Central Puerto: 1Q2021; Results for the quarter ended on March 31, 2021
Central Puerto S.A. (NYSE: CEPU) reported a 11% decline in energy generation, totaling 3,479 GWh for 1Q2021, compared to 3,908 GWh in 1Q2020. Key factors included a 33% drop in hydro generation due to water scarcity and thermal units' availability falling to 89%. Revenue decreased 11% to Ps. 10,164 million, impacting gross profit, which fell 26% to Ps. 4,973 million. Net income also declined 53% to Ps. 640 million. The company aims to improve performance with ongoing construction projects and debt restructuring.
- New renewable energy projects contributed to a 19% increase in wind generation.
- Installed capacity increased 9% year-over-year, reaching 4,709 MW.
- Energy generation decreased 11% from the previous year.
- Revenue fell 11%, primarily due to a 31% decrease in spot sales.
- Gross profit margin decreased to 49% from 59% in the prior year.
BUENOS AIRES, ARGENTINA / ACCESSWIRE / May 12, 2021 / Central Puerto S.A ("Central Puerto" or the "Company") (NYSE:CEPU), one of the largest private sector power generation companies in Argentina, reports its consolidated financial results for the First Quarter 2021 ("1Q2021") ended on March 31, 2021.
A conference call to discuss the results of the First Quarter 2021 will be held on May 13, 2021 at 12:00 PM Eastern Time (see details below). All information provided is presented on a consolidated basis, unless otherwise stated.
Financial statements as of and for the quarter ended on March 31, 2021 include the effects of the inflation adjustment, applying IAS 29. Accordingly, the financial statements have been stated in terms of the measuring unit current at the end of the reporting period, including the corresponding financial figures for previous periods informed for comparative purposes. Growth comparisons refer to the same period of the prior year, measured in the current unit at the end of the period, unless otherwise stated. Consequently, the information included in the Financial Statements for the quarter ended on March 31, 2021, are not comparable to the Financial Statements previously published by the company.
Definitions and terms used herein are provided in the Glossary at the end of this document. This release does not contain all the Company's financial information. As a result, investors should read this release in conjunction with Central Puerto's consolidated financial statements as of and for the quarter ended on March 31, 2021 and the notes thereto, which will be available on the Company's website.
A. 1Q2021 Highlights
1Q2021 energy generation decreased
Thermal units' availability during the quarter was
Terminal 6-San Lorenzo cogeneration plant (391 MW). Construction continues to complete the project closing the cycle and producing steam during the third quarter of 2021. It is important to highlight that on November 21, 2020, the plant obtained partial commissioning of its gas turbine (269.5 MW) and sell energy under the spot market regulation (Res. 31/2020). Once the COD for the full project is achieved the plant will be remunerated under a 15-years PPA with CAMMESA and a Steam Contract with T6.
Refinancing of debt under the terms of Communication "A" 7230 of the Central Bank of the Republic of Argentina ("BCRA"). On February 25, 2021, the BCRA decided to extend the FX regulatory restrictions established by Communication "A" 7106 until December 31, 2021 through the issuance of Communication "A" 7230. The installments, under the Syndicate loan signed with Citibank N.A., JP Morgan Chase Bank N.A. and Morgan Stanley Senior Funding INC for the acquisition of the Brigadier López Thermal Plant, maturing on June, September and December 2021 are under the scope of such regulation. Therefore, and as of the date of this press release, we are maintaining negotiations with these banks to reschedule those installments.
