Caribbean Utilities Business, Ltd. is noted for trading in United States dollars on the Toronto Stock Market under the trading sign “CUP.U”.
GRAND CAYMAN, Cayman Islands, Might 7, 2025/ CNW/ – Caribbean Utilities Business, Ltd. (” CUC or the “Business”) revealed its combined unaudited outcomes for the 3 months ended March 31, 2025 (” First Quarter 2025″ or “Q1 2025”) (all figures specified in United States Dollars).
Emphasizes for the duration were as follows:
- Approval of most of the 2025-2029 Capital Expense Strategy (” CIP”) by the regulator. The capital strategy will allow more financial investments in grid hardening, client cost programs, and jobs to support low-carbon energy improvement.
Consumer Cost
- Upgrades to existing thermal generation have actually caused enhanced fuel performance. Reducing fuel rates, the previously mentioned upgrades, integrated with the execution of battery energy systems (” BESS”), have actually caused the effective decrease of fuel aspect charges for clients by 20% for Q1 2025 when compared to the 3 months ended March 31, 2024 (” First Quarter 2024″ or “Q1 2024”). Fuel expenses are gone through to customers on a two-month lag basis without any markup.
Monetary Development
- Capital investment of $ 21.9 million was mainly associated with circulation system extension and upgrades, life process upgrades of creating systems and resiliency jobs.
- Net profits for the First Quarter 2025 were $ 7.6 million, a $ 1.4 million boost compared to net profits of $ 6.2 million for the First Quarter 2024.
- 2% boost in kilowatt-hour (” kWh”) sales.
- For Q1 2025, the quarterly dividend for Class A shares was $ 0.185 per share compared to $ 0.18 of Q1 2024
” CUC is dedicated to providing financial investments that are both budget-friendly and ecologically useful for our clients. Investments in capital jobs, specifically the life process upgrades to creating systems and the battery energy systems (” BESS”) have actually shown to be sensible financial investments as clients have actually seen a decrease in fuel aspect rates on their expenses. CUC is dedicated to guaranteeing our clients get trustworthy, safe, sustainable and budget-friendly energy,” stated President and CEO, Mr. Richard Hew
Net Profits and Sales Earnings
Net profits for Q1 2025 were $ 7.6 million, a $ 1.4 million boost from net profits of $ 6.2 million for the First Quarter of 2024. This boost is mainly attributable to greater operating earnings and greater net other earnings. Net Other Earnings for 3 months ended March 31, 2025, was $ 1.2 million, a $ 0.6 million boost compared to $ 0.6 million for 3 months ended March 31, 2024
In Q1 2025, sales reached 170.8 million kWh, a 2% boost– or 2.7 million kWh– compared to Q1 2024. This development was sustained by a broadening client base and a 4% increase in sales amongst big business clients. Throughout the very first 3 months of 2025, the Cayman Islands invited 144,395 stay-over visitors, up 5.3% from the exact same duration in 2024, highlighting the financial development driving greater energy need, especially within the tourist sector.
After the modification for dividends on the choice shares of the Business, profits on Class A Ordinary Shares for Q1 2025 were $ 7.5 million, or $ 0.18 per Class A Ordinary Share, as compared to $ 6.0 million, or $ 0.16 per Class A Ordinary Share, for Q1 2024.
Secret Updates
In October 2024, the Business sent its 2025-2029 Capital expense Strategy (” CIP”) to the Energy Guideline and Competitors Workplace (” URCO” or the “Regulator”) for approval. In February 2025, URCO authorized most of jobs consisted of in the CIP, with 2 exceptions needing more factor to consider. The 2025-2029 CIP authorized by URCO total up to $ 430 million, with $ 60 million associated to grid hardening, $ 6.6 million associated to client energy performance, and $ 2.6 million associated to low carbon energy improvement.
The Business sent a Certificate of Requirement (” CON”) to URCO on June 7, 2024, as defined in the Business’s Transmission and Circulation Licence (2008 ). In acknowledgment of the developing energy need on Grand Cayman, the sent CON consisted of 4 situations. CUC suggested a situation that included the addition of 36.1 MW of thermal capability and 100 MW of solar plus storage to be linked by June 1, 2027 If accepted, the proposition will lower customer expenses and satisfy or surpass the incremental targets of the NEP by 2027, attaining 39% renewable resource penetration and lowering CO2 emissions by 28% compared to 2019 levels. On April 25, 2025, URCO provided the Last Decision on the CON. The authorized circumstance includes 90.1 MW of thermal capability just. CUC is presently examining the Last Decision.
CUC stays dedicated to pursuing ingenious and economical services that make sure energy dependability, cost, and sustainability for the neighborhood.
CUC’s First Quarter 2025 outcomes and associated Management’s Conversation and Analysis (” MD&A”) are connected to this release and integrated by referral. The MD&An area of this report consists of a conversation of CUC’s unaudited Very first Quarter 2025 outcomes, the Cayman Islands economy, liquidity and capital resources, capital investment and business threats dealing with the Business. The release and the First Quarter 2025 MD&A can be accessed at www.cuc-cayman.com (Financier Relations/Press Releases) and at www.sedarplus.ca.
The primary activity of the Business is to produce, transfer and disperse electrical power in its licence location of Grand Cayman, Cayman Islands, pursuant to a 20-year Transmission & & Circulation (” T&D”) Licence and a 25-year non-exclusive Generation Licence (the “Generation License” and together with the T&D Licence, the “Licences”) approved by the Cayman Islands Federal Government (the “Federal government”, “CIGARETTE”). The T&D Licence, which ends in April 2028, consists of arrangements for an automated 20-year renewal and the Business has affordable expectation of renewal up until April 2048 The Generation Licence ends in November 2039 Additional details is readily available at www.cuc-cayman.com.
Specific declarations in the MD&A, aside from declarations of historic reality, are positive declarations worrying awaited future occasions, outcomes, situations, efficiency or expectations with regard to the Business and its operations, including its method and monetary efficiency and condition. Forward looking declarations consist of declarations that are predictive in nature, rely on future occasions or conditions, or consist of words such as “anticipates”, “prepares for”, “strategy”, “thinks”, “price quotes”, “plans”, “targets”, “jobs”, “projections”, “schedule”, or unfavorable variations thereof and other comparable expressions, or future or conditional verbs such as “might”, “will”, “ought to”, “would” and “might”. Forward looking declarations are based upon underlying presumptions and management’s beliefs, price quotes and viewpoints, and undergo intrinsic threats and unpredictabilities surrounding future expectations usually that might trigger real outcomes to differ from strategies, targets and price quotes. A few of the crucial threats and unpredictabilities that might impact forward looking declarations are explained in the MD&A in the area identified “Organization Dangers” and consist of however are not restricted to functional, basic financial, market and organization conditions, regulative advancements and weather condition. CUC warns readers that real outcomes might differ substantially from those anticipated ought to particular threats or unpredictabilities emerge or ought to underlying presumptions show inaccurate. Positive declarations are offered the function of offering details about management’s present expectations and strategies connecting to the future. Readers are warned that such details might not be proper for other functions. The Business disclaims any intent or responsibility to upgrade or modify any positive declarations, whether as an outcome of brand-new details, future occasions or otherwise other than as needed by law.
SOURCE Caribbean Utilities Business, Ltd.