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8point3 Energy Partners Reports Fourth Quarter 2016 Results
01/26/17
Completed Acquisition of SunPower's 49 Percent Stake in 102-MW Henrietta Project
Completed Acquisition of First Solar's 34 Percent Stake in 300-MW Stateline Project on December 1, 2016
Increased Fourth Quarter Distribution by 3.5 percent over Third Quarter Distribution

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.

8point3 Energy Partners LP Logo

 

  • 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 $0.2565per 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 assets1



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 liabilities1


$

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 revenues1


$

61,198



$

10,660



$

9,231


Total revenues



61,198




10,660




9,231


Operating costs and expenses1:













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

Quinto interest rate swaps















5,448





Loss on termination of residential

financing obligations















6,477





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

Investors, Bob Okunski, 408-240-5447, bokunski@8point3energypartners.com; Media, Natalie Wymer, 408-457-2348, media@8point3energypartners.com