- Just Energy (JE) has reported lower earnings, sales, and margins in the fourth quarter of 2021 due in part to the unusually cold weather that swept Texas in February
- The company also reported decreases across the board for the entire 2021 fiscal year compared to fiscal year 2020
- However, the company ended the year with $247.5 million of total available liquidity, which represents an increase of 184 per cent year-over-year
- The company is committed to growth and restructuring to provide the best service to its customers and stakeholders
- Just Energy is a retail energy provider specializing in electricity and natural gas commodities
- Just Energy Group Inc. (JE) is down 4.40 per cent on the day, trading at $1.74 per share
Just Energy (JE) reported lower earnings, sales, and margins in the fourth quarter of 2021.
The fourth-quarter decline was due in part to the unusually cold weather that swept over the State of Texas, where Just Energy operates, in February. The extreme cold, combined with sustained high prices for electricity, led the company to file for creditor protection in Canada and the United States.
On June 16, 2021, Texas Governor Greg Abbot signed House Bill 4492, which provides cost recovery plans for companies like Just Energy that incurred costs during the weather event.
Scott Gahn, Just Energy’s president and CEO, remarked on the company’s plans moving forward.
“We remain focused on our commitment to our customers, employees, partners, and our pursuit of growth in key markets,” he said, adding, “We also continue to work with our valued stakeholders to advance Just Energy towards a successful restructuring.”
Key financial results from the report include:
- A decrease in sales year-over-year of 11 per cent;
- Lower base gross margin by 28 per cent compared to Q4 2020; and
- A decrease of 28 per cent of base EBITDA
Fourth-quarter sales declines were primarily driven by a decrease in customer base due to a shift in the company’s focus to increase its number of high-quality customers in addition to regulatory restrictions in some markets and selling restraints resulting from the pandemic.
The company also reported decreases across the board for the entire 2021 fiscal year compared to fiscal year 2020. However, the company ended the year with $247.5 million of total available liquidity, which represents an increase of 184 per cent year-over-year.
Just Energy is a retail energy provider specializing in electricity and natural gas commodities and bringing energy-efficient solutions and renewable energy options to customers.
The company serves residential and commercial customers in the United States and Canada.
Just Energy Group Inc. (JE) is down 4.40 per cent on the day, trading at $1.74 per share as of 9:58 am ET.
