Companhia Energetica De Minas Gerais Sa · BMFBOVESPA:CMIG3
Companhia Energetica De Minas Gerais Sa — Energy Co of Minas Gerais — FY2022 Earnings Presentation
104 slides from Companhia Energetica De Minas Gerais Sa's earnings presentation, Apr 4, 2023
Slide 1: Conference call and 28th Cemig Investor's Meeting
IBRX100B3 IEEB3 ISEB3 ICO2B3 Conference call and 28" Cemig “—=~ Investor's Meeting if ‘March 27 (Monday), 10.a.m. to 5:30 p.m. (Brasilia time)
Slide 2: 2022 Highlights
2022 Highlights vy Focus on investments in Minas Gerais Distribution: ‘Significant milestone: 9 million clients, Highest annual investments in our history (approx. R$ 3 billion) 45 new substations inaugurated: in the whole of the previous 8 years (2014-2021) we had inaugurated 46. ‘More than 800,000
Slide 3: 4Q22 Headlines
4Q22 Headlines Higher results, from efficient operational management: > within regulatory parameters > diversified portfolio of businesses > higher volume of energy traded {with higher margin) > stronger equity income AQ Ebitda R$1.96 billion —up 18.6% YoY Adjusted Ebitda R$1.65 billion —up 10.7% Yo
Slide 4: Contents
Contents Consolidated results — 4022. 6 Cemig’s consolidated power market ry Performance by company. 10 Cemig D. 10 Billed electricity market. 10 Client base a Performance by sector R ‘The annual tariff adjustment. 2 Quality indicators — DEC and FEC 3B Combating default. 2B Energy losses 14 Cemig GT
Slide 5: Contents (continued)
Covenants ~ Eurabonds.. 35 ‘Cemig's long-term ratings.. 37 SG - Report on performance. 38 Performance of our shares 40 Cemig’s power plants. aL RAP (Permitted Annual Revenue — transmission) — July 2022-Iune 2023 cycle a3 ‘Transmission Regulatory Revenue - 2022.. a4 Complementary information. 45 Cemi
Slide 6: Consolidated results 4Q22
Consolidated results —4Q22 4022 4021 Ebitda by company (R$ million) Cemig D. 798 988 Cemig 0 597 650 Cemig GT (IFRS) 298 464 175 1654 Consolidated — Adjusted 1,492
Slide 7: Profit and loss accounts: 4Q22 and 4Q21
PROFIT AND LOSS ACCOUNTS: 4022 and 4Q21 PReEPreE chance, CONSOLIDATED PROFIT AND LOSS ACCOUNT ‘NET REVENUE 9.753 9.857 1.0% ‘OPERATIONAL COSTS AND EXPENSES 8213 8,033 2.2% People 368-328 122% Employee profit shares “15 30 - Post-etirement obligations 187-310 - Materials 61 24 185.3% ‘Outsourced serv
Slide 8: Results by business segment
Results by business segment INFORMATION BY SEGMENT, 422 Holding Generation Transmission Trading Distribution company "OTA INET REVENUE 458 3282127 7,018 10,208, “310 “140 9,753 (COST OF ELECTRICITY AND GAS 8 o 1769 “98-5721 310 122-5250 OPERATIONAL COSTS AND sexe 238 38 “216 -2,941 ° 18-2923 Personn
Slide 9: Cemig's consolidated power market: 9 million clients
a Cemig’s consolidated power market 2] 9 million clients — milestone In December 2022 the Cemig Group forthe frst time invoiced more than 9 million 1.7% clients — adding approximately 150,000 clients, or 1.7%, to its consumer base since - December 2021. Growth in client base from December 2021 — Of
Slide 10: Performance by company: Cemig D billed electricity market
Performance by company Cemig D Billed electricity market jents + Free Clients (MWh) Resigential 2900588 2,786,752 4.1% Industriat 5593070 5573719 0.2% ‘Captive market 413550 107% Transport Sau3618 516576311 ‘Commercial, services and Others 3.629951 1496116 9.6% ‘Captive market 3158178 1,065,677 8.7%
Slide 11: Sources and uses of electricity; client base
