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Clearway Energy Beats on Q3 Earnings & Sales, Narrows Guidance

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Key Takeaways

  • Clearway Energy's Q3 EPS surged to $2.00, topping estimates by 525% on improved operations.
  • Clearway Energy can benefit from the rising demand from data centres.
  • The company announced new solar, wind, and storage projects and raised 2025 CAFD guidance.

Clearway Energy Inc. (CWEN - Free Report) recorded third-quarter 2025 earnings of $2.0 per share, which beat the Zacks Consensus Estimate of 32 cents by 525%. In the year-ago quarter, the company reported earnings of 31 cents per share.

CWEN’s Revenues

Total revenues of $429 million surpassed the Zacks Consensus Estimate of $422 million by 1.66%. However, the top line decreased 11.7% from the year-ago quarter’s figure of $486 million.

 

Clearway Energy, Inc. Price, Consensus and EPS Surprise

Clearway Energy, Inc. Price, Consensus and EPS Surprise

Clearway Energy, Inc. price-consensus-eps-surprise-chart | Clearway Energy, Inc. Quote

Highlights of CWEN’s Earnings Release

CWEN is well-positioned for long-term growth amid the rising demand from data centers. The company expects a significant increase in demand from data centers and is investing to strengthen its infrastructure and generation assets to meet the rising demand.

Adjusted EBITDA for the quarter totaled $385 million compared with $354 million in the year-ago period.

Total operating costs and expenses for the quarter were $317 million, up 2.9% from the year-ago figure of $308 million. 

CWEN incurred interest expenses of $98 million compared with $139 million in the year-ago quarter.

Developments After Third-Quarter Close

During the final quarter of 2025, Clearway Group signed a 20-year PPA with an investment-grade utility for the 520 MW Royal Slope solar plus storage project located in Grant County, WA. The project is targeting a 2027 COD.

On Oct. 3, 2025, the company entered into a binding agreement to acquire a 613 MW operational solar portfolio located in eight states, from a third party.

CWEN’s Financial Position

Clearway Energy had cash and cash equivalents of $251 million as of Sept. 30, 2025, compared with $332 million as of Dec. 31, 2024.

Total liquidity as of Sept. 30, 2025, was $834 million compared with $1.33 billion recorded as of Dec. 31, 2024.

Long-term debt as of Sept. 30, 2025, amounted to $8.08 billion compared with $6.75 billion as of Dec. 31, 2024.

Net cash provided by operating activities in the first nine months of 2025 was $511 million compared with $578 million in the year-ago period.

CWEN’s Guidance

Clearway Energy’s new guidance for 2025 cash available for distribution (CAFD) lies between $420 million and $440 million compared with the previous range of $400-$440 million. The company is tightening the 2025 guided range toward the upper end of the initial outlook, supported by strong year-to-date performance and anticipated contributions from growth investments.

Clearway Energy’s guidance for 2026 CAFD lies between $470 million and $510 million.

Clearway Energy’s projection for 2025 and 2026 Adjusted EBITDA lies in the range of $1,235-$1.255 billion and $1.441-$1.481 billion, respectively.

CWEN’s Zacks Rank

CWEN currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

Recent Releases 

Ameresco (AMRC - Free Report) reported third-quarter 2025 operating earnings of 35 cents per share, which beat the Zacks Consensus Estimate of 26 cents by 34.6%.

AMRC’s long-term (three to five years) earnings growth rate is 25%. The Zacks Consensus Estimate for 2025 sales is pinned at $1.91 billion, implying a year-over-year increase of 7.7%.

Bloom Energy (BE - Free Report) reported third-quarter 2025 operating earnings of 15 cents per share, which beat the Zacks Consensus Estimate of 8 cents by 87.5%.

BE’s long-term earnings growth rate is 28.02%. The Zacks Consensus Estimate for 2025 sales is pinned at $649.1 million, implying a year-over-year increase of 13.4%

An Upcoming Release

BKV Corporation (BKV - Free Report) is scheduled to report third-quarter results on Nov. 10, before market open. The Zacks Consensus Estimate for earnings is pegged at 13 cents per share, which suggests a year-over-year increase of 148.15%.

The Zacks Consensus Estimate for 2025 sales is pinned at 907 million, which implies year-over-year growth of 56.1%.


 

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