HASI Announces Third Quarter 2025 Results with Record Adjusted EPS of $0.80 and a New $1.2b Investment

Key Highlights

• GAAP EPS of $0.61, compared with $(0.17) in Q3 2024, and Adjusted EPS of $0.80, compared to $0.52 in Q3 2024.
• GAAP-based Net Investment Income (Loss) was $6 million in Q3 2025, and Adjusted Recurring Net Investment Income totaled $105 million in Q3 2025, up 42% year-over-year.
• Adjusted ROE increased to 13.4% year-to-date through Q3 2025.
• Managed Assets grew 15% year-over-year to $15.0 billion as of September 30, 2025.
• Closed approximately $1.5 billion in transactions through the first three quarters of 2025 with new asset yields on Portfolio investments >10.5%.
• New $1.2 billion investment in a 2.6 GW utility-scale renewable project closed in October.
• Adjusted EPS growth in 2025 expected to be ~10% and guidance reaffirmed for compound annual growth in Adjusted EPS of 8-10% through 2027 relative to the 2023 baseline.

“We are pleased to deliver an exceptional Q3 report with strong results in every one of our key metrics including new investment volumes and yields, Managed Assets, Adjusted Recurring Net Investment Income and Adjusted EPS,” said HASI President and Chief Executive Officer Jeffrey A. Lipson. “In addition, we are on pace to close more than $3 billion in new transactions in 2025 and the outlook for our business remains particularly robust.”

A summary of our financial results is detailed in the table below:

GAAP Net Income and Adjusted Earnings

“Our results this quarter are the culmination of our business strategy where we have demonstrated multiple facets of our value creation capabilities and have increased our year-to-date Adjusted ROE to 13.4%. With improvements in our equity efficiency and earnings growth, we are realizing a higher incremental ROE that will accelerate the trajectory of shareholder returns,” said HASI Chief Financial Officer, Chuck Melko.

GAAP Earnings and EPS

GAAP net income (loss) to controlling stockholders was $83 million in Q3 2025, compared to $(20) million in Q3 2024. GAAP diluted earnings (loss) per share was $0.61 in Q3 2025, compared to $(0.17) in Q3 2024. GAAP income in the current period was driven by total revenue of $103 million and income from equity method investments of $125 million, which were offset by total expenses of $108 million and income tax expense of $34 million.

Adjusted Earnings and EPS

Adjusted earnings were $103 million in Q3 2025, driven by Adjusted Recurring Net Investment Income of $105 million, Gain on Sale of Assets of $25 million, and Origination Fee and Other Income of $1 million, while Compensation and Benefits and General & Administrative expenses (excluding Equity-Based Compensation) were approximately $28 million.

Adjusted Earnings in Q3 2025 increased $40 million compared to Q3 2024, due to a $31 million increase in Adjusted Recurring Net Investment Income driven by a larger Portfolio and project refinancing proceeds, and a $17 million increase in Gain on Sale of Assets. These items were partially offset by an $8 million increase in Compensation and Benefits and General & Administrative expenses (excluding Equity-Based Compensation) primarily due to timing of incentive-based compensation accrued in Q3 2025.

Adjusted EPS was $0.80 in Q3 2025, compared to $0.52 in Q3 2024, due to the increase in Adjusted Earnings described above.

An explanation and reconciliation of GAAP Earnings and EPS to Adjusted Earnings and EPS can be found at the end of this release.

Adjusted Recurring Net Investment Income

HASI’s Managed Assets consists of three major components: our Portfolio, our co-investment structures, and our securitized assets. HASI generates recurring income from each of these components: (1) income generated from our Portfolio, including both our debt investments (“Receivables” and “Real Estate and Debt Securities”), and our equity investments (“Equity Method Investments”), (2) management fee income from our securitization trusts and our partner’s share of our co-investment structures, and (3) income from our retained interests in our securitized assets. Adjusted Recurring Net Investment Income measures the recurring income we generate from these three sources, net of interest expense.

GAAP-based net investment income captures Interest and Rental Income revenue as well as Management Fees and Retained Interest Income, less interest expense. However, it does not include the income generated from our Equity Method Investments (as defined below), and thus fails to capture all of the economic returns earned by our Portfolio. GAAP-based net investment income was $6 million in Q3 2025.

Adjusted Recurring Net Investment Income captures not only our management fee income and income from our retained interests in our securitized assets, but also our income from our entire Portfolio, including both our equity and debt investments, net of interest expense. As a result, management views Adjusted Recurring Net Investment Income as a helpful indicator of the full underlying economics of our investments, enabling a useful comparison of financial results between periods. Adjusted Recurring Net Investment Income was $105 million in Q3 2025, an increase of 42% from $74 million in Q3 2024.

A reconciliation of GAAP-based Net Investment Income to Adjusted Recurring Net Investment Income is shown below, and further explanation can be found at the end of this release.

