Light (LIGT3) Q3 2025 earnings summary

Executive summary

• Received favorable ANEEL recommendation for a 30-year renewal of the distribution concession, pending final government approval.

• Transformation and judicial reorganization plans advanced, with major debt restructuring completed and capital structure improved.

• Achieved consolidated net profit of R$400.4 million for the nine months ended September 30, 2025, reversing a prior year loss.

• Cash position remained robust at R$2.64 billion, maintaining liquidity despite higher investments and regulatory asset impacts.

• Subsidiaries Light SESA and Light Energia both returned to profitability during the period.

Financial highlights

• Ended Q3 2025 with R$2.64 billion in cash, after investing R$472 million in the quarter, a 60% year-over-year increase.

• Adjusted EBITDA for the distributor was R$402 million in the quarter, impacted by low temperatures and higher PMSO expenses.

• Generation and Trading segments reported adjusted EBITDA of R$103 million and net income of R$21 million, despite a 42% increase in energy sold.

• Net income for the quarter was R$33 million, down 79.3% year-over-year, mainly due to non-recurring financial expenses.

• Net operating revenue for Q3 was R$3.63 billion, with gross profit at R$1.01 billion.

Outlook and guidance

• Broad investment plan expected post-concession renewal, focusing on asset modernization, reliability, and loss reduction.

• Private capital increase of up to R$1.5 billion and conversion of debts into shares planned within 90 days after new concession agreement.

• Management asserts no material uncertainty regarding going concern for at least 12 months, contingent on completion of remaining CRP actions and concession renewal.