Transalta Corp. (TAC) Reports Q2 Loss of Cdn$0.22 on Revenues of Cdn$437M

Transalta Corp. (NYSE: TAC) reported Q2 EPS of (Cdn$0.22), versus Cdn$0.00 reported last year. Revenue for the quarter came in at Cdn$437 million, versus Cdn$497 million reported last year.

Second Quarter 2020 Highlights

• Comparable EBITDA of $217 million in line with 2019
• Free cash flow ("FCF") of $91 million or $0.33 per share, a 94% increase on a per share basis compared to $49 million or $0.17 per share of FCF for the same period in 2019
• Adjusted availability was 90.7% compared to 83.8% for the same period in 2019
• Completed the acquisition of a 29 MW contracted cogeneration facility located in Michigan ("Ada") for a purchase price of approximately US$27 million
• Entered into a sale agreement for the sale of the Pioneer Pipeline to Nova Gas Transmission Ltd. ("NGTL") for a net purchase price of approximately $128 million (the "Pioneer Transaction")

"Second quarter results are in line with our expectations and continue to show strong EBITDA and free cash flow generation from our diversified fleet. With the support of our back-to-office protocols, we continue to deliver the essential power to meet the demands of our communities and our customers," said Dawn Farrell, President and Chief Executive Officer. "These results demonstrate the strength of our operations, hedging and energy marketing capabilities, as well as our people."

"We also expanded our cogeneration fleet with the acquisition of our Ada cogeneration facility into our portfolio and welcomed Consumers Energy and Amway as new customers. We are excited to mark our first cogeneration facility in the United States and we look forward to building on this U.S. toehold as we further progress our on-site generation strategy into the region."

"I'd like to thank all of our front-line employees, contractors and their families whose exceptional efforts keep up the strong operational performance of the Company in the face of these challenging times," added Mrs. Farrell.

For earnings history and earnings-related data on Transalta Corp. (TAC) click here.

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