Calpine Reports Results For Retail Segment, Says COVID Has Not Had Material Adverse Impact On Operations, Financial Condition

Calpine reported results for the three months ended March 31, 2020 (Q1 2020)

Calpine reported that its Retail segment recorded Commodity Margin of $91 million in the first quarter of 2020, versus $88 million a year ago.

Total operating revenues for the Retail segment were $908 million for Q1 2020, versus $998 million a year ago

The Retail segment recorded income from operations, which reflects the impact of mark-to-market commodity activity, of $26 million in the first quarter of 2020, versus a loss from operations of $16 million a year ago

In a 10-Q, Calpine said, "Although there have been logistical and other challenges, to date the COVID-19 outbreak has not had a material adverse effect on our operations, financial condition, or cash flows."

"While the ultimate determination depends on the length and severity of the crisis, as of the filing of this Report, we anticipate our cash flows from operations and our available sources of liquidity will be sufficient to meet our current cash requirements during this volatile period. As a precautionary measure and to preserve financial flexibility in light of current uncertainty resulting from the COVID-19 outbreak, we borrowed an additional $350 million on our Corporate Revolving Facility during March 2020, of which $200 million was repaid as of the filing of this Report. As the impact of the COVID-19 outbreak on the economy and our operations evolves, we will continue to assess and manage our liquidity needs," Calpine said

"The ultimate extent to which the COVID-19 pandemic may impact the Company’s business, operating results, financial condition, or liquidity will depend on future developments, including the duration of the outbreak, business and workforce disruptions, the effectiveness of actions taken to contain and treat the disease and the ultimate lasting effect on the economy, especially in the geographic areas where we own and operate power generating facilities and serve retail customers. Given the uncertainty concerning the overall impact of the COVID-19 outbreak, while we do not anticipate the effect of the outbreak to have a material adverse effect on our financial condition, results of operations or cash flows for the year ended December 31, 2020, we are unable to predict the ultimate impact of the outbreak on our future results," Calpine said