For the three and nine months ended September 30, 2026
This Management’s Discussion and Analysis for the three and nine months ended September 30, 2026 is provided as of November 4, 2026. Unless the context indicates or requires otherwise, the terms “Brookfield Renewable”, “we”, “us”, and “our company” mean Brookfield Renewable Partners L.P. and its controlled entities. The ultimate parent of Brookfield Renewable is Brookfield Corporation (“Brookfield Corporation”). Brookfield Corporation and its subsidiaries, other than Brookfield Renewable, and unless the context otherwise requires, includes Brookfield Asset Management Ltd (“Brookfield Asset Management”), are also individually and collectively referred to as “Brookfield” in this Management’s Discussion and Analysis. The term “Brookfield Holders” means Brookfield, Brookfield Wealth Solutions and their related parties. The term “Brookfield Fund” means a private fund managed by Brookfield Asset Management and its subsidiaries. The term “consortium managed by BAM” means an investment vehicle managed by Brookfield Asset Management and its subsidiaries.
Brookfield Renewable’s consolidated equity interests include the non-voting publicly traded limited partnership units (“LP units”) held by public unitholders and Brookfield, class A BEPC exchangeable subordinate voting shares ("BEPC exchangeable shares") of Brookfield Renewable Corporation ("BEPC") held by public shareholders and Brookfield Wealth Solutions, class A.2 BRHC exchangeable non-voting shares (“class A.2 exchangeable shares”) of Brookfield Renewable Holdings Corporation (formerly, Brookfield Renewable Corporation) “BRHC” held by Brookfield, redeemable/exchangeable partnership units (“Redeemable/Exchangeable partnership units”) in Brookfield Renewable Energy L.P. (“BRELP”), a holding subsidiary of Brookfield Renewable, held by Brookfield, and a general partnership interest (“GP interest”) in BRELP held by Brookfield. Holders of the LP units, Redeemable/Exchangeable partnership units, GP interest, BEPC exchangeable shares and class A.2 exchangeable shares will be collectively referred to throughout as “Unitholders” unless the context indicates or requires otherwise. LP units, Redeemable/Exchangeable partnership units, GP interest, BEPC exchangeable shares and class A.2 exchangeable shares will be collectively referred to throughout as "Units", or as "per Unit", unless the context indicates or requires otherwise. The LP units, BEPC exchangeable shares and class A.2 exchangeable shares, and Redeemable/Exchangeable partnership units have the same economic attributes in all respects. See – “Part 8 – Presentation to Stakeholders and Performance Measurement”.
Brookfield Renewable’s financial statements are prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”), which require estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities as at the date of the financial statements and the amounts of revenue and expense during the reporting periods.
Certain comparative figures have been reclassified to conform to the current year’s presentation.
References to $, C$, €, R$, £, COP and A$ are to United States (“U.S.”) dollars, Canadian dollars, Euros, Brazilian reais, British pounds sterling, Colombian pesos and Australian dollars respectively. Unless otherwise indicated, all dollar amounts are expressed in U.S. dollars.
For a description of our operational and segmented information and for the non-IFRS financial measures we use to explain our financial results see “Part 8 – Presentation to Stakeholders and Performance Measurement”. For a reconciliation of the non-IFRS financial measures to the most comparable IFRS financial measures, see “Part 4 – Financial Performance Review on Proportionate Information – Reconciliation of non-IFRS measures”. This Management’s Discussion and Analysis contains forward-looking information within the meaning of U.S. and Canadian securities laws. Refer to – “Part 9 – Cautionary Statements” for cautionary statements regarding forward-looking statements and the use of non-IFRS measures. Our Annual Report and additional information filed with the Securities and Exchange Commission (“SEC”) and with securities regulators in Canada are available on our website (https://bep.brookfield.com), on the SEC’s website (www.sec.gov/edgar.shtml), or on SEDAR+ (www.sedarplus.ca).
(1)For the three and nine months ended, includes $157 million and $391 million of loss attributed to Limited Partner equity, $95 million and $235 million of loss attributed to BEPC exchangeable shares and class A.2 exchangeable shares, $101 million and $250 million of loss attributed to Participating non-controlling interests – in a holding subsidiary – Redeemable/Exchangeable units held by Brookfield, and $39 million and $120 million of income attributed to General partnership interest in a holding subsidiary held by Brookfield.
(2)Average LP units for the three and nine months ended September 30, 2026 were 300.2 million and 302.7 million, respectively (2025: 283.8 million and 284.2 million).
(3)Non-IFRS measures. For reconciliations to the most directly comparable IFRS measure, See “Part 4 – Financial Performance Review on Proportionate Information – Reconciliation of non-IFRS measures” and “Part 9 – Cautionary Statements”.
(4)Average Units outstanding for the three and nine months ended September 30, 2026 were 684.2 million and 684.3 million, respectively (2025: 661.9 million and 662.2 million), being inclusive of our LP units, Redeemable/Exchangeable partnership units, BEPC exchangeable shares and class A.2 exchangeable shares and GP interest.
(MILLIONS, EXCEPT AS NOTED)
September 30, 2026
December 31, 2025
Liquidity and Capital Resources
Available liquidity
$
5,137
$
4,625
Debt to capitalization – Corporate
17
%
14
%
Debt to capitalization – Consolidated
42
%
39
%
Non-recourse borrowings as a percentage of total borrowings – Consolidated
90
%
90
%
Fixed rate debt as a percentage of total borrowings on a proportionate basis(1)
96
%
96
%
Corporate borrowings
Weighted average debt term to maturity
13 years
13 years
Weighted average interest rate
4.6
%
4.6
%
Non-recourse borrowings on a proportionate basis
Weighted average debt term to maturity
10 years
10 years
Weighted average interest rate
6.2
%
5.9
%
(1)Total floating rate debt as a percentage of total borrowings is 16% (2025: 16%) of which 12% (2025: 12%) is related to floating rate debt of certain regions outside of North America and Europe due to the high cost of hedging associated with those regions.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 3
Operations
Funds From Operations of $346 million or $0.51 on a per Unit basis, representing an 11% increase from the prior year driven by:
•Contributions from our diverse, global fleet with embedded growth from our contracted and inflation-linked cash flows;
•Recent acquisitions, including Boralex Inc. (“Boralex”) and our increased stake in Isagen;
•Continued growth from our scaling development activities, including approximately 9,000 MW of new development projects reaching commercial operation in the past 12 months; and
•Gains on sales from our recurring and scaling capital recycling activities
After deducting non-cash depreciation, foreign exchange and derivative gains or losses and other, net loss attributable to Unitholders for the three months ended September 30, 2026 was $314 million.
We strengthened our position as the global partner of choice for the world’s largest buyers of power delivering differentiated energy solutions.
•Advanced commercial initiatives, contracting ~1,600 MW of our advanced stage projects during the quarter
•During the quarter the U.S. federal government announced a strategic framework agreement with the Republic of Korea and Westinghouse, which will provide up to $120 billion in investment to help finance the construction of eight large-scale nuclear reactors in the U.S.
Growth and Development
We continue to execute on our growth priorities, investing or committing up to ~$3.0 billion (~$700 million net to Brookfield Renewable) of capital, further enhancing and diversifying our cash flows:
•During the quarter, we completed the acquisition of Boralex, adding a high-quality renewable power platform with a significant operating portfolio and development pipeline in strategic markets
•Subsequent to quarter-end, we completed the acquisition of Aypa, the largest standalone energy storage platform in North America
We continue to accelerate our development activities:
•Commissioned approximately 5,600 MW and 9,000 MW of new utility-scale and distributed generation solar, wind and battery storage projects year to date and in the last twelve months, respectively, and expect to deliver ~10,000 MW of new projects per year in 2027 and ~11,000 MW starting in 2028
Liquidity and Capital Resources
Our best-in-class balance sheet with investment grade BBB+ credit rating and access to diverse sources of capital continues to differentiate our business and support our growth initiatives:
•Our financial position remains strong, with over $5.1 billion of available liquidity across our platform, providing substantial flexibility to deploy capital into growth opportunities;
•We closed C$750 million of green bonds across two tranches: C$400 million of 10-year notes at 4.95% and C$350 million of 5‑year notes at 4.26%
Together with our institutional partners, we completed or reached agreements to sell assets since the second quarter that will generate ~$2.8 billion (~$850 million net to Brookfield Renewable), including:
•We completed the sale of the final 25% interest in a U.S. hydro portfolio in Maine and closed the remaining one-third interest in a 2,100-megawatt portfolio of renewable assets sold to Northview Energy for combined proceeds of ~$660 million (~$230 million net to Brookfield Renewable);
•We redeemed our investment in Avaada, one of our Indian platforms, for net proceeds of $570 million (~$125 million net to Brookfield Renewable);
•Our Colombian business completed or reached agreements to sell non-core or developed assets for ~$1.1 billion (~$420 million net to Brookfield Renewable):
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 4
•In September, we closed the sale of non-core operating hydro assets for proceeds of ~$155 million (~$60 million net to Brookfield Renewable);
•Also in September, we signed the sale of a portfolio of non-core hydro and solar assets for proceeds of ~$550 million (~$205 million net to Brookfield Renewable); and
•In October, we closed the sale of a portfolio of non-core hydro and solar assets for proceeds of ~$425 million (~$160 million net to Brookfield Renewable)
BEP Simplification
•Subsequent to the quarter, Brookfield Renewable Corporation investors approved the proposed simplification of our structure. We continue to seek approval from at least two-thirds of Brookfield Renewable investors. Support from Brookfield Renewable unitholders has been overwhelmingly positive, with 99.7% of those who have voted approving the transaction and two leading proxy advisory firms recommending unitholders vote in favour of the simplification
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 5
PART 2 – FINANCIAL PERFORMANCE REVIEW ON CONSOLIDATED INFORMATION
The following table reflects key financial data for the three and nine months ended September 30:
Three months ended September 30
Nine months ended September 30
(MILLIONS, EXCEPT AS NOTED)
2026
2025
2026
2025
Revenues
$
1,780
$
1,596
$
5,004
$
4,868
Other income
75
319
459
551
Direct operating costs
(1,013)
(721)
(2,575)
(2,095)
Management service costs
(63)
(57)
(213)
(162)
Interest expense
(707)
(586)
(2,004)
(1,819)
Foreign exchange and financial instruments gain
597
66
821
570
Depreciation
(587)
(611)
(1,693)
(1,803)
Other
(436)
(20)
(841)
(342)
Income tax recovery
4
66
44
349
Net (loss) income
$
(360)
$
42
$
(942)
$
34
Average FX rates to USD
C$
1.40
1.38
1.39
1.40
€
0.87
0.86
0.86
0.90
R$
5.14
5.45
5.15
5.65
COP
3,191
4,003
3,500
4,131
Variance Analysis For The Three Months Ended September 30, 2026
Revenues totaling $1,780 million represents an increase of $184 million over the same period in the prior year due to benefits from the growth of our business, higher realized pricing and favorable foreign exchange partially offset by recently completed asset sales and unfavorable generation in our Canadian and Colombian hydroelectric businesses. Recently acquired and commissioned facilities, that we consolidate, contributed 1,656 GWh of generation and $152 million to revenues which was partially offset by our recently completed asset sales that reduced generation by 3,117 GWh and revenues by $238 million. On a same store, constant currency basis, revenue increased by $187 million from the benefits of higher spot pricing in Colombia caused by lower system-wide hydrology and stronger hydrology in Brazil, partially offset by lower hydrology in Canada and Colombia.
The strengthening of foreign currencies against the U.S. dollar relative to the same period in the prior year increased revenues by $83 million, partially offset by a $53 million unfavorable foreign exchange impact on our direct operating costs and interest expense for the quarter.
Direct operating costs totaling $1,013 million represents an increase of $292 million over the same period in the prior year primarily due to higher power purchases at higher market prices due to lower system-wide hydrology in Colombia, additional costs from our recently acquired and commissioned facilities and the above noted strengthening of foreign currencies against the U.S. dollar, partially offset by recently completed asset sales.
Other income totaling $75 million represents a decrease of $244 million as the prior year benefitted from a gain resulting from the deconsolidation of the net assets of a renewable operating and development platform in India and the recognition of the fair value of our interest as an equity-accounted investment.
Management service costs totaling $63 million represents an increase of $6 million over the same period in the prior year due to the growth of our business.
Interest expense totaling $707 million represents an increase of $121 million over the same period in the prior year due to financing initiatives to fund growth and the above noted strengthening of foreign currencies against the U.S. dollar, partially offset by recently completed asset sales.
Foreign exchange and financial instruments gain totaling $597 million represents an increase of $531 million due to increased tax equity monetizations associated with our growing development activities.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 6
Depreciation expense totaling $587 million represents a decrease of $24 million over the same period in the prior year due to recently completed asset sales.
Income tax recovery represents a decrease of $62 million over the same period in the prior year due primarily to withholding tax related to the redemption of a convertible security in an Indian renewable power platform.
Net loss totaling $360 million represents a decrease of $402 million over the prior year primarily due to the above noted items and revaluation of property, plant, and equipment associated with the recognition of tax credits.
Variance Analysis For The Nine Months Ended September 30, 2026
Revenues totaling $5,004 million represents an increase of $136 million over the same period in the prior year as benefits from the growth of our business, higher realized pricing and favorable foreign exchange were more than offset by unfavorable hydrology at our U.S. and Colombian businesses and recently completed asset sales. Recently acquired and commissioned facilities that we consolidate contributed 3,092 GWh of generation and $288 million to revenue, offset by recently completed asset sales that reduced generation by 7,984 GWh and revenue by $634 million. On a same store, constant currency basis, revenues increased by $237 million from the benefits of stronger hydrology in Brazil and higher spot pricing in Colombia caused by lower system-wide hydrology, partially offset by unfavorable hydrology in the U.S. and Colombia.
The strengthening of foreign currencies against the U.S. dollar relative to the same period in the prior year across most currencies increased revenues by $245 million, partially offset by a $178 million unfavorable foreign exchange impact on our direct operating costs and interest expense for the year.
Direct operating costs totaling $2,575 million represents an increase of $480 million over the same period in the prior year primarily due to higher power purchases at higher market prices due to lower system-wide hydrology in Colombia, additional costs from our recently acquired and commissioned facilities and the above noted strengthening of foreign currencies against the U.S. dollar, partially offset by recently completed asset sales.
Other income totaling $459 million represents a decrease of $92 million as the prior year benefitted from a gain resulting from the deconsolidation of the net assets of a renewable operating and development platform in India and the recognition of the fair value of our interest as an equity-accounted investment in the prior year.
Management service costs totaling $213 million represents an increase of $51 million over the same period in the prior year due to the growth of our business.
