Slide 1: 2Q 2023 Financial Results
2Q 2023 Financial Results August 2, 2023 01
Slide 2: Safe harbor & forward looking statements
Safe harbor & forward looking statements This communication contains forward-looking statements related to Sunrun (the “Company”) within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act o
Slide 3: Advancing Strategic Priorities
ADVANCING STRATEGIC PRIORITIES 03
Slide 4: Sunrun is Growing its Base of Customers
Sunrun is Growing its Base of Customers 869,464 Customers 20% year-over-year growth Customer counts through 6/30/2023. Customer figures give pro forma effect to our acquisition of Vivint Solar from 2012 to 2019 and includes Vivint Solar in 2020. 2007-2011 reflects legacy Sunrun standalone because Vivin
Slide 5: Advancing Strategic Priorities: Accelerate Adoption and Lead the Market
Advancing Strategic Priorities Accelerate Adoption and Lead the Market ➔ Rapidly transitioning to a storage-focused company, with 102.6 MWhrs of Storage Capacity Installed in Q2, a 35% y/y growth as storage attachment rates increase to 17.7% for new installations across the country. Sunrun now has 9
Slide 6: Advancing Strategic Priorities: Driving Innovation, Expanding Differentiation
Advancing Strategic Priorities Driving Innovation, Expanding Differentiation ➔ Sunrun’s leading work to aggregate distributed storage and form valuable power plants continues to advance. This summer, Sunrun expanded the program with PG&E to include 8,500 customers, with dispatches starting August 1.
Slide 7: Advancing Strategic Priorities: Operating Efficiently & Leading with Financial Strength
Advancing Strategic Priorities Operating Efficiently & Leading with Financial Strength ➔ Management is focused on maximizing value generation through a strong focus on margins and cash generation, balancing growth and market reach. Margins are expected to expand significantly in the coming quarters fro
Slide 8: Celebrating Our People
Celebrating Our People Top Performing Branches Across Safety, Customer Experience, and Efficiency #1 Las Vegas Tampa New Jersey Central Vermont Maryland North San Diego South Massachusetts West New Jersey South Bakersfield Orlando 2Q23 Earnings Presentation 08
Slide 9: Financial Performance & Outlook
FINANCIAL PERFORMANCE & OUTLOOK 09
Slide 10: Sunrun is Building a Base of Customers with Recurring Revenue
Sunrun is Building a Base of Customers with Recurring Revenue and Multi-Decade Relationships 39,755 Customer Additions in Q2 296.6 Megawatts of Solar Energy Capacity Installed in Q2, +20% year-over-year 102.6 Megawatt hours of Storage Capacity Installed in Q2, +35% year-over-year 869,464 Customers +
Slide 11: Strong Tailwinds From Product Mix & Cost Trends
Strong Tailwinds From Product Mix & Cost Trends Subscription Mix Increasing Storage Attachment Rates Accelerating and Batteries ➔ Sunrun’s Subscription model is advantaged in the Carry Significantly Higher Margins market; Sunrun has more than 60% share of the ➔ Sunrun has now installed more than 65,0
Slide 12: Total Value Generated of $399 million in Q2
Total Value Generated of $399 million in Q2 ➔ 32,389 Subscriber Additions with Net Subscriber Value of $12,321 using a 6% discount rate, resulting in Total Value Generated of $399 million in Q2. ➔ We present metrics using a 6% discount rate for comparability purposes from period to period, in additi
Slide 13: Net Earning Assets Increases to $4.4 Billion
Net Earning Assets Increases to $4.4 Billion ➔ We have $12.6 billion in Gross Earning Assets, which is our measure of the present value of cash flows from customers over time. ➔ Projected cash flow from customers plus cash, less total debt and pass-through obligations represents $4.4 billion in presen
Slide 14: Adapting to a higher interest rate environment
Adapting to a higher interest rate environment ➔ Sunrun has increased pricing and adjusted go-to-market approaches multiple times throughout 2022 and into 2023 to respond to inflation and higher interest rates. High utility rate inflation across the United States has provided us headroom to increase p
Slide 15: Committed to Driving Meaningful Cash Generation
Committed to Driving Meaningful Cash Generation ➔ Sunrun is committed to driving meaningful Cash Generation in the business. Cash Generation is the change in our unrestricted cash balance, deducting any increases (or crediting decreases) in parent-level recourse debt or equity, and with other atypic
Slide 16: Demonstrated 15+ Year Capital Markets Execution
Demonstrated 15+ Year Capital Markets Execution ➔ We have a strong track record of attracting low-cost capital from diverse sources. Our access to capital markets puts us in a position to offer more advantageous financing options to consumers while creating long-term value for investors. ➔ We have dem
Slide 17: Outlook
Outlook REITERATING GROWTH IN SOLAR ENERGY CAPACITY INSTALLED EXPECTED TO BE IN A RANGE OF 10% TO 15% FOR THE FULL YEAR 2023. Management is focused on leading the market through sustainable and profitable growth, prioritizing unit cash generation capabilities, while prudently managing working capital
Slide 18: Appendix
Appendix 18 18 018
Slide 19: Metric Sensitivity Tables
Metric Sensitivity Tables See Appendix for glossary of terms and accompanying notes. 2Q23 Earnings Presentation 019
Slide 20: GAAP Income Statement
GAAP Income Statement Customer Agreements and Incentive Revenue is comprised of ongoing revenue from customers under long-term agreements, amortization of prepaid systems, and incentive revenue. The value of the Investment Tax Credits (ITC) are recognized as Incentive revenue, when monetized using a
Slide 21: GAAP Balance Sheet
GAAP Balance Sheet Deferred revenue is primarily Customer Prepayments which are recognized over the life of the contract, typically 20 or 25 years ($819.3 million balance of Payments Received Under Customer Agreements at the end of 2022). $7.5 billion of our debt is non-recourse project debt and sol
Slide 22: GAAP Cash Flow Statement
GAAP Cash Flow Statement Cash Flow From Operations is negative as 25-30% of our Creation Costs are expensed in the period, while revenue is recognized over 80 periods or more. Additionally, we raise Debt and Project Equity to fund our growth, which covers CFO and CFI. These investments are the capex
Slide 23: Glossary
Glossary Deployments represent solar energy systems, whether sold directly to customers or subject to executed Customer Networked Solar Energy Capacity for Subscribers represents the aggregate megawatt production capacity of our Agreements (i) for which we have confirmation that the systems are inst
Slide 24: Investor Relations
Investor Relations investors.sunrun.com 415-373-5206 investors@sunrun.com 24