Core Viewpoint - Consolidated Water Co. Ltd. has shown positive performance in its recent earnings report, with significant growth in earnings and revenues, leading to an optimistic outlook for the stock moving forward [2][3][10]. Financial Performance - The company reported Q2 2025 earnings per share (EPS) of 32 cents, exceeding the Zacks Consensus Estimate of 20 cents by 60% and improving 23.1% from the previous year's EPS of 26 cents [3]. - Total revenues for Q2 2025 reached $33.6 million, surpassing the Zacks Consensus Estimate of $33 million by 2.76%, and reflecting a year-over-year increase of 6.3% [4]. Segment Performance - Retail revenues increased by 6% to $8.6 million, driven by higher sales volumes, while bulk revenues decreased by 2% to $8.3 million [5]. - Manufacturing revenues saw a significant decline of 33% to $5.2 million, and services revenues fell by 4% to $11.4 million due to decreases in construction and consulting revenues [5]. Operational Highlights - Retail water sales from the Grand Cayman utility rose by 7%, attributed to reduced rainfall, population growth, and increased business activity [6]. - Gross profit for Q2 2025 was $12.83 million, up from $11.6 million in Q2 2024, while general and administrative expenses increased by nearly 14.7% to $7.6 million [6]. Financial Position - As of June 30, 2025, cash and cash equivalents totaled $112.3 million, up from $99.4 million at the end of 2024, with working capital at $137.4 million [7]. - Total long-term debt decreased to $0.05 million from $0.07 million at the end of 2024, and cash flow from operating activities for the first half of 2025 was $10.4 million, compared to $11.2 million in the previous year [7]. Market Sentiment - Recent estimates for the company have trended upward, with a consensus estimate shift of 26.79% [8]. - Consolidated Water holds a Zacks Rank 2 (Buy), indicating expectations for above-average returns in the coming months [10]. Investment Scores - The company has a Growth Score of B and a Momentum Score of B, but a lower Value Score of D, placing it in the bottom 40% for value investment strategy [9]. - The aggregate VGM Score for the stock is B, which is relevant for investors not focused on a single strategy [9].

Core Points - Consolidated Water Co. Ltd. announced a quarterly cash dividend of $0.14 per share for Q4 2025, payable on October 31, 2025, to shareholders of record as of October 1, 2025 [1] Company Overview - Consolidated Water Co. Ltd. specializes in the development and operation of advanced water supply and treatment plants, including seawater desalination facilities in the Cayman Islands, The Bahamas, and the British Virgin Islands [2] - The company is currently engaged in a $204 million design-build-operate project for a seawater desalination plant in Hawaii [2] - In addition to water supply and treatment, the company manufactures and services a variety of products and provides design, engineering, management, and operational services for commercial and municipal water production, supply, and treatment, as well as industrial water and wastewater treatment [3]

Industry Overview - The Zacks Utility - Water Supply industry includes companies providing drinking water and wastewater services to various customers, including military bases [1] - Water utilities are essential for maintaining healthy living conditions by ensuring a constant supply of clean potable water and reliable sewer services [2] Investment Requirements - Water utility operators manage nearly 2.2 million miles of aging pipelines and require significant investments for maintenance and expansion, estimated at $1.25 trillion over the next 20 years [3] - The need for massive investments presents growth opportunities for operators in the water supply sector [3][4] Company Comparisons - Consolidated Water (CWCO) has a market capitalization of $534.5 million, while Global Water Resources (GWRS) has a market cap of $275.56 million [5] - CWCO's 2025 earnings estimate is $1.05 per share on revenues of $133.09 million, indicating a year-over-year decrease of 6.3% in earnings and 0.7% in revenues. GWRS's 2025 earnings estimate is 22 cents per share on revenues of $55.85 million, reflecting a 