MPC Energy Solutions (MPCES) Q1 2025 earnings summary

Executive summary

• Achieved first-ever positive operating profit on a consolidated basis in Q1 2025, with improvements across all key metrics year-over-year despite operating fewer projects due to asset sales and divestments.

• Four projects operational in Mexico, El Salvador, and Colombia; largest project in Guatemala to connect in July 2025.

• Continued focus on maximizing shareholder value through project divestments, cost reductions, and selective development spending.

• Sale of Puerto Rico CHP plant completed in late 2024; proceeds to be fully collected by October 2025.

• Focus remains on connecting the 66 MW San Patricio project in Guatemala to the grid by July 2025, expected to significantly boost revenue and profit.

Financial highlights

• Proportionate revenue increased by 3% year-over-year to USD 2.9 million in Q1 2025; like-for-like revenue up 22%.

• Proportionate EBITDA rose 19% year-over-year to USD 2.1 million; like-for-like EBITDA up 38%.

• Consolidated group EBITDA increased 59% year-over-year to USD 996 thousand; group EBIT turned positive at USD 105 thousand.

• Free cash position at the end of March was USD 3.3 million, not including USD 1.6 million in pending proceeds from asset sales.

• Overhead costs reduced by 5% in Q1, with further reductions expected in subsequent quarters.

Outlook and guidance

• San Patricio project in Guatemala expected to deliver first power in July 2025, with full-year revenue projected above USD 8 million and EBITDA margins over 80%.

• 2025 projections (excluding Colombia) anticipate energy output of 140–145 GWh, revenue of USD 12.0–13.0 million, and EBITDA of USD 9.0–9.5 million (margin 70–80%).

• 2026 guidance: full-year operation of three core plants to yield 220 GWh output, USD 16.5 million revenue, and group EBITDA near USD 10 million.

• Guidance for 2025 is conservative, excluding Colombia and only partial-year contribution from Guatemala, suggesting potential upside.

• Core portfolio post-Colombia divestment (Guatemala, Mexico, El Salvador) projected to generate USD 1.5–2 million net profit annually, or about USD 500,000 per quarter.