Altus Power (AMPS) 15 May 232023 Q1 Earnings call transcript

Good morning, and welcome to Altus Power First Quarter 2023 Conference Call.

As a reminder, today's call is being recorded. [Operator Instructions] At this time, for opening remarks and introductions, I would like to turn the call over to Chris Shelton, Head of Investor Relations. Please proceed.

Good morning, and welcome to our first quarter 2023 earnings call.

are Financial Co-Chief Officer. call Dustin Officer; today's Chief Weber, on Gregg Executive Felton, and Speaking

issued and In will to for we be Co-Chief be joining press addition, Executive call. us Q&A. Officer, discussed on This to presentation related a Lars this Norell, a matters release morning,

release both SEC's is on also on the the our section. website, You can and Investors information access www.altuspower.com This website. the press presentation in the available

statements forward-looking used These refer As risks these operations expect, to may call, to results forward-looking outlook our in contain expressions they if statement. estimate, circumstances events, a Altus to to on statements. subject change. the assumes based and are forecast, Altus forward-looking comments call predicted and obligation including the as and such statements. materially assumptions a that reminder, update cause relate various certain Power future this and on the forward-looking financial on statements words or statements Altus from in Power's future those to identify as These similar future plan, performance. could will, When uncertainties differ this actual are Power no

you and factors our the statements, XX-Q filed filings XXXX, to we uncertainties the and XX-K risks, filed today. other our specifically, information, more could impact For on SEC discussed XX, March encourage SEC our forward-looking in review that these with SEC the with

adjusted non-GAAP to refer EBITDA, financial also EBITDA which and will we adjusted call, this measures. exit margin During PAR, are

methods be exclude and by measures. these substitute GAAP companies. our financial These measures of monitor financial used may information measures and to believe and to similar non-GAAP plan, evaluate management investors. may considered performance, for as Our we measures measures other a these certain Altus non-GAAP should financial from not this non-GAAP differ computing financial items be financial financial non-GAAP uses comparable useful Power's

measures is GAAP reconciliation press the contained that about release financial these measures in presentation on and to information non-GAAP detailed more today. a the both these from For issued we

first remarks. today deck will speakers prepared slide quarter reference during Finally, our our

We will in be you assist are certain information today. we financial providing this of information the to discussing understanding

I'm Altus Executive that, to call Felton, of Officer with pleased over turn Co-Chief Power. Gregg to And the

our entered and Chris, our to with weeks this just analysts season all we activity welcome, with on call, It's investors last our spring and but Thanks, to X call. spoke have we year-end plenty since you report. of been

I a million and quarter Let EBITDA me first Today, for adjusted XX% start revenues, reporting as X, annual we're earnings well compared of our as operating to increase $XX.X EBITDA as summarize on guidance. quarter Slide XXXX first the first quarter, of million, mid- and compared quarter $XX an in XX% million These to $XX of results our million XXXX range. of to last to position first $XXX adjusted to XX% high EBITDA of us range guidance increase year. the reiterate margin

introduction, update, portfolio use XX. which to our that a this provide into starting X, time want to as with I shows progressing we're including With insights portfolio, Slide our March how of with investors portfolio

and includes megawatts to XXX which has York, One largest terms market acquisition of New closed February. our was see megawatts. This we installed the in transaction in XXX exposure quarter, feature now increased from portfolio our this you'll an megawatts totals become now the of attractive

the the growth energy to in including in U.S. clean distributed significant facilitate of was programs largest Community designed Solar York's New generation, program one

market the view projects. in forward is presence Solar are growing segment to Community for attractive and of our and addressable growing our New scale commercial We reiterate looking an York that

will inflation Solar our with country. XX,XXX compared can variable megawatts our increase from highlight, operates rate utility of see growing in customers persist, of in providing projects, stream to internal approximately portfolio. a last quarter, slide on XXX aligns percentage which view contracts You the assets and across an rate the you'll revenues that currently Community that Altus over final this now One owns notice of serving

