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GeoMet Announces Financial and Operating Results for the Quarter and Nine Months Ended September 30, 2015


/EINPresswire.com/ -- HOUSTON, TX -- (Marketwired) -- 11/02/15 -- GeoMet, Inc. (OTC PINK: GMET) (OTC PINK: GMETP) ("GeoMet" or the "Company") today announced its financial and operating results for the quarter and nine months ended September 30, 2015.

Financial and Operating Results

On May 12, 2014, GeoMet closed the sale of substantially all of its remaining assets (the "Asset Sale"). As a result of the Asset Sale, all operating activities are presented as discontinued operations in the Condensed Consolidated Statements of Operations (Unaudited) for each of the quarter and nine month periods ended September 30, 2015 and 2014.

As of September 30, 2015, our primary asset as a public "shell company" is cash in the amount of approximately $18.6 million. On a go forward basis, we will continue to incur general and administrative expenses necessary to sustain a public registrant and professional fees while assessing strategic opportunities.

Quarter Ended September 30, 2015

For the quarter ended September 30, 2015, GeoMet reported a net loss available to common stockholders of $3.8 million, or $0.09 per fully diluted common share. Included in net loss available to common stockholders for the quarter ended September 30, 2015 was a cash dividend paid on preferred stock of approximately $1.7 million and a non-cash charge of $1.1 million for accretion of preferred stock.

For the quarter ended September 30, 2014, GeoMet reported a net loss available to common stockholders of $2.0 million, or $0.05 per fully diluted common share. Included in net loss available to common stockholders for the quarter ended September 30, 2014 were non-cash charges of $0.8 million for accretion of preferred stock and $0.6 million for paid-in-kind ("PIK") dividends paid on preferred stock.

For the quarter ended September 30, 2015, GeoMet reported no income from discontinued operations.

For the quarter ended September 30, 2014, GeoMet reported income from discontinued operations of $0.6 million, including a tax benefit of $0.03 million, or $0.02 per fully diluted common share.

Nine months Ended September 30, 2015

For the nine months ended September 30, 2015, GeoMet reported a net loss available to common stockholders of $8.2 million, or $0.20 per fully diluted common share. Included in net loss available to common stockholders for the nine months ended September 30, 2015 were a cash dividend paid on preferred stock of approximately $1.7 million and non-cash charges of $3.0 million for accretion of preferred stock and $1.1 million for PIK dividends paid on preferred stock.

For the nine months ended September 30, 2014, GeoMet reported net income available to common stockholders of $55.3 million, or $1.36 per fully diluted common share. Included in net income available to common stockholders for the nine months ended September 30, 2014 were non-cash charges of $2.1 million for accretion of preferred stock and $1.8 million for PIK dividends paid on preferred stock.

For the nine months ended September 30, 2015, GeoMet reported no income from discontinued operations.

For the nine months ended September 30, 2014, GeoMet reported income from discontinued operations of $62.9 million, net of tax of $0.7 million, or $1.55 per fully diluted common share. Included in income from discontinued operations was a $62.4 million gain resulting from the Asset Sale.

Forward-Looking Statements Notice

This press release may contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Except for statements of historical facts, all statements included in the document, including those preceded by, followed by or that otherwise include the words "believe," "expects," "anticipates," "intends," "estimates," "projects," "target," "goal," "plans," "objective," "should" or similar expressions or variations on such words, are forward-looking statements. These forward-looking statements are subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those projected. In particular, careful consideration should be given to cautionary statements made in the various reports the Company has filed with the Securities and Exchange Commission ("SEC"). Additional information concerning factors that could cause actual results to differ materially from those in the forward-looking statements is contained from time to time in the Company's SEC filings, which may be obtained by contacting the Company or the SEC. These filings are also available through the Company's web site at http://www.geometinc.com or through the SEC's Electronic Data Gathering and Analysis Retrieval System (EDGAR) at http://www.sec.gov. GeoMet undertakes no duty to update or revise these forward-looking statements.

