News Spotlight: Atlantic Power Corporation (NYSE: AT)

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On 20 Nov 2019, Atlantic Power Corporation stock identified change of 16.43% away from 52-week low price and recently located move of -20.20% off 52-week high price. It has market worth of $265.7M. AT stock has been recorded 1.15% away from 50 day moving average and -0.81% away from 200 day moving average. Moving closer, we can see that shares have been trading 1.11% off 20-day moving average.

Atlantic Power Corporation (AT) recently stated its financial results for the three and nine months ended September 30, 2019.

Financial Results for the Three Months Ended September 30, 2019

Third quarter 2019 results for Project Adjusted EBITDA and operating cash flow exceeded expectations, mostly because of the acquisitions of Allendale and Dorchester and equity interests in Craven and Grayling in the third quarter (which were not included in the Company’s initial guidance) and the new contract for the Williams Lake biomass plant (which avoided severance expense and inventory adjustments that before had been predictable to be recorded in the third quarter).

Project income, Net income and Project Adjusted EBITDA

Project income for the third quarter of 2019 was $27.9M, a $1.7M increase from $26.2M in the year-before period. Project revenue increased $5.7M as a result of the acquisition of Allendale and Dorchester in July 2019, higher water flows at Curtis Palmer, the start-up of Tunis under a new Power Purchase Contract (PPA) in October 2018 and the consolidation of Koma Kulshan in July 2018. Depreciation and amortization expense reduced $4.8M as the 2018 period included $5.3M of amortization expense for the remaining PPA intangible asset at Nipigon. These favorable comparisons were partially offset by the non-recurrence of the $6.7M step-up gain on the consolidation of Koma Kulshan in 2018 and a $1.0M insurance loss on the Cadillac fire recorded in 2019.

Net income attributable to Atlantic Power Corporation for the third quarter of 2019 was $12.6M contrast to a $3.2M net loss in the third quarter of 2018. The improvement of $15.8M was primarily attributable to the $1.7M increase in Project income, a $7.3M reduction in foreign exchange loss ($2.8M gain versus a $4.5M loss in 2018), lower interest expense of $3.7M, a $2.8M increase in the fair value of the convertible debenture conversion option (included in “Other (income) expense, net”), and a $3.4M reduction in income tax expense. The foreign exchange gain of $2.8M was related to the revaluation of debt denominated in Canadian dollars (the Canadian dollar depreciated from June 30, 2019 to September 30, 2019).

Project Adjusted EBITDA for the third quarter of 2019 increased $3.5M to $48.9M from $45.4M in the third quarter of 2018. The increase was primarily driven by the acquisitions of Allendale, Dorchester, Craven and Grayling during the quarter (+$1.7M); Curtis Palmer (+$1.5M), which had a 30% increase in generation Because of higher water flows; Cadillac (+$1.1M), which had an extended outage in the 2018 period; Frederickson (+$1.0M),Because of higher dispatch and lower maintenance expense, and Tunis (+$1.0M), which incurred maintenance expense in the 2018 period in preparation for its October 2018 start-up. Increases at these projects were partially offset by decreases at Williams Lake (-$1.7M), Because of voluntary curtailment resulting from low fuel inventory; Oxnard (-$1.6M),Because of gas turbine repairs, and Nipigon (-$1.2M),Because of maintenance associated with an upgrade of the gas turbine control system.

Atlantic Power Corporation noticed change of -0.82% to $2.41 along volume of 327613 shares in recent session compared to an average volume of 255.68K. The stock observed return of -0.41% in 5 days trading activity. The stock was at 1.69% over one-month performance. AT’s shares are at 1.69% for the quarter and driving a 9.55% return over the course of the past year and is now at 11.06% since this point in 2018.   The average volatility for the week at 1.97% and for month was at 2.39%. There are 110.25M shares outstanding and 105.53M shares are floated in market. Right now, the stock beta is 0.82.


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