Time New York: Fri 15 Dec 05:26 am  |  Save 15% on H&R Block Online

  
caticonslite_bm_alt

Consolidated Water (CWCO) Misses Q2 Earnings and Revenues

Zacks

Consolidated Water Co. Ltd. CWCO reported second-quarter 2017 earnings of 11 cents per share, lagging the Zacks Consensus Estimate of 16 cents by 31.2%.

Total Revenue

In the quarter under review, Consolidated Water’s total revenue was $15.3 million, lagging the Zacks Consensus Estimate of $16.0 million by 4.4%. Reported revenues were also marginally lower than the year-ago figure of $15.4 million.

The year-over-year decline in revenues was primarily due to lower contribution from retail, services and manufacturing segments, which was marginally offset by higher revenues from the bulk segment.

Consolidated Water Co. Ltd. Price, Consensus and EPS Surprise

Consolidated Water Co. Ltd. Price, Consensus and EPS Surprise | Consolidated Water Co. Ltd. Quote


Segment Details

Retail Water Operations revenues in the second quarter were down 3.9% year over year to $6.03 million.

Bulk Water Operations revenues were up 8.1% year over year to $8.04 million.

Manufacturing revenues were $1.05 million, down 16.2% year over year.

Services Operations revenues of $0.23 million were down from the year-ago figure of $0.40 million.

Highlights of the Release

In the second quarter, total cost of revenues increased 1.0% year over year to $8.76 million, mainly due to higher cost of revenues from Retail and Bulk Water Operations, partially offset by lower cost of Services revenues and Manufacturing revenues.

Consolidated Water’s gross profit in the second quarter was $6.49 million, down 3.1% from the prior-year quarter.

Moreover, the company incurred general and administrative expenses of $4.96 million, up 1.4% year over year.

Financial Update

As of Jun 30, 2017, Consolidated Water’s cash and cash equivalents were $45.9 million, up from $39.3 million as of Dec 31, 2016.

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.

Performance of the Peers

Among the other companies in the same industry, American States Water Company AWR and Connecticut Water Service Inc.’s CTWS second-quarter earnings surpassed the Zacks Consensus Estimate while Aqua America Inc.’s WTR earnings were on par.

One Simple Trading Idea

Since 1988, the Zacks system has more than doubled the S&P 500 with an average gain of +25% per year. With compounding, rebalancing, and exclusive of fees, it can turn thousands into millions of dollars.

This proven stock-picking system is grounded on a single big idea that can be fortune shaping and life changing. You can apply it to your portfolio starting today.

Learn more >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

To read this article on Zacks.com click here.

Zacks Investment Research
<-- You can share this post with your network,
or give us your opinion and leave a comment.
Be sure to check our RSS feeds for updates.