OPAL Fuels Reports Third Quarter 2024 Results
OPAL Fuels reported strong Q3 2024 results with revenue of $84.0 million, up 18% year-over-year. Net income reached $17.1 million, with earnings per share of $0.09. The company now operates 11 RNG facilities with an annual design capacity of 8.8 million MMBtu, doubling capacity over two years. RNG production increased 43% to 1.0 million MMBtu in Q3, while RNG sold as transportation fuel grew 80% to 19.6 million GGEs. Two facilities commenced operations: Sapphire RNG project (joint venture with GFL) and Polk County facility. The company maintains its 2024 guidance and has six projects under construction adding 2.6 million MMBtu of capacity.
OPAL Fuels ha riportato risultati solidi per il terzo trimestre del 2024, con un fatturato di $84,0 milioni, in aumento del 18% rispetto all'anno precedente. L'utile netto ha raggiunto i $17,1 milioni, con un utile per azione di $0,09. L'azienda ora gestisce 11 impianti di RNG con una capacità progettuale annuale di 8,8 milioni di MMBtu, raddoppiando la capacità in due anni. La produzione di RNG è aumentata del 43% a 1,0 milione di MMBtu nel terzo trimestre, mentre le vendite di RNG come carburante per il trasporto sono cresciute dell'80% a 19,6 milioni di GGEs. Due impianti hanno avviato le operazioni: il progetto Sapphire RNG (joint venture con GFL) e l'impianto della contea di Polk. L'azienda mantiene le previsioni per il 2024 e ha sei progetti in costruzione che aggiungono 2,6 milioni di MMBtu di capacità.
OPAL Fuels reportó resultados sólidos para el tercer trimestre de 2024, con ingresos de $84,0 millones, un aumento del 18% en comparación con el año anterior. El ingreso neto alcanzó los $17,1 millones, con ganancias por acción de $0,09. La empresa ahora opera 11 instalaciones de RNG con una capacidad de diseño anual de 8,8 millones de MMBtu, duplicando su capacidad en dos años. La producción de RNG aumentó un 43% a 1,0 millón de MMBtu en el tercer trimestre, mientras que el RNG vendido como combustible para transporte creció un 80% a 19,6 millones de GGEs. Dos instalaciones comenzaron a operar: el proyecto Sapphire RNG (una empresa conjunta con GFL) y la instalación del condado de Polk. La empresa mantiene sus pronósticos para 2024 y tiene seis proyectos en construcción que agregarán 2,6 millones de MMBtu de capacidad.
OPAL Fuels는 2024년 3분기 실적을 발표했으며, 수익은 8400만 달러로 작년 대비 18% 증가했습니다. 순이익은 1710만 달러에 달하였고, 주당 순이익은 0.09달러입니다. 회사는 현재 연간 설계 용량이 880만 MMBtu인 RNG 시설 11개를 운영하고 있으며, 2년 만에 용량이 두 배로 증가했습니다. 3분기 RNG 생산은 43% 증가하여 100만 MMBtu에 도달했으며, 운송용 연료로 판매된 RNG는 80% 증가하여 1960만 GGEs에 달했습니다. 두 개의 시설이 가동을 시작했습니다: 사파이어 RNG 프로젝트(GFL과의 합작 투자)와 폴크 카운티 시설입니다. 회사는 2024년 가이던스를 유지하고 있으며, 260만 MMBtu의 용량을 추가하는 6개의 프로젝트를 진행 중입니다.
OPAL Fuels a annoncé des résultats solides pour le troisième trimestre de 2024, avec un chiffre d'affaires de 84,0 millions de dollars, soit une augmentation de 18% par rapport à l'année précédente. Le bénéfice net a atteint 17,1 millions de dollars, avec un bénéfice par action de 0,09 dollar. L'entreprise opère maintenant 11 installations de RNG avec une capacité de conception annuelle de 8,8 millions de MMBtu, doublant ainsi sa capacité en deux ans. La production de RNG a augmenté de 43% pour atteindre 1,0 million de MMBtu au troisième trimestre, tandis que le RNG vendu comme carburant de transport a crû de 80% pour atteindre 19,6 millions de GGEs. Deux installations ont commencé leurs opérations : le projet Sapphire RNG (coentreprise avec GFL) et l'installation du comté de Polk. L'entreprise maintient ses prévisions pour 2024 et a six projets en construction ajoutant 2,6 millions de MMBtu de capacité.
OPAL Fuels hat starke Ergebnisse für das dritte Quartal 2024 gemeldet, mit einem Umsatz von 84,0 Millionen Dollar, was einem Anstieg von 18% im Jahresvergleich entspricht. Der Nettogewinn erreichte 17,1 Millionen Dollar, mit einem Gewinn pro Aktie von 0,09 Dollar. Das Unternehmen betreibt jetzt 11 RNG-Anlagen mit einer jährlichen Entwurfsfähigkeit von 8,8 Millionen MMBtu, wobei sich die Kapazität in zwei Jahren verdoppelt hat. Die RNG-Produktion stieg im dritten Quartal um 43% auf 1,0 Millionen MMBtu, während der als Transportkraftstoff verkaufte RNG um 80% auf 19,6 Millionen GGEs wuchs. Zwei Anlagen nahmen den Betrieb auf: das Sapphire RNG-Projekt (Joint Venture mit GFL) und die Einrichtung im Polk County. Das Unternehmen hält an seiner Prognose für 2024 fest und hat sechs Projekte in Bau, die 2,6 Millionen MMBtu an Kapazität hinzufügen werden.
- Revenue increased 18% YoY to $84.0 million in Q3 2024
- Net income grew to $17.1 million in Q3 2024 from $0.2 million in Q3 2023
- RNG production volume increased 43% YoY to 1.0 million MMBtu
- RNG sold as transportation fuel grew 80% YoY to 19.6 million GGEs
- Doubled RNG facility capacity organically over past two years
- Renewable Power revenue decreased from $13.7M to $12.8M in Q3 2024
- Project development and startup costs increased significantly to $6.8M from $974K in Q3 2023
Insights
Q3 2024 shows strong financial performance with
The liquidity position remains robust at
OPAL's operational expansion is impressive, with design capacity more than doubling organically over two years to 8.8 million MMBtu annually. The facility utilization metrics are strong -
The construction pipeline, including Atlantic, Cottonwood, Burlington and Kirby projects, will add 2.6 million MMBtu capacity. This systematic capacity expansion, combined with
“Our third quarter results were strong and provide momentum for this year and next,” said Adam Comora, Co-CEO. “We’re executing on our strategic objectives - bringing RNG projects online, putting additional projects into construction, and growing and leveraging our vertically integrated downstream business. Over the course of this year, we have successfully brought online three landfill RNG facilities, begun construction on three new landfill RNG projects, and grown our downstream business significantly,” continued Comora.
