12. Earnings per share

Earnings per share (“EPS”) is computed on a basic and diluted basis. Basic EPS is computed by dividing net income (less preferred stock dividends) available to common stockholders by the weighted average number of common shares outstanding during the period. The computation of diluted EPS assumes the issuance of common shares for all potential common shares outstanding during the reporting period and, if dilutive, the effect of stock options as computed under the treasury stock method.

The following summarizes information related to the computation of basic and diluted EPS:

 

Year Ended December 31, 

 

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Net income from continuing operations attributable to Consolidated Water Co. Ltd. stockholders

$

18,627,308

$

17,882,370

$

30,672,135

Less: preferred stock dividends

 

(22,572)

 

(18,595)

 

(15,513)

Net income from continuing operations available to common shares in the determination of basic earnings per common share

 

18,604,736

 

17,863,775

 

30,656,622

Income (loss) from discontinued operations

 

(290,635)

 

10,355,184

 

(1,086,744)

Net income available to common shares in the determination of basic earnings per common share

$

18,314,101

$

28,218,959

$

29,569,878

Weighted average number of common shares in the determination of basic earnings per common share attributable to Consolidated Water Co. Ltd. common stockholders

 

15,923,032

 

15,832,328

 

15,739,056

Plus:

 

 

 

Weighted average number of preferred shares outstanding during the period

 

41,907

 

44,257

 

39,885

Potential dilutive effect of unexercised options and unvested stock grants

 

43,124

 

59,377

 

86,956

Weighted average number of shares used for determining diluted earnings per common share attributable to Consolidated Water Co. Ltd. common stockholders

 

16,008,063

 

15,935,962

 

15,865,897

Historical Timeline

Fiscal YearFiled
2025Mar 16, 2026Showing above
2024Mar 17, 2025
2023Mar 27, 2024
2022Mar 30, 2023
2021Mar 29, 2022
2020Mar 31, 2021
2019Mar 16, 2020
2018Mar 18, 2019
2017Mar 16, 2018
2016Mar 16, 2017
2015Mar 15, 2016

About Earnings Per Share Disclosures

The earnings per share disclosure breaks down the calculation from net income to both basic and diluted EPS, revealing the full impact of a company's capital structure on per-share economics. The reconciliation between basic and diluted share counts exposes how many stock options, RSUs, convertible securities, and warrants are potentially dilutive to existing shareholders.

Key signals: a widening gap between basic and diluted shares indicates growing dilution from equity compensation or convertible instruments. Anti-dilutive securities excluded from the diluted calculation deserve attention — they represent latent dilution that will materialize if the stock price rises. Watch for the effect of share buybacks on per-share metrics: EPS growth driven primarily by repurchases rather than income growth signals weakening fundamentals. Compare year-over-year changes in the diluted share count against equity compensation expense to assess whether management is effectively managing dilution.