Consolidated Water Q2: Manufacturing Slump Drags Net Income Down 23% Despite Growth in Bulk and Services
CWCO is trading near its 52-week low of $28.17 (7.3% above the low).
Summary
Consolidated Water reported Q2 2026 net income of $4.0 million, down 23% year-over-year, as a 49% plunge in manufacturing revenue offset growth in bulk and services. The company highlighted a $10.1 million post-quarter order book and progress on its Hawaii desalination project.
Key Events · Earnings and Guidance · CWCO
-
Q2 Net Income Falls 23%
Net income attributable to stockholders was $4.0 million, or $0.25 per diluted share, compared to $5.2 million, or $0.32 per diluted share, in Q2 2025. Revenue decreased 2% to $32.9 million.
-
Manufacturing Revenue Plunges 49%
Manufacturing segment revenue fell to $2.7 million from $5.2 million a year ago, driven by a decline in new purchase orders. This segment's gross profit dropped by over $1 million.
-
Bulk and Services Segments Provide Offset
Bulk revenue rose 20% to $9.9 million on higher energy pass-through charges and new Cat Island plants. Services revenue edged up 1% to $11.6 million, with construction revenue nearly doubling to $5.3 million.
-
Strong Balance Sheet and Liquidity
Cash and cash equivalents increased to $132.6 million as of June 30, 2026, with working capital of $144.6 million and no significant debt. Stockholders' equity stood at $225.6 million.
Analysis · CWCO · Energy & Transportation
Consolidated Water's Q2 results reveal a stark divergence across its businesses. While retail, bulk, and services segments grew or held steady, a 49% collapse in manufacturing revenue—the company's highest-margin segment—drove a 23% drop in net income to $4.0 million. The manufacturing weakness stems from a sharp decline in new purchase orders, a cyclical headwind that management expects to reverse based on a $10.1 million post-quarter order book and a strong Florida municipal pipeline. The balance sheet remains fortress-like with $132.6 million in cash, providing ample dry powder for the Hawaii desalination project and strategic M&A. The earnings miss is notable but not thesis-altering given the diversified revenue streams and visible catalysts in construction and new plant commissioning.
How filings like this one have moved
In the 30 days to Oct 3, 2026, 28.8% of the 1640 measured filings Wiseek scored 7 moved their stock by 5% or more by the next session's close. The median move was -0.58%. These are measured outcomes after filings of this importance, not a forecast for this one.
Measured one observation per ticker per day, after exclusions. Current figures: Filing Impact Tracker · open dataset
At the time of this filing, CWCO was trading at $30.24 on NASDAQ in the Energy & Transportation sector, with a market capitalization of approximately $483.8M. The 52-week trading range was $28.17 to $39.12. This filing was assessed with negative market sentiment and an importance score of 7 out of 10.