RE Royalties Announces Third Quarter 2024 Financial Results and Highlights
RE Royalties reported Q3 2024 financial results with quarterly revenue of $1,692,000, down 12% year-over-year. The decrease was attributed to lower finance income due to early loan repayments. Year-to-date revenue was $6,157,000, down 14% compared to the previous year.
Q3 2024 EBITDA increased to $1,038,000, showing significant improvement from the prior year. The company reported a quarterly net loss of $195,000, better than the $2,769,000 loss in Q3 2023. Cash position stood at $18,442,000 as of September 30, 2024.
Notable developments include completion of Green Bond placements raising $5,879,000 CAD and US$340,000, new agreements with Abraxas Power for Maldives solar projects ($10M facility), SolarBank for battery storage systems ($3M loan), and Alpin Solar for the Sol Aurora Project in Alberta.
RE Royalties ha riportato i risultati finanziari del terzo trimestre 2024 con un fatturato trimestrale di $1.692.000, in calo del 12% rispetto all'anno precedente. La diminuzione è stata attribuita a un minore reddito finanziario a causa dei rimborsi anticipati dei prestiti. Il fatturato da inizio anno ammontava a $6.157.000, con un calo del 14% rispetto all'anno precedente.
L'EBITDA del terzo trimestre 2024 è aumentato a $1.038.000, mostrando un miglioramento significativo rispetto all'anno scorso. L'azienda ha registrato una perdita netta trimestrale di $195.000, migliore rispetto alla perdita di $2.769.000 nel terzo trimestre 2023. La posizione di liquidità era di $18.442.000 al 30 settembre 2024.
Sviluppi notevoli includono il completamento delle collocazioni di Green Bond, con un totale di $5.879.000 CAD e $340.000 USD, nuovi accordi con Abraxas Power per progetti solari delle Maldive ($10M di linee di credito), SolarBank per sistemi di stoccaggio delle batterie ($3M di prestito) e Alpin Solar per il progetto Sol Aurora in Alberta.
RE Royalties informó los resultados financieros del tercer trimestre de 2024 con ingresos trimestrales de $1,692,000, una disminución del 12% en comparación con el año anterior. La disminución se atribuyó a una menor renta financiera debido a los pagos anticipados de préstamos. Los ingresos acumulados hasta la fecha fueron de $6,157,000, un 14% menos en comparación con el año anterior.
El EBITDA del tercer trimestre de 2024 aumentó a $1,038,000, mostrando una mejora significativa en comparación con el año anterior. La empresa reportó una pérdida neta trimestral de $195,000, mejor que la pérdida de $2,769,000 en el tercer trimestre de 2023. La posición de efectivo era de $18,442,000 a partir del 30 de septiembre de 2024.
Desarrollos notables incluyen la finalización de colocaciones de Bonos Verdes que recaudaron $5,879,000 CAD y $340,000 USD, nuevos acuerdos con Abraxas Power para proyectos solares en Maldivas ($10M en facilidades), SolarBank para sistemas de almacenamiento de baterías ($3M en préstamos), y Alpin Solar para el Proyecto Sol Aurora en Alberta.
RE Royalties는 2024년 3분기 재무 결과를 보고했으며, 분기 매출은 $1,692,000로 전년 대비 12% 감소했습니다. 감소는 조기 대출 상환으로 인한 금융 수익 감소에 기인했습니다. 연초부터 현재까지의 매출은 $6,157,000으로, 지난해에 비해 14% 감소했습니다.
2024년 3분기 EBITDA는 $1,038,000으로 증가하여 지난해보다 상당한 개선을 보였습니다. 회사는 2023년 3분기의 $2,769,000 손실보다 나은 분기 순손실 $195,000을 보고했습니다. 2024년 9월 30일 기준 현금 보유액은 $18,442,000입니다.
주목할 만한 발전으로는 CAD $5,879,000 및 USD $340,000를 모금한 그린 본드의 완료와 Maldivas의 태양광 프로젝트를 위한 Abraxas Power와의 새로운 계약 ($10M 시설), 배터리 저장 시스템을 위한 SolarBank ($3M 대출), 및 알버타의 Sol Aurora 프로젝트를 위한 Alpin Solar와의 계약이 있습니다.
