Slide 1: 3Q 2024 Financial Results
3Q 2024 Financial Results November 7, 2024
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: Q3 Overview & Strategic Priorities
Q3 OVERVIEW & STRATEGIC PRIORITIES Mary Powell CEO 3
Slide 4: In Q3 Sunrun delivered positive Cash Generation while growing volumes and expanding unit margins
In Q3 Sunrun delivered positive Cash Generation while growing volumes and expanding unit margins to record levels Solid growth in Q3: Storage Capacity Installed +27% q/q, Solar Capacity Q3 Key Metric Performance Installed +19% q/q ➔ Exceeded high-end of Storage Capacity Installed guidance and achiev
Slide 5: Growing in a disciplined way, shifting to higher-value pro-consumer offerings
We are growing in a disciplined way, shifting to higher-value pro-consumer offerings as we prioritize Cash Generation Growth is rebounding; on track for 6% to 10% y/y growth in Q4 and strong growth in 2025 ➔ In Q3, Solar Capacity Installed increased 19% from Q2 levels, Sunrun’s Solar Capacity Install
Slide 6: Accelerating storage adoption and building a foundation of grid resources
We are accelerating storage adoption, providing customers resiliency & building a foundation of valuable grid resources Storage attachment rates accelerating Storage Attachment Rate on New Installations 336 MWhrs of Storage Capacity Installed in Q3, a 92% ➔ Sunrun has now installed more than 135,000
Slide 7: Customer values in excess of initial contracted Net Subscriber Value
Sunrun is poised to deliver customer values significantly in excess of initial contracted Net Subscriber Value ➔ Sunrun is focused on providing a suite of clean energy offerings to enhance our differentiation in the market today and provide additional products and services to our customers for decades
Slide 8: We Love Our People: Teams Driving Success in Q3
We Love Our People Teams Driving Success in Q3 Bakersfield, CA Oahu, HI Direct-to-Home | Top Sales Team Top Installation Team Based on Commitment to Safety, Storage Attachment Rates, Quality, and Customer Experience 3Q24 Earnings Presentation 8
Slide 9: Financial Performance & Outlook
FINANCIAL PERFORMANCE & OUTLOOK Danny Abajian CFO 9
Slide 10: Building a base of customers with recurring revenue and multi-decade relationships
Sunrun is building a base of customers with recurring revenue and multi-decade relationships 3Q24 Volume Performance 31,910 336 MWh 230 MW 60% Customer Additions Storage Capacity Installed Solar Energy Capacity Battery Attachment Rate +20% from Q2 +27% from Q2 Installed an increase from 33% in Q3 20
Slide 11: Q3 Net Subscriber Value was $14,632, increasing 18% q/q
Q3 Net Subscriber Value was $14,632, increasing 18% q/q ➔ 30,348 Subscriber Additions with Net Subscriber Value of $14,632 using a 6% discount rate, resulting in Total Value Generated of $444.1 million in Q3. ➔ These figures include the benefits of the low-income, energy communities and domestic conte
Slide 12: Net Subscriber Value increased to record levels in Q3
Net Subscriber Value increased to record levels in Q3 ➔ Net Subscriber Value expanded to $14,632 driven by record-high battery attachment mix at 60%, ITC levels of 37.7%, fixed cost absorption benefits with higher volumes and continued cost efficiency efforts. ➔ Efficiency improvements and hardware cost de
Slide 13: Three 10% ITC adders enhance unit economics
Three 10% ITC adders enhance unit economics ➔ These ITC adders will make solar more affordable and accessible to a broader consumer population. Each adder represents an incremental 10% ITC per subscriber, except for the low-income multifamily housing adder, which is 20%. ➔ ITC adders are only availab
Slide 14: Net Earning Assets increased to $6.2 billion
Net Earning Assets increased to $6.2 billion ➔ We have ~$16.8 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 represents $6.2 billion in present value, which we call Net E
Slide 15: Sunrun has achieved strong Subscriber Values
Sunrun has achieved strong Subscriber Values ➔ Sunrun has increased pricing and adjusted go-to-market approaches multiple times since 2022 to respond to inflation and higher interest rates. High utility rate inflation across the United States has provided us headroom to increase pricing while still de
Slide 16: 15+ years of consistent capital markets execution
Sunrun has demonstrated 15+ years of consistent 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 fo
Slide 17: Outlook
Outlook 4Q 2024: ➔ Storage Capacity Installed expected to be in a range of 320 to 350 Megawatt hours, reflecting 52% growth at the midpoint compared to the prior year. For the full-year 2024, this implies 100% growth at the midpoint compared to 2023. ➔ Solar Energy Capacity Installed is expected to b
Slide 18: Reiterating Cash Generation guidance of $350 million to $600 million in 2025
Reiterating Cash Generation guidance of $350 million to $600 million in 2025 Cash Generation represents the change in Sunrun’s total unrestricted cash balance, less any increases in recourse debt or issuance of equity (or plus any decreases in repayment of recourse debt or stock repurchases). Cash G
Slide 19: Appendix
Appendix 19
Slide 20: Metric Sensitivity Tables
Metric Sensitivity Tables ➔ Net Earning Assets excludes other assets, such as Inventory ($342m as of 3Q24) and a portion of systems currently under construction but not yet recognized as deployed and therefore not yet reflected in Gross Earning Assets. ➔ Existing assets are financed with fixed-rate deb
Slide 21: 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 22: 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 ($873.1 million balance of Payments Received Under Customer Agreements at the end of 2023). ~$11.5 billion of our debt is non-recourse project debt and s
Slide 23: GAAP Cash Flow Statement
GAAP Cash Flow Statement Cash Flow From Operations is negative as typically ~25-30% of our Creation Costs are expensed in the period, while revenue is recognized over 80 quarters or more. Additionally, we raise Debt and Project Equity to fund our growth, which covers CFO and CFI. These investments a
Slide 24: Glossary
Glossary Deployments represent solar or storage systems, whether sold directly to customers or subject to executed Net Subscriber Value represents Subscriber Value less Creation Cost. Customer Agreements (i) for which we have confirmation that the systems are installed, subject to final inspection,
Slide 25: Glossary (continued)
Glossary (continued) Cash Generation is calculated using the change in our unrestricted cash balance from our consolidated balance sheet, less net proceeds (or plus net repayments) from all recourse debt (inclusive of convertible debt), and less any primary equity issuances or net proceeds derived f
Slide 26: Investor Relations
Investor Relations investors.sunrun.com 415-373-5206 investors@sunrun.com