Business Segment Data

12 Months Ended

Dec. 31, 2019

Segment Reporting [Abstract]

Business Segment Data

Note 8 – Business Segment Data

The Company has identified two reportable segments. One is the regulated business of collecting, treating and distributing water on a retail and wholesale basis to residential, commercial, industrial and fire protection customers in parts of New Jersey, Delaware and Pennsylvania. This segment also includes regulated wastewater systems in New Jersey and Delaware. The Company is subject to regulations as to its rates, services and other matters by the states of New Jersey, Delaware and Pennsylvania with respect to utility service within these states. The other segment is primarily comprised of non-regulated contract services for the operation and maintenance of municipal and private water and wastewater systems in New Jersey and Delaware.

Inter-segment transactions relating to operational costs are treated as pass-through expenses. Finance charges on inter-segment loan activities are based on interest rates that are below what would normally be charged by a third party lender.

63

	(Thousands of Dollars)
	Years Ended December 31,
Operations by Segments:	2019			2018			2017
Revenues:
Regulated	$	123,078		$	121,901		$	115,454
Non – Regulated		12,177			16,778			15,912
Inter-segment Elimination		(657	)		(602	)		(591	)
Consolidated Revenues	$	134,598		$	138,077		$	130,775
Operating Income:
Regulated	$	31,805		$	34,127		$	35,130
Non – Regulated		3,715			3,015			2,668
Consolidated Operating Income	$	35,520		$	37,142		$	37,798
Depreciation:
Regulated	$	16,481		$	14,846		$	13,732
Non – Regulated		235			191			190
Consolidated Depreciation	$	16,716		$	15,037		$	13,922
Other Income (Expense), Net:
Regulated	$	3,018		$	3,284		$	2,020
Non – Regulated		(253	)		119			64
Inter-segment Elimination		(273	)		(411	)		(467	)
Consolidated Other Income (Expense), Net	$	2,492		$	2,992		$	1,617
Interest Charges:
Regulated	$	7,456		$	7,060		$	5,855
Non – Regulated		81			109			118
Inter-segment Elimination		(273	)		(411	)		(467	)
Consolidated Interest Charges	$	7,264		$	6,758		$	5,506
Income Taxes:
Regulated	$	(4,317	)	$	(54	)	$	9,848
Non – Regulated		1,177			978			1,252
Consolidated Income Taxes	$	(3,140	)	$	924		$	11,100
Net Income:
Regulated	$	31,602		$	30,405		$	21,447
Non – Regulated		2,286			2,047			1,362
Consolidated Net Income	$	33,888		$	32,452		$	22,809
Capital Expenditures:
Regulated	$	88,858		$	71,493		$	50,078
Non – Regulated		267			601			223
Total Capital Expenditures	$	89,125		$	72,094		$	50,301

	(Thousands of Dollars)
	As of			As of
	December 31, 2019			December 31, 2018
Assets:
Regulated	$	910,081		$	764,749
Non – Regulated		9,686			8,994
Inter-segment Elimination		(9,889	)		(5,913	)
Consolidated Assets	$	909,878		$	767,830