Clearway Initiates 2027 Cafd Guidance After Third-Quarter Results

The Tip Desk · November 12, 2026 · 3 min read

The company set 2027 cash available for distribution at $520 million to $590 million after third-quarter CAFD of $173 million and reiterated 2026 guidance of $430 million to $470 million.

Clearway Energy, Inc. (CWEN) reported third-quarter 2026 net income of $123 million, up from $60 million a year earlier, and attributed the increase primarily to growth investments and mark-to-market on interest rate swaps.

Adjusted EBITDA was $435 million, compared with $385 million in the third quarter of 2025, which the company said reflected growth investments. Cash from operating activities was $324 million. Cash available for distribution was $173 million, in line with $166 million a year earlier, which the company said was due to higher EBITDA.

Total operating revenues were $522 million in the three months ended September 30, 2026, versus $429 million a year earlier. Operating income was $135 million. Interest expense was $43 million.

Renewables & Storage generated $378 million of Adjusted EBITDA, up from $334 million a year earlier. Flexible Generation Adjusted EBITDA was $70 million. Corporate Adjusted EBITDA was a $13 million loss.

Renewables & Storage generated and sold 5,837 thousand MWh, 12% higher than 5,212 thousand MWh in the third quarter of 2025, which the company attributed primarily to growth investments. Solar output was 3,413 thousand MWh and wind output was 2,424 thousand MWh. Flexible Generation equivalent availability was 93.8%, which the company attributed primarily to strong operational execution.

The company reiterated full-year 2026 CAFD guidance of $430 million to $470 million after having adjusted that range in the second-quarter release. It established 2027 full-year CAFD guidance of $520 million to $590 million. The 2026 midpoint is based on renewable energy production estimates for the remainder of the year; the 2027 midpoint is based on median production estimates for the full year. Both ranges reflect a distribution of potential outcomes on resource and performance and factor in completing committed growth investments on currently forecasted schedules.

President and Chief Executive Officer Craig Cornelius said the company is reiterating a pathway to the top end or better of its 2030 CAFD per share target. Following annual strategic planning, the company announced an initial 2031 CAFD per share target range of $3.20 to $3.40, representing a compound annual growth rate of 7–8% from the 2025 baseline. Cornelius said co-located digital infrastructure projects could ultimately enable delivery above the top end of those growth goals as the first complex targets completion over 2029–2030.

The sponsor-developed pipeline grew to about 16 GW, including over 6 GW of committed and identified opportunities through 2030. Committed and identified drop-down opportunities increased by over 100% since the beginning of the year, the company said.

On November 4, the company contracted 200 MW to 500 MW of Walnut Creek capacity for January 2027 through December 2034, at terms it said were consistent with budgetary assumptions for long-term financial targets. On October 1, it agreed to acquire equity in a 210 MW Utah storage portfolio for about $119 million, expected to contribute about $12 million of five-year average annual asset CAFD beginning January 1, 2028. On September 23, it agreed to acquire equity in a 650 MW Missouri solar project for about $230 million, expected to contribute about $24 million of five-year average annual asset CAFD beginning January 1, 2029. In the fourth quarter, Clearway Group offered a partnership in a 439 MW California solar-plus-storage project with a potential corporate capital commitment of about $130 million.

Total liquidity was $1,102 million as of September 30, 2026, $41 million higher than as of December 31, 2025, which the company said was primarily due to year-to-date CAFD results and a $600 million senior unsecured notes issuance by Clearway Energy Operating LLC due 2034. Restricted cash was $413 million.

The board declared a Class C quarterly dividend of $0.4824 a share, payable December 15, 2026.