Ormat Technologies (ORA) Contract and Market Position - Ormat Technologies signed a $200 million EPC contract with Contact Energy for the 101 MW Te Mihi Stage 2 geothermal power plant in New Zealand, set to replace the outdated Wairakei geothermal station and be completed by mid-2027 [1] - The company expects its Product Segment backlog to exceed $300 million by year-end, with most revenues from this contract recognized in 2026 and 2027 [5] - Ormat Technologies is a leader in geothermal energy generation, with expertise in binary technology, and is strengthening its position in New Zealand's renewable energy expansion through the Te Mihi Stage 2 project and 160 MW of other ongoing projects [4][5] - Contact Energy is planning Te Mihi Stage 3, expected to be operational by mid-2031, with Ormat likely to secure another EPC contract, further boosting future revenues [6] Geothermal Energy Market Growth - The global geothermal energy market is forecasted to grow at a CAGR of 3.1% from 2024 to 2030, driven by the need to reduce greenhouse gas emissions and the reliability of geothermal energy as a backup power source [2][3] - Geothermal energy is increasingly favored due to its ability to provide constant power unaffected by weather or daylight, making it a flexible and reliable energy source [2] Opportunities for ORA's Peers - Baker Hughes Company (BKR) has over 40 years of experience in geothermal energy, with projects in more than 30 countries, and is developing advanced technologies like a metal-to-metal mud motor for enhanced geothermal systems [8] - BKR has a long-term earnings growth rate of 25.9% and is expected to achieve 8.4% year-over-year sales growth in 2024 [9] - Halliburton Company (HAL) provides products and services to reduce costs and manage risks in geothermal projects, with a long-term earnings growth rate of 2.7% and expected 3.2% year-over-year sales growth in 2025 [9][10] ORA Stock Performance - ORA shares gained 3.4% in the past month, compared to the industry's 11% growth [11] - Since October 14, 2024, ORA's total return performance was 3.4%, slightly below the Other Alt Energy Market's 11% growth [12] ORA's Zacks Rank and Industry Comparison - ORA currently holds a Zacks Rank 3 (Hold) [13] - FuelCell Energy (FCEL), a better-ranked stock in the same industry, holds a Zacks Rank 2 (Buy) and delivered an average earnings surprise of 18.75% in the last four quarters, with 2025 sales expected to grow 86.9% year-over-year [13]

RENO, Nev., Nov. 12, 2024 (GLOBE NEWSWIRE) -- Ormat Technologies Inc. (NYSE: ORA), a leading renewable energy company, today announced the successful deal to transfer investment tax credits (ITCs) from the 80MW/320MWh Bottleneck Project to third party. This transaction, which was facilitated under the Inflation Reduction Act (IRA), represents a significant achievement in our goal to collect up to $152 million in cash tax benefits this year. The gross proceeds from this transaction were priced at $0.93 per d ...

Core Insights - Ormat Technologies Inc. (ORA) reported a 1.5% increase in share price to $83.13 following its third-quarter 2024 results, with adjusted earnings per share of 42 cents, surpassing the Zacks Consensus Estimate of 30 cents by 40% but down 10.6% from 47 cents in the same quarter last year [1][2] Financial Performance - GAAP earnings were reported at 36 cents per share, a decline from 59 cents in the year-ago quarter, primarily due to the absence of tax income from changes in Kenya's tax laws [2] - Total revenues reached $211.8 million, nearly matching the Zacks Consensus Estimate, with a year-over-year increase of 1.8%, driven by higher revenues from the electricity segment [3] Segmental Performance - Electricity segment revenues amounted to $164.6 million, up 4.7% year over year, attributed to contributions from acquired Enel assets and increased generation and pricing at Puna [4] - Product segment revenues decreased by 6.2% to $37.4 million due to timing of revenue recognition [4] - Energy segment revenues fell 11.1% to $9.8 million, impacted by the absence of higher energy rates from the previous year [5] Operational Update - Total operating expenses were $23.2 million, a 3.3% increase from the previous year, while operating income declined 5% to $35.7 million [6] - Total cost of revenues was $152.9 million, up 3.3% year over year, with net interest expenses rising 39% to $34.8 million [6] Financial Condition and Guidance - As of September 30, 2024, ORA had cash and cash equivalents of $88.1 million, down from $195.8 million at the end of 2023 [7] - The company updated its 2024 revenue guidance to a range of $875-$893 million, narrower than the previous range of $875-$910 million, with the Zacks Consensus Estimate at $889.2 million [7][8] - Electricity segment revenues are now expected between $710-$715 million, while product segment revenues are projected at $130-$138 million [8] - Annual adjusted EBITDA is projected to be in the range of $540-$555 million, an increase from the prior guidance of $520-$550 million [9] Zacks Rank - Ormat currently holds a Zacks Rank 3 (Hold) [10]

