Isa Energia (formerly CTEEP) () reported regulatory net profit of $ 810.1 million in the fourth quarter of 2024. The result is 10% lower than registered a year earlier and was impacted by a contingency provision to A lawsuit, in the amount of R $ 69.6 million. This is an old process in which former minority actioners of the São Paulo Electric Energy Company (EPTE), incorporated by Isa in 2001, ask for the reimbursement of their actions.
“It is simply a provision of what could be the value of this cause, without effect effect. But there is still an ongoing resource, ”said Silvia Diniz Wada, the executive director of finance and investor relations at Isa Energia.
With this, the profit before interest, taxes, depreciation and amortization (EBITDA) regulating the company was R $ 794.3 million, retreating 3.9% in the annual comparison. The Ebitda margin, in turn, fell 5.8 percentage points at the same time to 68.7%.
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In the fourth quarter, ISA CTEP’s regulatory net revenue was R $ 1.156 billion, with a 4.2% increase over the fourth quarter of 2023. The receipts of the existing system (RBSE), indemnities on existing assets paid by National Electric Energy Agency (Aneel), retreated 12%, to R $ 516 million. However, net revenue that does not consider these indemnities grew 22.4%to R $ 640.6 million.
The consolidated gross revenue of Isa Energia in 2024 hit R $ 5.23 billion and was driven by some projects greenfield which entered the entire operation in the second half of 2023 (Itaúnas and Triangulo Mineiro).
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Last December, the Minuano project, which serves the mountainous region of Rio Grande do Sul, also went into full operation. Isa Energia acknowledged this concession in Aneel’s broadcast auction in 2019 and invested $ 720 million in the project. “The cost was 14% below Aneel’s reference and was ready four months earlier than expected,” says Rui Chammas, CEO of the company.
Remember that the regulatory result is used as the basis for calculating the company’s dividends. By IFRS’s international accounting standards, Isa Energia made net income of R $ 1.21 billion, with an annual increase of 18.6%. Within these parameters, EBITDA was R $ 901.7 million, an advance of 11.4%.
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Investment and debt
Isa Energia’s investments (Capex) (Capex) jumped from 75.8% between October and December 2024, to approximately $ 1.3 billion, a record for one quarter. Of this total, R $ 879.9 million were directed to projects greenfieldalmost five times more than the amount invested in the third quarter. The other R $ 411.4 million were intended for reinforcements and improvements (such as equipment replacement).
The investments were reflected in an increase of 43.2% in the company’s gross debt, which ended 2024 at R $ 13.27 billion. Last year, Isa Energia made three debenture emissions and took funds with the National Bank for Economic and Social Development (BNDES), totaling $ 4 billion in funding.
The company’s net debt reached R $ 10.23 billion by 2024, up 29.4%.
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Leverage measured by comparing net debt to EBITDA, in turn, was 2.72 times, compared to 2.39 times a year earlier.
“Of course, with the investment portfolio advancing, the debt ends up also increasing, but at a healthy level,” says Silvia. The CFO notes that the growth of leverage comes in the wake of R $ 3.6 billion in investments in 2024 e.
“Our cash generation is also increasing,” he says.
