We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Consolidated Water's Q1 Earnings and Sales Beat Estimates, Stock Up
Read MoreHide Full Article
Consolidated Water Co. Ltd. (CWCO - Free Report) delivered first-quarter 2025 earnings per share (EPS) of 31 cents, which surpassed the Zacks Consensus Estimate of 22 cents by 40.9%.
However, the bottom line decreased 27.9% compared with the year-ago period’s earnings of 43 cents.
Markets reacted positively to the first-quarter results, with shares of CWCO gaining 5.43% in a day since the release.
Total Revenues of CWCO
The company’s total revenues for first-quarter 2025 were $33.7 million, which beat the Zacks Consensus Estimate of $32 million by 4.2%.
Revenues were down 15% year over year due to a decline in services revenues as a result of the completion of two large construction projects in the second quarter of 2024. (See the Zacks Earnings Calendar to stay ahead of market-making news.)
Consolidated Water Co. Ltd. Price, Consensus and EPS Surprise
Retail revenues for the quarter increased 9% to $9.4 million on higher sales volumes.
Bulk revenues increased 1% to $8.4 million.
Manufacturing revenues increased 10% to $5.8 million.
Services revenues declined 42% to $10.1 million due to a $7 million and $980,000 decrease in construction revenues and design and consulting revenues, respectively.
Highlights of CWCO’s Q1 Earnings Release
Retail water sales by CWCO’s Grand Cayman utility rose 13%, driven by continued population growth and heightened business activity within its service area.
Gross profit for first-quarter 2025 was $12.3 million compared with $13.9 million in the first quarter of 2024. This was due to a decrease in the service segment’s gross profit of $2.7 million as a result of the decline in construction revenues.
The company received a new concession from the Cayman Islands government that granted its Grand Cayman water utility continued exclusive rights to produce and supply potable water within the service area. The existing operating license remains in effect until the new one is received.
Total general and administrative expenses increased nearly 17.4% to $7.7 million.
Financial Highlights
Cash and cash equivalents totaled $107.9 million as of March 31, 2025, compared with $99.4 million as of Dec. 31, 2024. Working capital amounted to $136.2 million as of March 31, 2025.
Total long-term debt was $0.06 million as of March 31, 2025, down from $0.07 million at 2024-end.
Cash flow from operating activities during first-quarter 2025 totaled $11.8 million compared with $5.9 million in the year-ago period.
Post Q1 Developments
On May 13, 2025, Consolidated Water’s subsidiary, Kalaeloa Desalco LLC, received approval from the Honolulu Board of Water Supply for its $204 million multi-year project that began in June 2023. The board determined that the desalinated water produced during the pilot phase closely aligns with the current water supply and would not negatively affect existing distribution infrastructure or customer assets.
This approval will allow the company to construct the project once all other permissions are received.
Essential Utilities Inc. (WTRG - Free Report) delivered first-quarter 2025 operating EPS of $1.03, which beat the Zacks Consensus Estimate of 80 cents by 28.8%.
WTRG’s long-term (three to five years) earnings growth rate is 5.18%. The Zacks Consensus Estimate for 2025 earnings is pegged at $2.10 per share, reflecting a year-over-year increase of 6.6%.
American States Water Company (AWR - Free Report) reported first-quarter 2025 operating EPS of 70 cents, which was in line with the Zacks Consensus Estimate.
The company’s long-term earnings growth rate is 5.65%. The Zacks Consensus Estimate for AWR’s 2025 EPS is pegged at $3.28, which indicates a year-over-year improvement of 3.5%.
American Water Works Company (AWK - Free Report) posted first-quarter 2025 operating earnings per share of $1.05, which beat the Zacks Consensus Estimate of $1.04 by nearly 1%.
AWK’s long-term earnings growth rate is 7.4%. The Zacks Consensus Estimate for 2025 EPS implies year-over-year growth of 6.12%.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Consolidated Water's Q1 Earnings and Sales Beat Estimates, Stock Up
Consolidated Water Co. Ltd. (CWCO - Free Report) delivered first-quarter 2025 earnings per share (EPS) of 31 cents, which surpassed the Zacks Consensus Estimate of 22 cents by 40.9%.