As of sales X, than that and I acknowledge real move to which originally Slide owners large we with I longer to cycles translates portfolios, are estate both engaging want more we to are complex anticipated. sophisticated

While timeline elongated, are we making the progress. been has

well storage the Iron announced agreed center our in illustrates of we customers large Northborough, new Mountain their Mountain, roof has power. solar record estate Today, a our with portfolios for to of X.X relationship real megawatt both clean installation with connectivity which on Iron owners and new storage Massachusetts. as a as

remaining the XX% the this our this For community of of Northborough to real to serving lease build a payment other in project, project to The to estate subscribe building theme the It to allows as that power of larger fully residents becoming owners community. also well. accommodate with discussions of utilize expected owners. while many solar the surrounding across arrays larger Iron large providing rooftops us with common local is is Mountain expansion a building

discussion including facilitate part Mountain in cargoes. also fleet this pipeline. distribution is buildings become Iron electric We're which example with now and the permeating services other a where CBRE unload conversations These can customers relationship Iron our they across in currently battery stages pipeline. recharge of of customer, their additional York. programmatic been will reload have development our that initial is storage, This which and has of charging facility, New we earlier as and Illinois our project by includes think trucks ultimately an with California, Mountain beyond This facilitated

let activity X. Slide Now, move on construction our me to

challenges on availability construction. now the to a seeing progress significant This quarter, visibility timing and of of and permitting switchgear, projects of including our completions. several the introducing of detailed on delays we're interconnection increased under faced on point, this agreements our project but we're currently we We've variety

megawatts announced XX over totaling completion by projects Over X complete in the additional and the an we megawatts And next past Maine. expect the few of this Rhode XX weeks, we've of Maryland, the quarters. of Island X to end megawatts year,

by as year. many We're next are in into lay construction additional we being also an to granularity head projects Blackstone We rooftops which providing of but our megawatts along are XX of the The had active continue New delays, of pleased these permitting on construction. partners. breakdown warehouses the Jersey [indiscernible] in originated program that others sites foundation channel increased by we're with many New some cadence with prolonged owned for of of Jersey,

have another on our our Slide completing previous forward we been year. Maryland, Additionally, York X look Hawaii, X. across New and this with we CBRE have originated of in partners, to These pipeline prelude XX megawatts partnership which projects to slides also channel good a and

both the look forward we this just delivering contracting. on year. pipeline Our And development XX on construction I and right the reflects out to of megawatts progress this highlighted bucket

master velocity the also We're prospective sales cycle activities. form increase for on customer focused and reloading Trammell Iron leases equally bucket with Management, and contracts. Investment CBRE customers Mountain, we shorten now Having these with negotiated into Crow new expect the construction to preconstruction

playbook order prioritize real timelines. to contracting accelerate look Our standardized estate to end execution demonstrating on motivated front large and to customers remains delivery are in progress. with the portfolios, who to We additional forward

of cost conditions intended. flow believe Moving made market financial flow contracted see left; importantly we on as Acquisition available plays continue capital, continue of to been We our consequence enjoy steadily, that opportunities. new to this now forced to strengths part in environment of to and deployed they which to cash, opportunities divest relative than had we more is up where be generating a we pipeline our have to advantage participants certain tightening of assets. a as on portfolios quickly of an opportunities are attractive the into acquisition

the with these customer these opportunities returns, relationships to expect We to attractive, along time. opportunity contracted over provide expand

on We over be not of over success. demonstrated minimizing given portion would shareholder the stockholders Our remain focus a the of value. past bilateral on acquisitions course environment, and pipeline than our negotiations tend of competitive have processes, this with few on remains years. to probability very lower in current success execute aligned terms we rather a disappointed of the increasing dilution We've which much And XXXX. to

or on linked sources our generation, We have to other cash capacity common aren't internal which our to execute cash on balance equity. with flow sheet transactions

for that, now the me to Dustin call With financial let Weber, additional CFO, our Dustin? turn over highlights.

