Financial Data and Key Metrics Changes - TransAlta reported adjusted EBITDA of CAD 312 million, free cash flow of CAD 172 million or CAD 0.57 per share, and net earnings attributable to common shareholders of CAD 56 million or CAD 0.18 per share [4][14] - The company maintained a strong balance sheet with over CAD 1.7 billion in available liquidity, including CAD 350 million in cash [4] - Year-to-date free cash flow reached CAD 381 million or CAD 1.25 per share, approximately 73% of the annual guidance of CAD 525 million [15] Business Line Data and Key Metrics Changes - The Gas segment delivered adjusted EBITDA of CAD 146 million, driven by high availability and strong production [14] - The Hydro segment produced adjusted EBITDA of CAD 83 million, in line with expectations despite lower Alberta spot prices [14] - The Wind and Solar segment saw adjusted EBITDA increase by 76% to CAD 88 million due to new facilities coming online [14] - The Energy Transition segment delivered CAD 3 million of adjusted EBITDA, a decrease year-over-year due to an extended planned outage [15] Market Data and Key Metrics Changes - The average spot price in Alberta for the second quarter was CAD 45 per megawatt hour, significantly lower than CAD 160 per megawatt hour in the same period of 2023 [16] - The company maintained hedge volumes of approximately 2,100 gigawatt hours at an average price of CAD 84 per megawatt hour [17] - Realized merchant power price for the Alberta electricity portfolio was CAD 97 per megawatt hour, significantly above hedged and spot prices [17] Company Strategy and Development Direction - TransAlta is focused on enhancing its legacy thermal sites in Alberta and Washington State to meet growing electricity demand [11][24] - The company is actively pursuing redevelopment and re-contracting opportunities to serve a growing customer base [24] - The restructuring of the Alberta energy market is expected to provide long-term signals for investment and promote grid reliability [7][8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in meeting 2024 guidance, tracking to the upper end of adjusted EBITDA and free cash flow ranges [21] - The company does not expect adverse impacts from regulatory changes in the Alberta electricity market, viewing them as opportunities [22] - Management highlighted the importance of legacy thermal sites in ensuring grid reliability amid increasing renewable energy supply [8][11] Other Important Information - The Heartland Generation transaction is under regulatory review, with management optimistic about its potential benefits [6][28] - The company has returned CAD 89 million to shareholders through share repurchases, representing approximately 59% of its 2024 target [22] - TransAlta remains committed to achieving net-zero emissions by 2045 and is on track to meet its CO2 emissions reduction targets [25] Q&A Session Summary Question: Update on the Heartland transaction and potential alternatives - Management is engaged with regulators to complete the Heartland transaction and sees benefits in the asset mix despite ongoing challenges [28] Question: Insights on Alberta REM design and re-contracting opportunities - Discussions are ongoing regarding potential long-term contracts with data centers and the need for coal-to-gas conversion units for reliability [30][31] Question: Thoughts on capital recycling opportunities - Management is open to capital recycling as a strategy to maximize shareholder value, focusing on selling high-multiple assets to reinvest in lower-multiple opportunities [32][33] Question: Share buyback program and potential increase - The company is comfortable with the CAD 150 million buyback target and will reassess it based on performance and market conditions [35] Question: Viability of coal-to-gas assets and future strategies - Management is confident in the reliability and emissions performance of coal-to-gas units, considering their role in the evolving energy market [38][49] Question: Core assets and capital allocation strategy - Core assets include legacy coal-to-gas units, hydro facilities, and the Centralia site, with a focus on maximizing value through strategic capital allocation [44][45]

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].

Core Insights - The Zacks Rank system emphasizes earnings estimates and revisions to identify winning stocks, while also considering trends in value, growth, and momentum for strong stock picks [1][2] Company Analysis - Vistra (VST) is identified as a strong utility stock with a Zacks Rank of 2 (Buy) and a Value grade of A [3] - Vistra has a price-to-book (P/B) ratio of 5.14, significantly higher than its industry's average of 2.43, with a 52-week range of 3.06 to 8.95 [4] - TransAlta (TAC) is highlighted as a stock to watch, currently holding a Zacks Rank of 1 (Strong Buy) and an A for Value, with a price-to-earnings (P/E) ratio of 11.78 compared to the industry average of 13.85 [6] - TAC's Forward P/E has fluctuated between 4.46 and 17.65, with a median of 11.86 over the past year [6] - VST's Forward P/E has ranged from 7.51 to 27.95, with a median of 9.29 [7] - TAC's price-to-sales (P/S) ratio is 0.93, compared to the industry's average P/S of 2, indicating potential undervaluation [9] - Vistra's Forward P/E ratio is 12.53, and its PEG ratio is 0.95, both metrics are favorable compared to the industry's averages of 13.85 and 1.86 respectively [10] Investment Strategy - Value investing is emphasized as a preferred method for identifying strong stocks, utilizing fundamental analysis to find undervalued companies [5] - The metrics discussed for both TAC and VST suggest that these stocks are likely undervalued, supported by their strong earnings outlook [8]

Core Points - TransAlta Corporation declared a quarterly dividend of $0.06 per common share, payable on October 1, 2024, to shareholders of record as of September 1, 2024 [2] - The company also announced dividends for its preferred shares, with rates ranging from 2.877% to 7.972% and payment dates set for September 30, 2024 [3][5] Company Overview - TransAlta operates a diverse fleet of electrical power generation assets across Canada, the United States, and Australia, focusing on long-term shareholder value [7] - It is one of Canada's largest producers of wind power and Alberta's largest producer of hydro-electric power [7] - The company has achieved a 66% reduction in GHG emissions, equating to 21.3 million tonnes CO2e since 2015, and has received an upgraded MSCI ESG rating of AA [7]

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 ...

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 ...

CALGARY, Alberta, June 24, 2024 (GLOBE NEWSWIRE) -- TransAlta Corporation ("TransAlta" or the "Company") (TSX: TA) (NYSE: TAC) announced today that it has entered into an automatic share purchase plan ("ASPP") with its broker in order to facilitate repurchases of TransAlta's common shares ("Common Shares") under the Company's previously announced normal course issuer bid ("NCIB"). The Company believes that the prevailing price for the Common Shares may not, from time to time, reflect the underlying value of ...