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Mar 31, 2021

NRG Energy Q1 2021 Earnings Report

NRG Energy reported a net loss for Q1 2021, impacted by Winter Storm Uri, while reinstating 2021 Adjusted EBITDA and FCFbG guidance.

Key Takeaways

NRG Energy reported a net loss of $(82) million for the first quarter of 2021, primarily due to the impact of Winter Storm Uri. The company is focused on customer-centric strategies and platform strengthening, and has reinstated its 2021 Adjusted EBITDA and FCFbG guidance.

Winter Storm Uri is expected to have a net impact of $500 to $700 million.

2021 Adjusted EBITDA and FCFbG guidance were reinstated.

Alberto Fornaro was appointed as Executive Vice President and Chief Financial Officer.

Houston, TX was designated as the sole Corporate Headquarters.

Total Revenue
$8.09B
Previous year: $2.02B
+300.7%
EPS
-$0.23
Previous year: $0.49
-146.9%
Adjusted EBITDA
$567M
Previous year: $349M
+62.5%
Gross Profit
$1.23B
Previous year: $562M
+118.3%
Cash and Equivalents
$501M
Previous year: $759M
-34.0%
Free Cash Flow
$1.44B
Previous year: $167M
+762.3%
Total Assets
$19.2B
Previous year: $12.8B
+50.1%

NRG Energy

NRG Energy

Forward Guidance

NRG is reinstating guidance for Adjusted EBITDA, Adjusted Cash from Operations and Free Cash Flow before Growth Investments (FCFbG) for 2021 which excludes the full year impact of Winter Storm Uri.

Positive Outlook

  • Adjusted EBITDA: $2,400 - $2,600 million
  • Adjusted Cash Flow From Operations: $1,630 - $1,830 million
  • FCFbG: $1,440 - $1,640 million
  • Company remains committed to maintaining a strong balance sheet
  • Company continues to work closely with rating agencies to achieve investment grade credit ratings

Challenges Ahead

  • Winter Storm Uri impact
  • Deleveraging program will extend into 2022
  • Debt and share repurchases may be made from time to time subject to market conditions
  • Any common stock dividend is subject to available capital and market conditions
  • Achieving investment grade credit metrics is not an indication of or guarantee that the Company will receive investment grade credit ratings.