Cover
Cover - shares | 9 Months Ended | |
Sep. 30, 2023 | Nov. 09, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Sep. 30, 2023 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2023 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 000-08187 | |
Entity Registrant Name | NEW CONCEPT ENERGY, INC. | |
Entity Central Index Key | 0000105744 | |
Entity Tax Identification Number | 75-2399477 | |
Entity Incorporation, State or Country Code | NV | |
Entity Address, Address Line One | 1603 LBJ Freeway | |
Entity Address, Address Line Two | Suite 800 | |
Entity Address, City or Town | Dallas | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 75234 | |
City Area Code | (972) | |
Local Phone Number | 407-8400 | |
Title of 12(b) Security | Common Stock, par value $0.01 | |
Trading Symbol | GBR | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 5,131,934 |
CONSOLIDATED BALANCE SHEETS (Un
CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Current assets | ||
Cash and cash equivalents | $ 460 | $ 436 |
Other current assets | 24 | 30 |
Total current assets | 484 | 466 |
Property and equipment, net of depreciation | ||
Land, buildings and equipment | 632 | 631 |
Note receivable -related parties | 3,542 | 3,542 |
Total assets | 4,658 | 4,639 |
Current liabilities | ||
Accounts payable | 25 | 23 |
Accrued expenses | 39 | 40 |
Total current liabilities | 64 | 63 |
Stockholders' equity | ||
Preferred stock, Series B | 1 | 1 |
Common stock, $.01 par value; authorized, 100,000,000 shares; issued and outstanding, 5,131,934 shares at September 30, 2023 and December 31, 2022 | 51 | 51 |
Additional paid-in capital | 63,579 | 63,579 |
Accumulated deficit | (59,037) | (59,055) |
Total shareholder equity | 4,594 | 4,576 |
Total liabilities & equity | $ 4,658 | $ 4,639 |
CONSOLIDATED BALANCE SHEETS (_2
CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - $ / shares | Sep. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Common stock, par or stated value per share | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 5,131,934 | 5,131,934 |
Common stock, shares outstanding | 5,131,934 | 5,131,934 |
CONSOLIDATED STATEMENT OF OPERA
CONSOLIDATED STATEMENT OF OPERATIONS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Revenue | ||||
Total Revenues | $ 35 | $ 63 | $ 115 | $ 155 |
Operating expenses | ||||
Operating Expenses | 15 | 18 | 41 | 43 |
Corporate general and administrative | 70 | 71 | 219 | 231 |
Total operating expenses | 85 | 89 | 260 | 274 |
Operating earnings (loss) | (50) | (26) | (145) | (119) |
Other income (expense) | ||||
Interest income from a related party | 53 | 53 | 163 | 159 |
Interest Income | 4 | |||
Other income, net | 130 | |||
Total other income expense | 57 | 53 | 163 | 289 |
Net income (loss) applicable to common shares | $ 7 | $ 27 | $ 18 | $ 170 |
Net income (loss) per common share-basic | $ 0.01 | $ 0.01 | $ 0.03 | $ 0.03 |
Net income (loss) per common share-diluted | $ 0.01 | $ 0.01 | $ 0.03 | $ 0.03 |
Weighted average common and equivalent shares outstanding - basic | 5,132 | 5,132 | 5,132 | 5,132 |
Rent [Member] | ||||
Revenue | ||||
Total Revenues | $ 25 | $ 25 | $ 76 | $ 76 |
Management Fee [Member] | ||||
Revenue | ||||
Total Revenues | $ 10 | $ 38 | $ 39 | $ 79 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Cash flows from operating activities | ||
Net Income (loss) | $ 18 | $ 170 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities | ||
Depreciation and amortization | 10 | 9 |
Other current and non-current assets | 6 | (29) |
Accounts payable and other liabilities | 1 | (3) |
Net cash provided by operating activities | 35 | 147 |
Cash flows from investing activities | ||
Purchase of fixed assets | (11) | |
Net cash used from investing activities | (11) | |
Net increase in cash and cash equivalents | 24 | 147 |
Cash and cash equivalents at beginning of year | 436 | 252 |
Cash and cash equivalents at end of period | $ 460 | $ 399 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands | Preferred Series B [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Beginning balance, value at Dec. 31, 2021 | $ 1 | $ 51 | $ 63,579 | $ (59,236) | $ 4,395 |
Beginning balance, Shares at Dec. 31, 2021 | 1 | 5,132 | |||
Net Income | 170 | 170 | |||
Ending balance, value at Sep. 30, 2022 | $ 1 | $ 51 | 63,579 | (59,066) | 4,565 |
Ending balance, Shares at Sep. 30, 2022 | 1 | 5,132 | |||
Beginning balance, value at Jun. 30, 2022 | $ 1 | $ 51 | 63,579 | (59,093) | 4,538 |
Beginning balance, Shares at Jun. 30, 2022 | 1 | 5,132 | |||
Net Income | 27 | 27 | |||
Ending balance, value at Sep. 30, 2022 | $ 1 | $ 51 | 63,579 | (59,066) | 4,565 |
Ending balance, Shares at Sep. 30, 2022 | 1 | 5,132 | |||
Beginning balance, value at Dec. 31, 2022 | $ 1 | $ 51 | 63,579 | (59,055) | 4,576 |
Beginning balance, Shares at Dec. 31, 2022 | 1 | 5,132 | |||
Net Income | 18 | 18 | |||
Ending balance, value at Sep. 30, 2023 | $ 1 | $ 51 | 63,579 | (59,037) | 4,594 |
Ending balance, Shares at Sep. 30, 2023 | 1 | 5,132 | |||
Beginning balance, value at Jun. 30, 2023 | $ 1 | $ 51 | 63,579 | (59,044) | 4,587 |
Beginning balance, Shares at Jun. 30, 2023 | 1 | 5,132 | |||
Net Income | 7 | 7 | |||
Ending balance, value at Sep. 30, 2023 | $ 1 | $ 51 | $ 63,579 | $ (59,037) | $ 4,594 |
Ending balance, Shares at Sep. 30, 2023 | 1 | 5,132 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
