6-K 1 d878188d6k.htm FORM 6-K Form 6-K

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 6-K

 

 

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of February, 2015

Commission File Number 001-36487

 

 

Abengoa Yield plc

(Exact name of Registrant as Specified in its Charter)

 

 

Not Applicable

(Translation of Registrant’s name into English)

 

 

Great West House, GW1, 17th floor

Great West Road

Brentford, TW8 9DF

United Kingdom

Tel.: +44 20 7098 4384

 

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

x  Form 20-F            ¨  Form 40-F

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):  ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):  ¨

 

 

 


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Abengoa Yield reports 2014 Financial Results

 

    Further Adjusted EBITDA increases by 94% y-o-y to $308.0 million.

 

    Solid Q4 2014 CAFD generation of $28.4 million and $56.5 for the year.

 

    Fourth quarter dividend of $0.2592 per share approved by the Board of Directors.

2014 Financial Results

February 23, 2015. Abengoa Yield plc (NASDAQ: ABY, “Abengoa Yield”), the sustainable total return company that owns a diversified portfolio of contracted assets in the energy and environment sectors, reported revenues of $362.7 million for the year ended December 31, 2014, representing a 72% increase y-o-y and Further Adjusted EBITDA of $308.0 million, representing a 94% increase compared to 2013. CAFD generated since our initial public offering reached $56.5 million.

“Results have been solid across all our segments and geographies, which have permitted us to deliver Cash Available for Distribution of $28.4 million in the quarter”, said Santiago Seage, CEO of Abengoa Yield. “During the fourth quarter of 2014 we have closed our first acquisition of assets from Abengoa and we have brought into operation Mojave, our 280 MW solar plant in California, and Cadonal, our 50 MW wind farm in Uruguay.”

Selected 2014 Financial Results

 

     Year ended December 31,  
(in thousands of U.S. dollars)    2014      2013  

Revenue

     362,693         210,907   

Further Adjusted EBITDA1

     308,023         158,529   

Net Income

     (31,612      (3,417

CAFD

     56,528         —     

 

1  Further Adjusted EBITDA includes dividends from our preferred equity investment in Brazil (see reconciliation on page 10).

 

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Key Performance Indicators

 

     As of December 31,  
     2014     2013  

Renewable energy

    

MW in operation

     891        380   

GWh produced

     902        280   

Conventional power

    

MW in operation

     300        300   

GWh produced

     2,474        1,849   

Availability (%)

     101.9     97.0

Electric transmission lines

    

Miles in operation

     1,018        368   

Availability (%)

     99.1     99.6

Segment results

 

     Year ended December 31,  
(in thousands of U.S. dollars)    2014      2013  

Revenue by Geography

     

North America

     195,508         113,998   

South America

     83,592         25,392   

Europe

     83,593         71,517   
  

 

 

    

 

 

 

Total revenue

  362,693      210,907   
  

 

 

    

 

 

 
     Year ended December 31,  
(in thousands of U.S. dollars)    2014      2013  

Revenue by business sector

     

Renewable energy

     170,673         82,714   

Conventional power

     118,765         102,801   

Electric transmission lines

     73,255         25,392   
  

 

 

    

 

 

 

Total revenue

  362,693      210,907   
  

 

 

    

 

 

 

 

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     Year ended December 31,  
(in thousands of U.S. dollars)    2014      2013  

Further Adjusted EBITDA by Geography

     

North America

     175,398         96,712   

South America

     77,188         18,979   

Europe

     55,437         42,838   
  

 

 

    

 

 

 

Total Further Adjusted EBITDA

  308,023      158,529   
  

 

 

    

 

 

 
     Year ended December 31,  
(in thousands of U.S. dollars)    2014      2013  

Further Adjusted EBITDA by business sector

     

Renewable energy

     137,820         55,797   

Conventional power

     101,896         83,277   

Electric transmission lines

     68,307         19,455   
  

 

 

    

 

 

 

Total Further Adjusted EBITDA

  308,023      158,529   
  

 

 

    

 

 

 

In the renewable energy segment, production has reached 902 GWh in the year 2014 compared to 280 GWh in 2013, mainly due to the projects that have entered into operation during the year. In conventional power, performance has been excellent during the whole year, with electric availability levels above contractual requirements in all the quarters. In electric transmission lines, ATS, Quadra 1 and Quadra 2 reached COD in January, April and March 2014, respectively, and all the assets are operating with high levels of availability since then.

