Global Water Resources (GWRS) saw its loss widen to $0.09 million in the quarter ended compared with $0.03 million a year ago.
Revenue during the quarter went up marginally by 1.48 percent to $7.21 million from $7.11 million in the previous year period. Total expenses were 90.05 percent of quarterly revenues, up from 80.08 percent for the same period last year. That has resulted in a contraction of 997 basis points in operating margin to 9.95 percent.
Operating income for the quarter was $0.72 million, compared with $1.42 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $2.96 million compared with $3.39 million in the prior year period. At the same time, adjusted EBITDA margin contracted 670 basis points in the quarter to 41.02 percent from 47.71 percent in the last year period.
"2016 was a milestone year for Global Water," stated the company’s president and chief executive officer, Ron Fleming. "The company now has a unique and strong foundation from which to build, one that will provide further opportunities and benefits for our customers, employees, and shareholders. Beyond our strong growth in Utility Revenue that was driven by increased active connections and new rates, we also executed a series of strategic initiatives, including both the U.S. IPO and debt refinancing, which we believe positions Global Water to prosper over the long term."
Operating cash flow drops significantlyGlobal Water Resources has generated cash of $1.90 million from operating activities during the year, down 55.36 percent or $2.35 million, when compared with the last year. The company has spent $6.17 million cash to meet investing activities during the year as against cash inflow of $51.97 million in the last year.
Cash flow from financing activities was $13.26 million for the year as against cash outgo of $51.28 million in the last year period.
Cash and cash equivalents stood at $20.50 million as on Dec. 31, 2016, up 78.04 percent or $8.99 million from $11.51 million on Dec. 31, 2015.
Debt moves up
Global Water Resources has witnessed an increase in total debt over the last one year. It stood at $114.34 million as on Dec. 31, 2016, up 9.51 percent or $9.93 million from $104.41 million on Dec. 31, 2015. Interest coverage ratio deteriorated to 0.56 for the quarter from 0.79 for the same period last year.
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