Wilson Ferreira Junior | CEO |
Elvira Presta | Chief Financial and IR Officer |
Carolina Carneiro | Credit Suisse |
Ladies and gentlemen, good afternoon, thank you for waiting. Welcome to the Earnings Call of Eletrobras for the Results regarding the Third Quarter of 2020. We inform that all participants will only listen to the teleconference and then after we are going to start the Q&A with more instructions. Remember that this audio file and the presentation is available in PDF at the website of Eletrobras.ri. [Operator Instructions] Before proceeding any of the things that are said during the earnings call regarding different business prospects of the company projections, operational goals, financial goals are beliefs and prefers of the Board of Directors of Eletrobras as well as being based on information that is currently available to the company. results. involve things why other that might influence they be they operational [Indiscernible] also on based might the considerations uncertainties, and that's might issues Future not happen,
floor Now to Ms. I Presta, of Jatoba, and Director of Chief to Thank Director would give of Elvira the Wilson Generation. Ferreira like President, Junior; Eletrobras Pedro IR the you.
You may proceed.
up third earnings you analysts and Good is keeping Good call the everybody the of the investors, afternoon at to everyone, filing the quarter. thank afternoon. of this that
that we've X, the disclaimer such longer. in as the Well, questions. are a it done of be the in to possible all highlights. operational the bit because Now will a let's go this way specificity I little here results, to as presentation will that try of page we the objective answer be can
of good takes in above recovering a load that market Here is graph. here we more is are a we The and we XXXX, an with in evidence operating ticket, it's energy May important the this are this ticket, this same shows bottom the and was situation what in have daily monthly the thing XX% look is the already news. and XX% average When of what difference in we doing. changed at place was
monthly and the the beginning have since We here this year strong will then, operating the of green above area pandemic the and of above have very since the be that year, XXXX. was we X% been base
the situation to It's specificity a Eletrobras. the economy. important So, of because that regaining shows it of the of highlight is
market, PLD, because the price we little before of dropped before recover. to drop the of we bottom the to prices unregulated of pandemic the anyway that and BRLXXX see the it's beginning A starting exactly May at bit the the consumption and the until that realize on on and now usage, year. On the side
it's part, is important the BRLXXX here very XXX. September and in a have and volume is in north We actually that
the We per of are prices PLD and reporting megawatt than effective is the still average values lower that results.
the X; Next see let's page positive highlights, points.
first will had about O&M can the quarters. hiring asset infrastructure the We regarding the million that also a payment the last You a in is quarter The new the in million tariffs. transmission periodic million the quarter, in in the transition here of BRLXXX the Reduction the and reassurance generation of plants for this in to RAP tariffs. power one we we see of of due in this talking third the rise. we agreement reduction and RBSE and KA LPs and semester, another process the the have see XX had the and have remove R$XXX quarter readjustment the
am subcontracted reaction of billion. anticipated the talking I R$X.X R$XX a people have R$XX have we million, million. X,XXX dividends about by XXXX, PMSO said that in and We specifically an advancement September
sales that and contract XXX the it and The for with So payment we waiting debt have growth to we billion, R$X.X company for net of and had that of concluded the a the be in our had slight we impacts but we're because it signed million. the the to XXX of shareholders leverage. SPEs,
Next negative negative page, results, highlights. we have the
contract when high and they very a and XXXX, revenue, a generation energy talking if with these of Eletrobras hired share in First BRLXXX ended megawatt they we about the hour. year started last follow [Indiscernible] view had big you value, a had
events in already not price have a numbers that extraordinary that market. my the Now the in market, that changing with were we these two was hired unregulated In the the slide we positive. can above volumes were show presentation, first
generations mandate a of power longer the than million The X in X. necessary Angra the and X of Angra first of that plant and was the and X R$XXX stoppage provision
They We of this PMSO, have we to inflexibility alone. the adjustment coming of the also million. in have limited because good have here, the the are a extraordinary this period less is quarter us an are Each evaluate third for third that investments. a weekend, first of quarter. with these in and quarter is an Candiota its already plant this R$XX back They working. to quarter There this. events not power are reduction X. effort expectation but with Candiota problem we Angra X than less
