Polaris Renewable Energy (PIF) Q4 2024 earnings summary

Executive summary

• Annual power production was 764,756 MWh, down from 800,951 MWh in 2023; Q4 production rose 2% year-over-year.

• 2024 revenue was $75.8 million, down from $78.5 million; net earnings fell to $3.0 million from $11.7 million, including a $5.3 million Ecuador impairment.

• Adjusted EBITDA was $55.0 million, compared with $57.7 million in 2023.

• Issued $175 million in senior secured green bonds and signed an agreement to acquire Punta Lima Wind Farm in Puerto Rico.

• Repaid $120.6 million of debt early in January 2025; a $10 million loss on extinguishment is to be recognized in Q1 2025.

Financial highlights

• Q4 revenue was $18.8 million, nearly flat year-over-year; Q4 net loss was $2.8 million versus net earnings of $1.4 million in Q4 2023.

• Net cash from operating activities was $35.1 million in 2024, down from $44.0 million in 2023.

• Operating income was $19.5 million, down from $28.0 million; basic earnings per share fell to $0.14 from $0.56.

• Cash and cash equivalents were $213.3 million at year-end, up from $40.1 million; total assets rose to $662.1 million from $519.4 million.

• Dividends paid totaled $12.6 million in 2024; a quarterly dividend of $0.15 per share was announced for February 2025.

Outlook and guidance

• 2025 production guidance is 460,000–470,000 MWh, including major maintenance; production is expected to be flat year-over-year.

• Punta Lima Wind Farm acquisition is expected to close in Q1 2025, with three quarters of contribution anticipated that year.

• Puerto Rico is a focus for organic growth, including grid-connected storage and solar-plus-storage projects; growth CapEx is projected at $30–$40 million, mainly for Puerto Rico.

• Dominican Republic storage project revenue is now expected in 2027; management is evaluating IFRS 18, effective 2027, for future financial statements.