貧窮線 150% 以下的客戶提供新的基於收入的折扣率。目前，我們也透過 H2O Help to Others 計畫提供協助，該計畫向任何 Missouri American Water 客戶提供，並滿足社區行動機構案例工作者設定的基本需求標準。

We also continue to strongly advocate for a permanent, federally funded, low-income water assistance program similar to what's been in place for many years for gas and electric utility customers and what was temporarily in place for water customers during COVID.

我們也繼續大力倡導一項永久性的、聯邦政府資助的低收入水援助計劃，類似於多年來為天然氣和電力公司客戶實施的計劃以及在新冠疫情期間為水客戶暫時實施的計劃。

Turning to slide 12. As Susan reviewed earlier, highlighted here is an example of the constructive regulatory and legislative environments we operate in. Our theme here is not only around timely, consistent recovery of investments and operating costs, but also around offering affordability programs and tariffs to those customers who need it the most.

轉到投影片 12。正如蘇珊之前評論的那樣，這裡強調的是我們所處的建設性監管和立法環境的一個例子。我們的主題不僅是及時、持續地回收投資和營運成本，還包括為最需要的客戶提供負擔能力計劃和關稅。

As I alluded to earlier, American Water has consistently engaged with policymakers and regulators over the years to find the best ways to invest in water and wastewater infrastructure to serve the long-term best interest of our customers while also achieving timely recovery. When we achieve timely and consistent recovery, it promotes affordability by leveling out customer ability bill impacts over time, making those bills more manageable for our customers.

正如我之前提到的，美國水務公司多年來一直與政策制定者和監管機構合作，尋找投資供水和污水處理基礎設施的最佳方式，以服務客戶的長期最佳利益，同時實現及時恢復。當我們實現及時和一致的恢復時，它會隨著時間的推移消除客戶能力帳單的影響，從而提高負擔能力，使這些帳單對我們的客戶來說更易於管理。

I'd like to point out that we offer affordability programs in most of our states, which is something we have been doing for some time now. We also have specific low income tariffs enacted in four of our biggest states, Pennsylvania, New Jersey, Illinois, and West Virginia. And as I mentioned on the last slide, we are seeking to add Missouri to this list once our general rate case concludes next year.

我想指出的是，我們在大多數州都提供負擔能力計劃，這是我們一段時間以來一直在做的事情。我們也在賓州、紐澤西州、伊利諾州和西維吉尼亞州這四個最大的州頒布了特定的低收入關稅。正如我在上一張幻燈片中提到的，一旦明年我們的一般利率案例結束，我們將尋求將密蘇裡州添加到此列表中。

Lastly, slide 13 shows that our state and corporate leaders and their teams again did a great job in the quarter executing on our increased capital plan. They safely completed the hundreds of projects that improved our systems and drove capital investment higher by almost $200 million in the first half of 2024, compared to the same period last year. This result keeps us on pace to hit our goal of approximately $3.1 billion of capital investment in 2024.

最後，投影片 13 顯示我們的州和企業領導人及其團隊在本季度執行增加資本計畫方面再次表現出色。他們安全地完成了數百個項目，這些項目改進了我們的系統，並在 2024 年上半年推動資本投資比去年同期增加了近 2 億美元。這一結果使我們能夠繼續實現 2024 年約 31 億美元資本投資的目標。

With that, I'll hand it over to John to cover our financial results and plans in further detail. John?

這樣，我將把它交給約翰，以更詳細地介紹我們的財務表現和計劃。約翰？

Thank you, Cheryl, and good morning, everyone. I, too, look forward to all of our new roles. We have a great future ahead of us and much work to do as we continue to make communities stronger through the essential water and wastewater services we provide.

謝謝你，謝麗爾，大家早安。我也期待我們所有的新角色。我們擁有美好的未來，還有許多工作要做，我們將繼續透過我們提供的基本供水和廢水處理服務使社區變得更加強大。

Turning to slide 15, I'll provide some further insights into our financial results for the quarter. Earnings were $1.42 per share for the quarter, down $0.02 per share versus the same period in 2023, but up $0.02 per share on a weather normalized basis. Recently completed rate cases in Indiana, West Virginia, and Kentucky, in addition to rate outcomes achieved last year, are driving increased revenues.