.B. Main operating metrics
The table below sets forth key operating metrics for 1Q2021, compared to 4Q2020 and 1Q2020:
Key Metrics | 1Q2021 | 4Q2020 | 1Q2020 | Var% (1Q/1Q) | ||||||||||||
Continuing Operations | ||||||||||||||||
Energy Generation (GWh) | 3,479 | 3,818 | 3,908 | ( | ) | |||||||||||
-Electric Energy Generation- Thermal | 2,506 | 2,657 | 2,686 | ( | ) | |||||||||||
-Electric Energy Generation - Hydro | 623 | 762 | 929 | ( | ) | |||||||||||
-Electric Energy Generation - Wind | 350 | 399 | 294 | |||||||||||||
Installed capacity (MW; EoP1) | 4,709 | 4,689 | 4,316 | |||||||||||||
-Installed capacity -Thermal (MW) | 2,895 | 2,874 | 2,589 | |||||||||||||
-Installed capacity - Hydro (MW) | 1,441 | 1,441 | 1,441 | |||||||||||||
-Installed capacity - Wind (MW) | 374 | 374 | 286 | |||||||||||||
Availability - Thermal2 | (4p.p.) | |||||||||||||||
Steam production (thousand Tons) | 262 | 265 | 255 | |||||||||||||
Source: CAMMESA; company data.
1 EoP refers to "End of Period".
2 Availability weighted average by power capacity. Off-time due to scheduled maintenance agreed with CAMMESA is not considered in the ratio.
In the 1Q2021, energy generation decreased
The decrease in the energy generated by Central Puerto was due to:
a) a
b) a decrease of
This was partially offset by,
c) a
During 1Q2021, machine availability for thermal units reached
Steam production increased
C. Financials
Main financial magnitudes of continuing operations
Million Ps. | 1Q2021 | 4Q2020 | 1Q2020 | Var% (1Q/1Q) | ||||||||||||
| Unaudited, subject to limited review according to rule ISRE 2410 | Unaudited[1] | Unaudited, subject to limited review according to rule ISRE 2410 | ||||||||||||||
Revenues | 10,164 | 10,484 | 11,419 | ( | ||||||||||||
Cost of sales | (5,191 | ) | (5,133 | ) | (4,734 | ) | ||||||||||
Gross profit | 4,973 | 5,351 | 6,686 | ( | ||||||||||||
Administrative and selling expenses | (794 | ) | (969 | ) | (893 | ) | ( | |||||||||
Operating income before other operating results | 4,179 | 4,382 | 5,792 | ( | ||||||||||||
Other operating results, net | 3,587 | 1,381 | 3,399 | |||||||||||||
Operating income | 7,766 | 5,763 | 9,191 | ( | ||||||||||||
Depreciations and Amortizations | 1,913 | 1,912 | 1,657 | |||||||||||||
Adjusted EBITDA | 9,679 | 7,675 | 10,848 | ( | ||||||||||||
1. Includes, among others, the following concepts: | ||||||||||||||||
| - | (2,842 | ) | (1,105 | ) | N/A | ||||||||||
| 3,130 | 3,605 | 3,628 | ( | ) | |||||||||||
Adjusted EBITDA excluding FX difference and interests related to FONI trade receivables and Impairment on property, plant and equipment | 6,550 | 6,912 | 8,324 | ( | ||||||||||||
Average exchange rate of period | 88.53 | 80.00 | 61.42 | |||||||||||||
Exchange rate end of period | 91.96 | 84.15 | 64.47 | |||||||||||||
NOTE: Exchange rates quoted by the Banco de la Nación Argentina are provided only as a reference. The average exchange rate refers to the average of the daily exchange rates quoted by the Banco de la Nación Argentina for wire transfers (divisas) for each period.
See "Disclaimer-Adjusted EBITDA" below for further information.
