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Company announces quarterly financial results and a 730 MW year-over-year increase in fleet capacity
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Key Takeaways
New York, NY, May 16, 2023 \u2014 Greenbacker Renewable Energy Company LLC (\u201cGreenbacker,\u201d \u201cGREC,\u201d or the \u201cCompany\u201d), an independent power producer and a leading climate-focused investment manager, has announced financial results1 for the first quarter of 2023, as well as substantial year-over-year expansion that included closing on its largest solar-plus-storage project to date.
Fleet added nearly 730 MW of additional clean energy capacity and over 50 new assets
Greenbacker\u2019s clean energy fleet grew by 52 assets, on a year-over-year basis, increasing the Company\u2019s total project count to 456 (including both operating and pre-operational assets).2
\n\n\n\nThis expansion represented nearly 730 MW of additional total clean energy\u2013generating and storage capacity across the country. As of March 31, 2023, Greenbacker was conducting business in 32 states, Canada, Puerto Rico, and Washington, DC.
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Company closed on largest solar-plus-storage project to date
This growth encompassed another clean energy milestone for Greenbacker, which closed on the acquisition of its largest solar-plus-storage asset to date.
\n\n\n\nWhen completed, the pre-operational Lincoln Solar project, will have a solar energy\u2013generating capacity of 80 MWac / 104 MWdc. Its battery storage system will have a total power capacity of 50 MW and be able to store up to 200 megawatt-hours (\u201cMWh\u201d) of clean energy onsite that it can deploy during times of peak demand or power outage, contributing to lower energy costs for consumers and improving grid resiliency.
\n\n\n\nWith the project, located in Wyoming, Greenbacker continued to expand its clean energy presence in the Western region, as well as its co-located solar-plus-storage fleet\u2014which now represents over 550 MWh of energy storage across the country.
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Portfolio acquisition more than doubled solar fleet in Wisconsin, expanded solar footprint into Iowa
GREC continued to expand its solar footprint during the quarter, closing on nine assets in Wisconsin as part of a recently acquired 52 MW pre-operational portfolio with a project footprint spanning four states. These projects, which have all secured long-term PPAs, represent approximately 28 MW of clean-power production capacity, more than doubling the Company\u2019s solar capacity in the state, which now tops 48 MW.
\n\n\n\nThe portfolio also includes solar assets in Colorado and Maryland, boosting Greenbacker\u2019s solar portfolio in the respective states to 118 MW and 40 MW, as well as the Company\u2019s first solar project in Iowa: the 2 MW Maple City solar project.
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Charles Wheeler, CEO of Greenbacker, said:
\n\n\n\n\n\u201cGreenbacker continues to expand into new geographies and set new Company records, bringing more clean power to consumers, making further strides toward a clean energy future, and bringing additional attractive energy transition investment opportunities to market.\u201d
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Operational fleet continued to expand, supporting significant production increase
The power-production capacity of Greenbacker\u2019s operating fleet of clean energy projects increased by 268 MW, representing year-over-year growth of 24%, as the Company moved under-construction projects into commercial operation and acquired new operational projects.
\n\n\n\nWith this capacity growth, the Company\u2019s fleet generated over 576,000 MWh of total clean power during the quarter, a 14% year-over-year increase that showcased continued production growth.
\n\n\n\nThe table below summarizes the year-over-year expansion of Greenbacker\u2019s portfolio.
| GREC Portfolio Metrics* | March 31, 2023 | March 31, 2022 | YoY Increase (total) | YoY increase (%) |
| Power-production capacity of operating fleet at end of period | 1.4 GW | 1.1 GW | 268 MW | 24% |
| Power-generating capacity of pre-operational fleet at end of period | 2.0 GW | 1.5 GW | 461 MW | 30% |
| Total power-generating capacity of fleet at end of period | 3.4 GW | 2.6 GW | 729 MW | 28% |
| YTD total energy produced at end of period (MWh) | 576,355 | 505,667 | 70,688 | 14% |
| Total number of fleet assets at end of period | 456 | 404 | 52 | 13% |
Operating revenue of over $41 million in the quarter, driven by energy revenue
Greenbacker has also announced discrete first quarter financial information for its Independent Power Producer (\u201cIPP\u201d) and Investment Management (\u201cIM\u201d) business segments, the latter of which includes Greenbacker Capital Management (\u201cGCM\u201d) and its investment management platform.
\n\n\n\nOver the period, Greenbacker generated total operating revenue of $41.2 million, primarily from energy revenue within the IPP segment. Energy revenue was $37.8 million and included $28.8 million from our long-term PPAs.
\n\n\n\nIn terms of PPA revenue, the Company\u2019s operating solar fleet, which included 298 operating assets comprising 958 MW of capacity, generated $12.8 million from over 255,000 MWh of production. GREC\u2019s operating wind fleet, which included 16 operating projects comprising 386 MW of capacity, generated $16.2 million from more than 305,000 MWh of production.
\n\n\n\nAdjusted EBITDA was $5.4 million for the quarter, largely driven by Adjusted EBITDA within the IPP segment of $15.6 million. Direct operating costs associated with capital raise efforts for certain of IM\u2019s managed funds in their early stages and corporate expenses offset IPP results. The net loss attributable to Greenbacker was approximately $17.0 million.
\n\n\n\nFunds From Operations (\u201cFFO\u201d) was $(3.8) million for the period and represents the $5.4 million of Adjusted EBITDA less cash interest expense and distributions to our tax equity investors.
| For the three months ended March 31, 2023 | In millions (unaudited) |
| Select Financial Information | |
| Total Revenue | $ 36.2 |
| Total operating revenue* | $ 41.2 |
| Net loss attributable to Greenbacker | $ (17.0) |
| Adjusted EBITDA\u2020 | $ 5.4 |
| FFO\u2020 | $ (3.8) |
Over $58 million capital raised in investment vehicles managed by GCM; AUM increased to approximately $3.1 billion
Greenbacker\u2019s IM business segment continued to raise substantial additional capital from retail and institutional investors during the first quarter. The IM segment raised $58.1 million of new equity capital, on which GCM is entitled to collect management fees, bringing AUM3 to approximately $3.1 billion at the end of the period.
\n\n\n\nAs of March 31, 2023, GCM served as the investment manager to four climate-focused funds. As a result of one of these funds (Greenbacker Renewable Energy Company II, LLC) reaching the $150 capital deployment milestone during the first quarter, management fees on that fund are now payable to GCM.
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Company\u2019s investments abate carbon emissions, conserve water, and support green jobs
Greenbacker\u2019s renewable energy and energy transition investment activities continued to deliver on ESG metrics. As of March 31, 2023, the Company\u2019s clean energy assets had cumulatively produced over 6.7 million MWh of clean power since January 2016, abating nearly 4.8 million metric tons of carbon.4
\n\n\n\nThe Company\u2019s clean energy projects have saved nearly 4.5 billion gallons of water,5 compared to the amount of water needed to produce the same amount of power by burning coal, and its business activities will sustain more than 5,900 green jobs.6
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David Sher, Director of Greenbacker, said:
\n\n\n\n\n\n\n\n\n\u201cWith the high quality of the cashflows generated by our investments\u2014and the historic tailwinds our industry continues to experience\u2014we believe Greenbacker remains well positioned to continue delivering ESG metrics, delivering value for our shareholders, and delivering on our mission to empower a sustainable world.\u201d
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Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. Although Greenbacker believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. Greenbacker undertakes no obligation to update any forward-looking statement contained herein to conform to actual results or changes in its expectations.
\n\n\n\nNon-GAAP Financial Measures
\n\n\n\nIn addition to evaluating the Company\u2019s performance on a U.S. GAAP basis, the Company now utilizes certain non-GAAP financial measures to analyze the operating performance of our segments as well as our consolidated business. Each of these measures should not be considered in isolation from or as superior to or as a substitute for other financial measures determined in accordance with U.S. GAAP, such as net income (loss) or operating income (loss). The Company uses these non-GAAP financial measures to supplement its U.S. GAAP results in order to provide a more complete understanding of the factors and trends affecting its operations.
\n\n\n\nAdjusted EBITDA
\n\n\n\nAdjusted EBITDA is a non-GAAP financial measure that the Company uses as a performance measure, as well as for internal planning purposes. We believe that Adjusted EBITDA is useful to management and investors in providing a measure of core financial performance adjusted to allow for comparisons of results of operations across reporting periods on a consistent basis, as it includes adjustments relating to items that are not indicative on the ongoing operating performance of the business.
\n\n\n\nAdjusted EBITDA is a performance measure used by management that is not calculated in accordance with U.S. GAAP. Adjusted EBITDA should not be considered in isolation from or as superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP. Additionally, our calculation of Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies.
\n\n\n\nFunds From Operations
\n\n\n\nFFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing operating performance of the business. FFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment.
\n\n\n\nThe Company believes that the analysis and presentation of FFO will enhance our investor\u2019s understanding of the ongoing performance of our operating business. The Company will consider FFO, in addition to other GAAP and non-GAAP measures, in assessing operating performance and as a proxy for growth in distribution coverage over the long term.
\n\n\n\nFFO should not be considered in isolation from or as a superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP.
\n\n\n\nGeneral Disclosure
\n\n\n\nThis information has been prepared solely for informational purposes and is not an offer to buy or sell or a solicitation of an offer to buy or sell any security, or to participate in any trading or investment strategy. The information presented herein may involve Greenbacker\u2019s views, estimates, assumptions, facts, and information from other sources that are believed to be accurate and reliable and are, as of the date this information is presented, subject to change without notice.
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Non-GAAP Reconciliations
\n\n\n\nAdjusted EBITDA
\n\n\n\nThe following table reconciles Net loss attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA:
\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2023/05/adjusted-EBITDA.png\")
The Company defines Adjusted EBITDA as net income (loss) before: (i) interest expense; (ii) income taxes; (iii) depreciation expense; (iv) amortization expense (including contract amortization); (v) accretion; (vi) amounts attributable to our redeemable and non-redeemable noncontrolling interests; (vii) unrealized gains and losses on financial instruments; (viii) other income (loss); and (ix) foreign currency gain (loss). Additionally, the Company further adjusts for the following items described below:
\n\n\n\nThe Company uses Segment Adjusted EBITDA to evaluate the financial performance of and allocate resources among our operating segments. Segment Adjusted EBITDA is determined for our segments consistent with the adjustments noted above but further excludes unallocated corporate expenses as these items are centrally controlled and are not directly attributable to any reportable segment.
\n\n\n\nThe following table reconciles total Segment Adjusted EBITDA to Net loss attributable to Greenbacker Renewable Energy Company LLC:
\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2023/05/Segment-Adjusted-EBITDA.png\")
Funds From Operations
\n\n\n\nThe following table reconciles Net loss attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA and then to FFO:
\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2023/05/FFO.png\")
FFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing performance of the business.
\n\n\n\nFFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment.
\n\n\n\n\n\n\n\n1 Past performance is not indicative of future results.
\n\n\n\n2 Total assets and megawatts statistics include those projects where the Company has contracted for the acquisition of the project pursuant to a Membership Interest Purchase Agreement (\u201cMIPA\u201d).
\n\n\n\n3 Total AUM includes GREC and GCM\u2019s managed funds. AUM represents the underlying fair value of investments, determined generally in accordance with ASC 820, cash and cash equivalents and project level debt. These figures are unaudited and subject to change.
\n\n\n\n4 When compared with a similar amount of power generation from fossil fuels. Carbon abatement is calculated using the EPA Greenhouse Gas Equivalencies Calculator which uses the Avoided Emissions and generation Tool (AVERT) US national weighted average CO2 marginal emission rate to convert reductions of kilowatt-hours into avoided units of carbon dioxide emissions.
\n\n\n\n5 Gallons of water saved are calculated based on Operational water consumption and withdrawal factors for electricity generating technologies: a review of existing literature \u2013 IOPscience, J Macknick et al 2012 Environ. Res. Lett. 7 045802.
\n\n\n\n6 Green jobs are calculated from the International Renewable Energy Agency‘s measurement that one megawatt of renewable power supports 4.6 jobs. Data is as of March 31, 2023.
\n\n\n\n7 We define “Non-Investment Basis” as “Non-investment company U.S. GAAP accounting the Company applied subsequent to the Acquisition” in the 10-Q.
\n\n\n\nThe post Greenbacker delivers first quarter results appeared first on Greenbacker Capital.
\n", "content_text": "Company announces quarterly financial results and a 730 MW year-over-year increase in fleet capacity\n\n\n\nKey Takeaways\n\n\n\n\nFleet added nearly 730 MW of additional clean energy capacity and over 50 new assets.\n\n\n\nCompany closed on largest solar-plus-storage project to date.\n\n\n\nPortfolio acquisition more than doubled solar fleet in Wisconsin, expanded solar footprint into Iowa.\n\n\n\nOperational fleet continued to expand, supporting significant production increase.\n\n\n\nOperating revenue of over $41 million in the quarter, driven by energy revenue.\n\n\n\nOver $58 million capital raised in investment vehicles managed by GCM; AUM increased to approximately $3.1 billion.\n\n\n\nCompany\u2019s investments abate carbon emissions, conserve water, and support green jobs.\n\n\n\n\nNew York, NY, May 16, 2023 \u2014 Greenbacker Renewable Energy Company LLC (\u201cGreenbacker,\u201d \u201cGREC,\u201d or the \u201cCompany\u201d), an independent power producer and a leading climate-focused investment manager, has announced financial results1 for the first quarter of 2023, as well as substantial year-over-year expansion that included closing on its largest solar-plus-storage project to date.\n\n\n\nFleet added nearly 730 MW of additional clean energy capacity and over 50 new assets\n\n\n\nGreenbacker\u2019s clean energy fleet grew by 52 assets, on a year-over-year basis, increasing the Company\u2019s total project count to 456 (including both operating and pre-operational assets).2\n\n\n\nThis expansion represented nearly 730 MW of additional total clean energy\u2013generating and storage capacity across the country. As of March 31, 2023, Greenbacker was conducting business in 32 states, Canada, Puerto Rico, and Washington, DC.\n\n\n\nCompany closed on largest solar-plus-storage project to date\n\n\n\nThis growth encompassed another clean energy milestone for Greenbacker, which closed on the acquisition of its largest solar-plus-storage asset to date.\n\n\n\nWhen completed, the pre-operational Lincoln Solar project, will have a solar energy\u2013generating capacity of 80 MWac / 104 MWdc. Its battery storage system will have a total power capacity of 50 MW and be able to store up to 200 megawatt-hours (\u201cMWh\u201d) of clean energy onsite that it can deploy during times of peak demand or power outage, contributing to lower energy costs for consumers and improving grid resiliency.\n\n\n\nWith the project, located in Wyoming, Greenbacker continued to expand its clean energy presence in the Western region, as well as its co-located solar-plus-storage fleet\u2014which now represents over 550 MWh of energy storage across the country.\n\n\n\nPortfolio acquisition more than doubled solar fleet in Wisconsin, expanded solar footprint into Iowa \n\n\n\nGREC continued to expand its solar footprint during the quarter, closing on nine assets in Wisconsin as part of a recently acquired 52 MW pre-operational portfolio with a project footprint spanning four states. These projects, which have all secured long-term PPAs, represent approximately 28 MW of clean-power production capacity, more than doubling the Company\u2019s solar capacity in the state, which now tops 48 MW.\n\n\n\nThe portfolio also includes solar assets in Colorado and Maryland, boosting Greenbacker\u2019s solar portfolio in the respective states to 118 MW and 40 MW, as well as the Company\u2019s first solar project in Iowa: the 2 MW Maple City solar project.\n\n\n\nCharles Wheeler, CEO of Greenbacker, said:\n\n\n\n\n\u201cGreenbacker continues to expand into new geographies and set new Company records, bringing more clean power to consumers, making further strides toward a clean energy future, and bringing additional attractive energy transition investment opportunities to market.\u201d\n\n\n\n\nOperational fleet continued to expand, supporting significant production increase\n\n\n\nThe power-production capacity of Greenbacker\u2019s operating fleet of clean energy projects increased by 268 MW, representing year-over-year growth of 24%, as the Company moved under-construction projects into commercial operation and acquired new operational projects.\n\n\n\nWith this capacity growth, the Company\u2019s fleet generated over 576,000 MWh of total clean power during the quarter, a 14% year-over-year increase that showcased continued production growth.\n\n\n\nThe table below summarizes the year-over-year expansion of Greenbacker\u2019s portfolio.\n\n\n\nGREC Portfolio Metrics*March 31, 2023March 31, 2022YoY Increase (total)YoY increase (%)Power-production capacity of operating fleet at end of period1.4 GW1.1 GW268 MW24%Power-generating capacity of pre-operational fleet at end of period2.0 GW1.5 GW461 MW30%Total power-generating capacity of fleet at end of period3.4 GW2.6 GW729 MW28%YTD total energy produced at end of period (MWh)576,355505,66770,68814%Total number of fleet assets at end of period4564045213%*Gigawatt (GW) figures rounded to nearest tenth of a GW.\n\n\n\nOperating revenue of over $41 million in the quarter, driven by energy revenue\n\n\n\nGreenbacker has also announced discrete first quarter financial information for its Independent Power Producer (\u201cIPP\u201d) and Investment Management (\u201cIM\u201d) business segments, the latter of which includes Greenbacker Capital Management (\u201cGCM\u201d) and its investment management platform.\n\n\n\nOver the period, Greenbacker generated total operating revenue of $41.2 million, primarily from energy revenue within the IPP segment. Energy revenue was $37.8 million and included $28.8 million from our long-term PPAs.\n\n\n\nIn terms of PPA revenue, the Company\u2019s operating solar fleet, which included 298 operating assets comprising 958 MW of capacity, generated $12.8 million from over 255,000 MWh of production. GREC\u2019s operating wind fleet, which included 16 operating projects comprising 386 MW of capacity, generated $16.2 million from more than 305,000 MWh of production.\n\n\n\nAdjusted EBITDA was $5.4 million for the quarter, largely driven by Adjusted EBITDA within the IPP segment of $15.6 million. Direct operating costs associated with capital raise efforts for certain of IM\u2019s managed funds in their early stages and corporate expenses offset IPP results. The net loss attributable to Greenbacker was approximately $17.0 million.\n\n\n\nFunds From Operations (\u201cFFO\u201d) was $(3.8) million for the period and represents the $5.4 million of Adjusted EBITDA less cash interest expense and distributions to our tax equity investors.\n\n\n\nFor the three months ended March 31, 2023In millions (unaudited)Select Financial Information Total Revenue$ 36.2Total operating revenue*$ 41.2Net loss attributable to Greenbacker$ (17.0) Adjusted EBITDA\u2020$ 5.4FFO\u2020$ (3.8)NOTE: See the Company\u2019s first quarter 10-Q filed with the SEC for additional financial information and important related disclosures.*Total operating revenue excludes non-cash contract amortization, net.\u2020See \u201cNon-GAAP Financial Measures\u201d for additional discussion.\n\n\n\n\n\n\n\nOver $58 million capital raised in investment vehicles managed by GCM; AUM increased to approximately $3.1 billion\n\n\n\nGreenbacker\u2019s IM business segment continued to raise substantial additional capital from retail and institutional investors during the first quarter. The IM segment raised $58.1 million of new equity capital, on which GCM is entitled to collect management fees, bringing AUM3 to approximately $3.1 billion at the end of the period.\n\n\n\nAs of March 31, 2023, GCM served as the investment manager to four climate-focused funds. As a result of one of these funds (Greenbacker Renewable Energy Company II, LLC) reaching the $150 capital deployment milestone during the first quarter, management fees on that fund are now payable to GCM.\n\n\n\nCompany\u2019s investments abate carbon emissions, conserve water, and support green jobs \n\n\n\nGreenbacker\u2019s renewable energy and energy transition investment activities continued to deliver on ESG metrics. As of March 31, 2023, the Company\u2019s clean energy assets had cumulatively produced over 6.7 million MWh of clean power since January 2016, abating nearly 4.8 million metric tons of carbon.4\n\n\n\nThe Company\u2019s clean energy projects have saved nearly 4.5 billion gallons of water,5 compared to the amount of water needed to produce the same amount of power by burning coal, and its business activities will sustain more than 5,900 green jobs.6\n\n\n\nDavid Sher, Director of Greenbacker, said:\n\n\n\n\n\u201cWith the high quality of the cashflows generated by our investments\u2014and the historic tailwinds our industry continues to experience\u2014we believe Greenbacker remains well positioned to continue delivering ESG metrics, delivering value for our shareholders, and delivering on our mission to empower a sustainable world.\u201d\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nForward-Looking Statements\n\n\n\nThis press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. Although Greenbacker believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. Greenbacker undertakes no obligation to update any forward-looking statement contained herein to conform to actual results or changes in its expectations.\n\n\n\nNon-GAAP Financial Measures\n\n\n\nIn addition to evaluating the Company\u2019s performance on a U.S. GAAP basis, the Company now utilizes certain non-GAAP financial measures to analyze the operating performance of our segments as well as our consolidated business. Each of these measures should not be considered in isolation from or as superior to or as a substitute for other financial measures determined in accordance with U.S. GAAP, such as net income (loss) or operating income (loss). The Company uses these non-GAAP financial measures to supplement its U.S. GAAP results in order to provide a more complete understanding of the factors and trends affecting its operations.\n\n\n\nAdjusted EBITDA\n\n\n\nAdjusted EBITDA is a non-GAAP financial measure that the Company uses as a performance measure, as well as for internal planning purposes. We believe that Adjusted EBITDA is useful to management and investors in providing a measure of core financial performance adjusted to allow for comparisons of results of operations across reporting periods on a consistent basis, as it includes adjustments relating to items that are not indicative on the ongoing operating performance of the business.\n\n\n\nAdjusted EBITDA is a performance measure used by management that is not calculated in accordance with U.S. GAAP. Adjusted EBITDA should not be considered in isolation from or as superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP. Additionally, our calculation of Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies.\n\n\n\nFunds From Operations\n\n\n\nFFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing operating performance of the business. FFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment. \n\n\n\nThe Company believes that the analysis and presentation of FFO will enhance our investor\u2019s understanding of the ongoing performance of our operating business. The Company will consider FFO, in addition to other GAAP and non-GAAP measures, in assessing operating performance and as a proxy for growth in distribution coverage over the long term.\n\n\n\nFFO should not be considered in isolation from or as a superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP.\n\n\n\nGeneral Disclosure\n\n\n\nThis information has been prepared solely for informational purposes and is not an offer to buy or sell or a solicitation of an offer to buy or sell any security, or to participate in any trading or investment strategy. The information presented herein may involve Greenbacker\u2019s views, estimates, assumptions, facts, and information from other sources that are believed to be accurate and reliable and are, as of the date this information is presented, subject to change without notice.\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNon-GAAP Reconciliations\n\n\n\nAdjusted EBITDA\n\n\n\nThe following table reconciles Net loss attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA:\n\n\n\n\n\n\n\nThe Company defines Adjusted EBITDA as net income (loss) before: (i) interest expense; (ii) income taxes; (iii) depreciation expense; (iv) amortization expense (including contract amortization); (v) accretion; (vi) amounts attributable to our redeemable and non-redeemable noncontrolling interests; (vii) unrealized gains and losses on financial instruments; (viii) other income (loss); and (ix) foreign currency gain (loss). Additionally, the Company further adjusts for the following items described below:\n\n\n\n\nShare-based compensation is excluded from Adjusted EBITDA as it is different from other forms of compensation, as it is a non-cash expense and is highly variable. For example, a cash salary generally has a fixed and unvarying cash cost. In contrast, the expense associated with an equity-based award is generally unrelated to the amount of cash ultimately received by the employee, and the cost to the Company is based on a share-based compensation valuation methodology and underlying assumptions that may vary over time.\n\n\n\nThe change in fair value of contingent consideration, which is related to Greenbacker\u2019s acquisition of GCM and certain other affiliated companies, is excluded from Adjusted EBITDA, if any such change occurs during the period. The non-cash, mark-to-market adjustments are based on the expected achievement of revenue targets that are difficult to forecast and can be variable, making comparisons across historical and future quarters difficult to evaluate; and\n\n\n\nOther costs that are not consistently occurring, not reflective of expected future operating expense, and provide no insight into the fundamentals of current or past operations of our business are excluded from Adjusted EBITDA. This includes costs such as professional fees incurred as part of the transition to the Non-Investment Basis7 and other non-recurring costs unrelated to the ongoing operations of the Company.\n\n\n\n\nThe Company uses Segment Adjusted EBITDA to evaluate the financial performance of and allocate resources among our operating segments. Segment Adjusted EBITDA is determined for our segments consistent with the adjustments noted above but further excludes unallocated corporate expenses as these items are centrally controlled and are not directly attributable to any reportable segment.\n\n\n\nThe following table reconciles total Segment Adjusted EBITDA to Net loss attributable to Greenbacker Renewable Energy Company LLC:\n\n\n\n\n\n\n\nFunds From Operations\n\n\n\nThe following table reconciles Net loss attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA and then to FFO:\n\n\n\n\n\n\n\nFFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing performance of the business.\n\n\n\nFFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment.\n\n\n\n\n\n\n\n\n\n\n\n1 Past performance is not indicative of future results.\n\n\n\n2 Total assets and megawatts statistics include those projects where the Company has contracted for the acquisition of the project pursuant to a Membership Interest Purchase Agreement (\u201cMIPA\u201d).\n\n\n\n3 Total AUM includes GREC and GCM\u2019s managed funds. AUM represents the underlying fair value of investments, determined generally in accordance with ASC 820, cash and cash equivalents and project level debt. These figures are unaudited and subject to change. \n\n\n\n4 When compared with a similar amount of power generation from fossil fuels. Carbon abatement is calculated using the EPA Greenhouse Gas Equivalencies Calculator which uses the Avoided Emissions and generation Tool (AVERT) US national weighted average CO2 marginal emission rate to convert reductions of kilowatt-hours into avoided units of carbon dioxide emissions. \n\n\n\n5 Gallons of water saved are calculated based on Operational water consumption and withdrawal factors for electricity generating technologies: a review of existing literature \u2013 IOPscience, J Macknick et al 2012 Environ. Res. Lett. 7 045802.\n\n\n\n6 Green jobs are calculated from the International Renewable Energy Agency‘s measurement that one megawatt of renewable power supports 4.6 jobs. Data is as of March 31, 2023.\n\n\n\n7 We define “Non-Investment Basis” as “Non-investment company U.S. GAAP accounting the Company applied subsequent to the Acquisition” in the 10-Q.\n\n\n\n\nThe post Greenbacker delivers first quarter results appeared first on Greenbacker Capital.", "date_published": "2023-05-16T07:23:24+00:00", "date_modified": "2023-05-16T13:04:12+00:00", "authors": [ { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" } ], "author": { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" }, "image": "https://greenbackercapital.com/wp-content/uploads/2023/05/GettyImages-1406020186-e1684193109974.jpg", "tags": [ "GREC", "Press" ], "summary": "Greenbacker announces first quarter financial results and a 730 MW year-over-year increase in fleet capacity. This expansion encompassed 52 new assets and included a new milestone for the company, which closed on its largest solar-plus-storage project to date." }, { "id": "https://greenbackercapital.com/?p=4556", "url": "https://greenbackercapital.com/2023/04/greenbacker-delivers-2022-results/", "title": "Greenbacker delivers 2022 results", "content_html": "\nCompany announces financial results and historic operational expansion in 2022
\n\n\n\n
Key Takeaways
New York, NY, April 3, 2023 \u2014 Greenbacker Renewable Energy Company LLC (\u201cGreenbacker,\u201d \u201cGREC,\u201d or the \u201cCompany\u201d), an independent power producer and a leading climate-focused investment manager, has announced financial results1 for 2022, as well as historic year-over-year expansion that included the Company\u2019s largest operational clean energy project to date and its first projects in a new segment of the fast-growing battery storage market.
