Note 1 — Restatement of Previously Issued Financial Statements

On March 9, 2026, management and the Audit Committee of the Board of Directors of Genie Energy Ltd. (the “Company”) concluded that the Company’s previously issued consolidated financial statements for the years ended December 31, 2024 and December 31, 2023 contained in the Company’s Annual Report on Form 10-K, and the Company’s previously issued unaudited condensed consolidated financial statements included in the Company's Quarterly Reports on Form 10-Q for each of the quarterly and year-to-date periods within 2024 as well as the quarterly and year-to-date periods ended March 31, 2025, June 30, 2025 and September 30, 2025 (collectively, the “Prior Periods”), should no longer be relied upon and require restatement (the “Restatement”) because of errors related to the accounting for the liability associated with the Company's captive insurance subsidiary recorded in the Prior Periods that resulted in material misstatements of cash and cash equivalents, restricted cash—short-term and long-term, deferred income tax assets, net, income tax payable and current and noncurrent captive insurance liabilities on the consolidated balance sheets, and provision for captive insurance liability and provision for income taxes on the consolidated statements of operations, included in the financial statements for the Prior Periods. The Company's consolidated statements of equity and cash flows for the Prior Periods are also restated to reflect the adjustments in the consolidated balance sheets and consolidated statements of operations.

The Company accrued captive insurance liability of $33.6 million and $$45.1 million for the years ended December 31, 2024 and 2023, respectively. Upon re-evaluation, management has determined that, as of December 31, 2024 and 2023, the likelihood of an unfavorable outcome for these liabilities was not probable under Accounting Standard Council ("ASC") 450—Contingencies, and therefore recognition of the accruals was not appropriate. The Company adjusted the captive insurance liabilities and the related impact on the income tax provisions and liabilities. The impact in the provision for income tax includes penalties and interest related to the Restatement. The Company also adjusted the restriction on its cash and cash equivalents previously allocated to the captive insurance subsidiary.

The following table summarizes the effect of the errors on the specific line items in the Company’s previously reported consolidated balance sheets as of December 31, 2024:

The following table summarizes the effect of the errors on the specific line items in the Company’s previously reported consolidated statements of operations for the year ended  December 31, 2024 and 2023:

The following table summarizes the effect of the errors on the specific line items in the Company’s previously reported statements of equity for the years ended December 31, 2024 and 2023:

While the Restatement affects individual line items in the buildup of the cash flows from operating activities in the consolidated statements of cash flows of the Prior Periods, there is no impact in the net cash flows from operating, investing and financing activities.