Capital Power Corp.on July 25 reported second-quarter adjusted EBITDA of C$108 million, compared toC$47 million in the same quarter of 2015. Revenues for the quarter ending June 30rose to C$229 million, from C$83 million in the prior-year period.
"Capital Power's second quarter financial performance exceededmanagement's expectations," Capital Power President and CEO Brian Vaasjo saidin a company release. Vaasjo attributed the favorable results to the company's portfoliooptimization activities, including a maintenance outage at Genesee unit 2, which was shorter and cheaper thananticipated.
He also added that the company's trading desk "capturedan average realized Alberta power price of C$61 per MWh in the second quarter, wellabove the average spot price of C$15 per MWh that primarily reflected excess supplyin the market, low natural gas prices, and conservative offer strategies from marketparticipants."
Capital Power booked normalized net income attributable to itsshareholders of C$29 million, or 30 Canadian cents per share, compared with C$10million, or 10 cents per share, in the prior-year period.
Funds from operations climbed to C$106 million in the secondquarter of 2016 from C$70 million in the corresponding period of the prior year.
"With C$215 million in funds from operations generated inthe first half of … 2016 and based on our outlook for the remainder of the year,we remain on track to meet our C$380 [million] to C$430 million annual financialtarget range," said Vaasjo.
The company also announced a 6.8% dividend hike, effective forthe third quarter of the year. The increase represents a quarterly dividend increaseof 2.5 cents to 39 cents per common share, reflecting an annualized equivalent ofC$1.56 per common share.