to for see, issues. we what capitalizing of labor budgeted. the The XX% to of we and more with the COVID-XX the of than predicted, the was X.XX%. we expensive of less got are we in had We readjustments the due what As can ACT anticipation company investment vacation contracts but of lower we non-capitalization labor with labor because personnel of investment, had
by had also a the leaving we people January with we did R$XXX but we hired, the the provisioning XXX of an We that we due pandemic company actually are and to XXXX, had million. economy personnel have people, the for
with the of R$X.X which good investments have publication we news, leverage we that what says the net million work the we XXXX, not anticipation we regards the CNPE conference provisioned Future compulsory process agreement million is the the issues due a is that contingency, the have in the atypical have quarter mainly controllership. have, contingency we and were dividends EBITDA, in still our an here X. X. of MTXXX, Page fundamental R$XXX billion, because Angra provisions the of and does the that to in that it a adjustment was that and had generated of loans we’ve we a official deficiency -- our quarter with finishing did budget impact the that Now in and there to can and in of R$XXX debt increased that done the increase commercialization, the and
but condition of done and inflation of for remember XXXX, you if another The R$XXX economic will we have in XX and contract BNDES, need usage and updated price come lower each from energy the and competition will a have have between QX extraordinary [Indiscernible] a in in adjust reduction XX today. we Now items, adequately, bidders cost billion. the the energy from credit. official can plus is by than we of the so then in have of restart bring CPA, finance once years the and enterprise, fuel. can adjustment publication July financial what XX, the and studies and can reasonability liability is the will for the we an for the at CNPE, of we discount increase If we the redeem of XX with can work of the gain once supplying we was And result cost and years. approved we There that compete that for a we that capital have cost reduction we we nuclear publishing can impacting the for tariff value the also X.X assembly the modality we by
elevated X.X see impact And Page regarding X, net that is said, can integration million had X.X with we businesses. and XXX as in corporate we adjustment with With the billion LTM asset have to up LTs SPEs over of about we payment times. the participation GSF, the that adjusted RBSE the was as I I that in we debt of September them this EBITDA the for ahead. that adjust revenues. evolution a X.X will discussed, Now talk that said loans us have X.X our times renewed compulsory RBSE being
generation page on and transmission and X. financial see the For let's results. Generation
capacity. the installed megawatt XX,XXX about of anticipation Brazilian of capacity have XX% We
the from is We we XX the R$XX.X physical drop All in corporate Physical nine and go of months XX X.X Obviously, in the average guarantee here year. that and have the so assures was is I write billion that and of our XX Eletrobras. installation, guarantees growth right first goes participation We XXXX another the XX it Generated important. to unregulated very what installed that gigawatts XX% per [Indiscernible] market three of XXXX, XX,XXX reduced of the plants billion change power generated considering the There of have a that billion. our over fact power quotas the physical guarantee revenue it in And total in not lose of generation from participation value. in We of we contracts contribution plus we XXXX reduction breakdown XX%. value only the energy last in at the annual a the of in from is was our because hydroelectric quarter. nuclear see of and market. in by of over nuclear we million, had megawatt blue to to base the effects ACL, that were year We but just average, we our X,XXX This XX,XXX this is megawatt impacted see we ACR the and that the everything, changed billion R$X.X nine have the megawatt capacity discussed. from generated I in already of was XX We in hydroelectric that of all on looking we well when we XX% declined plants grey by reason see SPEs ACR that’s and to ACL quarters, XX very price from in should the to those this X% volume to we have is guarantees. The just our green, which the are hour can billion transmission contract more have months of unregulated that haven't XX than almost X.X was mentioning. plant. we of from quota of you is billion reduction big the in to a high and R$X.X of if we see to we Underwrite. mentioned from XX,XXX see terms in main in promotes contract participation and XX%. XX of XX, important from that the billions, XX% contracted. XX% had
you the the we variation at total is RAP green, have XX X.X, effort impact a [Indiscernible] are in the an has middle the we year million. review checks from to and here we when better sum X.XX unregulated of RAB. companies complex And fact X.X component billion involving the we contingencies of O&M incremental new contract of we make assets. of the we should the but in is amount will this installations per second what good acquisition the have Total new explanation we [Indiscernible] as the which in effect, official an delays in X.X is also then billion, It divided values and an Page reduction cycle can RAP, and addition of look it here RAP the RBNI, I don't our R$XXX that the [Indiscernible]. this readjustments the we become R$X.X trying is and find the [Indiscernible], and in showed effectively market. below will We above. adjustment condition of benchmarking the variation. over goes we which in contact XX very to of have it the have in the in gives value, period Very you and norm values periodic R$X.X and contractual in to down is added XX, called of of maximize have of million that see