Sources and uses of electricity MWh 4022 cot Client base In December 2022 Cemig D billed 9.03 million consumers, or 1.7% more than in December 2021. “Transported for distributors 70.485 87,098 19.1% Of these, 2570 were Free Clients using the distribution network of Cemig D. “Transported for Free Cli
Slide 12: Performance by sector
Performance by sector Industrial: Energy distributed to industrial clients was 47.2% of Cemig D’s total distribution. The greater part was energy transported for industrial Free Clients (44.1%) ~ 1.1% higher in volume than in 4021. Volume of energy billed to captive clients was 3.19% of the total di
Slide 13: Payment channels and quality indicators DEC and FEC
a New payment channels, and online negotiation, made available in recent ‘quarters, have contributed to an increase in collection via digital channels (PIX instant payments, automatic debits, payments by card and app, etc) to approximately 56.50% of the total collected. This compares with 50.28% in
Slide 14: Energy losses
a Energy losses Total energy losses, in %, and their components Energy losses were compliant with the regulatory levelin the 12 months, at 11.219% (the regulatory level is 11.23%). Approximately 295 GWh relating to fraudulent use of supply has been billed in the last 12 months. 1271 12.67 ‘Among act
Slide 15: Cemig GT and the holding company: electricity market
Cemig GT and the holding company Electricity market ‘The aggregate volume of electricity sold by Cemig GT and the Cemig holding company (‘Cemig H'), excluding sales on the wholesale trading exchange (CEE), ‘was 18.0% higher than in 4021. Cemig GT sold 7.18 million MWh (including quota sales) in 4022
Slide 16: Gasmig
Gasmig Gasmig is the exclusive distributor of piped natural gas for the whole of the state of Minas Gerais. It serves industrial, commercial and residential users, consumers of compressed natural gas, users of natural-gas-powered vehicles, and thermoelectric generation plants burning gas as fuel. It
Slide 17: Consolidated operational revenue
Financial results Consolidated operational revenue 4022 aaa Revenue from supply of electricity 6.903998 £089,472 -14.7% Revenue from use of distribution systems (TUSD charge) 927008 903,989 «25% (GVA and Other financial components in tariff adjustments Diss —-2871aa—OB% Reimbursement, paid to consum
Slide 18: Revenue from supply of electricity
Revenue from supply of electricity ‘erage price average price awh 2) tiled MWh) billet ssnawh (2) Py Tenartar Zeoaess 2233658 76818 2786752 2985871107145 Aa 250% inaustil aysiu aszezi9 zea ‘azs7sig _ia0sa?e S317 nm ss% ‘Commercial services and others 2205302 10i6as¢ 629.58 2217660 1572813 70822 aa 2
Slide 19: Consolidated volume of energy sold
Consolidated volume of energy sold (GWh): +10.9% = amt son 1 421 India ual other 4022 Resident Commercal wholesale Energy sold to final consumers Gross revenue from sales to final consumers in 4022 was R$ 5,787.7 milion, compared to R$ 7,261.2 million in 4021, a reduction of 20.3% YoY, in spite of v
Slide 20: Revenue from use of the distribution system (TUSD)
volume of gas sold was 21.2% lower, as a result of the near-zero dispatching of the thermal electricity generation plants in the quarter. Revenue from Use of the Distribution System The TUSD charge ‘TUSD (R$‘000) Use of the Electricity Distribution Systems 927,004 903,989 25% Revenue from the TUSD i
Slide 21: Operational costs and expenses
