Atlantica Yield plc (NASDAQ:AY) Q3 2019 Earnings Conference Call - Final Transcript

Nov 07, 2019 • 08:30 am ET


Atlantica Yield plc (NASDAQ:AY) Q3 2019 Earnings Conference Call - Final Transcript


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Welcome to Atlantica's Third Quarter 2019 Financial Results Conference Call. Atlantica is a sustainable infrastructure Company that owns a diverse supply portfolio of contracted renewable energy, power generation, electric transmission and water assets in North and South America and certain markets in EMEA. Just a reminder that this call is being webcast live on the Internet and a replay of this call will be available at the Atlantica Yield corporate website.

Atlantica will be making forward-looking statements during this call, based on current expectations and assumptions, which are subject to risks and uncertainties. Actual results could differ materially from our forward-looking statements. If any of our key assumptions are incorrect, are because of the factors discussed in today's earnings presentation or the comments made during this conference call in the Risk Factors section of the accompanying presentation on our latest reports and filings with the Securities and Exchange Commission, each of which can be found on our website. Atlantica Yield does not undertake any duty to update any forward-looking statements.

Joining us for today's conference call is Atlantica's CEO, Santiago Seage; and CFO, Francisco Martinez-Davis. As usual at the end of the conference call, we will open the lines for the Q&A session.

I will now pass you over to Mr. Seage. Please sir, go ahead.

Santiago Seage

Thank you very much. Good morning. Thank you for joining our third quarter 2019 conference call. We are going to start on Page 3, with the key messages. We continued showing a strong performance in the third quarter of 2019, with CAFD that increased by 7% year-over-year to approximately $46 million.

Further, adjusted EBITDA including unconsolidated affiliates for the first nine months of the year also increased on a like-for-like basis. Additionally, our Board of Directors has declared a quarterly dividend of $0.41 per share, representing an increase of 14% compared with the third quarter of last year. Additionally, we have closed that we usually announced our investment acquisition of ATN Expansion too.

On Slide 5, we can see that the revenues in the first nine months of 2019 reached $798 million or 5% decrease versus the same period of 2018, primarily due to currency translation effects. On a constant currency basis, revenues were in line with the same period of 2018. If we take a look at further adjusted EBITDA, including unconsolidated affiliates, we can see that they decreased by an 8% reaching $658 million. The decrease was due again to currency translation effects and to a one-time non-cash gain recorded in 2018 -- in the second quarter of 2018. If we exclude those effects on a like-for-like basis, our EBITDA for the first nine months of the year reach 1%.

Finally CAFD generated in the first nine months of the year increased by 6%, a year-over-year reaching a bit more than a $140 million, on track to meet our guidance for the year.

If we move to the next page, number six, we see that overall our portfolio of assets delivered a good