New Concept Energy, Inc. Reports Second Quarter 2022 Results

Rhea-AI Summary

New Concept Energy, Inc. (NYSE American: GBR) reported a net income of $137,000 for Q2 2022, up from $49,000 in Q2 2021. Revenue for the quarter totaled $47,000, driven by $26,000 in rental income and $21,000 in management fees. Corporate general and administrative expenses decreased to $80,000 from $111,000 year-over-year, reflecting reduced administrative costs. Additionally, the company recorded $130,000 in other income, including a $68,000 gain from equipment sales. Total assets increased to $4,594,000 as of June 30, 2022.

Positive

• Net income increased to $137,000 in Q2 2022 from $49,000 in Q2 2021.
• Revenue rose to $47,000, supported by $21,000 management fees.
• Corporate general and administrative expenses decreased to $80,000 from $111,000 year-over-year.
• Recognized $62,000 in previously reserved investment and $68,000 gain from equipment sales.

Negative

• Total revenue for the six months ended June 30, 2022, increased modestly to $92,000 from $52,000 in 2021, still low.
• Operating loss of $46,000 in Q2 2022, although reduced from $105,000 in Q2 2021.

DALLAS--(BUSINESS WIRE)-- New Concept Energy, Inc. (NYSE American: GBR), (the “Company” or “NCE”) a Dallas-based company, today reported Results of Operations for the second quarter ended June 30, 2022.

During the three months ended June 30, 2022, the Company reported net income of $137,000 compared to net income of $49,000 for the three months ended June 30, 2021.

For the three months ended June 30, 2022 the Company had revenue of $47,000 including $26,000 for rental income and $21,000 for management fees as compared to rental income of $26,000 for the comparable period in 2021.

For the three months ended June 30, 2022, corporate general & administrative expenses were $80,000 as compared to $111,000 for the comparable periods in 2021. The decrease was due to an overall reduction of administrative expenses.

Included in other income for the three months ended June 30, 2022 is $62,000 which represents the collection of an investment that had previously been fully reserved. In addition during the three months ended June 30, 2022 the company sold equipment and recorded a gain of $68,000.

New Concept Energy, Inc. is a Dallas-based company which owns real estate in West Virginia and provides management services for a third party oil and gas company. For more information, visit the Company’s website at www.newconceptenergy.com.

NEW CONCEPT ENERGY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(amounts in thousands)
		June 30, 2022			December 31, 2021
		(Unaudited)			(Audited)
Assets
Current assets
Cash and cash equivalents		$	372		$	252
Note receivable - related party			3,542			3,560
Other current assets			43			-
Total current assets		$	3,957		$	3,812
Property and equipment, net of depreciation
Land, buildings and equipment			637			643
Total assets		$	4,594		$	4,455

NEW CONCEPT ENERGY, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS - CONTINUED
(unaudited)
(dollars in thousands, except par value amount)
		June 30, 2022				December 31, 2021
Liabilities and stockholders' equity
Current liabilities
Accounts payable		$	19			$	28
Accrued expenses			37				32
Total current liabilities			56				60
Stockholders' equity
Preferred stock, Series B			1				1
Common stock, $.01 par value; authorized, 100,000,000
shares; issued and outstanding, 5,131,934 shares
at June 30, 2022 and December 31, 2021			51				51
Additional paid-in capital			63,579				63,579
Accumulated deficit			(59,093	)			(59,236	)
Total shareholder equity			4,538				4,395
Total liabilities & equity		$	4,594			$	4,455

NEW CONCEPT ENERGY, INC AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF OPERATIONS
(unaudited)
(amounts in thousands, except per share data)
	For the Three Months ended June 30,								For the Six Months ended June 30,
		2022				2021				2022				2021
Revenue
Rent	$	26			$	26			$	51			$	52
Management Fee		21				-				41			$	-
Total Revenues		47				26				92				52
Operating expenses
Operating Expenses		13				20				25				38
Corporate general and administrative		80				111				160				185
Total Operating Expenses		93				131				185				223
Operating earnings (loss)		(46	)			(105	)			(93	)			(223	)
Other income (expense)
Interest income		53				56				106				112
Interest expense		-				(2	)			-				(4	)
Other income, net		130				100				130				191
		183				154				236				299
Net income (loss) applicable to common shares		137				49				143				128
Net income per common share-basic and diluted	$	0.02			$	0.01			$	0.03			$	0.02
Weighted average common and equivalent shares outstanding - basic		5,132				5,132				5,132				5,132

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20220810005620/en/

New Concept Energy, Inc.

Gene Bertcher, (800) 400-6407

info@newconceptenergy.com

Source: New Concept Energy, Inc.

FAQ

What was New Concept Energy's net income for Q2 2022?

New Concept Energy reported a net income of $137,000 for Q2 2022.

How much revenue did GBR generate in Q2 2022?

New Concept Energy generated $47,000 in revenue for Q2 2022.

What were the administrative expenses for GBR in Q2 2022?

Corporate general and administrative expenses for GBR in Q2 2022 were $80,000.

What gains did New Concept Energy report in Q2 2022?

New Concept Energy reported a $68,000 gain from equipment sales and $62,000 from an investment recovery.

How did New Concept Energy's assets change by June 30, 2022?

Total assets increased to $4,594,000 as of June 30, 2022.