EDPR’s Q3 financial results show EBITDA for the first nine months of 2020 down 12% year on year.
The Portuguese developer posted total revenues of €1,259m in the first nine months of 2020 where impact from factors including capacity reductions, sell-down transactions and wind resource, were not offset by higher selling prices, which added €29m YoY, excluding sell-downs.
Clean electricity generation as down 7% YoY at 20.4 terawatt-hours (TWh), which EDPR said was in line with a lower installed capacity due to its sell‐down strategy covering 997MW of European assets in the third quarter of 2019 and 137MW in Brazil in the first quarter of 2020.
Other operating income amounted to €259m, down €17m versus the first nine months of last year, with YoY performance reflecting the €200m offshore gains relating to the stakes already sold to the Ocean Winds offshore joint venture with Engie, with all EDPR assets transferring in September.
Net profit stood at €319m (-7% YoY) mainly driven by lower EBITDA. Non-controlling interests in the period totalled €92m, dropping by €21m YoY as a result of assets sold.
EBIT stood at €643m, down from €786m, with sell-down transactions having a positive impact of -€17m in D&A partially compensated by new capacity.
Net financial expenses decreased by €63m to €217m with YoY comparison impacted by lower debt and lower average cost of debt in the period.
As of September 2020, net debt totalled €3,240m, up €437m from December 2019.
The company said that in the nine month period EDPR built 875MW, including the 50% participation in a 278MW US solar portfolio.
EDPR sold its full stake in the 137MW Babilonia wind farm and decommissioned 18MW in Spain for repowering.
All in all its consolidated net portfolio increased 712MW, totalling 11.5GW by the end of September, of which 11GW is fully consolidated and 560MW equity consolidated.
It also had 2.2GW of new capacity under construction, comprised of 1,693MW generated from onshore wind farms, 200MW from solar PV and 269MW from equity stakes in offshore projects.
The company added that its strategy was well on track with 86% of the 7GW capacity 19-22 target build-out completed.
EDPR said Ocean Winds had 5.4GW gross capacity at different stages of development.
Upon closing the acquisition of Viesgo’s Spanish 500MW wind portfolio, EDPR said it will have a backlog of 6.5GW of secured projects.
Interim chief executive Rui Teixeira said it was “very pleased” with progress, adding: “The execution of our plan is well underway, successfully building a portfolio of long term PPAs that support more than 86% of our 2022 targets, creating value and raising capital through the asset sell-down strategy and ensuring excellence in the operation of our windfarms and solar plants”.