Adjusted Recurring Net Investment Income represents the sum of (1) Interest and Rental Income Revenue, (2) Adjusted Income from Equity Method Investments, and (3) Management Fees and Retained Interest Income, net of (4) Interest Expense and (5) the elimination of our proportionate share of fees earned from co-investment structures. It also excludes other non-cash items such as Amortization of Real Estate Intangibles and, when applicable, Loss (Gain) on Debt Modification or Extinguishment:

• Interest and Rental Income Revenue

As of September 30, 2025, our Receivables, Net of Allowance, and Receivables Held-for-Sale totaled $3.3 billion, up 14% from $2.9 billion as of September 30, 2024, due to the funding of additional investments over the previous 12 months.

Interest and Rental Income Revenue was $69 million in Q3 2025, compared to $64 million in Q3 2024, driven by higher yields on our investments and investment fundings.

• Adjusted Income from Equity Method Investments

As of September 30, 2025, our Equity Method Investments were $4.1 billion, an increase of 23% from $3.4 billion as of September 30, 2024. Equity Method Investments includes our proportionate share of our co-investment vehicle CCH1, which was $576 million as of September 30, 2025, compared to $84 million as of September 30, 2024. Approximately 75% of the assets in CCH1 were receivables or debt securities, and 25% were equity method investments as of September 30, 2025.

Adjusted Income from Equity Method Investments¹ was $100 million in Q3 2025, an increase of 68% compared to $59 million in Q3 2024, driven by both growth in Equity Method Investments and higher yields, as well as the impact of project refinancing proceeds received in Q3 2025.

• Management Fees and Retained Interest Income

As of September 30, 2025, assets held by our partners in our co-investment vehicles were $592 million, compared to $74 million as of September 30, 2024. In addition, our Retained Interests in Securitization Trusts, Net of Allowance, were $278 million, an increase of 8% from $258 million as of September 30, 2024.

Management Fees and Retained Interest Income Revenue was $8 million in Q3 2025, compared to $9 million in Q3 2024, due to the timing of servicing fees recognized from securitized assets.

• Interest Expense

As of September 30, 2025, our total debt outstanding was $5.2 billion, as compared to $4.1 billion as of September 30, 2024, and our weighted-average interest cost, as measured by GAAP interest expense as adjusted for loss on debt modification or extinguishment divided by average debt outstanding, was 5.9% in Q3 2025, compared to 5.6% in Q3 2024.

Interest expense was $71 million in Q3 2025, an increase of $12 million compared to $59 million in Q3 2024.

Managed Assets and New Investment Activity

As of September 30, 2025, our Managed Assets totaled $15.0 billion, up 15% from September 30, 2024, and consisted of (1) our Portfolio, (2) our partners’ portion of our co-investment vehicle CCH1, and (3) assets we have securitized. As of September 30, 2025, our Portfolio was approximately $7.5 billion. Portfolio yield was 8.6% as of September 30, 2025, compared to 8.1% as of September 30, 2024, due primarily to the funding of higher yielding portfolio assets.

We closed new transactions totaling approximately $649 million in Q3 2025. Through the first nine months of 2025, closed transactions totaled approximately $1.5 billion. Subsequent to the end of Q3 2025, we closed a new $1.2 billion investment in a 2.6 GW utility-scale renewable project in October. As of September 30, 2025, our pipeline was more than $6.0 billion, even after excluding the $1.2 billion investment in October.

Weighted average yields on new Portfolio investments were underwritten at more than 10.5% during Q3 2025, consistent with the weighted average yields on Portfolio investments over the prior five quarters.

An explanation and reconciliation of GAAP-based Portfolio to Managed Assets can be found at the end of this release.

Our Portfolio remains well-diversified across established clean energy end markets with approximately $3.7 billion of Behind-the-Meter assets, approximately $2.8 billion of Grid-Connected assets, with the remainder comprising assets in Fuels, Transportation, and Nature.

We continued to experience strong credit performance and negligible losses across our Portfolio of investments. The following is an analysis of the performance ratings of our Portfolio as of September 30, 2025.

Liquidity and Leverage

As of September 30, 2025, cash and cash equivalents totaled $302 million and our total liquidity was $1.1 billion, including approximately $834 million of unused capacity under our revolving credit facility and commercial paper program. Subsequent to the end of Q3 2025, we closed a $250 million delayed-draw term loan facility which can be drawn upon between March 16, 2026 and June 15, 2026. Drawn loans, if any, mature on June 15, 2028, and bear interest at current applicable margins of 1.650% for SOFR-based loans and 0.650% for alternative base rate-based loans.

Total debt outstanding was $5.2 billion at September 30, 2025, and our debt-to-equity ratio was 1.9x, within our target range of 1.5x to 2.0x and below our internal limit of 2.5x. Approximately 88% of our debt outstanding at September 30, 2025, was either fixed-rate or hedged base rate debt, and 12% was floating-rate debt or short-term commercial paper notes.

Sustainability and Impact Highlights

An estimated 54,000 metric tons of carbon emissions will be avoided annually by the transactions closed this quarter, equating to a CarbonCount^® score of 0.12 metric tons per $1,000 invested. In total, including assets not retained in our Portfolio, our Managed Assets are avoiding approximately 8.4 million metric tons of carbon emissions annually, based on our proprietary CarbonCount score.

