Boralex (BLX) Investor Day 2025 summary

Strategic direction and growth targets

• Targeting to double installed capacity to 7 GW by 2030, leveraging an 8 GW organic project pipeline across Canada, France, the U.K., and the U.S., with a focus on organic growth and selective M&A as a complement.

• Financial targets for 2030 include 12%-14% CAGR in operating income, 7%-9% in consolidated EBITDA(A), and 8%-10% in discretionary cash flows per share.

• Plans to increase the weighted average remaining PPA/contract duration from 11 years in 2024 to 14 years in 2030, enhancing revenue visibility and supporting competitive financing.

• Maintains a net-zero trajectory by 2050, integrating CSR and risk management into strategic planning.

• Focuses on four key markets: Canada, France, the United States, and the United Kingdom, aiming to double company size every five years.

Financial strategy and capital allocation

• Growth plan requires $6.8–8 billion in investments for projects COD before 2030, with about $5 billion funded via project debt.

• Capital recycling is a core funding strategy, targeting CAD 900 million, leveraging valuation gaps between private and public markets, and emphasizing partnerships for large-scale projects.

• Dividend payout ratio set at 20%-40% of AFFO or discretionary cash flows, with minimal near-term equity issuance and up to $500 million earmarked if needed.

• Minimum project IRR remains at 10%-12%, adjusted for cost of capital, region, and technology.

• Outperformed peers in cash flow growth and invested capital returns from 2020–2024.

Market and operational focus

• Québec: Aims to capture one-third of new wind market opportunities, leveraging strong partnerships with First Nations, local communities, and government.

• Ontario: Focus on battery storage and wind, with all major projects featuring Indigenous partnerships, long-term contracts, and eligibility for 30% investment tax credits.

• U.S.: Prioritizing high-quality solar and wind projects in New York and other core markets, with disciplined project selection and potential for strategic M&A.

• U.K.: Ambitious growth in wind, solar, and battery storage, supported by government targets, M&A, and leveraging French expertise.

• France: Mature platform with leadership in onshore wind, focus on repowering, solar, and dynamic energy solutions, including corporate and utility PPAs.