- Just Energy (JE) has lost nearly a quarter of its share price today after revealing its full year financial results
- The company’s full-year sales fell nine per cent, along with a 16 per cent increase in full-year loss, when compared to 2019
- Moreover, the company’s C$370 million credit facility matures in September of this year, posing further liquidity problems
- On March 31 the company had $87.2 million in cash and available liquidity
- Just Energy (JE) is down 22 per cent and is trading at 59 cents per share
Just Energy (JE) has lost nearly a quarter of its share price today after revealing its full year financial results.
The company reported a big fall in sales revenue and earnings, as well as a looming $370 million loan repayment.
The Toronto-based energy retailer saw sales for the final quarter of the financial year fall 15 per cent against 2019 to C$675.68 million.
This resulted in full-year sales falling nine per cent, along with a 16 per cent increase in full-year loss, when compared to 2019.
The company’s base EBITDA from operation’s did grow 16 per cent, showing improved efficiencies within the business.
However, the company’s $370 million credit facility matures September of this year, yet Just Energy currently only has $87.2 million in available cash and liquidity, as of March 31.
The company’s total debt grew eight per cent for the year, moving from $725.4 million to $782.0 million at the end of March.
Just Energy President and CEO, R Scott Gahn said the company had taken steps to reduce spending, streamline its portfolio and add more customers.
“These completed actions will deliver approximately $100 million in savings in fiscal 2021 relative to our fiscal 2019 performance, highlighting our operational improvements from completing our strategic review.
“These savings exclude the incremental bad debt savings that we are realising from our enhanced controls.
However, we continue to operate in a difficult situation as a company, facing significant liquidity risks,” he said.
Just Energy (JE) is down 22 per cent and is trading at 59 cents per share at 12:05 pm EDT.