Genie Energy Stock Rises on Y/Y Earnings & Customer Growth in Q1

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Shares of Genie Energy Ltd. GNE have gained 4.6% since reporting first-quarter 2025 results, outperforming the broader market. During the same period, the S&P 500 index has declined 0.8%. Over the past month, Genie Energy’s stock has risen 6.3%, exceeding the S&P 500’s 2.8% growth.

Revenues & Earnings Reflect Robust Growth

Genie Energy delivered strong financial results for the quarter ended March 31, 2025. Total revenues rose 14.3% year over year to $136.8 million from $119.7 million. The increase was driven by a 17.8% jump in revenues from the Genie Retail Energy (GRE) segment, which contributed $132.5 million. Electricity revenues climbed 16.4% to $104.1 million, and natural gas revenues grew 26.8% to $28.4 million, thanks to increased consumption and per-unit pricing.

Net income attributable to GNE common stockholders was $10.6 million, up 30.9% from $8.1 million in the year-ago period. This translated to diluted earnings per share (EPS) of 40 cents, up from 30 cents in the first quarter of 2024. On a non-GAAP basis, net income increased 24.7% to $11.1 million, and non-GAAP EPS rose to 42 cents from 33 cents.

Genie Energy Ltd. Price, Consensus and EPS Surprise

 

Genie Energy Ltd. Price, Consensus and EPS Surprise
Genie Energy Ltd. Price, Consensus and EPS Surprise

Genie Energy Ltd. price-consensus-eps-surprise-chart | Genie Energy Ltd. Quote

Operational Strength & Customer Growth

GRE’s operational performance reflected strategic investments made in 2024 to expand its customer base. The company reported net year-over-year additions of more than 48,000 meters, ending the quarter with 413,000 meters and 402,000 residential customer equivalents, marking 13.3% and 15.6% increases, respectively.

This growth stemmed from deeper market penetration and geographic expansion, including entry into California and plans to offer gas services in Kentucky. The company maintained a steady customer churn rate of 5.5%, unchanged from the prior year and only marginally higher than the previous quarter.

GRE’s income from operations rose 18.2% year over year to $16.8 million, whereas adjusted EBITDA increased 17.1% to $17.1 million. Despite strong top-line growth, GRE’s gross margin declined by 150 basis points to 27.1% due to the acquisition of lower-margin meters through municipal aggregation programs.

Renewables Segment Sees Transition

Genie Renewables (GREW) experienced a 40% year-over-year drop in revenues to $4.3 million, largely attributed to its strategic exit from the commercial-scale solar project business. However, Diversegy, Genie Energy’s energy brokerage arm housed within GREW, posted a 55% increase in revenues and contributed to the majority of the segment’s revenues this quarter.