TransAlta Renewables books higher adj EBITDA in 2022

Canada’s TransAlta Renewables Inc (TSE:RNW) last week posted a 5% year-on-year increase in adjusted EBITDA for 2022 fuelled by a rise in revenues thanks to the commissioning of new power generation capacity and higher wind resources in the US and parts of Canada.

The independent power producer (IPP) said on Thursday that the improved earnings also came on the back of a new power off-take deal in the Australian gas segment and the recognition of liquidated damages recovery related to its Windrise wind farm in Alberta. Full-year adjusted EBITDA stood at CAD 487 million (USD 358.2m/EUR 339.4m).

Thanks to the commissioning of the 206.4-MW Windrise wind farm and the contribution of TransAlta’s North Carolina Solar portfolio, revenues increased to CAD 560 million from CAD 470 million in the prior year. The extended outage at the 167-MW Kent Hills wind complex in Brunswick province, Canada, partly weighed on the top-line result.

The Calgary-based company’s attributable net profit experienced a sharp drop to CAD 74 million. Lower finance income related to subsidiaries, higher asset impairments and increased operations, maintenance and administration expenses, plus lower foreign exchange gains, were blamed for the drop.

TransAlta currently has interests in 26 wind farms, 11 hydropower plants, two solar parks, a battery storage project and eight natural gas plants. The power output of its renewable power plants last year climbed by 326 GWh from 2021, totalling 4,658 GWh.

(CAD 1.0 = USD 0.735/EUR 0.697)

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