New Concept Energy, Inc. Reports Second Quarter 2025 Results
MWN-AI** Summary
New Concept Energy, Inc. (NYSE American: GBR), based in Dallas, has reported its financial results for the second quarter of 2025, ending June 30. The company experienced a net loss of $18,000 from continuing operations, contrasting with a net income of $3,000 during the same period in 2024. Despite a slight increase in revenue, which reached $40,000 in Q2 2025—comprised of $26,000 from rental income and $14,000 from management fees—this was not enough to offset increased expenses.
The company’s general and administrative costs rose to $85,000, up from $78,000 in the second quarter of 2024. Additionally, interest income decreased to $42,000 compared to $56,000 a year earlier. Overall, the financial results reflect ongoing challenges within the company's operations, particularly as it navigates its real estate holdings in West Virginia and management services for a third-party oil and gas company.
On the balance sheet side, New Concept Energy reported total assets of $4.574 million as of June 30, 2025, slightly down from $4.594 million at the end of 2024. Notably, the company holds a note receivable from a related party worth $3.542 million. On the liabilities side, total current liabilities increased modestly to $75,000 from $57,000.
Stockholders' equity also saw a decrease to $4.499 million, down from $4.537 million as of December 31, 2024. This financial update underscores New Concept Energy's need to enhance operational efficiency and explore avenues for profitability in a competitive market.
For further information, investors can visit the company’s website at www.newconceptenergy.com.
MWN-AI** Analysis
New Concept Energy, Inc. (NYSE American: GBR) reported its second-quarter results for 2025, revealing a net loss of $18,000, a significant decline from the net income of $3,000 the same period in 2024. The revenue increased marginally to $40,000, primarily derived from rental income and management fees. However, the rise in expenses, particularly corporate general and administrative costs, which climbed to $85,000 from $78,000, contributed to the net loss.
Although the company has maintained stable revenue streams from its properties and management services, the increase in expenses coupled with a reduction in interest income—$42,000 in 2025 compared to $56,000 in 2024—highlights an unsettling trend. The company’s accumulated deficit has also widened, reaching $59,132, compared to $59,094 in the prior year, suggesting ongoing challenges in profitability.
From a liquidity perspective, New Concept Energy's current assets slightly improved, totaling $403,000 as of June 30, 2025, contrasted with $372,000 at year-end. However, the cash position remains precarious, given the relatively low balance of $356,000.
For investors contemplating positions in New Concept Energy, the following points should be considered:
1. **Cost Management**: Continuous scrutiny of corporate and operational expenses is necessary. Failure to address rising costs could further erode profitability.
2. **Revenue Diversification**: The company relies heavily on its current twin revenue streams. Exploring new avenues for income generation could provide stability.
3. **Investment Risk**: Given the current financial instability, the stock may be more suitable for risk-tolerant investors likely expecting potential recovery phases.
4. **Market Conditions**: With fluctuating interest income and economic conditions potentially affecting real estate, investors need to be vigilant regarding sector performance.
In conclusion, while New Concept Energy demonstrates some promising revenue trends, ongoing expenses and losses present significant hurdles. Analyzing future quarters closely will be crucial for informed investment decisions.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
New Concept Energy, Inc. (NYSE American: GBR), (the “Company” or “NCE”) a Dallas-based company, today reported Results of Operations for the second quarter ended June 30, 2025.
The Company reported a net loss from continuing operations of ($18,000) for three months ended June 30, 2025, as compared to net income of $3,000 for the similar period in 2024.
For the three months ended June 30, 2025 the Company had revenue of $40,000 including $26,000 for rental income and $14,000 in management fees. For the three months ended June 30, 2024 the Company had revenue of $37,000 including $25,000 for rental income and $12,000 in management fees.
For the three months ended June 30, 2025, corporate general & administrative expenses were $85,000 as compared to $78,000 for the comparable period in 2024.
For the three months ended June 30, 2025, interest income was $42,000 as compared to $56,000 for the comparable period in 2024.
