Earnings call transcript Q4 2021

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Operator

0:03 Thank you for standing by and Welcome to the California Water Service Group Fourth Quarter and Year End and 2021 Earnings Call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question-and-answer session. [Operator Instructions].

As a reminder today’s program is being recorded.

would Healey, introduce Vice I today’s host now Dave program, President, And like your to for X:XX Controller. Please go ahead.

Dave Healey

X:XX the and our Business XXXX Smegal, our results Welcome Paul Kropelnicki, our everyone Townsley, fourth are President, CEO, me Jonathan. Water Development. earnings Thomas and With California call Thank quarter of for Chief Martin Vice Group. today Vice President President year-end you, and Service to Financial Officer;

yearend can Replay available which earnings information our this found X:XX The until be XXXX. release, call issued will be today. dial-in XX, earlier was in for replay April

reminder, at begin, call. slide The a company's www.calwatergroup.com. the and an company earnings deck was deck has morning furnished with website at As a before we slide X-K the available to also accompany this the is

quarter’s looking cover moments few results year take end like to Before would at and results, to we X:XX a forward-looking statements. this

Commission. may these current they and Form understand and as During strongly to carefully found and to results the as on filed from of the call, reports uncertainties other Securities forward-looking uncertainties and company's materially XX-K, company the could events, our risks company the this future Because certain with Exchange actual differ advises company's Because the of well interested in Form from course and are read XX-Q, disclosures releases all shareholders risks current deal and parties the make press statements. expectations. various with the subject statements time-to-time

over pass to it going to Tom I'm begin. to X:XX

Thomas Smegal

as go going for start deck – California of in and Group's new you run there's everyone. normally time just bit here, And slide on to slides to the through full identify I pass for with couple Water slide this spend talk and to to group. the of expectations little things for XXXX. to X about results morning, on a we'll Dave, I do, Cal the by. because financial Service good I'm more Happy Thanks, going want forward and slide a the it X:XX results around Water first the year. then than or be

revenue down and yet income And shows good rates The your customers that returning company $X.X California a year X:XX for was million. the are also the the we're higher and revenue slightly income we that was for certainly income That's result. up regulatory little income our reason the lower scratch to excess proud the you news. and you First, that, operating thing to net is revenue attributable lower therefore customer that One in might process, take might the of head net from expense. and that but deferred bit. taxes, through tax the in

the lower release, into you'll So the the financials XXk look you income if notice press the attach for that year. or we tax have to into

X:XX thing attributable in that net is mentioned is the That minority of in entity The other that because Texas. income I we exclude to you'll impact we here BVRT co-own interest the our notice CWT.

description in shares around reason basis. and in earnings up, income and And to press for But and $X.XX net SEC very attributable CWT we disclosure the read is income that. on both our see earnings lot language share net per to a issue filings did to And see new being down release so continue you is XXK being divergence year down $X.XX. per million here we if from the basis, a this that the that you'll the X.X for the between slightly XXXX. go-forward were in share the the of again, the you'll On

little program, on in later the slide ATM our part As talk more deck. that of bit a we'll about

in decline on revenue. We results slide fourth in fourth unbilled the see financial net income reduced for quarter. of the This talked here Our is this to primarily which quarter, is a impact we in earnings second back second due And for and about both and higher the where unbilled to X:XX the a calls, X, experienced much the end year. down did had quarter quarter. accrual the for revenue normal and than third on quarter that's of the the company the come normal third

fourth you is see so really And results. that impacting quarter what for the

the that's So that into charts with slides. We that's, primary a bar can get the few in driver.

recap. it turn to Next, over to X:XX I to want Martin

Martin Kropelnicki

Good very time X:XX taking to what's today. Thanks morning a everyone. for on Thanks, here joining us be We news morning, you Tom. busy appreciate this morning.

