PresentationRodrigo Caldas de AguiarCFO & Member of executive board Good morning, everyone, and welcome to our meeting to discuss the company's results for the second quarter 2025. Joining me in this presentation are members of the company's Executive Board as well as our Investor Relations team. In the first part of the presentation, we will address some of the points related to the recent proposed amendment to the company's core supervised reorganization plan as well as other measures necessary for the pl ...

格隆汇8月29日｜贸易消息人士：印度石油公司(Indian Oil)购买了500万桶WTI原油，用于10月至11月交 货。 ...

智通财经7月29日电，泰国石油(Thai Oil)股价大涨6.9%，创12周最大涨幅，其表现跑赢泰国SET指数。 ...

智通财经7月21日电，哈萨克斯坦国家石油运输商KazTransOil称，上半年通过阿特劳-萨马拉管道的原油 出口增加4%，达510万吨。 ...

Group 1 - The core point of the article is that KazTransOil, the national oil transporter of Kazakhstan, has increased its crude oil exports through the Atyrau-Samara pipeline by 4% in the first half of the year, reaching 5.1 million tons [1] Group 2 - The increase in exports indicates a positive trend in the oil transportation sector in Kazakhstan, reflecting potential growth opportunities for the industry [1] - The Atyrau-Samara pipeline plays a crucial role in facilitating Kazakhstan's crude oil exports, highlighting its importance in the regional oil supply chain [1] - The reported figures suggest that KazTransOil is effectively managing its operations to enhance export capacity, which may attract further investments in the sector [1]

Group 1 - KazTransOil, the national oil transporter of Kazakhstan, supplied 160,000 tons of crude oil to Germany via the Druzhba pipeline in June [1]

Group 1 - KazTransOil, the national oil transporter of Kazakhstan, supplied 230,000 tons of crude oil to Germany via the Druzhba pipeline in May [1]

Group 1 - The core point of the article is that Kazakhstan's oil exports to Germany increased to 160,000 tons in April [1]

Company Performance - Daqing Oilfield's natural gas production exceeded 6 billion cubic meters in 2024, marking steady growth for the 14th consecutive year [1] - The 6 billion cubic meters of natural gas can meet the annual daily needs of 39 million families of three [1] - The northeast China base produced 5 billion cubic meters of natural gas, while the southwest China base produced 1 billion cubic meters in 2024 [1] Historical Context - Daqing Oilfield was discovered in 1959 in Heilongjiang province and has significantly contributed to China's modern petroleum industry [1] Industry Impact - Daqing Oilfield is one of China's largest oil production bases, highlighting its importance in the country's energy sector [1]