Second Quarterly Dividend Announced

The Board of Directors has declared our second quarterly dividend on February 23, 2015, corresponding to the fourth quarter of 2014, amounting to $0.2592 per share, representing $1.04 per share on an annualized basis. The dividend is expected to be paid on or about March 16, to shareholders of record on February 28, 2015.

Liquidity and Debt

As of December 31, 2014, Abengoa Yield had corporate debt of $378.5 million and a liquidity position of $155.4 million at the holding company level on an unconsolidated basis.

 

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As of December 31, 2014, net project debt amounted to $3,624.3 million ($2,537.1 million as of December 31, 2013).

Consolidated cash and cash equivalents amounted to $354.2 million ($357.7 million as of December 31, 2013).

Pro Forma for our second acquisition of assets under the ROFO Agreement announced in February, Net Corporate Debt / CAFD ratio would be 2.2x.

Guidance reaffirmed

Abengoa Yield reaffirms its guidance on Cash Available For Distribution2 of $142 million, Dividend Per Share of $1.60 for 2015 and Dividend Per Share in the range of $1.92 to $2.00 for 2016. This guidance already includes the first and second acquisition of assets under the ROFO Agreement.

Acquisition plan update

In February 2015, Abengoa Yield has agreed to acquire from Abengoa a second set of assets, which is subject to approvals from financing institutions and, in certain cases, from partners in joint ventures. The acquisition of two desalination plants included in this second acquisition has already been completed.

In addition, Abengoa Yield is currently in negotiations with Abengoa for a third acquisition to be executed during 2015.

Details of the Results Presentation Conference

Abengoa Yield’s CEO Santiago Seage and Executive Vice President and CFO Eduard Soler will hold a conference call today, February 23, 2015, at 9:30 am EST.

In order to access the conference call, participants should dial: +1 855 228 3874 (US) / +44 (0) 203 426 2822 (UK). A live webcast of the conference call will be available on Abengoa Yield’s corporate website (www.abengoayield.com). Please visit the website at least 15 minutes early in order to register for the live webcast and download any necessary audio software.

About Abengoa Yield

Abengoa Yield is a total return company that owns a diversified portfolio of contracted renewable energy, power generation and electric transmission assets in North America, South America and Europe. We focus on providing a predictable and growing quarterly dividend or yield to our shareholders (www.abengoayield.com).

 

 

2  Guidance for Cash Available For Distribution reflects expected Cash Available for Distribution after interest on corporate debt at the holding company level incurred to finance the acquisitions.

 

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Forward-Looking Statements

This news release contains forward-looking statements. These forward-looking statements include, but are not limited to, all statements other than statements of historical facts contained in this prospectus, including, without limitation, those regarding our future financial position and results of operations, our strategy, plans, objectives, goals and targets, future developments in the markets in which we operate or are seeking to operate or anticipated regulatory changes in the markets in which we operate or intend to operate. In some cases, you can identify forward-looking statements by terminology such as “aim,” “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “forecast,” “guidance,” “intend,” “is likely to,” “may,” “plan,” “potential,” “predict,” “projected,” “should” or “will” or the negative of such terms or other similar expressions or terminology. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. Our actual results of operations, financial condition and the development of events may differ materially from (and be more negative than) those made in, or suggested by, the forward-looking statements.

