Axia Energia Sa · BMFBOVESPA:AXIA3
Axia Energia Sa — Eletrobras — Q4 2024 Earnings Presentation
32 slides from Axia Energia Sa's earnings presentation, Mar 14, 2025
Slide 1: 4Q24 Earnings Presentation
4Q24 Earnings Presentation Classificação: Pública
Slide 2: Disclaimer
DISCLAIMER This presentation may contain estimates and projections that are not statements of past fact but reflect the beliefs and expectations of our management and may constitute estimates and projections about future events within the meaning of Section 27A of the Securities Act of 1933, as amen
Slide 3: Agenda
Agenda 1 2 3 2024 Main Operating Financial Highlights Performance Performance Apresentação de Resultados 4T24 Classificação: Pública
Slide 4: 2024 Main Highlights
1 2024 MAIN HIGHLIGHTS Apresentação de Resultados 4T24 4 Classificação: Pública
Slide 5: 2024 Highlights
E 2024 HIGHLIGHTS C K Customer focus 1 2 Transformation 3 Financial management Capital allocation 4 o Investments o Liability management New energy 6 market landscape 5 ESG Agenda ADVANCED CONCILIATION DISCUSSIONSClassificação: WITHPública THE GOVERNMENT Earnings Presentation 4Q24 5
Slide 6: Client Focus
E C K CLIENT FOCUS Structuring and centralization of the energy trading area ✓ Expanding capillarity through partner channels and Complete portfolio of energy representatives solutions ✓ Developing robust processes for credit and market risk Focus on energy trading in the free market management ✓ Es
Slide 7: Transformation
E C K TRANSFORMATION Personnel, Material, Services and Others (PMSO), R$ million Number of Employees, IFRS; recurring expenses end of period - 18% - 27% 8,322 10,508 9,670 8,328 7,354 7,710 6,784¹ 2022 2023 2024 Jun-22 Dec-22 Dec-23 Dec-24 Dec-25 Main highlights: ✓ Consistent PMSO reduction in a str
Slide 8: Transformation of Liabilities Management
E C K TRANSFORMATION OF LIABILITIES MANAGEMENT — Progress in reduction of compulsory loan inventory (R$ billion) — Other eliminations since 2Q22¹ Reduction of (court settlements) -R$ 12.5 billion 26.1 25.8 R$ 8.2 24.3 24.2 22.1 billion R$ 779 R$ 7.4 19.1 off-balance million billion 17.2 16.0 possibl
Slide 9: Transformation of Shareholding Management
E C K TRANSFORMATION OF SHAREHOLDING MANAGEMENT Active management of R$ 32 bn1 Portfolio Management Highlights in post-privatization shareholdings (Firm Value - R$), since jun/22 ✓ Centralization of shareholding management Divestments of R$14.8 billion, highlights: (SPEs) ✓ Copel Agreement – Dec/24
Slide 10: Financial Management
E C K FINANCIAL MANAGEMENT ~R$ 32 billion raised in 2024 - Debt maturity schedule R$ billion Gross debt of R$ 75.6 Average term: 58.1 months 36.3 Average cost: CDI + 0.1% 28.6 12.8 7.2 7.0 6.0 6.7 7.2 Cash ¹ 2025 2026 2027 2028 2029 2030 Afetr 2031 Main post-privatization advances ✓ Diversification
Slide 11: Resumption of Investment Capacity
E C K RESUMPTION OF INVESTMENT CAPACITY Total Investment new investment Resumption of key investments in 9,018 (R$ million) level Generation and Transmission 7,709 Coxilha Negra 3,229 ✓ Planned Capex: R$2.4 billion 1,810 ✓ Capacity: 302 MW 5,760 ✓ Commercial operation started in 5,426 1,210 Jul/24 1
Slide 12: Transmission Auctions
E C K TRANSMISSION AUCTIONS Total capex and lots offered in transmission auctions Auctions (R$ billion) ✓ Post-privatization, Eletrobras has become competitive in auctions Number of lots offered 28 48 46 36 12 10 10 19 12 18 ✓ Securing 1 lot in 2022 and 2023, and 4 in 2024 37,5 R$ 6.4 billion +R$ 68
Slide 13: Investing in Innovation for Enhanced Asset Management
E INVESTING IN INNOVATION FOR C K ENHANCED ASSET MANAGEMENT New meteorological intelligence center - ATMOS ✓ Focus on resilience and operational efficiency ✓ Intensive use of artificial ✓ Revitalization and modernization of generation intelligence in meteorological assets models for predicting extre
Slide 14: ESG Agenda Focused on Decarbonization
E C K ESG AGENDA FOCUSED ON DECARBONIZATION NET ZERO 2030 FOCUS ON DECARBONIZATION - H2V ✓ Our greenhouse gas emission reduction targets ✓ H2V pilot plant certified by CCEE, have been validated and comply with the located in Itumbiara (GO) ✓ R&D > R$ 125 million standards and guidelines of the Scien
Slide 15: New Energy Market Outlook
NEW ENERGY MARKET OUTLOOK Inflation-Adjusted Historical PLD, R$/MWh Average 390 1.600 Jan 10 – Dec 21 Median 300 1.600,0 Standard Deviation 341 1.400 1.400,0 1.200 1.200,0 1.000 1.000,0 800 800,0 600 600,0 330 Average 400 ? 400,0 330 Standard Deviation 200 200,0 234 Median 0 0,0 jan/10 jan/11 jan/12
