This conference call transcript was computer generated and almost certianly contains errors. This transcript is provided for information purposes only.EarningsCall, LLC makes no representation about the accuracy of the aforementioned transcript, and you are cautioned not to place undue reliance on the information provided by the transcript.
spk01: Good morning and welcome to the via renewables first quarter 2024 earnings call. This call is also being broadcast via webcast, which can be located in the investor relations section of our website at via renewables.com with us today for management is our CEO Keith Maxwell and our CFO Michael Ross. Please note that today's discussion may contain forward looking statements, which are based on assumptions that we believe to be reasonable as of this date. Actual results may differ materially. We urge everyone to review the safe harbor statement and yesterday's earnings release as well as the risk factors in our SEC filings. We undertake no obligation to update these statements as a result of future events, except as required by law. In addition, we will refer to both gap and non gap finance for information regarding our non gap potential and reconciliation to the most comparable gap measures. Please refer to yesterday's earnings. With that, I'll turn the call to you next. Well, our CEO.
spk00: Thank you, Stephen. I want to welcome everyone to today's call. I'll begin by providing a summary of results first quarter and then our CFO Mike Ross will provide more details on the financial. In the first quarter, we reported a vested EBITDA of fifteen point one million dollars, which is a three point seven million dollar decrease from the prior year of eighteen eight million dollars due to lower unit margins compounded by mild weather, which resulted in lower gas volume. On a positive note, we grew our customer book to three hundred and thirty eight thousand RCE compared to three hundred and thirty five thousand RCE at the start of. The year we also increased the percentage of our customer based POR markets, which compared to the first quarter of twenty twenty three, which lowers our credit risk and bad debt exposure. Looking forward to our second quarter, we're happy to announce that we entered into an agreement to acquire approximately twelve thousand five hundred RCEs in our existing markets. This acquisition will be a creative to our bottom line beginning in the second quarter of this year. This marks our first customer per acquisition since the end of twenty twenty two and we will continue to be open to any potential future tuck in acquisitions. And we are committed to growing our customer base in line with long term growth strategies. That concludes my prepared heart and now turn the call over to Mike for his financial review. Mike,
spk02: thanks, Keith. Good morning. In the first quarter, we achieved fifteen point one million dollars in adjusted EBITDA compared to last year's first quarter of eighteen point eight million dollars. Retail gross margin for the quarter was thirty five point seven million dollars compared with forty point three million dollars last year. In our retail electricity segment, gross margin was eighteen point nine million dollars compared to twenty point five million dollars in the first quarter last year. The decrease due to lower unit margins partially offset by higher volumes, did a higher RCE count. In our retail natural gas segment, gross margin was sixteen point two million dollars compared to nineteen point nine million dollars in the first quarter last year. This was due to both lower unit margins and volumes year over year. GNA expenses were seventeen point three million dollars compared to seventeen point two million dollars in the first quarter last year, primarily due to increased sales and marketing expenses and legal fees. This is partially offset by a reduction in bed debt. We ended the quarter at three hundred and thirty eight thousand RCEs compared to three hundred and thirty nine thousand RCEs in the first quarter of twenty three and up from three hundred and thirty five thousand RCEs on December 31st, twenty twenty three. Our attrition was three point nine percent, which remained flat compared to the first quarter of twenty twenty three due to lower attrition in our mass market book offset by an uptick in commercial attrition. Our net income for the quarter was nineteen point one million dollars or income of a dollar and eighty one cents per fully diluted share compared to a net loss of six point eight million dollars or a loss of a dollar and twenty six cents per fully diluted share for the first quarter of twenty twenty three. The increase is mainly due to an increase in the market to market on our hedges that we put in place to lock in margins on our retail contracts. We had a mark to market gain this quarter of eleven point two million dollars compared to a mark to market loss of twenty two point six million dollars a year ago. We also had reductions in net asset optimization, depreciation and interest expenses of one point four million dollars, one point three million dollars and eight hundred thousand dollars respectively. The increase in net income was partially offset by a decrease in retail gross margin and increases in income tax and GNA expenses. Income tax expense increased to four point eight million dollars in the first quarter of twenty twenty four compared to a benefit of two million dollars in twenty twenty three. On April 15th, we paid the quarterly cash dividends on our series a preferred stock. On April 17th, we declared a dividend in the amount of seventy six point oh five one cents per share on our preferred stock to be paid on July 15th.
spk00: That's all I have. Thanks, Mike. I want to thank our employees and the care and dedication to growing and supporting via and to our suppliers and their continued support. I want to thank our customers for choosing us as their energy provider. We are excited about the future and look forward to connecting with you soon on our next call.
Disclaimer