Energy for a more sustainable future
VIDEOCONFERENCE
November 14th, 2025
Time: 11:00 am (BRT) | 09:00 am (ET)
Videoconference in Portuguese with simultaneous translation into English
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Message from the CEO
As we close the third quarter of 2025, I am pleased to once again share our solid results for the period. We achieved EBITDA of R$
3.2 billion, representing a 0.3% increase, and Net Income of R$ 1.4 billion, up 3.3% from 3Q24.
In the Distribution segment, our Allowance for Doubtful Accounts (ADA) maintained its downward trend, decreasing by 24.7% in 3Q25, which led to an ADA/Energy Supply Revenue ratio of 0.91%, as against 1.22% in 3Q24. In the first nine months of 2025, we decreased this allowance by 31.1%. Losses continue on a downward trend, while energy sales declined by 0.6% in the quarter, influenced by milder temperatures and the ongoing expansion of distributed generation. Excluding these effects, the market within our concession area continues to perform well in the residential and commercial segments, with the industrial sector showing modest growth. This performance, combined with the positive tariff adjustments of the last 12 months, ensured an 11.4% growth of the segment's EBITDA.
Moving on to Generation, wind patterns in 3Q25 were similar to those of 3Q24. However, generation curtailment events enforced by the National Electricity System Operator (ONS) were higher, affecting 37.3% of our total potential generation and resulting in an impact of R$ 219 million in 3Q25. Year-to-date, these factors led to a revenue shortfall of R$ 348 million.
In terms of investment, capital expenditures in the quarter amounted to R$ 1.7 billion, an increase of 19.2% on the same quarter last year. Of this total, R$ 1.4 billion was allocated to Distribution, while R$ 215 million was invested in Transmission. In the year, we have already invested R$ 4.4 billion and our estimate is to reach capex of R$ 6.5 billion by the end of 2025.
These investments are supported by financing obtained through disciplined cash management and optimized capital structure. We ended 3Q25 with a balanced leverage ratio of 2.19x Net Debt/EBITDA, based on the measurement of financial covenants, and a cash position of R$ 5.9 billion. Notably, Fitch Ratings has assigned the Company the global corporate rating "BBB," three notches above the sovereign rating, attesting to our financial strength and enabling us to access international funding at attractive costs.
Finally, I am proud to announce that we were the winners of Lot 3 of the last transmission auction held at B3 on October 31. This lot comprises assets in the states of Rio Grande do Sul and Paraná, including 115 km of transmission lines and four new substations, with operations slated to begin in 2030. The capex estimated by Aneel is R$ 1.1 billion, and Permitted Annual Revenue (RAP) is set at R$ 81 million. This is yet another opportunity for us to implement CPFL's business model, achieving substantial synergies between these new assets and our current Southern operations, driven by our commitment to operational efficiency and robust financial discipline.
In closing, I want to emphasize the recent accolades we have earned. For the third consecutive year, we have been named the best company in the energy sector by the Valor 1000 ranking. We were also widely recognized in the Abradee Award, with all our distributors being awarded in several categories, and in the Aneel Innovation Award, with CPFL Santa Cruz and CPFL Transmissão winning in their respective categories. These achievements underscore the excellence with which the CPFL Group conducts its operations, focusing on investments, operational efficiency, and financial discipline, ensuring returns for its shareholders - always with collaboration and respect for people and the environment. Together, we are building the future of CPFL Energia.
Gustavo Estrella
CEO, CPFL Energia
3Q25 Results
Key Indicators
R$ Million | 3Q25 | 3Q24 | Δ R$ | Δ % | 9M25 | 9M24 | Δ R$ | Δ % |
Load in the Concession Area | GWh | 17,689 | 17,656 | 33 | 0.2% | 54,773 | 54,815 | (42) | -0.1% |
Sales within the Concession Area | GWh | 17,331 | 17,442 | (112) | -0.6% | 54,222 | 54,339 | (117) | -0.2% |
Captive Market | 8,605 | 9,348 | (743) | -7.9% | 28,056 | 30,609 | (2,553) | -8.3% |
Free Client | 8,726 | 8,095 | 631 | 7.8% | 26,166 | 23,730 | 2,436 | 10.3% |
Gross Operating Revenue | 16,834 | 15,403 | 1,432 | 9.3% | 47,346 | 44,601 | 2,745 | 6.2% |
Net Operating Revenue | 11,329 | 10,854 | 475 | 4.4% | 32,533 | 30,682 | 1,851 | 6.0% |
EBITDA(1) | 3,165 | 3,155 | 9 | 0.3% | 10,044 | 9,858 | 187 | 1.9% |
Distribution | 1,839 | 1,652 | 188 | 11.4% | 6,497 | 5,877 | 620 | 10.5% |
Generation | 1,070 | 1,107 | (37) | -3.4% | 2,731 | 2,919 | (188) | -6.4% |
Transmission | 248 | 373 | (125) | -33.6% | 779 | 863 | (84) | -9.7% |
Commercialization, Services & Others | 8 | 23 | (15) | -66.6% | 37 | 199 | (162) | -81.2% |
Net Income | 1,376 | 1,332 | 45 | 3.3% | 4,178 | 4,187 | (10) | -0.2% |
Distribution | 795 | 523 | 271 | 51.8% | 2,736 | 2,246 | 490 | 21.8% |
Generation | 587 | 674 | (87) | -12.9% | 1,368 | 1,580 | (211) | -13.4% |
Transmission | 69 | 213 | (145) | -67.7% | 288 | 440 | (151) | -34.4% |
Commercialization, Services & Others | (74) | (79) | 5 | -6.2% | (215) | (78) | (136) | 174.7% |
Net Debt(2) | 28,685 | 26,633 | 2,052 | 7.7% | 28,685 | 26,633 | 2,052 | 7.7% |
Net Debt / EBITDA(2) | 2.19 | 2.04 | - | 7.3% | 2.19 | 2.04 | - | 7.3% |
Investments(3) | 1,733 | 1,454 | 279 | 19.2% | 4,393 | 3,901 | 492 | 12.6% |
Stock Performance | 39.40 | 33.93 | 5.47 | 16.1% | 39.40 | 33.93 | 5.47 | 16.1% |
Daily Average Volume | 51 | 52 | (0) | -0.9% | 61 | 63 | (2) | -2.9% |
Notes:
EBITDA is calculated from the sum of net income, taxes, financial result, depreciation/amortization, as CVM Resolution no. 156/22. See the calculation in item 2.1 of this report;
In financial covenants criteria, which considers CPFL Energia's stake in each generation projects and in CPFL Transmissão;
The data disclosed in this release, as well as further details, are available in Excel, in CPFL Energia's Historical Information Base, available in the IR website. To access, click here.
In case of doubts, Talk to IR.
Does not include special obligations.
