Innergex swings to loss in Q2 2014

Aug 8, 2014 - Canadian firm Innergex Renewable Energy Inc (TSE:INE) said Thursday it had turned to a net loss of CAD 14.2 million (USD 13m/EUR 9.7m) in the second half of 2014 from a profit of CAD 31 million a year ago.

The company, which develops and operates run-of-river hydro, wind and solar power projects, blamed the fall on losses from derivative financial instruments and the related income taxes, resulting from a decrease in benchmark interest rates during the period. Costs also increased.

Innergex’s adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) for the reporting period slightly grew to CAD 53.8 million from CAD 51.2 million.

Revenues rose by 10% year-on-year to CAD 69.6 million. The company explains the jump in sales with an increase in production, offset in part by lower average selling prices for electricity.

Innergex’s total power production for April-July went up to 898.7 GWh from 792.5 GWh in the second quarter of 2013. This compares to a long-term average (LTA) of 934.8 GWh. Its wind and solar facilities generated 82% and 113% of the LTA, respectively.

For the first six months of 2013, Innergex turned to a net loss of CAD 52.3 million from a profit of CAD 30.8 million a year back. However, revenues grew to CAD 107.2 million from CAD 98.9 million.

(CAD 1 = USD 0.916/EUR 0.684)

Choose your newsletter by Renewables Now. Join for free!