Greenbacker turned on largest operational project in Company history
Greenbacker surpassed a new milestone in the year, bringing online the largest operational renewable energy project in Company history: the 104 MWdc / 80 MWac Graphite Solar.
\n\n\n\nThe project reached commercial operation in June and now produces clean energy that is sold via long-term power purchase agreement (\u201cPPA\u201d) to an investment-grade utility. On an annual basis, Graphite is expected to generate about 223 million kilowatt-hours of clean power\u2014enough to offset carbon emissions equivalent to burning approximately 175 million pounds of coal.2
\n\n\n\nIn addition to the local green jobs and over 273,000 construction labor hours the project supported, Greenbacker and its project partners have also invested in the Utah community that hosts Graphite with a scholarship program providing $75,000 to area students who plan to pursue their career goals locally after completing their education.
Greenbacker\u2019s largest operating renewables project to date
\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2023/03/Greenbackers-largest-operational-solar-power-project-1024x576.jpg\")
Fleet added over 50 assets, representing nearly 500 MW, as it entered new market segment and geographies
Greenbacker\u2019s clean energy project count (owned and managed) increased by 52 assets during 2022, representing approximately 500 MW of additional total clean energy\u2013generating capacity, and growing the Company\u2019s total project count to 456.3
\n\n\n\nWith this growth, Greenbacker expanded its solar and wind energy presence into new territories, increasing the geographical footprint and diversification of its fleet. This included its first solar farm in Virginia, acquired through an affiliated investment vehicle, and its first wind energy project in Illinois\u2014the 54 MWdc Panther Creek wind farm, which is now Greenbacker\u2019s largest wind asset in the Midwestern region.
\n\n\n\nThe Company also expanded its operational standalone battery storage portfolio to include its first pre-operational storage assets, with a pair of energy storage projects in New York City. As of the end of the year, Greenbacker was conducting business in 33 states, Canada, Puerto Rico, and Washington, DC.
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Company\u2019s best power generation year ever marked nearly 60% year-over-year production increase
Over the course of 2022, the power-production capacity of Greenbacker\u2019s operating fleet of renewable energy projects increased by 178 MW, a year-over-year increase of 17%, as the Company moved under-construction projects into commercial operation and acquired new operational projects.
\n\n\n\nWith this capacity growth, the Company\u2019s fleet produced nearly 2.4 million megawatt-hours (\u201cMWh\u201d) of total clean energy during the year, a year-over-year increase of almost 60%. GREC’s total power production in 2022 nearly equaled the amount it generated over the previous two years combined (almost 2.5 million MWh).
\n\n\n\nThis highlights Greenbacker\u2019s considerable growth trend in recent years, given that both 2021 and 2020 were themselves periods of substantial power production increases. In 2021, the Company generated upwards of 1.4 million MWh of clean energy, following production of over 999,000 MWh in 2020, representing year-over-year increases of 49% and 61%, respectively.
\n\n\n\nThe table below summarizes Greenbacker\u2019s 2022 year-over-year operational portfolio expansion.
| GREC Portfolio Metrics* | December 31, 2022 | December 31, 2021 | YoY Increase (total) | YoY increase (%) |
| Power-production capacity of operating fleet at end of period | 1.2 GW | 1.1 GW | 178 MW | 17% |
| Power-generating capacity of pre-operational fleet at end of period | 1.9 GW | 1.6 GW | 313 MW | 20% |
| Total power-generating capacity of fleet at end of period | 3.1 GW | 2.6 GW | 491 MW | 19% |
| YTD total energy produced at end of period (MWh) | 2,355,735 | 1,479,921 | 875,814 | 59% |
| Total number of fleet assets at end of period | 456 | 404 | 52 | 13% |
Company\u2019s newly defined business segments built additional foundations for future growth
As a result of Greenbacker\u2019s acquisition of Greenbacker Capital Management LLC (\u201cGCM\u201d) and certain other affiliated companies, the Company shifted the basis of its historical accounting and the underlying presentation of its financial results from investment company accounting to non-investment company accounting.
\n\n\n\nSince this transition occurred during the Company\u2019s second fiscal quarter and was prospective in nature, the 2022 financial results reflected in this press release are for performance under non-investment company accounting during the period beginning May 19, 2022 and ended December 31, 2022 (\u201cthe Partial Year Period\u201d).
\n\n\n\nFor the Partial Year Period, Greenbacker has presented financial information for its Independent Power Producer (\u201cIPP\u201d) and Investment Management (\u201cIM\u201d) business segments.
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Charles Wheeler, CEO of Greenbacker, said:
\n\n\n\n\n\n\n\n\n\u201cOur fleet had its best year of production in Company history, even as we paved the way for additional future growth and financial returns. Greenbacker\u2019s decision to acquire GCM has opened the potential to generate significant long-term value for our shareholders, allowing us to diversify our business to capitalize on exciting opportunities in the energy transition asset class both today and in the years to come.\u201d
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Operating revenue of $111 million in Partial Year Period was driven by substantial energy revenue
Greenbacker generated total operating revenue of $111.0 million, primarily from energy revenue within the IPP segment, for the Partial Year Period. Energy revenue was $101.6 million and included $83.6 million from our long-term PPAs.
\n\n\n\nWith respect to PPA revenue, the Company\u2019s operating solar fleet, which included 285 operating assets comprising 834 MW of capacity, generated $39.6 million from nearly 1.1 million MWh of production. GREC\u2019s operating wind fleet, which included 16 operating projects comprising 386 MW of capacity, generated $39.2 million from just under 1.2 million MWh of production.
\n\n\n\nAdjusted EBITDA was $26.4 million for the Partial Year Period, largely driven by Adjusted EBITDA within the IPP segment of $53.6 million. Direct operating costs associated with capital raise efforts for certain of IM\u2019s managed funds in their early stages and corporate expenses offset IPP results. The net loss attributable to Greenbacker was approximately $0.7 million.
\n\n\n\nFunds From Operations (\u201cFFO\u201d) was $3.2 million for the period and represents the $26.4 million of Adjusted EBITDA less cash interest expense and distributions to our tax equity investors.
| For the period from May 19, 2022 through December 31, 2022 | In millions |
| Select Financial Information | |
| Total Revenue | $ 100.5 |
| Total operating revenue* | $ 111.0 |
| Net income (loss) attributable to Greenbacker | $ (0.7) |
| Adjusted EBITDA\u2020 | $ 26.4 |
| Funds From Operations\u2020 | $ 3.2 |
Nearly $350 million capital raised in investment vehicles managed by GCM; AUM surpassed $3.0 billion
Greenbacker\u2019s IM segment experienced considerable momentum in its initiatives to raise additional capital from retail and institutional investors in 2022. Between May 19, 2022 and December 31, 2022, the IM business segment raised $348.5 million of new equity capital, on which GCM is entitled to collect management fees, boosting AUM4 to over $3.0 billion at the end of the period.
\n\n\n\nAs of December 31, 2022, GCM served as the investment manager to four climate-focused funds.
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Company\u2019s investments abate carbon emissions, conserve water, and support green jobs
Greenbacker\u2019s renewable energy investment activities continued to deliver on ESG metrics. As of December 31, 2022, the Company\u2019s renewable energy assets had cumulatively generated over 6.1 million MWh of clean power, abating more than 4.3 million metric tons of carbon since January 2016.5
\n\n\n\nThe Company\u2019s clean energy projects have saved nearly 4.1 billion gallons of water,6 compared to the amount of water needed to produce the same amount of power by burning coal, and its business activities will sustain more than 5,200 green jobs.7
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David Sher, Director of Greenbacker, said:
\n\n\n\n\n\u201cWe believe market conditions will remain favorable to our investment strategy, especially given the inherent resiliency of our assets and the policy catalysts from the renewed focus on climate change at the federal and state levels, as well as decarbonization commitments from large corporations and utilities.\u201d
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The resilient nature of Greenbacker\u2019s infrastructure assets\u2014e.g., stable long-term cashflows, high-credit-quality counterparties, and inelastic demand\u2014can offer investors the opportunity for both diversification and insulation from short-term volatility, while meeting long-term growth objectives.
Forward-Looking Statements
\n\n\n\nThis press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. Although Greenbacker believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. Greenbacker undertakes no obligation to update any forward-looking statement contained herein to conform to actual results or changes in its expectations.
\n\n\n\nNon-GAAP Financial Measures
\n\n\n\nIn addition to evaluating the Company\u2019s performance on a U.S. GAAP basis, the Company now utilizes certain non-GAAP financial measures to analyze the operating performance of our segments as well as our consolidated business. Each of these measures should not be considered in isolation from or as superior to or as a substitute for other financial measures determined in accordance with U.S. GAAP, such as net income (loss) or operating income (loss). The Company uses these non-GAAP financial measures to supplement its U.S. GAAP results in order to provide a more complete understanding of the factors and trends affecting its operations.
\n\n\n\nAdjusted EBITDA
\n\n\n\nAdjusted EBITDA is a non-GAAP financial measure that the Company uses as a performance measure, as well as for internal planning purposes. We believe that Adjusted EBITDA is useful to management and investors in providing a measure of core financial performance adjusted to allow for comparisons of results of operations across reporting periods on a consistent basis, as it includes adjustments relating to items that are not indicative on the ongoing operating performance of the business.
\n\n\n\nAdjusted EBITDA is a performance measure used by management that is not calculated in accordance with U.S. GAAP. Adjusted EBITDA should not be considered in isolation from or as superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP. Additionally, our calculation of Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies.
\n\n\n\nFunds From Operations
\n\n\n\nFFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing operating performance of the business. FFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment.
\n\n\n\nThe Company believes that the analysis and presentation of FFO will enhance our investor\u2019s understanding of the ongoing performance of our operating business. The Company will consider FFO, in addition to other GAAP and non-GAAP measures, in assessing operating performance and as a proxy for growth in distribution coverage over the long term.
\n\n\n\nFFO should not be considered in isolation from or as a superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP.
\n\n\n\nGeneral Disclosure
\n\n\n\nThis information has been prepared solely for informational purposes and is not an offer to buy or sell or a solicitation of an offer to buy or sell any security, or to participate in any trading or investment strategy. The information presented herein may involve Greenbacker\u2019s views, estimates, assumptions, facts, and information from other sources that are believed to be accurate and reliable and are, as of the date this information is presented, subject to change without notice.
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Non-GAAP Reconciliations
Adjusted EBITDA
\n\n\n\nThe following table reconciles Net income (loss) attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA:
\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2023/04/Adjusted-EBITDA.png\")
The Company defines Adjusted EBITDA as net income (loss) before: (i) interest expense; (ii) income taxes; (iii) depreciation expense; (iv) amortization expense (including contract amortization); (v) accretion; (vi) amounts attributable to our redeemable and non-redeemable noncontrolling interests; (vii) unrealized gains and losses on financial instruments; (viii) other income (loss); and (ix) foreign currency gain (loss). Additionally, the Company further adjusts for the following items described below:
\n\n\n\nThe Company uses Segment Adjusted EBITDA to evaluate the financial performance of and allocate resources among our operating segments. Segment Adjusted EBITDA is determined for our segments consistent with the adjustments noted above but further excludes unallocated corporate expenses as these items are centrally controlled and are not directly attributable to any reportable segment.
\n\n\n\nThe following table reconciles total Segment Adjusted EBITDA to Net income (loss) attributable to Greenbacker Renewable Energy Company LLC:
\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2023/04/Segment-Adjusted-EBITDA.png\")
Funds From Operations
\n\n\n\nThe following table reconciles Net income (loss) attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA and then to FFO:
\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2023/04/FFO.png\")
FFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing performance of the business.
\n\n\n\nFFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment.
\n\n\n\n\n\n\n\n\n\n\n\n1 Past performance is not indicative of future results.
\n\n\n\n2 When compared with a similar amount of power generation from fossil fuels. Carbon abatement is calculated using the EPA Greenhouse Gas Equivalencies Calculator which uses the Avoided Emissions and generation Tool (AVERT) US national weighted average CO2 marginal emission rate to convert reductions of kilowatt-hours into avoided units of carbon dioxide emissions.
\n\n\n\n3 Total assets and megawatts statistics include those projects where the Company has contracted for the acquisition of the project pursuant to a Membership Interest Purchase Agreement (\u201cMIPA\u201d).
\n\n\n\n4 Total AUM includes GREC and GCM\u2019s managed funds. AUM represents the underlying fair value of investments, determined generally in accordance with ASC 820, cash and cash equivalents and project level debt. These figures are unaudited and subject to change.
\n\n\n\n5 When compared with a similar amount of power generation from fossil fuels. Carbon abatement is calculated using the EPA Greenhouse Gas Equivalencies Calculator which uses the Avoided Emissions and generation Tool (AVERT) US national weighted average CO2 marginal emission rate to convert reductions of kilowatt-hours into avoided units of carbon dioxide emissions.
\n\n\n\n6 Gallons of water saved are calculated based on Operational water consumption and withdrawal factors for electricity generating technologies: a review of existing literature \u2013 IOPscience, J Macknick et al 2012 Environ. Res. Lett. 7 045802.
\n\n\n\n7 Green jobs are calculated from the International Renewable Energy Agency‘s measurement that one megawatt of renewable power supports 4.6 jobs. Data is as of December 31, 2022.
\nThe post Greenbacker delivers 2022 results appeared first on Greenbacker Capital.
