NASDAQ$CWCO

Consolidated Water Co Ltd · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Consolidated Water's financial performance was impacted by COVID-19, with revenue increasing 4% and a net loss reported due to asset dispositions and impairments.

Consolidated Water Co. Ltd. reported a 4% increase in revenue to $19.1 million for Q2 2020. However, the company experienced a net loss attributable to Consolidated Water stockholders of $1.1 million, or $(0.07) per basic and fully diluted share, compared to a net income of $2.5 million, or $0.16 per share, in the year-ago quarter. The decrease was due to a $3.0 million loss on asset dispositions and impairments.

  • Revenue in the second quarter increased 4% to $19.1 million.
  • Net loss attributable to Consolidated Water stockholders for the second quarter of 2020 was $1.1 million or $(0.07) per basic and fully diluted share.
  • Cash and cash equivalents totaled $35.0 million as of June 30, 2020.
  • Services segment revenue was up by more than $3.3 million due to the contribution from PERC Water.

Headline financials

Total Revenue

$19.1M

Previous: $18.3M+4.3%
EPS (adj)

$0.08

Previous: $0.16-50.0%
Capital Expenditures

-$711K

Previous: -$1.82M+60.9%
Free Cash Flow

-$1.84M

Previous: $660K-378.6%
Net Income

-$1.13M

Previous: $2.48M-145.5%
Operating Income

-$588K

Previous: $2.96M-119.9%
Gross Profit

$7.3M

Previous: $7.55M-3.3%
Cash & Equivalents

$35M

Previous: $41.9M-16.5%
Total Assets

$181M

Previous: $182M-0.6%

Revenue & EPS history

Consolidated Water · Revenue · Quarterly

$19.1M

Q2 2020+4.3%vs Q2 2019
Beat estimate in 3 of 16 quarters(19%)
ActualEstimate

Revenue by segment

Consolidated Water · $13.2M total across 3 segments · Q2 2020

  • Retail
    $5.97M
  • Manufacturing
    $3.78M
  • Services
    $3.48M+3728.5%

Forward guidance

Consolidated Water is focused on maintaining stable and profitable operations, as well as pursuing growth opportunities, particularly through its PERC Water subsidiary.

Tailwinds

  • Core water production and distribution and manufacturing operations remained stable and profitable.
  • Financial condition and liquidity remain strong.
  • PERC Water performing better than anticipated.
  • PERC was awarded two new contracts and secured four contract renewals.
  • Consolidated Water continues to be well positioned to successfully navigate these uncertain and turbulent times.

Headwinds

  • Reduced production levels due to the impact of the COVID-19 pandemic.
  • Temporary cessation of tourism on Grand Cayman resulting from the closing of all Cayman Islands airports and seaports in March 2020.
  • Lower energy costs in the Bahamas decreased the energy pass-through component of the company’s rates.
  • Decrease in the number of active projects in manufacturing.
  • Loss on asset dispositions and impairments.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

-0.1%

Avg return

Earnings day

+1.4%

Avg return

5 days after

+2.8%

Avg return

30 days after

48%

31 / 65 earnings

Positive

+14.4%

Q2 2023

Best reaction

-21.8%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.2%-12.0%
Q4 2025+0.5%+3.3%+3.8%
Q3 2025+7.7%+3.5%+2.0%
Q1 2025-1.7%-0.6%+8.8%
Q4 2024-6.7%-8.9%-16.7%
Q3 2024+2.6%+4.1%+2.3%
Q2 2024+0.3%+1.3%-3.6%
Q1 2024-6.2%-2.7%-16.1%
Q4 2023-1.6%-10.6%-15.3%
Q3 2023+5.3%+7.9%+11.7%
Q2 2023+14.4%+31.4%+48.5%
Q1 2023+12.4%+9.2%+24.6%
Q4 2022+6.8%+9.0%+9.9%
Q3 2022-21.8%-10.1%-11.0%
Q2 2022-1.3%+5.2%+19.7%
Q1 2022+6.5%+8.9%+35.2%
Q4 2021+5.8%+14.0%+4.2%
Q3 2021-0.4%+1.7%-6.2%
Q2 2021-6.9%-5.7%-5.0%
Q1 2021-0.2%+6.8%+6.4%
Q4 2020-1.6%-3.7%-12.7%
Q3 2020-2.8%-0.4%+7.0%
Q2 2020+0.0%-0.9%-11.9%
Q1 2020+9.1%+5.4%+10.1%
Q4 2019+4.9%-6.9%-8.9%
Q3 2019-6.1%-7.0%-3.5%
Q2 2019+2.4%+5.9%+5.4%
Q1 2019+1.2%+4.6%+4.9%
Q4 2018-3.1%-4.2%-5.6%
Q3 2018+5.6%+10.9%+8.2%
Q2 2018+3.4%+3.0%+4.9%
Q1 2018+4.9%-1.1%-4.2%
Q4 2017-0.7%+1.7%-0.7%
Q3 2017-0.9%+3.9%+14.8%
Q2 2017-3.5%-2.3%-6.6%
Q1 2017+2.6%+1.3%+8.2%
Q4 2016-0.5%-0.5%+5.6%
Q3 2016-8.2%-6.1%-2.6%
Q2 2016-2.5%-5.4%-8.0%
Q1 2016-1.7%
Q4 2015+2.5%
Q3 2015-1.9%
Q2 2015-1.2%
Q1 2015+6.2%
Q4 2014-9.5%
Q3 2014+0.7%
Q2 2014+3.8%
Q1 2014-7.3%
Q4 2013+1.1%
Q3 2013-18.9%
Q2 2013+3.1%
Q1 2013+1.6%
Q4 2012-0.3%
Q3 2012-4.1%
Q4 2011+0.2%
Q2 2012+0.2%
Q1 2011-1.3%
Q1 2012-0.6%
Q4 2009-1.2%
Q3 2011-9.0%
Q3 2010-9.0%
Q4 2010+4.2%
Q2 2010+4.2%
Q2 2011+4.2%
Q1 2010+11.0%

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