Income Increases 37% Over Q1 Income in 2012
CLINTON, Conn., May 9, 2013 (GLOBE NEWSWIRE) -- Connecticut Water Service, Inc. (Nasdaq:CTWS) announced net income of $2.6 million in the first quarter of 2013. This was an increase of approximately 37% from the same period in 2012. Total revenues, which include all revenues generated by the Company's three business segments: Water Activities, Services and Rentals, and Real Estate, grew by approximately $1.3 million, or about 6.4%, in first quarter of 2013 to $21.5 million, from $20.2 million in the same period of in 2012.
Connecticut Water's earnings per share (EPS) in the first quarter of 2013 was $0.24 compared to an EPS of $0.22 during the same period of 2012. However, there were approximately 10.8 million weighted average common shares outstanding in the first quarter of 2013, which is approximately 25% more than in the same period in 2012 due to a successful equity offering of approximately 1.7 million shares and the issuance of 380,254 shares in the Biddeford & Saco Water Company (BSWC) acquisition in December 2012. A portion of the proceeds from the equity offering was used to repay approximately $21 million of bank lines of credit and $18 million in debt related to the acquisition of Maine Water, which will lower interest and debt expense more than $700,000 this year.Acquisition On December 10, 2012, the Company acquired BSWC through a stock-for-stock merger transaction valued at approximately $12.0 million. BSWC serves about 15,500 customers, or 35,000 people, in four southern Maine communities. BSWC was not a part of Connecticut Water in the first-quarter of 2012 and its financials are not included in 2012 comparisons. Eric W. Thornburg, President and CEO of Connecticut Water, stated, "BSWC is being successfully integrated into our Maine Water family and is operating under Maine Water's highly regarded leadership team. We are leveraging the economies of scale in Maine and seeking opportunities to share staff, resources, systems and services between our Maine operations to provide the best, most cost effective service for customers while honoring our commitments to employees and shareholders."