Interconexión Eléctrica (ISA) Q3 2024 earnings summary

Executive summary

• Net income for the first nine months of 2024 reached COP 2.2 trillion, up 10% year-over-year, with September net income at COP 2,200 million and a 7% growth compared to September 2023.

• Achieved strong financial and operational results in 3Q24, with significant growth in EBITDA and net income year-over-year, driven by regulatory changes in Brazil and new project operations.

• 36 projects are underway: 33 in energy transmission and 3 in roads, with significant progress in Colombia, Chile, and Peru.

• Investments for Q3 2024 totaled COP 1.1 trillion, focused on expanding power transmission and roads, maintaining levels similar to previous quarters.

• Sustainability and social impact initiatives advanced, including major commitments at COP16, renewable energy projects, and biodiversity conservation.

Financial highlights

• 3Q24 EBITDA reached COP 3.0 trillion, up 57% year-over-year; 9M24 cumulative EBITDA was COP 7.5 trillion (+7% YoY).

• Net income for Q3 was COP 890 billion, a 74% increase compared to Q3 2023; 9M24 net income was COP 2.2 trillion (+10% YoY).

• Positive net impact from Brazil's Periodic Tariff Review: COP 875 billion to EBITDA, COP 207 billion to net income.

• Dividend payments for the year totaled COP 1.6 trillion YTD, with COP 410 billion paid in 3Q24.

• Adjusted EBITDA for the year was COP 6.4 trillion, up 11% year-over-year; adjusted EBITDA margin for 9M24 at 76%.

Outlook and guidance

• Investment commitments for the next six years stand at COP 28.5 trillion, with execution of about COP 1 trillion planned for the last quarter of the year.

• 36 projects under construction expected to generate COP 1.8 trillion in new annual revenues.

• Strategic focus remains on energy transition, network expansion, and new business opportunities in distributed energy solutions.

• Expecting entry into operation of two projects in Colombia and network reinforcements in Brazil next quarter.

• Continued focus on sustainable value creation and strengthening market position.