RE Royalties a publié les résultats financiers du troisième trimestre 2024 avec un chiffre d'affaires trimestriel de 1 692 000 $, en baisse de 12 % par rapport à l'année précédente. Cette diminution est attribuée à des revenus financiers inférieurs en raison de remboursements anticipés de prêts. Les revenus depuis le début de l'année s'élevaient à 6 157 000 $, soit une baisse de 14 % par rapport à l'année précédente.
L'EBITDA du troisième trimestre 2024 a augmenté à 1 038 000 $, montrant une amélioration significative par rapport à l'année précédente. L'entreprise a enregistré une perte nette trimestrielle de 195 000 $, meilleure que la perte de 2 769 000 $ enregistrée au troisième trimestre 2023. La position de liquidités était de 18 442 000 $ au 30 septembre 2024.
Parmi les développements notables, citons l'achèvement des placements d'obligations vertes, ayant levé 5 879 000 CAD et 340 000 USD, de nouveaux accords avec Abraxas Power pour des projets solaires aux Maldives (10 M$ de facilité), SolarBank pour des systèmes de stockage d'énergie par battery (3 M$ de prêt), et Alpin Solar pour le projet Sol Aurora en Alberta.
RE Royalties berichtete über die Finanzergebnisse des dritten Quartals 2024 mit einem Quartalsumsatz von 1.692.000 USD, einem Rückgang von 12 % im Vergleich zum Vorjahr. Der Rückgang wurde auf geringere Finanz-erträge aufgrund vorzeitiger Darlehensrückzahlungen zurückgeführt. Der Umsatz seit Jahresbeginn betrug 6.157.000 USD, was einem Rückgang von 14 % im Vergleich zum Vorjahr entspricht.
Das EBITDA im dritten Quartal 2024 stieg auf 1.038.000 USD, was eine erhebliche Verbesserung im Vergleich zum Vorjahr zeigt. Das Unternehmen berichtete über einen Quartalsverlust von 195.000 USD, was besser ist als der Verlust von 2.769.000 USD im dritten Quartal 2023. Die Liquiditätsposition betrug zum 30. September 2024 18.442.000 USD.
Beachtliche Entwicklungen umfassen den Abschluss von Green Bond-Platzierungen, die 5.879.000 CAD und 340.000 USD einbrachten, neue Vereinbarungen mit Abraxas Power für Solarprojekte auf den Malediven (10 Mio. USD) und SolarBank für Batteriespeichersysteme (3 Mio. USD Darlehen) sowie Alpin Solar für das Sol Aurora-Projekt in Alberta.
- Significant EBITDA improvement to $1,038,000 in Q3 2024
- Strong cash position of $18.4M as of September 30, 2024
- Successful Green Bond placement raising over $5.8M CAD
- New strategic investments totaling over $10.7M in renewable energy projects
- Ranked 136th in Globe and Mail's Top Growing Companies with 314% three-year revenue growth
- Quarterly revenue decreased 12% year-over-year to $1,692,000
- Year-to-date revenue declined 14% to $6,157,000
- Net loss of $195,000 in Q3 2024
- Gross profit decreased 12% year-over-year to $1,587,000
All amounts in Canadian dollars unless otherwise stated
VANCOUVER, BC / ACCESSWIRE / December 4, 2024 / RE Royalties Ltd. (TSXV:RE)(OTCQX:RROYF) ("RE Royalties" or the "Company"), a global leader in renewable energy royalty-based financing, is pleased to announce the financial results for the third quarter ended September 30, 2024 ("Q3 2024"). For further information on these results please see the Company's Condensed Consolidated Interim Financial Statements and Management's Discussion and Analysis for Q3 2024, filed on SEDAR+ at www.sedarplus.com.
Key financial highlights for Q3 2024 include:
Quarterly revenue and income for the three months ended September 30, 2024, of
$1,692,000 , a decrease of$221,000 or12% over the similar quarter in the prior year. The decrease was due to lower finance income as a result of early repayment of loans from clients during the quarter.