Operational costs and expenses Operational costs and expenses in 4022 were R$8.21 billion, compared to § 8.03 billion in 4021, mainly due to: (i) post-employment expenses being § 467 million higher (due to the reversal of RS415 milion in the provision for life insurance - post employment in 4Q21); a
Slide 22: Electricity purchased for resale
Hisctiicity purchased for rasa ‘+ Expenses on Distributed Generation were 39.9% higher, arising from the increase in the number of distributed generation plants installed, and the 4022 4024 higher quantity of energy injected into the grid (893 GWh in 4022, vs. 560 GWh in 4021). '* Cost of physical g
Slide 23: Charges for use of the transmission network
Charges for use of the transmission network and other system charges Charges for use of the transmission network in 4022 totaled R$ 653.6 million, 47. 1%lower than in 4021. The lower figure is mainly due to the almost complete elimination of costs on the System Services Charge —which was higher in 4
Slide 24: People
People ‘The expense on personnel in 4022 was R$ 368.0 milion, 12.2% more than in Number of employees —by company 4021, mainly reflecting the expense of R$ 29.1 million on the Programmed Voluntary Retirement Program (PDVP) recognized in 4022, and the salary increase (6 46%) for the workforce in 4022:
Slide 25: Consolidated Ebitda (IFRS and Adjusted)
CONSOLIDATED EBITDA (IFRS and Adjusted) EBITDA 40224021 CONSOLIDATED EBITDA — RS million Profit (loss) for the period 1407962 46.3% Income tax and Social Contribution tax 18096 —87.3% Finance income (expenses) 70 3ii__-7.4% Depreciation and amortization Bi2_ 285 —«9:5% = Ebitda as per CVM Instructio
Slide 26: Consolidated Ebitda 2022 and 2021
CONSOLIDATED EBITDA - 2022 EBITDA 2022-R§ milion QS Prof ou forthe patio eT) aoe wo) France income (expense 150 seas =a ae ne z _ ee aaa Fr a a a ee CONSOLIDATED EBITDA - 2021 EBITDA 2021 -R§ millon — i. oe Prof ou) fore ptiod a a8 Ls ae France income expense] ae fs 4s07 aaa oo Ss 2 cee :bitda as pe
Slide 27: Cemig D - Ebitda
Cemig D - EBITDA 4022 | Net profit forthe period 46i S51 17.88% Income tax and Social Contribution ta ass 228 ——31.2%8 ‘Net financial revenue expences) =e aw “Amortization a EBITDA 78988-1828 \Write-down of life insurance obligation = 30 ‘Ter provisions ~ indemnity of Anudnio z = 2 [Net gain inthe S
Slide 28: Cemig GT - Ebitda
Cemig GT — EBITDA 4022421 Net profit forthe period au St = Carer an eferesincone tad _ = uuon [Net financial revenue expenses) 2 me 62K Depreciation ane amortization 2 7 65% btda as per CVM Instruction 527 7288 —135.2% Non-recurring and non-cash effects Leeson impalement 30 = = Gain rom agreement be
Slide 29: Finance income and expenses
Finance income and expenses Eurobonds — Effect in the quarter (R$ 365 Finance income 479525 232,473 108. recto the hedge 135.987 Finance expense 549,326 543,284 1.1% Premium on buyback oF bonds 45,768 = aes Fae era Net effect in Finance revenue (expences) 38343 101,968 For 4022 Cemig reports Net fin
Slide 30: Net profit
Net profit Cemig reports net profit of RS 1.406 billion in 4022, compared to net profit of $962 million in 4Q21; Adjusted net profit in 4022 was R$1204 billion, compared to R$ 992 million in 4021. Factors in this result principally include: * Volume of energy sold by the Cemig GT/Holding company app
Slide 31: Proposal for allocation of net profit
