(Updates with project costs in fourth paragraph.)
June 19 (Bloomberg) -- Infinis Energy Plc, a renewable- power company backed by Guy Hands’s Terra Firma Capital Partners Ltd., said full-year profit rose 18 percent as windy weather boosted electricity generation at its wind farms.
Earnings before interest, taxes, depreciation and amortization rose to 148.4 million pounds ($252 million) for the year ending March 31 from 125.4 million pounds a year earlier, Northampton, England-based Infinis said in a statement. The gain was partly due to extra wind capacity, high wind speeds and a “strong performance” from its landfill gas facilities.
“We continue to make progress on our wind development pipeline and are on target to deliver incremental capacity of 130 megawatts to 150 megawatts by 2017,” Chief Executive Officer Eric Machiels said in the statement.
Expansion will be funded through debt and equity of about 200 million pounds, Chief Financial Officer Gordon Boyd said by phone. About 80 percent will be debt.
Onshore wind is one of the cheapest forms of clean energy. Prices are comparable with coal-fired power, at about $84.8 a megawatt hour versus $82 for the polluting fossil fuel, according to Bloomberg estimates. The U.K. wants to expand renewable energy to meet 15 percent of demand in 2020 from about 9.4 percent now.
Infinis’s operational wind portfolio has capacity of 274 megawatts with another two projects totaling 98 megawatts in the final stages of pre-construction. The first 43-megawatt project is expected to begin working in March 2016 and the second project at the end of 2016.
The power generator exported electricity equivalent to 5.7 percent of the U.K.’s total generation from renewable sources. While its landfill gas facilities contributed 71 percent of its total exported power, electricity from onshore wind grew almost 50 percent, representing 28 percent.
Infinis raised 234 million pounds in its November initial public offering with Hands’s Terra Firma retaining a majority. The company expects to pay a final dividend of 6.63 pence a share.