|
Pattern Energy Reports Third Quarter Results
Pattern Energy Reports Third Quarter Results
Canada NewsWire
SAN FRANCISCO, Nov. 5, 2015
- $22.3 million in Q3 CAFD positions Pattern Energy to achieve 2015 CAFD annual estimate -
- Declares increased dividend of $0.372 per Class A common share for fourth quarter 2015 -
SAN FRANCISCO, Nov. 5, 2015 /PRNewswire/ -- Pattern Energy Group Inc. (the "Company" or "Pattern Energy") (NASDAQ: PEGI) (TSX: PEG) today announced its financial results for the third quarter of 2015.
Highlights
(Comparisons made between fiscal Q3 2015 and fiscal Q3 2014 results, unless otherwise noted)
- Cash available for distribution (CAFD) of $22.3 million, up 104%
- Adjusted EBITDA of $58.7 million, up 32%
- Proportional GWh sold of 1,256 GWh, up 77%
- Revenue of $89.7 million, up 25%
- Declared a fourth quarter dividend of $0.372 per Class A common share or $1.49 on an annualized basis, subsequent to the end of the period, representing a 2.5% increase over the previous quarter's dividend
- Increased owned capacity to 2,282 MW with the acquisition of the remaining interests of the 283 MW Gulf Wind project resulting in 100% ownership and subsequently recapitalized the project by repaying the short maturity project debt with corporate capital
- Commenced commercial operations at the 200 MW Logan's Gap project in which the Company holds an owned interest of 164 MW
- Completed a $350 million capital raise consisting of a $225 million convertible note private placement and a $125 million common equity public offering
- Increased available borrowings under its existing revolving credit facility from $350.0 million to $450.0 million
- Refinanced project-level debt at Lost Creek, and subsequent to the end of the quarter, Spring Valley, which reduced borrowing costs through lower interest rates and tenures aligned with contracted offtake agreements
- Re-iterated 2015 cash available for distribution estimate of $81 million to $87 million
- Announced no new capital required to be raised to fund 16 existing assets, including Amazon Wind Farm (Fowler Ridge) which is in construction and scheduled to commence operations in the fourth quarter of 2015
"We have achieved substantial growth since our IPO. Our existing asset base will also continue to produce increased CAFD through next year compared to 2015, without any further capital requirements," said Mike Garland, President and CEO of Pattern Energy. "We believe we are well positioned to grow our business with our existing asset base and cash flows, the absence of any IDRs, our internal management structure and the high degree of flexibility provided by our private sponsor."
Financial Results
Pattern Energy sold 1,256,403 MWh of electricity on a proportional basis in the third quarter of 2015 compared to 710,326 MWh sold in the same period in 2014. Pattern Energy sold 3,390,081 MWh of electricity on a proportional basis for the nine months ended September 30, 2015 compared to 2,026,235 MWh sold in the same period in 2014. These increases are primarily the result of the commencement of commercial operations at various projects throughout 2014 and 2015 and the acquisition of new projects in 2015. Specifically, commencement of commercial operations at Panhandle 2, Grand, K2 and Logan's Gap and the acquisitions of Lost Creek, Post Rock and noncontrolling interests in Gulf Wind impacted both the quarterly and year-to-date periods. The year-to-date increase was also positively impacted by the first full period contribution from commencement of commercial operations at South Kent, Panhandle 1 and El Arrayán at various times during 2014. Overall, production met the Company's expectations for the third quarter compared to its long-term forecast.
Net loss was $35.3 million in the third quarter of 2015, compared to $9.3 million in the same period last year. The changes in net loss are primarily due to third quarter other expense items associated with Gulf Wind's early extinguishment of debt and termination of associated interest rate instruments. In addition, the net loss for the third quarter increased due to unrealized losses on interest rate derivatives, and losses in unconsolidated investments as a result of decreasing forward interest rate curves.
Net loss was $51.7 million for the nine months ended September 30, 2015 compared to $24.0 million for the same period in 2014 due primarily to the third quarter other expense items associated with Gulf Wind's early extinguishment of debt, offset by increased earnings in unconsolidated investments.
Adjusted EBITDA was $58.7 million for the third quarter of 2015 compared to $44.3 million in the same period last year. Adjusted EBITDA was $172.3 million for the nine months ended September 30, 2015 compared to $140.4 million in the same period last year. The increases in adjusted EBITDA for the quarterly and year-to-date periods were primarily attributable to the commencement of commercial operations at various projects throughout 2014 and 2015 and the acquisitions in 2015, both of which are referenced above. The increase in the year-to-date period was also impacted by a $5.8 million increase in energy derivative settlements at Gulf Wind recorded during the nine months ended September 30, 2015 compared to the same period last year. Reconciliations of Adjusted EBITDA to net loss determined in accordance with GAAP for both the quarterly and nine-month periods are shown below.