Interest expense totaling $2,004 million represents an increase of $185 million over the same period in the prior year due to financing initiatives to fund growth and the above noted strengthening of foreign currencies against the U.S. dollar.
Foreign exchange and financial instruments gain totaling $821 million represents an increase of $251 million due to increased tax equity monetizations associated with our growing development activities, partially offset by increases in global power prices which led to a $150 million mark-to-market impact on our long-term energy derivative contracts compared to the prior year and unrealized foreign exchange impacts associated with shareholder loans.
Depreciation expense totaling $1,693 million represents a decrease of $110 million over the same period in the prior year due to recently completed asset sales.
Income tax recovery represents a decrease of $305 million over the same period in the prior year primarily due to withholding tax related to the redemption of convertible securities in an Indian renewable power platform and the simplification of Neoen’s organizational structure that resulted in a deferred income tax recovery of $161 million benefiting the prior year.
Net loss totaling $942 million represents a decrease of $976 million over the prior year due to the above noted items and the revaluation of property, plant, and equipment associated with the recognition of tax credits, partially offset by stamp duties levied in the prior year upon reaching prescribed ownership thresholds in certain jurisdictions Neoen operates.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 7
PART 3 – ADDITIONAL CONSOLIDATED FINANCIAL INFORMATION
SUMMARY CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
The following table provides a summary of the key line items on the unaudited interim consolidated statements of financial position:
(MILLIONS)
September 30, 2026
December 31, 2025
Current assets
$
11,243
$
12,298
Equity-accounted investments
4,621
4,087
Property, plant and equipment
75,501
70,456
Assets held for sale
3,117
6,142
Total assets
105,344
98,701
Corporate borrowings
5,363
3,686
Non-recourse borrowings
37,016
31,206
Deferred income tax liabilities
9,979
9,395
Liabilities directly associated with assets held for sale
1,374
4,021
Total liabilities and equity
105,344
98,701
Spot FX rates to USD
C$
1.42
1.37
€
0.88
0.85
R$
5.18
5.50
COP
3,341
3,757
Property, plant and equipment & Equity-accounted investments
Property, plant and equipment totaled $75.5 billion as at September 30, 2026 compared to $70.5 billion as at December 31, 2025, representing an increase of $5.0 billion. Our acquisition of Boralex, a fully integrated developer and operator of renewable power assets across Canada, the U.S., France, and the U.K., increased property, plant and equipment by $5.6 billion. Our continued investments in the development of power generating assets increased property, plant and equipment by $4.3 billion and the appreciation of most currencies against the U.S. dollar increased property, plant and equipment by $1.8 billion. These increases were partially offset by disposals and assets reclassified to held for sale that decreased property, plant and equipment by $5.0 billion and depreciation expense that decreased property, plant and equipment by $1.7 billion.
Equity-accounted investments totaled $4.6 billion as at September 30, 2026, compared to $4.1 billion as at December 31, 2025, representing an increase of $0.5 billion, primarily related to the acquisition of Boralex, partially offset by distributions and the partial monetization of a renewable power operating and development platform in India.
Assets held for sale and Liabilities directly associated with assets held for sale
Assets held for sale and Liabilities directly associated with assets held for sale totaled $3.1 billion and $1.4 billion, respectively, as at September 30, 2026 and are comprised of a 420 MW portfolio of operating wind and solar assets in Europe, a portfolio including 118 MW of operating hydroelectric assets and 100 MW of operating solar assets in Colombia, a portfolio including 110 MW of operating hydroelectric assets and 134 MW of operating solar assets in Colombia, a 246 MW portfolio of operating solar assets in the U.S., a 242 MW portfolio of operating solar assets in El Salvador, and a 40 MW development solar asset in the U.K.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 8
RELATED PARTY TRANSACTIONS
Brookfield Renewable's related party transactions are in the normal course of business and are recorded at the exchange amount. Brookfield Renewable's related party transactions are primarily with Brookfield and their related parties.
Brookfield Renewable sells electricity to Brookfield through a single long-term PPA across Brookfield Renewable’s New York hydroelectric facilities. Brookfield will support the price that Brookfield Renewable receives for energy generated by certain facilities in the U.S.
Brookfield Renewable has entered into voting agreements with Brookfield, whereby Brookfield Renewable gained control of the entities that own certain renewable power generating facilities. Brookfield Renewable has also entered into a voting agreement with its consortium partners in respect of Isagen, Neoen, and Boralex. The voting agreements provide Brookfield Renewable the authority to direct the election of the Boards of Directors of the relevant entities, among other things, and therefore provide Brookfield Renewable with control. Accordingly, Brookfield Renewable consolidates the accounts of these entities.
Brookfield Renewable participates with institutional partners in Brookfield Americas Infrastructure Fund, Brookfield Infrastructure Fund II, Brookfield Infrastructure Fund III, Brookfield Infrastructure Fund IV, Brookfield Infrastructure Fund V, Brookfield Infrastructure Income Fund, Brookfield Infrastructure Debt Fund, Brookfield Global Transition Fund I, Brookfield Global Transition Fund II, and The Catalytic Transition Fund (“Private Funds”). Brookfield Renewable, together with our institutional partners, has access to financing under Brookfield sponsored credit facilities.
From time to time, in order to facilitate investment activities in a timely and efficient manner, Brookfield Renewable will fund deposits or incur other costs and expenses (including by use of loan facilities to consummate, support, guarantee or issue letters of credit) in respect of an investment that ultimately will be shared with or made entirely by Brookfield sponsored vehicles, consortiums and/or partnerships (including private funds, joint ventures and similar arrangements), Brookfield Renewable, or by co-investors.
Brookfield Corporation has provided a $400 million committed unsecured revolving credit facility maturing in December 2030 and the draws bear interest at Secured Overnight Financing Rate plus a margin of 1.80%. During the current period, there were no draws on the committed unsecured revolving credit facility provided by Brookfield Corporation.
Brookfield Corporation may from time to time place funds on deposit with Brookfield Renewable, which are repayable on demand including any interest accrued. There were nil funds placed on deposit with Brookfield Renewable as at September 30, 2026 (December 31, 2025: nil). The interest expense on the Brookfield Corporation revolving credit facility and deposit for the three and nine months ended September 30, 2026 totaled nil (2025: nil).
From time to time Brookfield Renewable may enter into short-term arrangements with private funds consolidated by Brookfield or associates of Brookfield Renewable that permit such entities to place funds on deposit with Brookfield Renewable up to a limit of $750 million per deposit. Interest earned or incurred on such deposits is between the interest rate that would otherwise be payable by Brookfield Renewable under its commercial paper program or credit facilities with unrelated parties and the interest rate that would otherwise be available to the applicable depositing party in similar transactions on an arms’ length basis with unrelated parties. Each deposit carries a maturity date which must not exceed three months, however the private fund consolidated by Brookfield or associates of Brookfield Renewable may request repayment upon three business days’ written notice. As at September 30, 2026, there were $23 million (December 31, 2025: $268 million) funds placed on deposit with Brookfield Renewable, which carries an interest rate of 3.1%. Deposits placed are reflected within due to related parties on the consolidated statements of financial position. Interest expense paid on the deposits for the three and nine months ended September 30, 2026 totaled less than $1 million (2025: nil).
From time to time, Brookfield Wealth Solutions and its related entities may agree to provide financing to Brookfield Renewable. In addition, Brookfield Wealth Solutions and its related entities may also participate, alongside unaffiliated third parties on market terms and at market rates, in capital raises undertaken by Brookfield Renewable that are recognized within preferred limited partners’ equity, corporate and non-recourse borrowings in the statement of financial position. As at September 30, 2026, Brookfield Renewable, together with its institutional partners had the following balances owing to Brookfield Wealth Solutions: $268 million of non-recourse borrowings (December 31, 2025: $58 million); $7 million of corporate borrowings (December 31, 2025: $7 million); tax equity financings classified as financial instrument liabilities of $105 million (December 31, 2025: $49 million); preferred limited partners equity of $11 million (December 31, 2025: $11 million); and $743 million of borrowings classified as due to related party (December 31, 2025: $750 million).
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 9
From time to time, Brookfield Renewable, together with its institutional partners, may enter into agreements with Brookfield and its subsidiaries to transfer income tax credits generated by renewable energy projects. During the three and nine months ended September 30, 2026, Brookfield Renewable transferred nil and nil, respectively (2025: nil and $19 million, respectively) of income tax credits to Brookfield and its subsidiaries.
During the nine months ended, September 30, 2026, an associate of Brookfield Renewable executed and transferred tax credits, under tax credit transfer agreements on market terms, to subsidiaries of Brookfield Infrastructure Partners L.P. for $46 million, an associate of Brookfield Business Corporation for $92 million, and a subsidiary of Brookfield for $19 million.
During the first quarter of 2026, as part of the finalization of the Neoen structure, certain interest bearing loans due to affiliates of Brookfield Renewable were reclassified from current to non-current and continue to be recorded within due to related parties. These loans mature in 2037. Brookfield Renewable, together with its institutional partners, participate alongside its affiliates on equivalent terms and are recognized as intercompany loans.
During the second and third quarters of 2026, Brookfield Renewable, together with its institutional partners, completed the sale of a 100% interest in a 2.1 GW portfolio of operating solar and wind assets in the U.S. for proceeds of approximately $1.2 billion ($299 million net to Brookfield Renewable), of which 33% was sold to a Brookfield Fund, at a value equivalent to what was agreed to with the unaffiliated third parties that agreed to acquire the remaining 67% interest in the portfolio. Refer to Note 4 - Disposal of assets, for more details.
Subsequent to the third quarter of 2026, Brookfield Renewable, together with its institutional partners, completed the sale of a 100% interest in a 246 MW portfolio of operating solar assets in the U.S. for proceeds of approximately $127 million ($25 million net to Brookfield Renewable), of which 33% was sold to a Brookfield Fund, at a value equivalent to what was agreed to with the unaffiliated third parties that agreed to acquire the remaining 67% interest in the portfolio. Refer to Note 23 - Subsequent events, for more details.
During the second and third quarters of 2026, Brookfield Renewable, together with its institutional partners, completed the sale of its remaining 50% interest in a 403 MW portfolio of operating hydroelectric assets in the U.S. for proceeds of approximately $526 million ($256 million net to Brookfield Renewable), to a consortium managed by BAM at a value equivalent to the unaffiliated third party that acquired 25% of the portfolio during the first quarter of 2026. Brookfield Renewable, together with its institutional partners, were paid an earn-out of $54 million ($27 million net to Brookfield Renewable), received from a Brookfield Fund and a consortium managed by BAM, consistent with the terms of the sales agreement terms agreed upon with an unaffiliated third party.
During the second quarter of 2026, an entity affiliated with Brookfield Renewable completed the syndication of a 1.63% interest in Neoen for proceeds of approximately €160 million ($182 million), to a Brookfield Fund, at a value equivalent to the initial invested capital agreed to with unaffiliated third parties.
During the year, Brookfield Renewable, together with its institutional partners, agreed to the sale of a 420 MW portfolio of operating solar and wind assets in Europe for proceeds of approximately €352 million ($408 million) (€65 million ($76 million) net to Brookfield Renewable), of which 10% was agreed to be sold to a Brookfield Fund, at a value equivalent to what was agreed to with the unaffiliated third parties that agreed to acquire the remaining 90% interest in the portfolio. As part of this transaction, an associate of Brookfield Renewable agreed to sell a 151 MW portfolio of operating solar assets in Europe. The closing of this transaction is subject to customary closing conditions.
Transactions with unaffiliated partners of Brookfield Renewable associates
During the first quarter of 2026, Brookfield Renewable, together with its institutional partners, acquired a 201 MW operating wind asset in the U.S. from an associate that it accounts for using the equity method under IAS 28, Investments in Associates and Joint Ventures as part of a reorganization of the investment. Brookfield Renewable, together with its institutional partners, recognized $35 million of total assets and $35 million of total liabilities from the date of the reorganization and continues to account for its investment in the associate in accordance with IAS 28.
During the first quarter of 2026, Brookfield Renewable, together with its institutional partners, agreed to contribute its 100% interest in a 200 MW distributed generation portfolio in Spain with a fair value of approximately €116 million ($136 million) into a U.K. distributed generation joint venture with a Brookfield Renewable associate.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 10
During the first quarter of 2026, Isagen novated a financial obligation related to the acquisition of a utility-scale solar asset to an associate that is accounted for using the equity method under IAS 28, in accordance with the investment agreement. Upon completion of the transaction, Isagen recognized a reduction in the associate's net assets of approximately COP286 billion ($78 million) offset by the derecognition of the payable by Isagen for the same amount.
In addition, our company has executed, amended, or terminated other agreements with Brookfield that are described in Note 29 - Related party transactions in Brookfield Renewable’s December 31, 2025 audited consolidated financial statements.
The following table reflects the related party agreements and transactions in the unaudited interim consolidated statements of income for the three and nine months ended September 30:
Three months ended September 30
Nine months ended September 30
(MILLIONS)
2026
2025
2026
2025
Revenues
Power purchase and revenue agreements
$
—
$
(15)
$
1
$
9
Development services
—
9
—
23
$
—
$
(6)
$
1
$
32
Other income
Distribution income
$
—
$
15
$
—
$
44
Interest and other investment income
28
14
75
19
$
28
$
29
$
75
$
63
Direct operating costs
Other related party services
$
(11)
$
(12)
$
(27)
$
(19)
Interest expense
Borrowings
$
(53)
$
(48)
$
(141)
$
(160)
Contract balance accretion
(6)
(5)
(27)
(24)
$
(59)
$
(53)
$
(168)
$
(184)
Other
Other related party services expense
$
(1)
$
(5)
(1)
(7)
Financial instruments (loss) gain
(1)
2
(9)
8
$
(2)
$
(3)
$
(10)
$
1
Management service costs
$
(63)
$
(57)
$
(213)
$
(162)
Current income tax
Investment tax credits
$
—
$
—
$
—
$
19
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 11
The following table reflects the impact of the related party agreements and transactions on the consolidated statements of
financial position:
(MILLIONS)
Related party
September 30, 2026
December 31, 2025
Current assets
Trade receivables and other current assets
Contract asset
Brookfield
$
76
$
74
Due from related parties
Amounts due from
Brookfield(1)
$
418
$
511
Equity-accounted investments and other(2)
498
433
$
916
$
944
Financial instrument assets
Brookfield
$
16
$
—
Non-current assets
Financial instrument assets
Equity-accounted investments and other
$
84
$
71
Other long-term assets
Contract asset
Brookfield
$
157
$
209
Due from related parties
Equity-accounted investments and other
19
12
Current liabilities
Contract liability
Brookfield
$
67
$
63
Financial instrument liabilities
Brookfield Wealth Solutions
4
—
Due to related parties
Amounts due to
Brookfield(3)
$
905
$
4,427
Equity-accounted investments and other
269
2,476
Brookfield Wealth Solutions
123
123
Accrued distributions payable on LP units, BEPC exchangeable shares, class A.2 exchangeable shares, Redeemable/Exchangeable partnership units and GP interest
Brookfield
48
45
$
1,345
$
7,071
Liabilities held for sale
Equity-accounted investments and other
$
—
$
9
Non-current liabilities
Financial instrument liabilities
Brookfield Wealth Solutions
$
101
$
49
Due to related parties
Amounts due to
Brookfield
$
17
$
21
Brookfield Wealth Solutions
620
627
Equity-accounted investments and other
1,833
45
$
2,470
$
693
Corporate borrowings
Brookfield Wealth Solutions
$
7
$
7
Non-recourse borrowings
Brookfield Wealth Solutions
$
268
$
58
Other long-term liabilities
Contract liability
Brookfield
$
670
$
679
Equity
Preferred limited partners equity
Brookfield Wealth Solutions
$
11
$
11
(1)Includes receivables of $19 million (2025: $20 million), $6 million (2025: $6 million), and $231 million (2025: $378 million) associated with the Brookfield Infrastructure Fund III, Brookfield Infrastructure Fund IV, and Brookfield Global Transition Fund credit facilities, respectively.
