Terraform Power, Inc. (TERP) SEC Filing 10-K Annual report for the fiscal year ending Wednesday, December 31, 2014

TerraForm Power, Inc. Reports Fourth Quarter 2014 Financial Results

Bethesda, MD, Feb. 18, 2015 (GLOBENEWSWIRE) – TerraForm Power, Inc. (Nasdaq: TERP), a global owner and operator of clean energy power plants, today reported fourth quarter 2014 financial results and reaffirmed its 2015 guidance.

“TerraForm Power completed the year with strong operational and financial performance” said Carlos Domenech, Chief Executive Officer. “During the quarter, we delivered on our growth strategy by executing accretive third-party acquisitions, accelerating drop downs, and doubling our drop down inventory. As a result, we are pleased to deliver a 20% dividend increase to our shareholders this quarter. Given this significant momentum and the current run rate of our 1.5 GW portfolio, we believe we are well positioned to execute on our 2015 guidance and long-term growth trajectory.”

Q4 Financial Results

TerraForm Power reported revenue of $43 million, adjusted EBITDA of $34 million, and CAFD of $17 million in the fourth quarter, reflecting the positive impact of acquisitions and drop downs during the quarter. These figures are consistent with expected seasonality in the production of solar energy during the fall and winter months in North America.

Q4 Dividend Increase

On December 22, 2014, TerraForm Power announced that its Board of Directors declared a fourth quarter dividend for TerraForm Power’s Class A common stock of $0.27 per share, or $1.08 per share on an annualized basis. This reflects a 20% increase from the third-quarter dividend of $0.2257 per share, or $0.90 per share on an annualized basis. The dividend is payable on March 16, 2015 to shareholders of record as of March 2, 2015.

Third Party Acquisitions

On November 4, 2014, TerraForm Power completed the purchase of the operating portfolio of Hudson Energy Solar Corporation. This added approximately 25 MW of solar power plants to the Company’s portfolio.

On December 18, 2014, TerraForm Power completed the acquisition of approximately 78 MW of distributed generation solar power plants from the Capital Dynamics U.S. Solar Energy Fund, L.P.

In addition, on January 29, 2015, TerraForm Power and SunEdison completed the acquisition of First Wind Holdings, LLC. This transformative transaction diversified TerraForm Power’s operating portfolio by adding 521 MW of contracted wind and solar power plants to its generation fleet. Following the First Wind acquisition, TerraForm Power’s drop down inventory totaled 3.3 GW. This represents a doubling of the call right list since the Company’s third quarter 2014 earnings announcement (1.6 GW), and a tripling of the call right list since its July 23, 2014 initial public offering.

Accelerated Q4 Drop Downs

On November 4, 2014, TerraForm Power completed the drop down of 50 MW of solar power plants in the United Kingdom from SunEdison. Further, the Company also completed the drop down of an additional 26 MW of U.S. distributed generation power plants in the fourth quarter. These transactions illustrate strong execution of drop downs on an accelerated basis from SunEdison.