Hannon Armstrong Sustainable Infrastructure Capital, Inc. (HASI) Bundle
A Brief History of Hannon Armstrong Sustainable Infrastructure Capital, Inc. (HASI)
Company Formation and Initial Public Offering
Hannon Armstrong Sustainable Infrastructure Capital, Inc. (HASI) was founded in 2013. The company focuses on sustainable infrastructure projects, primarily in the energy and transportation sectors. In April 2013, HASI went public, trading on the New York Stock Exchange under the ticker symbol 'HASI'.
Financial Performance and Growth
As of the end of fiscal year 2022, Hannon Armstrong reported a total revenue of $168.4 million, a notable increase from $139.9 million in 2021. The company's net income attributable to common stockholders for 2022 was $35 million.
| Year | Total Revenue (in millions) | Net Income (in millions) | Total Assets (in millions) |
|---|---|---|---|
| 2020 | 127.6 | 30.0 | 1,329.0 |
| 2021 | 139.9 | 32.0 | 1,500.0 |
| 2022 | 168.4 | 35.0 | 1,800.0 |
Capital Investments and Sustainable Projects
HASI specializes in funding for projects that improve energy efficiency and promote renewable energy. The company has financed over $3.2 billion in sustainable infrastructure projects since its inception. These include more than 300 projects across the United States.
Dividends and Shareholder Returns
HASI has consistently rewarded its shareholders with dividends. The annual dividend for 2022 was $1.6 per share, reflecting a 7.0% increase from the previous year. In 2021, the company declared a total dividend of $1.5 per share.
| Year | Annual Dividend (in $) | Dividend Increase (%) |
|---|---|---|
| 2020 | 1.40 | - |
| 2021 | 1.50 | 7.1 |
| 2022 | 1.60 | 6.7 |
Market Capitalization and Stock Performance
As of October 2023, Hannon Armstrong's market capitalization is approximately $2.5 billion. The stock performance over the past five years has shown significant growth, with a return of approximately 90% since 2018.
Future Outlook and Strategic Initiatives
Looking ahead, HASI aims to expand its portfolio by focusing on climate resilience and sustainable energy markets, positioning itself to capitalize on the growing demand for renewable energy solutions. The company anticipates a compounded annual growth rate (CAGR) of 12% in its investment portfolio over the next five years.
Partnerships and Collaborations
HASI has established partnerships with various organizations, including government agencies and private entities, to support its infrastructure initiatives. The company frequently collaborates on projects that enhance energy efficiency in commercial and residential properties.
Conclusion of Chapter
Through a robust combination of financial performance, sustainable project investments, and strategic foresight, Hannon Armstrong Sustainable Infrastructure Capital, Inc. has positioned itself as a key player in the sustainable infrastructure financing space.
A Who Owns Hannon Armstrong Sustainable Infrastructure Capital, Inc. (HASI)
Major Shareholders
As of the latest data available for 2023, the ownership structure of Hannon Armstrong Sustainable Infrastructure Capital, Inc. (HASI) is comprised of institutional investors, individual shareholders, and company insiders. The top major shareholders are as follows:
| Shareholder | Ownership Percentage | Shares Owned | Type of Investor |
|---|---|---|---|
| The Vanguard Group, Inc. | 10.54% | 6,061,490 | Institutional |
| BlackRock, Inc. | 9.61% | 5,467,116 | Institutional |
| Invesco Ltd. | 7.23% | 4,134,255 | Institutional |
| State Street Corporation | 4.89% | 2,790,321 | Institutional |
| FMR LLC (Fidelity) | 4.81% | 2,750,000 | Institutional |
| Insider Holdings | 1.85% | 1,055,000 | Insiders |
Institutional Ownership Summary
Institutional ownership plays a significant role in the capital structure of Hannon Armstrong. As of the end of Q3 2023, institutional investors hold approximately 66% of the total shares, which signifies a strong level of confidence in the company's sustainable infrastructure strategies.
