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Jun 30, 2024
New Fortress Energy Q2 2024 Earnings Report
New Fortress Energy's financial performance was marked by a net loss, offset by progress in key projects and strategic transactions.
Key Takeaways
New Fortress Energy reported a net loss of $87 million and Adjusted EBITDA of $120 million for the second quarter of 2024. Results were impacted by delays in placing the FLNG 1 project into service. The company completed its initial Fast LNG asset in Altamira, Mexico, and anticipates growth from its Puerto Rico, Nicaragua, and Brazil assets.
Adjusted EBITDA was $120 million.
Net loss was $87 million.
Adjusted EPS was $(0.41).
FLNG 1 project was completed with First Cargo expected in August 2024.
New Fortress Energy
New Fortress Energy
New Fortress Energy Revenue by Segment
Forward Guidance
New Fortress Energy is forecasting Adjusted EBITDA of $1.4-1.5 billion for 2024 and $1.3 billion for 2025.
Positive Outlook
- FLNG 1 is now in service and performing as expected.
- Completed sale of power plants for FEMA in Puerto Rico.
- Awarded 80 TBtu island-wide gas contract in Puerto Rico.
- Nicaragua terminal and power asset expected to be completed in Q4 2024.
- 2.2 GW power asset in Barcarena expected to be completed in 2025 and 2026.
Challenges Ahead
- Adjusted EBITDA in the second quarter was below expectations due to delays in placing FLNG 1 into service.
- The cost of the delay is approximately $150 million per quarter in lost operating margin.
- Net loss of $87 million in the second quarter of 2024.
- Adjusted EPS of $(0.41) on a fully diluted basis in the second quarter of 2024.
- Funds from Operations per share of $(0.23) on a fully diluted basis in the second quarter of 2024.
Revenue & Expenses
Visualization of income flow from segment revenue to net income