管理層發言
Good morning, everyone. I am Carolina Senna, Cemig's Investor Relations Superintendent. Welcome to Cemig's second quarter 2026 earnings video conference call. Please note that this video conference is being recorded, and it will be available on the company's IR website at ri.cemig.com.br, where you will also find the company's presentation. Should you need simultaneous interpretation, the feature is available by clicking on the globe icon located on the bottom of the screen. Upon choosing interpretation, select the language of your choice, Portuguese or English. Should you choose to follow the call in English, you may also select mute original audio. During the company's presentation, all participants will have their microphones disabled. After that, we will start the Q&A session. We now start Cemig's video conference with Alexandre Ramos Peixoto, CEO. Leonardo George de Magalhães, CFO and Investor Relations Officer. Luis Cláudio Correa Villani, Chief Information Technology Officer. Demétrio Alexandre Ferreira, Chief Generation and Transmission Officer. Ernando Antunes Braga, Chief Distribution Officer. Sergio Lopes Cabral, Chief Trading Officer. Sérgio Pessoa de Paula Castro, Chief Legal Officer. Yuri Araujo de Mendonça, and Ronaldo Xavier Moreira Jr. For the initial remarks, I now turn the floor to Alexandre Ramos Peixoto, our CEO, who will start the presentation. Please, Alexandre, the floor is yours.
Thank you, Carol. Good morning, everyone. It is a real pleasure to be here with you on my first earnings call as CEO of our Cemig Group. I take on this role with great confidence — confidence in the company we have built, confidence in the quality of our people, the excellence of our professionals, and above all, in the great potential that lies ahead. I would like to start with a very clear message. We have a sound company. We deliver consistent results, and we know how to execute, and that consistency comes from a well-defined strategy, disciplined management, and a real ability to turn plans into tangible outcomes. It is important to make it very clear right now that the quality of the service provided to our clients will always be at the core of our priorities. We want to be recognized not only by our financial results, but also by the excellence of our operation and the quality of the experience we deliver to the millions of clients we serve — over 9.5 million consuming units. That is why we will continue executing a relevant cycle of investments, especially in distribution. We have over BRL 22 billion in our tariff review cycle for May of 2028, and we are investing to turn these networks more robust, modern, resilient, and prepared for the new demands of our clients and also for the transformations in the electric sector, highlighting the full opening of the electric power market in Brazil, which should happen on November 25, 2028. As all of you know, the electric sector is undergoing a deep transformation, and I can tell you that we are very well positioned to be part of this future. We have quality assets, knowledge, investment capacity, and an experienced and well-prepared team to execute our strategy. We have an important advantage: we are an integrated company. The combination of our businesses gives us scale, complementarity, and also a privileged view of the sector's changes. That integration strengthens our ability to navigate different cycles, seize opportunities, and create value in a sustainable fashion. The message I would like to convey to all of you in this first earnings call is one of confidence and continuity in the implementation and long-term success of our strategy. Management with financial discipline, consistent results, and responsibility in our businesses — therefore, meeting our commitments and generating value for our shareholders. Today, we have a strong company, and we are working, and we will keep working hard so that it can be even stronger. With that long-term vision, customer focus, discipline in execution, and commitment to results with which I start this new cycle, I will continue working at the head of this company. Having said that, I thank you very much for the opportunity to be addressing you, and I turn the floor to our Chief Finance Officer, Leonardo George de Magalhães, to start the presentation of the results of the second quarter.
