In This Article:
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EBITDA Increase: 7% increase compared to the first 9 months of 2023.
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Operating Income Increase: 15% increase compared to the first 9 months of 2023.
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Net Earnings Increase: 32% increase compared to the first 9 months of 2023.
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Combined EBITDA: $109 million, down $4 million from the third quarter of 2023.
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Funds from Operations (FFO): $16 million, down $7 million from the third quarter of 2023.
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Available Cash Resources: $608 million.
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Trade and Other Receivables: $51 million, representing approximately 85% of the ITC for the Apuiat project.
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Total Debt: Stable, with project debt accounting for 90% of the total.
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Reinvestment Ratio: 66%.
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Net Debt to Total Market Capital Ratio: 43%.
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Total Combined Production: Down 1% compared to the same quarter last year, 11% lower than expected.
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North America Wind Production: 5% higher than the same quarter last year, but 10% lower than anticipated.
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North America Hydro Production: 20% lower than last year, 5% lower than anticipated.
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North America Solar Production: 2% higher than the same quarter last year, but 15% lower than anticipated.
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Europe Total Production: 3% lower than the same quarter last year, 12% lower than anticipated.
Release Date: November 14, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Boralex Inc (BRLXF) reported a 32% increase in net earnings, a 15% rise in operating income, and a 7% growth in EBITDA compared to the first nine months of 2023.
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The company is making significant progress on key projects, including the Apuiat project in Quebec and the Limekiln project in Scotland, both expected to be commissioned by the end of the year.
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Boralex Inc (BRLXF) has successfully signed two long-term renewable energy purchase agreements in France with Nestle and Saint-Gobain, showcasing its ability to attract industrial clients.
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The acquisition of the Sallachy project in Scotland strengthens Boralex Inc (BRLXF)'s onshore wind portfolio and aligns with its strategy to expand in the UK market.
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The company maintains a strong balance sheet with $608 million in available cash resources and has achieved a significant milestone by having its greenhouse gas emission reduction targets validated by the Science-Based Targets initiative.
Negative Points
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Total combined production was down 1% compared to the same quarter last year and 11% lower than expected due to unfavorable weather conditions and increased power curtailments in France.
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The hydro sector production was 20% lower than last year and 5% lower than anticipated, impacting overall production results.
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Production from solar assets was 15% lower than anticipated, mainly due to curtailment requests in California.
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The company's financial results were affected by a decrease in production, leading to a $4 million drop in EBITDA and a $7 million decrease in funds from operations compared to the third quarter of 2023.
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Boralex Inc (BRLXF) faces challenges in the competitive landscape, particularly in France, where competition for fully permitted projects is intense, impacting project development timelines.