8POINT3 ENERGY PARTNERS LP SAN JOSE, Calif., Jan. 26, 2017 /PRNewswire/ -- 8point3 Energy Partners LP (NASDAQ:CAFD) today announced financial results for its fourth fiscal quarter ended November 30, 2016.
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-- Exceeded Q4 2016 revenue, net income and Adjusted EBITDA guidance
-- Completed acquisition of minority stakes in SunPower's Henrietta and
First Solar's Stateline projects
-- Declared Q4 2016 distribution of $0.2490 per share, an increase of 3.5
percent over the Q3 2016 distribution
-- Forecasts Q1 2017 distribution of $0.2565 per share, an increase of 3.0
percent compared to the Q4 2016 distribution
For the fourth quarter of fiscal 2016, 8point3 Energy Partners reported revenue of $14.5 million, net income of $4.2 million, adjusted EBITDA of $18.3 million and cash available for distribution (CAFD) of $20.4 million. The partnership's fourth quarter 2016 CAFD results do not include approximately $6.0 million in network upgrade reimbursements that were expected to be received in the fourth quarter per the partnership's existing interconnection agreement with a utility. The reimbursement was received shortly after the partnership's fiscal year end and will be reflected in the partnership's CAFD results in the first quarter of 2017.
"We continued to benefit from our high-quality solar portfolio as we met or exceeded most key financial metrics for the quarter while increasing our distribution rate for the sixth quarter in a row," said Chuck Boynton, 8point3 Energy Partners CEO. "As of the end of November, our portfolio consisted of interests in 642-megawatts (MW) of U.S. solar generating assets including the acquisition of SunPower's 49 percent minority interest in its 102-MW Henrietta project that we completed during the quarter. Also, we were pleased to close the acquisition of First Solar's 34 percent minority interest in its 300-MW Stateline project on December 1, 2016 which brings our total portfolio to interests in 942-MW of assets as of today. The Henrietta and Stateline projects are expected to generate approximately $11 million and $32 million in annual cash distributions respectively and both have 20 year contract lives. We are pleased to add these assets to our portfolio as they are in line with our long-term strategic focus of acquiring solar assets with strong, cash flows with investment grade offtakes," concluded Boynton.
Additionally, the partnership's sponsors have proposed to remove the 100-MW El Pelicano project and the 179-MW Switch Station project from the right of first offer (ROFO) portfolio as the partnership will likely not acquire these projects during its 2017 fiscal year. The potential removal of these projects from the ROFO portfolio is subject to the approval of the partnership's Board of Directors and its Conflicts Committee.
Also, the Board of Directors of the partnership's general partner declared a cash distribution for its Class A shares of $0.2490 per share for the fourth quarter. The fourth quarter distribution was paid on January 13, 2017 to shareholders of record as of January 3, 2017.
"Our solid fourth quarter results reflect the stability and strength of our asset portfolio," said Bryan Schumaker, 8point3 Energy Partners chief financial officer. "We achieved key financial goals and feel that with our differentiated model, predictable cash flows from high quality solar assets, committed sponsor support and our recent project acquisitions, we remain well positioned to drive long term sustainable cash flows for our shareholders."
Guidance
The partnership's first quarter 2017 guidance is as follows: revenue of $9.3 million to $9.8 million, net loss of ($6.4) million to ($5.6) million, adjusted EBITDA of $11.8 million to $12.6 million, CAFD of $19.8 million to $20.3 million and a distribution of $0.2565 per share, a forecasted increase of 3.0 percent compared to the Q4 2016 distribution.
The partnership's fiscal year 2017 guidance is as follows: revenue of $63.3 million to $66.7 million, net income of $27.0 million to $32.6 million, Adjusted EBITDA of $106.5 million to $113.1 million and CAFD of $91.5 million to $101.0 million. The partnership also expects a distribution growth rate of 12 percent for fiscal year 2017.