\n", "content_text": "Company announces financial results and historic operational expansion in 2022 \n\n\n\nKey Takeaways\n\n\n\n\nGreenbacker turned on largest operational project in Company history.\n\n\n\nFleet added over 50 assets, representing nearly 500 MW, as it entered new market segment and geographies.\n\n\n\nCompany\u2019s best power generation year ever marked nearly 60% year-over-year production increase.\n\n\n\nCompany\u2019s newly defined business segments built additional foundations for future growth.\n\n\n\nOperating revenue of $111 million in Partial Year Period was driven by substantial energy revenue.\n\n\n\nNearly $350 million capital raised in investment vehicles managed by GCM; AUM surpassed $3.0 billion.\n\n\n\nCompany\u2019s investments abate carbon emissions, conserve water, and support green jobs.\n\n\n\n\nNew York, NY, April 3, 2023 \u2014 Greenbacker Renewable Energy Company LLC (\u201cGreenbacker,\u201d \u201cGREC,\u201d or the \u201cCompany\u201d), an independent power producer and a leading climate-focused investment manager, has announced financial results1 for 2022, as well as historic year-over-year expansion that included the Company\u2019s largest operational clean energy project to date and its first projects in a new segment of the fast-growing battery storage market.\n\n\n\nGreenbacker turned on largest operational project in Company history\n\n\n\nGreenbacker surpassed a new milestone in the year, bringing online the largest operational renewable energy project in Company history: the 104 MWdc / 80 MWac Graphite Solar.\n\n\n\nThe project reached commercial operation in June and now produces clean energy that is sold via long-term power purchase agreement (\u201cPPA\u201d) to an investment-grade utility. On an annual basis, Graphite is expected to generate about 223 million kilowatt-hours of clean power\u2014enough to offset carbon emissions equivalent to burning approximately 175 million pounds of coal.2\n\n\n\nIn addition to the local green jobs and over 273,000 construction labor hours the project supported, Greenbacker and its project partners have also invested in the Utah community that hosts Graphite with a scholarship program providing $75,000 to area students who plan to pursue their career goals locally after completing their education.\n\n\n\nGreenbacker\u2019s largest operating renewables project to date\n\n\n\nGreenbacker\u2019s largest operating clean energy project\u2014the 104 MWdc / 80 MWac Graphite Solar in Carbon County, UT\u2014entered commercial operation in June 2022.\n\n\n\n\n\n\n\nFleet added over 50 assets, representing nearly 500 MW, as it entered new market segment and geographies \n\n\n\nGreenbacker\u2019s clean energy project count (owned and managed) increased by 52 assets during 2022, representing approximately 500 MW of additional total clean energy\u2013generating capacity, and growing the Company\u2019s total project count to 456.3\n\n\n\nWith this growth, Greenbacker expanded its solar and wind energy presence into new territories, increasing the geographical footprint and diversification of its fleet. This included its first solar farm in Virginia, acquired through an affiliated investment vehicle, and its first wind energy project in Illinois\u2014the 54 MWdc Panther Creek wind farm, which is now Greenbacker\u2019s largest wind asset in the Midwestern region.\n\n\n\nThe Company also expanded its operational standalone battery storage portfolio to include its first pre-operational storage assets, with a pair of energy storage projects in New York City. As of the end of the year, Greenbacker was conducting business in 33 states, Canada, Puerto Rico, and Washington, DC.\n\n\n\nCompany\u2019s best power generation year ever marked nearly 60% year-over-year production increase\n\n\n\nOver the course of 2022, the power-production capacity of Greenbacker\u2019s operating fleet of renewable energy projects increased by 178 MW, a year-over-year increase of 17%, as the Company moved under-construction projects into commercial operation and acquired new operational projects.\n\n\n\nWith this capacity growth, the Company\u2019s fleet produced nearly 2.4 million megawatt-hours (\u201cMWh\u201d) of total clean energy during the year, a year-over-year increase of almost 60%. GREC’s total power production in 2022 nearly equaled the amount it generated over the previous two years combined (almost 2.5 million MWh).\n\n\n\nThis highlights Greenbacker\u2019s considerable growth trend in recent years, given that both 2021 and 2020 were themselves periods of substantial power production increases. In 2021, the Company generated upwards of 1.4 million MWh of clean energy, following production of over 999,000 MWh in 2020, representing year-over-year increases of 49% and 61%, respectively.\n\n\n\nThe table below summarizes Greenbacker\u2019s 2022 year-over-year operational portfolio expansion.\n\n\n\nGREC Portfolio Metrics*December 31, 2022December 31, 2021YoY Increase (total)YoY increase (%)Power-production capacity of operating fleet at end of period1.2 GW1.1 GW178 MW17%Power-generating capacity of pre-operational fleet at end of period1.9 GW1.6 GW313 MW20%Total power-generating capacity of fleet at end of period3.1 GW2.6 GW491 MW19%YTD total energy produced at end of period (MWh)2,355,7351,479,921875,81459%Total number of fleet assets at end of period4564045213%*Gigawatt (GW) figures rounded to nearest tenth of a GW.\n\n\n\n\n\n\n\nCompany\u2019s newly defined business segments built additional foundations for future growth\n\n\n\nAs a result of Greenbacker\u2019s acquisition of Greenbacker Capital Management LLC (\u201cGCM\u201d) and certain other affiliated companies, the Company shifted the basis of its historical accounting and the underlying presentation of its financial results from investment company accounting to non-investment company accounting. \n\n\n\nSince this transition occurred during the Company\u2019s second fiscal quarter and was prospective in nature, the 2022 financial results reflected in this press release are for performance under non-investment company accounting during the period beginning May 19, 2022 and ended December 31, 2022 (\u201cthe Partial Year Period\u201d).\n\n\n\nFor the Partial Year Period, Greenbacker has presented financial information for its Independent Power Producer (\u201cIPP\u201d) and Investment Management (\u201cIM\u201d) business segments.\n\n\n\nCharles Wheeler, CEO of Greenbacker, said:\n\n\n\n\n\u201cOur fleet had its best year of production in Company history, even as we paved the way for additional future growth and financial returns. Greenbacker\u2019s decision to acquire GCM has opened the potential to generate significant long-term value for our shareholders, allowing us to diversify our business to capitalize on exciting opportunities in the energy transition asset class both today and in the years to come.\u201d\n\n\n\n\n\n\n\n\nOperating revenue of $111 million in Partial Year Period was driven by substantial energy revenue\n\n\n\nGreenbacker generated total operating revenue of $111.0 million, primarily from energy revenue within the IPP segment, for the Partial Year Period. Energy revenue was $101.6 million and included $83.6 million from our long-term PPAs.\n\n\n\nWith respect to PPA revenue, the Company\u2019s operating solar fleet, which included 285 operating assets comprising 834 MW of capacity, generated $39.6 million from nearly 1.1 million MWh of production. GREC\u2019s operating wind fleet, which included 16 operating projects comprising 386 MW of capacity, generated $39.2 million from just under 1.2 million MWh of production.\n\n\n\nAdjusted EBITDA was $26.4 million for the Partial Year Period, largely driven by Adjusted EBITDA within the IPP segment of $53.6 million. Direct operating costs associated with capital raise efforts for certain of IM\u2019s managed funds in their early stages and corporate expenses offset IPP results. The net loss attributable to Greenbacker was approximately $0.7 million.\n\n\n\nFunds From Operations (\u201cFFO\u201d) was $3.2 million for the period and represents the $26.4 million of Adjusted EBITDA less cash interest expense and distributions to our tax equity investors.\n\n\n\nFor the period from May 19, 2022 through December 31, 2022In millionsSelect Financial Information Total Revenue$ 100.5Total operating revenue*$ 111.0Net income (loss) attributable to Greenbacker$ (0.7) Adjusted EBITDA\u2020$ 26.4Funds From Operations\u2020$ 3.2NOTE: See the Company\u2019s 2022 10-K filed with the SEC for additional financial information and important related disclosures.*Total operating revenue excludes non-cash contract amortization, net.\u2020See \u201cNon-GAAP Financial Measures\u201d for additional discussion. These financial metrics are unaudited.\n\n\n\n\n\n\n\nNearly $350 million capital raised in investment vehicles managed by GCM; AUM surpassed $3.0 billion\n\n\n\nGreenbacker\u2019s IM segment experienced considerable momentum in its initiatives to raise additional capital from retail and institutional investors in 2022. Between May 19, 2022 and December 31, 2022, the IM business segment raised $348.5 million of new equity capital, on which GCM is entitled to collect management fees, boosting AUM4 to over $3.0 billion at the end of the period.\n\n\n\nAs of December 31, 2022, GCM served as the investment manager to four climate-focused funds.\n\n\n\nCompany\u2019s investments abate carbon emissions, conserve water, and support green jobs \n\n\n\nGreenbacker\u2019s renewable energy investment activities continued to deliver on ESG metrics. As of December 31, 2022, the Company\u2019s renewable energy assets had cumulatively generated over 6.1 million MWh of clean power, abating more than 4.3 million metric tons of carbon since January 2016.5\n\n\n\nThe Company\u2019s clean energy projects have saved nearly 4.1 billion gallons of water,6 compared to the amount of water needed to produce the same amount of power by burning coal, and its business activities will sustain more than 5,200 green jobs.7\n\n\n\nDavid Sher, Director of Greenbacker, said:\n\n\n\n\n\u201cWe believe market conditions will remain favorable to our investment strategy, especially given the inherent resiliency of our assets and the policy catalysts from the renewed focus on climate change at the federal and state levels, as well as decarbonization commitments from large corporations and utilities.\u201d\n\n\n\n\nThe resilient nature of Greenbacker\u2019s infrastructure assets\u2014e.g., stable long-term cashflows, high-credit-quality counterparties, and inelastic demand\u2014can offer investors the opportunity for both diversification and insulation from short-term volatility, while meeting long-term growth objectives.\n\n\n\n\n\n\n\nForward-Looking Statements\n\n\n\nThis press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. Although Greenbacker believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. Greenbacker undertakes no obligation to update any forward-looking statement contained herein to conform to actual results or changes in its expectations.\n\n\n\nNon-GAAP Financial Measures\n\n\n\nIn addition to evaluating the Company\u2019s performance on a U.S. GAAP basis, the Company now utilizes certain non-GAAP financial measures to analyze the operating performance of our segments as well as our consolidated business. Each of these measures should not be considered in isolation from or as superior to or as a substitute for other financial measures determined in accordance with U.S. GAAP, such as net income (loss) or operating income (loss). The Company uses these non-GAAP financial measures to supplement its U.S. GAAP results in order to provide a more complete understanding of the factors and trends affecting its operations.\n\n\n\nAdjusted EBITDA\n\n\n\nAdjusted EBITDA is a non-GAAP financial measure that the Company uses as a performance measure, as well as for internal planning purposes. We believe that Adjusted EBITDA is useful to management and investors in providing a measure of core financial performance adjusted to allow for comparisons of results of operations across reporting periods on a consistent basis, as it includes adjustments relating to items that are not indicative on the ongoing operating performance of the business.\n\n\n\nAdjusted EBITDA is a performance measure used by management that is not calculated in accordance with U.S. GAAP. Adjusted EBITDA should not be considered in isolation from or as superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP. Additionally, our calculation of Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies.\n\n\n\nFunds From Operations\n\n\n\nFFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing operating performance of the business. FFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment. \n\n\n\nThe Company believes that the analysis and presentation of FFO will enhance our investor\u2019s understanding of the ongoing performance of our operating business. The Company will consider FFO, in addition to other GAAP and non-GAAP measures, in assessing operating performance and as a proxy for growth in distribution coverage over the long term.\n\n\n\nFFO should not be considered in isolation from or as a superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP.\n\n\n\nGeneral Disclosure\n\n\n\nThis information has been prepared solely for informational purposes and is not an offer to buy or sell or a solicitation of an offer to buy or sell any security, or to participate in any trading or investment strategy. The information presented herein may involve Greenbacker\u2019s views, estimates, assumptions, facts, and information from other sources that are believed to be accurate and reliable and are, as of the date this information is presented, subject to change without notice.\n\n\n\n\n\n\n\n\n\n\n\n\nNon-GAAP Reconciliations\n\n\n\nAdjusted EBITDA\n\n\n\nThe following table reconciles Net income (loss) attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA:\n\n\n\n\n\n\n\nThe Company defines Adjusted EBITDA as net income (loss) before: (i) interest expense; (ii) income taxes; (iii) depreciation expense; (iv) amortization expense (including contract amortization); (v) accretion; (vi) amounts attributable to our redeemable and non-redeemable noncontrolling interests; (vii) unrealized gains and losses on financial instruments; (viii) other income (loss); and (ix) foreign currency gain (loss). Additionally, the Company further adjusts for the following items described below:\n\n\n\n\nShare-based compensation is excluded from Adjusted EBITDA as it is different from other forms of compensation, as it is a non-cash expense and is highly variable. For example, a cash salary generally has a fixed and unvarying cash cost. In contrast, the expense associated with an equity-based award is generally unrelated to the amount of cash ultimately received by the employee, and the cost to the Company is based on a share-based compensation valuation methodology and underlying assumptions that may vary over time.\n\n\n\nThe change in fair value of contingent consideration, which is related to the Acquisition, is excluded from Adjusted EBITDA, if any such change occurs during the period. The non-cash, mark-to-market adjustments are based on the expected achievement of revenue targets that are difficult to forecast and can be variable, making comparisons across historical and future quarters difficult to evaluate; and\n\n\n\nOther costs that are not consistently occurring, not reflective of expected future operating expense, and provide no insight into the fundamentals of current or past operations of our business are excluded from Adjusted EBITDA. This includes costs such as professional fees incurred as part of the Acquisition and the change in status and other non-recurring costs unrelated to the ongoing operations of the Company.\n\n\n\n\nThe Company uses Segment Adjusted EBITDA to evaluate the financial performance of and allocate resources among our operating segments. Segment Adjusted EBITDA is determined for our segments consistent with the adjustments noted above but further excludes unallocated corporate expenses as these items are centrally controlled and are not directly attributable to any reportable segment.\n\n\n\nThe following table reconciles total Segment Adjusted EBITDA to Net income (loss) attributable to Greenbacker Renewable Energy Company LLC:\n\n\n\n\n\n\n\nFunds From Operations\n\n\n\nThe following table reconciles Net income (loss) attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA and then to FFO:\n\n\n\n\n\n\n\nFFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing performance of the business.\n\n\n\nFFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment.\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n1 Past performance is not indicative of future results.\n\n\n\n2 When compared with a similar amount of power generation from fossil fuels. Carbon abatement is calculated using the EPA Greenhouse Gas Equivalencies Calculator which uses the Avoided Emissions and generation Tool (AVERT) US national weighted average CO2 marginal emission rate to convert reductions of kilowatt-hours into avoided units of carbon dioxide emissions.\n\n\n\n3 Total assets and megawatts statistics include those projects where the Company has contracted for the acquisition of the project pursuant to a Membership Interest Purchase Agreement (\u201cMIPA\u201d).\n\n\n\n4 Total AUM includes GREC and GCM\u2019s managed funds. AUM represents the underlying fair value of investments, determined generally in accordance with ASC 820, cash and cash equivalents and project level debt. These figures are unaudited and subject to change. \n\n\n\n5 When compared with a similar amount of power generation from fossil fuels. Carbon abatement is calculated using the EPA Greenhouse Gas Equivalencies Calculator which uses the Avoided Emissions and generation Tool (AVERT) US national weighted average CO2 marginal emission rate to convert reductions of kilowatt-hours into avoided units of carbon dioxide emissions. \n\n\n\n6 Gallons of water saved are calculated based on Operational water consumption and withdrawal factors for electricity generating technologies: a review of existing literature \u2013 IOPscience, J Macknick et al 2012 Environ. Res. Lett. 7 045802.\n\n\n\n7 Green jobs are calculated from the International Renewable Energy Agency‘s measurement that one megawatt of renewable power supports 4.6 jobs. Data is as of December 31, 2022.\nThe post Greenbacker delivers 2022 results appeared first on Greenbacker Capital.", "date_published": "2023-04-03T11:30:25+00:00", "date_modified": "2023-04-05T15:56:46+00:00", "authors": [ { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" } ], "author": { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" }, "image": "https://greenbackercapital.com/wp-content/uploads/2023/03/GettyImages-1317109429-e1680296203598.jpg", "tags": [ "GREC", "Press" ], "summary": "Greenbacker announces financial results and historic operational expansion for 2022. The Company brought online its largest operational clean energy project to date and added over 50 assets to its fleet, representing nearly 500 MW, including its first projects in a new segment of the fast-growing battery storage market. " }, { "id": "https://greenbackercapital.com/?p=4310", "url": "https://greenbackercapital.com/2022/12/greenbacker-delivers-third-quarter-results-2/", "title": "Greenbacker delivers third quarter results", "content_html": "\nCompany posts financial and operational results across business segments
\n\n\n\nKey Takeaways
\n\n\n\nNew York, NY, December 7, 2022 \u2014 Greenbacker Renewable Energy Company LLC (\u201cGreenbacker,\u201d \u201cGREC,\u201d or the \u201cCompany\u201d), an independent power producer and a leading climate-focused investment manager, has announced financial results1 for the third quarter of 2022, as well as substantial year-over-year operational expansion.
Company\u2019s newly defined business segments had first full quarter of performance
\n\n\n\nAs discussed in the Company\u2019s second quarter financial results, as a result of the acquisition of Greenbacker Capital Management LLC (\u201cGCM\u201d) and certain other affiliated companies, the Company transitioned the basis of its historical accounting and the underlying presentation of its financial results from investment company accounting to non-investment company accounting.
\n\n\n\nSince this transition occurred during the Company\u2019s second fiscal quarter and is prospective in nature, the Company\u2019s third quarter financial results marked the first full quarter of performance under non-investment company accounting. We have presented financial information for the Company\u2019s two operating segments: Independent Power Producer and Investment Management. Included in the Company\u2019s third quarter quarterly report on Form 10-Q are discrete financial results and analysis for the two segments, as well as information regarding corporate functions.
\n\n\n\nOur Independent Power Producer (\u201cIPP\u201d) represents the active management and operations of our fleet of renewable energy assets, including those that are currently pre-operational. The IPP business generally earns revenue from the sale of generated electricity and through the sale of other commodities such as renewable energy credits (\u201cREC\u201d).
\n\n\n\nOur Investment Management (\u201cIM\u201d) segment represents GCM\u2019s investment management platform \u2013 a climate focused investment management company with fund formation, capital raising, asset acquisition, financing, consulting and development capabilities that is registered with the Securities and Exchange Commission as an investment adviser. GCM\u2019s platform will allow the Company to raise and deploy capital for the managed funds \u2013 consistent with our overall mission and expanding our ability to positively impact social and environmental challenges.
\n\n\n\nThird Quarter Financial Results
\n\n\n\nNOTE: See the Company\u2019s Q3 2022 10-Q filed with the SEC for quarterly financial information and important related disclosures.
\n\n\n\n| In Thousands Unaudited | For the three months ended September 30, 2022 |
| Select Financial Information | |
| Total Revenue | $ 41,268 |
| Total operating revenue (1) | 45,692 |
| Net income (loss) attributable to Greenbacker | (4,595) |
| Adjusted EBITDA (2) | $ 14,679 |
| Funds From Operations (FFO) (2) | 5,369 |
(1) Total operating revenue excludes non-cash contract amortization, net
\n\n\n\n(2) See \u201cNon-GAAP Financial Measures\u201d for additional discussion
\n\n\n\nFor the three months ended September 30, 2022, the Company generated total operating revenue of $45.7 million primarily from energy revenue within the IPP segment. Energy revenue was $41.6 million during the quarter and includes $35.1 million from our long-term power purchase agreements (\u201cPPAs\u201d).
\n\n\n\nThe Company\u2019s operating solar fleet, which includes 270 operating assets comprising 788.2 MW of capacity, generated $19.3 million in PPA revenue from 361,551 megawatt-hours (\u201cMWh\u201d) of production during the three months ended September 30, 2022.
\n\n\n\nThe Company\u2019s operating wind fleet, which includes 16 operating assets comprising 386.1 MW of capacity, generated $13.9 million in PPA revenue from 250,074 MWh of production during the three months ended September 30, 2022.
\n\n\n\nThe net loss attributable to Greenbacker was $4.6 million for the three months ended September 30, 2022.
\n\n\n\nAdjusted EBITDA was $14.7 million for Q3 2022 and was driven by Adjusted EBITDA within the IPP segment of $23.8 million. Direct operating costs associated with capital raise efforts for certain of IM\u2019s managed funds in their early stages and corporate expenses offset IPP results.
\n\n\n\nFunds From Operations was $5.4 million for the three months ended September 30, 2022 and represents the $14.7 million of Adjusted EBITDA less cash interest expense and distributions to our tax equity investors.
Nearly $60 million in capital raised in investment vehicles managed by GCM for the three months ended September 30, 2022; AUM exceeds $2.8 billion
\n\n\n\nThe continued buildout and execution of the investment management segment\u2019s initiatives to raise additional capital from retail and institutional investors saw strong momentum in the third quarter. The Investment Management business segment raised $59.3 million of new equity capital in the third quarter, boosting to over $2.8 billion of AUM2 as of September 30, 2022.
\n\n\n\nOperational capacity increased by over 60% year over year, supporting substantial production and revenue
\n\n\n\nThe power-production capacity of Greenbacker\u2019s operating fleet of renewable energy projects increased over 450 megawatts (\u201cMW\u201d) year-over-year, as the Company moved under-construction projects into commercial operation and acquired new operational projects. This represented growth of 61% on a year-over-year basis.
\n\n\n\nWith this capacity growth, the Company\u2019s fleet generated over 630,000 MWh of total clean power during the quarter, a year-over-year increase of 62%. This included over 360,000 MWh of solar energy and more than 250,000 MWh of wind power.
\n\n\n\nDuring the first nine months of 2022, Greenbacker\u2019s fleet generated more than 1.8 billion kilowatt-hours (kWh) of total power, representing an increase of approximately 67% from the same period in 2021. The fleet also generated more clean energy in the first nine months of 2022 than it did in all of 2021. The fleet, while having its largest generation of electricity, was also the most efficient that it has ever been with solar and wind assets.
\n\n\n\nCharles Wheeler, CEO of Greenbacker, said:
\n\n\n\n\n\n\n\n\n\n\n\n\u201cGreenbacker\u2019s performance this quarter reaffirms our position as a leader in the renewable energy industry throughout market cycles. GCM is now managing four investment vehicles and GREC\u2019s operational capacity continues to expand\u2014this quarter alone, our fleet entered two new markets\u2014allowing us to generate greater value for our investors.\u201d
Table 1 summarizes Greenbacker\u2019s year-over-year operational portfolio expansion.
\n\n\n\nTable 1
\n\n\n\n| GREC Portfolio Metrics | September 30, 2022 | September 30, 2021 | Change | Change as % |
| Power-production capacity of operating fleet at end of period | 1.2 GW | 745.6 MW | 454 MW | 61% |
| Power-generating capacity of pre-operational fleet at end of period | 1.8 GW | 1.5 GW | 0.3 GW | 23% |
| Total power-generating capacity of fleet at end of period | 3.0 GW | 2.2 GW | 0.8 GW | 36% |
| Total energy produced (MWh) | 636,150 | 392,010 | 244,140 | 62% |
| YTD total energy produced at end of period (MWh) | 1,797,942 | 1,077,421 | 720,521 | 67% |
| Total number of fleet assets at end of period | 456 | 337 | 119 | 35% |
Fleet expanded by 31 new assets, representing an additional 171 MW
Greenbacker added 31 net new assets to its project fleet during the three months ended September 30, 2022, expanding the Company\u2019s total project count to 456.3
\n\n\n\nThese assets added over 171 MW of clean power\u2013generating capacity to the fleet, which now totals over 3.0 gigawatts (\u201cGW\u201d). (This includes both operating and pre-operational assets.)
\n\n\n\nThis project growth also expanded the geographical footprint of GREC\u2019s fleet into a new state during the third quarter of 2022, with Greenbacker\u2019s first solar farm in Virginia. As of the end of the quarter, GREC was conducting business in 33 states, Canada, Puerto Rico, and Washington DC.
Acquisition expanded Company\u2019s wind portfolio into the Illinois market
\n\n\n\nDuring the quarter, GREC continued to scale its Midwestern wind energy portfolio, acquiring the 54 MW Panther Creek wind project in Illinois.
\n\n\n\nThe pre-operational wind farm is Greenbacker\u2019s first wind asset in the Illinois market, as well as its largest clean energy project in the state. By power capacity, Panther Creek is also the Company\u2019s largest wind project in the overall Midwestern region, where Greenbacker owns over 190 MW of operating wind assets.
\n\n\n\n
Portfolio of pre-operational solar projects to help Vermont farmers save on clean power
Another notable acquisition of up to nine pre-operational solar projects was completed in the third quarter. The projects will lower power bills for local farmers and give new life to brownfield sites restricted from most uses.
\n\n\n\nThe projects have long-term Net Metering Agreements in place with over 30 agricultural offtakers\u2014local farms and dairies across the state. The net-metering aspect of the portfolio means that the utility will reduce the offtakers\u2019 power bills by the amount of clean energy the projects supply to the grid. Each solar project is expected, on average, to save local farmers approximately $500,000 on energy costs over the lifecycle of the projects.
\n\n\n\n
Company\u2019s investments support carbon abatement, water conservation, and green jobs
Greenbacker\u2019s renewable energy investment activities continued to deliver on ESG metrics. As of September 30, 2022, the Company\u2019s renewable energy assets have cumulatively generated over 5.6 million MWh of clean power, abating more than 4.8 million metric tons of carbon since January 2016.4
\n\n\n\nThe Company\u2019s clean energy projects have saved roughly 3.7 billion gallons of water,5 compared to the amount of water needed to produce the same amount of power from burning coal, and its business activities will sustain over 5,200 green jobs.6
\n\n\n\nDavid Sher, Director of Greenbacker, said:
\n\n\n\n\n\n\n\n\n\n\n\n\u201cMarket demand continues to increase for investments that help drive a future powered by cheaper clean energy. Greenbacker remains well positioned to bring clean power opportunities to market that will meet that demand.\u201d
Appendix \u2013 GREC Portfolio and Financial Metrics1
\n\n\n\n| 3Q22 | 3Q21 | |
| Total energy produced (MWh) | 636,150 | 392,010 |
| Total number of fleet assets at end of period | 456 | 337 |
| Total power-generating capacity of fleet at end of period (GW) | 3.0 | 2.2 |
| Total capital raised in investment vehicles managed by GCM (millions)7 | $59.3 | $9.3 |
Forward-Looking Statements
\n\n\n\nThis press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. Although Greenbacker believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. Greenbacker undertakes no obligation to update any forward-looking statement contained herein to conform to actual results or changes in its expectations.
\n\n\n\nNon-GAAP Financial Measures
\n\n\n\nIn addition to evaluating the Company\u2019s performance on a U.S. GAAP basis, the Company now utilizes certain non-GAAP financial measures to analyze the operating performance of our segments as well as our consolidated business. Each of these measures should not be considered in isolation from or as superior to or as a substitute for other financial measures determined in accordance with U.S. GAAP, such as net income (loss) or operating income (loss). The Company uses these non-GAAP financial measures to supplement its U.S. GAAP results in order to provide a more complete understanding of the factors and trends affecting its operations.
\n\n\n\nAdjusted EBITDA and Segment Adjusted EBITDA
\n\n\n\nAdjusted EBITDA and Segment Adjusted EBITDA are non-GAAP financial measures that the Company uses as performance measures, as well as for internal planning purposes. We believe that Adjusted EBITDA and Segment Adjusted EBITDA are useful to management and investors in providing a measure of core financial performance adjusted to allow for comparisons of results of operations across reporting periods on a consistent basis, as it includes adjustments relating to items that are not indicative on the ongoing operating performance of the business.
\n\n\n\nAdjusted EBITDA and Segment Adjusted EBITDA are performance measures used by management that are not calculated in accordance with U.S. GAAP. Adjusted EBITDA and Segment Adjusted EBITDA should not be considered in isolation from or as superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP. Additionally, our calculation of Adjusted EBITDA and Segment Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies.
\n\n\n\nFunds From Operations
\n\n\n\nFFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing operating performance of the business. FFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment.
\n\n\n\nThe Company believes that the analysis and presentation of FFO will enhance our investor\u2019s understanding of the ongoing performance of our operating business. The Company will consider FFO, in addition to other GAAP and non-GAAP measures, in assessing operating performance and as a proxy for growth in distribution coverage over the long-term.
\n\n\n\nFFO should not be considered in isolation from or as a superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP.
\n\n\n\nGeneral Disclosure
\n\n\n\nThis information has been prepared solely for informational purposes and is not an offer to buy or sell or a solicitation of an offer to buy or sell any security, or to participate in any trading or investment strategy. The information presented herein may involve Greenbacker\u2019s views, estimates, assumptions, facts, and information from other sources that are believed to be accurate and reliable and are, as of the date this information is presented, subject to change without notice.
