Centrus Energy Q2 2024: Revenue Up, Net Loss Widens
Ticker: LEU · Form: 10-Q · Filed: Aug 7, 2024 · CIK: 1065059
| Field | Detail |
|---|---|
| Company | Centrus Energy CORP (LEU) |
| Form Type | 10-Q |
| Filed Date | Aug 7, 2024 |
| Risk Level | medium |
| Pages | 16 |
| Reading Time | 19 min |
| Key Dollar Amounts | $0.10, $115 million |
| Sentiment | mixed |
Sentiment: mixed
Topics: earnings, financials, uranium, loss
TL;DR
Centrus Energy revenue up to $123.6M in H1 2024, but net loss balloons to $101.1M. 📉
AI Summary
Centrus Energy Corp. reported its Q2 2024 results, with total revenues of $123.6 million for the six months ended June 30, 2024, compared to $103.1 million for the same period in 2023. The company's net loss widened to $101.1 million in the first half of 2024 from $64.6 million in the first half of 2023. This filing covers the period ending June 30, 2024.
Why It Matters
Centrus Energy's financial performance, particularly its widening net loss despite increased revenue, could impact investor confidence and its ability to fund future operations in the uranium enrichment sector.
Risk Assessment
Risk Level: medium — The company's widening net loss, despite revenue growth, indicates potential financial instability or increased operational costs that could pose a risk.
Key Numbers
- $123.6M — H1 2024 Revenue (Represents an increase from H1 2023, indicating higher sales activity.)
- $101.1M — H1 2024 Net Loss (A significant increase in loss compared to H1 2023, raising concerns about profitability.)
- $103.1M — H1 2023 Revenue (Baseline revenue for comparison with the current period.)
- $64.6M — H1 2023 Net Loss (Previous period's net loss for comparison.)
Key Players & Entities
- Centrus Energy Corp. (company) — Filer of the 10-Q report.
- 6901 ROCKLEDGE DR, SUITE 800, BETHESDA, MD 20817 (company) — Business and mailing address.
- USEC INC (company) — Former company name.
- $123.6 million (dollar_amount) — Total revenues for the six months ended June 30, 2024.
- $103.1 million (dollar_amount) — Total revenues for the six months ended June 30, 2023.
- $101.1 million (dollar_amount) — Net loss for the first half of 2024.
- $64.6 million (dollar_amount) — Net loss for the first half of 2023.
- June 30, 2024 (date) — End of the reporting period for the 10-Q.
FAQ
What is the primary reason for the widening net loss in the first half of 2024 despite increased revenues?
The filing indicates that while revenues increased to $123.6 million in H1 2024 from $103.1 million in H1 2023, the net loss widened to $101.1 million from $64.6 million. Specific details on the causes for this widening loss, such as increased operating expenses, cost of sales, or other factors, would typically be elaborated in the Management's Discussion and Analysis section of the full report, which is not fully detailed in the provided snippet.
What is Centrus Energy Corp.'s main business activity?
Based on the SIC code (MINING, QUARRYING OF NONMETALLIC MINERALS (NO FUELS) [1400]) and the company name, Centrus Energy Corp. is involved in the energy sector, likely related to uranium enrichment or related services, as suggested by the 'leu:UraniumMember' and 'leu:SeparativeWorkUnitsMember' tags.
What was the company's financial performance in the second quarter of 2024 specifically?
The provided snippet details the six-month period ending June 30, 2024. While it gives total revenues of $123.6 million and a net loss of $101.1 million for the first half, it does not break down the specific figures for the second quarter (April 1 to June 30, 2024) in isolation.
When was Centrus Energy Corp. previously known as USEC INC?
The filing states that the date of the name change from USEC INC to Centrus Energy Corp. was June 29, 1998.
What is the company's fiscal year end?
Centrus Energy Corp.'s fiscal year ends on December 31.
Filing Stats: 4,716 words · 19 min read · ~16 pages · Grade level 9.7 · Accepted 2024-08-07 16:25:14
Key Financial Figures
- $0.10 — stered Class A Common Stock, par value $0.10 per share LEU NYSE American Indicate
- $115 million — ALEU Demonstration Contract Three-year, $115 million cost-share contract with DOE signed in
Filing Documents
- leu-20240630.htm (10-Q) — 1151KB
- exhibit_103x06302024xhal.htm (EX-10.3) — 8KB
- exhibit_104x06302024xhal.htm (EX-10.4) — 8KB
- exhibit_311x20240630.htm (EX-31.1) — 10KB
- exhibit_312x20240630.htm (EX-31.2) — 10KB
- exhibit_321x20240630.htm (EX-32.1) — 7KB
- exhibit_103x06302024xhal001.jpg (GRAPHIC) — 232KB
- exhibit_103x06302024xhal002.jpg (GRAPHIC) — 161KB
- exhibit_103x06302024xhal003.jpg (GRAPHIC) — 84KB
- exhibit_104x06302024xhal001.jpg (GRAPHIC) — 225KB
- exhibit_104x06302024xhal002.jpg (GRAPHIC) — 162KB
- exhibit_104x06302024xhal003.jpg (GRAPHIC) — 95KB
- leu-20240630_g1.jpg (GRAPHIC) — 51KB
- leu-20240630_g2.jpg (GRAPHIC) — 136KB
- 0001065059-24-000074.txt ( ) — 7458KB
- leu-20240630.xsd (EX-101.SCH) — 41KB
- leu-20240630_cal.xml (EX-101.CAL) — 52KB
- leu-20240630_def.xml (EX-101.DEF) — 232KB
- leu-20240630_lab.xml (EX-101.LAB) — 486KB
- leu-20240630_pre.xml (EX-101.PRE) — 344KB
- leu-20240630_htm.xml (XML) — 742KB
– FINANCIAL INFORMATION
PART I – FINANCIAL INFORMATION Item 1.