(2)Includes $85 million related to the disposal of a 448 MW portfolio of operating hydroelectric assets in the U.S.
(3)Includes payables of $70 million (2025: $397 million), $77 million (2025: $511 million), and $239 million (2025: $2,454 million) associated with the Brookfield Infrastructure Fund IV, Brookfield Global Transition Fund, and Brookfield Global Transition Fund II credit facilities, respectively.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 12
EQUITY
General partnership interest in a holding subsidiary held by Brookfield
Brookfield, as the owner of the 1% GP interest in BRELP, is entitled to regular distributions plus an incentive distribution based on the amount by which quarterly LP unit distributions exceed specified target levels. As at September 30, 2026, to the extent that LP unit distributions exceed $0.20 per LP unit per quarter, the incentive is 15% of distributions above this threshold. To the extent that quarterly LP unit distributions exceed $0.2253 per LP unit per quarter, the incentive distribution is equal to 25% of distributions above this threshold. Incentive distributions of $41 million and $125 million were declared during the three and nine months ended September 30, 2026, respectively (2025: $36 million and $108 million, respectively).
Preferred equity
The Class A Preference Shares of Brookfield Renewable Power Preferred Equity Inc. (“BRP Equity”) do not have a fixed maturity date and are not redeemable at the option of the holders. As at September 30, 2026, none of the issued Class A Preference Shares have been redeemed by BRP Equity.
In December 2025, the Toronto Stock Exchange accepted notice of BRP Equity’s intention to renew the normal course issuer bid in connection with its outstanding Class A Preference Shares for another year to December 17, 2026, or earlier should the repurchases be completed prior to such date. Under this normal course issuer bid, BRP Equity is permitted to repurchase up to 10% of the total public float for each respective series of the Class A Preference Shares. There were no repurchases of Class A Preference Shares during the three and nine months ended September 30, 2026 and 2025 in connection with the normal course issuer bid.
Perpetual subordinated notes
The perpetual subordinated notes are classified as a separate class of non-controlling interest on Brookfield Renewable's consolidated statements of financial position. Brookfield Renewable incurred interest of $10 million and $30 million on the perpetual subordinated notes during the three and nine months ended September 30, 2026 (2025: $10 million and $30 million). Interest incurred on the perpetual subordinated notes are presented as distributions in the consolidated statements of changes in equity.
Preferred limited partners' equity
The Class A Preferred Limited Partnership Units (“Preferred units”) of Brookfield Renewable do not have a fixed maturity date and are not redeemable at the option of the holders.
During the first quarter of 2026, Brookfield Renewable redeemed all of the outstanding units of Series 7 Preferred Limited Partnership units for C$175 million.
During the second quarter of 2026, Brookfield Renewable issued 8,000,000 Series 19 Preferred Limited Partnership Units (the “Series 19 Preferred Units”) at a price of C$25 per unit for gross proceeds of C$200 million. The holders of the Series 19 Preferred Units are entitled to receive a cumulative quarterly fixed distribution yielding 5.75% for the initial period ending July 31, 2031.
In December 2025, the Toronto Stock Exchange accepted notice of Brookfield Renewable's intention to renew the normal course issuer bid in connection with the outstanding Class A Preferred Limited Partnership Units for another year to December 17, 2026, or earlier should the repurchases be completed prior to such date. Under this normal course issuer bid, Brookfield Renewable is permitted to repurchase up to 10% of the total public float for each respective series of its Class A Preferred Limited Partnership Units. No units were repurchased during the three and nine months ended September 30, 2026 and 2025 in connection with the normal course issuer bid.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 13
Limited partners' equity, Redeemable/Exchangeable partnership units, and exchangeable shares
As at September 30, 2026, Brookfield Holders held a direct and indirect interest of approximately 47% of Brookfield Renewable on a fully-exchanged basis. Brookfield Holders held a direct and indirect interest of 320,608,693 LP units, Redeemable/Exchangeable partnership units, BEPC exchangeable shares and class A.2 exchangeable shares, on a combined basis, and the remaining is held by public investors.
During the first quarter of 2026, Brookfield Renewable established an at-the-market (“ATM”) equity program under which it may, at its discretion, offer and sell up to $400 million of BEPC exchangeable shares directly from treasury. During the three and nine months ended September 30, 2026, nil and 5,994,833, respectively, of BEPC exchangeable shares were issued for gross proceeds of approximately nil and $237 million, respectively.
In December 2025, Brookfield Renewable renewed its normal course issuer bid in connection with its LP units and outstanding BEPC exchangeable shares. Brookfield Renewable is authorized to repurchase up to 15,296,104 LP units and 7,244,255 BEPC exchangeable shares, representing 5% of each of its issued and outstanding LP units and BEPC exchangeable shares. The bids will expire on December 17, 2026, or earlier should Brookfield Renewable complete its repurchases prior to such date. In 2026, we utilized proceeds generated from the ATM equity program to repurchase and cancel LP units. During the three and nine months ended September 30, 2026, there were nil and 5,994,833 LP units, respectively (2025: nil and 1,522,975 LP units, respectively) repurchased and cancelled under Brookfield Renewable’s normal course issuer bid at a total cost of approximately nil and $201 million, respectively (2025: nil and $34 million, respectively). There were no BEPC exchangeable shares repurchased during the three and nine months ended September 30, 2026 and 2025.
During the three and nine months ended September 30, 2026, 65,603 and 183,734 LP units, respectively (2025: 71,536 and 210,756 LP units, respectively) were issued under the distribution reinvestment plan at a total value of $2 million and $5 million, respectively (2025: $2 million and $5 million, respectively).
During the three and nine months ended September 30, 2026, exchangeable shareholders of BEPC exchanged 2,605,045 and 2,605,411 BEPC exchangeable shares, respectively (2025: 497 and 36,058 BEPC exchangeable shares, respectively) for an equivalent number of LP units amounting to $74 million and $74 million, respectively (2025: less than $1 million).
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 14
PART 4 – FINANCIAL PERFORMANCE REVIEW ON PROPORTIONATE INFORMATION
SEGMENTED DISCLOSURES
Segmented information is prepared on the same basis that Brookfield Renewable's Chief Executive Officer and Chief Financial Officer (collectively, the chief operating decision maker or "CODM") manages the business, evaluates financial results, and makes key operating decisions. See "Part 8 – Presentation to Stakeholders and Performance Measurement" for information on segments and an explanation on the calculation and relevance of proportionate information, Adjusted EBITDA and Funds From Operations, which are non-IFRS measures.
FINANCIAL RESULTS FOR THE THREE MONTHS ENDED SEPTEMBER 30
The following chart reflects the generation and summary financial figures on a proportionate basis for the three months ended September 30:
(GWh)
(MILLIONS)
Renewable Actual Generation
Renewable LTA Generation
Revenues
Adjusted EBITDA(1)
Funds From Operations(1)
2026
2025
2026
2025
2026
2025
2026
2025
2026
2025
Hydroelectric
3,765
3,577
4,826
4,341
$
491
$
345
$
375
$
205
$
214
$
119
Wind
1,752
1,668
1,932
1,970
128
116
95
89
56
47
Utility-scale solar
1,368
1,522
1,600
1,832
146
174
225
172
187
130
Distributed energy & storage
311
419
187
386
48
68
41
101
31
89
Sustainable solutions
—
—
—
—
155
123
29
47
23
38
Corporate
—
—
—
—
—
—
(12)
15
(165)
(121)
Total
7,196
7,186
8,545
8,529
$
968
$
826
$
753
$
629
$
346
$
302
(1)Non-IFRS measures. For reconciliations to the most directly comparable IFRS measure see “Reconciliation of Non-IFRS Measures” in this Management’s Discussion and Analysis.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 15
HYDROELECTRIC OPERATIONS
The following table presents our proportionate results for hydroelectric operations for the three months ended September 30:
(MILLIONS, EXCEPT AS NOTED)
2026
2025
Revenue
$
491
$
345
Other income
194
21
Direct operating costs
(310)
(161)
Adjusted EBITDA(1)
375
205
Interest expense
(152)
(85)
Current income tax expense
(9)
(1)
Funds From Operations
$
214
$
119
Generation (GWh) – LTA
4,826
4,341
Generation (GWh) – actual
3,765
3,577
Average revenue per MWh(2)
$
77
$
75
(1)Non-IFRS measures. For reconciliations to the most directly comparable IFRS measure see “Reconciliation of Non-IFRS Measures” in this Management’s Discussion and Analysis.
(2)Average revenue per MWh was adjusted to net the impact of power purchases and any revenue with no corresponding generation.
The following table presents our proportionate results by geography for hydroelectric operations for the three months ended September 30:
Actual
Generation (GWh)
Average revenue
per MWh(1)
(MILLIONS, EXCEPT AS NOTED)
2026
2025
2026
2025
North America
1,798
1,907
$
73
$
80
Brazil
909
767
61
63
Colombia
1,058
903
99
73
Total
3,765
3,577
$
77
$
75
(1)Average revenue per MWh was adjusted to net the impact of power purchases and any revenue with no corresponding generation.
Adjusted EBITDA and FFO across our hydroelectric business totaled $375 million and $214 million, respectively, versus $205 million and $119 million, respectively, in the prior year. Adjusted EBITDA and FFO benefited from higher generation in Brazil, higher spot pricing in Colombia caused by lower system-wide hydrology and gains on the sale of non-core assets in the U.S. and Colombia. Results were partially offset by weaker same-store generation in Canada and Colombia and higher interest expense from our upfinancing activities across the fleet over the past year.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 16
WIND OPERATIONS
The following table presents our proportionate results for wind operations for the three months ended September 30:
(MILLIONS, EXCEPT AS NOTED)
2026
2025
Revenue
$
128
$
116
Other income
27
29
Direct operating costs
(60)
(56)
Adjusted EBITDA(1)
95
89
Interest expense
(31)
(39)
Current income tax expense
(8)
(3)
Funds From Operations
$
56
$
47
Generation (GWh) – LTA
1,932
1,970
Generation (GWh) – actual
1,752
1,668
(1)Non-IFRS measures. For reconciliations to the most directly comparable IFRS measure see “Reconciliation of Non-IFRS Measures” in this Management’s Discussion and Analysis.
FFO at our wind operations were $56 million versus $47 million in the prior year due to the benefit of newly acquired and commissioned facilities, including our investment in Boralex, and higher same-store generation, partially offset by the impact of assets sold over the last year.
UTILITY-SCALE SOLAR OPERATIONS
The following table presents our proportionate results for utility-scale solar operations for the three months ended September 30:
(MILLIONS, EXCEPT AS NOTED)
2026
2025
Revenue
$
146
$
174
Other income
111
35
Direct operating costs
(32)
(37)
Adjusted EBITDA(1)
225
172
Interest expense
(33)
(38)
Current income tax expense
(5)
(4)
Funds From Operations
$
187
$
130
Generation (GWh) – LTA
1,600
1,832
Generation (GWh) – actual
1,368
1,522
(1)Non-IFRS measures. For reconciliations to the most directly comparable IFRS measure see “Reconciliation of Non-IFRS Measures” in this Management’s Discussion and Analysis.
FFO at our utility-scale solar business was $187 million versus $130 million in the prior year due to the benefit of newly acquired and commissioned facilities, the gain on the partial sale of a U.S. solar portfolio and higher same-store generation, partially offset by lower contribution from assets sold over the last twelve months .
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 17
DISTRIBUTED ENERGY & STORAGE OPERATIONS
The following table presents our proportionate results for distributed energy & storage operations for the three months ended September 30:
(MILLIONS, EXCEPT AS NOTED)
2026
2025
Revenue
$
48
$
68
Other income
16
57
Direct operating costs
(23)
(24)
Adjusted EBITDA(1)
41
101
Interest expense
(9)
(11)
Current income tax expense
(1)
(1)
Funds From Operations
$
31
$
89
Generation (GWh) – LTA
187
386
Generation (GWh) – actual
311
419
(1)Non-IFRS measures. For reconciliations to the most directly comparable IFRS measure see “Reconciliation of Non-IFRS Measures” in this Management’s Discussion and Analysis.
FFO at our Distributed energy and storage business was $31 million versus $89 million in the prior year as the benefit of newly acquired and commissioned facilities was offset by the impact from the majority sale of a distributed generation platform in the U.S. that reduced results compared to prior year.
SUSTAINABLE SOLUTIONS OPERATIONS
The following table presents our proportionate results for sustainable solutions operations for the three months ended September 30:
(MILLIONS, EXCEPT AS NOTED)
2026
2025
Revenue
$
155
$
123
Other income
6
21
Direct operating costs
(132)
(97)
Adjusted EBITDA(1)
29
47
Interest expense
(6)
(8)
Current income tax expense
—
(1)
Funds From Operations
$
23
$
38
(1)Non-IFRS measures. For reconciliations to the most directly comparable IFRS measure see “Reconciliation of Non-IFRS Measures” in this Management’s Discussion and Analysis.