Thank you very much. Thank you very much, Alexandre, for your message. Good morning, everyone. Thank you for being here with us in this video conference call for the second quarter's results. We will start with the highlights of this 2Q. We have had very consistent, sound results with an operating performance of BRL 2.5 billion in the quarter, a recurring EBITDA that reflects our soundness in terms of results for the company. Our company, as Alexandre has mentioned, is integrated across a number of businesses that support our cash generation as well as our results every quarter, bringing you consistent results. Also, we had funding of BRL 4.6 billion in this quarter. This was very relevant and it supports our investment program. In the next slide, we will talk more about that. This is an investment program that is very relevant, especially our distribution company that will be generating value for the next years. For shareholder remuneration, historically, this is a company that has great remuneration to its shareholders, and we had interest on capital of BRL 631 million that represents BRL 0.22 per share. Growth strategy: our CapEx is BRL 1.8 billion. We will go over that figure. Also, we had a tariff adjustment for Cemig Distribution with 6.5% of average tariff impact to Cemig's consumers. On this slide, we have the planned investment for the year, which is BRL 6.7 billion, and up to the first six months, we were able to invest BRL 3.3 billion, 49% of the total amount. The message is that we are in line with the investments forecasted for the year. As we had estimated and communicated to the market, we have large investment in our distribution branch — BRL 2.6 billion in these first six months; investment in generation of BRL 275 million in Cemig GT; also, a significant highlight of BRL 227 million in Gasmig, making BRL 92 million in investments, especially here in the Midwest project and with 33.5 kilometers of network built in the quarter. Now, going over the investments of our distribution branch. With these investments, the company is adding a lot of value, not only thinking about the remuneration base that we expect to be included in the next tariff review in 2028, but also in the quality of service that we provide our clients, which surely will be positively affected by all of these investments. In transmission also, we have relevant investments, and these are investments that are bringing additional revenue. Just for additional RAP in this quarter, we have BRL 36 million thanks to investments that have been concluded, and they are already bringing revenue to the company. In summary, the company is frequently being transparent, bringing to the market its investment program, and we are in line with the investments that we have forecasted for the next years. In this quarter, it has been no different. Now we have the consolidated results for the company. These are good results: 9.3% year-on-year recurring increase for EBITDA compared to the prior year. Net income up 15.6% year-over-year; it was impacted by financial expenses because of the fundings that the company had to be able to provide support to its investment programs. This was already in our strategic plan. Here we highlight some non-recurring effects. The voluntary dismissal program had an initial impact, but in the long term it will bring benefits to the company because it is a process where we're naturally renewing personnel: employees who have been with us for longer periods receive incentives to leave the company and new employees join to help in our culture and performance. Also, we have a free market customer arbitration. There were some questions about some contract clauses, and this is being concluded now. Because of the maturity and the current stage of this process, the company considered it necessary to record a provision of BRL 191 million for the outcome regarding this topic. This does not have a cash effect as of now, but we had to recognize provisions for that. In the prior year, we had a few non-recurring adjustments because of RBSE remeasurement and also the remeasurement of post-employment liabilities. We should highlight as well that the provision for losses for the company because of delinquency was adjusted: the company adjusted its criteria according to ANEEL and the market's benchmark, and that generated an expected credit losses reversal of BRL 232 million with a positive effect in this quarter. Moving on, we have consolidated costs and expenses, which had an increase of 15.5% in this quarter. This was relevant, but it's important to highlight that we have seasonal effects. This is because of the investments that we had in this period in improving the quality of the network. All of this is very important so that we can improve our service to clients and also to tackle possible contingencies. Now we are talking about El Niño that we'll be seeing in the second half of 2026. In any case, we believe that we did have seasonal effects, and we do not expect to have a variation or to see a reduction in this variation when we complete 12 months and compare 2026 to 2025. But in this quarter, we did have a specific one-time impact. Therefore, this variation was 15.5%, but the company's costs are being controlled because we have financial discipline, and we are balancing out the improvement of the network and investment in processes that help the company to serve the clients better. We are keeping costs at a disciplined level. Moving on, we have the debt profile. The company still has a high quality of credit. We are AAA in two ratings agencies and AA+ at S&P Global. Here we have our maturity schedule. The debt has a very adequate profile for the upcoming years, and leverage reaches 2.58 in the second quarter of 2026. We understand that considering our current investment plan, this leverage is appropriate, and that corresponds to our expectation when we consider that we have a tariff review in 2028. Therefore, our leverage will grow up to 2027, but in 2028 it will come down because of the tariff review in our distribution company. The company is still accessing the capital market frequently, and it has great access to the market at competitive costs. On the next slide, we have our