15.4% decline in earnings but a 6% growth in revenues [6] Financial Metrics - CWCO has a debt-to-capital ratio of 0.06%, significantly lower than GWRS's 61.14%, while the industry average is 50.04% [7] - The current ratio for CWCO is 5.24, indicating strong financial flexibility, compared to GWRS's 1.09 and the industry average of 0.9 [8] Dividend Yield - CWCO's dividend yield is 1.67%, while GWRS offers a higher yield of 3.03%, both exceeding the Zacks S&P 500 Composite average of 1.15% [11] Earnings Surprise History - CWCO has delivered an average earnings surprise of 40.1% over the last four quarters, whereas GWRS has experienced a negative earnings surprise of 6.1% [12] Stock Performance - In the past six months, CWCO shares have increased by 21.9%, while GWRS shares have decreased by 13%. The industry overall has risen by 11.5% during the same period [10][13] Conclusion - Both CWCO and GWRS are viable options for investment, focusing on water and wastewater services with potential for expansion. However, CWCO is favored due to its superior debt management, liquidity, and stock performance compared to GWRS [15]

Group 1 - Consolidated Water (CWCO) is a notable stock within the Utilities sector, currently outperforming the sector average in year-to-date returns [1][4] - The Utilities group ranks 4 in the Zacks Sector Rank, which evaluates 16 different sector groups [2] - CWCO has a Zacks Rank of 2 (Buy), indicating a favorable outlook based on earnings estimate revisions [3] Group 2 - Over the past 90 days, the Zacks Consensus Estimate for CWCO's full-year earnings has increased by 16.2%, reflecting improved analyst sentiment [4] - CWCO has returned approximately 25.5% since the beginning of the calendar year, compared to an average gain of 14.1% for the Utilities sector [4] - Consolidated Water is part of the Utility - Water Supply industry, which ranks 46 in the Zacks Industry Rank, with an average gain of 18% this year [6] Group 3 - National Grid (NGG) is another Utilities stock that has outperformed the sector, with a year-to-date increase of 21.3% [5] - National Grid's consensus EPS estimate has risen by 6.3% over the past three months, and it also holds a Zacks Rank of 2 (Buy) [5] - The Utility - Electric Power industry, to which National Grid belongs, is ranked 84 and has gained 13.7% this year [6]

Core Viewpoint - The article discusses the reliability of brokerage recommendations, particularly focusing on Consolidated Water (CWCO), and emphasizes the importance of validating these recommendations with other indicators like the Zacks Rank [1][5][10]. Brokerage Recommendations - Consolidated Water has an average brokerage recommendation (ABR) of 1.67, indicating a consensus between Strong Buy and Buy, with 66.7% of the recommendations being Strong Buy from three brokerage firms [2][5]. - Despite the positive ABR, reliance solely on brokerage recommendations for investment decisions is cautioned against, as studies show limited success in guiding investors to stocks with the best price increase potential [5][10]. Analyst Bias - Analysts from brokerage firms tend to exhibit a strong positive bias in their ratings due to vested interests, issuing five "Strong Buy" recommendations for every "Strong Sell" [6][10]. - This misalignment of interests can misguide investors, making it essential to use brokerage recommendations as a validation tool rather than a primary decision-making factor [7][10]. Zacks Rank - The Zacks Rank, which classifies stocks from 1 (Strong Buy) to 5 (Strong Sell), is presented as a more reliable indicator of near-term price performance compared to ABR, as it is based on earnings estimate revisions [8][9]. - The Zacks Rank is timely and reflects changes in earnings estimates quickly, unlike the ABR, which may not always be up-to-date [13]. Earnings Estimates for CWCO - The Zacks Consensus Estimate for Consolidated Water has increased by 16.6% over the past month to $1.05, indicating growing optimism among analysts regarding the company's earnings prospects [14]. - This increase in consensus estimates, along with other factors, has resulted in a Zacks Rank of 2 (Buy) for Consolidated Water, suggesting a positive outlook for the stock [15].