“We remain in a strong position to meet our current 2024 guidance. We now have 11 RNG facilities in operation, with our share of annual design capacity of 8.8 million MMBtu – more than doubling organically over the past two years. We also have six projects in construction with an additional 2.6 million MMBtu of our share of annual design capacity. The strength of our vertically integrated business model and the use of RNG as a transportation fuel continues to yield results across the business segments. Market fundamentals and industry tailwinds remain strong for the capture of biogas and its productive use,” said Jonathan Maurer, Co-CEO.
Financial Highlights
-
Revenue for the three and nine months ended September 30, 2024, was
$84.0 million $219.9 million $12.9 million 18% , and$50.8 million 30% , compared to the same periods last year.-
Not included above, our share of revenues from equity method investments for the three and nine months ended September 30, 2024, was
$11.7 million $33.7 million $4.7 million $10.6 million
-
Not included above, our share of revenues from equity method investments for the three and nine months ended September 30, 2024, was
-
Net income for the three and nine months ended September 30, 2024 was
$17.1 million $19.7 million $0.2 million $106.9 million -
Basic and diluted net income per share attributable to Class A common shareholders for the three and nine months ended September 30, 2024 was
$0.09 $0.07 $(0.01) $0.59 -
Adjusted EBITDA2 for the three and nine months ended September 30, 2024, was
$31.1 million $67.4 million $14.6 million $47.5 million -
Not included above,
$11.1 million $8.6 million
-
Not included above,
-
At September 30, 2024, RNG Pending Monetization totaled
$23.1 million
Operational Highlights
- The Sapphire RNG project, a 50/50 joint venture with GFL representing 0.8 million MMBtu of annual design capacity to OPAL Fuels, commenced commercial operations in September.
-
The
Polk County (Florida ) RNG project,100% owned by OPAL Fuels, commenced commercial operations in October, representing approximately 1.1 million MMBtu of annual design capacity. -
RNG produced was 1.0 million and 2.8 million MMBtu for the three and nine months ended September 30, 2024, an increase of
43% and40% compared to the prior-year periods. -
RNG sold as transportation fuel was 19.6 million and 54.7 million GGEs for the three and nine months ended September 30, 2024, an increase of
80% and81% compared to the prior-year periods. -
The Fuel Station Services segment sold, dispensed, and serviced an aggregate of 38.7 million and 110.3 million GGEs of transportation fuel for the three and nine months ended September 30, 2024, an increase of
15% and13% compared to the prior year periods.
Guidance
We are maintaining our current guidance.
Construction Update
-
The construction of the Atlantic RNG project is on schedule. This project represents approximately 0.33 million MMBtu for OPAL Fuels’
50% ownership share of annual design capacity. -
The construction of the Cottonwood RNG project is on schedule. This project, owned
100% by OPAL Fuels, represents approximately 0.66 million MMBtu of annual design capacity. -
The construction of the Burlington RNG project is on schedule. This project represents approximately 0.46 million MMBtu for OPAL Fuels’
50% ownership share of annual design capacity. -
The Kirby RNG project began construction in November. This project,
100% owned by OPAL represents approximately 0.66 million MMBtu of annual design capacity.
____________________ |
1 Net income for the three and nine months ended September 30, 2023 included a |
2 This is a non-GAAP financial measure. A reconciliation of this non-GAAP financial measure to a comparable GAAP financial measure has been provided in the financial tables included in this press release. An explanation of this measure and how it is calculated is also included below under the heading “Non-GAAP Financial Measures.” |
Results of Operations
(in thousands of dollars, except RNG Fuel data) |
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Revenue |
|
|
|
|
|
|
|
|
||||||||
RNG Fuel |
|
$ |
25,864 |
|
|
$ |
20,088 |
|
|
$ |
63,036 |
|
|
$ |
37,468 |
|
Fuel Station Services |
|
|
45,395 |
|
|
|
37,305 |
|
|
|
121,794 |
|
|
|
88,089 |
|
Renewable Power |
|
|
12,788 |
|
|
|
13,708 |
|
|
|
35,119 |
|
|
|
43,543 |
|
Total Revenue (1) |
|
$ |
84,047 |
|
|
$ |
71,101 |
|
|
$ |
219,949 |
|
|
$ |
169,100 |
|
|
|
|
|
|
|
|
|
|
||||||||
Cost of sales |
|
$ |
51,368 |
|
|
$ |
51,242 |
|
|
$ |
147,457 |
|
|
$ |
130,302 |
|
Project development and startup costs |
|
$ |
6,803 |
|
|
$ |
974 |
|
|
$ |
10,523 |
|
|
$ |
3,972 |
|
Other operating expenses (2) |
|
$ |
13,567 |
|
|
$ |
15,286 |
|
|
$ |
40,401 |
|
|
$ |
49,165 |
|
|
|
|
|
|
|
|
|
|
||||||||
Net income (3) |
|
$ |
17,107 |
|
|
$ |
227 |
|
|
$ |
19,692 |
|
|
$ |
106,931 |
|
Adjusted EBITDA (4) |
|
|
|
|
|
|
|
|
||||||||
RNG Fuel (5) |
|
|
22,656 |
|
|
|
19,359 |
|
|
|
56,444 |
|
|
|
25,423 |
|
Fuel Station Services |
|
|
11,966 |
|
|
|
6,420 |
|
|
|
27,610 |
|
|
|
10,813 |
|
Renewable Power |
|
|
6,974 |
|
|
|
6,039 |
|
|
|
17,214 |
|
|
|
22,267 |
|
Corporate |
|
|
(10,494 |
) |
|
|
(15,357 |
) |
|
|
(33,861 |
) |
|
|
(38,572 |
) |
Consolidated Adjusted EBITDA |
|
$ |
31,102 |
|
|
$ |
16,461 |
|
|
$ |
67,407 |
|
|
$ |
19,931 |
|
|
|
|
|
|
|
|
|
|
||||||||
RNG Fuel volume produced (Million MMBtus) |
|
|
1.0 |
|
|
|
0.7 |
|
|
|
2.8 |
|
|
|
2.0 |
|
RNG Fuel volume sold (Million GGEs) |
|
|
19.6 |
|
|
|
10.9 |
|
|
|
54.7 |
|
|
|
30.3 |
|
Total RNG Fuel volume delivered (Million GGEs) |
|
|
38.7 |
|
|
|
33.1 |
|
|
|
110.3 |
|
|
98.0 |
|
|
(1) |
Excludes revenues from equity method investments. |
|
|
(2) |