About 8point3 Energy Partners
8point3 Energy Partners LP (NASDAQ:CAFD) is a growth-oriented limited partnership formed by First Solar, Inc. and SunPower Corporation to own, operate and acquire solar energy generation projects. 8point3 Energy Partners' primary objective is to generate predictable cash distributions that grow at a sustainable rate. The partnership owns interests in projects in the United States that generate long-term contracted cash flows and serve utility, commercial and residential customers. For more information about 8point3 Energy Partners, please visit: www.8point3energypartners.com.
For 8point3 Energy Partners Investors
This press release includes various "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management's current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements expressing management's expectations, beliefs, estimates, forecasts, projections and assumptions. You can identify our forward-looking statements by words such as "anticipate", "believe", "estimate", "expect", "forecast", "goals", "objectives", "outlook", "intend", "plan", "predict", "project", "risks", "schedule", "seek", "target", "could", "may", "will", "should" or "would" or other similar expressions that convey the uncertainty of future events or outcomes. In accordance with "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, these statements are accompanied by cautionary language identifying important factors, though not necessarily all such factors, which could cause future outcomes to differ materially from those set forth in forward-looking statements. In particular, expressed or implied statements concerning the expectations of plans, strategies, objectives and growth and anticipated financial and operational performance of the partnership and its subsidiaries, including guidance regarding the partnership's revenue, Adjusted EBITDA, cash available for distribution and distributions, other future actions, conditions or events such as the projected commercial operation dates of projects, future operating results or the ability to generate sales, income or cash flow or to make distributions are forward-looking statements. Forward-looking statements are not guarantees of performance. They involve risks, uncertainties and assumptions. Future actions, conditions or events and future results of operations may differ materially from those expressed in these forward-looking statements. Forward-looking statements speak only as of the date of this press release, January 26, 2017, and we disclaim any obligation to update such statements for any reason, except as required by law. All forward-looking statements contained in this press release are expressly qualified in their entirety by the cautionary statements contained or referred to in this paragraph. Many of the factors that will determine these results are beyond our ability to control or predict. These factors include the risk factors described under "Risk Factors" in the partnership's Transition Report on Form 10-K for the transition period from December 28, 2014 to November 30, 2015, filed with the Securities and Exchange Commission on January 28, 2016. If any of those risks occur, it could cause our actual results to differ materially from those contained in any forward-looking statement. Because of these risks and uncertainties, you should not place undue reliance on any forward-looking statement.
Non-GAAP Financial Information
This earnings release includes certain financial measures that are not defined under U.S. generally accepted accounting principles (GAAP), including Adjusted EBITDA and cash available for distribution. Such non-GAAP financial measures should be considered only as supplemental to, and not as superior to, financial measures prepared in accordance with GAAP. We reconcile these non-GAAP financial measures to the most directly comparable financial measure prepared in accordance with GAAP in the tables that accompany this release. In the introduction to such reconciliation tables that accompany this release, we disclose the reasons why we believe our use of the non-GAAP financial measures in this release provides useful information. Please read "Non-GAAP Financial Measures" below for further details on our use of non-GAAP financial measures.
8point3 Energy Partners LP
Consolidated Balance Sheets
(In thousands, except share data)
November 30, November 30,
2016 2015
---- ----
Assets
Current assets:
Cash and cash equivalents $14,261 $56,781
Accounts receivable and short-term
financing receivables, net 5,401 4,289
Prepaid and other current assets(1) 15,745 8,033
------ -----
Total current assets 35,407 69,103
Property and equipment, net 720,132 486,942
Long-term financing receivables,
net 80,014 83,376
Investments in unconsolidated
affiliates 475,078 352,070
Other long-term assets 24,432 26,142
------ ------
Total assets $1,335,063 $1,017,633
========== ==========
Liabilities and Equity
Current liabilities:
Accounts payable and other current
liabilities(1) $23,771 $2,612
Short-term debt and financing
obligations 1,964 1,964
Deferred revenue, current portion 870 489
--- ---
Total current liabilities 26,605 5,065
Long-term debt and financing
obligations 384,436 297,206
Deferred revenue, net of current
portion 308 746
Deferred tax liabilities 30,733 12,491
Asset retirement obligations 13,448 9,992
------ -----
Total liabilities 455,530 325,500
------- -------
Redeemable noncontrolling interests 17,624 89,747
Commitments and contingencies
Equity:
Class A shares, 28,072,680 and
20,007,281 issued and outstanding
as of November 30, 2016 and
November 30, 2015, respectively 249,138 392,748
Class B shares, 51,000,000 issued
and outstanding as of November 30,
2016 and November 30, 2015 - -
Accumulated earnings 22,440 15,580
------ ------
Total shareholders' equity
attributable to 8point3 Energy
Partners LP 271,578 408,328
Noncontrolling interests 590,331 194,058
------- -------
Total equity 861,909 602,386
------- -------
Total liabilities and equity $1,335,063 $1,017,633
========== ==========
1 The Partnership has related-
party balances for transactions
made with the Sponsors and tax
equity investors. Related-party
balances recorded within
"Prepaid and other current
assets" in the consolidated
balance sheets were $0.9 million
due from Sponsors as of both
November 30, 2016 and November
30, 2015. Related-party
balances recorded within
"Accounts payable and other
current liabilities" in the
consolidated balance sheets were
$19.7 million and $0.2 million
due to Sponsors as of November
30, 2016 and November 30, 2015,
respectively, and $1.0 million
and zero due to tax equity
investors as of November 30,
2016 and November 30, 2015,
respectively.