[Company Data](index=3&type=section&id=Company%20Data) This section details the company's share capital structure as of September 30, 2021 [Capital Breakdown](index=3&type=section&id=Capital%20Breakdown) Outlines the company's paid-in and treasury share capital for common and preferred stock as of Q3 2021 Capital Breakdown as of 09/30/2021 (in thousands of shares) | Category | Common Shares | Preferred Shares | Total | | :--- | :--- | :--- | :--- | | **Paid-in Capital** | 5,796,478 | 157,727 | 5,954,205 | | **In Treasury** | 30 | 1,812 | 1,842 | [Individual Financial Statements](index=4&type=section&id=Individual%20Financial%20Statements) Presents the company's standalone financial performance, including balance sheets, income, and cash flow statements [Individual Balance Sheets](index=4&type=section&id=Individual%20Balance%20Sheets) Shows a significant increase in total assets to R$55.3 billion, driven by a merger and held-for-sale assets [Assets](index=4&type=section&id=Individual%20Balance%20Sheets%2C%20Assets) Individual Assets (in thousands of BRL) | Line Item | 09/30/2021 | 12/31/2020 | | :--- | :--- | :--- | | **Current Assets** | **15,332,497** | **6,017,124** | | Cash and cash equivalents | 785,300 | 1,952,680 | | Accounts receivable | 3,538,029 | 1,400,570 | | Held-for-sale assets | 4,840,885 | 100,622 | | **Non-current Assets** | **39,997,369** | **32,508,078** | | Long-term receivables | 17,421,914 | 15,160,428 | | Property, plant and equipment | 15,078,244 | 6,948,832 | | Intangible assets | 2,662,169 | 3,045,378 | | **Total Assets** | **55,329,866** | **38,525,202** | [Liabilities and Equity](index=6&type=section&id=Individual%20Balance%20Sheets%2C%20Liabilities%20and%20Equity) Individual Liabilities and Equity (in thousands of BRL) | Line Item | 09/30/2021 | 12/31/2020 | | :--- | :--- | :--- | | **Current Liabilities** | **6,704,680** | **3,044,306** | | Trade payables | 2,676,984 | 970,071 | | **Non-current Liabilities** | **47,563,377** | **27,729,404** | | Borrowings and financing | 22,081,725 | 12,935,035 | | Other payables | 21,282,192 | 12,679,013 | | **Total Liabilities** | **54,268,057** | **30,773,710** | | **Shareholders' Equity** | **1,061,809** | **7,751,492** | | **Total Liabilities and Equity** | **55,329,866** | **38,525,202** | [Individual Statements of Profit or Loss](index=8&type=section&id=Individual%20Statements%20of%20Profit%20or%20Loss) Reports a net loss of R$6.7 billion for the nine months to September 2021, a notable improvement from 2020 Individual Profit or Loss Highlights (YTD, in thousands of BRL) | Line Item | YTD 09/30/2021 | YTD 09/30/2020 | | :--- | :--- | :--- | | Net operating revenue | 4,724,165 | 2,521,231 | | Gross profit | 716,443 | 506,252 | | Share of results of investees | (3,938,627) | (8,582,934) | | Financial income (expenses) | (3,090,060) | (2,995,067) | | Profit/loss for the period | (6,711,199) | (12,327,833) | | Basic earnings per share (R$) | (1.13) | (2.07) | [Individual Statements of Comprehensive Income](index=9&type=section&id=Individual%20Statements%20of%20Comprehensive%20Income) Details a comprehensive loss of R$6.7 billion for the nine months to September 2021, driven by the net loss Individual Comprehensive Income (YTD, in thousands of BRL) | Line Item | YTD 09/30/2021 | YTD 09/30/2020 | | :--- | :--- | :--- | | Profit for the period | (6,711,199) | (12,327,833) | | Other comprehensive income | 5,434 | 650,646 | | **Comprehensive income for the period** | **(6,705,765)** | **(11,677,187)** | [Individual Statements of Cash Flows](index=10&type=section&id=Individual%20Statements%20of%20Cash%20Flows) Shows a net cash decrease of R$1.2 billion, with significant outflows from investing and operating activities Individual Cash Flow Summary (YTD, in thousands of BRL) | Line Item | YTD 09/30/2021 | YTD 09/30/2020 | | :--- | :--- | :--- | | Net cash from operating activities | (109,964) | (717,588) | | Net cash from investing activities | (1,484,374) | 2,328,865 | | Net cash from financing activities | 430,304 | (246,930) | | **Increase (decrease) in cash** | **(1,167,380)** | **1,550,046** | | Cash at beginning of period | 1,952,680 | 949,967 | | Cash at end of period | 785,300 | 2,500,013 | [Individual Statement of Changes in