Core Viewpoint - Addex Therapeutics announced significant anti-tussive activity of its GABAB positive allosteric modulator (PAM) in preclinical models, indicating potential as a treatment for chronic cough [1][3][4] Company Overview - Addex Therapeutics is a clinical-stage biopharmaceutical company focused on developing novel small molecule allosteric modulators for neurological disorders [6] - The company’s lead drug candidate, dipraglurant, is being evaluated for brain injury recovery [6] - Addex has a partnership with Indivior for a GABAB PAM drug candidate aimed at substance use disorders, which has completed IND enabling studies [6] Product Development - The GABAB PAM drug candidate demonstrated significant reductions in cough frequency and increased cough latency in preclinical models, outperforming reference drugs like nalbuphine, baclofen, and codeine [3][4] - The candidate showed better tolerability and a wider therapeutic margin compared to nalbuphine and baclofen, while being similar to a P2X3 inhibitor [3] - The company plans to advance the GABAB PAM candidate into IND enabling studies following positive in vivo proof of concept [4] Scientific Background - GABAB receptors are involved in the cough neural circuit and are activated by GABA, with baclofen being a selective GABAB agonist used off-label for chronic cough [5] - The allosteric modulation approach offers advantages such as higher selectivity and better tolerability compared to traditional orthosteric compounds like baclofen [5]

Core Viewpoint - Pampa Energia S.A. (PAM) is positioned as a strong investment option in the utility sector due to its focus on asset quality and expansion in electricity generation, transmission, and distribution in Argentina [1] Growth Projections - The Zacks Consensus Estimate for 2025 earnings per share (EPS) has increased by 67.2% to $11.20 over the past 90 days [2] - The Zacks Consensus Estimate for 2025 sales is projected at $2.15 billion, reflecting a year-over-year growth of 14.7% [2] - PAM has achieved an average earnings surprise of 168.1% in the last four quarters [2] Liquidity - PAM's current ratio at the end of Q1 2025 was 1.82, surpassing the industry average of 0.77, indicating sufficient short-term assets to cover liabilities [3] Debt Position - PAM's total debt to capital ratio stands at 38.69%, which is better than the industry's average of 62.5% [4] - The time-to-interest earned ratio at the end of Q1 2025 was 4.1, indicating the company's capability to meet future interest obligations comfortably [4] Return on Equity (ROE) - PAM's ROE is currently 15.29%, exceeding the industry average of 10.05%, demonstrating effective utilization of shareholders' funds to generate income [5] Clean Power Generation - PAM is developing multiple wind energy projects in Argentina, particularly in Buenos Aires, with over $1 billion invested in 687 megawatts (MW) of wind energy since 2018 [6] - In Q1 2025, PAM's net power generation reached 5,951 gigawatt-hours, sourced from hydro, wind, and thermal energy [6] Stock Price Performance - Over the past three months, PAM's shares have increased by 6.9%, outperforming the industry's growth of 4.8% [7]

Group 1 - The focus is on value companies linked to commodity production, particularly in sectors like oil & gas, metals, and mining [1] - Emphasis on companies with sustained free cash flows, low leverage, and sustainable debt, especially those in distress with high recovery potential [1] - Preference for analyzing companies in emerging markets that exhibit high margins and present good medium to long-term investment opportunities [1] Group 2 - Interest in companies with a strong pro-shareholder attitude, including solid buyback programs and consistent dividend distributions [1] - The analyst has a financial master's degree specializing in company valuation and an economic degree [1] - The motivation is to share information with the Seeking Alpha community to enhance individual investment decisions [1]

[Q1 25 Main Results](index=1&type=section&id=Q1%2025%20Main%20Results) Pampa Energía reported a 3% increase in Q1 25 sales and a 17% rise in Adjusted EBITDA, while net profit decreased by 43% due to tax and operating costs Q1 25 Key Financial Highlights (YoY) | Metric | Q1 25 (US$ million) | Q1 24 (US$ million) | Variation | | :--- | :--- | :--- | :--- | | Sales | 414 | 401 | +3% | | Adjusted EBITDA | 220 | 187 | +17% | | Net Profit | 153 | 267 | -43% | | Net Debt | 577 | N/A | N/A | - Sales growth was driven by higher spot energy prices, the newly commissioned **PEPE 6**, and greater deliveries under **Plan Gas**, partially offset by lower petrochemical reformer volumes and softer gas sales to industries and Chile[2](index=2&type=chunk) - Adjusted EBITDA increase was mainly due to spot energy and **PEPE 6** in power generation, along with higher **Plan Gas** volumes and tariff increases in **TGS** and **Transener**, partially offset by higher operating costs and reduced petrochemical production[3](index=3&type=chunk) - Net profit decreased primarily due to a smaller recovery from non-cash deferred income tax and increasing operating costs, despite higher sales and positive net financial results[4](index=4&type=chunk) [1. Relevant Events](index=2&type=section&id=1.