Earnings Release Highlights
- Recorded first quarter 2023 Net Income of $698 million and Net Income from Ongoing
Operations1 of $725
million and achieved Ongoing Operations Adjusted
EBITDA1 of $554
million.
- Reaffirmed 2023 Ongoing Operations Adjusted EBITDA and Ongoing
Operations Adjusted FCFbG1 guidance ranges.
- Made progress towards closing the acquisition of Energy Harbor
Corp., which is expected in fourth quarter 2023.
- Continued to execute on the $4.25
billion share repurchase program, repurchasing ~$2.7 billion from Nov. 2,
2021 through May 4, 2023,
representing a repurchase of ~23% of the shares outstanding.
- Declared second quarter 2023 dividend of $0.204 per share of common stock to be paid on
June 30, 2023, representing an ~15%
increase from the second quarter 2022 dividend.
IRVING,
Texas, May 9, 2023 /PRNewswire/ -- Vistra Corp.
(NYSE: VST) ("Vistra") today reported its first quarter 2023
financial results and other highlights.
"This year is off to an exciting start. We are executing on our
strategic priorities – including realizing the benefits of our
integrated model, which is supported by our comprehensive hedging
program, providing line of sight to our robust return of capital
program, and the transformation of our company," said Jim Burke, president and CEO of Vistra. "Our
zero-carbon portfolio continues to grow: the Moss Landing 350-megawatt Phase III
development is on track to come online this summer, and we
announced in March the planned acquisition of Energy Harbor Corp.,
a transaction that will more than double the amount of zero-carbon
generation we currently have online. This acquisition will further
enhance our stable and elevated earnings potential we see
continuing into the out years, with price support from the nuclear
production tax credit."
Burke continued, "This transaction is an attractive and
transformative opportunity, and the novel structuring of
consideration for the assets allows us to continue our focus on
consistently returning capital to our shareholders while
maintaining a strong balance sheet. Share repurchases continue as
planned, with Vistra repurchasing approximately $440 million of stock since the beginning of this
year, contributing to a total 23% share reduction since the
repurchase program began in November
2021. Together with the anticipated $300 million in annual dividends paid on an
ever-reducing share count, the Vistra shareholder return
proposition remains strong."
Burke concluded, "We continue to see tremendous opportunity in
Vistra's integrated model and the critical role our assets play in
meeting customer needs. This quarter's performance shined a light
on the resiliency of the business even in mild weather conditions
across the country. We are very excited about the outlook for our
business and our ability to serve customers in a growing category
that is undergoing significant change. Vistra is well positioned to
create sustained, long-term value, and we remain keenly focused on
execution of our strategic priorities."
Summary of Financial
Results for Quarter Ended March 31, 2023
|
(Unaudited)
(Millions of Dollars)
|
|
|
Three Months Ended
March 31,
|
|
2023
|
|
2022
|
Net income
(loss)
|
$
698
|
|
$
(284)
|
Ongoing operations net
income (loss) 2
|
$
725
|
|
$
(172)
|
Ongoing operations
Adjusted EBITDA2
|
$
554
|
|
$
541
|
|
|
|
|
Adjusted EBITDA by
Segment
|
|
|
|
Retail
|
$
(29)
|
|
$
163
|
Texas
|
$
383
|
|
$
171
|
East
|
$
1
|
|
$
148
|
West
|
$
46
|
|
$
25
|
Sunset
|
$
164
|
|
$
44
|
Corporate and
Other
|
$
(11)
|
|
$
(10)
|
Asset
Closure
|
$
(41)
|
|
$
—
|
For the first quarter 2023, Vistra reported Net Income of
$698 million, Net Income from Ongoing
Operations of $725 million, and Ongoing Operations Adjusted
EBITDA of $554 million. Vistra's Net
Income for the first quarter 2023 was an improvement of
$982 million over the first quarter
2022 Net Loss, driven primarily by $1,085
million in pre-tax unrealized gains from mark-to-market
valuations of commodity positions in 2023 compared to $360 million in pre-tax unrealized losses from
mark-to-market valuations of commodity positions in 2022. Ongoing
Operations Adjusted EBITDA for the first quarter 2023 was
$13 million higher than the first
quarter 2022, driven primarily by benefits of in-the-money
settled hedges at higher prices and the recognition of the net
bonus position from PJM that reflects the operating
performance of our fleet with respect to Winter Storm Elliott, partially offset by
impacts of milder weather and the expected increased customer
migration to default service and lower capacity payment
revenues.
