Clearway Energy, Inc. (NYSE:CWEN) Q3 2023 Earnings Conference Call November 2, 2023 10:00 AM ET
Company Participants
Chris Sotos - President and Chief Executive Officer
Sarah Rubenstein - Executive Vice President and Chief Financial Officer
Akil Marsh - Director of Investor Relations
Craig Cornelius - President and CEO of Clearway Energy
Conference Call Participants
Julien Dumoulin-Smith - Bank of America
Angie Storozynski - Seaport Research Partners
Mark Jarvi - CIBC
Noah Kaye - Oppenheimer & Company
Justin Clare - Roth MKM
William Grippin - UBS
Operator
Thank you for standing by, and welcome to Clearway Energy, Inc.'s Third Quarter 2023 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a question-and-answer session. [Operator Instructions]
I would now like to hand the call over to President and CEO of Clearway Energy, Inc., Chris Sotos. Please go ahead.
Chris Sotos
Good morning. We first thank you for taking the time to join Clearway Energy, Inc.'s third quarter call. Joining me this morning are Akil Marsh, Director of Investor Relations; Sarah Rubenstein, CFO; and Craig Cornelius, President and CEO of Clearway Energy, our sponsor. Craig will be available for the Q&A portion of our presentation.
Before we begin, I'd like to quickly take note that today's discussion will contain forward-looking statements, which are based on the assumptions that we believe to be reasonable as of today. Actual results may differ materially. Please review the safe harbor in today's presentation as well as the risk factors in our SEC filings.
In addition, we refer to both GAAP and non-GAAP financial measures. Information regarding our non-GAAP financial measures and reconciliations to the most directly comparable GAAP measures, please refer to today's presentation.
Turning to Page 4. Given recent market volatility, we're willing to change our customer investor call format, take a step back to reinforce the strength of our platform that sets us apart from competitors and the opportunities ahead of us. As such, first and foremost, critical to the YieldCo model is the difference of the YieldCo's cost of capital compared to that of a development company. This difference has oscillated over time, and despite the current market volatility, our sponsor's historic return targets and recently disclosed development IRR targets by other market participants demonstrate that CWEN's cost of capital remains well below the target returns of a pure development, preserving this relationship and benefits for both parties. In addition, sponsors hold approximately $1.8 billion of CWEN shares, ensuring alignment of sponsor interest or the long-term interest of CWEN.