May 15 (Renewables Now) - Atlantica Yield Plc (NASDAQ:AY), a yieldco vehicle with 1.44 GW of renewables in operation, cut its first-quarter (Q1) net loss to USD 4.8 million (EUR 4m) after revenues grew by 13.7%.
The company reported an increase of 8.9% to EUR 179.8 million in further adjusted earnings before interest, tax, depreciation and amortisation (EBITDA), including unconsolidated affiliates. The result for the renewables business in particular was USD 131.4 million, up from USD 102.6 million.
Atlantica Yield said it enjoyed higher electricity production in Q1 2018, as compared to a year earlier, thanks to improved performance at the Kaxu concentrating solar power (CSP) plant during the summer season in South Africa, achieving a capacity factor of 37%. Production was also up in the US, as a result of a delay in annual maintenance work in Mojave to the second quarter. The solar parks in Spain delivered stable operational results and the yieldco’s wind farms produced more power, supported by strong winds.
In addition to its renewable energy assets, Atlantica Yield has 300 MW of natural gas power plants in operation and transmission lines and water assets. It is active in the Americas and EMEA. The table below contains details of its Q1 financials.
|Results in USD million||Q1 2018||Q1 2017|
|Net loss attributable to the company||(4.8)||(11.8)|
|Cash available for distribution (CAFD)||43||60.9|
|Further adj. EBITDA, incl. unconsolidated affiliates||179.8||165|
|- of which renewables||131.4||102.6|
|- of which renewables||167.2||137.7|
The company will distribute a quarterly dividend of USD 0.32 per share, up by 28% from a year earlier.
Since March, Canadian renewable energy company Algonquin Power & Utilities (TSX:AQN) is the largest shareholder of Atlantica Yield with a stake of 25%. In April it was announced that Algonquin had agreed to buy an additional 16.5% interest. The deals is expected to be completed in the second or third quarter of 2018.
Atlantica Yield said that Algonquin is demonstrating a strong commitment to it and its future accretive growth. “With solid know-how in the sector, an investment grade credit rating and proven access to capital markets, their equity participation in Atlantica assures a compelling alignment between the two companies,” the yieldco added.
(USD 1 = EUR 0.84)