| Institutional Investor | Total Shares Held | Ownership Percentage |
|---|---|---|
| The Vanguard Group, Inc. | 6,061,490 | 10.54% |
| BlackRock, Inc. | 5,467,116 | 9.61% |
| Invesco Ltd. | 4,134,255 | 7.23% |
| State Street Corporation | 2,790,321 | 4.89% |
| FMR LLC (Fidelity) | 2,750,000 | 4.81% |
| Others | 14,118,134 | 29.92% |
Insider Ownership
Insiders of Hannon Armstrong also hold a notable percentage of shares. As of the latest reports, insiders account for approximately 1.85% of the total shares. The list of insiders and their respective holdings is summarized below:
| Name | Position | Shares Owned |
|---|---|---|
| Jeffrey W. Hannon | CEO | 400,000 |
| Charlotte A. Haines | CFO | 250,000 |
| Clifford A. Hodge | COO | 200,000 |
| Others | Various | 205,000 |
Recent Stock Performance
As of October 2023, Hannon Armstrong's stock performance reflects the strong interest in sustainable investments. The company’s stock price stood at approximately $38.50, with a market capitalization of around $2.2 billion. The year-to-date performance shows an increase of approximately 15%.
| Metric | Value |
|---|---|
| Current Stock Price | $38.50 |
| Market Capitalization | $2.2 billion |
| Year-to-Date Performance | +15% |
Conclusion on Ownership Structure
The ownership of Hannon Armstrong Sustainable Infrastructure Capital, Inc. is characterized by a significant percentage of institutional and insider ownership, reflecting confidence in the company’s strategic direction towards sustainable infrastructure investments. This ownership structure is crucial for the ongoing financial health and growth potential of the company.
Hannon Armstrong Sustainable Infrastructure Capital, Inc. (HASI) Mission Statement
Corporate Purpose
Hannon Armstrong Sustainable Infrastructure Capital, Inc. aims to accelerate the transition to a sustainable, low-carbon economy by investing in essential sustainable infrastructure projects. The company focuses on investments that enhance energy efficiency, renewable energy, and sustainable infrastructure.
Business Model
The business model revolves around providing capital for projects that deliver measurable environmental benefits. This includes financing for renewable energy projects and energy efficiency projects across various sectors.
Financial Highlights
As of the third quarter of 2023, Hannon Armstrong reported total assets of approximately $3.2 billion. The company's revenue for the year was around $300 million, reflecting a year-over-year growth of 12%.
| Financial Metric | Q3 2023 | Year 2022 | Growth (%) |
|---|---|---|---|
| Total Assets | $3.2 billion | $2.85 billion | 12% |
| Total Revenue | $300 million | $267 million | 12% |
| Net Income | $45 million | $40 million | 12.5% |
Strategic Goals
- Invest in Energy Efficiency: Targeting capital deployment towards projects improving energy consumption.
- Expand Renewable Energy Portfolio: Pursue opportunities in solar, wind, and other renewable energy projects.
- Enhance Shareholder Value: Focus on delivering stable returns and increasing dividend distributions.
Impact Metrics
Hannon Armstrong measures its impact through various metrics including greenhouse gas emissions reduction and energy savings. As of 2023, the company reported:
| Impact Metric | Amount |
|---|---|
| Greenhouse Gas Emissions Reduced | 10 million metric tons CO2 equivalent |
| Energy Saved | 12 trillion BTUs |
| Number of Projects Financed | 250+ |
Commitment to Sustainability
Hannon Armstrong is committed to maintaining a sustainable business model while focusing on:
- Environmental Stewardship: Investments that contribute to environmental preservation.
- Social Responsibility: Engaging with communities to deliver economic benefits and social equity.
- Governance: Adopting robust governance practices to ensure transparency and accountability.
Conclusion of Mission
The mission of Hannon Armstrong Sustainable Infrastructure Capital, Inc. is to play a pivotal role in the transition to a low-carbon economy. Through dedicated investments in sustainable infrastructure, the company aims to generate both financial returns and significant environmental impact.
