Anaergia (ANRG) Q1 2024 earnings summary

Executive summary

• Revenue for Q1 2024 was $25.0 million, a 33% decrease year-over-year due to completed Italian projects, customer delays, and fewer new project signings.

• Gross profit rose 28% to $6.5 million, driven by higher margins in North America, the UK, and the SoCal Biomethane project.

• Adjusted EBITDA swung from a $3.3 million gain to a $6.0 million loss, mainly due to a prior-year $10.1 million gain from the sale of a Danish facility.

• Net loss widened to $11.5 million from $8.4 million year-over-year.

Financial highlights

• Gross margin improved to 26% from 14% year-over-year.

• Loss from operations was $10.2 million, slightly better than the $10.8 million loss in Q1 2023.

• Loss per share improved to $(0.02) from $(0.10) year-over-year.

• Total assets declined to $247.0 million from $278.7 million sequentially.

• Equity decreased to $68.1 million from $73.6 million at year-end 2023.

Key financial ratios and metrics

• Adjusted EBITDA margin turned negative, reflecting operational challenges and absence of prior-year one-time gains.

• Net loss margin increased due to lower revenue and absence of significant one-time gains.