UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2025

☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from __________ to __________

Commission file number 001-34245

THE YORK WATER COMPANY

(Exact name of registrant as specified in its charter)

Pennsylvania	23-1242500
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

130 East Market Street, York, Pennsylvania	17401
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code (717) 845-3601

Securities registered pursuant to Section 12(b) of the Act:

Common Stock, No par value	YORW	The Nasdaq Global Select Market
(Title of Class)	(Trading Symbol)	(Name of Each Exchange on Which Registered)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

⌧ Yes

☐ No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

⌧ Yes

☐ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act:

Large accelerated filer ☐	Accelerated filer ☐		Non-accelerated filer ⌧

Smaller reporting company ☒		Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

☐ Yes		⌧ No
Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.
Common stock, No par value	14,400,277 Shares outstanding as of May 6, 2025

TABLE OF CONTENTS

PART I	Financial Information

Item 1.	Financial Statements	3
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	16
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	23
Item 4.	Controls and Procedures	23

PART II	Other Information

Item 5.	Other Information	23
Item 6.	Exhibits	24

Signatures		25

Page 2

THE YORK WATER COMPANY

PART I - FINANCIAL INFORMATION

Item 1.

Financial Statements.

Balance Sheets (Unaudited)

(In thousands of dollars, except per share amounts)

	Mar. 31, 2025			Dec. 31, 2024
ASSETS
UTILITY PLANT, at original cost	$	676,445		$	664,927
Plant acquisition adjustments		(9,819	)		(9,838	)
Accumulated depreciation		(126,738	)		(124,082	)
Net utility plant		539,888			531,007

OTHER PHYSICAL PROPERTY, net of accumulated depreciation of $545 in 2025 and $536 in 2024		1,525			1,534

CURRENT ASSETS:
Cash and cash equivalents		1			1
Accounts receivable, net of reserves of $1,610 in 2025 and $1,610 in 2024		6,905			7,249
Unbilled revenues		3,539			3,604
Recoverable income taxes		–			587
Materials and supplies inventories, at cost		3,331			3,413
Prepaid expenses		1,942			1,597
Total current assets		15,718			16,451

OTHER LONG-TERM ASSETS:
Prepaid pension cost		25,151			25,009
Note receivable		255			255
Deferred regulatory assets		53,987			54,061
Other assets		5,228			5,156
Total other long-term assets		84,621			84,481

Total Assets	$	641,752		$	633,473

The accompanying notes are an integral part of these statements.

	Mar. 31, 2025		Dec. 31, 2024
STOCKHOLDERS’ EQUITY AND LIABILITIES
COMMON STOCKHOLDERS’ EQUITY:
Common stock, no par value, authorized 46,500,000 shares, issued and outstanding 14,399,650 shares in 2025 and 14,386,282 shares in 2024	$	138,556	$	138,089
Retained earnings		93,587		93,103
Total common stockholders’ equity		232,143		231,192

PREFERRED STOCK, authorized 500,000 shares, no shares issued		–		–

LONG-TERM DEBT		211,643		205,561

COMMITMENTS		–		–

CURRENT LIABILITIES:
Accounts payable		10,023		9,525
Dividends payable		2,898		2,892
Accrued compensation and benefits		1,605		1,806
Accrued income taxes		32		–
Accrued interest		1,322		2,490
Deferred regulatory liabilities		861		864
Other accrued expenses		681		712
Total current liabilities		17,422		18,289

DEFERRED CREDITS:
Customers’ advances for construction		21,358		20,546
Deferred income taxes		61,710		61,157
Deferred employee benefits		3,535		3,526
Deferred regulatory liabilities		43,936		43,947
Other deferred credits		485		386
Total deferred credits		131,024		129,562

Contributions in aid of construction		49,520		48,869

Total Stockholders’ Equity and Liabilities	$	641,752	$	633,473

	Three Months Ended March 31
	2025			2024

OPERATING REVENUES:	$	18,456		$	17,628

OPERATING EXPENSES:
Operation and maintenance		5,211			4,812
Administrative and general		2,923			3,074
Depreciation and amortization		3,564			3,083
Taxes other than income taxes		475			444
		12,173			11,413

Operating income		6,283			6,215

OTHER INCOME (EXPENSES):
Interest on debt		(2,419	)		(2,123	)
Allowance for funds used during construction		185			1,134
Other pension costs		133			(230	)
Other income (expenses), net		(72	)		(67	)
		(2,173	)		(1,286	)

Income before income taxes		4,110			4,929

Income tax expense		472			602

Net Income	$	3,638		$	4,327

Basic Earnings Per Share	$	0.25		$	0.30

Diluted Earnings Per Share	$	0.25		$	0.30

	Common Stock Shares		Common Stock Amount		Retained Earnings			Total

Balance, December 31, 2024		14,386,282	$	138,089	$	93,103		$	231,192
Net income		–		–		3,638			3,638
Cash dividends declared, $0.2192 per share		–		–		(3,154	)		(3,154	)
Issuance of common stock under dividend reinvestment, direct stock and employee stock purchase plans		12,385		395		–			395
Stock-based compensation		983		72		–			72
Balance, March 31, 2025		14,399,650	$	138,556	$	93,587		$	232,143

	As of			As of
	Mar. 31, 2025			Dec. 31, 2024			Change

Accounts receivable – customers	$	8,209		$	8,392		$	(183	)
Other receivables		306			467			(161	)
		8,515			8,859			(344	)
Less: allowance for doubtful accounts		(1,610	)		(1,610	)		–
Accounts receivable, net	$	6,905		$	7,249		$	(344	)

