NextEra Energy Partners plunges after posting surprise Q3 earnings miss

NextEra Energy Partners (NYSE:NEP) -9.4% in early trading Wednesday after reporting a Q3 net loss compared to expectations for a profit, as well as adjusted EBITDA and revenues that missed analyst estimates.

The partnership swung to a Q3 loss of $0.43/unit from a $0.57/unit profit in the year-earlier quarter, while Q3 adjusted EBITDA fell 7.2% Y/Y to $453M, operating revenues fell 13% to $319M, and cash available for distribution plunged 37% to $155M.

NextEra Partners (NEP) raised its wind repowering target to ~1.9 GW of wind projects owned by the company through 2026, up from the previous 1.3 GW target.

The partnership also declared a quarterly distribution of $0.9175/unit, equating to an annualized rate of $3.67/unit, which reflects an annualized increase of nearly 6% from a year earlier.

NextEra Energy (NEE) edged higher in early trading after beating Q3 adjusted earnings estimates, helped by strength in its renewables unit.

Q3 net income rose to $1.85B, or $0.90/share, from $1.22B, or $0.60/share, in the year-earlier quarter, as NextEra Energy Resources, the company’s renewable energy business, swung to a $1.22B profit from a loss of $230M in the same period a year ago.

Florida Power & Light, NextEra’s (NEE) biggest unit and the largest U.S. electric utility, reported Q3 net income of $1.29B, up from $1.18B in the year-ago quarter.