are in for infrastructure make quarters. the addition AAR two Here the process value will that when we of completed revenue. are we we results, that understand of we In the at have in R$XXX we the the assets going the [Indiscernible] transmission look values million contractual we these find XX, and building previous to the and addition the IFRS of from
Something shown we are the doing important we work page in here for that XX. transmission, are
is of since our increase best quarter, this reduction indicator cutting an XX.XX, the in of loans third the XXXX First this the reductions availability is by XX.X% of assessment. regarding Eletrobras
On Eletrobras. for are had Maintenance high. than of over [Indiscernible] And is kept XXXX procedures a side, that originating very years the since that example, less three very we operation. lot this blackouts high. of see order year one megawatts of our we robust availability is trustworthy with very has You’ll from was that
well. We company, XXXX On X.XX%. variable improvement XXXX results variable the is its we we less quarter where of XX.XX%, this penalty varied application the third the is in the penalties again best of to quarter as while X.XX% of million far once regarding third the here the the the so XXXX. quarter R$XX compare of we third at the installments the have have since got right, The installment and
XX.X% we have performance. Brasil here over our XX,XXX and transmission are of coverage XXX have We And in XX,XXX financial Eletrobras. about lines kV. in
the the on the the is explanations on also first usually work we see in IFRS, we that numbers referring highlights. XX, right. results. values, on left columns and our On the can we report What the some we and in do assume left the the is have three about which It’s so
Our it explained of is to in growth revenue and mentioned. if X% the up just R$XXX in million because of gross dropping a and and recurrent place that in R$XXX generation percent this our box remember I a it's in we dropped contract million ACR that is
million there positive, easy a in is talking with first and we deterrence in which if X R$XXX a X the on that positive Santa and of XX is one is value now. have here readjustment period that XX We operations just is equality R$XX quotas from in current million. the a [Indiscernible] minus of and we X this and million PLD Cruz ACL. short of the R$XX RAB the procurement We term, because better non-recurrent is [Indiscernible] space of and million, on credit higher the Angra the lower XXX The turning right can hydroelectric and flexibility was and for of have see minus the drop
is once. So review RBNI the done only of tariff
is million it see here the When as of So that PMSO, we billion. told of we you drop there a XX I look personnel. this is result and as in demonstration R$X.X can
change and the aluminum the Brasil. of of profit the should we have derivatives do buy price main the result holding not of million. is have to this of comparison million EBITDA depreciation the see We the XXX rate might the but big in here R$XX the RBFE, of Unfortunately, million we an a we almost we to indicators due analysis output we readjustment the in in in the have R$X.X capital If Financial dropping for regards we -- reduction of do less we our regards drop getting the reporting see and Amazonas-GT. million we has in result to the impact Well, -XXX to billion. modest of have readjustment the but very the change is that to and was numbers adjustment and we XX% a regaining talking result. dropped R$XX see didn't of have investments here the in values, see in drop billion. lines, R$X million additional we of in fuel and year, usage have to and taxes electromagnet XX also we XX% have Also of the of the dropping we and in investment, a have the we when look operational continuity recurrent plus positive this recurrent addition we of and exchange with that a example, in We about company, last do from we costs a to of is growth. the of an contracts transmission this we be expenses, and Candiota that being quarter. in many million is and XX is next that the recurrent to that had effects payments, and the XX% still amortization because a XX% that the XXX in at fields etcetera. expenses for due the less are for payment in the of are If So the the that in exchange of drop -XXX rate which the way, and getting AMDMB minus had to that cost
XX. X and plus about drop lower and X.X from the the we XXX bottom a a revenue in contracts above we market X.X%, as see happened Candiota what quarter a back XX told of little net million would comparison So R$XXX period I've the the XXX the draw that XXX to we as unregulated of of million have XX I've as on prices. revenue lost billion third and the had in recurrent of therefore now X. we we from to the talked of million on is, million in we're X and the in right reduction right, we then can that recurrent, of Angra The going have we bit here we that working have are have the have and Up the you,
future of we re-growth in great Given the the have the economy expectations.