3Q25 Results
Highlights
EBITDA
R$ 3,165
million (+0.3%)
Net Debt
R$ 28.7
billion with a leverage of 2.19x (Net Debt/ EBITDA²)
Distribution ADA
-24.7%
Net Income
R$ 1,376
million (+3.3%)
CAPEX
R$ 1,733
million (+19.2%)
In a move to Expand the Transmission Segment, we won Lot 3 of Auction 04/2025, with assets in Paraná and Rio Grande do Sul, and a RAP of R$ 81 million
Fitch assigned to
CPFL Energia the Global Corporate Rating "BBB", three notches above the Sovereign rating
For the 2nd consecutive year, we are "Most Honored" in utilities by Extel Award, being recognized for best practices in Investor Relations
CPFL Energia won the
1st place in the Electricity Sector at the Valor 1,000 Award for the 3rd consecutive year
We were widely recognized at the Abradee Award, with highlights in the ESG, South Region, and Innovation Management categories, and we won 1st place at the ANEEL Innovation Award in the distribution and transmission segments
Uso Público CPFL
3Q25 Results
Contents
CPFL ENERGIA ECONOMIC-FINANCIAL PERFORMANCE 6
Economic-Financial Performance 6
Indebtedness 11
Financial Debt in IFRS Criteria 11
Debt in Financial Covenants Criteria 13
Investments 13
Actual Investments by Segment 13
Investment Forecast 13
SUSTAINABILITY AND ESG INDICATORS 15
ESG Plan 2030 15
Key ESG Indicators aligned to the Plan 16
PERFORMANCE OF BUSINESS SEGMENTS 17
DISTRIBUTION SEGMENT 18
Operational Performance 18
Load Net of Losses | Concession Area 18
Energy Sales | Concession Area 18
Delinquency 19
Losses 20
SAIDI and SAIFI 21
Tariff Events 21
Economic-Financial Performance 22
GENERATION SEGMENT 28
Operational Performance 28
Economic-Financial Performance 28
TRANSMISSION SEGMENT 33
Portfolio 33
Operational Performance 33
Regulatory Themes 34
Economic-Financial Performance | Regulatory 35
Economic-Financial Performance | IFRS 38
COMMERCIALIZATION AND SERVICES SEGMENTS 39
Economic-Financial Performance 39
ATTACHMENTS 40
Earnings Release | 3Q25
CPFL ENERGIA ECONOMIC-FINANCIAL PERFORMANCE
Economic-Financial Performance
R$ Million
3Q25
3Q24
Δ R$
Δ %
9M25
9M24
Δ R$
Δ %
Gross Operating Revenue
16,834
15,403
1,432
9.3%
47,346
44,601
2,745
6.2%
Net Operating Revenue
11,329
10,854
475
4.4%
32,533
30,682
1,851
6.0%
Net Operating Revenue (ex-rev. from infrastructure)
9,655
9,338
317
3.4%
28,284
26,907
1,377
5.1%
Cost of Electric Power
(5,392)
(5,200)
(192)
3.7%
(14,977)
(13,921)
(1,055)
7.6%
PMSO, Private Pension Fund and ADA
(1,298)
(1,217)
(81)
6.7%
(3,788)
(3,676)
(112)
3.0%
Costs of Building the Infrastructure
(1,551)
(1,369)
(182)
13.3%
(3,936)
(3,491)
(445)
12.8%
Equity Income
77
87
(10)
-11.2%
211
263
(52)
-19.7%
EBITDA1
3,165
3,155
9
0.3%
10,044
9,858
187
1.9%
Depreciation and Amortization
(600)
(587)
(13)
2.2%
(1,793)
(1,724)
(69)
4.0%
Financial Income (Expense)
(738)
(743)
4
-0.6%
(2,274)
(2,274)
0
0.0%
Financial Revenues
515
417
98
23.6%
1,365
1,269
96
7.6%
Financial Expenses
(1,253)
(1,159)
(94)
8.1%
(3,639)
(3,544)
(96)
2.7%
Income Before Taxes
1,827
1,826
1
0.0%
5,978
5,860
118
2.0%
Income Tax / Social Contribution
(450)
(494)
44
-8.9%
(1,800)
(1,673)
(128)
7.6%
Net Income
1,376
1,332
45
3.3%
4,178
4,187
(10)
-0.2%
Note: (1) EBITDA is calculated from the sum of net income, taxes, financial results and depreciation/amortization.
Non-cash effects, extraordinary items and others
We highlight below the non-cash effects, extraordinary items and others of greater relevance observed in the periods analyzed, as a way to facilitate the understanding of the variations in the Company's results.
EBITDA effects | R$ million
3Q25
3Q24
Δ R$ Δ %
9M25
9M24
Δ R$ Δ %
Distribuition
(46)
18
(64)
678
341
337
Adjustments in the concession financial assets (VNR)
83
114
(31)
-27.2%
994
704
289
41.1%
Legal and judicial expenses
(75)
(52)
(23)
43.6%
(171)
(144)
(26)
18.4%
Assets write-off
(55)
(38)
(17)
44.1%
(145)
(116)
(29)
25.1%
Flood Impacts - Rio Grande do Sul*
-
(7)
7
-
-
(104)
104
-
Generation
64
77
(14)
111
301
(190)
Equity Income
77
87
(10)
-11.2%
211
263
(52)
-19.7%
Legal and judicial expenses
(14)
(4)
(10)
280.2%
(15)
(1)
(13)
943.8%
Assets write-off
(0)
2
(2)
-
(2)
4
(6)
-
Lajeado Fair Value Adjustments (non-cash effect)*
-
-
-
-
8
62
(54)
-86.5%
Epasa Sale Impact*
-
-
-
-
(92)
-
(92)
-
Flood Impacts - Rio Grande do Sul*
-
(8)
8
-
-
(27)
27
-
Transmission
27
192
(164)
142
180
(38)
Legal and judicial expenses
(12)
4
(16)
-
(27)
(19)
(8)
39.9%
Assets write-off
(0)
(3)
3
-93.4%
7
(0)
8
-
Difference IFRS (-) Regulatory
39
193
(154)
-79.8%
161
211
(50)
-23.6%
Flood Impacts - Rio Grande do Sul*
-
(3)
3
-
-
(11)
11
-
Others
1
(5)
6
(7)
(9)
2
Legal and judicial expenses
(2)
(5)
3
-56.6%
(10)
(9)
(1)
14.0%
Assets write-off
3
1
3
404.6%
3
0
3
3381.3%
* Extraordinary.
Extraordinary items explanation
⎩ 2024 Flood Impacts - Rio Grande do Sul:
RGE (R$ 7 million): (i) impact in the National Grid contracting (R$ 10 million), partially offset by the reversal of provisions for (ii) assets write-offs, in the amount
of R$ 2 million, and (iii) services related to the replacement of impacted assets, cleaning and infrastructure services, fleet maintenance, among others, in the amount of R$ 1 million;
Ceran (R$ 8 million): cleaning and infrastructure services, among others;
CPFL Transmissão (R$ 3 million): infrastructure and maintenance expenses, among others.
For the YTD analysis, the result was also impacted by the following item:
⎩ 2024 Flood Impacts - Rio Grande do Sul:
RGE (R$ 104 million): (i) damaged assets write-off, in the amount of R$ 47 million, mainly meters and distribution grid equipment and substation (R$ 38 million) and their respective write-off in concession financial asset (R$ 9 million); (ii) impact in the National Grid contracting (R$ 24 million), (iii) services related to the replacement of impacted assets, cleaning and infrastructure services, fleet maintenance, among others, in the amount of R$ 22 million, and (iv) impossibility of billing clients affected by the floods, in an estimated amount of R$ 12 million;
Ceran (R$ 27 million): (i) cleaning and infrastructure services, among others, in the amount of R$ 24 million; and (ii) damaged assets write-off, in the amount of R$ 3 million;
CPFL Transmissão (R$ 11 million): (i) infrastructure and maintenance expenses, among others, in the amount of R$ 8 million; and (ii) infrastructure assets write-off, in the amount of R$ 3 million;
⎩ Lajeado Fair Value Adjustments (non-cash effect): Positive effect of R$ 8 million in 9M25, compared to a positive effect of R$ 62 million in 9M24, due to the remeasurement at fair value in the investment recorded in Paulista Lajeado;
⎩ Impact of the sale of the stake in Epasa (Termonordeste and Termoparaíba TPPs): On June 10, 2025, the sale of CPFL Geração's equity interest in Centrais Elétricas da Paraíba S.A. - EPASA ("EPASA") was completed. The sale had a negative impact on assets write-off, mainly related to the benefit from the Superintendence for the Development of the Northeast ("SUDENE") (non-cash) (-R$ 153 million), partially offset by the positive impact of the sale of the stake (+R$ 60 million).