Cash available for distribution was $22.3 million in the third quarter of 2015 compared to $10.9 million in the same period last year. The increase is primarily attributable to electricity sales from the commencement of operations and the acquisitions referenced above, a $4.9 million increase in cash distributions from unconsolidated investments, and a $5.4 million cash distribution from the partial refund of a deposit associated with the Gulf Wind energy derivative. These increases were partially offset by increases in project expenses of approximately $5.0 million, operating expenses of $1.8 million and interest expense of $1.9 million primarily from the commencement of operations at Panhandle 2 and Logan's Gap as well as the acquisitions of Lost Creek and Post Rock.
Cash available for distribution was $59.6 million for the nine months ended September 30, 2015 compared to $44.8 million in the same period last year. The increase is primarily due to additional electricity sales from the commencement of commercial operations and acquisitions referenced above, an $18.8 million increase in cash distributions from unconsolidated investments, and a $5.8 million increase from energy derivative settlements and a $5.4 million cash distribution from the partial refund of a deposit associated with the Gulf Wind energy derivative. These increases were partially offset by increases in project expenses of $25.5 million, operating expenses of $7.5 million, interest expense of $8.4 million, primarily from the commencement of operations at Panhandle 1, El Arrayán, Panhandle 2, and Logan's Gap and the acquisitions of Lost Creek and Post Rock.
Reconciliations of cash available for distribution to net cash provided by operating activities for both the quarterly and nine-month periods determined in accordance with GAAP are shown below.
Quarterly Dividend
Pattern Energy declared an increased dividend for the fourth quarter 2015, payable on January 29, 2016, to holders of record on December 31, 2015, in the amount of $0.372 per Class A share, which represents $1.49 on an annualized basis. This is a 2.5 percent increase from the third quarter 2015 dividend of $0.363.
Construction Pipeline
The table below outlines Pattern Energy's Amazon Wind Farm (Fowler Ridge) project currently in construction, the capacity owned and the project's anticipated commencement date for commercial operation.
|
Asset
|
Location
|
|
Owned MW
|
|
Commercial Operation
|
|
Amazon Wind Farm (Fowler Ridge)
|
Indiana
|
|
116
|
|
Q4 2015
|
Third-party Acquisitions
In July 2015, Pattern Energy purchased the remaining 170 MW in the 283 MW Gulf Wind facility from MetLife Capital, Limited Partnership and Pattern Development. With the purchases, Pattern Energy now owns 100% of the membership interests in the Gulf Wind facility. Pattern Energy also prepaid 100% of the outstanding balance of the Gulf Wind facility's term loan of approximately $154.1 million shortly after closing the two acquisitions.
Acquisition Pipeline
Pattern Energy has the Right of First Offer (ROFO) on a pipeline of acquisition opportunities from Pattern Development.
On August 7, 2015, Pattern Development, through two of its subsidiaries entered into two 20-year Power Purchase Agreements (PPA) with the Southern California Edison Company in connection with 297 MW of a 497 MW gross capacity wind power project, referred to as "Broadview" and based in Curry County, New Mexico, that was previously added to the identified ROFO list. Subsequent to the end of the quarter, on October 20, 2015, Pattern Development entered into a 25-year PPA with the Sacramento Municipal Utility District in connection with the remaining 200 MW of the wind project, referred to as "Grady." The project, which is being built in multiple phases, will deliver wind power directly into California.
