FINANCIAL HIGHLIGHTS
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Three Months Ended Nine Months Ended
September 30 September 30
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($ in thousands except per
share amounts) 2015 2014 2015 2014
Revenue $ 19,705 $ 24,208 $ 90,253 $ 112,478
Adjusted EBITDA (1) (2,339) 3,430 11,282 16,399
Adjusted net loss (1) (8,917) (1,186) (15,052) (1,937)
Per share - basic and diluted $ (0.16) $ (0.02) $ (0.28) $ (0.04)
Net income (loss) attributable
to shareholders (8,917) (1,415) (12,263) (2,253)
Per share - basic and diluted $ (0.16) $ (0.03) $ (0.23) $ (0.04)
FFO (2) (2,621) 2,611 5,819 13,690
Per share - basic and diluted $ (0.05) $ 0.05 $ 0.11 $ 0.25
Electricity Deliveries (MWh) 173,812 192,272 535,497 750,136
Net Generation Capacity (MW)
(3) 778 777 778 777
Average Alberta market power
price($ per MWh) $ 26.09 $ 64.34 $ 37.43 $ 55.80
Average Milner realized power
price($ per MWh) $ 40.01 $ 92.49 $ 83.52 $ 72.52
Average Northeast US realized
power price(US$ per MWh) $ 43.86 $ 66.14 $ 70.81 $ 165.34
(1) Select financial information was derived from the unaudited condensed
consolidated interim financial statements and is prepared in accordance with
GAAP, except adjusted EBITDA and adjusted net loss. Adjusted EBITDA is
provided to assist management and investors in determining the Corporation's
approximate operating cash flows before interest, income taxes, and
depreciation and amortization and certain other income and expenses.
Adjusted net loss is used to compare MAXIM's results among reporting periods
without consideration of unrealized gains and losses and to evaluate MAXIM's
performance attributable to shareholders. Adjusted EBITDA and adjusted net
loss do not have any standardized meaning prescribed by GAAP and may not be
comparable to similar measures presented by other companies.
(2) Funds from operating activities before changes in working capital
("FFO") is an Additional GAAP measure provided to assist management and
investors in determining the Corporation's cash flows generated from
operations before the cash impact of working capital fluctuations.
(3) Generation capacity is manufacturer's nameplate capacity net of minority
ownership interests of third parties and uncontracted capacity on contracted
generating facilities.
OPERATING RESULTS
During the third quarter of 2015, revenue, adjusted EBITDA and FFO have decreased and adjusted net loss as well as net loss attributable to shareholders have increased when compared to the same quarter of 2014. The change in these financial measures is primarily due to lower Alberta power prices and lower realized prices in the Northeast U.S. The $26 average Alberta market price was the lowest quarterly price since deregulation in 2001. This was partially offset by higher generation in the Northeast U.S. In addition, revenue was further decreased as a result of the H.R. Milner Generating Facility ("M1") cooling tower outage in the third quarter of 2015, however this was offset in the other financial measures by lower fuel and variable operating costs. Finally, the Corporation completed discretionary turnaround work at M1 during the outage which will ensure reliability for higher priced periods in the future.
On a year-to-date basis, revenue, adjusted EBITDA and FFO have decreased and adjusted net loss as well as net loss attributable to shareholders have increased when compared to 2014. The change in these financial measures is primarily due to lower Alberta power prices, lower realized Northeast U.S. power prices and lower revenue in France in the first quarter of 2015. The $37 year to date average Alberta market price was the lowest year to date price since deregulation in 2001. In addition, revenue was further decreased as a result of the M1 cooling tower outage in the third quarter of 2015, however this was offset in the other financial measures by lower fuel and variable operating costs in the quarter. Adjusted net income and FFO also decreased as a result of costs incurred in the restructuring of Alberta operations.