Financial Data and Key Metrics - Total revenue for Q3 2024 was $211.8 million, a 1.8% YoY increase, driven by 4.7% growth in the Electricity segment [10] - Gross profit was $58.9 million, with a consolidated gross margin of 27.8%, down from 28.8% in Q3 2023 [10] - Net income attributable to stockholders was $22.1 million, or $0.36 per diluted share, compared to $35.5 million, or $0.59 per diluted share, in Q3 2023 [10] - Adjusted EBITDA increased by 16.3% YoY to $137.7 million, driven by contributions from acquired Enel assets, improved operational performance, and higher pricing at the Puna power plant [11] Business Segment Performance Electricity Segment - Revenue increased by 4.7% to $164.6 million, driven by contributions from Enel assets and improved performance at the Puna complex [13] - Gross margin was 30.2%, down from 31.8% in Q3 2023, primarily due to lower generation at the Dixie Valley facility [16] - The segment contributed 82% of total adjusted EBITDA [16] Products Segment - Revenue declined by 6.2% to $37.4 million, with a backlog of $165 million as of November 5, 2024 [15] Energy Storage Segment - Revenue declined by 11.1% to $9.8 million, mainly due to lower prices in the ERCOT market [15] - The segment contributed 8% of total adjusted EBITDA [16] Market Performance - The company generated 5.7 million megawatt hours in the Electricity segment, a 7.9% YoY increase, driven by Enel assets and improved performance at the Puna complex [21] - The Olkaria power plant in Kenya reached 147 megawatts of capacity, with revenues increasing by 4.5% YoY [22] - The Dixie Valley facility experienced lower generation due to an unplanned outage, negatively impacting revenue and EBITDA by $4.2 million and $4.1 million, respectively [23] Strategic Direction and Industry Competition - The company aims to grow its operating portfolio to 2.1-2.3 gigawatts by the end of 2026, driven by strong demand for renewable energy, particularly from data centers [8] - The company is transitioning its Energy Storage business to a more stable and profitable portfolio, highlighted by new agreements and the commercial operation of the 80 MW/320 MWh Bottleneck project [7] - The U.S. remains the primary focus for growth due to regulatory support and increasing electricity demand [26] Management Commentary on Operating Environment and Future Outlook - The company expects full-year 2024 revenues to range between $875 million and $893 million, with adjusted EBITDA between $540 million and $555 million [28] - Management is confident in achieving long-term growth targets, supported by strong cash flow, tax benefit monetization, and new long-term agreements [29] Other Important Information - The SEC concluded its investigation into the company without recommending enforcement action, allowing the company to focus on its operations [9] - The company declared a quarterly dividend of $0.12 per share, payable on December 4, 2024 [19] Q&A Session Summary Question: Geothermal Development and CapEx - The company secured all nominated lands in the BLM auction and expects to expedite exploration and permitting due to a proposed categorical exclusion to NEPA [32][33] - CapEx for 2025 is expected to be higher than 2024, with a focus on full-size drilling, which is more expensive than core hole programs [35] Question: Potential Changes to IRA Legislation - The company is prepared to mitigate risks related to potential changes in IRA legislation by using Safe Harbor provisions for geothermal and storage projects [38][39] Question: PPA Pricing Trends - PPA pricing for geothermal projects continues to trend upward, with current prices north of $100 per megawatt hour [40] Question: Pricing of New Tolling Agreements in Texas - The company did not disclose specific pricing details but indicated that margins for storage projects are expected to improve, reaching 20%-30% over the next few years [43] Question: Merchant Pricing Trends - The company expects occasional weather events to positively impact merchant pricing, particularly in Texas, but overall volatility will be reduced due to a shift toward contracted revenues [44][45]

Ormat Technologies (NYSE: ORA ) ranks among the leading global players in geothermal power generation, with an installed capacity of, 1230MW as of September 2024. The company's revenue was stable between FY18 and FY21, while a very ambitious new business planPrivate investors and former financial advisor specializing in researching growth companies. Articles published will cover both American and European companies up to a maximum capitalization of $15B and will be done with a fundamental analysis focus. Th ...