we with solid mentioned, in year and of Tom particular regulatory our case. a in the activities have state base the pandemic general and where rate dealing California cost very capital of with the drought had As we of the dealing of open and XXXX proceeding a continued the lot

happy total we chain of $XXX but investment we basically and X:XX down had infrastructure of COVID we with continuation of all some it given During issues read ability outcome also that supply has – to in the the the capital year, the that ground. and were million. still seen supply weren't heard and Certainly some the to That's slightly, effect not an we're issues those chain get immune we've our about. on

subsidiary. continued our growth course, our more ESG improve our act bit. little we've Texas talk report. to including that ever on on adding first Additionally, a to we'll quest about we ESG our And opportunities in efforts, of And continue our published

to state million. utilities for Bill of for add the check the from associated over a pandemic. bill their customers and from water helping be we offsetting federal appropriated our reduce a debt in pandemic monies California their used a risk with relief management bills February, received and for $XX Additionally, That's X:XX for

those funds. So the of applying in process we're

were issued from a program. But EPS mentioned, for at overall million an So shares from – income per ATM as net a penny Tom share. we spot X.X perspective, down we

$XXX.X increase dividend, the And or that So share net to X.X%, some to XXXX. a ended history in $X.XX a our $X.XX gave the for ultimately, and from year our million. income million, $X.XX XXX share for the us over we time first was room

slide X. quarter Okay, look to X:XX the on I'm and then at going highlights fourth

million net for decreased income our to million was by And revenue. XX the quarter. our mentioned, major accrued for in that decrease I unbilled As million a driver X.X the X.X

Just obviously quarter the an the decreased during year or million, unbilled here so for idea the full to both the the to quarter then and of third for it's revenue give you at of for the year. we close lot $X.X the revenue unbilled change a year. second zero and But swings had year, had very end

unbilled unexpected for not full result year revenue. So

in by reduction $X.X million had costs then that control, prior our expenses X.X depreciation is to Our we had rate the associated million, unrealized year. increase maintenance added outside have increases and the the driver, gains non-qualified a bit which million plan in compared and with our other retirement assets we $X of did increases as a

on similar have normal funding these the earnings bridges, reducing rate bad results company have then that of our factors are other the debt X receipt year, earnings risk be state the the Again, that to with tend the for things of that see offsetting the expenses XX can the for operating for we You rate expense on relief really. the and and we X:XX for impact slide bridge XX. and very to management associated the

as X:XX see the to you'll is mark-to-market there the the a unbilled big on change and impact, bridge On earnings XX, the for revenue quarter well. slide the

in would line them rebates, XXXX XX, through million about want these case some Because walk to the this things of about run I the couple and us Next, $XX.X last and is well. rebase. California of stock just the talked be have earn the year of an so analysts and focus in through We until California the we California that to effective like states to wouldn't what a XXXX, new In kind of million would with us rate just base observers on to the other But normal slide note. you'd in year income adopted the expect XXX that of In XXXX GRC gives as a third and On rates from have adopted earn process. basis, XXXX. major billion factors. new should X.XX their of that's net on our commission of an

the are usually along the things year the expenses that the and general of that course And change of those in provides the company. go normal of with rate were to things, all of and ago pressure years the that third expenses case time XX:XX the there X projected over some

rate aspects in of year, California As XXXX. you the a lot as in particular this inflationary us impact pressures of business, we year the case. the that third earnings may In well look on of at have

rate general associated a recognition we $XX.X increase increase for So that that. watch of for XXXX part significant inflation. We to have with need rate to million careful be did and their of step was and

the inflation had increase process a recorded higher due been the gave that there higher. Commission's So us step fact to

become from million reduction bad reserve case. that mentioned The earlier, itself, cost X.XX% received with of that of debt bad effective likely this the of the we by XX:XX X.XX% challenged advocate to in we would the and capital the rates by the that in year, we've bad as of associated of experienced our by bit cost that reduce cost to debt $XX that that – state payer Marty capital capital reduction California, just our continue believe it's in When of rate was that our in funding that little a in The and cost reserve. the X.X lowering part reserve available $XX from debt thing million. be proposed the million was case, to reduction don't additional wasn't Commission would debt California that revenues of cost reduce debt

likely in to So repeat is that XXXX. not

increased a XXXX, mark-to-market in that don't XXXX, always increased as that in always our that a just variable million. we that know, $X.X the then And had XX:XX $X.X reminder is million

of the was years, a to the both unbilled saw $X.X and in $X.X million revenue, So XXXX. decrease company and the earnings we in then in a in XXXX mark-to-market million benefit

neutral But factor that's change out time that to can there. from So a been time. relatively

to just of So be aware that.

