AES(US:AES)2020-11-10 16:00Business Transformation and Growth - The company has reduced generation from coal to 29% of its portfolio as of November 5, 2020, including announced but not yet closed asset sales[4] - The company signed 2.1 GW of new renewable contracts, increasing the backlog to 6.8 GW[4] - The company is well-positioned to capitalize on a 25 GW renewable development pipeline[4] - Renewables represent 37% of the company's total portfolio[12] Financial Performance and Expectations - The company expects 7% to 9% average annual growth in Adjusted EPS and Parent Free Cash Flow through 2022[4, 6] - The company's current annual dividend is $0.57 per share, expected to grow 4% to 6% annually[4] - The company projects $3.4 billion of discretionary cash generation from 2020-2022[44] Strategic Initiatives - The company signed 410 MW of solar contracts with an existing mining customer in Chile[16] - The company is leveraging its position in Vietnam (1,242 MW) to meet the growing need for reliable and efficient generation[20] - Fluence, in which the company has a stake, has ~2.4 GW delivered or awarded and ~$1 billion de-risked contracted sales pipeline[24] Financial Sensitivities - A 10% USD appreciation against foreign currency is estimated to have a (1.4%) impact on Annualized Adjusted PTC[55] - A 100 bps increase in interest rates over 2020 is forecasted to have a change in Adjusted EPS of approximately ($0.01)[57]