Guidance

We expect Adjusted Earnings per Share to increase approximately 10% year-over-year in 2025. In addition, we reaffirm our 2027 guidance for both Adjusted Earnings per Share and dividend payout ratio. We continue to expect Adjusted Earnings per Share in 2027 to increase at a compound annual rate of 8% to 10%, relative to the 2023 baseline of $2.23 per share, which is equivalent to a midpoint of $3.15 per share in 2027. We also expect distributions of annual dividends per share of common stock to decline to between 55% and 60% of annual Adjusted Earnings per Share by 2027. This guidance reflects our judgments and estimates of (i) yield on our existing Portfolio; (ii) yield on incremental Portfolio investments, inclusive of our existing pipeline; (iii) the volume and profitability of transactions; (iv) amount, timing, and costs of debt and equity capital to fund new investments; (v) changes in costs and expenses reflective of our forecasted operations; and (vi) the general interest rate and market environment. In addition, distributions are subject to approval by our Board of Directors on a quarterly basis. We have not provided GAAP guidance as discussed in the Forward-Looking Statements section of this press release.

Dividend

The Company is also announcing today that our Board of Directors approved a quarterly cash dividend of $0.42 per share of common stock. This dividend will be paid on January 9, 2026, to stockholders of record as of December 29, 2025.

Conference Call and Webcast Information

HASI will host an investor conference call today, Thursday, November 6, 2025, at 5:00 p.m. Eastern Time. The conference call can be accessed live over the phone by dialing 1-877-407-0890 (Toll-Free) or +1-201-389-0918 (toll). Participants should inform the operator that they want to join the “HASI Third Quarter 2025 Results” call. The conference call will also be accessible as an audio webcast with slides on our website. A replay after the event will be accessible as on-demand webcast on our website.

About HASI

HASI (NYSE: HASI) is an investor in sustainable infrastructure assets advancing the energy transition. With more than $15 billion in Managed Assets, our investments are diversified across multiple asset classes, including utility-scale solar, onshore wind, and storage; distributed solar and storage; RNG; and energy efficiency. We combine deep expertise in energy markets and financial structuring with long-standing programmatic client partnerships to deliver superior risk-adjusted returns and measurable environmental benefits. HA Sustainable Infrastructure Capital, Inc. is listed on the New York Stock Exchange (Ticker: HASI). For more information, please visit hasi.com.

Forward-Looking Statements

Some of the information contained in this press release is forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, that are subject to risks and uncertainties. For these statements, we claim the protections of the safe harbor for forward-looking statements contained in such Sections. These forward-looking statements include information about possible or assumed future results of our business, financial condition, liquidity, results of operations, plans and objectives. When we use the words “believe,” “expect,” “anticipate,” “estimate,” “plan,” “continue,” “intend,” “should,” “may” or similar expressions, we intend to identify forward-looking statements. However, the absence of these words or similar expressions does not mean that a statement is not forward-looking. All statements that address operating performance, events or developments that we expect or anticipate will occur in the future are forward-looking statements.

Forward-looking statements are subject to significant risks and uncertainties. Investors are cautioned against placing undue reliance on such statements. Actual results may differ materially from those set forth in the forward-looking statements. Factors that could cause actual results to differ materially from those described in the forward-looking statements include those discussed under the caption “Risk Factors” included in our most recent Annual Report on Form 10-K as well as in other periodic reports that we file with the U.S. Securities and Exchange Commission.

Any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to update any forward-looking statement to reflect events or circumstances, including, but not limited to, unanticipated events, after the date on which such statement is made, unless otherwise required by law. New factors emerge from time to time and it is not possible for management to predict all such factors, nor can it assess the impact of each such factor on the business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained or implied in any forward-looking statement.

The Company has not provided GAAP guidance as forecasting a comparable GAAP financial measure, such as net income, would require that the Company apply the hypothetical liquidation at book value (“HLBV”) method to these investments. In order to forecast under the HLBV method, the Company would be required to make various assumptions related to expected changes in the net asset value of the various entities and how such changes would be allocated under HLBV. GAAP HLBV earnings over a period of time are very sensitive to these assumptions especially in regard to when a partnership transaction flips and thus the liquidation scenarios change materially. The Company believes that these assumptions would require unreasonable efforts to complete and if completed, the wide variation in projected GAAP earnings based upon a range of scenarios would not be meaningful to investors. Accordingly, the Company has not included a GAAP reconciliation table related to any adjusted earnings guidance.

Estimated carbon savings are calculated using the estimated kilowatt hours, gallons of fuel oil, million British thermal units of natural gas and gallons of water saved as appropriate, for each project. The energy savings are converted into an estimate of metric tons of CO2 equivalent emissions based upon the project’s location and the corresponding emissions factor data from the U.S. Government and International Energy Agency. Portfolios of projects are represented on an aggregate basis.