%20Relevant%20Events) This section details significant corporate developments, including a major FLNG project, power generation updates, tariff adjustments for TGS and Transener, and changes in the Board of Directors [1.1 Participation in the FLNG Project for LNG Exports](index=2&type=section&id=1.1%20Participation%20in%20the%20FLNG%20Project%20for%20LNG%20Exports) Pampa Energía, through its 20% stake in SESA, is moving forward with a significant FLNG Project, executing final investment decisions for two floating liquefaction vessels (Hilli and MKII) with a combined capacity of up to 6 MTPA of LNG. This US$7 billion investment aims to monetize Pampa's Vaca Muerta reserves and position Argentina in the global LNG market, with Pampa contributing up to 6 mcmpd of natural gas - Shareholders of SESA (Pampa **20% stake**) agreed to proceed with the FLNG Project, executing FID for a **20-year charter** of the **Hilli (2.45 MTPA)** and **MKII (3.5 MTPA)** floating liquefaction vessels[7](index=7&type=chunk)[8](index=8&type=chunk)[9](index=9&type=chunk) - The project aims to export up to **6 MTPA of LNG**, with Hilli expected to begin operations in **late 2027/early 2028** and MKII by the **end of 2028**[8](index=8&type=chunk) - Pampa will contribute up to **6 mcmpd of natural gas**, representing an almost **50% increase** from current average production, to supply the vessels[10](index=10&type=chunk) - The estimated investment is **US$7 billion over 20 years**, approved under the RIGI, with a **30-year unrestricted LNG export permit** granted[11](index=11&type=chunk) [1.2 Power generation](index=2&type=section&id=1.2%20Power%20generation) The power generation segment saw multiple spot remuneration updates from January to May 2025, with increases ranging from 1.5% to 4%. Additionally, the National Government and Mendoza province agreed to jointly tender the HIDISA and HINISA concessions as a single business unit Spot Remuneration Updates (Effective as of) | Effective as of: | Increase | | :--- | :--- | | January 2025 | 4% | | February 2025 | 4% | | March 2025 | 1.5% | | April 2025* | 1.5% | | May 2025* | 2% | - The National Government and Mendoza province agreed to jointly tender the HIDISA and HINISA concessions as a single business unit, transferring **51%** of the concessionaire's shares[13](index=13&type=chunk) [1.3 Transener and TGS](index=3&type=section&id=1.3%20Transener%20and%20TGS) TGS experienced a US$13 million loss in Q1 25 due to severe flooding at its Cerri Complex, which halted NGL production and gas transportation, though gas transportation was restored. Both Transener and TGS received multiple tariff adjustments and concluded their five-year tariff reviews (RQT), establishing new capital bases, mandatory investments, real rates of return, and monthly adjustment mechanisms for cost variations - Severe flooding at **TGS's Cerri Complex** on March 7, 2025, halted NGL production and natural gas transportation; gas transportation was restored on March 24, but NGL production is still partially normalized[15](index=15&type=chunk) - **TGS** recorded a **US$13 million loss** in Q1 25 related to climate event expenses and impairment of materials and PPE due to the flood[16](index=16&type=chunk) Tariff Adjustments due to Cost Variations | Effective as of: | Transener Increase | TGS Increase | | :--- | :--- | :--- | | January 2025 | 4% | 2.5% | | February 2025 | 4% | 1.5% | | March 2025 | 2% | 1.7% | | April 2025 | 4% | 0% | - **TGS's five-year tariff review (RQT)** concluded, effective May 2025-2030, including an initial **3.67% tariff increase** and monthly adjustments based on a **50% PPI and 50% CPI** formula[18](index=18&type=chunk)[19](index=19&type=chunk) - **Transener and Transba's five-year tariff review (RQT)** concluded, effective May 2025-2030, with **Transener** receiving a **42.89% increase** and **Transba** a **10.30% increase**, phased in monthly, and a monthly adjustment mechanism combining **33% CPI and 67% PPI**[20](index=20&type=chunk)[21](index=21&type=chunk) [1.4 Approval of VMOS's under RIGI](index=4&type=section&id=1.4%20Approval%20of%20VMOS%27s%20under%20RIGI) The Ministry of Economy (MECON) approved VMOS's application to the Incentive Regime for Large Investments (RIGI) for the construction and operation of a 437 km oil pipeline with a capacity of up to 700 kbpd. Pampa holds an 11% stake in VMOS and has a contract to transport 50 kbpd - **MECON** approved **VMOS's** application to the **RIGI** for building and operating a **437 km oil pipeline** between Allen and Punta Colorada, with a capacity of up to **700 kbpd**[23](index=23&type=chunk) - Pampa holds an **11% stake** in **VMOS** and has a contract to transport **50 kbpd**, including storage and loading services[23](index=23&type=chunk) [1.5 End of the Export Growth Program ('PIE')](index=4&type=section&id=1.5%20End%20of%20the%20Export%20Growth%20Program%20%28%27PIE%27%29) Executive Order No. 269/25 mandated that 100% of export proceeds must be settled through the official exchange market (MULC), effectively terminating the Export Growth Program (PIE) - Executive Order No. **269/25** ended the **Export Growth Program ('PIE')** by mandating that **100% of export proceeds** must be settled through the official exchange market **MULC**[24](index=24&type=chunk) [1.6 Changes in the Board of Directors](index=4&type=section&id=1.6%20Changes%20in%20the%20Board%20of%20Directors) Pampa's Shareholders Meeting approved the appointments of three new Board members and renewed the tenures of several existing members and alternate members. New appointments were also made to the Audit Committee - **Gabriel Szpiegel**, **Daniela Rivarola Meilan**, and **Nicolás Mindlin** were appointed as new Board members[25](index=25&type=chunk) - **Carolina Zang** and **Julia Pomares** had their tenures renewed as Board members, while **Clarisa Lifsic**, **Lorena Rappaport**, and **Diego Martín Salaverri** were renewed as alternate members, and **Flavia Bevilacqua** and **María Carolina Sigwald** were appointed as alternate members[26](index=26&type=chunk) - **Gabriel Szpiegel** and **Carolina Zang** were designated members of the Audit Committee, with **Clarisa Lifsic** as an alternate member[26](index=26&type=chunk) [2. Financial highlights](index=5&type=section&id=2.