Clearway Energy, Inc. (CWEN) Bundle
A Brief History of Clearway Energy, Inc.
Clearway Energy, Inc. (CWEN) operates as a renewable energy company in the United States, focusing on the development and management of renewable energy projects. As of 2024, Clearway Energy has expanded its operations significantly, particularly in solar and wind energy sectors.
Financial Performance in 2024
For the three months ended September 30, 2024, Clearway Energy reported total operating revenues of $486 million, compared to $371 million for the same period in 2023. This represents an increase of $115 million year-over-year.
| Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Total Operating Revenues | $486 million | $371 million |
| Operating Income | $178 million | $94 million |
| Net Income | $27 million | $15 million |
| Earnings Per Share (Class A) | $0.31 | $0.03 |
| Earnings Per Share (Class C) | $0.31 | $0.03 |
Operational Metrics
During the same period, Clearway generated a total of 4,955 MWh from renewable sources, compared to 3,907 MWh in Q3 2023. The breakdown includes:
| Energy Source | MWh Generated (Q3 2024) | MWh Generated (Q3 2023) |
|---|---|---|
| Solar | 2,943 | 1,822 |
| Wind | 2,012 | 2,085 |
Segment Revenue Analysis
Clearway's revenues are segmented into Conventional Generation and Renewables. For the nine months ended September 30, 2024, the breakdown was as follows:
| Segment | Operating Revenues (2024) | Operating Revenues (2023) |
|---|---|---|
| Conventional Generation | $266 million | $342 million |
| Renewables | $849 million | $723 million |
Capital Expenditures and Liquidity
Clearway Energy's capital expenditures for the nine months ended September 30, 2024, amounted to $237 million, up from $143 million in the previous year. The liquidity position as of September 30, 2024, was approximately $1.27 billion, down from $1.51 billion at the end of 2023.
| Metrics | September 30, 2024 | December 31, 2023 |
|---|---|---|
| Cash and Cash Equivalents | $292 million | $535 million |
| Restricted Cash | $382 million | $516 million |
| Total Liquidity | $1.27 billion | $1.51 billion |
Debt and Interest Expense
As of September 30, 2024, Clearway's long-term debt stood at $6.73 billion, compared to $7.48 billion at year-end 2023. The interest expense for the nine months ended September 30, 2024, was $284 million, an increase from $202 million in the same period of 2023.
| Debt Metrics | September 30, 2024 | December 31, 2023 |
|---|---|---|
| Long-term Debt | $6.73 billion | $7.48 billion |
| Interest Expense | $284 million | $202 million |
Conclusion
Clearway Energy continues to demonstrate growth in renewable energy generation and operational efficiency, despite challenges in the conventional generation segment and changes in market conditions.
A Who Owns Clearway Energy, Inc. (CWEN)
Ownership Structure
As of September 30, 2024, Clearway Energy, Inc. owns approximately 58.10% of the economic interests in Clearway Energy LLC, while Clearway Energy Group LLC (CEG) holds the remaining 41.90%.
Major Shareholders
Clearway Energy, Inc. is publicly traded on the NYSE under the ticker CWEN. The major shareholders include:
- Clearway Energy Group LLC (CEG) - 41.90% economic interest
- Public and institutional investors - 58.10% economic interest
Financial Overview
For the three months ended September 30, 2024, the net income attributable to Clearway Energy, Inc. was $36 million. The weighted average number of common shares outstanding for Class A was 35 million and for Class C was 83 million.
Dividends
The dividends paid on the Class A and Class C common stock during the nine months ended September 30, 2024, are detailed in the table below:
| Quarter | Dividends per Class A Share | Dividends per Class C Share |
|---|---|---|
| Third Quarter 2024 | $0.4171 | $0.4171 |
| Second Quarter 2024 | $0.4102 | $0.4102 |
| First Quarter 2024 | $0.4033 | $0.4033 |
Stock Performance
As of September 30, 2024, the total stockholders' equity for Clearway Energy, Inc. was approximately $5.624 billion. The total liabilities and stockholders' equity amounted to $14.249 billion.
Recent Acquisitions and Investments
In 2024, Clearway Energy engaged in multiple acquisitions, including:
- Cedar Creek Wind Facility - $117 million acquired on April 16, 2024
- Texas Solar Nova 1 and 2 - Acquired for $112 million and $80 million respectively.