Guidance
($ in
millions)
|
Reaffirmed
2023
|
Ongoing Operations
Adjusted EBITDA
|
$3,400 -
$4,000
|
Ongoing Operations
Adjusted FCFbG
|
$1,750 -
$2,350
|
Vistra reaffirmed its 2023 guidance ranges of Ongoing Operations
Adjusted EBITDA of $3,400 million to
$4,000 million and Ongoing Operations
Adjusted FCFbG of $1,750 million to
$2,350 million. The midpoint of 2023
Ongoing Operations Adjusted EBITDA guidance is $3,700 million, which is the top of the potential
Ongoing Operations Adjusted EBITDA midpoint opportunity range
Vistra announced in the first quarter of 2022. The midpoint of the
2023 Ongoing Operations Adjusted FCFbG guidance range is
$2,050 million.
As of March 31, 2023, Vistra had
hedged approximately 86% of its expected generation volumes on
average for the three-year period 2023 to 2025, with 2023 hedged at
approximately 99% and 2024 hedged at approximately 96%. Vistra's
hedging program and forward price curves as of May 4, 2023 continue to support its 2023 guidance
ranges and support an expected upside to Ongoing Operations
Adjusted EBITDA midpoint opportunities for 2024 and 2025, which
were estimated to be in the range of $3,500
million to $3,700 million in
the first quarter of
2022.3
Share Repurchase Program
As of May 4, 2023:
- Vistra had executed ~$2.7 billion
in share repurchases since November
2021.
- Vistra has ~$1.55 billion
remaining under its $4.25 billion
share repurchase authorization, which is expected to be utilized by
year-end 2024.
- Vistra had ~373 million shares outstanding, representing an
~23% reduction of the amount of the shares outstanding on
Nov. 2, 2021.
Clean Energy Transition
Vistra is focused on reliability, affordability and
sustainability. With this in mind, Vistra continues to grow
its fleet of lower carbon resources, advancing these interests
through cost-effective, strategic investments in solar and battery
energy storage developments (its Vistra Zero portfolio) and through
its transformative acquisition of Energy Harbor, anticipated to
close in the fourth quarter 2023.
Vistra currently has 3,408 MW of zero-emission generation and
energy storage online (including our 2,400-MW nuclear facility,
Comanche Peak), with additional renewable generation and energy
storage developments in the near-term pipeline, including the Moss
Landing Phase III 350 MW energy storage development anticipated to
be online mid-2023.
In March 2023, Vistra announced
the execution of a definitive agreement to acquire Energy Harbor,
which will add more than 4,000 MW of nuclear generation to its
portfolio along with approximately one million additional retail
customers. Together with Comanche Peak, Vistra will have
approximately 6,400 MW of nuclear generation online at the
transaction's closing. The transaction will provide diversification
and scale across multiple carbon-free technologies. Further, in
2022, Comanche Peak applied to extend its licenses through 2050 and
2053 for the two-unit facility, an additional 20 years beyond the
original licenses. This process is advancing as expected.
The Inflation Reduction Act is anticipated to provide the Vistra
Zero portfolio with the opportunity to realize material benefits on
the development of additional renewables and energy storage, as
well as provide strong price support for our nuclear facilities,
including those being acquired through the Energy Harbor
transaction.
Vistra intends to remain strategic and disciplined with respect
to the timing of investments in Vistra Zero. Overall,
continued development of the Vistra Zero portfolio is expected to
be financed primarily with third-party capital, including the net
proceeds of the $1 billion green
perpetual preferred stock issued in December
2021 and nonrecourse financings at the project or Vistra
Zero portfolio level.
Liquidity
As of March 31, 2023:
- Vistra had total available liquidity of approximately
$2,679 million, including cash and
cash equivalents of $518 million,
$1,992 million of availability under
its corporate revolving credit facility, and $169 million of availability under its
commodity-linked revolving credit facility.
-
- Available capacity under the commodity-linked revolving credit
facility reflects the borrowing base, which is lower than the
aggregate commitments of $1,350
million. The reduction in the borrowing base is due to a
decrease in commodity prices and would increase in size in a rising
commodity price environment in accordance with the terms of the
commodity-linked revolving credit facility.