%20Financial%20highlights) This section provides an overview of Pampa Energía's consolidated balance sheet, income statement, cash flow, and debt profile for Q1 25 [2.1 Consolidated balance sheet](index=5&type=section&id=2.1%20Consolidated%20balance%20sheet) As of March 31, 2025, Pampa Energía reported a slight decrease in total assets and liabilities compared to December 31, 2024, while total equity attributable to owners of the company increased Consolidated Balance Sheet (US$ million) | Metric | As of 03.31.2025 | As of 12.31.2024 | | :--- | :--- | :--- | | Total Assets | 6,199 | 6,345 | | Total Equity | 3,482 | 3,295 | | Total Liabilities | 2,717 | 3,050 | | Property, plant and equipment | 2,685 | 2,607 | | Investments in associates and joint ventures | 1,103 | 993 | | Cash and cash equivalents | 361 | 738 | [2.2 Consolidated income statement](index=6&type=section&id=2.2%20Consolidated%20income%20statement) Pampa Energía's Q1 25 consolidated income statement shows a 3% increase in sales revenue year-on-year, but a 43% decrease in net income, primarily due to lower recovery from non-cash deferred income tax and increased operating costs Consolidated Income Statement (US$ million, Q1 25 vs Q1 24) | Metric | Q1 25 | Q1 24 | Variation | | :--- | :--- | :--- | :--- | | Sales revenue | 414 | 401 | +3% | | Cost of sales | (285) | (258) | +10% | | Gross profit | 129 | 143 | -10% | | Operating income | 121 | 119 | +2% | | Financial results, net | 29 | 1 | NA | | Profit before tax | 150 | 120 | +25% | | Net income for the period | 154 | 268 | -43% | | Net income per ADR to shareholders | 2.8 | 4.9 | -43% | [2.3 Consolidated cash flow statement](index=7&type=section&id=2.3%20Consolidated%20cash%20flow%20statement) In Q1 25, Pampa Energía significantly improved cash generated from operating activities, moving from a net outflow in Q1 24 to a net inflow. However, there was a substantial increase in cash used in financing activities, primarily due to debt repurchases and redemptions, leading to an overall decrease in cash and cash equivalents Consolidated Cash Flow Statement (US$ million, Q1 25 vs Q1 24) | Activity | Q1 25 | Q1 24 | | :--- | :--- | :--- | | Net cash generated by (used in) operating activities | 90 | (20) | | Net cash generated by (used in) investing activities | (43) | (28) | | Net cash (used in) generated by financing activities | (424) | 77 | | (Decrease) Increase in cash and cash equivalents | (377) | 29 | | Cash and cash equivalents at the end of the period | 361 | 200 | - Repurchase and redemption of corporate bonds amounted to **US$360 million** in Q1 25, a significant financing outflow compared to none in Q1 24[31](index=31&type=chunk) [2.4 Cash and financial borrowings](index=8&type=section&id=2.4%20Cash%20and%20financial%20borrowings) Pampa Energía's consolidated financial debt decreased by 19% to US$1,691 million in Q1 25 due to the redemption of 2027 Notes, but net debt increased to US$577 million due to higher working capital and investments. The company successfully improved its debt maturity profile, extending the average life to 5.0 years, and continues to comply with all debt covenants Cash and Financial Debt (US$ million, as of March 31, 2025) | Metric | Consolidated (in FS) | | :--- | :--- | | Cash | 1,114 | | Financial debt | 1,691 | | Net debt | 577 | - Pampa's financial debt under IFRS amounted to **US$1,691 million**, a **19% decrease** from the end of 2024, mainly due to the full redemption of **2027 Notes** funded by the issuance of **2034 Notes**[34](index=34&type=chunk) - Net debt increased to **US$577 million** due to higher seasonal working capital needs and increased capital expenditures for Rincón de Aranda's development[34](index=34&type=chunk) - The issuances of the **2031** and **2034 Notes** significantly improved Pampa's debt maturity profile, extending the average life to **5.0 years**[35](index=35&type=chunk) Pampa's Debt Securities (in million US$) | Security | Maturity | Amount net of repurchases | Coupon | | :--- | :--- | :--- | :--- | | CB Series 9 (Foreign Law) | 2026 | 120 | 9.5% | | CB Series 3 (Foreign Law) | 2029 | 293 | 9.125% | | CB Series 21 (Foreign Law) | 2031 | 410 | 7.95% | | CB Series 23 (Foreign Law) | 2034 | 360 | 7.875% | Credit Ratings (Global) | Company | Agency | Rating | | :--- | :--- | :--- | | Pampa | S&P | B- | | Pampa | Moody's | Caa1 | | Pampa | FitchRatings | B- | [3. Analysis of the Q1 25 results](index=10&type=section&id=3.%20Analysis%20of%20the%20Q1%2025%20results) This section offers a detailed segment-by-segment analysis of Pampa Energía's Q1 25 financial performance, including adjusted EBITDA, and key operational drivers [3.1 Reconciliation of consolidated adjusted EBITDA](index=10&type=section&id=3.1%20Reconciliation%20of%20consolidated%20adjusted%20EBITDA) Pampa Energía's consolidated adjusted EBITDA increased by 17% year-on-year to US$220 million in Q1 25, driven by strong performance in power generation and holding & others segments, despite adjustments in other segments Consolidated Adjusted EBITDA Reconciliation (US$ million) | Metric | Q1 25 | Q1 24 | | :--- | :--- | :--- | | Consolidated operating income | 121 | 119 | | Consolidated depreciations and amortizations | 84 | 68 | | Reporting EBITDA | 205 | 187 | | Consolidated adjusted EBITDA | 220 | 187 | Adjusted EBITDA by Segment (US$ million, Q1 25 vs Q1 24) | Segment | Q1 25 | Q1 24 | Variation | | :--- | :--- | :--- | :--- | | Oil and Gas | 41 | 67 | -39% | | Power generation | 130 | 86 | +51% | | Petrochemicals | (4) | 11 | NA | | Holding and Others | 53 | 23 | +133% | | Total | 220 | 187 | +17% | [3.2 Analysis of the oil and gas segment](index=11&type=section&id=3.2%20Analysis%20of%20the%20oil%20and%20gas%20segment) The