The identified ROFO list stands at 1,270 MW of total owned capacity. Since its IPO, Pattern Energy has purchased 832 MW from Pattern Development and in aggregate grown the identified ROFO list from 746 MW to a total of 2,102 MW. The table below sets forth the current list of identified ROFO projects:
|
Asset
|
|
Location
|
|
Owned MW
|
|
Commercial Operation
|
|
Armow
|
|
Ontario
|
|
90
|
|
In construction
|
|
Meikle
|
|
British Columbia
|
|
180
|
|
In construction
|
|
Conejo Solar
|
|
Chile
|
|
84
|
|
In construction
|
|
Belle River
|
|
Ontario
|
|
50
|
|
Securing final permits
|
|
Henvey Inlet
|
|
Ontario
|
|
150
|
|
Late stage development
|
|
Mont Sainte-Marguerite
|
|
Québec
|
|
147
|
|
Late stage development
|
|
North Kent
|
|
Ontario
|
|
43
|
|
Late stage development
|
|
Broadview/Grady
|
|
New Mexico
|
|
398
|
|
Late stage development
|
|
Tsugaru
|
|
Japan
|
|
63
|
|
Late stage development
|
|
Ohorayama
|
|
Japan
|
|
31
|
|
Late stage development
|
|
Kanagi Solar
|
|
Japan
|
|
5
|
|
In construction
|
|
Futtsu Solar
|
|
Japan
|
|
17
|
|
In construction
|
|
Otsuki
|
|
Japan
|
|
12
|
|
Operational
|
|
Total
|
|
|
|
1,270
|
|
|
The list of identified ROFO projects represents a portion of Pattern Development's 5,900 MW pipeline of development projects, all of which are subject to Pattern Energy's ROFO. The 5,900 MW includes Pattern Development's interests in both its majority stake in Tokyo-based GPI and its joint venture with CEMEX Energia in Mexico. GPI has up to 1,000 MW of near and longer term wind and solar projects in development. The joint venture between Pattern Development and CEMEX Energia has a goal of developing 1,000 MW of wind and solar generation in Mexico over the next five years where recent reforms set a mandate of 35% of generation to come from clean resources by 2024.
Adjusted EBITDA and Cash Available for Distribution Non-GAAP Reconciliations
The following tables reconcile non-GAAP net loss to Adjusted EBITDA and net cash provided by operating activities to cash available for distribution, respectively, for the periods presented (in thousands):
|
Three months ended September 30,
|
|
Nine months ended September 30,
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
Net loss
|
$
|
(35,332)
|
|
$
|
(9,281)
|
|
$
|
(51,734)
|
|
$
|
(24,013)
|
|
Plus:
|
|
|
|
|
|
|
|
|
Interest expense, net of interest income
|
18,278
|
|
17,742
|
|
54,692
|
|
47,685
|
|
Tax (benefit) provision
|
(2,181)
|
|
(3,538)
|
|
676
|
|
(1,505)
|
|
Depreciation, amortization and accretion
|
40,241
|
|
30,015
|
|
104,082
|
|
72,476
|
|
EBITDA
|
$
|
21,006
|
|
$
|
34,938
|
|
$
|
107,716
|
|
$
|
94,643
|
|
Unrealized (gain) loss on energy derivative
|
(4,630)
|
|
(3,139)
|
|
(1,600)
|
|
11,143
|
|
Interest rate derivative settlements
|
2,412
|
|
1,030
|
|
4,331
|
|
3,082
|
|
Unrealized loss (gain) on derivatives, net
|
5,090
|
|
(66)
|
|
2,393
|
|
6,599
|
|
Realized loss on derivatives
|
9,810
|
|
—
|
|
9,810
|
|
—
|
|
Early extinguishment of debt
|
4,113
|
|
—
|
|
4,113
|
|
—
|
|
Net loss (gain) on transactions
|
74
|
|
68
|
|
2,663
|
|
(14,469)
|
|
Plus, proportionate share from equity accounted investments:
|
|
|
|
|
|
|
|
|
Interest expense, net of interest income
|
6,466
|
|
4,000
|
|
17,085
|
|
9,197
|
|
Tax provision
|
—
|
|
—
|
|
—
|
|
102
|
|
Depreciation, amortization and accretion
|
6,746
|
|
4,299
|
|
16,246
|
|
9,023
|
|
Unrealized loss on interest rate and currency derivatives, net
|
7,637
|
|
3,215
|
|
9,531
|
|
21,046
|
|
Realized loss on interest rate and currency derivatives
|
—
|
|
—
|
|
—
|
|
22
|
|
Adjusted EBITDA
|
$
|
58,724
|
|
$
|
44,345
|
|
$
|
172,288
|
|
$
|
140,388
|
|
|
Three months ended September 30,
|
|
Nine months ended September 30,
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
Net cash provided by operating activities
|
$
|
34,682
|
|
$
|
23,078
|
|
$
|
83,282
|
|
$
|
83,900
|
|
Changes in operating assets and liabilities
|
(4,293)
|
|
(2,035)
|
|
(6,429)
|
|
(7,720)
|
|
Network upgrade reimbursement
|
618
|
|
1,236
|
|
1,854
|
|
2,472
|
|
Release of restricted cash to fund project and general and administrative costs
|
—
|
|
149
|
|
1,501
|
|
210
|
|
Operations and maintenance capital expenditures
|
27
|
|
(40)
|
|
(294)
|
|
(134)
|
|
Transaction costs for acquisitions
|
49
|
|
—
|
|
1,826
|
|
1,128
|
|
Distributions from unconsolidated investment
|
9,647
|
|
4,704
|
|
23,494
|
|
4,704
|
|
Reduction of other asset - Gulf Wind energy derivative deposit
|
5,355
|
|
—
|
|
5,355
|
|
—
|
|
Other
|
(1,261)
|
|
—
|
|
(1,553)
|
|
—
|
|
Less:
|
|
|
|
|
|
|
|
|
Distributions to noncontrolling interests
|
(2,871)
|
|
—
|
|
(4,382)
|
|
(1,470)
|
|
Principal payments paid from operating cash flows (1)
|
(19,674)
|
|
(16,149)
|
|
(45,057)
|
|
(38,245)
|
|
Cash available for distribution
|
$
|
22,279
|
|
$
|
10,943
|
|
$
|
59,597
|
|
$
|
44,845
|
|
|
(1) Principal payments paid from operating cash flows includes a principal payment on the Lost Creek debt that was due September 30, 2015 and paid subsequently on October 1, 2015 due to an administrative delay.