轉向投影片 15，我將提供有關本季財務表現的一些進一步見解。本季每股收益為 1.42 美元，與 2023 年同期相比每股收益下降 0.02 美元，但在天氣正常化的基礎上每股收益上漲 0.02 美元。除了去年取得的費率結果外，印第安納州、西維吉尼亞州和肯塔基州最近完成的費率案件正在推動收入成長。

While weather led to a net unfavorable impact on earnings quarter-over-quarter of an estimated $0.04 per share, earnings in the second quarter of 2024 were favorably impacted by an estimated $0.03 per share of weather due to warm and dry conditions primarily in New Jersey, while earnings were favorably impacted in Q2 of 2023 by an estimated $0.07 per share of weather due to warm and dry conditions primarily in Missouri, New Jersey, and Pennsylvania.

雖然天氣對季度環比每股收益產生了估計為 0.04 美元的不利淨不利影響，但由於主要是新澤西州溫暖乾燥的氣候，2024 年第二季度的收益受到了預計每股 0.03 美元的天氣的有利影響，而由於密蘇裡州、新澤西州和賓夕法尼亞州溫暖乾燥的天氣，預計2023 年第二季度的收益受到每股0.07 美元的有利影響。

And looking at operating costs, increased employee-related costs caused O&M to increase $0.03 per share as expected, from normal wage increases somewhat offset by lower headcount. Production costs related to fuel, power, and chemicals costs were flat compared to this period in 2023.

就營運成本而言，與員工相關的成本增加導致 O&M 每股成長 0.03 美元，符合預期，正常薪資成長在一定程度上被員工人數減少所抵銷。與燃料、電力和化學品成本相關的生產成本與 2023 年同期相比持平。

Next, depreciation increased $0.07 per share, and long-term financing costs increased $0.11 per share, both as expected, in support of our investment growth. Long-term financing costs include interest on the $1 billion convertible note issuance from last June and the $1.4 billion long-term senior note issuance this February.

接下來，每股折舊增加 0.07 美元，每股長期融資成本增加 0.11 美元，均符合預期，以支持我們的投資成長。長期融資成本包括去年6月發行的10億美元可轉換票據和今年2月發行的14億美元長期優先票據的利息。

And finally, we had $0.02 per share of additional interest income from the February 2024 amendment of the seller note related to the sale of HOS. We will continue to break this out quarterly so investors will be able to track the ongoing growth of American Water from its core regulated strategy without this additional interest income.

最後，我們從 2024 年 2 月與出售居屋有關的賣方票據修訂中獲得了每股 0.02 美元的額外利息收入。我們將繼續每季對此進行揭露，以便投資者能夠從其核心監管策略中追蹤美國水務公司的持續成長，而無需額外的利息收入。

Turning to slide 16, earnings were flat for the year-to-date period compared to the same period last year, driven by many of the same factors as in the second quarter. On a weather-normalized basis, earnings have increased $0.04 per share year-to-date, which as Susan mentioned is in line with our expectations for the first half of the year.

轉向幻燈片 16，由於許多與第二季度相同的因素，今年迄今的利潤與去年同期持平。在天氣正常化的基礎上，年初至今每股收益增加了 0.04 美元，正如 Susan 所提到的，這符合我們對今年上半年的預期。

Turning to our discussion of growth through acquisitions, on slide 17 you'll see that we successfully closed on five systems for $119 million through June 30, which added approximately 33,400 new customers. The newest additions include the water and wastewater systems in Salem, New Jersey, and Cape Charles, Virginia, which followed the Granite City, Illinois, Wastewater Treatment Plant acquisition we closed in Q1.

轉向我們對透過收購實現成長的討論，在投影片 17 上您會看到，截至 6 月 30 日，我們以 1.19 億美元成功完成了五個系統的收購，增加了大約 33,400 個新客戶。最新增加的項目包括新澤西州塞勒姆和維吉尼亞州查爾斯角的供水和廢水處理系統，這是繼我們在第一季度完成收購伊利諾伊州花崗岩城廢水處理廠之後的。

We've also added 9,600 customers through organic growth through June 30. We continue to be well-positioned for strong growth through acquisitions, with 59,000 customer connections and $483 million under agreement as of quarter end. Many states in our footprint are contributing to this total, which mirrors the broad-based pipeline of opportunities we have in progress across the country.

