American Water Works Co., the biggest publicly traded U.S. water and wastewater utility, reported second-quarter revenue rose 11 percent from a year ago and raised its outlook for 2012.
“Hot and dry weather in a number of our states led to record pumpage, which had a significant impact on earnings,” Chief Executive Officer Jeff Sterba said in a statement. Revenue for the three months ending June was almost $746 million versus $669 million a year earlier, the company said.
Capital expenditures for the six months ending June were $476 million, up from $392 million for the same period a year earlier due mainly to higher spending on infrastructure replacement projects during a milder winter, including an aged water treatment facility in New Jersey, American Water said.
The Voorhees, New Jersey-based company, which provides drinking water and wastewater treatment services to about 15 million people in 30 U.S. states and parts of Canada, expects to invest at least $900 million in construction and other projects in 2012, it said in yesterday’s statement.
American Water shares have risen 14 percent this year compared with an 11 percent gain in the same period by the 17-member Bloomberg World Water Index.