The Texas Water Company

Name

The Texas Water Company

Legal name

The Texas Water Company, Inc.

Website

https://txwaterco.com

Company type

Public

Founded year

2006

Operating status

Operating

Headcount range

51–100 employees

Short description

The Texas Water Company is a regulated investor-owned water and wastewater utility serving residential and commercial customers across seven Texas Hill Country counties under PUCT certification, operating as a subsidiary of H2O America (NASDAQ:HTO) and pursuing consolidation through the pending $540M Quadvest acquisition.

Ownership category

akta.pro rank

Product category

Water and Wastewater Utility Services

NAICS

Water, Sewage and Other Systems (2213), Water Supply and Irrigation Systems (22131), Sewage Treatment Facilities (22132), Utilities (22)

SIC

Water Supply (4941), Electric, Gas & Sanitary Services (4900), Sanitary Services (4950), Water, Sewer, Pipeline, Comm & Power Line Construction (1623)

akta.pro primary industry

Drinking Water Distribution Network Operations (Mains, Valves, Hydrants, Service Lines) (EUANAAAE)

akta.pro secondary industries

Raw Water Conveyance & Transmission (Aqueducts, Mains, Pumping Stations) (EUANAAAB), Regulatory Compliance Monitoring & Reporting (SDWA/CWA/NPDES, permits, audits) (EUANAJAA), Public Health & Consumer Confidence Reporting (CCR, boil-water advisories, notifications) (EUANAJAL), Water & Wastewater Compliance (NPDES/Stormwater, Pretreatment, Drinking Water/SDWA) (EUAHABAB)

Keywords

• Water utility services
• Wastewater treatment
• Regulated water supply
• Water infrastructure
• Water conservation

Headquarters

HQ city

Canyon Lake

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Infrastructure, Operations, Personnel, Technology or R&D, Supply Chain

Revenue model

1. Water and Wastewater Service Rates: Recurring revenue from regulated water and wastewater utility services under tariff rates approved by the Public Utility Commission of Texas (PUCT). Revenue is driven primarily by rate increases in California, Connecticut, and Texas, with Q1 2026 operating revenue of $183.3 million.
2. Developer Contributions (LUE Charges): One-time charges to developers for new connections and non-standard service, calculated based on Living Unit Equivalent (LUE) charges representing prorated share of infrastructure costs. The LUE charge is $18,025.00 per residential connection.
3. Infrastructure Investment Recovery: Capital investment recovery through regulated rate base, with H2O America planning to invest more than $500 million in Texas over five years, raising overall five-year capital spending plan by 6% to approximately $2.1 billion.

Pricing tiers

Go-to-market motion1 record

Distribution channels1 record

Marketing channels5 records

Core offering

The Texas Water Company is a regulated investor-owned water and wastewater utility providing safe, reliable drinking water and wastewater services to residential and commercial customers across seven Texas counties (Bandera, Blanco, Comal, Hays/Travis, Kendall, and Medina). The company delivers these services through certificated service territories under PUCT oversight, supported by advanced metering infrastructure, treatment plants, and capital improvement programs funded through regulated rate-base recovery.

Product overview

The Texas Water Company is a regulated investor-owned water and wastewater utility providing services across seven Texas counties. The company operates a multi-product portfolio centered on core water supply and wastewater treatment services, supported by advanced infrastructure technology including Smart Meters/AMI for real-time usage monitoring via the WaterSmart customer portal and VX Smart platform. The company's conservation efforts are organized under its One Water philosophy, which takes a holistic approach to managing all water resources. Infrastructure services are delivered through its Capital Improvement Program, while engineering services provide development standards and specifications for the service area.

