Cover |
12 Months Ended |
|---|---|
Dec. 31, 2025 | |
| Document Information [Line Items] | |
| Document Type | 11-K |
| Entity Registrant Name | American Water Works Company, Inc. |
| Amendment Flag | false |
| Entity Central Index Key | 0001410636 |
| EBP 001 | |
| Document Information [Line Items] | |
| Document Type | 11-K |
| Entity Registrant Name | American Water Works Company, Inc. |
| Amendment Flag | false |
| Entity Central Index Key | 0001410636 |
Statements of Financial Condition - EBP 001 - USD ($) $ in Thousands |
Dec. 31, 2025 |
Dec. 31, 2024 |
|---|---|---|
| Assets | ||
| Participants' payroll deductions receivable | $ 774 | $ 750 |
| Plan Equity | ||
| Plan equity | $ 774 | $ 750 |
Statement of Changes in Net Income and Plan Equity $ in Thousands |
EBP 001
USD ($)
|
|---|---|
| Plan equity, at the beginning of the year at Dec. 31, 2022 | $ 1,202 |
| EBP, Statement of Change in Net Asset Available for Benefit [Line Items] | |
| Participants' contributions | 10,208 |
| Distributions for stock purchases | (10,276) |
| Net increase (decrease) | (68) |
| Plan equity, at the end of the year at Dec. 31, 2023 | 1,134 |
| EBP, Statement of Change in Net Asset Available for Benefit [Line Items] | |
| Participants' contributions | 9,671 |
| Distributions for stock purchases | (10,055) |
| Net increase (decrease) | (384) |
| Plan equity, at the end of the year at Dec. 31, 2024 | 750 |
| EBP, Statement of Change in Net Asset Available for Benefit [Line Items] | |
| Participants' contributions | 9,861 |
| Distributions for stock purchases | (9,837) |
| Net increase (decrease) | 24 |
| Plan equity, at the end of the year at Dec. 31, 2025 | $ 774 |
Description of Plan |
12 Months Ended |
|---|---|
Dec. 31, 2025 | |
| EBP 001 | |
| EBP, Description of Plan [Line Items] | |
| Description of Plan | Description of Plan General The following description of the American Water Works Company, Inc. and its Designated Subsidiaries 2017 Nonqualified Employee Stock Purchase Plan (the “Plan”) provides only general information. Participants should refer to the plan document for a more complete description of the Plan’s provisions. The Plan was initially adopted by the Board of Directors (the “Board”) of American Water Works Company, Inc. (the “Company”) on February 15, 2017, was approved as such by the shareholders of the Company on May 12, 2017, and was initially effective as of August 5, 2017. The Board may, at any time and from time to time, amend the Plan, except that any amendment that is required to be approved by the shareholders shall be submitted to the shareholders of the Company for approval. The Plan shall continue in effect for ten years from the initial effective date unless terminated prior to that date pursuant to the provisions of the Plan or pursuant to action by the Board. On Feb, 18, 2026, the Board approved amendments to the Plan which would extend the Plan for another ten years. These Board approved amendments will be voted on by the shareholders at the annual shareholders’ meeting scheduled for May 13, 2026. The purpose of the Plan is to provide eligible employees of the Company and its designated subsidiaries an opportunity to purchase an equity interest in the Company through the purchase of shares of the Company’s common stock. Participants may contribute portions of their compensation during a three-month purchase period and purchase common stock at the end thereof. Participation in the Plan entitles each participant to purchase the Company’s common stock at 85% of the fair market value of such common stock on the purchase date, which is the last business day of the applicable purchase period. Common stock for the Plan is issued directly from the Company’s authorized but unissued shares. As of December 31, 2025, there were approximately 1.3 million shares of common stock that remain reserved for issuance under the Plan. Eligibility Full or part time employees of the Company and its designated subsidiaries receiving a paycheck or direct deposit are eligible to participate in the Plan, except for (i) temporary or leased employees, (ii) an employee of a non-U.S. subsidiary of the Company, (iii) any person who is determined by the Board to be an officer of American Water, as defined under Section 16 of the Securities Exchange Act of 1934, as amended, and rules promulgated thereunder, and (iv) an employee who owns stock possessing 5% or more of the total combined voting power or value of all classes of the Company’s stock. Each eligible employee as defined in the Plan may enroll as provided in the Plan with participation beginning on the first full three-month purchase period after the date he or she enrolls in the Plan. Three-month purchase periods begin on December 1, March 1, June 1 and September 1. Participation in the Plan is voluntary. Participant Contributions A Plan participant may contribute (i) from 1% to 10%, in 1% increments, or (ii) a fixed amount from $5 to $2,500 per pay period of their pre-tax eligible compensation, in each case subject to the maximum deduction amount of $25,000 per Plan year. Participants may not increase or decrease their withholding percentage or their fixed contribution amount during a purchase period. The Company holds contributions of participants during the purchase period, and then issues shares purchased by the participants based on the amount of the contributions received from them and at a purchase price of 85% of the fair market value of the Company’s common stock on the purchase date. No interest is paid or accrued on the participants’ payroll deductions. Participants’ payroll deductions receivable from the Company represents a receivable for participants’ contributions, which are subsequently collected and used to purchase shares on behalf of plan participants at the end of the three-month purchase period. Withdrawals A participant may cancel or suspend Plan enrollment at any time and either withdraw Plan payroll deductions that have not been used to purchase shares or maintain accumulated funds in his or her account for the purchase of shares at the end of the three-month purchase period. Upon termination or death, an employee is no longer considered a participant in the Plan. Purchases As soon as practicable following the end of a three-month purchase period, the shares purchased by each participant are deposited into a brokerage account established in the participant’s name. Shares issued under the Plan to a participant may not be sold, transferred, or assigned by the participant for a period of six months after the purchase date (except in the instance of death). For the years ended December 31, 2025, 2024, and 2023, the Company purchased 84,026, 90,168 and 87,093 shares of its common stock, respectively, under the Plan on behalf of participants.
