Post by
splurge on Nov 13, 2022 9:16pm
cashflow and expenditures
Q3 they reported -$207.3 mln loss. Operating cashflow and after the working capital non cash items was positive $102.9 mln.
Expenditures included: Dividends totalling $108.1 mln and payments to related parties $11.5 mln.
That pretty well more than eats up cash flow of $102.9 before one even considers the $322 mln additions to plant and equipmemt during the qtr.
Reported non cash items totalled $95.7 mln and included two items I am not familar with. $57.7 mln Net regulatory assets and liabilities and Fuel storage of $34.4 mln. I understsand how working capital can be managed ( extending payables and shortening receivables for a temporary impact) but as to these items I am not sure and what it means to future cash flow.
Also
Have they raised all the equity they need to fund Kentucky acquisition? Approval is in January so they will need to write a cheque soon after I would think. I realize they have raised some equity and debt also but how much of what is left.
Cheers
spurge
Comment by
splurge on Nov 13, 2022 9:33pm
I think the company adds back the $95.7 mln non cash charges and also $6.9 mln to get AFFO of $207.5 mln which would still not cover the dividends and related party disbursements and additions to plant totalling $442 mln. I guess my query is the composition of the Non cash charges and their likelkhood of recurring. splurge
Comment by
CANCDN on Nov 13, 2022 10:20pm
You really need to research how utilities operate and get paid....
Comment by
CANCDN on Nov 13, 2022 10:27pm
To help those out that don't understand regulated utilty business. you want as much money under mtce capex as possible (for the regulated business). This is how you get paid. It is virtually risk free. The rate payers pay the cost of capital (debt) and then pay you a return on equity above and beyond that amount.
Comment by
555rookie555 on Nov 13, 2022 11:45pm
So what I'm hearing is AQN is the best way to recoup higher utility bills I will likely see this winter?
Comment by
CANCDN on Nov 13, 2022 10:15pm
Actual cash flow was 205 million. For the 100th time, mtce expenses on regulated utitities are taken on as debt, which the utilty then pays the cost and the cost of capital AND the rate of return ontop of that. The entire premise of a regulated utitly is to SPEND more money.