Adjusted EBITDA Reconciliation
Million Ps. | 1Q2021 | 4Q2020 | 1Q2020 | Var% (1Q/1Q) | ||||||||||||
| Unaudited, subject to limited review according to rule ISRE 2410 | Unaudited[2] | Unaudited, subject to limited review according to rule ISRE 2410 | ||||||||||||||
Consolidated Net income for the period | 640 | 656 | 1,364 | ( | ||||||||||||
Loss on net monetary position | (181 | ) | (247 | ) | (447 | ) | ( | |||||||||
Financial expenses | 7,012 | 6,771 | 6,213 | |||||||||||||
Financial income | (422 | ) | (2,589 | ) | (186 | ) | ||||||||||
Share of the profit of an associate | 267 | (39 | ) | (77 | ) | ( | ||||||||||
Income tax expenses | 450 | 1,211 | 2,325 | ( | ||||||||||||
Depreciation and amortization | 1,913 | 1,912 | 1,657 | |||||||||||||
Adjusted EBITDA | 9,679 | 7,675 | 10,848 | ( | ||||||||||||
1. Includes, among others, the following concepts: | ||||||||||||||||
| - | (2,842 | ) | (1,105 | ) | N/A | ||||||||||
| 3,130 | 3,605 | 3,628 | |||||||||||||
Adjusted EBITDA excluding Foreign Exchange Difference and interests related to FONI trade receivables and Impairment on property, plant and equipment | 6,550 | 6,912 | 8,324 | ( | ||||||||||||
1Q 2021 Results Analysis
Revenues decreased to Ps. 10,164 million in the 1Q2021, as compared to Ps. 11,419 million in the 1Q2020. This decrease was mainly due to:
(i) a
partially offset by:
(ii) an
(iii) a
It is worth mentioning that prices for units under the Energía Base Regulatory framework are established by Res. 31/2020, in force since February 1, 2020, and the Annex VI of such resolution (monthly price adjustment procedure) was suspended by the Secretariat of Energy on April 8, 2020. In this regard the prices for the Energía Base Regulatory framework were fixed in Argentina pesos since February 2020. Currently, the generating companies hold several meetings with the Secretariat of Energy to work on a tariff's update scheme for 2021.
Gross profit was Ps. 4,973 million in the 1Q2021, compared to Ps. 6,686 million in 1Q2020. This decrease was due to (i) the above-mentioned variation in revenues and (ii) a
(i) A
(ii) a
Gross Profit Margin was
Operating income before other operating results was Ps. 4,179 million in the 1Q021, compared to Ps. 5,792 million in the 1Q2020. This decrease was due to (i) the above-mentioned decrease in gross profits, partially offset by (ii) a
Adjusted EBITDA was Ps. 9,679 million in the 1Q2021, compared to Ps. 10,848 million in the 1Q2020. This decrease was mainly due to:
(i) A
(ii) a
This was partially offset by:
(iii) An increase in depreciations and amortizations that totaled Ps. 1,913 during the 1Q2021, as compared to Ps. 1,657 million during the 1Q2020.
Consolidated Net income was Ps. 640 million and Net income for shareholder was Ps. 634 million or Ps. 0.42 per share or Ps. 4,21 per ADR, in the 1Q2021, compared to Ps. 1,364 million and Ps.1,330 million, respectively, or Ps. 0.88 per share or Ps. 8.84 per ADR, in the 1Q2020. In addition to the above-mentioned factors, net income was negatively impacted by (i) higher financial expenses that amounted to Ps. 7,012 million in the 1Q2021, compared to Ps. 6,213 million in the 1Q2020, mainly due to higher foreign exchange difference on loans, most of which are denominated in US dollars and positively impacted by (i) higher financial income which amounted to Ps. 422 million during the 1Q2021, compared to Ps. 186 million in the 1Q2020 and (ii) lower income tax expenses that amounted to Ps. 450 million in the 1Q2021, compared to Ps. 2,325 million in the 1Q2020.
Additionally, the share of profit of associates was Ps. 267 million loss during the 1Q2021 compared to Ps. 77 million gain during the 1Q2020, mainly due to lower results from the operations of Ecogas due to lack of tariff adjustments for the natural gas distribution business.
Finally, the gain on net monetary position totaled Ps. 181 million during the 1Q2021, as compared to Ps. 447 million in the 1Q2020.
