What changed in this filing

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Item 1. Financial Statements

2026-07-30 compared with 2026-04-30 · 123 added, 67 removed, 454 unchanged (30% of the section changed)

4 unchanged sentences

Three Months Ended

June 30, Six Months Ended

2026 2025 2026 2025

Operating Revenues $ 56,357 $ 49,323 $ 105,071 $ 93,624

86 unchanged sentences

(In thousands)

Three Months Ended March 31,

Six Months Ended June 30,

CASH FLOWS FROM OPERATING ACTIVITIES:

16 unchanged sentences

Employee Benefit Plans ( 2,637 ) ( 2,699 )

Unearned Revenue & Advanced Service Fees ( 30 ) 59

Other Assets and Liabilities ( 1,308 ) ( 1,859 )

3 unchanged sentences

( 53,468 ) ( 50,635 )

Acquisition of Water Systems ( 150 ) ( 4,607 )

NET CASH USED IN INVESTING ACTIVITIES ( 53,618 ) ( 55,242 )

3 unchanged sentences

Net Short-term Bank Borrowings 5,750 32,200

Deferred Debt Issuance Expense ( 60 ) —

Payment of Grantee Withholding Taxes in Exchange for Restricted Stock ( 279 ) ( 379 )

Proceeds from Issuance of Common Stock 14,425 4,054

Common Stock Issuance Expense ( 218 ) ( 431 )

Payment of Common Dividends ( 13,377 ) ( 12,182 )

53 unchanged sentences

Balance at March 31, 2025 17,894 248,611 200,437 449,048

Net Income — — 10,778 10,778

Dividend Reinvestment & Common Stock Purchase Plan 4 229 — 229

Restricted Stock Award - Net - Employees 18 47 — 47

Restricted Stock Award - Board of Directors 6 366 — 366

Conversion of $ 7 Preferred Stock to Common Stock

At-The-Market Program Common Stock Issuance 64 3,604 — 3,604

Common Stock Issuance Expense — ( 431 ) — ( 431 )

Cash Dividends on Common Stock ($ 0.3400 per share)

— — ( 6,101 ) ( 6,101 )

Cash Dividends on Preferred Stock — — ( 19 ) ( 19 )

Balance at June 30, 2025 18,016 $ 252,688 $ 205,095 $ 457,783

Balance at January 1, 2026 18,521 $ 279,148 $ 214,883 $ 494,031

8 unchanged sentences

Balance at March 31, 2026 18,577 282,243 218,803 501,046

Net Income — — 14,772 14,772

Dividend Reinvestment & Common Stock Purchase Plan 4 218 — 218

Restricted Stock Award - Net - Employees 38 208 — 208

Restricted Stock Award - Board of Directors 8 405 — 405

At-The-Market Program Common Stock Issuance 216 11,327 — 11,327

Common Stock Issuance Expense — ( 158 ) — ( 158 )

Cash Dividends on Common Stock ($ 0.3600 per share)

— — ( 6,709 ) ( 6,709 )

Cash Dividends on Preferred Stock — — ( 17 ) ( 17 )

Balance at June 30, 2026 18,843 $ 294,243 $ 226,849 $ 521,092

See Accompanying Notes to Condensed Consolidated Financial Statements.

10 unchanged sentences

All significant intercompany accounts and transactions have been eliminated.

The consolidated notes within the 2025 Annual Report on Form 10-K (the 2025 Form 10-K) are applicable to these financial statements and, in the opinion of the Company, the accompanying unaudited condensed consolidated financial statements contain all adjustments necessary (including normal recurring accruals) to fairly state the Company’s financial position as of March 31, 2026, and the results of operations and cash flows for the three month periods ended March 31, 2026 and 2025.

The consolidated notes within the 2025 Annual Report on Form 10-K (the 2025 Form 10-K) are applicable to these financial statements and, in the opinion of the Company, the accompanying unaudited condensed consolidated financial statements contain all adjustments necessary (including normal recurring accruals) to fairly state the Company’s financial position as of June 30, 2026, the results of operations for the three and six month periods ended June 30, 2026 and 2025 and cash flows for the six month periods ended June 30, 2026 and 2025.

