The company reported a decline of 1% in its total revenue of $132.1 million in FY 25.
- The weakness in revenue was led by the Services segment, which declined 9% due to weakness in construction revenue.
- The company’s net income from continuing operations attributable to company stockholders totaled $1.16 per diluted share, compared to $1.12 per diluted share in 2024.
- Retail revenue jumped year over year, driven by an 8.3% increase in water volume sold, to a record 1.09 billion gallons.
Consolidated Water (CWCO) stock fell 16% during extended hours of trading on Monday after its fourth-quarter (Q4) results disappointed investors.
The company reported a 1% decline in total revenue to $132.1 million in FY 2025, well short of analysts’ estimates of $137.9 million, as per data from Fiscal.ai. The weakness in revenue was led by the Services segment, which declined 9% to $46.3 million, primarily due to weakness in construction revenue.
“Our retail, bulk and manufacturing revenues and operating incomes in 2025 were consistent with our expectations,” commented Consolidated Water CEO, Rick McTaggart.
“However, our services revenue from continuing operations did not meet our expectations due to a permitting delay related to our 1.7 million gallon per day seawater desalination plant project in Kalaeloa, Hawaii. We believe that this type of delay is common for the complex, multi-agency permitting process required for a project of this scale and is not due to any failures on the part of Consolidated Water,” McTaggart added.
Q4 Snapshot
The company’s net income from continuing operations totaled $18.6 million, or $1.16 per diluted share, compared to $17.9 million, or $1.12 per diluted share, in 2024.
Retail revenue jumped year over year to a record 1.09 billion gallons, driven by an 8.3% increase in water volume sold. This increase resulted from significantly lower rainfall on Grand Cayman and a 6.6% increase in the number of customer accounts in the company’s license area, the company said.
“The continued strength of the Cayman Islands economy and historically low rainfall in our exclusive utility service area on Grand Cayman resulted in our retail segment revenue increasing about 6% compared to the previous year,” McTaggart further said.
Retail Reaction
Retail sentiment around CWCO stock trended in ‘bullish’ territory amid ‘extremely high’ message volume.
Shares in the company have fallen 14% year to date.
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