FFO at our sustainable solutions business was $23 million versus $38 million in the prior year as stronger results at Westinghouse, driven by higher fuel volumes in its Operating Plants business, were more than offset by commercial initiatives that benefited the prior year.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 18
CORPORATE
The following table presents our results for Corporate for the three months ended September 30:
(MILLIONS, EXCEPT AS NOTED)
2026
2025
Other income
$
—
$
24
Direct operating costs
(12)
(9)
Adjusted EBITDA(1)
(12)
15
Management service costs
(63)
(57)
Interest expense
(64)
(52)
Distributions(2)
(26)
(27)
Funds From Operations
$
(165)
$
(121)
(1)Non-IFRS measures. For reconciliations to the most directly comparable IFRS measure see “Reconciliation of Non-IFRS Measures” in this Management’s Discussion and Analysis.
(2)Distributions on Preferred Units, Class A Preference Shares and Perpetual Subordinated Notes.
Funds From Operations was $165 million due to additional corporate level financing initiatives to support growth over the last twelve months and higher management fees from growth of the business.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 19
RECONCILIATION OF NON-IFRS MEASURES
The following table reconciles the non-IFRS financial measures to the most directly comparable IFRS measures. Net income (loss) is reconciled to Adjusted EBITDA for the three months ended September 30, 2026:
Hydroelectric
Wind
Utility-scale solar
Distributed energy & storage
Sustainable solutions
Corporate
Total
(MILLIONS)
Net (loss) income
$
(205)
$
(149)
$
(5)
$
52
$
54
$
(107)
$
(360)
Add back or deduct the following:
Depreciation
177
239
109
62
—
—
587
Deferred income tax (recovery) expense
(12)
15
(71)
(4)
1
(13)
(84)
Foreign exchange and financial instruments loss (gain)
70
(194)
(326)
(82)
(37)
(28)
(597)
Other(1)
214
120
445
22
2
7
810
Management service costs
—
—
—
—
—
63
63
Interest expense
284
149
147
61
—
66
707
Current income tax expense
4
5
59
12
—
—
80
Amount attributable to equity accounted investments and non-controlling interests(2)
(157)
(90)
(133)
(82)
9
—
(453)
Adjusted EBITDA attributable to Unitholders
$
375
$
95
$
225
$
41
$
29
$
(12)
$
753
(1)Other corresponds to amounts that are not related to the revenue earning activities and are not normal, recurring cash operating expenses necessary for business operations. Other also includes derivative and other revaluations and settlements, gains or losses on debt extinguishment/modification, transaction costs, legal, provisions, amortization of concession assets and Brookfield Renewable’s economic share of foreign currency hedges and other hedges, income earned on financial assets and structured investments in sustainable solutions, monetization of tax attributes at certain development projects over the long-term, realized disposition gains and losses on assets that we developed and/or did not intend to hold over the long-term, and gains on equity transactions that are included within Adjusted EBITDA. Refer to Note 4 - Disposal of assets and Note 6 - Risk management and financial instruments in the unaudited interim consolidated financial statements, for more details.
(2)Amount attributable to equity accounted investments corresponds to the Adjusted EBITDA to Brookfield Renewable that are generated by its investments in associates and joint ventures accounted for using the equity method. Amounts attributable to non-controlling interest are calculated based on the economic ownership interest held by non-controlling interests in consolidated subsidiaries, excluding amounts attributable to Unitholders. By adjusting Adjusted EBITDA attributable to non-controlling interest, Brookfield Renewable is able to remove the portion of Adjusted EBITDA earned at non-wholly owned subsidiaries that are not attributable to Brookfield Renewable.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 20
The following table reconciles the non-IFRS financial measures to the most directly comparable IFRS measures. Net income (loss) is reconciled to Adjusted EBITDA for the three months ended September 30, 2025:
Hydroelectric
Wind
Utility-scale solar
Distributed energy & storage
Sustainable solutions
Corporate
Total
(MILLIONS)
Net income (loss)
$
54
$
(124)
$
76
$
109
$
43
$
(116)
$
42
Add back or deduct the following:
Depreciation
164
218
143
75
11
—
611
Deferred income tax (recovery) expense
(17)
75
(88)
(28)
—
(8)
(66)
Foreign exchange and financial instruments loss (gain)
28
(15)
25
(71)
(49)
16
(66)
Other(1)
2
(51)
(66)
46
17
2
(50)
Management service costs
—
—
—
—
—
57
57
Interest expense
180
136
144
61
1
64
586
Current income tax (recovery) expense
(4)
1
11
(9)
1
—
—
Amount attributable to equity accounted investments and non-controlling interests(2)
(202)
(151)
(73)
(82)
23
—
(485)
Adjusted EBITDA attributable to Unitholders
$
205
$
89
$
172
$
101
$
47
$
15
$
629
(1)Other corresponds to amounts that are not related to the revenue earning activities and are not normal, recurring cash operating expenses necessary for business operations. Other also includes derivative and other revaluations and settlements, gains or losses on debt extinguishment/modification, transaction costs, legal, provisions, amortization of concession assets and Brookfield Renewable’s economic share of foreign currency hedges and other hedges, income earned on financial assets and structured investments in sustainable solutions, monetization of tax attributes at certain development projects over the long-term, realized disposition gains and losses on assets that we developed and/or did not intend to hold over the long-term, and gains on equity transactions that are included within Adjusted EBITDA. Refer to Note 6 - Risk management and financial instruments in the unaudited interim consolidated financial statements, for more details.
(2)Amount attributable to equity accounted investments corresponds to the Adjusted EBITDA to Brookfield Renewable that are generated by its investments in associates and joint ventures accounted for using the equity method. Amounts attributable to non-controlling interest are calculated based on the economic ownership interest held by non-controlling interests in consolidated subsidiaries, excluding amounts attributable to Unitholders. By adjusting Adjusted EBITDA attributable to non-controlling interest, Brookfield Renewable is able to remove the portion of Adjusted EBITDA earned at non-wholly owned subsidiaries that are not attributable to Brookfield Renewable.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 21
The following table reconciles the non-IFRS financial measures to the most directly comparable IFRS measures. Net income (loss) is reconciled to Funds From Operations for the three months ended September 30:
(MILLIONS)
2026
2025
Net (loss) income
$
(360)
$
42
Add back or deduct the following:
Depreciation
587
611
Deferred income tax recovery
(84)
(66)
Foreign exchange and financial instruments gain
(597)
(66)
Other(1)
810
(50)
Amount attributable to equity accounted investments and non-controlling interest(2)
(10)
(169)
Funds From Operations
$
346
$
302
(1)Other corresponds to amounts that are not related to the revenue earning activities and are not normal, recurring cash operating expenses necessary for business operations. Other also includes derivative and other revaluations and settlements, gains or losses on debt extinguishment/modification, transaction costs, legal, provisions, amortization of concession assets and Brookfield Renewable’s economic share of foreign currency hedges and other hedges, income earned on financial assets and structured investments in sustainable solutions, monetization of tax attributes at certain development projects, realized disposition gains and losses on assets that we developed and/or did not intend to hold over the long-term, and gains on equity transactions that are included in Funds From Operations. Refer to Note 4 - Disposal of assets and Note 6 - Risk management and financial instruments in the unaudited interim consolidated financial statements, for more details.
(2)Amount attributable to equity accounted investments corresponds to the Funds From Operations that are generated by its investments in associates and joint ventures accounted for using the equity method. Amounts attributable to non-controlling interest are calculated based on the economic ownership interest held by non-controlling interests in consolidated subsidiaries, excluding amounts attributable to Unitholders. By adjusting Funds From Operations attributable to non-controlling interest, Brookfield Renewable is able to remove the portion of Funds From Operations earned at non-wholly owned subsidiaries that are not attributable to Brookfield Renewable.
The following table reconciles the per unit non-IFRS financial measures to the most directly comparable IFRS measures. Basic earnings (loss) per LP unit is reconciled to Funds From Operations per Unit, for the three months ended September 30:
2026
2025
Basic loss per LP unit(1)
$
(0.52)
$
(0.23)
Adjusted for proportionate share of:
Depreciation
0.40
0.43
Deferred income tax recovery
(0.07)
(0.16)
Foreign exchange and financial instruments gain
(0.06)
(0.04)
Other(2)
0.76
0.46
Funds From Operations per Unit(3)
$
0.51
$
0.46
(1)During the three months ended September 30, 2026, on average there were 300.2 million LP units outstanding (2025: 283.8 million).
(2)Other corresponds to amounts that are not related to the revenue earning activities and are not normal, recurring cash operating expenses necessary for business operations. Other also includes derivative and other revaluations and settlements, gains or losses on debt extinguishment/modification, transaction costs, legal, provisions, amortization of concession assets and Brookfield Renewable’s economic share of foreign currency hedges and other hedges, income earned on financial assets and structured investments in sustainable solutions, monetization of tax attributes at certain development projects, realized disposition gains and losses on assets that we developed and/or did not intend to hold over the long-term, and gains on equity transactions that are included in Funds From Operations as well as amounts attributable to holders of Redeemable/Exchangeable partnership units, GP interest, BEPC exchangeable shares and class A.2 exchangeable shares. Refer to Note 4 - Disposal of assets and Note 6 - Risk management and financial instruments in the unaudited interim consolidated financial statements, for more details.
(3)Average units outstanding, for the three months ended September 30, 2026, were 684.2 million (2025: 661.9 million), being inclusive of GP interest, Redeemable/Exchangeable partnership units, LP units, BEPC exchangeable shares and class A.2 exchangeable shares.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 22
CONTRACT PROFILE
We operate our power business on a largely contracted basis to provide a high degree of predictability in Funds From Operations. We maintain a long-term view that electricity prices and the demand for electricity will rise due to electrification of the global economy including segments like industrial and transportation as well as from increasing digitalization. We also expect demand for clean power to grow as renewables are the cheapest form of bulk electricity generation, on the increasing level of acceptance around climate change and the legislated requirements in some areas to diversify away from fossil fuel based generation.
In Brazil and Colombia, we also expect power prices will continue to be supported by the need to build new supply over the medium-to-long term to serve growing demand and therefore we would expect to capture rising prices as we re-contract our power over the medium-term.
The following table sets out our power contracts over the next five years for generation output in North America, Brazil, Europe and certain other countries, assuming long-term average on a proportionate basis. The table excludes the Brazil and Colombia hydroelectric portfolios, where we would expect the energy associated with maturing contracts to be re-contracted in the normal course given the construct of the respective power markets. In these countries, for the remainder of 2026 we currently have a contracted profile of approximately 90% and 70%, respectively, of the long-term average. Overall, our power portfolio has a weighted-average remaining contract duration of 12 years on a proportionate basis.
(GWh, except as noted)
Rest of 2026
2027
2028
2029
2030
Hydroelectric(1)
2,425
10,674
10,478
10,490
10,639
Wind
2,471
9,029
8,632
8,280
8,011
Utility-scale solar
1,170
5,059
5,078
5,069
5,060
Distributed energy & storage
111
489
486
483
480
Sustainable solutions
13
58
55
43
29
Contracted on a proportionate basis
6,190
25,309
24,729
24,365
24,219
Uncontracted on a proportionate basis
455
1,851
2,431
2,795
2,941
Long-term average on a proportionate basis
6,645
27,160
27,160
27,160
27,160
Non-controlling interests
20,375
79,651
79,651
79,651
79,651
Total long-term average
27,020
106,811
106,811
106,811
106,811
Contracted generation as a % of total generation on a proportionate basis
93
%
93
%
91
%
90
%
89
%
Price per MWh – total generation on a proportionate basis
$
76
$
77
$
78
$
79
$
80
(1)Includes generation of 125 GWh for 2026 and 334 GWh for 2027 under financial contracts.
Weighted-average remaining contract durations on a proportionate basis are 13 years in North America, 17 years in Europe, 10 years in Brazil, 5 years in Colombia, and 15 years across our remaining jurisdictions.
In North America, over the next five years, a number of contracts will expire at our hydroelectric facilities. Based on current market prices for energy and ancillary products, we expect a net positive impact to cash flows.
In our Colombian portfolio, we continue to focus on securing long-term contracts while maintaining a certain percentage of uncontracted generation to mitigate hydrology risk.
The majority of Brookfield Renewable’s long-term power purchase agreements within our North American and European businesses are with investment-grade rated or creditworthy counterparties. The economic exposure of our contracted generation on a proportionate basis is distributed as follows: power authorities (35%), distribution companies (21%), commercial & industrial users (33%) and Brookfield (11%).
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 23
PART 5 – LIQUIDITY AND CAPITAL RESOURCES
CAPITALIZATION
A key element of our financing strategy is to raise the majority of our debt in the form of asset-specific, non-recourse borrowings at our subsidiaries on an investment-grade basis with no maintenance covenants. Substantially all of our debt is either investment grade rated or sized to investment grade and approximately 90% of debt is project level.
The following table summarizes our capitalization:
Corporate
Consolidated
(MILLIONS, EXCEPT AS NOTED)
September 30, 2026
December 31, 2025
September 30, 2026
December 31, 2025
Corporate credit facility(1)
$
—
$
—
$
—
$
—
Commercial paper(1)
1,120
194
1,120
194
Debt
Medium term notes(2)
3,952
3,187
3,952
3,187
Hybrid notes(2)
317
328
317
328
Non-recourse borrowings(3)
—
—
37,371
31,555
4,269
3,515
41,640
35,070
Deferred income tax liabilities, net(4)
—
—
9,455
8,902
Equity
Non-controlling interest
—
—
27,070
24,164
Preferred equity
544
563
544
563
Perpetual subordinated notes
737
737
737
737
Preferred limited partners' equity
647
634
647
634
Unitholders' equity
8,850
8,876
8,850
8,876
Total capitalization
$
15,047
$
14,325
$
88,943
$
78,946
Debt-to-total capitalization
28
%
25
%
47
%
44
%
Debt-to-total capitalization (market value)(5)
17
%
14
%
42
%
39
%
(1)Draws on corporate credit facilities and commercial paper issuances are excluded from the debt to total capitalization ratios as they are not permanent sources of capital.
(2)Medium term and Hybrid notes are unsecured and guaranteed by Brookfield Renewable and exclude $26 million (2025: $23 million) of deferred financing fees, net of unamortized premiums.
(3)Consolidated non-recourse borrowings include $1,498 million (2025: $1,569 million) borrowed under a subscription facility of a Brookfield sponsored private fund and exclude $195 million (2025: $168 million) of deferred financing fees and $160 million (2025: $181 million) of unamortized premiums.
(4)Deferred income tax liabilities less deferred income tax assets.
(5)Based on market values of Preferred equity, Perpetual subordinated notes, Preferred limited partners’ equity and Unitholders’ equity.