FONI collections totaled Ps. 1,109 million in the 1Q2021, -including VAT, associated to the FONI trade receivables for Vuelta de Obligado Plant, compared to Ps. 2,255 million of 1Q2020. The amounts are being collected on time and according to the signed contract.
Financial Situation
As of March 31, 2020, the Company and its subsidiaries had Cash and Cash Equivalents of Ps. 184 million, and Other Current Financial Assets of Ps. 11,959 million.
The following chart breaks down the Net Debt position of Central Puerto (on a stand-alone basis) and its subsidiaries:
Million Ps. | As of March 31, 2021 | |||
Cash and cash equivalents (stand-alone) | 14 | |||
Other financial assets (stand-alone)[3] | 7,357 | |||
Financial Debt (stand-alone) | (23,787 | ) | ||
Composed of: Financial Debt (current) (Central Puerto S.A. stand-alone) | (15,500) | |||
Financial Debt (non-current) (Central Puerto S.A. stand-alone) | (8,286) | |||
Subtotal Central Puerto stand-alone Net Debt Position | (16,416 | ) | ||
Cash and cash equivalents of subsidiaries | 170 | |||
Other financial assets of subsidiaries | 4,602 | |||
Financial Debt of subsidiaries Composed of: | (26,802 | ) | ||
Financial Debt of subsidiaries (current)4 | (3,694) | |||
Financial Debt of subsidiaries (non-current) 4 | (23,108) | |||
Subtotal Subsidiaries Net Debt Position | (22,030 | ) | ||
Consolidated Net Debt Position | (38,446 | ) | ||
Cash Flows of the 1Q2021
Million Ps. | 1Q2021 As of March 31, 2021 | |||
Cash and Cash equivalents at the beginning | 315 | |||
Net cash flows provided by operating activities | 4,021 | |||
Net cash flows provided by investing activities | 303 | |||
Net cash flows used in financing activities | (4,439 | ) | ||
Exchange difference and other financial results | 25 | |||
Loss on net monetary position by cash and cash equivalents | (41 | ) | ||
Cash and Cash equivalents at the end | 184 | |||
Net cash provided by operating activities was Ps. 4,021 million during the 1Q2021. This cash flow arises from (i) Ps. 7,766 million from the operating income obtained during the 1Q2021, (ii) Ps. 5,060 million due to a decrease in the stock of trade receivables, mainly related to the FONI collections, (iii) Ps. 595 million in collection of interests from clients, including the ones from FONI, during the period, partially offset by (Iv) a Ps. 2,862 million non-cash foreign exchange difference on trade receivables, (v) Ps. 397 million from income tax paid, and (vi) a 1,425 million reduction in trade and other payables, other non-financial liabilities and liabilities from employee benefits.
Net cash provided by investing activities was Ps. 303 million during the 1Q2021. This amount was mainly due to (i) Ps. 835 million sale of short-term financial assets, which was partially offset by (ii) Ps. 541 million in payments for the purchase of property, plant and equipment for the construction of the renewable and thermal projects.
Net cash used in financing activities was Ps. 4,439 million during the 1Q2021. This amount was mainly the result of (i) Bank and investment accounts overdrafts payments of Ps. 1,171 million, (ii) long-term loan principal payments of Ps.2,228 million and (iii) Ps. 1,041 million used for Interests and other loan costs.