Includes selling, general and administrative expenses, depreciation and amortization expenses and income (loss) from equity method investments. Please refer to the Statement of Operations at the end of the press release for additional information. |
|
|
(3) |
Net income for the three and nine months ended September 30, 2023 included a |
|
|
(4) |
This is a non-GAAP financial measure. A reconciliation of this non-GAAP financial measure to a comparable GAAP financial measure has been provided in the financial tables included in this press release. An explanation of this measure and how it is calculated is also included below under the heading “Non-GAAP Financial Measures.” |
|
|
(5) |
Includes incremental virtual pipeline costs (i.e., actual costs less anticipated operating costs of a permanent interconnection) on our Prince William RNG project which are temporary in nature and expected to be incurred until mid-2025 when the permanent interconnection is expected to be operational. The amounts included in the nine months ended September 30, 2024 include |
Results of Operations from equity method investments
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
(in thousands of dollars) |
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Revenue |
|
$ |
26,123 |
|
|
$ |
9,463 |
|
|
$ |
77,097 |
|
|
$ |
23,927 |
|
Gross profit |
|
|
10,799 |
|
|
|
(11,268 |
) |
|
|
31,812 |
|
|
|
(1,392 |
) |
Net income |
|
|
7,182 |
|
|
|
4,533 |
|
|
|
26,579 |
|
|
|
1,634 |
|
|
|
|
|
|
|
|
|
|
||||||||
OPAL’s share of revenues from equity method investments |
|
$ |
11,735 |
|
|
$ |
4,732 |
|
|
$ |
33,724 |
|
|
$ |
10,578 |
|
OPAL’s share of gross profit from equity method investments |
|
$ |
5,719 |
|
|
$ |
(5,634 |
) |
|
$ |
15,994 |
|
|
$ |
2,428 |
|
OPAL’s share of net income (loss) from equity method investments (1) |
|
$ |
3,822 |
|
|
$ |
1,726 |
|
|
$ |
11,828 |
|
|
$ |
1,433 |
|
|
|
|
|
|
|
|
|
|
||||||||
OPAL’s share of Adjusted EBITDA from equity method investments |
|
$ |
7,543 |
|
|
$ |
3,072 |
|
|
$ |
20,711 |
|
|
$ |
4,687 |
|
(1) |
Net income from equity method investments represents our portion of the net income from equity method investments including |
Landfill RNG Facility Capacity and Utilization Summary
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Landfill RNG Facility Capacity and Utilization(1)(2)(3)(4) |
|
|
|
|
|
|
|
|
||||||||
Design Capacity (Million MMBtus) |
|
|
1.7 |
|
|
|
1.0 |
|
|
|
4.5 |
|
|
|
2.8 |
|
Volume of Inlet Gas (Million MMBtus) |
|
|
1.2 |
|
|
|
0.8 |
|
|
|
3.3 |
|
|
|
2.2 |
|
Inlet Design Capacity Utilization (%) |
|
|
72 |
% |
|
|
81 |
% |
|
|
75 |
% |
|
|
78 |
% |
RNG Fuel volume produced (Million MMBtus) |
|
|
1.0 |
|
|
|
0.7 |
|
|
|
2.6 |
|
|
|
1.9 |
|
Utilization of Inlet Gas (%) |
|
|
84 |
% |
|
|
84 |
% |
|
|
82 |
% |
|
|
85 |
% |
(1) |
Design Capacity for RNG facilities is measured as the volume of feedstock biogas that the facility is capable of accepting at the inlet and processing during the associated period. Design Capacity is presented as OPAL’s ownership share (i.e., net of joint venture partners’ ownership) of the facility and is calculated based on the number of days in the period. New facilities that come online during a quarter are pro-rated for the number of days in commercial operation. |
|
|
(2) |
Inlet Design Capacity Utilization is measured as the Volume of Inlet Gas for a period, divided by the total Design Capacity for such period. The Volume of Inlet Gas varies over time depending on, among other factors, (i) the quantity and quality of waste deposited at the landfill, (ii) waste management practices by the landfill, and (iii) the construction, operations and maintenance of the LFG collection system used to recover the LFG. The Design Capacity for each facility will typically be correlated to the amount of LFG expected to be generated by the landfill during the term of the related gas rights agreement. The Company expects Inlet Design Capacity Utilization to be in the range of 75 |
|
|
(3) |
Utilization of Inlet Gas is measured as RNG Fuel Volume Produced divided by the Volume of Inlet Gas. Utilization of Inlet Gas varies over time depending on availability and efficiency of the facility and the quality of LFG (i.e., concentrations of methane, oxygen, nitrogen, and other gases) including the ramp up period for new projects. The Company generally expects Utilization of Inlet Gas to be in the range of |
|
|
(4) |
Data not available for the Company’s dairy projects, i.e., Sunoma and Biotown. |
RNG Pending Monetization Summary
|
|
Three Months Ended |
||||||||||
(in thousands, except Average realized sales price) |
|
September 30, 2024 |
||||||||||
|
|
RNG Fuel |
|
Fuel Station Services |
|
Total |
||||||
Stored Gas Metrics (MMBtus) (1) |
|
|
|
|
|
|
||||||
Beginning balance stored RNG as of June 30, 2024 |
|
|
318 |
|
|
|
59 |
|
|
|
377 |
|
Add: RNG production |
|
|
1,105 |
|
|
|
119 |
|
|
|
1,224 |
|
Less: Current period RNG volumes dispensed |
|
|
(1,143 |
) |
|
|
(121 |
) |
|
|
(1,264 |
) |
Ending Balance stored RNG as of September 30, 2024 |
|
|
280 |
|
|
|
57 |
|
|
|
337 |
|
|
|
|
|
|
|
|
||||||
Value of ending balance stored RNG using quarter end price (1) |
|
$ |
12,648 |
|
|
$ |
6,737 |
|
|
$ |
19,385 |
|
|
|
|
|
|
|
. |
||||||
RIN Metrics |
|
|
|
|
|
|
||||||
Beginning balance as of June 30, 2024 |
|
|
11 |
|
|
|
5 |
|
|
|
16 |
|
Add: Generated in current period |
|
|
10,777 |
|
|
|
3,439 |
|
|
|
14,216 |
|
Less: Sales |
|
|
(10,719 |
) |
|
|
(3,400 |
) |
|
|
(14,119 |
) |
Ending RIN credit balance (Available for sale) as of September 30, 2024 |
|
|
69 |
|
|
|
44 |
|
|
|
113 |
|
D3 price per RIN at quarter end |
|
$ |
3.52 |
|
|
$ |
3.52 |
|
|
$ |
3.52 |
|
Value of RINs using quarter end price (2) |
|
$ |
203 |
|
|
$ |
152 |
|
|
$ |
355 |
|
|
|
|
|
|
|
|
||||||
LCFS Metrics |
|
|
|
|
|
|
||||||
Beginning balance (net share) as of June 30, 2024 |
|
|
4 |
|
|
|
46 |
|
|
|
50 |
|
Add: Generated in current period |
|
|
13 |
|
|
|
27 |
|
|
|
40 |
|
Less: Sales |
|
|
(12 |
) |
|
|
(3 |
) |
|
|
(15 |
) |
Ending LCFS credit balance (Available for sale) as of September 30, 2024 |
|
|
5 |
|
|
|
70 |
|
|
|
75 |
|
LCFS credit price at quarter end |
|
$ |
66.50 |
|
|
$ |
66.50 |
|
|
$ |
66.50 |
|
Value of LCFSs using quarter end price (2) |
|
$ |
509 |
|
|
$ |
2,799 |
|
|
$ |
3,308 |
|
|
|
|
|
|
|
|
||||||
Value of RECs using quarter end price |
|
|
|
|
|
$ |
62 |
|
||||
|
|
|
|
|
|
|
||||||
Other Metrics |
|
|
|
|
|
|
||||||
|
|
|
|
|
|
|
||||||
Average realized sales price - RIN |
|
|
— |
|
|
|
— |
|
|
$ |
3.22 |
|
Average realized sales price - LCFS |
|
|
— |
|
|
|
— |
|
|
$ |
100.00 |
|
|
|
|
|
|
|
|
||||||
Total Value of RNG Pending Monetization at quarter end |
|
$ |
13,360 |
|
|
$ |
9,688 |
|
|
$ |
23,110 |
|
(1) |
Reflects OPAL’s ownership share of stored RNG (i.e., net of joint venture partners’ ownership) including equity method investments. |
|
|
(2) |
Reflects OPAL’s ownership share of RIN and LCFS credits (i.e., net of joint venture partners’ ownership) including equity method investments and presented net of discounts and any direct transaction costs such as dispensing fees, third-party royalties and transaction costs as applicable. |
Liquidity
As of September 30, 2024, our liquidity was
As of September 30, 2024, we have drawn approximately
We believe our liquidity and anticipated cash flows from operations are sufficient to meet our existing funding needs.
Capital Expenditures
During the nine months of 2024, OPAL Fuels invested
In addition, for the nine months ended September 30, 2024, our portion of capital expenditures in unconsolidated entities was
Earnings Call
A webcast to review OPAL Fuels’ Third Quarter 2024 results will be held tomorrow, November 8, 2024 at 11:00 AM Eastern Daylight Time.
Materials to be discussed in the webcast will be available before the call on the Company’s website.
Participants may access the call at https://edge.media-server.com/mmc/p/3tp9s5us. Investors can also listen to a webcast of the presentation on the Company’s Investor Relations website at https://investors.opalfuels.com/news-events/events-presentations.
Glossary of terms
“D3” refers to cellulosic biofuel with a
“GGE” refers to gasoline gallon equivalent. It is used to measure the total volume of RNG production that OPAL Fuels expects to dispense each year. The conversion ratio is 1MMBtu equal to 7.74 GGE.
“LCFS” refers to Low Carbon Fuel Standard or similar types of federal and state programs.
“LFG” refers to landfill gas.
“MMBtu” refers to million British thermal units.
“RECs” refers to renewable energy credits.
“Renewable Power” refers to electricity generated from renewable sources.
“RIN” refers to Renewable Identification Numbers.
“RNG” refers to renewable natural gas.
“VIEs” refers to variable interest entities.
About OPAL Fuels Inc.
OPAL Fuels Inc. (Nasdaq: OPAL) is a leader in the capture and conversion of biogas into low carbon intensity RNG and renewable electricity. OPAL Fuels is also a leader in the marketing and distribution of RNG to heavy duty trucking and other hard to de-carbonize industrial sectors. For additional information, and to learn more about OPAL Fuels and how it is leading the effort to capture North America’s methane emissions and decarbonize the economy, please visit www.opalfuels.com.
Forward-Looking Statements
Certain statements in this communication may be considered forward-looking statements within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts and generally relate to future events or the Company’s future financial or other performance metrics. In some cases, you can identify forward-looking statements by terminology such as “believe,” “may,” “will,” “potentially,” “estimate,” “continue,” “anticipate,” “intend,” “could,” “would,” “project,” “target,” “plan,” “expect,” or the negatives of these terms or variations of them or similar terminology. Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. New risks and uncertainties may emerge from time to time, and it is not possible to predict all risks and uncertainties. These forward-looking statements are based upon estimates and assumptions that, while considered reasonable by the Company and its management, as the case may be, are inherently uncertain and subject to material change. Factors that may cause actual results to differ materially from current expectations include various factors beyond management’s control, including but not limited to general economic conditions and other risks, uncertainties and factors set forth in the sections entitled “Risk Factors” and “Cautionary Statement Regarding Forward-Looking Statements” in the Company’s annual report on Form 10-K filed on March 15, 2024, and other filings the Company makes with the Securities and Exchange Commission. Nothing in this communication should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results of such forward-looking statements will be achieved. You should not place undue reliance on forward-looking statements in this communication, which speak only as of the date they are made and are qualified in their entirety by reference to the cautionary statements herein. The Company expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company’s expectations with respect thereto or any change in events, conditions, or circumstances on which any statement is based.
Disclaimer
This communication is for informational purposes only and is neither an offer to purchase, nor a solicitation of an offer to sell, subscribe for or buy, any securities, nor shall there be any sale, issuance or transfer or securities in any jurisdiction in contravention of applicable law. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended.