AVAILABLE LIQUIDITY
The following tables summarizes the available liquidity:
(MILLIONS)
September 30, 2026
December 31, 2025
Corporate credit facilities
Authorized credit facilities
$
2,450
$
2,450
Authorized letter of credit facility
450
450
Issued letters of credit
(410)
(414)
Available portion of corporate credit facilities
2,490
2,486
Brookfield Renewable's share of cash and cash equivalents
863
963
Investments in marketable securities
153
159
Available portion of subsidiary credit facilities on a proportionate basis
1,631
1,017
Available liquidity
$
5,137
$
4,625
We operate with sufficient liquidity to enable us to fund growth initiatives, capital expenditures, distributions or other expenditures and withstand sudden adverse changes in economic circumstances or short-term fluctuations in generation.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 24
We maintain a strong, investment grade balance sheet characterized by a conservative capital structure, access to multiple funding levers including a focus on capital recycling on an opportunistic basis, and diverse sources of capital. Principal sources of liquidity are cash flows from operations, our credit facilities, up-financings on non-recourse borrowings and proceeds from the issuance of various securities through public markets.
BORROWINGS
The composition of debt obligations, overall maturity profile, and average interest rates associated with our borrowings and credit facilities on a proportionate basis is presented in the following table:
September 30, 2026
December 31, 2025
Weighted-average
Weighted-average
(MILLIONS EXCEPT AS NOTED)
Interest
rate (%)(1)
Term
(years)
Total(3)(4)
Interest
rate (%)(1)
Term
(years)
Total(3)(4)
Corporate borrowings
Credit facilities
N/A
5
$
—
N/A
5
$
—
Commercial paper
4.2
<1
1,120
4.3
<1
194
Medium term notes
4.6
12
3,952
4.5
12
3,187
Hybrid notes
5.4
29
317
5.4
30
328
Proportionate non-recourse borrowings(2)
Hydroelectric
7.4
11
6,529
6.6
10
6,478
Wind
5.2
8
2,701
4.8
9
2,772
Utility-scale solar
5.0
8
3,157
5.3
11
2,993
Distributed energy & storage
4.6
7
310
5.8
7
425
Sustainable solutions
5.9
6
405
5.7
5
404
6.2
10
13,102
5.9
10
13,072
$
18,491
$
16,781
Proportionate unamortized financing fees, net of unamortized premiums and discounts
(102)
(85)
18,389
16,696
Equity-accounted borrowings
(1,502)
(1,507)
Non-controlling interests and other(3)
25,492
19,703
As per IFRS Statements
$
42,379
$
34,892
(1)Includes proportionate share of cash obligations on tax equity and yields on tax equity.
(2)See “Part 8 – Presentation to Stakeholders and Performance Measurement” for information on proportionate debt.
(3)Includes tax equity liabilities.
(4)Includes our proportionate share of borrowings from our investment in a nuclear services business, which is recognized as an equity-accounted investment by Brookfield.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 25
The following table summarizes our undiscounted principal repayments and scheduled amortization on a proportionate basis as at September 30, 2026:
(MILLIONS)
Rest of 2026
2027
2028
2029
2030
Thereafter
Total(3)
Debt Principal repayments(1)
Medium term notes(2)
$
—
$
351
$
—
$
334
$
334
$
2,933
$
3,952
Hybrid notes(2)
—
—
—
—
—
317
317
Non-recourse borrowings
Hydroelectric
2
412
191
834
978
1,765
4,182
Wind
1
95
224
195
253
92
860
Utility-scale solar
126
78
223
271
256
180
1,134
Distributed energy &
storage
8
14
3
48
16
95
184
Sustainable solutions
—
—
—
—
—
332
332
137
599
641
1,348
1,503
2,464
6,692
Amortizing debt principal repayments
Non-recourse borrowings
Hydroelectric
42
177
241
187
198
1,502
2,347
Wind
56
213
172
173
179
1,048
1,841
Utility-scale solar
70
252
175
166
164
1,196
2,023
Distributed energy &
storage
3
11
7
12
6
87
126
Sustainable solutions
2
7
7
7
7
43
73
173
660
602
545
554
3,876
6,410
Total
$
310
$
1,610
$
1,243
$
2,227
$
2,391
$
9,590
$
17,371
(1)Draws on corporate credit facilities and commercial paper issuances are excluded from the debt repayment schedule as they are not a permanent source of capital.
(2)Medium term and Hybrid notes are unsecured and guaranteed by Brookfield Renewable and excludes $26 million (2025: $23 million) of deferred financing fees, net of unamortized premiums and discounts.
(3)Includes our proportionate share of principal repayments from our investment in a nuclear services business, which is recognized as an equity-accounted investment by Brookfield.
We remain focused on refinancing near-term facilities on acceptable terms and maintaining a manageable maturity ladder. We do not anticipate material issues in refinancing our borrowings through 2030 on acceptable terms and will do so opportunistically based on the prevailing interest rate environment.
CAPITAL EXPENDITURES
We fund growth capital expenditures with cash flow generated from operations, supplemented by non-recourse debt sized to investment grade coverage and covenant thresholds. This is designed to ensure that our investments have stable capital structures supported by a substantial level of equity and that cash flows at the asset level can be remitted freely to our company. This strategy also underpins our investment grade profile.
To fund large scale development projects and acquisitions, we will evaluate a variety of capital sources including proceeds from selling mature businesses, in addition to raising money in the capital markets through equity, debt and preferred share issuances. Furthermore, we have $2.5 billion of committed revolving credit facilities available for investments and acquisitions, as well as funding the equity component of organic growth initiatives. The facilities are intended, and have historically been used, as a bridge to a long-term financing strategy rather than a permanent source of capital.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 26
CONSOLIDATED STATEMENTS OF CASH FLOWS
The following table summarizes the key items in the unaudited interim consolidated statements of cash flows:
Three months ended September 30
Nine months ended September 30
(MILLIONS)
2026
2025
2026
2025
Cash flows provided by (used in):
Operating activities
$
352
$
386
$
1,029
$
1,152
Financing activities
3,819
907
4,482
5,655
Investing activities
(3,457)
(1,182)
(4,858)
(8,039)
Foreign exchange (loss) gain on cash
(8)
—
(8)
121
Increase (decrease) in cash and cash equivalents
$
706
$
111
$
645
$
(1,111)
Operating Activities
Cash flows from operating activities for three and nine months ended September 30, 2026 totaled $352 million and $1,029 million, respectively, compared to $386 million and $1,152 million, respectively, in 2025, reflecting the strong operating performance of our business during both periods.
Financing Activities
Cash flows provided by financing activities totaled $3,819 million and $4,482 million for the three and nine months ended September 30, 2026, respectively. The strength of our balance sheet and disciplined access to diverse sources of capital to fund our growth generated net proceeds of $5,459 million and $8,328 million for the three and nine months ended September 30, 2026 from corporate and non-recourse financings, net inflows from related parties, capital contributions from participating non-controlling interests, and equity issuances, net of redemptions and repurchases, including the issuance of C$1,250 million ($897 million) of medium term notes, and the issuance of C$200 million ($141 million) of preferred limited partnership units.
Distributions, including incentive distributions to the general partners, paid during the three and nine months ended September 30, 2026 to Unitholders were $307 million and $928 million, respectively (2025: $287 million and $851 million, respectively). We increased our distributions to $1.568 per LP unit in 2026 on an annualized basis (2025: $1.492 per LP unit), representing an over 5% increase per LP unit, which took effect in the first quarter of 2026. The distributions paid and capital repaid during the three and nine months ended September 30, 2026, to preferred shareholders, preferred limited partners' unitholders, perpetual subordinated notes, and participating non-controlling interests in operating subsidiaries totaled $1,333 million and $2,918 million, respectively (2025: $314 million and $1,587 million, respectively).
Cash flows provided by financing activities totaled $907 million and $5,655 million for the three and nine months ended September 30, 2025. The strength of our balance sheet and disciplined access to diverse sources of capital to fund our growth generated net proceeds of $1,508 million and $8,093 million for the three and nine months ended September 30, 2025 from corporate and non-recourse financings, net inflows from related parties, and capital contributions from participating non-controlling interests, including the issuance of C$450 million ($307 million) of medium-term notes, C$250 million ($184 million) of hybrid notes and the repayment of C$400 million ($291 million) of medium-term notes prior to maturity, execution of open market purchases, and the mandatory cash tender offer for convertible bonds of Neoen.
Investing Activities
Cash flows used in investing activities totaled $3,457 million and $4,858 million for the three and nine months ended September 30, 2026, respectively. During the quarter, we invested $2,813 million into the acquisition, net of cash and cash equivalents, of Boralex. Our continued investment in the construction and development of solar, wind, distributed generation and battery energy storage systems projects across all our major markets totaled $1,908 million and $4,492 million for the three and nine months ended September 30, 2026, respectively.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 27
We generated proceeds of $1,522 million and $2,957 million during the three and nine months ended September 30, 2026, respectively, from recently completed asset sales and the monetization of financial assets, including the sale of a 73 MW portfolio of operating wind assets in the U.K., a 833 MW portfolio of operating solar assets in the U.S., a partial disposition in a renewable operating and development platform in India, the sale of a 2.1 GW of portfolio of operating solar and wind assets in the U.S., the sale of our remaining 25% interest in a 448 MW portfolio of operating hydroelectric assets in the U.S., the sale of a 39 MW portfolio of operating hydroelectric assets in Colombia, and the redemption of our convertible securities in a leading renewable platform in India.
Cash flows used in investing activities totaled $1,182 million and $8,039 million for the three and nine months ended September 30, 2025, respectively. During the year, the completion of our acquisition of Neoen through the execution of open market purchases and the mandatory cash tender offer for an incremental 47% of Neoen, together with incremental capital injections into our structured investments and equity accounted investments, including our acquisition of a fully integrated developer and operator of renewable power assets in the U.S., totaled $2,856 million.
SHARES, UNITS AND NOTES OUTSTANDING
Shares, units and notes outstanding are as follows:
September 30, 2026
December 31, 2025
Class A Preference Shares(1)
31,035,967
31,035,967
Perpetual Subordinated Notes
30,400,000
30,400,000
Preferred Units(2)
Balance, beginning of year
31,000,000
31,000,000
Issuance of preferred LP Units
8,000,000
—
Redemption of preferred LP Units
(7,000,000)
—
Balance, end of period
32,000,000
31,000,000
GP interest
3,977,260
3,977,260
Redeemable/Exchangeable partnership units
194,487,939
194,487,939
BEPC exchangeable shares and Class A.2 exchangeable shares(3)
Balance, beginning of year
179,604,793
179,640,851
Issuance
5,994,833
—
Exchanged for BEP LP units
(2,605,411)
(36,058)
Balance, end of period
182,994,215
179,604,793
LP units
Balance, beginning of year
305,987,962
285,180,371
Issuance
—
22,017,870
Repurchase of LP units for cancellation
(5,994,833)
(1,522,975)
Distribution reinvestment plan
183,734
276,638
Issued in exchange for BEPC exchangeable shares
2,605,411
36,058
Balance, end of period
302,782,274
305,987,962
Total LP units on a fully-exchanged basis(4)
680,264,428
680,080,694
(1)Class A Preference Shares are broken down by series as follows: 8,372,310 Series 1 Class A Preference Shares are outstanding; 1,587,754 Series 2 Class A Preference Shares are outstanding; 9,961,399 Series 3 Class A Preference Shares are outstanding; 4,114,504 Series 5 Class A Preference Shares are outstanding; and 7,000,000 Series 6 Class A Preference Shares are outstanding.
(2)Preferred Units are broken down by series and certain series are convertible on a one for one basis at the option of the holder as follows: nil (2025: 7,000,000) Series 7 Preferred Units are outstanding; 10,000,000 (2025: 10,000,000) Series 13 Preferred Units are outstanding (convertible for Series 14 Preferred Units beginning on April 30, 2028); 8,000,000 (2025: 8,000,000) Series 17 Preferred Units are outstanding; 6,000,000 (2025: 6,000,000) Series 18 Preferred Units; and 8,000,000 (2025: nil) Series 19 Preferred Units are outstanding.
(3)Includes 148,274,532 (2025: 144,885,110) of BEPC exchangeable shares and 34,719,683 (2025: 34,719,683) of Class A.2 exchangeable shares.
(4)The fully-exchanged amounts assume the exchange of all Redeemable/Exchangeable partnership units, BEPC exchangeable shares and class A.2 exchangeable shares for LP units.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 28
DIVIDENDS AND DISTRIBUTIONS
The following table summarizes the dividends and distributions declared and paid for the three and nine months ended September 30:
Three months ended September 30
Nine months ended September 30
Declared
Paid
Declared
Paid
(MILLIONS)
2026
2025
2026
2025
2026
2025
2026
2025
Class A Preference Shares
$
7
$
8
$
9
$
6
$
23
$
22
$
23
$
20
Perpetual Subordinated Notes
10
10
10
10
30
30
30
30
Class A Preferred LP units
9
9
8
7
24
26
23
24
Participating non-controlling interests – in operating subsidiaries
841
198
953
198
1,997
958
1,997
958
GP interest and incentive distributions
43
37
41
38
130
113
128
113
Redeemable/Exchangeable partnership units
76
73
75
73
230
220
229
220
BEPC Exchangeable shares and class A.2 exchangeable shares
72
67
72
67
216
202
216
202
LP units
119
106
119
109
356
320
355
316
CONTRACTUAL OBLIGATIONS
Please see Note 20 – Commitments, contingencies and guarantees in the unaudited interim consolidated financial statements, for further details on the following:
•Commitments – Water, land, and dam usage agreements, and agreements and conditions on committed acquisitions of operating portfolios and development projects;
•Contingencies – Legal proceedings, arbitrations and actions arising in the normal course of business, and providing for letters of credit; and
•Guarantees – Nature of all the indemnification undertakings and guarantees to third-parties for certain transactions.
SUPPLEMENTAL FINANCIAL INFORMATION
In April 2021, December 2021 and March 2024, Brookfield BRP Holdings (Canada) Inc., a wholly-owned subsidiary of Brookfield Renewable, issued $350 million, $260 million and $150 million, respectively, of perpetual subordinated notes at a fixed rate of 4.625%, 4.875% and 7.250%, respectively.
These notes are fully and unconditionally guaranteed, on a subordinated basis by each of Brookfield Renewable Partners L.P., BRELP, BRP Bermuda Holdings I Limited, Brookfield BRP Europe Holdings Limited, Brookfield Renewable Investments Limited and BEP Subco Inc (together, the "guarantor subsidiaries"). The other subsidiaries of Brookfield Renewable do not guarantee the securities and are referred to below as the “non-guarantor subsidiaries”.
