In order to satisfy the requests of bondholders, SunEdison yieldco TerraForm Power has released financial information for the fully year 2015 and the first quarter of 2016, showing that it continued to post losses even as project acquisitions slowed to only 20 MW in the first quarter of 2016.
TerraForm has not filed formal financial results since last November, and as such these results show an insight into the workings of the company in the period leading up to the bankruptcy of its sponsor, SunEdison.
Throughout 2015 TerraForm Power continued to snatch up projects, adding 1.05 GW of mostly wind projects to its portfolio in the fourth quarter alone, to reach 2.97 GW of wind and solar by the end of 2015.
During this quarter the company drew $655 million from its revolving debt facilities and brought in $196 million in cash from other sources, but still closed the quarter with $91 million less in cash, largely due to $865 million in project acquisitions.
The company’s preliminary full year 2015 results show some of the impact of rapid acquisitions, with $467-473 million in revenue, but a net loss of $181-203 million. The company also estimates $224-$234 million in cash available for distribution (CAFD)
As the Vivint acquisition was delayed and SunEdison’s bankruptcy loomed in Q1 of 2016, TerraForm’s acquisition spree slowed down. The result is that the company added only 20 MW of wind and solar during the quarter, to bring its total assets to 2.99 GW.
During Q1 the company basically broke even in terms of cash position, with $71 million in project distributions paying for $35 million in acquisitions and $34 million in debt service.
Preliminary Q1 financial results were also an improvement, with $151-159 million in revenue estimated, but still a net loss of $32-46 million, as well as $58-$66 million in CAFD.
These revelations about the position of TerraForm Power comes as a bankrupt SunEdison under new leadership is actively seeking to relinquish its stake in its two yieldcos, TerraForm Power and TerraForm Global.
TerraForm Power also recently passed a stockholder protection rights plan to prevent Brookfield and Appaloosa, which are attempting a takeover, from blocking other parties who might seek to buy the company.