Aguas Andinas (AGUAS) Q1 2025 earnings summary

Executive summary

• Revenue for Q1 2025 rose 4.4% year-over-year to CLP 197,437 million, driven by higher tariffs and increased water volumes.

• EBITDA increased 4.1% (5.8% adjusted for leap year), maintaining margin stability.

• Net income declined 7.3% to CLP 50,921 million, mainly due to higher financial costs, currency corrections, and absence of asset sales.

• Cash and cash equivalents rose to CLP 181,996 million after a major bond issuance and partial debt amortization.

• Leadership changes included a new CEO and Board of Directors in May 2025.

Financial highlights

• Ordinary revenue reached CLP 197,437 million (+4.4% YoY), with drinking water revenue up 8.0% and wastewater revenue up 5.7%.

• EBITDA was CLP 111,532 million, up from CLP 107,153 million, with a margin of 56.5%.

• Operating costs and expenses increased 4.8% to CLP 85,905 million, mainly due to inflation, labor, and energy costs.

• Net profit for the quarter was CLP 50,921 million, down 7.3% year-over-year, mainly due to currency corrections and absence of asset sales.

• Free cash flow turned positive at CLP 24,844 million after dividend payments and project-related CapEx.

Outlook and guidance

• Tariff agreements for 2025–2030 foresee gradual increases, supporting investment in climate adaptation and water security.

• Water availability is expected to remain normal in 2025, with El Yeso Reservoir at 94% capacity.

• Projected annual investments of CLP 200,000–250,000 million through 2030, with dividend policy under continuous review.

• Expectation to keep net debt/EBITDA below 3.5x by 2030, not exceeding 3x in the near term.

• The investment plan will be accelerated to strengthen supply security in Santiago.