Genie Energy Q1 profit drops, lowers 2026 outlook

Genie Energy

14/05/2026 12:41

Overview

U.S. retail and renewable energy provider's Q1 revenue rose 4% yr/yr to record level

EPS for Q1 fell sharply yr/yr as gross margin declined to 20.9%

Company lowered 2026 adjusted EBITDA guidance due to higher costs and margin compression

Outlook

Genie Energy lowers 2026 Adjusted EBITDA guidance to $32.5 mln-$40 mln from $40 mln-$50 mln

Company expects significant improvement in results through remainder of 2026

Genie Solar expected to be profitable throughout remainder of 2026

Result Drivers

MARGIN COMPRESSION - Co said challenging commodity market conditions in the first two months of the qtr compressed retail energy margins, impacting profitability

HIGHER CUSTOMER ACQUISITION COSTS - Co increased spending on customer acquisition, reflecting both higher acquisition rates and higher cost per customer

SOLAR INVENTORY WRITE-DOWN & NEW INITIATIVES - Genie Renewables' results were impacted by a write down of solar panel inventory and increased investment in early-stage growth initiatives

Company press release: ID:nGNX2dyjC9

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$142.30 mln
$123.83 mln (1 Analyst)
Q1 EPS
$0.11
Q1 Adjusted EBITDA
$2.80 mln
Q1 Gross Margin
20.90%
Q1 Income from Operations
$1.90 mln
Q1 Net Income from Cont Ops
$2.50 mln
Q1 Operating Margin
1.30%


Analyst Coverage

The one available analyst rating on the shares is "hold"

The average consensus recommendation for the electric utilities peer group is "hold"

Wall Street's median 12-month price target for Genie Energy Ltd is $16.00, about 14.6% above its May 13 closing price of $13.96

The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 25 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)