Financial Statements (Unaudited)
Financial Statements (Unaudited): Consolidated Balance Sheets at June 3 0 , 2024 and December 31, 2023 9 Consolidated Statements of Operations and Comprehensive Income for the Three and Six Months Ended June 3 0 , 2024 and 2023 10 Consolidated Statements of Cash Flows for the S ix Months Ended June 3 0 , 2024 and 2023 11 Consolidated Statements of Stockholders' Equity (Deficit) for the Three and Six Months Ended June 3 0 , 2024 and 2023 12
Notes to Consolidated Financial Statements
Notes to Consolidated Financial Statements 13 Item 2.
Management's Discussion and Analysis of Financial Condition and Results of Operations
Management's Discussion and Analysis of Financial Condition and Results of Operations 29 Item 3.
Quantitative and Qualitative Disclosures About Market Risk
Quantitative and Qualitative Disclosures About Market Risk 50 Item 4.
Controls and Procedures
Controls and Procedures 50
– OTHER INFORMATION
PART II – OTHER INFORMATION Item 1.
Legal Proceedings
Legal Proceedings 51 Item 1A.
Risk Factors
Risk Factors 51 Item 5. Other Information 51 Item 6. Exhibits 52
Signatures
Signatures 53 2 Glossary of Certain Terms and Abbreviations Centrus Energy Corp. and Related Entities ACO American Centrifuge Operating LLC, a subsidiary of Centrus Board Centrus Energy Corp.'s Board of Directors Centrus Centrus Energy Corp. Enrichment Corp. United States Enrichment Corporation, a subsidiary of Centrus Paducah GDP Paducah Gaseous Diffusion Plant, an enrichment plant in Paducah, Kentucky, formerly operated by Enrichment Corp. Piketon Production facility in Piketon, Ohio Portsmouth GDP Portsmouth Gaseous Diffusion Plant, an enrichment plant near Portsmouth, Ohio, formerly operated by Enrichment Corp. USEC-Government Enrichment Corp. prior to 1993, when it was a wholly-owned government corporation Other Terms and Abbreviations 2002 DOE-USEC Agreement June 17, 2002 agreement between Centrus (then known as USEC Inc.) and the DOE 5B Cylinders Storage cylinders for HALEU UF 6 produced by the cascade 8.25% Notes 8.25% Notes, maturing February 2027 American Centrifuge Advanced uranium enrichment gas centrifuge technology previously developed, based on the proven workable U.S. centrifuge technology developed by DOE in the mid-1980s and utilized in a demonstration facility in 2012-2013 American Centrifuge Plant Refers to a demonstration facility in Piketon, Ohio where USEC planned to install a lead cascade of centrifuge machines to demonstrate the American Centrifuge technology under the terms of the 2002 DOE-USEC Agreement ARDP DOE's Advanced Reactor Demonstration Program ATM At the Market Class A Common Stock Class A common stock, $0.10 par value per share Class B Common Stock Class B common stock, $0.10 par value per share Common Stock Class A Common Stock and Class B Common Stock D&D Decontamination & Decommissioning DOC U.S. Department of Commerce DOE U.S. Department of Energy EU European Union Exchange Act Securities Exchange Act of 1934, as amended HALEU High Assay Low-Enriched Uranium HALEU Demonstrati
FORWARD-LOOKING STATEMENTS
FORWARD-LOOKING STATEMENTS CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING INFORMATION This Quarterly Report on Form 10-Q of Centrus (the "Company," "we" or "us") contains "forward-looking statements" within the meaning of Section 21E of the Exchange Act of 1934, and the Private Securities Litigation Reform Act of 1995. In this context, forward-looking statements mean statements related to future events, which may impact our expected future business and financial performance, and often contain words such as "expects", "anticipates", "intends", "plans", "believes", "will", "should", "could", "would" or "may" and other words of similar meaning. These forward-looking statements are based on information available to us as of the date of this Quarterly Report on Form 10-Q and represent management's current views and assumptions with respect to future events and operational, economic and financial performance. Forward-looking statements are not guarantees of future performance, events or results and involve known and unknown risks, uncertainties and other factors, which may be beyond our control. The factors that could cause actual results to differ materially from the forward-looking statements made by us include those factors discussed herein, including those factors discussed in (a) Part I, Item 1. Financial Statements (Unaudited) : Note 11, Commitments and Contingencies , (b) Part I, Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations, (c) Part II, Item 1A. Risk Factors , and (d) other factors discussed in the Company's filings with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which apply only as of the date of this Report. The Company does not undertake any obligation to publicly release any revision to its forward-looking statements to reflect events or circumstances that may arise after the date of this Quarterly Report on Form 10-Q unless required by law. For Centr