CEMIG(US:CIG)2025-11-14 18:02Financial Data and Key Metrics Changes - The company reported a recurring EBITDA of BRL 1.5 billion, reflecting a decrease of approximately 16.3% compared to the previous year [10] - The recurring net profit saw a significant drop of around 30.2%, influenced by increased depreciation from major investments and higher interest rates [12] - The company maintained a strong leverage ratio at 1.76, indicating safe levels of net debt over recurring EBITDA [16] Business Line Data and Key Metrics Changes - Distribution results were negatively impacted by large clients migrating to the basic network, leading to a decrease in revenue [4] - The trading business faced challenges, with a reported impact of BRL 136 million due to reduced margins and the need to close positions [11] - Generation was affected by a lower GSF, necessitating energy purchases that resulted in an impact of BRL 54 million [11] Market Data and Key Metrics Changes - The energy market experienced a drop of 4.4%, affecting all segments including rural, commercial, and industrial [18] - The company reported strong collection rates, particularly through digital channels, with a focus on the Pix payment method [19] Company Strategy and Development Direction - The company is committed to a significant investment program, with BRL 4.7 billion allocated for the first nine months of 2025, primarily focused on distribution and substations [5][8] - The strategy includes enhancing service efficiency through technology investments, such as smart meters and improved infrastructure [15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's resilience and ability to navigate challenging market conditions, supported by a triple-A rating from Moody's [4][8] - The management highlighted the importance of ongoing investments in regulated areas to ensure future revenue growth [6] Other Important Information - The company received recognition as the best energy company in Brazil by Vision Negócios and other awards for financial performance and sustainability [21] - A collective agreement with the union was finalized, ensuring the sustainability of the healthcare plan for retired employees [5] Q&A Session Summary Question: Inquiry about technical note 53 and its impact on loss reporting - The management clarified that the new method for calculating losses will not retroactively affect past calculations and that current losses remain within regulatory limits [24][25] Question: Question regarding trading strategy and energy balance changes - The Chief Trading Officer explained that the company is focused on closing positions rather than opening new ones, influenced by market conditions [26][27]