you going over general I'm to to now the rate. it Paul give So on XX:XX update California turn an to

Paul Townsley

filed Thank good to in Tom. rate your making progress It X. we general California deck. XX which XX:XX July last We're you, case, our turning on slide

are a XXXX investment, we billion that in the $XXX of during as million, reminder, XXXX $X.XX years to Just and capital requesting

of last included is case, and categories larger in cycles, our continuation years. X of continuation program replacement the investment experienced the Two of wildfires that projects. program, for in rate capital California hardening pipeline been a doing rate this of also has we've few that wildfire a new past our case given our our the

our also the case XX:XX decoupling mechanism. of This rate filing loss anticipates

includes we rebuttal. filing, more decision before relative use, the is California going Also our that this Public sought forecasts. our end So sales the that rate case customer wrong. and believe our a into to in year, the and this and in of from a refining is Advocates with issues January loss schedule received that on we monthly revenue we to rate are XXXX. in mix a commission those new X, by On we Earlier sources which The we've in bills. preparing mitigate new fixed case, design rates have this anticipated and scheduled costs production they year is rate currently are the of effect still testimony

I'll update. it XX:XX on capital you hand Tom, cost back With that, to of the

Thomas Smegal

Paul. Thanks, XX:XX

an requested had We earlier, effective So of capital equity the cost we XX.XX% that's and on filing. of review X for XX.X% filed is mentioned the structure for a XXXX. cost which the which through On structure of going capital in reduced X.XX%. May I of year, of our to cost last years debt, California capital other same that's ROE capital on proceeding of XXXX was

testimony out our XX.XX% January, ROE a debt Cal XX:XX analysis. that a of equity advocates capital and The and cost agreed came February, on recommended structure early late X.XX% with

in program here company. we've the financing mortgage weeks. course just big bonds particularly of filed over couple of done on a few in a done the selling of quarter for and be year. will million the first in and that to lot just stock And throughout through the years of of XXXX. anticipate We're ATM accomplishments of XXX.X million in We rebuttal the final obviously the XXXX Our was a that, the selling in May decision third case XXX in and activities add the March in some to last

activity. of lot financing a So

that as to company clear and through proposed get the was in are pointing rate to plan capital to of it a structure made to XXXX out XXXX. keep a the rebuttal, of company financing, equity a to We commission its the is has equity lot and really advocate has the that structure done of of investments, capital part payer up. our period throughout important The company lot has the

the obviously the financing with XXXX, end However, equity the year, Cal expect XXXX period in we that has end see of water through line XXXX and XX.X% through at additional to the our raise of of equity be level request. we a that to over

turn XX:XX about to Next, drought. going talk it to over I'm the Marty

Martin Kropelnicki

least say Great. XX:XX Thanks, an Coast. been interesting here It's the West the winter, Tom. to on

may a the drought of you Newsom XXXX. in declared recall, Governor of October Some emergency state on California XX,

We more cyclone bomb rains kind storm two then what but coast have that and on or west snows major that storm area storms been had a they they've a the of call away. brought have gone heavy

these have real periods tend it of intense they away. So storms and goes to

have last and rain the is for on the now had we California. the So despite and in which California, part of February, February that of January record the hit, Northern driest January no year, in last storm record