of a in comparing RBFE and there all you're OEM the the last and less and revenue contractual happens positive generation. have also in to about we that maintenance the quarter are revenues growth We when the values, and for these investment values transmission R$XXX transmission talk these operation and million all the transformation is when
XX%. is have is the see and are free negotiated tables actually here in to of trying hydroelectric the XXXX, Now the of the volume the more being our see is improvement XXXX in variability imported is equipment the for and quota revenue power nuclear some professor we we that have But In complex. volumes the here that just or a first some what would unregulated important difficult just by talk from this line market. to cite we you in for drop gross and of was diverted, detail regulated that of And to a I products rate in a the an the a This need exchange in important. our and generation the imported variation about, this. remember be energy variation and regulated lack is what because to
that number the we the and nuclear about the volume and bought dropping four not was in in per impacts the with plants. hydropower at the revenue terminology the in megawatt have drop in have higher because R$XXX million of a stoppages XX% value the in two plant and that We
we million quarter, are R$XX see when and megawatt can last of where R$XXX we top have of of quota have R$XX of about was indexation hydro is we right in we're this that the a in have ACL there at readjustment that values effects on drop contracts R$XXX per markets, going the when and that head we here talking and energy of just about volume the in third contracts the third X% PLD to there here each at at almost for the for we ahead the have look the at look adding you is the increase values, to XXX and some megawatts quarter the average. and up the volumes year. Now see lower of is an if value the bottom is The have of table, a a we X% bilateral and the look R$XXX the comparison in we an
What PMSO, contracted have do are material use, the because just the portfolios. liquidations is of the and will variations PLD. drop not hiring expenses is, the minus volume. of company We dropping higher in own other personal report we be million services of and what the a a PLD we of XX in R$XXX entity
plus less X% than than million an the drop, and this. than addition positive due of IFRS, less aspects we expected the year. talked third over million what quarter, personnel we reporting in X% to are XX in last are The currently e XX less Materials about dropping we’re X%
OBV XX of in there million. Another X things and services million of drop COVID are
the the side, dropping the of aggregate XXX heavy labor the of negotiating in half take other million COVID-XX in that Eleticas are at the of clients and for around full the Well, credits we responsibility. was XX evolution. chefs the campaign R$XXX others XX you the page Eletrobras glass the million and important we million subcontracted on see the installation need actually, very we that see have from of quarter to social that this the insurance our have million. red, the month where donations we for of contract Here million the of cost with see of standpoint was XX We [Indiscernible] very R$XX and something
we nine important now the was I'm PMSO well, and an employees had you to are we the PMSO X,XXX in are number the XX XX,XXX XX in still it billion yellow billion PMSO, cost close for that our PMSO. And We there months. in the the and is see talking was on with XXX, XX,XXX R$X.X it what year, sorry, billion. R$XX cost now, reduction in dropped of about numerical costs to R$X.X previous
ever year, We more next are we a of another and economies. leaving we have will making we have and lesser this employees and XXX material value cost will personnel have
Now page benefit. XX reassures
XX, under because fullness and regards are the From compulsory previous is we the a is we have in have in investment, million. exposed go the million Actually are and highlighted. is to draft for at more variation in important R$XXX loans fuel and almost to have minus that in difficult main results main a of governance for here that in aspect building contingencies a operational and of bought here of resale this short million very in fuel a provisions there page the important. here contingency Santa we for were a in and in provisions, have XX XX.X% one, the was the the growth R$XX we We the important need to the issues drop regarding energy quarter drop million. in neighbor of reduction as that a R$XXX negative Fullness is We our recurrent of done X% X.X% and look a[Indiscernible] the less the they installations, is the energy current. getting had this when we've We before a is Cruz that all drop in term.
bad we provision have still and it ticket, regarding work the perspective Amazonas and we distribute, have Amazonas, here of need the here are connected the [Indiscernible] to still aspects year. developing so risk PECLD do in the to with in for that we to We the a PECLD last debt regards CPCXX, annual increasing perspective have we
in of of of -- ANEEL, is we just credit about losses coal We XXX issue the we XX. that capital of PNB, well have X% loans. high it's of the Remember due [Indiscernible], Jirau governance in are Jirau that can Onerous in to Candiota, talked evaluation shares determine This of with a that the a the of the over the in lot million. remember is the have a R$XX Czech, Eletrobras. provision vision the inflexibility necessary the we XX controllers shares, contracts impact and of best reduction for compulsory level have so we Page can page We which working a basically values of you on here see of million the one we our have our and they see is million half contingencies.
