Consolidated Water(US:CWCO)2025-11-10 21:06Financial Performance - Revenue for Q3 2025 was $35,118,706, an increase of 5.2% compared to $33,390,557 in Q3 2024[13] - Gross profit for Q3 2025 reached $12,945,909, up from $11,634,658 in Q3 2024, reflecting a gross margin improvement[13] - Net income from continuing operations attributable to stockholders was $5,569,564 for Q3 2025, compared to $4,957,318 in Q3 2024, representing a 12.3% increase[13] - Total revenue for the nine months ended September 30, 2025, was $102,425,170, a slight increase from $105,559,105 in the same period of 2024[62][63] - Gross profit for the nine months ended September 30, 2025, was $38,084,181, compared to $37,132,895 in 2024, reflecting a growth of approximately 2.56%[62][63] - Net income attributable to Consolidated Water Co. Ltd. stockholders for the nine months ended September 30, 2025, was $15,419,578, down from $26,779,069 in 2024, indicating a decrease of about 42.5%[62][63] - Basic earnings per share for continuing operations was $0.35 in Q3 2025, compared to $0.31 in Q3 2024[13] - Net income from continuing operations for 2025 was $5,569,564, or $0.34 per share on a fully diluted basis, compared to $4,957,318, or $0.31 per share for 2024[132] Assets and Liabilities - Total assets increased to $257,234,652 as of September 30, 2025, up from $243,313,181 at the end of 2024[11] - Total liabilities rose to $31,033,818 as of September 30, 2025, compared to $28,003,534 at the end of 2024[11] - Cash and cash equivalents increased to $123,554,648 as of September 30, 2025, from $99,350,121 at the end of 2024[11] - Total stockholders' equity increased to $226,200,834 as of September 30, 2025, compared to $215,309,647 at the end of 2024[11] - The company reported total segment assets of $257,097,724 as of September 30, 2025, an increase from $243,040,696 as of December 31, 2024[66] Cash Flow and Investments - Net cash provided by operating activities for continuing operations was $36,390,479 for the nine months ended September 30, 2025, compared to $38,689,596 for the same period in 2024, indicating a decline of about 6%[19] - The company reported a net cash used in investing activities of $(6,045,599) for the nine months ended September 30, 2025, compared to a net cash provided of $29,960,751 in 2024[19] - Total cash flows from operating activities, including discontinued operations, were $35,932,833 for the nine months ended September 30, 2025, down from $37,257,555 in 2024[19] - The balance of cash and cash equivalents at the beginning of the period was $99,350,121 for the nine months ended September 30, 2025, compared to $42,621,898 for the same period in 2024[19] Dividends and Shareholder Returns - The company declared dividends of $0.14 per common share in Q3 2025, up from $0.11 in Q3 2024[13] - Dividends paid to common shareholders increased to $5,718,080 in 2025 from $4,519,412 in 2024, representing an increase of approximately 27%[19] - The company paid approximately $2.3 million in dividends in October 2025, with future dividends dependent on earnings and financial condition[177][199] Segment Performance - Retail revenue for the three months ended September 30, 2025, was $7,770,344, compared to $7,585,992 in 2024, reflecting an increase of about 2.4%[35] - Services revenue for the three months ended September 30, 2025, was $14,289,315, up from $12,677,837 in 2024, indicating a growth of approximately 12.7%[35] - Manufacturing revenue for the three months ended September 30, 2025, reached $4,664,433, compared to $4,359,560 in 2024, marking an increase of about 7%[35] - Retail segment revenue increased to $25,819,712 in 2025 from $24,392,814 in 2024, reflecting a 9% increase in the volume of water sold[160] - Services segment revenue decreased to $14,289,315 for 2025 from $12,677,837 for 2024, primarily due to a decline in construction revenue[142] - Manufacturing segment revenue increased to $15,708,527 in 2025 from $13,591,154 for 2024, attributed to increased production activity[169] Operational Efficiency and Cost Management - The company continues to focus on operational efficiency and cost management strategies to enhance profitability moving forward[57] - General and administrative expenses for Q3 2025 totaled $7,218,722, compared to $6,955,969 in Q3 2024, marking an increase of about 3.8%[61][59] - General and administrative expenses increased to $22,522,919 in 2025 from $20,126,292 in 2024, representing an increase of approximately 11.9%[64][63] Discontinued Operations - The company reported a net loss from discontinued operations of $37,220 in Q3 2025, compared to a net loss of $502,854 in Q3 2024, indicating an improvement[57][59] - The company reported a net loss from discontinued operations of $252,857 in 2025, compared to a net income of $10,637,926 in 2024[62][63] - The discontinued operations related to the Mexico project reported a loss of $37,220 for the three months ended September 30, 2025, compared to a loss of $502,854 in the same period of 2024[78] Future Outlook and Strategic Initiatives - The company plans to continue pursuing opportunities in the desalination sector, as evidenced by the ongoing developments related to the Mexico project[69] - Future outlook and strategies for market expansion and new product development were not explicitly mentioned in the provided content, suggesting potential areas for further exploration in upcoming reports[62][63] - The company is currently evaluating the impact of new accounting standards issued by the FASB, including ASU 2024-03 and ASU 2025-01, which may affect future financial reporting[98][99]