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- **EBITDA Surges 122%**: Year-over-year growth to $312 million, driven by tariff adjustments and operational efficiency improvements.
- **VAT Outpaces Inflation**: 26% VAT increase vs. 22% consumer price inflation, enhancing revenue resilience.
- **Debt Costs Lowered**: 8.5% interest rate on $95 million bonds, marking a new low in company history.
- **Smart Grid Expansion**: $200 million 2026 CapEx plan for AI-driven infrastructure upgrades and service quality enhancement.

**【Management Opening Remarks】**
- Edenor reported a 122% year-over-year increase in EBITDA for the first 9 months of 2025, reaching $312 million, driven by tariff normalization and operational improvements.
- The company highlighted a 23% increase in EBITDA (excluding CAMMESA impacts) to $171 million, reflecting strong cost management and revenue growth.
- A regulatory asset claim of 4x-5x the current CAMMESA balance was filed, signaling efforts to resolve historical tariff discrepancies.

**【CFO Financial Commentary】**
- **Revenue Growth**: Third-quarter revenue rose 1% in real terms to ARS 741 billion, supported by a 26% year-over-year increase in VAT, outpacing 22% consumer price inflation.
- **Distribution Margin**: The distribution margin for the first 9 months increased 8% to ARS 865 billion, driven by tariff adjustments and reduced subsidies.
- **Cost Management**: Personnel costs declined due to workforce optimization, while digital strategy (AI tools, chatbots) reduced operational expenses by 5% year-over-year.
- **Debt Optimization**: Issued $95 million in local bonds at 8.5%, the lowest rate in company history, and secured a $65 million loan from ICBC at 7.7%.
- **CapEx**: Invested ARS 283 billion in 2025, with plans for $200 million in 2026 to modernize infrastructure and expand smart grid capabilities.

**【Q&A Highlights】**
- **CAMMESA Debt Resolution**: Management expressed cautious optimism about the '26 Budget Bill's provision to resolve CAMMESA debt but emphasized uncertainty in legislative outcomes.
- **Debt Issuance Strategy**: Monitoring market conditions for potential reopening of international bonds, following successful local debt issuance at competitive rates.
- **2026 CapEx Outlook**: Maintained $200 million investment plan for network modernization, including smart meter deployment and substation expansions.

Empresa Distribuidora y Comercializadora Norte Sociedad Anónima (EDN) Q3 2025 Earnings Call Transcript

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