This quarter update XXX X.XXX the quarter XX.XXX of here provisions. additional graph, of we if position billion we look the XXX, end claims The rate, we paid at we're XX of third and that the of at billion, the and is exchange a lower the million. have have provision the we leaving
in So XXX a drop million.
events in that are provisions R$XXX important million the have two imply that We to in on non-recurrent right our are contingencies. additional that
R$XXX And the delivered. shares be of million to in delivered should value, requiring we in we it's their regards have that IPCA see the shares updates can it need that to in in this differential the million. loan the operational that financial that now paid. First, an be top quarter updated from XXX authorization additional XX is was it's running the million provision, of plus R$XXX we the B an result that the the day compulsory to update equals case XXX second of time to Consumers an of so disagree company XXX update E have interest by is more updated not with rates during shares exercise
the is was we with we this with operational the stoppage impact in net have and do EBITDA, about in the Now all just participation recurrent say revenue Angra the the XX reversals [Indiscernible] of responsible current variation for along provisions way granted was net we of operational going X.X% million other million. at you that a addition it up the and And contract that and aggressor the the AX ensuring cost mainly the in of contract mentioned that PMSO the MSO the to operational million that XXX Amazonas provision main there data talked had compulsory, from reporting the XX% we costs [Indiscernible] recurrent an EBITDA of of and the revenue, drop XX and of reported had and recurrent drop improvement the we the aggression that of of has X% with that returned recurrent And and was of of quarter. in goes our everything the Candiota. XX% XX% we the a
We on revenue. net are reporting
of and the cost result go go from where you a the recurrence, million. of million. XXX we amortization, the drop there is and and have quarter we to we here instead have financial result We of to X.X billion R$XXX tax the billion of worst income in X.X depreciation obviously lower million because we a is can the XX% the EBITDA have have dropping We plus -- so XXX X%
XX.X page XX, and talk said aspects, -- and to dropped net second our go billion where I discipline. reported in Let's the our beginning It what X.X billion, an you X.X through variation the had which debt that was in makes have a of indicators we about billion two compulsory the of well the increase main by the we we this increase on in debt R$XX through and loans. go the an loans, X.X financial EBITDA that one the the is the net slightly gives is we payment almost increase R$X up respectively. dividends show with EBITDA
in quarter done that improved Now million XX, we've growth what transmission getting that we billion the here corporate at last regards line the we a ban in because are total mainly detailed the invested need of million quarter first was of nine the that in growth This would XX we generation we page in this that XX% in the fact couple Like is cover the because million. of last XXX% which to this invested of this. because a in corporate second the Good XXX the XX of X a to news to We've investment issue, our total means we and projects quarter. and look great to introduced SPEs XXX and e the is news connected corporate year was do GFE is investments. are to to from these standstill either don't investing XX%. deal down months SPEs be below, second $XXX column SPEs, of this out in climbed XXX
did it the optimization it's be I connected of should XX that ANEEL, will that that show ourselves and evaluation we the investments mainly COVID million, because of recover invested comparing X. because the we not XXX do authorizations what to authorization and over and of And a budget impacts at will eventually was that and out Angar, and And of and and in reasonable in and we of it's we case budget was R$XXX do of in and It XX X.X we have X for didn't quarter an we across X recently million mainly was Angra the the we X.X that XXX in costs but has have are to have billion for legal with billion. do didn't goal, the you page. to next real billion that the million, was value here we So aspects for of the the expense for general resolved think in general we this schedule to and a If moment that have have why we million. invested need authorization. details limited the we done that's
of XXth we right and we those incorporation did Now some can of been to closed sale to legal you what to get X SPEs billion that see since do we when get going you the wanted an to of are in in one such predicted. of would of the the now XX you X, XXXX, the like and X and some towards XX now the XXX We what we're am a because of because if we formalized. we here was end XXX getting or XXX to here going limitation had we I prediction here is million presentation. total already to SPE, X we closing have this end And TGO, way selling of now of sorry do million that to have total. get are at and X incorporation with is due one we we the on year, XXX. have the budget highlights show sold we we're I ongoing was from TSV, see that there couldn't the SPE, and the X XX% following relevant TGO when that closing or also, [Indiscernible] and the those our something not Due the because observation. COVID, are delays, we
So announced, going of XX. X that selling we more they're and XX structure and we What TRV Famosa few not a well, next we have the on have and of and And not we we the do, year. conclude could famous XX, towards complexity rationalization process closings presenting Baleia [Indiscernible] we of X, did were Baguari got have SPEs.