|
Conference Call and Webcast
Pattern Energy will host a conference call and webcast to discuss these results at 10:30 a.m. Eastern Time on Thursday, November 5, 2015. Mike Garland, President and CEO, and Mike Lyon, CFO, will co-chair the call. Participants should call (888) 231-8191 or (647) 427-7450 and ask an operator for the Pattern Energy earnings call. Please dial in 10 minutes prior to the call to secure a line. A replay will be available shortly after the call. To access the replay, please dial (855) 859-2056 or (416) 849-0833 and enter access code 61362931. The replay recording will be available until 11:59 p.m. Eastern Time, November 18, 2015.
A live webcast of the conference call will be also available on the events page in the investor section of Pattern's website at www.patternenergy.com. An archived webcast will be available for one year.
About Pattern Energy
Pattern Energy Group Inc. is an independent power company listed on The NASDAQ Global Select Market and Toronto Stock Exchange. Pattern Energy has a portfolio of 16 wind power facilities with a total owned interest of 2,282 MW in the United States, Canada and Chile that use proven, best-in-class technology. Pattern Energy's wind power facilities generate stable long-term cash flows in attractive markets and provide a solid foundation for the continued growth of the business. For more information, visit www.patternenergy.com.
Cautionary Statement Regarding Forward-Looking Statements
Certain statements contained in this press release constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and "forward-looking information" within the meaning of Canadian securities laws, including statements regarding the ability to achieve the 2015 CAFD estimate, the ability to not require new capital to fund existing assets, the ability of the existing asset base to continue to produce increased CAFD through next year compared to 2015 without further capital requirements, achieve the CAFD run rate target, the anticipated commercial operation date of the construction project on the identified ROFO list, and the ability of the joint venture between Pattern Development and CEMEX Energia to achieve its five-year development goal. These forward-looking statements represent the Company's expectations or beliefs concerning future events, and it is possible that the results described in this press release will not be achieved. These forward-looking statements are subject to risks, uncertainties and other factors, many of which are outside of the Company's control, which could cause actual results to differ materially from the results discussed in the forward-looking statements.
Any forward-looking statement speaks only as of the date on which it is made, and, except as required by law, the Company does not undertake any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. New factors emerge from time to time, and it is not possible for the Company to predict all such factors. When considering these forward-looking statements, you should keep in mind the risk factors and other cautionary statements in the Company's annual report on Form 10-K and any quarterly reports on Form 10-Q. The risk factors and other factors noted therein could cause actual events or the Company's actual results to differ materially from those contained in any forward-looking statement.
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Pattern Energy Group Inc.