Slide 16: Hydrological Scenario
HYDROLOGICAL SCENARIO Affluent Natural Energy - SIN (% Historical Average) 180 160 EAR: 61.1% 65.6% EAR: 65.0% 71.1% 140 ✓ Improved hydrological situation 120 in 2025 100 80 66 98 90 ✓ Average prices for 2026 60 up by R$ 45/MW1 40 59 20 ✓ Repricing due to risks that 0 materialized in 2024 Min and Ma
Slide 17: Capital Allocation
E C K CAPITAL ALLOCATION Current context: Greater volatility in the energy market Investing in the integrity and security of our assets ✓ Generation - modernization and Portfolio Maintaining a solid maintenance management financial position ✓ Transmission - reinforcements and improvements Investing
Slide 18: Largest Dividend Distribution in the Company's History
E LARGEST DIVIDEND DISTRIBUTION C K IN THE COMPANY’S HISTORY Growth in shareholder returns¹ ✓ 3rd highest profit in Eletrobras' history Proposed profit allocation - R$ million ✓ Total shareholder remuneration IFRS Net income 10,378 of R$ 4,115 million in 2024² Dividend (41% of Net Income after ✓ Pay
Slide 19: Operating Performance
2 OPERATING PERFORMANCE Earnings Presentation 4Q24 19 Classificação: Pública
Slide 20: Energy Balance
ENERGY BALANCE Energy Balance (aMW) 4Q24 2024 2025 2026 2027 Resources with no impact on the balance sheet 1,192 0 0 0 Resources (A) 14,523 15,750 16,540 17,624 Own resources Hydro 12,894 12,704 14,159 13,911 15,406 15,158 16,572 16,324 751 clients Wind 189 248 248 248 in 4Q24, of which Energy Purch
Slide 21: Financial Performance
3 FINANCIAL PERFORMANCE Apresentação de Resultados 4T24 21 Classificação: Pública
Slide 22: Solid Financial Performance in 4Q24
SOLID FINANCIAL PERFORMANCE IN 4Q24 -6% - Gross Revenue - EBITDA - IFRS Net Income +24% +17% +91% -55% +3% 5,434 5,444 1,141 1,112 5,089 13,914 893 12,593 2,856 12,211 517 R$ million 11,858 4T23 4T24 4Q23 4T23 4T24 4Q24 4Q23 4Q24 4Q23 4Q24 IFRS IFRS Regulatory Regulatório Regulatory Regulatório Ajus
Slide 23: PMSO Adaptation
PMSO ADAPTATION - PMSO Adjusted IFRS +7% Personnel 1,911 2,040 Material 321 Services 184 Other 576 731 +75% 99 +27% 73 -27% 1,051 915 -13% 4Q23 4Q24 - Highlights Recurring PMSO - 4Q24 x 4Q23 PERSONNEL SERVICES OTHERS o -R$ 106 mn: net result of new hires and o +R$94 mn: expenses with legal services
Slide 24: Operating Provisions
OPERATING PROVISIONS Positive figures represent reversal of provision IFRS (R$ million) 4Q24 4Q23 Main highlights Provision for litigation (486) (380) Measurement at fair value of assets held for sale Provision for Implementation of (23) 22 R$ 739 million Compulsory Loan Measures ✓ The variation w
Slide 25: Appendix
APPENDIX Classificação: Pública
Slide 26: Growth Agenda
GROWTH AGENDA Hydro Auctions Green Hydrogen M&A Auctions T Pipeline HPP Expansion Top winner in transmission auctions H2V Pilot Project Focus on untangling and recycling Capacity Auction 2025 over the past two years Strategic Partnerships capital Storage Reinforcements and Improvements Data Center T
Slide 27: Subsystem Risk
SUBSYSTEM RISK Interconnected System Breakdown PLD difference between Southeast vs other Load (aGW) Generation (aGW) subsystems R$/MWh North Subsystem Northeast Subsystem 280 SE-N SE-NE SE-S 11 6 11 6 10 7 10 8 14 11 15 11 16 12 18 13 230 2021 2022 2023 2024 180 2021 2022 2023 2024 130 South Subsyst
Slide 28: Cash Flow 4Q24
In 4Q24, operating activities generated R$ 6.25 billion CASH FLOW 4Q24 in funds, while Free Cash Flow totaled R$ 4.25 billion R$ billion 5,7 0,0 0,0 0,2 0,0 7,1 6,9 -0,2 0,4 6,2 0,9 0,0 0,4 4,7 -0,1 4,2 -2,0 -1,6 -1,2 *Net funding: raising debt, net of issuance costs. Earnings Presentation 4Q24 28 C
Slide 29: Cash Flow 2024
In 2024, operating activities generated R$18.4 billion in CASH FLOW 2024 funds, while Free Cash Flow totaled R$11.0 billion R$ billion 0,7 21,4 -1,5 1,5 18,4 -1,8 2,4 0,9 0,0 16,6 -2,0 15,7 14,0 0,1 -1,4 11,0 -7,4 -6,7 -3,8 *Excludes generation contributions Earnings Presentation 4Q24 29 **Net fundi
Slide 30: Assets Operational Performance
ASSETS OPERATIONAL PERFORMANCE Eletrobras' Generation Transmission lines Availability of power Availability Factor (FID) 1 availability transformers until Dec/24 until Dec/24 1,011 99.97% 99.92% Dec-24 FID 1FID represents an availability target that generators must meet. It is primarily influenced b
Slide 31: Q&A
Q&A Classificação: Pública
Slide 32: Investor Relations
Investor Relations +55 21 2514-6331| ri@eletrobras.com www.eletrobras.com/ri Classificação: Pública