Pure Cycle ( (PCYO) ) has released its Q4 earnings. Here is a breakdown of the information Pure Cycle presented to its investors.
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Pure Cycle Corporation, a Denver-based company, is an innovative and vertically integrated wholesale water and wastewater service provider that also engages in land development and single-family home rentals. For the fiscal year ending August 31, 2024, Pure Cycle reported remarkable financial growth with a net income of $11.6 million, marking a 147% increase from the previous year and continuing its streak of positive net income for twenty-one consecutive fiscal quarters. The company also saw a significant rise in earnings per share to $0.48 and a 135% increase in lot sales revenue, driven by ongoing development at its Sky Ranch Master Planned Community.
The year’s financial highlights include a 97% increase in total revenue, reaching $28.7 million, and a 151% increase in pre-tax income, which rose to $15.6 million. EBITDA also grew by 112%, reflecting the company’s robust operational performance. Pure Cycle’s strategic focus on the development of the Sky Ranch community has led to the completion of major phases and the initiation of new ones, with expectations for further construction and home building activities in the coming fiscal years.
Pure Cycle’s operational strategy is further supported by an increase in water and wastewater deliveries, which reached a record 1,818 acre-feet, and a successful year in its single-family rental business, which marked its first year of rental income. The company’s land development segment saw lot sales revenue surge to $16.0 million due to accelerated development activities at Sky Ranch.
Looking ahead, Pure Cycle is optimistic about its growth prospects, particularly with the continued development at Sky Ranch and strong demand in its water, land, and rental segments. The company anticipates sustained demand for its water services, buoyed by ongoing activities in the oil and gas sectors, and plans to expand its single-family rental offerings, further strengthening its recurring revenue streams.