oil and gas segment experienced a 3% decline in sales revenue and a 39% drop in adjusted EBITDA in Q1 25, primarily due to lower gas sales to Chile and industries, and reduced crude oil volumes. Despite flat overall production year-on-year, gas production saw a slight increase, while oil production decreased significantly due to divestments and lower volumes in conventional blocks, partially offset by rising shale oil production at Rincón de Aranda, which also drove a 67% increase in capital expenditures Oil & Gas Segment Financials (US$ million, Q1 25 vs Q1 24) | Metric | Q1 25 | Q1 24 | ∆% | | :--- | :--- | :--- | :--- | | Sales revenue | 146 | 150 | -3% | | Gross profit | 28 | 51 | -45% | | Net loss for the period | (49) | 48 | NA | | Adjusted EBITDA | 41 | 67 | -39% | | Increases in PPE and right-of-use assets | 147 | 87 | +69% | - Sales decline was mainly due to lower gas sales to Chile and industries, and a drop in crude oil volumes, partially offset by higher deliveries under **Plan Gas**[44](index=44&type=chunk) Oil & Gas Production (kboe/day, Q1 25 vs Q1 24) | Product | Q1 25 | Q1 24 | Variation | | :--- | :--- | :--- | :--- | | Total Production | 72.7 | 73.1 | -0% | | Gas Production | 69.5 | 68.8 | +1% | | Oil Production | 3.2 | 4.3 | -25% | Oil & Gas Average Prices (Q1 25 vs Q1 24) | Product | Q1 25 | Q1 24 | Variation | | :--- | :--- | :--- | :--- | | Average gas price (US$/MBTU) | 3.0 | 3.2 | -6% | | Average oil price (US$/bbl) | 68.4 | 68.6 | -0% | - Oil production decreased due to the sale of **Gobernador Ayala block** in October 2024 and lower volumes at conventional crude oil blocks, partially offset by rising shale oil production at **Rincón de Aranda**[51](index=51&type=chunk) - Lifting cost per boe rose **20% to US$6.9** in Q1 25 (vs. US$5.8 in Q1 24), mainly due to higher gas treatment expenses and well testing at **Rincón de Aranda**[53](index=53&type=chunk) - Capital expenditures amounted to **US$147 million** in Q1 25 (**+67% YoY**), with **78%** allocated to the development of **Rincón de Aranda**[60](index=60&type=chunk) [3.3 Analysis of the power generation segment](index=14&type=section&id=3.3%20Analysis%20of%20the%20power%20generation%20segment) The power generation segment saw a 27% increase in sales revenue and a 51% rise in adjusted EBITDA in Q1 25, primarily driven by higher spot prices, the full commissioning of PEPE 6, and operational improvements. Despite a slight decrease in net income, the segment's operational performance outperformed the national grid, with increased generation from new capacity and improved availability Power Generation Segment Financials (US$ million, Q1 25 vs Q1 24) | Metric | Q1 25 | Q1 24 | ∆% | | :--- | :--- | :--- | :--- | | Sales revenue | 195 | 154 | +27% | | Gross profit | 92 | 77 | +19% | | Net income for the period | 125 | 198 | -37% | | Adjusted EBITDA | 130 | 86 | +51% | | Increases in PPE | 9 | 24 | -63% | - Sales growth was mainly driven by higher spot prices in US$ terms (AR$ prices rose **136% YoY**), the full commissioning of **PEPE 6** (adding **140 MW**), and increased recognition of fuel, gas, and power transportation tariffs[62](index=62&type=chunk) Power Generation Key Performance Indicators (Q1 25 vs Q1 24) | Metric | Q1 25 | Q1 24 | Variation | | :--- | :--- | :--- | :--- | | Installed capacity (MW) | 5,472 | 5,332 | +3% | | Net generation (GWh) | 5,951 | 5,928 | +0% | | Average price (US$/MWh) | 37 | 31 | +22% | | Average gross margin (US$/MWh) | 25 | 20 | +22% | | Total availability | 93.4% | 96.5% | -307 bps | - Adjusted EBITDA was boosted by higher spot prices, the addition of **PEPE 6**, and operational improvements, especially in **PPAs units**, partially offset by higher operating expenses[72](index=72&type=chunk) - Capital expenditures (excluding CTEB) totaled **US$9 million** in Q1 25, down from US$24 million in Q1 24, due to the completion of **PEPE 6** in Q4 24[73](index=73&type=chunk) [3.4 Analysis of the petrochemicals segment](index=16&type=section&id=3.4%20Analysis%20of%20the%20petrochemicals%20segment) The petrochemicals segment reported a US$4 million adjusted EBITDA loss in Q1 25, a significant decline from a US$11 million gain in Q1 24, primarily due to a reformer plant overhaul that reduced production by 30%, lower styrene and polystyrene prices/volumes, and higher operating expenses. Despite this, net income increased significantly due to contingency recoveries Petrochemicals Segment Financials (US$ million, Q1 25 vs Q1 24) | Metric | Q1 25 | Q1 24 | ∆% | | :--- | :--- | :--- | :--- | | Sales revenue | 92 | 120 | -23% | | Gross profit | 2 | 12 | -83% | | Net income for the period | 42 | 11 | +282% | | Adjusted EBITDA | (4) | 11 | NA | - The adjusted EBITDA loss was mainly due to a **30% reduction in production** from an overhaul at the **Reformer plant** in February 2025, lower styrene and polystyrene prices and volumes, and higher operating expenses[76](index=76&type=chunk) Petrochemicals Key Performance Indicators (Q1 25 vs Q1 24) | Metric | Q1 25 | Q1 24 | Variation | | :--- | :--- | :--- | :--- | | Total volume sold (k ton) | 84 | 110 | -24% | | Average price (US$/ton) | 1,095 | 1,098 | -0% | | Styrene & polystyrene volume sold (k ton) | 19 | 23 | -15% | | SBR volume sold (k ton) | 11 | 10 | +8% | | Reforming & others volume sold (k ton) | 54 | 77 | -30% | - Financial results recorded a profit of **US$26 million** in Q1 25, compared to a US$1 million loss in Q1 24, mainly explained by contingency recoveries[77](index=77&type=chunk) [3.5 Analysis of the holding and others segment](index=17&type=section&id=3.5%20Analysis%20of%20the%20holding%20and%20others%20segment) The holding and others segment significantly improved its adjusted EBITDA to US$53 million in Q1 25, a 133% increase