Genie Energy Announces First Quarter 2025 Results

Genie Energy, Ltd., a leading retail energy and renewable energy solutions provider, has released its financial results for the first quarter of 2025. The company reported significant growth in revenue, profitability, and cash generation compared to the same period last year.

Financial Highlights

For the first quarter of 2025, Genie Energy reported a 14.3% increase in revenue, reaching $136.8 million, up from $119.7 million in the first quarter of 2024. Gross profit also saw an increase of 10.6%, amounting to $37.4 million, although the gross margin slightly decreased to 27.3% from 28.2% in the previous year. Income from operations rose to $12.8 million, a 30.3% increase from $9.8 million in the same quarter last year. Adjusted EBITDA increased to $14.4 million from $11.7 million, reflecting a 22.7% growth.

Business and Operational Highlights

Genie Retail Energy (GRE) experienced a notable expansion, with a 17.8% increase in revenue to $132.5 million. The customer base grew significantly, ending the quarter with approximately 413,000 meters served, comprising 402,000 RCEs. This growth was driven by the investments made in 2024 to expand the customer base, resulting in over 48,000 net new meters. The stable pricing environment also contributed to an 18% increase in both revenue and income from operations.

Genie Renewables (GREW) reported a 40.0% decrease in revenue to $4.3 million, primarily due to the exit from the commercial-scale projects business. However, Diversegy, the energy brokerage business, increased its revenue by 55% year-over-year, contributing significantly to GREW's revenues.

Strategic Initiatives and Corporate Developments

During the first quarter, Genie Energy repurchased approximately 127,000 shares of its Class B Common stock for $1.9 million and paid a regular quarterly dividend of $0.075 per share. The company also continued to advance its utility-scale project pipeline, including the construction of its first community solar project in Lansing, New York, which is expected to be completed by the third quarter of this year.

Management's Perspective

Michael Stein, Chief Executive Officer of Genie Energy, commented on the strong operational and financial results, highlighting the robust increases in revenue, profitability, and cash generation. He emphasized the significant investments made in 2024 to expand the customer base and the stable pricing environment that enabled GRE to achieve an 18% increase in both revenue and income from operations. Stein also noted the progress in the utility-scale project pipeline and the immediate EBITDA accretive impact expected from the Lansing community solar project once it goes online.

Future Outlook

Looking ahead, Genie Energy expects continued growth and profitability, driven by the expansion of its customer base and the completion of key projects in its utility-scale project pipeline. The company remains committed to returning value to its stockholders through share repurchases and regular dividends.

SEC Filing: Genie Energy Ltd. [ GNE ] - 8-K - May. 06, 2025