Clearway Energy, Inc (NYSE:CWEN) Q3 2020 Earnings Conference Call - Final Transcript

Nov 05, 2020 • 08:00 am ET


Clearway Energy, Inc (NYSE:CWEN) Q3 2020 Earnings Conference Call - Final Transcript


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Ladies and gentlemen, this is the operator. Today's conference is scheduled to begin momentarily. Until that time, your lines will again be placed on hold. We thank you for your patience. Ladies and gentlemen, thank you for standing by and welcome to that Clearway Energy third Quarter 2010 Earnings Call. [Operator Instructions]

After the presentation there will be a question-and-answer session and instructions on how to do so will be given at the appropriate time. Thank you, Mr Chris Sotos, President and CEO of Clearway Energy Sir, you may begin.

Christopher Sotos

Good morning. Let me first thank you for taking the time to join today's call. Joining me this morning is Chad Plotkin, our Chief Financial Officer. Akil Marsh, our Investor Relations Manager and Craig Cornelius President and CEO Clearway Energy Group. Craig will be available for the Q&A portion of our presentation. Before we begin, I'd like to quickly note that today's discussion will contain forward-looking statements which are based on assumptions that we believe to be reasonable as of this date. Actual results may differ materially. Please review the Safe Harbor in today's presentation, as well as the risk factors in our SEC filings. In addition, we will refer to both GAAP and non-GAAP financial measures. For information regarding our non-GAAP financial measures and reconciliations to the most directly comparable GAAP measures, please refer to todays presentation. Turning to Page four for the third quarter of 2020 Clearway achieved CAFD of $171 million for a total of $265 million year to date. These results were within our expected sensitivity ranges. Today, the effects of COVID remain minor with our teams maintaining safe and reliable operations through this difficult time. Clearway is announcing an increase in our quarterly dividend by 1.8% to $0.318 cents per share in the fourth quarter of 2020 and continues to see dividend per share growth at the upper end of our 5% to 8% long-term growth rate through 2021. As I will go into more detail later in this presentation C1 has committed to invest approximately 450 million in new growth during 2020.

This is comprised of today's announcement encompassing total growth investments of approximately 108 million or generating 13.8 million of average asset CAFD over five-year period and our previous growth investments totaling $339 million while generated approximately $36 million of average asset CAFD over a 5-year period. In tandem with these accretive acquisitions Clearway has also raise capital efficiently. We raised 24 million in equity during the quarter by the ATM program for a total of 63 million year-to-date. Clearly also refinanced an upsized several non-recourse debt facilities releasing 96 million of new capital available for capital allocation at the corporate level. In addition, all cash trapped to the PG&E situation has been released. As a result we have sufficient capital to fund all of the currently committed investments. With this activity, we are updating our pro forma CAFD for sure view to $71 per share, which supports our target EPS growth and 80%-