Proposal for allocation of Net profit ‘The Board of Directors decided to submit the following proposal to the Annual General Meeting to be held in April 2023 for allocation of (i) the net profit for 2022, of R$ 4,032 milion; (i) the balance of realization of the deemed cost of fixed assets, R$ 127 m
Slide 32: Investments
a Investments Investments in ©) DISTRIBUTION maintenance and \/ modernization of ‘otal investments realized in 2022 were more than RS 3.6 RS 2,923 mn Sse A total of R$ 1.3 billion was invested in 4022 alone. Execution of the largest investment program in Cemig’s history guarantees updating and relia
Slide 33: Debt
Debt CONSOLIDATED (RS 000) 2022 2021 Change, % Grose debt 10579498 133639636 9% Cech and equivalents Securities 3,318,838 2,903,026 1838 Net debe 7,260,660 8.460037 142% Debtinforeignaurrency 3,959,805 5,601,097 29.3% CEMIG GT—RS 000 Gross debt $959,065 6,029,460 17.8% ComandequvalentstSecorites 265
Slide 34: Debt amortization profile
a Debt amortization profile (RS million) * Debt in USD protected by hedge instrument, within an FX variation band — with payment of interest converted to % of Brazilian CDI rate 4597 DEBT AMORTIZED RS “000 siceab 1,273 1,297,078 1,706,590 955 Hn Bb 3 135,008 320,008 ‘Other 43,965 35,782 yon 20082005
Slide 35: Covenants - Eurobonds
Covenants — Eurobonds Last 22 months H net income lose) 2085 4094 S71 3.753 financial results net aT 1567 2.161 2.253 income tax and social contribution ne 26 250 945 depreciation and amortization 328 1.182 259 1,049 minority interest result “519-843 30s -182 provisions for the variation in value of
Slide 36: Covenant net debt to EBITDA
eT vee consolidated indebtedness 4959 10579 4,029 Derivative financial instruments 612-612 .29 1.219 Debt contracts with Foriuz ia 799 209923 720 © 720 36638 The conying liability of any put option obligation ee ‘Covenant Net Debt Covenant Net Debt to Covenant EBITDA Ratio 3.598 8,167 4,394 8,801 Li
Slide 37: Cemig's long-term ratings
Cemig’s ratings have improved greatly in recent years. in 2021 the three principal rating agencies upgraded their ratings for Cemig. In April 2022, Moody's again upgraded its rating for Cemig, this time by one notch. Details in this table: Cemig’s long-term ratings Investment grade ‘Speculative grad
Slide 38: ESG - Report on performance
ESG - Report on performance Highlights * Extensions of the concessions of 27 hydroelectric plants of Cemig GT were signed — representing, in financial terms, more than R$ 1.1 billion for the Company. * For investment of RS 150 million, Cemig completed the expansion of the ‘new Poco Fundo Small Hydro
Slide 39: Indicators: sustainability indices
Indicators Cemig present in the leading sustainability indices cee = ra Porte Sut ated peg One = ¢ pp,” ‘operations! erin Payee teenies reece teat Pee 302 aa aad surement "cs mene Ce aero a Top Gres ec es tery Soo ane SU BOE AEE pass IE rap ap Daven ona ou a soma
Slide 40: Performance of our shares
Performance of our shares = ‘Our securities hs CGA PN) atthe lve (5a) CETTE] avi On athe doe R/shae) soe ae Cis (AOR for PN sare) cone USS/nar] 20s 163 25.00% iG. (ADA for ON shares] tore (USS/share] au aes ioe Xcivi Cemig PN spares on ates, close /sare) 1852053 75 SS CMS PNT RS ose 2343-2258 CMIG3
Slide 41: Cemig's power plants
Cemig’s power plants Cemig Cemig jower physical End of emi ores im) guarantee concession «= PE interest Q (aw) Emborcagso Comig Gt 1192 475 May 2027 Hyaro plant 100% Nova Ponte Cemig Gt 510 257 August 2027 Hydro plant 100.0% rape Cemig St 399 198 Sep. 2087 Hydro plant 100.0% Tres Maris Cemig Ger Tie