Earnings Webcast
Vistra will host a webcast today, May 9,
2023, beginning at 9 a.m. ET
(8 a.m. CT) to discuss these results
and related matters. The live webcast and the accompanying slides
that will be discussed on the call can be accessed via Vistra's
website at www.vistracorp.com under "Investor Relations" and then
"Events & Presentations." Participants can also listen by phone
by registering here prior to the start time of the call to receive
a conference call dial-in number. A replay of the webcast will be
available on Vistra's website for one year following the live
event.
About Non-GAAP Financial Measures and Items Affecting
Comparability
"Adjusted EBITDA" (EBITDA as adjusted for unrealized gains or
losses from hedging activities, tax receivable agreement impacts,
reorganization items, and certain other items described from time
to time in Vistra's earnings releases), "Adjusted Free Cash Flow
before Growth" (or "Adjusted FCFbG") (cash from operating
activities excluding changes in margin deposits and working capital
and adjusted for capital expenditures (including capital
expenditures for growth investments), other net investment
activities, and other items described from time to time in Vistra's
earnings releases), "Ongoing Operations Adjusted EBITDA" (adjusted
EBITDA less adjusted EBITDA from Asset Closure segment), "Net
Income (Loss) from Ongoing Operations" (net income less net income
from Asset Closure segment), and "Ongoing Operations Adjusted Free
Cash Flow before Growth" or "Ongoing Operations Adjusted FCFbG"
(adjusted free cash flow before growth less cash flow from
operating activities from Asset Closure segment before growth) are
"non-GAAP financial measures." A non-GAAP financial measure is a
numerical measure of financial performance that excludes or
includes amounts so as to be different than the most directly
comparable measure calculated and presented in accordance with GAAP
in Vistra's consolidated statements of operations, comprehensive
income, changes in stockholders' equity and cash flows. Non-GAAP
financial measures should not be considered in isolation or as a
substitute for the most directly comparable GAAP measures. Vistra's
non-GAAP financial measures may be different from non-GAAP
financial measures used by other companies.
Vistra uses Adjusted EBITDA as a measure of performance and
believes that analysis of its business by external users is
enhanced by visibility to both Net Income prepared in accordance
with GAAP and Adjusted EBITDA. Vistra uses Adjusted Free Cash Flow
before Growth as a measure of liquidity and believes that analysis
of its ability to service its cash obligations is supported by
disclosure of both cash provided by (used in) operating activities
prepared in accordance with GAAP as well as Adjusted Free Cash Flow
before Growth. Vistra uses Ongoing Operations Adjusted EBITDA as a
measure of performance and Ongoing Operations Adjusted Free Cash
Flow before Growth as a measure of liquidity, and Vistra's
management and board of directors have found it informative to view
the Asset Closure segment as separate and distinct from Vistra's
ongoing operations. Vistra uses Net Income (Loss) from Ongoing
Operations as a non-GAAP measure that is most comparable to the
GAAP measure Net Income in order to illustrate the company's Net
Income excluding the effects of the Asset Closure segment, as well
as a measure to compare to Ongoing Operations Adjusted EBITDA. The
schedules attached to this earnings release reconcile the non-GAAP
financial measures to the most directly comparable financial
measures calculated and presented in accordance with U.S. GAAP.
1 Ongoing Operations
excludes the Asset Closure segment. Net Income (Loss) from Ongoing
Operations, Ongoing Operations Adjusted EBITDA, and Ongoing
Operations Adjusted Free Cash Flow before Growth are non-GAAP
financial measures. References to Adjusted EBITDA and Adjusted
FCFbG are references to Ongoing Operations Adjusted EBITDA and
Ongoing Operations Adjusted Free Cash Flow before Growth,
respectively. See the "Non-GAAP Reconciliation" tables for further
detail. Total segment information may not tie due to
rounding.
|
|
2 Due to the recast of
Edwards Power Plant, which retired on Jan. 1 2023, to the Asset
Closure segment, Net Loss from Ongoing Operations for the three
months ended March 31, 2022 decreased $50 million and Ongoing
Operations Adjusted EBITDA for the three months ended March 31,
2022 decreased $6 million.
|
|
3 Reflects potential
midpoint opportunity range of Ongoing Operations Adjusted
EBITDA for 2024 and 2025 previously disclosed on our first
quarter 2022 earnings call; this range of estimated opportunities
is not intended to be guidance.