D. Tables
a. Consolidated Statement of Income
| 1Q 2021 | 1Q 2020 | |||||||
| Unaudited, subject to limited review according to rule ISRE 2410 | Unaudited, subject to limited review according to rule ISRE 2410 | |||||||
| Thousand Ps. | Thousand Ps. | |||||||
Revenues | 10,163,883 | 11,419,319 | ||||||
Cost of sales | (5,190,727 | ) | (4,733,724 | ) | ||||
Gross income | 4,973,156 | 6,685,595 | ||||||
Administrative and selling expenses | (793,779 | ) | (893,414 | ) | ||||
Other operating income | 3,592,588 | 4,567,542 | ||||||
Other operating expenses | (5,971 | ) | (63,904 | ) | ||||
Property plant and equipment impairment | - | (1,104,734 | ) | |||||
Operating income | 7,765,994 | 9,191,085 | ||||||
Gain (loss) on net monetary position | 180,862 | 447,491 | ||||||
Finance income | 421,831 | 185,790 | ||||||
Finance expenses | (7,011,840 | ) | (6,212,574 | ) | ||||
Share of the profit of associates | (267,146 | ) | 77,224 | |||||
Income before income tax | 1,089,701 | 3,689,016 | ||||||
Income tax for the period | (449,924 | ) | (2,324,909 | ) | ||||
Net income for the period | 639,777 | 1,364,107 | ||||||
Attributable to: | ||||||||
-Equity holders of the parent | 633,814 | 1,330,397 | ||||||
-Non-controlling interests | 5,963 | 33,710 | ||||||
| 639,777 | 1,364,107 | |||||||
Earnings per share: | ||||||||
Basic and diluted (Ps.) | 0,42 | 0,88 |
b. Consolidated Statement of Financial Position
As of March 31, 2021 | As of December 31, 2020 | |||||||
| Unaudited, subject to limited review according to rule ISRE 2410 | Audited | |||||||
| Thousand Ps. | Thousand Ps. | |||||||
Assets | ||||||||
Non-current assets | ||||||||
Property, plant and equipment | 88,719,928 | 89,443,692 | ||||||
Intangible assets | 7,046,759 | 7,617,665 | ||||||
Investment in associates | 4,991,181 | 5,268,135 | ||||||
Trade and other receivables | 30,861,553 | 33,208,219 | ||||||
Other non-financial assets | 422,372 | 546,823 | ||||||
Inventories | 723,471 | 743,367 | ||||||
Deferred income tax assets | 493,525 | 111,123 | ||||||
Current assets | 133,258,788 | 136,939,017 | ||||||
Inventories | 1,134,263 | 908,397 | ||||||
Other non-financial assets | 2,129,202 | 1,016,984 | ||||||
Trade and other receivables | 20,470,916 | 21,161,832 | ||||||
Other financial assets | 11,958,555 | 15,899,603 | ||||||
Cash and cash equivalents | 183,990 | 314,798 | ||||||
| 35,876,926 | 39,301,614 | |||||||
Property, plant and equipment available for sale | 2,665,069 | 2,665,069 | ||||||
Total assets | 171,800,783 | 178,905,700 | ||||||
Equity and liabilities | ||||||||
Equity | ||||||||
Capital stock | 1,514,022 | 1,514,022 | ||||||
Adjustment to capital stock | 29,134,497 | 29,134,497 | ||||||
Legal reserve | 4,335,183 | 4,335,183 | ||||||
Voluntary reserve | 54,759,380 | 54,759,380 | ||||||
Other equity accounts | (2,220,822 | ) | (2,220,822 | ) | ||||
Retained earnings | 8,424,657 | 7,790,844 | ||||||
Equity attributable to shareholders of the parent | 95,946,917 | 95,313,103 | ||||||
Non-controlling interests | 150,902 | 144,939 | ||||||
Total Equity | 96,097,819 | 95,458,042 | ||||||
Non-current liabilities | ||||||||
Other non-financial liabilities | 5,512,516 | 5,934,888 | ||||||
Other loans and borrowings | 31,394,651 | 34,840,181 | ||||||
Compensation and employee benefits liabilities | 359,704 | 355,363 | ||||||
Provisions | 45,403 | 51,284 | ||||||
Deferred income tax liabilities | 10,269,723 | 10,165,651 | ||||||
| 47,581,997 | 51,347,367 | |||||||
Current liabilities | ||||||||
Trade and other payables | 2,863,160 | 2,875,208 | ||||||