8point3 Energy Partners LP
Consolidated Statements of Operations
(In thousands, except per share data)
Year Ended Eleven Months Ended Year Ended
November 30, November 30, December 28,
2016 2015 2014
---- ---- ----
Revenues:
Operating revenues(1) $61,198 $10,660 $9,231
------- ------- ------
Total revenues 61,198 10,660 9,231
Operating costs and expenses(1):
Cost of operations 6,959 2,624 (3,195)
Cost of operations-SunPower, prior to
IPO - 468 937
Selling, general and administrative 7,003 10,702 4,818
Depreciation and accretion 22,792 4,291 2,339
Acquisition-related transaction costs 2,271 212 -
----- --- ---
Total operating costs and expenses 39,025 18,297 4,899
------ ------ -----
Operating income (loss) 22,173 (7,637) 4,332
Other expense (income):
Interest expense 12,081 1,860 5,525
Interest income (1,203) (1,470) -
Other expense (income) (1,518) 12,536 -
------ ------ ---
Total other expense, net 9,360 12,926 5,525
----- ------ -----
Income (loss) before income taxes 12,813 (20,563) (1,193)
Income tax provision (18,244) (12,503) (23)
Equity in earnings of unconsolidated
investees 18,341 9,055 -
------ ----- ---
Net income (loss) 12,910 (24,011) (1,216)
======
Less: Predecessor loss prior to IPO on
June 24, 2015 - (20,095)
--- -------
Net income (loss) subsequent to IPO 12,910 (3,916)
Less: Net loss attributable to
noncontrolling interests and
redeemable noncontrolling interests (14,191) (22,642)
------- -------
Net income attributable to 8point3
Energy Partners LP Class A shares $27,101 $18,726
======= =======
Net income per Class A share:
Basic $1.27 $0.94
Diluted $1.27 $0.94
Distributions per Class A share: $0.91 $0.16
Weighted average number of Class A
shares:
Basic 21,420 20,002
Diluted 36,920 35,034
1 The Partnership has related-party
activities for transactions made with
the Sponsors. Related party
transactions recorded within
"Operating revenues" in the
consolidated statement of operations
were $5.2 million for the year ended
November 30, 2016, $2.3 million for
the eleven months ended November 30,
2015, and zero for the year ended
December 28, 2014. Related party
transactions recorded within
"Operating costs and expenses" in the
consolidated statement of operations
were $7.0 million for the year ended
November 30, 2016, $1.4 million for
the eleven months ended November 30,
2015, and $0.9 million for the year
ended December 28, 2014.