Information included in the Condensed Consolidated Balance Sheet as of December 31, 2025, has been derived from the Company’s December 31, 2025 audited financial statements included in the 2025 Form 10-K.

Recent Accounting Guidance

The recently issued accounting standards that have not yet been adopted by the Company as of March 31, 2026 are as follows:

The recently issued accounting standards that have not yet been adopted or recently adopted by the Company as of June 30, 2026 are as follows:

Standard Description Date of Adoption Application Effect on the

Financial Statements

Accounting Standards Update (ASU) 2024-03 “Disaggregation of Income Statement Expenses” The ASU enhances disclosures related to income statement expenses to further disaggregate expenses in the footnotes to the financial statements.

Accounting Standards Update (ASU) 2024-03 “Disaggregation of Income Statement Expenses” (ASU 2024-03) The ASU enhances disclosures related to income statement expenses to further disaggregate expenses in the footnotes to the financial statements.

The standard requires disaggregation of any relevant expense caption presented on the face of the income statement that contains the following expense categories:

4 unchanged sentences

The Company is evaluating the impact of ASU 2024-03 on its Consolidated Financial Statements.

ASU 2025-06 "Internal-Use Software" This ASU removes all reference to prescriptive and sequential software development stages, requiring an entity to start capitalizing software costs when the following criteria are both met:

ASU 2025-06 "Internal-Use Software" (ASU 2025-06) This ASU removes all reference to prescriptive and sequential software development stages, requiring an entity to start capitalizing software costs when the following criteria are both met:

(i) management has authorized and committed to funding the software project and (ii) it is probable that the project will be completed and the software will be used to perform the function intended.

2 unchanged sentences

Prospective, with a modified transition or retrospective application also permitted.

The Company is evaluating the impact of ASU 2025-06 on its Consolidated Financial Statements.

The Company early adopted ASU 2025-06 during the quarter ended June 30, 2026, using the prospective transition approach.

There was no material impact to the consolidated financial statements as of and for the period ended June 30, 2026.

Reclassification

Certain prior period amounts have been reclassified to conform with current period presentation.

Note 2 – Rates and Regulatory Matters

8 unchanged sentences

Under the RESIC program, Middlesex and Pinelands submit semi-annual surcharge filings to the NJBPU for qualifying capital investments completed every six months to be recovered up to $ 3.6 million or 2.5 % of total annual revenues included in their February 2026 base rate increase.

In February 2026, the NJBPU approved the joint petition filed by Middlesex and Pinelands Water for a Distribution System Improvement Charge (DSIC) Foundational Filing, which allows for the recovery of investments in qualifying capital improvements to their water distribution system for the three-year period ending October 2028.

In February 2026, the NJBPU approved the joint petition filed by Middlesex and Pinelands Water for a Distribution System Improvement Charge (DSIC) Foundational Filing for the three-year period ending October 2028.

DSIC programs allow for the recovery of investments in qualifying capital improvements to a public utility's water distribution system between rate cases.

Under the DSIC program, Middlesex and Pinelands Water submit semi-annual surcharge filings to the NJBPU for qualifying capital investments completed every six months to be recovered up to $ 7.1 million or 5 % of total annual revenues included in their February 2026 base rate increase.

5 unchanged sentences

The NJBPU-approved Middlesex Lead Service Line Replacement (LSLR) Plan continues, and costs of $ 0.4 million for replacing customer-owned lead service lines incurred from January 2025 through June 2025 were recovered between September 2025 and February 2026.

Costs of $ 0.3 million incurred from July 2025 through December 2025 are expected to be recovered between March 2026 and August 2026.

Costs of $ 0.3 million incurred from July 2025 through December 2025 will be recovered by August 2026.

The LSLR surcharge is required to be reset every six months over the life of the LSLR Plan.

