Companhia Paranaense de Energia (CPLE6) Q1 2025 earnings summary

Executive summary

• Recurring EBITDA reached R$1.5 billion in Q1 2025, up 13% year-over-year, reflecting strong integrated operations and operational efficiency across all segments.

• Net income from continuing operations was R$664.7 million, a 24.8% increase compared to Q1 2024, with recurring net profit of R$576.9 million (+6.4%).

• General Shareholders' Meeting approved R$1.3 billion in dividends for 2024, with payment scheduled for May 2025 and a payout exceeding 86%.

• Largest investment plan in Copel Distribution's history underway, with focus on grid modernization, smart grid, and renewable generation.

• Board of Directors fully renewed with independent, multidisciplinary members.

Financial highlights

• Net operating revenue rose 8.8% to R$5.89 billion, driven by higher energy sales and grid availability revenue.

• Recurring EBITDA reached R$1.5 billion (+13% YoY); EBITDA margin was 29.5%.

• Recurring net income was R$665 million, up 15.2% from 1Q24.

• CapEx for Q1 was R$678 million, with 87% allocated to distribution.

• Leverage improved to 2.3x net debt/EBITDA, down from 2.6x in 4Q24.

Outlook and guidance

• Strategic plan structured in three waves: efficiency (2024/25), operational excellence (2025/26), and expansion (2026/30).

• Investment plan for 2025 targets R$3.03 billion, with 22% realized by Q1, mainly for distribution and smart grid.

• New dividend policy effective immediately, with a minimum payout of 75% and at least two payments per year.

• Target leverage set at 2.8x net debt/EBITDA, with a 2.5–3.1x range allowed for 24 months.

• Flexibility to operate above target leverage in anticipation of contracted deleveraging from tariff review and efficiency gains.