OAKVILLE, ON, Aug. 10,
2017 /CNW/ - Algonquin Power & Utilities Corp. (TSX: AQN,
NYSE: AQN) ("APUC") today announced financial results for the
second quarter ended June 30, 2017.
Financial Highlights
APUC recorded strong second quarter financial results compared
to the same period last year, primarily as a result of accretion
from the acquisition of The Empire District Electric Company
("Empire"), the addition of new generating stations, and higher
production from U.S. wind facilities. Summary results for the
quarter are as follows:
In millions of
Canadian dollars or on a per share
|
Quarter ended June
30
|
Six months ended
June 30
|
basis unless
otherwise noted (unaudited)
|
2017
|
2016
|
Change
|
2017
|
2016
|
Change
|
Revenue
|
$453.2
|
$222.8
|
103%
|
$1,011.1
|
$564.5
|
79%
|
Net earnings
attributable to shareholders
|
$47.7
|
$24.8
|
92%
|
$73.7
|
$66.8
|
10%
|
|
Per
share
|
$0.12
|
$0.08
|
50%
|
$0.19
|
$0.23
|
(17)%
|
Cash provided by
operating activities
|
$133.4
|
$89.9
|
48%
|
$168.8
|
$143.4
|
18%
|
|
|
|
|
|
|
|
Adjusted Net
Earnings1
|
$53.3
|
$30.9
|
72%
|
$141.4
|
$87.2
|
62%
|
|
Per
share
|
$0.13
|
$0.11
|
18%
|
$0.37
|
$0.31
|
19%
|
Adjusted
EBITDA1
|
$197.6
|
$99.2
|
99%
|
$452.6
|
$247.2
|
83%
|
Adjusted Funds from
Operations1
|
$119.6
|
$77.5
|
54%
|
$328.5
|
$199.4
|
65%
|
Dividends per
share
|
$0.1593
|
$0.1361
|
17%
|
$0.3126
|
$0.2648
|
18%
|
Growth Highlights
- On August 10, 2017, APUC's board
approved the acquisition of two water distribution systems serving
approximately 4,095 customers in the City
of Perris, California. The anticipated purchase price of
U.S. $11.5 million is expected to be
established as rate base during the regulatory approval process.
The public vote to approve the sale is scheduled for November 2017, and, once approved by the
residents of Perris, the
transaction will be submitted to the California Public Utility
Commission for approval in 2018.
- During the quarter, the Liberty Utilities Group successfully
completed six rate cases representing a cumulative annualized
revenue increase of approximately U.S. $14.0
million.
"APUC's strong second quarter financial and operational results
are a reflection of the significant growth we have undergone as an
organization over the past year," commented Ian Robertson, Chief Executive Officer of
APUC. "We remain highly focused on execution against our
capital investment plan addressing both accretive acquisitions and
organic development opportunities, both of which deliver
sustainable total returns to our shareholders and a growing
dividend."
APUC's supplemental information is available on the web site at
www.AlgonquinPowerandUtilities.com.
APUC will hold an earnings conference call at 9:00 a.m. eastern time on Friday, August 11, 2017, hosted by Chief
Executive Officer, Ian Robertson and
Chief Financial Officer, David
Bronicheski.
Conference call details:
Date: Friday, August 11, 2017
Start Time: 9:00 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/algonquinpower20170811.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 1555, from
August 11, 2017 until August 25, 2017.
About Algonquin Power & Utilities Corp.
APUC is a North American diversified generation, transmission
and distribution utility with $10
billion of total assets. Through its two business groups,
APUC provides rate regulated natural gas, water, and electricity
generation, transmission, and distribution utility services to over
750,000 customers in the United
States, and 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 1,250 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 June 30,
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.