\n\n\n\n\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2022/12/Picture1.png\")
![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2022/12/Picture2.png\")
![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2022/12/Picture3.png\")
Non-GAAP Reconciliations
\n\n\n\nAdjusted EBITDA
\n\n\n\nThe following table reconciles Net loss attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA:
\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2022/12/Picture4.png\")
The Company defines Adjusted EBITDA as net income (loss) before: (i) interest expense; (ii) income taxes; (iii) depreciation expense; (iv) amortization expense (including contract amortization); (v) accretion; (vi) amounts attributable to our redeemable and non-redeemable noncontrolling interests; (vii) unrealized gains and losses on financial instruments; (viii) other income (loss); and (ix) foreign currency gain (loss). Additionally, the Company further adjusts for the following items described below:
\n\n\n\nSegment Adjusted EBITDA
\n\n\n\nThe following table reconciles total Segment Adjusted EBITDA to Net loss attributable to Greenbacker Renewable Energy Company LLC:
\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2022/12/Picture5.png\")
Segment Adjusted EBITDA is determined for our segments consistent with the adjustments noted above for Adjusted EBITDA, but further excludes unallocated corporate expenses as these items are centrally controlled and are not directly attributable to any reportable segment.
\n\n\n\nSegment Adjusted EBITDA is a performance measure used by management that is not calculated in accordance with U.S. GAAP. Segment Adjusted EBITDA should not be considered in isolation from or as superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP. Additionally, our calculations of Adjusted EBITDA and Segment Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies.
\n\n\n\nFunds From Operations
\n\n\n\nThe following table reconciles Net loss attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA and then to FFO:
\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2022/12/Picture6.png\")
FFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing performance of the business.
\n\n\n\nFFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment.
\n\n\n\n1 The financial and portfolio metrics set forth herein are unaudited and subject to change. Past performance is not indicative of future results.
\n\n\n\n2 Total AUM includes GREC and GCM\u2019s managed funds. AUM represents the underlying fair value of investments, determined generally in accordance with ASC 820, cash and cash equivalents and project level debt. These figures are unaudited and subject to change.
\n\n\n\n3 Total assets and megawatts statistics include those projects where the Company has contracted for the acquisition of the project pursuant to a Membership Interest Purchase Agreement (\u201cMIPA\u201d).
\n\n\n\n4 When compared with a similar amount of power generation from fossil fuels. Carbon abatement is calculated using the EPA Greenhouse Gas Equivalencies Calculator which uses the Avoided Emissions and generation Tool (AVERT) US national weighted average CO2 marginal emission rate to convert reductions of kilowatt-hours into avoided units of carbon dioxide emissions.
\n\n\n\n5 Gallons of water saved are calculated based on Operational water consumption and withdrawal factors for electricity generating technologies: a review of existing literature \u2013 IOPscience, J Macknick et al 2012 Environ. Res. Lett. 7 045802.
\n\n\n\n6 Green jobs are calculated from the International Renewable Energy Agency‘s measurement that one megawatt of renewable power supports 3.8 jobs. Data is as of September 30, 2022.
\n\n\n\n7 Excludes capital raised in GREC in Q3 2021 given that GREC is currently closed to new equity capital.
\nThe post Greenbacker delivers third quarter results appeared first on Greenbacker Capital.
\n", "content_text": "Company posts financial and operational results across business segments\n\n\n\nKey Takeaways\n\n\n\nCompany\u2019s newly defined business segments had first full quarter of performance.Nearly $60 million in capital raised in investment vehicles managed by GCM for the three months ended September 30, 2022; AUM topped $2.8 billion.Operational capacity increased by over 60% year over year, supporting substantial production and revenue.Fleet expanded by 31 new assets during the quarter, representing an additional 171 MW.Wind acquisition in Illinois expanded Company\u2019s presence in new geography.Company\u2019s investments continue to support carbon abatement, water conservation, and green jobs.\n\n\n\n\n\n\n\nNew York, NY, December 7, 2022 \u2014 Greenbacker Renewable Energy Company LLC (\u201cGreenbacker,\u201d \u201cGREC,\u201d or the \u201cCompany\u201d), an independent power producer and a leading climate-focused investment manager, has announced financial results1 for the third quarter of 2022, as well as substantial year-over-year operational expansion.\n\n\n\nCompany\u2019s newly defined business segments had first full quarter of performance\n\n\n\nAs discussed in the Company\u2019s second quarter financial results, as a result of the acquisition of Greenbacker Capital Management LLC (\u201cGCM\u201d) and certain other affiliated companies, the Company transitioned the basis of its historical accounting and the underlying presentation of its financial results from investment company accounting to non-investment company accounting. \n\n\n\nSince this transition occurred during the Company\u2019s second fiscal quarter and is prospective in nature, the Company\u2019s third quarter financial results marked the first full quarter of performance under non-investment company accounting. We have presented financial information for the Company\u2019s two operating segments: Independent Power Producer and Investment Management. Included in the Company\u2019s third quarter quarterly report on Form 10-Q are discrete financial results and analysis for the two segments, as well as information regarding corporate functions.\n\n\n\nOur Independent Power Producer (\u201cIPP\u201d) represents the active management and operations of our fleet of renewable energy assets, including those that are currently pre-operational. The IPP business generally earns revenue from the sale of generated electricity and through the sale of other commodities such as renewable energy credits (\u201cREC\u201d).\n\n\n\nOur Investment Management (\u201cIM\u201d) segment represents GCM\u2019s investment management platform \u2013 a climate focused investment management company with fund formation, capital raising, asset acquisition, financing, consulting and development capabilities that is registered with the Securities and Exchange Commission as an investment adviser. GCM\u2019s platform will allow the Company to raise and deploy capital for the managed funds \u2013 consistent with our overall mission and expanding our ability to positively impact social and environmental challenges. \n\n\n\nThird Quarter Financial Results\n\n\n\nNOTE: See the Company\u2019s Q3 2022 10-Q filed with the SEC for quarterly financial information and important related disclosures.\n\n\n\nIn Thousands UnauditedFor the three months ended September 30, 2022Select Financial Information Total Revenue$ 41,268Total operating revenue (1)45,692Net income (loss) attributable to Greenbacker(4,595) Adjusted EBITDA (2)$ 14,679Funds From Operations (FFO) (2)5,369\n\n\n\n(1) Total operating revenue excludes non-cash contract amortization, net\n\n\n\n(2) See \u201cNon-GAAP Financial Measures\u201d for additional discussion\n\n\n\nFor the three months ended September 30, 2022, the Company generated total operating revenue of $45.7 million primarily from energy revenue within the IPP segment. Energy revenue was $41.6 million during the quarter and includes $35.1 million from our long-term power purchase agreements (\u201cPPAs\u201d). \n\n\n\nThe Company\u2019s operating solar fleet, which includes 270 operating assets comprising 788.2 MW of capacity, generated $19.3 million in PPA revenue from 361,551 megawatt-hours (\u201cMWh\u201d) of production during the three months ended September 30, 2022.\n\n\n\nThe Company\u2019s operating wind fleet, which includes 16 operating assets comprising 386.1 MW of capacity, generated $13.9 million in PPA revenue from 250,074 MWh of production during the three months ended September 30, 2022.\n\n\n\nThe net loss attributable to Greenbacker was $4.6 million for the three months ended September 30, 2022. \n\n\n\nAdjusted EBITDA was $14.7 million for Q3 2022 and was driven by Adjusted EBITDA within the IPP segment of $23.8 million. Direct operating costs associated with capital raise efforts for certain of IM\u2019s managed funds in their early stages and corporate expenses offset IPP results.\n\n\n\nFunds From Operations was $5.4 million for the three months ended September 30, 2022 and represents the $14.7 million of Adjusted EBITDA less cash interest expense and distributions to our tax equity investors. \n\n\n\n\n\n\n\nNearly $60 million in capital raised in investment vehicles managed by GCM for the three months ended September 30, 2022; AUM exceeds $2.8 billion\n\n\n\nThe continued buildout and execution of the investment management segment\u2019s initiatives to raise additional capital from retail and institutional investors saw strong momentum in the third quarter. The Investment Management business segment raised $59.3 million of new equity capital in the third quarter, boosting to over $2.8 billion of AUM2 as of September 30, 2022.\n\n\n\n\n\n\n\n\n\n\n\nOperational capacity increased by over 60% year over year, supporting substantial production and revenue\n\n\n\nThe power-production capacity of Greenbacker\u2019s operating fleet of renewable energy projects increased over 450 megawatts (\u201cMW\u201d) year-over-year, as the Company moved under-construction projects into commercial operation and acquired new operational projects. This represented growth of 61% on a year-over-year basis.\n\n\n\nWith this capacity growth, the Company\u2019s fleet generated over 630,000 MWh of total clean power during the quarter, a year-over-year increase of 62%. This included over 360,000 MWh of solar energy and more than 250,000 MWh of wind power.\n\n\n\nDuring the first nine months of 2022, Greenbacker\u2019s fleet generated more than 1.8 billion kilowatt-hours (kWh) of total power, representing an increase of approximately 67% from the same period in 2021. The fleet also generated more clean energy in the first nine months of 2022 than it did in all of 2021. The fleet, while having its largest generation of electricity, was also the most efficient that it has ever been with solar and wind assets.\n\n\n\nCharles Wheeler, CEO of Greenbacker, said:\n\n\n\n\u201cGreenbacker\u2019s performance this quarter reaffirms our position as a leader in the renewable energy industry throughout market cycles. GCM is now managing four investment vehicles and GREC\u2019s operational capacity continues to expand\u2014this quarter alone, our fleet entered two new markets\u2014allowing us to generate greater value for our investors.\u201d\n\n\n\n\n\n\n\nTable 1 summarizes Greenbacker\u2019s year-over-year operational portfolio expansion.\n\n\n\nTable 1\n\n\n\nGREC Portfolio MetricsSeptember 30, 2022September 30, 2021ChangeChange as %Power-production capacity of operating fleet at end of period1.2 GW745.6 MW454 MW61%Power-generating capacity of pre-operational fleet at end of period1.8 GW1.5 GW0.3 GW23%Total power-generating capacity of fleet at end of period3.0 GW2.2 GW0.8 GW36%Total energy produced (MWh)636,150392,010244,14062%YTD total energy produced at end of period (MWh)1,797,9421,077,421720,52167%Total number of fleet assets at end of period45633711935%\n\n\n\nFleet expanded by 31 new assets, representing an additional 171 MW\n\n\n\nGreenbacker added 31 net new assets to its project fleet during the three months ended September 30, 2022, expanding the Company\u2019s total project count to 456.3\n\n\n\nThese assets added over 171 MW of clean power\u2013generating capacity to the fleet, which now totals over 3.0 gigawatts (\u201cGW\u201d). (This includes both operating and pre-operational assets.)\n\n\n\nThis project growth also expanded the geographical footprint of GREC\u2019s fleet into a new state during the third quarter of 2022, with Greenbacker\u2019s first solar farm in Virginia. As of the end of the quarter, GREC was conducting business in 33 states, Canada, Puerto Rico, and Washington DC.\n\n\n\nAcquisition expanded Company\u2019s wind portfolio into the Illinois market\n\n\n\nDuring the quarter, GREC continued to scale its Midwestern wind energy portfolio, acquiring the 54 MW Panther Creek wind project in Illinois.\n\n\n\nThe pre-operational wind farm is Greenbacker\u2019s first wind asset in the Illinois market, as well as its largest clean energy project in the state. By power capacity, Panther Creek is also the Company\u2019s largest wind project in the overall Midwestern region, where Greenbacker owns over 190 MW of operating wind assets.\n\n\n\nPortfolio of pre-operational solar projects to help Vermont farmers save on clean power\n\n\n\nAnother notable acquisition of up to nine pre-operational solar projects was completed in the third quarter. The projects will lower power bills for local farmers and give new life to brownfield sites restricted from most uses.\n\n\n\nThe projects have long-term Net Metering Agreements in place with over 30 agricultural offtakers\u2014local farms and dairies across the state. The net-metering aspect of the portfolio means that the utility will reduce the offtakers\u2019 power bills by the amount of clean energy the projects supply to the grid. Each solar project is expected, on average, to save local farmers approximately $500,000 on energy costs over the lifecycle of the projects.\n\n\n\nCompany\u2019s investments support carbon abatement, water conservation, and green jobs\n\n\n\nGreenbacker\u2019s renewable energy investment activities continued to deliver on ESG metrics. As of September 30, 2022, the Company\u2019s renewable energy assets have cumulatively generated over 5.6 million MWh of clean power, abating more than 4.8 million metric tons of carbon since January 2016.4\n\n\n\nThe Company\u2019s clean energy projects have saved roughly 3.7 billion gallons of water,5 compared to the amount of water needed to produce the same amount of power from burning coal, and its business activities will sustain over 5,200 green jobs.6\n\n\n\nDavid Sher, Director of Greenbacker, said:\n\n\n\n\u201cMarket demand continues to increase for investments that help drive a future powered by cheaper clean energy. Greenbacker remains well positioned to bring clean power opportunities to market that will meet that demand.\u201d\n\n\n\n\n\n\n\nAppendix \u2013 GREC Portfolio and Financial Metrics1\n\n\n\n 3Q223Q21Total energy produced (MWh)636,150392,010Total number of fleet assets at end of period456337Total power-generating capacity of fleet at end of period (GW)3.0 2.2Total capital raised in investment vehicles managed by GCM (millions)7$59.3$9.3\n\n\n\n\n\n\n\nForward-Looking Statements\n\n\n\nThis press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. Although Greenbacker believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. Greenbacker undertakes no obligation to update any forward-looking statement contained herein to conform to actual results or changes in its expectations.\n\n\n\nNon-GAAP Financial Measures\n\n\n\nIn addition to evaluating the Company\u2019s performance on a U.S. GAAP basis, the Company now utilizes certain non-GAAP financial measures to analyze the operating performance of our segments as well as our consolidated business. Each of these measures should not be considered in isolation from or as superior to or as a substitute for other financial measures determined in accordance with U.S. GAAP, such as net income (loss) or operating income (loss). The Company uses these non-GAAP financial measures to supplement its U.S. GAAP results in order to provide a more complete understanding of the factors and trends affecting its operations.\n\n\n\nAdjusted EBITDA and Segment Adjusted EBITDA\n\n\n\nAdjusted EBITDA and Segment Adjusted EBITDA are non-GAAP financial measures that the Company uses as performance measures, as well as for internal planning purposes. We believe that Adjusted EBITDA and Segment Adjusted EBITDA are useful to management and investors in providing a measure of core financial performance adjusted to allow for comparisons of results of operations across reporting periods on a consistent basis, as it includes adjustments relating to items that are not indicative on the ongoing operating performance of the business.\n\n\n\nAdjusted EBITDA and Segment Adjusted EBITDA are performance measures used by management that are not calculated in accordance with U.S. GAAP. Adjusted EBITDA and Segment Adjusted EBITDA should not be considered in isolation from or as superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP. Additionally, our calculation of Adjusted EBITDA and Segment Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies.\n\n\n\nFunds From Operations\n\n\n\nFFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing operating performance of the business. FFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment. \n\n\n\nThe Company believes that the analysis and presentation of FFO will enhance our investor\u2019s understanding of the ongoing performance of our operating business. The Company will consider FFO, in addition to other GAAP and non-GAAP measures, in assessing operating performance and as a proxy for growth in distribution coverage over the long-term.\n\n\n\nFFO should not be considered in isolation from or as a superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP.\n\n\n\nGeneral Disclosure\n\n\n\nThis information has been prepared solely for informational purposes and is not an offer to buy or sell or a solicitation of an offer to buy or sell any security, or to participate in any trading or investment strategy. The information presented herein may involve Greenbacker\u2019s views, estimates, assumptions, facts, and information from other sources that are believed to be accurate and reliable and are, as of the date this information is presented, subject to change without notice.\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNon-GAAP Reconciliations\n\n\n\nAdjusted EBITDA\n\n\n\nThe following table reconciles Net loss attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA:\n\n\n\n\n\n\n\nThe Company defines Adjusted EBITDA as net income (loss) before: (i) interest expense; (ii) income taxes; (iii) depreciation expense; (iv) amortization expense (including contract amortization); (v) accretion; (vi) amounts attributable to our redeemable and non-redeemable noncontrolling interests; (vii) unrealized gains and losses on financial instruments; (viii) other income (loss); and (ix) foreign currency gain (loss). Additionally, the Company further adjusts for the following items described below:\n\n\n\nShare-based compensation is excluded from Adjusted EBITDA as it is different from other forms of compensation as it is a non-cash expense and is highly variable. For example, a cash salary generally has a fixed and unvarying cash cost. In contrast, the expense associated with an equity-based award is generally unrelated to the amount of cash ultimately received by the employee, and the cost to the Company is based on a share-based compensation valuation methodology and underlying assumptions that may vary over time;The change in fair value of contingent consideration, which is related to the Acquisition, is excluded from Adjusted EBITDA, if any such change occurs during the period. The non-cash, mark-to-market adjustments are based on the expected achievement of revenue targets that are difficult to forecast and can be variable, making comparisons across historical and future quarters difficult to evaluate; andOther costs that are not consistently occurring, not reflective of expected future operating expense and provide no insight into the fundamentals of current or past operations of our business are excluded from Adjusted EBITDA. This includes costs such as professional fees incurred as part of the Acquisition and the change in status and other non-recurring costs unrelated to the ongoing operations of the Company.\n\n\n\nSegment Adjusted EBITDA\n\n\n\nThe following table reconciles total Segment Adjusted EBITDA to Net loss attributable to Greenbacker Renewable Energy Company LLC:\n\n\n\n\n\n\n\nSegment Adjusted EBITDA is determined for our segments consistent with the adjustments noted above for Adjusted EBITDA, but further excludes unallocated corporate expenses as these items are centrally controlled and are not directly attributable to any reportable segment.\n\n\n\nSegment Adjusted EBITDA is a performance measure used by management that is not calculated in accordance with U.S. GAAP. Segment Adjusted EBITDA should not be considered in isolation from or as superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP. Additionally, our calculations of Adjusted EBITDA and Segment Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies.\n\n\n\nFunds From Operations\n\n\n\nThe following table reconciles Net loss attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA and then to FFO:\n\n\n\n\n\n\n\nFFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing performance of the business.\n\n\n\nFFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment.\n\n\n\n\n\n\n\n1 The financial and portfolio metrics set forth herein are unaudited and subject to change. Past performance is not indicative of future results.\n\n\n\n2 Total AUM includes GREC and GCM\u2019s managed funds. AUM represents the underlying fair value of investments, determined generally in accordance with ASC 820, cash and cash equivalents and project level debt. These figures are unaudited and subject to change. \n\n\n\n3 Total assets and megawatts statistics include those projects where the Company has contracted for the acquisition of the project pursuant to a Membership Interest Purchase Agreement (\u201cMIPA\u201d).\n\n\n\n4 When compared with a similar amount of power generation from fossil fuels. Carbon abatement is calculated using the EPA Greenhouse Gas Equivalencies Calculator which uses the Avoided Emissions and generation Tool (AVERT) US national weighted average CO2 marginal emission rate to convert reductions of kilowatt-hours into avoided units of carbon dioxide emissions. \n\n\n\n5 Gallons of water saved are calculated based on Operational water consumption and withdrawal factors for electricity generating technologies: a review of existing literature \u2013 IOPscience, J Macknick et al 2012 Environ. Res. Lett. 7 045802.\n\n\n\n6 Green jobs are calculated from the International Renewable Energy Agency‘s measurement that one megawatt of renewable power supports 3.8 jobs. Data is as of September 30, 2022.\n\n\n\n7 Excludes capital raised in GREC in Q3 2021 given that GREC is currently closed to new equity capital. \nThe post Greenbacker delivers third quarter results appeared first on Greenbacker Capital.", "date_published": "2022-12-07T09:00:00+00:00", "date_modified": "2022-12-07T14:53:26+00:00", "authors": [ { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" } ], "author": { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" }, "image": "https://greenbackercapital.com/wp-content/uploads/2022/10/Greenbacker-wind-power-turbines-scaled-e1666356345937.jpg", "tags": [ "GREC", "Press" ], "summary": "Greenbacker Renewable Energy Company delivers third quarter results which included financial and operational results across business segments." }, { "id": "https://greenbackercapital.com/?p=4175", "url": "https://greenbackercapital.com/2022/11/greenbacker-closes-new-150-million-senior-secured-sustainability-revolving-credit-facility/", "title": "Greenbacker closes new $150 million senior secured sustainability revolving credit facility", "content_html": "\nCompany\u2019s first sustainability loan reaffirms its mission, further strengthens its investment in the clean energy transition
\n\n\n\nNew York, NY, November 29, 2022 — Greenbacker Renewable Energy Company LLC (\u201cGREC\u201d or \u201cGreenbacker\u201d), a leading climate-focused investment manager and independent power producer, today announced that it completed the closing of a new $150.0 million senior secured sustainability revolving credit facility. The closing of the credit facility reaffirms Greenbacker\u2019s position among renewable energy companies as a well-capitalized owner and operator with access to capital through market cycles.
\n\n\n\nThe facility is Greenbacker\u2019s first financing structured as a sustainability loan, a form of financing specifically used to support projects with environmental and social benefits. Fifth Third Bank served as the administrative agent, with Fifth Third Bank, KeyBanc Capital Markets, and Wells Fargo serving as joint lead arrangers. Wells Fargo was the sustainability structuring agent.
\n\n\n\n\n\n\n\n\u201cWe\u2019re committed to empowering a sustainable world, driving a just energy transition, and enabling communities across the country to participate in the green economy,\u201d said Armand Dehaney, VP of Investments at GREC. \u201cThis sustainability revolving credit facility reaffirms Greenbacker\u2019s ability to make clean energy investments, create equitable partnerships in our communities, and prioritize responsible stewardship of the land.\u201d
Wells Fargo served as the Sustainability Structuring Agent on this sustainable finance transaction for Greenbacker and supported the company in establishing its inaugural Sustainability Loan Framework. The debt was issued under both Green Loan Principles and Social Loan Principles, which aim to facilitate environmentally sustainable and socially inclusive economic activity.
\n\n\n\n\n\n\n\n\u201cWe are pleased to support Greenbacker\u2019s inaugural sustainability loan and their ongoing commitment to renewable energy and positive social impact,\u201d said Alok Garg, Head of Renewables & Asset Finance, Wells Fargo Corporate & Investment Bank.
Greenbacker will deploy borrowings from the credit facility into investments that include renewable energy generation, battery storage, energy efficiency, resource stewardship, and community solar projects serving under-resourced communities.
\n\n\n\nThis dedicated corporate revolving credit facility replaces a $40 million letter of credit facility. Along with substantially greater borrowing capacity, the new revolving credit facility provides enhanced flexibility for Greenbacker\u2019s sustainable investment, as the facility is structured to issue letters of credit or be drawn as cash.
\n\n\n\nGreenbacker\u2019s fleet of clean energy projects comprises nearly 2.9 GW of generating capacity. Since 2016, Greenbacker\u2019s real assets have produced over 4.9 million megawatt-hours1 of clean energy, abating more than 3.5 million metric tons of carbon.2 Today these projects support over 5,200 green jobs.3
\n\n\n\n1 Data is as of June 30, 2022.
\n\n\n\n2 EPA Greenhouse Gas Equivalencies Calculator. Data is as of June 30, 2022.
\n\n\n\n3 Green jobs are calculated from the\u00a0International Renewable Energy Agency‘s measurement that one megawatt of renewable power supports 3.8 jobs. Data is as of June 30, 2022.
\nThe post Greenbacker closes new $150 million senior secured sustainability revolving credit facility appeared first on Greenbacker Capital.