|
Summary of Significant Accounting Policies |
12 Months Ended |
|---|---|
Dec. 31, 2025 | |
| EBP 001 | |
| EBP, Accounting Policy [Line Items] | |
| Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of Accounting The accompanying financial statements have been prepared on the accrual basis of accounting in conformity with accounting principles generally accepted in the United States of America. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of plan equity and changes therein. Actual results could differ from those estimates. Administrative Expenses Administrative expenses of the Plan are paid by the Company. Brokerage fees incurred for the sale by a participant of shares issued under the Plan are paid by the selling participant. Distributions Distributions are recorded when common stock has been issued to participants.
|
Income Tax Status |
12 Months Ended |
|---|---|
Dec. 31, 2025 | |
| EBP 001 | |
| EBP, Tax Status [Line Items] | |
| Income Tax Status | Income Tax Status The Plan is not intended to qualify as an “Employee Stock Purchase Plan,” as set forth in section 423 of the Internal Revenue Code of 1986, as amended. Participants are subject to any required tax withholding by the Company on the taxable compensation earned under the Plan. Taxable compensation is recognized as imputed income by participants equal to the difference between the aggregate discounted price paid by the participant and the aggregate market price of the shares on the date of the purchase.
|
Summary of Significant Accounting Policies (Policies) - EBP 001 |
12 Months Ended |
|---|---|
Dec. 31, 2025 | |
| EBP, Accounting Policy [Line Items] | |
| Basis of Accounting | Basis of Accounting The accompanying financial statements have been prepared on the accrual basis of accounting in conformity with accounting principles generally accepted in the United States of America.
|
| Use of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of plan equity and changes therein. Actual results could differ from those estimates.
|
| Administrative Expenses | Administrative Expenses Administrative expenses of the Plan are paid by the Company. Brokerage fees incurred for the sale by a participant of shares issued under the Plan are paid by the selling participant.
|
| Distributions | Distributions Distributions are recorded when common stock has been issued to participants.
|
Description of Plan (Details) - EBP 001 - USD ($) |
12 Months Ended | ||
|---|---|---|---|
Dec. 31, 2025 |
Dec. 31, 2024 |
Dec. 31, 2023 |
|
| EBP, Description of Plan [Line Items] | |||
| Plan term | 10 years | ||
| Term extension approved by Board | 10 years | ||
| Participant stock purchase period | 3 months | ||
| Participant stock purchase price, percent of fair market value (as a percent) | 85.00% | ||
| Stock purchase plan, shares reserved for issuance (in shares) | 1,300,000 | ||
| Stock purchase plan, eligibility disallowed, stock ownership (as a percent) | 5.00% | ||
| Participant pre-tax contribution, minimum percentage (as a percent) | 1.00% | ||
| Participant pre-tax contribution, maximum percentage (as a percent) | 10.00% | ||
| Participant pre-tax contribution, incremental increase (as a percent) | 1.00% | ||
| Participant pre-tax contribution, minimum | $ 5 | ||
| Participant pre-tax contribution, maximum | $ 2,500 | ||
| Stock purchase plan, period shares cannot be sold, transferred or reassigned | 6 months | ||
| Stock purchase plan, shares purchased on behalf of participants (in shares) | 84,026 | 90,168 | 87,093 |