OPAL FUELS INC. CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands of |
|||||||
|
September 30,
|
|
December 31,
|
||||
|
(Unaudited) |
|
|
||||
Assets |
|
|
|
||||
Current assets: |
|
|
|
||||
Cash and cash equivalents (includes |
$ |
20,332 |
|
|
$ |
38,348 |
|
Accounts receivable, net (includes |
|
39,609 |
|
|
|
27,623 |
|
Accounts receivable, related party |
|
15,133 |
|
|
|
18,696 |
|
Restricted cash - current (includes |
|
953 |
|
|
|
4,395 |
|
Short term investments |
|
10,666 |
|
|
|
9,875 |
|
Fuel tax credits receivable |
|
5,965 |
|
|
|
5,345 |
|
Contract assets |
|
9,648 |
|
|
|
6,790 |
|
Parts inventory (includes |
|
10,491 |
|
|
|
10,191 |
|
Convertible note receivable |
|
761 |
|
|
|
— |
|
Environmental credits held for sale |
|
4,096 |
|
|
|
172 |
|
Prepaid expense and other current assets (includes |
|
4,666 |
|
|
|
6,005 |
|
Derivative financial assets - current portion |
|
289 |
|
|
|
633 |
|
Total current assets |
|
122,609 |
|
|
|
128,073 |
|
Capital spares |
|
4,167 |
|
|
|
3,468 |
|
Property, plant, and equipment, net (includes |
|
410,247 |
|
|
|
339,493 |
|
Operating lease right-of-use assets |
|
12,964 |
|
|
|
12,301 |
|
Investment in other entities |
|
217,472 |
|
|
|
207,099 |
|
Note receivable - variable fee component |
|
2,509 |
|
|
|
2,302 |
|
Other long-term assets |
|
2,206 |
|
|
|
1,162 |
|
Intangible assets, net |
|
1,397 |
|
|
|
1,604 |
|
Restricted cash - non-current (includes |
|
2,909 |
|
|
|
4,499 |
|
Goodwill |
|
54,608 |
|
|
|
54,608 |
|
Total assets |
$ |
831,088 |
|
|
$ |
754,609 |
|
Liabilities and Equity |
|
|
|
||||
Current liabilities: |
|
|
|
||||
Accounts payable (includes |
|
13,126 |
|
|
|
13,901 |
|
Accounts payable, related party (includes |
|
8,380 |
|
|
|
7,024 |
|
Fuel tax credits payable |
|
4,525 |
|
|
|
4,558 |
|
Accrued payroll (includes |
|
7,970 |
|
|
|
9,023 |
|
Accrued capital expenses |
|
24,721 |
|
|
|
15,128 |
|
Accrued expenses and other current liabilities (includes |
|
19,811 |
|
|
|
14,245 |
|
Contract liabilities |
|
6,149 |
|
|
|
6,314 |
|
OPAL Term Loan - current portion |
|
6,949 |
|
|
|
— |
|
Sunoma Loan - current portion (includes |
|
1,722 |
|
|
|
1,608 |
|
Operating lease liabilities - current portion |
|
763 |
|
|
|
638 |
|
Other current liabilities (includes |
|
1,693 |
|
|
|
92 |
|
Asset retirement obligation, current portion |
|
1,980 |
|
|
|
1,812 |
|
Total current liabilities |
|
97,789 |
|
|
|
74,343 |
|
Asset retirement obligation - non-current portion |
|
5,581 |
|
|
|
4,916 |
|
OPAL Term Loan - non-current portion |
|
215,772 |
|
|
|
176,532 |
|
Sunoma Loan, net of debt issuance costs (includes |
|
18,773 |
|
|
|
20,010 |
|
Operating lease liabilities - non-current portion |
|
12,400 |
|
|
|
11,824 |
|
Earn out liabilities |
|
443 |
|
|
|
1,900 |
|
Derivative liabilities - non-current portion |
|
209 |
|
|
|
— |
|
Other long-term liabilities (includes |
|
10,243 |
|
|
|
7,599 |
|
Total liabilities |
|
361,210 |
|
|
|
297,124 |
|
Commitments and contingencies |
|
|
|
||||
Redeemable preferred non-controlling interests |
|
130,000 |
|
|
|
132,617 |
|
Redeemable non-controlling interests |
|
519,373 |
|
|
|
802,720 |
|
Stockholders' deficit |
|
|
|
||||
Class A common stock, |
|
3 |
|
|
|
3 |
|
Class B common stock, |
|
7 |
|
|
|
— |
|
Class C common stock, |
|
— |
|
|
|
— |
|
Class D common stock, |
|
7 |
|
|
|
14 |
|
Additional paid-in capital |
|
— |
|
|
|
— |
|
Accumulated deficit |
|
(168,458 |
) |
|
|
(467,195 |
) |
Accumulated other comprehensive loss |
|
(25 |
) |
|
|
(15 |
) |
Class A common stock in treasury, at cost; 1,635,783 and 1,635,783 shares at September 30, 2024 and December 31, 2023, respectively |
|
(11,614 |
) |
|
|
(11,614 |
) |
Total Stockholders' deficit attributable to the Company |
|
(180,080 |
) |
|
|
(478,807 |
) |
Non-redeemable non-controlling interests |
|
585 |
|
|
|
955 |
|
Total Stockholders' deficit |
|
(179,495 |
) |
|
|
(477,852 |
) |
Total liabilities, Redeemable preferred non-controlling interests, Redeemable non-controlling interests and Stockholders' deficit |
$ |
831,088 |
|
|
$ |
754,609 |
|
OPAL FUELS INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands of (Unaudited) |
||||||||||||||||
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Revenues: |
|
|
|
|
|
|
|
|
||||||||
RNG Fuel (includes revenues from related party of |
|
$ |
25,864 |
|
|
$ |
20,088 |
|
|
$ |
63,036 |
|
|
$ |
37,468 |
|
Fuel Station Services (includes revenues from related party of |
|
|
45,395 |
|
|
|
37,305 |
|
|
|
121,794 |
|
|
|
88,089 |
|
Renewable Power (includes revenues from related party of |
|
|
12,788 |
|
|
|
13,708 |
|
|
|
35,119 |
|
|
|
43,543 |
|
Total revenues |
|
|
84,047 |
|
|
|
71,101 |
|
|
|
219,949 |
|
|
|
169,100 |
|
Operating expenses: |
|
|
|
|
|
|
|
|
||||||||
Cost of sales - RNG Fuel |
|
|
9,985 |
|
|
|
8,243 |
|
|
|
26,644 |
|
|
|
22,396 |
|
Cost of sales - Fuel Station Services |
|
|
33,609 |
|
|
|
31,887 |
|
|
|
94,882 |
|
|
|
79,655 |
|
Cost of sales - Renewable Power |
|
|
7,774 |
|
|
|
11,112 |
|
|
|
25,931 |
|
|
|
28,251 |
|
Project development and startup costs |
|
|
6,803 |
|
|
|
974 |
|
|
|
10,523 |
|
|
|
3,972 |
|
Selling, general, and administrative |
|
|
12,692 |
|
|
|
13,273 |
|
|
|
39,552 |
|
|
|
39,664 |
|
Depreciation, amortization, and accretion |
|
|
4,697 |
|
|
|
3,739 |
|
|
|
12,677 |
|
|
|
10,934 |
|
Income from equity method investments |
|
|
(3,822 |
) |
|
|
(1,726 |
) |
|
|
(11,828 |
) |
|
|
(1,433 |
) |