So accordingly, changed. haven't drought our plans

a X there's our districts now. state emergency. of All are plan the stage emergency drought that for coordinates drought in Remember, a the

we're the planning phases. So on same

our are a on are stage a stage X X our the rest districts of So X districts on drought, drought. of

throughout on to districts the resiliency meet So all water in the to our drought continued has we're continue going taskforce winter. focus supply to

that. XX:XX bet have weeks months. more bank that six and what Obviously, winter eyes we last of over March here or get rain in we here that our happens snow we the we But and hopefully have can't on on the on

it while Paul and for Paul? best to XXXX. XXXX I'm hope the drought So the we with hand as plan to activities. we worst, continue the accordingly will our path spring give planning we we and always do recap we are a over business into development for so emergency continuing down march going of to of to our

Paul Townsley

XX, were Finalizing recap you XX:XX slide We prospecting our see XXXX new ones. number very a of also in for Marty. busy On Yes, of while thank you acquisitions. XXXX. a will acquisitions

to continues of closed end couple acquisition closed and Texas the total investments water of we sewer year Hawaii And of at Our grow Mesa new XXXX in then last Water on adding Mexico, customer our customers connections earlier year, a this the in year. X,XXX Valencia of with on and New

system new that another adding state. in

XXXX, service of expect our the PUC In California. and XX:XX area system year. can New currently see is the area first CCN known new as in our customers for a you On Mexico at new County, just the other Preserve California The sometime ours approved of we Millerton, service slide this be acquisitions added XX, to we that some later Greenfield Madera that are In working on.

add we the new state. that Water the Commission Mexico month, which of acquisition will this New earlier Animas for public Valley Regulatory received approval X,XXX in System the customers from

wastewater together on two to operations. XX:XX customers utilities In island when approved the Utilities of X,XXX these Hawaii Hawaii, systems big awaiting the HOH on Hawaii over will the Public we're island Commission Hawaii by approval of Keahou and add utility on acquisitions, Commission, the the our

announced small are through X of the and Washington filings due proceeding California and we processes. diligence, currently have systems other that and in closing regulatory process We

portfolio our as our in for And new new Texas, BVRT have added XX:XX railyard utility our we which utility the and Texas. will another known of area that is in open Partnership, in us growth another up to

Marty. will of our to this over back that's So our of business I development. turn status And the

Martin Kropelnicki

and many. and our have climate focused want to as accomplishments objectives adaptation. climate the around climate last business incorporate very goals particular to I XXXX change, of change there Paul. ESG changing know our in years business Thanks, our of XX:XX of The on change strategy ESG mitigation, talk ESG which you and been were about components many couple better we

First aligned ever including and environmental it four published report and policies diversity, first was our new guided and adopted SASB, what We ESG and we foremost, the with principles. human that by political inclusion. involvement, sustainability, TCFD rights, equality related ESG

that and Committee published our our our nominating in Corporate proxy of efforts of our clearly We board XXk, in there's XX:XX ESG level from shows oversight board our framework, it's and directors. of Governance ESG

and have We helped accountability our and them set strategy, our new group particularly and matter Yesterday climate ESG a we officer climate company goals completed established updated study. working through experts officer the us subject that committee objectives. level has that oversight with board, on our ESG then an just have we within change our change

change. own to have We climate for X.X climate follows. and contribution business. five to into change to We want goals for plan a want climate our change reduce we customers impacts how our with understand fit to and our plan our as We our

both ramp time just broader the level mitigation, can agency but efforts to the California So to want to impact and and up these disclosures have environment. want Group. the report level, to our and the goals, on to change. Water coordinating of how climate state goals at advocacy, an collaboration, Service to on change continue effects to climate we but our We on communicate at interested and bound consumer We set dampen and mature stockholders, those in also where not goals adaptation we a parties we our want

say XX:XX that completed our completed long-term objectives. Additionally, board short-term of proud our that X incentive setting goal board our to long term ESG our Very compensation of and directors, process we of – plan. goals committee for robust directors very a yesterday approved ESG sets recently

from goal incentive ESG previous so X we're X. Our to X going for plan had

head focused officers a X same years throughout the heads So pay now, the in incentive for this and the plan out all officer states. companies goals long aligns all is department goals us department on and term from that which will X keeps

for ESG April. month of in be here made front we Cal in Water, will shortly the And our progress ESG lot of new report So going good the we accolades we XXXX. publishing there's that a the on got

to And out that in for look look and here to XXXX talking forward about months future that come in So we the shortly. beyond.

