In Q2 2024, Euro Tech Holdings Company Limited (CLWT) faced significant challenges, reflected in a substantial decline in revenue and profitability metrics. With revenue down to $7.26 million, a decline of 11.68% YoY and a staggering 27.29% QoQ, the firm reported a net income of only $44,000, reflecting a year-over-year plunge of 92.04%. Despite these challenges, Euro Tech continues to position itself strategically within the industrial pollution treatment market, leveraging its offerings in water treatment equipment and technology solutions for various governmental and commercial customers.
The company's gross profit margin also deteriorated, indicating heightened cost pressures and demand fluctuations. With liabilities remaining low relative to assets, Euro Tech's balance sheet indicates some resilience. However, management's focus remains on recovery strategies and exploring new growth avenues, particularly in renewable energy sectors, as indicated in their recent commentary.