Tidewater Renewables 4th qtr in case you missed it https://stockhouse.com/news/press-releases/2023/03/09/tidewater-renewables-ltd-announces-fourth-quarter-2022-results-and-hdrd-complex
TIDEWATER RENEWABLES LTD. ANNOUNCES FOURTH QUARTER 2022 RESULTS AND HDRD COMPLEX UPDATE
CALGARY, AB, March 9, 2023 /CNW/ - Tidewater Renewables Ltd. ("Tidewater Renewables" or the "Corporation") (TSX: LCFS) is pleased to announce that it has filed its annual consolidated financial statements and Management's Discussion and Analysis ("MD&A") for the year ended December 31, 2022.
FOURTH QUARTER 2022 HIGHLIGHTS
- Tidewater Renewables completed its first full year of operations with net income attributable to shareholders of $25.9 million, Adjusted EBITDA(1) of $62.4 million and distributable cash flow(1) of $38.1 million. The Corporation exited 2022 with strong fourth quarter results, including net income attributable to shareholders or $14.1 million, compared to $0.1 million in the fourth quarter of 2021. Adjusted EBITDA(1) also increased to $16.7 million in the fourth quarter of 2022, compared to $10.6 million in the fourth quarter of 2021, representing a 57% increase. Net cash provided by operating activities was $29.1 million for the fourth quarter of 2022, with distributable cash flow(1) of $9.4 million.
- On December 16, 2022, the Corporation executed a renewable diesel offtake agreement with an investment grade partner to sell approximately 50% of the HDRD Complex's production through to the end of 2024.
- The Corporation anticipates that the HDRD Complex will scale up production gradually in the second half of 2023, with an average utilization rate between 75 - 80% of its design capacity. Based on this utilization, second-half 2023 corporate Adjusted EBITDA(1) is expected to range between $50 – 60 million, inclusive of $35 – 45 million of Adjusted EBITDA(1) from the HDRD Complex. When the HDRD Complex is operating at its design capacity, annualized corporate run rate EBITDA(1) is expected to range between $130 – 155 million.
- On October 17, 2022, the Corporation announced that it entered a 20-year RNG offtake agreement with FortisBC Energy Inc. ("FortisBC"), whereby FortisBC expects to purchase up to 100% of the Corporation's production from its announced RNG Facility in Foothills County, Alberta (the "RNG Facility"). Tidewater Renewables continues to advance the facility's engineering design and regulatory applications.
- On October 24, 2022, the Corporation announced the closing of a $150 million five-year senior secured second lien credit facility (the "AIMCo Facility") with an affiliate of Alberta Investment Management Corporation ("AIMCo"). The AIMCo Facility initially bears interest of 6.50% per annum, increases by 37.5 basis points in year four & year five and is subject to certain inflation escalators. In conjunction with the AIMCo Facility, Tidewater Renewables issued 3.375 million warrants to AIMCo. Each warrant entitles the holder to purchase one common share of Tidewater Renewables at a price of $14.84, subject to certain adjustments, for a term of five years.