\n", "content_text": "Company\u2019s first sustainability loan reaffirms its mission, further strengthens its investment in the clean energy transition\n\n\n\nNew York, NY, November 29, 2022 — Greenbacker Renewable Energy Company LLC (\u201cGREC\u201d or \u201cGreenbacker\u201d), a leading climate-focused investment manager and independent power producer, today announced that it completed the closing of a new $150.0 million senior secured sustainability revolving credit facility. The closing of the credit facility reaffirms Greenbacker\u2019s position among renewable energy companies as a well-capitalized owner and operator with access to capital through market cycles.\n\n\n\nThe facility is Greenbacker\u2019s first financing structured as a sustainability loan, a form of financing specifically used to support projects with environmental and social benefits. Fifth Third Bank served as the administrative agent, with Fifth Third Bank, KeyBanc Capital Markets, and Wells Fargo serving as joint lead arrangers. Wells Fargo was the sustainability structuring agent.\n\n\n\n\u201cWe\u2019re committed to empowering a sustainable world, driving a just energy transition, and enabling communities across the country to participate in the green economy,\u201d said Armand Dehaney, VP of Investments at GREC. \u201cThis sustainability revolving credit facility reaffirms Greenbacker\u2019s ability to make clean energy investments, create equitable partnerships in our communities, and prioritize responsible stewardship of the land.\u201d\n\n\n\nWells Fargo served as the Sustainability Structuring Agent on this sustainable finance transaction for Greenbacker and supported the company in establishing its inaugural Sustainability Loan Framework. The debt was issued under both Green Loan Principles and Social Loan Principles, which aim to facilitate environmentally sustainable and socially inclusive economic activity.\n\n\n\n\u201cWe are pleased to support Greenbacker\u2019s inaugural sustainability loan and their ongoing commitment to renewable energy and positive social impact,\u201d said Alok Garg, Head of Renewables & Asset Finance, Wells Fargo Corporate & Investment Bank.\n\n\n\nGreenbacker will deploy borrowings from the credit facility into investments that include renewable energy generation, battery storage, energy efficiency, resource stewardship, and community solar projects serving under-resourced communities.\n\n\n\nThis dedicated corporate revolving credit facility replaces a $40 million letter of credit facility. Along with substantially greater borrowing capacity, the new revolving credit facility provides enhanced flexibility for Greenbacker\u2019s sustainable investment, as the facility is structured to issue letters of credit or be drawn as cash.\n\n\n\nGreenbacker\u2019s fleet of clean energy projects comprises nearly 2.9 GW of generating capacity. Since 2016, Greenbacker\u2019s real assets have produced over 4.9 million megawatt-hours1 of clean energy, abating more than 3.5 million metric tons of carbon.2 Today these projects support over 5,200 green jobs.3\n\n\n\n\n\n\n\n1 Data is as of June 30, 2022.\n\n\n\n2 EPA Greenhouse Gas Equivalencies Calculator. Data is as of June 30, 2022.\n\n\n\n3 Green jobs are calculated from the\u00a0International Renewable Energy Agency‘s measurement that one megawatt of renewable power supports 3.8 jobs. Data is as of June 30, 2022.\nThe post Greenbacker closes new $150 million senior secured sustainability revolving credit facility appeared first on Greenbacker Capital.", "date_published": "2022-11-29T09:00:00+00:00", "date_modified": "2022-11-29T15:08:08+00:00", "authors": [ { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" } ], "author": { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" }, "image": "https://greenbackercapital.com/wp-content/uploads/2022/10/Greenbacker-planting-pollinator-habitat-solar-panels-e1666883935901.jpg", "tags": [ "GREC", "Press" ], "summary": "Greenbacker announced that it completed the closing of a new $150.0 million senior secured sustainability revolving credit facility. The closing of the credit facility reaffirms Greenbacker\u2019s position among renewable energy companies as a well-capitalized owner and operator with access to capital through market cycles." }, { "id": "https://greenbackercapital.com/?p=4159", "url": "https://greenbackercapital.com/2022/11/greenbacker-delivers-second-quarter-results-2/", "title": "Greenbacker delivers second quarter results", "content_html": "\nKey Takeaways
\n\n\n\nNew York, NY, November 23, 2022 \u2014 Greenbacker Renewable Energy Company LLC (\u201cGreenbacker,\u201d \u201cGREC,\u201d or the \u201cCompany\u201d), an independent power producer and a leading climate-focused investment manager, has announced financial results for the second quarter of 2022.
\n\n\n\n
Second quarter included historic operational expansion
The Company\u2019s previously released second quarter operating results noted record year-over-year growth in several aspects of the business. These included doubling GREC\u2019s operating capacity to over 1,200 megawatts (\u201cMW\u201d), growing its total clean\u2013energy production by 82%, and adding 123 new assets to its fleet of renewable energy projects.
\n\n\n\nTable 1 summarizes Greenbacker\u2019s year-over-year operational portfolio expansion. Table 2 shows significant increases in the amount of power the Company produced during the three- and six-month periods ended June 30, 2022, as well as on a year-over-year basis, broken down by generating technology.
\n\n\n\nTable 1
\n\n\n\n| GREC Portfolio Metrics | June 30, 2022 | June 30, 2021 | Change | Change as % |
| Power-production capacity of operating fleet at end of period | 1.2 GW | 608.6 MW | 607.4 MW | 100% |
| Power-generating capacity of pre-operational fleet at end of period | 1.6 GW | 1.5 GW | 0.2 GW | 11% |
| Total power-generating capacity of fleet at end of period | 2.9 GW | 2.1 GW | 0.8 GW | 37% |
| Total energy produced (MWh) | 656,125 | 360,941 | 295,184 | 82% |
| YTD total energy produced at end of period (MWh) | 1,161,792 | 685,411 | 476,381 | 70% |
| Total number of fleet assets at end of period | 425 | 302 | 123 | 41% |
Table 2
\n\n\n\n| MWh by Technology | Three months ended June 30, 2022 | Six months ended June 30, 2022 | Three months ended June 30, 2021 | Six months ended June 30, 2021 | YoY change for three months ended June 30 | YoY change for six months ended June 30 |
| Commercial Solar | 323,790 | 502,954 | 172,608 | 284,981 | 88% | 76% |
| Residential Solar | – | – | 101 | 101 | -100% | -100% |
| Wind | 311,307 | 613,545 | 163,540 | 352,257 | 90% | 74% |
| Biomass | 21,028 | 45,293 | 24,692 | 48,072 | -15% | -6% |
| Total | 656,125 | 1,161,792 | 360,941 | 685,411 | 82% | 70% |
Company reports results in new financial statement presentation due to the acquisition of its external advisor
As previously announced, on May 19, 2022, the Company completed the acquisition of Greenbacker Capital Management LLC (\u201cGCM\u201d) and certain other affiliated companies (the \u201cAcquisition\u201d). As a result of the Acquisition, the Company now operates as a fully integrated and internally managed company with its own executive management team and other employees to manage its business and operations.
\n\n\n\nAs a result of the Acquisition and other steps taken by the Company to transition the Company\u2019s business from mostly an investor in clean energy projects to a diversified independent power producer coupled with an investment management business, the Company was required to transition the basis of its accounting. Since inception, the Company\u2019s historical financial statements had been prepared using the investment company basis of accounting in accordance with ASC Topic 946, Financial Services \u2013 Investment Companies.
\n\n\n\nSince the Acquisition and accounting change occurred during the Company\u2019s second fiscal quarter, financial results for the period April 1, 2022 through May 18, 2022 are presented in accordance with historical investment company basis of accounting, and financial results for the period from May 19, 2022 through June 30, 2022 are presented under non-investment company accounting guidance. Given that the financial information is not comparable, the Company included its consolidated financial statements for both time periods.
\n\n\n\nThis change to the financial statement presentation reflects the next step in Greenbacker\u2019s evolution, enabling the Company to enhance and align the financial transparency of its operating results to both the underlying drivers of performance, as included herein, as well as the comparability to similar renewable energy and investment management businesses. Greenbacker believes that as it executes its strategy of owning and operating renewable energy assets as an IPP\u2014while also expanding its investment management business \u2014this update to the Company\u2019s financial presentation will better align with its business activities.
\n\n\n\n
Greenbacker: An Independent Power Producer and an Investment Manager
Financial information will now be presented for the Company\u2019s two operating segments: Independent Power Producer and Investment Management. Included in the Company\u2019s second quarter quarterly report on Form 10-Q are discrete financial results and analysis for the two segments, as well as information regarding corporate functions.
\n\n\n\nWe believe that reporting financial results and the key performance indicators of the Independent Power Producer and Investment Management segments will provide our investors with a better understanding of how our business is progressing and how our strategy creates value for our shareholders.
\n\n\n\n
Independent Power Producer (\u201cIPP\u201d)
Our Independent Power Producer segment is comprised of the acquisition of and active management and operations of renewable energy assets, including those that are currently pre-operational.
\n\n\n\nAs of June 30, 2022, our IPP fleet includes 425 renewable energy assets which represent an aggregate power-generating capacity of 2.9GW once fully operational. The Company\u2019s renewable energy assets generally earn revenue through the sale of generated electricity and through the sale of other commodities such as renewable energy credits (\u201cREC\u201d).
\n\n\n\nIncluded in the results of operations for our IPP segment are the direct operating costs incurred to operate our fleet; including costs incurred for operations at the site level as well as Greenbacker\u2019s internal team of technical asset managers monitoring the performance of our assets.
\n\n\n\n
Investment Management (\u201cIM\u201d)
Our IM segment represents GCM\u2019s investment management platform \u2013 a climate focused investment management company with fund formation, capital raising, asset acquisition, financing, consulting, and development capabilities that is registered with the Securities and Exchange Commission as an investment adviser. The Company believes that the IM business will enable it to further diversify its revenue streams through investment management of funds on behalf of external investors. GCM\u2019s platform will allow the Company to raise and deploy capital for the managed funds \u2013 consistent with our overall mission and expanding our ability to positively impact social and environmental challenges.
\n\n\n\nThe primary source of IM revenues will be management fees earned under the respective advisory agreements with our managed funds and are generally based upon the underlying net asset value of the managed funds for which GCM provides investment management services. For certain of our IM customers, the Company is also eligible to receive certain performance-based fees. The primary source of IM operating expenses will include the costs of raising and deploying capital for the managed funds. As of November 23, 2022, GCM serves as the registered investment adviser to four funds in the renewable energy industry.
\n\n\n\n
Second Quarter Financial Results
NOTE: See the Company’s Q2 2022 10-Q filed with the SEC for quarterly financial information and important related disclosures.
\n\n\n\n| In Thousands Unaudited | For the period from May 19, 2022 through June 30, 2022 |
| Select Financial Information | |
| Total Revenue | $ 19,615 |
| Total operating revenue (1) | 21,453 |
| Net income (loss) attributable to Greenbacker | 1,936 |
| Adjusted EBITDA (2) | $ 7,999 |
| Funds From Operations (FFO) (2) | 1,666 |
During the period from May 19, 2022 through June 30, 2022, the Company generated total operating revenue, which excludes contract amortization, of $21.5 million. This includes $17.2 million from the sale of energy generated under the Company\u2019s power purchase agreements (\u201cPPAs\u201d) and $1.9 million of REC and other incentive revenue.
\n\n\n\nNet income attributable to the Company was $1.9 million for the period from May 19, 2022 through June 30, 2022.
\n\n\n\nAdjusted EBITDA and FFO, both of which are non-GAAP measures, were $8.0 million and $1.7 million, respectively, for the period from May 19, 2022 through June 30, 2022.
\n\n\n\nThe Company will provide additional details on full-quarter financial results and the underlying business drivers of financial performance, as well as comparison to historical periods (when possible), in future financial updates.
\n\n\n\nThe Company has included consolidated financial statements as prepared under both non-investment company accounting and investment company accounting as included in our quarterly report on Form 10-Q for the quarter ended June 30, 2022, in subsequent sections of this press release.
\n\n\n\n
Non-GAAP Financial Measures
In addition to evaluating the Company\u2019s performance on a U.S. GAAP basis, the Company now utilizes certain non-GAAP financial measures to analyze the operating performance of our segments as well as our consolidated business. Each of these measures should not be considered in isolation from or as superior to or as a substitute for other financial measures determined in accordance with U.S. GAAP, such as net income (loss) or operating income (loss). The Company uses these non-GAAP financial measures to supplement its U.S. GAAP results in order to provide a more complete understanding of the factors and trends affecting its operations.
\n\n\n\nAdjusted EBITDA
\n\n\n\nAdjusted EBITDA is a non-GAAP financial measure that the Company uses as a performance measure, as well as for internal planning purposes. We believe that Adjusted EBITDA is useful to management and investors in providing a measure of core financial performance adjusted to allow for comparisons of results of operations across reporting periods on a consistent basis, as it includes adjustments relating to items that are not indicative of the ongoing operating performance of the business.
\n\n\n\nAdjusted EBITDA is a performance measure used by management that is not calculated in accordance with U.S. GAAP. Adjusted EBITDA should not be considered in isolation from or as superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP. Additionally, our calculation of Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies.
\n\n\n\nFunds From Operations
\n\n\n\nFFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing operating performance of the business. FFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment.
\n\n\n\nThe Company believes that the analysis and presentation of FFO\u00a0will enhance our investor\u2019s understanding of the ongoing performance of our operating business. The Company will consider FFO, in addition to other GAAP and non-GAAP measures, in assessing operating performance and as a proxy for growth in distribution coverage over the long-term.
\n\n\n\nFFO should not be considered in isolation from or as a superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP.
\n\n\n\nRefer to Non-GAAP Reconciliations for reconciliations from net income as determined under U.S. GAAP to Adjusted EBITDA and FFO.
\n\n\n\nNon-Investment Company Accounting Financial Statements
\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2022/10/results-q2-table1.png\")
![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2022/10/results-q2-table2.png\")
![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2022/10/results-q2-table3.png\")
Investment Company Accounting Financial Statements
\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2022/10/results-q2-table4.png\")
![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2022/10/results-q2-table5.png\")
Non-GAAP Reconciliations
Adjusted EBITDA The following table reconciles Net income attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA:
\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2022/10/results-q2-table6.png\")
The Company defines Adjusted EBITDA as net income (loss) before: (i) interest expense; (ii) income taxes; (iii) depreciation expense; (iv) amortization expense (including contract amortization); (v) accretion; (vi) amounts attributable to our redeemable and non-redeemable noncontrolling interests; (vii) unrealized gains and losses on financial instruments; (viii) other income (loss); and (ix) foreign currency gain (loss). Additionally, the Company further adjusts for the following items described below:
\n\n\n\n\u2022 Share-based compensation is excluded from Adjusted EBITDA as it is different from other forms of compensation as it is a non-cash expense and is highly variable. For example, a cash salary generally has a fixed and unvarying cash cost. In contrast, the expense associated with an equity-based award is generally unrelated to the amount of cash ultimately received by the employee, and the cost to the Company is based on a share-based compensation valuation methodology and underlying assumptions that may vary over time;
\u2022 The change in fair value of contingent consideration, which is related to the Acquisition, is excluded from Adjusted EBITDA, if any such change occurs during the period. The non-cash, mark-to-market adjustments are based on the expected achievement of revenue targets that are difficult to forecast and can be variable, making comparisons across historical and future quarters difficult to evaluate; and
\u2022 Other costs that are not consistently occurring, not reflective of expected future operating expense and provide no insight into the fundamentals of current or past operations of our business are excluded from Adjusted EBITDA. This includes costs such as professional fees incurred as part of the Acquisition and the change in status and other non-recurring costs unrelated to the ongoing operations of the Company.
Funds From Operations
The following table reconciles Net income attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA and then to FFO:
![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2022/10/results-q2-table7.png\")
FFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing operating performance of the business.
FFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment.
\n\n\n\nThe financial and portfolio metrics set forth herein are unaudited and subject to change. Past performance is not indicative of future results.
\n\n\n\n
About Greenbacker
Greenbacker Renewable Energy Company LLC (GREC) is a publicly reporting, non-traded limited liability sustainable infrastructure company that both acquires and manages income-producing renewable energy and other energy-related businesses, including solar and wind farms, and provides investment management services to other renewable energy investment vehicles. We seek to acquire and operate high-quality projects that sell clean power under long-term contracts to high-creditworthy counterparties such as utilities, municipalities, and corporations. We are long-term owner-operators, who strive to be good stewards of the land and responsible members of the communities in which we operate. GREC conducts its investment management business through its wholly owned subsidiary, Greenbacker Capital Management, LLC, an SEC-registered investment adviser. We believe our focus on power production and asset management creates value that we can then pass on to our shareholders\u2014while facilitating the transition toward a clean energy future. For more information, please visit www.greenbackercapital.com.
\n\n\n\nForward-Looking Statements
\n\n\n\nThis press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. Although Greenbacker believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. Greenbacker undertakes no obligation to update any forward-looking statement contained herein to conform to actual results or changes in its expectations.
\nThe post Greenbacker delivers second quarter results appeared first on Greenbacker Capital.
