American Water Works reported higher profit and revenue in the second quarter helped by authorized rate increases and contributions from acquisitions.

The water utility reported a profit of $315 million, or $1.61 a share, compared with a profit of $289 million, or $1.48 a share, a year earlier.

Adjusted earnings were $1.61 a share, compared with analysts' expectations of $1.53 a share, according to FactSet.

Revenue rose to $1.36 billion from $1.28 billion. Analysts polled by FactSet expected $1.33 billion.

The company backed its full-year adjusted earnings outlook of $6.02 to $6.12 a share and reaffirmed its long-term targets.