American States Water's 4Q Profit Falls 53 Percent

A favorable decision issued by the California Public Utilities Commission in November 2007 added about $3.3 million to pretax income, or 11 cents per share, to the 2007 fourth quarter results.

For the full year, net income was $22 million, or $1.26 per share, down 22 percent from $28 million, or $1.61 per share, in 2007. Excluding items, the company said it earned $1.48 per share for 2008.

Analysts were expecting a profit of $1.41 per share.

The company said the earnings decline was due to less water consumption and higher operating expenses at subsidiary Golden State Water Co., the $7.7 million charge and lower earnings at subsidiary American States Utility Services Inc.

Revenue for 2008 rose 6.8 percent to $318.7 million, from $301.4 million in 2007.

Shares of American States Water fell 28 cents to $30.32 in morning trading.