The AES Corp (AES) said Monday that due to the recent hurricanes, it now expects adjusted earnings to come in at the lower half of the guidance range between $1.00 and $1.10. Analysts polled by Capital IQ have been expecting adjusted FY EPS of $1.05.
The company said it sustained modest damage to its 24 MW Illumina solar power plant and minor damage to its 524 MW coal-fired AES Puerto Rico facility as a result of Hurricane Maria’s impact on Puerto Rico.
One of the two units at AES Puerto Rico is available to generate electricity, while the inspection of the second unit is ongoing. Additionally. the company’s 5 MW U.S.Virgin Islands Solar I solar plant has been “materially damaged.”
The impact of the storm on AES FY adjusted earnings is expected to be $0.03 to $0.05, reflecting the damages to the three plants, business interruption and deductibles under the captive insurance policy. For the year, consolidated free cash flow is seen at $1.4 billion to $2 billion and operating cash flow is seen at $2 billion to $2.8 billion.