Consolidated Balance Sheets
(In thousands of U.S. Dollars, except share data)
(Unaudited)
|
|
September 30, 2015
|
|
December 31,
2014
|
|
Assets
|
|
|
|
|
Current assets:
|
|
|
|
|
Cash and cash equivalents
|
$
|
103,196
|
|
$
|
101,656
|
|
Restricted cash
|
18,111
|
|
7,945
|
|
Trade receivables
|
37,540
|
|
35,759
|
|
Related party receivable
|
689
|
|
671
|
|
Reimbursable interconnection costs
|
663
|
|
2,532
|
|
Derivative assets, current
|
21,912
|
|
18,506
|
|
Current net deferred tax assets
|
307
|
|
318
|
|
Prepaid expenses and other current assets
|
23,595
|
|
27,954
|
|
Deferred financing costs, current, net of accumulated amortization of $4,699 and $3,493 as of September 30, 2015 and December 31, 2014, respectively
|
1,991
|
|
1,747
|
|
Total current assets
|
208,004
|
|
197,088
|
|
Restricted cash
|
34,196
|
|
39,745
|
|
Turbine advances
|
25,956
|
|
79,637
|
|
Construction in progress
|
180,115
|
|
26,195
|
|
Property, plant and equipment, net of accumulated depreciation of $370,713 and $278,291 as of September 30, 2015 and December 31, 2014, respectively
|
3,066,461
|
|
2,350,856
|
|
Unconsolidated investments
|
115,177
|
|
29,079
|
|
Derivative assets
|
47,033
|
|
49,369
|
|
Deferred financing costs
|
4,926
|
|
5,166
|
|
Net deferred tax assets
|
12,112
|
|
5,474
|
|
Finite-lived intangible assets, net of accumulated amortization of $2,761 and $154 as of September 30, 2015 and December 31, 2014, respectively
|
99,398
|
|
1,257
|
|
Other assets
|
27,906
|
|
11,421
|
|
Total assets
|
$
|
3,821,284
|
|
$
|
2,795,287
|
|
|
Liabilities and equity
|
|
|
|
|
Current liabilities:
|
|
|
|
|
Accounts payable and other accrued liabilities
|
$
|
36,107
|
|
$
|
24,793
|
|
Accrued construction costs
|
43,610
|
|
20,132
|
|
Related party payable
|
1,312
|
|
5,757
|
|
Accrued interest
|
6,598
|
|
3,634
|
|
Dividends payable
|
27,384
|
|
15,734
|
|
Derivative liabilities, current
|
16,360
|
|
16,307
|
|
Revolving credit facility
|
245,000
|
|
50,000
|
|
Current portion of long-term debt, net of financing costs of $5,082 and $11,868 as of September 30, 2015 and December 31, 2014, respectively
|
202,580
|
|
109,693
|
|
Current net deferred tax liabilities
|
149
|
|
149
|
|
Current portion of contingent liabilities
|
8,910
|
|
4,000
|
|
Total current liabilities
|
588,010
|
|
250,199
|
|
Long-term debt, net of financing costs of $19,959 and $24,887 as of September 30, 2015 and December 31, 2014, respectively
|
1,204,848
|
|
1,304,165
|
|
Convertible senior notes, net of financing costs of $5,271 and $0 as of September 30, 2015 and December 31, 2014, respectively
|
196,191
|
|
—
|
|
Derivative liabilities
|
33,203
|
|
17,467
|
|
Asset retirement obligations
|
41,553
|
|
29,272
|
|
Net deferred tax liabilities
|
24,140
|
|
20,418
|
|
Contingent liabilities
|
1,070
|
|
175
|
|
Finite-lived intangible liability, net of accumulated amortization of $1,301 and $0 as of September 30, 2015 and December 31, 2014, respectively
|
58,999
|
|
—
|
|
Other long-term liabilities
|
8,757
|
|
8,857
|
|
Total liabilities
|
2,156,771
|
|
1,630,553
|
|
Equity:
|
|
|
|
|
Class A common stock, $0.01 par value per share: 500,000,000 shares authorized; 74,671,950 and 62,062,841 shares outstanding as of September 30, 2015 and December 31, 2014, respectively
|
747
|
|
621
|
|
Additional paid-in capital
|
1,009,381
|
|
723,938
|
|
Accumulated loss
|
(79,613)
|
|
(44,626)
|
|
Accumulated other comprehensive loss
|
(75,666)
|
|
(45,068)
|
|
Treasury stock, at cost; 37,492 and 25,465 shares of Class A common stock as of September 30, 2015 and December 31, 2014, respectively
|
(1,048)
|
|
(717)
|
|
Total equity before noncontrolling interest
|
853,801
|
|
634,148
|
|
Noncontrolling interest
|
810,712
|
|
530,586
|
|
Total equity
|
1,664,513
|
|
1,164,734
|
|
Total liabilities and equity
|
$
|
3,821,284
|
|
$
|
2,795,287
|
|
Pattern Energy Group Inc.