Other relevant numbers for result analysis
EBITDA effects| Transmission Segment
3Q25
3Q24
Δ R$
Δ %
9M25
9M24
Δ R$
Δ %
EBITDA IFRS
248
373
(125)
-33.6%
779
863
(84)
-9.7%
EBITDA Regulatory
209
180
28
15.7%
618
652
(34)
-5.3%
Difference IFRS (-) Regulatory
39
193
161
211
Financial results effect | R$ million
3Q25
3Q24
Δ R$
Δ %
9M25
9M24
Δ R$
Δ %
Late payment interest and fines
119
86
33
39.0%
361
304
57
18.6%
Debt Mark-to-market (MTM)
14
(128)
142
-
123
(279)
401
-
The variation of IFRS EBITDA in the Transmission segment in the quarter was affected by the following extraordinary effect allocated in PMSO expenses:
⎩ Reversal of Provision - TESB - 3Q24 (IFRS): Positive effect of R$ 26 million due to the reversal of a provision for losses related to the possible delay in the asset's operation.
For the YTD analysis, we also had the following item allocated in margin:
⎩ RBSE Adjustment - 2Q25 (IFRS): On June 10th, 2025, ANEEL ruled on the reconsideration
requests related to the RBSE reprofiling, partially approving the recommendations of Technical Note No. 85/2023. As a result of this decision, CPFL Transmissão recognized a remeasurement adjustment of R$ 150 million. The impact on the regulatory result will be diluted until 2028 starting in July 2025, with the new RAP (Allowed Annual Revenue) approved in the ATA (Annual Tariff Adjustment).
Regarding the financial results, it is important to highlight the following effect:
⎩ Debt Mark-to-market (MTM): there was a positive variation resulting from higher gains related to new fundraising and a smaller reduction in the risk spread curve this quarter. In the YTD figures, the gain from new fundraising remains the main effect, along with a smaller reduction in the accumulated risk spread curve compared to last year.
Net Operating Revenue by Segment
R$ Million
3Q25
3Q24
Δ R$
Δ %
9M25
9M24
Δ R$
Δ %
Distribution
9,249
8,536
714
8.4%
26,835
25,176
1,659
6.6%
Generation
1,381
1,381
(0)
0.0%
3,605
3,538
67
1.9%
Transmission
538
612
(73)
-12.0%
1,566
1,519
46
3.1%
Commercialization
702
830
(128)
-15.4%
1,965
1,801
164
9.1%
Services
326
315
11
3.6%
934
938
(4)
-0.4%
Elimination and Others
(867)
(818)
(49)
6.0%
(2,371)
(2,291)
(80)
3.5%
Net Operating Revenue
11,329
10,854
475
4.4%
32,533
30,682
1,851
6.0%
The quarterly and YTD performance primarily reflects higher revenue in the Distribution segment, driven by increased revenue from energy sales (Captive + TUSD).
For further details about the variation in net operating revenue by segment, see Chapter 3 -
Performance of Business Segments.
Cost of Electric Energy
R$ Million
3Q25
3Q24
Δ R$
Δ %
9M25
9M24
Δ R$
Δ %
Itaipu
544
573
(29)
-5.0%
1,645
1,648
(3)
-0.2%
PROINFA
118
93
25
27.1%
372
276
95
34.4%
Auction, Bilateral Contracts and Spot Market
3,876
3,613
263
7.3%
10,365
8,933
1,432
16.0%
PIS and COFINS Tax Credit
(404)
(376)
(28)
7.4%
(1,084)
(945)
(139)
14.7%
Cost of Electric Power Purchased for Resale
4,134
3,903
231
5.9%
11,298
9,912
1,385
14.0%
National Grid Charges
1,024
955
68
7.1%
3,048
3,111
(63)
-2.0%
Itaipu Transmission Charges
95
78
18
22.6%
245
291
(46)
-15.9%
Connection Charges
29
31
(2)
-5.3%
84
89
(5)
-5.8%
Charges for the Use of the Distribution System
11
11
0
0.6%
32
32
0
0.1%
ESS / EER
226
360
(134)
-37.2%
640
917
(277)
-30.2%
PIS and COFINS Tax Credit
(127)
(138)
11
-8.0%
(371)
(432)
61
-14.2%
Charges
1,258
1,297
(39)
-3.0%
3,679
4,009
-330
-8.2%
Cost of Electric Energy
5,392
5,200
192
3.7%
14,977
13,921
1,055
7.6%
The increase in Costs with Energy Purchased for Resale, both in the quarter and YTD, is mainly due to the increase in the costs of Auction, Bilateral Contracts and Spot Market.
In the case of energy purchased from Itaipu, a reduction was observed in the quarter, attributed to the lower quantity of energy purchased.
Regarding Charges for the Use of the Transmission and Distribution System, the reductions seen in the quarter and in the YTD result from the sector charges (ESS/EER). The cost of ESS - System Service Charges was reduced mainly due to the decrease in the level of thermoelectric dispatches outside the merit order that occurred during the period. In the YTD,
there was also a retroactive relief resulting from the price difference between the submarkets of the National Interconnected System (SIN). The EER - Reserve Energy Charge recorded a reduction in costs, due to the increase in the PLD applied to the energy settlements of Reserve Energy Contracts in the CCEE, both in the quarter and in the YTD.
In the National Grid charges, the amounts contracted in 3Q25 were higher than those in 3Q24, and there was an increase in transmission system usage tariffs starting in July 2025, according to ANEEL Resolution No. 3,482/2025. The same occurred with the Itaipu Transportation charge, due to the new tariffs established by the same resolution and the new amounts defined in December 2024, through Dispatch No. 3,836/2024. In the YTD figures, the effects of these two items resulted in a reduction, due to the performance observed in 1H25, since the tariffs in effect during the period (approved in July 2024) were lower than those of the previous year.
For further details about the variation in the Cost of Electric Energy, see Chapter 3 -
Performance of Business Segments.
PMSO
R$ Million
3Q25
3Q24
Δ R$
Δ %
9M25
9M24
Δ R$
Δ %
Personnel
584
564
20
3.5%
1,710
1,654
56
3.4%
Material
125
133
(8)
-6.1%
376
395
(19)
-4.8%
Outsourced Services
268
266
2
0.7%
784
765
19
2.5%
Outsourced Services
268
256
11
4.3%
784
711
74
10.4%
Outsourced Services - Flood in Rio Grande do Sul*
-
9
(9)
-
-
54
(54)
-
Other Operating Costs/Expenses
313
227
86
38.1%
892
762
130
17.1%
ADA
89
105
(16)
-15.6%
265
325
(60)
-18.5%
Assets Write-Off
52
39
14
35.4%
137
112
25
21.9%
Legal and judicial expenses
102
57
46
80.0%
222
174
49
28.0%
Others
70
31
39
125.7%
183
168
15
9.0%
Assets Write-Off - Flood in Rio Grande do Sul*
-
(5)
5
-
-
44
(44)
-
Epasa Sale Impact*
-
-
-
-
92
-
92
-
Lajeado Fair Value Adjustments (non-cash effect)*
-
-
-
-
(8)
(62)
54
-86.5%
PMSO
1,289
1,190
100
8.4%
3,762
3,575
187
5.2%
* Extraordinary;
The variation in PMSO in the quarter was impacted by the effects of the flood in Rio Grande do Sul in 3Q24, totaling R$ 4 million, and by an extraordinary item in Transmission (for more details, see explanations at the beginning of the chapter). In the YTD analysis, it was also impacted by the fair value remeasurement of an investment recorded in Paulista Lajeado, which generated positive effects of R$ 8 million in 9M25 and R$ 62 million in 9M24, and by the total effect of the sale of the stake in Epasa, which generated a negative effect of R$ 92 million in 9M25, in addition to the effects of the flood in Rio Grande do Sul in 3Q24 (R$ 98 million).
