Brookfield Renewable Corp Q1 2025 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Nelson Ng - RBC Capitals - Analyst : Great thanks and good morning everyone. So Connor and Hannah, you mentioned that you have limited exposure to cost inflation and tariffs. But in the US, can you just talk about the permitting situation? Are you still seeing, some delays in the receipt of federal permits? And I guess given the strong demand for power in the US, like are you able to start construction on a number of projects to to meet demand?

Question: Nelson Ng - RBC Capitals - Analyst : Got it. That's a great color and then you mentioned Microsoft in in the call so is Microsoft the only company you have with a framework agreement and I presume. Other off takers would have been interested or in terms of some form of similar agreements but can you just talk about. Your willingness or or how what what is your approach to entering into additional framework agreements potentially with other parties? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. PRELIMINARY MAY 02, 2025 / 1:00PM, BEPC.N - Q1 2025 Brookfield Renewable Corp Earnings Call

Question: Nelson Ng - RBC Capitals - Analyst : Yeah that's great news, Connor. Just one last question before I turn it over. So I noticed that the Asia Pacific development pipeline has really grown in the past year. Is that mainly due to the new and acquisition? And I presume a lot of that growth is taking place in China, India, Australia, but can you just talk about How each each country is, developing from your perspective and is it mostly solar and batteries or is there a material amount of wind as well?

Question: Sean Steuart - T D Cowen - Analyst : Thank you. Good morning, everyone. First question of the the 29.8 gigawatts of, advanced stage capacity, development activity you have in North America, I would imagine most of that is US solar. Can you give us a rough percentage there and of that. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. PRELIMINARY MAY 02, 2025 / 1:00PM, BEPC.N - Q1 2025 Brookfield Renewable Corp Earnings Call What percentage of the solar you're you're planning to build in the US is the equipment already secure costs are locked in and I appreciate all the the commentary around mitigation you guys have given your scale and and diversity, but can you give me some perspective on that front?

Question: Sean Steuart - T D Cowen - Analyst : Okay, thanks for that and I want to follow up on Microsoft as well you know their call earlier this week they reiterated a disconnect between data center supply and demand. But they have canceled or deferred some of their data center leases and just trying to get a sense of the framework agreement you have with them, the 10.5 gigawatts, would any of that be exposed to some of the. The data center activity they might be deferring or canceling a little bit of context on that front if you can.

Question: Sean Steuart - T D Cowen - Analyst : That's great context, thanks very much, Connor.

Question: Robert Hope - Scotiabank GBM - Analyst : Morning. In the, prepared remarks, you men you noted that there's an increased demand to, recontract your hydro capacity from a variety of buyers. Can you speak to the strategy of how you want to recontract these assets? Could you wait until there's a cluster of uncontracted assets and then group them together? Could you see, a period of time where you'd be happy to have, them a little bit more merchant in advance of a longer term contract?

Question: Robert Hope - Scotiabank GBM - Analyst : That's great appreciate that. And then maybe in a different direction, in the prepared remarks you also mentioned that the weakness in public valuations and you're seeing increased opportunities to acquire platforms and portfolios of assets when you take a look at the opportunities set in front of you, are these largely North American centric or are you seeing them spread across your, geographies as well as modalities?

Question: Mark Jarvi - CIBC Capital Markets - Analyst : Thanks. Good morning, everyone. So car, you talked about how well you think you're insulated and can manage some of the tariff risk, but someone else has to bear that cost. So how do you feel like the entire ecosystem can manage this where the vulnerabilities and comp buyers are powerfully absorb the inflationary pressures? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. PRELIMINARY MAY 02, 2025 / 1:00PM, BEPC.N - Q1 2025 Brookfield Renewable Corp Earnings Call

Question: Mark Jarvi - CIBC Capital Markets - Analyst : But at this point, no increased sort of concern around the health of the supply chain in terms of ability to absorb these costs at this point.

Question: Mark Jarvi - CIBC Capital Markets - Analyst : And another question is mentioned about. Potentially positive impact on availability of equipment and input costs outside the US. Can you quantify that? Do you think that lasts for a while? Do you think that gets arbitraged out in the market from the developer side?

Question: Mark Jarvi - CIBC Capital Markets - Analyst : Okay, thanks for the question. That time today.

Question: Christine Cho - Barclays - Analyst : Good morning. So I appreciate, your comments around, all the terrorist stuff and locking in your equipment costs, but, can you just go into some detail on how contracts with your EPC, your suppliers and PPAs work for the renewable projects? I understand it's going to be different on a project by project basis, but high level it sounds like you have clauses to pass through some change orders you might get. On the EPC side or suppliers through higher PPA prices, but is it like within a certain range it's just easily passed, but if it falls outside that range, there needs to be a more in-depth negotiation. And if so, could this delay the timing of your projects? Also, it sounds like a lot of the contract may have embedded in tariffs tied to raw materials like steel or aluminum. But I sort of got the impression that country specific tariff tariffs, such as the ones brought on by the reciprocal tariffs, aren't as explicit in the contract. So can you talk about how that works?

Question: Christine Cho - Barclays - Analyst : Okay, that's so helpful, thank you, and then just, my follow up question, on the PPA side you've mentioned for both cars and in the event of an ITC removal or step down that you have, adjusters and PPAs to keep the developed margins full. Again, I know it's going to be different on a project by project basis, but can you just sort of give us like a ballpark percentage of how much cushion the PPA prices can go up before the off taker maybe start to push back or some way to think about that?

Question: Benjamin Pham - BMO Capital Markets - Analyst : Hi, good morning, maybe a couple of questions on the nail and acquisition. I'm just curious what your near term, integration priorities are, how do you think the development backlog evolves over the next couple of years? And there's any sort of mature assets or or or mature assets that you you might be able to celerate and and sell in that portfolio.

Question: Benjamin Pham - BMO Capital Markets - Analyst : Okay, that, that's great. Sounds exciting. Maybe on the, you talked about the Microsoft, interest levels and data center opportunity, how do you think that? Evolves then. Going forward from a geographic standpoint of your discussions with them or is this more of a US thematic or do you think of it as more of a broader one outside of that? Certainly.

Question: Benjamin Pham - BMO Capital Markets - Analyst : Okay, thanks for that. I may just one quick one more more detailed on the segments sustainable solutions. We'll keep it a down over a year. Can you provide context on what's driving that and that Westinghouse, underwriting projections you, are you more or less tracking that still?