The business behind the dividend
| Measure | MSEX | Median | Formula |
|---|---|---|---|
| Return on equity | 8.7% | 10.6% | Net income ÷ shareholders’ equity |
| Return on capital employed | 6.2% | 10.0% | Operating income ÷ (equity + total debt) |
| Owner earnings | $-21.04m | $120.90m | Net income + depreciation & amortisation − capital expenditure |
| Free cash flow | $-33.76m | $155.08m | Operating cash flow − capital expenditure |
| Operating margin | 27.9% | 14.3% | Operating income ÷ revenue |
| Net margin | 22.0% | 10.1% | Net income ÷ revenue |
| Debt to equity | 0.78x | 0.73x | Total debt ÷ shareholders’ equity |
| Interest cover | 3.80x | 4.22x | Operating income ÷ interest expense |
| Current ratio | 0.45x | 1.55x | Current assets ÷ current liabilities |
| Long-term debt to working capital | — | — | Long-term debt ÷ (current assets − current liabilities) |
| Cash conversion | 1.46x | 1.66x | Operating cash flow ÷ net income |
| Accruals | -1.4% | -3.1% | (Net income − operating cash flow) ÷ total assets |
Not computed here: Long-term debt to working capital — why a blank is not a zero.
Ten years of it
The same measures, for every year the filings support. One year is a fact; a row is a business.
| Measure | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | Median |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Return on equity | 8.7% | 10.0% | 7.5% | 10.6% | 9.9% | 11.1% | — | — | — | — | 9.9% |
| Return on capital employed | 6.2% | 6.6% | 3.4% | 6.7% | 4.9% | 6.0% | — | — | — | — | 6.0% |
| Operating margin | 27.9% | 27.7% | 23.6% | 29.2% | 23.2% | 26.5% | 26.4% | 26.9% | 28.9% | 30.4% | 26.9% |
| Net margin | 22.0% | 23.1% | 19.0% | 26.1% | 25.6% | 27.2% | 25.2% | 23.5% | 17.5% | 17.1% | 23.1% |
| Debt to equity | 0.78x | 0.81x | 1.71x | 0.77x | 0.85x | 0.81x | — | — | — | — | 0.81x |
| Current ratio | 0.45x | 0.52x | 1.05x | 0.32x | 0.61x | 0.60x | 0.45x | 0.33x | 0.45x | 0.57x | 0.45x |
| Cash conversion | 1.46x | 1.32x | 1.67x | 1.45x | 0.90x | 1.39x | 1.06x | 1.41x | 1.88x | 2.07x | 1.41x |
How it compares in utilities
Among the 76 utilities companies here measured on GAAP earnings, Middlesex Water pays out less than 43 of them. The median for that group is 60.7%, against this company’s 58.5%.
Closest on GAAP earnings
- California Water Service Group (CWT) 57.7%
- American Water Works (AWK) 58.2%
- Exelon (EXC) 58.6%
- Idacorp (IDA) 58.6%
Same sector and same denominator, so the figures are comparable. All 80 in utilities →