Slide 42: Cemig's power plants (continued)
‘Amador Aguiar Il(Capim Branco) __Atanga 83 4” August 2035 Hydro plont___39.3% Furi ‘Aliana al 36 May 2040 Hydro plant 45.0% Igarapava: ‘Alianga 50 30 Sep.2031 Hydro plant 23.7% Porto Estrela ‘Alianga: 34 18 ‘Jun. 2035 Hydro plant 30.0% Gravier ‘Alianga: 32 — ‘August 2055 Wind plant 45.0% Candonga:
Slide 43: RAP - Permitted Annual Revenue, transmission
RAP — (Permitted Annual Revenue — transmission) — July 2022-June 2023 cycle ‘Company Expiration Cemig 925,247 10.00% 925,247 Cemig GT 810,529 100.0% 810,629 Deo. 2042 Cemig itajuba 75310 100.0% 75310 Oct. 2030 Centroesie 30575 100.0% 30.575 ‘Mar. 2035 Sete Logoas 734 100.0% 8,734 Jun. 2041 Tasso 3,4
Slide 44: Transmission Regulatory Revenue - 2022
Transmission Regulatory Revenue - 2022 1,330,558 28,471, 8,880 ‘Transmission Regulatory Revenue 1,330558 28,471, 5,880 ‘Taxes on revenue “117,243 “1,039 823 PIS and Pasep taxes, 20911 “185 “147 Cofins tax 96,318 354 676 ISS tax on services 4 ° o ‘sector / regulatory charges 403,374 951 580 Research
Slide 45: Complementary information: Cemig D market
Complementary information Cemig D CEMIG D Market TUSD PICK* 4020, 6157 5481 1618 ad saz 647 5,350 4147 345 2a021 6,038 5,592 asso 355 3021 66 5,629 4746 352 4a2t 6013 5612 11626 361 1022 5,738 5,397 16 362 2022 5,050 5,853, argos 367 3022 5942 5,730 11733 347 4022 6,047 5,755, 11802 405 1. eferto te
Slide 46: Cemig D operating revenues and expenses
Cemig D Operating Revenues (RS milion) waisa 40/40 Revenue from supply of energy 42414500 5971-88 _-2908 Reimbursement of PiS/Pasep and Gofins credits to customers 718__—*708_——4l_—=R_—C2O Revenue from Use of Distribution Systems (the TUSD charge) 935991 CVA and Other financial components in toni ad
Slide 47: Cemig D and Cemig GT statements of results
Cemig D 4022 3022 _4Q21 Statement of Results Net Revenue 60735740 6591 Operaiing Expenses 5469 5069 5785 eT 4 TS EBITDA 7998609887 tna Financial Result 7 20 = s50% Provision forincome Taxes, Social Cont & DefenedincomeTox -1S4_-175_—-224_—aom sia Net Income 4615075610 ava Cemig GT Cemig GT - Operati
Slide 48: Cemig GT expenses and statement of results
3022 (RS millon) Pereanne! 8 a 143845 Employees and managers profit sharing 5 3 748.5% 35.7% Forlus~ Post-ratiremant obligations = ee ETE Materials rT € 789.1% 59.0% Outzourced services a 7 Se 285s 5.08 Depreciation ang Amortization 2 2 703% 6.5% Operating provisions = 4 7 S736 75.5 (Charges for Use
Slide 49: Cemig, Consolidated energy sales and revenue
Cemig, Consolidated Energy Sales 4022-3022, aga Resientsl Zoo 2sT0G__/2FaT. 7.2% 41% Incustria! 4718 7a 38 “axe Commercial 2248 2.242218, 59% 1456 Rural Ts 28 36s aa Others 356 we 257 ose 0.2% “Subtotal 3139341340 —10.986 13% 3% (win Conumetion 7 7 3 Cer ETEC) ‘Supply 35654507 _—~=«S 17s 30.5% TOTAL
Slide 50: Operating Revenues - consolidated
Operating Revenues - consolidated Sales to end consumers S788 6027-7261 40% 203% ‘supply 161.079 828 35% eR, TUSD. 97 985 904 59% 25% CVA and Other financial components in tarif adjustment Zi “395 237 = 68% oo ae Te Gnas Transmission revenue plus RTP 7 106 19-84% “181% Financial remuneration of tran
Slide 51: Operating Expenses - consolidated
Operating Expenses - consolidated (RS milion) Personne! 368.027 3102787 1a 122% Employees! and manage’ profit sharing 15.325 2s 25786 tsa ASS Forlus~ Post-Retirement Employes Sanefite 357307 aes 508.711 = 150.8% Materials 1213 3473943 Tax 155.3% Outzources services 523672 403 408.407 280% 28.2% Ener