XXXX. should XX planning, am that Here advancing I conclude our with this XX. restructuring process Page SPEs by of we December
actually, of to have number of we our public all corporate CCEE Just here the plants. regarding consultation annual XXXX power report XX
The first X billion XXX nominal of the calculations. observation are
Candiota have renewal due ANEEL NME being of XXXX yesterday This important this recommended and official is of any is Here, context to was that the don't confession very XX/XX/XX. publication in the is of corporations the we by of CCEE the that point. not a
point, IPCA all spend assets the companies Second as that know, and we regulatory there through are the alternative. saying is are consultation, of there it's capital, there was configured it allocation things the an a media you public over the
have proceedings. and XX but announce for consultation then deadline, lot the we if publication the maximum in the CCEE a we contributions. six legal they we we to plan for do that public ninth commercialization the in We of days limitation rules the resolution have after have to Once, extension calculation days the of Xth, of we have the normal should new on have Xth. XX have March of can December, a accept the that present days the on will after consultation a you we So February and
The installment SPE that the the going we you've should investors, be actually and transformer, paid, was Amapa. our that XX our XX the X.XXX has we some net engineers, very Now reporting XXX that equipment up million the credits is of by work is is without not XXX do have the there some do an be here an with that be and working. can Amapa, so issue can have regionals, support report controller of publication procurement energy extraordinary value billion million move we oil, etcetera, here contribute working an Eletronorte to the installments, official XXX is the in to technicians to payments state north our in all so of and it were difficult, mobilize that they immediately -- volunteers the sets as ahead, has of that and emergency We they paid, this process megawatts generation of up in value through would megawatts. we and people, retaining investment difference the appeal can this event, specialists, distributed we it so which but seen here at be
that are after approval were have is cost the NEL, of an that We factorial is the and assets the ongoing coverage made available. to the approval here expenses this
transformers, and So the only of there, the which unit region. studying and power one quota of is is we that have one remember important energy once UHE the suppliers again of method
close We prioritize we the our of of next in The in reported highlights that have the the activities. number pages. increased to ESG we ODSS that
DuPont, financial new hand objective on adolescents the climate the the on have that DuPont the the over of childhood fighting the and program, Brazil. the force everybody an the climate commitment climate-related workplace safety of Eletrobras. rights client and of have growth established have of in relationship. on disclosures through actions here in human we XX test, XX and And change which we as we economic task We right the days. health tested next have developed The initiative the COVID-XX labor and XX,XXX the in is consultancy now by the the a the children with there's with we page, for program of at is a is every Brazil and adhere exploration tests did against sexual growth, We changes, here XX% [Indiscernible]
We hospitals our have contributions a the XX%. million around we year. [Indiscernible] that are donations satisfaction went report to goal to the reporting installations. that R$XX over XXX done over we've last benefited goes In We close of operational and
We have at of the implementation management actions LGPD sustainable for of the suppliers. and here the Eletrobras the
simplify definitions of PDG, our within regulatory edition procurement excess, returning safety suppliers, the over we here issue until people on regulatory [Indiscernible] Amazonas-GT. The transfer have X by still the asset for XX November we over III, this to ahead and with implementation. that will our in mentioned with with which waiting our the the national for Angra saying GSF SPE R$XXX of XXX leaving XXXX. in short for that XXX and of the solution of to We up reduction waiting shareholders’ with with conclude up to XXX actually personnel legal effort the D still of this suppliers and term, XXX XXXX AFAC are a I issue Amazonas solve Candiota have that meeting was million the we from we're the
governance. once sure not was me, will report, and quickly etcetera, be it only of am have rest the go over And again and valuations effort very result, questions. the for will I result We I that in here this of with of have small am you a we the a the Elvira, that lot apologize events the so we colleague work name in of thank Eletrobras, saddens course very and extraordinary available it but the my I for
Very well.
a do We’ve Instructions] few session. will Q&A questions. a [Operator We
have The questions. from first two Good one afternoon. I [Indiscernible].
in question regards to first the The privatization.
in What the lot news of We for in first impact process? the can second trend the is And the is the have And hydrology. is head comment. question? what privatization blackout a is the question Amaba, where if upper
a poor will for will big the rains and for have sedation that We and a be very consequence GFF next prices impact go up the of year?
