|TERRAFORM GLOBAL, INC. filed this Form 10-K on 12/21/2016|
The foreign currency net loss relating to investments in power plants is partially offset by the lower cost associated with certain acquisitions and debt extinguishment. The fair value of our outstanding foreign currency forward contracts was a net asset of $21.4 million as of December 31, 2015.
During the quarter ended December 31, 2015, we realized a net loss of $54.5 million on foreign currency forward contracts that matured during that quarter resulting from the devaluation of the Brazilian real, Chinese yuan renminbi, Indian rupee, Malaysian ringgit, South African rand and Thai baht as compared to the U.S. dollar. This $54.5 million net loss is attributed as: (i) a net gain of $4.6 million on forward contracts associated with current period cash flows; and (ii) a net loss of $59.1 million on forward contracts that hedge the purchase of foreign currencies for investments in acquisitions and debt extinguishments.
Other Income, net
Other income, net was not material for the year ended December 31, 2015 or 2014.
Income Tax Expense
The income tax expense was $4.9 million for the year ended December 31, 2015, compared to $1.7 million of income tax expense for the year ended December 31, 2014. Tax expense increased year over year primarily due to increased profits in jurisdictions, which were not offset by current or accumulated losses. For the year ended December 31, 2015, the overall effective tax rate was different than the statutory rate of 35% primarily due to a valuation allowance in our U.S. and foreign jurisdictions as well as non-allocable partnership losses.
Year ended December 31, 2014 Compared to Year ended December 31, 2013
The following table illustrates the consolidated results of operations for the years ended December 31, 2014 compared to December 31, 2013:
Year Ended December 31,
Operating revenues, net
Operating costs and expenses:
Cost of operations
Cost of operations - affiliate
General and administrative expense
General and administrative expense - affiliate
Depreciation, accretion and amortization expense
Total operating costs and expenses
Operating (loss) income
Other expense (income):
Interest expense, net
Loss (gain) on foreign currency exchange, net
Other income, net
Total other expenses, net
Loss before income tax expense
Income tax expense (benefit)