GNE · Genie Energy Ltd.

Genie Energy's Q1 2026 results showed record revenue of $142.3 million, up 4.0% year-over-year, primarily from volatility in energy commodity markets driving higher prices in Genie Retail Energy (GRE, +1.7% to $134.8 million) and strong growth in Genie Renewables (GREW, +74.2% to $7.5 million) from solar panel sales and new initiatives. However, profitability deteriorated sharply: gross profit dropped 20.2% to $29.8 million with margins compressing to 20.9% from 27.3%, reflecting challenging commodity conditions in GRE's first two months, increased customer acquisition spend, and a GREW inventory write-down plus investments in early-stage growth. Income from operations fell 86.3% to $1.9 million, Adjusted EBITDA plunged 80.4% to $2.8 million, and net income attributable to common stockholders declined 73.4% to $2.8 million ($0.11 diluted EPS). CEO Michael Stein noted mixed results impacted by retail margin weakness and investments, but expressed optimism for improvement, highlighting GRE's resilience, Diversegy's cash generation, Genie Solar's path to profitability post-Lansing NY project energization, and scaling initiatives. In response, management lowered FY2026 Adjusted EBITDA guidance from $40-50 million to $32.5-40 million. Balance sheet remains strong with $199.8 million in cash equivalents, restricted cash, and marketable securities, supporting a $0.075 quarterly dividend. GRE operational metrics showed RCEs down 11.7% to 354k but gross meter additions up 38.2%, with churn at 5.8%. A conference call was held May 14, 2026, and the annual stockholders meeting rescheduled to June 10, 2026.