The independent power producer and climate-focused investment manager reported this growth in its Q3 2022 report.
Greenbacker posted its Q3, 2022 results, reporting a 61% year-over-year growth in its operational asset capacity. The independent power producer and climate technology investment manager raised nearly $60 million in capital in three months through September 30, 2022.
Assets under management by Greenbacker (GCM) are now valued at $2.8 billion through Q3. The company’s renewable energy fleet, consisting of solar, energy storage, and wind projects, added 31 assets with a combined capacity of 171 MW.
Total operating revenues exceeded $45 million, and net losses totaled $4.6 million. The company’s adjusted EBITDA was $14.6 million and it reported $5.4 million funds from operations.
The company’s operating solar fleet includes 270 assets combining for 788 MW of capacity. This unit generated $19.3 million in power purchase agreement revenue from 361,551 MWh of production in-quarter.
Greenbacker’s wind fleet includes 16 operational assets with 386 MW of capacity, generating $13.9 million in power purchase agreement revenues from 250,074 MWh of production through three months.
The power-generation capacity of Greenbacker’s operational fleet increased over 450 MW year-over-year. Through three quarters 2022, its assets produced 1.8 billion kWh of electricity, exceeding its 2021 total.
“Greenbacker’s 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’s [Greenbacker Renewable Energy Company] operational capacity continues to expand—this quarter alone, our fleet entered two new markets—allowing us to generate greater value for our investors,” said Charles Wheeler, chief executive officer, Greenbacker.
Greenbacker also expanded into new territory, acquiring its first solar facility in Virginia. The company now operates in 33 states, Canada, Puerto Rico, and Washington D.C.
The company had a notable acquisition of up to nine pre-operational Vermont solar projects in the third quarter. The projects are expected to lower power bills for local farmers and give new life to brownfield sites restricted from most uses. The projects have long-term net metering agreements in place with over 30 agricultural offtakers comprised of local farms and dairies across the state. The net metering aspect of the portfolio means that the utility will reduce the offtakers’ 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.
New reporting methodology
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. This third quarter report is under the new accounting format. Greenbacker’s Independent Power Producer (“IPP”) represents the active management and operations 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 (“REC”).
Greenbacker’s Investment Management (IM) segment represents the company’s investment management platform – 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’s platform will allow it to raise and deploy capital for the managed funds – consistent with its stated mission and expanding our ability to positively impact social and environmental challenges.