Excluding these extraordinary items, the PMSO would have an increase of 6.5% (R$ 78 million) due to the following factors:
⎩ MSO not linked to inflation (increases of R$ 36 million in the quarter and of R$ 45 million in the YTD): increases in legal and judicial expenses and in assets write-off, partially offset by the reduction in the allowance for doubtful accounts (ADA);
⎩ MSO linked to inflation (increases of R$ 23 million in the quarter and of R$ 12 million in the YTD): higher expenses related to fleet and hardware/software maintenance, both in the quarter and YTD. The YTD variations were below the period's inflation rate;
⎩ Personnel (increases of R$ 20 million in the quarter and of R$ 56 million in the YTD): the growth mainly reflects the salary adjustments resulting from the collective bargaining agreements applied in 2024 and 2025.
Other operating costs and expenses
R$ Million
3Q25
3Q24
Δ R$
Δ %
9M25
9M24
Δ R$
Δ %
Costs of Building the Infrastructure
1,551
1,369
182
13.3%
3,936
3,491
445
12.8%
Private Pension Fund
9
27
(19)
-68.1%
26
101
(75)
-74.1%
Depreciation and Amortization
600
587
13
2.2%
1,793
1,724
69
4.0%
Other operating costs and expenses
2,160
1,983
177
8.9%
5,755
5,315
440
8.3%
EBITDA
EBITDA for the quarter had its comparison base from 3Q24 affected by the effects of the floods in RS and extraordinary item in the Transmission segment (IFRS effect only, see explanations in the beginning of the chapter).
Excluding these effects, performance remains positive, mainly explained by the good performance in the Distribution segment, mainly due to the effects of Parcel B and improvement in ADA, and also by the IGP-M adjustments in contracts in the Generation segment, partially offset by the impacts of curtailment.
The YTD result was also impacted by the extraordinary effects of the sale of the stake in Epasa, the RBSE adjustment in the Transmission segment (effect only on IFRS) and the extraordinary effect of the remeasurement at fair value in the investment recorded in Paulista Lajeado. Without these effects, the positive performance is explained by the same reasons as the quarter.
EBITDA is calculated according to CVM Resolution No. 156/22 and shown in the table below:
R$ Million
3Q25
3Q24
Δ R$
Δ %
9M25
9M24
Δ R$
Δ %
Net Income
1,376
1,332
45
3.3%
4,178
4,187
(10)
-0.2%
Depreciation and Amortization
600
587
13
2.2%
1,793
1,724
69
4.0%
Financial Result
738
743
(4)
-0.6%
2,274
2,274
(0)
0.0%
Income Tax / Social Contribution
450
494
(44)
-8.9%
1,800
1,673
128
7.6%
EBITDA
3,165
3,155
9
0.3%
10,044
9,858
187
1.9%
Financial Result
R$ Million
3Q25
3Q24
Δ R$
Δ %
9M25
9M24
Δ R$
Δ %
Revenues
515
417
98
23.6%
1,365
1,211
154
12.7%
Expenses
(1,253)
(1,159)
(94)
8.1%
(3,639)
(3,486)
(153)
4.4%
Financial Result
(738)
(743)
4
-0.6%
(2,274)
(2,274)
0
0.0%
Managerial Analysis
R$ Million
3Q25
3Q24
Δ R$
Δ %
9M25
9M24
Δ R$
Δ %
Expenses with the net debt
(924)
(741)
(184)
24.8%
(2,719)
(2,226)
(493)
22.1%
Late payment interest and fines
119
86
33
39.0%
361
304
57
18.6%
Mark-to-market
14
(128)
142
-
123
(279)
401
-
Adjustment to the sectorial financial asset/liability
64
1
63
5445.1%
81
(78)
159
-
Others financial revenues/expenses
(11)
40
(51)
-
(119)
4
(123)
-
Financial Result
(738)
(743)
4
-0.6%
(2,274)
(2,274)
0
0.0%
Net financial expenses remained in line, both in the quarter and YTD, due to the positive effects of mark-to-market (gain from the increase in the risk spread curve) and the update of sectoral financial assets and liabilities, partially offset by higher expenses with the net debt, due to increases in indexes (IPCA and CDI), in expenses with new funding and in indebtedness, compared to the previous period.
Net Income
The increase in Net Income mainly reflected the higher EBITDA performance of the quarter, and the lower effective tax rate (24.7% in 3Q25 compared to 27.1% in 3Q24). In the YTD, the reduction in Net Income reflected the higher effective tax rate in the period (30.1% in 9M25 compared to 28.5% in 9M24), partially offset by the increase in EBITDA.
R$ Million
3Q25
3Q24
Δ R$
Δ %
Financial Debt (including hedge)
34,375
30,323
(4,051)
13.4%
Available Funds
(5,891)
(3,820)
2,070
54.2%
Net Debt
28,484
26,503
1,981
7.5%
Debt Cost
14.2%
11.2%
-
27.7%
Indebtedness
Financial Debt in IFRS Criteria
Breakdown by Profile and Indexation | After Hedge
To mitigate any risk of market fluctuations, around R$ 4.5 billion in debt is protected by hedge operations. In order to protect the exchange rate and the rate linked to the contract, swap operations were contracted for foreign currency debts (12.8% of total IFRS debts).
Debt by Segment - IFRS | R$ Million
Notes:
The Generation segment considers CPFL Renováveis, CPFL Geração, Ceran and Enercan;
Considering the debt's notional, interests, derivatives and the intercompany loans with SGBP and SGEL.
Evolution of the Debt Balance - IFRS | 3Q25
Debt Amortization Schedule¹ - IFRS | September 2025
Notes:
Considering only the notional and hedge of the debt, and intercompany loans. In order to reach the financial result, should be included charges, the mark-to-market (MTM) effect, cost with funding;
Considering the amount of R$ 3.8 billion of Marketable Securities, according to covenants criteria.
1.2.2) Debt in Financial Covenants Criteria
R$ Million
3Q25
3Q24
Δ R$
Δ %
Financial Debt (including hedge)¹
34,588
30,681
3,907
12.7%
(-) Available Funds²
(5,903)
(4,048)
(1,855)
45.8%
(=) Net Debt
28,685
26,633
2,052
7.7%
EBITDA Proforma³
13,128
13,075
53
0.4%
Net Debt / EBITDA
2.19
2.04
-
7.3%
Notes:
Considers the proportional consolidation of the assets of Generation and Transmission, in addition to the loans with SGBP and SGEL;
Cash and Cash Equivalents already considering Marketable Securities;
Proforma EBITDA in the financial covenants criteria, adjusted according to CPFL Energia's stake in each of its subsidiaries.
The reconciliation of CPFL Energia's Net Debt/EBITDA indicator is available on CPFL Energia's Historical Information Base, on the IR website, to access it click here.
Investments
Actual Investments by Segment
R$ Million
3Q25
3Q24
Δ R$
Δ %
9M25
9M24
Δ R$
Δ %
Distribution
1,416
1,112
304
27.4%
3,629
3,110
519
16.7%
Generation
73
125
(53)
-42.0%
168
274
(105)
-38.5%
Transmission¹
215
201
15
7.3%
557
458
99
21.6%
Commercialization
1
0
0
170.4%
1
2
(1)
-52.7%
Services and Others²
28
16
12
78.4%
37
56
(19)
-33.5%
Actual Investments
1,733
1,454
279
19.2%
4,393
3,901
492
12.6%
Notes:
Transmission assets do not have fixed assets, the figures in this table are the addition of contractual assets;
Others: basically, refers to assets and transactions that are not related to the listed segments.
The increase observed between the periods is related to:
⎩ in the Distribution segment, the focus on customer service works and the electrical system expansion plan, in addition to the maintenance and modernization of the grid;
⎩ in the Transmission segment, the expansion of investments is focused on improvements in the grid.
Investment Forecast
On December 12th, 2024, the Board of Directors of CPFL Energia approved Board of Executive Officers' 2025/2029¹ Multiannual Plan for the Company, which was previously discussed by the Corporate Finance Committee and Risk Management.
Notes:
Constant currency;
Disregard investments in Special Obligations (among other items financed by consumers).
