Innergex's revenue increases after acquisition

CANADA: Innergex Renewable Energy's revenue and operating profit (Ebitda) rose in the first quarter after completing its "largest acquisition to date".

The 200MW Flat Top wind farm, in which Innergex holds a majority stake, was commissioned in March
The 200MW Flat Top wind farm, in which Innergex holds a majority stake, was commissioned in March

However, it made a net loss of C$14.5 million ($11.3 million) in the quarter — more than a four-fold increase on the C$2.5 million loss in Q1 2017.

This was due to increases in "unrealised net loss on financial investment", finance costs, depreciation and amortisation, and other net expenses, Innergex stated.

The developer’s revenue rose 58.1% year-on-year to C$117.8 million ($91.7 million), while Ebitda grew 55.7% to C$79.3 million, it stated in its first quarter results.

Its assets, which include wind farms, hydroelectric plants, solar PV facilities and geothermal projects, generated 1.13TWh of electricity in Q1 2018 — up 57.3% from the same period one year earlier.

Innergex said the increases in revenue and operating profit were due to the contribution of projects formerly owned by fellow developer Alterra Power, which it acquired in February.

Meanwhile, electricity production increased in the first quarter despite below-average water flows in British Columbia, below-average wind regimes in Quebec, and a below-average solar regime, it stated.

The developer had, however, increased its capacity by more than 40% with the acquisition of Alterra Power in the first quarter, according to Innergex.

Alterra owned 364MW of operational hydro, solar, geothermal and wind projects with a combined capacity of 825MW.

Innergex also commissioned the 200MW Flat Top in Texas, US, in March, in which it holds a 51% stake.

It secured a 12-year power purchase agreement for its 350MW Foard City site, also in Texas, due to enter commercial operation in the third quarter of 2019, the developer added.

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