Differentiator

Problem solved

Functional benefit

Products and services

• Water Supply and Distribution Services Core water supply and distribution service delivering safe, reliable drinking water to residential and commercial customers across seven Texas counties (Bandera, Blanco, Comal, Hays/Travis, Kendall, and Medina) through infrastructure including wells, surface water sources, treatment plants, storage tanks, and distribution mains.
• Wastewater Services Wastewater collection and treatment services managing residential and commercial sewage through four wastewater treatment plants (WWTPs), producing high-quality effluent returned to ecosystems.
• WaterSmart Customer Portal
• Engineering Services Infrastructure design guidelines, standard specifications for water and wastewater projects, easement release processes, and Living Unit Equivalent (LUE) charge calculations for developers.
• Water Conservation Services Water conservation initiatives including drought management programs with county-specific watering restrictions, indoor/outdoor conservation tips, rainwater harvesting, and water reuse systems.
• Capital Improvement Program Capital investment program investing over $25 million annually in maintaining, upgrading, and repairing water infrastructure including main replacements, pump stations, storage facilities, generators, and wastewater treatment plant expansions.

Quantifiable outcome

• Conserved approximately 380 million gallons of water through Advanced Leak Detection Program identifying and repairing 350+ leaks
• +3 more outcomes

Named customers1 record

Segments3 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration2 records

Feature5 records

Scale indicators13 records

Recent moves6 records

Expansion highlights6 records

Direct peers

• Global Water Resources: Water and wastewater utility focused on growth communities in Arizona (sub-Phoenix metro). Highly comparable on certificated franchise model, growth-by-acquisition strategy, and emphasis on recycled water and conservation—paralleling TWC's One Water program.
• Middlesex Water Company: Investor-owned water and wastewater utility serving ~500,000 people in New Jersey, Delaware, and Pennsylvania. Comparable in size and pure-play water utility focus, with similar capital programs, rate-base growth, and small-acquisition rollup strategy.
• York Water Company: Oldest investor-owned water utility in the US, serving ~200,000 people in Pennsylvania. Comparable in customer count and operating footprint to TWC, with similar rates-driven growth model and conservative balance sheet approach.
• California Water Service Group: Sister company to TWC under H2O America (HTO) holding company structure, operating regulated water utilities in California, Hawaii, Washington, and New Mexico. Closest direct operating peer—same parent, same regulated utility playbook, similar AMI and conservation initiatives.
• Essential Utilities: Regulated water, wastewater, and natural gas utility serving ~5 million people across 10 states (formerly Aqua America). Operates certificated service areas with the same rate-base model and has been an active acquirer of small water utilities, mirroring TWC's growth-by-acquisition strategy.
• Artesian Resources: Regulated water and wastewater utility serving ~92,000 customers in Delaware, Maryland, and Pennsylvania. Direct comparable on customer count, regulated returns model, and capex-driven rate base growth.
• American Water Works Company: Largest publicly traded US water and wastewater utility, serving over 14 million people across 14 states. TWC's VP of Operations Bryan Raisor and COO Bruce Hauk both came from American Water, and the operating model—regulated rates, AMI, capital improvement programs—directly mirrors TWC's structure.
• Consolidated Water Co. Water utility serving the Caribbean and Bermuda with regulated water supply operations. Direct comparable on rate-based, certificated water-only business model, though geographically distinct (serves as a pure-play regulated water utility peer).

Broad incumbents

• Veolia Environment: Global water, waste, and energy services giant with significant municipal water and wastewater concessions in the US. Operates as a broad incumbent providing outsourced utility services and technology, offering an alternative delivery model to TWC's investor-owned utility approach.
• Suez Water Technologies & Solutions: International water services and technology company with significant US utility operations and treatment plant concessions. Comparable as a broad incumbent that operates and services water/wastewater infrastructure for municipal and industrial customers, including technology providers like Tonka Water (used by TWC at Park Shores WTP).

Market position

Strengths5 records

Weaknesses5 records

Competitive moat4 records

Key risks6 records

Key highlights7 records

Customer concentration

• Facebookfacebook.com/TexasWaterCo
• LinkedInlinkedin.com/company/the-texas-water-company

Compliance6 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles5 records

Subsidiaries2 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A1 record

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about The Texas Water Company