Other non-financial liabilities | 2,591,004 | 2,542,794 | ||||||
Other loans and borrowings | 19,193,881 | 22,731,168 | ||||||
Compensation and employee benefits liabilities | 812,506 | 1,150,899 | ||||||
Income tax payable | 2,625,260 | 2,760,852 | ||||||
Provisions | 35,156 | 39,370 | ||||||
| 28,120,967 | 32,100,291 | |||||||
Total liabilities | 75,702,964 | 83,447,658 | ||||||
Total equity and liabilities | 171,800,783 | 178,905,700 | ||||||
c. Consolidated Statement of Cash Flow
| 1Q 2021 | 1Q 2020 | |||||||
| Unaudited, subject to limited review according to rule ISRE 2410 | Unaudited, subject to limited review according to rule ISRE 2410 | |||||||
| Thousand Ps. | Thousand Ps. | |||||||
Operating activities | ||||||||
Income for the year before income tax | 1,089,701 | 3,689,016 | ||||||
Adjustments to reconcile income for the period before income tax to net cash flows: | ||||||||
Depreciation of property, plant and equipment | 1,342,336 | 997,742 | ||||||
Amortization of intangible assets | 570,899 | 658,783 | ||||||
Property, plant and equipment impairment | - | 1,104,734 | ||||||
Discount of trade and other receivables and payables, net | (66,436 | ) | 64,858 | |||||
Interest earned from customers | (612,989 | ) | (1,093,632 | ) | ||||
Commercial and fiscal interests lost | 1,940 | - | ||||||
Financial income | (421,831 | ) | (185,790 | ) | ||||
Financial expenses | 7,011,840 | 6,212,574 | ||||||
Share of the profit of associates | 267,146 | (77,224 | ) | |||||
Stock-based payments | - | 993 | ||||||
Movements in provisions and long-term employee benefit plan expenses | 56,071 | 38,726 | ||||||
Foreign exchange difference for trade receivables | (2,861,996 | ) | (3,460,895 | ) | ||||
Loss on net monetary position | (5,025,942 | ) | (4,819,990 | ) | ||||
Working capital adjustments: | ||||||||
Decrease in trade and other receivables | 5,059,627 | 7,508,714 | ||||||
Increase in other non-financial assets and inventories | (1,160,506 | ) | (327,684 | ) | ||||
(Decrease) in trade and other payables, other non-financial liabilities and liabilities from employee benefits | (1,425,192 | ) | (5,6888,839 | ) | ||||
| 3,824,668 | 4,622,086 | |||||||
Commercial and fiscal interest paid | (1,940 | ) | - | |||||
Interest received from customers | 594,842 | 1,109,410 | ||||||
Income tax paid | (396,879 | ) | (1,963,871 | ) | ||||
Net cash flows provided by operating activities | 4,020,691 | 3,767,625 | ||||||
Investing activities | ||||||||
Purchase of property, plant and equipment | (541,267 | ) | (6,424,493 | ) | ||||
Dividends received | 9,800 | - | ||||||
Sale of available-for-sale assets, net | 834,963 | 4,704,503 | ||||||
Net cash flows provided by (used in) investing activities | 303,496 | (1,719,990) | ||||||
Financing activities | ||||||||
Banks and investment accounts overdrafts paid, net | (1,170,556 | ) | (423,487 | ) | ||||
Long term loans paid | (2,227,580 | ) | (368,900 | ) | ||||
Interests and other loan costs paid | (1,040,652 | ) | (1,280,811 | ) | ||||
Net cash flows (used in) financing activities | (4,438,788) | (2,073,198) | ||||||
(Decrease) in cash and cash equivalents | (114,601) | (25,563) | ||||||
Exchange difference and other financial results | 25,009 | 155,472 | ||||||
Monetary results effect on cash and cash equivalents | (41,216 | ) | (145,595 | ) | ||||
Cash and cash equivalents as of January 1st | 314,798 | 2,297,193 | ||||||
Cash and cash equivalents | 183,990 | 2,281,507 |
E. Information about the Conference Call
There will be a conference call to discuss Central Puerto's First Quarter 2021 results on May 13, 2021 at 12:00 PM Eastern Time.
