Stabilis Solutions Inc (SLNG) Reports Q3 2023 Results: A Mixed Financial Performance
Stabilis Solutions Inc (NASDAQ:SLNG) announces third-quarter results with revenues of $15.3 million.
The company secured a significant multi-year bunkering contract with Carnival Corporation.
Adjusted EBITDA stands at $539 thousand, with a net loss of $207 thousand for the quarter.
Stabilis Solutions Inc (NASDAQ:SLNG) continues to position itself for long-term profitable growth in the clean energy sector.
On November 8, 2023, Stabilis Solutions Inc (NASDAQ:SLNG), a prominent provider of clean energy production, storage, and delivery solutions, disclosed its financial outcomes for the third quarter ending September 30, 2023. The earnings release, dated November 9, 2023, revealed a revenue increase to $15.3 million, up from $12.9 million in the previous quarter, indicating a positive trajectory in sales.
Financial Highlights and Management Commentary
Despite the revenue growth, Stabilis Solutions Inc (NASDAQ:SLNG) experienced a net loss of $207 thousand for the quarter. The company's President and CEO, Westy Ballard, commented on the results, stating,
We delivered third quarter results in-line with our expectations, while continuing to advance a series of strategic and operational priorities that position us for long-term profitable growth."
Ballard also highlighted the significance of a new contract with Carnival Corporation, which serves as a testament to the company's marine strategy and its efforts to establish a leading LNG bunkering platform.
Income Statement and Balance Sheet Overview
Stabilis Solutions Inc (NASDAQ:SLNG) reported a cost of revenues of $12.1 million and a total operating expense of $15.8 million, leading to an operating loss of $476 thousand before equity income. The net equity income from foreign joint venture operations was $284 thousand. The company also reported an adjusted EBITDA of $539 thousand for the quarter.
The balance sheet reflects a total asset value of $81.1 million, with current assets including $4.9 million in cash and cash equivalents. The total liabilities stood at $21.5 million, resulting in a stockholders' equity of $59.6 million.
Cash Flow and Non-GAAP Measures
The cash flow statement shows a net cash provided by operating activities of $1.5 million for the quarter. However, the company experienced a net decrease in cash and cash equivalents of $3.2 million over the quarter, ending with $4.9 million in cash and cash equivalents.
Stabilis Solutions Inc (NASDAQ:SLNG) also provided non-GAAP measures, with EBITDA at $1.8 million and Adjusted EBITDA at $539 thousand. These figures are used by management to assess the company's performance and are not recognized under GAAP.
Investor Relations and Future Outlook
Stabilis Solutions Inc (NASDAQ:SLNG) remains committed to its growth strategy in the clean energy sector. The company's investor relations contact, Chief Financial Officer Andrew Puhala, is available for further inquiries. While the company faces challenges, the strategic contract with Carnival Corporation and other operational priorities may pave the way for future profitability and growth.
For detailed insights and further analysis, investors and interested parties are encouraged to visit the Investor Relations section of the company's website and to attend the upcoming conference call and webcast.
Stabilis Solutions Inc (NASDAQ:SLNG) continues to navigate the complex clean energy market, balancing strategic growth initiatives with financial prudence to achieve long-term success.
Explore the complete 8-K earnings release (here) from Stabilis Solutions Inc for further details.
This article first appeared on GuruFocus.
