American Water Works posts 1Q loss

American Water Works Co. said in a news release that it had a first-quarter loss but reported a profit after adjusting results for a hefty onetime impairment charge.

Late Tuesday, the Voorhees-based water and wastewater utility reported a loss of $732.5 million, or $4.58 per share, compared with a profit of $2.7 million, or 2 cents per share, a year earlier.

Excluding a $750 million onetime impairment charge, net income was $6 million, or 4 cents per share. The impairment charge was due to lower-than-expected stock price.

American Water Works went public in late April. Its initial public offering was priced at $21.50 per share, well below the expected price range, and finished its first trading day at $20.60, down 90 cents.

German utility RWE AG, which had owned the company, had hoped for a price of $24 to $26 a share.

Operating revenue for the period ended March 31 grew 8 percent to $506.8 million from $468.5 million, mostly on rate increases.

Company shares were priced at $21.06 in early afternoon trading today on the New York Stock Exchange, down $0.26 from yesterday's close.