Group 1: Momentum Investing Overview - Momentum investing involves following a stock's recent trend, with the aim of buying high and selling even higher [1] - The Zacks Momentum Style Score helps investors identify stocks with strong momentum by focusing on price changes and earnings estimate revisions [2][3] Group 2: Consolidated Water (CWCO) Performance - Consolidated Water currently holds a Momentum Style Score of A and a Zacks Rank of 2 (Buy) [4][12] - CWCO shares have increased by 3.02% over the past week, outperforming the Zacks Utility - Water Supply industry, which rose by 1.61% [6] - Over the past month, CWCO's price change is 11.74%, significantly higher than the industry's 0.47% [6] - In the last three months, CWCO shares have risen by 23.56%, and by 21.76% over the past year, compared to the S&P 500's increases of 10.12% and 19.99%, respectively [7] Group 3: Trading Volume and Earnings Outlook - CWCO's average 20-day trading volume is 112,263 shares, indicating a bullish sign when combined with rising stock prices [8] - In the past two months, two earnings estimates for CWCO have increased, raising the consensus estimate from $0.90 to $1.05 [10] - For the next fiscal year, one estimate has moved upwards with no downward revisions, indicating positive earnings outlook [10]

When it comes to short-term investing or trading, they say "the trend is your friend." And there's no denying that this is the most profitable strategy. But making sure of the sustainability of a trend to profit from it is easier said than done.Often, the direction of a stock's price movement reverses quickly after taking a position in it, making investors incur a short-term capital loss. So, it's important to ensure that there are enough factors -- such as sound fundamentals, positive earnings estimate rev ...

Key Takeaways CWCO Q2 EPS rose to 32 cents, beating estimates by 60% and up 23.1% year over year.Revenues climbed 6.3% to $33.6M, led by gains in Retail and Manufacturing segments.Grand Cayman retail sales rose 7% on lower rainfall, population growth and higher activity.Consolidated Water Co. Ltd. (CWCO) delivered second-quarter 2025 earnings per share (EPS) of 32 cents, which beat the Zacks Consensus Estimate of 20 cents by 60%.The bottom line also improved 23.1% compared with the year-ago period’s earning ...

Financial Data and Key Metrics Changes - Total revenues increased by 3% to $33.6 million compared to the same quarter last year [7] - Fully diluted earnings per share from continuing operations increased by 23% [3] - Net income from continuing operations attributable to stockholders was $5.2 million or $0.32 per diluted share, compared to $4.2 million or $0.26 per diluted share in the previous year [10] - Gross profit increased to $12.8 million, representing 38% of total revenue, up from 36% in the previous year [10] Business Line Data and Key Metrics Changes - Retail segment revenue increased by 633%, driven by higher water sales due to reduced rainfall [3] - Manufacturing segment revenue rose by 33% to $5.2 million due to increased production and higher margin products [9] - Bulk water segment revenue slightly declined to $8.3 million due to lower fuel pass-through charges, but profitability improved due to better plant efficiencies [4] - Services segment revenue decreased by $474,000, primarily due to the completion of the pilot plant testing phase of the Hawaii project [8] Market Data and Key Metrics Changes - Retail water sales in Grand Cayman increased due to lower rainfall [3] - The Caribbean-based bulk water segment faced slight revenue decline but improved profitability [4] - The services segment saw a decrease in revenue due to the completion of pilot testing in Hawaii, offset by higher recurring maintenance contracts in California and Colorado [5] Company Strategy and Development Direction - The company plans to construct additional water storage and production facilities in Grand Cayman to meet growing demand [13] - Investments in new desalination plants in The Bahamas are expected to support future revenue growth [14] - The manufacturing business is diversifying and stabilizing, with a focus on higher-margin projects and