Global Water Resources, Inc. Q2 FY2025 earnings call

• Ron discussed closing the Tucson acquisition with 7 public water systems, adding ~2,200 connections and ~$7.7 million rate base at 1.05x rate base. Arizona Governor signed Ag-to-Urban water legislation. Highway 347 expansion approved. Total active service connections increased 3.8%. Q2 2025 had 3.5% annualized connection growth. YTD $35.4 million invested in infrastructure. Single-family building permits decreased in Q2 2025.
• Chris highlighted the Tucson acquisition's proximity to existing systems for economies of scale, Diamond Bell system's platted lots for growth, adoption of Tucson's rate structure with two 5% increases, and progress on rate cases for Santa Cruz and Palo Verde utilities.

Total revenue for the second quarter of 2025 was $14.2 million, up $0.7 million or 5.4% compared to Q2 2024. Operating expenses were $11.6 million in Q2 2025 vs. $10.7 million in Q2 2024, an increase of ~$0.9 million or 8.5%. Net income for Q2 2025 was $1.6 million or $0.06 per diluted share compared to $1.7 million or $0.07 per diluted share in Q2 2024. Adjusted EBITDA was $6.9 million in Q2 2025 vs. $6.8 million in Q2 2024, an increase of ~$0.1 million or 2.1%. Total active service connections increased 3.8% to 65,639 as of June 30, 2025, from the 12 months prior. In Q2, there was an annualized 3.5% total active service connection growth rate. Year-to-date, $35.4 million was invested in infrastructure improvements.

• Expect sustainable above-average growth due to rate base accumulation, new rates, and economic development elements. Capital investment and rate case strategies moving as planned with expectation of fair outcome mid-2026.

• Forward-looking statements involve risks, uncertainties, and factors from SEC filings that could cause actual results to differ materially from forward-looking statements.