Please to first quarter call. highlights. Gregg, join I and X, cover Slide financial on our welcome as me Thanks, our

in growth customers. of the the During to million to million and $XX.X $XX.X by of compared portfolio grew quarter first XXXX, driven sales our the revenues to quarter, our of first our XX% of energy increased increase an clean

million to Turning posted income of $X.X the net quarter shares during a both quarter; of first periods. alignment our of income was value we the million GAAP during to primarily income of XXXX. remeasurement decrease compared $XX.X This of result fair for net the

our in and quarter-to-quarter. As driven from a noncash movements remeasurements reminder, are these are price share by

by increase of million $X.X to administrative and of EBITDA and Moving offset EBITDA; expenses. XXXX, higher operating, prior to the sunlight by in general to revenues levels our million Similar to seasonality we This remaining the drive and quarter compared portfolio we the driven year, amounting expect adjusted growth XX.X%. partially growth $XX to of quarters. increased the reported of first adjusted in was

our margin; over scale associated first increase quarterly revenue-generating projects. Driving a in Focusing last expenses of EBITDA of larger quarter margin of this the now year. adjusted the economies with of an are reported XX% on reported from XX%, number we a is which spreading

quarter experience third expect Looking driven somewhat narrowing the remaining to by year, margins for fourth we the our margins at and quarters the highest of the and second seasonality. quarters

expect continue as We our the expenses but of operational our general administrative context customer the in to course in demand the we year increase growth. of build steady to revenue meet and over scale

I discuss Please as our turn outlook. X to Slide

the increased in our outlook. giving $XXX us substantial to of guidance reaffirm million put position results for us adjusted additions quarter range year February, with clarity capacity in First $XX EBITDA a to million full XXXX

As forward quarters. our to asset the from Gregg additions over looking more outlined, also remaining pipeline we're

course the We we adjusted forward expanding XX% We our business the to high also our as year. mid- margins look year full to margins to in of continue scale the over EBITDA range. expect

to expect of and tax incremental Turning we plan our financing and along to from we generate sheet cash employ from balance to expect operations. with XXXX; equity, debt our cash

our plans as have provide incremental across facility financing assets for with to as unlevered utilize financing well our Blackstone tax equity long-term to We portfolio.

to leverage assets. also view our to metric appropriate XX% an ratio for We as continue XX% loan-to-value

credits. These to at will plan. our have tax And assets at utilize least issue therefore, to funding available outlined, capital sources, common investment provide to no equity continue equity tax development providers execute from have to from current as prices. who we, New need sufficient appetite XX% benefit

review my That the I'll call concludes now our of some for pass Gregg remarks. closing financials. to

Thanks, Dustin.

hope our as powerful acquisition additional comment, and view here building into give As our growth. we're Power. increased Altus engines for disclosures today symbiotic at final customer business We a visibility the pipelines we you dual of

of benefits will the base As we customer we the for Power solar. name are and Altus starting see network brand our effect commercial presence, a that grow market to make

As new their our customer decarbonize are in and acquisitions, team their customers exposure expressing other we Altus solutions the onboards our energy recent to growing are provide relationships to portfolio. in to clean with partner buildings eager interest increasingly from

and relationships relationship, beyond. are paramount also plan of importance to for of only contract, life initial as we us to the Our but grow not to customer each service their hope

questions. our your to concludes and remarks, That prepared we're looking forward now

[Operator Instructions] from West question ISI. James Our first with comes Evercore

there? might be on mute. you James, You

I'm me? here. Can guys hear you

Yes.

Okay.

mute about on. that. have must Sorry I

about business. part community your the Gregg, Sorry that. about of curious solar

But lot it this a is? good that a on of you prepared the they're and announcement, Community more win elaborate love remarks aspect there, to the the Iron in But and set your more maybe Mountain to opportunity clear obviously, highlighted going business Solar a can do. of what to have -- if You times I'd couple morning.