opportunities in the nuclear power sector [15][31] - The company is exploring public-private partnership projects in the U.S. to address water shortages [60] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the growth in the Caribbean and U.S. markets, particularly in wastewater treatment [22][25] - The company is addressing permitting issues for the Hawaii project and expects to begin construction early next year [6][54] - There is a positive outlook for cash generation and potential M&A opportunities to enhance shareholder value [59][60] Other Important Information - The company declared a quarterly cash dividend of $0.14 per share, a 27% increase from the previous dividend [12] - Cash and cash equivalents grew to approximately $112.2 million as of June 30 [11] Q&A Session Summary Question: Market opportunities in the Caribbean and U.S. - Management noted continued interest in wastewater projects in the U.S. and highlighted growth opportunities in the Phoenix area [22][25] Question: Pipeline development in Colorado - The company sees potential for more projects in Colorado following a recent design win [24] Question: Opportunities in The Bahamas - Management confirmed ongoing projects in The Bahamas and expressed excitement about future water supply needs [27] Question: Manufacturing expansion impact - The expansion of the manufacturing facility is expected to increase capacity and allow for larger projects [28][30] Question: Nuclear business opportunities - The nuclear sector remains a focus, with domestic clients and potential for international work through partnerships [35][36] Question: Future CapEx needs - Most capital expenditures will be directed towards growth in the Cayman utility and ongoing projects like Cat Island [41] Question: Payment issues in The Bahamas - Management reported progress in receiving payments from the Bahamian government [43][56] Question: Cash generation and M&A plans - The company is actively looking at M&A targets and exploring opportunities for public-private partnerships [59][60]

Executive Summary [Second Quarter 2025 Overview](index=1&type=section&id=Second%20Quarter%202025%20Overview) Consolidated Water Co. Ltd. reported a 3% increase in total revenue to $33.6 million for Q2 2025, with net income from continuing operations attributable to stockholders rising 23% to $5.2 million, or $0.32 per diluted share | Metric | Q2 2025 ($) | Q2 2024 ($) | Change (%) | | :------------------------------------------------ | :---------- | :---------- | :--------- | | Total Revenue | $33.6 million | $32.5 million | 3% | | Net Income (Continuing Ops) Attributable to Stockholders | $5.2 million | $4.2 million | 23.8% | | Diluted EPS (Continuing Ops) | $0.32 | $0.26 | 23.1% | | Net Income (Including Discontinued Ops) Attributable to Stockholders | $5.1 million | $15.9 million | -67.9% | | Diluted EPS (Including Discontinued Ops) | $0.32 | $0.99 | -67.7% | - Cash and cash equivalents increased to **$112.2 million** and working capital increased to **$137.4 million** as of June 30, 2025[5](index=5&type=chunk) - Retail water sold in Grand Cayman increased **7%** due to less rainfall, population growth, and increased business activity[5](index=5&type=chunk) - The company's client approved pilot test reports and recommendations for the **$204 million** Hawaii desalination project, a significant milestone paving the way for construction[5](index=5&type=chunk)[6](index=6&type=chunk) [Management Commentary](index=2&type=section&id=Management%20Commentary) CEO Rick McTaggart highlighted strong performance across all four business segments, particularly retail (6% revenue growth) and manufacturing (33% revenue growth), noting the diversified business model's effectiveness and the Hawaii desalination plant project's continued advancement - Retail segment revenue grew **6%** and manufacturing segment revenue grew **33%** year-over-year[7](index=7&type=chunk) - Services segment O&M revenue increased **17%**, partially offsetting decreases in construction and design/consulting revenue[7](index=7&type=chunk) - Bulk profitability increased in dollar terms and gross profit percentage despite a slight revenue decrease due to