Print Page  |  Close Window

SEC Filings

10-Q
TERRAFORM GLOBAL, INC. filed this Form 10-Q on 11/08/2017
Entire Document
 

Three Months Ended September 30, 2017 Compared to Three Months Ended September 30, 2016
Operating Revenues, net
Operating revenues, net for the three months ended September 30, 2017 and 2016 were as follows:
 
Three Months Ended September 30,
 
 
(In thousands, other than MW and GWh data)
2017
 
2016
 
Change
Wind
$
38,043

 
$
27,092

 
$
10,951

Solar
29,384

 
27,963

 
1,421

     Total
$
67,427

 
$
55,055

 
$
12,372

Net capacity (MW)(1)(2)
919.2

 
916.4

 
2.8

GWh sold
713.8

 
623.9

 
89.9

(1)
Operational at end of period.
(2)
Net capacity represents the maximum generating capacity at standard test conditions of a power plant multiplied by our percentage of economic ownership of that power plant.
Operating revenues, net increased by $12.4 million during the three months ended September 30, 2017, compared to the same period in 2016. Wind power plants accounted for $11.0 million of additional revenue, net during the three months ended September 30, 2017 compared to the same period in the prior year, due primarily to favorable wind conditions and fewer operational outages, allowing for increased production, as well as favorable currency exchange rates in Brazil. Solar power plants accounted for $1.4 million increase in revenue during the three months ended September 30, 2017 compared to the same period in the prior year, due primarily to increased production and increased PPA rates in South Africa.
Cost of Operations
Cost of operations for the three months ended September 30, 2017 and 2016 was as follows:
 
Three Months Ended September 30,
 
 
(In thousands)
2017
 
2016
 
Change
Cost of operations
$
11,407

 
$
10,291

 
$
1,116


Cost of operations for the three months ended September 30, 2017 and 2016 was $11.4 million and $10.3 million, respectively. Cost of operations increased $1.1 million during the three months ended September 30, 2017 compared to the same period in 2016 due to additional operation and maintenance ("O&M") costs the Company realized in 2017 attributed mainly to agreements entered into in December 2016 for the operation and maintenance of the Company’s wind power plants in Brazil.
General and Administrative Expense
General and administrative expense for the three months ended September 30, 2017 and 2016 was as follows:
 
Three Months Ended September 30,
 
 
(In thousands)
2017
 
2016
 
Change
General and Administrative Expense
$
19,006

 
$
16,315

 
$
2,691


General and administrative expense for the three months ended September 30, 2017 and 2016 was $19.0 million and $16.3 million, respectively. General and administrative expense increased by $2.7 million compared to the three months ended September 30, 2016 due to continued additional expenses related to the impact of the SunEdison Bankruptcy and the costs associated with operating as a stand-alone organization, primarily driven by consulting and professional fees.
We have historically depended significantly on SunEdison for important corporate, project, and other services, including many management services under the MSA (such as management, secretarial, accounting, banking, treasury, administrative, regulatory and reporting functions; recommending and implementing business strategy; maintenance of books and records; calculation and payment of taxes; and preparation of audited and unaudited financial statements), as well as asset management and O&M services for most of our power plants. Because of this historical reliance on SunEdison, the SunEdison

59