On November 12, 2025 Copel released its Q3 2025 earnings presentation, reporting operating revenue of BRL 6.81 billion—an increase of 19 % from BRL 5.74 billion in the same quarter last year—and a recurring EBITDA of BRL 1.30 billion, up 7.8 % YoY. The company’s basic earnings per share fell to BRL 0.12248 from BRL 0.38707 a year earlier, and net income dropped to BRL 384.22 million from BRL 1.22 billion, a decline of 69 %. The results beat revenue expectations by BRL 1.63 billion, but the sharp net‑income decline marked a significant miss relative to the prior year.
The revenue growth was driven primarily by the Generation and Transmission (GenCo) segment, whose EBITDA rose 11 % YoY, and the Distribution (DisCo) segment, whose EBITDA increased 7.2 %. GenCo benefited from higher transmission volumes and tariff adjustments, while DisCo saw gains from expanded distribution capacity and improved collection efficiency. Despite these gains, the company’s overall EBITDA margin contracted from 26.6 % in Q3 2024 to 19.9 % in Q3 2025, reflecting higher financial expenses and a larger generation deviation caused by increased curtailment.
Net income fell sharply because the company’s recurring net income of BRL 374.8 million was offset by a 36.5 % rise in negative financial results, driven by a robust investment cycle and higher interest rates. Management explained that “the increase in negative financial results, driven by a robust investment cycle funded by the company within the parameters of an optimal capital structure,” was the primary cause of the net‑income decline. The company also invested BRL 981 million in CapEx during the quarter, bringing total CapEx for the first nine months of 2025 to BRL 2.6 billion.
The EBITDA increase, while positive, was partially eroded by higher financing costs. The company’s leverage ratio remains around 2.8x–3.0x net debt to EBITDA, which is manageable but signals that financial headwinds will continue to pressure profitability. The management team emphasized that “we reduced costs to preserve the safety of the operation and quality of services provided, which reinforces our commitment to operating efficiency and excellence.” This focus on cost discipline is intended to offset the impact of higher financing costs over the medium term.
Copel is also advancing its strategic transition to B3’s Novo Mercado segment, a move expected to enhance governance and attract a broader investor base. The company’s CEO, Daniel Laviero, noted that “the company is preparing for migration to Novo Mercado by year‑end,” underscoring a long‑term commitment to higher corporate governance standards. The company’s investment in renewable energy and portfolio optimization, combined with the planned governance upgrade, positions Copel to sustain operational growth while managing financial headwinds.
The earnings presentation also highlighted that Copel’s recurring EBITDA margin compression is largely due to higher financial expenses and a generation deviation caused by increased curtailment. Management’s focus on operational efficiency, coupled with the planned migration to Novo Mercado, signals confidence in maintaining profitability despite short‑term financial pressures.
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