TransAlta Renewables sees EBITDA edge up in Q1, closes 303-MW buy

Wind turbines. Source: TransAlta Corp (www.transalta.com).

Canada's TransAlta Renewables Inc (TSE:RNW) today reported comparable EBITDA of CAD 123 million (USD 102m/EUR 84m) for the first quarter of 2021, a rise of 4% from the same period a year ago.

The independent power producer (IPP) said the improvement in comparable earnings before interest, taxes, depreciation and amortisation (EBITDA) was a result of the sale of 2020 environmental credits to TransAlta Corp (TSE:TA) in the period, the timing of legal fees and the strengthening of the Australian dollar. The effect of these was reduced by lower wind resources.

Adjusted funds from operations (AFFO) and cash available for distribution (CAFD) were relatively in line with year-ago levels at CAD 93 million and CAD 90 million, respectively.

Figures in CAD million, unless otherwise noted	Q1 2021	Q1 2020
Revenues	126	110
Comparable EBITDA	123	118
Net earnings attributable to common shareholders	52	3
AFFO	93	94
CAFD	90	91
Renewable energy production (GWh)	1,109	1,173

Behind the increase in net earnings attributable to common shareholders were higher finance income from investments in subsidiaries of TransAlta, foreign exchange gains and unrealised foreign exchange losses recognised in the prior period.

TransAlta Renewables also said it has completed the acquisition of a 303-MW asset portfolio from TransAlta. The deal, announced in December last year, includes the acquisition of the 207-MW Windrise wind project in Alberta, a 49% interest in the 137-MW Skookumchuck wind farm in Washington state, and a 29-MW cogeneration plant in the US.

The company now has interests in 24 wind parks, 13 hydroelectric facilities, eight natural gas facilities, one solar plant, one natural gas pipeline and one battery storage project in Canada, the US and Australia.

(CAD 1.0 = USD 0.826/EUR 0.680)

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