OAKVILLE, ON, May 11, 2017 /PRNewswire/ - Algonquin Power &
Utilities Corp. (TSX: AQN, NYSE: AQN) ("APUC") today announced
financial results for the first quarter ended March 31,
2017.
First Quarter Financial Highlights
APUC recorded strong first quarter financial results compared to
the same period last year, primarily as a result of the acquisition
of The Empire District Electric Company ("Empire"):
- Reported revenue was $557.9
million in the first quarter of 2017, as compared to
$341.7 million for the same period in
2016.
- Reported net earnings attributable to shareholders was
$26.0 million or $0.07 per share in the first quarter of 2017, as
compared to net earnings of $42.0
million or $0.15 for the same
period in 2016.
- Reported cash provided by operating activities was $83.8 million in the first quarter of 2017, as
compared to $53.4 million for the
same period in 2016.
- Adjusted Net Earnings1 of $88.1 million or $0.25 per share were reported in the first
quarter of 2017, as compared to Adjusted Net Earnings of
$56.1 million or $0.21 per share for the same period in 2016.
- Adjusted Earnings Before Interest, Taxes, Depreciation &
Amortization ("Adjusted EBITDA"1) of $254.8 million were reported in the first quarter
of 2017, as compared to $147.9
million for the same period in 2016.
- Adjusted Funds from Operations1 of $208.9 million were reported in the first quarter
of 2017, as compared to $121.8
million for the same period in 2016.
First Quarter Highlights
- On January 1, 2017, APUC
successfully completed the acquisition of Empire, a Joplin, Missouri based regulated electric,
gas, and water utility that serves approximately 218,000 customers
in Missouri, Kansas, Oklahoma, and Arkansas. With the
completion of the acquisition, APUC has materially expanded its
utility operations in the U.S., now serving approximately 780,000
electric, gas, and water utility customers through its 2,200
employees, and growing its portfolio of regulated and non-regulated
power generating facilities to a total generating capacity
exceeding 2,900 MW.
- On January 16, 2017, APUC's Board
of Directors approved a 10% dividend increase to a total annual
dividend of U.S. $0.4659 per common
share, paid quarterly at a rate of U.S. $0.1165 per common share. Management and
the Board of Directors believe that the dividend increase is
consistent with APUC's stated strategy of delivering total
shareholder return comprised of an attractive current dividend
yield and capital appreciation.
- On February 21, 2017, the 150 MW
Deerfield Wind Facility achieved its commercial operations date
("COD"). The facility, located in central Michigan, is expected to generate 555.2 GW-hrs
of energy annually and has a 20 year power purchase agreement with
a Michigan-based electric
utility.
- On January 11, 2017, the 10 MW
Bakersfield II Solar Facility achieved COD. The facility,
located in Kern County,
California, is expected to generate 24.2 GW-hrs of energy
annually and has a 20 year power purchase agreement with a
California-based electric
utility.
- On February 15, 2017, the 50 MW
Luning Solar Facility achieved COD. The facility, located in
Mineral County, Nevada, is
expected to generate 144.6 GW-hrs of energy annually and its output
is dedicated to satisfying the renewable energy needs of the
California-based electric
distribution customers of the Liberty Utilities Group.
"We are pleased to report strong first quarter financial and
operational results. The year-over-year growth in our earnings
and cash flows are evidence of the continued successful execution
against our growth plans and affirm our Board's decision this past
January to increase the dividend by 10%; representing our seventh
consecutive year of double digit dividend growth," commented
Ian Robertson, Chief Executive
Officer of APUC. "In addition to successfully closing and welcoming
Empire into the Liberty Utilities family, our 150 MW Deerfield Wind
Facility and the 50 MW Luning Solar Facility became fully
operational during the quarter and will contribute to our results
over the balance of the year."
APUC's supplemental information is available on the web site at
www.AlgonquinPowerandUtilities.com.
APUC will hold an earnings conference call at 10:00 a.m. eastern time on Friday, May 12, 2017, hosted by Chief Executive
Officer, Ian Robertson and Chief
Financial Officer, David
Bronicheski.
Conference call details:
Date: Friday, May 12, 2017
Start Time: 10:00 a.m. eastern
time
Phone Number: Toll free within North America: 1-800-319-4610 or Toronto: 416-915-3239
Conference ID: Please ask to join the Algonquin Power &
Utilities Corp. conference call
Presentation Access:
http://services.choruscall.ca/links/algonquinpower20170512.html
For those unable to attend the live call, a digital recording
will be available for replay two hours after the call by dialing
1-855-669-9658 or 1-604-674-8052, access code 1321, from
May 12, 2017 until May 26, 2017.
About Algonquin Power & Utilities Corp.
APUC is a North American diversified generation, transmission
and distribution utility with $10
billion of total assets. Liberty Utilities provides rate
regulated natural gas, water, and electricity generation,
transmission, and distribution utility services to approximately
780,000 customers in the United
States. APUC is committed to being a North American leader
in the generation of clean energy through its portfolio of long
term contracted wind, solar and hydroelectric generating facilities
representing more than 1,300 MW of installed capacity. APUC
delivers continuing growth through an expanding pipeline of
renewable energy development projects, organic growth within its
rate regulated generation, distribution and transmission
businesses, and the pursuit of accretive acquisitions. Common
shares and preferred shares are traded on the Toronto Stock
Exchange under the symbols AQN, AQN.PR.A, and AQN.PR.D.
