Northland Power (NPI) Q4 2024 earnings summary

Executive summary

• Achieved the high end of 2024 financial guidance, reflecting strong operational execution and significant progress on Baltic Power, Hai Long, and Oneida projects.

• Christine Healy appointed as President, CEO, and Director effective January 20, 2025, emphasizing safety, strategic focus, and leveraging global partnerships.

• Completed 23 MW upgrade at Thorold natural gas facility on time and on budget.

• Board remains committed to maintaining the current dividend, supported by robust cash flow and asset base.

• Robust balance sheet with $1.1 billion in available liquidity.

Financial highlights

• 2024 adjusted EBITDA reached CAD 1.3 billion (USD 1.262 billion), up 2% year-over-year, driven by higher wind resources and new asset contributions.

• Q4 adjusted EBITDA was CAD 312 million (USD 312 million), lower than last year due to a one-off gain in 2023.

• 2024 adjusted free cash flow was CAD 394 million (CAD 1.53/share); free cash flow was CAD 328 million (CAD 1.27/share).

• Q4 2024 revenue from energy sales was $572 million, down from $626 million in Q4 2023; full-year revenue rose to $2,346 million from $2,233 million.

• Q4 2024 net income was $150 million, compared to a net loss of $268 million in Q4 2023; full-year net income was $371 million, up from a net loss of $96 million in 2023.

Outlook and guidance

• 2025 adjusted EBITDA guidance: CAD 1.3–1.4 billion (USD 1.3–1.4 billion), up ~CAD 100 million from 2024, driven by new project cash flows.

• 2025 adjusted free cash flow guidance: CAD 1.30–1.50/share; free cash flow: CAD 1.10–1.30/share, assuming CAD 60 million in development expenses.

• 2025 guidance assumes lower corporate G&A costs ($70 million vs. $85 million in 2024).

• Focus remains on project execution, advancing a 10 GW development pipeline, and investing CAD 60 million in development in 2025.

• Annual dividend expected to remain at $1.20 per share.