Clearway Energy misses profit estimates, reaffirms full-year CAFD guidance

Clearway Energy (CWEN) posted third-quarter net income of $123 million. Earnings per share of 42 cents missed the 58 cent consensus, while revenue of $522 million was in line with the $520.99 million consensus.

Shares were little changed at 11:20 a.m. ET on Nov. 10, from a $34.70 close.

Here's how the company did:

• Earnings per share: 42 cents vs. $1.97 per share a year earlier, against 58 cents expected
• Revenue: $522 million vs. $429 million a year earlier, against $520.99 million expected
• Net income: $123 million vs. $60 million a year earlier
• Adjusted EBITDA: $435 million vs. $385 million a year earlier
• Cash available for distribution: $173 million vs. $166 million a year earlier

Net income rose on growth investments and mark-to-market gains on interest rate swaps.

Cash from operating activities was $324 million, against $225 million a year earlier.

2026 and 2027 guidance

The company reaffirmed its 2026 CAFD guidance of $430 million to $470 million. It assumes committed growth investments close on currently forecast schedules.

The company set its 2027 CAFD guidance at $520 million to $590 million.

The company gave an initial 2031 target range of $3.20 to $3.40 of CAFD per share, a compound annual growth rate of 7% to 8% from its 2025 baseline. It reiterated a pathway to the top end or better of its 2030 CAFD per share target.

Co-located digital infrastructure projects could push results above those growth goals as the first complex completes over 2029 to 2030.

Growth investments

On Sept. 23, 2026, the company agreed to acquire equity interests in a 650 MW solar project in Missouri from Clearway Energy Group LLC for about $230 million in cash. The project is expected to reach commercial operations in 2028, and the transaction is expected to close in the second half of 2028.

The Swan Solar project is expected to contribute asset CAFD of about $24 million on a five-year average annual basis beginning Jan. 1, 2029.

On Oct. 1, 2026, the company agreed to acquire equity interests in a 210 MW storage portfolio in Utah for about $119 million in cash. The project is expected to reach commercial operations in 2027, and the transaction is expected in the second half of 2027.

The Utah storage portfolio is expected to contribute asset CAFD of about $12 million on a five-year average annual basis beginning Jan. 1, 2028.

In the fourth quarter of 2026, Clearway Energy Group offered the company cash equity interests in a 439 MW solar plus storage project in California, with a potential corporate capital commitment of about $130 million, subject to negotiation.

The Heartland Solar Plus Storage project has 20-year power purchase agreements with investment-grade utilities and targets commercial operations in the second half of 2028.

On Nov. 4, 2026, the company contracted with a load-serving entity for between 200 MW and 500 MW of Walnut Creek's capacity, from January 2027 through December 2034.

Segment and cash results

Flexible Generation equivalent availability was 93.8% in the quarter, against 92.5% a year earlier, primarily due to operational execution.

Renewables & Storage generation rose 12% from a year earlier, primarily due to the contribution of growth investments. The segment posted net income of $167 million, against $31 million a year earlier. Corporate posted a loss of $59 million, against a loss of $10 million.

Net income swung from a loss of $163 million in the first quarter of 2026 to a profit of $122 million in the second quarter of 2026.

Liquidity

Total liquidity was $1,102 million at Sept. 30, 2026, up from $1,061 million at Dec. 31, 2025, primarily due to year-to-date CAFD results and the issuance of $600 million in senior unsecured notes due 2034 by Clearway Energy Operating LLC.

Restricted cash was $413 million at Sept. 30, 2026. Of that, $177 million is designated to fund operating expenses.