1 unchanged sentence

Tidewater Rate Matters

In February 2026, the Delaware Public Service Commission (DEPSC) approved the March 2026 refund of $ 1.1 million to Tidewater customers resulting from the proceeds of the MDL settlement agreement between Tidewater and manufacturers of PFAS.

In June 2026, the Delaware Public Service Commission (DEPSC) approved Tidewater’s DSIC rate, effective July 1, 2026.

Tidewater is expected to recover approximately $ 0.6 million of semi-annual revenues from July 2026 to December 2026.

In February 2026, the DEPSC approved the March 2026 refund of $ 1.1 million to Tidewater customers resulting from the proceeds of the MDL settlement agreement between Tidewater and manufacturers of PFAS.

For further information, see discussion in MDL Settlement below.

2 unchanged sentences

In December 2025, the DEPSC approved the Tidewater DSIC rate, effective January 1, 2026.

Tidewater is expected to recover approximately $ 0.3 million of semi-annual DSIC revenues between January 2026 and June 2026.

Tidewater recovered approximately $ 0.3 million of semi-annual DSIC revenues between January 2026 and June 2026.

In July 2025, the DEPSC approved the settlement agreement in our general base rate application between Tidewater, DEPSC Staff and the Delaware Division of the Public Advocate, with new rates effective July 3, 2025.

4 unchanged sentences

The Company began receiving settlement payments in 2025, which will continue through 2026 and beyond.

As of March 31, 2026, the Company received $ 6.0 million.

Proceeds from these settlement payments have been and will likely continue to be shared with customers in the future (for further information on 2026 customer refunds related to the MDL settlement, see Middlesex Rate Matters and Tidewater Rate Matters above).

Through June 30, 2026, the Company has received $ 8.1 million of settlement payments, of which $ 5.8 million remains expected to continue to be shared with customers in the future (for further information on 2026 customer refunds related to the MDL settlement, see Middlesex Rate Matters and Tidewater Rate Matters above).

Southern Shores Rate Matters

1 unchanged sentence

Under the agreement, rates are increased annually by the lesser of the regional Consumer Price Index or 3 %.

Additionally, when there are unanticipated capital expenditures or regulatory related changes in operating expenses exceed certain annual thresholds, rates are increased.

Additionally, when there are unanticipated capital expenditures or regulatory related changes in operating expenses that exceed certain annual thresholds, rates are increased.

In 2024, capital expenditures did exceed the established threshold.

4 unchanged sentences

Sales of shares of common stock and issuance of long-term debt are part of the Company’s comprehensive financing plan to fund its multi-year utility plant infrastructure investment program.

During the three months ended March 31, 2026 and 2025, there were 4,025 common shares (approximately $ 0.2 million) and 4,228 common shares (approximately $ 0.2 million), respectively, issued under the Middlesex Water Company Investment Plan.

During the six months ended June 30, 2026 and 2025, there were 8,203 common shares (approximately $ 0.4 million) and 8,130 common shares (approximately $ 0.4 million), respectively, issued under the Middlesex Water Company Investment Plan.

In May 2025, Middlesex entered into an At-the-Market (ATM) Equity Offering Sales Agreement (Equity Sales Agreement) with BofA Securities, Inc., Robert W.

3 unchanged sentences

The Company intends to use the net proceeds from these sales, after deducting commissions and offering expenses, to fund our capital expenditures, to purchase and maintain plant equipment, as well as for other general corporate purposes.

For the three months ended March 31, 2026, Middlesex issued and sold a total of 49,305 shares of common stock, at a weighted average price of $ 54.82 per share, and received $ 2.7 million in net proceeds, under the Equity Sales Agreement.

As of March 31, 2026, the Company had $ 77.3 million of aggregate gross sales remaining under the Equity Sales Agreement.

For the three and six months ended June 30, 2026, Middlesex issued and sold a total of 215,722 and 265,027 shares of common stock respectively, at a weighted average price of $ 53.31 and $ 53.59 per share, respectively, and received $ 11.3 million and $ 14.0 million in net proceeds, respectively, under the Equity Sales Agreement.