8point3 Energy Partners LP
Consolidated Statements of Cash Flows
(In thousands)
Year Ended Eleven Months Ended Year Ended
November 30, November 30, December 28,
2016 2015 2014
---- ---- ----
Cash flows from operating activities:
Net income (loss) $12,910 $(24,011) $(1,216)
Adjustments to reconcile net income
(loss) to net cash provided by
operating activities:
Depreciation, amortization and
accretion 22,880 4,291 2,339
Unrealized loss (gain) on interest
rate swap (1,508) 611 -
Interest expense on financing
obligation - 1,193 4,838
Loss on termination of financing
obligation - 6,477 -
Reserve for rebates receivable - 1,338 -
Distributions from unconsolidated
investees 18,075 6,766 -
Equity in earnings of unconsolidated
investees (18,341) (9,055) -
Deferred income taxes 18,242 12,491 -
Share-based compensation 224 112 -
Amortization of debt issuance costs 626 - -
Changes in allowance for doubtful
accounts 370 328 -
Changes in operating assets and
liabilities:
Accounts receivable and financing
receivable, net 1,481 46 (4,118)
Cash grants receivable - 146 1,099
Rebates receivable - (121) 2,685
Solar power systems to be leased under
sales type leases - 197 463
Prepaid and other current assets (1,435) (4,258) -
Deferred revenue (59) (118) (819)
Accounts payable and other current
liabilities 1,171 5,403 (3,470)
----- ----- ------
Net cash provided by operating
activities 54,636 1,836 1,801
------ ----- -----
Cash flows from investing activities:
Cash provided by (used in) purchases
of property and equipment 1,167 (223,688) (58,457)
Cash paid for acquisitions (284,797) - -
Receipts of cash grants related to
solar energy systems under operating
leases - - 3,226
Distributions from unconsolidated
investees 11,629 4,672 -
------ ----- ---
Net cash used in investing activities (272,001) (219,016) (55,231)
-------- -------- -------
Cash flows from financing activities:
Proceeds from issuance of Class A
shares, net of issuance costs 113,325 393,750 -
Proceeds from issuance of bank loans,
net of issuance costs 86,567 461,192 61,481
Proceeds from issuance of promissory
note to First Solar - 1,964 -
Repayment of bank loans - (264,143) -
Capital contributions from SunPower 9,973 341,694 3,147
Capital distributions to SunPower - (3,163) (11,198)
Cash distribution to First Solar at
IPO - (283,697) -
Cash distribution to SunPower at IPO - (371,527) -
Cash distribution to SunPower for the
remaining purchase price payments of
initial projects - (202,680) -
Cash distribution to Class A
shareholders (20,241) (3,146) -
Cash distributions to Sponsors as OpCo
unitholders (12,271) - -
Cash contributions from noncontrolling
interests and redeemable
noncontrolling interests -tax equity
investors 3,671 203,717 -
Cash distributions to noncontrolling
interests and redeemable
noncontrolling interests -tax equity
investors (6,179) - -
------ --- ---
Net cash provided by financing
activities 174,845 273,961 53,430
------- ------- ------
Net increase (decrease) in cash and
cash equivalents (42,520) 56,781 -
Cash and cash equivalents, beginning
of period 56,781 - -
------ --- ---
Cash and cash equivalents, end of
period $14,261 $56,781 $ -
======= ======= === ===
Non-cash transactions:
Assignment of financing receivables to
a third-party financial institution $ - $1,279 $7,815
Property and equipment acquisitions
funded by liabilities 19,538 - 8,675
Property and equipment additions
funded by SunPower post-IPO - 50,683 -
Settlement of related party payable by
capital contribution from tax equity
investor 46,837 - -
Predecessor liabilities assumed by
SunPower - 48,588 -
Accrued distributions to
noncontrolling interests and
redeemable noncontrolling interests -
tax equity investors 975 - -
Issuance by OpCo of OpCo common units,
subordinated units and IDRs for
acquisition of interests in First
Solar Project Entities - 408,820 -
Supplemental disclosures:
Cash paid for interest, net of amounts
capitalized 11,525 437 688
Non-GAAP Financial Measures
Our management uses a variety of financial metrics to analyze our performance. The key financial metrics we evaluate are Adjusted EBITDA and cash available for distribution.