Pursuant to Rule 13-01 of the SEC's Regulation S-X, the following table provides combined summarized financial information of Brookfield BRP Holdings (Canada) Inc. and the guarantor subsidiaries:
Three months ended September 30
Nine months ended September 30
(MILLIONS)
2026
2025
2026
2025
Revenues(1)
$
—
$
—
$
—
$
—
Gross profit
—
—
—
—
Dividend income from non-guarantor subsidiaries
43
240
269
721
Net (loss) income
(66)
136
(65)
436
(1)Brookfield Renewable's total revenues for the three and nine months ended September 30, 2026 were $1,780 million and $5,004 million, respectively (2025: $1,596 million and $4,868 million).
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 29
(MILLIONS)
September 30, 2026
December 31, 2025
Current assets(1)
$
1,408
$
831
Total assets(2)(3)
1,621
1,099
Current liabilities(4)
9,809
8,524
Total liabilities(4)
9,831
8,568
(1)Amount due from non-guarantor subsidiaries was $1,400 million (2025: $815 million).
(2)Brookfield Renewable's total assets as at September 30, 2026 and December 31, 2025 were $105,344 million and $98,701 million.
(3)Amount due from non-guarantor subsidiaries was $1,442 million (2025: $949 million).
(4)Amount due to non-guarantor subsidiaries was $8,426 million (2025: $7,908 million).
OFF-STATEMENT OF FINANCIAL POSITION ARRANGEMENTS
Brookfield Renewable does not have any off-statement of financial position arrangements that have or are reasonably likely to have a material current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to investors.
Brookfield Renewable issues letters of credit from its corporate credit facilities for general corporate purposes which include, but are not limited to, security deposits, performance bonds and guarantees for reserve accounts. As at September 30, 2026, letters of credit issued amounted to $5,346 million (December 31, 2025: $4,399 million).
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 30
PART 6 – SELECTED QUARTERLY INFORMATION
SUMMARY OF HISTORICAL QUARTERLY RESULTS
The following is a summary of unaudited quarterly financial information for the last eight consecutive quarters:
2026
2025
2024
(MILLIONS, EXCEPT AS NOTED)
Q3
Q2
Q1
Q4
Q3
Q2
Q1
Q4
Total Generation (GWh) – LTA
29,375
32,061
30,593
31,323
29,779
31,450
30,476
24,779
Total Generation (GWh) – actual
27,957
30,086
30,372
28,798
27,554
30,650
29,008
21,121
Proportionate Renewable Generation (GWh) – LTA
8,545
10,151
9,334
9,590
8,529
9,819
8,999
8,616
Proportionate Actual Renewable Generation (GWh)
7,196
9,378
8,882
7,759
7,186
9,542
8,670
6,868
Revenues
$
1,780
$
1,710
$
1,514
$
1,539
$
1,596
$
1,692
$
1,580
$
1,432
Net (loss) income attributable to Unitholders
(314)
(213)
(229)
410
(120)
(112)
(197)
(9)
Basic (loss) income per LP unit
(0.52)
(0.37)
(0.40)
0.54
(0.23)
(0.22)
(0.35)
(0.06)
Funds From Operations
346
421
375
346
302
371
315
304
Funds From Operations per Unit
0.51
0.62
0.55
0.51
0.46
0.56
0.48
0.46
Distribution per LP Unit
0.39
0.39
0.39
0.37
0.37
0.37
0.37
0.36
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 31
PROPORTIONATE RESULTS FOR THE NINE MONTHS ENDED SEPTEMBER 30
The following chart reflects the generation and summary financial figures on a proportionate basis for the nine months ended September 30:
(GWh)
(MILLIONS)
Renewable Actual Generation
Renewable LTA Generation
Revenues
Adjusted EBITDA(1)
Funds From Operations(1)
2026
2025
2026
2025
2026
2025
2026
2025
2026
2025
Hydroelectric
14,695
14,260
16,292
14,830
1,519
1,215
1,204
767
760
487
Wind
6,150
6,182
6,805
6,945
429
427
346
344
225
217
Utility-scale solar
3,786
3,817
4,429
4,540
380
396
538
402
429
293
Distributed energy & storage
825
1,139
504
1,032
136
188
125
280
99
247
Sustainable solutions
—
—
—
—
461
431
122
154
97
124
Corporate
—
—
—
—
—
—
5
7
(468)
(380)
Total
25,456
25,398
28,030
27,347
$
2,925
$
2,657
$
2,340
$
1,954
$
1,142
$
988
(1)Non-IFRS measures. For reconciliations to the most directly comparable IFRS measure see “Reconciliation of Non-IFRS Measures” in this Management’s Discussion and Analysis.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 32
RECONCILIATION OF NON-IFRS MEASURES
The following table reconciles the non-IFRS financial measures to the most directly comparable IFRS measures. Net income (loss) is reconciled to Adjusted EBITDA for the nine months ended September 30, 2026:
Hydroelectric
Wind
Utility-scale solar
Distributed energy & storage
Sustainable solutions
Corporate
Total
(MILLIONS)
Net (loss) income
$
(164)
$
(478)
$
(219)
$
81
$
219
$
(381)
$
(942)
Add back or deduct the following:
Depreciation
530
650
348
165
—
—
1,693
Deferred income tax (recovery) expense
(1)
(22)
(63)
48
3
(55)
(90)
Foreign exchange and financial instruments loss (gain)
173
(262)
(400)
(144)
(154)
(34)
(821)
Other(1)
440
293
746
140
34
54
1,707
Management service costs
—
—
—
—
—
213
213
Interest expense
766
485
410
134
1
208
2,004
Current income tax expense (recovery)
42
8
79
(83)
—
—
46
Amount attributable to equity accounted investments and non-controlling interests(2)
(582)
(328)
(363)
(216)
19
—
(1,470)
Adjusted EBITDA attributable to Unitholders
$
1,204
$
346
$
538
$
125
$
122
$
5
$
2,340
(1)Other corresponds to amounts that are not related to the revenue earning activities and are not normal, recurring cash operating expenses necessary for business operations. Other also includes derivative and other revaluations and settlements, gains or losses on debt extinguishment/modification, transaction costs, legal, provisions, amortization of concession assets and Brookfield Renewable’s economic share of foreign currency hedges and other hedges, income earned on financial assets and structured investments in sustainable solutions, monetization of tax attributes at certain development projects over the long-term, realized disposition gains and losses on assets that we developed and/or did not intend to hold over the long-term, and gains on equity transactions that are included within Adjusted EBITDA. Refer to Note 4 - Disposal of assets and Note 6 - Risk management and financial instruments in the unaudited interim consolidated financial statements, for more details.
(2)Amount attributable to equity accounted investments corresponds to the Adjusted EBITDA to Brookfield Renewable that are generated by its investments in associates and joint ventures accounted for using the equity method. Amounts attributable to non-controlling interest are calculated based on the economic ownership interest held by non-controlling interests in consolidated subsidiaries, excluding amounts attributable to Unitholders. By adjusting Adjusted EBITDA attributable to non-controlling interest, Brookfield Renewable is able to remove the portion of Adjusted EBITDA earned at non-wholly owned subsidiaries that are not attributable to Brookfield Renewable.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 33
The following table reflects Adjusted EBITDA and Funds From Operations and provides a reconciliation to net income (loss) for the nine months ended September 30, 2025:
Hydroelectric
Wind
Utility-scale solar
Distributed energy & storage
Sustainable solutions
Corporate
Total
(MILLIONS)
Net income (loss)
$
192
$
72
$
(192)
$
204
$
114
$
(356)
$
34
Add back or deduct the following:
Depreciation
493
663
420
193
34
—
1,803
Deferred income tax (recovery) expense
(16)
(160)
(120)
33
—
(29)
(292)
Foreign exchange and financial instruments loss (gain)
51
(349)
(87)
(101)
(113)
29
(570)
Other(1)
45
105
192
71
39
26
478
Management service costs
—
—
—
—
—
162
162
Interest expense
564
526
390
163
3
173
1,819
Current income tax expense (recovery)
34
—
50
(144)
1
2
(57)
Amount attributable to equity accounted investments and non-controlling interests(2)
(596)
(513)
(251)
(139)
76
—
(1,423)
Adjusted EBITDA attributable to Unitholders
$
767
$
344
$
402
$
280
$
154
$
7
$
1,954
(1)Other corresponds to amounts that are not related to the revenue earning activities and are not normal, recurring cash operating expenses necessary for business operations. Other also includes derivative and other revaluations and settlements, gains or losses on debt extinguishment/modification, transaction costs, legal, provisions, amortization of concession assets and Brookfield Renewable’s economic share of foreign currency hedges and other hedges, income earned on financial assets and structured investments in sustainable solutions, monetization of tax attributes at certain development projects over the long-term, realized disposition gains and losses on assets that we developed and/or did not intend to hold over the long-term, and gains on equity transactions that are included within Adjusted EBITDA. Refer to Note 6 - Risk management and financial instruments in the unaudited interim consolidated financial statements, for more details.
(2)Amount attributable to equity accounted investments corresponds to the Adjusted EBITDA to Brookfield Renewable that are generated by its investments in associates and joint ventures accounted for using the equity method. Amounts attributable to non-controlling interest are calculated based on the economic ownership interest held by non-controlling interests in consolidated subsidiaries, excluding amounts attributable to Unitholders. By adjusting Adjusted EBITDA attributable to non-controlling interest, Brookfield Renewable is able to remove the portion of Adjusted EBITDA earned at non-wholly owned subsidiaries that are not attributable to Brookfield Renewable.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 34
The following table reconciles the non-IFRS financial measures to the most directly comparable IFRS measures. Net income (loss) is reconciled to Funds From Operations for the nine months ended September 30:
(MILLIONS)
2026
2025
Net (loss) income
$
(942)
$
34
Add back or deduct the following:
Depreciation
1,693
1,803
Deferred income tax recovery
(90)
(292)
Foreign exchange and financial instruments gain
(821)
(570)
Other(1)
1,707
478
Amount attributable to equity accounted investments and non-controlling interest(2)
(405)
(465)
Funds From Operations
$
1,142
$
988
(1)Other corresponds to amounts that are not related to the revenue earning activities and are not normal, recurring cash operating expenses necessary for business operations. Other also includes derivative and other revaluations and settlements, gains or losses on debt extinguishment/modification, transaction costs, legal, provisions, amortization of concession assets and Brookfield Renewable’s economic share of foreign currency hedges and other hedges, income earned on financial assets and structured investments in sustainable solutions, monetization of tax attributes at certain development projects, realized disposition gains and losses on assets that we developed and/or did not intend to hold over the long-term, and gains on equity transactions that are included in Funds From Operations. Refer to Note 4 - Disposal of assets and Note 6 - Risk management and financial instruments in the unaudited interim consolidated financial statements, for more details.
(2)Amount attributable to equity accounted investments corresponds to the Funds From Operations that are generated by its investments in associates and joint ventures accounted for using the equity method. Amounts attributable to non-controlling interest are calculated based on the economic ownership interest held by non-controlling interests in consolidated subsidiaries, excluding amounts attributable to Unitholders. By adjusting Funds From Operations attributable to non-controlling interest, Brookfield Renewable is able to remove the portion of Funds From Operations earned at non-wholly owned subsidiaries that are not attributable to Brookfield Renewable.
The following table reconciles the per unit non-IFRS financial measures to the most directly comparable IFRS measures. Basic loss per LP unit is reconciled to Funds From Operations per Unit, for the nine months ended September 30:
Nine months ended September 30
2026
2025
Basic loss per LP unit(1)
$
(1.29)
$
(0.81)
Adjusted for proportionate share of:
Depreciation
0.79
1.28
Deferred income tax recovery
(0.07)
(0.16)
Foreign exchange and financial instruments gain
(0.06)
(0.04)
Other(2)
2.30
1.22
Funds From Operations per Unit(3)
$
1.67
$
1.49
(1)During the nine months ended September 30, 2026, on average there were 302.7 million LP units outstanding (2025: 284.2 million).
(2)Other corresponds to amounts that are not related to the revenue earning activities and are not normal, recurring cash operating expenses necessary for business operations. Other also includes derivative and other revaluations and settlements, gains or losses on debt extinguishment/modification, transaction costs, legal, provisions, amortization of concession assets and Brookfield Renewable’s economic share of foreign currency hedges and other hedges, income earned on financial assets and structured investments in nuclear services & sustainable solutions, monetization of tax attributes at certain development projects and realized disposition gains and losses on assets that we developed and/or did not intend to hold over the long-term, and gains on equity transactions that are included in Funds From Operations as well as amounts attributable to holders of Redeemable/Exchangeable partnership units, GP interest, BEPC exchangeable shares and class A.2 exchangeable shares. Refer to Note 4 - Disposal of assets and Note 6 - Risk management and financial instruments in the unaudited interim consolidated financial statements, for more details.
(3)Average units outstanding for the nine months ended September 30, 2026 were 684.3 million (2025: 662.2 million), being inclusive of GP interest, Redeemable/Exchangeable partnership units, LP units, BEPC exchangeable shares and class A.2 exchangeable shares.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 35
PART 7 – CRITICAL ESTIMATES, ACCOUNTING POLICIES AND INTERNAL CONTROLS
CRITICAL ESTIMATES AND CRITICAL JUDGMENTS IN APPLYING ACCOUNTING POLICIES
The unaudited interim consolidated financial statements are prepared in accordance with IFRS, which require the use of estimates and judgments in reporting assets, liabilities, revenues, expenses and contingencies. In the judgment of management, none of the estimates outlined in Note 1 – Basis of preparation and material accounting policy information in our audited consolidated financial statements are considered critical accounting estimates as defined in Canadian National Instrument 51-102 – Continuous Disclosure Obligations with the exception of the estimates related to the valuation of property, plant and equipment, financial instruments, deferred income tax liabilities, decommissioning liabilities and impairment of goodwill. These assumptions include estimates of future electricity prices, discount rates, expected long-term average generation, inflation rates, terminal year, the amount and timing of operating and capital costs, forecasted development MWs per annum, future leverage assumptions, and the income tax rates of future income tax provisions. Estimates also include determination of accruals, provisions, purchase price allocations, useful lives, asset valuations, asset impairment testing and those relevant to the defined benefit pension and non-pension benefit plans. Estimates are based on historical experience, current trends and various other assumptions that are believed to be reasonable under the circumstances.
In making estimates, management relies on external information and observable conditions where possible, supplemented by internal analysis, as required. These estimates have been applied in a manner consistent with that in the prior year and there are no known trends, commitments, events or uncertainties that we believe will materially affect the methodology or assumptions utilized in this report. These estimates are impacted by, among other things, future power prices, movements in interest rates, foreign exchange volatility and other factors, some of which are highly uncertain, as described in the “Risk Factors” section included in our most recent Annual Report on Form 20-F. The interrelated nature of these factors prevents us from quantifying the overall impact of these movements on Brookfield Renewable’s financial statements in a meaningful way. These sources of estimation uncertainty relate in varying degrees to substantially all asset and liability account balances. Actual results could differ from those estimates.
