Enlight Renewable Energy Ltd.

good day and thank you for standing by. Welcome to the Enlight Renewable Energy's fourth quarter and full year 2025 earnings call. Please be advised that today's conference is being recorded. I would now like to hand the conference over to Limor Zohar Megan, Director of Investor Relations. Please go ahead.

Thank you, operator. Good morning, everyone, and thank you for joining the fourth quarter and full year 2025 Earnings Conference Call for Enlight Renewable Energy. Before beginning this call, I would like to draw participants' attention to the following. Certain statements made on the call today, including but not limited to statements regarding business strategy and plans, are project portfolio, market opportunity, utility demand and potential growth, discussions with commercial counterparties and financing sources, pricing trends for material, progress of company projects, including anticipated timing of related approvals and project completion and anticipated production delays, expected impact from various regulatory developments, completion of developments, the potential impact of the current conflict in Israel on our operations and financial conditions, and company action designed to mitigate such impact, and the company's future financial and operational results and guidance, including revenue and adjusted EBITDA, are forward-looking statements within the meaning of U.S. federal securities laws, which reflect management's best judgment based on currently available information. We reference certain project metrics in this earning call, and additional information about such metrics can be found in our earning release. These statements involve risks and uncertainties that may cause actual results to differ from our expectations. Please refer to our 2024 annual report filed with the SEC on March 28, 2025 and other filings for more information on the specific factors that could cause actual results to differ materially from our forward-looking statements. Although we believe these expectations are reasonable, we undertake no obligation to revise any statements to reflect changes that occur after this call. Additionally, non-IFRS financial measures may be discussed on the call. These non-IFRS measures should be considered in addition to and not as a substitute for or in isolation from our results prepared in accordance with IFRS. Reconciliations to the most directly comparable IFRS financial measures are available in the earnings release and the earnings presentation for today's call, which are posted on our investor relation website. With me this morning are Gilad Yavetz, Executive Chairman and Co-Founder of Enlight, Adila Vajatan, CEO of Enlight, Nir Yehuda, CFO of Enlight, and Jared Mackey, CEO of Climera. Adi will provide a summary of the business results and turn the call over to Jared for a review of our U.S. activity. And then Nir will review the fourth quarter and year-end 2025 results. Our executive team will then be available to answer your questions. I will now turn the call over to Adi Leviathan, CEO of Enlight. Adi, please begin.