This Sure, Lars. James. Thanks that is question. for

the cool multifamily to generated building. renters the part And in involved, would energy send larger presence space, not in able serve homeowners And use it required can Solar excess community. significant rooftops can purposes. and a a to Solar And and middle-income serve tell, day we've otherwise we're serve and have together, digital the markets. basically that allows number make systems course, partnership platform, than of into James, and roof us We of be and most really we've including, particular, And our going able have areas might of Community surrounding energy, load on. to I of Community guess, anniversary be and CBRE employees. recently large what importantly, commercial you efficient And particular growing begun we several community households. then solar XXXX, who solar this as of the build been So XX-year Blackstone those on solar is spend what since in interestingly to year, with to homeowners our using our back to and for a low-

basically a where from of able can having the storage Blackstone with connectivity, matter access sales take Community presenting storage It an of a sign done to employees corporate employee their then, an course, it large fastest to and And Altus, contracting they offer of expand service and we solar We at weeks well. together the and in months. our solar that ever corporates those into And for several cycle sign up sort that we've as idea on up their benefit. program they're CBRE, versus to invited James, Altus. Solar corporates into represents going as buildings with of that

other more the as homeowners products sort there the households Community product Solar is do. access some to think able a out than can of faster of So and to that we get

Right.

a if I represents the lower-income I areas, do part me, about -- attractive business? a of IRA on or is lot very the of follow-up to sense, The guess the benefit the is makes helping Okay, from -- that which and benefit market, think my -- especially. the probably you

Absolutely.

forward expecting look from least I we with associated solar the households. increased tax investment to which into to is think array see output credits everyone LMI at the So a monetizing sending is of XX% what

that Maryland, we're say significant [indiscernible] example, LMI we many Jersey programs of state Now chunks that New under should households. in have already the into of sending energy operating for and

and equity particular that have slow We really to But Community fund use construction. attractive, the because that require deal in almost programs when happen. Solar waiting not into basically comes of available, can we guidance We're efficient we become will going do and we're for the of those that. guidance build not down the no to to So become deals capital. basically a around

we're those very for that. deals a around it access credit. of looking forward awesome, comes, added we're our When it. be situation to translates capital where not positive that into tax have megawatts We But of coming more out to because will it waiting and

-- or written market, just the Just Lars one to are been you and this low where and on speaking but ITC X or tract tax thing, just income the where think elements And supplement income adder, is housing there's a particular of a and there may customers adder, different is as little adder, James, some in there's this a because types which on program. customers. be One and moderate was supplement moderate actually to low build I income is authority. there land number X I things majority the of you about Gregg, the a want a moderate of confusion procure your on low then which version, to, of

a of the to of want respect on projects to of that all we systems. these the I that of point we and constraint we There's lot important the locate regardless Solar make system not So households where flexibility moderate the low location eligible our where are so for community; is build. Community a within offtake align the with income where with latter, can system,

Andrew The Morgan with next question from comes Percoco Stanley.

some and to maybe your want the tax on follow did you you around I adders. hot the where in just up press domestic adders. achieving stand the here, today it's credit on of I of And adders? just Can of level off but know some terms just elaborate content IRA confidence those

is This Yes. for the thanks question. and Gregg,

domestic chain receive of tax limited. content fairly we attractive supply extent within Today, domestic As us systems. an basically U.S. have to know, content credit a additional of sufficient IRA. feature you allows is is in a our the amount domestic the the adder XX% the It very to the

the on that the of the very capacity fulfill And of over substantial so good it's requirement. based a term of news The difficult reading rules, our in short next online. that there is domestic years, very to amount coming couple is

to know, content definitely years. something it's we're easily we domestic that capacity. you manufacturing next be of manufacturing that to next is incentivizing requirement will that years. significant number that couple of are incentives, There in within are looking And But expectation our the so able the it fulfill forward as

we comes that take As for it. sure, capacity online, will, advantage of

real that Your if office and properties. one around recent the you commercial on you disclosure protections could those. any in Can defaults very real was follow-up just Obviously, around there's your maybe place contracts maybe kind investor maybe would to And in market to commercial banks. be in do have through of helpful helpful a summarize your fears of outlining the no just estate. you some there? existing regional exposure just talk of Great. protection estate lot presentation But potential exposure you have any