|
About Vistra
Vistra (NYSE: VST) is a leading Fortune 500 integrated retail
electricity and power generation company based in Irving, Texas, providing essential resources
for customers, commerce, and communities. Vistra combines an
innovative, customer-centric approach to retail with safe,
reliable, diverse, and efficient power generation. The company
brings its products and services to market in 20 states and the
District of Columbia, including
six of the seven competitive wholesale markets in the U.S. Serving
approximately 4 million residential, commercial, and industrial
retail customers with electricity and natural gas, Vistra is one of
the largest competitive electricity providers in the country and
offers over 50 renewable energy plans. The company is also the
largest competitive power generator in the U.S. with a capacity of
approximately 37,000 megawatts powered by a diverse portfolio,
including natural gas, nuclear, solar, and battery energy storage
facilities. In addition, Vistra is a large purchaser of wind power.
The company owns and operates the 400-MW/1,600-MWh battery energy
storage system in Moss Landing,
California, the largest of its kind in the world. Vistra is
guided by four core principles: we do business the right way, we
work as a team, we compete to win, and we care about our
stakeholders, including our customers, our communities where we
work and live, our employees, and our investors. Learn more about
our environmental, social, and governance efforts and read the
company's sustainability report at
https://www.vistracorp.com/sustainability/.
Cautionary Note Regarding Forward-Looking
Statements
The information presented herein includes
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. These forward-looking
statements, which are based on current expectations, estimates and
projections about the industry and markets in which Vistra Corp.
("Vistra") operates and beliefs of and assumptions made by Vistra's
management, involve risks and uncertainties, which are difficult to
predict and are not guarantees of future performance, that could
significantly affect the financial results of Vistra. All
statements, other than statements of historical facts, that are
presented herein, or in response to questions or otherwise, that
address activities, events or developments that may occur in the
future, including such matters as activities related to our
financial or operational projections, financial condition and cash
flows, projected synergy, value lever and net debt targets, capital
allocation, capital expenditures, liquidity, projected Adjusted
EBITDA to free cash flow conversion rate, dividend policy, business
strategy, competitive strengths, goals, future acquisitions or
dispositions, development or operation of power generation assets,
market and industry developments and the growth of our businesses
and operations (often, but not always, through the use of words or
phrases, or the negative variations of those words or other
comparable words of a future or forward-looking nature, including,
but not limited to: "intends," "plans," "will likely," "unlikely,"
"believe," "confident", "expect," "seek," "anticipate," "estimate,"
"continue," "will," "shall," "should," "could," "may," "might,"
"predict," "project," "forecast," "target," "potential," "goal,"
"objective," "guidance" and "outlook"), are forward-looking
statements. Readers are cautioned not to place undue reliance on
forward-looking statements. Although Vistra believes that in making
any such forward-looking statement, Vistra's expectations are based
on reasonable assumptions, any such forward-looking statement
involves uncertainties and risks that could cause results to differ
materially from those projected in or implied by any such
forward-looking statement, including, but not limited to: (i)
adverse changes in general economic or market conditions (including
changes in interest rates) or changes in political conditions or
federal or state laws and regulations; (ii) the ability of Vistra
to execute upon its contemplated strategic, capital allocation,
performance, and cost-saving initiatives, including the acquisition
of Energy Harbor, and to successfully integrate acquired
businesses; (iii) actions by credit ratings agencies; (iv) the
severity, magnitude and duration of extreme weather events,
contingencies and uncertainties relating thereto, most of which are
difficult to predict and many of which are beyond our control, and
the resulting effects on our results of operations, financial
condition and cash flows; and (v) those additional risks and
factors discussed in reports filed with the Securities and Exchange
Commission by Vistra from time to time, including the uncertainties
and risks discussed in the sections entitled "Risk Factors" and
"Forward-Looking Statements" in Vistra's annual report on Form 10-K
for the year ended December 31, 2022
and any subsequently filed quarterly reports on Form 10-Q.
Any forward-looking statement speaks only at the date on which
it is made, and except as may be required by law, Vistra will not
undertake any obligation to update any forward-looking statement to
reflect events or circumstances after the date on which it is made
or to reflect the occurrence of unanticipated events. New factors
emerge from time to time, and it is not possible to predict all of
them; nor can Vistra assess the impact of each such factor or the
extent to which any factor, or combination of factors, may cause
results to differ materially from those contained in any
forward-looking statement.
VISTRA
CORP.