lower fuel passthrough charges[7](index=7&type=chunk) - Manufacturing segment's gross margin improved by **six percentage points**, partly driven by water purification equipment for the nuclear power industry, where the company holds NQA-1 certification[9](index=9&type=chunk) - The Hawaii desalination plant project achieved a critical milestone with client approval of pilot test reports and recommendations, with construction expected to commence early next year pending permits[10](index=10&type=chunk) Second Quarter 2025 Financial Results [Consolidated Performance](index=2&type=section&id=Consolidated%20Performance_Q2) Consolidated revenue for Q2 2025 increased 3% to $33.6 million, driven by growth in retail and manufacturing segments, partially offset by declines in bulk and services, with gross profit improving to $12.8 million (38.2% of revenue) | Metric | Q2 2025 ($) | Q2 2024 ($) | Change ($) | Change (%) | | :-------------------------------- | :---------- | :---------- | :--------- | :--------- | | Total Revenue | $33.6 million | $32.5 million | $1.1 million | 3% | | Gross Profit | $12.8 million | $11.6 million | $1.2 million | 10.3% | | Gross Profit Margin | 38.2% | 35.8% | 2.4 pp | - | | Net Income (Continuing Ops) Attributable to Stockholders | $5.2 million | $4.2 million | $1.0 million | 23.8% | | Diluted EPS (Continuing Ops) | $0.32 | $0.26 | $0.06 | 23.1% | - Net income including discontinued operations decreased significantly from **$15.9 million** in Q2 2024 to **$5.1 million** in Q2 2025, primarily due to a **$12.1 million** gain on sale of a discontinued project in Mexico recognized in the prior year[18](index=18&type=chunk) - The company increased its quarterly cash dividend to **$0.14 per share** for Q3 2025, a **27.3%** increase from the Q2 2025 dividend of **$0.11 per share**[12](index=12&type=chunk) [Segment Performance](index=4&type=section&id=Segment%20Performance_Q2) Segment-wise, retail revenue increased 6% due to higher volumes, and manufacturing revenue surged 33%, while services revenue decreased 4% primarily from lower construction and design/consulting revenue, though O&M revenue grew 17% | Segment | Q2 2025 Revenue ($) | Q2 2024 Revenue ($) | Change ($) | Change (%) | | :---------------- | :-------------- | :-------------- | :--------- | :--------- | | Retail | $8,638,026 | $8,181,884 | $456,142 | 5.6% | | Bulk | $8,274,816 | $8,447,958 | -$173,142 | -2.0% | | Services | $11,448,202 | $11,922,469 | -$474,267 | -4.0% | | Manufacturing | $5,230,035 | $3,926,847 | $1,303,188 | 33.2% | - Retail revenue increase was driven by a **7%** increase in water sold volume[5](index=5&type=chunk)[13](index=13&type=chunk) - Services segment construction revenue decreased from **$4.0 million** in Q2 2024 to **$2.8 million** in Q2 2025, mainly due to the completion of the pilot plant testing phase for the Hawaii project[5](index=5&type=chunk)[14](index=14&type=chunk)[34](index=34&type=chunk) - Operations and maintenance (O&M) revenue within the services segment increased **17%** to **$8.3 million**[5](index=5&type=chunk)[15](index=15&type=chunk)[34](index=34&type=chunk) [Gross Profit and Net Income](index=4&type=section&id=Gross%20Profit%20and%20Net%20Income_Q2) Gross profit for Q2 2025 increased to $12.8 million (38.2% of total revenue) from $11.6 million (35.8%) in Q2 2024, primarily due to higher retail and manufacturing revenues and decreased bulk segment cost of revenue, with net income from continuing operations attributable to stockholders rising to $5.2 million, or $0.32 per diluted share | Metric | Q2 2025 ($) | Q2 2024 ($) | Change ($) | Change (%) | | :------------------------------------------------ | :---------- | :---------- | :--------- | :--------- | | Gross Profit | $12,831,985 | $11,620,214 | $1,211,771 | 10.4% | | Gross Profit Margin | 38.2% | 35.8% | 2.4 pp | - | | Net Income (Continuing Ops) Attributable to Stockholders | $5,178,761 | $4,242,411 | $936,350 | 22.1% | | Diluted EPS (Continuing Ops) | $0.32 | $0.26 | $0.06 | 23.1% | - The increase in gross profit was partially offset by a decrease in gross profit for the services segment[16](index=16&type=chunk) - Net income including discontinued