Sure, And Gregg maybe this in. Lars. is will chime

think for in and to be to and it's of real is Electricity, Manhattan relevant solar, roof where course, solar estate hard expensive. but through. The the on downtown to protection impractical we rule get, And build areas sort also is storage expensive are electricity and us that's of that tends where and out natural the to very are that very charging systems is of first hard one skyscrapers. on goes that congested selection areas very is electricity areas. large filtering happens [ph] The is

or large, of ultimately the construction, in for facilities both storage and current are exactly kind of up being facilities And vast of what's end they distribution because and say whether on solar and a related. instead, charging. in sort of pipeline, suburbs optimal our we is are mostly so And I'd terms in logistical majority industrial those contracting they so

thinking pretty case think very I have as something a tended were to called thing selection, subordination landlords. happen real that's be resilient of been a a other mortgage doing this the lot going towards to one very what's the We, sector estate, way demand, of get think estate gravitate way So indeed But as to But going our in through some in. time natural for we risk to to know, We're calibrated in real carefully selection through to cram towards to say, are analysts able detailed we agreements can safeguards; the the quickly. still that is a bankruptcy. recession. with most be and non-disturbance I good have we've down on kind is a we've now happens It course, survive signed of or you there's guys building. this natural that on if mitigate

Gregg, only to had a just for were credit in Yes. default commercial lot stress. And Altus under That the the than is have us those history history. never thing, includes We've this is of recent long businesses of less during where a add would we the I an have that excellent that have you followed pandemic, that Power.

we're course, electricity. selling Of discounted

they're And so is could likely than type naturally, power that buying it's not contract somebody to cheaper it. default because the on they otherwise buy of

our features defaults pretty had standards risk. excellent. that have But do protect lot to in are So a it we our there's think the some any not sensible of makes any risk as our we but commercial event, And low Lars contract in underwriting said, I pretty credit history.

Our Justin with question MKM. next Clare ROTH comes from

more seeing there? could I shorter Could guess, looking for Are improving timelines timelines get the if guess, first challenges? things the into do at off wondering permitting coming about the in quarters? that Or timelines, So things and then, interconnection. have a you here improving? I navigating just just are I project in success more you're you was having just you bit overall here, And visibility speak broadly

availability, these feel those can that little out a and for and or There challenges, And are voltage that taking some medium over, have taking adjusting sort availability, and departments up definitely some component labor that those or like transformers of Justin. deals us But subcontractors start as having of are time for such that components been large control I'll for control involved time discussed. remain batches cetera, is one elongated which we of previously with meaning to factors have permitting longer, of building interesting clients into challenges some process. some out while those Sure. permits interconnections, taking sign advance sort namely in you et portfolio coming we the approval are of cases, as interconnections can harder over in is exercise we've us very challenges things have we remaining, divided utilities. some of coming things more that, permitting

years the And the to basically smaller to And to which, people in working solar of principal right room we permitting days, larger a the so to we deal now, into add exactly the XX way, where the stakeholders agreement that the on from with have their one clients needed now and particular significant of an we have that that can interact some the growth, buildings, room. we're clients much construction. olden be in which with, would move all the used is all once for we working we are with and would people and asset by are storage represent doing in that or different be to processes for and us clients. the scale the they internal sign-off With contract, because

been on to we're schedule. sort late-stage important of and playbook for construction and of And delays challenges. it's And development stay adjusting to overcome these our us some so

growth of We're our we so purposes move can the with on keeping to at pace the X do like portfolio. focusing For in in terms inventory. that's first growing of platform obstacles, a we'd adding what components consistent to that we're

and in front. trying importantly And on inventory basically by interconnection pace, both these of overcome a we're with in these clients, but adding issues contracting we're So noticing the construction pickup staff. terms of slight some components to also permitting now larger and in

great. this, maybe I working essentially that's converting Iron here. but where I can doing you example speak be to are you with, how that into clients might the think with relationships one with an having projects success relationships multiple evolving these you speak locations? just programmatic of guess, larger to you're different in Mountain in you're Okay, could then, And whether client

Absolutely.

