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Mar 31, 2020

Genie Energy Q1 2020 Earnings Report

Reported net income of $0.20 per diluted share on revenue of $104.1 million.

Key Takeaways

Genie Energy reported strong first quarter results with record levels of revenue and gross profit, driven by robust growth in the global customer base and strong margins.

Global customer base surpassed 400,000 RCE and 500,000 meter milestones.

Increased quarterly dividend 13% to $0.085 per share.

Expects a positive impact from increased per-meter electricity consumption as customers spend more time at home.

Meter acquisition expense and customer churn are decreasing due to the industry-wide suspension of door-to- door meter acquisition.

Total Revenue
$104M
Previous year: $86.6M
+20.1%
EPS
$0.2
Previous year: $0.21
-4.8%
Gross Profit
$28.9M
Previous year: $25.6M
+12.9%
Cash and Equivalents
$36.4M
Previous year: $37.5M
-3.0%
Free Cash Flow
-$2.72M
Previous year: $6.69M
-140.7%
Total Assets
$157M
Previous year: $154M
+1.9%

Genie Energy

Genie Energy

Forward Guidance

Anticipates that COVID-19 will have a mixed impact on business operations and financial results. Outlook remains positive due to diversified markets, liquid balance sheet and very low level of long-term debt.

Positive Outlook

  • Expects a positive impact from increased per-meter electricity consumption as customers spend more time at home.
  • Meter acquisition expense and customer churn are decreasing as the result of the industry-wide suspension of door-to- door meter acquisition.
  • Diversified markets
  • Liquid balance sheet
  • Very low level of long-term debt

Challenges Ahead

  • Restrictions on in-person sales and marketing will likely slow customer acquisition for the duration of the pandemic and may result in net meter attrition.