year-on-year, driven by higher contributions from TGS and Transener due to tariff hikes, and improved corporate segment losses. Net income also saw a substantial increase, supported by gains from slower AR$ devaluation and reduced financial expenses Holding and Others Segment Financials (US$ million, Q1 25 vs Q1 24) | Metric | Q1 25 | Q1 24 | ∆% | | :--- | :--- | :--- | :--- | | Sales revenue | 7 | 3 | +133% | | Operating income | 20 | 16 | +25% | | Net income for the period | 36 | 11 | +227% | | Adjusted EBITDA | 53 | 23 | +133% | - The significant increase in adjusted EBITDA was due to higher contributions from **TGS (US$46 million vs US$27 million)** and **Transener (US$13 million vs US$6 million)**, both driven by tariff increases, and improved losses from the corporate segment[84](index=84&type=chunk)[85](index=85&type=chunk)[86](index=86&type=chunk) - Financial results showed a net profit of **US$7 million** in Q1 25 (vs. US$5 million loss in Q1 24), mainly explained by gains from slower AR$ devaluation on tax credits and lesser financial expenses from reduced AR$ debt[81](index=81&type=chunk) [3.6 Analysis of the quarter, by subsidiary and segment](index=19&type=section&id=3.6%20Analysis%20of%20the%20quarter%2C%20by%20subsidiary%20and%20segment) This section provides a detailed breakdown of Adjusted EBITDA, Net Debt, and Net Income for Q1 25 and Q1 24, categorized by subsidiary and segment, both on a consolidated basis and adjusted by Pampa's ownership stake, offering granular insight into each business unit's contribution Adjusted EBITDA by Subsidiary and Segment (US$ million, Q1 25 vs Q1 24) | Segment/Subsidiary | % Pampa | Q1 25 Adjusted EBITDA | Q1 24 Adjusted EBITDA | | :--- | :--- | :--- | :--- | | Oil & gas segment (Pampa Energía) | 100.0% | 41 | 67 | | Power generation segment (Subtotal) | N/A | 130 | 86 | | Petrochemicals segment (Pampa Energía) | 100.0% | (4) | 11 | | Holding & others segment (Subtotal) | N/A | 53 | 23 | | Total consolidated | N/A | 220 | 187 | Net Income by Subsidiary and Segment (US$ million, Q1 25 vs Q1 24) | Segment/Subsidiary | % Pampa | Q1 25 Net Income | Q1 24 Net Income | | :--- | :--- | :--- | :--- | | Oil & gas segment (Pampa Energía) | 100.0% | (49) | 48 | | Power generation segment (Subtotal) | N/A | 124 | 197 | | Petrochemicals segment (Pampa Energía) | 100.0% | 42 | 11 | | Holding & others segment (Subtotal) | N/A | 36 | 11 | | Total consolidated | N/A | 153 | 267 | Net Debt by Subsidiary and Segment (US$ million, Q1 25 vs Q1 24) | Segment/Subsidiary | % Pampa | Q1 25 Net Debt | Q1 24 Net Debt | | :--- | :--- | :--- | :--- | | Oil & gas segment (Pampa Energía) | 100.0% | 1,167 | 956 | | Power generation segment (Subtotal) | N/A | (502) | (129) | | Petrochemicals segment (Pampa Energía) | 100.0% | - | - | | Holding & others segment (Subtotal) | N/A | (118) | 3 | | Total consolidated | N/A | 577 | 718 | [4. Appendix](index=20&type=section&id=4.%20Appendix) This section provides supplementary operational data, including detailed KPIs for power generation plants and oil and gas production by main blocks [4.1 Power generation's main operational KPIs by plant](index=20&type=section&id=4.1%20Power%20generation%27s%20main%20operational%20KPIs%20by%20plant) This section provides a detailed breakdown of key operational performance indicators for Pampa Energía's individual power generation plants, including installed capacity, net generation, sales volume, average price, and average gross margin, categorized by wind, hydroelectric, and thermal sources for Q1 25 and Q1 24 Power Generation Operational KPIs by Plant (Q1 25) | Plant Type | Installed Capacity (MW) | Net Generation (GWh) | Sales (GWh) | Avg. Price (US$/MWh) | Avg. Gross Margin (US$/MWh) | | :--- | :--- | :--- | :--- | :--- | :--- | | Wind | 427 | 418 | 420 | 70 | 51 | | Hydro | 938 | 485 | 485 | 19 | 10 | | Thermal | 4,107 | 5,048 | 5,246 | 36 | 24 | | Total | 5,472 | 5,951 | 6,150 | 37 | 25 | - Wind generation saw a **72% increase** in net generation (**418 GWh** in Q1 25 vs **244 GWh** in Q1 24), while hydro generation decreased by **29% (485 GWh vs 683 GWh)**[90](index=90&type=chunk) [4.2 Production in the main oil and gas blocks](index=21&type=section&id=4.2%20Production%20in%20the%20main%20oil%20and%20gas%20blocks) This section details Pampa Energía's oil and gas production in kboe/day by main blocks for Q1 25 and Q1 24, highlighting variations in gas and oil output across different fields Oil and Gas Production in Main Blocks (kboe/day at ownership) | Block | Q1 25 | Q1 24 | Variation | | :--- | :--- | :--- | :--- | | **Gas** | | | | | El Mangrullo | 38.1 | 43.7 | -13% | | Río Neuquén | 8.4 | 8.9 | -5% | | Sierra Chata | 20.9 | 13.8 | +51% | | Rincón del Mangrullo | 1.0 | 1.5 | -29% | | **Oil** | | | | | El Tordillo | 1.3 | 1.6 | -15% | | Gobernador Ayala | - | 1.1 | -100% | | Rincón de Aranda | 0.9 | 0.2 | NA | | Total | 72.7 | 73.1 | -0% | - **Sierra Chata** gas production increased by **51% YoY**, while **El Mangrullo** and **Rincón del Mangrullo** gas production decreased by **13%** and **29%** respectively[91](index=91&type=chunk) - **Gobernador Ayala** oil production ceased due to the transfer of Pampa's stake in October 2024, while **Rincón de Aranda** shale oil production significantly increased[91](index=91&type=chunk) [5. Glossary of terms](index=22&type=section&id=5.%20Glossary%20of%20terms) This section defines key financial, operational, and regulatory terms used throughout the report - The glossary provides definitions for key terms and acronyms used throughout the earnings release, covering financial, operational, and regulatory terminology specific to the Argentine energy sector[93](index=93&type=chunk)[94](index=94&type=chunk)