APUC's common shares are also listed on the New York Stock Exchange
under the symbol AQN.
Visit APUC at www.AlgonquinPowerandUtilities.com and follow
us on Twitter @AQN_Utilities.
Caution Regarding Forward-Looking Information and Non-GAAP
Financial Measures
Certain statements included in this news release contain
information that is forward-looking within the meaning of certain
securities laws, including information and statements regarding
prospective results of operations, financial position or cash
flows. These statements are based on factors or assumptions that
were applied in drawing a conclusion or making a forecast or
projection, including assumptions based on historical trends,
current conditions and expected future developments. Since
forward-looking statements relate to future events and conditions,
by their very nature they require making assumptions and involve
inherent risks and uncertainties. APUC cautions that although it is
believed that the assumptions are reasonable in the circumstances,
these risks and uncertainties give rise to the possibility that
actual results may differ materially from the expectations set out
in the forward-looking statements. Material risk factors include
those set out in the management's discussion and analysis section
of APUC's most recent annual report, quarterly report, and APUC's
Annual Information Form. Given these risks, undue reliance should
not be placed on these forward-looking statements, which apply only
as of their dates. Other than as specifically required by law, APUC
undertakes no obligation to update any forward-looking statements
or information to reflect new information, subsequent or
otherwise.
(1) Non-GAAP Financial Measures and
Use of Non-GAAP Financial Measures
The terms "Adjusted Net Earnings", Adjusted EBITDA, and
"Adjusted Funds from Operations" are used in this press release.
The terms "Adjusted Net Earnings", Adjusted EBITDA, and "Adjusted
Funds from Operations" are not recognized measures under GAAP.
There is no standardized measure of "Adjusted Net Earnings",
Adjusted EBITDA, and "Adjusted Funds from Operations" and
consequently APUC's method of calculating these measures may differ
from methods used by other companies and therefore may not be
comparable to similar measures presented by other companies. A
calculation, analysis and reconciliation to the nearest GAAP
measure of "Adjusted Net Earnings", Adjusted EBITDA, and "Adjusted
Funds from Operations" can be found in the Management's
Discussion & Analysis for the quarter ended March 31,
2017.
Adjusted EBITDA
EBITDA is a non-GAAP measure used by many investors to compare
companies on the basis of ability to generate cash from operations.
APUC uses these calculations to monitor the amount of cash
generated by APUC as compared to the amount of dividends paid by
APUC. APUC uses Adjusted EBITDA to assess the operating performance
of APUC without the effects of (as applicable): depreciation and
amortization expense, income tax expense or recoveries, acquisition
costs, litigation expenses, interest expense, gain or loss on
derivative financial instruments, write down of intangibles and
property, plant and equipment, earnings attributable to
non-controlling interests and gain or loss on foreign exchange,
earnings or loss from discontinued operations and other typically
non-recurring items. APUC adjusts for these factors as they may be
non-cash, unusual in nature and are not factors used by management
for evaluating the operating performance of the Company. APUC
believes that presentation of this measure will enhance an
investor's understanding of APUC's operating performance. Adjusted
EBITDA is not intended to be representative of cash provided by
operating activities or results of operations determined in
accordance with GAAP.
Adjusted Net Earnings
Adjusted Net Earnings is a non-GAAP measure used by many
investors to compare net earnings from operations without the
effects of certain volatile primarily non-cash items that generally
have no current economic impact or items such as acquisition
expenses or litigation expenses that are viewed as not directly
related to a company's operating performance. APUC uses
Adjusted Net Earnings to assess its performance without the effects
of (as applicable): gains or losses on foreign exchange, foreign
exchange forward contracts, interest rate swaps, acquisition costs,
litigation expenses and write down of intangibles and property,
plant and equipment, earnings or loss from discontinued operations
and other typically non-recurring items as these are not reflective
of the performance of the underlying business of APUC. APUC
believes that analysis and presentation of net earnings or loss on
this basis will enhance an investor's understanding of the
operating performance of its businesses. It is not intended to be
representative of net earnings or loss determined in accordance
with GAAP, which can be impacted positively or negatively by these
items.
Adjusted Funds from Operations
Adjusted Funds from Operations is a non-GAAP measure used by
investors to compare cash flows from operating activities without
the effects of certain volatile items that generally have no
current economic impact or items such as acquisition expenses that
are viewed as not directly related to a company's operating
performance. APUC uses Adjusted Funds from Operations to assess its
performance without the effects of (as applicable): changes in
working capital balances, acquisition expenses, litigation
expenses, cash provided by or used in discontinued operations and
other typically non-recurring items affecting cash from operations
as these are not reflective of the long-term performance of the
underlying businesses of APUC. APUC believes that analysis and
presentation of funds from operations on this basis will enhance an
investor's understanding of the operating performance of its
businesses. It is not intended to be representative of cash flows
from operating activities as determined in accordance with GAAP,
which can be impacted positively or negatively by these items.
SOURCE Algonquin Power & Utilities Corp.