Polaris Renewable Energy Announces Q3 2025 Results

Executive Summary

• Polaris Renewable Energy Inc. reported financial and operating results for the nine and three months ended September 30, 2025, highlighting a 7% increase in third-quarter consolidated energy production driven by the newly acquired Puerto Rican wind farm and stronger hydrological conditions in Peru.
• The company reported a net loss of $328K ($0.02 per share) for the third quarter of 2025, a reversal from the $451K net earnings recorded in the same period of 2024, while Adjusted EBITDA rose to $12.8 million from $12.4 million year-over-year.
• Key operational milestones include the submission of the Battery Energy Storage System (BESS) Agreement to the Puerto Rico Energy Bureau, with final regulatory approvals expected within 60 days and construction targeted for completion by the end of 2026.

Key Details

• Energy Production:
  • Q3 2025 consolidated power production totaled 181,235 MWh, a 7% increase compared to 168,639 MWh in Q3 2024.
  • Nine-month production totaled 613,524 MWh compared to 568,960 MWh in the prior year period.
  • Growth attributed to the Punta Lima Wind Farm (acquired March 3, 2025) and favorable hydrological conditions in Peru.
  • Canoa 1 (Dominican Republic) production was flat year-over-year; improved solar productivity was offset by ~1,000 MWh in system-wide curtailment.
  • Vista Hermosa Solar Park (Panama) production was consistent with Q3 2024 levels.
  • Punta Lima Wind Farm reflected lower-than-expected wind resources for the quarter but remains above target year-to-date.
• Financial Performance (Three Months Ended Sept 30, 2025):
  • Total Revenue: $19.0 million (up from $17.7 million in Q3 2024).
  • Adjusted EBITDA: $12.8 million (up from $12.4 million in Q3 2024).
  • Net Loss: $328K ($0.02 per share basic), compared to Net Earnings of $451K ($0.02 per share basic) in Q3 2024.
  • Net Cash Flow from Operating Activities: $12.7 million (up from $9.0 million in Q3 2024).
• Financial Performance (Nine Months Ended Sept 30, 2025):
  • Total Revenue: $61.0 million (up from $57.0 million in 2024).
  • Adjusted EBITDA: $43.2 million (up from $41.5 million in 2024).
  • Net Loss: $8.6 million ($0.41 per share basic), compared to Net Earnings of $5.8 million ($0.27 per share basic) in 2024.
  • Net Cash Flow from Operating Activities: $29.2 million (up from $26.0 million in 2024).
• Balance Sheet (As of Sept 30, 2025):
  • Total Cash and Cash Equivalents: $99.1 million (down from $217.9 million at Dec 31, 2024).
  • Total Assets: $551.0 million (down from $662.1 million at Dec 31, 2024).
  • Total Liabilities: $309.9 million (down from $402.6 million at Dec 31, 2024).
  • Current and Long-term Debt: $218.0 million (down from $328.3 million at Dec 31, 2024).
• Project Updates:
  • Puerto Rico BESS: Submitted BESS Agreement to Puerto Rico Energy Bureau (PREB) on Aug 11, 2025. PREB directed PREPA to file the executed agreement within 5 days of Financial Oversight and Management Board (FOMB) approval. Final approvals expected within 60 days. Project expected to be operational by end of 2026, entitling Polaris to monthly fixed and performance-based payments.
• Dividends:
  • Declared a quarterly dividend of $0.15 per outstanding common share, payable on November 21, 2025.

Notable Quotes

• "During the third quarter, we continued to execute on our growth strategy and advance key initiatives across our portfolio. In Puerto Rico, we achieved a key milestone with the approval of our Battery Energy Storage System (BESS) Agreement by the Energy Bureau. We are now preparing to initiate the construction and technical specification phases to enable the project's timely completion once regulatory clearances are obtained. The BESS facility will strengthen grid stability and reinforce Polaris' strategic growth in the region", said Marc Murnaghan, Chief Executive Officer of Polaris Renewable Energy.