Northland Power has revised its 2025 financial outlook downward after lower-than-expected wind levels across its offshore wind fleet reduced output and earnings in the first half of the year.
The Canadian energy developer now expects full-year adjusted EBITDA between C$1.2 billion and C$1.3 billion, compared with a previous range of C$1.3 billion to C$1.4 billion. Forecasted free cash flow per share was also reduced to C$1.15–C$1.35, down from C$1.30–C$1.50.
The company cited decreased production at all offshore wind assets and higher unpaid curtailments in Germany due to negative electricity prices as key factors behind the revision. A favourable tax ruling in Germany provided some offsetting benefit.
“While our overall performance was impacted by below-average wind levels in Europe during the quarter, we continued to demonstrate strong operational performance with 95% commercial availability,” said President and Chief Executive Christine Healy.
Group revenue in the second quarter fell to C$509 million from C$529 million in the same period a year earlier. Adjusted EBITDA dropped 9% to C$245 million, while free cash flow per share decreased to C$0.22 from C$0.27. The company reported a net loss of C$53 million, compared with a C$262 million profit in Q2 2024.
Offshore wind operations were the main driver of the decline, with adjusted EBITDA down 17% to C$108 million on a 19% drop in generation, totaling 1,825 gigawatt hours on Northland’s share.
Other segments showed more resilience. Onshore renewables and energy storage earnings rose 11% to C$87 million, boosted by contributions from the Oneida battery project and stronger wind conditions in North America. Natural gas earnings declined 15% to C$42 million due to planned outages, while utility earnings were broadly flat at C$40 million.
Despite the earnings headwinds, Northland reported progress across its major development projects. In Taiwan, the Hai Long offshore wind project achieved first power, with foundation installation complete and turbine and cable installation underway. The 1GW project remains on schedule for completion in 2027.
In Poland, the 1.1GW Baltic Power project has begun turbine installation, along with work on onshore substations and component fabrication. Commissioning is targeted for the second half of 2026.
The company also completed the 250MW/1GWh Oneida battery storage facility in Ontario ahead of schedule and under budget. The project is backed by a 20-year capacity contract.