As of June 30, 2026, the Company had $ 65.8 million of aggregate gross sales remaining under the Equity Sales Agreement.

Long-term Debt

2 unchanged sentences

These government programs provide financing at interest rates typically below rates available in the broader financial markets.

In June 2026, Middlesex closed on a $ 17.8 million SRF construction loan.

The proceeds will be used to fund the replacement of lead service lines under Middlesex's LSLR Plan.

Funding requisitions are expected to occur through December 2027.

In June 2026, Tidewater entered into a term loan agreement with CoBank, ACB (CoBank) and borrowed $ 25.0 million at an interest rate of 6.72 %.

The loan matures in 2048.

Proceeds from the loan were used to repay Tidewater’s outstanding short-term borrowings and other general corporate purposes.

In September 2024, Tidewater closed on a $ 2.2 million Delaware SRF loan with a 0.0 % interest rate with maturity dates in 2044.

This loan is for costs associated with Tidewater’s obligation, as required by federal law and Delaware regulations, to

identify and inventory lead service lines throughout Tidewater’s service area.

Tidewater has drawn down $ 1.8 million as of March 31, 2026 and expects that the requisitions will continue through 2026.

This loan is for costs associated with Tidewater’s obligation, as required by federal law and Delaware regulations, to identify and inventory lead service lines throughout Tidewater’s service area.

Tidewater has drawn down $ 1.8 million as of June 30, 2026 and expects that the requisitions will continue through 2026.

In May 2024, Tidewater closed on four Delaware SRF loans totaling $ 5.6 million, all at interest rates of 2.0 % with maturity dates in 2044.

1 unchanged sentence

In December 2025, Tidewater closed on an additional $ 1.0 million, 2.0 % SRF loan with a maturity date of 2045 related to these projects.

Tidewater has drawn down $ 2.1 million on these loans as of March 31, 2026.

Tidewater has drawn down $ 2.1 million on these loans as of June 30, 2026.

Each project has its own construction timetable with the last spending set to occur in 2027.

1 unchanged sentence

This loan is for costs associated with Southern Shore’s obligation, as required by federal law and Delaware regulations, to identify and inventory lead service lines in its service area.

As of March 31, 2026, Southern Shores has drawn down $ 0.2 million on these loans.

Southern Shores has drawn down $ 0.2 million on these loans and does not expect any further draws.

In February 2026, Pinelands Water and Pinelands Wastewater repaid in full $ 3.7 million and $ 3.4 million, respectively, of their amortizing secured notes.

3 unchanged sentences

The carrying amounts reflected in the condensed consolidated balance sheets for cash and cash equivalents, accounts receivable, accounts payable and notes payable approximate their respective fair values due to the short-term maturities of these instruments.

The fair value of First Mortgage Bonds (FMBs) and SRF Bonds (collectively, the Bonds) issued by Middlesex is based on quoted market prices for similar issues.

Under the fair value hierarchy, the fair value of cash and cash equivalents is classified as a Level 1 measurement and the fair value of notes payable and the FMBs in the table below are classified as Level 2 measurements.

The fair value of certain First Mortgage Bonds (FMBs) issued by Middlesex is based on quoted market prices for similar issues.

Under the fair value hierarchy, the fair value of cash and cash equivalents is classified as a Level 1 measurement and the fair value of the FMBs in the table below are classified as Level 2 measurements.

The carrying amount and fair value of the FMBs were as follows:

(Thousands of Dollars)

March 31, 2026 December 31, 2025

June 30, 2026 December 31, 2025

Value Carrying

1 unchanged sentence

It was not practicable to estimate the fair value on our outstanding long-term debt for which there is no quoted market price and there is not an active trading market.

For details, including carrying value, interest rates and due dates on these series of long-term debt, please refer to those series noted as “Secured Notes” and “State Revolving Trust Notes” on the Condensed Consolidated Statements of Capital Stock and Long-Term Debt.

The carrying amount of these instruments was $ 252.8 million and $ 259.5 million at March 31, 2026 and December 31, 2025, respectively.

