Equatorial (EQTL3) has an increase of 25.5% in adjusted profit in the third quarter, to R$ 851 million

Results

Net revenue totaled R$10.362 billion in the third quarter of this year, growth of 50.6% compared to the same stage in 2022

Felipe Moreira


8 Nov 2023 7:25 pm

Electricity prices led to increases in the Housing Group in the month

Equatorial (EQTL3) reported adjusted net profit of R$851 million in the third quarter of 2023 (3Q23), an amount 25.5% higher than that reported in the same period in 2022, the company reported this Wednesday (8).

Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) totaled R$2.522 billion in 3Q23, an increase of 32.7% compared to 3Q22.

“This increase is mainly explained by the Distribution segment, which, disregarding the consolidation of Equatorial Goiás, showed growth of 23.2%, or R$ 323 million in the period, reflecting: (i) market growth and increase in wire tariff -b, in the comparison between periods, which contributed R$117 and R$53 million, respectively, and (ii) the result of the process to combat losses, which contributed R$55 million in the quarter”, explains Equatorial.

The adjusted EBITDA margin reached 24.3% between July and September this year, down 3.3 percentage points (pp) compared to the margin recorded in 3Q22.

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Net revenue totaled R$10.362 billion in the third quarter of this year, growth of 50.6% compared to the same stage in 2022.

Costs and expenses totaled R$1.318 billion in 3Q23, an increase of 71.1% compared to the same period in 2022.

The net financial result was negative R$988 million in the third quarter of 2023, an increase of 122% over the financial losses in the same stage of 2022.

Consolidated investments totaled around R$3.0 billion in 3Q23, an increase of R$1.3 billion when compared to 2Q23, as a result of the development of solar parks in the renewables segment and the consolidation of GO.

On September 30, 2023, the company’s net debt was R$36.694 billion, an increase of 54.1% compared to the same stage in 2022.

The financial leverage indicator, measured by net debt/adjusted EBITDA, was 3.6 times in September/23, an increase of 0.5 pp compared to the same period in 2022.