Light S.A.

Light did not report companywide revenue or EPS in the prepared remarks provided. The distributor invested BRL 457 million in the quarter, up 73% year over year, and BRL 1.2 billion in the first 9 months of 2025, exceeding full-year 2024 investment of BRL 967 million. Distribution adjusted EBITDA was BRL 402 million, while Generation and Commercialization posted adjusted EBITDA of BRL 103 million and net income of BRL 21 million. Cash and equivalents were BRL 2.64 billion at quarter end, net debt-to-EBITDA was 2.89x, nontechnical losses on wire load were 22.8%, DEC was 6.08 hours, and FEC was 3x. Management said the energy market declined 5.3% year over year, and the company expects a broader investment plan after concession renewal; the capital increase could be up to BRL 1.5 billion, subject to contract signing and board approval.

The CEO framed the concession-renewal recommendation as a validation of Light’s technical, financial, and operational discipline and as a turning point for the company’s transformation plan. He emphasized three pillars—economic, financial, and operational—and said the new contract terms should help address structural challenges in the concession area, support network modernization, and improve service quality over the next 30 years. His tone was confident and forward-looking, with repeated references to a “new cycle” for Light.

The CFO focused on liquidity, capital structure, and execution discipline. He said cash and equivalents were BRL 2.64 billion at the end of Q3 2025, with about 85% allocated to government securities or assets of top-rated institutions and the remaining 15% in A-rated or better institutions; net debt-to-EBITDA was 2.89x and should trend down after debt conversion and the planned capital increase. On operations, he highlighted DEC at 6 hours, FEC at 3x, nontechnical losses at 22.8%, and the quarter’s BRL 457 million of distribution capex; he also noted adjusted EBITDA of BRL 402 million for distribution and BRL 103 million for Generation/Commercialization, with foreign-currency debt of USD 159 million hedged through June 2026.

The only analyst question shown asked about the company’s expected investment plan for the distribution business. Management answered that, after concession renewal, Light expects a broad investment plan focused on asset modernization, with more reliability in the short term and renewal/modernization in the short and medium term. They said the plan is still being refined and that more details will come later.