Clearway Energy(US:CWEN)2025-11-04 22:48Financial Performance - Total operating revenues for Q3 2025 were $429 million, a decrease of 11.7% compared to $486 million in Q3 2024[20] - Operating income for Q3 2025 was $112 million, down 37.0% from $178 million in Q3 2024[20] - Net income attributable to Clearway Energy, Inc. for Q3 2025 was $236 million, significantly up from $36 million in Q3 2024[20] - Earnings per share for Class A and Class C common stockholders in Q3 2025 were $2.00, compared to $0.31 in Q3 2024[20] - Comprehensive income attributable to Clearway Energy, Inc. for the three months ended September 30, 2025, was $233 million, up from $32 million in 2024, indicating a significant growth[23] - For the three months ended September 30, 2025, net income attributable to Clearway Energy, Inc. was $69 million, compared to $167 million for the same period in 2024, resulting in a decrease of 58.7%[116] - For the nine months ended September 30, 2025, net income attributable to Clearway Energy, Inc. was $80 million, down from $193 million in 2024, a decrease of 58.6%[116] Cash Flow and Assets - Cash Available for Distribution (CAFD) is defined as Adjusted EBITDA plus cash distributions from unconsolidated affiliates, indicating strong cash flow management strategies[16] - Cash flows from operating activities for the nine months ended September 30, 2025, were $511 million, down from $578 million in the same period of 2024[28] - Total assets increased to $16,066 million as of September 30, 2025, from $14,329 million at December 31, 2024, reflecting a 12.2% growth[26] - Cash and cash equivalents at the end of the period were $641 million, down from $733 million at the beginning of the period, representing a decrease of 12.5%[28] - Total accounts receivable, net, increased to $238 million as of September 30, 2025, from $164 million as of December 31, 2024[54] Debt and Liabilities - Long-term debt increased to $8,084 million as of September 30, 2025, from $6,750 million at December 31, 2024, reflecting a 19.7% increase[26] - The carrying amount of the Company's long-term debt, including the current portion, was $8,492 million as of September 30, 2025[87] - Current liabilities decreased to $687 million as of September 30, 2025, from $718 million at December 31, 2024, showing a reduction of 4.3%[26] - The company reported a loss on debt extinguishment of $7 million in Q3 2025, compared to no loss in Q3 2024[20] Dividends - Dividends per Class A and Class C common share for the nine months ended September 30, 2025, were $1.3152, an increase from $1.2306 in the same period of 2024[20] - The Company declared quarterly dividends of $0.4528 per share on November 3, 2025, payable on December 15, 2025[46] - Common stock dividends and distributions to CEG unit holders were $90 million for the quarter ended September 30, 2025[30] Acquisitions and Investments - The Company acquired Honeycomb TargetCo LLC for an initial cash consideration of $16 million, with a total estimated capital investment of $78 million, including an additional $62 million payment expected upon substantial completion in the first half of 2026[59] - The acquisition of Daggett 1 Class B involved an initial cash consideration of $11 million, with a total capital investment of $57 million, including an additional $42 million payment made upon substantial completion[61] - The Company acquired Luna Valley Class B for an initial cash consideration of $18 million, with a total capital investment of $119 million, including an additional $72 million payment upon substantial completion[64] - The acquisition of Rosamond South I included an initial cash consideration of $4 million, with a total capital investment of $33 million, including an additional $29 million payment made upon substantial completion[66] - Catalina Solar was acquired for approximately $127 million, with a net capital investment expected to be $128 million after factoring in cash reserves and transaction expenses[68] Operational Performance - Total operating costs and expenses for Q3 2025 were $317 million, slightly up from $308 million in Q3 2024[20] - The total operating income for the company was $112 million for the three months ended September 30, 2025, compared to $178 million for the same period in 2024, reflecting a decline of 37.0%[118] - Operating revenues for the Flexible Generation segment were $106 million for the three months ended September 30, 2025, an increase of 3.9% from $102 million in 2024[118] - Total operating revenues for the Renewables & Storage segment were $323 million for the three months ended September 30, 2025, a decrease of 15.9% from $384 million in 2024[118] Risk Management - The Company actively manages credit risk through established credit approval processes and monitoring of counterparties, aiming to mitigate potential losses from non-performance[94] - PG&E, a significant counterparty, has a credit rating below investment-grade, which poses potential risks to the Company[95] - The Company employs various credit risk management techniques, including credit approval processes and monitoring of counterparties' credit limits[94] Other Financial Metrics - The effective income tax rate for the three months ended September 30, 2025, was -106.9%, compared to 55.0% in 2024, indicating significant tax benefits[121] - The accumulated other comprehensive loss (OCL) attributable to Clearway Energy, Inc. was $(13) million for the three months ended September 30, 2025, compared to $1 million for the same period in 2024[101] - The Company incurred total expenses of $20 million and $22 million for O&M services for the three months ended September 30, 2025 and 2024, respectively, and $61 million and $59 million for the nine months ended September 30, 2025 and 2024, respectively[124]