                    
                                            GEOMET, INC. AND SUBSIDIARIES
                             CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
                    
                                                Three Months Ended        Nine Months Ended
                                                   September 30,             September 30,
                                             ------------------------  ------------------------
                                                 2015         2014         2015         2014
                                             -----------  -----------  -----------  -----------
                    Expenses:
                      Depreciation,
                       depletion and
                       amortization          $        --  $        --  $        --  $   113,817
                      General and
                       administrative            925,010    1,212,887    2,381,936    3,160,010
                      Lease termination
                       costs                          --           --           --      427,722
                                             -----------  -----------  -----------  -----------
                    Total operating expenses     925,010    1,212,887    2,381,936    3,701,549
                    
                      Other income (expense)       8,598        2,457       57,094      (17,746)
                                             -----------  -----------  -----------  -----------
                    
                    Loss before income taxes
                     from continuing
                     operations                 (916,412)  (1,210,430)  (2,324,842)  (3,719,295)
                                             -----------  -----------  -----------  -----------
                    
                      Income tax expense           5,789        6,250       18,289       18,750
                                             -----------  -----------  -----------  -----------
                    
                    Loss from continuing
                     operations                 (922,201)  (1,216,680)  (2,343,131)  (3,738,045)
                    
                    Discontinued operations           --      605,008           --   62,949,297
                                             -----------  -----------  -----------  -----------
                    
                    Net (loss) income        $  (922,201) $  (611,672) $(2,343,131) $59,211,252
                                             ===========  ===========  ===========  ===========
                    Accretion of Preferred
                     Stock                    (1,107,407)    (772,910)  (2,999,449)  (2,122,819)
                    Paid-in-kind dividends
                     on Preferred Stock               --     (649,937)  (1,141,636)  (1,802,727)
                    Cash dividends paid on
                     Preferred Stock          (1,732,083)        (505)  (1,732,990)      (1,563)
                                             -----------  -----------  -----------  -----------
                    Net (loss) income
                     available to common
                     stockholders            $(3,761,691) $(2,035,024) $(8,217,206) $55,284,143
                                             ===========  ===========  ===========  ===========
                    
                    Net (loss) income per
                     common share--basic and
                     diluted:
                    Net loss per common
                     share from continuing
                     operations              $     (0.09) $     (0.07) $     (0.20) $     (0.19)
                    Net income per common
                     share from discontinued
                     operations                       --         0.02           --         1.55
                                             -----------  -----------  -----------  -----------
                    Net (loss) income per
                     common share--basic and
                     diluted                 $     (0.09) $     (0.05) $     (0.20) $      1.36
                                             ===========  ===========  ===========  ===========
                    
                    Weighted average number
                     of common shares:
                    Basic and diluted         40,513,373   40,513,373   40,513,373   40,513,093
                                             ===========  ===========  ===========  ===========
                    
                    
                    
                                            GEOMET, INC. AND SUBSIDIARIES
                                  CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
                    
                                                                September 30,     December 31,
                                                                     2015             2014
                                                               ---------------  ---------------
                                      ASSETS
                    Current Assets:
                      Cash and cash equivalents                $    18,626,835  $    22,894,405
                      Other current assets                             199,858          148,302
                                                               ---------------  ---------------
                    Total current assets                            18,826,693       23,042,707
                                                               ---------------  ---------------
                    TOTAL ASSETS                               $    18,826,693  $    23,042,707
                                                               ===============  ===============
                     LIABILITIES, MEZZANINE AND STOCKHOLDERS'
                                      DEFICIT
                    Current Liabilities:
                      Income taxes payable                     $            --  $         2,543
                      Other current liabilities                        138,000          275,350
                                                               ---------------  ---------------
                    Total current liabilities                          138,000          277,893
                                                               ---------------  ---------------
                    TOTAL LIABILITIES                                  138,000          277,893
                    Series A Convertible Redeemable Preferred
                     Stock                                          52,817,306       48,676,221
                    Total stockholders' deficit                    (34,128,613)     (25,911,407)
                                                               ---------------  ---------------
                    TOTAL LIABILITIES, MEZZANINE AND
                     STOCKHOLDERS' DEFICIT                     $    18,826,693  $    23,042,707
                                                               ===============  ===============
                    
                    
                    
                                                    GEOMET, INC.
                                   CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                       FOR THE NINE MONTHS ENDED SEPTEMBER 30,
                    
                                                                       2015            2014
                                                                  -------------   -------------
                    
                    Net cash used in operating activities         $  (2,534,580)  $  (7,733,919)
                    
                    Net cash provided by investing activities                --      95,295,299
                    
                    Net cash used in financing activities            (1,732,990)    (71,551,562)
                                                                  -------------   -------------
                    
                    (Decrease) increase in cash and cash
                     equivalents                                     (4,267,570)     16,009,818
                    
                    Cash and cash equivalents at beginning of
                     period                                          22,894,405       8,108,272
                                                                  -------------   -------------
                    
                    Cash and cash equivalents at end of period    $  18,626,835   $  24,118,090
                                                                  =============   =============
                    
                    
                    

For more information please contact
William A. Wiederkehr, Jr.
Treasurer and Secretary
(713) 600-4310
wwiederkehr@geometcbm.com


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