Slide 52: Financial Result Breakdown
Financial Result Breakdown 402230224021 FINANCE INCOME Income fom carn invesienis [ET ‘Area ees sae of eneroy SEE Monstor vations CVA 969836 Monstoryvbdting on Cour esstow depodie Ea SE Pasep and Cofrs charged on farce income 329777. xchange a a : Goins on rancialinavumerte Swap (010039 -1000% 100.0
Slide 53: Statement of Results and cash flow statement
Statement of Results 4022 3022 4Q21 (RS mition) —— as Cash Flow Statement 2022 2021 Cash at beginning of period 825 1,680 Cash generated by operations 6,613 3,683 a 2 ore ae Smit Equity gain (loss) in subsidiaries 843, 182 Ctassitcago:Pablico
Slide 54: Cash flow statement
Provisions (reversals) for operational losses Deferred income and social contribution taxes Refund of PIS/Pasep and Cofins credits to consumers Dividends receivable Offsetting of hydrological risk costs Interest paid on loans and financings Result of Periodic tariff review ‘Net gain on derivative in
Slide 55: Balance Sheets - Assets
BALANCE SHEETS - ASSETS (RS milion) CURRENT CCash and cash equivalents Marketable securities Customers, traders, concession holders and Transport of energy Concession financial assets Concession contract assets Tax offsetable Income tax and Social Contribution tax recoverable Dividends receivable Pu
Slide 56: Balance Sheets - Liabilities and Shareholders' Equity
BALANCE SHEETS LIABILITIES AND SHAREHOLDEF (RS milion) ‘CURRENT Suppliers Regulatory charges Profit sharing Taxes Income tax and Social Contribution tax Interest on Equity, and dividends, payable Loans and financings Payroll and related charges Public Lighting Contribution Post-retirement liabilitie
Slide 57: Deferred income tax and total equity
Deferred Income tax and Social Contribution tax Provisions Post-retirement liabilities PASEP / COFINS to be returned to consumers. Leasing operations Others ‘TOTAL NON-CURRENT ‘TOTAL LIABILITIES TOTAL EQUITY Share capital Capital reserves Profit reserves Equity valuation adjustments Profit reserves
Slide 58: Tables of adjustments
Tables of adjustments Consolidated a ae ee EBITDA as per CVM Instruction 156 6867| 8,000 3,753 Provision — Credits of Pis/Pasep/Cofins faxes on IGMS- VA 530 O) 0) Financial asset reimbursements receivable — written off 172 0) | Tox provision for Anvénio case 136 0) | Loss due to reduction to recover
Slide 59: Adjustments: Consolidated
Consolidated EBITDA as per CVM Instruction 156 MVE (Excess Supply Sale Mechanism) Net profit affributed fo non-conirolling stockholders Result of business combination Gain from agreement between FIP Melboume and AGPar Loss due to reduction to recoverable value Gains on disposal of assets ‘Adjustment
Slide 60: EBITDA as per CVM Instruction; Disclaimer
EBITDA as per CVM Instruction 156 Result of Transmission Toriff Review Gain from agreement between FIP Melboume and AGPar Loss due to reduction to recoverable value [Adjust ment for impairment of investments (Santo Anténio) Write-down of post-retirement life insurance obligation FX exposure — Eurobo
Slide 61: Disclaimer (continued)
‘To evaluate the risks and uncertainties 2: they relate to Camig, and to obtain additional information about factrs that could give ree to diferent results from hore estimated by Cemig, please ‘consult the section Rsk Factors included inthe Reference Form fled with the Brazilian Securities Commissio
