Alupar Investimento (ALUP11) Q4 2025 earnings summary

Executive summary

• Consolidated net revenue reached R$4,397.9 million in 2025, up 9.9% year-over-year, with EBITDA of R$3,300.3 million (+7.5%) and net income attributable to controlling shareholders of R$1,215.6 million (+11.9%).

• Transmission segment remained the main contributor, with net revenue of R$3,539.3 million (+9.9%), EBITDA of R$2,936.9 million (+8.6%), and strong operational performance from new assets.

• Dividend distribution for 2025 totaled R$356.0 million, representing 50.8% of regulatory net income, with additional dividends proposed for 2026.

• Major debenture issuances raised R$2.45 billion for project funding, supporting ongoing investments and expansion.

• Fitch reaffirmed AAA (national) and BB+ (international) ratings, both with stable outlooks, reflecting strong capital structure and cash generation.

Financial highlights

• Net revenue grew 9.9% year-over-year to R$4,397.9 million, driven by higher transmission and generation revenues.

• Consolidated EBITDA reached R$3,300.3 million (+7.5%), with an EBITDA margin of 75.1%.

• Net income attributable to controlling shareholders was R$1,215.6 million, up 11.9% from 2024.

• Net debt stood at R$9,358.7 million, with a net debt/EBITDA ratio of 2.8x.

• Dividend payout for 2025 reached R$356.0 million, representing 50.8% of regulatory net income.

Outlook and guidance

• Ongoing investments in transmission projects, with several new assets scheduled for commercial operation between 2026 and 2029.

• Investment cycle for current projects expected to conclude by 2029, with total Capex estimated at $2 billion.

• Focus on operational efficiency, ESG targets, and regulatory compliance to support long-term growth.

• No current plans for a spin-off or IPO of international assets, but may be considered in the future.

• Management notes that projections depend on market, economic, and sector conditions.