Good morning and good afternoon, everyone. Thank you for joining us to review Enlight's fourth quarter and full year 2025 results and business performance. 2025 was another record year for Enlight. Across the US, Europe, and Israel, our teams delivered exceptional performance as developers, builders, owners, and operators of large-scale renewable energy and storage projects. Our results reflect best-in-class execution disciplined capital allocation, and the strength of our diversified, multi-technology global platform. We are operating in a uniquely favorable environment for the energy sector. Structural tailwinds, reindustrialization, electrification, and rapidly rising power demand from data centers are driving unprecedented long-term growth across global electricity markets. these trends continue to reinforce the competitive edge of our technologies. In light scale, portfolio depth, and proven execution position us to deliver fast, low-cost, clean energy where it is needed most. The fourth quarter capped an exceptional year. Revenue and income increased 46% year over year for both the quarter at $152 million and the full year. at $582 million. Adjusted EBITDA in 2025 grew 51% to $438 million, or 36%, excluding the sunlight sell-down. In Q4 alone, adjusted EBITDA accelerated to $99 million, up 51%. With this strong finish, we exceeded our full-year revenue and EBITDA guidance by 4% and 7%, respectively. The fourth quarter also capped another record year of execution, during which we significantly expanded every component of our portfolio in advanced projects across all stages of development. Our total portfolio expanded 26% during 2025, growing by 7.8 factored gigawatts to reach 38 factored gigawatts. The mature portfolio grew 33% to 11.4 factored gigawatts. and the operating portfolio increased 30% in the past 12 months. In Q4, two major U.S. projects, Quail Ranch and Roadrunner, achieved COD ahead of schedule, delivering over 800 factored megawatts combined at approximately 13% unlevered returns. These additions doubled our U.S. operating portfolio to 1.6 factored gigawatt, underscoring our ability to deliver large solar plus storage projects on time and with attractive economics. Our under-construction portfolio, a significant contributor to our short and medium-term growth, has doubled over the past year. During the past 12 months, we started construction on projects totaling 2.6 factor gigawatts. This reflects our capability to systematically mitigate development risk and push projects towards maturity. The most significant addition during the quarter was CO-BAR 1 and 2, with a capacity of almost one factored gigawatt. CO-BAR is a 2.4 factored gigawatt flagship project, our largest to date. It comprises of five stages and a total investment of $3 billion. It is expected to generate an unlevered return of more than 13% as a result of a well-executed Connect and Expand strategy. Another notable project that started construction earlier in the year was Snowflake A, also in the U.S., with a capacity of 1.1 factored gigawatts. We also added more than 2.5 factored gigawatts to our pre-construction portfolio over the past 12 months. The most notable additions were Phases 4 and 5 in the CO-BAR complex, with a combined capacity of 0.9 factored gigawatts. Advancing CO-BAR is a major achievement for Enlight. and for our U.S. subsidiary, CleanAira. And Jared will elaborate more on this shortly. Our U.S. platform continues to demonstrate best-in-class development expertise, providing strong visibility into our growth beyond 2028. 100% of pre-construction projects, 89% of advanced development, and 53% of development projects have completed their system impact study a critical step for interconnection certainty. We continued to proactively manage tax incentive eligibility in the U.S. by safe harboring more than four-factor gigawatts over the past quarter, leading to more than 13-factor gigawatts that were eligible for tax equity investments before 2026. We expect that all of our advanced development portfolio and up to 40% of our development portfolio will be safe harbored by June 2026. Energy storage remains a core pillar of our growth strategy. In Europe, the rapid growth in renewable energy generation capacity has not been matched by a corresponding build-out of storage capacity, creating a meaningful shortage of battery energy storage systems and a significant opportunity for fast growth supported by attractive returns. Our expansion momentum in Europe continued in the fourth quarter and into 2026 with the acquisition of Project Jupiter in Germany, a two gigawatt hour energy storage project paired with 150 megawatts of solar generation capacity expected to generate unlevered return of about 15%. This acquisition follows the acquisitions in Germany and Poland we disclosed in the previous quarter. and further strengthens our position in the largest and one of the fastest growing renewable markets in Europe. Overall, during the year, we expanded our mature storage portfolio in Europe by 3.5 gigawatt hour. We are highly committed to continuing our expansion in Europe, leveraging our expertise and execution capabilities to capture the significant opportunities in the market. Our mature storage portfolio globally reached 17.5 gigawatt hour, an increase of over 50% from the previous quarter and over six times its size just three years ago. This expansion is yet another testament to Enlight's entrepreneurial DNA and our ability to recognize opportunities and act decisively. Our mature storage portfolio represents annual run rate revenues of approximately $1 billion, nearly 50% of the revenues currently reflected in our overall mature portfolio, positioning Enlight to benefit from power price fluctuations, optimization management, capacity services, and ancillary grid services across markets. In Israel, we added meaningful storage capacity and continued to advance our solar plus storage build-out, reinforcing local system flexibility and resilience. Over the past 12 months, high voltage storage projects, totaling 1.35 gigawatt hour, progressed from the advanced development portfolio to pre-construction. In addition, during the quarter, we signed an agreement with Mivne, a leading Israeli real estate firm with more than 550 assets nationwide to supply electricity for approximately 500 million U.S. dollars over 15 years. and to form a partnership which will develop energy storage facilities at Midnik properties across the country. The agreement follows dozens of similar distributed storage agreements signed over the past 12 months with leading real estate companies and other organizations. We are also expanding our agrivoltaic presence in Israel with 49 deals signed only in the past 12 months, reflecting a future solar generation capacity of approximately two-factor gigawatts and growing synergies between solar and agriculture. As I mentioned earlier, we see a step change in power demand from AI and data centers. Industry outlooks indicate U.S. data center electricity consumption could roughly triple by the end of the decade. This demand must be met with scalable, cost-effective, and clean energy. precisely where solar plus storage delivers superior levelized cost of electricity and time-shifting capability. Our development capabilities position Enlight to be a partner of choice for large utilities and corporates as this build-out accelerates. We will share additional details on our strategy and plans to capture the data center opportunity at our upcoming virtual investor event on March 9. Looking forward, Our strategy remains consistent and ambitious to triple the size of the business every three years by advancing high-quality projects through a de-risk development funnel while maintaining discipline on returns and capital structure. The continued growth of our operating portfolio and cash flow generation, combined with our differentiated global access to capital and execution capabilities, enable us to further accelerate investment and enlighten long-term growth. Commensurate to this, I'm excited to share that 2026 will be a record year of construction for Enlight, with the expected beginning of construction of three to four factored gigawatts, resulting in a record level of approximately seven factored gigawatts that will be under construction during the year. In fact, almost all of our current mature portfolios will be either income generating or under construction during 2026. By the end of 2026, we expect to add about 1.1 factored gigawatts to our operational capacity, primarily in the fourth quarter of the year. That will contribute annual run rate revenue and income of $137 million and adjusted EBITDA of $109 million. By year end 2028, we expect to achieve 12 to 13 factored gigawatts of operating capacity, predicted to generate annual run rate revenue and income in the range of $2.1 to $2.3 billion. Over 11 factored gigawatts out of this capacity is in our mature portfolio, underscoring the significant progress we made this year in increasing the visibility and certainty of our pipeline. Compared to our estimates in the previous quarter, 2028 revenue and income annual run rate increased by approximately $150 million, and the plant capacity expanded by one factor gigawatt at the low end. The unlevered return on investment reflected in our under-construction and pre-construction projects is expected to range from 12% to 13%, up from the 11% to 12% range we referenced last quarter, highlighting our continued focus on disciplined accretive growth. We now expect to deliver our return on equity of more than 18%. Before I hand over the floor to Jared, I would like to reiterate the key takeaways. We delivered a strong finish to 2025, exceeding guidance by growing revenues and EBITDA meaningfully, and continued to rapidly expand and de-risk our pipeline. We are positioned for a record construction year in 2026 and remain on track to reach 12 to 13 factored gigawatt of operating capacity by 2028 at attractive returns, supported mainly by our current mature portfolio and underpinned by disciplined returns. With that, I will hand the call over to Jared.