- $50.4 million in Revenue for
the nine month period
- $5.5 million of Net Income for
the nine month period or $0.20 per
share (undiluted)
- Update revenue guidance of $56 million to $61 million for the full fiscal year ended
June 30, 2024
TORONTO, May 14, 2024
/CNW/ - SolarBank Corporation (Nasdaq: SUUN) (Cboe CA:
SUNN) (FSE: GY2) ("SolarBank" or the "Company") reports
third quarter 2024 interim financial results. All financial figures
are in Canadian dollars and in accordance with International
Financial Reporting Standards (IFRS) as presented in the interim
consolidated financial statements.
Fiscal Year to Date Highlights (All Amounts are for the Nine
Month Period)
- Revenue of $50.4 million:
- Net income of $5.5 million;
- Net income of $0.20 per share
(undiluted);
- $41 million USD transaction with
Honeywell International Inc. ("Honeywell") sees mechanical
completion reached on the SB-1, SB-2 and SB-3 Community Solar
Projects acquired by Honeywell. The projects are being constructed
under an engineering, procurement, and construction ("EPC")
Contract with SolarBank;
- Nasdaq Global Market listing completed; and
- Cboe Canada stock exchange listing completed.
Dr. Richard Lu, President and CEO
of SolarBank commented: "The fantastic numbers demonstrated again
our ability to execute and in nine months we have already exceeded
the top end of the Company's revenue guidance for fiscal 2024. With
major milestones such as mechanical completion on the Honeywell
projects, Nasdaq Global Market listing and Cboe Canada listing, the
Company is continuing to deliver."
Summary of Quarterly Results (All Amounts are for the Nine
Month Period)
Quarter
Ended
|
March 31,
2024
|
March 31,
2023
|
Statement of Income
and Comprehensive Income
|
|
|
Total
Revenue
|
$
50,400,013
|
$
9,152,242
|
Cash flow from
operating activities
|
$
10,929,336
|
$
4,653,394
|
Net income
|
$
5,522,702
|
$
3,426,589
|
Basic earnings per
share
|
$
0.20
|
$
0.13
|
Diluted earnings per
share
|
$
0.15
|
$
0.10
|
The Company ended the third quarter of fiscal 2024 with
$17.58 million in current assets, as
compared to $22.05 million in current
assets as of year end June 30, 2023.
The decrease is mainly due to a decrease in unbilled revenue.
Current liabilities increased from $7.08
million as of year ended June 30,
2023 to $8.18 million in the
current quarter, mainly due to an increase in trade and other
payables.
For complete details please refer to the unaudited condensed
interim consolidated financial statements and associated Management
Discussion and Analysis for the nine months ended March 31, 2024, available on SEDAR+
(www.sedarplus.com).
2024 Year End Outlook
The Company is updating its guidance of expected full year
revenue in fiscal 2024 of between $56
million and $61 million. The purpose of the financial
outlook is to assist investors, shareholders, and others in
understanding certain financial metrics relating to expected 2024
financial results for evaluating the performance of the Company's
business and is dated as of the date of this press release. This
information may not be appropriate for other purposes. Information
about the Company's guidance, including the various assumptions
underlying it, is forward-looking and should be read in conjunction
with "Forward-Looking Statements" in this press release and the
related disclosure and information about various economic,
competitive, and regulatory assumptions, factors, and risks that
may cause the Company's actual future financial and operating
results to differ from what it currently expects.
The Company notes that the execution of the Company's growth
strategy depends upon the continued availability of third-party
financing arrangements for the Company and its customers and the
Company's future success depends partly on its ability to expand
the pipeline of its energy business in several key markets. In
addition, governments may revise, reduce or eliminate incentives
and policy support schemes for solar and battery storage power,
which could cause demand for the Company's services to decline.
Further the forecasted MW capacity of a solar project may not be
reached. Please refer to "Forward-Looking Statements" for
additional discussion of the assumptions and risk factors
associated with the statements in this press release.
About SolarBank
Corporation
SolarBank Corporation is an independent renewable and clean
energy project developer and owner focusing on distributed and
community solar projects in Canada
and the USA. The Company develops
solar projects that sell electricity to utilities, commercial,
industrial, municipal and residential off-takers. The Company
maximizes returns via a diverse portfolio of projects across
multiple leading solar markets including projects with utilities,
host off-takers, community solar, and virtual net metering
projects. The Company has a potential development pipeline of over
one gigawatt and has developed renewable and clean energy projects
with a combined capacity of over 70 megawatts built. To learn more
about SolarBank, please visit www.solarbankcorp.com.