Earnings Release | 3Q25
SUSTAINABILITY AND ESG INDICATORS
ESG Plan 2030
The ESG Plan 2030 brings guidelines and strategies so that we can provide sustainable, accessible, and reliable energy at all times, making people's lives safer, healthier and more prosperous in the regions where we operate. Our corporate goal is to drive the transition to a more sustainable model of producing and consuming energy, leveraging the positive impacts of our business model on the community and the value chain.
To this end, we have identified four pillars that support the way we conduct our business and execute our strategy: Renewable and smart solutions, Sustainable operations, Shared value with society and Safe and reliable business.
Within the pillars, we made 24 commitments guided by the United Nations' Sustainable Development Goals (SDGs). The commitments are available on the CPFL Energia IR website.
Key ESG Indicators aligned to the Plan
9M25 9M24 Δ %
Δ %
3Q25 3Q24
Unit
Indicator
Theme
Sustainable Operations
Below we list some indicators in line with the 2030 ESG Plan:
Renewable & Smart Solutions
Theme | Indicator | Unit | 3Q25 | 3Q24 | Δ % | 9M25 | 9M24 | Δ % | |
Total energy generated by renewable sources | GWh | 4,195 | 4,616 | -9.1% | 9,281 | 12,470 | -25.6% | ||
GWh | 2,651 | 2,770 | -4.3% | 5,316 | 7,910 | -32.8% | |||
Renewable | GWh | 331 | 274 | 21.0% | 1,193 | 1,255 | -4.9% | ||
energy | GWh | 0.1 | 0.3 | -83.0% | 0.4 | 0.8 | -45.9% | ||
GWh | 1,027 | 1,200 | -14.4% | 2,437 | 2,499 | -2.5% | |||
GWh | 185 | 372 | -50.2% | 334 | 806 | -58.6% | |||
Smart Grid | Installed automatic reclosers unit % of telemetered load % | 21,089 57.6% | 19,323 57.1% | 9.1% 58.7% | 21,089 56.6% | 18,304 55.9% | 15.2% 1.3% | ||
Inovation | Innovation Investment (Aneel R&D) in the period | R$ million | 11.8 | 19.2 | -38.5% | 33.6 | 41.9 | -19.8% | |
Decarbonization | Projects qualified for commercialization of carbon credits and renewable energy seals Revenue from sales of carbon credits and energy stamps | unit R$ million | 53 0.4 | 53 0.2 | 0.0% 133.3% | 53 1.3 | 53 1.7 | 0.0% -19.4% | |
Refurbished transformers | unit | 2,289 | 2,490 | -8.1% | 6,855 | 7,474 | -8.3% | |
Circular Economy | Aluminum, copper and iron sent to the reverse chain | tons | 2,041 | 2,043 | -0.1% | 5,877 | 6,035 | -2.6% |
Shared Value with Society
Safe & Reliable Business
Theme | Indicator Unit | 3Q25 | 3Q24 | Δ % | 9M25 | 9M24 | Δ % |
# injured * | |||||||
Accident frequency rate | Own employees 1MM / hours | 0.5 | 0.7 | -31.1% | 0.5 | 0.7 | -27.2% | |
worked¹ | |||||||
Health and Safety | # injured * Accident frequency rate | Outsourced 1MM / hours | 2.5 | 1.9 | 29.3% | 2.3 | 5.4 | -58.0% |
worked¹ | |||||||
Fatal accidents with the population unit | 1.0 | 3.0 | -66.7% | 14.0 | 6.0 | 133.3% | |
Ethics | Employees trained in Ethics and Integrity % | 100% | 100.0% | -0.4% | 100% | 100.0% | -0.4% |
Transparency | Independent Member in the Board of Directors number | 2 | 2 | 0.0% | 2 | 2 | 0.0% |
Women in the Board of Directors number | 2 | 3 | -33.3% | 2 | 3 | -33.3% |
Note: (1) hours worked with risk exposure
3) PERFORMANCE OF BUSINESS SEGMENTS
Earnings Release | 3Q25
DISTRIBUTION SEGMENT
Operational Performance
Load Net of Losses | Concession Area
Energy Sales | Concession Area
Highlights in the quarter:
⎩ Residential Segment: increase of 0.9%, mainly due to low temperatures in the South, which stimulate energy consumption for heating, along with good performance of the payroll, level of employment, and vegetative growth;
⎩ Industrial Segment: null variation, impacted by distributed generation (DG) and offset by macroeconomic effects;
⎩ Commercial Segment: decrease of 1.9% compared to the same period of the previous year, due to the negative temperature effect in São Paulo and the impact of DG. These effects were partially offset by the positive result of the payroll and the reduction in the unemployment rate;
⎩ Rural Segment: reduction of 11.6%, explained by the impact of DG and the higher rainfall;
⎩ Other Segments: contraction of 1.1%, mainly due to milder temperatures and the impact of DG.
In general, the same effects affect the YTD result, with the exception of:
⎩ Residential Segment: decrease of 0.3%, with the effects of milder temperatures and DG offsetting the gains from the good performance of the payroll and level of employment;
⎩ Industrial Segment: growth of 1.0%, driven by 4 sectors in our concession area: food, non-metallic mineral products, machinery and equipment, and metal products.
⎩ Other Segments: increase of 0.2%, with the negative effects of temperature and DG being offset by macroeconomic performance.
Delinquency
ADA showed a decrease of R$ 23.9 million compared to the same period in 2024 and a reduction of R$ 9.9 million compared to 2Q25. As a result, the ADA/Revenue from Sales to Final Clients index reached 0.91% in the quarter.
The quarterly result can be explained by a higher number of power cuts compared to the same period last year, favored by the lower incidence of extreme weather events in the concession area. We ended the quarter with more than 716 thousand cuts,
which contributed to the drop in the delinquency indicator.
It is important to consider the impact of the floods that affected the state of Rio Grande do Sul and ANEEL Normative Resolution No. 1,092/2024, which suspended power cuts between June and August 2024, the volume of cuts by CPFL RGE was significantly compromised in 3Q24. Disregarding CPFL RGE's cuts in 3Q25, for comparison purposes, we ended the quarter with 555 thousand cuts, representing a 7% increase compared to 3Q24.
These same effects influenced the YTD results, with a recorded reduction of R$ 96 million in the allowance for doubtful accounts (ADA), with ADA/Grossgrossevenue from Sales to Final Clients index of 0.87%.
CPFL continues to implement ongoing improvements to its delinquency management models, with a focus on optimizing and automating collection processes and disconnection operations. This dynamic approach enables the company to adapt to changes in customer behavior, consistently pursuing more effective and innovative solutions.
Losses
ANEEL Dispatch No. 684/2025, based on the outcomes of Public Consultation No. 09/2024, approved enhancements to the methodology for calculating required energy and non-technical losses, incorporating the effects of micro and mini distributed generation (MMDG) within the energy compensation system. The new directive establishes the adoption of the concept of "measured supply market", which represents the energy effectively consumed by users, regardless of any compensation from self-generation. Additionally, the dispatch mandates the inclusion of energy injected into the grid by MMDG systems in the total system load.
Losses | New Methodology (PC 09)
Notes:
ANEEL Limit referring to 09/30/2025;
ANEEL Limit referring to 10/23/2025;
In CPFL RGE, high-voltage clients (A1) were disregarded.
Excluding the effect of the billing calendar in both periods, losses would have the following variations: CPFL Paulista -0.53 p.p.; CPFL Piratininga -0.30 p.p.; CPFL RGE -0.29 p.p. and CPFL Santa Cruz -0.22% p.p.
The main achievements in losses reduction were:
Maintenance of electrical borders and internal substations;
Mapping of energy losses through microbalances;
Shielding of 14.7 thousand Group B customers with armored enclosures, and 297 Group A customers with Metering Assemblies (migration from internal cabin to external metering installed on CPFL's utility poles);
100.9 thousand inspections performed in consumer units, with a 22% success rate in identifying losses;
Billing of 33.7 GWh of energy recovered through inspections. In addition to reconstructing the past, regularized customers are now consuming the correct energy, and this amount represented an increase of 60.9 GWh in the market;
Replacement of more than 5.7 thousand obsolete/defective meters for new electronic meters;
Visit in 24.9 thousand consumer units inactivated for cutting in cases of self-reconnection;
Regularization of 23.9 thousand consumer units, with increase of consumption and without contract;
Regularization of 1 thousand clandestine consumer units, most of which having the need
of CPFL Energia's grid construction;
Market discipline through 85 media reports related to CPFL operations to fight fraud and
theft.
