Pioneering Sustainable Growth: HASI's Vision for a Greener Future

First Quarter Triumphs: A Deep Dive into HASI's Financial Achievements

HA Sustainable Infrastructure Capital commenced 2026 with an exceptional financial showing, achieving an adjusted earnings per share of $0.77. This figure represents the highest quarterly performance in the company's operational history. Furthermore, the adjusted return on equity soared to an impressive 15.7%, while the adjusted recurring net investment income saw a substantial 29% year-over-year increase, reaching $101 million. These strong results are a testament to HASI's effective business strategies and its ability to capitalize on growing opportunities within the sustainable infrastructure sector.

Vigorous Investment Activities and Portfolio Expansion

The first quarter witnessed dynamic investment engagement from HASI, with the successful closure of new transactions exceeding $460 million. The total investment volume for the quarter reached $637 million, aligning the company perfectly with its projected target of $2 billion to $3 billion for 2026. The investment pipeline remains robust, hovering above $6.5 billion, driven by consistent market demand and ongoing energy transition initiatives. Notably, fee-generating assets experienced a remarkable 130% surge year-over-year, climbing to $1.1 billion, with new asset yields maintaining above 10.5% for eight consecutive quarters.

Strategic Partnership: The Neogenyx Joint Venture with Ameresco

A significant highlight of the quarter was HASI's investment in Neogenyx, a new joint venture created from Ameresco's biofuels segment. This collaboration is set to position Neogenyx as a premier developer and operator of biofuels projects. HASI's initial investment of $400 million grants it a 30% ownership stake and a preferential position for debt cash distributions, signaling a strong belief in the venture's long-term potential and superior returns.

Enhancing Financial Stability: Capital Structure and Liquidity Strategies

HASI has proactively strengthened its financial foundation by issuing $1 billion in bonds, strategically reducing funding expenses and extending debt maturities. The company now boasts $2.3 billion in available liquidity and is nearing a self-sufficient funding model, potentially eliminating the need for equity issuances in 2026. This prudent financial management ensures sustained growth and operational flexibility.

Robust Portfolio Health and Navigating Market Dynamics

The company's managed assets continue to perform exceptionally, demonstrating an average annual realized loss rate of less than 10 basis points, with 98% of the portfolio classified as Category 1. While a minor uptick in residential solar delinquencies was noted, it remained within anticipated underwriting parameters. HASI also addressed the complexities of the tax equity market, acknowledging the impact of foreign entity rules but reaffirming that these challenges do not impede its current growth projections.

Leadership Evolution: Strengthening Executive Capabilities

In a move to reinforce its leadership and expertise, HASI announced key executive appointments. Christy Freer was welcomed as the new Chief Legal Officer, and Marc Pangburn transitioned to a new role at GoodFinch to optimize the SunStrong business. AnnMarie Reynolds and Manny Haile-Mariam were named co-chief investment officers, while Daniela Shapiro and Viral Amin took on roles as co-chief risk officers and Investment Committee members. These strategic enhancements reflect HASI's deep talent pool and commitment to strong governance.

About HA Sustainable Infrastructure Capital: A Commitment to Climate Solutions

Hannon Armstrong Sustainable Infrastructure Capital, Inc. (NYSE: HASI) is a leading real estate investment trust dedicated to financing and investing in climate change solutions. Established in 1988, the Annapolis, Maryland-based company provides essential capital for sustainable infrastructure projects across North America. Its mission centers on fostering energy efficiency, renewable energy generation, and resilient infrastructure, aiding both public and private sectors in their endeavors to reduce carbon footprints and achieve lasting environmental objectives.