Companhia Paranaense de Energia (CPLE6) Q1 2026 earnings summary

Executive summary

• Recurring EBITDA rose 16.7% year-over-year to R$1,754.6 million, driven by strong operational and commercial execution across segments, with significant gains from hydraulic modulation and submarket management.

• Net income increased 4.4% to R$694.0 million, with recurring net income up 10.7% to R$638.9 million, reflecting improved operating performance and higher EBITDA.

• Consolidated net operating revenue grew 19.2% year-over-year to R$6,909.1 million, supported by higher sector-specific financial assets, increased supply revenue, and grid availability.

• Total investments reached R$581.7 million, mainly allocated to grid modernization, transmission improvements, and strategic expansion.

• The company maintained robust ESG performance, joining the Dow Jones Best in Class Index and increasing its weighting in the MSCI Brazil Index.

Financial highlights

• Recurring EBITDA: R$1,754.6 million (+16.7% YoY); EBITDA margin: 27.0% (-2.5 p.p. YoY).

• Net income: R$694.0 million (+4.4% YoY); recurring net income: R$638.9 million (+10.7% YoY).

• Net operating revenue: R$6,909.1 million (+19.2% YoY).

• CapEx for the quarter was R$581.7 million, with 75% allocated to distribution and the rest to generation and transmission.

• Dividend of R$1.35 billion to be paid in June 2026, and interest on equity of R$706 million to be paid in September 2026.

Outlook and guidance

• Strategic expansion of the power generation fleet underway, with major hydroelectric projects (Foz do Areia and Segredo HPP) adding over 2,100 MW by 2030.

• Gradual portfolio availability expansion expected, from 16% in 2026 to 53% by 2029-2030, aiming to capture attractive prices.

• Capital structure target midpoint for leverage remains at 2.8x, with a range of 2.5x to 3.1x.

• Active portfolio management and hedging to ensure profitability and cash generation.

• Continued focus on grid modernization, sustainability, and operational excellence.