|
|
Consolidated Statements of Operations
|
|
(In thousands of U.S. dollars, except per share data)
|
|
(Unaudited)
|
|
|
Three months ended September 30,
|
|
Nine months ended September 30,
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
Revenue:
|
|
|
|
|
|
|
|
|
Electricity sales
|
$
|
80,657
|
|
|
$
|
64,251
|
|
|
$
|
218,586
|
|
|
$
|
184,175
|
|
|
Energy derivative settlements
|
2,969
|
|
|
2,591
|
|
|
15,066
|
|
|
9,309
|
|
|
Unrealized gain (loss) on energy derivative
|
4,630
|
|
|
3,139
|
|
|
1,600
|
|
|
(11,143)
|
|
|
Related party revenue
|
955
|
|
|
868
|
|
|
2,630
|
|
|
2,330
|
|
|
Other revenue
|
486
|
|
|
670
|
|
|
1,352
|
|
|
1,404
|
|
|
Total revenue
|
89,697
|
|
|
71,519
|
|
|
239,234
|
|
|
186,075
|
|
|
Cost of revenue:
|
|
|
|
|
|
|
|
|
Project expense
|
28,848
|
|
|
23,835
|
|
|
82,075
|
|
|
56,609
|
|
|
Depreciation and accretion
|
38,599
|
|
|
30,015
|
|
|
101,997
|
|
|
72,476
|
|
|
Total cost of revenue
|
67,447
|
|
|
53,850
|
|
|
184,072
|
|
|
129,085
|
|
|
Gross profit
|
22,250
|
|
|
17,669
|
|
|
55,162
|
|
|
56,990
|
|
|
Operating expenses:
|
|
|
|
|
|
|
|
|
General and administrative
|
7,218
|
|
|
5,772
|
|
|
22,309
|
|
|
15,963
|
|
|
Related party general and administrative
|
1,887
|
|
|
1,492
|
|
|
5,316
|
|
|
4,155
|
|
|
Total operating expenses
|
9,105
|
|
|
7,264
|
|
|
27,625
|
|
|
20,118
|
|
|
Operating income
|
13,145
|
|
|
10,405
|
|
|
27,537
|
|
|
36,872
|
|
|
Other expense:
|
|
|
|
|
|
|
|
|
Interest expense
|
(19,941)
|
|
|
(17,999)
|
|
|
(56,802)
|
|
|
(48,427)
|
|
|
Interest rate derivative settlements
|
(2,412)
|
|
|
(1,030)
|
|
|
(4,331)
|
|
|
(3,082)
|
|
|
Unrealized (loss) gain on derivatives, net
|
(5,090)
|
|
|
66
|
|
|
(2,393)
|
|
|
(6,599)
|
|
|
Realized loss on derivatives, net
|
(9,810)
|
|
|
—
|
|
|
(9,810)
|
|
|
—
|
|
|
Equity in (losses) earnings in unconsolidated investments
|
(9,951)
|
|
|
(5,002)
|
|
|
768
|
|
|
(21,238)
|
|
|
Related party income
|
605
|
|
|
664
|
|
|
2,029
|
|
|
1,736
|
|
|
Early extinguishment of debt
|
(4,113)
|
|
|
—
|
|
|
(4,113)
|
|
|
—
|
|
|
Net (loss) gain on transactions
|
(74)
|
|
|
(68)
|
|
|
(2,663)
|
|
|
14,469
|
|
|
Other income (expense), net
|
128
|
|
|
145
|
|
|
(1,280)
|
|
|
751
|
|
|
Total other expense
|
(50,658)
|
|
|
(23,224)
|
|
|
(78,595)
|
|
|
(62,390)
|
|
|
Net loss before income tax
|
(37,513)
|
|
|
(12,819)
|
|
|
(51,058)
|
|
|
(25,518)
|
|
|
Tax (benefit) provision
|
(2,181)
|
|
|
(3,538)
|
|
|
676
|
|
|
(1,505)
|
|
|
Net loss
|
(35,332)
|
|
|
(9,281)
|
|
|
(51,734)
|
|
|
(24,013)
|
|
|
Net loss attributable to noncontrolling interest
|
(5,927)
|
|
|
(2,073)
|
|
|
(16,747)
|
|
|
(13,115)
|
|
|
Net loss attributable to controlling interest
|
$
|
(29,405)
|
|
|
$
|
(7,208)
|
|
|
$
|
(34,987)
|
|
|
$
|
(10,898)
|
|
|
Loss per share information:
|
|
|
|
|
|
|
|
|
Net loss attributable to controlling interest
|
$
|
(29,405)
|
|
|
$
|
(7,208)
|
|
|
$
|
(34,987)
|
|
|
$
|
(10,898)
|
|
|
Dividends declared on Class A common shares
|
(27,113)
|
|
|
(15,258)
|
|
|
(75,117)
|
|
|
(41,395)
|
|
|
Deemed dividends on Class B common shares
|
N/A
|
|
|
(7,222)
|
|
|
N/A
|
|
|
(14,679)
|
|
|
Undistributed loss attributable to common stockholders
|
$
|
(56,518)
|
|
|
$
|
(29,688)
|
|
|
$
|
(110,104)
|
|
|
$
|
(66,972)
|
|
|