截至 6 月 30 日，我們也透過有機成長增加了 9,600 名客戶。截至季末，我們已擁有 59,000 個客戶關係和 4.83 億美元的協議，繼續透過收購實現強勁成長。我們足跡中的許多州都為此總數做出了貢獻，這反映了我們在全國範圍內正在取得的廣泛機會。

As a reminder, we have received PUC approval for the acquisition of the 15,000 customer BASA wastewater system in Pennsylvania. The PUC's approval is under appeal, and we await a decision from the Pennsylvania Commonwealth Court to proceed with closing.

謹此提醒，我們已獲得 PUC 批准收購賓州 15,000 名客戶的 BASA 廢水系統。PUC 的批准正在上訴中，我們正在等待賓州聯邦法院的決定繼續結案。

On June 13, the Pennsylvania Commission voted to adopt revisions to procedures around Act 12 fair market value. The provisions in this final order were largely the same as the proposed version we covered on the first quarter call.

6 月 13 日，賓州委員會投票決定通過第 12 號法案公平市場價值相關程序的修訂。最終命令中的條款與我們在第一季電話會議上討論的擬議版本基本相同。

And as we said on the first quarter call, we believe these provisions are a constructive step for continued consolidation in Pennsylvania as they reaffirm the core principles of Act 12. We do expect the closing of current pending transactions will likely take more time than usual, but to be clear, we are confident in our Pennsylvania acquisition pipeline.

正如我們在第一季電話會議上所說，我們相信這些規定是賓州持續鞏固的建設性步驟，因為它們重申了第 12 號法案的核心原則。我們確實預期目前待定交易的完成可能會比平常花費更多時間，但需要明確的是，我們對賓州的收購管道充滿信心。

Slide 18 is a summary of our continued strong financial position. Our total debt-to-capital ratio as of June 30, net of our $48 million of cash on hand as 56%, which is comfortably within our long-term target of less than 60%.

投影片 18 總結了我們持續強勁的財務狀況。截至 6 月 30 日，扣除手頭現金 4,800 萬美元後，我們的總債務與資本比率為 56%，完全處於我們低於 60% 的長期目標之內。

And finally, on slide 19, yesterday we announced that we are raising our 2024 EPS guidance by narrowing it to the top half of the range we first disclosed in February.

最後，在幻燈片 19 上，昨天我們宣布，我們將提高 2024 年每股收益指引，將其縮小到我們 2 月首次披露的範圍的上半部分。

The 2024 EPS guidance range is now $5.25 to $5.30, from $5.20 to $5.30 previously, and still on a weather-normalized basis. As Susan mentioned, this change is driven by lower-than-expected declines in customer usage, which is something we track closely and now believe we can count on for the remainder of the year.

2024 年 EPS 指引範圍目前為 5.25 美元至 5.30 美元，之前為 5.20 美元至 5.30 美元，且仍以天氣正常化為基礎。正如蘇珊所提到的，這項變更是由客戶使用量下降幅度低於預期推動的，這是我們密切追蹤的，現在相信我們在今年剩餘時間裡可以指望這一點。

Coupled with the fact that we have several revenue increases effective in Q2 and Q3, we expect second half 2024 will deliver financial results to achieve this narrow guidance range. This puts us on track to deliver 8.5% EPS growth in 2024 at the new midpoint.

再加上我們在第二季和第三季實現了多次收入成長，我們預計 2024 年下半年的財務業績將實現這一狹窄的指導範圍。這使我們預計在 2024 年以新的中點實現 8.5% 的每股收益成長。

Our high-level outlook for 2024 otherwise remains unchanged from what we previously disclosed, and we again affirm our long-term financial targets. We believe our industry-leading EPS and dividend growth, coupled with our affordability position and DSG leadership, will continue to be highly valued and rewarded by investors. We believe these aspects of our business and our position as the largest and most geographically diversified water and wastewater utility in the country distinguish us from all other utilities.

我們對 2024 年的高層展望與先前揭露的內容保持不變，並且我們再次確認我們的長期財務目標。我們相信，我們領先業界的每股盈餘和股息成長，加上我們的負擔能力地位和 DSG 領導地位，將繼續受到投資者的高度重視和回報。我們相信，我們業務的這些方面以及我們作為國內最大、地域最多元化的供水和污水處理公司的地位使我們有別於所有其他公用事業公司。

With that, I'll turn it back over to our operator to begin Q&A.

