Equatorial S.a. · BMFBOVESPA:EQTL3

Equatorial — Q2 2020 Earnings Presentation

19 slides from Equatorial's earnings presentation, Aug 21, 2020

  1. Slide 1: Results 2Q20

    RESULTS 2Q20 August 2020 1

  2. Slide 2: Disclaimer

    Disclaimer This presentation may contain forward-looking statements, which are subject to risks and uncertainties, as they were based on the expectations of Company’s management and on available information. These prospects include statements concerning the Company’s current intensions or expectatio

  3. Slide 3: Highlights

    Highlights Consolidated Adjusted EBITDA reached R$ 857 million in the quarter. 2Q20 Adjusted Net Income reached R$ 387 million (+22.5% vs 2Q19). Equatorial Energia • Equatorial ended the quarter with R$ 6.0 billion in consolidated cash. • Covid Account proceeds amounted to R$ 865 million in July. •

  4. Slide 4: New actions

    New actions Main New Digital Services Digital Platforms Support* (Site and/or WhatsApp) +133.1% Accumulated • Social Tariff Registration (Low Income) 2.500.000 +18.0% Duplicate and Segunda-Via e Código 2.000.000 +0.2% payment code para Pagamento • Self Reading +39.3% 1.500.000 +49.4% Outros Others •

  5. Slide 5: Operational Performance

    Operational >—>- Performance \

  6. Slide 6: Energy Market

    Energy Sales evolution by DisCo (captive + free) GWh +3.2% Market +36.9% 5,349 +0.6% -2.5% 5,181 -3.0% 2Q19 2T19 Maranhão Pará Piauí Alagoas 2Q20 2T20 Sales evolution by segment (captive + free) GWh +3.2% +17.6% -5.1% -16.1% -1.3% +2.0% 5,349 5,181 Disconsidering the adjustment effect, total volumes

  7. Slide 7: Energy Market

    Energy Injected energy evolution per DisCo GWh -1.7% Market +1.3% -0.7% -4.8% 7,329 -5.9% 7,203 2T19 2Q19 Maranhão Pará Piauí Alagoas 2Q20 2T20 Low income evolution # of consumers 33.1% (+ 545) +95.4% +42.4% + 149 2,192 +31.4% + 125 +15.9% + 165 + 106 1,647 2Q19 2T19 Maranhão Pará Piauí Alagoas 2Q20

  8. Slide 8: Energy Market

    Energy Commerce reopening schedule Market Maranhão Pará Piauí Alagoas Start of reopening 05/25/2020 06/01/2020 07/27/2020 07/20/2020 Reopening 08/03/2020 07/15/2020 08/17/2020 - conclusion Injected energy evolution per DisCo (captive + free) in July GWh +4.0% +6.8% -2.3% 0.1% 2,580 +6.3% 2,481 Jul-1

  9. Slide 9: Total losses over injected energy

    Total losses over injected energy L o s s e s i n P i a u í d r o p p e d f o r t h e 5 th c o n s e c u t i v e q u a r t e r Maranhão Pará 18,3% 18,0% 18,0% 18,0% 18,0% 27,5% 27,5% 27,5% 27,5% 26,8% 17,7% 17,8% 18,0% 18,0% 18,2% 30,1% 30,3% 30,1% 29,5% 29,8% 2T19 2Q19 3T19 3Q19 4T19 4Q19 1T20 1Q20

  10. Slide 10: DEC

    DEC P a r á 2 n d p l a c e i n An e e l ’s Q u a l i t y R a n k i n g a n d M a r a n h ã o 8 t h p l a c e Maranhão Pará 28,5 28,5 28,5 27,6 27,6 17,3 17,3 17,3 17,4 17,4 23,2 23,3 21,9 13,4 13,7 13,0 21,8 20,6 13,6 13,9 2Q19 2T19 3Q19 3T19 4Q19 4T19 1Q20 1T20 2Q20 2T20 2Q19 2T19 3Q19 3T19 4Q19 4

