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Dec 31, 2023

Sunnova Q4 2023 Earnings Report

Sunnova's financial performance remained relatively stable with revenue slightly decreasing, while incurring a significant net loss due to increased operating expenses and interest expenses.

Key Takeaways

Sunnova reported a slight decrease in revenue to $194.2 million, compared to $195.6 million in the same quarter of the previous year. The company faced a net loss of $234.8 million, a significant increase from the $62.0 million net loss in Q4 2022. Adjusted EBITDA, however, showed a substantial increase, reaching $191.5 million compared to $25.6 million in the prior year quarter, primarily due to investment tax credit sales.

Deployed over 34,000 customers in Q4, bringing the total customer count to 419,200 as of December 31, 2023.

Increased single customer economics through fully burdened unlevered return.

Continued executing a cost reduction plan for 2024 to enhance cash generation.

Initiated 2025 cash generation guidance between $200 million and $500 million.

Total Revenue
$194M
Previous year: $196M
-0.7%
EPS
-$1.42
Previous year: -$0.18
+688.9%
Number of Customers
419.2K
Previous year: 279.4K
+50.0%
Gross Profit
$53.2M
Previous year: $61.3M
-13.1%
Cash and Equivalents
$213M
Previous year: $360M
-40.9%
Free Cash Flow
-$560M
Previous year: -$298M
+87.8%
Total Assets
$11.3B
Previous year: $8.34B
+36.0%

Sunnova

Sunnova

Sunnova Revenue by Geographic Location

Forward Guidance

Sunnova management reaffirms its 2024 full year guidance.

Positive Outlook

  • Customer additions between 185,000 and 195,000
  • Adjusted EBITDA between $350 million and $450 million
  • Interest income between $150 million and $190 million
  • Principal proceeds from customer notes receivable, net of amounts recorded in revenue, and proceeds from investments in solar receivables between $210 million and $250 million
  • Focus will be on cash generation driven by cost reductions, asset sales, and expanding margins.