Unbilled revenue	$	3,539		$	3,604		$	(65	)

	As of Mar. 31, 2025			As of Dec. 31, 2024

Variable Rate Pennsylvania Economic Development Financing Authority Exempt Facilities Revenue Refunding Bonds, Series 2008A, due 2029	$	12,000		$	12,000
3.00% Pennsylvania Economic Development Financing Authority Exempt Facilities Revenue Refunding Bonds, Series A of 2019, due 2036		10,500			10,500
3.10% Pennsylvania Economic Development Financing Authority Exempt Facilities Revenue Refunding Bonds, Series B of 2019, due 2038		14,870			14,870
3.23% Senior Notes, due 2040		15,000			15,000
4.00% - 4.50% York County Industrial Development Authority Exempt Facilities Revenue Bonds, Series 2015, due 2029 – 2045		10,000			10,000
4.54% Senior Notes, due 2049		20,000			20,000
3.24% Senior Notes, due 2050		30,000			30,000
5.50% Senior Notes, due 2053		40,000			40,000
5.67% Senior Notes, due 2054		40,000			40,000
Committed Line of Credit, due September 2026		21,843			15,808
Total long-term debt		214,213			208,178
Less discount on issuance of long-term debt		(133	)		(136	)
Less unamortized debt issuance costs		(2,437	)		(2,481	)
Long-term portion	$	211,643		$	205,561

Description		March 31, 2025		Fair Value Measurements at Reporting Date Using Significant Other Observable Inputs (Level 2)
Interest Rate Swap		$485		$485

Description		December 31, 2024		Fair Value Measurements at Reporting Date Using Significant Other Observable Inputs (Level 2)
Interest Rate Swap		$386		$386

	Number of Shares			Grant Date Weighted Average Fair Value

Nonvested at beginning of the period		8,117			$38.62
Granted		983			$32.72
Vested		(983	)		$32.72
Forfeited		–			–
Nonvested at end of the period		8,117			$38.62

•	the amount and timing of rate changes and other regulatory matters including the recovery of costs recorded as regulatory assets;
•	expected profitability and results of operations;
•	trends;
•	goals, priorities and plans for, and cost of, growth and expansion;
•	strategic initiatives;
•	availability of water supply;
•	water usage by customers; and
•	the ability to pay dividends on common stock and the rate of those dividends.

•	changes in weather or climate, including drought conditions or extended periods of heavy precipitation;
•	natural disasters, including pandemics and the effectiveness of the Company’s pandemic plans;
•	levels of rate relief granted;
•	the level of commercial and industrial business activity within the Company’s service territory;
•	construction of new housing within the Company’s service territory and increases in population;
•	changes in government policies or regulations, including the tax code;
•	the ability to obtain permits for expansion projects;
•	material changes in demand from customers, including the impact of conservation efforts which may impact the demand of customers for water;
•	changes in economic and business conditions, including interest rates;
•	loss of customers;
•	changes in, or unanticipated, capital requirements;
•	the impact of acquisitions;
•	changes in accounting pronouncements;
•	changes in the Company’s credit rating or the market price of its common stock; and
•	the ability to obtain financing.

	Three Months Ended March 31
	2025		2024

Weighted average common shares, basic		14,380,689		14,324,879
Effect of dilutive securities:
Employee stock-based compensation		2,515		2,827
Weighted average common shares, diluted		14,383,204		14,327,706

	Three Months Ended March 31
	2025		2024
Water utility service:
Residential	$	10,250	$	9,844
Commercial and industrial		4,936		4,656
Fire protection		1,190		1,081
Wastewater utility service:
Residential		1,582		1,474
Commercial and industrial		345		316
Billing and revenue collection services		26		130
Collection services		3		6
Other revenue		10		7
Total Revenue from Contracts with Customers		18,342		17,514
Rents from regulated property		114		114
Total Operating Revenue	$	18,456	$	17,628

	Three Months Ended March 31
	2025			2024

Service cost	$	133		$	159
Interest cost		495			463
Expected return on plan assets		(767	)		(791	)
Amortization of prior service cost		(3	)		(3	)
Rate-regulated adjustment		142			561
Net periodic pension cost	$	–		$	389

	THE YORK WATER COMPANY


	/s/ Joseph T. Hand
Date: May 6, 2025	Joseph T. Hand Principal Executive Officer



	/s/ Matthew E. Poff
Date: May 6, 2025	Matthew E. Poff Principal Financial and Accounting Officer

Exhibit No.		Description

3		Amended and Restated Articles of Incorporation. Incorporated herein by reference to Exhibit 3.1 of the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on May 4, 2010.

3.1		Amended and Restated By-Laws. Incorporated herein by reference to Exhibit 3.1 of the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on January 26, 2012.

31.1		Certification of Chief Executive Officer, pursuant to Rule 13a-14(a)/15d-14(a) under the Securities Exchange Act of 1934.

31.2		Certification of Chief Financial Officer, pursuant to Rule 13a-14(a)/15d-14(a) under the Securities Exchange Act of 1934.

32.1		Certification of Chief Executive Officer, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

32.2		Certification of Chief Financial Officer, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

101.INS		Inline XBRL Instance Document (the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document).

101.SCH		Inline XBRL Taxonomy Extension Schema.

101.CAL		Inline XBRL Taxonomy Extension Calculation Linkbase.

101.DEF		Inline XBRL Taxonomy Extension Definition Linkbase.

101.LAB		Inline XBRL Taxonomy Extension Label Linkbase.

101.PRE		Inline XBRL Taxonomy Extension Presentation Linkbase.

104		Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101).

SEC Form 10-Q filed by York Water Company