Weighted average number of shares:
|
|
|
|
|
|
|
|
|
Class A common stock - Basic
|
72,789,583
|
|
|
46,317,932
|
|
|
69,233,698
|
|
|
41,022,962
|
|
|
Class A common stock - Diluted
|
72,789,583
|
|
|
46,317,932
|
|
|
69,233,698
|
|
|
56,577,962
|
|
|
Class B common stock - Basic and diluted
|
N/A
|
|
|
15,555,000
|
|
|
N/A
|
|
|
15,555,000
|
|
|
Loss per share
|
|
|
|
|
|
|
|
|
Class A common stock:
|
|
|
|
|
|
|
|
|
Basic loss per share
|
$
|
(0.40)
|
|
|
$
|
(0.15)
|
|
|
$
|
(0.51)
|
|
|
$
|
(0.17)
|
|
|
Diluted loss per share
|
$
|
(0.40)
|
|
|
$
|
(0.15)
|
|
|
$
|
(0.51)
|
|
|
$
|
(0.19)
|
|
|
Class B common stock:
|
|
|
|
|
|
|
|
|
Basic and diluted loss per share
|
N/A
|
|
|
$
|
(0.02)
|
|
|
N/A
|
|
|
$
|
(0.24)
|
|
|
Dividends declared per Class A common share
|
$
|
0.36
|
|
|
$
|
0.33
|
|
|
$
|
1.06
|
|
|
$
|
0.96
|
|
|
Deemed dividends per Class B common share
|
N/A
|
|
|
$
|
0.46
|
|
|
N/A
|
|
|
$
|
0.94
|
|
|
Pattern Energy Group Inc.
|
|
Consolidated Statements of Cash Flows
|
|
(In thousands of U.S. dollars)
|
|
(Unaudited)
|
|
|
|
Nine months ended September 30,
|
|
2015
|
|
2014
|
|
Operating activities
|
|
|
|
|
Net loss
|
$
|
(51,734)
|
|
|
$
|
(24,013)
|
|
|
Adjustments to reconcile net loss to net cash provided by operating activities:
|
|
|
|
|
Depreciation, amortization and accretion
|
102,108
|
|
|
72,476
|
|
|
Loss on disposal of equipment
|
398
|
|
|
—
|
|
|
Amortization of financing costs
|
5,581
|
|
|
4,246
|
|
|
Unrealized loss on derivatives, net
|
793
|
|
|
17,742
|
|
|
Stock-based compensation
|
3,234
|
|
|
3,128
|
|
|
Net gain on transactions
|
—
|
|
|
(16,526)
|
|
|
Deferred taxes
|
340
|
|
|
(1,505)
|
|
|
Equity in (earnings) losses in unconsolidated investments
|
(813)
|
|
|
21,238
|
|
|
Unrealized loss on exchange rate changes
|
823
|
|
|
—
|
|
|
Amortization of power purchase agreements, net
|
1,175
|
|
|
—
|
|
|
Amortization of debt discount/premium, net
|
798
|
|
|
—
|
|
|
Realized loss on derivatives, net
|
10,192
|
|
|
—
|
|
|
Early extinguishment of debt
|
3,958
|
|
|
—
|
|
|
Changes in operating assets and liabilities:
|
|
|
|
|
Trade receivables
|
5,657
|
|
|
(5,255)
|
|
|
Prepaid expenses and other current assets
|
(2,589)
|
|
|
13,139
|
|
|
Other assets (non-current)
|
(2,022)
|
|
|
(503)
|
|
|
Accounts payable and other accrued liabilities
|
4,180
|
|
|
1,642
|
|
|
Related party receivable/payable
|
506
|
|
|
(1,017)
|
|
|
Accrued interest payable
|
1,970
|
|
|
(917)
|
|
|
Contingent liabilities
|
764
|
|
|
—
|
|
|
Long-term liabilities
|
83
|
|
|
25
|
|
|
Increase in restricted cash
|
(2,120)
|
|
|
—
|
|
|
Net cash provided by operating activities
|
83,282
|
|
|
83,900
|
|
|
Investing activities
|
|
|
|
|
Cash paid for acquisitions, net of cash acquired
|
(406,284)
|
|
|
(167,585)
|
|
|
Decrease in restricted cash
|
41,820
|
|
|
23,861
|
|
|
Increase in restricted cash
|
(33,890)
|
|
|
(10,406)
|
|
|
Capital expenditures
|
(315,954)
|
|
|
(18,615)
|
|
|
Distribution from unconsolidated investments
|
23,494
|
|
|
17,104
|
|
|
Contribution to unconsolidated investments
|
—
|
|
|
(2,320)
|
|
|
Reimbursable interconnection receivable
|
1,869
|
|
|
1,418
|
|
|
Other assets
|
2,781
|
|
|
2,472
|
|
|
Net cash used in investing activities
|
(686,164)
|
|
|
(154,071)
|
|
|
Pattern Energy Group Inc.
