UK-headquartered Atlantica Sustainable Infrastructure’s net loss narrowed to $11 million for the first quarter (Q1) of the financial year (FY) 2023 compared with $12 million year-over-year (YoY) due to lower operating expenses.

The company’s revenue for the January-March period dipped 2% YoY to $242.5 million.

The company owns a diversified portfolio of contracted renewable energy, storage, natural gas, power transmission, and water assets in North and South America and other regions globally.

The adjusted Earnings before Interest, Tax, Depreciation, and Amortization (EBITDA) from all its businesses totaled $174.2 million, a 0.3% increase YoY.

Renewable Energy Business

The firm’s revenue from the renewables segment stood at $172.6 million, down by 5% YoY. The income from its North America business declined by 2% YoY to $72.8 million.

The company attributed the drop in revenue to the low solar resource in California and Arizona during the quarter.

The company’s renewable energy portfolio grew to 2,161 MW in Q1 2023 from 2,044 MW during the same period last year.

Production in the renewable energy portfolio increased by 9% for the first quarter of 2023 compared with the first quarter of 2022, mainly due to the increase in production of Atlantica’s solar assets in Spain, where solar radiation was excellent in the period, and to the contribution from the recently consolidated assets and those that have entered operation recently.

Atlantica’s first standalone battery storage project, an in-house project with a capacity of 100 MW, is expected to start operation in 2024. This will be the first project from the company’s pipeline in the Southwest, including six projects with 300 MW of solar and over 2 GWh of storage.

Last September, the company invested in solar photovoltaics and batteries and closed the acquisition of a 73 MW solar power project through its renewable platform in Chile and South America.

Atlantica’s net loss for 2022 had narrowed to $5.4 million from $30 million YoY. The company posted a total revenue of $1.1 billion, down 8% from $1.2 billion YoY.

In December,  the Competition Tribunal conditionally approved the proposed merger whereby Atlantica Sustainable Infrastructure intends to acquire the employees of Abengoa, South Africa, and the assets of solar company Kaxu CSP. The primary acquiring firm is Atlantica South Africa Operations, an indirect subsidiary of Atlantica. Atlantica conducts activities in South Africa through Kaxu Solar One.