\n", "content_text": "Key Takeaways\n\n\n\n\nSecond quarter included historic operational expansion.\n\n\n\nCompany reports results in new financial statement presentation due to the acquisition of its external advisor.\n\n\n\nGreenbacker: An Independent Power Producer and an Investment Manager.\n\n\n\n\n\n\n\n\nNew York, NY, November 23, 2022 \u2014 Greenbacker Renewable Energy Company LLC (\u201cGreenbacker,\u201d \u201cGREC,\u201d or the \u201cCompany\u201d), an independent power producer and a leading climate-focused investment manager, has announced financial results for the second quarter of 2022.\n\n\n\nSecond quarter included historic operational expansion\n\n\n\nThe Company\u2019s previously released second quarter operating results noted record year-over-year growth in several aspects of the business. These included doubling GREC\u2019s operating capacity to over 1,200 megawatts (\u201cMW\u201d), growing its total clean\u2013energy production by 82%, and adding 123 new assets to its fleet of renewable energy projects.\n\n\n\nTable 1 summarizes Greenbacker\u2019s year-over-year operational portfolio expansion. Table 2 shows significant increases in the amount of power the Company produced during the three- and six-month periods ended June 30, 2022, as well as on a year-over-year basis, broken down by generating technology.\n\n\n\nTable 1\n\n\n\nGREC Portfolio MetricsJune 30, 2022June 30, 2021ChangeChange as %Power-production capacity of operating fleet at end of period1.2 GW608.6 MW607.4 MW100%Power-generating capacity of pre-operational fleet at end of period1.6 GW1.5 GW0.2 GW11%Total power-generating capacity of fleet at end of period2.9 GW2.1 GW0.8 GW37%Total energy produced (MWh)656,125360,941295,18482%YTD total energy produced at end of period (MWh)1,161,792685,411476,38170%Total number of fleet assets at end of period42530212341%\n\n\n\nTable 2\n\n\n\nMWh by TechnologyThree months ended June 30, 2022Six months ended June 30, 2022Three months ended June 30, 2021Six months ended June 30, 2021YoY change for three months ended June 30YoY change for six months ended June 30Commercial Solar323,790502,954172,608284,98188%76%Residential Solar––101101-100%-100%Wind311,307613,545163,540352,25790%74%Biomass21,02845,29324,69248,072-15%-6%Total656,1251,161,792360,941685,41182%70%\n\n\n\nCompany reports results in new financial statement presentation due to the acquisition of its external advisor\n\n\n\nAs previously announced, on May 19, 2022, the Company completed the acquisition of Greenbacker Capital Management LLC (\u201cGCM\u201d) and certain other affiliated companies (the \u201cAcquisition\u201d). As a result of the Acquisition, the Company now operates as a fully integrated and internally managed company with its own executive management team and other employees to manage its business and operations.\n\n\n\nAs a result of the Acquisition and other steps taken by the Company to transition the Company\u2019s business from mostly an investor in clean energy projects to a diversified independent power producer coupled with an investment management business, the Company was required to transition the basis of its accounting. Since inception, the Company\u2019s historical financial statements had been prepared using the investment company basis of accounting in accordance with ASC Topic 946, Financial Services \u2013 Investment Companies.\n\n\n\nSince the Acquisition and accounting change occurred during the Company\u2019s second fiscal quarter, financial results for the period April 1, 2022 through May 18, 2022 are presented in accordance with historical investment company basis of accounting, and financial results for the period from May 19, 2022 through June 30, 2022 are presented under non-investment company accounting guidance. Given that the financial information is not comparable, the Company included its consolidated financial statements for both time periods.\n\n\n\nThis change to the financial statement presentation reflects the next step in Greenbacker\u2019s evolution, enabling the Company to enhance and align the financial transparency of its operating results to both the underlying drivers of performance, as included herein, as well as the comparability to similar renewable energy and investment management businesses. Greenbacker believes that as it executes its strategy of owning and operating renewable energy assets as an IPP\u2014while also expanding its investment management business \u2014this update to the Company\u2019s financial presentation will better align with its business activities.\n\n\n\nGreenbacker: An Independent Power Producer and an Investment Manager\n\n\n\nFinancial information will now be presented for the Company\u2019s two operating segments: Independent Power Producer and Investment Management. Included in the Company\u2019s second quarter quarterly report on Form 10-Q are discrete financial results and analysis for the two segments, as well as information regarding corporate functions.\n\n\n\nWe believe that reporting financial results and the key performance indicators of the Independent Power Producer and Investment Management segments will provide our investors with a better understanding of how our business is progressing and how our strategy creates value for our shareholders.\n\n\n\n Independent Power Producer (\u201cIPP\u201d)\n\n\n\nOur Independent Power Producer segment is comprised of the acquisition of and active management and operations of renewable energy assets, including those that are currently pre-operational.\n\n\n\nAs of June 30, 2022, our IPP fleet includes 425 renewable energy assets which represent an aggregate power-generating capacity of 2.9GW once fully operational. The Company\u2019s renewable energy assets generally earn revenue through the sale of generated electricity and through the sale of other commodities such as renewable energy credits (\u201cREC\u201d).\n\n\n\nIncluded in the results of operations for our IPP segment are the direct operating costs incurred to operate our fleet; including costs incurred for operations at the site level as well as Greenbacker\u2019s internal team of technical asset managers monitoring the performance of our assets.\n\n\n\nInvestment Management (\u201cIM\u201d)\n\n\n\nOur IM segment represents GCM\u2019s investment management platform \u2013 a climate focused investment management company with fund formation, capital raising, asset acquisition, financing, consulting, and development capabilities that is registered with the Securities and Exchange Commission as an investment adviser. The Company believes that the IM business will enable it to further diversify its revenue streams through investment management of funds on behalf of external investors. GCM\u2019s platform will allow the Company to raise and deploy capital for the managed funds \u2013 consistent with our overall mission and expanding our ability to positively impact social and environmental challenges. \n\n\n\nThe primary source of IM revenues will be management fees earned under the respective advisory agreements with our managed funds and are generally based upon the underlying net asset value of the managed funds for which GCM provides investment management services. For certain of our IM customers, the Company is also eligible to receive certain performance-based fees. The primary source of IM operating expenses will include the costs of raising and deploying capital for the managed funds. As of November 23, 2022, GCM serves as the registered investment adviser to four funds in the renewable energy industry.\n\n\n\nSecond Quarter Financial Results \n\n\n\nNOTE: See the Company’s Q2 2022 10-Q filed with the SEC for quarterly financial information and important related disclosures.\n\n\n\nIn Thousands UnauditedFor the period from May 19, 2022 through June 30, 2022Select Financial InformationTotal Revenue$ 19,615Total operating revenue (1)21,453Net income (loss) attributable to Greenbacker1,936 Adjusted EBITDA (2)$ 7,999Funds From Operations (FFO) (2)1,666\n\n\n\n\n\u2013 Total operating revenue excludes non-cash contract amortization, net\n\n\n\n\u2013 See \u201cNon-GAAP Financial Measures\u201d for additional discussion\n\n\n\n\nDuring the period from May 19, 2022 through June 30, 2022, the Company generated total operating revenue, which excludes contract amortization, of $21.5 million. This includes $17.2 million from the sale of energy generated under the Company\u2019s power purchase agreements (\u201cPPAs\u201d) and $1.9 million of REC and other incentive revenue.\n\n\n\nNet income attributable to the Company was $1.9 million for the period from May 19, 2022 through June 30, 2022.\n\n\n\nAdjusted EBITDA and FFO, both of which are non-GAAP measures, were $8.0 million and $1.7 million, respectively, for the period from May 19, 2022 through June 30, 2022.\n\n\n\nThe Company will provide additional details on full-quarter financial results and the underlying business drivers of financial performance, as well as comparison to historical periods (when possible), in future financial updates.\n\n\n\nThe Company has included consolidated financial statements as prepared under both non-investment company accounting and investment company accounting as included in our quarterly report on Form 10-Q for the quarter ended June 30, 2022, in subsequent sections of this press release.\n\n\n\nNon-GAAP Financial Measures\n\n\n\nIn addition to evaluating the Company\u2019s performance on a U.S. GAAP basis, the Company now utilizes certain non-GAAP financial measures to analyze the operating performance of our segments as well as our consolidated business. Each of these measures should not be considered in isolation from or as superior to or as a substitute for other financial measures determined in accordance with U.S. GAAP, such as net income (loss) or operating income (loss). The Company uses these non-GAAP financial measures to supplement its U.S. GAAP results in order to provide a more complete understanding of the factors and trends affecting its operations.\n\n\n\nAdjusted EBITDA\n\n\n\nAdjusted EBITDA is a non-GAAP financial measure that the Company uses as a performance measure, as well as for internal planning purposes. We believe that Adjusted EBITDA is useful to management and investors in providing a measure of core financial performance adjusted to allow for comparisons of results of operations across reporting periods on a consistent basis, as it includes adjustments relating to items that are not indicative of the ongoing operating performance of the business.\n\n\n\nAdjusted EBITDA is a performance measure used by management that is not calculated in accordance with U.S. GAAP. Adjusted EBITDA should not be considered in isolation from or as superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP. Additionally, our calculation of Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies.\n\n\n\nFunds From Operations\n\n\n\nFFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing operating performance of the business. FFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment. \n\n\n\nThe Company believes that the analysis and presentation of FFO\u00a0will enhance our investor\u2019s understanding of the ongoing performance of our operating business. The Company will consider FFO, in addition to other GAAP and non-GAAP measures, in assessing operating performance and as a proxy for growth in distribution coverage over the long-term.\n\n\n\nFFO should not be considered in isolation from or as a superior to or as a substitute for net income (loss), operating income (loss) or any other measure of financial performance calculated in accordance with U.S. GAAP.\n\n\n\nRefer to Non-GAAP Reconciliations for reconciliations from net income as determined under U.S. GAAP to Adjusted EBITDA and FFO.\n\n\n\nNon-Investment Company Accounting Financial Statements\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nInvestment Company Accounting Financial Statements\n\n\n\n\n\n\n\n\n\n\n\nNon-GAAP Reconciliations\n\n\n\nAdjusted EBITDA The following table reconciles Net income attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA:\n\n\n\n\n\n\n\nThe Company defines Adjusted EBITDA as net income (loss) before: (i) interest expense; (ii) income taxes; (iii) depreciation expense; (iv) amortization expense (including contract amortization); (v) accretion; (vi) amounts attributable to our redeemable and non-redeemable noncontrolling interests; (vii) unrealized gains and losses on financial instruments; (viii) other income (loss); and (ix) foreign currency gain (loss). Additionally, the Company further adjusts for the following items described below:\n\n\n\n\u2022 Share-based compensation is excluded from Adjusted EBITDA as it is different from other forms of compensation as it is a non-cash expense and is highly variable. For example, a cash salary generally has a fixed and unvarying cash cost. In contrast, the expense associated with an equity-based award is generally unrelated to the amount of cash ultimately received by the employee, and the cost to the Company is based on a share-based compensation valuation methodology and underlying assumptions that may vary over time;\u2022 The change in fair value of contingent consideration, which is related to the Acquisition, is excluded from Adjusted EBITDA, if any such change occurs during the period. The non-cash, mark-to-market adjustments are based on the expected achievement of revenue targets that are difficult to forecast and can be variable, making comparisons across historical and future quarters difficult to evaluate; and\u2022 Other costs that are not consistently occurring, not reflective of expected future operating expense and provide no insight into the fundamentals of current or past operations of our business are excluded from Adjusted EBITDA. This includes costs such as professional fees incurred as part of the Acquisition and the change in status and other non-recurring costs unrelated to the ongoing operations of the Company.\n\n\n\nFunds From OperationsThe following table reconciles Net income attributable to Greenbacker Renewable Energy Company LLC to Adjusted EBITDA and then to FFO:\n\n\n\n\n\n\n\nFFO is a non-GAAP financial measure that the Company uses as a performance measure to analyze net earnings from operations without the effects of certain non-recurring items that are not indicative of the ongoing operating performance of the business.\n\n\n\nFFO is calculated using Adjusted EBITDA less the impact of interest expense (excluding the non-cash component) and distributions to tax equity investors under the financing facilities associated with our IPP segment.\n\n\n\nThe financial and portfolio metrics set forth herein are unaudited and subject to change. Past performance is not indicative of future results.\n\n\n\nAbout Greenbacker\n\n\n\nGreenbacker Renewable Energy Company LLC (GREC) is a publicly reporting, non-traded limited liability sustainable infrastructure company that both acquires and manages income-producing renewable energy and other energy-related businesses, including solar and wind farms, and provides investment management services to other renewable energy investment vehicles. We seek to acquire and operate high-quality projects that sell clean power under long-term contracts to high-creditworthy counterparties such as utilities, municipalities, and corporations. We are long-term owner-operators, who strive to be good stewards of the land and responsible members of the communities in which we operate. GREC conducts its investment management business through its wholly owned subsidiary, Greenbacker Capital Management, LLC, an SEC-registered investment adviser. We believe our focus on power production and asset management creates value that we can then pass on to our shareholders\u2014while facilitating the transition toward a clean energy future. For more information, please visit www.greenbackercapital.com.\n\n\n\nForward-Looking Statements\n\n\n\nThis press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. Although Greenbacker believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. Greenbacker undertakes no obligation to update any forward-looking statement contained herein to conform to actual results or changes in its expectations.\nThe post Greenbacker delivers second quarter results appeared first on Greenbacker Capital.", "date_published": "2022-11-23T08:17:00+00:00", "date_modified": "2023-01-24T21:16:39+00:00", "authors": [ { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" } ], "author": { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" }, "image": "https://greenbackercapital.com/wp-content/uploads/2022/10/Greenbacker-solar-energy-array-scaled-e1666793976509.jpg", "tags": [ "GREC", "Press" ], "summary": "Greenbacker Renewable Energy Company delivers second quarter results which included historic operational expansion as the company reports results in new financial statement presentation." }, { "id": "https://greenbackercapital.com/?p=4152", "url": "https://greenbackercapital.com/2022/10/greenbacker-acquires-nine-net-metering-solar-projects-in-vermont/", "title": "Greenbacker acquires nine net-metering solar projects in Vermont", "content_html": "\nPortfolio will deliver clean energy and help farms and dairies across the state save millions on power bills
\n\n\n\nNew York, NY, October 20, 2022 — Greenbacker Renewable Energy Company LLC (\u201cGREC\u201d or \u201cGreenbacker\u201d), a leading climate-focused investment manager and independent power producer, has purchased, through a wholly owned subsidiary, a portfolio of up to nine pre-operational solar projects from Norwich Solar (\u201cNorwich\u201d). When completed, the projects will lower power bills for local farmers and give new life to brownfield sites restricted from most uses.
\n\n\n\nThe projects have long-term Net Metering Agreements in place with over 30 agricultural offtakers\u2014local farms and dairies across the state. The net-metering aspect of the portfolio means that the utility will reduce the offtakers\u2019 power bills by the amount of clean energy the projects supply to the grid. Each solar project is expected, on average, to save local farmers approximately $500,000 on energy costs over the lifecycle of the projects.
\n\n\n\nAlong with helping farmers save money on electricity costs, Norwich expects the portfolio will generate approximately $7.5 million in local wages during construction, as well as provide local landowners with supplemental long-term income via land lease payments. Additionally, Greenbacker is also actively assessing the portfolio\u2019s potential for agrivoltaics (that is, using project sites for both solar photovoltaic power production and agricultural activities).
\n\n\n\nThe portfolio represents Greenbacker\u2019s first transaction with Norwich, a developer, designer, and engineering, procurement, and construction (EPC) provider of clean energy projects throughout New England. Norwich will continue to perform EPC services for the portfolio.
\n\n\n\nAlong with the clean energy and economic benefits these solar projects provide, three project sites will also transform previous brownfields into sources of cheaper renewable power. The Andover project is located on part of a reclaimed gravel pit no longer in operation, and the Thetford Post Mills and Putney Green Acres projects are located on an abandoned landfill and former paper sludge disposal site, respectively.
\n\n\n\nEach project will have a clean power\u2013production capacity of approximately 840 kWdc, for a total portfolio capacity of up to 7.6 MWdc. Five of the projects are slated to reach commercial operation by the end of 2022, with the other four projects expected to enter operation by the second quarter of 2023.
\n\n\n\nGreenbacker\u2019s fleet of clean energy projects comprises nearly 2.9 GW of generating capacity (including this portfolio and other assets that are to be constructed). Since June 2016, Greenbacker\u2019s real assets have produced over 4.9 million megawatt-hours1 of clean energy, abating more than 3.5 million metric tons of carbon.2 Today these projects support over 5,200 green jobs.3
\n\n\n\n1 Data is as of June 30, 2022.
\n\n\n\n2 EPA Greenhouse Gas Equivalencies Calculator. Data is as of June 30, 2022.
\n\n\n\n3 Green jobs are calculated from the\u00a0International Renewable Energy Agency‘s measurement that one megawatt of renewable power supports 3.8 jobs. Data is as of June 30, 2022.
\nThe post Greenbacker acquires nine net-metering solar projects in Vermont appeared first on Greenbacker Capital.
\n", "content_text": "Portfolio will deliver clean energy and help farms and dairies across the state save millions on power bills\n\n\n\nNew York, NY, October 20, 2022 — Greenbacker Renewable Energy Company LLC (\u201cGREC\u201d or \u201cGreenbacker\u201d), a leading climate-focused investment manager and independent power producer, has purchased, through a wholly owned subsidiary, a portfolio of up to nine pre-operational solar projects from Norwich Solar (\u201cNorwich\u201d). When completed, the projects will lower power bills for local farmers and give new life to brownfield sites restricted from most uses.\n\n\n\nThe projects have long-term Net Metering Agreements in place with over 30 agricultural offtakers\u2014local farms and dairies across the state. The net-metering aspect of the portfolio means that the utility will reduce the offtakers\u2019 power bills by the amount of clean energy the projects supply to the grid. Each solar project is expected, on average, to save local farmers approximately $500,000 on energy costs over the lifecycle of the projects.\n\n\n\nAlong with helping farmers save money on electricity costs, Norwich expects the portfolio will generate approximately $7.5 million in local wages during construction, as well as provide local landowners with supplemental long-term income via land lease payments. Additionally, Greenbacker is also actively assessing the portfolio\u2019s potential for agrivoltaics (that is, using project sites for both solar photovoltaic power production and agricultural activities).\n\n\n\nThe portfolio represents Greenbacker\u2019s first transaction with Norwich, a developer, designer, and engineering, procurement, and construction (EPC) provider of clean energy projects throughout New England. Norwich will continue to perform EPC services for the portfolio.\n\n\n\nAlong with the clean energy and economic benefits these solar projects provide, three project sites will also transform previous brownfields into sources of cheaper renewable power. The Andover project is located on part of a reclaimed gravel pit no longer in operation, and the Thetford Post Mills and Putney Green Acres projects are located on an abandoned landfill and former paper sludge disposal site, respectively.\n\n\n\nEach project will have a clean power\u2013production capacity of approximately 840 kWdc, for a total portfolio capacity of up to 7.6 MWdc. Five of the projects are slated to reach commercial operation by the end of 2022, with the other four projects expected to enter operation by the second quarter of 2023.\n\n\n\nGreenbacker\u2019s fleet of clean energy projects comprises nearly 2.9 GW of generating capacity (including this portfolio and other assets that are to be constructed). Since June 2016, Greenbacker\u2019s real assets have produced over 4.9 million megawatt-hours1 of clean energy, abating more than 3.5 million metric tons of carbon.2 Today these projects support over 5,200 green jobs.3\n\n\n\n\n\n\n\n1 Data is as of June 30, 2022.\n\n\n\n2 EPA Greenhouse Gas Equivalencies Calculator. Data is as of June 30, 2022.\n\n\n\n3 Green jobs are calculated from the\u00a0International Renewable Energy Agency‘s measurement that one megawatt of renewable power supports 3.8 jobs. Data is as of June 30, 2022.\nThe post Greenbacker acquires nine net-metering solar projects in Vermont appeared first on Greenbacker Capital.", "date_published": "2022-10-20T08:27:20+00:00", "date_modified": "2022-10-20T20:17:33+00:00", "authors": [ { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" } ], "author": { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" }, "image": "https://greenbackercapital.com/wp-content/uploads/2022/10/Solar-energy-panels.jpg", "tags": [ "Vermont", "GREC", "Press" ], "summary": "Greenbacker has purchased a portfolio of up to nine pre-operational solar projects. When completed, the projects will lower power bills for local farmers and give new life to brownfield sites restricted from most uses." }, { "id": "https://greenbackercapital.com/?p=4081", "url": "https://greenbackercapital.com/2022/09/greenbacker-acquires-54-mw-pre-operational-wind-farm-in-illinois-from-powerworks/", "title": "Greenbacker acquires 54 MW pre-operational wind farm in Illinois from PowerWorks", "content_html": "\nGreenbacker\u2019s wind fleet expands Midwestern footprint and enters new market with first asset in Illinois
\n\n\n\nNew York, NY, September 20, 2022 — Greenbacker Renewable Energy Company LLC (\u201cGREC\u201d or \u201cGreenbacker\u201d), a leading green energy investment manager and independent power producer, has purchased, through a wholly owned subsidiary, a 54 MW to-be-constructed wind farm from PowerWorks, a national renewable energy project developer, owner, and operator. The wind farm, Panther Creek, is Greenbacker\u2019s first wind energy asset in the state of Illinois.
\n\n\n\nWith the transaction, Greenbacker continues to scale its wind energy portfolio in the Midwest, where it currently has over 190 MW of operating wind assets. The project, located in Pike County, will be Greenbacker\u2019s largest clean energy asset in Illinois, a state in which the renewable energy company has also built a growing community solar presence.
\n\n\n\n\n\n\n\n\n\n\n\n\u201cWe\u2019re thrilled that our partnership with PowerWorks has enabled Greenbacker\u2019s wind fleet to expand into new territory in a big way,\u201d said Charles Wheeler, CEO of GREC. \u201cNot only is Panther Creek our first wind asset delivering cheaper clean energy in the Illinois market, once complete it will also be our largest wind project in the entire Midwestern region.\u201d
Panther Creek is in the final stages of design and development, with necessary permits, land leases, and an interconnection agreement in place, and is slated to reach commercial operation in 2024. When completed, the wind farm is expected to produce enough clean energy to offset over 130,000 metric tons of carbon1 a year.
\n\n\n\n\n\n\n\n\n\n\n\n\u201cWe are very pleased to announce our partnership with Greenbacker and this exciting advancement for the Panther Creek Wind Project,\u201d said Morgan McGovert, Senior Vice President of PowerWorks. \u201cPanther Creek is a wonderful asset for the community, bringing clean and reliable energy, new jobs, and economic opportunities for many years to come.\u201d
Greenbacker\u2019s fleet of clean energy projects comprises nearly 2.9 GW of generating capacity (including the Panther Creek project and other assets that are to be constructed). Since June 2016, Greenbacker\u2019s real assets have produced over 4.9 million megawatt-hours2 of clean energy, abating more than 3.5 million metric tons of carbon.3 Today these projects support over 5,200 green jobs.4
\n\n\n\n1 EPA Greenhouse Gas Equivalencies Calculator. Data is as of August 2022.
\n\n\n\n2 Data is as of June 30, 2022.
\n\n\n\n3 EPA Greenhouse Gas Equivalencies Calculator. Data is as of June 30, 2022.
\n\n\n\n4 Green jobs are calculated from the International Renewable Energy Agency‘s measurement that one megawatt of renewable power supports 3.8 jobs. Data is as of June 30, 2022.
\nThe post Greenbacker acquires 54 MW pre-operational wind farm in Illinois from PowerWorks appeared first on Greenbacker Capital.
\n", "content_text": "Greenbacker\u2019s wind fleet expands Midwestern footprint and enters new market with first asset in Illinois\n\n\n\nNew York, NY, September 20, 2022 — Greenbacker Renewable Energy Company LLC (\u201cGREC\u201d or \u201cGreenbacker\u201d), a leading green energy investment manager and independent power producer, has purchased, through a wholly owned subsidiary, a 54 MW to-be-constructed wind farm from PowerWorks, a national renewable energy project developer, owner, and operator. The wind farm, Panther Creek, is Greenbacker\u2019s first wind energy asset in the state of Illinois.\n\n\n\nWith the transaction, Greenbacker continues to scale its wind energy portfolio in the Midwest, where it currently has over 190 MW of operating wind assets. The project, located in Pike County, will be Greenbacker\u2019s largest clean energy asset in Illinois, a state in which the renewable energy company has also built a growing community solar presence.\n\n\n\n\n\n\n\n\u201cWe\u2019re thrilled that our partnership with PowerWorks has enabled Greenbacker\u2019s wind fleet to expand into new territory in a big way,\u201d said Charles Wheeler, CEO of GREC. \u201cNot only is Panther Creek our first wind asset delivering cheaper clean energy in the Illinois market, once complete it will also be our largest wind project in the entire Midwestern region.\u201d\n\n\n\nPanther Creek is in the final stages of design and development, with necessary permits, land leases, and an interconnection agreement in place, and is slated to reach commercial operation in 2024. When completed, the wind farm is expected to produce enough clean energy to offset over 130,000 metric tons of carbon1 a year.\n\n\n\n\n\n\n\n\u201cWe are very pleased to announce our partnership with Greenbacker and this exciting advancement for the Panther Creek Wind Project,\u201d said Morgan McGovert, Senior Vice President of PowerWorks. \u201cPanther Creek is a wonderful asset for the community, bringing clean and reliable energy, new jobs, and economic opportunities for many years to come.\u201d\n\n\n\nGreenbacker\u2019s fleet of clean energy projects comprises nearly 2.9 GW of generating capacity (including the Panther Creek project and other assets that are to be constructed). Since June 2016, Greenbacker\u2019s real assets have produced over 4.9 million megawatt-hours2 of clean energy, abating more than 3.5 million metric tons of carbon.3 Today these projects support over 5,200 green jobs.4\n\n\n\n\n\n\n\n1 EPA Greenhouse Gas Equivalencies Calculator. Data is as of August 2022.\n\n\n\n2 Data is as of June 30, 2022.\n\n\n\n3 EPA Greenhouse Gas Equivalencies Calculator. Data is as of June 30, 2022.\n\n\n\n4 Green jobs are calculated from the International Renewable Energy Agency‘s measurement that one megawatt of renewable power supports 3.8 jobs. Data is as of June 30, 2022.\nThe post Greenbacker acquires 54 MW pre-operational wind farm in Illinois from PowerWorks appeared first on Greenbacker Capital.", "date_published": "2022-09-20T00:41:07+00:00", "date_modified": "2022-09-20T13:48:15+00:00", "authors": [ { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" } ], "author": { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" }, "image": "https://greenbackercapital.com/wp-content/uploads/2022/09/Greenbacker-wind-energy_crop-2-scaled-e1663681688243.jpg", "tags": [ "Illinois", "GREC", "Press" ], "summary": "Greenbacker continues to scale its Midwestern wind portfolio, entering a new market with its first wind energy asset in Illinois. Once complete, the 54 MW Panther Creek wind farm will be the company\u2019s largest wind project in the region." }, { "id": "https://greenbackercapital.com/?p=4070", "url": "https://greenbackercapital.com/2022/09/greenbacker-secures-186-million-credit-agreement-with-keybank-and-fifth-third-bank/", "title": "Greenbacker secures $186 million credit agreement with KeyBank and Fifth Third Bank", "content_html": "\nFinancing to support construction of two of Greenbacker\u2019s largest solar farms
\n\n\n\nNew York, NY, September 15, 2022 — Greenbacker Renewable Energy Company LLC (\u201cGREC\u201d or \u201cGreenbacker\u201d), a leading green energy investment manager and independent power producer, has entered into a senior credit agreement of $186.2 million with KeyBank N.A. and Fifth Third Bank. KeyBank served as administrative agent for the lenders, and KeyBanc Capital Markets and Fifth Third Bank, National Association served as joint lead arrangers.
\n\n\n\nThe transaction is one of Greenbacker\u2019s largest standalone debt financings to date, providing a construction loan facility to build two of the biggest solar projects in company history.
\n\n\n\nThe MTSun and Fall River solar farms\u2014which make up GREC\u2019s Ponderosa portfolio\u2014are each 80 MWac, and rank among the company\u2019s five largest clean energy projects. Both assets have long-term power purchase agreements in place with local investment-grade utilities, MTSun with Northwestern Energy and Fall River with Black Hills Power, Inc., supporting Greenbacker\u2019s strategy of owning renewable energy assets with reliable long-term revenue.
\n\n\n\n\n\n\n\n\n\n\n\n“We’re thrilled to partner with KeyBank and Fifth Third Bank on this senior credit agreement to build projects that will drive a clean energy future in a very real way,\u201d said Spencer Mash, CFO of GREC. \u201cOnce complete, they\u2019ll deliver cheaper renewable energy to tens of thousands of households across Montana and South Dakota.\u201d
The annual solar energy produced by the pair of utility-scale projects is expected to power over 34,000 homes across the two states, while offsetting over 260,000 metric tons of carbon emissions.1
\n\n\n\n\n\n\n\n\n\n\n\n\u201cThe Ponderosa transaction illustrates our ongoing commitment to grow the renewable energy industry by deploying capital in high-quality assets,\u201d said, Gregory Berman, Director, Utilities Power & Renewables at KeyBanc Capital Markets. \u201cThis represents our seventh financing with Greenbacker, and we look forward to supporting their continued growth as a leader in the energy transition.\u201d
The two assets are located in Yellowstone County, MT and Fall River County, SD, respectively, where they will be among the largest solar energy facilities in their states.
\n\n\n\n\n\n\n\n\n\n\n\n\u201cFifth Third Bank\u2019s commitment to financing renewable energy technologies is well-known and steadfast,\u201d said Kyle Kuhn, Renewable Energy Executive Director, Fifth Third Bank. \u201cWe are pleased to be a part of this milestone transaction with Greenbacker that will support the clean energy transition.\u201d
Greenbacker was advised on the deal by Sheppard, Mullin, Richter & Hampton; Winston & Strawn represented the lenders.