Thomas Smegal

and the XX Thanks, update shown then the to slight a slide growth. and base billion CapEx the slides we rate XX slide number. On and adopted our $XXX whole and here just current million on capital XX in confirming ask flip The of the bars as rate to have the rate and XX:XX with on case plus you states but in of expectations again for yellow conclude capital general as slide XX, both investment a if investment Marty. company base year XXXX $X.XX represents the California that reflect other on XX,

in So may we projection be as go and California in regulatory But keep mind results other states. in different we that that process through the that is the have. current

turn back going XX:XX about Marty it to talk to And to business priorities. I'm our

Martin Kropelnicki

On talked January made briefly priorities, of management company Great. I achieve some XXXX changes X XX:XX the help business but goals objectives. our our about slide mention we and effective XX, want to to us

First and Ms. foremost,

Officer Quality Water Chief entities. named for was and Service California Water all James of Sophie operating our Group

quality. our BS within analytical various has including our chemistry, manager quality our director uniquely in certifications in and been company. Mathematics. efforts distribution. in she water master's water promoted a and water a qualified is laboratory has and chemistry treatment is to lab She a degree Sophie of lead holds She management, minor water She with

Chief of major Ken we're how efforts to the hit planning our Resource Ken response lead our and a targets fantastic Sustainability across community drought Jenkins the company ESG our leading efforts and director XXXX. role drought started in climate promoted the California. in Ken and adapt Officer, company change ago sustainability job XXXX adaptation. reduction affairs. to XX change XX:XX for in in recall to resource sustainability as plays to XXXX team our climate we conservation addition, to governmental the was as a service efforts did In our last our water sustainability territories team strategies. He from was in a well and as sustainability and promoted with He XX% And role will our and to in major of continuing play Water promoted and may state he going was those improve you to years

being to I Sophie Officers service Group congratulate So California company. promotions Ken both California on and and to of Service Water want their water

couple pandemic, Facilities the management we we about a efforts obviously the talk procurement making years XX:XX in at our to to down. the Additionally, effective all have Fleet had little third major fantastic X, at well. just done and most role been PP&E done a every quite day all President played January they party making employees, to our some was of and during sure I has well, need struggle we and have least saw And promoted important supply job, it's thing Wang. XXXX. and actually because chain employees changes, work right the want pandemic company have for some Elisa has bit never be last of really a shut we our suppliers sure during Vice on what the Elisa I the

Our employees days year. X have been at work a XX hours a days a XXX week, day,

XX:XX of for a Townsley bought agreed us. pair Paul cowboy Additionally, to to move and boots Texas

last and just is business to time for Texas has Paul, previous busy Austin, Chief years, Paul, calling Officer. well, in business had from development as physically Paul the team lead our in room has on we've with efforts. couple and role, us. to He's how the as development we well asked But Affairs Development his Regulatory Business first how given focus Texas. So in been, development him done to business Paul's the our relocated not

is Millman of all Rates VP now VP regulatory Affairs of for we'd Regulatory all California ways, states Greg group say our in Likewise, it other in what XX:XX or in operations is is Rates for for X group. was of

activities rate processes all regulatory So half job, is in X managing Greg and case states. over was took what other of Paul's which the our

company and public corresponding Michelle with helped coordinating was and President, a Chief manage meetings company. with with on Corporate and of board me to the helping the me Secretary Additionally, promoted Vice board Mortensen that XX:XX everything Staff, and goes

X, promoted was she So XXXX. January effective

their Greg, XXXX. promotions, Paul, going we a on as into course Ken So Elisa, Sophie Michelle, set and want to I congratulate

that, of things there kind our XX:XX what keenly said are X are priorities XXXX, for we are focused on. Now, having

