H2o America's Business Segments

H2O America, a Delaware corporation formerly known as SJW Group, is a holding company operating through wholly owned subsidiaries primarily engaged in water and wastewater services. Its principal subsidiaries include San Jose Water Company (SJWC), a public utility serving metropolitan San Jose, California; H2O America NE LLC, which holds the investment in Connecticut Water Service, Inc. (CTWS). CTWS is a holding company with subsidiaries including The Connecticut Water Company and The Maine Water Company, public utilities providing water service in Connecticut and Maine, respectively, as well as Chester Realty, Inc. and New England Water Utility Services, Inc., which offers contract water and sewer operations and related services. H2O America TX Holdings, Inc. is the holding company for The Texas Water Company (TWC), a public utility serving multiple counties in Texas with water and wastewater services, and holds interests in related entities such as Texas Water Operation Services, LLC and Texas Water Resources, LLC. Additionally, H2O America Land Company owns undeveloped land in California, and National Water Utility Services, LLC provides shared services among H2O America affiliates. The company’s operations focus on regulated water and wastewater utility services across California, Connecticut, Maine, and Texas, with additional activities in real estate and contract water services.

The registrant operates a single reportable segment. Other business activities not separately reportable include SJWC’s City of Cupertino service concession arrangement operations; property management and investment activities conducted by H2O America Land Company and Chester Realty, Inc.; contract water and sewer operations and other water-related services provided by NEWUS, collectively referred to as "Other Services." Through its indirect subsidiary TWC, the registrant entered into asset purchase agreements to acquire substantially all assets of Quadvest Retail's water and sewer utility business (the "Regulated Business") and Quadvest Wholesale's wholesale water and sewer business (the "Wholesale Business"). These acquisitions are subject to various closing conditions and regulatory approvals, including a request to the Public Utility Commission of Texas to use Fair Market Value for the acquisition. Water Utility Services, excluding non-tariffed activities, are subject to rate regulation based on cost recovery and meet the criteria for rate-regulated operations accounting guidance.