Adjusted EBITDA. We define Adjusted EBITDA as net income (loss) plus interest expense, net of interest income, income tax provision, depreciation, amortization and accretion, including our proportionate share of net interest expense, income taxes and depreciation, amortization and accretion from our unconsolidated affiliates that are accounted for under the equity method, and share-based compensation and transaction costs incurred for our acquisitions of projects; and excluding the effect of certain other non-cash or non-recurring items that we do not consider to be indicative of our ongoing operating performance such as, but not limited to, mark to market adjustments to the fair value of derivatives related to our interest rate hedges. Adjusted EBITDA is a non-U.S. GAAP financial measure. This measurement is not recognized in accordance with U.S. GAAP and should not be viewed as an alternative to U.S. GAAP measures of performance. The U.S. GAAP measure most directly comparable to Adjusted EBITDA is net income (loss). The presentation of Adjusted EBITDA should not be construed as an inference that our future results will be unaffected by unusual or non-recurring items.
We believe Adjusted EBITDA is useful to investors in evaluating our operating performance because securities analysts and other interested parties use such calculations as a measure of financial performance and borrowers' ability to service debt. In addition, Adjusted EBITDA is used by our management for internal planning purposes including certain aspects of our consolidated operating budget and capital expenditures. It is also used by investors to assess the ability of our assets to generate sufficient cash flows to make distributions to our Class A shareholders.
However, Adjusted EBITDA has limitations as an analytical tool because it does not reflect our cash expenditures or future requirements for capital expenditures or contractual commitments, does not reflect changes in, or cash requirements for, working capital, does not reflect significant interest expense or the cash requirements necessary to service interest or principal payments on our outstanding debt or cash distributions on tax equity, does not reflect payments made or future requirements for income taxes, and excludes the effect of certain other cash flow items, all of which could have a material effect on our financial condition and results of operations. Adjusted EBITDA is a non-U.S. GAAP measure and should not be considered an alternative to net income (loss) or any other performance measure determined in accordance with U.S. GAAP, nor is it indicative of funds available to fund our cash needs. In addition, our calculations of Adjusted EBITDA are not necessarily comparable to EBITDA as calculated by other companies. Investors should not rely on these measures as a substitute for any U.S. GAAP measure, including net income (loss).
Cash Available for Distribution. We use cash available for distribution, which we define as Adjusted EBITDA less equity in earnings of unconsolidated affiliates, cash interest paid, cash income taxes paid, maintenance capital expenditures, cash distributions to noncontrolling interests and principal amortization of indebtedness plus cash distributions from unconsolidated affiliates, indemnity payments and working capital loans from Sponsors, test electricity generation, cash proceeds from sales-type residential leases, state and local rebates and cash proceeds for reimbursable network upgrade costs. Our cash flow is generated from distributions we receive from OpCo each quarter. OpCo's cash flow is generated primarily from distributions from the Project Entities. As a result, our ability to make distributions to our Class A shareholders depends primarily on the ability of the Project Entities to make cash distributions to OpCo and the ability of OpCo to make cash distributions to its unitholders.
We believe cash available for distribution is useful to investors in evaluating our operating performance because securities analysts and other interested parties use such calculations as a measure of our ability to make our distribution. In addition, cash available for distribution is used by our management team for determining future acquisitions and managing our growth. The U.S. GAAP measure most directly comparable to cash available for distribution is net income (loss).
However, cash available for distribution has limitations as an analytical tool because it does not capture the level of capital expenditures necessary to maintain the operating performance of our projects, does not include changes in operating assets and liabilities and excludes the effect of certain other cash flow items, all of which could have a material effect on our financial condition and results from operations. Cash available for distribution is a non-U.S. GAAP measure and should not be considered an alternative to net income (loss) or any other performance measure determined in accordance with U.S. GAAP, nor is it indicative of funds available to fund our cash needs. In addition, our calculations of cash available for distribution are not necessarily comparable to cash available for distribution as calculated by other companies. Investors should not rely on these measures as a substitute for any U.S. GAAP measure, including net income (loss).