First rate want we try get cost we that, have and that as California and of Number have the that foremost, successful on we're that California to capital we on on rate mentioned, outcome and a two, well case. Tom track now advocate have general case, to and in keep want to right, the mid-year. our underway continue we right up hope seeing that the chain comments and challenges navigate that to wrapped to and capital responding are some suppliers sometime investment from We successfully continue our ground. to and the of supply continue we're capital get that to

Obviously, on want – the of We in respond that next do is ready make we lastly, for on XXXX. XX:XX progress. want drought. of faces stay happens to have weeks any challenges company then be ESG that for for to and drought to we continue drought And the we to the top ESG our state our California outlook profound X to year the what louder, the want in California, what the effect

have ESG. we to have an just that our gets will LTI our for published share our LTI and change in board, we ESG with latest mentioned, April around I our finished stockholders. updated As five we We goals study changed that report encompass climate

XXXX. on. is no going our is company priorities of are But keenly these be that things focused the there shortage in the So to

which that and earnings well XXXX, on the first we as exceeded perform net CapEx and income happy landed summary, supply strong his we with solid $XXX with for our Paul as time development, he performance back So in of million. We're year look Texas. XX:XX business he's the polishing despite the ultimately I'm chain, right very year in of another us. boots challenges line the now on as sure stays pandemic

business continued of forward proceedings look on and climate development regulatory efforts strong we the And year year in up sustainability to course, the adapt drought we look staying our and And change. forward wrapping another to to from so team. our to focused XXXX

XX:XX that, to questions. it we So up Jonathan, with open will

Operator

Instructions] XX:XX first comes the Ben Baird, Certainly please. from of your [Operator Kallo line question from Our question

Ben Kallo

first ’XX, mechanics Hey, on revenue, it you unbuild bit the my about a could us guys, could for if taking you of we the talk it maybe about question. maybe then walk too. and Tom, should little Hey how thanks through XX:XX for more, just maybe just bit a just think just

better we that. So understand

Martin Kropelnicki

Sure. XX:XX

us unbilled in it month, accounting have is but March. higher the the unbilled is perform accrual is So is average looking have unbilled the every for December you actually And the accrue unbilled from and what days than the in water might by been year, but bill service reporting we're the we and when been have as billed goes because much might they multiplied every over quarter. period, not And number an And the customers been who get the that June up, quarter every and what's revenue that yet an for is course revenue had of used of if see end that is called do billed. average, the financial the that have always usage we and estimate customer – taken in have and have day. that of so it September we and to what in at

on the year, through a this end the it's goes that the at beginning high and of the low relatively year revenue value third for then a the have relatively you quarter. so unbilled curve where second and and number And in

second back had you high this revenue at if in from and the extraordinarily amount unbilled our quarter presentations, can the going Just in quarter, of third XX:XX both an look and we at and you for One for customer is, that September couple possibilities at occurs look there's weather, and look you that different factors usage of June and time. a in during that.

and that trying And that for to month put so bill average unbilled. you're an the potentially up evaluating the during average estimate

obviously bit December, and the come was, down. it we bills will down, that's you December come where unbilled in down revenue seeing saw XX:XX at What the of rained a that number end came and had the quite

come that So the was it highlighted. was year. knew because down, in quarter, knew high we was our or we at third would the of suspected, and definitely – I that that Again, back we go something to end guess, if that down we presentations always comes you and it that second it earnings the

for be And degree about know, tell so in weather what general, a But be to reasonable of that the unbuild not that with every same number ’XX, the entire the end you're speaking California, you particularly type year. and of do the can't at certainty, it's a you looking the and at earnings in of days. going in factor June the will September. know of in I end the of year, Because, XXXX, in major same and December company's by

really the it way second it and year. a that it. is this into that had these factor that But end that's fourth of the so might be by wasn't certainly and of quarter, year, quarter so third the from to And hopefully revenue pull ultimately, explains we unbilled variations at look the

Ben Kallo

about Marty it Paul, No, about mitigating depth little design we a Tom does. new the XX:XX bit rate around the decoupling? talk Can loss in maybe or of or

Martin Kropelnicki

want you to equally Paul, or me start Sure. this. XX:XX all we're provisions in

So Paul, you start.