operations decreased significantly due to a **$12.1 million** gain on sale of a discontinued project in Mexico recognized in Q2 2024[18](index=18&type=chunk) First Half 2025 Financial Results [Consolidated Performance](index=4&type=section&id=Consolidated%20Performance_H1) For the first half of 2025, total revenue decreased 7% to $67.3 million, primarily due to a significant decline in the services segment, with gross profit slightly decreasing to $25.1 million (37.3% of revenue) from $25.5 million (35.3%) in H1 2024 | Metric | H1 2025 ($) | H1 2024 ($) | Change ($) | Change (%) | | :------------------------------------------------ | :---------- | :---------- | :--------- | :--------- | | Total Revenue | $67.3 million | $72.2 million | -$4.9 million | -6.8% | | Gross Profit | $25.1 million | $25.5 million | -$0.4 million | -1.6% | | Gross Profit Margin | 37.3% | 35.3% | 2.0 pp | - | | Net Income (Continuing Ops) Attributable to Stockholders | $10.1 million | $11.2 million | -$1.1 million | -9.8% | | Diluted EPS (Continuing Ops) | $0.63 | $0.70 | -$0.07 | -10.0% | - Net income including discontinued operations decreased from **$22.3 million** in H1 2024 to **$9.9 million** in H1 2025, primarily due to a **$12.1 million** gain on sale of a discontinued project in Mexico recognized in the prior year[27](index=27&type=chunk) [Segment Performance](index=6&type=section&id=Segment%20Performance_H1) First half segment performance showed retail revenue increasing 7% and manufacturing revenue growing 20%, while services revenue significantly decreased by 26.7% due to the completion of two construction projects in H1 2024 and a decline in Hawaii project construction revenue | Segment | H1 2025 Revenue ($) | H1 2024 Revenue ($) | Change ($) | Change (%) | | :---------------- | :-------------- | :-------------- | :--------- | :--------- | | Retail | $18,049,368 | $16,806,822 | $1,242,546 | 7.4% | | Bulk | $16,686,532 | $16,790,052 | -$103,520 | -0.6% | | Services | $21,526,470 | $29,340,080 | -$7,813,610 | -26.6% | | Manufacturing | $11,044,094 | $9,231,594 | $1,812,500 | 19.6% | - Retail revenue increased due to a **10%** increase in the volume of water sold[21](index=21&type=chunk) - Services segment construction revenue decreased from **$13.4 million** in H1 2024 to **$5.0 million** in H1 2025, primarily due to the completion of two projects in H1 2024 and a **$2.1 million** decline in Hawaii contract revenue[23](index=23&type=chunk)[34](index=34&type=chunk) - Operations and maintenance (O&M) revenue within the services segment increased **13%** to **$16.0 million**[24](index=24&type=chunk)[34](index=34&type=chunk) [Gross Profit and Net Income](index=6&type=section&id=Gross%20Profit%20and%20Net%20Income_H1) Gross profit for the first half of 2025 was $25.1 million (37.3% of total revenue), a slight decrease from $25.5 million (35.3%) in H1 2024, mainly due to a $2.8 million decline in services segment gross profit, partially offset by increases in retail, bulk, and manufacturing segments | Metric | H1 2025 ($) | H1 2024 ($) | Change ($) | Change (%) | | :------------------------------------------------ | :---------- | :---------- | :--------- | :--------- | | Gross Profit | $25,138,272 | $25,498,237 | -$359,965 | -1.4% | | Gross Profit Margin | 37.3% | 35.3% | 2.0 pp | - | | Net Income (Continuing Ops) Attributable to Stockholders | $10,102,871 | $11,183,825 | -$1,080,954 | -9.7% | | Diluted EPS (Continuing Ops) | $0.63 | $0.70 | -$0.07 | -10.0% | - The decrease in gross profit was primarily due to a **$2.8 million** decrease in services segment gross profit, resulting from lower construction revenue[25](index=25&type=chunk) - Net income including discontinued operations was significantly impacted by a **$12.1 million** gain on sale of a discontinued project in Mexico in the prior year[27](index=27&type=chunk) Financial Position and Supplemental Data [Balance Sheet Highlights](index=4&type=section&id=Balance%20Sheet%20Highlights) As of June 30, 2025, Consolidated Water reported a strong financial position with cash and cash equivalents increasing to $112.2 million and working capital at $137.4 million, while total assets grew to $257.5 million and