Core Viewpoint - Pampa Energia (PAM) has received an upgrade to a Zacks Rank 1 (Strong Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][2]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [3][5]. - Institutional investors utilize earnings estimates to determine the fair value of stocks, leading to buying or selling actions that affect stock prices [3]. Recent Performance of Pampa Energia - Pampa's rising earnings estimates and the Zacks Rank upgrade suggest an improvement in the company's underlying business, likely resulting in higher stock prices [4]. - For the fiscal year ending December 2025, Pampa is expected to earn $10.14 per share, reflecting an 11.1% decrease from the previous year, but the Zacks Consensus Estimate has increased by 41.2% over the past three months [7]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [6]. - Only the top 5% of Zacks-covered stocks receive a 'Strong Buy' rating, indicating superior earnings estimate revisions and potential for market-beating returns [8][9].

Production and Reserves - As of December 31, 2024, the company has a total production of 78.2 thousand boe/d, with crude oil production at 4.8 k bbl/d and natural gas production at 73.4 thousand boe/d[256][260] - As of December 31, 2024, the company's combined crude oil and natural gas proved reserves amounted to approximately 231.2 million boe, with 93% being natural gas[260] - Combined crude oil and natural gas proved reserves were 231 million boe, with 55% being proved developed reserves[310] - The total proved reserves increased from 199.0 million boe in 2023 to 231.2 million boe in 2024, reflecting successful extensions and discoveries[343] - The company has proved developed and undeveloped reserves totaling 231.2 million barrels of oil equivalent (boe), which includes 17.2 million barrels of liquid hydrocarbons and 1,284.2 billion cubic feet of natural gas[338] - Proved developed reserves of crude oil equivalent represented 55% of total proved reserves, equating to approximately nine years of production at 2024 volumes[339] - There was a 46% increase in proved undeveloped reserves in 2024 compared to 2023, primarily due to successful drilling activities[349] - The independent audit by GaffneyCline covered 98% of the company's estimated proved reserves as of December 31, 2024[337] - The reserves estimation process is supervised by a Reserves Technical Officer, ensuring compliance with SEC guidelines[350] Financial Performance - The oil and gas business segment recorded revenue of U.S.$730 million and an operating profit of U.S.$69 million for the fiscal year ended December 31, 2024[256] - Revenues from oil and gas operations in Argentina for 2024 totaled $730 million, an increase from $666 million in 2023[329] - The average production cost per barrel of oil equivalent in Argentina for 2024 was $17, a decrease from $18 in 2023[327] - The average sales price for oil in Argentina was $73 per barrel in 2024, up from $69 in 2023, while the gas price remained stable at $4 per thousand cubic feet[330] - The average gross margin for 2024 is projected to be 24, compared to 26 for 2023, indicating a slight decrease in profitability[395] - Average gross margin for 2024 is forecasted at $36/MWh, up from $35/MWh in 2023[397] Power Generation - The power generation segment achieved installed capacity of approximately 5,472 MW, representing about 13% of Argentina's total installed capacity, with revenue of U.S.$672 million and an operating profit of U.S.$204 million[257] - Installed capacity increased to 5,472 MW, with a market share of 13%[397] - The total net generation for 2024 is expected to be 3,633 GWh, reflecting a 15% increase compared to 2023[395] - Net generation for 2024 projected at 21,743 GWh, a 4% increase from 2023[397] - Sales for 2024 expected to reach 22,557 GWh, reflecting a 4% growth compared to 2023[397] Investments and Projects - The Vaca Muerta Oil Sur Project involves a 437 km pipeline with an estimated investment of U.S.$3 billion, aimed at enhancing crude oil evacuation and exports[266][269] - The company acquired a 20% stake in the FLNG Project, which is expected to start operations in September 2027, to monetize Vaca Muerta reserves and boost foreign currency inflows[271][272] - The "Proyecto Duplicar" increased the Allen - Puerto Rosales oil pipeline's capacity from 225,000 barrels per day to 540,000 barrels per day, with an investment of U.S.$1.4 billion[444] - VMOS project requires an estimated investment of U.S.$3 billion, aimed at constructing a 437 km pipeline for crude oil evacuation and exports[439] - The company invested U.S.$ 72.2 million in drilling and completion activities in 2024, converting approximately 12.7 million boe of proved undeveloped reserves to proved developed reserves[348] Production Activities - The company has a total of 688 productive wells in Argentina, with 272 being oil wells and 416 gas wells[312] - In 2024, the company drilled a total of 19 gross wells in Argentina, down from 44 in 2023, with 1 oil and 18 gas development wells[314] - Average daily production in 2024 was 4,772 barrels of crude oil and 440 million cubic feet of natural gas, with gas production increasing by 21% compared to 2023[318] - Total oil and gas production for 2024 was 1,742 thousand barrels of oil and 160,829 million cubic feet of gas, compared to 1,762 thousand barrels of oil and 132,652 million cubic feet of gas in 2023[321] - The company lifted hydrocarbons from 688 productive wells in Argentina as of December 31, 2024[317] Segment Performance - The petrochemicals segment generated revenue of U.S.$516 million and an operating profit of U.S.$43 million for the fiscal year ended December 31, 2024[259] - TGS's regulated segment revenues reached $427 million, a 249% increase from 2023[408] - TGS's midstream segment revenues totaled $215 million, a 97% increase compared to 2023[421] - Transener's annual revenues from extra high voltage power transmission amounted to U.S.