SAIDI and SAIFI
SAIDI measures the average duration, in hours, of outages per client, and SAIFI indicates the average number of outages per client. Such indicators measure the annual quality and reliability of the electricity supply.
In the results of the last 12 months, the SAIDI values showed a reduction in the Group's figures. For SAIFI values, there is a reduction in the Group's consolidated figures and in the São Paulo distributors, while at CPFL RGE there was a slight increase, mainly due to scheduled shutdowns for maintenance.
Despite this, all distributors are within the ANEEL limits, a result that can be attributed to CPFL's continuous search for improvement in its operation, maturation of the ADMS operating system, logistical
Note: (1) ANEEL limit regarding 09/30/2025.
increase, both through new investments and in the operation and maintenance of the grid.
Tariff Events
ATAs
Notes:
(1) Tariffs postponed due to a request for review of the proceeding, following Santa Cruz's request for a deferral to amortize the percentage related to 2026.
Economic-Financial Performance
Note: (1) EBITDA (IFRS) is calculated from the sum of net income, taxes, financial result and depreciation/amortization.
Sectoral Financial Assets and Liabilities
On September 30th, 2025, the balance of sectoral financial assets and liabilities was negative (liability) in R$ 732 million. If compared to December 31st, 2024, there was a variation of R$ 264 million, as demonstrated in the chart below:
753
(995)
1,594 81
(732 )
(2,135) (29)
Balance Dec 24 Constituition Amortization Monetary
Adjustment
Return to Consumers CDE Eletrobrás Balance Sep -25
The movement of this balance occurred due to the amortization of R$ 1,594 million, comprising R$ 1,256 million from PIS/COFINS credits and R$ 338 million from other effects, and the net creation of an asset of R$ 753 million, mainly in the following lines:
CDE charge (R$ 539 million);
Postponement of the tariff adjustment (R$ 526 million);
Electric energy costs (R$ 257 million);
National grid (R$ 146 million);
Proinfa (R$ 71 million);
Overcontracting (R$ 59 million);
Other items (R$ 30 million);
Partially offset by the constitution of liabilities in:
Return to clients of the PIS/COFINS credit (R$ 336 million);
Exceeding demand and surplus of reactive power (R$ 191 million);
Billed tariff flag (R$ 185 million);
ESS and EER (R$ 104 million);
Pass-through from Itaipu (R$ 59 million).
The monetary adjustment of assets and liabilities totaled R$ 81 million.
During this period, refunds were also return to consumers totaling R$ 2,135 million, of which R$ 1,876 million related to PIS/COFINS credits and R$ 260 million from distributed generation credits. Dispatch No. 684/2025 regulated the treatment of distributed generation credits, leading the Company to recognize a regulatory liability that, until then, was recorded in "other accounts payable". This regulatory liability to be passed through consumers has already been considered in the tariff adjustments applied to distributors in 2025. Additionally, there was a transfer of CDE funds in the amount of R$ 29 million.
For analysis purposes, below is the graph that demonstrates the movement in the balances of sectoral assets and liabilities, only in 3Q25:
(369)
0
(732 )
716
(1,815)
672 64
Balance Jun 25 Constituition Amortization Monetary
Adjustment
Return to Consumers CDE Eletrobrás ¹ Balance Sep -25
Note: (1) As of July 15, 2025, pursuant to Homologating Resolution No. 3,484/2025, the value of Eletrobras's contribution to the CDE was set at zero due to the securitization process established by Provisional Measure No. 1,212/2024, through which Eletrobras's receivables for the years 2025, 2026, and 2027 were used to prepay the outstanding balances of the accounts linked to the CDE, in accordance with CNPE Resolution No. 15/2021.
Operating Revenue
Gross Operating Revenue
The variation in the Sectorial Financial Asset and Liability line is mainly due to the higher constitution of Regulatory Assets in 3Q25 compared to 3Q24.
The growth in the Revenue with Energy Sales and Short-term Electric Energy lines stands out in relation to the same period of the previous year.
The reduction in the updating of the Concession's Financial Assets is explained by the variation in the IPCA (0.57% in 3Q24 and 0.39% in 3Q25). Additionally, the average growth of 18% in the asset base contributed to the increase in the balance and the mitigation of the loss in the quarter.
In the YTD, the updating of the Concession's Financial Assets showed an increase compared to 9M24, resulting from the appraisal reports carried out in 2Q25, the increase in the asset base and the positive variations in the IPCA during the period.
Also noteworthy was the increase in CDE Resources, driven by the growth in the number of clients who became eligible for tariff subsidies, resulting in distributors receiving these resources through said Contribution.
The other factors that impacted revenue variation were similar to those recorded in the quarter.
Deductions from the Gross Operating Revenue
In the quarter, revenue from the tariff flags was insufficient to cover all real costs. Distributors passed on R$ 190 million through the Tariff Flag Account, managed by CCEE, impacting the Tariff Flags line item.
Additionally, deductions from gross operating revenue increased, mainly due to the rise in the
CDE quota values and in ICMS and PIS/COFINS collections. In the YTD, the effects were similar.
Cost of Electric Energy
The increase in Cost of Electric Power Purchased for Resale, both in the quarter and in the YTD, is mainly due to the increase in the price of energy purchased from Auction, Bilateral Contracts and Spot Market.
In the case of energy purchased from Itaipu, a reduction was observed in the quarter, attributed to the lower amount of energy purchased.
Regarding Charges for the Use of the Transmission and Distribution System, the
reductions seen in the quarter and in the YTD result from the sector charges (ESS/EER). The cost of ESS - System Service Charges was reduced mainly due to the decrease in the level of thermoelectric dispatches outside the merit order that occurred during the period. In the YTD, there was also a retroactive relief resulting from the price difference between the submarkets of the National Interconnected System (SIN). EER - Reserve Energy Charge recorded a reduction in costs, due to the increase in the PLD applied to the energy settlements of Reserve Energy Contracts in the CCEE, both in the quarter and in the YTD.
In the National Grid charges, the amounts contracted in 3Q25 were higher than those in 3Q24, and there was an increase in transmission system usage tariffs starting in July-25, according to ANEEL Resolution No. 3,482/2025. The same occurred with the Itaipu Transportation charge, due to the new tariffs established by the same resolution and the new amounts defined in December-24, through Dispatch No. 3,836/2024. In the YTD, the effects of these two items resulted in a reduction, due to the performance observed in 1H25, since the tariffs in effect during the period (approved in July-24) were lower than those of the previous year.
PMSO
* Extraordinary.
PMSO was impacted by an extraordinary item - flood in Rio Grande do Sul (for more details, see explanation at the beginning of chapter 1), with a reversal of R$ 1 million in third-party service costs and an asset write-off of R$ 6 million in 3Q24; in 9M24, the effects of the flood totaled an expense of R$ 60 million.