Equity](index=12&type=section&id=Individual%20Statement%20of%20Changes%20in%20Equity) Highlights a sharp R$6.7 billion decrease in shareholders' equity, primarily due to the period's net loss Individual Changes in Equity (YTD 09/30/2021, in thousands of BRL) | Line Item | Amount | | :--- | :--- | | Opening balance (01/01/2021) | 7,751,492 | | Profit (loss) for the period | (6,711,199) | | Other comprehensive income | 5,434 | | Share-based compensation | 16,082 | | **Closing balance (09/30/2021)** | **1,061,809** | [Individual Statements of Value Added](index=14&type=section&id=Individual%20Statements%20of%20Value%20Added) Shows a negative wealth for distribution of R$333.5 million, with lenders and lessors as primary recipients Individual Distribution of Value Added (YTD, in thousands of BRL) | Category | YTD 09/30/2021 | YTD 09/30/2020 | | :--- | :--- | :--- | | **Wealth for distribution** | **(333,456)** | **(4,941,547)** | | Personnel | 446,196 | 255,848 | | Taxes and fees | 922,850 | 576,510 | | Lenders and lessors | 5,008,697 | 6,553,928 | | Shareholders (Retained earnings/losses) | (6,711,199) | (12,327,833) | [Consolidated Financial Statements](index=15&type=section&id=Consolidated%20Financial%20Statements) Presents the group's combined financial position, performance, and cash flows, including all subsidiaries [Consolidated Balance Sheets](index=15&type=section&id=Consolidated%20Balance%20Sheets) Shows total assets of R$75.5 billion, with a significant increase in held-for-sale assets to R$34.4 billion [Assets](index=15&type=section&id=Consolidated%20Balance%20Sheets%2C%20Assets) Consolidated Assets (in thousands of BRL) | Line Item | 09/30/2021 | 12/31/2020 | | :--- | :--- | :--- | | **Current Assets** | **46,291,077** | **33,795,738** | | Cash and cash equivalents | 3,020,184 | 4,107,941 | | Accounts receivable | 4,238,128 | 3,974,238 | | Held-for-sale assets | 34,413,026 | 20,771,942 | | **Non-current Assets** | **29,238,271** | **40,044,049** | | Property, plant and equipment | 16,508,439 | 24,135,058 | | Intangible assets | 3,171,501 | 3,697,821 | | **Total Assets** | **75,529,348** | **73,839,787** | [Liabilities and Equity](index=17&type=section&id=Consolidated%20Balance%20Sheets%2C%20Liabilities%20and%20Equity) Consolidated Liabilities and Equity (in thousands of BRL) | Line Item | 09/30/2021 | 12/31/2020 | | :--- | :--- | :--- | | **Current Liabilities** | **23,469,967** | **18,013,108** | | Liabilities associated to held-for-sale assets | 13,937,803 | 9,195,376 | | **Non-current Liabilities** | **50,980,265** | **48,056,769** | | Borrowings and financing | 31,071,532 | 25,918,777 | | **Total Liabilities** | **74,450,232** | **66,069,877** | | **Consolidated Shareholders' Equity** | **1,079,116** | **7,769,910** | | **Total Liabilities and Equity** | **75,529,348** | **73,839,787** | [Consolidated Statements of Profit or Loss](index=19&type=section&id=Consolidated%20Statements%20of%20Profit%20or%20Loss) Reports a consolidated net loss of R$6.7 billion for the nine months to September 2021, driven by financial expenses Consolidated Profit or Loss Highlights (YTD, in thousands of BRL) | Line Item | YTD 09/30/2021 | YTD 09/30/2020 | | :--- | :--- | :--- | | Net operating revenue | 6,716,892 | 7,027,560 | | Gross profit | 1,479,360 | 2,018,457 | | Financial income (expenses) | (6,486,212) | (10,821,576) | | Consolidated profit/loss for the period | (6,713,827) | (12,326,728) | | Basic earnings per share (R$) | (1.13) | (2.07) | [Consolidated Statements of Comprehensive Income](index=21&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Income) Details a consolidated comprehensive loss of R$6.7 billion, almost entirely reflecting the period's net loss Consolidated Comprehensive Income (YTD, in thousands of BRL) | Line Item | YTD 09/30/2021 | YTD 09/30/2020 | | :--- | :--- | :--- | | Consolidated profit for the period | (6,713,827) | (12,326,728) | | Other comprehensive income | 6,951 | 699,710 | | **Consolidated comprehensive income** | **(6,706,876)** | **(11,627,018)** | [Consolidated Statements of Cash Flows](index=22&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Shows a net cash decrease of R$1.1 billion, with significant financing inflows offsetting operational outflows Consolidated Cash Flow Summary (YTD, in thousands of BRL) | Line Item | YTD 