Year-to-date revenue and income for the nine months ended September 30, 2024, of
$6,157,000 , a decrease of$1,018,000 or14% over the similar period in the prior year. The decrease was as a result of a one-time royalty buyout in the prior year of$1,564,000 , which was not applicable in the current period.
Quarterly gross profit, including changes in fair value of financial assets, of
$1,587,000 , a decrease of$218,000 or12% over the similar quarter in the prior year.
Year-to-date gross profit, including changes in fair value of financial assets, for the nine months ended September 30, 2024, of
$5,849,000 , a decrease of$1,095,000 or16% over the similar period in the prior year.
Quarterly Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA")1 for the three months ended September 30, 2024 of
$1,038,000 , an increase of$2,641,000 over the similar quarter in the prior year. This increase was the result of a$3,078,000 provision for expected credit loss in the prior year quarter, which was not applicable during the quarter. This provision also had a negative impact to the prior year-to-date EBITDA, prior year quarterly net loss, and prior year-to-date net loss (below).
Year-to-date Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA")1 for the nine months ended June 30, 2024 of
$3,359,000 , an increase of$1,461,000 or77% over the similar period in the prior year.
Quarterly net loss after income tax for the three months ended September 30, 2024 of
$195,000 , compared to a quarterly net loss after tax of$2,769,000 in the similar quarter in the prior year.
Year-to-date net loss after income tax for the nine months ended September 30, 2024 of
$193,000 , compared to a year to date net loss after income tax of$1,089,000 in the similar period in the prior year.
Cash and cash equivalents of
$18,442,000 , including restricted cash, as of September 30, 2024.
Key business highlights for Q3 2023 up to today include:
In August and November 2024, the Company completed a brokered and non-brokered private placement of Series 4 Green Bonds and issued an aggregate of 5,879 Canadian dollar denominated Green Bonds for aggregate gross proceeds of
$5,879,000 and 340 United States dollar denominated Green Bonds for aggregate gross proceeds of US$340,000.
In September 2024, the Company was recognized by the Globe and Mail for the second time as one of Canada's Top Growing Companies. The Company was ranked No. 136 on the 2024 Report on Business magazine's ranking and earned its spot with three-year revenue growth of
314% .
In November 2024, the Company entered into an agreement with Abraxas Power Maldinvest Ltd., a wholly-owned subsidiary of Abraxas Power Corp., an Ontario-based energy transition developer, to provide up to
$10 Million secured loan (the "Abraxas Loan") to support the construction of solar projects in the Maldives. The first tranche of$1.4 Million was advanced in mid November for the construction of two rooftop solar projects (the "Projects") with a combined generation capacity of 0.77 MWDC. The Projects are located at a hospital in Malé, the capital of the Maldives, and an island resort, approximately 50km north of Malé. They will generate revenue from power purchase agreements ("PPAs") for a term of up to 15 years. The Abraxas Loan will have an 18-month term and an interest rate of13% per annum on advanced funds, compounded monthly. The Company will receive a gross revenue royalty of2.0% on the Projects for the term of the PPAs.
In November 2024, the Company entered into an agreement with a wholly-owned subsidiary of SolarBank Corporation, an independent renewable energy project developer and owner, focusing on distributed and community solar projects in Canada and the United States, to support the construction of three 4.99 MW Battery Energy Storage System ("BESS") projects to be located in Ontario, Canada. The BESS have long term contracts with the Ontario Independent Electricity System Operator under the E-LT1 program. The Company provided a secured loan of
$3.0 Million with a 12-month term at an interest rate of11% per annum. The Company also received a0.40% royalty on the gross revenues generated for the life of the BESS, estimated at 20 years. The royalty rate will be reduced to0.25% if the Loan is repaid within the first six months.
In November 2024, the Company settled the outstanding loans with Switch Power Battery Operating Company ("SPOBOC") and with Switch Power Solar Operating Company ("SPOSOC"). Under the terms of the settlement the Company will retain the shares of SPOBOC and SPOSOC in full and final satisfaction of the outstanding debt. SPOBOC and SPOSOC became wholly owned subsidiaries of the Company. The Company currently owns and operates nine operating battery storage projects totalling 5.3MW/12.3 MWh, and a single operating 428 kWdc rooftop solar project in Ontario, Canada.