total liabilities increased to $35.3 million, resulting in stockholders' equity of $216.6 million | Metric | June 30, 2025 ($) | December 31, 2024 ($) | Change ($) | Change (%) | | :-------------------------------- | :-------------- | :---------------- | :--------- | :--------- | | Cash and Cash Equivalents | $112,246,599 | $99,350,121 | $12,896,478 | 13.0% | | Working Capital | $137,417,539 | $132,849,656 | $4,567,883 | 3.4% | | Total Assets | $257,503,568 | $243,313,181 | $14,190,387 | 5.8% | | Total Liabilities | $35,296,128 | $28,003,534 | $7,292,594 | 26.0% | | Total Stockholders' Equity | $216,563,683 | $209,960,695 | $6,602,988 | 3.1% | [Revenue Disaggregation by Source](index=10&type=section&id=Revenue%20Disaggregation) The company's revenue is disaggregated into Retail, Bulk, Services, and Manufacturing segments, with Services remaining the largest segment by revenue for Q2 2025, and Manufacturing showing the highest growth rate, while H1 2025 Services revenue saw a significant decline | Revenue Source | Q2 2025 ($) | Q2 2024 ($) | H1 2025 ($) | H1 2024 ($) | | :--------------- | :---------- | :---------- | :---------- | :---------- | | Retail revenue | $8,638,026 | $8,181,884 | $18,049,368 | $16,806,822 | | Bulk revenue | $8,274,816 | $8,447,958 | $16,686,532 | $16,790,052 | | Services revenue | $11,448,202 | $11,922,469 | $21,526,470 | $29,340,080 | | Manufacturing revenue | $5,230,035 | $3,926,847 | $11,044,094 | $9,231,594 | | Total revenue | $33,591,079 | $32,479,158 | $67,306,464 | $72,168,548 | [Services Revenue Details](index=11&type=section&id=Services%20Revenue%20Details) Services revenue is further broken down into Construction, Operations and Maintenance (O&M), and Design and Consulting, with Q2 2025 O&M revenue increasing significantly, partially offsetting declines in construction and design/consulting revenue, and H1 2025 construction revenue seeing a substantial decrease | Services Revenue Component | Q2 2025 ($) | Q2 2024 ($) | H1 2025 ($) | H1 2024 ($) | | :------------------------- | :---------- | :---------- | :---------- | :---------- | | Construction revenue | $2,825,935 | $4,004,072 | $5,044,167 | $13,381,536 | | Operations and maintenance revenue | $8,255,408 | $7,068,922 | $15,980,704 | $14,168,275 | | Design and consulting revenue | $366,859 | $849,475 | $501,599 | $1,790,269 | | Total services revenue | $11,448,202 | $11,922,469 | $21,526,470 | $29,340,080 | [Condensed Consolidated Financial Statements](index=13&type=section&id=Condensed%20Consolidated%20Financial%20Statements) This section provides the full condensed consolidated balance sheets as of June 30, 2025, and December 31, 2024, and the condensed consolidated statements of income for the three and six months ended June 30, 2025, and 2024, offering a comprehensive view of the company's financial health and performance [Condensed Consolidated Balance Sheets](index=13&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) | ASSETS | June 30, 2025 ($) | December 31, 2024 ($) | | :----------------------------------- | :-------------- | :---------------- | | Cash and cash equivalents | $112,246,599 | $99,350,121 | | Total current assets | $169,834,888 | $157,788,165 | | Property, plant and equipment, net | $53,746,797 | $52,432,282 | | Total assets | $257,503,568 | $243,313,181 | | LIABILITIES AND EQUITY | | | | Total current liabilities | $32,417,349 | $24,938,509 | | Total liabilities | $35,296,128 | $28,003,534 | | Total Consolidated Water Co. Ltd. stockholders' equity | $216,563,683 | $209,960,695 | | Total equity | $222,207,440 | $215,309,647 | | Total liabilities and equity | $257,503,568 | $243,313,181 | [Condensed Consolidated Statements of Income](index=14&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) | Metric | Q2 2025 ($) | Q2 2024 ($) | H1 2025 ($) | H1 2024 ($) | | :------------------------------------------------ | :---------- | :---------- | :---------- | :---------- | | Revenue | $33,591,079 | $32,479,158 | $67,306,464 | $72,168,548 | | Gross profit | $12,831,985 | $11,620,214 | $25,138,272 | $25,498,237 | | Income from operations | $5,283,764 | $5,010,790 | $9,894,527 | $12,324,784 | | Net income from continuing