Genie Energy (NYSE:GNE) Announces Quarterly Earnings Results

Genie Energy (NYSE:GNEGet Free Report) announced its quarterly earnings results on Thursday. The oil and gas producer reported $0.43 earnings per share for the quarter, beating analysts’ consensus estimates of $0.25 by $0.18, FiscalAI reports. The firm had revenue of $100.40 million for the quarter, compared to analyst estimates of $104.57 million. Genie Energy had a net margin of 4.95% and a return on equity of 13.00%.

Here are the key takeaways from Genie Energy’s conference call:

  • Strong earnings improvement: Second-quarter net income rose to $11.4 million, or $0.42 per diluted share, from $2.3 million, or $0.09, a year earlier. Adjusted EBITDA increased $4.5 million to $7.5 million.
  • Normalized wholesale energy markets restored Genie Retail Energy’s gross margin to its historical range, driving a 42% increase in gross profit and a 97% increase in Adjusted EBITDA despite a 5% revenue decline.
  • GRE’s customer base contracted to 345,000 RCEs and 363,000 meters, partly due to the expiration of low-margin aggregation deals. The company increased spending on higher-cost acquisition channels, which management believes will produce higher-lifetime-value customers and support future results.
  • Genie’s GREW segment reached positive EBITDA, supported by strong performance at Diversegy and Genie Solar. Diversegy is expanding its book of business at a double-digit annualized rate, while a second New York community solar project began contributing in the third quarter.
  • Roded expanded Israeli pallet production, received government backing for a larger plant, earned certification to monetize plastic credits, and advanced plans for a southeastern U.S. manufacturing site. Management also expects to diversify into additional recycled-plastic products.

Genie Energy Stock Down 1.4%

GNE stock traded down $0.21 during midday trading on Friday, hitting $14.53. The company’s stock had a trading volume of 62,395 shares, compared to its average volume of 74,474. The company has a debt-to-equity ratio of 0.03, a current ratio of 2.54 and a quick ratio of 2.44. Genie Energy has a twelve month low of $12.69 and a twelve month high of $16.60. The company’s fifty day moving average price is $14.19 and its 200 day moving average price is $14.12. The stock has a market capitalization of $383.59 million, a P/E ratio of 29.65 and a beta of 0.20.

Genie Energy Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, August 24th. Investors of record on Friday, August 14th will be given a $0.075 dividend. The ex-dividend date of this dividend is Friday, August 14th. This represents a $0.30 dividend on an annualized basis and a yield of 2.1%. Genie Energy’s dividend payout ratio (DPR) is 61.22%.

Hedge Funds Weigh In On Genie Energy

Several hedge funds have recently modified their holdings of the stock. XTX Topco Ltd bought a new stake in Genie Energy during the fourth quarter worth about $251,000. Metis Global Partners LLC grew its stake in Genie Energy by 52.5% in the fourth quarter. Metis Global Partners LLC now owns 15,622 shares of the oil and gas producer’s stock valued at $215,000 after purchasing an additional 5,380 shares in the last quarter. PharVision Advisers LLC bought a new position in Genie Energy in the third quarter valued at approximately $209,000. The Manufacturers Life Insurance Company acquired a new position in shares of Genie Energy during the 2nd quarter worth approximately $214,000. Finally, New York State Common Retirement Fund increased its position in shares of Genie Energy by 98.3% during the 2nd quarter. New York State Common Retirement Fund now owns 7,667 shares of the oil and gas producer’s stock worth $206,000 after purchasing an additional 3,800 shares during the last quarter. Institutional investors own 49.15% of the company’s stock.

Analyst Ratings Changes

Several analysts have issued reports on the company. Wall Street Zen downgraded Genie Energy from a “buy” rating to a “hold” rating in a research note on Saturday, May 9th. Weiss Ratings upgraded Genie Energy from a “hold (c-)” rating to a “hold (c)” rating in a report on Thursday, June 18th. Finally, Freedom Capital raised Genie Energy from a “hold” rating to a “strong-buy” rating in a research report on Friday, May 15th. One investment analyst has rated the stock with a Strong Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of “Buy”.

Get Our Latest Analysis on Genie Energy

Genie Energy Company Profile

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Genie Energy Ltd. (NYSE: GNE) is a diversified energy holding company that operates through two primary segments: upstream oil and natural gas exploration and retail energy supply. Its exploration arm, Genie Energy E&P, pursues development of oil shale resources and conventional hydrocarbon deposits, holding licenses for projects in regions such as Israel’s Shefela basin and Jordan’s oil shale formations. The division also explores select opportunities in North America, leveraging technical partnerships to advance resource evaluation and pilot production programs.

Genie Retail Energy provides electricity and natural gas to residential and small commercial customers under regulated and deregulated frameworks.

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Earnings History for Genie Energy (NYSE:GNE)

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