around anticipated, significant Mountain think been So of from, an than these a this letting competitive these access that come estate, outlining, make put first perhaps we clients, a is taken we but asset is like slightly represents where larger had a longer having intent and turn than into are It CBRE access will it still little that is little as we've of where outlining. most you're mostly, spite that of real tenant to. set partnerships to growth some we've bit you're programmatic our of both takes opportunity Iron strengthening foremost, names in as assets to estate sure perfect on moat advantage and and clients power well. we longer preconstruction their mean to basically the into a for Blackstone, real also example it's first sustainable used a us Altus and we what with customers, noticing us. given preferred been partners interconnection and and courtesy course, historically are With And I bit CBRE-owned where

asset allowed effect, clients. third Altus' seeing that which the of up of in fact being of the and asset follow start tend will sort more to corporates themselves. But believe signing are decision and because uses. And to to we intend other put a place significantly we bit list we processes we're documentation capitalize and that asset form when corporates. picks feeding the publicize start up the a added more and these that, flywheel internal in wins we second And these on the to of quicker client should they're large clients the Large fourth

great. just And then, me. for Okay, more maybe one

process this completing On completing interconnection permits of hurdles are you for that about face remaining projects can talk any those and the the those of projects? the might anticipate where XX megawatts end securing that you and before you in year, you in

Sure.

or the deals XX deals be swinging during going the can permitting And is of a deals construction. and behind lots, are this sort construction those parking in where year. mid- part on that move making they're are over, in string of into of because they're contracting sort can X our what get In of and will, importantly, represent to the be that yard coming proverbially into year. doubling permitting line second, we of XX, pace routes is going on effectively will signed, immediately into to sort out this that the literally pearls Justin, completed of et our cetera, stamped leases, and are going think late-stage They're sealed hammers people or out permitting, now them in are a interconnection. in And actually next construction that if sure I actually to So representing coming of you bucket. compared there push important year that

a last low of last years But This of are year. has so seen not XX of be in contracting megawatts, course, that's QX, deal we and to as from is we're take, with to year us in there. to a the returning And course, very stopping of deals going in constructed couple out then year, be about everyone meant sort to the give been of will this these or plan what construction has pace our of beginning and QX year. require succeed can to volumes. represent much to flow getting they that next the coming of greater QX be construction construction That, into

The Chris comes B. Riley. next from Souther with question

we're assume the But a baking I PAR close XXXX the on to anticipated visibility where we sense throughout in the seems pretty an can is. the year, of kind -- XQ did just The guidance of and you give completions us if pretty exit strong.

what So talk just in about order guidance? acquisition from do maybe pipeline need the we to hit the

I'll that. question. take is Sure, This thanks for Gregg, the

our our that the that's can in read acquisition don't from modest opportunities of anticipated that you any see have X% in a bucket. mean very amount pipeline, closings So near-term a to we segment should than which pipeline, have as you other somewhat of we closing

access XX% Of is backdrop in become the for are cost and an which we're on to where, that for quite like Altus Credit challenge real is negotiation. And fairly just to Power, the another environment speak working environment, a many has is maybe market the course, challenging. capital and the attractive frankly, we participants. financing of believe, environment,

well But an in feel how also, the act set of so and in and these we opportunities. spot. on excellent have we are We disciplined we up terms ourselves moment, been as and flow very We want good for of be when to opportunities. know, about this you

And as in way on see a of we year. will pie we would absolutely chart, so based of it's the that this significant it on timeline. are past our largely is as describe believe not execute the expectation as But that the that there you'll been from has opportunities we it number

we expect we'll a opportunities there'll not XXXX. set move the into upon, for the be firmly there's but be target more we baked So that's through acting would as lot that current year,

it. Got

that's more needing it The you'd just acquisition to messaging color. year that Okay, construction Or you suggests takes helpful kind current raise of equity much utilize should raises growth impacted, factor through pipeline at we capital of XXXX think shouldn't really to hesitant and from this more to debt levels. needs for could XXXX? portfolio be tax walk how fund acquisitions you on that the for support? be you could kind that puts and maybe sounds And these growth be But of given really can it's a the gating focusing think like on how for capital think and equity. equity

this Dustin. I'll is one. take Chris, that

optimizes in our way way investors. return efficient focus to a growing an in business for on our continue that we'll So and