FORWARD-LOOKING
STATEMENTS
This press release contains forward-looking statements and
forward-looking information within the meaning of Canadian
securities legislation (collectively, "forward-looking
statements") that relate to the Company's current expectations and
views of future events. Any statements that express, or involve
discussions as to, expectations, beliefs, plans, objectives,
assumptions or future events or performance (often, but not always,
through the use of words or phrases such as "will likely result",
"are expected to", "expects", "will continue", "is anticipated",
"anticipates", "believes", "estimated", "intends", "plans",
"forecast", "projection", "strategy", "objective" and "outlook")
are not historical facts and may be forward-looking statements and
may involve estimates, assumptions and uncertainties which could
cause actual results or outcomes to differ materially from those
expressed in such forward-looking statements. In particular and
without limitation, this press release contains forward-looking
statements pertaining to the Company's expectations regarding its
industry trends and overall market growth; the Company's growth
strategies; the expected energy production from the solar power
project mentioned in this press release; the megawatt capacity and
type of future solar projects; the size of the Company's
development pipeline and future revenue guidance. No assurance can
be given that these expectations will prove to be correct and such
forward-looking statements included in this press release should
not be unduly relied upon. These statements speak only as of the
date of this press release.
Forward-looking statements are based on certain assumptions and
analyses made by the Company in light of the experience and
perception of historical trends, current conditions and expected
future developments and other factors it believes are appropriate,
and are subject to risks and uncertainties. In making the forward
looking statements included in this press release, the Company has
made various material assumptions, including but not limited to:
obtaining the necessary regulatory approvals; that regulatory
requirements will be maintained; general business and economic
conditions; the Company's ability to successfully execute its plans
and intentions; the availability of financing on reasonable terms;
the Company's ability to attract and retain skilled staff; market
competition; the products and services offered by the Company's
competitors; that the Company's current good relationships with its
service providers and other third parties will be maintained; and
government subsidies and funding for renewable energy will continue
as currently contemplated. Although the Company believes that the
assumptions underlying these statements are reasonable, they may
prove to be incorrect, and the Company cannot assure that actual
results will be consistent with these forward-looking statements.
Given these risks, uncertainties and assumptions, investors should
not place undue reliance on these forward-looking statements.
Whether actual results, performance or achievements will conform
to the Company's expectations and predictions is subject to a
number of known and unknown risks, uncertainties, assumptions and
other factors, including those listed under "Forward-Looking
Statements" and "Risk Factors" in the Company's most recently
completed Annual Information Form, and other public
filings of the Company, which include: the Company may be adversely
affected by volatile solar power market and industry conditions;
the execution of the Company's growth strategy depends upon the
continued availability of third-party financing arrangements; the
Company's future success depends partly on its ability to expand
the pipeline of its energy business in several key markets;
governments may revise, reduce or eliminate incentives and policy
support schemes for solar and battery storage power; general global
economic conditions may have an adverse impact on our operating
performance and results of operations; the Company's project
development and construction activities may not be successful;
developing and operating solar projects exposes the Company to
various risks; the Company faces a number of risks involving Power
Purchase Agreements ("PPAs") and project-level financing
arrangements; any changes to the laws, regulations and policies
that the Company is subject to may present technical, regulatory
and economic barriers to the purchase and use of solar power; the
markets in which the Company competes are highly competitive and
evolving quickly; an anti-circumvention investigation could
adversely affect the Company by potentially raising the prices of
key supplies for the construction of solar power projects; foreign
exchange rate fluctuations; a change in the Company's effective tax
rate can have a significant adverse impact on its business;
seasonal variations in demand linked to construction cycles and
weather conditions may influence the Company's results of
operations; the Company may be unable to generate sufficient cash
flows or have access to external financing; the Company may incur
substantial additional indebtedness in the future; the Company is
subject to risks from supply chain issues; risks related to
inflation; unexpected warranty expenses that may not be adequately
covered by the Company's insurance policies; if the Company is
unable to attract and retain key personnel, it may not be able to
compete effectively in the renewable energy market; there are a
limited number of purchasers of utility-scale quantities of
electricity; compliance with environmental laws and regulations can
be expensive; corporate responsibility may adversely impose
additional costs; the future impact of a resurgence of COVID-19 on
the Company is unknown at this time; the Company has limited
insurance coverage; the Company will be reliant on information
technology systems and may be subject to damaging cyberattacks; the
Company may become subject to litigation; there is no guarantee on
how the Company will use its available funds; the Company will
continue to sell securities for cash to fund operations, capital
expansion, mergers and acquisitions that will dilute the current
shareholders; and future dilution as a result of financings. In
addition, there are difficulties in forecasting the Company's
financial results and performance for future periods, particularly
over longer periods, given changes in technology and the Company's
business strategy, evolving industry standards, intense competition
and government regulation that characterize the industries in which
the Company operates.
The Company undertakes no obligation to update or revise any
forward-looking statements, whether as a result of new
information, future events or otherwise, except as may be required
by law. New factors emerge from time to time, and it is not
possible for the Company to predict all of them, or assess the
impact of each such factor or the extent to which any factor, or
combination of factors, may cause results to differ materially
from those contained in any forward-looking statement. Any
forward-looking statements contained in this press release are
expressly qualified in their entirety by this cautionary
statement.
SOURCE SolarBank Corporation