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(Millions of Dollars)
|
|
Three Months Ended
March 31,
|
|
2023
|
|
2022
|
Operating
revenues
|
$
4,425
|
|
$
3,125
|
Fuel, purchased power
costs and delivery fees
|
(2,170)
|
|
(2,279)
|
Operating
costs
|
(421)
|
|
(416)
|
Depreciation and
amortization
|
(366)
|
|
(430)
|
Selling, general and
administrative expenses
|
(288)
|
|
(288)
|
Impairment of
long-lived assets
|
(49)
|
|
—
|
Operating income
(loss)
|
1,131
|
|
(288)
|
Other income
|
20
|
|
5
|
Other
deductions
|
(3)
|
|
(4)
|
Interest expense and
related charges
|
(207)
|
|
(7)
|
Impacts of Tax
Receivable Agreement
|
(65)
|
|
(81)
|
Net income (loss)
before income taxes
|
876
|
|
(375)
|
Income tax (expense)
benefit
|
(178)
|
|
91
|
Net income
(loss)
|
$
698
|
|
$
(284)
|
Net (income) loss
attributable to noncontrolling interest
|
1
|
|
(1)
|
Net income (loss)
attributable to Vistra
|
$
699
|
|
$
(285)
|
Cumulative dividends
attributable to preferred stock
|
(38)
|
|
(38)
|
Net income (loss)
attributable to Vistra common stock
|
$
661
|
|
$
(323)
|
VISTRA
CORP.
CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(Millions of Dollars)
|
|
Three Months Ended
March 31,
|
|
2023
|
|
2022
|
Cash flows — operating
activities:
|
|
|
|
Net income
(loss)
|
$
698
|
|
$
(284)
|
Adjustments to
reconcile net income (loss) to cash provided by operating
activities:
|
|
|
|
Depreciation and
amortization
|
477
|
|
542
|
Deferred income tax
expense (benefit), net
|
181
|
|
(84)
|
Impairment of
long-lived and other assets
|
49
|
|
—
|
Unrealized net (gain)
loss from mark-to-market valuations of commodities
|
(1,085)
|
|
360
|
Unrealized net (gain)
loss from mark-to-market valuations of interest rate
swaps
|
41
|
|
(126)
|
Asset retirement
obligation accretion expense
|
9
|
|
9
|
Impacts of Tax
Receivable Agreement
|
65
|
|
81
|
Stock-based
compensation
|
22
|
|
14
|
Bad debt
expense
|
35
|
|
30
|
Other, net
|
8
|
|
2
|
Changes in operating
assets and liabilities:
|
|
|
|
Margin deposits,
net
|
1,227
|
|
210
|
Accrued
interest
|
(47)
|
|
(62)
|
Accrued
taxes
|
(91)
|
|
(98)
|
Accrued employee
incentive
|
(79)
|
|
(59)
|
Other operating assets
and liabilities
|
(75)
|
|
56
|
Cash provided by
operating activities
|
1,435
|
|
591
|
Cash flows — investing
activities:
|
|
|
|
Capital expenditures,
including nuclear fuel purchases and LTSA prepayments
|
(484)
|
|
(373)
|
Proceeds from sales of
nuclear decommissioning trust fund securities
|
119
|
|
98
|
Investments in nuclear
decommissioning trust fund securities
|
(125)
|
|
(103)
|
Proceeds from sales of
environmental allowances
|
35
|
|
7
|
Purchases of
environmental allowances
|
(61)
|
|
(116)
|
Insurance
proceeds
|
3
|
|
1
|
Proceeds from sale of
assets
|
2
|
|
3
|
Other, net
|
(2)
|
|
3
|
Cash used in investing
activities
|
(513)
|
|
(480)
|
Cash flows — financing
activities:
|
|
|
|
Repayments/repurchases
of debt
|
(7)
|
|
(132)
|
Net borrowings under
accounts receivable financing
|
175
|
|
500
|
Borrowings under
Revolving Credit Facility
|
100
|
|
—
|
Repayments under
Revolving Credit Facility
|
(350)
|
|
—
|
Repayments under
Commodity-Linked Facility
|
(400)
|
|
—
|
Share
repurchases
|
(301)
|
|
(710)
|
Dividends paid to
common stockholders
|
(77)
|
|
(77)
|
Other, net
|
(14)
|
|
6
|
Cash used in financing
activities
|
(874)
|
|
(413)
|
Net change in cash,
cash equivalents and restricted cash
|
48
|
|
(302)
|
Cash, cash equivalents
and restricted cash — beginning balance
|
525
|
|
1,359
|
Cash, cash equivalents
and restricted cash — ending balance
|
$
573
|
|
$
1,057
|
VISTRA
CORP.
