Pure Cycle Corporation Reports 51% Revenue Growth and 23% Net Income Increase for Nine Months Ending May 31, 2026

Pure Cycle Corporation reported significant financial growth in its latest quarterly filing for the period ending May 31, 2026. The company generated total revenues of $22.5 million for the nine months, a 51% increase from $14.9 million in the same period last year. The net income for the nine months rose to $8.6 million, compared to $7.0 million in the previous year, reflecting a 23% increase. For the third quarter alone, revenues reached $8.2 million, up 60% from $5.1 million in the prior year, with net income increasing to $2.9 million from $2.3 million.

The growth in revenue was primarily driven by increased land development activities and a surge in water sales to oil and gas operators. Water and wastewater activities generated $10.1 million in revenue for the nine months, a 34% increase from the previous year, while land development revenue surged by 70% to $11.9 million. The company also reported a notable increase in water deliveries, with 1,050 acre-feet sold in the nine months, up 137% from 443 acre-feet in the prior year.

Operationally, Pure Cycle has expanded its single-family rental segment, completing 20 additional homes in the third quarter, bringing the total to 38 rented units. The company plans to construct an additional 33 rental homes, with most expected to be available for rent in 2026. As of May 31, 2026, the company had 24,097,370 shares of common stock outstanding, reflecting a slight increase from the previous quarter.

The company’s balance sheet showed total assets of $176.0 million, up from $162.3 million at the end of August 2025. Current liabilities decreased to $10.2 million from $11.6 million, while total liabilities rose to $24.4 million, primarily due to increased long-term debt associated with financing the construction of single-family rental homes. The company’s cash and cash equivalents stood at $8.4 million, down from $21.9 million, indicating a strategic investment in growth initiatives.

Looking ahead, Pure Cycle remains optimistic about its growth trajectory despite challenges in the housing market, including rising interest rates and economic uncertainty. The company plans to continue its development activities at the Sky Ranch Master Planned Community, which is expected to drive future revenue growth. Management anticipates that favorable demographics and a supply-demand imbalance in the housing market will support long-term growth, even as it navigates current market conditions.