This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

NRG Energy Increases Guidance Following Completion Of GenOn Transaction

NRG Energy is increasing its guidance for both adjusted EBITDA and Free Cash Flow before Growth investments following the successful close of the GenOn transaction on December 14, 2012. Specifically, NRG is reaffirming 2013 adjusted EBITDA guidance, increasing its 2014 adjusted EBITDA guidance by $70 million and increasing both 2013 and 2014 Free Cash Flow before Growth guidance by $75 million and $55 million, respectively. These increases in guidance are relative to the guidance ranges for the combined company previously provided in connection with the merger announcement in July 2012 and are due to a number of factors, including:

  • Updated outlook on forward commodity prices
  • Review of expenditures for the combined portfolio
  • Impact of reduction in projected environmental capital expenditures previously disclosed

2013 and 2014 Guidance

($ in Millions)    

2013

2014

Adjusted EBITDA 1 $2,535-$2,735 $2,700-$2,900
Wholesale 1,685 - 1,800 1,705 - 1,820
Retail 650 - 725 675 – 750
Solar Projects 2 200 - 210 320 – 330
FCF, before growth investments   $900-$1,100   $900-$1,100

Note: Reconciliation of Adjusted EBITDA are shown in Appendix

1Includes $150 million and $200 million in 2013 and 2014, respectively, of synergies as previously disclosed

2Solar projects include the EBITDA contribution from the projects net of non-controlling interest and excluding development expenses

 

“Having closed the GenOn transaction ahead of our original expectations, we now have the opportunity to complete our review of the combined company’s business operations and are pleased to announce increased adjusted EBITDA and free cash flow guidance for 2013-2014,” said David Crane, NRG’s President and Chief Executive Officer. “NRG’s personnel are already fully engaged realizing both the synergies of the combination and the potential of our 47,000 megawatts of multi-fuel, multi-regional, across-the-merit-order generation capacity.”

1 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs