Brookfield Renewable Partners L.P.(BEP) - 2024 Q4 - Annual Report

Financial Performance - Revenues for 2024 reached $5,876 million, an increase of 16.6$5,038 million in 2023[523] - Net loss attributable to Unitholders was $464 million, or$0.89 per LP unit, compared to a loss of $100 million, or$0.32 per LP unit in the previous year[524] - Proportionate Adjusted EBITDA increased to $2,408 million from$2,182 million, reflecting a growth of 10.4%[523] - Funds From Operations (FFO) increased to $1,217 million in 2024, up from$1,095 million in 2023, and $1,005 million in 2022, reflecting a growth of approximately 11$616 million for 2023, compared to a net loss of $335 million in 2022[594] - In 2024, the company reported a net loss of$9 million compared to a net income of $616 million in 2023, and$138 million in 2022[596] Liquidity and Capitalization - Available liquidity at the end of 2024 was $4,320 million, up from$4,121 million in 2023[523] - As of December 31, 2024, the company had total capitalization of $78,616 million, with a debt-to-total capitalization ratio of 43$2.45 billion in committed revolving credit facilities available for investments and acquisitions[609] - Total cash flow provided by operating activities for 2024 was $1,562 million, an increase of 12.3$1,390 million in 2023[611] Investments and Growth Initiatives - The company deployed or committed to deploy $12.5 billion into growth initiatives, marking the largest investment year ever[525] - The development pipeline now stands at approximately 200,000 MW, with a commissioning pace of nearly 7,000 MW per year, targeting a run rate of ~10,000 MW by 2027[526] - The company invested$1,368 million in structured investments and equity accounted investments in 2024, including a 12% interest in a 3.5 GW offshore wind portfolio in the U.K.[616] - The company plans to acquire a diversified operating and development platform in the U.S. for approximately $950 million, with an enterprise value of$1,735 million[669] Asset Management - Total assets increased to $94,809 million in 2024 from$76,128 million in 2023, reflecting significant growth in property, plant, and equipment[542] - Property, plant and equipment increased to $73.5 billion as of December 31, 2024, up from$64.0 billion in 2023, representing a $9.5 billion increase[543] - The company completed asset sales generating$2.8 billion, achieving an average return of approximately 25% IRR[528] - Assets held for sale totaled $2,049 million, including a 25$484 million in 2024, compared to $382 million in 2023, benefiting from newly acquired facilities[577] - Utility-scale solar operations reported Funds From Operations of$349 million in 2024, up from $261 million in 2023, aided by stronger generation and asset sales[578] - Adjusted EBITDA for hydroelectric operations was$902 million in 2024, down from $1,017 million in 2023, primarily due to lower generation[572] Debt and Interest Expenses - Interest expense increased to$1,988 million, up 22.2% from $1,627 million in 2023, due to acquisitions and financing initiatives[534] - The company’s total borrowings increased to$34,390 million in 2024 from $29,702 million in 2023[628] - The weighted-average interest rate for corporate borrowings in 2024 is 5.4$14,549 million[605] Shareholder Returns - Incentive distributions declared during the year amounted to $128 million, an increase from$111 million in 2023[559] - The company increased distributions to $1.42 per LP unit in 2024, representing a 5.2$1.35 in 2023[613] - Brookfield Renewable repurchased 2,279,654 LP units in 2024 at a total cost of $52 million, compared to 1,856,044 units for$43 million in 2023[569] Market and Economic Outlook - The company expects power prices in Brazil and Colombia to rise due to the need for new supply to meet growing demand[598] - Brookfield Renewable anticipates future demand growth for renewable energy in North America by 2028 to 2035, in Colombia by 2030, and in Brazil by 2028[655] Risk Management - The company is focused on managing financial risks including electricity price, foreign currency, interest rate, credit, and liquidity risks[635] - Approximately 91% of the company's debt is non-recourse, indicating a strong focus on maintaining an investment-grade balance sheet[603] Corporate Structure and Reporting - Brookfield Renewable's operations are segmented into six categories: hydroelectric, wind, utility-scale solar, distributed energy and storage, sustainable solutions, and corporate[684] - The company recognizes that generation levels are affected by hydrology, wind, and irradiance conditions, but expects long-term averages to remain reliable indicators of performance[680]