這樣，我會將其轉回給我們的操作員以開始問答。

Thank you. I'll now begin the question-and-answer session. (Operator Instructions)

謝謝。我現在開始問答環節。（操作員說明）

Durgesh Chopra, Evercore ISI.

杜爾格甚喬普拉 (Durgesh Chopra)，Evercore ISI。

Hey team, good morning. First off, congrats on all the leadership announcements here to all of you. -- Good morning, Susan. Susan, thank you for all the color you provided as it relates to Pennsylvania rate case. I'm just thinking about how, if at all, this changes your regulatory strategy in the state, the timing of rate cases, the ask, the capital spending, how should we think about that just thinking about the impacts of the order?

嘿，團隊，早安。首先，恭喜各位領導階層的宣布。 ——早上好，蘇珊。蘇珊，感謝您提供的與賓州費率案例相關的所有資訊。我只是在想，如果有的話，這將如何改變您在該州的監管策略、利率案件的時間表、詢問、資本支出，我們應該如何考慮該命令的影響？

I think it's a great question, and it's obviously something we're going to continue to analyze very closely as we continue to work on our plan update for the fall. As we said in prepared remarks, the need is not going away. The state of infrastructure and the need for continued focus on improvements and resiliency is not declining in any way.

我認為這是一個很好的問題，顯然，在我們繼續制定秋季計畫更新的過程中，我們將繼續密切分析這個問題。正如我們在準備好的發言中所說，這種需求不會消失。基礎設施的狀況以及持續關注改善和彈性的需求並沒有以任何方式下降。

So we know we have investments that need to be made in Pennsylvania. We will need to look though at how we and how much capital we allocate to the state of Pennsylvania relative to our other states. Given this this low ROE result in Pennsylvania.

所以我們知道我們需要在賓州進行投資。我們需要考慮相對於其他州，我們如何以及向賓州分配了多少資本。鑑於賓州的淨資產報酬率較低。

It is a real balance of shareholder expectations and the allocation of capital that we really need to think through. Again, we're not going to compromise service. We're not going to compromise safety in any way, but as we think about the pace at which we are making investments, we do have to take into account the return opportunity provided to investors.

我們真正需要思考的是股東期望和資本配置之間的真正平衡。再次強調，我們不會犧牲服務。我們不會以任何方式損害安全，但當我們考慮投資的節奏時，我們確實必須考慮為投資者提供的回報機會。

So I think it's just a question, Durgesh, we're going to have to continue to evaluate a bit, and we'll have more to say about that as we get into sort of our fall planning and updates that we'll provide later in the fall.

所以我認為這只是一個問題，Durgesh，我們將不得不繼續進行一些評估，當我們進入秋季計劃和稍後提供的更新時，我們將有更多的話要說。

In total, we don't expect our capital plans to change at all. We again know that the need exists across our entire territory and to the extent we shift dollars from one state to the other should not impact our total expectations.

總的來說，我們預計我們的資本計劃不會有任何變化。我們再次知道，我們整個領土都存在這種需求，我們將美元從一個州轉移到另一個州的程度不應影響我們的整體預期。

Richard Sunderland, JPMorgan

理查桑德蘭，摩根大通

Hi, good morning. Thank you for the time today and congratulations as well for all the leadership updates. Following up on the capital reallocation question earlier, understand the considerations you just laid out particularly around ROE, but wanted to ask this specific to M&A in Pennsylvania. Is that something you're also looking at potentially slowing the pace of acquisitions in the state?

嗨，早安。感謝您今天抽出寶貴的時間，也恭喜所有領導階層的最新消息。跟進先前的資本重新分配問題，了解您剛剛特別圍繞股本回報率提出的考慮因素，但想針對賓夕法尼亞州的併購提出具體問題。您是否也認為這可能會減緩該州的收購步伐？

Again, I think there's so many opportunities in all of our states really from a acquisition growth perspective and we know we've got a great pipeline in Pennsylvania, a lot of good opportunities there and our team continues to work very hard to identify those opportunities and move them all along.

再說一次，我認為從收購成長的角度來看，我們所有的州都有很多機會，我們知道我們在賓州有一個很好的管道，那裡有很多很好的機會，我們的團隊將繼續努力尋找這些機會並將它們全部移動。

And we're not going to slow that pace at all. I think if there's a pace issue at all in Pennsylvania it will really be around just the environment-related to fair market value and the commission's process they put in place to review acquisitions, which we think, by the way, is very positive.

