Genie Energy Ltd. (GNE): Results of Operations and Financial Condition
Genie Energy Ltd. (GNE) filed an SEC Form 8-K — Results of Operations and Financial Condition. Exhibit 99.1 Genie Energy Announces Second Quarter 2026 Results NEWARK, NJ – August 6, 2026 : Genie Energy, Ltd. (NYSE: GNE), a leading retail energy and renewable energy solutions provider, today announced results for the second quarter of 2026 . Consolidated Highlights (Unless
How this was made
The 30-second read
Why it matters
Margin expansion drove higher operating income, net income, EPS, and adjusted EBITDA versus 2Q25, while management maintained full-year 2026 adjusted EBITDA guidance. The company also declared a quarterly dividend and disclosed a small share repurchase during the quarter.
Market read
Traders can update positioning based on the fresh profitability print (gross margin, operating income, EPS, adjusted EBITDA) and the reiterated FY adjusted EBITDA range, plus capital return signals (dividend and repurchase).
What to watch
The filing highlights customer acquisition spend and mix shift to high value customers; traders may want to watch whether churn and RCE/meter trends stabilize in subsequent quarters.
Genie Energy Announces Second Quarter 2026 Results
Gross margin expanded to 33.5% from 22.3%, lifting income from operations, net income attributable to Genie common stockholders, EPS, and Adjusted EBITDA despite a revenue decline to $100.4 million from $105.3 million.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Total RevenueGAAP | $100.4 million | – | (4.9)% |
| Gross ProfitGAAP | $33.7 million | – | – |
| Gross MarginGAAP | 33.5% | – | – |
| Income from operationsGAAP | $6.5 million | – | – |
| Net income attributable to Genie common stockholdersGAAP | $11.4 million | – | – |
| Diluted earnings per shareGAAP | $0.43 | – | – |
| Adjusted EBITDAnon-GAAP | $7.5 million | – | – |
| Genie Retail Energy gross profitGAAP | $30.3 million | – | 42.2% |
| Genie Retail Energy gross marginGAAP | 32.2% | – | 1070 bps |
| Genie Retail Energy selling, general and administrative expensesGAAP | $22.0 million | – | 27.0% |
| Genie Retail Energy income from operationsGAAP | $8.3 million | – | 108.3% |
| Genie Retail Energy Adjusted EBITDAnon-GAAP | $8.7 million | – | 96.7% |
| Genie Renewables gross profitGAAP | $3.3 million | – | 55.0% |
| Genie Renewables selling, general and administrative expensesGAAP | $3.3 million | – | 42.2% |
| Genie Renewables income from operationsGAAP | $0.1 million | – | nm |
| Genie Renewables Adjusted EBITDAnon-GAAP | $0.3 million | – | nm |
| RCEsother | 345 | – | (68) |
| Metersother | 363 | – | (56) |
| Gross meter additions during the periodother | 65 | – | (5) |
| Churnother | 5.9% | – | 110 bps |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Genie Retail EnergyThe year-over-year increases in GRE's income from operations and Adjusted EBITDA were driven by gross margin expansion. The increase in SG&A expense primarily reflected higher customer acquisition spending resulting from a shift in the sales mix to certain high value customer segments with higher costs of acquisition. | $94.1 million | – | (4.9)% |
| Genie RenewablesGREW achieved positive Adjusted EBITDA in 2Q26 as Diversegy and Genie Solar's margins strengthened. Results also reflect Genie's investments in early-stage growth initiatives. | $6.3 million | – | 0.2% |
full year 2026 outlook
- NoteAdjusted EBITDA guidance of $32.5 to $40 million
Capital returns
- Genie will pay a $0.075 per share quarterly dividend to Class A and Class B common stockholders on or about August 24 with a record date of August 14th.
- Genie repurchased approximately 48 thousand shares of its Class B Common stock for $659 thousand during 2Q26.
What drove it
- Relatively normalized wholesale energy market conditions enabled Genie Retail Energy to achieve a gross margin comparable to its long-term historical average.
- Customer acquisitions in 2Q26 skewed toward high value customers, which management expects to favorably impact results in the coming quarters.
- Customer acquisitions showed notable growth in the Texas power and California gas markets.
- The year-over-year decreases in RCEs and meters largely reflected the expiration of low margin aggregation deals.
- Diversegy and Genie Solar strengthened margins, and Genie Solar benefited from the opening of its first community solar project in New York state during 4Q25.
- The second community solar project began operations late in 2Q26 and had a small impact on the quarter's results.
Concerns
- Total revenue decreased to $100.4 million from $105.3 million.
- Genie Retail Energy revenue decreased to $94.1 million from $99.0 million.
- RCEs were 345 versus 413, and meters were 363 versus 419.
- Churn was 5.9% versus 4.8%.
- Genie Retail Energy selling, general and administrative expenses increased to $22.0 million from $17.3 million, primarily reflecting higher customer acquisition spending.
- GREW results reflected ongoing investment in Roded, its plastic recycling and manufacturing business, and several other early-stage growth initiatives.
What to watch
- Execution toward maintained full year 2026 Adjusted EBITDA guidance of $32.5 to $40 million.
- Cash generation across GRE, Diversegy and Genie Solar.
- Diversegy's continued expansion of its book of business.
- Bottom-line contributions from Diversegy and Genie Solar in coming quarters.
- The effect of high value customer acquisitions and growth in Texas power and California gas markets.
- Operational progress in Roded and other early-stage growth initiatives.
- Opportunistic stock repurchases and quarterly dividends.
Balance sheet and cash flow
- Cash and cash equivalents, short and long-term restricted cash, and marketable equity securities totaled $204.3 million at June 30, 2026.
- At the close of 1Q26 on March 31, 2026, these line items totaled $199.8 million.
- Cash and cash equivalents were $184,841 (in thousands) at June 30, 2026, compared with $203,516 (in thousands) at December 31, 2025.
- Restricted cash was $10,148 (in thousands) at June 30, 2026, compared with $7,936 (in thousands) at December 31, 2025.
- Marketable equity securities were $9,319 (in thousands) at June 30, 2026, compared with $409 (in thousands) at December 31, 2025.
- Total assets as of June 30, 2026 were $369.7 million.
- Liabilities totaled $114.5 million, and working capital (current assets less current liabilities) totaled $199.6 million.
- Current debt, net was $370 (in thousands) at June 30, 2026, compared with $2,139 (in thousands) at December 31, 2025.
- Noncurrent debt, net was $6,477 (in thousands) at June 30, 2026, compared with $6,529 (in thousands) at December 31, 2025.
Analysis
Genie Energy reported a strong second quarter, with profitability improving materially despite lower revenue. Total revenue decreased to $100.4 million from $105.3 million, while gross profit increased to $33.7 million from $23.5 million and gross margin rose to 33.5% from 22.3%. Income from operations increased to $6.5 million from $2.3 million, net income attributable to Genie common stockholders increased to $11.4 million from $2.3 million, diluted earnings per share increased to $0.43 from $0.09, and Adjusted EBITDA increased to $7.5 million from $3.0 million.
GRE remained the principal source of revenue and profitability. Segment revenue decreased to $94.1 million from $99.0 million, including electricity revenue of $83.6 million versus $89.9 million, while gas revenue increased to $10.6 million from $9.1 million. GRE gross margin expanded to 32.2% from 21.5%, which management identified as the driver of increases in income from operations to $8.3 million from $4.0 million and Adjusted EBITDA to $8.7 million from $4.4 million. Higher customer acquisition spending increased GRE selling, general and administrative expenses to $22.0 million from $17.3 million.
Customer metrics remain an important offset to the margin improvement. RCEs were 345, compared with 413 in 2Q25, and meters were 363, compared with 419. Management attributed the year-over-year decreases largely to expired low-margin aggregation deals. Churn was 5.9%, compared with 4.8%, while gross meter additions were 65 versus 70. Management stated that acquisitions skewed toward high value customers and cited notable growth in Texas power and California gas markets.
GREW revenue was $6.3 million compared with $6.3 million, but gross profit increased to $3.3 million from $2.2 million. The segment produced income from operations of $0.1 million, compared with a loss of $(0.2) million, and Adjusted EBITDA of $0.3 million, compared with $(0.1) million. Diversegy and Genie Solar supported the improvement, while results also reflected investment in Roded and other early-stage initiatives.
The balance sheet included $204.3 million of cash and cash equivalents, short and long-term restricted cash, and marketable equity securities at June 30, 2026, compared with $199.8 million at March 31, 2026. The company repurchased approximately 48 thousand Class B shares for $659 thousand and declared a $0.075 per share quarterly dividend. Management maintained full year 2026 Adjusted EBITDA guidance of $32.5 to $40 million, with no revenue, gross-margin, operating-expense, or tax-rate guidance provided.
Management, verbatim
At Genie Retail Energy, relatively normalized wholesale energy market conditions enabled us to achieve a gross margin comparable to our long-term historical average, and that drove a significant year-over-year improvement in our bottom-line results even as we increased our customer acquisition spend.
Michael Stein, Chief Executive Officer
At GREW, the topline was flat year-over-year. However, the segment generated positive EBITDA powered by contributions from our Diversegy energy brokerage and Genie Solar businesses.
Michael Stein, Chief Executive Officer
We are maintaining our full year 2026 Adjusted EBITDA guidance of $32.5 to $40 million.
Michael Stein, Chief Executive Officer
Not in the filing
stated, not guessed- Operating cash flow was not provided in the supplied filing text.
- Free cash flow was not provided in the supplied filing text.
- A consolidated selling, general and administrative expense line was not provided in the supplied filing text.
- Non-GAAP EPS was not provided in the supplied filing text.
- Tax rate and tax-rate guidance were not provided in the supplied filing text.
- Revenue, gross-margin, operating-expense, and tax-rate guidance were not provided in the supplied filing text.
- A previous earnings release outlook was not provided, so actual results cannot be compared with prior guidance.
- Total debt was not printed as a single line item; current debt, net and noncurrent debt, net were reported separately.
- Quarter-over-quarter percentage changes were not printed for the reported metrics.】【。],
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AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
This is Genie Energy’s SEC 8-K (Item 2.02) with Exhibit 99.1 announcing second quarter 2026 results and financial condition, including segment commentary and guidance.
Ticker impact
Genie Energy reported 2Q26 results with revenue down to $100.4M but gross profit up to $33.7M, plus $0.43 EPS and $7.5M adjusted EBITDA.
Near-term bias modestly positive as investors focus on gross margin expansion and the maintained FY adjusted EBITDA range.
Key profitability metrics (gross margin, operating income, net income, EPS, adjusted EBITDA) improved year over year, and management reiterated full-year adjusted EBITDA guidance of $32.5M to $40M.
Market effects
Reinforces that retail energy margins can improve with normalized wholesale conditions, potentially supporting sentiment toward small-cap energy retailers and renewables-adjacent operators.
No specific regional macro linkage beyond Texas and California customer mix commentary.
Limited, company-specific update with no stated global policy or commodity shock.
Counterpoint
Revenue declined year over year while customer counts fell, so the margin gains may not fully offset volume pressure if wholesale conditions revert.
Key entities
- issuerGenie Energy, Ltd.
NYSE-listed retail energy and renewables solutions provider reporting 2Q26 results and maintaining FY 2026 adjusted EBITDA guidance.
- executiveMichael Stein
CEO quoted in management commentary discussing wholesale normalization, customer acquisition mix, and segment performance.
