Via Renewables, Inc. Reports Preliminary 2022 Financial Results; Expects To Report "Material Weakness" Relating To Controls Over Its Calculation Of Deferred Tax Assets And Liabilities, And Income Tax Expense, And Immaterial Corrections For The Years Ended December 31, 2021 And 2020
March 16, 2023 Email This Story Copyright 2010-21 EnergyChoiceMatters.com
Reporting by Paul Ring • email@example.com
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Via Renewables, Inc. ("Via Renewables" or the "Company") today reported, "preliminary unaudited financial results for the year ended December 31, 2022."
"The Company plans to release its full fourth quarter and full year 2022 financial results before the 12b-25 extended deadline, and to host a conference call to discuss fourth quarter and full year 2022 results the following day," Via said
Via said in a news release that, "The Company expects to report in its Form 10-K a material weakness in the design and operation of the controls over its calculation of deferred tax assets and liabilities, and income tax expense, and immaterial corrections for the years ended December 31, 2021 and 2020. The information presented herein gives effect to the immaterial corrections. Please see Note 2 in the Notes to the Consolidated Financial Statements appearing in our Form 10-K for the year ended December 31, 2022 for a description of the adjustments."
In a news release, Via said that the Company expects to file a Notification of Late Filing on Form 12b-25 with the SEC as it determined it would be unable to file its Form 10-K by its due date of March 16, 2023. The Company expects to file its Form 10-K within the extension period of 15 calendar days as provided by Rule 12b-25 under the Securities Exchange Act of 1934, as amended (the Exchange Act), Via said
In a Form 12b-25 filed on March 16, Via said, "In connection with the preparation of its financial statements for the year ended December 31, 2022, the Company identified an inaccuracy in the accounting for its income tax expense, deferred tax assets and liabilities. The Company expects to report in its Annual Report immaterial corrections for the years ended December 31, 2021 and 2020, and a material weakness related to the error described above and that its disclosure controls and procedures were not effective as of December 31, 2022."
In a Form 12b-25 filed on March 16, Via said, "The Company changed accounting firms in March 2022. In connection with the foregoing and because certain of the adjustments were related to the years ended December 31, 2021 and 2020, audited by the former independent registered public accounting firm, the Company was required to re-engage its former independent registered public accounting firm, which it was unable to complete prior to the filing deadline of the Annual Report. The Company intends to file its Annual Report as soon as practicable within the additional time allowed by this report."
In a news release, Via said, "The Company’s audited financial statements for the year ended December 31, 2022 are not yet available. Accordingly, the Company’s preliminary and unaudited financial results are subject to completion. Actual financial results that will be reflected in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022 (the 'Form 10-K'), including audited financial statements, when they are completed and publicly disclosed may differ from these preliminary and unaudited results."
Concerning the preliminary results, also described as "expected" in the news release, Via in a news release cited an expected $12.6 million in Adjusted EBITDA for the fourth quarter of 2022, versus $11.6 million a year ago.
In a news release, Via cited an expected $31.9 million in Retail Gross Margin for the fourth quarter of 2022, versus $25.2 million a year ago
In a news release, Via cited an expected $51.8 million in Adjusted EBITDA for the year ended 2022, versus $80.7 million a year ago
In a news release, Via cited an expected $114.8 million in Retail Gross Margin for the year ended 2022, versus $132.5 million a year ago
In a news release, Via cited expected average monthly attrition of 3.8%
In a news release, Via cited expected total liquidity of $76.9 million as of December 31, 2022
"Looking back on 2022, Via was able to weather some of the highest sustained commodity price increases we’ve ever seen. We were able to quickly react to the rising price environment and offer competitive rates where we saw opportunities. This allowed us to increase our customer acquisition spend from the prior year and helped us counter rising attrition that resulted from the high commodity prices. We were also able to acquire approximately 18,700 RCEs in the Florida gas market in the second half of the year. Finally, we restructured our credit facility and positioned ourselves to have ample liquidity for these turbulent market conditions," said Keith Maxwell, Via Renewables’ Chief Executive Officer.