|
NON-GAAP
RECONCILIATIONS - ADJUSTED EBITDA
|
FOR THE THREE MONTHS
ENDED MARCH 31, 2023
|
(Unaudited)
(Millions of Dollars)
|
|
|
Retail
|
|
Texas
|
|
East
|
|
West
|
|
Sunset
|
|
Eliminations /
Corp and
Other
|
|
Ongoing
Operations
Consolidated
|
|
Asset
Closure
|
|
Vistra Corp.
Consolidated
|
Net income
(loss)
|
$
(595)
|
|
$ 584
|
|
$ 745
|
|
$ 52
|
|
$ 424
|
|
$
(485)
|
|
$
725
|
|
$ (27)
|
|
$
698
|
Income tax
expense
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
178
|
|
178
|
|
—
|
|
178
|
Interest expense and
related charges (a)
|
7
|
|
(4)
|
|
—
|
|
(4)
|
|
1
|
|
206
|
|
206
|
|
1
|
|
207
|
Depreciation and
amortization (b)
|
29
|
|
153
|
|
161
|
|
15
|
|
14
|
|
17
|
|
389
|
|
—
|
|
389
|
EBITDA before
Adjustments
|
(559)
|
|
733
|
|
906
|
|
63
|
|
439
|
|
(84)
|
|
1,498
|
|
(26)
|
|
1,472
|
Unrealized net (gain)
loss resulting from hedging transactions
|
559
|
|
(346)
|
|
(923)
|
|
(18)
|
|
(340)
|
|
—
|
|
(1,068)
|
|
(17)
|
|
(1,085)
|
Generation plant
retirement expenses
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
1
|
|
1
|
|
—
|
|
1
|
Fresh start/purchase
accounting impacts
|
1
|
|
(1)
|
|
2
|
|
—
|
|
1
|
|
—
|
|
3
|
|
—
|
|
3
|
Impacts of Tax
Receivable Agreement
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
65
|
|
65
|
|
—
|
|
65
|
Non-cash compensation
expenses
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
22
|
|
22
|
|
—
|
|
22
|
Transition and merger
expenses
|
(2)
|
|
—
|
|
—
|
|
—
|
|
1
|
|
2
|
|
1
|
|
—
|
|
1
|
Impairment of
long-lived assets
|
—
|
|
—
|
|
—
|
|
—
|
|
49
|
|
—
|
|
49
|
|
—
|
|
49
|
PJM capacity
performance default impacts (c)
|
—
|
|
—
|
|
14
|
|
—
|
|
6
|
|
—
|
|
20
|
|
—
|
|
20
|
Winter Storm Uri
impacts (d)
|
(34)
|
|
1
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(33)
|
|
—
|
|
(33)
|
Other, net
|
6
|
|
(4)
|
|
2
|
|
1
|
|
8
|
|
(17)
|
|
(4)
|
|
2
|
|
(2)
|
Adjusted
EBITDA
|
$ (29)
|
|
$ 383
|
|
$
1
|
|
$
46
|
|
$ 164
|
|
$
(11)
|
|
$
554
|
|
$ (41)
|
|
$
513
|
___________
|
|
(a)
|
Includes $41 million of
unrealized mark-to-market net losses on interest rate
swaps.
|
(b)
|
Includes nuclear fuel
amortization of $23 million in the Texas segment.
|
(c)
|
Represents initial
estimate of anticipated market participant defaults on PJM capacity
performance penalties due to extreme magnitude of penalties
associated with Winter Storm Elliott, which amounts are expected to
be withheld by PJM from our net bonus position during
2023.
|
(d)
|
Includes the
application of bill credits to large commercial and industrial
customers that curtailed their usage during Winter Storm Uri. We
estimate remaining bill credit amounts to be applied in future
periods are for the remainder of 2023 (approximately $21 million),
2024 (approximately $9 million) and 2025 (approximately $25
million).
|
VISTRA
CORP.
|
NON-GAAP
RECONCILIATIONS - ADJUSTED EBITDA
|
FOR THE THREE MONTHS
ENDED MARCH 31, 2022
|
(Unaudited)
(Millions of Dollars)
|
|
|
Retail
|
|
Texas
|
|
East
|
|
West
|
|
Sunset
|
|
Eliminations /
Corp and
Other
|
|
Ongoing
Operations
Consolidatedd
|
|
Asset
Closure
|
|
Vistra Corp.
