Watlington Waterworks reported a 12 per cent increase in net profit in the first half from the year-earlier period, taking the bottom line back above 2020 levels.

The Bermuda Stock Exchange-listed company, which is engaged in the production and distribution of drinking water, the purification of water and the sale of plumbing supplies, achieved profit attributable to shareholders of $1.19 million in the six months to June 30.

Revenue was $5.7 million, up from $5.5 million in the year-earlier period and above 2019 levels.

While administrative expenses increased, cost of production and cost of distribution were down from the year-earlier period.

In the notes accompanying the financials, the company discussed a reservoir, pump station and treatment project at Luke’s Pond Drive, Southampton.

It said that in 2020 it had contracted D&J Construction for the project, which was to cost $15.2 million.

Completion was scheduled for May 2022 but has been pushed to November 2023.

“The year 2023 started strong for both piped and bottled water but the excessive rainfall in late May and in June reduced the piped water sales as expected.

“At the end of May the company had sold 81 million gallons versus 75 million gallons for the same period in 2022, but this quickly changed in June when a surplus of 6 million gallons turned to a deficit of 4 million gallons”, according to a directors report to shareholders.

It added: “The company’s newly constructed 3-million gallon reservoir is currently in the testing phase prior to commissioning.”

The company was founded by Sir Henry Watlington in 1932 to support the tourist industry. It is still located at its original address: 32 Parsons Lane, Devonshire.

Jon Burull was named president and chief executive of Watlington Waterworks this year.

The stock last traded on August 15, when 200 shares changed hands at $20.00 each, giving the company a market capitalisation of about $21.5 million.