Debt Structure
As of September 30, 2024, the company had outstanding long-term debt as follows:
| Debt Type | Amount (in millions) | Interest Rate |
|---|---|---|
| 2028 Senior Notes | $850 | 4.750% |
| 2031 Senior Notes | $925 | 3.750% |
| 2032 Senior Notes | $350 | 3.750% |
Liquidity Position
As of September 30, 2024, Clearway Energy had total liquidity of approximately $1.27 billion, comprised of cash, restricted cash, and availability under the revolving credit facility.
Clearway Energy, Inc. (CWEN) Mission Statement
Clearway Energy, Inc. (CWEN) aims to be a leading provider of renewable energy solutions, focusing on sustainable energy production and delivery. The company is committed to generating clean, reliable, and affordable energy while ensuring operational excellence and maximizing value for its stakeholders.
Financial Performance Overview
As of September 30, 2024, Clearway Energy reported total operating revenues of $1,115 million, an increase from $1,065 million in the same period of 2023. The company achieved a net income attributable to Clearway Energy, Inc. of $85 million for the nine months ended September 30, 2024, compared to $42 million for the same period in 2023.
| Metric | 2024 (Nine Months) | 2023 (Nine Months) | Change |
|---|---|---|---|
| Total Operating Revenues | $1,115 million | $1,065 million | $50 million |
| Net Income Attributable to Clearway | $85 million | $42 million | $43 million |
| Operating Costs and Expenses | $882 million | $780 million | $102 million |
| Net Cash Provided by Operating Activities | $578 million | $496 million | $82 million |
Operational Highlights
Clearway Energy operates a diverse portfolio of renewable energy assets, including approximately 6,500 net MW of installed wind, solar, and battery energy storage systems, alongside 2,500 net MW of natural gas-fired generation facilities. The weighted average remaining contract duration for its offtake agreements is approximately 10 years.
Dividends and Shareholder Returns
Clearway Energy is committed to providing stable and growing dividends to its shareholders. The following table summarizes the dividends paid on the company’s Class A and Class C common stock:
| Quarter | Dividends per Class A Share | Dividends per Class C Share |
|---|---|---|
| Q3 2024 | $0.4171 | $0.4171 |
| Q2 2024 | $0.4102 | $0.4102 |
| Q1 2024 | $0.4033 | $0.4033 |
Environmental Commitment
Clearway Energy is dedicated to environmental stewardship and sustainability. The company operates under stringent environmental regulations and is committed to minimizing its carbon footprint while maximizing energy efficiency across its operations.
Recent Acquisitions and Growth Strategy
In 2024, Clearway Energy continued its growth strategy through strategic acquisitions, including:
- Cedar Creek Wind Facility for $117 million
- Texas Solar Nova 2 for $112 million
- Victory Pass and Arica solar and BESS facilities, with additional payments totaling $165 million
The total liquidity of Clearway Energy as of September 30, 2024, was approximately $1.27 billion, reflecting its strong financial position to support ongoing and future projects.
Debt and Interest Obligations
As of September 30, 2024, Clearway Energy reported long-term debt of $6.732 billion and an interest expense of $284 million for the nine months ended September 30, 2024.
Market Presence
Clearway Energy operates predominantly in the renewable sector, with a focus on solar, wind, and battery storage. The company is positioned to benefit from the increasing demand for clean energy solutions in the U.S.
In summary, Clearway Energy, Inc. (CWEN) is poised for continued growth and commitment to sustainability, providing value to its shareholders while addressing the challenges of energy transition.
How Clearway Energy, Inc. (CWEN) Works
Overview of Operations
Clearway Energy, Inc. operates in two primary segments: Conventional Generation and Renewables. The Conventional Generation segment includes natural gas and other conventional power plants, while the Renewables segment focuses on solar, wind, and battery energy storage systems (BESS).
Financial Performance
For the three months ended September 30, 2024, Clearway Energy reported total operating revenues of $486 million, up from $371 million in the same period of 2023. The increase was primarily driven by a rise in revenues from the Renewables segment due to new acquisitions and operational efficiencies.
Revenue Breakdown
| Segment | Q3 2024 Revenue (in millions) | Q3 2023 Revenue (in millions) | Change (in millions) |
|---|---|---|---|
| Conventional Generation | $102 | $132 | ($30) |
| Renewables | $384 | $239 | $145 |
| Total Operating Revenues | $486 | $371 | $115 |
Operating Costs
Operating costs for Q3 2024 totaled $308 million, compared to $277 million in Q3 2023. The increase in costs was attributed to higher operations and maintenance expenses due to recent acquisitions.