Slide 62: Notice to the Market - Cemig 4Q 2022 Results Presentation
3. Notice to the Market - Cemig 4Q 2022 Results – Presentation.
Slide 63: 28th Cemig Investor's Meeting
28th Cemig Investor's Meeting THE ESEST OF MINAS GERAIS TO YCSU A business meeting on leadership, with strategic discussions, networking opportunities, and a lot of updates on “Minas Gerais” CEMIGZ)
Slide 64: %
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Slide 65: Disclaimer
Disclaimer Certain statements and estimates in this material may represent expectations about future events or results, which are subj that may be known or unknown. There is no guarantee that events or results will occur as referred fo in these expectations. to risks and uncertainties These expectat
Slide 66: Focus on Minas
FOCUS ON MINAS INVESTMENTS FOCUSED ON MINAS GERAIS, STRATEGY SEEKING MAXIMIZATION OF RESULTS THROUGH SUSTAINABLE MANAGEMENT 2023 — 28th Cemig Investor's Meeting
Slide 67: New approach to capital allocation
New approach to capital allocation O Investment outside Minas RS 34.1 billion* in minority stockholdings, without control, and without adequate return. O Low investment in the regulated businesses — averaging 1.0 billion/year (in 2014-2019) + Uncotes Dy POA (Dec/20): vicenct received, atet dzposae a
Slide 68: Greater financial health, and efficiency
Greater financial health, and efficiency e@ Inappropriate level of leverage, \ with Net debt / Ebitda reaching 5x | ‘ R$ 4.9 billion* in expenses exceeding | the regulatory limit; R$ 2.8 billion** in energy losses pressure on cash in short and medium term O Inappropriate debt profile, with @) CEMIGZ
Slide 69: Stock price appreciation + dividends
Stock price appreciation + dividends - Vi Oct. 2018 — 2022 ) @ TSR: -25.6% 7 } TSR: +235.4% BH 43 billion +R$ 23.5 billion . Market value: Market value: ‘ali @ RS 9.9 billion . RS 28.2 billion r ) po igendspald { Dividends paid beetle RS 5.27 billion
Slide 70: Focus on Minas
FOCUS ON MINAS ~~ FOCUS ON THE <
Slide 71: Largest investment program in Cemig's history
DISTRIBUTION (Ose ona modernization of 66 EXECUTION OF LARGEST INVESTMENT RS 2,923 min tresteckein PROGRAM IN CEMIG'S HISTORY ENSURES GENERATION expansion and MODERNIZATION AND RELIABILITY OF MU RS 137 mn Soca CEMIG'S ELECTRICITY SYSTEM yy —_____+ TRANSMISSION Strengthening ond upgrading - with 3,56
Slide 72: Execution of the Strategic Plan
EXECUTION OF THE STRATEGIC PLAN CEMIGZ) Structural investments, with strong focus on modernization and digitization of assets, resulting in improved electricity supply quality, and efficiency of operational processes Cemig Strategic Plan, 2021-2025 ACCELERATING n (1%) TRANSFORMATION [ee Amount execu
Slide 73: Largest investment plan in Cemig's history: Focus and Win
Largest investment plan in Cemig’s history — underlines the strategy: “FOCUS AND WIN!” Focus on Minas Gerais Regulated sectors — networks with monopoly —in power generation, transmission + R$18.4 bn in Distributi and distribution, providing S840 = gall ” 7 excellent service to the client, with + R$
Slide 74: Disinvestment, simplification of stockholding structure
DISINVESTIMENT, SIMPLIFICATION OF STOCKHOLDING STRUCTURE CEMIGZ) RS 2.1 billion cash inflow from disinvestments since 2019 R$ 1.9 billion of cash injections avoided (in the investees divested) RS 1.1 billion in tax credits 191 Guarantees reduced 14 + PPA released || a + Cash preserved (no cash injec
Slide 75: Gasmig action for 2023-2027
