Thu, May 1, 9:18 PM (14 days ago)
**Summary of Via Renewables, Inc. (VIASP) Q1 2025 Financial Performance** **Financial Health and Performance Metrics:** - **Revenue:** Q1 2025 revenue was $142.3 million, up 25% from $114.1 million in Q1 2024, driven by higher gas and electricity volumes due to customer book purchases. - **Profit Margins:** Operating income was $24.8 million, slightly down from $25.7 million in Q1 2024. Net income was $18.5 million, down from $19.1 million in Q1 2024. - **Cash Flow:** Operating cash flow was $24.9 million, up from $17.1 million in Q1 2024. Investing activities used $14.0 million, mainly for customer acquisitions, while financing activities used $13.6 million. **Key Financial Data:** - **Revenues:** Retail revenues were $144.5 million, with retail electricity contributing 56% and retail natural gas 44%. - **Operating Expenses:** Retail cost of revenues was $95.4 million, up 38% due to higher volumes and derivative portfolio changes. - **General and Administrative Expense:** Decreased by 2% to $17.0 million due to lower stock compensation and sales activity. - **Depreciation and Amortization:** Increased by 150% to $5.0 million due to customer relationship intangibles acquired in Q4 2024. - **Customer Acquisition Cost:** Decreased by 38% to $1.5 million due to lower sales activity. **Segment Performance:** - **Retail Electricity:** Revenues increased by 4% to $80.7 million, with retail gross margin up 13% to $21.4 million. - **Retail Natural Gas:** Revenues surged by 72% to $63.8 million, with retail gross margin up 54% to $25.0 million. **Liquidity and Capital Resources:** - **Liquidity:** As of March 31, 2025, total liquidity was $156.6 million, including $64.7 million in cash and $66.9 million available under the Senior Credit Facility. - **Debt:** Total debt was $101.0 million, with a weighted average interest rate of 7.57%. **Future Operations Impact:** - **Customer Growth:** Added 43,700 residential customer equivalents (RCEs) organically and acquired 26,300 RCEs through customer book purchases. - **Regulatory Uncertainties:** Facing regulatory challenges in Maryland and Massachusetts that may impact economic operations. - **Dividends:** Paid $2.4 million in dividends to Series A Preferred Stock holders and declared a $0.7 million dividend for Q2 2025. **Trends and Uncertainties:** - **Weather Conditions:** Sensitivity to weather patterns affecting energy demand and prices. - **Commodity Prices:** Volatility in natural gas and electricity prices impacts margins and cash flows. - **Regulatory Risks:** Ongoing legal and regulatory proceedings may affect operations and financial performance. **Conclusion:** Via Renewables, Inc. demonstrated strong revenue growth in Q1 2025, driven by increased customer volumes. However, net income and operating income saw slight declines. The company maintains robust liquidity and is focused on customer acquisition and regulatory compliance. Future performance will depend on market conditions, regulatory environment, and operational efficiencies.