1. SolarBank's IPP revenue surged from $0.3M to $6.6M this fiscal year. 2. The company reported a net loss of $9M, contrasting with a $5.5M profit last year. 3. New financing agreements could provide up to $100M for solar projects in the U.S. 4. Sale of Camillus Solar Project valued at $7.3M signifies growth in project activity. 5. Current assets increased to $45.3M, indicating stronger liquidity but raising liabilities.
Despite revenue increases, significant net losses and cash flow deficits reflect underlying financial instability. Historical trends show that similar financial performance can lead to lowered stock values.
The article details financial challenges and project financing that are critical for investor confidence in SUUN's stability and future growth.
The immediate effects of losses may pressure stock prices amidst investor sentiment, while longer-term growth strategies may take time to materialize.
SolarBank Corporation (Nasdaq: SUUN) (Cboe CA: SUNN) (FSE: GY2) ("SolarBank" or the "Company") reports its fiscal third quarter and fiscal 2025 interim financial results. All financial figures are in Canadian dollars and in accordance with International Financial Reporting Standards (IFRS) as presented in the interim consolidated financial statements.
Dr. Richard Lu, President and CEO of SolarBank commented: "SolarBank continues the growth of its independent power producer portfolio. The non-dilutive CIM transaction will provide up to US$100 million in equity capital for projects that will transform SolarBank's independent power producer asset base, creating long term revenues for years to come. As discussed in prior quarters this strategy means less short term revenue from EPC and project sales, but will have the benefit of stable long term recurring revenues."
(1) EBITDA and Adjusted EBITDA are non-IFRS financial measures with no standardized meaning under IFRS, and therefore they may not be comparable to similar measures presented by other issuers. For further information and detailed reconciliations of Non-IFRS financial measures to the most directly comparable IFRS measures see "Non-IFRS Financial Measures" in this News Release.
Nine Months Ended
March 31, 2025
March 31, 2024
| Item | 2025 | 2024 |
|---|---|---|
| Total Revenue | $ 29,105,028 | $ 50,400,013 |
| Cash flow from operating activities | $ (2,088,001) | $ 10,919,336 |
| Adjusted EBITDA (a non-IFRS measure) | $ (23,388) | $ 2,262,651 |
| Net (loss) income | $ (9,029,169) | $ 5,522,702 |
| Basic (loss) earnings per share | $ (0.29) | $ 0.20 |
| Diluted (loss) earnings per share | $ (0.29) | $ 0.15 |
The Company ended the third quarter of fiscal 2025 with $45.3 million in current assets (including $24.7 million in cash and short term investment), as compared to $17.6 million in current assets as of year-end June 30, 2024. The increase is principally the result of the closing of the acquisition of SFF.
Current liabilities increased from $13.4 million as of the year ended June 30, 2024, to $40.1 million in the current quarter, mainly due to an increase in trade and other payables and the short term debt.
For complete details please refer to the unaudited condensed interim consolidated financial statements and associated Management Discussion and Analysis for the nine months ended March 31, 2025, available on SEDAR+ (https://www.sedarplus.ca).
The Company notes that the execution of the Company's growth strategy depends upon the continued availability of third-party financing arrangements for the Company and its customers and the Company's future success depends partly on its ability to expand the pipeline of its energy business in several key markets. In addition, governments may revise, reduce or eliminate incentives and policy support schemes for solar and battery storage power, which could cause demand for the Company's services to decline.
May 15, 2025, at 4:30 PM ET
The Company will review financial results and provide a business update. Interested parties can register for the webinar by clicking here.
After registering, you will receive a confirmation email containing information about joining the webinar.
The Company has disclosed certain non-IFRS financial measures and ratios in this press release, as discussed below. These non-IFRS financial measures and non-IFRS ratios are widely reported in the renewable energy industry as benchmarks for performance and are used by management to monitor and evaluate the Company's operating performance and ability to generate cash. The Company believes that, in addition to financial measures and ratios prepared in accordance with IFRS, certain investors use these non-IFRS financial measures and ratios to evaluate the Company's performance. However, the measures do not have a standardized meaning under IFRS and may not be comparable to similar financial measures disclosed by other companies.
SolarBank Corporation is an independent renewable and clean energy project developer and owner focusing on distributed and community solar projects in Canada and the USA. The Company develops solar, Battery Energy Storage System (BESS) and EV Charging projects that sell electricity to utilities, commercial, industrial, municipal and residential off-takers. The Company maximizes returns via a diverse portfolio of projects across multiple leading North America markets including projects with utilities, host off-takers, community solar, and virtual net metering projects. The Company has a potential development pipeline of over one gigawatt and has developed renewable and clean energy projects with a combined capacity of over 100 megawatts built. To learn more about SolarBank, please visit www.solarbankcorp.com.
This press release contains forward-looking statements and forward-looking information within the meaning of Canadian securities legislation (collectively, "forward-looking statements") that relate to the Company's current expectations and views of future events. Any statements that express, or involve discussions as to, expectations, beliefs, plans, objectives, assumptions or future events or performance (often, but not always, through the use of words or phrases such as "will likely result", "are expected to", "expects", "will continue", "is anticipated", "anticipates", "believes", "estimated", "intends", "plans", "forecast", "projection", "strategy", "objective" and "outlook") are not historical facts and may be forward-looking statements and may involve estimates, assumptions and uncertainties which could cause actual results or outcomes to differ materially from those expressed in such forward-looking statements.
The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by law. New factors emerge from time to time, and it is not possible for the Company to predict all of them, or assess the impact of each such factor or the extent to which any factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statement.
SOURCE SolarBank Corporation