cash generation. We have strong cash generation. Even with adjusted EBITDA, you see that the EBITDA is reflected in the cash, in the operating cash in this half of the year, close to BRL 4 billion. So if you double it, we are generating operating cash of almost BRL 8 billion in the year, and that's very strong to provide support to this investment program. Here we also have third-party capital that helps the company in the distribution segment. And here we have this five-year cycle from 2023 to 2028. Now we're turning to Cemig D and Cemig DG results. Cemig D has positive results, 21% up in EBITDA when compared to 2Q25. Recurring net income is in line, 8.9% down, but as we mentioned, there was an impact of higher financial expenses because of higher interest rates and the natural need for debt to support our investment programs. I also talked about the tariff adjustments: we had an average impact of 6.5% and 4.9% correction in Portion B. Here, there is an increase of 2.7% in the residential market. We also talked about the ECL reversal — estimated losses — which has to do with current delinquency of our consumers. This is very much controlled by Cemig D. Regarding the energy market, it is down 1.6% when comparing the second quarter of 2026 to 2025. You see that the total power carried has increased a little bit, and we have a 3.8% drop in the captive market because we had large clients leaving Cemig's distribution network this year, and that did have an impact compared to 2Q25. When we compare different consumer classes, we have residential growing 2.7%. We also highlight the rural class with a reduction of 11% because of the rainy season, which was greater in the second half of the year; therefore, there's lower consumption by the rural segment. Cemig DG now represents 25.8% of the captive market of Cemig Distribution. Moving on, the company remains disciplined in its costs. As I mentioned, our OPEX today is BRL 416 million lower than the regulatory limit in this first half of 2026. Operating efficiency is very important, and we see great, consistent financial results for Cemig D. The investments the company is making have provided improvements in our quality indicators. Our FEC is 8.43, lower than the regulatory limit, so in a downward trend. FEC also 4.86 compared to 5.37, which is the regulatory indicator, so we have good room here. That is thanks to the investments that the company has been making in the past few years, which are bringing results in these indicators that prove we have good quality of service to our clients. Regulatory losses are still low, and lower than the real losses. We have already talked about the reversals for expected credit losses in this half of the year. So the quality indicators for the company are in a positive trend. Now talking about Cemig GT, we have great results: 10.6% vis-à-vis the prior year in EBITDA and recurring net income, with a reduction of 11.4% in net income because of increased financial expenses as highlighted. We have increased revenue from sales to end customers — 124 megawatts average — and also inflation adjustment on RBO revenue for plants that receive by quota. There was an adjustment of BRL 29 million because we had cumulative IPCA inflation here, and all of them are related to these grants. Now we have a breakdown for Cemig Geração e Transmissão S.A., and then the return of the business for generation. Here we have a positive result, both in EBITDA as well as in recurring net income. EBITDA up 13.3%, and recurring net income also up 3.6%. Average GSF was better than what we had in 2025, and that has reflected in higher revenue in 2026 compared to the prior year. For transmission, very positive results with added RAP and also the regulatory assets of transmission that allowed our transmission results to be 50% higher when measured by EBITDA compared to 2025, and recurring net income at 50% — BRL 190 million compared to BRL 120 million in the prior year. Moving on, the Cemig trading results were BRL -180 million recurring EBITDA compared to the prior year. We talked about this provision of BRL 191 million. This is a one-off result stemming from a specific action related to a major industrial client, which generated an effective provision in the second quarter. This is not a cash effect right now; it is only a provision. So this negative effect in the second quarter stems from positions that have been settled and higher prices of energy purchased. This was already expected by the company. Also, there were effects related to sub-markets, especially regarding the South. We understand that the trading company effects that generated this -BRL 180 million impact have been very much concentrated in the first half of the year. We expect the trading company results in the second half of the year to be better than the first half, which we already anticipated. This was planned because of the company's positions. For the second half of the year, we expect a more favorable environment, both in hydrology and also because we have already settled positions that were needed for the year of 2026. On the next slide, we have Gasmig results, still sound. The reduction that we see both in EBITDA as well as in recurring net income for Gasmig was already expected because we had migration of clients to the free market, resulting in lower margin and affecting EBITDA and net income. Also, there was a 17% reduction in volume distributed. All of these factors combined brought this reduction in the results. Gasmig has a tariff review that should happen by the end of the year. We are very optimistic about the project, and Gasmig should bring sound and consistent results to the group in the next quarters. Basically, these were the main highlights of our presentation. We understand that these are consistent and sound results in the different Cemig businesses. We understand that, especially in the trading company, it was a more difficult half of the year. But we have a positive outlook for the next six months, and we will continue executing our investment program that will generate a lot of value for Cemig in the next few years, considering the tariff review ahead. I turn the floor now to Carolina so that we can start our Q&A session.