Total expenses |
|
|
71,738 |
|
|
|
67,502 |
|
|
|
198,381 |
|
|
|
183,439 |
|
Operating income (loss) |
|
|
12,309 |
|
|
|
3,599 |
|
|
|
21,568 |
|
|
|
(14,339 |
) |
Other (expense) income: |
|
|
|
|
|
|
|
|
||||||||
Interest and financing expense, net |
|
|
(5,026 |
) |
|
|
(2,885 |
) |
|
|
(13,976 |
) |
|
|
(4,482 |
) |
Loss on debt extinguishment |
|
|
— |
|
|
|
(953 |
) |
|
|
— |
|
|
|
(2,848 |
) |
Change in fair value of derivative instruments, net |
|
|
278 |
|
|
|
(138 |
) |
|
|
1,457 |
|
|
|
4,955 |
|
Other income |
|
|
640 |
|
|
|
604 |
|
|
|
1,737 |
|
|
|
123,645 |
|
Income before provision for income taxes |
|
|
8,201 |
|
|
|
227 |
|
|
|
10,786 |
|
|
|
106,931 |
|
Income tax benefit, net of selling expenses |
|
|
(8,906 |
) |
|
|
— |
|
|
|
(8,906 |
) |
|
|
— |
|
Net income |
|
|
17,107 |
|
|
|
227 |
|
|
|
19,692 |
|
|
|
106,931 |
|
Net income (loss) attributable to redeemable non-controlling interests |
|
|
11,998 |
|
|
|
(2,104 |
) |
|
|
9,618 |
|
|
|
83,123 |
|
Net income (loss) attributable to non-redeemable non-controlling interests |
|
|
130 |
|
|
|
(51 |
) |
|
|
328 |
|
|
|
(531 |
) |
Dividends on redeemable preferred non-controlling interests (1) |
|
|
2,617 |
|
|
|
2,782 |
|
|
|
7,853 |
|
|
|
8,394 |
|
Net income (loss) attributable to Class A common stockholders |
|
$ |
2,362 |
|
|
$ |
(400 |
) |
|
$ |
1,893 |
|
|
$ |
15,945 |
|
|
|
|
|
|
|
|
|
|
||||||||
Weighted average shares outstanding of Class A common stock: |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
|
27,709,203 |
|
|
|
26,978,969 |
|
|
|
27,585,620 |
|
|
|
27,110,953 |
|
Diluted |
|
|
27,743,417 |
|
|
|
26,978,969 |
|
|
|
27,644,164 |
|
|
|
27,683,855 |
|
Per share amounts: |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
$ |
0.09 |
|
|
$ |
(0.01 |
) |
|
$ |
0.07 |
|
|
$ |
0.59 |
|
Diluted |
|
$ |
0.09 |
|
|
$ |
(0.01 |
) |
|
$ |
0.07 |
|
|
$ |
0.58 |
|
OPAL FUELS INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands of (Unaudited) |
||||||||
|
|
Nine Months Ended
|
||||||
(in thousands) |
|
|
2024 |
|
|
|
2023 |
|
Cash flows from operating activities: |
|
|
|
|
||||
Net income |
|
$ |
19,692 |
|
|
$ |
106,931 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
|
||||
Income from equity method investments |
|
|
(11,829 |
) |
|
|
(1,433 |
) |
Distributions from equity method investments |
|
|
13,661 |
|
|
|
— |
|
Provision for bad debts |
|
|
— |
|
|
|
492 |
|
Amortization of operating right-of-use assets |
|
|
555 |
|
|
|
460 |
|
Depreciation and amortization |
|
|
12,343 |
|
|
|
10,627 |
|
Amortization of deferred financing costs |
|
|
1,310 |
|
|
|
1,447 |
|
Loss on debt extinguishment |
|
|
— |
|
|
|
2,848 |
|
Loss on warrant exchange |
|
|
— |
|
|
|
338 |
|
Gain on deconsolidation of VIEs |
|
|
— |
|
|
|
(122,873 |
) |
Accretion expense related to asset retirement obligation |
|
|
334 |
|
|
|
307 |
|
Stock-based compensation |
|
|
4,312 |
|
|
|
4,747 |
|
Paid-in-kind interest income |
|
|
(207 |
) |
|
|
(236 |
) |
Unrealized gain on derivative financial instruments |
|
|
(963 |
) |
|
|
(4,739 |
) |
Changes in operating assets and liabilities |
|
|
(7,291 |
) |
|
|
5,911 |
|
Net cash provided by operating activities |
|
|
31,917 |
|
|
|
4,827 |
|
Cash flows from investing activities: |
|
|
|
|
||||
Purchase of property, plant, and equipment |
|
|
(72,805 |
) |
|
|
(92,250 |
) |
(Purchase) proceeds from sale of short term investments |
|
|
(1,541 |
) |
|
|
46,948 |
|
Deconsolidation of VIEs, net of cash |
|
|
— |
|
|
|
(11,947 |
) |
Distributions received from equity method investment |
|
|
1,756 |
|
|
|
13,331 |
|
Cash paid for investment in other entities |
|
|
(13,956 |
) |
|
|
(1,000 |
) |
Net cash used in investing activities |
|
$ |
(86,546 |
) |
|
|
(44,918 |
) |
Cash flows from financing activities: |
|
|
|
|
||||
Proceeds from OPAL Term Loan |
|
|
45,000 |
|
|
|
174,117 |
|
Cash paid for purchase of shares upon exercise of put option |
|
|
— |
|
|
|
(16,391 |
) |
Cash paid for taxes related to net share settlement of equity awards |
|
|
(627 |
) |
|
|
(20 |
) |
Financing costs paid to other third parties |
|
|
(629 |
) |
|
|
(11,062 |
) |
Repayment of debt facilities |
|
|
(1,236 |
) |
|
|
(159,023 |
) |
Payment of preferred dividends |
|
|
(10,469 |
) |
|
|
(16,536 |
) |
Proceeds from sale of non-redeemable non-controlling interest |
|
|
— |
|
|
|
12,753 |
|
Distribution to non-redeemable non-controlling interest |
|
|
(628 |
) |
|
|
(222 |
) |
Other |
|
|
170 |
|
|
|
842 |
|
Net cash provided by (used in) financing activities |
|
|
31,581 |
|
|
|
(15,542 |
) |
Net decrease in cash, restricted cash, and cash equivalents |
|
|
(23,048 |
) |
|
|
(55,633 |
) |
Cash, restricted cash, and cash equivalents, beginning of period |
|
|
47,242 |
|
|
|
77,221 |
|
Cash, restricted cash, and cash equivalents, end of period |
|
$ |
24,194 |
|
|
$ |
21,588 |
|
Non-GAAP Financial Measures (Unaudited)
This release includes various financial measures that are non-GAAP financial measures as defined under the rules of the Securities and Exchange Commission. We believe these measures provide important supplemental information to investors to use in evaluating ongoing operating results. We use these measures, together with accounting principles generally accepted in
