Transmissora Aliança de Energia Elétrica (TAEE11) Q1 2026 earnings summary

Executive summary

• Achieved strong financial and operational results in Q1 2026, with regulatory net revenues up 9.6% to R$655.5 million, driven by new project energizations, reinforcements, and inflation adjustments.

• Regulatory EBITDA rose 10.3% to R$562.1 million (margin 85.8%), and regulatory net income reached R$192.6 million, up 2.3% year-over-year.

• IFRS net income declined 3.2% to R$353.6 million, mainly due to lower inflation adjustment revenue and equity income.

• High operational availability was maintained at 99.95%, with significant reduction in outages and continued progress on ESG, innovation, and early sustainability reporting.

• Advanced key Greenfield projects (Tangará, Saíra, Ananaí, Juruá), with several milestones reached ahead of regulatory deadlines.

Financial highlights

• Regulatory net revenues: R$655.5 million (+9.6% vs. 1Q25); regulatory EBITDA: R$562.1 million (+10.3% vs. 1Q25); EBITDA margin: 85.8% (+0.5pp); IFRS net income: R$353.6 million (-3.2% vs. 1Q25).

• Investments totaled R$312.2 million (+16.6% vs. 1Q25), mainly for Ananaí, Juruá, and reinforcements.

• Operating cash generation increased 24% year-over-year, supporting investment and financial stability.

• Net debt at R$12.8 billion, with leverage at 4.2x net debt to regulatory EBITDA.

• Average real cost of debt at 5.75%; average maturity at 5.4 years.

Outlook and guidance

• Four greenfield projects under development with ANEEL investment of R$4.3 billion and RAP of R$490.7 million for 2025-2026.

• Leverage expected to decline below 4x as the investment cycle concludes and major projects are delivered in the first half of the year.

• Continued focus on disciplined participation in auctions and M&A, prioritizing profitability and shareholder returns.

• Ongoing monitoring of regulatory risks, especially regarding concession indemnification and renewals.

• Early project completions and CAPEX efficiency expected, with EBITDA margins above 90% for new projects.