Consolidated
|
Net income
(loss)
|
$
2,428
|
|
$ (1,972)
|
|
$
(128)
|
|
$ (61)
|
|
$
(400)
|
|
$
(39)
|
|
$
(172)
|
|
$
(112)
|
|
$
(284)
|
Income tax
benefit
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(91)
|
|
(91)
|
|
—
|
|
(91)
|
Interest expense and
related chargesa
|
1
|
|
(5)
|
|
2
|
|
—
|
|
1
|
|
8
|
|
7
|
|
—
|
|
7
|
Depreciation and
amortizationb
|
36
|
|
145
|
|
179
|
|
42
|
|
16
|
|
17
|
|
435
|
|
17
|
|
452
|
EBITDA before
Adjustments
|
2,465
|
|
(1,832)
|
|
53
|
|
(19)
|
|
(383)
|
|
(105)
|
|
179
|
|
(95)
|
|
84
|
Unrealized net (gain)
loss resulting from hedging transactions
|
(2,306)
|
|
2,031
|
|
93
|
|
44
|
|
413
|
|
—
|
|
275
|
|
85
|
|
360
|
Generation plant
retirement expenses
|
—
|
|
—
|
|
—
|
|
—
|
|
4
|
|
—
|
|
4
|
|
2
|
|
6
|
Impacts of Tax
Receivable Agreement
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
81
|
|
81
|
|
—
|
|
81
|
Non-cash compensation
expenses
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
17
|
|
17
|
|
—
|
|
17
|
Transition and merger
expenses
|
6
|
|
—
|
|
1
|
|
—
|
|
—
|
|
10
|
|
17
|
|
—
|
|
17
|
Winter Storm Uri
impactsc
|
(12)
|
|
(42)
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(54)
|
|
—
|
|
(54)
|
Other, net
|
10
|
|
14
|
|
1
|
|
—
|
|
10
|
|
(13)
|
|
22
|
|
8
|
|
30
|
Adjusted
EBITDA
|
$ 163
|
|
$ 171
|
|
$ 148
|
|
$
25
|
|
$
44
|
|
$
(10)
|
|
$
541
|
|
$
—
|
|
$
541
|
___________
|
|
|
(a)
|
Includes $126 million
of unrealized mark-to-market net gains on interest rate
swaps.
|
(b)
|
Includes nuclear fuel
amortization of $22 million in Texas segment.
|
(c)
|
Adjusted EBITDA impacts
of Winter Storm Uri reflects the application of bill credits to
large commercial and industrial customers that curtailed their
usage during Winter Storm Uri and a reduction in the allocation of
ERCOT default uplift charges which were expected to be paid over
several decades under protocols existing at the time of the
storm.
|
(d)
|
Due to the recast of
Edwards Power Plant, which retired on Jan. 1 2023, to the Asset
Closure segment, Net Loss from Ongoing Operations for the three
months ended March 31, 2022 decreased $50 million and Ongoing
Operations Adjusted EBITDA for the three months ended March 31,
2022 decreased $6 million.