Non-GAAP financial measures are limited as an analytical tool and should not be considered in isolation from, or as a substitute for, the Company’s GAAP results. The Company expects to continue reporting non-GAAP financial measures, adjusting for the items described below (and/or other items that may arise in the future as the Company’s management deems appropriate), and the Company expects to continue to incur expenses, charges or gains like the non-GAAP adjustments described below. Accordingly, unless expressly stated otherwise, the exclusion of these and other similar items in the presentation of non-GAAP financial measures should not be construed as an inference that these costs are unusual, infrequent, or non-recurring. These Non-GAAP financial measures are not recognized terms under GAAP and do not purport to be alternatives to GAAP net income or any other GAAP measure as indicators of operating performance. Moreover, because not all companies use identical measures and calculations, the Company’s presentation of Non-GAAP financial measures may not be comparable to other similarly titled measures used by other companies. We strongly encourage you to review all of our financial statements and publicly filed reports in their entirety and to not solely rely on any single non-GAAP financial measure.
Adjusted EBITDA
To supplement the Company’s unaudited condensed consolidated financial statements presented in accordance with GAAP, the Company uses a non-GAAP financial measure that it calls adjusted EBITDA (“Adjusted EBITDA”). This non-GAAP financial measure adjusts net income for interest and financing expense, net, loss on debt extinguishment, net (income) loss attributable to non-redeemable non-controlling interests, depreciation, amortization and accretion expense, adjustments to reflect Adjusted EBITDA from equity method investments, loss on warrant exchange, unrealized (gain) loss on derivative instruments, non-cash charges, one-time non-recurring expenses, major maintenance on Renewable Power, gain on deconsolidation of VIEs, project development and startup costs, incremental virtual pipeline costs at Prince William RNG facility due to their temporary nature, and ITC proceeds, net of expenses.
Management believes this non-GAAP financial measure provides meaningful supplemental information about the Company’s performance, for the following reasons: (1) it allows for greater transparency with respect to key metrics used by management to assess the Company’s operating performance and make financial and operational decisions; (2) the measure excludes the effect of items that management believes are not directly attributable to the Company’s core operating performance and may obscure trends in the business; (3) the measure better aligns revenues with expenses; and (4) the measure is used by institutional investors and the analyst community to help analyze the Company’s business. In future quarters, the Company may adjust for other expenditures, charges or gains to present non-GAAP financial measures that the Company’s management believes are indicative of the Company’s core operating performance.
The following table presents the reconciliation of our Net loss to Adjusted EBITDA:
Reconciliation of GAAP Net income to Adjusted EBITDA For the Three and Nine Months Ended September 30, 2024 and 2023 (In thousands of dollars) |
||||||||||||||||||||||||||||||||||||||||
|
|
Three Months Ended September 30, 2024 |
|
Nine Months Ended September 30, 2024 |
||||||||||||||||||||||||||||||||||||
|
|
RNG Fuel |
|
Fuel Station Services |
|
Renewable Power |
|
Corporate |
|
Total |
|
RNG Fuel |
|
Fuel Station Services |
|
Renewable Power |
|
Corporate |
|
Total |
||||||||||||||||||||
Net income (loss) (1) |
|
$ |
6,116 |
|
|
$ |
10,262 |
|
|
$ |
4,393 |
|
|
$ |
(3,664 |
) |
|
$ |
17,107 |
|
|
$ |
18,873 |
|
|
$ |
23,053 |
|
|
$ |
6,608 |
|
|
$ |
(28,842 |
) |
|
$ |
19,692 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Adjustments to reconcile net income (loss) to Adjusted EBITDA |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Interest and financing expense, net |
|
|
5,092 |
|
|
|
95 |
|
|
(26 |
) |
|
|
(135 |
) |
|
|
5,026 |
|
|
|
14,427 |
|
|
|
119 |
|
|
(111 |
) |
|
|
(458 |
) |
|
|
13,977 |
|
||
Net income attributable to non-redeemable non-controlling interests |
|
|
(130 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(130 |
) |
|
|
(328 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(328 |
) |
Depreciation, amortization and accretion |
|
|
2,124 |
|
|
|
1,575 |
|
|
|
998 |
|
|
|
— |
|
|
|
4,697 |
|
|
|
5,482 |
|
|
|
4,184 |
|
|
|
3,011 |
|
|
|
— |
|
|
|
12,677 |
|
Adjustments to reflect Adjusted EBITDA from equity method investments (2) |
|
|
3,721 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,721 |
|
|
|
8,883 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
8,883 |
|
Unrealized (gain) loss on derivative instruments (3) |
|
|
— |
|
|
|
— |
|
|
|
170 |
|
|
|
(278 |
) |
|
|
(108 |
) |
|
|
— |
|
|
|
— |
|
|
|
494 |
|
|
|
(1,457 |
) |
|
|
(963 |
) |
Non-cash charges (4) |
|
|
— |
|
|
|
34 |
|
|
|
— |
|
|
|
1,433 |
|
|
|
1,467 |
|
|
|
— |
|
|
|
34 |
|
|
|
— |
|
|
|
4,665 |
|
|
|
4,699 |
|
ITC proceeds, net of expenses (5) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(8,648 |
) |
|
|
(8,648 |
) |
|
|
|
|
|
|
|
|
(8,648 |
) |
|
|
(8,648 |
) |
||||||
Project development and startup costs (6) |
|
|
1,927 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,927 |
|
|
|
3,103 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,103 |
|
Virtual pipeline costs (7) |
|
|
3,806 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,806 |
|
|
|