  11. Slide 11: FEC

    FEC Al l D i s C o s b e l o w t h e r e g u l a t o r y t a r g e t Maranhão Pará 10,8 10,8 10,8 10,8 23,4 23,4 23,4 22,2 22,2 10,8 6,4 6,6 5,5 5,8 14,1 13,5 12,2 11,7 11,0 6,5 2Q19 2T19 3Q19 3T19 4Q19 4T19 1Q20 1T20 2Q20 2T20 2Q19 2T19 3Q19 3T19 4Q19 4T19 1Q20 1T20 2Q20 2T20 FEC Regulatory Target

  12. Slide 12: Financial Performance

    Financial Soy N~ Performance

  13. Slide 13: Manageable Expenses

    Manageable Expenses P i a u í a n d Al a g o a s p r e s e n t i n g r e c u r r i n g c o s t s b e l o w r e g u l a t o r y. Maranhão Pará INPC -1.1% 12 Months +4.0% 2.34% 114 118 119 IPCA 120 12 Months 2.13% 2Q19 2T19 2Q20 2T20 2Q19 2T19 2Q20 2T20 OPEX per consumer 2Q20 Piauí Alagoas Maranhão Pa

  14. Slide 14: PDA and PDA/GOR

    PDA and PDA/GOR Maranhão Pará 34 96 16 24 1,5% 3,5% 1,4% 6,8% 1T20 2Q19 2T20 2Q20 2Q19 1T20 2Q20 2T20 Piauí Alagoas 22 21 20 18 3,0% 3,9% 3,9% 2,8% 2Q19 1T20 2Q20 2T20 2Q19 2Q20 1T20 2T20 14

  15. Slide 15: EBITDA

    EBITDA P i a u í a n d Al a g o a s p r e s e n t i n g p o s i t i v e Ad j u s t e d E B I T D As Maranhão Pará -18.1% 10 -18.1% 32 -12 238 -6 235 231 209 2T19 2Q19 2T20 2Q20 2Q19 2T19 2Q20 2T20 Piauí Alagoas Financial Asset Update (VNR) +38.3% -5.1% -2 42 61 30 56 2Q19 2T19 2Q20 2T20 2Q19 2T19 2Q

  16. Slide 16: Equatorial Consolidated

    Equatorial Consolidated -9% Adjusted EBITDA in the quarter (R$ Mn) 39 17 345 +5.6% 225 982 943 857 873 598 632 Reported EBITDA Adjustments Ajustes Adjusted EBITDA Ajustado VNR VNRand IFRS e EBITDA EBITDA ex EBITDA ex VNR VNR e EBITDA EBITDAexexVNR VNRe VNRe and VNR Adjusted IFRS EBITDA EBITDA Ajusta

  17. Slide 17: Debt

    Debt Cons. Net Debt and Net Debt/EBITDA LTM Pro-rata Net Debt and Net Debt/EBITDA LTM 2 (R$ Mn)1 10.600(R$ Mn) 3,7 3,6 3,9 3,8 11,20 3,6 3,7 10.400 3,7 3,6 3,4 3,6 3,5 3,5 11,0 3,4 10.200 3,4 3,3 3,3 3,2 3,2 10,80 3,1 10.000 3,1 3,0 3,0 10,60 2,6 2,9 9.800 2,6 2,9 2,8 2,8 2,7 2,3 2,4 2,7 2,6 10,40 2

  18. Slide 18: Investments

    Investments Main Investments - Quarter (R$ Mn) 2 86 499 3 1,279 82 692 324 601 191 2Q19 2T19 2Q20 2T20 Transmissão Transmission Distribuição Distribution- -Próprio Own Distribuição Distribution- PLPT - PLPT Others Outros Main Investments – Annual History (R$ Mn) 2017 207 1051 235 15 1,508 2018 778 9

  19. Slide 19: Thank You

    Thank Yous) \ /

Equatorial — Q2 2020 Earnings Presentation on 6ix