Factors that could cause actual results to differ materially from those contemplated above include, among others, general economic conditions, changes in government expenditure budgets, challenges in making acquisitions, changes in public support of renewable energy, weather conditions, legal challenges to regulations, changes to subsidies and incentives that support renewable energy sources, government regulations, the volatility of energy and fuel prices, counterparty credit risk, failure of customers to perform under contracts, our ability to enter into new contracts as existing contracts expire, reliance on third-party contractors and suppliers, failure of newly constructed assets to perform as expected, failure to receive dividends from assets, changes in our tax position, unanticipated outages at our generation facilities, the condition of capital markets generally, our ability to access capital markets, adverse results in current and future litigation and our ability to maintain and grow our quarterly dividends. Furthermore, any dividends are subject to available capital, market conditions, and compliance with associated laws and regulations. These factors should be considered in connection with information regarding risks and uncertainties that may affect Abengoa Yield’s future results included in Abengoa Yield’s filings with the U.S. Securities and Exchange Commission at www.sec.gov.

Abengoa Yield undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or developments or otherwise.

 

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Consolidated Statements of Operations

(Amounts in thousands of U.S. dollars)

 

     For the year ended December 31,  
     2014     2013     2012  

Revenue

     362,693        210,907        107,183   

Other operating income

     79,913        379,644        560,372   

Raw materials and consumables used

     (21,321     (8,671     (4,289

Employee benefit expenses

     (1,664     (2,446     (1,789

Depreciation, amortization, and impairment charges

     (125,480     (46,943     (20,234

Other operating expenses

     (120,798     (420,905     (573,510
  

 

 

   

 

 

   

 

 

 

Operating profit/(loss)

  173,343      111,586      67,733   
  

 

 

   

 

 

   

 

 

 

Financial income

  4,911      1,153      718   

Financial expense

  (210,252   (123,784   (64,104

Net exchange differences

  2,054      (895   392   

Other financial income/(expense), net

  5,861      (1,693   (173
  

 

 

   

 

 

   

 

 

 

Financial expense, net

  (197,426   (125,219   (63,167
  

 

 

   

 

 

   

 

 

 

Share of profit/(loss) of associates carried under the equity method

  (769   13      (404
  

 

 

   

 

 

   

 

 

 

Profit/(loss) before income tax

  (24,852   (13,620   4,162   
  

 

 

   

 

 

   

 

 

 

Income tax

  (4,413   11,762      (4,021
  

 

 

   

 

 

   

 

 

 

Profit/(loss) for the year

  (29,265   (1,858   141   
  

 

 

   

 

 

   

 

 

 

Loss/(profit) attributable to non-controlling interests

  (2,347   (1,559   1,195   
  

 

 

   

 

 

   

 

 

 

Profit/(loss) for the year attributable to the parent company

  (31,612   (3,417   1,336   
  

 

 

   

 

 

   

 

 

 

Less: Predecessor Loss prior to Initial Public Offering on June 12, 2014

  (28,233   n/a      n/a   

Net profit attributable to Abengoa Yield plc subsequent to Initial Public Offering

  (3,379   n/a      n/a   

Weighted average number of ordinary shares outstanding (thousands)

  80,000      n/a      n/a   
  

 

 

   

 

 

   

 

 

 

Basic earnings per share attributable to Abengoa Yield plc (*)

  (0.04   n/a      n/a   
  

 

 

   

 

 

   

 

 

 

 

(*) Earnings per share has been calculated for the period subsequent to the initial public offering, considering Net profit attributable to equity holders of Abengoa Yield plc. generated after the initial public offering by the number of shares outstanding.