The conference will be hosted by Mr. Fernando Bonnet, Chief Executive Officer, and Enrique Terraneo, Chief Operating Officer. To access the conference call, please dial:
Participants (Toll Free): +1-877-407-8035
International Participants: +1-201-689-8035
The Company will also host a live audio webcast of the conference call on the Investor Relations section of the Company's website at www.centralpuerto.com . Please allow extra time prior to the call to visit the website and download any streaming media software that might be required to listen to the webcast. The call will be available for replay on the Company website under the Investor Relations section.
You may find additional information on the Company at:
Glossary
In this release, except where otherwise indicated or where the context otherwise requires:
- "BCRA" refers to Banco Central de la República Argentina, Argentina's Central Bank,
- "CAMMESA" refers to Compañía Administradora del Mercado Mayorista Eléctrico Sociedad Anónima;
- "COD" refers to Commercial Operation Date, the day in which a generation unit is authorized by CAMMESA (in Spanish, "Habilitación Comercial") to sell electric energy through the grid under the applicable commercial conditions;
- "Ecogas" refers collectively to Distribuidora de Gas Cuyana ("DGCU"), Distribuidora de Gas del Centro ("DGCE"), and their controlling company Inversora de Gas del Centro ("IGCE");
- "Energía Base" (legacy energy) refers to the regulatory framework established under Resolution SE No. 95/13, as amended, currently regulated by Resolution SE No. 31/20;
- "FONINVEMEM" or "FONI", refers to the Fondo para Inversiones Necesarias que Permitan Incrementar la Oferta de Energía Eléctrica en el Mercado Eléctrico Mayorista (the Fund for Investments Required to Increase the Electric Power Supply) and Similar Programs, including Central Vuelta de Obligado (CVO) Agreement;
- "p.p.", refers to percentage points;
- "PPA" refers to power purchase agreements.
- "TJSM", Termoeléctrica José de San Martín S.A.
- "TMB", Termoeléctrica General Belgrano S.A.
Disclaimer
Rounding amounts and percentages: Certain amounts and percentages included in this release have been rounded for ease of presentation. Percentage figures included in this release have not in all cases been calculated on the basis of such rounded figures, but on the basis of such amounts prior to rounding. For this reason, certain percentage amounts in this release may vary from those obtained by performing the same calculations using the figures in the financial statements. In addition, certain other amounts that appear in this release may not sum due to rounding.
This release contains certain metrics, including information per share, operating information, and others, which do not have standardized meanings or standard methods of calculation and therefore such measures may not be comparable to similar measures used by other companies. Such metrics have been included herein to provide readers with additional measures to evaluate the Company's performance; however, such measures are not reliable indicators of the future performance of the Company and future performance may not compare to the performance in previous periods.
OTHER INFORMATION
Central Puerto routinely posts important information for investors in the Investor Relations support section on its website, www.centralpuerto.com. From time to time, Central Puerto may use its website as a channel of distribution of material Company information. Accordingly, investors should monitor Central Puerto's Investor Support website, in addition to following the Company's press releases, SEC filings, public conference calls and webcasts. The information contained on, or that may be accessed through, the Company's website is not incorporated by reference into, and is not a part of, this release.
CAUTIONARY STATEMENTS RELEVANT TO FORWARD-LOOKING INFORMATION
This release contains certain forward-looking information and forward-looking statements as defined in applicable securities laws (collectively referred to in this Earnings Release as "forward-looking statements") that constitute forward-looking statements. All statements other than statements of historical fact are forward-looking statements. The words ‘‘anticipate'', ‘‘believe'', ‘‘could'', ‘‘expect'', ‘‘should'', ‘‘plan'', ‘‘intend'', ‘‘will'', ‘‘estimate'' and ‘‘potential'', and similar expressions, as they relate to the Company, are intended to identify forward-looking statements.