ACTION FOR 2023 —2027 Serve 2 more meso-regions of Minas Gerais Expand use of the existing gas pipelines Add 86,000 new clients Build 917 km of network Invest R$ 1.8 bilion in the gas distribution system. Diversify suppliers of gas through public tenders Study use of Biomethane in distribution kh St
Slide 76: Investments in distributed solar generation
INVESTMENTS Psanaans ala From 2019 to 2022 R$ 175 mm was invested in buying seponar orteans assets, and R$ 70 mn in closing transactions for new photovoltaic plants Praraoeis g, ‘Beamepos ae R$ 640 mm injected in 2023 for investments in expansion of the asset portfolio These new investments will add
Slide 77: Commitment to operational efficiency
COMMITMENT TO OPERATIONAL EFFICIENCY = CEMIGZ) We continue to be within the regulatory parameters, ensuring total coverage of our operational expenses = 2022 opex of Cemig D was R$ 199 million below the regulatory level = Ebitda was R$ 60 million above the regulatory level 3,047 2,635 RS 60 million
Slide 78: Commitment to sustainability
Cemig reaffirms its commitment to sustainability through practices of environmental conservation, social responsibility and corporate governance SOCIAL WELLBEING Laas aN nan @? - ENVIRONMENTAL throu & 4 it PRACTICES ey. @ 2 he Proactive implementation . i e Seal sieontiantal aaa coan 4 SS Corporate
Slide 79: Way of doing business: organizational culture
AN WAY OF DOING BUSINESS CEMIGZ) Consolidation of a progressive organizational culture, creating a secure, meritocratic, diverse and inclusive environment, enabling sustainable enterprise results CULTURE THAT CULTURE OF VALUES THE CLIENT EXCELLENCE Inspirational Client satisfaction as principal fact
Slide 80: Talents and company atmosphere survey
~ CEMIGA) Talents Company Atmosphere Survey - Overall approval 86% oz [NN 75% ® Internal ® External * Management decision: up to 40% of leadership * Highlights of the approval ratings: positions can now be offered to talents in the market * Overall satisfaction (86%), * Opportunity to combine the va
Slide 81: Low income programs
LOW INCOME \ TARIFF 1,187,000 families benefited Number of beneficiaries increased by more than 100% from 2018 to 2022 Inclusion of a total population equal to that of Belo Horizonte Families inscribed save an average of R$ 56.00 per month* on their energy bills ENERGIALEGAL .~ program | Regularize
Slide 82: B3 Sustainability Index - 2022
Slide 83: Recent ESG action
Slide 84: Recent ESG action: Energia Legal
Slide 85: Success Strategy
Slide 86: Complying with commitments assumed
Slide 87: Analysis of the Results 2022
Slide 88: Disclaimer
Slide 89: Main factors in results: Cemig H
Slide 90: Main factors in results: Cemig D
Slide 91: Main factors in results: Cemig GT
Slide 92: Cemig's consolidated 2022 results
Slide 93: Cemig's consolidated results for 4Q22
Slide 94: Consolidated 2022 operational cost and expenses
Slide 95: Consolidated cash flow
Slide 96: Consolidated debt profile
Slide 97: Consolidated debt profile: cost and leverage
Slide 98: Cemig D 4Q22 results
Slide 99: Cemig D - Power market
Slide 100: Cemig D - Operational efficiency
Slide 101: Cemig GT 4Q22 results
Slide 102: Gasmig - Solid and consistent results
Slide 103: Shareholder remuneration
Slide 104: Notice to Shareholders dated March 22, 2023 - Interest on Capital
4. Notice to Shareholders dated March 22, 2023 - Interest on Capital.
Energy Co of Minas Gerais — FY2022 Earnings Presentation on 6ix