6,004 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
6,004 |
|
One-time non-recurring charges (8) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
798 |
|
|
|
798 |
|
|
|
— |
|
|
|
220 |
|
|
|
400 |
|
|
|
879 |
|
|
|
1,499 |
|
Major maintenance for Renewable Power |
|
|
— |
|
|
|
— |
|
|
|
1,439 |
|
|
|
— |
|
|
|
1,439 |
|
|
|
— |
|
|
|
— |
|
|
|
6,812 |
|
|
|
— |
|
|
|
6,812 |
|
Adjusted EBITDA |
|
$ |
22,656 |
|
|
$ |
11,966 |
|
|
$ |
6,974 |
|
|
$ |
(10,494 |
) |
|
$ |
31,102 |
|
|
$ |
56,444 |
|
|
$ |
27,610 |
|
|
$ |
17,214 |
|
|
$ |
(33,861 |
) |
|
$ |
67,407 |
|
|
|
Three Months Ended September 30, 2023 |
|
Nine Months Ended September 30, 2023 |
||||||||||||||||||||||||||||||||||||
|
|
RNG Fuel |
|
Fuel Station Services |
|
Renewable Power |
|
Corporate |
|
Total |
|
RNG Fuel |
|
Fuel Station Services |
|
Renewable Power |
|
Corporate |
|
Total |
||||||||||||||||||||
Net income (loss) (1) |
|
$ |
12,547 |
|
|
$ |
5,530 |
|
|
$ |
983 |
|
|
$ |
(18,833 |
) |
|
$ |
227 |
|
|
|
9,477 |
|
|
$ |
7,429 |
|
|
$ |
10,584 |
|
|
$ |
79,441 |
|
|
$ |
106,931 |
|
|
|
|
|
|
|
|
|
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
— |
|
||||||||||||||||
Adjustments to reconcile net income (loss) to Adjusted EBITDA |
|
|
|
|
|
|
|
|
|
|
— |
|
|
|
|
|
|
|
|
|
|
|
— |
|
||||||||||||||||
Interest and financing expense, net |
|
|
3,243 |
|
|
(27 |
) |
|
|
2 |
|
|
(333 |
) |
|
|
2,885 |
|
|
4,616 |
|
|
(120 |
) |
|
|
260 |
|
|
|
(274 |
) |
|
|
4,482 |
|
||||
Loss on debt extinguishment |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
953 |
|
|
|
953 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
2,848 |
|
|
|
2,848 |
|
Gain on deconsolidation of VIEs |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(122,873 |
) |
|
|
(122,873 |
) |
Net loss attributable to non-redeemable non-controlling interests |
|
|
51 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
51 |
|
|
|
531 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
531 |
|
Depreciation, amortization and accretion |
|
|
1,325 |
|
|
|
917 |
|
|
|
1,488 |
|
|
|
9 |
|
|
|
3,739 |
|
|
|
3,954 |
|
|
|
2,555 |
|
|
|
4,389 |
|
|
|
36 |
|
|
|
10,934 |
|
Adjustments to reflect Adjusted EBITDA from equity method investments (2) |
|
|
1,346 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,346 |
|
|
|
3,254 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,254 |
|
Loss on warrant exchange |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
338 |
|
|
|
338 |
|
Unrealized (gain) loss on derivative instruments (3) |
|
|
— |
|
|
|
— |
|
|
|
29 |
|
|
|
138 |
|
|
|
167 |
|
|
|
— |
|
|
|
— |
|
|
|
(733 |
) |
|
|
(4,006 |
) |
|
|
(4,739 |
) |
Non-cash charges (4) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,922 |
|
|
|
1,922 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
4,880 |
|
|
|
4,880 |
|
Project development and startup costs (6) |
|
|
847 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
847 |
|
|
|
3,591 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3,591 |
|
One-time non-recurring charges (8) |
|
|
— |
|
|
|
— |
|
|
|
1,291 |
|
|
|
787 |
|
|
|
2,078 |
|
|
|
— |
|
|
|
949 |
|
|
|
1,291 |
|
|
|
1,038 |
|
|
|
3,278 |
|
Major maintenance for Renewable Power |
|
|
— |
|
|
|
— |
|
|
|
2,246 |
|
|
|
— |
|
|
|
2,246 |
|
|
|
— |
|
|
|
— |
|
|
|
6,476 |
|
|
|
— |
|
|
|
6,476 |
|
Adjusted EBITDA |
|
$ |
19,359 |
|
|
$ |
6,420 |
|
|
$ |
6,039 |
|
|
$ |
(15,357 |
) |
|
$ |
16,461 |
|
|
$ |
25,423 |
|
|
$ |
10,813 |
|
|
$ |
22,267 |
|
|
$ |
(38,572 |
) |
|
$ |
19,931 |
|
(1) |
Net income (loss) by segment is included in our quarterly report on Form 10-Q. Net loss for RNG Fuel includes our portion of net income on our equity method investments. |
|
|
(2) |
Includes development costs, interest, depreciation, amortization and accretion on equity method investments. |
|
|
(3) |
Unrealized (gain) loss on derivative instruments includes change in fair value of commodity swaps, earnout liabilities and put option on a forward purchase agreement. |
|
|
(4) |
Non-cash charges include stock-based compensation expense, certain expenses included in selling, general and administrative expenses relating to employee benefit accruals, inventory write down charges included in cost of sales - RNG fuel and loss on disposal of assets. |
|
|
(5) |
Includes |
|
|
(6) |
Relates to certain development costs on our RNG projects in construction such as legal, consulting fees for joint venture structuring, royalties to the landfill owner, fines, settlements, site lease expenses and certification costs. |
|
|
(7) |
Includes incremental virtual pipeline costs (i.e., actual costs less anticipated operating costs of a permanent interconnection) on our Prince William RNG project which are temporary in nature and expected to be incurred until mid-2025 when the permanent interconnection is expected to be operational. The amounts included in the nine months ended September 30, 2024 include |
|
|
(8) |
One-time non-recurring charges include (i) certain expenses related to development of our RNG facilities such as lease expenses and legal costs incurred during construction phase that could not be capitalized per GAAP. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20241107312425/en/
Investors
Todd Firestone
Vice President Investor Relations & Corporate Development
914-705-4001
investors@opalfuels.com
Media
ICR, Inc.
OPALFuelsPR@ircinc.com
Source: OPAL Fuels, Inc.
FAQ
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