Statements regarding possible or assumed future results of operations, business strategies, financing plans, competitive position, industry environment, potential growth opportunities, the effects of future regulation and the effects of competition, expected power generation and capital expenditures plan, are examples of forward-looking statements. Forward-looking statements are necessarily based upon a number of factors and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties, and contingencies, which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements.
The Company assumes no obligation to update forward-looking statements except as required under securities laws. Further information concerning risks and uncertainties associated with these forward-looking statements and the Company's business can be found in the Company's public disclosures filed on EDGAR (www.sec.gov )
Adjusted EBITDA
In this release, Adjusted EBITDA, a non-IFRS financial measure, is defined as net income for the year, plus finance expenses, minus finance income, minus share of the profit of associates, minus depreciation and amortization, plus income tax expense, plus depreciation and amortization, minus net results of discontinued operations.
Adjusted EBITDA is believed to provide useful supplemental information to investors about the Company and its results. Adjusted EBITDA is among the measures used by the Company's management team to evaluate the financial and operating performance and make day-to-day financial and operating decisions. In addition, Adjusted EBITDA is frequently used by securities analysts, investors and other parties to evaluate companies in the industry. Adjusted EBITDA is believed to be helpful to investors because it provides additional information about trends in the core operating performance prior to considering the impact of capital structure, depreciation, amortization and taxation on the results.
Adjusted EBITDA should not be considered in isolation or as a substitute for other measures of financial performance reported in accordance with IFRS. Adjusted EBITDA has limitations as an analytical tool, including:
• Adjusted EBITDA does not reflect changes in, including cash requirements for, working capital needs or contractual commitments;
• Adjusted EBITDA does not reflect the finance expenses, or the cash requirements to service interest or principal payments on indebtedness, or interest income or other finance income;
• Adjusted EBITDA does not reflect income tax expense or the cash requirements to pay income taxes;
• although depreciation and amortization are non-cash charges, the assets being depreciated or amortized often will need to be replaced in the future, and Adjusted EBITDA does not reflect any cash requirements for these replacements;
• although share of the profit of associates is a non-cash charge, Adjusted EBITDA does not consider the potential collection of dividends; and
• other companies may calculate Adjusted EBITDA differently, limiting its usefulness as a comparative measure.
The Company compensates for the inherent limitations associated with using Adjusted EBITDA through disclosure of these limitations, presentation of the Company's consolidated financial statements in accordance with IFRS and reconciliation of Adjusted EBITDA to the most directly comparable IFRS measure, net income. For a reconciliation of the net income to Adjusted EBITDA, see the tables included in this release.
Stock information:
New York Stock Exchange
Ticker: CEPU
1 ADR = 10 ordinary shares
Bolsas y Mercados Argentinos
Ticker: CEPU
Contact information:
Chief Financial Officer
Enrique Terraneo
Investor Relations Officer
Nicolas Macchi
Tel (+54 11) 4317 5000 ext.2447
[1] 4Q2020 figures were constructed, as the difference between the 2020 and the 9M2020 financial figures, respectively, informed in the Financial Statements for the quarter and the nine-month period ended on September 30, 2020, stated in the measuring unit current as of March 31, 2021.
[2] 4Q2020 figures were constructed, as the difference between the 2020 and the 9M2020 financial figures, respectively, informed in the Financial Statements for the quarter and the nine-month period ended on September 30, 2020, stated in the measuring unit current as of March 31, 2021.
[3] Excludes intercompany loans.
SOURCE: Central Puerto S.A.
View source version on accesswire.com:
https://www.accesswire.com/647102/Central-Puerto-1Q2021-Results-for-the-quarter-ended-on-March-31-2021
FAQ
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