# Neoenergia posts R$924 million profit in 3Q25 on tariff hikes, efficiency gains *EBITDA up 13% to R$2.8bn ($522m) as distributor margins and cost control offset weaker hydro results* - Published: 2025-10-27 - Updated: 2025-10-28 - Section: Insights - Tags: Energy, neoenergia - URL: https://brazilstockguide.com/insights/neoenergia-results-3q25/ ![Neoenergia, energy](https://i0.wp.com/brazilstockguide.com/wp-content/uploads/2025/10/Neoenergia.png?fit=1024%2C289&ssl=1) *Neoenergia, energy* **By Brazil Stock Guide –** Neoenergia S.A. (B3: NEOE3) reported third-quarter 2025 results that slightly surpassed market expectations, with **net profit reaching R$924 million ($172 million)**, a **10% year-on-year increase**. The company’s **EBITDA rose 13% to R$2.8 billion ($522 million)**, driven by tariff revisions in its five distribution units and ongoing cost-control efforts, reinforcing its position as one of Brazil’s largest integrated power groups. ### **Consolidated performance and financials** Neoenergia’s **net operating revenue grew 10% to R$13 billion ($2.42 billion)**, reflecting positive “Parcela B” tariff adjustments approved by the regulator Aneel: +16.2% at Neoenergia Pernambuco, +8.1% at Coelba, +6.6% at Cosern, +1.3% at Elektro, and +5% at Brasília. The increase in regulated revenue, combined with controlled expenses (+5.6%) and new transmission assets, offset the weaker contribution from hydro generation following the July divestment of the Baixo Iguaçu plant. The company’s consolidated gross margin without VNR reached **R$4.28 billion ($797 million)**, up 9% year-on-year, supported by growth in its customer base and expansion of distributed generation. Neoenergia’s **leverage remained stable at 3.52x net debt-to-EBITDA**, and its **AAA rating** from S&P was reaffirmed. ### **Investments and portfolio diversification** Total investments in the first nine months of 2025 reached **R$7.6 billion ($1.4 billion)**, with **R$4.8 billion** allocated to the distribution segment, increasing the regulated asset base (RAB) to **R$42.7 billion ($8 billion)**. The company also renewed the **Neoenergia Pernambuco concession until 2060** and increased its stake in the **Corumbá hydro plant** from 70% to **85%** through a **R$92 million ($17 million)** acquisition. Neoenergia’s transmission portfolio remained fully operational, with availability above the 98% threshold defined by Brazil’s grid operator. The company continues to advance projects from the 2018–2022 auction cycles, with remaining RAP (Annual Permitted Revenue) releases scheduled for 4Q25. ### **Operational indicators and debt profile** The group’s **energy injected into the grid**—including distributed generation—rose **2.3% year-on-year to 21,283 GWh**, supported by residential demand and an expanding distributed generation base. The **customer base reached 16.9 million**, up 2.1% from the previous year. Consolidated operating cash flow remained strong, and the **net financial result** worsened 33% to R$1.5 billion ($280 million) due to higher interest rates, while the company maintained a solid liquidity position and extended its debt maturities. Shares of Neoenergia have gained **47% year-to-date**, closing Friday at **R$28.39**, outperforming the Ibovespa and the B3 utilities index. The company will hold its quarterly earnings call on **October 28 at 10:00 a.m. (BRT)**, with simultaneous translation in English. ## **Distribution segment: efficiency gains and regulatory adjustments** ### **Coelba (Bahia)** Neoenergia Coelba recorded an **8.1% tariff adjustment in April 2025**, helping offset lower residential demand caused by milder weather. Losses over 12 months reached **15.85%**, remaining below the regulatory cap of 16.37%. The company carried out over **235,000 inspections** and recovered **244 GWh** in the year to date, reinforcing its anti-fraud program. ### **Elektro (São Paulo and Mato Grosso do Sul)** Neoenergia Elektro reported an **8.3% tariff increase applied in August 2025**, with energy injected into the grid up 2.1% year-on-year to **4,602 GWh**. Losses stood at **6.29%**, below Aneel’s limit of 7.99%, reflecting operational excellence. The distributor’s customer base expanded to **6.9 million**, while its collection index reached **98.31%**. ### **Pernambuco** Neoenergia Pernambuco achieved the strongest regulated revenue growth among the group’s distributors, with a **+16.2% revision in April 2025**, lifting its contribution to group EBITDA. The concession, recently **extended until 2060**, underpins the company’s long-term presence in Brazil’s Northeast. Losses totaled **18.37%**, above the regulatory limit (16.47%), prompting targeted field actions to regularize clandestine connections. ### **Brasília** Neoenergia Brasília recorded a **Parcela B adjustment of +8.3% in October 2025**, boosting revenue after two years of integration under the Neoenergia brand. Energy losses stood at **12.44%**, slightly above the 11.90% limit. Efficiency programs, including smart meter replacements and improved collection methods, maintained the group’s overall collection rate at **98.3%**. ### **Cosern (Rio Grande do Norte)** Neoenergia Cosern maintained its strong operational performance, with **losses of only 7.48%**, below the 11.13% regulatory cap. The distributor posted stable demand and improved reliability indicators (DEC and FEC), outperforming Aneel’s benchmarks for service continuity. --- Source: Brazil Stock Guide, https://brazilstockguide.com/insights/neoenergia-results-3q25/