$292 million, representing 89% of total revenues, a 103% increase compared to 2023[431] - Business development revenues were U.S.$38 million, accounting for 11% of total revenues, reflecting a 115% increase from 2023[432] Regulatory and Compliance - SE Resolutions No. 9/24 and No. 99/24 established increases of 73.9% and 25% in remuneration values for spot generation transactions[291] - The Independent Reserves Engineers Firm audited reserves estimates to conform to SEC guidelines, ensuring "reasonable certainty" about recoverability under current economic conditions[357] - The demand for electricity reached a new all-time high of 29,653 MW on February 1, 2024, exceeding the previous peak by 2%[430] - Transener recorded 0.35 failures per 100 km of line at the end of 2024, maintaining service quality consistent with international standards[430] - Transener's transparent remuneration policy has led to the continual renewal of most contracts, reflecting high customer satisfaction[435]

Core Insights - Marvell Technology, Inc. has developed the industry's first 400G/lane technology, enabling a new generation of PAM4 network connectivity, which was previously deemed impossible [1][5] - The technology will be showcased at OFC 2025, demonstrating its capabilities in real silicon [1] - Marvell is collaborating with leading optical and switch companies to create an ecosystem for products based on this technology, targeting AI and general-purpose cloud architectures [2][5] Technology Impact - The 400G/lane technology will significantly enhance bandwidth capacity in cloud data centers, improving efficiency and reducing the time needed for AI training and complex tasks [3] - This technology represents a 4x increase over the current mainstream 100G/lane infrastructure and a 2x increase over the 200G/lane infrastructure being deployed this year [3] Industry Collaboration - Key industry players, including Coherent and Lumentum, are collaborating with Marvell to ensure the necessary technology for AI and cloud infrastructure [4][5] - The partnership aims to lay a foundation for the AI economy and expand opportunities for optical technologies in infrastructure [4] Historical Context - Marvell has a strong history of innovation in PAM4 connectivity, being the first to demonstrate 100G/lane and 200G/lane technologies, now advancing to 400G/lane [5]

Energy Production and Capacity - The initial production at Rincón de Aranda reached 1.4 kbbl/day, with an average of 1.1 kbbl/day in 2024, exceeding neighboring blocks' average yield [7]. - Pampa aims to increase its oil production tenfold to 45 kbbl/day by 2027, supported by an active drilling campaign and the incorporation of a fracking fleet [7]. - The Vaca Muerta Sur project, with an estimated investment of US$3 billion, will construct a 437-km oil pipeline with an initial capacity of 550 kbbl/day, expandable to 700 kbbl/day [8]. - Pampa's gas production reached a record high of 16.7 million m³ per day in July 2024, showcasing the productivity of its shale gas wells [12]. - Total gross natural gas production in 2024 reached 139 million m³ per day, a 5% increase compared to 2023, with net production growing by 7% to 129 million m³ per day [59]. - Total oil production in 2024 was 700.7 kbbl per day, marking a 10% increase from 2023, driven primarily by a 20% increase in the Neuquina Basin [66]. - Exports of oil increased by 41% in 2024, reaching 185.5 kbbl per day, which accounted for 26% of total production [68]. - The Neuquina Basin's production improvements were attributed to enhanced evacuation capacity from Vaca Muerta, contributing to the overall increase in oil production [66]. Financial Performance and Debt Management - Pampa closed 2024 with a net debt of US$410 million, the lowest level since 2016, reflecting improved debt management and cash generation [14]. - The balance of payments recorded an estimated US$18.9 billion surplus, with a US$5.7 billion energy surplus, the highest in 18 years, driven by increased oil exports [21]. - The Argentine government achieved a primary surplus of 2.4% of GDP in 2024, the first time in 14 years, contributing to improved economic stability [18]. Regulatory and Policy Developments - The Argentine Hydrocarbons Law was updated on July 8, 2024, promoting exploration and commercialization of both conventional and unconventional hydrocarbon resources [71]. - The Bases Law allows for the underground storage of gas in depleted reservoirs, with indefinite-term authorizations granted to qualified entities [85]. - The Bases Law enacted on July 8, 2024, aims to unify regulatory bodies and adjust the electricity regulatory framework to promote competition and investment [193]. Energy Consumption and Market Dynamics - In 2024, electricity consumption in Argentina contracted by 0.5%, totaling 140,227 GWh, with a decrease of 1.2% in the commercial segment and 1.3% in industrial demand [131]. - Power generation increased by 1% in 2024, reaching 141,592 GWh, driven by renewable sources (+2,791 GWh) and thermal sources (+2,370 GWh), despite a 15% reduction in hydropower generation [135]. - Fuel consumption for power plants increased by 1% year-on-year in 2024, totaling 45.4 million m³/day of gas equivalent, with natural gas accounting for 92% of total consumption [146]. - Total demand for natural gas grew by 2% year-on-year, primarily due to increased consumption by power plants and residential demand [60]. Renewable Energy Initiatives - The completion of the PEPE 6 wind farm in December 2024 increased Pampa's clean energy capacity to 427 MW, positioning it as a leading renewable