我們根本不會放慢這一速度。我認為，如果賓州確實存在速度問題，那麼它實際上只是與公平市場價值相關的環境以及他們為審查收購而製定的委員會流程有關，順便說一句，我們認為這是非常積極的。

We think the approach the commission has taken there to really put some guidelines around looking at acquisitions and benefits being provided to customers we think will be helpful. But it's still a difficult environment to get those transactions across the finish line.

我們認為，該委員會採取的方法確實針對收購和向客戶提供的利益制定了一些指導方針，我們認為這將是有幫助的。但要完成這些交易仍然是一個困難的環境。

So again, our view is we don't change anything about what we're doing. We'll see how the process works with all the parties involved in those types of proceedings and how the commission handles all of that through the approval process.

再說一遍，我們的觀點是我們不會改變我們正在做的事情。我們將了解該流程如何與參與此類訴訟的所有各方合作，以及委員會如何透過批准流程來處理所有這些問題。

Got it. That's helpful commentary there. And then separately, you pointed out the 2H weighting to earnings and very clear what the drivers of that are. I guess thinking about this dynamic over your forecast period, how do you see your EPS profile tracking over the period? Do you expect any lumpiness in results?

知道了。這是很有幫助的評論。然後，您分別指出了 2H 收益的權重，並非常清楚其驅動因素是什麼。我想考慮一下您的預測期內的這種動態，您如何看待在此期間的 EPS 概況追蹤？您預計結果會出現混亂嗎？

I'll probably turn to John on that. John, you want to comment there.

我可能會就此向約翰求助。約翰，你想在那裡發表評論。

Not lumpiness. So we maintain our 7% to 9% long-term growth. We've been asked a question in the past of what base year. We don't pick a base year. As you know, we came out of a transition in 2021 selling HOS, selling New York. That was 2021 to 2022, 2022 to 2023, we were inside of the 7% to 9%. We expect to be this year. And we frankly think our goal is that it shouldn't matter a lot what year somebody picks. We do, as everyone is aware, have the note coming due in 2026, but that's an event that we've been planning for and we will continue to plan for. So we expect to remain in the 7% to 9%

不是結塊。所以我們維持7%到9%的長期成長。過去有人問我們一個問題，基準年是哪一年。我們不選擇基準年。如您所知，我們在 2021 年完成了出售居屋、出售紐約的轉型。那是2021年到2022年、2022年到2023年，我們處於7%到9%的範圍內。我們預計今年會是這樣。坦白說，我們認為我們的目標是，人們選擇哪一年並不重要。眾所周知，我們的票據將於 2026 年到期，但這是我們一直在計劃的事件，我們將繼續計劃。所以我們預計會維持在 7% 到 9%

Paul Zimbardo, Jefferies

保羅‧津巴多，傑弗里斯

My first question was just if you could unpack a little bit some of the detailed guidance changes within the subcomponents, like in particular, you mentioned that lower than expected decline of customer usage, like how much of that was the guidance raised and just if that carries forward, also there's some moves in like MSG and other. If you could just help unpack some of the more material pieces in the change.

我的第一個問題是，您是否可以解開子組件中的一些詳細指南更改，特別是您提到的客戶使用率下降幅度低於預期，例如提出了多少指南，以及如果發揚光大，還有一些舉措，比如味精等。如果你能幫忙解開改變中一些較重要的部分。

Yes, John can add to it. I just say a high level, Paul, that's really it. We've continued to track customer usage trends pre and post COVID. And we've certainly expected some measure of customer behavior, and it's probably not tracked quite well as we'd expected. And that's really the driver, I think, of what we're seeing so far in results this year and the reason that we've increased our guidance by narrowing the range.

是的，約翰可以補充一下。我只是說一個高水平，保羅，確實如此。我們持續追蹤新冠疫情前後的客戶使用趨勢。我們當然期望對客戶行為進行某種衡量，但它可能沒有像我們預期的那樣得到很好的追蹤。我認為，這確實是我們今年迄今所看到的結果的驅動因素，也是我們透過縮小範圍來增加指導的原因。

John, anything to add there?

約翰，有什麼要補充的嗎？

If you think about kind of a midpoint to midpoint change, Paul, we're talking about a few cents here. So I think you've, I think -- Susan got it right.

