Central Puerto(US:CEPU)2025-11-12 18:48Financial Performance - 3Q25 Adjusted EBITDA was US$ 101.1 million, a 64% increase compared to US$ 61.4 million in 2Q25, and up 8% from US$ 93.4 million in 3Q24[10] - Revenues in 3Q25 totaled US$ 233.9 million, a 30% increase quarter-over-quarter and a 26% increase year-over-year[10] - In Q3 2025, Central Puerto reported an Adjusted EBITDA of US$ 101.1 million, reflecting a 64% increase quarter-over-quarter and an 8% increase year-over-year[30] - Total revenues for Q3 2025 reached US$ 233.9 million, a 30% increase from Q2 2025 and a 26% increase from Q3 2024[34] - The company reported a net income of US$ 102.4 million for Q3 2025, a 44% increase from Q2 2025[31] - The net income for Q3 2025 was $226.1 million, a substantial increase of 335% compared to Q3 2024[43] - The revenue margin ratio for gross income was 37% in Q3 2025, a decrease of 2 percentage points from the previous year[43] Generation and Capacity - Total generation volumes in 3Q25 were 4,539 GWh, representing a 4% increase compared to 2Q25 (4,372 GWh) but a 20% decline versus 3Q24 (5,685 GWh)[26] - Total installed capacity in Argentina's electricity market was 43,887 MW, reflecting a 0.5% increase quarter-over-quarter and a 2.6% increase year-over-year[24] - The company reported a total installed capacity of 6,938 MW with total generation volumes of 21,605 GWh as of 2024[45] Revenue Sources - Energy sales accounted for 92.1% of total revenues in Q3 2025, amounting to US$ 215.3 million, which is a 34% increase compared to Q2 2025[36] - Spot market revenues rose to US$ 113.6 million in Q3 2025, a 26% increase from Q2 2025[36] - Revenues from thermal and hydro plants reached $184.5 million in Q3 2025, up 36% compared to Q3 2024[37] Investments and Acquisitions - The Company acquired an 80 MW solar farm for US$ 48.5 million, with a Power Purchase Agreement (PPA) extending through 2039[10] - The Company secured contracts for two large-scale Battery Energy Storage System (BESS) projects totaling 205 MW, ensuring predominantly fixed, US$-denominated revenues[10] - Capital expenditures amounted to $76.1 million in Q3 2025, including $48.5 million for the acquisition of the Cafayate solar farm[38] Financial Position - Cash and cash equivalents as of September 30, 2025, were US$ 48.9 million, with total outstanding gross debt at US$ 452.1 million[11] - As of September 30, 2025, the total outstanding gross debt was $452.1 million, with net financial debt at $159.9 million[40] - Current liabilities increased significantly from $363 million to $497 million, representing a rise of approximately 37%[44] - Total non-current liabilities decreased slightly from $411 million to $401 million, a reduction of about 2.4%[44] - Cash and cash equivalents increased from $4 million to $48.9 million, indicating a significant improvement in liquidity[44] - Retained earnings saw a substantial increase from $49 million to $227 million, reflecting a growth of approximately 363%[44] Market Dynamics - The new spot remuneration mechanism establishes a margin on top of Variable Production Costs, supporting long-term value creation for generators[10] - The Energy Secretariat approved AR$-denominated spot price adjustments totaling 1.9% on a compound basis for 3Q25[10] - Central Puerto's market share in the SADI decreased to 14.1% in Q3 2025, down from 14.7% in Q2 2025 and 17.1% in Q3 2024[30] Operational Efficiency - The thermal availability rate improved to 88% in Q3 2025, up from 79% in Q2 2025[30] - Total operating expenses for Q3 2025 were $155.6 million, an increase of 8% quarter-over-quarter and 34% year-over-year[37] - The operating margin for thermal and hydro plants improved to 26% in Q3 2025, a significant increase of 18 percentage points from the previous quarter[37] - Financial expenses increased by 25% quarter-over-quarter, totaling US$ 63.1 million in Q3 2025[31] Shareholder Actions - The company initiated a share buyback program for 2,756,000 shares, totaling US$ 2.54 million[11] - The company initiated a share buyback program on September 25, 2025, authorizing the repurchase of up to $20 million in shares[41] Future Outlook - The company plans to continue expanding its renewable energy capacity, focusing on wind and solar projects to meet future energy demands[46] - The Guañizuil II solar farm, developed by Equinor, was transferred to Central Puerto in October 2023, enhancing the company's renewable energy portfolio[46]