Advances for construction have carrying amounts of $ 26.0 million and $ 25.5 million at March 31, 2026 and December 31, 2025, respectively.

The carrying amount of these instruments was $ 276.8 million and $ 259.5 million at June 30, 2026 and December 31, 2025, respectively.

Advances for construction have carrying amounts of $ 26.9 million and $ 25.5 million at June 30, 2026 and December 31, 2025, respectively.

Their relative fair values cannot be accurately estimated since future refund payments depend on several variables, including new customer connections, customer consumption levels and future rate increases.

5 unchanged sentences

(In Thousands Except per Share Amounts)

Three Months Ended March 31,

Three Months Ended June 30,

Income Shares Income Shares

7 unchanged sentences

Diluted EPS $ 0.79 $ 0.60

(In Thousands Except per Share Amounts)

Six Months Ended June 30,

Income Shares Income Shares

Net Income $ 25,377 18,627 $ 20,258 17,926

Preferred Dividend ( 35 ) ( 41 )

Earnings Applicable to Common Stock $ 25,342 18,627 $ 20,217 17,926

Basic EPS $ 1.36 $ 1.13

Earnings Applicable to Common Stock $ 25,342 18,627 $ 20,217 17,926

$ 7.00 Series Preferred Dividend

Adjusted Earnings Applicable to Common Stock $ 25,351 18,657 $ 20,235 17,957

Diluted EPS $ 1.36 $ 1.13

Note 5 – Business Segment Data

4 unchanged sentences

The budget incorporates key financial and operational inputs, including anticipated revenues, expenses, capital and financing requirements, aligning with the Company’s strategic objectives and regulatory obligations.

The CODM reviews budget-to-actual variances on a monthly, quarterly and year to-date basis and makes interim decisions to reallocate resources among segments as needed, ensuring a timely and effective response to changing conditions.

The CODM reviews budget-to-actual variances on a monthly, quarterly and year-to-date basis and makes interim decisions to reallocate resources among segments as needed, ensuring a

timely and effective response to changing conditions.

For the regulated segment, the CODM uses this assessment to determine whether the segment is achieving its regulatory authorized rate of return.

5 unchanged sentences

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 and Delaware and includes Middlesex, Tidewater, Pinelands and Southern Shores.

This segment also includes a regulated wastewater system in New Jersey, Pinelands Wastewater.

This segment also includes a regulated wastewater system in New Jersey.

The Company is subject to regulations as to its rates, services and other matters by the states of New Jersey and Delaware with respect to utility service within these states.

1 unchanged sentence

(In Thousands)

Three months ended March 31,

Three months ended June 30, Six months ended June 30,

2026 2025 2026 2025

Operation by Segments

21 unchanged sentences

Consolidated Other Taxes $ 5,968 $ 5,642 $ 11,532 $ 10,750

(In Thousands)

Three months ended June 30, Six months ended June 30,

Operation by Segments (continued) 2026 2025 2026 2025

Depreciation:

12 unchanged sentences

Consolidated Other Income, Net 2,348 1,898 4,351 3,696

(In Thousands)

Three months ended March 31,

Operation by Segments (continued)

Interest Charges:

Regulated $ 3,414 $ 2,872

Non – Regulated — —

Total Reportable Segments 3,414 2,872

Inter-segment Elimination ( 200 ) ( 159 )

Consolidated Interest Charges $ 3,214 $ 2,713

Income Taxes:

17 unchanged sentences

The Company maintains lines of credit aggregating $ 180.0 million.

As of March 31, 2026 Line of Credit

As of June 30, 2026 Line of Credit

Outstanding Available Maximum Credit Type Expiration Date

1 unchanged sentence

PNC Bank 9.0 91.0 100.0 Committed January 31, 2029

CoBank, ACB (CoBank) 20.0 — 20.0 Committed May 20, 2028

CoBank 10.0 10.0 20.0 Committed May 20, 2029

$ 34.0 $ 146.0 $ 180.0

1 unchanged sentence

Under the terms of the amendment, the expiration date was extended to January 31, 2029 and the maximum borrowing amount was increased to $ 100 million.

