Consolidated Water Q4 Earnings Call Highlights

5 months ago 12

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Consolidated Water logo
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Consolidated Water (NASDAQ:CWCO) executives said 2025 results were mostly successful enactment with expectations crossed the company’s retail, bulk, and manufacturing businesses, portion show successful its services conception fell abbreviated owed to permitting delays tied to a large desalination task successful Hawaii.

Chief Executive Officer Rick McTaggart told investors the shortfall successful services gross was “due wholly to a permitting delay” for the company’s 1.7 cardinal gallon-per-day seawater desalination task successful Kalaeloa, Hawaii. McTaggart said the hold reflects the complexity of a multi-agency process and was “not owed to immoderate failures” by the company. Despite the intermission successful construction-related activity, helium said the task achieved cardinal milestones implicit the past year, including palmy aviator testing, confirmation from the Honolulu Board of Water Supply that h2o prime matches its existent proviso and does not harm its system, and completion of 100% of the works design.

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Chief Financial Officer David W. Sasnett said 2025 gross totaled $132.1 million, down 1% from 2024. The diminution was driven chiefly by little services gross and a humble alteration successful bulk revenue, partially offset by gains successful retail and manufacturing.

Sasnett reported 2025 gross nett of $48.4 million. He noted the company’s consolidated gross borderline improved successful dollars and said gross nett percentages accrued crossed each 4 concern segments, attributing the show to ratio and outgo power initiatives.

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Net income from continuing operations was $18.6 million, oregon $1.16 per diluted share, compared with $17.9 million, oregon $1.12 per diluted share, successful 2024. Including discontinued operations, nett income attributable to shareholders was $18.3 million, oregon $1.14 per diluted share, versus $28.2 million, oregon $1.77 per diluted share, a twelvemonth earlier.

Retail gross accrued 6.6% to $33.6 million, driven by an 8.3% summation successful h2o measurement sold to a grounds 1.09 cardinal gallons and an astir 7% summation successful lawsuit accounts successful the company’s licensed country connected Grand Cayman. Management cited historically debased rainfall and continued maturation successful colonisation and concern enactment arsenic cardinal drivers.

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