Comp En De Mn Cemig ADS Q1 Earnings Call Highlights

Comp En De Mn Cemig ADS (NYSE:CIG), the Brazilian electrical inferior known arsenic CEMIG, reported first-quarter 2026 EBITDA of BRL 1.79 cardinal and nett of BRL 979 million, portion absorption highlighted continued concern successful distribution, indebtedness illustration absorption and challenges tied to vigor terms volatility and hydrological risk.

Andrea Marques de Almeida, CEMIG’s CFO and capitalist relations officer, said the company’s diversified operation helped prolong results during the quarter. She said CEMIG invested BRL 1.48 cardinal successful the play and paid BRL 658 cardinal successful shareholder remuneration. The institution besides completed what she described arsenic a tiny acquisition of PCH Pipoca and Temacu successful Mesquita.

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Almeida besides pointed to aboriginal effects from a post-employment restructuring statement recorded astatine the extremity of past year, saying it had already reduced expenses by BRL 80 million.

Leadership Change Announced

At the commencement of the call, Carolina Sena, CEMIG’s capitalist relations superintendent, said the assignment of Alexandre Ramos Peixoto arsenic CEMIG’s caller CEO had been approved. Peixoto replaces Reynaldo Passanezi Filho, whose departure was attributed to the term-limit regularisation nether Brazil’s State-Owned Enterprises Law No. 13,303/2016.

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Sena said that nether Passanezi’s management, CEMIG carried retired a fiscal betterment process, resumed concern levels and developed a strategical program of astir BRL 70 cardinal done 2030. She besides said the institution expanded substations, modernized the grid, eliminated humanities bottlenecks and accrued its marketplace worth from BRL 8 cardinal to BRL 45 billion.

Peixoto is simply a vocation worker of the institution with acquisition successful the Brazilian electrical sector. Sena said helium has worked astatine ANEEL, the Ministry of Mines and Energy and EBE, and antecedently served astatine CEMIG arsenic regulatory and organization relations officer.

Distribution Drives Investment and EBITDA Growth

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Distribution represented the largest stock of CEMIG’s quarterly investment, with BRL 1.28 cardinal directed to the segment. Almeida said the institution delivered six caller substations and modernized 1 substation nether the More Energy Program, portion besides adding 765 kilometers of low- and medium-voltage network.

Cemig D recorded a 26.6% summation successful EBITDA, reaching astir BRL 1.01 cardinal successful the quarter. Almeida attributed the show chiefly to a 7.78% accommodation successful Parcela B and an summation successful residential consumption. She noted that residential tariffs are higher, which had a affirmative effect connected revenue.