保羅，如果你考慮中點到中點的變化，我們在這裡談論的是幾美分。所以我認為你，我認為──蘇珊說得對。

And then just to follow-up on Durgesh's, Rich's questions about Pennsylvania. Does the commentary about like potentially shift CapEx around also carry to interest in M&A in Pennsylvania. I know it's been kind of a long arduous road and the changes legislative at the commission. Just any change in your views about kind of growing inorganically in Pennsylvania as well?

然後跟進杜爾格甚、里奇關於賓州的問題。關於可能改變資本支出的評論是否也會引起人們對賓州併購的興趣？我知道這是一條漫長而艱鉅的道路，委員會的立法也改變了。您對賓州無機成長的看法有什麼改變嗎？

As I said, Paul, just a minute ago, I think in response to Rich's question, it really doesn't change our behavior. We've got a very dynamic and robust process in Pennsylvania to identify opportunities. We've got a great team there that's very focused on identifying opportunities and we will continue that.

正如我剛才所說，保羅，我認為在回答里奇的問題時，這確實不會改變我們的行為。我們在賓州有一個非常動態和穩健的流程來尋找機會。我們有一支優秀的團隊，非常專注於尋找機會，我們將繼續這樣做。

We think that the guidance that the Commission is laid out to analyze these transactions going forward is very helpful. But as I said, it's an environment where multiple parties have opinions relative to these transactions. And so we'll have to see how that continues to play out before the Commission. Again, we think the guidelines are helpful and our part doesn't change in terms of our interest in growing through acquisition in the state of Pennsylvania.

我們認為，委員會為分析未來這些交易而製定的指導非常有幫助。但正如我所說，這是一個多方對這些交易都有意見的環境。因此，我們必須看看委員會的情況如何繼續發展。同樣，我們認為這些指導方針是有幫助的，而且我們對透過賓州的收購實現成長的興趣並沒有改變。

Angie Storozynski, Seaport.

安吉·斯托羅辛斯基，海港。

Thank you. So, just again, it was just one decision in Pennsylvania, but I'm wondering, this is the largest rate base for your company. The ROE reduction is quite substantial versus, again, you had a black box settlement that again versus the 10% we were all counting on.

謝謝。所以，再說一次，這只是賓州的一個決定，但我想知道，這是貴公司最大的費率基礎。與我們所期望的 10% 相比，ROE 的降低是相當可觀的。

So, as you look to the future, I mean, is there an offset to this lower profitability of the largest asset in your portfolio or is it just that you're still within the range and so that's why you're reiterating your growth rate from an earnings perspective?

因此，當你展望未來時，我的意思是，你的投資組合中最大資產的較低盈利能力是否會被抵消，或者只是你仍然在這個範圍內，所以這就是你重申你的增長率的原因從獲利角度看？

Angie, I think it's, again, sort of a good question. First I would just remind folks and I don't know, back in the back of our deck, we've got detail around rate base on the various jurisdictions. Of course, it changes quickly because we are so active in the regulatory environment.

安吉，我認為這又是一個好問題。首先，我想提醒大家，我不知道，在我們的平台後面，我們有關於各個司法管轄區的費率基礎的詳細資訊。當然，它變化很快，因為我​​們在監管環境中非常活躍。

But I think you will see the gap closing from Pennsylvania to some of our other larger states pretty quickly in terms of rate base. We have been making significant investments all across our territory. So while Pennsylvania is large, we have many other states that are gaining ground in terms of size of investment.

但我認為，就費率基數而言，您會看到賓州與其他一些較大州的差距很快就縮小。我們一直在整個領土上進行重大投資。因此，雖然賓州面積很大，但我們還有許多其他州在投資規模方面正在取得進展。

I think the other answer to your question, though we addressed in prepared remarks that across our 14 states, we have a lot of opportunity to continue to invest. This need is the same across the country. The need for investment in infrastructure and replacement and resiliency, which I think doesn't get enough of a play. The resiliency issue is a huge one as we see climate changing in different ways in different parts of the country. So we need to continue to focus on our resiliency investment.

我認為你的問題的另一個答案是，儘管我們在準備好的發言中提到，在我們的 14 個州，我們有很多機會繼續投資。這種需求在全國都是一樣的。對基礎設施、更換和彈性的投資需求，我認為這還沒有得到足夠的重視。彈性問題是一個巨大的問題，因為我們看到該國不同地區的氣候變遷方式不同。因此，我們需要繼續關注我們的彈性投資。

We have a ton of opportunity across all of our states to deploy capital. So as I said, I think in response to the first question, we don't envision any change in our total capital spending. Where we spend it, we will continue to look at.