Paul Townsley

right. ahead. Go XX:XX All

of case, amount. what more So revenue in customer we of our all collected customers greater of that areas. we not revenue, and to working a amount, to more to to the give that variable collect the the fail to and charge. their been consumption. that of significant also service of rate what higher the have via move call that that a service would And amount – been we've of is this monthly over us through is the And attempted part to fixed do That face increase but part from a we in different we've customer attempted stability take time, into to increase typically in in usage variations

in revenue increase in to what from sales the loss charge. the the customers stable that it what and that, to revenue rate rate or of has vary mechanism, compensation, variations that in past, service with is in of modeled will compensates to of attributed amount been where not decoupling case. than or mechanism where has continue the with for goal lots the So was to our be The of that that case, the decoupling more if as consumption course, there's was relative a

Ben Kallo

like Tom, then, bit the that? the, And sense. So looks Could that. a you it structure? on Make it. about just just talk little capital Got XX:XX

XX.XX% equity, you're You can higher? the go, up you're allowed or to

Thomas Smegal

yeah, the point. advocates rate, this dealing at with remember, No, so they're XX:XX we're just testimony

Ben Kallo

XX:XX Okay, it. got

Thomas Smegal

party we've XX.X% lower capital company years, over last Or a coming than or at we the many that. structure, historically, by of adopted in couple the had case, had proposed this as they're the we've one been saying, and well, XX:XX years, one for equity in Commission, – party California

commission low the frankly lower weighted the cost customers. the we're of to that of out should the a the to year financing that debt that point capital in of fact structure. be at adopt And We years years, lowers benefit rare a a in that that for that to debt testimony these we just lower bit customers. capital commissioners for all for XX than million so one issued had remarkably we determined then is they And or if our the structure was the XX And very that rebuttal adopt rate, or for our of did debt two a should going number. shouldn't what more little average $XXX typical, debt

what Commission think XX:XX down comes we're ultimately continue be we argument, that successful something the in something – it's it's to to watch. So decides. to But going to

Paul Townsley

the the XX:XX going And I to Tom, if I math, did I'm right. think only add

average team, right, basis almost and is at the cost lower You points, XXX your substantial. that

cost and make room So side. anything debts cap cost the to we pass ratepayers there's on through as to rate the equate substantial we're not is because so of to dead capital we the the adopted get fairly into settlement return, go back of authorized that know, discussions, supposed have a you a of structure, which

to Tom's our give acting when huge team customers. the for did on market they lower advantage I And kudos those we behalf of take did it on So of rates.

So we about commission be punitive don't should that. believe that

Ben Kallo

thank Great, you, guys. XX:XX

Paul Townsley

XX:XX All right. Thanks, Ben.

Ben Kallo

care. Take XX:XX

Paul Townsley

Thanks. XX:XX

Operator

Instructions] [Operator the to from at I'm hand further not time. questions showing phone to this Marty. any lines XX:XX program I'd the back like

Martin Kropelnicki

off look can to for today, process everyone up, we on we'll this file. XXK on will file the get in Well, Jonathan. morning, our hang once so and we're be everything on later you, Thank Great. sign I here XX:XX finalization

for look So that.

take April that our moment we'll to on just to a and put for thank be ESG published everybody sharing want I look I mentioned, As be just our And up to that website. and report for in to and we're California getting X pandemic Water we continued get what up back Group. in normal years back as more Hopefully, Service hopefully support your environment. environment is interest normal the operating wrap of of to a

and So Bye, a day. everyone. to and good consideration everyone seeing look Thank have us, of forward we appreciate your really and support you we soon.

Operator

gentlemen participation and ladies conclude your Thank today's This XX:XX conference. in the you for program. does

now disconnect. day. Good may You

California Water Service (CWT) 24 Feb 222021 Q4 Earnings call transcript