09/30/2021 | YTD 09/30/2020 | | :--- | :--- | :--- | | Net cash from operating activities | (1,631,817) | 3,539,622 | | Net cash from investing activities | (3,576,281) | (1,548,142) | | Net cash from financing activities | 4,163,879 | 1,184,677 | | **Increase (decrease) in cash** | **(1,087,757)** | **3,381,165** | | Cash at beginning of period | 4,107,941 | 2,081,945 | | Cash at end of period | 3,020,184 | 5,463,110 | [Consolidated Statement of Changes in Equity](index=24&type=section&id=Consolidated%20Statement%20of%20Changes%20in%20Equity) Highlights a R$6.7 billion decline in consolidated equity, driven by the net loss for the period Consolidated Changes in Equity (YTD 09/30/2021, in thousands of BRL) | Line Item | Amount | | :--- | :--- | | Opening balance (01/01/2021) | 7,769,910 | | Profit (loss) for the period | (6,713,827) | | Other comprehensive income | 6,951 | | Share-based compensation | 16,082 | | **Closing balance (09/30/2021)** | **1,079,116** | [Consolidated Statements of Value Added](index=26&type=section&id=Consolidated%20Statements%20of%20Value%20Added) Details the R$4.2 billion in wealth generated and its distribution to stakeholders, primarily lenders and lessors Consolidated Distribution of Value Added (YTD, in thousands of BRL) | Category | YTD 09/30/2021 | YTD 09/30/2020 | | :--- | :--- | :--- | | **Wealth for distribution** | **4,237,584** | **3,376,836** | | Personnel | 1,230,218 | 1,251,484 | | Taxes and fees | 2,236,284 | 2,184,399 | | Lenders and lessors | 7,484,909 | 12,267,681 | | Shareholders (Retained earnings/losses) | (6,713,827) | (12,326,728) | [Notes to the Financial Statements](index=27&type=section&id=Notes%20to%20the%20Financial%20Statements) Provides detailed disclosures on accounting policies, risk management, and key financial statement items [General Information and Judicial Reorganization](index=28&type=section&id=1.%20GENERAL%20INFORMATION) Details the company's operations under a Judicial Reorganization Plan focused on divesting assets to fund fiber optics [Judicial Reorganization Plan (JRP)](index=30&type=section&id=Judicial%20Reorganization%20Plan%20(JRP)) - The company is operating under a court-supervised **Judicial Reorganization Plan (JRP)**, which was amended and approved in September 2020[57](index=57&type=chunk) - The JRP's strategy is to achieve financial flexibility by selling specific business units (UPIs) to fund investments in its **core fiber optics business** and repay creditors[52](index=52&type=chunk)[58](index=58&type=chunk) - The court supervision period was **extended until March 31, 2022**, to allow for the completion of the UPI sales[60](index=60&type=chunk)[61](index=61&type=chunk) [Sale of Isolated Productive Units (UPIs)](index=38&type=section&id=Sale%20of%20Isolated%20Productive%20Units%20(UPIs)) - The JRP mandates the sale of several UPIs, including **Mobile Assets, InfraCo, and TVCo**, to raise funds[320](index=320&type=chunk) - An investment agreement was signed with Globenet for the partial sale of UPI InfraCo for **R$12.9 billion**[90](index=90&type=chunk)[91](index=91&type=chunk) - The sale of UPI InfraCo received final approval from the antitrust authority **CADE in November 2021** and is pending ANATEL's approval[93](index=93&type=chunk)[94](index=94&type=chunk)[356](index=356&type=chunk) [Corporate Restructuring and Mergers](index=39&type=section&id=Corporate%20Restructuring%20and%20Mergers) - As part of the reorganization, Oi merged its wholly-owned subsidiary **Telemar on May 3, 2021**, consolidating its assets and liabilities[95](index=95&type=chunk) Summary of Merged Net Assets from Telemar (May 3, 2021) | Description | Amount (in thousands of BRL) | | :--- | :--- | | Total Assets Acquired | 29,804,012 | | Total Liabilities Assumed | (23,641,995) | | **Merged Net Assets** | **6,162,017** | [Significant Accounting Policies](index=41&type=section&id=2.%20SIGNIFICANT%20ACCOUNTING%20POLICIES) Outlines the IFRS-based accounting principles used, including the key classification of UPIs as discontinued operations - The financial statements are prepared in accordance with **IAS 34 / CPC 21 (R1)** for interim reporting[105](index=105&type=chunk) - Comparative balances for the income statement, cash flow, and other statements were restated to segregate **discontinued operations (UPIs)** in accordance with CPC 31/IFRS 5[108](index=108&type=chunk) - Key accounting judgments and estimates include **impairment of long-lived assets, provisions for lawsuits, and the fair value of financial liabilities**[109](index=109&type=chunk) [Financial Instruments and Risk Management](index=46&type=section&id=3.