The following table presents a reconciliation of net income (loss) to Adjusted EBITDA and cash available for distribution for the three months ended November 30, 2016, August 31, 2016, and November 30, 2015, and the year ended November 30, 2016, the eleven months ended November 30, 2015 and the year ended December 28, 2014, respectively:
8point3 Energy Partners LP
Reconciliation of Net Income (Loss) to Adjusted EBITDA and Cash Available for Distribution (CAFD)
(Unaudited)
Three Months Ended Year Ended Eleven Months Ended Year Ended
------------------
November 30, August 31, November 30, November 30, November 30, December 28,
(in thousands) 2016 2016 2015 2016 2015 2014
---- ---- ---- ---- ---- ----
Net income (loss) $4,250 $15,874 $(8,644) $12,910 $(24,011) $(1,216)
Add (Less):
Interest expense, net of interest
income 2,664 2,903 (33) 10,870 390 5,525
Income tax provision 2,963 5,063 11,796 18,244 12,503 23
Depreciation, amortization and
accretion 6,556 6,311 1,917 22,880 4,291 2,339
Share-based compensation 56 56 56 224 112 -
Acquisition-related transaction costs
(1) 10 599 212 2,271 212 -
Selling, general and administrative
(2) - - - - 6,372 2,334
Loss on cash flow hedges related to - - - - 5,448 -
Quinto interest rate swaps
Loss on termination of residential - - - - 6,477 -
financing obligations
Unrealized loss (gain) on derivatives
(3) (972) (285) (159) (1,508) 611 -
Add proportionate share from
equity method investments (4)
Interest expense, net of interest
income (375) (54) (144) (524) (165) -
Depreciation, amortization and
accretion 3,142 2,397 3,052 10,825 5,212 -
----- ----- ----- ------ ----- ---
Adjusted EBITDA $18,294 $32,864 $8,053 $76,192 $17,452 $9,005
Less:
Equity in earnings of unconsolidated
affiliates, net with (4) above (5) (7,604) (10,418) (5,849) (28,642) (14,102) -
Cash interest paid (6) (3,000) (3,278) (2,787) (12,176) (4,502) -
Cash income taxes paid (2) - - (2) - -
Maintenance capital expenditures (50) - - (50) - -
Cash distributions to non-controlling
interests (2,412) (2,826) - (6,142) - -
Add:
Cash distributions from unconsolidated
affiliates (7) 14,054 7,018 6,230 30,129 10,902 -
Indemnity payment from Sponsors (8) 279 64 3,900 10,316 3,900 -
Short-term Note (9) - - 1,964 - 1,964 -
Test electricity generation (10) - - 4,020 421 5,576 -
Cash proceeds (usage) from sales-type
residential leases, net (11) 649 630 754 2,550 2,730 2,746
State and local rebates (12) - - - 299 - -
Cash proceeds for reimbursable network
upgrade costs (13) 222 - - 222 - -
--- --- --- --- --- ---
Cash available for distribution $20,430 $24,054 $16,285 $73,117 $23,920 $11,751
======= ======= ======= ======= ======= =======
(1) Represents acquisition-related financial
advisory, legal and accounting fees
associated with ROFO Project interests
purchased and expected to be purchased by
us in the future.
(2) Represents the allocation of the
Predecessor's corporate overhead in
selling, general and administrative
expenses.
(3) Represents the changes in fair value of
interest rate swaps that were not
designated as cash flow hedges.
(4) Represents our proportionate share of net
interest expense, depreciation,
amortization and accretion from our
unconsolidated affiliates that are
accounted for under the equity method.
(5) Equity in earnings of unconsolidated
affiliates represents the earnings from
the Solar Gen 2 Project, the North Star
Project, the Lost Hills Blackwell Project
and the Henrietta Project and is included
on our consolidated statements of
operations.
(6) Represents cash interest payments related
to our term loan and revolving credit
facilities post-IPO. The interest
payments for the Quinto Credit Facility
on the Predecessor's combined carve-out
financial statements were excluded as
they were funded by one of our Sponsors.
(7) Cash distributions from unconsolidated
affiliates represent the cash received by
OpCo with respect to its 49% interest in
the Solar Gen 2 Project, the North Star
Project, the Lost Hills Blackwell Project
and the Henrietta Project.
(8) Represents indemnity payments from the
Sponsors owed to OpCo in accordance with
the Omnibus Agreement.