\n\n\n\n1 EPA Greenhouse Gas Equivalencies Calculator.
\nThe post Greenbacker secures $186 million credit agreement with KeyBank and Fifth Third Bank appeared first on Greenbacker Capital.
\n", "content_text": "Financing to support construction of two of Greenbacker\u2019s largest solar farms\n\n\n\nNew York, NY, September 15, 2022 — Greenbacker Renewable Energy Company LLC (\u201cGREC\u201d or \u201cGreenbacker\u201d), a leading green energy investment manager and independent power producer, has entered into a senior credit agreement of $186.2 million with KeyBank N.A. and Fifth Third Bank. KeyBank served as administrative agent for the lenders, and KeyBanc Capital Markets and Fifth Third Bank, National Association served as joint lead arrangers.\n\n\n\nThe transaction is one of Greenbacker\u2019s largest standalone debt financings to date, providing a construction loan facility to build two of the biggest solar projects in company history.\n\n\n\nThe MTSun and Fall River solar farms\u2014which make up GREC\u2019s Ponderosa portfolio\u2014are each 80 MWac, and rank among the company\u2019s five largest clean energy projects. Both assets have long-term power purchase agreements in place with local investment-grade utilities, MTSun with Northwestern Energy and Fall River with Black Hills Power, Inc., supporting Greenbacker\u2019s strategy of owning renewable energy assets with reliable long-term revenue.\n\n\n\n\n\n\n\n“We’re thrilled to partner with KeyBank and Fifth Third Bank on this senior credit agreement to build projects that will drive a clean energy future in a very real way,\u201d said Spencer Mash, CFO of GREC. \u201cOnce complete, they\u2019ll deliver cheaper renewable energy to tens of thousands of households across Montana and South Dakota.\u201d\n\n\n\nThe annual solar energy produced by the pair of utility-scale projects is expected to power over 34,000 homes across the two states, while offsetting over 260,000 metric tons of carbon emissions.1\n\n\n\n\n\n\n\n\u201cThe Ponderosa transaction illustrates our ongoing commitment to grow the renewable energy industry by deploying capital in high-quality assets,\u201d said, Gregory Berman, Director, Utilities Power & Renewables at KeyBanc Capital Markets. \u201cThis represents our seventh financing with Greenbacker, and we look forward to supporting their continued growth as a leader in the energy transition.\u201d\n\n\n\nThe two assets are located in Yellowstone County, MT and Fall River County, SD, respectively, where they will be among the largest solar energy facilities in their states.\n\n\n\n\n\n\n\n\u201cFifth Third Bank\u2019s commitment to financing renewable energy technologies is well-known and steadfast,\u201d said Kyle Kuhn, Renewable Energy Executive Director, Fifth Third Bank. \u201cWe are pleased to be a part of this milestone transaction with Greenbacker that will support the clean energy transition.\u201d\n\n\n\nGreenbacker was advised on the deal by Sheppard, Mullin, Richter & Hampton; Winston & Strawn represented the lenders.\n\n\n\n\n\n\n\n1 EPA Greenhouse Gas Equivalencies Calculator.\nThe post Greenbacker secures $186 million credit agreement with KeyBank and Fifth Third Bank appeared first on Greenbacker Capital.", "date_published": "2022-09-15T01:03:32+00:00", "date_modified": "2022-09-16T14:19:22+00:00", "authors": [ { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" } ], "author": { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" }, "image": "https://greenbackercapital.com/wp-content/uploads/2022/09/LawrenceBrook_091121-184-HDR-scaled-e1663337953128.jpg", "tags": [ "Montana", "South Dakota", "GREC", "Press" ], "summary": "Greenbacker has entered into a senior credit agreement with KeyBank N.A. and Fifth Third Bank. The transaction is one of Greenbacker\u2019s largest standalone debt financings to date, providing a construction loan facility to build two of the biggest solar projects in company history." }, { "id": "https://greenbackercapital.com/?p=3940", "url": "https://greenbackercapital.com/2022/08/greenbacker-announces-second-quarter-business-update/", "title": "Greenbacker announces second quarter business update", "content_html": "\nCompany doubles year-over-year operating capacity, expands renewable energy production and fleet size
\n\n\n\nKey Takeaways
\n\n\n\nNew York, NY, August 10, 2022 \u2014 Greenbacker Renewable Energy Company LLC (\u201cGreenbacker,\u201d \u201cGREC,\u201d or the \u201cCompany\u201d), a leading green energy investment company and independent power producer, has announced an update on its business for the second quarter of 2022. Year-over-year trends\u2014comparing the second quarter of 2022 with the second quarter of 2021\u2014showed substantial growth across operating capacity, fleet size, and production.1
\n\n\n\n
Company\u2019s largest individual asset to reach commercial operation helped double fleet\u2019s operating capacity
The power-production capacity of Greenbacker\u2019s operating fleet doubled, growing just over 100% on a year-over-year basis. The Company added 610 megawatts (MW) of operational assets, as it acquired new operating projects and its under-construction projects entered commercial operation.
\n\n\n\nThis expansion included a new milestone: Greenbacker\u2019s largest operating clean energy asset to date. The 104 MWdc / 80 MWac Graphite Solar project reached commercial operation in late June, and has begun producing clean energy in Carbon County, Utah. (Previously, the Company\u2019s largest operational asset was the 61 MWdc Turquoise Solar in Nevada.)
\n\n\n\nAll power produced by Graphite is being purchased by an investment-grade utility via a long-term power purchase agreement.
\n\n\n\n![\"\"](\"https://greenbackercapital.com/wp-content/uploads/2022/08/Greenbacker-solar-farm-Graphite.png\")
Greater operating capacity drove considerable increases in renewable energy production
This capacity growth enabled the Company\u2019s fleet of clean energy projects to produce well over 650,000 megawatt-hours (MWh) of total power during the second quarter of 2022, marking a year-over-year increase of 82%. The increased production included nearly 324,000 MWh of solar energy and more than 311,000 MWh of wind power, representing year-over-year growth of 87% and 90%, in the respective energy segments.
\n\n\n\n
Fleet expanded by over 120 new assets, adding 768 megawatts of clean power capacity
Since the end of the second quarter of 2021, Greenbacker\u2019s fleet of renewable energy projects increased by 123 net new projects, expanding the Company\u2019s total asset count to 425.2
\n\n\n\nThese assets added 768.4 MW of clean power\u2013production capacity to the fleet, which now approaches 2.9 gigawatts (GW), a year-over-year increase of 37%. (This figure includes both operating and pre-operational assets.)
\n\n\n\nAs of the end of the quarter, GREC was conducting business in 32 states, Canada, Puerto Rico, and Washington DC.
\n\n\n\n
Renewables fleet had most efficient first half in Company history
During the first six months of 2022, Greenbacker\u2019s fleet generated more than one billion kilowatt-hours (kWh) of total power, representing a 70% increase from the same period in 2021. The fleet also generated more clean energy in the first half of 2022 than it did in all of 2020.
\n\n\n\nGreenbacker\u2019s fleet not only produced more clean power than in the first half of any other year, it also set a performance efficiency record. In the six months ended June 30, 2022, Greenbacker\u2019s wind assets produced at 99.5% of forecast and its solar portfolio produced at 96.4% of forecast\u2014better than in any other first half of a calendar year in Company history.
\n\n\n\nCharles Wheeler, CEO of Greenbacker, said:
\n\n\n\n\n\n\n\n\n\n\n\n\u201cIn the first two quarters of 2022 alone, Greenbacker\u2019s fleet generated five times more clean energy than in 2011 through 2017 combined. We continue to reach new milestones and enter new territory, allowing us to bring even more renewable energy investment opportunities to market, while better positioning ourselves to drive a clean energy future.\u201d
Wind portfolio entered new territory with first asset in New York
During the quarter, GREC closed on its first wind acquisition in the state of New York, purchasing the 55.4 MW Howard wind project from the BlackRock Global Renewable Power Fund II.
\n\n\n\nThe operational wind farm produces enough clean energy to power approximately 12,500 New York homes a year. Located in Steuben County, it also supports local clean energy jobs, including several full-time service technicians and dozens of subcontractors for ongoing maintenance and special projects.
\n\n\n\n![\"Greenbacker](\"https://greenbackercapital.com/wp-content/uploads/2022/08/Greenbacker-wind-energy-farm-Howard-1024x768.jpg\")
Business opportunities expand with anticipated launch of new vehicles
The Company and its recently acquired investment management subsidiary, Greenbacker Capital Management, LLC (\u201cGCM\u201d), expects to advise the second iterations of two new investment vehicles.
\n\n\n\nOne is an infrastructure vehicle that began fundraising in early May 2022. The other is a separate vehicle providing capital to growth-stage clean energy developers, which is expected to commence in the second half of 2022 and hold two fund closings before year end. The growth of these vehicles is expected to generate new revenue streams beginning in 2022, contributing positively to the diversified growth of GCM and, ultimately, the Company.
\n\n\n\nThrough the investment advisory services offered to the two new investment vehicles\u2014and potentially to other vehicles on the platform in the future\u2014Greenbacker looks to continue growing its Assets Under Management related to the sustainable infrastructure and real assets industries.
\n\n\n\n
Company\u2019s investments support carbon abatement, water conservation, and green jobs
Greenbacker\u2019s renewable energy investment activities continued to deliver on ESG metrics. As of June 30, 2022, the cumulative amount of clean power produced by the Company\u2019s fleet increased to over 4.9 million MWh, abating more than 3.5 million metric tons of carbon since January 2016.3
\n\n\n\nThe Company\u2019s clean energy projects have saved roughly 3.3 billion gallons of water,4 compared to the amount of water needed to produce the same amount of power from burning coal. The business activities of the fleet will sustain over 5,200 green jobs.5
\n\n\n\n
Company announces change in financial statement presentation as a result of the acquisition of its external advisor
Overview
\n\n\n\nAs previously announced, on May 19, 2022, the Company completed the acquisition of GCM and certain other affiliated companies (the \u201cAcquisition\u201d). As a result of the Acquisition, the Company now operates as a fully integrated and internally managed company with its own executive management team and other employees to manage its business and operations.
\n\n\n\nManagement believes that the Company and its shareholders will benefit from the addition of GCM\u2019s asset management platform to its revenue base, creating two synergistic businesses that will open new opportunities for innovation, growth, and diversification. As also previously announced, management believes that the Acquisition has the potential to result in a substantial increase in the value of the Company, as the fully integrated and internally managed Company will represent a platform that can take advantage of market opportunities, while at the same time reducing the Company’s overhead and potentially increasing its profitability.
\n\n\n\nAs a result of the Acquisition and other steps taken by the Company to transition the Company’s business from mostly an investor in clean energy projects to a diversified independent power producer coupled with an asset management business, the Company is required to transition the basis of its accounting. Since inception, the Company’s historical financial statements have been prepared using the investment company basis of accounting in accordance with ASC Topic 946, Financial Services \u2013 Investment Companies.
\n\n\n\nGoing forward, with an effective date of May 19, 2022 (the closing of the Acquisition), the Company will present its financial statements in accordance with non-investment company accounting guidance. With this change, the Company\u2019s financial statements will be prepared to capture the consolidated operating results of the Company’s business and its subsidiaries, which management believes will be a long-term benefit to its investors as further discussed below.
\n\n\n\nBenefits to Investors
\n\n\n\nWhen the Company started raising capital for investment in April 2014, it prepared its financial statements using investment company accounting largely because it fit the Company\u2019s strategy at the time, which consisted exclusively of making financial investments in operating renewable energy power plants.
\n\n\n\nOver time, the Company has expanded its areas of investment that include assets in late-stage development and construction. GCM comprehensively grew its capabilities to accommodate these and other changes including technical asset management, procurement, construction management as well as late-stage development of renewable energy projects.
\n\n\n\nWith the completion of the Acquisition, the Company now has many of the capabilities and characteristics of an actively managed owner-operator of renewable energy projects or an independent power producer (IPP), which is a growing category of the power generation business. In short, the Company is now a vertically integrated renewable energy infrastructure operating business.
\n\n\n\nAll elements of the business, from raising capital to asset management\u2014and from constructing assets to operating assets\u2014are now managed in a single integrated organization, eliminating management fees and better positioning the Company to operate as an IPP that will continue to develop, manage, and operate its assets on a long-term basis for the generation of revenue through the sale of energy.
\n\n\n\nThis change to the financial statement presentation constitutes the next step in Greenbacker\u2019s evolution, enabling the Company to enhance and align the financial transparency of its operating results to both the underlying drivers of performance, as included herein, as well as the comparability to similar renewable energy and asset management businesses. Greenbacker believes that as it executes its strategy of owning and operating renewable energy assets as an IPP\u2014while also expanding its funds management business as an internally integrated organization\u2014this update to the Company\u2019s financial presentation will better correspond with its business transformation.
\n\n\n\nSaid Wheeler:
\n\n\n\n\n\n\n\n\u201cGiven the change in character and business capabilities, we believe these changes going forward will provide our investors with a better understanding of how our business is progressing and will enable the market to compare our results with publicly reporting peers and other companies within our space. We believe that by making this information available, we will be able to more clearly demonstrate how our strategy creates value for our shareholders.\u201d
Schedule for Implementation
\n\n\n\nThe Company’s implementation of the transition from investment company accounting to non-investment company accounting will be comprehensive and will require a substantial amount of time and attention. Additionally, this transition will include significant work performed by third-party specialists. The Company’s independent auditors will also perform required procedures over the Company\u2019s Q2 2022 financial results, which includes the impact of the transition to non-investment company accounting. As a result of the significant changes and time required to transition, the Company’s filing of its Quarterly Report on Form 10-Q for the period ended June 30, 2022 will be delayed.
\n\n\n\nNo Changes for Investors
\n\n\n\nThere will be no change to the valuation procedures utilized by the Company, and it will continue to publish a monthly share value in accordance with such internal procedures. Additionally, the Company will continue to allow shareholders to submit repurchase requests on a quarterly basis at a price equal to the then-current monthly share value for those shareholders who submit a repurchase request at least thirty days prior to the close of each quarter, consistent with the Company’s share repurchase program. Additionally, investors will remain able to participate in the Company’s distribution reinvestment plan, which currently occurs monthly at the prevailing monthly share value.
\n\n\n\n
Inflation Reduction Act, if enacted, is expected to provide additional industry tailwinds
The anticipated passage of the Inflation Reduction Act of 2022 (the \u201cAct\u201d) would include a number of provisions that Greenbacker believes are positive for the renewables industry and that could potentially expand the Company\u2019s business opportunities in the future.
\n\n\n\nUnder previous legislation, owners of qualifying clean energy assets in the US were eligible for the federal investment tax credit (ITC), which offered a tax credit of up to 26% of an asset\u2019s installation cost. The ITC, which offered up to 30% in 2019, had been gradually decreasing and was slated to step down again to 22% in 2023, before settling at 10% for commercial solar installations thereafter.6
\n\n\n\nThe Act would restore the ITC up to 30% for projects that meet certain prevailing wage and other qualifications and would ensure that these rates remain at that level for at least another decade.7
\n\n\n\nIt also introduces tax incentives for standalone storage and green hydrogen projects, as well as expanding and extending 45Q carbon capture tax credits. Greenbacker strategies have already been investing in battery storage opportunities and could potentially invest in these other sectors in the future.
\n\n\n\nAdditionally, the new proposed legislation reinstates the Production Tax Credit, a federal incentive that primarily applies to wind projects, and includes other measures that encourage energy efficiency, electric vehicle adoption, and investment in advanced manufacturing for energy (and energy-saving) technologies.
\n\n\n\nIn aggregate, these measures potentially provide substantial support for the renewable energy industry to continue its expansion and greater opportunity for clean energy asset development. This, in turn, could help quicken the pace of achieving state and federal clean energy\u2013generation goals.
\n\n\n\nDavid Sher, CEO of GCM, said:
\n\n\n\n\n\n\n\n\u201cWe believe our position as both a leading renewable energy investor and an independent power producer would be strengthened considerably by these proposed policy tailwinds. The clean energy asset class is primed for even greater growth, and Greenbacker is poised to continue building on our momentum in the market.\u201d
\u00a0Appendix \u2013 GREC Portfolio Metrics1
\n\n\n\n| 2Q22 | 2Q21 | |
| Power-production capacity of operating fleet at end of period | 1.2 GW | 608.6 MW |
| Power-generating capacity of pre-operational fleet at end of period | 1.6 GW | 1.5 GW |
| Total power-generating capacity of fleet at end of period | 2.9 GW | 2.1 GW |
| Total energy produced (MWh) | 656,125 | 360,941 |
| YTD total energy produced at end of period (MWh) | 1,161,792 | 685,411 |
| Total number of fleet assets at end of period | 425 | 302 |
About Greenbacker Renewable Energy Company
\n\n\n\nGreenbacker Renewable Energy Company LLC is a publicly reporting, non-traded limited liability sustainable infrastructure company that both acquires and manages income-producing renewable energy and other energy-related businesses, including solar and wind farms, and provides asset management services to other renewable energy investment vehicles. We seek to acquire and operate high-quality projects that sell clean power under long-term contracts to high-creditworthy counterparties such as utilities, municipalities, and corporations. We are long-term owner-operators, who strive to be good stewards of the land and responsible members of the communities in which we operate. We believe our focus on power production and asset management creates value that we can then pass on to our shareholders\u2014while facilitating the transition toward a clean energy future. For more information, please visit www.greenbackercapital.com.
\n\n\n\nForward-Looking Statements
\n\n\n\nThis press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. Factors that could cause actual results to differ materially from those described in the forward-looking statements can be found in the \u201cRisk Factors\u201d section of our Annual Report on Form 10-K for the year ended December 31, 2021 and in subsequently filed periodic reports that we file with the SEC. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. The Company undertakes no obligation to update any forward-looking statement contained herein to conform to actual results or changes in the Company\u2019s expectations.
\n\n\n\nGeneral Disclosure
\n\n\n\nThis information has been prepared solely for informational purposes and is not an offer to buy or sell or a solicitation of an offer to buy or sell any security, or to participate in any trading or investment strategy. The information presented herein may involve Greenbacker\u2019s views, estimates, assumptions, facts, and information from other sources that are believed to be accurate and reliable and are, as of the date this information is presented, subject to change without notice.\u00a0The securities offered by Greenbacker’s managed investment vehicles have not been or will not be registered under the Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.
\n\n\n\n\n\n\n\n1 The portfolio metrics set forth herein are unaudited and subject to change. Past performance is not indicative of future results.
\n\n\n\n2 Total assets and megawatts statistics include those projects where the Company has contracted for the acquisition of the project pursuant to a Membership Interest Purchase Agreement (\u201cMIPA\u201d).
\n\n\n\n3 When compared with a similar amount of power generation from fossil fuels. Carbon abatement is calculated using the EPA Greenhouse Gas Equivalencies Calculator which uses the AVoided Emissions and geneRation Tool (AVERT) US national weighted average CO2 marginal emission rate to convert reductions of kilowatt-hours into avoided units of carbon dioxide emissions.\u00a0
\n\n\n\n4 Gallons of water saved are calculated based on Operational water consumption and withdrawal factors for electricity generating technologies: a review of existing literature – IOPscience, J Macknick et al 2012 Environ. Res. Lett. 7 045802.
\n\n\n\n5 Green jobs calculations are sourced from both the National Renewable Energy Laboratory\u2019s Energy Analysis and the US Energy Information Administration\u2019s Independent Statistics & Analysis.
\n\n\n\n6 Guide to the Federal Investment Tax Credit for Commercial Solar Photovoltaics, U.S. Department of Energy, Office of Energy Efficiency & Renewable Energy.
\n\n\n\n7 What is the Inflation Reduction Act of 2022?, National Law Review, August 9, 2022.
\n\n\n\n\n
The post Greenbacker announces second quarter business update appeared first on Greenbacker Capital.