The maturity dates for the Notes Payable as of March 31, 2026 are all three months or less and are extendable at the discretion of the Company.

The interest rates are set for borrowings under the Bank of America and PNC Bank lines of credit using the Secured Overnight Financing Rate (SOFR) and then adding a specific financial institution credit spread.

The interest rate for borrowings under the CoBank line of credit are set weekly using CoBank’s internal cost of funds index that is similar to the SOFR and adding a credit spread.

In May 2026, Tidewater amended its line of credit with CoBank.

Under the terms of the amendment, the expiration date was extended to May 20, 2029.

In July 2026, the Company amended its line of credit with Bank of America.

Under the terms of the amendment, the expiration date was extended to July 31, 2027.

The maturity dates for the Notes Payable as of June 30, 2026 are all three months or less and are extendable at the discretion of the Company.

The interest rates are set for borrowings under the Bank of America and PNC Bank lines of credit using the Secured Overnight Financing Rate (SOFR) plus a credit spread.

The interest rate for borrowings under the CoBank line of credit are set weekly using CoBank’s internal cost of funds index that is similar to the SOFR plus a credit spread.

There is no requirement for a compensating balance under any of the established lines of credit.

The weighted average interest rate on the outstanding borrowings at March 31, 2026 under these credit lines is 4.87 %.

The weighted average interest rate on the outstanding borrowings at June 30, 2026 under these credit lines is 4.83 %.

The weighted average daily amounts of borrowings outstanding under these credit lines and the weighted average interest rates on those amounts were as follows:

(In Thousands)

Three months ended March 31,

Three months ended June 30, Six months ended June 30,

2026 2025 2026 2025

Average Daily Amounts Outstanding $ 48,060 $ 47,018 $ 45,155 $ 38,304

10 unchanged sentences

(In Thousands)

Three months ended March 31,

Three months ended June 30, Six months ended June 30,

2026 2025 2026 2025

Treated $ 1,026 $ 1,107 $ 2,045 $ 2,098

4 unchanged sentences

Contingencies – Based on our operations in the heavily-regulated water and wastewater industries, the Company is routinely involved in disputes, claims, lawsuits and other regulatory and legal matters, including responsibility for fines and penalties relative to regulatory compliance.

At this time, Management does not believe the final resolution of any such matters, whether asserted or unasserted, will have a material adverse effect on the Company’s financial position, results of

operations or cash flows.

In addition, the Company maintains business insurance coverage that may mitigate the effect of any current or future loss contingencies.

4 unchanged sentences

Employees hired after March 31, 2007 are not eligible to participate in this plan, but can participate in a defined contribution profit sharing plan that provides an annual contribution at the discretion of the Company, based upon a percentage of the participants’ annual paid compensation.

For each of the three-month periods ended March 31, 2026 and 2025, the Company did not make cash contributions to the Pension Plan.

For each of the three-month periods ended June 30, 2026 and 2025, the Company did not make cash contributions to the Pension Plan.

The Company expects to make cash contributions of approximately $ 0.9 million over the remainder of the current year.

3 unchanged sentences

Coverage includes healthcare and life insurance.

For each of the three-month periods ended March 31, 2026 and 2025, the Company did not make cash contributions to its Other Benefits Plan.

For each of the three-month periods ended June 30, 2026 and 2025, the Company did not make cash contributions to its Other Benefits Plan.

The Company expects to make additional Other Benefits Plan cash contributions of $ 1.1 million over the remainder of the current year.