 

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Consolidated Statement of Financial Position

(Amounts in thousands of U.S. dollars)

 

     As of December 31,  
     2014     2013  

Assets

    

Non-current assets

    

Contracted concessional assets

     6,725,178        4,418,120   

Investments carried under the equity method

     5,711        387,324   

Financial investments

     373,561        28,852   

Deferred tax assets

     124,210        52,784   
  

 

 

   

 

 

 

Total non-current assets

  7,228,660      4,887,080   
  

 

 

   

 

 

 

Current assets

Inventories

  22,068      5,244   

Clients and other receivables

  129,696      97,597   

Financial investments

  229,417      266,363   

Cash and cash equivalents

  354,154      357,664   
  

 

 

   

 

 

 

Total current assets

  735,335      726,868   
  

 

 

   

 

 

 

Total assets

  7,963,995      5,613,948   
  

 

 

   

 

 

 
     As of December 31,  
     2014     2013  

Equity and liabilities

    

Equity attributable to the parent company

    

Share capital

     8,000        —     

Parent company reserves

     1,790,135        —     

Hedging reserves

     (15,539     (36,600

Accumulated currency translation differences

     (28,963     9,009   

Retained earnings

     (2,031     —     

Other equity

     —          1,245,510   

Non-controlling interest

     88,029        69,279   
  

 

 

   

 

 

 

Total equity

  1,839,631      1,287,198   
  

 

 

   

 

 

 

Non-current liabilities

Long-term corporate debt

  376,160      —     

Long-term project debt

  3,491,877      2,842,338   

Grants and other liabilities

  1,367,601      650,903   

Related parties

  77,961      492,534   

Derivative liabilities

  168,931      44,221   

Deferred tax liabilities

  60,818      21,839   
  

 

 

   

 

 

 

Total non-current liabilities

  5,543,348      4,051,835   
  

 

 

   

 

 

 

Current liabilities

Short-term corporate debt

  2,255      —     

Short-term project debt

  331,189      52,312   

Trade payables and other current liabilities

  231,132      204,013   

Income and other tax payables

  16,440      18,590   
  

 

 

   

 

 

 

Total current liabilities

  581,016      274,915   
  

 

 

   

 

 

 

Total equity and liabilities

  7,963,995      5,613,948   
  

 

 

   

 

 

 

 

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Consolidated Cash Flow Statements

(Amounts in thousands of U.S. dollars)

 

     For the year ended December 31,  
     2014     2013     2012  

I. Profit/(loss) for the period

     (29,265     (1,858     141   

Non-monetary adjustments

      

Depreciation, amortization and impairment charges

     125,480        46,943        20,234   

Finance (income)/expenses

     206,294        95,117        57,440   

Fair value gains on derivative financial instruments

     2,386        8,272        1,007   

Shares of (profit)/losses from associates

     769        (13     404   

Income tax

     4,413        (11,762     4,021   

Changes in consolidation and other non-monetary items

     (48,793     (46,168     (60,269
  

 

 

   

 

 

   

 

 

 

II. Profit for the year from adjusted by non monetary items

  261,284      90,531      22,978   
  

 

 

   

 

 

   

 

 

 

Variations in working capital

Inventories

  379      (5,244   —     

Clients and other receivables

  (5,981   10,622      23,775   

Trade payables and other current liabilities

  (117,199   (45,110   16,322   

Financial investments and other current assets/liabilities

  54,810      48,945      26,527   
  

 

 

   

 

 

   

 

 

 

III. Variations in working capital

  (67,991   9,213      66,624   
  

 

 

   

 

 

   

 

 

 

Income tax paid

  (428   (73   (255

Interest received

  256      640      718   

Interest paid

  (149,513   (62,923   (42,083
  

 

 

   

 

 

   

 

 

 

A. Net cash provided by operating activities

  43,608      37,388      47,982   
  

 

 

   

 

 

   

 

 

 

Investments in entities under the equity method

  (44,524   (240,639   (554,276

Investments in contracted concessional assets

  (56,960   (401,678   (518,495

Other non-current assets/liabilities

  (21,339   (52,250   (25,929

Acquisitions of subsidiaries

  (222,345   —        —     
  

 

 

   

 

 

   

 

 

 

B. Net cash used in investing activities

  (345,168   (694,567   (1,098,700
  

 