BASIS OF PRESENTATION | NOTE A: BASIS OF PRESENTATION The accompanying unaudited consolidated financial statements include the accounts of New Concept Energy, Inc. and its majority-owned subsidiaries (collectively, “NCE” or the “Company”). All significant intercompany transactions and accounts have been eliminated. Certain 2022 balances have been reclassified to conform to the 2023 presentation. The unaudited financial statements included herein have been prepared by the Company without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. The financial statements reflect all adjustments that are, in the opinion of management, necessary to fairly present such information. All such adjustments are of a normal recurring nature. Although the Company believes that the disclosures are adequate to make the information presented not misleading, certain information and footnote disclosures, including a description of significant accounting policies normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America, have been condensed or omitted pursuant to such rules and regulations. These financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ending December 31, 2022. Operating results for the three and nine month periods ended September 30, 2023 are not necessarily indicative of the results that may be expected for any subsequent quarter or for the fiscal year ending December 31, 2023. |
NATURE OF OPERATIONS
NATURE OF OPERATIONS | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
NATURE OF OPERATIONS | NOTE B: NATURE OF OPERATIONS The Company owns approximately 190 acres of land located in Parkersburg, West Virginia. Located on the land are four structures totaling approximately 53,000 square feet. Of this total area the main industrial/office building contains approximately 24,800 square feet of which approximately 16,000 square feet is leased at a rate of $ 101,000 per annum In August 2020, the Company sold its oil and gas operations to a third party. On January 1, 2022, the Company entered into a Consulting Management Agreement with respect to such oil and gas operations; whereby, the Company would provide management, supervisory and administrative services for a fee of 10% of the gross revenue of such oil and gas operations. The agreement is effective January 1, 2022 and may be terminated by either party upon sixty days’ notice. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE C: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES We consider accounting policies related to our estimates of depreciation and amortization revenue recognition for real estate operations, impairment, and sales of real estate as significant accounting policies. The policies include significant estimates made by management using information available at the time the estimates are made. However, these estimates could change materially if different information or assumptions were used. These policies are summarized in our Annual Report on Form 10-K for the year ended December 31, 2022. |
NOTE RECEIVABLE
NOTE RECEIVABLE | 9 Months Ended |
Sep. 30, 2023 | |
Receivables [Abstract] | |
NOTE RECEIVABLE | NOTE D: NOTE RECEIVABLE Note Receivable is comprised of the following (in thousands): Schedule of note receivable Interest September 30, December 31, Rate 2023 2022 American Realty Investors, Inc (a related party) receivable due upon maturity in September 2025. 6 % $ 3,542 $ 3,542 This note became due on September 30, 2023. The maturity date has been extended to September 2025. |
LIQUIDITY
LIQUIDITY | 9 Months Ended |
Sep. 30, 2023 | |
Liquidity | |
LIQUIDITY | NOTE E: LIQUIDITY The Company’s ability to meet current cash obligations relies on cash received from current operations and the collection of interest and principal of a note receivable with a due date of September 30, 2025. The Company is evaluating business opportunities to provide both additional income and cash flow. |
CONCENTRATIONS
CONCENTRATIONS | 9 Months Ended |
Sep. 30, 2023 | |
Risks and Uncertainties [Abstract] | |
CONCENTRATIONS | NOTE F: CONCENTRATIONS The Company maintains its cash balances at financial institutions that participate in the Federal Deposit Insurance Corporation's Transaction Account Guarantee Program which insures depositors up to $ 250,000 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 9 Months Ended |
Sep. 30, 2023 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE G: SUBSEQUENT EVENTS The Company has evaluated subsequent events through November 8, 2023, the date the financial statements were available to be issued and determined that there are none to be reported. |
NOTE RECEIVABLE (Tables)
NOTE RECEIVABLE (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Receivables [Abstract] | |
Schedule of note receivable | Schedule of note receivable Interest September 30, December 31, Rate 2023 2022 American Realty Investors, Inc (a related party) receivable due upon maturity in September 2025. 6 % $ 3,542 $ 3,542 |
NATURE OF OPERATIONS (Details N
NATURE OF OPERATIONS (Details Narrative) | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Lease revenue per annum | 101,000 per annum |
NOTE RECEIVABLE (Details)
NOTE RECEIVABLE (Details) - American Realty Investors Inc [Member] - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Dec. 31, 2022 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Receivable interest rate | 6% | |
Note receivable | $ 3,542 | $ 3,542 |
CONCENTRATIONS (Details Narrati
CONCENTRATIONS (Details Narrative) $ in Thousands | Sep. 30, 2023 USD ($) |
Risks and Uncertainties [Abstract] | |
Federal deposit insurance corporation | $ 250,000 |