operations attributable to Consolidated Water Co. Ltd. stockholders | $5,178,761 | $4,242,411 | $10,102,871 | $11,183,825 | | Net income (loss) from discontinued operations | -$82,556 | $11,607,846 | -$215,637 | $11,140,780 | | Net income attributable to Consolidated Water Co. Ltd. stockholders | $5,096,205 | $15,850,257 | $9,887,234 | $22,324,605 | | Diluted earnings per share (Continuing operations) | $0.32 | $0.26 | $0.63 | $0.70 | | Diluted earnings per share (Total) | $0.32 | $0.99 | $0.62 | $1.40 | | Dividends declared per common and redeemable preferred shares | $0.14 | $0.095 | $0.25 | $0.19 | Corporate Information and Disclosures [About Consolidated Water Co. Ltd.](index=11&type=section&id=About%20Consolidated%20Water%20Co.%20Ltd.) Consolidated Water Co. Ltd. specializes in developing and operating advanced water supply and treatment plants and distribution systems, including seawater desalination facilities in the Cayman Islands, The Bahamas, and the British Virgin Islands, and water treatment/reuse facilities in the U.S., such as a $204 million project in Hawaii - The company develops and operates advanced water supply and treatment plants and water distribution systems[36](index=36&type=chunk) - Operations include seawater desalination in the Cayman Islands, The Bahamas, and the British Virgin Islands, and water treatment/reuse facilities in the United States[36](index=36&type=chunk) - Currently undertaking a **$204 million** design-build-operate project for a seawater desalination plant in Hawaii[36](index=36&type=chunk) - Manufactures and services a range of products and provides design, engineering, management, operating, and other services for commercial and municipal water production, supply, treatment, and industrial water/wastewater treatment[37](index=37&type=chunk) [Conference Call Information](index=11&type=section&id=Conference%20Call%20Information) Consolidated Water management will host a conference call on Tuesday, August 12, 2025, at 11:00 a.m. Eastern time to discuss the Q2 2025 results, with dial-in and replay information provided for interested parties - Conference call scheduled for Tuesday, August 12, 2025, at **11:00 a.m. Eastern time**[35](index=35&type=chunk) - Toll-free dial-in: **1-844-875-6913**, International dial-in: **1-412-317-6709**, Conference ID: **9065693**[35](index=35&type=chunk) - A replay will be available from **1:00 p.m. Eastern time** on the same day through August 19, 2025, via phone (Toll-free: **1-877-344-7529**, International: **1-412-317-0088**, Replay ID: **9065693**) and the company website[36](index=36&type=chunk) [Cautionary Note Regarding Forward-Looking Statements](index=12&type=section&id=Cautionary%20Note%20Regarding%20Forward-Looking%20Statements) This section advises that the press release contains forward-looking statements, which inherently involve risks and uncertainties that could cause actual results to differ materially, including factors like market acceptance of products/services, government relationships, and new license agreement negotiations - Statements containing words like "believe", "estimate", "project", "intend", "expect", "should", "will" are forward-looking[39](index=39&type=chunk) - Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially[39](index=39&type=chunk) - Factors include continued acceptance of products/services, changes in government relationships, outcome of Cayman government retail license negotiations, collection of Bahamas accounts receivable, and other economic/operational risks[39](index=39&type=chunk) - More information on risks is available in the company's SEC filings (Form 10-K, 10-Q)[39](index=39&type=chunk) [Contact Information](index=12&type=section&id=Contact%20Information) Contact details are provided for both company inquiries, directed to David W. Sasnett (Executive Vice President and CFO), and investor relations, handled by Ron Both or Grant Stude at Encore Investor Relations - Company Contact: David W. Sasnett, Executive Vice President and CFO, Tel **(954) 509-8200**[40](index=40&type=chunk) - Investor Relations Contact: Ron Both or Grant Stude, Encore Investor Relations, Tel **(949) 432-7557**[40](index=40&type=chunk)