New Concept Energy, Inc. Reports Second Quarter 2020 Results

·3 mins read

New Concept Energy, Inc. (NYSE American: GBR), (the "Company" or "NCE") a Dallas-based oil and gas company, today reported a net loss from continuing operations for the three months ended June 30, 2020 of $137,000 or ($0.03) per diluted share, compared to net loss from continuing operations of $141,000 or ($0.03) per share for the three months ended June 30, 2019.

The Company reported a net loss from continuing operations for the six months ended June 30, 2020 of $234,000 or ($0.05) per share, compared to net loss from continuing operations of $15,000 for the six months ended June 30, 2019.

For the three months ended June 30, 2019, the Company recorded oil and gas revenues of $93,000 as compared to $164,000 for the comparable period of 2019. The decrease was principally due to a lower price received for the sale of natural gas.

For the three months ended June 30, 2020, the Company recorded oil and gas operating expenses of $163,000 as compared to $231,000 for the comparable period of 2019. The decrease was principally due to reductions in payroll, consulting fees and overall expenses.

For the three months ended June 30, 2019, corporate general & administrative expenses were $127, 000 as compared to $134,000 for the comparable periods in 2019.

NEW CONCEPT ENERGY, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(unaudited)

(amounts in thousands)

June 30,
2020

December 31,
2019

Assets

Current assets

Cash and cash equivalents

$

39

$

22

Accounts receivable from oil and gas sales

69

73

Current portion note receivable (including $3,620 and $4,136 in 2020 and 2019 from related parties

3,660

4,046

Other current assets

25

-

Total current assets

3,793

4,141

Oil and natural gas properties (full cost accounting method)

Proved developed and undeveloped oil and gas properties, net of depletion

706

767

Property and equipment, net of depreciation

Land, buildings and equipment - oil and gas operations

662

668

Note receivable

192

214

Total assets

$

5,353

$

5,790

NEW CONCEPT ENERGY, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS - CONTINUED

(unaudited)

(dollars in thousands, except par value amount)

June 30,
2020

December 31,
2019

Liabilities and stockholders' equity

Current liabilities

Accounts payable - (including $20 and $180 due to related parties in 2020 and 2019)

$

195

$

355

Accrued expenses

37

35

Current portion of long term debt

40

44

Total current liabilities

272

434

Long-term debt

Notes payable less current portion

161

177

Asset retirement obligation

2,745

2,770

Total liabilities

3,178

3,381

Stockholders' equity

Preferred stock, Series B

1

1

Common stock, $.01 par value; authorized, 100,000,000

shares; issued and outstanding, 5,131,934 and 2,036,935 shares

at June 30, 2020 and December 31, 2019

51

51

Additional paid-in capital

63,579

63,579

Accumulated deficit

(61,456)

(61,222)

Total shareholder equity

2,175

2,409

Total liabilities & equity

$

5,353

$

5,790

NEW CONCEPT ENERGY, INC AND SUBSIDIARIES

CONSOLIDATED STATEMENT OF OPERATIONS

(unaudited)

(amounts in thousands, except per share data)

For the Three Months
ended June 30,

For the Six Months
ended June 30,

2020

2019

2020

2019

Revenue

Oil and gas operations, net of royalties

$

93

$

164

$

218

$

344

Operating expenses

Oil and gas operations

163

231

341

410

Corporate general and administrative

127

134

231

222

Total Operating Expenses

290

365

572

632

Operating earnings (loss)

(197)

(201)

(354)

(288)

Other income (expense)

Interest income

63

64

127

129

Interest expense

(3)

(4)

(7)

(9)

Other income (expense), net

-

-

-

153

Expense

60

60

120

273

Net income (loss) applicable to common shares

$

(137)

$

(141)

$

(234)

$

(15)

Net income (loss) per common share-basic and diluted

$

(0.03)

$

(0.03)

$

(0.05)

$

-

Weighted average common and equivalent shares outstanding - basic

5,132

5,132

5,132

5,132

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Contacts

New Concept Energy Inc.
Investor Relations
Gene Bertcher, (800) 400-6407
info@newconceptenergy.com