ThinkGeoEnergy – Geothermal Energy News

Polaris Infrastructure reports strong revenue growth for Q2, 2017

Polaris Infrastructure reports strong revenue growth of 31% for Q2 2017 compared to the same period last year, due to significantly higher average production in 2017 from its San Jacinto geothermal power plant in Nicaragua, as well as the impact of the 3% annual tariff increase.

In its report on its financial and operating results for the quarter ended June 30, 2017, Polaris Infrastructure, Inc. provides details on its operations in Nicaragua.

Highlights

San Jacinto-Tizate Project Highlights

Financial Overview

The financial results of Polaris Infrastructure for the three and six months ended June 30, 2017 and 2016 are summarized below:

Three months ended Six months ended

(all $ figures in thousands except income (loss) per share) June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016
Average production 59.2 MW (net) 46.5 MW (net) 54.8 MW (net) 47.4 MW (net)
Total revenue $ 15,913 $ 12,145 $ 29,281 $ 24,705
Adjusted EBITDA (1) 13,581 9,838 24,475 20,217
Finance costs (4,354) (4,239) (8,650) (8,486)
Total earnings (loss) attributable to Owners of the Company 1,189 (2,305) 22 (4,375)
Total earnings (loss) per share (basic and diluted) attributable to
Owners of the Company $0.08 ($0.15) $0.00 ($0.28)
As at As at
June 30, 2017 December 31, 2016
Total assets $ 408,264 $ 409,248
Long-term debt 161,342 166,238
Total liabilities 218,504 214,590
Cash 43,999 45,739
Working capital 38,377 43,921

(1) Refer to Use of Non-GAAP Measures section for further details with respect to calculation of Adjusted EBITDA.

For the three months ended June 30, 2017, the Company reported revenue of $15.9 million and Adjusted EBITDA of $13.6 million, compared to revenue of $12.1 million and Adjusted EBITDA of $9.8 million, for the same period in 2016. The increase in revenue resulted from the 3% annual tariff increase combined with a 27% increase in power generation at the San Jacinto project. The improvement in Adjusted EBITDA reflects increased contribution from the San Jacinto plant more than offsetting a modest increase in costs. See Use of Non-GAAP Measures section below for reconciliation of Adjusted EBITDA to Total loss and comprehensive loss.

For the six months ended June 30, 2017, the Company reported revenue of $29.3 million and Adjusted EBITDA of $24.5 million, compared to revenue of $24.7 million and Adjusted EBITDA of $20.2 million, for the same period in 2016. The increase in revenue resulted from the 3% annual tariff increase combined with a 15% increase in average power generation at the San Jacinto project, which came despite the impact of planned downtime for turbine maintenance in the first quarter of 2017, which did not occur in the prior year. The improvement in Adjusted EBITDA reflects increased revenue from the San Jacinto plant with minimal accompanying cost increases. See Use of Non-GAAP Measures section below for reconciliation of Adjusted EBITDA to Total loss and comprehensive loss.

For the six months ended June 30, 2017, the Company had net operating cash inflows of $15.0 million, net investing cash outflows of $8.0 million and net financing cash outflows of $8.7 million. At June 30, 2017, the Company had cash of $44.0 million, of which $25.2 million was held for current use in the San Jacinto project.

“We are pleased with our achievements during the second quarter of 2017,” noted Marc Murnaghan, Chief Executive Officer of Polaris Infrastructure. “Our 2017 drilling program at the San Jacinto project is off to a good start and we are optimistic that we will bring additional production online later this year. We look forward to providing further updates with respect to the outcome of the 2017 drilling program in the weeks ahead.”

Source: Company release

Exit mobile version