Clearway Energy, Inc. (NYSE:CWEN) Q4 2023 Earnings Conference Call February 22, 2024 8:00 PM ET
Company Participants
Chris Sotos - President and Chief Executive Officer and Director
Sarah Rubenstein - Executive Vice President and Chief Financial Officer
Craig Cornelius - President and CEO of Clearway Energy Group
Conference Call Participants
Michael Lonegan - Evercore ISI
Mark Jarvi - CIBC
Justin Clare - Roth MKM
Noah Kaye - Oppenheimer & Company
Operator
Good day. And thank you for standing by. Welcome to Clearway Energy, Inc.'s Fourth Quarter 2023 Earnings 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]
Please be advised that today’s conference is being recorded. I would now like to hand the call over to your speaker today, Chris Sotos, President and CEO of Clearway Energy, Inc. Please go ahead.
Chris Sotos
Good morning. Let me first thank you for taking the time to join Clearway Energy, Inc.'s fourth 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 this date. 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. For 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. Despite a difficult year from a renewable resource perspective, CWEN's 2023 CAFD came within its revised guidance range of $330 million to $360 million at $342 million, with the fourth quarter CAFD of $53 million.
Commercial operations were also achieved on Daggett 2 and Texas Solar Nova 1 in the fourth quarter, which will help drive CAFD in 2024 and beyond. CWEN also committed to approximately $215 million of new corporate capital deployments in 2023, and average five year annual CAFD yield of approximately 10%, all further diversifying CWEN's fleet. Looking to 2024, we are announcing a dividend increase of 1.7% for the quarter to bring our quarterly dividend to $0.4033 per share, or $1.6132 on an annualized basis, the targeted group growth of 7% for the full year of 2024. Clearway is also reaffirming its CAFD guidance of $395 million for 2024, with CAFD results in line with expectations to date. Clearway continues to execute its long-term growth targets of $2.15 of CAFD per share, and is reaffirming our ability to achieve the upper range of 5% to 8% of growth through 2026 without needing to raise external capital.