August 12 (Renewables Now) - TerraForm Power Inc (NASDAQ:TERP), the renewable power producer with over 3.7 GW of wind and solar assets, managed to cut its second-quarter net loss to USD 17 million (EUR 15.2m) from USD 28 million, it said on Friday.
In line with that, cash available for distribution (CAFD) rose to USD 47 million from USD 30 million, while adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) increased to USD 196 million from USD 128 million in the second quarter of 2018. The improved results were mainly attributed to the acquisition of assets in Europe and contribution from margin enhancement initiatives.
TerraForm Power, controlled by Canada’s Brookfield Asset Management Inc (TSE:BAM.A), generated adjusted revenues of USD 265 million, up from USD 183 million a year back. It will distribute a dividend of USD 0.2014 per Class A share on September 17.
The New York-based company agreed to buy a roughly 320-MW portfolio of distributed generation (DG) assets in the US from AltaGas Ltd (TSE:ALA) in a deal that will almost double the size of its existing DG platform, which currently totals 750 MW. “During the quarter, we made significant progress executing our growth strategy,” said CEO John Stinebaugh.
According to its website, TerraForm Power currently owns 3,737 MW of renewables, including 2,392 MW of wind and 1,345 MW of solar. The bulk of these, or 2,447 MW, are located in the US, while the remaining capacity is spread across Canada, Spain, Portugal, Chile, Uruguay and the UK.
TerraForm Power’s assets boosted their output in the reporting quarter to 2,450 GWh from 2,036 GWh a year before. The company noted, however, that the below-average winds and solar irradiation in North America dragged down generation by 8% below the long term average, which in turn had a negative effect on CAFD. Downtime at North America wind farms due to repairs and maintenance also impacted production.
(USD 1.0 = EUR 0.893)