REVENUES

pag74_1In 2015, Revenues increased 15% to 772 million US Dollars, supported by 9% increase in production and stable overall average selling price.

AVERAGE SELLING PRICE

Average selling price in the region stood unchanged versus 2014, at $51 per MWh, In the US the average selling price increased to $51 per MWh, versus $50 per MWh in 2014, benefiting from higher production towards PPA/Hedge along with higher realised merchant price, as in the 2014 prices were impacted by extreme weather conditions that increased balancing and congestion costs, and in 2015 prices increased mostly due to an increase of REC prices. In Canada, EDPR average selling price was $113 per MWh, lower versus 2014 mainly reflecting forex translation.

NET OPERATING COSTS

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Net Operating Costs increased to 259 million US Dollars, mainly due to the increase in Other operating costs and in Personnel costs, at a lower extend. The increase in Other operating costs was driven by write-offs and by the booking of property taxes related to new wind farms. Reflecting control over costs and strong efficiency levels, Supplies & Services and Personnel Costs per Avg.

MW in operation decreased 3% YoY, and decreased by 2% per MWh, impacted by the lower wind resource in the period.

INSTITUTIONAL PARTNERSHIPS AND GOVERNMENT GRANTS

Income from Institutional Partnerships increased to 219 million US Dollars, reflecting in part an one-off event from an update of tax equity investors’ post-flip residual interest accretion. The projects that opted for the cash grant benefited from lower depreciation charges, booked in the income statement as amortisation of government grants, totalling 23 million US Dollars.

In 2015, EDPR received 268 million US Dollars from institutional tax equity financing structures, related to proceeds of the last tranche of an institutional tax equity financing structure signed in October 2014 and from two institutional partnership structures signed 2015, for 99 MW of Rising Tree South and 100 MW Arbuckle wind farm.

In addition, in 2015, EDPR signed an institutional partnership structure for the 199 MW Waverly wind farm, which financial closing occurred in the beginning of 2016.

All in all, EBITDA went up 7% to 513 million US Dollars, leading the EBITDA margin to increase to 66%.

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