Transmissora Aliança de Energia Elétrica (TAEE11) Q4 2025 earnings summary

Executive summary

• Achieved record consolidated/Regulatory EBITDA of R$2.1 billion in 2025, up 12.5% year-over-year, with EBITDA margin rising to 84%.

• Regulatory net income grew 13.4% year-over-year to R$1.1 billion, with Q4 net income up 56% quarter-over-quarter.

• Maintained high operational availability at 99.94% and reduced regulatory variable portion by over 68% versus 2024.

• Record CAPEX of R$1.8 billion in 2025, focused on new projects and infrastructure upgrades, with major project deliveries ahead of schedule.

• Distributed 100% of regulatory net income as dividends, totaling R$1.1 billion for 2025.

Financial highlights

• Regulatory net revenue rose 7.9% year-over-year to R$2,513.3 million; Q4 revenue up 10.8% to R$643.7 million.

• IFRS net income for 2025 was R$1,579.9 million, down 6.7% year-over-year due to lower inflation adjustment revenues and equity income.

• OPEX growth remained below inflation for two consecutive years, rising 2.9% over 24 months versus 9.3% IPCA inflation.

• Net financial expenses improved quarter-over-quarter but increased year-over-year.

• CAPEX reached R$1.8 billion, the largest investment in company history.

Outlook and guidance

• Most major projects, including Tangará and Ananindeua, expected to be completed in the first half of 2026.

• Leverage expected to fall below 4x in 2026 as investment cycle concludes.

• R$6.3 billion in investments planned over five years, with continued focus on reinforcements and improvements.

• Monitoring regulatory developments for battery storage, concession renewals, and tax reform.