Watlington Waterworks Ltd reported lower first-half profits after water consumption returned to more typical levels following unusually strong demand last year.

The company said net income for the six months to June 30 was $1.13 million, down from $2 million in the same period of 2025.

Earnings per share fell to $1.03 from $1.84 a year earlier.

Watlington’s metered water division sold 100 million gallons during the period, compared with 127 million gallons in the prior-year period. Divisional net income declined to $1.19 million from $1.89 million.

The company said the lower result reflected a return to normal demand after “exceptionally high water consumption” in 2025.

Its bottled water division recorded a 3 per cent fall in sales. Net income in the division fell 20 per cent, as lower volumes combined with spending on a brand refresh to strengthen the long-term market position of the company.

However, Watlington said its retail division improved. Higher sales helped to reduce the division’s net loss by 21 per cent compared with the first half of last year.

The company added that it continued work on capital projects to improve resilience and support future demand.

Watlington said its financial position and strategic direction left it well placed for sustainable growth and long-term shareholder value.