(9) Represents a working capital loan from
First Solar.
(10) Test electricity generation represents the
sale of electricity that was generated
prior to COD by the Kingbird Project for
the year ended November 30, 2016 and by
the Quinto Project, the RPU Project, the
UC Davis Project and the Macy's
California Project for the eleven months
ended November 30, 2015. Solar systems
may begin generating electricity prior to
COD as a result of the installation and
interconnection of individual solar
modules, which occurs over time during
the construction and commission period.
The sale of test electricity generation
is accounted for as a reduction in the
asset carrying value rather than
operating revenue prior to COD, even
though it generates cash for the related
Project Entity.
(11) Cash proceeds from sales-type residential
leases, net, represent gross rental cash
receipts for sales-type leases, less
sales-type revenue and lease interest
income that is already reflected in net
income (loss) during the period. The
corresponding revenue for such leases was
recognized in the period in which such
lease was placed in service, rather than
in the period in which the rental payment
was received, due to the characterization
of these leases under U.S. GAAP.
(12) State and local rebates represent cash
received from state or local governments
for owning certain solar power systems.
The receipt of state and local rebates is
accounted for as a reduction in the asset
carrying value rather than operating
revenue.
(13) Cash proceeds from a utility company
related to reimbursable network upgrade
costs associated with the Kingbird
Project.
8point3 Energy Partners LP
FY 2017 Q1 Guidance
Reconciliation of Net Loss to Adjusted EBITDA and Cash Available for Distribution (CAFD)
(in millions) Low High
--- ----
Net loss $(6.4) $(5.6)
Add (Less):
Interest expense, net of interest
income 5.5 5.5
Income tax provision (0.1) (0.1)
Depreciation, amortization and
accretion 6.4 6.4
Share-based compensation 0.1 0.1
Add proportionate share from equity
method investments (1):
Depreciation, amortization and
accretion 6.3 6.3
--- ---
Adjusted EBITDA $11.8 $12.6
----- -----
Less:
Equity in earnings of unconsolidated
affiliates, net with (1) (6.8) (7.2)
Cash interest paid (5.5) (5.5)
Cash distributions to non-controlling
interests (2.0) (2.0)
Add:
Cash distributions from unconsolidated
affiliates 17.7 17.7
Network upgrade refund 6.0 6.1
Cash proceeds from sales-type
residential leases 0.6 0.6
Repayment of working capital loan (2.0) (2.0)
---- ----
Estimated cash available for
distribution $19.8 $20.3
===== =====
(1) Represents our proportionate share of
net interest expense, depreciation,
amortization and accretion from our
unconsolidated affiliates that are
accounted for under the equity
method.
8point3 Energy Partners LP
FY 2017 Guidance
Reconciliation of Net Income to Adjusted EBITDA and Cash Available for Distribution (CAFD)
(in millions) Low High
--- ----
Net income $27.0 $32.6
Add (Less):
Interest expense, net of interest
income 24.3 24.3
Income tax provision 3.4 4.4
Depreciation, amortization and
accretion 26.3 26.3
Share-based compensation 0.2 0.2
Add proportionate share from equity
method investments (1):
Depreciation, amortization and
accretion 25.3 25.3
---- ----
Adjusted EBITDA $106.5 $113.1
------ ------
Less:
Equity in earnings of unconsolidated
affiliates, net with (1) (60.4) (63.5)
Cash interest paid (24.3) (24.3)
Cash distributions to non-controlling
interests (9.2) (9.2)
Add:
Cash distributions from unconsolidated
affiliates 65.1 71.1
Network upgrade refund 13.2 13.2
Cash proceeds from sales-type
residential leases 2.6 2.6
Repayment of working capital loan (2.0) (2.0)
---- ----
Estimated cash available for
distribution $91.5 $101.0
===== ======
(1) Represents our proportionate share of
net interest expense, depreciation,
amortization and accretion from our
unconsolidated affiliates that are
accounted for under the equity
method.
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/8point3-energy-partners-reports-fourth-quarter-2016-results-300397671.html
SOURCE 8point3 Energy Partners LP
