Colbún (COLBUN) Q1 2025 earnings summary

Executive summary

• Signed PPAs in Chile for 139 GWh/year and awarded supply contracts in Peru for 23 MW/year, with notable renewable contracts and renewals.

• Construction started on Celda Solar; Horizonte wind project in final testing; Bayóvar received environmental approval.

• Santa María Thermal Plant out of service since March 23 due to turbine damage after wildfires; insurance coverage in place; estimated repair time at least two months.

• Chile experienced a massive blackout affecting 14 of 16 regions and 100% of the SEN.

• Major maintenance at key power plants impacted generation.

Significant events and developments

• Completed second and final sale of PEC III law payment documents for US$41 million; no material impact on results.

• Approved dividend distribution of US$27 million, totaling US$127 million (50% of net income) for 2024.

• Signed PPA with Atlas Renewable Energy for BESS project (230 MW, 920 MWh storage) and investment decision for BESS Diego de Almagro Sur (228 MW, US$205 million).

• Acquired remaining 41.379% of Fenix Power Perú, reaching 100% ownership.

• Final dividend of US$26.5M approved.

Financial highlights

• Consolidated operating income: US$412.5 million, up 8% year-over-year; EBITDA: US$179 million, up 21%; net income: US$82.4 million, up 40%.

• Raw materials and consumables used: US$191 million, down 3% quarter-over-quarter.

• Non-operating loss: US$16.1 million, similar to 1Q24.

• Income tax expense: US$23.3 million, up from US$21.1 million in 1Q24.

• Cash flow at end of 1Q25: US$768 million; cash flow from operations: US$85 million (+14% YoY); net cash flow: -US$12.7 million.