我們在所有州都有大量的機會來部署資本。正如我所說，我認為在回答第一個問題時，我們預計我們的總資本支出不會有任何變化。我們會把錢花在哪裡，我們將繼續關注。

Jonathan Reeder, Wells Fargo

喬納森·里德，富國銀行

Hey, good morning, team, and congrats on the management leadership announcements today. -- I wanted to build on a couple of the questions that have already been asked, but where exactly does that legal challenge related to Butler, stand? And how soon do you think that's going to get resolved by the Commonwealth Court?

嘿，早安，團隊，祝賀今天的管理層領導公告。 ——我想以已經提出的幾個問題為基礎，但與巴特勒相關的法律挑戰到底是什麼？您認為聯邦法院多久能解決這個問題？

Well, I think that's really it. It's in the court and we're waiting. I don't know that we have a whole lot more to add in terms of timing, mostly because we don't have any idea. I think the court will act when it's prepared to do so. And we are really just at this point waiting on the court's decision.

嗯，我想確實是這樣。就在法庭上，我們正​​在等待。我不知道我們在時間安排方面還有很多需要補充的內容，主要是因為我們沒有任何想法。我認為法院會在準備好時採取行動。我們目前正在等待法院的裁決。

Okay. But there's no like precedent in terms of how long from the point that the challenge was filed or are you just waiting on the court order, like all the processes played out at this point?

好的。但是，從提出質疑之日起需要多長時間，或者您只是在等待法院命令（就像此時進行的所有流程一樣），還沒有類似的先例？

Not really. We've looked at that, but we don't really see any definitive pattern here that would give us the ability to kind of predict timing.

並不真地。我們已經研究過這一點，但我們並沒有真正看到任何明確的模式可以讓我們有能力預測時間。

Okay. I understand that. On the [Talaments] deal, I know that's the other kind of large pending one in PA for you. With the fair market value revisions, is that one need to like potentially be recut or what’s the latest thoughts on when that will be filed and potentially approved and closed?

好的。我明白這一點。關於 [Talaments] 交易，我知道這是您在 PA 中另一項懸而未決的大型交易。隨著公平市場價值的修改，是否需要重新削減，或者關於何時提交、可能獲得批准和關閉的最新想法是什麼？

Yes, it's in limbo, too. John or Cheryl, you want to comment on current status there?

是的，它也處於困境。約翰或謝麗爾，您想對那裡的現狀發表評論嗎？

We're still moving forward with the approval process and [tallements] in terms of going to the PUC. So there's no additional update on that.

我們仍在推進 PUC 的審批流程和 [tallements]。所以沒有額外的更新。

Has the filing been made with the PUC or not yet?

是否已向 PUC 備案？

Not yet.

還沒有。

All right. And then I did want to dive a little deeper into Paul's question earlier about the components like, I saw, there's a 15% increase in the lower end of the revenue. Is that all due to the lower-than-expected declines in customer usage, or was there even more like downside cushion baked into the previous 105 to 125 range around uncertainty related to the PA outcome or something like that?

好的。然後我確實想更深入地探討 Paul 之前提出的有關組件的問題，例如，我看到收入低端增加了 15%。這是否都是由於客戶使用量下降幅度低於預期所致，或者是否存在更多類似於先前 105 至 125 範圍內與 PA 結果相關的不確定性或類似情況的下行緩衝？

John, you want to cover that?

約翰，你想報道這個嗎？

Sure. Jonathan, I think you said it right. We are seeing on the demand side a little bit lower or not as much customer usage decline as we expected to see. And that's a significant driver for the change here.

當然。喬納森，我認為你說得對。我們看到需求方面略有下降，或者客戶使用量下降幅度沒有我們預期的那麼大。這是這裡發生變化的重要驅動力。

Correct.

正確的。

What about the long-term financing headwind? I saw the midpoint there came down by like $0.075. Is that it all relate to the pushback and the expected closing dates are like Butler and -- ?

