Nortland Power swings to Q2 2013 net profit

Aug 8, 2013 - Canadian thermal and renewable power plant operator Northland Power Inc (TSE:NPI) yesterday said it had turned to a second-quarter 2013 net profit of CAD 80.1 million (USD 77m/EUR 58m) after a loss of CAD 34.9 million a year ago.

The turnaround was attributed to higher sales and gross profit, which rose due to the start of commercial operations of Northland's Saskatchewan-based 260-MW North Battleford natural-gas-fired combined cycle facility and four solar parks. Cost of sales and plant operating expenses also increased.

Operating profit increased to CAD 32.8 million from CAD 26.3 million, while adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) improved to CAD 50.1 million from CAD 42.8 million.

Revenue in April-June rose to CAD 124.4 million from CAD 85.3 million in the second quarter of 2012.

For the first half of 2013 Northland Power reported a net profit of CAD 103.7 million, up from CAD 14.8 million a year ago. Revenues grew to CAD 230.5 million from CAD 185.8 million.

The company reaffirmed its earlier forecast for 2013 adjusted EBITDA of CAD 245 million-255 million. The result is expected to reach CAD 380 million-400 million in 2015 upon the start of operation of plants under development and construction.

(CAD 1.0 = USD 0.960/EUR 0.720)

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