|
VISTRA CORP. -
NON-GAAP RECONCILIATIONS
2023
GUIDANCE1
|
(Unaudited) (Millions
of Dollars)
|
|
Ongoing
Operations
|
Asset
Closure
|
Vistra
Consolidated
|
|
Low
|
|
High
|
Low
|
|
High
|
Low
|
|
High
|
Net Income
(loss)
|
1,050
|
|
1,510
|
(180)
|
|
(80)
|
870
|
|
1,430
|
Income tax
expense
|
300
|
|
440
|
0
|
|
0
|
300
|
|
440
|
Interest expense and
related charges (a)
|
710
|
|
710
|
0
|
|
0
|
710
|
|
710
|
Depreciation and
amortization (b)
|
1,580
|
|
1,580
|
0
|
|
0
|
1,580
|
|
1,580
|
EBITDA before
adjustments
|
3,640
|
|
4,240
|
(180)
|
|
(80)
|
3,460
|
|
4,160
|
Unrealized net (gain)
loss resulting from hedging transactions
|
(267)
|
|
(267)
|
(14)
|
|
(14)
|
(281)
|
|
(281)
|
Fresh start / purchase
accounting impacts
|
6
|
|
6
|
0
|
|
0
|
6
|
|
6
|
Impacts of Tax
Receivable Agreement
|
66
|
|
66
|
0
|
|
0
|
66
|
|
66
|
Non-cash compensation
expenses
|
53
|
|
53
|
0
|
|
0
|
53
|
|
53
|
Transition and merger
expenses
|
0
|
|
0
|
0
|
|
0
|
0
|
|
0
|
Winter Storm Uri
impacts (c)
|
(52)
|
|
(52)
|
0
|
|
0
|
(52)
|
|
(52)
|
Other, net
|
(46)
|
|
(46)
|
4
|
|
4
|
(42)
|
|
(42)
|
Adjusted EBITDA
guidance
|
3,400
|
|
4,000
|
(190)
|
|
(90)
|
3,210
|
|
3,910
|
Interest paid,
net
|
(622)
|
|
(622)
|
0
|
|
0
|
(622)
|
|
(622)
|
Tax (paid) / received
(d)
|
(49)
|
|
(49)
|
0
|
|
0
|
(49)
|
|
(49)
|
Tax Receivable
Agreement payments
|
(9)
|
|
(9)
|
0
|
|
0
|
(9)
|
|
(9)
|
Working capital and
margin deposits
|
479
|
|
479
|
0
|
|
0
|
479
|
|
479
|
Accrued environmental
allowances
|
434
|
|
434
|
0
|
|
0
|
434
|
|
434
|
Reclamation and
remediation
|
(33)
|
|
(33)
|
(100)
|
|
(100)
|
(133)
|
|
(133)
|
Winter Storm Uri
impacts
|
0
|
|
0
|
0
|
|
0
|
0
|
|
0
|
Other changes in other
operating assets and liabilities
|
17
|
|
17
|
(21)
|
|
(21)
|
(4)
|
|
(4)
|
Cash provided by
(used in) operating activities
|
3,617
|
|
4,217
|
(311)
|
|
(211)
|
3,306
|
|
4,006
|
Capital expenditures
including nuclear fuel purchases and LTSA prepayments
|
(950)
|
|
(950)
|
0
|
|
0
|
(950)
|
|
(950)
|
Solar and storage
development expenditures
|
(977)
|
|
(977)
|
0
|
|
0
|
(977)
|
|
(977)
|
Other growth
expenditures
|
(159)
|
|
(159)
|
0
|
|
0
|
(159)
|
|
(159)
|
(Purchase)/sale of
environmental allowances
|
(520)
|
|
(520)
|
0
|
|
0
|
(520)
|
|
(520)
|
Other net investing
activities
|
(20)
|
|
(20)
|
0
|
|
0
|
(20)
|
|
(20)
|
Free cash
flow
|
991
|
|
1,591
|
(311)
|
|
(211)
|
680
|
|
1,380
|
Working capital and
margin deposits
|
(479)
|
|
(479)
|
0
|
|
0
|
(479)
|
|
(479)
|
Solar and storage
development and other growth expenditures
|
977
|
|
977
|
0
|
|
0
|
977
|
|
977
|
Other growth
expenditures
|
159
|
|
159
|
0
|
|
0
|
159
|
|
159
|
Accrued environmental
allowances
|
(434)
|
|
(434)
|
0
|
|
0
|
(434)
|
|
(434)
|
Purchase/(sale) of
environmental allowances
|
520
|
|
520
|
0
|
|
0
|
520
|
|
520
|
Transition and merger
expenses
|
12
|
|
12
|
26
|
|
26
|
38
|
|
38
|
Transition capital
expenditures
|
4
|
|
4
|
0
|
|
0
|
4
|
|
4
|
Adjusted free cash
flow before growth guidance
|
1,750
|
|
2,350
|
(285)
|
|
(185)
|
1,465
|
|
2,165
|
|
1 Regulation
G Table for 2023 Guidance prepared as of November 4,
2022.
|
|
|
(a)
|
Includes unrealized
(gain) / loss on interest rate swaps of $36 million.
|
(b)
|
Includes nuclear fuel
amortization of $105 million.
|
(c)
|
Adjustment for bill
credits applied to large commercial and industrial customers that
curtailed during Winter Storm Uri.
|
(d)
|
Includes state tax
payments.
|
View original content to download
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SOURCE Vistra Corp.