Excluding this item, the PMSO would have presented increases of 6.6% (R$ 62 million) in the quarter and of 3.5% (R$ 96 million) in the YTD, due to the following factors:
⎩ Personnel (increases of R$ 25 million in the quarter and of R$ 56 million in the YTD): mainly explained by the growth of 1.5%1 in the headcount in the quarter and 1.6%² in the YTD and the collective labor agreements approved in 2024 and 2025;
⎩ MSO linked to inflation (increases of R$ 14 million in the quarter and of R$ 51 million in the YTD): outsourced services (R$ 4 million in 3Q25 and R$ 24 million in 9M25); hardware/software and office supplies (R$ 3 million in 3Q25 and R$ 25 million in 9M25); fleet expenses (R$ 3 million in 3Q25 and R$ 8 million in 9M25); meter reading and delivery of bills (R$ 2 million in 3Q25 and R$ 2 million in 9M25); auditing and consulting (R$ 1 million in 3Q25 and R$ 2 million in 9M25); call center (R$ 1 million in 3Q25 and R$ 2 million in 9M25); insurance (R$ 1 million in 3Q25 and R$ 2 million in 9M25); among other diversified effects;
⎩ MSO not linked to inflation (increase of R$ 6 million in the quarter and reduction of R$ 35 million in the YTD): in the quarter, this was explained by an increase in legal and
1Average of July until September.
2Average of January until September.
judicial expenses (R$ 21 million), asset write-off (R$ 17 million), and collection actions (R$ 6 million), partially offset by the allowance for doubtful accounts (ADA), as explained in item
3.1.1.3 (R$ 24 million), and by OPEX expenses related to CAPEX (R$ 13 million). In the YTD, there was a reduction in ADA (R$ 96 million) and OPEX expenses related to CAPEX (R$ 9 million), partially offset by an increase in asset write-off (R$ 29 million), legal expenses (R$ 27 million), and collection actions (R$ 14 million).
Other operating costs and expenses
EBITDA
The distributors' EBITDA in 3Q25 grew 11.4% compared to 3Q24, driven by the positive tariff adjustments of Parcel B that occurred in 2025 and the good performance of the ADA. In addition to these factors, concession's financial asset grew YTD, influenced by the increase in the asset base and inflation.
It is also important to highlight that the segment was impacted by the extraordinary effect recorded in 2024 resulting from the floods in Rio Grande do Sul (for more details, see the explanation at the beginning of chapter 1).
EBITDA by Distribution Company
CPFL Paulista:
In the quarter, the positive result was driven by the favorable adjustment of Parcel B (7.53%), which took effect in Apr-25, along with the improvement in the ADA.
In the YTD, the positive update of the concession's financial asset is added to the effects reported.
CPFL Piratininga:
The positive EBITDA result in the quarter was influenced by the reduction in the ADA and the more favorable energy mix, in addition to the tariff adjustment, which resulted in a 1.88% increase
in Parcel B, effective since Oct-24.
The effects prevailed in the YTD figures, which also recorded growth in the concession's financial asset.
CPFL RGE:
EBITDA was impacted by the positive effect of the tariff adjustment for Parcel B (+4.90%) in effect since Jun-25, partially offset by higher PMSO expenses.
Disregarding the extraordinary effect of the floods, YTD EBITDA would show growth of 1.6% driven by Parcel B, better performance of the ADA and updating of the concession's financial asset.
CPFL Santa Cruz:
In the quarter, the higher PMSO expenses were not fully offset by the 3.87% adjustment to Parcel B, resulting in a 9.4% decrease in EBITDA.
In the YTD, the positive variation in EBITDA reflects the increase in Parcel B and the improved energy mix.
Financial Result
Managerial Analysis
In the quarter and YTD, the positive variation in the Mark-to-Market of debts stands out, due to the smaller reduction in the risk spread curve. Additionally, there was a positive contribution from the Update of sectoral financial assets and liabilities due to the updatable balance, and an increase in Late payment interest and fines. Conversely, there was an increase in Expenses with the net debt, resulting from the increase in the indexes (IPCA and CDI), fundraising, and borrowing.
Net Income
The increase in Net Income was due to higher EBITDA results, as well as lower net financial expenses and a lower effective income tax and social contribution rate (19% in 3Q25 compared to 29% in 3Q24).
In the YTD, the increase in EBITDA and the reduction in net financial expenses contributed to the growth in Net Income.
3.2) GENERATION SEGMENT
Earnings Release | 3Q25
GWh | 3Q25 | 3Q24 | Δ GWh | Δ % | 9M25 | 9M24 | Δ GWh | Δ % |
Wind | 1,027 | 1,200 | (173) | -14.4% | 2,437 | 2,499 | (62) | -2.5% |
SHPP | 331 | 274 | 58 | 21.0% | 1,193 | 1,255 | (62) | -4.9% |
HPP | 2,651 | 2,770 | (119) | -4.3% | 5,316 | 7,910 | (2,594) | -32.8% |
Biomass¹ | 185 | 372 | (187) | -50.2% | 334 | 806 | (472) | -58.6% |
Solar | 0.1 | 0.3 | (0.3) | -84.3% | 0.4 | 0.8 | (0.4) | -47.9% |
TPP² | - | 6 | (6) | - | - | 13 | (13) | - |
Total | 4,195 | 4,623 | (428) | -9.3% | 9,281 | 12,484 | (3,203) | -25.7% |
Operational Performance Generated Energy
Notes:
The biomass plants Bio Buriti, Bio Ipê, and Bio Pedra were transferred to Pedra Group in Nov-24, no longer belonging to CPFL Group since then;
The energy contract was terminated on Dec-24 and the asset was sold in Jun-25.
In the quarter and YTD, we recorded a reduction in the volume of energy generated. In the quarter, curtailment in wind farms was the main offender, representing 37% of the total potential generation. In the YTD result, the poor performance of HPPs plants was more significant, due to lower dispatch, followed by curtailment in wind farms, which accounted for 29% of the impact on total potential generation.
Availability
Monthly Average
3Q25
3Q24
Δ p.p.
Δ %
9M25
9M24
Δ p.p.
Δ %
Wind
94.7%
94.9%
-0.2
-0.2%
93.1%
95.0%
-1.9
-2.0%
SHPP
93.3%
94.4%
-1.1
-1.1%
95.0%
96.7%
-1.7
-1.8%
HPP
91.6%
89.5%
2.2
2.4%
95.8%
95.5%
0.4
0.4%
Biomass¹
100.0%
99.5%
0.5
0.5%
99.9%
99.4%
0.5
0.5%
Solar
100.0%
100.0%
0.0
0.0%
100.0%
100.0%
0.0
0.0%
TPP²
0.0%
99.0%
-99.0
-
0.0%
98.6%
-98.6
-
Notes:
The biomass plants Bio Buriti, Bio Ipê, and Bio Pedra were transferred to Pedra Group in Nov-24, no longer belonging to CPFL Group since then;
The energy contract was terminated on Dec-24 and the asset was sold in Jun-25.
Economic-Financial Performance
R$ Million | 3Q25 | 3Q24 | Δ R$ | Δ % | 9M25 | 9M24 | Δ R$ | Δ % |
Gross Operating Revenue | 1,513 | 1,502 | 11 | 0.7% | 3,944 | 3,873 | 71 | 1.8% |
Net Operating Revenue | 1,381 | 1,381 | (0) | 0.0% | 3,605 | 3,538 | 67 | 1.9% |
Cost of Electric Power | (223) | (186) | (37) | 19.9% | (544) | (451) | (93) | 20.6% |
PMSO and Private Pension Fund | (166) | (174) | 8 | -4.7% | (538) | (427) | (111) | 26.1% |
Equity Income | 78 | 86 | (9) | -10.0% | 208 | 259 | (50) | -19.4% |
EBITDA¹ | 1,070 | 1,107 | (37) | -3.4% | 2,731 | 2,919 | (188) | -6.4% |
Depreciation and Amortization | (218) | (220) | 2 | -1.0% | (657) | (657) | 1 | -0.1% |
Financial Result | (84) | (18) | (66) | 365.1% | (285) | (247) | (39) | 15.8% |
Financial Revenues | 68 | 102 | (34) | -33.7% | 173 | 168 | 6 | 3.4% |
Financial Expenses | (151) | (120) | (31) | 26.1% | (459) | (414) | (45) | 10.8% |
Income Before Taxes | 769 | 870 | (101) | -11.6% | 1,789 | 2,015 | (226) | -11.2% |
Net Income | 587 | 674 | (87) | -12.9% | 1,368 | 1,580 | (211) | -13.4% |
Note: (1) EBITDA is calculated from the sum of net income, taxes, financial result and depreciation/amortization.