However, the bottom line decreased 27.9% compared with the year-ago period’s earnings of 43 cents.
Markets reacted positively to the first-quarter results, with shares of CWCO gaining 5.43% in a day since the release.
Total Revenues of CWCO
The company’s total revenues for first-quarter 2025 were $33.7 million, which beat the Zacks Consensus Estimate of $32 million by 4.2%.
Revenues were down 15% year over year due to a decline in services revenues as a result of the completion of two large construction projects in the second quarter of 2024. (See the Zacks Earnings Calendar to stay ahead of market-making news.)
Consolidated Water Co. Ltd. Price, Consensus and EPS Surprise
Consolidated Water Co. Ltd. price-consensus-eps-surprise-chart | Consolidated Water Co. Ltd. Quote
CWCO’s Q1 Segmental Details
Retail revenues for the quarter increased 9% to $9.4 million on higher sales volumes.
Bulk revenues increased 1% to $8.4 million.
Manufacturing revenues increased 10% to $5.8 million.
Services revenues declined 42% to $10.1 million due to a $7 million and $980,000 decrease in construction revenues and design and consulting revenues, respectively.
Highlights of CWCO’s Q1 Earnings Release
Retail water sales by CWCO’s Grand Cayman utility rose 13%, driven by continued population growth and heightened business activity within its service area.
Gross profit for first-quarter 2025 was $12.3 million compared with $13.9 million in the first quarter of 2024. This was due to a decrease in the service segment’s gross profit of $2.7 million as a result of the decline in construction revenues.
The company received a new concession from the Cayman Islands government that granted its Grand Cayman water utility continued exclusive rights to produce and supply potable water within the service area. The existing operating license remains in effect until the new one is received.
Total general and administrative expenses increased nearly 17.4% to $7.7 million.
Financial Highlights
Cash and cash equivalents totaled $107.9 million as of March 31, 2025, compared with $99.4 million as of Dec. 31, 2024. Working capital amounted to $136.2 million as of March 31, 2025.
Total long-term debt was $0.06 million as of March 31, 2025, down from $0.07 million at 2024-end.
Cash flow from operating activities during first-quarter 2025 totaled $11.8 million compared with $5.9 million in the year-ago period.
Post Q1 Developments
On May 13, 2025, Consolidated Water’s subsidiary, Kalaeloa Desalco LLC, received approval from the Honolulu Board of Water Supply for its $204 million multi-year project that began in June 2023. The board determined that the desalinated water produced during the pilot phase closely aligns with the current water supply and would not negatively affect existing distribution infrastructure or customer assets.
This approval will allow the company to construct the project once all other permissions are received.
CWCO’s Zacks Rank
Consolidated Water currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Other Releases
Essential Utilities Inc. (WTRG - Free Report) delivered first-quarter 2025 operating EPS of $1.03, which beat the Zacks Consensus Estimate of 80 cents by 28.8%.
WTRG’s long-term (three to five years) earnings growth rate is 5.18%. The Zacks Consensus Estimate for 2025 earnings is pegged at $2.10 per share, reflecting a year-over-year increase of 6.6%.
American States Water Company (AWR - Free Report) reported first-quarter 2025 operating EPS of 70 cents, which was in line with the Zacks Consensus Estimate.
The company’s long-term earnings growth rate is 5.65%. The Zacks Consensus Estimate for AWR’s 2025 EPS is pegged at $3.28, which indicates a year-over-year improvement of 3.5%.
American Water Works Company (AWK - Free Report) posted first-quarter 2025 operating earnings per share of $1.05, which beat the Zacks Consensus Estimate of $1.04 by nearly 1%.
AWK’s long-term earnings growth rate is 7.4%. The Zacks Consensus Estimate for 2025 EPS implies year-over-year growth of 6.12%.