AMPS
Altus Power, INC
NYSE
8-K: Altus Power Reports Strong First Quarter 2024 Results, Revenue Up 38%
Sentiment:
Quarterly Report
9 May 2024 4:11 PM
Altus Power announced a 38% increase in revenue and a 23% increase in adjusted EBITDA for the first quarter of 2024, driven by growth in solar energy facilities and community solar subscriptions.
Better than expected
The company's revenue and adjusted EBITDA exceeded the previous year's results, indicating better than expected performance.
Summary
- Altus Power reported a strong first quarter in 2024, with revenues reaching $40.7 million, a 38% increase compared to the same period in 2023.
- The company's GAAP net income was $4.1 million for the quarter, slightly up from $3.8 million in the first quarter of 2023.
- Adjusted EBITDA for the first quarter of 2024 was $19.7 million, a 23% increase year-over-year.
- The growth in revenue and adjusted EBITDA was primarily due to an increase in the number of solar energy facilities and community solar customers.
- Altus Power added approximately 4,000 community solar customers in the first quarter, bringing the total to over 24,000.
- The company's portfolio size increased by 45% to 981 MW compared to the first quarter of 2023.
- Altus Power reaffirmed its 2024 guidance for operating revenues between $200-222 million and adjusted EBITDA between $115-135 million.
- The company ended the quarter with a cash balance of $204 million.
Sentiment
Score: 8
Explanation: The document presents a positive outlook with strong financial results, significant growth metrics, and reaffirmed guidance, indicating a high level of confidence in the company's future performance.
Positives
- Altus Power experienced significant revenue growth of 38% year-over-year.
- The company's adjusted EBITDA increased by 23% year-over-year, indicating improved profitability.
- The company added 4,000 new community solar customers, demonstrating strong customer acquisition.
- The company's portfolio size grew by 45%, showing significant expansion of its solar assets.
- Altus Power has a strong cash position of $204 million, providing financial flexibility.
- The company reaffirmed its 2024 guidance, indicating confidence in future performance.
Negatives
- General and administrative expenses increased due to an increase in personnel.
- The company reported an operating loss of $1.6 million, although this was offset by other income.
- The company's net income attributable to Altus Power was $7.5 million, but this was reduced to $4.1 million due to non-controlling interests.
Risks
- The company faces risks related to pending acquisitions, including the possibility that they may not close or be integrated successfully.
- There are risks associated with obtaining necessary regulatory approvals and consents.
- The company's performance could be affected by economic, business, regulatory, and competitive factors.
- The company's forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially.
Future Outlook
Altus Power reaffirms its 2024 guidance for operating revenues between $200-222 million and adjusted EBITDA between $115-135 million, representing 36% and 34% growth over 2023 at the midpoints, respectively.
Management Comments
- Gregg Felton, CEO of Altus Power, stated that the company is well-positioned to capitalize on rising retail rates and increasing power demand.
- He also highlighted the growth in Community Solar with the addition of 4,000 new residential customers.
Industry Context
The company is benefiting from increased demand for electricity and rising retail rates, which are driven by factors such as artificial intelligence, electric vehicles, and crypto. Altus Power is positioned as the largest commercial-scale solar owner and operator in the US, which allows it to capitalize on these trends.
Comparison to Industry Standards
- Altus Power's 38% revenue growth and 23% adjusted EBITDA growth in Q1 2024 are strong compared to many other companies in the renewable energy sector.
- Companies like SunPower and First Solar have also seen growth, but Altus Power's focus on commercial-scale solar and community solar provides a unique market position.
- The company's portfolio size of 981 MW is significant, placing it among the largest commercial solar asset owners in the US, comparable to large-scale project developers like NextEra Energy Resources.
Stakeholder Impact
- Shareholders will benefit from the company's strong financial performance and growth prospects.
- Employees may see increased opportunities due to the company's expansion.
- Customers will benefit from the company's growing portfolio of clean energy solutions.
- Suppliers and creditors will benefit from the company's financial stability and growth.
Next Steps
- Altus Power will continue to focus on executing its pipeline of projects.
- The company will continue to evaluate new acquisition opportunities.
- Altus Power will continue to expand its community solar customer base.
Key Dates
- March 14, 2024: Altus Power's Form 10-K for 2023 was filed with the SEC.
- March 31, 2024: End of the first fiscal quarter for which results are reported.
- May 9, 2024: Date of the earnings release and investor presentation.
Keywords
solar energy, renewable energy, community solar, adjusted EBITDA, revenue, financial results, portfolio growth, clean energy, megawatts, EBITDA
AMPS
Altus Power, INC
NYSE
Sector: Utilities
Filings with Classifications
Better than expected
17 March 2025 9:03 PM
Earnings Release
- The company's full year revenue increased by 26% compared to the previous year.
- The company's net loss decreased compared to the previous year.
- The company's Adjusted EBITDA increased compared to the previous year.
Worse than expected
17 March 2025 5:02 PM
Annual Results
- The company reported a net loss of $10.667 million for the year ended December 31, 2024, compared to a net loss of $25.973 million for the year ended December 31, 2023, and a net income of $52.167 million for the year ended December 31, 2022.
Better than expected
17 March 2025 5:00 PM
Earnings Release
- Full year revenue increased by 26% to $196.3 million.
- Adjusted EBITDA for the full year increased by 20% to $111.6 million.
Capital raise
13 March 2025 9:01 PM
Merger Announcement
- TPG Guarantor has committed to capitalize Parent in an aggregate amount of up to $920,371,158 (the Equity Financing) at or prior to the Closing.