RECENTLY ADOPTED ACCOUNTING STANDARDS
Amendments to IFRS 9 - Financial Instruments (“IFRS 9”) and IFRS 7 - Financial Instruments: Disclosures (“IFRS 7”) - Classification and Measurement of Financial Instruments
The amendments clarify the requirements for the timing of recognition and derecognition of financial liabilities settled through an electronic cash transfer system, add further guidance for assessing the contractual cash flow characteristics of financial assets with contingent features, and adds new or amended disclosures relating to investments in equity instruments designated at Fair Value through Other Comprehensive Income “FVOCI” and financial instruments with contingent features. The amendments to IFRS 9 and IFRS 7 apply to annual reporting periods beginning on or after January 1, 2026. Brookfield Renewable has assessed the impact of these amendments and have noted no material impact.
The amendments apply only to contracts referencing nature-dependent electricity and clarify the application of the “own-use” requirements, the use of hedge accounting, and adds new disclosure requirements around the effect of these contracts on the partnership’s financial performance and cash flows. The amendments to IFRS 9 and IFRS 7 apply to annual reporting periods beginning on or after January 1, 2026. Brookfield Renewable has assessed the impact of these amendments and have noted no material impact.
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Management’s Discussion and Analysis
September 30, 2026
Page 36
FUTURE CHANGES IN ACCOUNTING POLICIES
IFRS 18 – Presentation and Disclosure in Financial Statements (“IFRS 18”)
In April 2024, the IASB issued IFRS 18, Presentation and Disclosure of Financial Statements. IFRS 18 is effective for periods beginning on or after January 1, 2027, with early adoption permitted. IFRS 18 is expected to improve the quality of financial reporting by requiring defined subtotals in the statement of profit or loss, requiring disclosure about management-defined performance measures, and adding new principles for aggregation and disaggregation of information. Brookfield Renewable is currently assessing the impact of this standard on its presentation and disclosures.
IFRS 20 - Regulatory Assets and Regulatory Liabilities (“IFRS 20”)
In May 2026, the IASB issued IFRS 20, Regulatory Assets and Regulatory Liabilities. IFRS 20 is effective for periods beginning on or after January 1, 2029, with early adoption permitted. IFRS 20 sets out the requirements for the recognition, measurement, presentation and disclosure of regulatory assets, regulatory liabilities, regulatory income and regulatory expense, enabling users of financial statements to understand the total allowed compensation for regulatory goods or services supplied in each reporting period and the related rights and obligations. Brookfield Renewable is currently assessing the impact of this standard on its presentation and disclosures.
There are currently no other future changes to IFRS Accounting Standards with a potential material impact on Brookfield Renewable.
INTERNAL CONTROL OVER FINANCIAL REPORTING
No changes were made in our internal control over financial reporting during the nine months ended September 30, 2026, that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.
SUBSEQUENT EVENTS
Subsequent to the quarter, Brookfield Renewable, together with its institutional partners, completed the sale of a portfolio including 118 MW of operating hydroelectric and 100 MW of operating solar assets in Colombia for proceeds of approximately COP1,610 billion ($426 million) (COP601 billion ($159 million) net to Brookfield Renewable).
Subsequent to the quarter, Brookfield Renewable, together with its institutional partners, agreed to the sale of a 40 MW development solar asset in the U.K. for proceeds of approximately £32 million ($42 million) (£8 million ($11 million) net to Brookfield Renewable). The closing of this transaction is subject to customary closing conditions.
Subsequent to the quarter, Brookfield Renewable, together with its institutional partners, completed the sale of a 246 MW portfolio of operating solar assets in the U.S. for proceeds of approximately $127 million ($25 million net to Brookfield Renewable).
Subsequent to the quarter, Brookfield Renewable, together with its institutional partners, completed the acquisition of a 100% interest in a fully integrated developer and operator of battery energy storage systems and co-located utility-scale solar assets in the U.S., with 3.1 GW of operating and under construction assets and an over 20 GW development pipeline for equity consideration of approximately $2.9 billion ($400 million net to Brookfield Renewable).
Subsequent to the quarter, Brookfield Renewable, together with its institutional partners, completed the acquisition of a 350 MW portfolio of development wind assets in the U.K. for total consideration of approximately £28 million ($37 million) (£5 million ($7 million) net to Brookfield Renewable).
Subsequent to the quarter, Brookfield Renewable Corporation received shareholder approval to simplify its corporate structure by converting Brookfield Renewable Partners L.P. and Brookfield Renewable Corporation into one publicly traded corporation. The simplification is subject to customary regulatory approvals as well as unitholder approval.
OTHER
On July 31, 2026, Westinghouse announced that it confidentially submitted a draft registration statement with the SEC relating to a proposed initial public offering. The number of shares to be offered and the price range for the proposed offering have not yet been determined, and the proposed offering will be subject to market and other conditions.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 37
PART 8 – PRESENTATION TO STAKEHOLDERS AND PERFORMANCE MEASUREMENT
PRESENTATION TO PUBLIC STAKEHOLDERS
Equity
Brookfield Renewable’s consolidated equity interests include (i) non-voting publicly traded LP units, held by public unitholders and Brookfield, (ii) BEPC exchangeable shares, held by public shareholders and Brookfield Holders, (iii) class A.2 exchangeable shares, held by Brookfield, (iv) Redeemable/Exchangeable Limited partnership units in BRELP, a holding subsidiary of Brookfield Renewable, held by Brookfield, and (v) the GP interest in BRELP, held by Brookfield.
The LP units, the BEPC exchangeable shares, class A.2 exchangeable shares and the Redeemable/Exchangeable partnership units have the same economic attributes in all respects, except that the BEPC exchangeable shares and class A.2 exchangeable shares provide the holder, and the Redeemable/Exchangeable partnership units provide Brookfield, the right to request that all or a portion of such shares or units be redeemed for cash consideration. Brookfield Renewable, however, has the right, at its sole discretion, to satisfy any such redemption request related to Redeemable/Exchangeable partnership units and BEPC exchangeable shares with LP units, rather than cash, on a one-for-one basis. Similarly, Brookfield Renewable has the right, at its sole discretion, to satisfy any such redemption request related to class A.2 exchangeable shares with BEPC exchangeable shares or LP units, at the election of Brookfield, rather than cash, on a on-for-one basis. The public holders of BEPC exchangeable shares, and Brookfield Holders, as holder of BEPC exchangeable shares, class A.2 exchangeable shares and Redeemable/Exchangeable partnership units, participates in earnings and distributions on a per unit basis equivalent to the per unit participation of the LP units. Because Brookfield Renewable, at its sole discretion, has the right to settle any redemption request in respect of BEPC exchangeable shares and Redeemable/Exchangeable partnership units with LP units and any redemption request in respect of class A.2 exchangeable shares with BEPC exchangeable shares or LP units, at the election of Brookfield, the BEPC exchangeable shares, class A.2 exchangeable shares and Redeemable/Exchangeable partnership units are classified under equity, and not as a liability.
Given the exchange feature referenced above, we are presenting LP units, BEPC exchangeable shares and class A.2 exchangeable shares, Redeemable/Exchangeable partnership units, and GP Interest as separate components of consolidated equity. This presentation does not impact the total income (loss), per unit or share information, or total consolidated equity.
Actual and Long-term Average Generation
For assets acquired, disposed or reaching commercial operation during the year, reported generation is calculated from the acquisition, disposition or commercial operation date and is not annualized. Generation on a same store basis refers to the generation of assets that were owned during both periods presented. As it relates to Colombia only, generation includes both hydroelectric and cogeneration facilities. Distributed energy & storage includes generation from our distributed generation and pumped storage assets.
North America hydroelectric long-term average is the expected average level of generation based on the results of a simulation based on historical inflow data performed over a period of typically 30 years. Colombia hydroelectric long-term average is the expected average level of generation based on the results of a simulation based on historical inflow data performed over a period of typically 20 years. For substantially all of our hydroelectric assets in Brazil the long-term average is based on the reference amount of electricity allocated to our facilities under the market framework which levelizes generation risk across producers. Wind long-term average is the expected average level of generation based on the results of simulated historical wind speed data performed over a period of typically 10 years. Utility-scale solar long-term average is the expected average level of generation based on the results of a simulation using historical irradiance levels in the locations of our projects from the last 14 to 20 years combined with actual generation data during the operational period.
We compare actual generation levels against the long-term average to highlight the impact of an important factor that affects the variability of our business results. In the short-term, we recognize that hydrology, wind and irradiance conditions will vary from one period to the next; over time however, we expect our facilities will continue to produce in line with their long-term averages, which have proven to be reliable indicators of performance.
Our risk of a generation shortfall in Brazil continues to be minimized by participation in the MRE administered by the government of Brazil. This program mitigates hydrology risk by assuring that all participants receive, at any particular point in time, an assured energy amount, irrespective of the actual volume of energy generated. The program reallocates
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 38
energy, transferring surplus energy from those who generated an excess to those who generate less than their assured energy, up to the total generation within the pool. Periodically, low precipitation across the entire country’s system could result in a temporary reduction of generation available for sale. During these periods, we expect that a higher proportion of thermal generation would be needed to balance supply and demand in the country, potentially leading to higher overall spot market prices.
Generation from our pumped storage and cogeneration facilities in North America is highly dependent on market price conditions rather than the generating capacity of the facilities. For this reason, we do not consider a long-term average for these facilities.
Voting Agreements with Affiliates
Brookfield Renewable has entered into voting agreements with Brookfield, whereby Brookfield Renewable gained control or have significant influence over the entities that own certain renewable power and sustainable solutions investments. Brookfield Renewable has also entered into a voting agreement with its consortium partners in respect of Isagen, Neoen, and Boralex. The voting agreements provide Brookfield Renewable the authority to direct the election of the Boards of Directors of the relevant entities, among other things, and therefore provide Brookfield Renewable with control. Accordingly, Brookfield Renewable consolidates the accounts of these entities.
For entities previously controlled by Brookfield Corporation, the voting agreements entered into do not represent business combinations in accordance with IFRS 3, as all combining businesses are ultimately controlled by Brookfield Corporation both before and after the transactions were completed. Brookfield Renewable accounts for these transactions involving entities under common control in a manner similar to a pooling of interest, which requires the presentation of pre-voting agreement financial information as if the transactions had always been in place. Refer to Note 1(s)(ii) – Critical judgments in applying accounting policies – Common control transactions in our December 31, 2025 audited consolidated financial statements for our policy on accounting for transactions under common control.
PERFORMANCE MEASUREMENT
Segment Information
Our operations are segmented by – 1) hydroelectric, 2) wind, 3) utility-scale solar, 4) distributed energy and storage (distributed generation, pumped storage and battery energy storage systems), 5) sustainable solutions (nuclear services, renewable natural gas, carbon capture and storage, recycling, cogeneration, eFuels, and power transformation), and 6) corporate. This best reflects the way in which the CODM reviews results of Brookfield Renewable.
We report our results in accordance with these segments and present prior period segmented information in a consistent manner. See Note 7 – Segmented information in our unaudited interim consolidated financial statements.
One of our primary business objectives is to generate stable and growing cash flows while minimizing risk for the benefit of all stakeholders. We monitor our performance in this regard through three key metrics – i) Net Income (Loss), ii) Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (“Adjusted EBITDA”), and iii) Funds From Operations.
It is important to highlight that Adjusted EBITDA and Funds From Operations do not have any standardized meaning prescribed by IFRS and therefore are unlikely to be comparable to similar measures presented by other companies and have limitations as analytical tools. We provide additional information below on how we determine Adjusted EBITDA and Funds From Operations. We also provide reconciliations to Net income (loss). See “Part 4 – Financial Performance Review on Proportionate Information – Reconciliation of Non-IFRS Measures” and “Part 6 – Selected Quarterly Information – Reconciliation of Non-IFRS measures”.
Proportionate Information
Reporting to the CODM on the measures utilized to assess performance and allocate resources has been provided on a proportionate basis. Information on a proportionate basis reflects Brookfield Renewable’s share from facilities which it accounts for using consolidation and the equity method, whereby Brookfield Renewable either controls or exercises significant influence or joint control over the investment, respectively. Proportionate information provides a Unitholder perspective that the CODM considers important when performing internal analyses and making strategic and operating decisions. The CODM also believes that providing proportionate information helps investors understand the impacts of decisions made by management and financial results that can be allocated to Unitholders.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 39
Proportionate financial information is not, and is not intended to be, presented in accordance with IFRS. Tables reconciling IFRS data with data presented on a proportionate basis have been disclosed. Segment revenues, other income, direct operating costs, interest expense, current income taxes, and other are items that will differ from results presented in accordance with IFRS as these items (1) include Brookfield Renewable’s proportionate share of earnings (loss) from equity-accounted investments and its financial asset in nuclear services, which is recognized as an equity-accounted investment by Brookfield, attributable to each of the above-noted items, (2) exclude the proportionate share of earnings (loss) of consolidated investments not held by us apportioned to each of the above-noted items, and (3) other income includes but is not limited to our proportionate share of settled foreign currency and other hedges, income earned on financial assets and structured investments in sustainable solutions, monetization of tax attributes at certain development projects and realized disposition gains on non-core assets and on recently developed assets that we have monetized to reflect the economic value created from our development activities as we design, build and commercialize new renewable energy capacity and sell these assets to lower cost of capital buyers which may not otherwise be reflected in our consolidated statements of income.
The presentation of proportionate results has limitations as an analytical tool, including the following:
•The amounts shown on the individual line items were derived by applying our overall economic ownership interest percentage and do not necessarily represent our legal claim to the assets and liabilities, or the revenues and expenses; and
•Other companies may calculate proportionate results differently than we do.
Because of these limitations, our proportionate financial information should not be considered in isolation or as a substitute for our financial statements as reported under IFRS.
Brookfield Renewable does not control those entities that have not been consolidated and as such, have been presented as equity-accounted investments in its financial statements. The presentation of the assets and liabilities and revenues and expenses do not represent Brookfield Renewable’s legal claim to such items, and the removal of financial statement amounts that are attributable to non-controlling interests does not extinguish Brookfield Renewable’s legal claims or exposures to such items.
Unless the context indicates or requires otherwise, information with respect to the megawatts ("MW") attributable to Brookfield Renewable’s facilities, including development assets, is presented on a consolidated basis, including with respect to facilities whereby Brookfield Renewable either controls or jointly controls the applicable facility.
Net Income (Loss)
Net income (loss) is calculated in accordance with IFRS.