Right now, we will start our Q&A session. You may click on the Q&A icon on the bottom of your screen, and then you can write your name and send your question by writing. Please send all the questions at once and wait for the company's answer. During the session, we will be announcing the names of participants, and we will be reading the questions so that the company can answer them.
分析師問答
Considering that there was an increase in tariffs only in 2028 and with the increase of indebtedness and the debt cost, what will be the direct impact on profits or the net income reduction for 2027, and what will be the impact on shareholders' remuneration?
Thank you for your question. It is important to mention that Cemig has always been a great dividends payer in the electric sector. This is a company that has been one of the best at paying dividends. In our bylaws, we have minimum mandatory dividends of 50% of net income. This is a relevant payout. We understand that right now, in 2026, the company's results, despite higher financial expenses, will be relevant — very positive ones — both for EBITDA as well as net income. We believe that we will keep on bringing positive dividend yields, whether now or in the next few years. We are going to have a tariff review in 2028. We will have a positive impact on results. Even in the next years, 2026 and 2027, considering the current payout of the company established by the bylaws of 50% of net income, that is a very attractive remuneration to our shareholders, even considering an adverse scenario in the market. We understand that this dividend yield will continue being relevant and positive for our shareholders this year and also in 2027.
How is your perspective for El Niño effects in the different areas of businesses? Are you going to have CapEx or prepayments in the distribution and transmission companies to avoid possible incidents?
Good morning, everyone. Thank you very much for your question. El Niño requires robust planning, which we have. We have a maintenance plan and a contingency plan. Considering that we have the largest investment plan in history, we are executing our maintenance plan — also the largest in history — and our OPEX. We have AMI meters, automation in the electric system. For the second half of 2026, we are fully prepared for El Niño impacts. In addition to these investments, we have penetration of our structure across the state to face this diversity. In summary, we will have no impact on our budget because of El Niño.
Good morning, everybody. For generation and transmission: starting with generation, we have a permanent routine to manage these assets that is based on risks. We need to guarantee the availability of equipment during higher demand. We run periodic tests for all the plants to make sure that when they are demanded, they will be working. We do not expect above-average rainfall with El Niño in the Southeast region; we should see more rainfall in the South. From our point of view, we do not need contingency plans that are more elaborate than those we already have for our large plants and reservoirs. For storms and for the small plants that have smaller reservoirs, we are reviewing our contingency plans to guarantee access to them and also to control flooding. That is what we have for generation; we are fine about it. For transmission, we have assets of high resilience. This is thanks to work we have been developing for preventive maintenance, modernization, and risk-based management. Our contingency plan for transmission is very robust. We maintain vegetation at low levels in the rights of way. We also have weather forecasts that issue alerts if needed so we can tackle contingencies. We have devices placed across the state of Minas Gerais so that in case of contingencies we can restore lines in a shorter period of time. Prevention is the key word here, and we are prepared for any problems that might happen in terms of contingencies, both for generation and transmission.
