Company: AWK
Filing Date: 2025-07-30
Form Type: 10-Q
Source: 0001410636-25-000150
Chunk: 100

Company: American Water Works Company, Inc.
Filing Date: 2025-07-30
Form: 10-Q
Item: Part I, Item 1
Chunk 100
---
 June 30,(In millions)20252024Capital expenditures$(1,281)$(1,279)Acquisitions, net of cash acquired(13)(119)Removal costs from property, plant and equipment retirements, net(71)(73)Purchases of available-for-sale fixed-income securities(35)— Proceeds from sales and maturities of available-for-sale fixed-income securities60 — Net cash used in investing activities$(1,340)$(1,471)

For the six months ended June 30, 2025, cash flows used in investing activities decreased $131 million, primarily due to decreased payments for acquisitions in the current period. The Company plans to invest approximately $3.3 billion on growth through capital investment in infrastructure and acquisitions in the Regulated Businesses in 2025. 

49

Cash Flows from Financing Activities

Presented in the table below is a summary of the major items affecting the Company’s cash flows from financing activities:

 For the Six Months Ended June 30,(In millions)20252024Proceeds from long-term debt, net of discount$876 $1,403 Repayments of long-term debt(606)(466)Net short-term borrowings (repayments) with original maturities less than three months710 (179)Debt issuance costs(7)(13)Dividends paid(311)(287)Other financing activities, net (a)41 20 Net cash provided by financing activities$703 $478 

(a)Includes proceeds from issuances of common stock under various employee stock plans and the Company’s dividend reinvestment and direct stock purchase plan, net of taxes paid, and advances and contributions in aid of construction, net of refunds.

For the six months ended June 30, 2025, cash flows provided by financing activities increased $225 million, primarily due to higher short-term commercial paper borrowings in the current period compared to repayments of commercial paper in the prior period, partially offset by lower proceeds from the issuance of long-term debt and higher repayments of long-term debt.

Debt Covenants

The Company’s debt agreements contain financial and non-financial covenants. To the extent that the Company is not in compliance with these covenants, an event of default may occur under one or more debt agreements and the Company, or its subsidiaries, may be restricted in its ability to pay dividends, issue new debt or access the revolving credit facility. The long-term debt indentures contain