energy generator in Argentina [14]. - Pampa has sold 15 GWh of third-party renewable energy in 2024, contributing to the MAT ER segment's margin [187]. - A total of 29 projects were awarded for 3,340 MW in a recent tender, including a 300-MW GT installation in CTGEBA [188]. Tariffs and Pricing - In 2024, TGS's natural gas transportation tariffs were updated cumulatively by 791.3%, with a significant 675% increase effective from April 2024 [117]. - The maximum spot energy prices in the Wholesale Electricity Market (WEM) reached AR$ 11,528 in December 2024 and are projected to rise to AR$ 12,656 by March 2025 [150]. - The price for generated energy from natural gas is set to rise from AR$ 1,473/MWh until January 2024 to AR$ 4,347/MWh by March 2025 [155]. - The remuneration for energy generated from unconventional sources increased from AR$ 10,304/MWh in January 2024 to AR$ 30,400/MWh by March 2025 [164]. Export and Import Dynamics - Significant reductions in natural gas imports were noted, with a 48% decrease from Bolivia and a 34% decrease in LNG imports [60]. - The company is authorized to export natural gas on a firm basis during oversupply periods, with specific limitations on volumes per producer [103]. - The export duties for liquid hydrocarbons remain at 8% in 2024, with exemptions when the Brent price is equal to or lower than US$45/bbl [107]. Operational Efficiency and Compliance - Pampa's thermal units recorded a commercial availability of 95.4%, demonstrating the reliability of its asset portfolio [13]. - The company has implemented an Integrity Program to ensure compliance with legal standards and prevent irregularities, which is periodically reviewed by the Board [40]. - TGS's license to operate the natural gas transportation system is set to expire in December 2027, with a renewal process initiated for a potential extension until December 2047 [120].

Financial Data and Key Metrics Changes - In 2024, the company achieved a 21% growth in average output and an 80% increase since 2017, reaching an all-time high in gas production [5] - EBITDA grew 19% year-on-year and 29% compared to 2017, with net debt falling to $410 million, the lowest since 2016 [8][28] - Adjusted EBITDA for Q4 amounted to $182 million, up 60% from last year, driven by increased gas deliveries and improved PPA performance [10][11] Business Line Data and Key Metrics Changes - Gas production rose 11% year-on-year, with shale gas's share increasing from 32% in 2023 to nearly 50% in 2024 [9] - Power segment recorded a 94% availability rate, with adjusted EBITDA of $86 million in Q4, up 7% year-on-year [22] - E&P adjusted EBITDA was $36 million in Q4, down 26% year-on-year due to lower sales to industries in Chile and higher operating costs [14] Market Data and Key Metrics Changes - The average gas price for Q4 was $2.9 per MBTU, down 10% due to lower exports to Chile and sales to industries [17] - Gas exports to Chile are expected to ramp up to 1 million cubic meters per day by May 2025, with current exports around 1.4 million cubic meters per day [88] Company Strategy and Development Direction - The company plans to diversify into shale oil with the development of Rincon de Aranda, targeting 20,000 barrels per day by December 2025 [19] - The focus remains on operational excellence and maintaining a strong balance sheet while preparing for future growth projects [8][29] - The company is not currently analyzing new investments in power generation but is studying a potential battery package investment in Buenos Aires [62] Management Comments on Operating Environment and Future Outlook - Management expressed optimism regarding regulatory changes, which are expected to enhance the company's ability to self-procure fuel and improve competitiveness [73] - The company anticipates a marginal increase in net debt due to significant CapEx in Rincon de Aranda, with expectations of returning to positive free cash flow by 2026 [39][40] Other Important Information - Total proven reserves rose 16% to 231 million barrels of oil equivalent, with shale reserves growing 60% year-on-year [20][21] - The total CapEx for 2025 is projected to be around $1.1 billion, with $750 million allocated for Rincon de Aranda [105] Q&A Session Summary Question: How do you expect regulatory changes to impact Pampa? - Management indicated it is too early to tell, but they do not expect significant impacts in the near term, with potential benefits for self-procurement of fuel [33][35] Question: How do you expect leverage to evolve with growth plans? - Management expects a marginal increase in net indebtedness due to significant CapEx in Rincon de Aranda, projecting a net debt increase to about 1.2 times by 2026 [39][40] Question: What is the plan if Brent prices go to $60-$65 per barrel? - The company has hedged approximately 65% of its production for 2025, feeling comfortable with the prices achieved through hedging [42][43] Question: What is the expected contribution of Rincon de Aranda to total EBITDA in 2025? - The estimated contribution is around $180 million for 2025 [112] Question: What is the timeline for the urea plant FID? - The company expects to make a decision by year-end, with a production plan of 2 million tons per year [119][120]

The material that follows is a presentation of general background information about Pampa Energía S.A.("Pampa" or the "Company") as of the date of the presentation. It is information in summary form and does not purport to be complete. It is not intended to be relied upon as advice to potential investors. This presentation is strictly confidential and may not be disclosed to any other person. No representation or warranty, express or implied, is made concerning, and no reliance should be placed on, the accu ...