Boralex falls to USD-27m loss in 2018, but EBITDA is up

Canadian renewables developer Boralex Inc (TSE:BLX) reported a net loss of CAD 36 million (USD 27.2m/EUR 24m) for 2018 against a CAD-22-million profit a year ago due to increased costs and CAD 15 million of impairment losses.

More specifically, the bottom line result was hit by increases in amortisation and financial costs, acquisition costs, and impairments on property, plant and equipment.

Earnings before interest, tax, depreciation and amortisation (EBITDA) grew by 8% to CAD 298 million and revenues from energy sales rose 14% to CAD 471 million. In both cases, the increase was due to contributions from newly acquired or commissioned power capacity.

Boralex added 486 MW of capacity in a single year. It is very close to reaching its 2,000-MW capacity target in 2019, instead of 2020 as planned. The company has initiated a strategic planning update and will present new targets once the process is completed. CEO Patrick Lemaire said that the wind power segment is poised to remain a key growth vector for Boralex.

The table presents Boralex’ results under IFRS.

Last year, power generation reached 3,415 GWh, or 9% more than in 2017, as contributions from new capacity offset a drop in output at existing power plants. That drop, of 4%, was mainly due to lower generation at Canadian and US hydroelectric power stations. Production at existing wind farms in France and Canada was relatively flat.

Boralex said a quarterly dividend of CAD 0.1650 per common share is to be distributed on March 15 to shareholders of record as of February 28.

(CAD 1 = USD 0.75/EUR 0.66)

Choose your newsletter by Renewables Now. Join for free!