Central Puerto(US:CEPU)2022-08-08 20:38Financial Data and Key Metrics Changes - Revenues for Q2 2022 were ARS 19.1 billion, a 5% decrease from ARS 20.1 billion in Q2 2021, primarily due to a 37% decrease in Spot/Energía sales [19] - EBITDA for Q2 2022 was ARS 12 billion, a 6% increase from ARS 11.3 billion in Q2 2021, driven by a 5% decrease in cost of sales [21] - Consolidated net income was ARS 2.4 billion in Q2 2022, compared to a net loss of ARS 7.2 billion in the same period of 2021 [22] Business Line Data and Key Metrics Changes - Energy generation in Q2 2022 was 4,280 gigawatts, a 14% increase from the same period in 2021, mainly due to a 39% increase in thermal units [14] - Energy generation from hydro plants decreased by 45% due to lower water inflows [14] - In the first half of 2022, energy generation increased 23% to 8,865 gigawatts compared to 7,218 gigawatts in the same period in 2021 [16] Market Data and Key Metrics Changes - Total energy demand increased by 6% to 34,948 gigawatts in Q2 2022, with commercial users growing by 7% and residential users also growing by 7% [13] - The energy generation mix as of Q2 2022 was 60% thermal, 32% hydro, 13% renewable, and 6% nuclear [11] Company Strategy and Development Direction - The company successfully bid for 10 megawatts of dispatch priority for the Parque Solar San Carlos Project, indicating a focus on renewable energy projects [8] - The company is in discussions with the government regarding the renewal of the concession for the Piedra del Águila hydro plant, indicating a strategic focus on maintaining and expanding its operational capacity [31][32] Management Comments on Operating Environment and Future Outlook - Management noted a recovery in industrial demand, returning to pre-COVID levels, but indicated uncertainty regarding residential demand due to potential subsidy changes [28][29] - There is an expectation of improved hydro conditions for the Piedra del Águila plant, but management remains cautious about the sustainability of this improvement [30] Other Important Information - The company reported a significant increase in financial expenses due to foreign exchange differences and inflation, impacting net income [22] - Cash flow from operating activities was ARS 16.9 billion, including collections from trade receivables [24] Q&A Session Summary Question: What are the current plans for any stoppages or maintenance in the second half of the year? - Management indicated no significant maintenance is expected for the rest of the year, with only small regular maintenance planned [26] Question: What changes in demand are expected in the second half? - Management noted some recovery in industrial demand but expressed uncertainty regarding residential demand due to potential subsidy changes [28][29] Question: What is the current situation regarding the Piedra del Águila hydro plant? - Management reported improved inflows but stated it is too early to determine if production levels will return to medium levels [30] Question: What percentage of EBITDA does Piedra del Águila represent? - Management indicated that Piedra del Águila contributes around $30 million to EBITDA [33] Question: What are the payment delays from CAMMESA? - Management reported delays of around 60 days currently, with expectations to reduce this as the new administration stabilizes [35]