Alupar Investimento (ALUP11) Q1 2026 earnings summary

Executive summary

• Net revenue reached R$1,255.6 million in 1Q26, up 2.6% year-over-year, with growth in both transmission and generation segments.

• Regulatory EBITDA rose 15.9% to R$794.7 million, while IFRS EBITDA was R$812.1 million, down 12.9% due to higher infrastructure costs.

• Regulatory net income increased 6.3% to R$148.9 million, while IFRS net income fell 33.7% to R$198.1 million.

• Interim dividends of R$69.2 million (R$0.21 per unit) were approved for 1Q26, with payment within 60 days.

• The company is executing its largest investment cycle, with R$9.1 billion planned through 2029, focusing on portfolio expansion and new projects in Brazil and Latin America.

Financial highlights

• IFRS net revenue: R$1,255.6 million (+2.6% YoY); Regulatory net revenue: R$996.8 million (+16.3% YoY).

• IFRS EBITDA: R$812.1 million (-12.9% YoY); Regulatory EBITDA: R$794.7 million (+15.9% YoY).

• IFRS net income: R$198.1 million (-33.7% YoY); Regulatory net income: R$148.9 million (+6.3% YoY).

• Net debt: R$9,303.8 million; Net debt/EBITDA (IFRS): 2.9x; Regulatory net debt/EBITDA: 3.2x.

• Dividend payout for 1Q26: R$69.2 million.

Outlook and guidance

• Largest investment cycle underway, with R$9.1 billion to be invested by 2029, focusing on portfolio expansion and new projects in Brazil and Latin America.

• Management expects higher energy prices due to market structure and potential El Niño impacts in the second half of 2026.

• Business prospects and financial projections are subject to changes in market and economic conditions.

• Cautious approach to new auctions outside Brazil, balancing project execution and leverage.