Ormat Technologies releases annual results for 2013

McGinnes Hills geothermal plant, Nevada (source: Ormat)

Alexander Richter 27 Feb 2014

U.S. based geothermal giant Ormat Technologies announced its financial results for the full year ended December 31, 2013 this week.

Having increased total revenues for the year by 6.3% to $533.2 million, Ormat Technologies also reports record revenues in the product segment (increase of 8.9% to 203.5 million) and a record adjusted EBIDTA for the year (22.3% yto $227.1 million).

Dita Bronicki, chief executive officer of Ormat, stated: “We are very pleased to deliver strong financial results marking our return to earnings growth while making significant progress developing a geographically balanced portfolio of geothermal projects. During 2013 and early 2014, we added 70 MW of new generating capacity from three new geothermal power plants bringing our total portfolio to 626 MW.

“In the product segment, we’ve received a robust flow of orders for our unique power solutions resulting in record revenues of $203.5 million. During 2013 and the first part of 2014, we successfully completed nine power plants with approximately 270 MW of gross generating capacity. The plants, which we completed for our clients and for our own portfolio, significantly contributed to the growth of the geothermal industry. Our strength in the market and appetite for continued growth will continue to support our backlog currently standing at $165.0 million, excluding the Sarulla project supply contract. With growing demand for geothermal energy across the globe and financial incentives in place to foster its development, we continue to be optimistic about Ormat’s future growth.”

Bronicki added, “We expect our 2014 electricity revenues to be between $370 million and $380 million and our product segment revenues to be between $170 million and $180 million, including $36 million revenue from the Sarulla project.”

ON the operational side the company reports:

• Electricity generation increased 7.9% to 4.3 million MWh, driven by contributions from Olkaria III Plant 2, McGinness Hills, Jersey Valley and Tuscarora;
• Completed 58 MW expansion of the Olkaria III geothermal complex in Kenya bringing the complex’s total generating capacity to 110 MW;
• Completed the 16 MW Don A. Campbell geothermal power plant in Nevada;
• Completed the acquisition of the Platanares project in Honduras and released McGinness Hills phase 2 for construction; and,
• Secured Purchase Agreements (PPAs) for Heber 1 in California and for Mammoth G1 and G3 to replace the Standard Offer Contract No. 4 (SO#4), which are tied to natural gas prices, with fixed-price contracts;

Source: Company release via NASDAQ