2 unchanged sentences

Pension Benefits Other Benefits

Three Months Ended March 31,

Three Months Ended June 30,

2026 2025 2026 2025

4 unchanged sentences

Net Periodic Benefit* $ ( 78 ) $ ( 274 ) $ ( 708 ) $ ( 566 )

(In Thousands)

Pension Benefits Other Benefits

Six Months Ended June 30,

2026 2025 2026 2025

Service Cost $ 571 $ 483 $ 171 $ 170

Interest Cost 2,418 2,318 883 860

Expected Return on Assets ( 3,181 ) ( 3,374 ) ( 2,042 ) ( 1,856 )

Amortization of Unrecognized Losses (Gains) 37 25 ( 428 ) ( 307 )

Net Periodic Benefit* $ ( 155 ) $ ( 548 ) $ ( 1,416 ) $ ( 1,133 )

* Service cost is included Operations and Maintenance expense on the consolidated statements of income;

all other amounts are included in Other Income (Expense), net.

all other amounts are included in Other Income, net.

Note 9 – Revenue Recognition from Contracts with Customers

5 unchanged sentences

Revenue is recognized as the water and wastewater services are delivered to customers which includes an accrual of unbilled revenues estimated from the last meter reading date to the end of the accounting period utilizing factors such as historical customer data and regional weather indicators.

Unearned Revenues

and Advance Service Fees include fixed service charge billings in advance to Tidewater customers recognized as service is provided to the customer.

Unearned Revenues and Advance Service Fees include fixed service charge billings in advance to Tidewater customers recognized as service is provided to the customer.

Non-regulated service contract revenues consist of base service fees, as well as fees for additional billable services provided to customers.

7 unchanged sentences

(In Thousands)

Three Months Ended March 31,

Three Months Ended June 30, Six Months Ended June 30,

2026 2025 2026 2025

Regulated Tariff Sales

11 unchanged sentences

Note 10 – Income Taxes

The Company’s effective tax rate was 10.8 % and 10.9 % for the three months ended March 31, 2026 and 2025 respectively.

We evaluate and update our annual effective income tax rate on a quarterly basis based on current and forecasted operating results and tax laws.

Income Taxes for the three months ended March 31, 2026 increased by $ 0.1 million from the same period in 2025, primarily due to higher pre-tax income.

The statutory Federal tax rate is 21.0 % for each of the three months ended March 31, 2026 and 2025.

For states with a corporate net income tax, the state corporate net income tax rates range from 8.7 % to 9.0 % for each of the three months ended March 31, 2026 and 2025.

Our effective tax rate differs from the federal statutory tax rate primarily due to the recognition of the income tax benefits for the immediate deduction of repair expenditures on tangible property in the Middlesex System as well as other permanent book-to-tax differences.

The statutory Federal tax rate is 21.0 % for each of the three and six months ended June 30, 2026 and 2025.

For states with a corporate net income tax, the state corporate net income tax rates range from 8.7 % to 9.0 % for each of the three and six months ended June 30, 2026 and 2025.

The Company’s effective tax rate was 10.8 % for each of the three and six months ended June 30, 2026 respectively, compared to 11.6 % and 11.3 % for the same periods, respectively, in 2025.

The Company evaluates and updates the annual effective income tax rate on a quarterly basis based on current and forecasted operating results and tax laws.

Income Taxes for the three and six months ended June 30, 2026 increased by $ 0.4 million and $ 0.5 million, respectively, from the same periods in 2025, primarily due to higher pre-tax income partially offset by lower effective tax rates from the flow-through benefit of increased estimated annual deductions on repair expenditures on tangible property in Middlesex.

Note 11 - Supplemental Cash Flows Information

(In Thousands)

Three Months Ended March 31,

Six Months Ended June 30,

SUPPLEMENTAL DISCLOSURE OF NON-CASH ACTIVITY:

Utility Plant received as Construction Advances and Contributions $ 3,082 $ 4,685

2 unchanged sentences

SUPPLEMENTAL DISCLOSURE OF CASH FLOWS INFORMATION:

Cash Paid During the 3 Months for:

Cash Paid During the Six Months for:

Interest 6,845 6,363

Interest Capitalized 516 318

Income Taxes 2,506 610

The cash flow impact of Tangible Property Repairs is reflected in Provision for Deferred Income Taxes and Investment Tax Credits in the Condensed Consolidated Statements of Cash Flows.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements