Genie Energy Operating Profit Rises 72% in Third Quarter After First-Quarter Guidance Cut

The Tip Desk · November 11, 2026 · 4 min read

Adjusted EBITDA reached $13.7 million as consolidated gross margin recovered to 32.4% and the company kept 2026 guidance at $32.5 million to $40.0 million.

Genie Energy Ltd. (GNE), a retail energy and renewable energy solutions provider, reported third-quarter 2026 revenue of $127.2 million, down from $138.3 million a year earlier, as its retail book shrank. Profitability moved the other way: income from operations rose 72% to $12.7 million from $7.4 million, and net income attributable to common stockholders increased to $10.2 million, or $0.39 a share, from $6.4 million, or $0.25 a share.

Adjusted EBITDA increased 67% to $13.7 million from $8.2 million. That followed $7.5 million in the second quarter and $2.8 million in the first quarter, when the company had cut the $40 million to $50 million full-year Adjusted EBITDA range to $32.5 million to $40 million. Genie said it expects to reach the remaining 2026 range of $32.5 million to $40.0 million.

Chief Executive Officer Michael Stein said the year-over-year gains highlighted resilient cash generation at Genie Retail Energy and improving economics at Genie Renewables, including Diversegy, Genie Solar and the investment-stage Roded pallet business. He said the company is in a position to overcome the challenging retail energy markets at the start of the year.

Genie Retail Energy, which supplies electricity and natural gas to residential and small-business customers, generated $120.8 million of revenue, down 8.7% from $132.4 million. Electricity revenue fell 10.5% to $113.2 million. Natural gas revenue rose 31.0% to $7.6 million. The company said the revenue decline reflected a smaller customer base, partially offset by higher revenue per unit sold of both fuels.

The retail book contracted. Residential customer equivalents ended the quarter at 337 thousand, down from 395 thousand a year earlier, and meters at 351 thousand, down from 402 thousand. Electricity RCEs fell 60 thousand to 258 thousand; natural-gas RCEs were unchanged at 79 thousand. Churn excluding aggregation-deal expirations rose to 6.3% from 5.1%. Genie attributed the declines to the expiration of low-margin aggregation deals in the fourth quarter of 2025 and elevated customer attrition. Gross meter additions during the period were 61 thousand.

Gross profit at GRE rose 36.0% to $37.5 million, and gross margin expanded 1,020 basis points to 31.0% from 20.8%. Stein said the expansion reflected a return toward the long-term average under normalized market conditions after exceptional energy price volatility in the year-ago quarter. Selling, general and administrative expenses increased 29.8% to $22.6 million from $17.4 million on higher customer acquisition spend. The company said the expanded gross margin more than offset that spending and drove higher operating income and Adjusted EBITDA. GRE income from operations rose 46.5% to $14.9 million, and GRE Adjusted EBITDA rose 45.2% to $15.2 million.

Genie Renewables, which holds energy brokerage, solar assets and early-stage initiatives, generated $6.4 million of revenue, up 8.0% from $6.0 million. Operating-profitable entities contributed $6.0 million; early-stage entities contributed $0.4 million. GREW gross profit rose 53.0% to $3.8 million, concentrated in the operating-profitable businesses. The segment swung to income from operations of $0.8 million from a $0.3 million loss. Operating-profitable entities earned $1.7 million versus $0.1 million; early-stage entities posted a $0.9 million loss versus $0.4 million. GREW Adjusted EBITDA was $1.1 million versus a $0.2 million loss, with operating-profitable entities generating $2.0 million.

Stein said Diversegy continued collecting residuals on its existing book while adding customers, and that community solar arrays at Lansing, N.Y., and Perry, N.Y., are fully operational. The company decided to proceed with an additional community solar project in Delhi, N.Y., planned for late 2027. Roded, a plastic manufacturing initiative using proprietary recycling technology, began production on a second line in Israel and is close to selecting a U.S. site for initial international expansion.

Cash and cash equivalents, restricted cash and marketable equity securities totaled $213.8 million at September 30, 2026, compared with $204.3 million at June 30. Total assets were $386.6 million; liabilities were $125.7 million; working capital was $203.7 million. Genie repurchased about 128 thousand Class B shares for $2.0 million in the third quarter and will pay a $0.075 a share quarterly dividend on or about November 23, with a November 13 record date.