BEP · Brookfield BRP Holdings (Canada

Brookfield Renewable reported a net loss of $295 million for Q1 2026, compared to a net loss of $108 million in Q1 2025. The increase in net loss was primarily driven by a $193 million mark-to-market loss on long-term energy derivative contracts due to rising global power prices, partially offset by the absence of prior-year stamp duties. Revenues decreased 4% to $1,514 million, as growth from acquisitions and higher realized pricing was more than offset by unfavorable generation and asset sales. On a same-store constant currency basis, revenue declined $24 million. Direct operating costs rose to $779 million from $675 million, reflecting new acquisitions and foreign exchange impacts. Management service costs increased to $73 million from $49 million due to business growth. Interest expense rose to $639 million from $609 million, driven by financing for growth. Depreciation decreased to $548 million from $583 million due to asset sales. On a non-GAAP basis, Funds From Operations (FFO) improved to $375 million ($0.55 per unit) from $315 million ($0.48 per unit), benefiting from contributions from recent acquisitions (Neoen, Geronimo Power, increased Isagen stake), development projects (9,150 MW commissioned in past 12 months), and gains on capital recycling. Proportionate Adjusted EBITDA rose to $756 million from $625 million. The company maintained a strong balance sheet with $4.7 billion available liquidity and an investment-grade BBB+ rating. During the quarter, Brookfield issued C$500 million of 30-year green notes at 5.20%, launched a BEPC ATM program, and repurchased 2.8 million LP units. The company also completed or agreed to asset sales totaling $2.8 billion ($820 million net to Brookfield), including U.S. wind/solar and Indian platform sales. Additionally, Brookfield announced an agreement to acquire Boralex for ~C$9.0 billion enterprise value, adding 4,000 MW operating and 8,000 MW development pipeline. Management noted they are exploring a single combined corporate structure to enhance liquidity and index inclusion.