Net Operating Revenue
In the quarter and YTD, revenue was primarily boosted by energy contracts adjusted for inflation (IPCA or IGP-M), partially offset by the poorer performance of wind farms due to the increased curtailment imposed by the ONS, which intensified especially in the quarter, representing a revenue loss of R$ 219 million in 3Q25 (versus R$ 149 million in 3Q24), and reflected in the YTD result, registering a loss of R$ 348 million in 9M25 (versus R$ 183 million in 9M24).
Cost of Electric Power
R$ Million | 3Q25 | 3Q24 | Δ R$ | Δ % | 9M25 | 9M24 | Δ R$ | Δ % |
Energy Purchased in the Spot Market | 46 | 54 | (8) | -14.6% | 136 | 100 | 35 | 35.4% |
Bilateral Contracts, ACR and ACL | 121 | 73 | 48 | 65.4% | 237 | 169 | 68 | 40.2% |
PIS and COFINS Tax Credit | (9) | (6) | (3) | 53.4% | (18) | (15) | (3) | 22.5% |
Cost of Electric Power Purchased for Resale | 158 | 122 | 37 | 30.3% | 355 | 255 | 100 | 39.4% |
National Grid Charges | 55 | 55 | 0 | 0.5% | 162 | 164 | (2) | -1.2% |
Connection Charges | 4 | 4 | (0) | -9.3% | 10 | 13 | (3) | -25.5% |
Charges for the Use of the Distribution System | 10 | 10 | (0) | -4.3% | 28 | 30 | (3) | -8.9% |
ESS/EER | (0) | (1) | 0 | -61.4% | (0) | (0) | (0) | 3017.5% |
PIS and COFINS Tax Credit | (4) | (4) | 0 | -5.8% | (10) | (11) | 1 | -8.8% |
Charges | 64 | 64 | 0 | 0.3% | 189 | 196 | (7) | -3.8% |
Cost of Electric Energy | 223 | 186 | 37 | 19.9% | 544 | 451 | 93 | 20.6% |
Note: (1) The GSF Risk Premium began to be accounted for in the cost of energy as of 4Q24.
In the quarter and YTD, the main variation occurred due to a greater amount of energy acquired through Bilateral Contracts, ACR and ACL, as well as a higher average price. The YTD result was also impacted by the increase in the Energy Purchased in the Spot Market.
PMSO
R$ Million | 3Q25 | 3Q24 | Δ R$ | Δ % | 9M25 | 9M24 | Δ R$ | Δ % | |
Personnel | 45 | 43 | 2 | 4.4% | 131 | 126 | 5 | 4.2% | |
Material | 10 | 14 | (4) | -31.1% | 33 | 38 | (6) | -15.4% | |
Outsourced Services | 72 | 80 | (8) | -10.2% | 202 | 231 | (28) | -12.3% | |
Outsourced Services | 72 | 72 | (0) | -0.3% | 202 | 207 | (4) | -2.1% | |
Outsourced Services - Rio Grande do Sul Flood* | - | 8 | (8) | - | - | 24 | (24) | - | |
Other Operating Costs/Expenses | 39 | 36 | 3 | 7.4% | 172 | 31 | 141 | 454.2% | |
Asset Write-off | 0 | (2) | 2 | - | 2 | (4) | 6 | - | |
Legal and Judicial Expenses | 14 | 4 | 10 | 280.2% | 15 | 1 | 13 | 943.8% | |
Others | 25 | 22 | 3 | 13.6% | 71 | 69 | 2 | 2.9% | |
GSF Risk Premium¹ | - | 12 | (12) | - | - | 24 | (24) | - | |
Epasa Sales's Impact* | - | - | - | - | 92 | - | 92 | - | |
Lajeado Fair Value Adjustment (non-cash effect)* | - | - | - | - | (8) | (62) | 54 | -86.5% | |
Assets Write-Off - Rio Grande do Sul Flood* | - | - | - | - | - | 3 | (3) | - | |
PMSO 165 173 (8) -4.6% | 537 | 426 | 112 | 26.2% | |||||
Notes:
* Extraordinary;
(1) The GSF Risk Premium began to be accounted for in the cost of energy as of 4Q24.
In the quarter, the positive variation in PMSO expenses is explained by the reclassification of the GSF Risk Premium to the Energy Purchase line (R$ 12 million), added to the extraordinary
effect of R$ 8 million related to the Flood in Rio Grande do Sul in 3Q24 (for more details, see explanation in chapter 1), partially offset by the increase in legal and judicial expenses (R$ 14 million).
In the YTD, the variation was mainly due to the sale of the stake in Epasa, which generated a negative effect of R$ 92 million, in addition to the extraordinary effect of the fair value adjustment of Paulista Lajeado, which generated a negative impact of R$ 54 million, both incurred in the first half of the year (for more details, see explanation in chapter 1).
Excluding these items, PMSO would have increases of 8.1% (R$ 12 million) in the quarter and of 3.8% (R$ 16 million) in the YTD, due to the following factors:
⎩ PMSO linked to inflation (in line in the quarter and a reduction of R$ 3 million in the YTD): mainly due to the reduction in expenses with other outsourced services and maintenance of machinery and equipment;
⎩ PMSO not linked to inflation (increases of R$ 12 million in the quarter and of R$ 19 million in the YTD): resulting from the legal and judicial expenses.
Other operating costs and expenses
R$ Million | 3Q25 | 3Q24 | Δ R$ | Δ % | 9M25 | 9M24 | Δ R$ | Δ % |
Private Pension Fund | 0 | 0 | (0) | -26.4% | 1 | 1 | (0) | -26.4% |
Depreciation and amortization | 170 | 173 | (3) | -1.9% | 513 | 517 | (4) | -0.7% |
Amortization of Concession Intangible | 48 | 47 | 1 | 2.1% | 143 | 140 | 3 | 2.2% |
Other operating costs and expenses | 218 | 220 | (2) | -1.1% | 657 | 658 | (1) | -0.1% |
Equity Income
R$ Million | 3Q25 | 3Q24 | Δ R$ | Δ % | 9M25 | 9M24 | Δ R$ | Δ % |
Baesa | (0) | (2) | 2 | -98.3% | 1 | 2 | (1) | -51.8% |
Foz do Chapecó | 77 | 66 | 12 | 17.6% | 206 | 191 | 15 | 7.7% |
Epasa | - | 23 | (23) | - | 1 | 66 | (65) | -98.6% |
Equity Income¹ | 77 | 86 | (9) | -10.2% | 208 | 258 | (51) | -19.7% |
Note: (1) Disclosure of interest in subsidiaries is made in accordance with IFRS 12 and CPC 45.
Baesa
R$ Million | 3Q25 | 3Q24 | Δ R$ | Δ % | 9M25 | 9M24 | Δ R$ | Δ % |
Net Revenue | 15 | 15 | 0 | 2.5% | 51 | 46 | 5 | 10.1% |
Operating Costs / Expenses | (14) | (10) | (4) | 36.3% | (33) | (23) | (10) | 42.5% |
Deprec. / Amortization | (4) | (4) | (0) | 0.7% | (11) | (11) | (0) | 0.9% |
Net Financial Result | 2 | (5) | 7 | - | (6) | (10) | 4 | -40.1% |
Income Tax | 0 | 1 | (1) | -95.3% | (0) | (1) | 0 | -41.2% |
Net Income | (0) | (2) | 2 | -98.3% | 1 | 2 | (1) | -51.8% |
In the quarter, Net Revenue remained in line, while the slight increase in the YTD figures was a result of a higher tariff, partially offset by a reduction in CFURH. In both periods, Operating Costs and Expenses increased due to the greater amount of energy purchased, resulting from reduced generation, as well as a higher price. Furthermore, there was a reduction in Net Financial Expenses due to lower expenses related to UBP.