Crius Approaches 1 Million Customers, Earnings Tempered By Mild Weather

Crius Energy Trust is nearing 1 million customers as it reported earnings for the quarter ending March 31, 2016 which were impacted by milder than normal weather

Crius was serving 916,000 Residential Customer Equivalents (RCEs) as of March 31, 2016, versus 819,000 as of December 31, 2015 and 581,000 RCEs a year ago.

Gross customer additions since December 31, 2015 were 170,000, with 95,000 RCEs added organically, and 75,000 RCEs added through the previously reported acquisition of Iron Energy d/b/a Kona Energy

Average quarterly organic customer adds over the last twelve months has been 92,000 RCEs.

At March 31, 2016, Crius' book consisted of 849,000 electricity RCEs and 67,000 natural gas RCEs.

Gross margin for the quarter ending March 31, 2016 was $40.2 million, largely in line with gross margin in the first quarter of 2015, impacted by mild winter weather conditions experienced in the quarter. Electricity gross margin for the three-month period ended March 31, 2016 was $32.8 million, representing an increase of 15.9% from $28.3 million for the three-month period ended March 31, 2015

Revenues for the quarter ending March 31, 2016 was $180.8 million

Adjusted EBITDA in the quarter ending March 31, 2016 was $13.0 million, a 9.7% decrease from $14.4 million a year-ago, with the current quarter being impacted by non-recurring costs of $0.7 million relating to a sales and use tax assessment in Texas and $0.7 million related to costs associated with a workforce restructuring, which is expected to generate savings over the balance of the year. Adjusting for these non-recurring costs, Adjusted EBITDA was $14.4 million in the quarter and was consistent with the first quarter of 2015.