Innergex Renewable Energy Inc. (INE-T) met its expectations for EBITDA and improved its profitability in 2024, the Longueuil, Que.-based power producer said in its Q4 and fiscal year 2024 results.

Its adjusted EBITDA proportionate of $760.6 million for 2024 was on the upper end of its projection of $725 million to $775 million announced last year. Innergex also exceeded its free cash flow per share guidance of $0.70 to $0.85 with $1.06.

Adjusted net earnings for 2024 was approximately $56 million, an improvement from an adjusted net loss of $2.1 million in 2023.

Revenue and production tax credits marginally improved from 2023 to 2024, going up approximately one per cent, from $1.04 billion to $1.05 billion. Increased power production and a recognition of the credits drove the growth.

Revenue and production tax credits in Q4 increased nine per cent from the same period last year to $286 million; adjusted EBITDA improved by approximately 15 per cent to $202 million; adjusted net earnings were $69 million, compared to a loss of $7.2 million.

“It shows the resiliency of our portfolio,” Michel Letellier, president and CEO of the company, said in a financial call about its annual results.

Innergex manages a portfolio of 90 operating hydroelectric, wind and solar generating assets and energy storage facilities in Canada, the U.S., France and Chile, with a gross capacity of 4,663 megawatts (MW).

Innergex’s debt, liquidity, outlook

As of Q4, Innergex’s debt stood at $6.6 billion – 88 per cent in project debt and tax equity, and the remainder in corporate debt. It had over $700 million in liquidity, Innergex CFO Jean Trudel said.

To fuel growth, the company made approximately $450 million in financing in Q4.

For 2025, Innergex's adjusted EBITDA guidance is $825 million to $875 million and $0.75 to $0.95 for free cash flow per share guidance.

Innergex’s upcoming projects and growth plan

The company has six wind, solar, hydroelectric and energy storage projects under construction, totalling 148.2 MW of generation capacity and 92 MW of storage capacity. Three are in Chile, and one each in Canada, the U.S. and France.

The Hale Kuawehi project in Hawaii with 30 MW of solar and battery capacity has the earliest commercial operation date of the six at Q1 2025. The remaining five are scheduled to begin operations in 2026.

In Q4, Innergex was awarded electricity purchase agreements by BC Hydro for three wind projects totalling 560 MW of capacity. It also started commercial operations at its 330 MW Boswell Springs wind farm in Wyoming.

The company has 1,337 MW of projects in development and a prospective project portfolio of 10.3 GW, made up of primarily wind (71 per cent) and 65 per cent of the projects expected to be in Canada.

“We see a lot of opportunity in Canada in all our markets that we’re focusing. Quebec, Ontario, B.C., Saskatchewan, Manitoba are among the leaders in potential (power purchase agreements) that we can win.” Letellier said. Ontario was a market he emphasized because of its active requests for proposal for energy in 2025.

Even with disruption from the U.S. slamming the renewables industry, Letellier expects growth in the sector in the long-run. There is solid demand for electricity in the country, and he believes renewable energy can make a strong case. Innergex's base operations are not affected by potential tariffs on Canadian exports to the U.S, he added.

“We are there for the long term, but we’ll be cautious in many ways,” he said about the U.S. market.