Polaris Renewable Energy (PIF) Q2 2026 earnings summary

Executive summary

• Q2 2026 production was 7.7–8% lower than Q2 2025, mainly due to curtailment in the Dominican Republic, lower geothermal output in Nicaragua, and normalized hydrological conditions in Peru and Ecuador.

• Year-to-date generation was 6.4% below the first half of 2025, reflecting similar operational factors and planned maintenance in Nicaragua.

• Portfolio diversification across technologies and geographies helped mitigate the impact of lower production.

• Net loss attributable to shareholders was $0.8 million ($-0.04 per share), compared to net income of $2.2 million ($0.10 per share) in Q2 2025.

• Continued investment in development pipeline, especially in Mexico and Puerto Rico, advancing utility-scale solar and battery storage projects.

Financial highlights

• Revenue for Q2 2026 was $19.9 million, down 8% quarter-to-quarter and 5% year-over-year, with adjusted EBITDA down 11% for both periods.

• Adjusted EBITDA was $13.7 million, with a margin of approximately 69%.

• Six-month net cash flow from operating activities was $15.0 million; cash position at quarter-end was $98.8 million (including $5.6 million restricted cash).

• Announced a quarterly dividend of $0.15 per share, payable August 21 to shareholders of record on August 10.

• Adjusted EBITDA for new Mexico solar projects estimated at $25–$30 million, with potential upside as final CapEx and revenue numbers are finalized.

Outlook and guidance

• Management expects to operate the binary unit in Nicaragua at current reduced levels for the rest of 2026, with recovery anticipated in early 2027 after an acidification program.

• Full-year generation guidance remains at 760 GWh, in line with year-to-date performance.

• Dominican Republic curtailment expected to persist for 18–24 months, with gradual improvement as grid-scale storage and transmission upgrades are implemented.

• Management expects closing of the Puerto Rico BESS project by Q3 2026, with long-term contracted payments upon commercial operation.

• The Mexico Mixed Development Program projects are advancing to final contract negotiations, targeting 250 MWdc solar and 61.6 MW/192 MWh battery storage.