Sunrun announced financial results for the second quarter ended June 30, 2017.
Second Quarter 2017 Operating Highlights
- Total deployments of 76MW, an increase of 16% year-over-year
- Net Present Value of $74 million created, an increase of 56% year-over-year
- Creation Cost per watt improved by 10% year-over-year
- Cumulative MW deployed of 1,027MW, an increase of 42% year-over-year
- Net Earning Assets exceeded $1 billion, reflecting a 29% increase year-over-year
"We are pleased to deliver Q2 results that exceeded our guidance and are proud that our customers have now saved $150 million and represent over 1 GW of clean power resources," said Lynn Jurich, Sunrun's chief executive officer. "We continue to innovate and expand, having launched in seven new markets this year while also exploring more ways distributed energy resources can deliver value to consumers and modernize our energy infrastructure."
Key Operating Metrics
In the second quarter of 2017, MW deployed increased to 76MW from 65MW in the second quarter of 2016, a 16% year-over-year increase.
In the second quarter of 2017, MW booked were 88MW, an increase of 28% from the second quarter of 2016.
Creation Cost per watt was $3.37 in the second quarter of 2017 compared to $3.75 in the second quarter of 2016, an improvement of 10% year-over-year. NPV per watt in the second quarter of 2017 was $1.10 compared to $0.86 in the second quarter of 2016.
NPV created in the second quarter of 2017 was $74 million, a 56% increase from $47 million in the second quarter of 2016. Project Value per watt was $4.47, compared to $4.61 in the second quarter of 2016.
Gross Earning Assets as of June 30, 2017 were $1.9 billion. Net Earning Assets as of June 30, 2017 were $1.1 billion, up $246 million, or 29% from the prior year.
As of August 7, 2017, our project finance pipeline remains robust, with closed transactions and executed terms sheets that provide us expected tax equity runway into Q2 of 2018 and back-leverage capacity into Q4 of 2017.
Second Quarter 2017 GAAP Results
Operating leases and incentives revenue grew 44% year-over-year to $65.3 million. Solar energy systems and product sales declined 6% year-over-year to $72.5 million. Total revenue grew to $137.8 million in the second quarter of 2017, up $15.3 million, or 12% year-over-year.
Total cost of revenue was $108.1 million, an increase of 8% year-over-year. Total operating expenses were $170.8 million, a decline of 0.1% year-over-year.
Net income available to common stockholders was $25.1 million in the second quarter of 2017, compared to net income available to common stockholders of $12.7 million in the first quarter of 2017.
Diluted net earnings per share available to common shareholders was $0.23 per share.
Guidance for Q3 and Full Year 2017
The following statements are based on current expectations. These statements are forward-looking and actual results may differ materially.
In Q3, we expect to deploy approximately 88 MW, reflecting 15% growth for the first three quarters of 2017 compared to the prior year.
For the full year 2017, we continue to expect to deploy 325 MWs, reflecting 15% year-over-year growth.