Net Income
Clearway Energy reported a net income of $27 million for Q3 2024, compared to a net income of $15 million for Q3 2023. The net income attributable to Clearway Energy, Inc. was $36 million for Q3 2024, an increase from $4 million in the prior year.
Segment Performance Metrics
| Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Solar MWh Generated (in thousands) | 2,943 | 1,822 |
| Wind MWh Generated (in thousands) | 2,012 | 2,085 |
| Renewables MWh Generated (in thousands) | 4,955 | 3,907 |
| Conventional MWh Generated (in thousands) | 445 | 551 |
Balance Sheet Highlights
As of September 30, 2024, Clearway Energy's total assets amounted to $14,249 million, with total liabilities of $8,625 million, resulting in total stockholders' equity of $5,624 million.
Cash Flow Analysis
For the nine months ended September 30, 2024, Clearway Energy reported net cash provided by operating activities of $578 million. Cash used in investing activities was $674 million, while cash used in financing activities was $281 million.
Dividends
In Q3 2024, Clearway Energy declared dividends of $0.4171 per share for both Class A and Class C common stock. The dividends reflect the company's commitment to returning value to its shareholders while maintaining operational growth.
Future Outlook
Clearway Energy continues to focus on expanding its renewable energy portfolio through acquisitions and operational improvements. The company aims to leverage its strong cash flow generation capabilities to support ongoing investments in sustainable energy solutions.
How Clearway Energy, Inc. (CWEN) Makes Money
Revenue Segments
Clearway Energy, Inc. generates revenue primarily through two segments: Conventional Generation and Renewables.
Conventional Generation
The Conventional Generation segment includes natural gas-fired power plants. For the nine months ended September 30, 2024, this segment reported:
| Metric | Q3 2024 (in millions) | Q3 2023 (in millions) |
|---|---|---|
| Operating Revenues | $266 | $342 |
| Energy Revenue | $67 | $61 |
| Capacity Revenue | $195 | $270 |
| Operating Income | $69 | $121 |
Renewables
The Renewables segment includes solar, wind, and battery energy storage systems (BESS). This segment has seen significant growth due to acquisitions and increased energy production. For the nine months ended September 30, 2024, the Renewables segment reported:
| Metric | Q3 2024 (in millions) | Q3 2023 (in millions) |
|---|---|---|
| Operating Revenues | $849 | $723 |
| Energy Revenue | $870 | $753 |
| Capacity Revenue | $44 | $15 |
| Operating Income | $195 | $194 |
Disaggregated Revenue
For the three months ended September 30, 2024, the disaggregated revenues from contracts with customers were as follows:
| Segment | Energy Revenue | Capacity Revenue | Other Revenues | Total Revenue |
|---|---|---|---|---|
| Conventional Generation | $35 million | $65 million | $3 million | $102 million |
| Renewables | $315 million | $22 million | $20 million | $384 million |
Operating Costs
Operating costs for the three months ended September 30, 2024, were as follows:
| Cost Category | Q3 2024 (in millions) | Q3 2023 (in millions) |
|---|---|---|
| Cost of Operations | $135 | $134 |
| Depreciation, Amortization, and Accretion | $164 | $133 |
| General and Administrative Expenses | $9 | $9 |
Net Income
Net income attributable to Clearway Energy, Inc. for the three months ended September 30, 2024, was:
| Period | Net Income (in millions) | Earnings Per Share |
|---|---|---|
| Q3 2024 | $36 | $0.31 |
| Q3 2023 | $4 | $0.03 |
Acquisition Impact
Recent acquisitions have significantly impacted revenue growth in the Renewables segment. Notable acquisitions include:
- Daggett 2 and Daggett 3 solar facilities (operational since 2023-2024)
- Texas Solar Nova 1 and 2 (acquired in December 2023 and March 2024)
- Cedar Creek Wind Facility (acquired in April 2024)
Financial Position
As of September 30, 2024, Clearway Energy’s total assets and liabilities are detailed below:
| Category | Amount (in millions) |
|---|---|
| Total Assets | $14,249 |
| Total Liabilities | $10,254 |
Liquidity
Clearway Energy had a liquidity position of approximately $1.27 billion as of September 30, 2024, compared to $1.51 billion at the end of 2023. This includes:
| Liquidity Component | Amount (in millions) |
|---|---|
| Cash and Cash Equivalents | $292 |
| Restricted Cash | $382 |
| Revolving Credit Facility Availability | $592 |
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Article updated on 8 Nov 2024
Resources:
- Clearway Energy, Inc. (CWEN) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Clearway Energy, Inc. (CWEN)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Clearway Energy, Inc. (CWEN)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.