How Hannon Armstrong Sustainable Infrastructure Capital, Inc. (HASI) Works
Business Model
Business Model
Hannon Armstrong Sustainable Infrastructure Capital, Inc. operates primarily in the sustainable infrastructure sector, focusing on investments that facilitate the transition to a more sustainable economy. The company utilizes a REIT structure to provide investors exposure to sustainable infrastructure investments that deliver both financial returns and environmental benefits.
Investment Strategy
The company invests in three main areas:
- Energy Efficiency Projects
- Renewable Energy Generation
- Sustainable Infrastructure Projects
As of Q2 2023, HASI had approximately $1.6 billion in total assets and a portfolio diversification across over 150 projects.
Financing Structure
HASI employs various financing mechanisms including:
- Equity Investments
- Debt Financing
- Project-Level Financing
In Q2 2023, the company reported total debt of $897 million, with a weighted average interest rate of 3.67%.
Performance Metrics
HASI has demonstrated significant growth in key performance metrics:
| Metric | Q2 2022 | Q2 2023 |
|---|---|---|
| Revenue | $88 million | $106 million |
| Net Income | $18 million | $24 million |
| Adjusted Funds from Operations (AFFO) | $33 million | $42 million |
Market Position
As of the end of Q2 2023, Hannon Armstrong holds a significant position in the sustainable infrastructure market:
- Market Capitalization: $1.9 billion
- Dividend Yield: 5.2%
- Growth Rate: 15% CAGR over the last five years
Regulatory Environment
HASI operates within a regulatory framework that supports sustainable investments. Key regulations include:
- Renewable Energy Standards
- Energy Efficiency Resource Standards
- Federal and State Tax Incentives, including the Investment Tax Credit (ITC)
Risk Management
HASI employs various strategies to manage risk, including:
- Diverse Project Portfolio
- Long-term Contracts with stable cash flows
- In-depth due diligence on project feasibility and sustainability impacts
Recent Developments
In 2023, Hannon Armstrong expanded its operations through:
- Acquisition of a portfolio of solar projects valued at $270 million
- Partnerships with public and private entities to enhance the reach of its sustainable initiatives
How Hannon Armstrong Sustainable Infrastructure Capital, Inc. (HASI) Makes Money
Investment Strategy
Hannon Armstrong Sustainable Infrastructure Capital, Inc. focuses on sustainable infrastructure investments. Its primary revenue streams come from investing in renewable energy projects and energy efficiency upgrades. As of the end of the second quarter of 2023, HASI had a total investment portfolio of approximately $3.5 billion.
Sources of Revenue
- Interest income from loans and investments
- Asset management fees
- Incentives from tax credits for renewable energy projects
Financial Performance
For the second quarter of 2023, HASI reported revenue of $68.9 million, an increase from $64.5 million in the same quarter of 2022. Net income attributable to common stockholders was $15.4 million, compared to $12.1 million in Q2 2022.
Key Financial Metrics
| Metric | Q2 2023 | Q2 2022 |
|---|---|---|
| Total Revenue | $68.9 million | $64.5 million |
| Net Income | $15.4 million | $12.1 million |
| Assets Under Management | $5.0 billion | $4.5 billion |
Investment in Renewable Energy
HASI's investments are primarily in renewable energy sectors, including solar and wind. As of mid-2023, the company had invested over $2.9 billion in solar and wind projects combined.
Tax Incentives
The company benefits significantly from federal tax incentives designed to promote renewable energy. In 2022, these incentives resulted in tax credits amounting to approximately $28 million for HASI.
Market Trends
As of 2023, the renewable energy market in the United States is projected to grow at a CAGR of 7.9% from 2023 to 2030. This growth directly benefits HASI's investment strategy and financial performance.
Funding Sources
- Debt financing from banks and financial institutions
- Equity financing from public markets
- Green bonds issuance
Future Projections
HASI projects a revenue growth rate of approximately 10% annually as it continues to expand its investment portfolio in sustainable infrastructure.
Risks and Challenges
The company faces risks including regulatory changes, interest rate fluctuations, and market competition. For instance, interest rate hikes could impact borrowing costs and overall financial performance.
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