分组1 - Ormat Technologies reported quarterly earnings of $0.42 per share, exceeding the Zacks Consensus Estimate of $0.30 per share, but down from $0.47 per share a year ago, representing a 40% earnings surprise [1] - The company achieved revenues of $211.78 million for the quarter ended September 2024, surpassing the Zacks Consensus Estimate by 0.03% and up from $208.06 million year-over-year [2] - Over the last four quarters, Ormat Technologies has surpassed consensus EPS estimates three times and topped consensus revenue estimates three times [2] 分组2 - The stock has added about 8% since the beginning of the year, while the S&P 500 has gained 21.2%, indicating underperformance relative to the broader market [3] - The current consensus EPS estimate for the coming quarter is $0.65 on revenues of $240.26 million, and for the current fiscal year, it is $1.92 on revenues of $889.16 million [7] - The Zacks Industry Rank for Alternative Energy - Other is currently in the bottom 35% of over 250 Zacks industries, suggesting potential challenges for the sector [8]

RENO, Nev., Oct. 31, 2024 (GLOBE NEWSWIRE) -- Ormat Technologies Inc. (NYSE: ORA), a leading renewable energy company, today announced the release of its annual Sustainability Report, providing an overview of the Company’s environmental, social, and governance (ESG) performance in 2023. Key achievements highlighted in the 2023 report include: Avoided Emissions: The Company’s operating portfolio avoided a net of 2,212,508 metric tons of CO2e compared to local electricity grids.ESG Board Committee: Establishe ...

Company Overview - Ormat Technologies (ORA) is expected to report a year-over-year decline in earnings, with a projected earnings per share (EPS) of $0.33, reflecting a decrease of 29.8% compared to the previous year [3] - Revenue for the quarter is anticipated to be $211.64 million, which represents a slight increase of 1.7% from the same quarter last year [3] Earnings Expectations - The earnings report is scheduled for release on November 6, 2024, and could influence the stock price depending on whether the actual results exceed or fall short of expectations [2] - The consensus EPS estimate has been revised down by 2.62% over the last 30 days, indicating a bearish sentiment among analysts regarding the company's earnings prospects [4][10] Earnings Surprise Prediction - The Most Accurate Estimate for Ormat Technologies is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -20%, which suggests a challenging outlook for beating the consensus EPS estimate [10] - The company currently holds a Zacks Rank of 5 (Strong Sell), further complicating the prediction of an earnings beat [10] Historical Performance - In the last reported quarter, Ormat Technologies had an EPS expectation of $0.37 but delivered $0.40, resulting in a positive surprise of 8.11% [11] - Over the past four quarters, the company has surpassed consensus EPS estimates three times, indicating some potential for positive performance despite current challenges [12] Industry Comparison - Constellation Energy Corporation (CEG), another player in the alternative energy sector, is expected to report an EPS of $2.72, reflecting a year-over-year increase of 20.4% [16] - CEG's revenue is projected to be $6.21 billion, up 1.6% from the previous year, and it has seen a significant upward revision of 21.9% in its EPS estimate over the last 30 days [16][17]

Core Insights - Ormat Technologies Inc. has successfully secured multiple land parcels in Nevada's Annual Bureau of Land Management Auction, which will support its exploration and expansion efforts in renewable energy [1][2][3] - The newly leased parcels are expected to enhance geothermal energy production capabilities, including a new greenfield prospect and expansion opportunities for existing assets [2][3] - The CEO of Ormat emphasizes the high success rate of these parcels in supporting growth in the U.S. and the company's commitment to providing reliable and eco-friendly energy [3] Company Overview - Ormat Technologies is a leading geothermal company with over five decades of experience and is the only vertically integrated company in geothermal and recovered energy generation [4] - The company has a total generating portfolio of 1,420 MW, which includes 1,230 MW from geothermal and solar generation spread across multiple countries, and a 190 MW energy storage portfolio located in the U.S. [4] - Ormat is focused on accelerating long-term growth in the energy storage market and aims to establish a leading position in the U.S. energy storage market [4]

Ormat Technologies, Inc. (ORA) recently revealed that it has signed two seven-year tolling agreements involving Texas-based energy storage facilities with Equilibrium Energy. Both the projects, Lower Rio and Bird Dog, come with a storage capacity of 60 megawatts (MW)/120 megawatt-hours (MWh) each. While it is projected that the Bird Dog facility will be operational in the fourth quarter of 2025, the Lower Rio project is slated to be online in the second quarter of next year. Benefits of the Agreement Factor ...