Higher power output lifts Boralex's Q3 revenues, EBITDA
Temiscouata wind farms in Quebec
Canadian renewable energy company Boralex Inc (TSE:BLX) on Tuesday reported a smaller IFRS net loss and increased revenues from energy sales for the third quarter of 2020.
Boralex closed the July-September quarter with an IFRS net loss of CAD 8 million (USD 6.1m/EUR 5.2m), narrowing its year-ago deficit of CAD 36 million thanks to an increase in operating profit, a drop in interest rate expense and reduced amortisation expenses. Energy sales climbed by 14% to CAD 105 million thanks to the increased power production in Canada.
In line with the improved top line, third-quarter adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) rose by 37% in annual terms to CAD 62 million.
"For the second consecutive quarter, our growth in results stems from increased wind power production in Canada and operational and financial optimization initiatives put in place over the past year," said president and CEO Patrick Lemaire. He added that the company is actively seeking growth opportunities in its target markets, particularly in North America.
More details about the company’s performance are available in the table. In addition to IFRS results, Boralex also provides figures on a “Combined” basis, which include “Interests” representing significant investments that cannot be consolidated under IFRS but are considered important for evaluating the company’s overall performance.
Figures in CAD million
IFRS Q3 2020
IFRS Q3 2019
Combined Q3 2020
Combined Q3 2019
IFRS 9mo 2020
IFRS 9mo 2019
Combined 9mo 2020
Combined 9mo 2019
Revenues from energy sales and feed-in premium
Net profit (loss)
Net profit (loss) attributable to shareholders
Net cash flows related to operating activities
Cash flows from operations
Power generation (GWh)
A dividend payout of CAD 0.1650 per common share will be distributed on December 15, 2020, to shareholders of record as of the close of business on November 30, 2020.
Boralex’s power plants generated 789 GWh of electricity in the three months, as compared to 712 GWh a year before. The increase reflects the better wind and hydropower conditions in Canada and the resumed operations at a thermal power plant that was repowered in Quebec. In Canada, the wind power output was up 10% year-on-year and 6% higher than projected. Generation from wind turbines in France, meanwhile, fell 5% short of expectations but still met the level from the year-ago period.
On a combined basis, the total power production stood at 1,017 GWh, up from 920 GWh.
As of November 10, Boralex had 2,067 MW of installed power capacity, as well as 2,705 MW of projects at various stages of development.
The Canadian firm noted it continues to work on its previously adopted strategic plan through 2023 that bets on four main pillars, among which is growing the company’s business in European and North American markets.
Veselina Petrova is one of Renewables Now's most experienced green energy writers. For several years she has been keeping track of game-changing events both large and small projects and across the globe.