We syndicate the Blackstone from that we companies. through to financing. term loan appetite amount means unlimited the mix equity duration. of tax them of to long It's term lend We've rates the noted, few we a expect spent our at capital online have good They are to revenue-generating. uniquely loan past at which So expenditures upsizing. facility significant unlevered and as diverse for of of noting next with have of pool worth assets, -- that a in attractive rate insurance in a is borrow highlighting months. designed time provide that significant and currently you primarily funding which a add And to we

of will meaningful to that So provide a balance inflow our cash sheet.

equity tax long relationships a some corporates. number great have a also we history front, of through some double-digit sourcing equity participants, tax the banks there, but of On

we at continue have tax degree confidence high to a to source So rates. equity attractive yes, of

Jon Our from UBS. Instructions] next question comes [Operator with Windham

for adder. to a a the me guidance at on high very and domestic going competitive that level others. capacity? to is content I to talk little you and thresholds get Can touched differentiator might any those qualify of topic commitments back on would the go can It credit than the for it's bit you developers to how be IRS the for map that can to conversations big already in a a be having strike earlier road that domestic you you wanted earlier, pretty that terms through

Thanks Sure. for question. the

the So only XX% also fulfilling prevailing there availability but of relates system's a adders. to which of it amount the to IRA base number the not to. of are as elements requirements, are our the There ITC already wage adhering

for of of the terms the up the so terms we being business well adders. in eligible way in in kind ordinary we're course of And set that do

to we kind degree so broaden fit is pursue. the the that of with key And just the portfolio it adders to out of opportunities issue, a good are what

a kind And unique actually that think take broadly to a step Power of I so back about position its talk very just on business based Altus want is I in activity. more and because

moderate essentially offtake, Community something set you to of namely, XX% years. advantage heard we're build pipeline, is low adder, that benefit projects, tax in an off, all like Solar credit, we take that up sites really of There of we positioned can that well there something And Lars additional taking from for other from First Altus and a virtue to landfills the or if LMI. advantage which things earlier IRA, and has a income are of done by That's our of particular majority on our from benefit that, features with XX% are adder. offtake that's brownfields, is the profile.

lot that scale So of policy think it government to trying a that activities with incentivize. if they're I would build, as you the we the about that is commercial the to say much relates systems consistent very

way couple capacity supply For so that the place overwhelm up But of were current put are of very going been what's chain next years. is that of to for this little the to there ramp support very domestic going content, in domestic particular, quickly in incentives demand to supply fascinating the annual by modules, the has example, industry. that is in

Power because price demand. news not going by overwhelm only but for Altus see great likely the significant supply buyer are we as benefit a that modules, that's going And supply, fact to domestic of virtue to of is

internationally. for hasn't scale scale of a years, course, been modules domestic utility or There for so supply sourced And solar. lot of have commercial number of last the predominantly been

adder. having supply us So great a benefit then, be benefit and to course, for will allow -- domestic XX% it domestic having pricing. But significant of from a source will

And that procuring but call next out There so and reached dialogue particular of have multiple and the in in different the different us again, terms in beyond. around XXXX, that are not with with, domestic avenues, shortage providers have year in to of we're to providers. no next, your question it, respect modules, we

not that's a diverse So in again, but single And source, motion. source suppliers. of

positioned Altus feel domestic about from So, good supplies online. benefit that's the we is to how very coming Power

[Operator in questions at I turn to Instructions] would comments. over call are closing no to the back further for time. like queue this management There

our very out look any to feel all excellent us the reach this questions. please for much. progress time forward us with our with you again and the Well, questions. call. spent free on We thanks updating on additional next morning And to Thanks you Thanks. to

does This conclude teleconference. Thank today's you.

this participation, you great at time. a disconnect your lines Thank your may and You have day. for