TransAlta Corporation (NYSE:TAC) Q2 2024 Earnings Conference Call August 1, 2024 11:00 AM ET Company Participants Chiara Valentini - VP, Strategic Finance & Investor Relations John Kousinioris - President & CEO Joel Hunter - EVP, Finance & CFO Blain Van Melle - EVP, Commercial & Customer Relations Conference Call Participants Patrick Kenny - National Bank Financial Mark Jarvi - CIBC Capital Markets Maurice Choy - RBC Capital Markets John Mould - TD Cowen Benjamin Pham - BMO Capital Markets Operator Good mor ...

CALGARY, Alberta, Aug. 01, 2024 (GLOBE NEWSWIRE) -- TransAlta Corporation ("TransAlta" or the "Company") (TSX: TA) (NYSE: TAC) today reported its financial results for the three and six months ended June 30, 2024, demonstrating strong financial performance and reaffirming its 2024 outlook. Second Quarter 2024 Financial Highlights TransAlta's second quarter results exceeded expectations and delivered strong free cash flow and solid operating performance. The Company delivered Free Cash Flow ("FCF")(1) per sh ...

Growth and Development - The company aims to deliver 1.75 GW of growth with a target investment of $3.5 billion by 2028, which is expected to generate annual EBITDA of $350 million[4]. - The company anticipates expanding its development pipeline to 10 GW by 2028, with a projected increase in EBITDA from renewable sources to 70% by the end of 2028[4]. - The company has a robust pipeline of approximately 5 GW of project opportunities focused on hydro, wind, solar, energy storage, and gas[79]. - The company has several projects in advanced-stage development, including 100 MW wind and 180 MW battery storage projects, currently on hold[84]. - The early-stage development pipeline includes projects totaling 2,294 to 2,794 MW across Canada and the United States, with various investment dates from 2025 to 2027[86]. Financial Performance - Revenues for the three months ended June 30, 2024, decreased to CAD 582 million from CAD 625 million in 2023[14]. - Net earnings attributable to common shareholders for the three months ended June 30, 2024, were CAD 56 million, down from CAD 62 million in 2023[14]. - Total revenues for the six months ended June 30, 2024, were $1,540 million, a decrease from $1,724 million in the same period of 2023, representing a decline of approximately 10.7%[131]. - Adjusted EBITDA for the six months ended June 30, 2024, was $643 million, compared to $890 million for the same period in 2023, reflecting a decrease of about 27.8%[133]. - The gross margin for the six months ended June 30, 2024, was $910 million, down from $1,145 million in 2023, indicating a decline of approximately 20.5%[133]. Cash Flow and Liquidity - Available liquidity as of June 30, 2024, was CAD 1,700 million, slightly down from CAD 1,738 million at the end of 2023[15]. - Cash flow from operating activities for the six months ended June 30, 2024, was $352 million, down from $473 million in the same period in 2023, a decrease of 25.6%[105]. - Free Cash Flow (FCF) for the six months ended June 30, 2024, was $381 million, down from $541 million in 2023, indicating a decrease of approximately 29.6%[136]. - The company reported an adjusted FFO of $473 million for the six months ended June 30, 2024, compared to $765 million in 2023, reflecting a decline of about 38.3%[136]. - The company has $743 million of debt maturing between 2024 and 2026, including $400 million of recourse debt related to the Term Facility[95]. Shareholder Returns - The company has a common share repurchase program for 2024 of up to $150 million, returning up to 42% of the 2024 free cash guidance to shareholders[5]. - The company purchased and cancelled a total of 9,537,200 common shares during the six months ended June 30, 2024, at an average price of $9.54 per share, totaling $91 million[42]. - The company announced a share repurchase program for 2024 of up to $150 million, having purchased and cancelled 9,537,200 common shares at an average price of $9.54, totaling $91 million in the first half of 2024[82]. Operational Efficiency - The company expects stable and predictable cash flows, supported by a significant portion of thermal generation capacity being hedged[8]. - The company is currently constructing the Mount Keith West Network Upgrade project, which is expected to impact capital costs and annual EBITDA positively[4]. - Operational costs are projected to decrease by 8% due to improved efficiency measures implemented in the last quarter[8]. Market Conditions and Regulatory Environment - The Alberta Government announced new restrictions on renewable project approvals, impacting future development[80]. - The company anticipates muted near-term impacts on existing assets due to the Alberta Government's wholesale electricity market redesign[81]. - The Government of Alberta is developing a "Restructured Energy Market" with new market rules expected to be filed in 2025[151]. Environmental and Sustainability Goals - Future outlook remains positive with a focus on sustainability and reducing greenhouse gas emissions by 25% by 2025[10]. - The federal government aims for a 40% to 45% reduction in GHG emissions below 2005 levels by 2030, with a net-zero electricity sector target by 2035[150]. - Australia has increased its 2030 emissions reduction goal to 43% below 2005 levels and aims for 82% renewable electricity production by 2030[153].

The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks. On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" ...

All currency is expressed in Canadian dollars except where noted. When the dividend payment date falls on a weekend or holiday the payment is made the following business day. CALGARY, Alberta, July 29, 2024 (GLOBE NEWSWIRE) -- The Board of Directors of TransAlta Corporation (TSX: TA) (NYSE: TAC) declared a quarterly dividend of $0.06 per common share payable on October 1, 2024, to shareholders of record at the close of business on September 1, 2024. | --- | --- | --- | --- | --- | --- | |------------------| ...

CALGARY, Alberta, July 29, 2024 (GLOBE NEWSWIRE) -- The Board of Directors of TransAlta Corporation (TSX: TA) (NYSE: TAC) declared a quarterly dividend of $0.06 per common share payable on October 1, 2024, to shareholders of record at the close of business on September 1, 2024. The Board of Directors also declared the following quarterly dividend on its Cumulative Redeemable Rate Reset First Preferred Shares for the period starting from and including June 30, 2024, up to but excluding September 30, 2024: | ...

Investors might want to bet on TransAlta (TAC) , as it has been recently upgraded to a Zacks Rank #1 (Strong Buy). This upgrade primarily reflects an upward trend in earnings estimates, which is one of the most powerful forces impacting stock prices. The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate. Most Powerful Force ...

TransAlta (TAC) closed the last trading session at $7.24, gaining 4.5% over the past four weeks, but there could be plenty of upside left in the stock if short-term price targets set by Wall Street analysts are any guide. The mean price target of $13.53 indicates an 86.9% upside potential. While the consensus price target is highly sought after by investors, the ability and unbiasedness of analysts in setting price targets have long been questionable. And investors making investment decisions solely based o ...

ROCKAWAY, N.J., June 25, 2024 (GLOBE NEWSWIRE) -- electroCore, Inc. (Nasdaq: ECOR), a commercialstage bioelectronic medicine and wellness company, is thrilled to announce the Commercial Off the Shelf (COTS) availability of the next generation TAC-STIM™, a non-invasive vagus nerve stimulator (nVNS) designed in partnership with the US military to enhance human performance exclusively for active-duty military use. Key benefits of TAC-STIM include: TAC-STIM is available for wholesale purchase only. More informa ...

The Company believes that the prevailing price for the Common Shares may not, from time to time, reflect the underlying value of the Common Shares and that the purchase of Common Shares pursuant to the NCIB may be an attractive and appropriate use of available funds relative to other alternatives. The ASPP will facilitate purchases under the NCIB as it will allow for purchases of Common Shares to be made at times when the Company would ordinarily not be permitted to make purchases, whether due to regulatory ...