Charah Solutions, Inc. (NYSE:CHRA) has sold its subsidiary, Allied Power Holdings, LLC, to an affiliate of Bernhard Capital Partners for $40 million. This strategic move aims to focus on the $75 billion ash environmental remediation market. The proceeds from the sale will significantly reduce the company's debt, enhancing liquidity and improving future leverage ratios. The transaction, approved by the Board and lenders, underscores Charah's commitment to sustainability and operational efficiency in providing environmental services to power generation.
Charah Solutions (NYSE:CHRA) has scheduled a conference call on November 11, 2020, at 8:30 a.m. ET to discuss its third quarter 2020 financial results. Interested participants can register through a provided link and access the call via a unique conference ID. A replay will be available after the call, along with a transcript on the company’s website. Charah Solutions specializes in environmental and maintenance services for the power generation sector, promoting environmental compliance and sustainability.
Charah Solutions (NYSE:CHRA) is negotiating an agreement with the Texas Municipal Power Agency (TMPA) to acquire the Gibbons Creek Steam Electric Station and Reservoir in Texas, covering 6,166 acres. The project includes environmental remediation and the decommissioning of the coal plant. Charah's subsidiary will manage the redevelopment of the site, aiming for renewable energy and economic expansion while maintaining local recreational facilities. This initiative is expected to save TMPA millions in costs and support local schools through tax base enhancement.
Charah Solutions, Inc. (NYSE:CHRA) has renewed its contract with Exelon Generation Company for nuclear maintenance services, extending support through mid-August 2025 with a five-year renewal option. The Allied Power division will service 12 Exelon nuclear plants across Illinois, Maryland, New York, and Pennsylvania. This partnership reinforces Charah's standing as a key service provider in the nuclear sector, emphasizing their commitment to operational excellence. CEO Scott Sewell highlighted the company's recognized ability to meet the complex needs of utility clients.
Charah Solutions (CHRA) reported strong financial results for Q2 2020, despite challenges posed by COVID-19. The company achieved $367 million in new business awards year-to-date, a 10.1% increase in revenue to $133.1 million, and a significant gross profit turnaround to $10.7 million. However, net losses decreased significantly, totaling $3.5 million for the quarter. The firm reaffirmed its 2020 guidance, projecting revenues of $560 million and a net loss of $15 million, contingent on maintaining existing operations. Adjusted EBITDA surged to $7.5 million, reflecting improved operational efficiency.
Charah Solutions reported a net loss of $4.6 million or $0.15 per share for Q2 2020, improving from a loss of $18 million in Q2 2019. Revenue rose 10.1% to $133.1 million, driven by the Maintenance and Technical Services segment. The company secured $367 million in new business awards year-to-date and reaffirmed its 2020 guidance, projecting revenues of $560 million and an adjusted EBITDA of $37 million. Despite challenges from COVID-19, Charah anticipates market opportunities for environmental services, positioning itself to benefit in the long term.