AES Tiete's Net Income Comes To R$185.7 Million In 1Q13
Comments by Mr. Rinaldo Pecchio - Financial and Investor Relations Officer
SAO PAULO, May 8, 2013
SAO PAULO, May 8, 2013 /PRNewswire/ -- AES Tiete S.A. (BM&FBovespa: GETI3 and
GETI4; OTC: AESAY and AESYY) announced today its 1Q13 results.
In 1Q13, AES Tiete's net revenue totaled to R$598.1 million, up 10.7% from the
R$540.2 million recorded in 1Q12. This performance was mainly due to the
higher volume of energy sold through the bilateral contract with AES
Eletropaulo, coupled with the adjustment in the price of energy sold and the
increase in the volume of energy sold through other bilateral contracts.
Generation in the Interconnected National System (SIN) was not enough to reach
the total physical guarantee of the system in 1Q13 due to low rainfall since
September 2012, the frequent dispatches from thermal plants and the higher
seasonalized physical guarantee allocated by certain generators participating
in the Energy Reallocation Mechanism (MRE) in January. As a result, the
National Electric System Operator (ONS) lowered the physical guarantee by
10.2% on average in the first three months of the year, by the highest
percentage in January (26%). Therefore, AES Tiete had to purchase energy in
the spot market to cover this exposure even though it generated 1.9% more
energy than its physical guarantee. With increased energy purchase and higher
average prices in the spot market, the Company recorded EBITDA of R$333.8
million, with 55.8% margin. In order to mitigate the risk of exposure to the
spot market throughout the year, in February 2013, the Company determined its
seasonal adjustment for the year in a balanced manner with all contractual
obligations in order to minimize any exposure to the spot market in future
months. However, it may still have to purchase large amounts of energy during
the year depending on the amounts of energy dispatched by thermal plants and
the system physical guarantee. The Company is expecting the physical guarantee
to be reduced by an annual average percentage that may vary from 4% to 9% in
2013 and thermal dispatch from 9.5 GW to 13 GW, respectively. According to
this scenario, the Company would have to purchase 663 GWh to 1,163 GWh of
energy in the short term market to cover the exposure caused by such reduction
in an associated cost of R$ 231 million to R$ 441 million.
In March 2013, the Company held its 1st issue of promissory notes totaling R$
498 million. The proceeds were used to refinance the first amortization of the
1st issue of debentures and allocated to modernization projects in the
Company's plants. The proceeds obtained through the 2nd issue of debentures,
to be performed by the Company, will be used to redeem such promissory notes.
AES Tiete is going to pay as dividends a total of R$203.7 million, or 109.7%
of net income in the quarter. The dividend yield on common shares and
preferred shares stood at 2.7% and 2.8% respectively for 1Q13.
AES TIETE INVITES TO:
Conference Call / Webcast
Mr. Britaldo Soares – Chief Executive Officer
Mr. Rinaldo Pecchio – CFO and Investor Relations Officer
DATE: Thursday, May 09, 2013
TIME: 4:30 (BR)/3:30 p.m. (EDT)
oBrazil: (+55 11) 4688-6361
oUSA: (+1) 855 281-6021
oOther countries: (+1) 786 924-6977
SIMULTANEOUS INTERPRETATION INTO ENGLISH WILL BE PROVIDED.
CONFERENCE CODE: AES Tiete
REPLAY: (+55 11) 4688-6312
CODE FOR PORTUGUESE: 1611851#
CODE FOR ENGLISH: 0076861#
AVAILABLE FROM: 05.09.13 to 05.15.13
The presentation slides will be available for viewing and downloading on the
The conference audio will also be streamed live online, on the same website,
where it will be available after the event.
CONTACT: Luciana Silvestre
PHONE: +55 11 2195 2282
FAX: +55 11 2195 2503
SOURCE AES Tiete
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