Regarding auctions: are you interested in taking part in transmission auctions? And relatedly, are you considering participation in battery auctions or data center-related opportunities?
Regarding auctions, yes. The company is considering transmission auctions and has been following the most recent ones in the country. It's important to highlight the company's discipline in allocating capital. We study and consider all these auctions. If we understand that the return is interesting, we participate. But if the return is not attractive, the company prefers to allocate capital and assets where we understand we will create more value for shareholders. So the answer is yes, we are keeping an eye on them, but we have discipline in capital allocation, and we will only participate in areas where we are sure we will generate value for the company, considering that we have several businesses and this is one of the key areas. Right now, as I have already mentioned, we understand that regulated businesses and investing in reinforcements, even in transmission, have been bringing more value and are important for value generation for our shareholders.
Good morning, everyone. I will talk about data centers. Of course, we are talking to some market players to understand the segment and to see how we can make the sale of energy or Cemig's participation in this process profitable. We understand that there is an opportunity in the market, but it has to be analyzed cautiously, and we want to extract the best and greatest value from this opportunity, understanding the assets and the benefits they bring to the company. So data centers are assets we are considering, but cautiously, and with a focus on how to bring profit to Cemig and value to shareholders in this investment.
How is the process going on concession maturities? The next maturity of Sá Carvalho is approaching — how is that process evolving?
The market knows that we have three concessions with maturities closing in 2026 (including Sá Carvalho) and two others in 2027. The process is moving forward. We have already received a favorable note from ANEEL. Now this is being discussed at the Ministry of Mines and Energy. We are very optimistic about the process. Of course, we have to wait for the granting authority's approval, but we believe this will have a positive result for the company in the concession renewals process.
Regarding the trading area: given the losses and negative impact on trading results in this quarter, how is the company prepared to overcome this loss, and what is the future outlook for the trading business?
Thank you for your question. We can look back at last year and this year and then talk about the future. The trading company is undergoing a moment when it has to settle positions. There was a moment of price-model changes and scenario shifts, and we have been working in a very cautious way. Last year, we had net income, and in the market we were one of the few companies that achieved that. This year, we expected a possible negative EBITDA. We also faced the unprecedented detachment of the South sub-market. We were able to purchase energy even though it was expensive, and we settled positions. We exchanged positions with generation, so the effect remained within the group. Although we posted negative results in the trading company, it became positive in generation, leaving the consolidated impact neutral in some cases. We have been reducing our position. Of course, we have to be patient and cautious to settle these positions at the best time possible, and we are doing that. For 2028, we expect significant results for the trading companies — we have internal expectations in the range of around BRL 1 billion to BRL 1.8 billion. We understand we are prepared to undergo this moment. Right now, we are applying best practices and strategies to serve the market. The whole market is having a hard time because of structural issues, but we are having better results than many competitors thanks to our strategies. For the future, we believe we will have good results. This is a difficult moment now, but it was expected and we are looking for the best timing to close positions, reduce losses, and also realize gains as we had last year.
Once again, I would like to thank you all very much for being here in this call for the second quarter of 2026. I came back to the company in June, but when I was in the company from 2020 to 2024, we have always been very transparent in our strategy, which is to divest from complex and non-core assets and prioritize investments in regulated sectors, especially our distribution company, always investing in operating efficiency. This strategy is already bringing results to the company. This is a winning strategy. It is delivering value to shareholders and to our clients, and we have the best quality indicators. We thank our investors for their trust, and we are very optimistic about the continuity of this strategy at the company: greater operating efficiency and discipline in capital allocation. Thank you very much.
Thank you very much for your participation in this video conference call. The Investor Relations team is available to take any further questions that you might have. Therefore, we conclude Cemig's second quarter 2026 earnings conference call. Have a nice day. Thank you.