\n", "content_text": "Company doubles year-over-year operating capacity, expands renewable energy production and fleet size\n\n\n\nKey Takeaways\n\n\n\nCompany\u2019s largest individual asset to reach commercial operation helped double fleet\u2019s operating capacity.Greater operating capacity drove considerable increases in renewable energy production.Fleet expanded by over 120 new assets, adding 768 megawatts of total clean power capacity.\u00a0Renewables fleet had most efficient first half in Company history.Wind portfolio entered new territory with first asset in New York.Business opportunities expand with anticipated launch of new vehicles.Company\u2019s investments support carbon abatement, water conservation, and green jobs.Company announces change in financial statement presentation as a result of the acquisition of its external advisor.Inflation Reduction Act, if enacted, is expected to provide additional industry tailwinds.\n\n\n\n\n\n\n\nNew York, NY, August 10, 2022 \u2014 Greenbacker Renewable Energy Company LLC (\u201cGreenbacker,\u201d \u201cGREC,\u201d or the \u201cCompany\u201d), a leading green energy investment company and independent power producer, has announced an update on its business for the second quarter of 2022. Year-over-year trends\u2014comparing the second quarter of 2022 with the second quarter of 2021\u2014showed substantial growth across operating capacity, fleet size, and production.1\n\n\n\nCompany\u2019s largest individual asset to reach commercial operation helped double fleet\u2019s operating capacity\n\n\n\nThe power-production capacity of Greenbacker\u2019s operating fleet doubled, growing just over 100% on a year-over-year basis. The Company added 610 megawatts (MW) of operational assets, as it acquired new operating projects and its under-construction projects entered commercial operation.\n\n\n\nThis expansion included a new milestone: Greenbacker\u2019s largest operating clean energy asset to date. The 104 MWdc / 80 MWac Graphite Solar project reached commercial operation in late June, and has begun producing clean energy in Carbon County, Utah. (Previously, the Company\u2019s largest operational asset was the 61 MWdc Turquoise Solar in Nevada.)\n\n\n\nAll power produced by Graphite is being purchased by an investment-grade utility via a long-term power purchase agreement.\n\n\n\nGreenbacker\u2019s largest operational renewables asset, the 104 MWdc / 80 MWac Graphite Solar, recently entered commercial operation in Utah.\n\n\n\n\n\n\n\nGreater operating capacity drove considerable increases in renewable energy production\n\n\n\nThis capacity growth enabled the Company\u2019s fleet of clean energy projects to produce well over 650,000 megawatt-hours (MWh) of total power during the second quarter of 2022, marking a year-over-year increase of 82%. The increased production included nearly 324,000 MWh of solar energy and more than 311,000 MWh of wind power, representing year-over-year growth of 87% and 90%, in the respective energy segments.\n\n\n\nFleet expanded by over 120 new assets, adding 768 megawatts of clean power capacity\n\n\n\nSince the end of the second quarter of 2021, Greenbacker\u2019s fleet of renewable energy projects increased by 123 net new projects, expanding the Company\u2019s total asset count to 425.2\n\n\n\nThese assets added 768.4 MW of clean power\u2013production capacity to the fleet, which now approaches 2.9 gigawatts (GW), a year-over-year increase of 37%. (This figure includes both operating and pre-operational assets.)\n\n\n\nAs of the end of the quarter, GREC was conducting business in 32 states, Canada, Puerto Rico, and Washington DC.\n\n\n\nRenewables fleet had most efficient first half in Company history\n\n\n\nDuring the first six months of 2022, Greenbacker\u2019s fleet generated more than one billion kilowatt-hours (kWh) of total power, representing a 70% increase from the same period in 2021. The fleet also generated more clean energy in the first half of 2022 than it did in all of 2020.\n\n\n\nGreenbacker\u2019s fleet not only produced more clean power than in the first half of any other year, it also set a performance efficiency record. In the six months ended June 30, 2022, Greenbacker\u2019s wind assets produced at 99.5% of forecast and its solar portfolio produced at 96.4% of forecast\u2014better than in any other first half of a calendar year in Company history.\n\n\n\nCharles Wheeler, CEO of Greenbacker, said:\n\n\n\n\n\n\n\n\u201cIn the first two quarters of 2022 alone, Greenbacker\u2019s fleet generated five times more clean energy than in 2011 through 2017 combined. We continue to reach new milestones and enter new territory, allowing us to bring even more renewable energy investment opportunities to market, while better positioning ourselves to drive a clean energy future.\u201d\n\n\n\nWind portfolio entered new territory with first asset in New York\n\n\n\nDuring the quarter, GREC closed on its first wind acquisition in the state of New York, purchasing the 55.4 MW Howard wind project from the BlackRock Global Renewable Power Fund II.\n\n\n\nThe operational wind farm produces enough clean energy to power approximately 12,500 New York homes a year. Located in Steuben County, it also supports local clean energy jobs, including several full-time service technicians and dozens of subcontractors for ongoing maintenance and special projects.\n\n\n\nGreenbacker\u2019s first wind asset in New York\u2014the 55 MW Howard wind project\u2014is also the second largest in the company\u2019s entire wind energy fleet.\n\n\n\n\n\n\n\nBusiness opportunities expand with anticipated launch of new vehicles\n\n\n\nThe Company and its recently acquired investment management subsidiary, Greenbacker Capital Management, LLC (\u201cGCM\u201d), expects to advise the second iterations of two new investment vehicles.\n\n\n\nOne is an infrastructure vehicle that began fundraising in early May 2022. The other is a separate vehicle providing capital to growth-stage clean energy developers, which is expected to commence in the second half of 2022 and hold two fund closings before year end. The growth of these vehicles is expected to generate new revenue streams beginning in 2022, contributing positively to the diversified growth of GCM and, ultimately, the Company. \n\n\n\nThrough the investment advisory services offered to the two new investment vehicles\u2014and potentially to other vehicles on the platform in the future\u2014Greenbacker looks to continue growing its Assets Under Management related to the sustainable infrastructure and real assets industries.\n\n\n\nCompany\u2019s investments support carbon abatement, water conservation, and green jobs\n\n\n\nGreenbacker\u2019s renewable energy investment activities continued to deliver on ESG metrics. As of June 30, 2022, the cumulative amount of clean power produced by the Company\u2019s fleet increased to over 4.9 million MWh, abating more than 3.5 million metric tons of carbon since January 2016.3\n\n\n\nThe Company\u2019s clean energy projects have saved roughly 3.3 billion gallons of water,4 compared to the amount of water needed to produce the same amount of power from burning coal. The business activities of the fleet will sustain over 5,200 green jobs.5\n\n\n\nCompany announces change in financial statement presentation as a result of the acquisition of its external advisor\n\n\n\nOverview\n\n\n\nAs previously announced, on May 19, 2022, the Company completed the acquisition of GCM and certain other affiliated companies (the \u201cAcquisition\u201d). As a result of the Acquisition, the Company now operates as a fully integrated and internally managed company with its own executive management team and other employees to manage its business and operations.\n\n\n\nManagement believes that the Company and its shareholders will benefit from the addition of GCM\u2019s asset management platform to its revenue base, creating two synergistic businesses that will open new opportunities for innovation, growth, and diversification. As also previously announced, management believes that the Acquisition has the potential to result in a substantial increase in the value of the Company, as the fully integrated and internally managed Company will represent a platform that can take advantage of market opportunities, while at the same time reducing the Company’s overhead and potentially increasing its profitability.\n\n\n\nAs a result of the Acquisition and other steps taken by the Company to transition the Company’s business from mostly an investor in clean energy projects to a diversified independent power producer coupled with an asset management business, the Company is required to transition the basis of its accounting. Since inception, the Company’s historical financial statements have been prepared using the investment company basis of accounting in accordance with ASC Topic 946, Financial Services \u2013 Investment Companies.\n\n\n\nGoing forward, with an effective date of May 19, 2022 (the closing of the Acquisition), the Company will present its financial statements in accordance with non-investment company accounting guidance. With this change, the Company\u2019s financial statements will be prepared to capture the consolidated operating results of the Company’s business and its subsidiaries, which management believes will be a long-term benefit to its investors as further discussed below.\n\n\n\nBenefits to Investors\n\n\n\nWhen the Company started raising capital for investment in April 2014, it prepared its financial statements using investment company accounting largely because it fit the Company\u2019s strategy at the time, which consisted exclusively of making financial investments in operating renewable energy power plants.\n\n\n\nOver time, the Company has expanded its areas of investment that include assets in late-stage development and construction. GCM comprehensively grew its capabilities to accommodate these and other changes including technical asset management, procurement, construction management as well as late-stage development of renewable energy projects.\n\n\n\nWith the completion of the Acquisition, the Company now has many of the capabilities and characteristics of an actively managed owner-operator of renewable energy projects or an independent power producer (IPP), which is a growing category of the power generation business. In short, the Company is now a vertically integrated renewable energy infrastructure operating business.\n\n\n\nAll elements of the business, from raising capital to asset management\u2014and from constructing assets to operating assets\u2014are now managed in a single integrated organization, eliminating management fees and better positioning the Company to operate as an IPP that will continue to develop, manage, and operate its assets on a long-term basis for the generation of revenue through the sale of energy.\n\n\n\nThis change to the financial statement presentation constitutes the next step in Greenbacker\u2019s evolution, enabling the Company to enhance and align the financial transparency of its operating results to both the underlying drivers of performance, as included herein, as well as the comparability to similar renewable energy and asset management businesses. Greenbacker believes that as it executes its strategy of owning and operating renewable energy assets as an IPP\u2014while also expanding its funds management business as an internally integrated organization\u2014this update to the Company\u2019s financial presentation will better correspond with its business transformation.\n\n\n\nSaid Wheeler:\n\n\n\n\u201cGiven the change in character and business capabilities, we believe these changes going forward will provide our investors with a better understanding of how our business is progressing and will enable the market to compare our results with publicly reporting peers and other companies within our space. We believe that by making this information available, we will be able to more clearly demonstrate how our strategy creates value for our shareholders.\u201d\n\n\n\nSchedule for Implementation\n\n\n\nThe Company’s implementation of the transition from investment company accounting to non-investment company accounting will be comprehensive and will require a substantial amount of time and attention. Additionally, this transition will include significant work performed by third-party specialists. The Company’s independent auditors will also perform required procedures over the Company\u2019s Q2 2022 financial results, which includes the impact of the transition to non-investment company accounting. As a result of the significant changes and time required to transition, the Company’s filing of its Quarterly Report on Form 10-Q for the period ended June 30, 2022 will be delayed.\n\n\n\nNo Changes for Investors\n\n\n\nThere will be no change to the valuation procedures utilized by the Company, and it will continue to publish a monthly share value in accordance with such internal procedures. Additionally, the Company will continue to allow shareholders to submit repurchase requests on a quarterly basis at a price equal to the then-current monthly share value for those shareholders who submit a repurchase request at least thirty days prior to the close of each quarter, consistent with the Company’s share repurchase program. Additionally, investors will remain able to participate in the Company’s distribution reinvestment plan, which currently occurs monthly at the prevailing monthly share value.\n\n\n\nInflation Reduction Act, if enacted, is expected to provide additional industry tailwinds\n\n\n\nThe anticipated passage of the Inflation Reduction Act of 2022 (the \u201cAct\u201d) would include a number of provisions that Greenbacker believes are positive for the renewables industry and that could potentially expand the Company\u2019s business opportunities in the future.\n\n\n\nUnder previous legislation, owners of qualifying clean energy assets in the US were eligible for the federal investment tax credit (ITC), which offered a tax credit of up to 26% of an asset\u2019s installation cost. The ITC, which offered up to 30% in 2019, had been gradually decreasing and was slated to step down again to 22% in 2023, before settling at 10% for commercial solar installations thereafter.6\n\n\n\nThe Act would restore the ITC up to 30% for projects that meet certain prevailing wage and other qualifications and would ensure that these rates remain at that level for at least another decade.7\n\n\n\nIt also introduces tax incentives for standalone storage and green hydrogen projects, as well as expanding and extending 45Q carbon capture tax credits. Greenbacker strategies have already been investing in battery storage opportunities and could potentially invest in these other sectors in the future.\n\n\n\nAdditionally, the new proposed legislation reinstates the Production Tax Credit, a federal incentive that primarily applies to wind projects, and includes other measures that encourage energy efficiency, electric vehicle adoption, and investment in advanced manufacturing for energy (and energy-saving) technologies.\n\n\n\nIn aggregate, these measures potentially provide substantial support for the renewable energy industry to continue its expansion and greater opportunity for clean energy asset development. This, in turn, could help quicken the pace of achieving state and federal clean energy\u2013generation goals.\n\n\n\nDavid Sher, CEO of GCM, said:\n\n\n\n\u201cWe believe our position as both a leading renewable energy investor and an independent power producer would be strengthened considerably by these proposed policy tailwinds. The clean energy asset class is primed for even greater growth, and Greenbacker is poised to continue building on our momentum in the market.\u201d\n\n\n\n\n\n\n\n\u00a0Appendix \u2013 GREC Portfolio Metrics1\n\n\n\n 2Q222Q21Power-production capacity of operating fleet at end of period1.2 GW608.6 MWPower-generating capacity of pre-operational fleet at end of period1.6 GW1.5 GWTotal power-generating capacity of fleet at end of period2.9 GW2.1 GWTotal energy produced (MWh)656,125360,941YTD total energy produced at end of period (MWh)1,161,792685,411Total number of fleet assets at end of period425302\n\n\n\nAbout Greenbacker Renewable Energy Company\n\n\n\nGreenbacker Renewable Energy Company LLC is a publicly reporting, non-traded limited liability sustainable infrastructure company that both acquires and manages income-producing renewable energy and other energy-related businesses, including solar and wind farms, and provides asset management services to other renewable energy investment vehicles. We seek to acquire and operate high-quality projects that sell clean power under long-term contracts to high-creditworthy counterparties such as utilities, municipalities, and corporations. We are long-term owner-operators, who strive to be good stewards of the land and responsible members of the communities in which we operate. We believe our focus on power production and asset management creates value that we can then pass on to our shareholders\u2014while facilitating the transition toward a clean energy future. For more information, please visit www.greenbackercapital.com.\n\n\n\nForward-Looking Statements\n\n\n\nThis press release contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties, and other factors that may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. Factors that could cause actual results to differ materially from those described in the forward-looking statements can be found in the \u201cRisk Factors\u201d section of our Annual Report on Form 10-K for the year ended December 31, 2021 and in subsequently filed periodic reports that we file with the SEC. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. The Company undertakes no obligation to update any forward-looking statement contained herein to conform to actual results or changes in the Company\u2019s expectations.\n\n\n\nGeneral Disclosure\n\n\n\nThis information has been prepared solely for informational purposes and is not an offer to buy or sell or a solicitation of an offer to buy or sell any security, or to participate in any trading or investment strategy. The information presented herein may involve Greenbacker\u2019s views, estimates, assumptions, facts, and information from other sources that are believed to be accurate and reliable and are, as of the date this information is presented, subject to change without notice.\u00a0The securities offered by Greenbacker’s managed investment vehicles have not been or will not be registered under the Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.\n\n\n\n\n\n\n\n\n\n\n\n1 The portfolio metrics set forth herein are unaudited and subject to change. Past performance is not indicative of future results.\n\n\n\n2 Total assets and megawatts statistics include those projects where the Company has contracted for the acquisition of the project pursuant to a Membership Interest Purchase Agreement (\u201cMIPA\u201d).\n\n\n\n3 When compared with a similar amount of power generation from fossil fuels. Carbon abatement is calculated using the EPA Greenhouse Gas Equivalencies Calculator which uses the AVoided Emissions and geneRation Tool (AVERT) US national weighted average CO2 marginal emission rate to convert reductions of kilowatt-hours into avoided units of carbon dioxide emissions.\u00a0\n\n\n\n4 Gallons of water saved are calculated based on Operational water consumption and withdrawal factors for electricity generating technologies: a review of existing literature – IOPscience, J Macknick et al 2012 Environ. Res. Lett. 7 045802.\n\n\n\n5 Green jobs calculations are sourced from both the National Renewable Energy Laboratory\u2019s Energy Analysis and the US Energy Information Administration\u2019s Independent Statistics & Analysis.\n\n\n\n6 Guide to the Federal Investment Tax Credit for Commercial Solar Photovoltaics, U.S. Department of Energy, Office of Energy Efficiency & Renewable Energy.\n\n\n\n7 What is the Inflation Reduction Act of 2022?, National Law Review, August 9, 2022.\n\n\n\n \nThe post Greenbacker announces second quarter business update appeared first on Greenbacker Capital.", "date_published": "2022-08-10T19:13:46+00:00", "date_modified": "2022-08-10T19:59:58+00:00", "authors": [ { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" } ], "author": { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" }, "image": "https://greenbackercapital.com/wp-content/uploads/2022/08/Greenbacker-solar-energy-investment-scaled-e1660159440586.jpg", "tags": [ "GREC", "Press" ], "summary": "Greenbacker Renewable Energy Company announces significant operating results and business updates for the second quarter of 2022." }, { "id": "https://greenbackercapital.com/?p=3891", "url": "https://greenbackercapital.com/2022/07/greenbackers-largest-solar-plant-reaches-commercial-operation-in-utah/", "title": "Greenbacker\u2019s largest solar plant reaches commercial operation in Utah", "content_html": "\nThe 104 MWdc / 80 MWac Graphite Solar delivers benefits for community, powers Meta with clean energy
\n\n\n\nNew York, NY, July 28, 2022 — Greenbacker Renewable Energy Company LLC (\u201cGREC\u201d or \u201cGreenbacker\u201d), a leading green energy investment company and independent power producer, announced that its Graphite Solar project in Carbon County, Utah has entered commercial operation. With a power capacity of 104 MWdc / 80 MWac, Graphite is now the largest operational asset in Greenbacker\u2019s clean energy fleet.
\n\n\n\nGreenbacker joined project partners and local officials at a July 12 commissioning ceremony hosted by developer rPlus Energies (\u201crPlus\u201d) to celebrate the project\u2019s completion and the benefits it provides for the area. Graphite supports local green jobs and generates increased tax revenue for the community, while expanding the region\u2019s contributions to America\u2019s energy landscape.
\n\n\n\n\n\n\n\n\u201cIt\u2019s very special that Graphite Solar can play a role in helping Carbon County diversify its contributions to the local energy infrastructure,\u201d said Charles Wheeler, CEO of GREC. \u201cA place with a long history of power production is now home to Greenbacker\u2019s largest operating clean energy project.\u201d (Previously, the company\u2019s 61 MWdc Turquoise Solar in Nevada held that title.)
The project has begun delivering solar energy to the Meta (formerly Facebook) data center in nearby Eagle Mountain, UT, helping the company power its operations exclusively with renewable energy.
\n\n\n\n\n\n\n\n\u201cBringing new renewable energy and investment to communities where we operate is a priority for Meta,\u201d said Urvi Parekh, Director, Renewable Energy at Meta. \u201cWe appreciate the partnership with rPlus and Greenbacker that is delivering this new solar energy to the Utah grid in support of our local operations.\u201d
Greenbacker\u2019s largest operating renewables project to date
\n\n\n\n![\"Greenbacker](\"https://greenbackercapital.com/wp-content/uploads/2022/07/Greenbacker-104MW-Graphite-Solar-1-1024x604.jpg\")
Graphite has a long-term power purchase agreement with PacifiCorp on behalf of Meta. The contract was developed under Rocky Mountain Power\u2019s Schedule 34 green energy tariff, which helps sizable energy consumers source renewables to meet their clean energy targets.
\n\n\n\n\n\n\n\n\u201cRocky Mountain Power is committed to helping our customers, and the communities we serve, meet their renewable energy goals,\u201d said Merlin Rushton, regional business manager in Price, Utah. \u201cProjects like this are a demonstration of our company\u2019s commitment to expand energy choices for our customers and manage the transition to a 21st Century electricity network.\u201d
Greenbacker, rPlus, and Sundt Renewables (the project\u2019s engineering, procurement, and construction contractor) have also invested in the community and its workforce with a scholarship program. The Local First Scholarship – Graphite Solar program provides $75,000 to students who reside in Carbon County and who plan to pursue their career goals locally after completing their certificate or degree.
\n\n\n\n\n\n\n\n\u201cA lot of work, dedication, and collaboration has been made to get to this point,\u201d said Luigi Resta, rPlus Energies President & CEO. \u201cWe are immensely proud that we can contribute to the continuation of the energy legacy that is Carbon County.\u201d
Greenbacker acquired Graphite Solar from rPlus in December 2020, contracting with the developer to manage the project through construction. Construction involved installing 1.5 miles of transmission lines and 257,700 solar modules and supported 273,800 hours of construction labor.
\n\n\n\nGreenbacker\u2019s fleet of clean energy projects comprises over 2.6 GW of generating capacity (including Graphite and assets that are to be constructed). Since 2016, Greenbacker\u2019s real assets have produced nearly 4.3 million megawatt-hours1 of clean energy, abating more than 3.0 million metric tons of carbon.2 Today these projects support over 4,700 green jobs.3
\n\n\n\n
At the July 12 commissioning ceremony for Graphite Solar
![\"Greenbacker](\"https://greenbackercapital.com/wp-content/uploads/2022/07/Greenbacker-104MW-Graphite-Solar-2-1-683x1024.jpg\")
1 Data is as of March 31, 2022.
\n\n\n\n2 EPA Greenhouse Gas Equivalencies Calculator. Data is as of March 31, 2022.
\n\n\n\n3 Green jobs are calculated from the International Renewable Energy Agency‘s measurement that one megawatt of renewable power supports 3.8 jobs. Data is as of March 31, 2022.
\nThe post Greenbacker\u2019s largest solar plant reaches commercial operation in Utah appeared first on Greenbacker Capital.
\n", "content_text": "The 104 MWdc / 80 MWac Graphite Solar delivers benefits for community, powers Meta with clean energy\n\n\n\nNew York, NY, July 28, 2022 — Greenbacker Renewable Energy Company LLC (\u201cGREC\u201d or \u201cGreenbacker\u201d), a leading green energy investment company and independent power producer, announced that its Graphite Solar project in Carbon County, Utah has entered commercial operation. With a power capacity of 104 MWdc / 80 MWac, Graphite is now the largest operational asset in Greenbacker\u2019s clean energy fleet.\n\n\n\nGreenbacker joined project partners and local officials at a July 12 commissioning ceremony hosted by developer rPlus Energies (\u201crPlus\u201d) to celebrate the project\u2019s completion and the benefits it provides for the area. Graphite supports local green jobs and generates increased tax revenue for the community, while expanding the region\u2019s contributions to America\u2019s energy landscape.\n\n\n\n\u201cIt\u2019s very special that Graphite Solar can play a role in helping Carbon County diversify its contributions to the local energy infrastructure,\u201d said Charles Wheeler, CEO of GREC. \u201cA place with a long history of power production is now home to Greenbacker\u2019s largest operating clean energy project.\u201d (Previously, the company\u2019s 61 MWdc Turquoise Solar in Nevada held that title.)\n\n\n\nThe project has begun delivering solar energy to the Meta (formerly Facebook) data center in nearby Eagle Mountain, UT, helping the company power its operations exclusively with renewable energy.\n\n\n\n\u201cBringing new renewable energy and investment to communities where we operate is a priority for Meta,\u201d said Urvi Parekh, Director, Renewable Energy at Meta. \u201cWe appreciate the partnership with rPlus and Greenbacker that is delivering this new solar energy to the Utah grid in support of our local operations.\u201d\n\n\n\nGreenbacker\u2019s largest operating renewables project to date\n\n\n\nConstruction is complete on Greenbacker\u2019s 104 MWdc / 80 MWac Graphite Solar in Wellington, UT, supplying clean energy to Meta\u2019s nearby data center.\n\n\n\nGraphite has a long-term power purchase agreement with PacifiCorp on behalf of Meta. The contract was developed under Rocky Mountain Power\u2019s Schedule 34 green energy tariff, which helps sizable energy consumers source renewables to meet their clean energy targets.\n\n\n\n\u201cRocky Mountain Power is committed to helping our customers, and the communities we serve, meet their renewable energy goals,\u201d said Merlin Rushton, regional business manager in Price, Utah. \u201cProjects like this are a demonstration of our company\u2019s commitment to expand energy choices for our customers and manage the transition to a 21st Century electricity network.\u201d\n\n\n\nGreenbacker, rPlus, and Sundt Renewables (the project\u2019s engineering, procurement, and construction contractor) have also invested in the community and its workforce with a scholarship program. The Local First Scholarship – Graphite Solar program provides $75,000 to students who reside in Carbon County and who plan to pursue their career goals locally after completing their certificate or degree.\n\n\n\n\u201cA lot of work, dedication, and collaboration has been made to get to this point,\u201d said Luigi Resta, rPlus Energies President & CEO. \u201cWe are immensely proud that we can contribute to the continuation of the energy legacy that is Carbon County.\u201d\n\n\n\nGreenbacker acquired Graphite Solar from rPlus in December 2020, contracting with the developer to manage the project through construction. Construction involved installing 1.5 miles of transmission lines and 257,700 solar modules and supported 273,800 hours of construction labor.\n\n\n\nGreenbacker\u2019s fleet of clean energy projects comprises over 2.6 GW of generating capacity (including Graphite and assets that are to be constructed). Since 2016, Greenbacker\u2019s real assets have produced nearly 4.3 million megawatt-hours1 of clean energy, abating more than 3.0 million metric tons of carbon.2 Today these projects support over 4,700 green jobs.3\n\n\n\nAt the July 12 commissioning ceremony for Graphite Solar\n\n\n\nFrom left to right: Cliff Smith (COO, rPlus Energies), Ben Tillar (VP of Investments, Greenbacker), Luigi Resta (President & CEO, rPlus Energies), Mandy Yang (Investment Associate, Greenbacker) and Brady Southwick (President, Gardner Company).\n\n\n\n\n\n\n\n\n\n\n1 Data is as of March 31, 2022.\n\n\n\n2 EPA Greenhouse Gas Equivalencies Calculator. Data is as of March 31, 2022.\n\n\n\n3 Green jobs are calculated from the International Renewable Energy Agency‘s measurement that one megawatt of renewable power supports 3.8 jobs. Data is as of March 31, 2022.\nThe post Greenbacker\u2019s largest solar plant reaches commercial operation in Utah appeared first on Greenbacker Capital.", "date_published": "2022-07-28T07:50:12+00:00", "date_modified": "2022-08-30T20:25:13+00:00", "authors": [ { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" } ], "author": { "name": "GCM", "url": "https://greenbackercapital.com/author/chris-larsongreenbackercapital-com/", "avatar": "https://secure.gravatar.com/avatar/4c3ca5eedec27f29c7289294aef1d410?s=512&d=mm&r=g" }, "image": "https://greenbackercapital.com/wp-content/uploads/2022/07/Greenbacker-104MW-Graphite-Solar-3-scaled-e1658955068974.jpg", "tags": [ "Utah", "GREC", "Press" ], "summary": "With a power capacity of 104 MWdc / 80 MWac, Graphite Solar is now the largest operational asset in Greenbacker\u2019s clean energy fleet. The project delivers renewable energy to a nearby Meta data center and numerous benefits to the community." } ] }