%20FINANCIAL%20INSTRUMENTS%20AND%20RISK%20ANALYSIS) Details the company's significant exposure to foreign exchange and interest rate risks and its hedging strategies [Market Risk (Foreign Exchange and Interest Rate)](index=49&type=section&id=Market%20Risk%20(Foreign%20Exchange%20and%20Interest%20Rate)) - The company's debt is significantly exposed to market risks, with **61.4% of borrowings and financing exposed to foreign exchange fluctuations** and **32.3% subject to floating interest rates** (mainly CDI)[136](index=136&type=chunk)[150](index=150&type=chunk) Sensitivity Analysis of Market Risks (Consolidated) | Scenario | Impact on Profit/Loss (in thousands of BRL) | | :--- | :--- | | 50% BRL Depreciation | (8,831,980) | | 50% Increase in Interest Rates | (3,030,370) | [Credit and Liquidity Risk](index=55&type=section&id=Credit%20and%20Liquidity%20Risk) - Credit risk is managed by diversifying the customer portfolio and investing with prime financial institutions; **91.0% of consolidated cash investments** are with counterparties rated AAA, AA, A, or sovereign[157](index=157&type=chunk)[158](index=158&type=chunk) - Liquidity has been reinforced in 2021 through several financing activities, including a **R$2.5 billion debenture issue** for InfraCo (FTTH expansion) and a **US$880 million Senior Bond issuance** by Oi Móvel[161](index=161&type=chunk)[162](index=162&type=chunk) [Held-for-Sale Assets and Discontinued Operations](index=109&type=section&id=30.%20HELD-FOR-SALE%20ASSETS%20AND%20DISCONTINUED%20OPERATIONS) Reports R$34.4 billion in assets held for sale and a R$536.1 million profit from these discontinued operations - Assets and liabilities related to the disposal of **UPI Mobile Assets, UPI InfraCo, and UPI TVCo** are classified as held for sale[320](index=320&type=chunk) Consolidated Held-for-Sale Balances (in thousands of BRL) | Category | 09/30/2021 | 12/31/2020 | | :--- | :--- | :--- | | **Assets Held for Sale** | **34,413,026** | **20,771,942** | | Property, plant and equipment | 30,052,350 | 17,297,887 | | **Liabilities Associated to Held-for-Sale Assets** | **13,937,803** | **9,195,376** | | Leases payable | 7,093,509 | 5,636,122 | Profit (Loss) from Discontinued Operations (in thousands of BRL) | Period | Amount | | :--- | :--- | | YTD 09/30/2021 | 536,096 | | YTD 09/30/2020 | (475,076) | [Other Key Notes](index=57&type=section&id=Other%20Key%20Notes) Covers key disclosures on revenue, debt, provisions, contingent liabilities, and the impact of COVID-19 [Revenue, Expenses, and Segment Reporting](index=57&type=section&id=Revenue%2C%20Expenses%2C%20and%20Segment%20Reporting) - The company operates as a single reportable segment, **"Telecommunications in Brazil,"** which excludes discontinued operations[294](index=294&type=chunk) Consolidated Net Operating Revenue by Segment (YTD 09/30/2021, in thousands of BRL) | Segment | Revenue | | :--- | :--- | | Residential | 3,851,899 | | SMEs/Corporate (B2B) | 2,624,558 | | Other | 69,674 | | **Total Brazil Telecom** | **6,546,131** | [Debt and Provisions](index=82&type=section&id=Debt%20and%20Provisions) Consolidated Debt and Provisions (09/30/2021, in thousands of BRL) | Category | Amount | | :--- | :--- | | Total Borrowings and Financing | 31,339,944 | | Provisions (Probable Loss) | 5,327,248 | | Contingent Liabilities (Possible Loss) | 31,307,147 | [COVID-19 and Other Information](index=117&type=section&id=COVID-19%20and%20Other%20Information) - The company has maintained operations during the COVID-19 pandemic with measures like **remote work for ~71% of staff** and safety protocols for field workers, reporting no material deviations in operations or results[339](index=339&type=chunk)[340](index=340&type=chunk)[344](index=344&type=chunk) - An independent internal investigation regarding **"Operation: Mapa da Mina" was completed** and did not identify any indications of illegalities committed by the Company[337](index=337&type=chunk)