Central Puerto (CEPU) Q4 2024 earnings summary

Executive summary

• Installed capacity held at 6,703 MW; annual energy generation rose to 21.6 TWh, up 4-5% year-over-year.

• Quarterly revenues increased 71% year-over-year to $168 million; annual revenues up 25% to $671 million.

• Adjusted EBITDA for Q4 rose 44% year-over-year to $65 million; annual Adjusted EBITDA up 4% to $288 million.

• Q4 net income was -$28 million, while full-year net income was $52 million, reflecting significant non-cash effects from currency devaluation and a $99 million impairment.

• Net debt reduced to $132 million, with a net debt to Adjusted EBITDA ratio of 0.5x.

Financial highlights

• Spot market revenues increased 61% year-over-year in Q4, driven by higher thermal generation and currency effects.

• Sales under contract rose 62% in Q4, mainly from higher solar and cogeneration sales.

• Steam sales more than doubled, up 109% ($4 million), due to higher demand in Luján de Cuyo and San Lorenzo.

• Net cash from operating activities was $250 million; cash used in investing and financing was $160 million and $106 million, respectively.

• Operating costs (excluding D&A) rose 58% to $55 million in Q4, mainly due to maintenance and currency appreciation.

Outlook and guidance

• Regulatory changes allow new PPAs and self-managed fuel for thermal generators from 2025, with a new framework expected by November 2025.

• Opportunities anticipated from deregulation, especially for efficient combined cycles and self-procurement of fuel.

• Storage capacity auctions and feasibility studies for major transmission projects are ongoing.