|
|
Consolidated Statements of Cash Flows
|
|
(In thousands of U.S. dollars)
|
|
(Unaudited)
|
|
|
Nine months ended September 30,
|
|
2015
|
|
2014
|
|
Financing activities
|
|
|
|
|
Proceeds from public offering, net of expenses
|
317,822
|
|
|
286,834
|
|
|
Proceeds from issuance of convertible senior notes, net of issuance costs
|
219,557
|
|
|
—
|
|
|
Proceeds from exercise of stock options
|
—
|
|
|
273
|
|
|
Repurchase of shares for employee tax withholding
|
(331)
|
|
|
(380)
|
|
|
Dividends paid
|
(63,455)
|
|
|
(37,104)
|
|
|
Payment for deferred equity issuance costs
|
(1,940)
|
|
|
—
|
|
|
Buyout of noncontrolling interest
|
(121,224)
|
|
|
—
|
|
|
Capital contributions - noncontrolling interest
|
193,064
|
|
|
2,550
|
|
|
Capital distributions - noncontrolling interest
|
(4,382)
|
|
|
(1,470)
|
|
|
Decrease in restricted cash
|
41,429
|
|
|
13,508
|
|
|
Increase in restricted cash
|
(41,184)
|
|
|
(13,508)
|
|
|
Refund of deposit for letters of credit
|
3,425
|
|
|
—
|
|
|
Payment for deferred financing costs
|
(8,445)
|
|
|
(603)
|
|
|
Proceeds from revolving credit facility
|
295,000
|
|
|
—
|
|
|
Repayment of revolving credit facility
|
(100,000)
|
|
|
—
|
|
|
Proceeds from construction loans
|
294,502
|
|
|
1,087
|
|
|
Repayment of long-term debt
|
(405,036)
|
|
|
(53,085)
|
|
|
Payment for interest rate derivatives
|
(11,061)
|
|
|
—
|
|
|
Net cash provided by financing activities
|
607,741
|
|
|
198,102
|
|
|
Effect of exchange rate changes on cash and cash equivalents
|
(3,319)
|
|
|
(842)
|
|
|
Net change in cash and cash equivalents
|
1,540
|
|
|
127,089
|
|
|
Cash and cash equivalents at beginning of period
|
101,656
|
|
|
103,569
|
|
|
Cash and cash equivalents at end of period
|
$
|
103,196
|
|
|
$
|
230,658
|
|
|
Supplemental disclosures
|
|
|
|
|
Cash payments for interest expense, net of capitalized interest
|
$
|
38,241
|
|
|
$
|
43,040
|
|
|
Acquired property, plant and equipment from acquisitions
|
579,712
|
|
|
674,743
|
|
|
Schedule of non-cash activities
|
|
|
|
|
Change in fair value of designated interest rate swaps
|
4,510
|
|
|
(18,541)
|
|
|
Change in property, plant and equipment
|
20,744
|
|
|
(97,051)
|
|
|
Non-cash deemed dividends on Class B convertible common stock
|
—
|
|
|
14,679
|
|
|
Non-cash increase in additional paid-in capital from buyout of noncontrolling interests
|
16,715
|
|
|
—
|
|
|
Equity issuance costs paid in prior period related to current period offerings
|
433
|
|
|
—
|
|
Logo - http://photos.prnewswire.com/prnh/20150421/199964LOGO
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/pattern-energy-reports-third-quarter-results-300173024.html
SOURCE Pattern Energy Group Inc.
Copyright CNW Group 2015
Source: Canada Newswire
(November 5, 2015 - 6:00 AM EST)
News by QuoteMedia
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