Genie Energy (GNE) investor relations material

Executive summary

• Achieved record third-quarter revenue, up 23.6% year-over-year to $138.3 million, and nine-month revenue up 18% to $380.4 million, driven by increased electricity consumption, higher commodity prices, and customer base growth at GRE.

• Net income attributable to common stockholders declined 33.9% in Q3 to $6.7 million, with diluted EPS at $0.26, and for the nine months fell 28% to $20.2 million, reflecting margin compression from rising commodity costs.

• Margin compression persisted due to rapidly rising commodity prices, but management remains confident in navigating cycles and expects margin improvement into 2026.

• The company paused new solar project development following the OBBB Act, which accelerates the expiration of federal solar investment tax credits.

• Continued shareholder returns through share repurchases and dividends.

Financial highlights

• Consolidated revenue rose 24% year-over-year to $138.3 million in Q3 and 18% to $380.4 million for the nine months; GRE revenue up 25% in Q3 and 19% for the nine months.

• Gross profit decreased 21% in Q3 to $30 million and 13.5% for the nine months to $90.9 million; gross margin fell to 21.7% in Q3 and 23.9% for the nine months.

• Adjusted EBITDA decreased 40% in Q3 to $8.2 million; operating income for the nine months was $21.8 million, down 32%.

• Cash and equivalents totaled $206.6 million at quarter-end; working capital was $113.3 million.

• Dividends of $0.225 per share were paid in the nine months, totaling $6.0 million.

Outlook and guidance

• Full-year 2025 Adjusted EBITDA expected at the low end of $40–$50 million guidance range.

• Margin environment is expected to gradually improve, with strengthening anticipated into 2026.

• Management expects current cash and operating cash flow to be sufficient for at least the next 12 months.

• The company is evaluating the impact of the OBBB Act on its solar operations and may further adjust its renewables strategy.