In Fundeen, depending on the phase of the project we talk about different types profitabilities.
We talk about estimated profitability during the phase of financing and construction. This profitability refers to the estimated net annual rate of return (ARR). That is to say, the average annual profitability of the rents perceived or to be perceived during the total investing period. The rents to be perceived are forecasted based on the earnings projections based on the future energy prices, inflation and other management costs of the project.
When a project starts producing and generating earnings from the sale of energy, then we talk about real profitability. This is the profitability typically displayed in Marketplace. Real profitability represents the actual accumulated profitability of a project from the moment it starts producing. Its calculated based on the production and energy sales during a given time period.
Global profitability, represents the real average profitability of all the projects where you have invested. It is calculated by doing an average of the real profitabilities of each project. This profitability it is only displayed under My Portfolio