New Concept Energy, Inc. is a Dallas-based company which owns real estate in West Virginia and provides management services for a third-party oil and gas company. For more information, visit the Company’s website at www.newconceptenergy.com .
| NEW CONCEPT ENERGY, INC. AND SUBSIDIARY | ||||||
| CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||
| (amounts in thousands) | ||||||
| June 30, 2025 | December 31, 2024 | |||||
| (Unaudited) | (Audited) | |||||
| Assets | ||||||
| Current assets | ||||||
| Cash and cash equivalents | $ | 356 | $ | 363 | ||
| Other current assets | 47 | 9 | ||||
| Total current assets | 403 | 372 | ||||
| Property and equipment, net of depreciation | ||||||
| Land, buildings and equipment | 629 | 636 | ||||
| Note and interest receivable - related party | ||||||
| Note receivable | 3,542 | 3,542 | ||||
| Interest receivable | - | 44 | ||||
3,542 | 3,586 | |||||
| Total assets | $ | 4,574 | $ | 4,594 |
| NEW CONCEPT ENERGY, INC. AND SUBSIDIARY | |||||||
| CONDENSED CONSOLIDATED BALANCE SHEETS - CONTINUED | |||||||
| (amounts in thousands, except share and par value amount) | |||||||
| June 30, 2025 | December 31, 2024 | ||||||
| (Unaudited) | (Audited) | ||||||
| Liabilities and stockholders' equity | |||||||
| Current liabilities | |||||||
| Accounts payable | $ | 27 | $ | 20 | |||
| Accrued expenses | 48 | 37 | |||||
| Total current liabilities | 75 | 57 | |||||
| Stockholders' equity | |||||||
| Preferred stock, Series B, $10 par value; authorized 100,000 shares, 1 issued and | 1 | 1 | |||||
| outstanding at June 30, 2025 and December 31, 2024 | |||||||
| Common stock, $.01 par value; authorized, 100,000,000 | |||||||
| shares; issued and outstanding, 5,131,934 shares | |||||||
| at June 30, 2025 and December 31, 2024 | 51 | 51 | |||||
| Additional paid-in capital | 63,579 | 63,579 | |||||
| Accumulated deficit | (59,132 | ) | (59,094 | ) | |||
| Total stockholders' equity | 4,499 | 4,537 | |||||
| Total liabilities & stockholders' equity | $ | 4,574 | $ | 4,594 |
| NEW CONCEPT ENERGY, INC AND SUBSIDIARY | |||||||||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||||||||
| (Unaudited) | |||||||||||||||
| (amounts in thousands, except per share data) | |||||||||||||||
For the Three Months ended June 30, | For the Six Months ended June 30, | ||||||||||||||
2025 | 2024 | 2025 | 2024 | ||||||||||||
| Revenue | |||||||||||||||
| Rent | $ | 26 | $ | 25 | $ | 52 | $ | 50 | |||||||
| Management fee | 14 | 12 | 26 | 23 | |||||||||||
| Total revenues | 40 | 37 | 78 | 73 | |||||||||||
| Operating expenses | |||||||||||||||
| Operating expenses | 15 | 12 | 27 | 25 | |||||||||||
| Corporate general and administrative | 85 | 78 | 174 | 156 | |||||||||||
| Total operating expenses | 100 | 90 | 201 | 181 | |||||||||||
| Loss from operations | (60 | ) | (53 | ) | (123 | ) | (108 | ) | |||||||
| Other income | |||||||||||||||
| Interest income (from related parties) | 42 | 56 | 85 | 113 | |||||||||||
| Total other income | 42 | 56 | 85 | 113 | |||||||||||
| Net income (loss) applicable to common shares | $ | (18 | ) | $ | 3 | $ | (38 | ) | $ | 5 | |||||
| Net income (loss) per common share-basic and diluted | $ | (0.00 | ) | $ | 0.00 | $ | (0.00 | ) | $ | 0.00 | |||||
| Weighted average common and equivalent shares outstanding - basic and diluted | 5,132 | 5,132 | 5,132 | 5,132 |
View source version on businesswire.com: https://www.businesswire.com/news/home/20250812919603/en/
New Concept Energy, Inc.
Investor Relations
Gene Bertcher, (800) 400-6407
info@newconceptenergy.com
FAQ**
How does the Q2 2025 net loss of New Concept Energy Inc GBR compare to previous quarters, and what strategies is the company considering to reverse this trend?
Given the decrease in interest income for New Concept Energy Inc GBR from $56,000 in Q2 20to $42,000 in Q2 2025, what factors contributed to this change, and how will it impact future operations?
What are the main drivers of increased corporate general and administrative expenses for New Concept Energy Inc GBR in Q2 2025, and how is management addressing these costs moving forward?
With total revenues increasing from $37,000 in Q2 2024 to $40,000 in Q2 2025, what growth opportunities does New Concept Energy Inc GBR see in the real estate and management service sectors to sustain this momentum?
**MWN-AI FAQ is based on asking OpenAI questions about New Concept Energy Inc (NYSE: GBR).
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