長期融資逆風怎麼辦？我看到中間點下降了 0.075 美元。這一切都與延遲有關嗎，預計的截止日期就像巴特勒和——？

No, the financing, Jonathan, really just relates to the timing of the financings that we've done today. In terms of the convert that we issued last June and then the straight debt that we issued this year.

不，喬納森，融資實際上只與我們今天完成的融資時間有關。就我們去年六月發行的可轉換債券和今年發行的直接債務而言。

Okay. So yes, I think that's that's that's the bulk of it. There is a little bit of an impact from just a delayed closing on the VAS acquisition to since we have not financed that essentially. So there's a little bit the contribution there, too.

好的。所以是的，我認為這就是大部分。由於我們基本上沒有為 VAS 收購提供資金，因此延遲完成 VAS 收購會產生一些影響。所以那裡也有一點貢獻。

-- I think, that's the bulk of it. There is a little bit of an impact from just the delayed closing on the BASA acquisition too since we have not financed that essentially. So there's a little bit of contribution there too.

——我想，這就是大部分。 BASA 收購的延遲交割也產生了一些影響，因為我們基本上沒有為其提供資金。所以那裡也有一點貢獻。

Okay. -- I thought the last time you updated it, you had already done that February $1.4 billion offer. So I thought that was already wrapped in there.

好的。 -- 我以為您上次更新時已經完成了 2 月份 14 億美元的報價。所以我認為那已經包含在裡面了。

We've been sort of waiting on the closing of that for a while. So we probably didn't have fully baked in our expectations around that earlier in the year.

我們等待它的結束已經有一段時間了。因此，我們可能在今年早些時候並沒有完全達到我們的預期。

And then on the MSG and other, I guess, kind of what caused it to turn into a potential headwind in '24 versus like kind of a $0.05 benefit. Is that something that is kind of ongoing or is it timing-related or -- ?

然後在味精和其他方面，我猜，是什麼導致它在 24 年變成了潛在的逆風，而不是類似 0.05 美元的好處。這是持續進行的事情還是與時間有關或——？

No, that's not an ongoing MSG issue. That's just a collection of smaller modest puts and takes that are one-offs.

不，這不是持續存在的味精問題。這只是一次性的較小規模的看跌期權和看跌期權的集合。

Aditya Gandhi, Wolfe Research

阿迪亞甘地，沃爾夫研究中心

Good morning. Congratulations on the leadership updates. I just wanted to follow-up on one of the Pennsylvania questions that was asked earlier as it relates to the lower ROE and your 79% EPS CAGR. I understand you just reaffirmed it today, but in the interim, while the rate base in your other states picks up, should we be expecting an impact where you're maybe trending towards the lower end of your range in the near term, or are there any other levels or offsets that we should be considering?

早安.祝賀領導層更新。我只是想跟進之前提出的賓州問題之一，因為它與較低的 ROE 和 79% 的每股盈餘複合年增長率有關。我知道您今天剛剛重申了這一點，但在此期間，當您其他州的利率基礎回升時，我們是否應該預期您可能會在短期內趨向區間下限，或者正在發生影響？水平或抵消嗎？

I would say in a word, no. We raised our guidance by narrowing the range to the upper half, and we obviously were taking into account this decision on Pennsylvania. So, no impact, and we reaffirmed our long-term targets.

我想說一句話，不。我們透過將範圍縮小到上半部分來提高指導，顯然我們正在考慮對賓州的這項決定。所以，沒有影響，我們重申了我們的長期目標。

And have there been any material updates on the PFAS multi-district litigation where you're still waiting for proceeds from some of the defendants there?states.We

PFAS 跨區訴訟是否有任何重大更新，您仍在等待那裡的一些被告的收益？

Cheryl, you want to cover that?

謝麗爾，你想報道這個嗎？

So we have submitted all of our data that was requested to determine what that payout would be. And now we're just waiting to hear that they've closed that period. It was supposed to close last week. And it could get extended, but we think that the date will hold firm. But now we just have to wait for them to do all the calculations to determine what the payout will be. We don't know for sure when that's going to happen.

因此，我們已提交了確定付款金額所需的所有資料。現在我們只是等待他們已經結束那個時期的消息。它本來應該在上週關閉。它可能會延長，但我們認為該日期將保持不變。但現在我們只需要等待他們完成所有計算即可確定支付金額。我們不確定什麼時候會發生。

There are no further questions. This concludes our question and answer session. The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

沒有其他問題了。我們的問答環節到此結束。會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。