Net income (loss) is an important measure of profitability, in particular because it has a standardized meaning under IFRS. The presentation of net income (loss) on an IFRS basis for our business will often lead to the recognition of a loss even though the underlying cash flows generated by the assets are supported by strong margins and stable, long-term power purchase agreements. The primary reason for this is that accounting rules require us to recognize a significantly higher level of depreciation for our assets than we are required to reinvest in the business as sustaining capital expenditures.
Adjusted EBITDA
Adjusted EBITDA is a non-IFRS measure used by investors to analyze the operating performance of companies.
Brookfield Renewable uses Adjusted EBITDA to assess the performance of its operations before the effects of interest expense, income taxes, depreciation, management service costs, non-controlling interests, unrealized gain or loss on financial instruments, non-cash income or loss from equity-accounted investments, distributions to preferred shareholders, preferred limited partnership unit holders, perpetual subordinated noteholders and other typical non-recurring items. Brookfield Renewable adjusts for these factors as they may be non-cash, unusual in nature and/or are not factors used by management for evaluating operating performance. Brookfield Renewable includes other income within Adjusted EBITDA in order to provide additional insight regarding the performance of investments on a cumulative realized basis, including any unrealized fair value adjustments that were recorded in equity and not otherwise reflected in the current period.
Brookfield Renewable believes that presentation of this measure will enhance an investor’s ability to evaluate its financial and operating performance on an allocable basis.
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 40
Funds From Operations
Funds From Operations is a non-IFRS measure used by investors to analyze net earnings from operations without the effects of certain volatile items that generally have no current financial impact or items not directly related to the performance of Brookfield Renewable.
Brookfield Renewable uses Funds From Operations to assess the performance of Brookfield Renewable before the effects of certain cash items (e.g. acquisition costs and other typical non-recurring cash items) and certain non-cash items (e.g. deferred income taxes, depreciation, non-cash portion of non-controlling interests, unrealized gain or loss on financial instruments, non-cash gain or loss from equity-accounted investments, and other non-cash items) as these are not reflective of the performance of the underlying business. Brookfield Renewable includes other income in order to provide additional insight regarding the performance of investments on a cumulative realized basis, including any unrealized fair value adjustments that were recorded in equity and not otherwise reflected in the current period. In the unaudited interim consolidated financial statements of Brookfield Renewable, the revaluation approach is used in accordance with IAS 16, Property, Plant and Equipment, whereby depreciation is determined based on a revalued amount, thereby reducing comparability with peers who do not report under IFRS as issued by the IASB or who do not employ the revaluation approach to measuring property, plant and equipment. Management adds back deferred income taxes on the basis that they do not believe this item reflects the present value of the actual tax obligations that they expect Brookfield Renewable to incur over the long-term investment horizon of Brookfield Renewable.
Brookfield Renewable believes that analysis and presentation of Funds From Operations on this basis will enhance an investor’s understanding of the performance of Brookfield Renewable. Funds From Operations is not a substitute measure of performance for earnings per share and does not represent amounts available for distribution.
Funds From Operations is not a generally accepted accounting measure under IFRS and therefore may differ from definitions of Funds From Operations used by other entities, as well as the definition of funds from operations used by the Real Property Association of Canada (“REALPAC”) and the National Association of Real Estate Investment Trusts, Inc. (“NAREIT”). Furthermore, this measure is not used by the CODM to assess Brookfield Renewable’s liquidity.
Proportionate Debt
Proportionate debt is presented based on the proportionate share of borrowings obligations relating to the investments of Brookfield Renewable in various portfolio businesses. The proportionate financial information is not, and is not intended to be, presented in accordance with IFRS. Proportionate debt measures are provided because management believes it assists investors and analysts in estimating the overall performance and understanding the leverage pertaining specifically to Brookfield Renewables’s share of its invested capital in a given investment. When used in conjunction with Proportionate Adjusted EBITDA, proportionate debt is expected to provide useful information as to how Brookfield Renewable has financed its businesses at the asset-level. Management believes that the proportionate presentation, when read in conjunction with Brookfield Renewable’s reported results under IFRS, including consolidated debt, provides a more meaningful assessment of how the operations of Brookfield Renewable are performing and capital is being managed. The presentation of proportionate results has limitations as an analytical tool, including the following:
•Proportionate debt amounts do not represent the consolidated obligation for debt underlying a consolidated investment. If an individual project does not generate sufficient cash flows to service the entire amount of its debt payments, management may determine, in their discretion, to pay the shortfall through an equity injection to avoid defaulting on the obligation. Such a shortfall may not be apparent from or may not equal the difference between aggregate Proportionate Adjusted EBITDA for all of the portfolio investments of Brookfield Renewable and aggregate proportionate debt for all of the portfolio investments of Brookfield Renewable; and
•Other companies may calculate proportionate debt differently.
Because of these limitations, the proportionate financial information of Brookfield Renewable should not be considered in isolation or as a substitute for the financial statements of Brookfield Renewable as reported under IFRS.
This report contains forward-looking statements and information, within the meaning of applicable U.S. and Canadian securities laws and in any applicable securities regulations, concerning the business and operations of Brookfield Renewable. Forward-looking statements may include estimates, plans, expectations, opinions, forecasts, projections, guidance or other statements that are not statements of fact. Forward-looking statements in this report include, but are not limited to, statements regarding the quality of Brookfield Renewable’s assets and the resiliency of the cash flow they will generate, our anticipated financial performance, future commissioning of assets, contracted portfolio, technology diversification, acquisition opportunities, expected completion of acquisitions, dispositions and other transactions, future energy prices and demand for electricity, economic recovery, achieving long-term average generation, project development and capital expenditure costs, energy policies, economic growth, growth potential of the renewable asset class, reorganizations or other structural simplification transactions including our corporate simplification, our future growth prospects and distribution profile, our access to capital and future dividends, and distributions made to holders of LP units and BEPC's exchangeable shares. In some cases, forward-looking statements can be identified by the use of words such as “plans”, “expects”, “scheduled”, “estimates”, “intends”, “anticipates”, “believes”, “potentially”, “tends”, “continue”, “attempts”, “likely”, “primarily”, “approximately”, “endeavors”, “pursues”, “strives”, “seeks”, “targets”, or variations of such words and phrases, or statements that certain actions, events or results “may”, “could”, “would”, “should”, “might” or “will” be taken, occur or be achieved. These forward-looking statements and information are not historical facts but reflect our current expectations regarding future results or events and are based on information currently available to us and on assumptions we believe are reasonable. Although we believe that our anticipated future results, performance or achievements expressed or implied by the forward-looking statements and information in this report are based upon reasonable assumptions and expectations, we cannot assure you that such expectations will prove to have been correct. You should not place undue reliance on forward-looking statements and information as such statements and information involve assumptions, known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to differ materially from anticipated future results, performance or achievements expressed or implied by such forward-looking statements and information. These beliefs, assumptions and expectations can change as a result of many possible events or factors, not all of which are known to us or are within our control. If a change occurs, our business, financial condition, liquidity and results of operations and our plans and strategies may vary materially from those expressed in the forward-looking statements and forward-looking information herein.
Factors that could cause actual results to differ materially from those contemplated or implied by forward-looking statements include, but are not limited to, the following: general economic conditions and risks relating to the economy, including unfavorable changes in interest rates, foreign exchange rates, inflation and volatility in the financial markets; changes to resource availability, as a result of climate change or otherwise, at any of our renewable power facilities; supply, demand, volatility and marketing in the energy markets; changes to government policies and incentives relating to the renewable power and sustainable solutions industries; our inability to re-negotiate or replace expiring contracts (including PPAs, power guarantee agreements or similar long-term agreements, between a seller and a buyer of electrical power generation or other commercial contracts that our business benefits from) on similar terms; an increase in the amount of uncontracted generation in our renewable power portfolio or a change in the contract profile for future renewable power projects; availability and access to interconnection facilities and transmission systems; our ability to comply with, secure, replace or renew concessions, licenses, permits and other governmental approvals needed for our operating and development projects; our real property rights for our facilities being adversely affected by the rights of lienholders and leaseholders that are superior to those granted to us; increases in the cost of operating our existing facilities and of developing new projects; health, safety, security and environmental risks; equipment failures and procurement challenges; adverse impacts of inflationary pressures; changes in regulatory, political, economic and social conditions in the jurisdictions in which we operate; our reliance on computerized business systems, which could expose us to cyber-attacks; dam failures and the costs and potential liabilities associated with such failures; uninsurable losses and higher insurance premiums; energy marketing risks and our ability to manage commodity and financial risk; the termination of, or a change to, the MRE; involvement in litigation and other disputes, and governmental and regulatory investigations; counterparties to our contracts not fulfilling their obligations; the time and expense of enforcing contracts against non-performing counterparties and the uncertainty of success; increased regulation of our operations; new regulatory initiatives related to sustainability and ESG; foreign laws or regulation to which we become subject as a result of future acquisitions in new markets; force majeure events; our operations being affected by local communities; newly developed technologies or new business lines in which we invest not performing as anticipated; advances in technology that impair or eliminate the competitive advantage of our projects; increases in water rental costs (or similar fees) or changes to the regulation of water supply; ineffective management of human capital; labor disruptions and economically unfavorable collective bargaining agreements; human rights impacts of our business activities; uncertainty regarding the U.S. Government making a final investment decision and entering into definitive agreements with our nuclear services investment regarding the construction of nuclear reactors and realizing the anticipated benefits therefrom; increased regulation of and third party opposition to our nuclear services investment’s customers and operations; failure of the nuclear power industry to expand; insufficient indemnification for our nuclear services investment; our inability to finance our operations and fund growth due to the status of the capital markets; our inability to complete capital recycling initiatives; operating and financial restrictions imposed on us by our loan, debt and security agreements; changes to our credit ratings; the incurrence of debt at multiple levels within our organizational structure; restrictions on our ability to engage in certain activities or make distributions due to our indebtedness; adverse changes in currency exchange rates and our inability to effectively manage foreign currency exposure through our hedging strategy or otherwise; our inability to identify sufficient investment opportunities and complete transactions and strategic initiatives including our corporate simplification transaction; political instability or changes in government policy negatively impacting our business or assets; changes to our current business, including through future sustainable solutions investments; the growth of our portfolio and our inability to realize the expected benefits of our transactions, initiatives or acquisitions; our investment opportunities may not be completed as planned and we may not realize the anticipated benefits therefrom; our inability to develop the projects in our development pipeline; delays, cost overruns and other problems associated with the construction and operation of our facilities and risks associated with the arrangements we enter into with communities and joint venture partners; we do not have control over all of our operations or investments, including certain investments made through joint ventures, partnerships, consortiums or structured arrangements; some of our acquisitions may be of distressed companies, which may subject us to increased risks; a decline in the value of our investments in securities, including publicly traded securities of other companies; the separation
Brookfield Renewable Partners L.P.
Management’s Discussion and Analysis
September 30, 2026
Page 42
of economic interest from control within our organizational structure; fraud, bribery, corruption, other illegal acts or inadequate or failed internal processes or systems and restrictions on foreign direct investment; our dependence on Brookfield and Brookfield’s significant influence over us; Brookfield’s election not to source acquisition opportunities for us and our lack of access to all renewable power acquisitions that Brookfield identifies, including by reason of conflicts of interest; the departure of some or all of Brookfield’s key professionals; Brookfield acting in a way that is not in our best interests or the best interests of our shareholders or our unitholders; our inability to terminate the Master Services Agreement and the limited liability of the Service Provider under our arrangements with them; Brookfield’s relationship with walled-off businesses; changes in how Brookfield elects to hold its ownership interests in Brookfield Renewable; changes in the amount of cash we can distribute to our unitholders; future sales or issuances of our securities (including upon exchange of class A.2 exchangeable shares by Brookfield) will result in dilution of existing holders and even the perception of such sales or issuances taking place could depress the trading price of the BEP units or BEPC exchangeable shares; any changes in the market price of the BEP units and BEPC exchangeable shares; the inability of our unitholders to take part in the management of BEP; limits on unitholders’ ability to obtain favorable judicial forum for disputes related to BEP or to enforce judgments against us; our reliance on subsidiaries to provide funds to pay distributions; foreign currency risk associated with BEP’s distributions; we are not subject to the same disclosure requirements as a U.S. domestic issuer; being deemed an “investment company” under the Investment Company Act; the effectiveness of our internal controls over financial reporting; changes in tax law and practice; and other factors described in our most recent Annual Report on Form 20-F, including those set forth under Item 3.D “Risk Factors”. Certain risks and uncertainties specific to our corporate simplification transaction is further described in the joint management information circular of BEP and BEPC dated August 26, 2026 with respect to the special meetings of BEP and BEPC to approve the simplification and is available electronically on each of the SEDAR+ profiles of BEP and BEPC at www.sedarplus.ca.
We caution that the foregoing list of important factors that may affect future results is not exhaustive. The forward-looking statements represent our views as of the date of this report and should not be relied upon as representing our views as of any date subsequent to the date of this report. While we anticipate that subsequent events and developments may cause our views to change, we disclaim any obligation to update the forward-looking statements, other than as required by applicable law. For further information on these known and unknown risks, please see “Risk Factors” included in our most recent Annual Report on Form 20-F and other risks and factors that are described therein.
CAUTIONARY STATEMENT REGARDING USE OF NON-IFRS MEASURES
This report contains references to Adjusted EBITDA, Funds From Operations and Funds From Operations per Unit which are not generally accepted accounting measures standardized under IFRS and therefore may differ from definitions of Adjusted EBITDA, Funds From Operations and Funds From Operations per Unit used by other entities. In particular, our definition of Funds From Operations may differ from the definition of funds from operations used by other organizations, as well as the definition of funds from operations used by the Real Property Association of Canada and the National Association of Real Estate Investment Trusts, Inc. (“NAREIT”), in part because the NAREIT definition is based on U.S. GAAP, as opposed to IFRS. We believe that Adjusted EBITDA, Funds From Operations and Funds From Operations per Unit are useful supplemental measures that may assist investors in assessing our financial performance. None of Adjusted EBITDA, Funds From Operations or Funds From Operations per Unit should be considered as the sole measure of our performance and should not be considered in isolation from, or as a substitute for, analysis of our financial statements prepared in accordance with IFRS. These non-IFRS measures reflect how we manage our business and, in our opinion, enable the investors and other readers to better understand our business.
Reconciliations of each of Adjusted EBITDA, Funds From Operations and Funds From Operations per Unit to net income (loss) are presented in our Management’s Discussion and Analysis. We have also provided a reconciliation of Adjusted EBITDA and Funds From Operations to net income in Note 7 – Segmented information in the unaudited interim consolidated financial statements.