In December 2024, the Company entered into an agreement with Alpin Solar SA, a German-Romanian renewable energy company focused on the development, construction and operation of solar power plants globally. The Company provided a secured loan ("Alpin Loan") to support a
$6.3 million letter of credit ("LC") on behalf of Alpin to meet their security requirement with the Alberta Electricity System Operator for the 200 megawatt Sol Aurora Project located in Sturgeon County, Alberta, Canada. The Alpin Loan carries an annual interest rate of13% with an initial term of 12 months. The Company will also receive a gross revenue royalty of$0.25 per MWh of energy production from the Sol Aurora Project for the life of the project.
"Since our last quarterly update, our team has made tremendous progress with the completion of 3 new investments, deploying over
Q3 2024 Results Conference Call: December 6, 2024
Management will be hosting a third quarter conference call on December 6th, 2024 at 1:00pm PT (4:00pm ET) to discuss its Q3 2024 results. After opening remarks by management, there will be a question-and-answer session open to analysts and investors. Questions can be emailed in advance to investor@reroyalties.com
You can join the conference call at:
Date: Friday, December 6th, 2024
Time: 1:00pm PT (4:00pm ET)
Call in (audio only): +1 778-725-6875
Phone Conference ID: 946 197 577#
1Non-GAAP Performance Measures
This document contains presentation of Earnings Before Interest, Taxes, Depreciation, and Amortization ("EBITDA") as a non-GAAP financial measure. This measure may differ from similar measures used by and may not be comparable to such measures as reported by other companies. The Company believes that EBITDA is commonly used by certain investors, in conjunction with conventional IFRS measures, to enhance their understanding of the Company's performance. These measures have been derived from the Company's financial statements and applied on a consistent basis. Non-GAAP measures are intended to provide additional information, not to replace IFRS measures, and do not have a standard definition under IFRS and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. Further information on the composition and usefulness of each non-GAAP financial measure, including reconciliation to their most directly comparable IFRS measures, is included in the non-GAAP financial measures section of our MD&A, which are available on Sedar+ or on the Company's website.
About RE Royalties Ltd.
RE Royalties Ltd. acquires revenue-based royalties from renewable energy facilities and technologies by providing a non-dilutive financing solution to privately held and publicly traded companies in the renewable energy sector. RE Royalties is the first to apply this proven business model to the renewable energy sector. The Company currently owns over 100 royalties on solar, wind, hydro, battery storage, energy efficiency and renewable natural gas projects in Canada, United States, Mexico, and Chile. The Company's business objectives are to provide shareholders with a strong growing yield, robust capital protection, high rate of growth through re-investment and a sustainable investment focus.
For further information, please contact:
RE Royalties Ltd.
Talia Beckett, VP of Communications and Sustainability
T: (778) 374‐2000
E: taliabeckett@reroyalties.com
www.reroyalties.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange), nor any other regulatory body or securities exchange platform, accepts responsibility for the adequacy or accuracy of this release.
This news release shall not constitute an offer to sell or the solicitation of an offer to buy the securities in any jurisdiction, nor shall there be any offer or sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities being offered have not been approved or disapproved by any regulatory authority nor has any such authority passed upon the accuracy or adequacy of the short form base shelf prospectus or the prospectus supplement. The offer and sale of the securities has not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold in the United States or to United States persons absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws.
Forward Looking Statements
This news release includes forward-looking information and forward-looking statements (collectively, "forward-looking information") with respect to the Company and within the meaning of Canadian securities laws. Forward looking information is typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. This information represents predictions and actual events or results may differ materially. Forward-looking information may relate to the Company's future outlook and anticipated events or results and may include statements regarding the Company's financial results, future financial position, expected growth of cash flows, business strategy, budgets, projected costs, projected capital expenditures, taxes, plans, objectives, industry trends and growth opportunities including financing. The reader is referred to the Company's most recent filings on SEDAR+ as well as other information filed with the OTC Markets for a more complete discussion of all applicable risk factors and their potential effects, copies of which may be accessed through the Company's profile page at www.sedar.com.
SOURCE: RE Royalties Ltd.
View the original press release on accesswire.com
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