VIA RENEWABLES(US:VIASP)2025-11-06 15:47Company Operations - As of September 30, 2025, the company operated in 106 utility service territories across 21 states and the District of Columbia[188]. - The company operates under six retail brands across its market areas[193]. Financial Performance - Total revenues for Q3 2025 were approximately $103.3 million, an increase of 10% from $93.8 million in Q3 2024, driven by higher gas volumes and electricity rates[225]. - Total revenues for the nine months ended September 30, 2025 were approximately $335.6 million, a 14% increase from $294.5 million in the same period of 2024[233]. - Total revenues for the Retail Electricity Segment for Q3 2025 were approximately $86.1 million, an increase of 4% from $82.6 million in Q3 2024[240]. - Total revenues for the Retail Natural Gas Segment for Q3 2025 were approximately $17.3 million, a significant increase of 49% from $11.6 million in Q3 2024[244]. - Total revenues for the Retail Electricity Segment for the nine months ended September 30, 2025 were approximately $233.7 million, a slight increase of 1% from $231.1 million in the same period of 2024[249]. Margins and Expenses - Retail Gross Margin for the three months ended September 30, 2025, was $27.8 million, down from $30.0 million in 2024[209]. - Retail gross margin for Q3 2025 was $27.8 million, compared to $30.0 million in Q3 2024, reflecting a decrease of 7.5%[222]. - Retail gross margin for the Retail Electricity Segment decreased by 15% to approximately $21.0 million in Q3 2025, down from $24.6 million in Q3 2024[242]. - Retail gross margin for the Retail Natural Gas Segment increased by 24% to approximately $6.8 million in Q3 2025, compared to $5.5 million in Q3 2024[246]. - Retail cost of revenues for Q3 2025 was approximately $79.5 million, an increase of 16% from $68.6 million in Q3 2024, primarily due to higher electricity costs[228]. - Retail cost of revenues for the nine months ended September 30, 2025 was approximately $237.9 million, an increase of 32% from $180.6 million in the same period of 2024[234]. - Retail cost of revenues for the Retail Electricity Segment increased by 7% to approximately $68.0 million in Q3 2025, primarily due to higher electricity costs[241]. - Retail cost of revenues for the Retail Natural Gas Segment increased by 117% to approximately $65.1 million for the nine months ended September 30, 2025, compared to $30.1 million in the same period of 2024[254]. EBITDA and Other Financial Metrics - Adjusted EBITDA for the three months ended September 30, 2025, was $9.5 million, compared to $10.3 million for the same period in 2024[209]. - Adjusted EBITDA for Q3 2025 was $9.5 million, down from $10.3 million in Q3 2024, indicating a decline of 8%[227]. - General and administrative expenses for Q3 2025 decreased by 15% to approximately $15.0 million from $17.7 million in Q3 2024, attributed to lower bad debt and legal expenses[229]. - Depreciation and amortization expense for Q3 2025 was approximately $5.6 million, a 124% increase from $2.5 million in Q3 2024, due to higher amortization related to customer relationship intangibles[230]. Customer Metrics - For the three months ended September 30, 2025, the company added approximately 57,300 RCEs, with an average monthly customer attrition rate of 4.0%[197][201]. - The company reported a total of 419 RCEs as of September 30, 2025, reflecting an 8% increase from 388 RCEs at the end of 2024[192]. - Average monthly RCE attrition for Q3 2025 was 4.0%, slightly down from 4.1% in Q3 2024[227]. - Customer acquisition costs for Q3 2025 increased by 62% to approximately $3.4 million from $2.1 million in Q3 2024, due to increased sales activity[231]. - Customer acquisition costs for the three months ended September 30, 2025, were $3.4 million, up from $2.1 million in the same period of 2024, representing a 61.9% increase[269]. Cash Flow and Liquidity - Cash flows provided by operating activities decreased by $2.1 million to $46.3 million for the nine months ended September 30, 2025, compared to $48.5 million in 2024[261]. - Total liquidity as of September 30, 2025 was approximately $129.7 million, consisting of cash and cash equivalents of $53.6 million and available credit facilities[259]. - The Senior Credit Facility has a borrowing capacity of $250.0 million, with $141.4 million outstanding as of September 30, 2025[264]. - At September 30, 2025, $105.0 million of variable rate indebtedness was outstanding under the Senior Credit Facility, with a potential additional annual interest expense of approximately $1.1 million for a 1.0% increase in interest rates[290]. Dividends - Dividends paid for the three months ended September 30, 2025, totaled $2.2 million, with an accrued amount of $2.0 million as of the same date[271]. - Estimated total dividends for the full year 2025 are projected to be $9.0 million based on Series A Preferred Stock outstanding as of September 30, 2025[272]. - The quarterly cash dividend declared on October 15, 2025, for the Series A Preferred Stock was $0.67151 per share, totaling $1.7 million for the quarter[291]. Risk and Losses - The company experienced a net asset optimization loss of $0.1 million for the three months ended September 30, 2025, compared to a loss of $0.5 million in 2024[208]. - Credit loss expense for the three months ended September 30, 2025, was 0.3%, a decrease from 1.4% in the same period of 2024[202]. - Bad debt expense for the three months ended September 30, 2025, was 0.3% of non-POR market retail revenues, unchanged from the same period in 2024[287]. - The net loss on non-trading derivative instruments for the three months ended September 30, 2025, was $(3.8) million, compared to $(4.4) million for the same period in 2024[281]. - As of September 30, 2025, the Gas Non-Trading Fixed Price Open Position was a short position of 487,362 MMBtu, with a potential fair market value change of less than $0.1 million for a 10% price increase or decrease[283]. - Approximately 59% of retail revenues for the three months ended September 30, 2025, were derived from territories where credit risk was primarily with local regulated utility companies[284].