Cloudberry Clean Energy (CLOUD) Q3 2024 earnings summary

Executive summary

• Munkhyttan wind farm in Sweden became operational ahead of schedule and on budget, now generating cash flow; Øvre Kvemma hydropower plant also completed and operational.

• Achieved realized power prices of NOK 0.47/kWh, about twice the Nordic system price, reflecting effective project location strategy.

• Strategic collaboration with Holmen Renewable Energy added 300 MW of onshore wind projects, raising the backlog above 1 GW.

• Completed a spin-out of the Captiva Digital platform and Kraftanmelding transaction, retaining a 32% stake and recognizing an NOK 8.3m gain.

• No health, safety, or environmental incidents reported during the quarter; avoided emissions totaled 33,974 tCO2e.

Financial highlights

• Q3 2024 consolidated revenue reached NOK 84m (up from NOK 74m), with EBITDA at NOK 13m (up from NOK 2m); proportionate revenue at NOK 88m and EBITDA at NOK 14m.

• Equity ratio stable at 69%; strong cash position with NOK 804m proportionate cash and NOK 706m consolidated cash.

• 75% of debt hedged or fixed at long-term rates below 4%, with proportionate interest-bearing debt at NOK 2,466m.

• Revenue growth supported by investment in Kraftanmelding and NOK 8.3m gain in the asset management segment.

• Run rate production at approximately 900 GWh, with Q3 power production at 145 GWh (wind 85 GWh, hydro 60 GWh).

Outlook and guidance

• Focus remains on profitable growth and project execution, with plans to triple the size of the production, development, and asset management portfolios over five years.

• Next major projects include Nees Hede solar in Denmark and Duvhällen in Sweden, both targeting FID soon.

• Battery storage projects are in the pipeline, with the first FID expected in H1 2025.

• Fully financed for remaining capex on projects in test production and Nees Hede; undrawn credit facility of NOK ~750m.

• Odal Wind farm restoration is a top priority, targeting near full operation by year-end 2024.