Analyze the following excerpt from the quarterly earnings report of 'Global Power Corp.' Based on the provided data and management commentary, what can you infer about the company's strategic direction and its response to the current energy market? Justify your conclusions by referencing specific points from the excerpt.

Excerpt from Global Power Corp. Q3 Earnings Report:

• Financial Highlights:
  • Revenue from Coal & Natural Gas Division: $4.2 billion (down 3% year-over-year).
  • Operating Margin for Coal & Natural Gas Division: 12% (down from 15% year-over-year).
  • Capital Expenditure in Renewables Division (Solar & Wind): $1.5 billion (up 50% year-over-year).
• Management Commentary:
  • CEO Statement: 'Our performance this quarter reflects a challenging environment for our traditional assets. In response, we are aggressively reallocating capital towards future-proof energy sources to ensure long-term shareholder value and position ourselves as leaders in the energy transition.'