- Parent has obtained financing commitments pursuant to a debt commitment letter, dated as of February 5, 2025 (the Debt Commitment Letter) for the purpose of (a) refinancing the APAGH Term Loan concurrently with the Closing of the Merger and the other Transactions (the Refinancing), (b) paying fees and expenses incurred in connection with the Refinancing and the transactions related thereto and (c) making distributions to indirectly fund a portion of the Merger Consideration (the Committed Debt Financing).
Better than expected
6 February 2025 7:14 AM
Merger Announcement
- The acquisition price represents a 66% premium to Altus Power's unaffected closing price on October 15, 2024.
Better than expected
6 February 2025 7:11 AM
Merger Announcement
- The acquisition price represents a 66% premium to Altus Power's unaffected closing price, indicating a better than expected outcome for shareholders.
Worse than expected
6 December 2024 4:44 PM
Annual Results Amendment
- The company's net income decreased from a profit of $52.2 million in 2022 to a loss of $26 million in 2023, indicating worse than expected results.
Delay expected
6 December 2024 4:44 PM
Annual Results Amendment
- Project timelines have been pushed out by approximately 3 to 6 months due to supply chain challenges and permitting and interconnection delays.
Capital raise
6 December 2024 4:44 PM
Annual Results Amendment
- The company has an at-the-market (ATM) program to offer and sell up to $200 million of shares of Class A common stock.
- The company is seeking to raise additional capital from borrowings under existing debt facilities, third party tax equity investors, and cash from operations.
Capital raise
12 November 2024 4:31 PM
Quarterly Report
- The company has an at-the-market offering (ATM) program to sell shares of Class A common stock.
- The company may offer and sell up to $200 million of shares of Class A common stock pursuant to the Sales Agreement.
Better than expected
12 November 2024 4:31 PM
Quarterly Report
- The company's revenue and net income significantly exceeded the previous year's results.
- The company's installed capacity and adjusted EBITDA also showed substantial improvement.
Better than expected
12 November 2024 4:30 PM
Quarterly Report
- The company's revenue and adjusted EBITDA exceeded the previous year's results for the same quarter.
- The company surpassed 1 GW in operating assets, a significant milestone.
- The company reaffirmed its full-year guidance, indicating confidence in continued growth.
Capital raise
15 October 2024 4:32 PM
Strategic Review Announcement
- The strategic review is aimed at optimizing access to capital for the company.
- The company is exploring alternative ownership structures, which could include a capital raise.
Capital raise
8 August 2024 4:15 PM
Quarterly Report
- The company has an at-the-market (ATM) program to offer and sell shares of Class A common stock, with a remaining capacity of $200 million.
- The company relies on external financing to grow its business and may seek additional capital from borrowings under existing debt facilities, third-party tax equity investors, and cash from operations.
Better than expected
8 August 2024 4:15 PM
Quarterly Report
- The company's net income and operating revenues significantly increased compared to the same period last year, indicating better than expected financial performance.
- The company's installed solar capacity and megawatt hours generated also showed substantial growth, exceeding expectations.
Worse than expected
8 August 2024 4:13 PM
Quarterly Report
- The company revised its full-year revenue and adjusted EBITDA guidance downwards, indicating that the results are worse than previously expected.
Better than expected
9 May 2024 8:48 PM
Quarterly Report
- The company's revenue, adjusted EBITDA, and electricity generation all increased significantly year-over-year, indicating better than expected performance.
Better than expected
9 May 2024 4:14 PM
Quarterly Report
- The company's revenue growth of 38.4% exceeded expectations.
- The company's net income attributable to Altus Power, Inc. increased from $5.6 million to $7.5 million year-over-year.
- The company's installed solar capacity grew by 45% year-over-year, indicating strong growth.
Capital raise
9 May 2024 4:14 PM
Quarterly Report
- The company has a Controlled Equity Offering Sales Agreement (ATM program) with Cantor Fitzgerald & Co., Nomura Securities International, Inc., and Truist Securities, Inc. to offer and sell up to $200 million of shares of Class A common stock.
- The company may seek to raise additional capital from borrowings under existing debt facilities, third party tax equity investors, and cash from operations.
Better than expected
9 May 2024 4:11 PM
Quarterly Report
- The company's revenue and adjusted EBITDA exceeded the previous year's results, indicating better than expected performance.
Capital raise
14 March 2024 4:11 PM
Annual Results
- The company may need to raise additional capital in the future to further scale its business and expand to additional markets.
- The company may raise additional funds through the issuance of equity, equity-related or debt securities, through tax equity partnerships, or through obtaining credit from government or financial institutions.
Delay expected
14 March 2024 4:11 PM
Annual Results
- The report mentions that historical timelines for projects from agreed terms to commercial operation have been pushed out by approximately 3 to 6 months due to supply chain challenges and permitting and interconnection delays.
Worse than expected
14 March 2024 4:11 PM
Annual Results
- The company reported a net loss of $25.9 million, which is worse than the net income of $52.2 million reported in 2022.
Better than expected
14 March 2024 4:10 PM
Annual Results
- The company's revenue and adjusted EBITDA growth significantly exceeded the previous year's results.
- The company's portfolio size and customer base grew substantially, indicating strong market demand and execution.
- The company's 2024 guidance suggests continued growth, indicating positive future prospects.
Capital raise
31 January 2024 4:30 PM
Merger Announcement
- Altus Power expects to expand its funding facility with Blackstone in the near term to secure long-term financing.
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