Successful Geothermal And Solar Business: Ormat Revenue up Slightly in Q3 - Operating Result Picks up

Reno, USA - Geothermal specialist Ormat has announced its financial results for the third quarter of 2024. While revenue increased only slightly compared to the same quarter last year, adjusted operating income was significantly higher.

Overall, Ormat's revenue in Q3 amounted to USD 211.8 million (Q3 2023: USD 208.1 million). The adjusted operating result (adjusted EBITDA) for the third quarter of 2024 amounted to USD 137.7 million, which corresponds to an increase of 16.3% compared to the same period of the previous year (Q3 23: USD 1118.3 million).

According to Ormat, the financial performance in the third quarter was supported by the strong contribution from the assets acquired this year from the energy company Enel and the results of two successful drilling campaigns at the sites of the Puna and Olkaria geothermal power plants. The portfolio acquired from Enel Green Power North America (EGPNA) includes two operating geothermal power plants, a triple hybrid power plant for geothermal, solar PV and solar thermal with a total capacity of approximately 40 MW for geothermal and 20 MW for solar PV, two solar plants with a total capacity of 40 MW and two greenfield plants.

“Adjusted EBITDA grew by 16.3% during the quarter, driven by growth across all three of our operating segments. In addition, we generated higher transferred PTCs during the quarter at improved PTC rates. This robust performance enabled us to raise our 2024 annual Adjusted EBITDA guidance,” said Doron Blachar, Chief Executive Officer of Ormat Technologies. This underscores Ormat's strong financial results this year and confidence in the quarter ahead, Blachar added.

For 2024, Ormat expects total revenue to be between USD 875 million and USD 893 million. The company expects adjusted EBITDA to range between USD 540 million and USD 555 million.

On November 6, 2024, the Ormat Board of Directors announced the payment of a quarterly dividend of USD 0.12 per share in accordance with the company's dividend policy. The dividend will be paid on December 4, 2024 to shareholders of record at the close of business on November 20, 2024.

Ormat's share price has fallen by 1.8% to EUR 74.4 in trading today (14:44, November 7, 2024, Stuttgart Stock Exchange). Compared to the price at the turn of the year, this is an increase of around 9 percent.

Source: IWR Online, 07 Nov 2024