 

   

 

 

   

 

 

 

Proceeds from Project & Corporate debt

  1,350,689      1,139,671      339,550   

Repayment of Project & Corporate debt

  (1,665,433   (667,784   (61,620

Dividends paid to company’s shareholders

  (23,696   —        —     

Proceeds from related parties and other

  (39,035   442,986      829,322   

Proceeds IPO

  681,916      —        —     
  

 

 

   

 

 

   

 

 

 

C. Net cash provided by financing activities

  304,441      914,873      1,107,252   
  

 

 

   

 

 

   

 

 

 

Net increase/(decrease) in cash and cash equivalents

  2,881      257,694      56,534   
  

 

 

   

 

 

   

 

 

 

Cash, cash equivalents and bank overdrafts at the beginning of the year

  357,664      97,499      40,171   

Translation differences cash or cash equivalent

  (6,391   2,471      794   
  

 

 

   

 

 

   

 

 

 

Cash and cash equivalents at end of the year

  354,154      357,664      97,499   
  

 

 

   

 

 

   

 

 

 

 

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Reconciliation of Further Adjusted EBITDA to Net Income

 

     For the year ended December 31,  
(in thousands of U.S. dollars)    2014      2013      2012  

Profit/(loss) for the period attributable to the parent company

     (31,612      (3,417      1,336   

Profit attributable to non-controlling interest

     2,347         1,559         (1,195

Income tax

     4,413         (11,762      4,021   

Share in loss/ (profit) of associates

     769         (13      404   

Financial expense, net

     197,426         125,219         63,167   
  

 

 

    

 

 

    

 

 

 

Operating profit

  173,343      111,586      67,733   
  

 

 

    

 

 

    

 

 

 

Depreciation, amortization, and impairment charges

  125,480      46,943      20,234   

Dividend from exchangeable preferred equity investment in ACBH

  9,200      —        —     
  

 

 

    

 

 

    

 

 

 

Further Adjusted EBITDA

  308,023      158,529      87,967   
  

 

 

    

 

 

    

 

 

 

Reconciliation of Further Adjusted EBITDA to net cash used in operating activities

 

     For the year ended December 31,  
(in thousands of U.S. dollars)    2014      2013      2012  

Further Adjusted EBITDA

     308,023         158,529         87,967   

Interest and income tax (paid)/received

     (149,685      (62,356      (41,620

Variations in working capital

     (67,991      9,213         66,624   

Other non-cash adjustments and other

     (46,739      (67,998      (64,989
  

 

 

    

 

 

    

 

 

 

Net cash provided by operating activities

  43,608      37,388      47,982   
  

 

 

    

 

 

    

 

 

 

 

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Cash Available For Distribution Reconciliation

 

(in thousands of U.S. dollars)    For the period since
June 30, 2014
 

Further Adjusted EBITDA

     170,851   

Non-cash revenue US cash grants

     (18,379

Interests and income tax paid

     (82,964

Principal amortization of indebtedness net of new indebtedness at project level(1)

     (21,614

Deposits into/ withdrawals from debt service accounts

     (11,456

Change in available cash at project level to be distributed in subsequent periods

     12,391   

Other

     7,700   
  

 

 

 

Cash Available For Distribution

  56,528   
  

 

 

 

 

(1) Excludes repayment of Cofides’ stake in ATS, repaid with cash at Abengoa Yield plc holding level company.

 

EVP and Chief Financial Officer

Eduard Soler

E-mail: ir@abengoayield.com

 

Communication Department

Patricia Malo de Molina Meléndez

Tel: +34 954 93 71 11

E-mail: communication@abengoa.com

Investor relations

Leire Pérez

Tel: +34 954 93 71 11

E-mail: ir@abengoayield.com

 

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

ABENGOA YIELD PLC

/s/ Santiago Seage

Name: Santiago Seage
Title: Chief Executive Officer

Date: February 23, 2015