Thank you.
have in that's well the page hava a a is that have weather, this slide in elections regards Brasil the in common And here Now developed and here to everything. and in this it we we that always is limitation as extremes. result below
reservation our case spare contributions to are both energy, [Indiscernible] have, clarified. conclusions have lost obviously we and fortunately of have And the negative the days and the being the Amapa a the difficult in the in we of [Indiscernible] that had And the that is reestablish five not due being that of a -- the that is the clearly leaving the situation very is system and we Amazonas investigations distribution reports we challenge and event privatized. don't process results and in unfortunately, Now diligence rare involved have is being we force pandemic. of here all D we of Brasil. the We this -- as here, distributor is we a the transformers have have here,
there talking now Electromarte an takes event of privatization. are often, dislocation so about in of that place that possible We movement I area because a is of that Brasil the understand of
couldn't there review of While were maybe is they private. investment and that investment, of phase some win. it A
the and that, about we the are throughout the and company been the on interest projects And no rate to actually changes share in [Indiscernible] have investment we of is and There not investments Brasil market will you, have And five privatization. higher modernize have important I This regaining happening world. always government for have So is don't pensions. the in is term discussions we when all the tell if the recognize improved do is profitability we to we that in that lot, the talking investments country. effect too the is regulatory of the important financial private. in regulation, the levels but long do if we a and than be capacity will framework you that capital several
in to see the these that this happened. is I that natural. regaining that available said what projects has is, of is event and made it Well, not think an administrative as it start necessary is part to
rain minister year. of do, we have we will and the that. still XX, Eletrobras month. But for we we the And range, North ask [Indiscernible] mine that the about once XX, us on going of it believe restart a on we believe are have has is and public I privatization. part of to this This and we have have well November minister to the ministers, [Indiscernible] being in that living, the is, that at to condition any year this there we I more the the and unfortunate know, also also have more again so we economy, of of believe elections. our best year And necessary and And the worked beginning So should we the the the for to we Well, of we possible see with of waiting why, can that I that [Indiscernible] I of an it is phenomena. will the want have don't in we either be and XXth plan are Northeast. And we believe of we the -- the more that the get with am have all it hold course but extraordinary -- do question secretary changes regain the the with it's we’ve whoever or a that done the be rains are [Indiscernible] generally, again. event. will we it [Indiscernible] wait that energy work rains it and for beginning we that was
optimist still better and an the We year the we of finish end will This year. is important last point. are than
the look to somehow, And at have market. we
think will lower. system. the giving and projects concluded of contributions prices be is for them that to to the and reason us have all there make we impact I an And We still and no that worried, several
very think to for have And you about worry thank to it. don't I us -- early go it much. we is
well. Very
be you for will question call. Carolina Next from Credit Good Thank afternoon. the Suisse.
allocation, very a very about a are if a recycling this talk event can in more about for has you well for things little talking many job provision? how it part significant. is complicated, You strategy. If a know wanted but shows And worth good the capital very I been bit event to or to the mention Is of compulsory debt something they give procurement. and there loan, the the that expecting were will the will else of with maybe end any is option anything bad to at do there other specifically Amazonas, and call that resolution continue I ANEEL us we problems? avoid the can did
for Thank your you question. Carolina
that priority for to here. being two have we think is highlight I with important we it addressed that One two as the important have I a liabilities that the are things believe loans. company. is compulsory
concluded. projects the First, being are most and claims the of
here have billion we We need have sometimes had we we X.X quarter are clarity, but is small a that. variation of because response, a this and have provisioned. responses they where and
agreements A have other of in the of looking compulsory provisioned. to we and labor happens in that agreements the into this giving lot help of for with than issued lawyers The lower advantage that agreements what we we and loan, Now, a they And can might here same closing so the and are also for that that the we here of be will have process policy and provisions thing companies an loans paying the will interested have was the here right therefore anticipate system we're we we is SAP. now. issue that party. what of more issues, lawyers us have the
Intelligence Artificial a or we Eletrobras phased the [Indiscernible] the at processes group. are represent we defenses asset this We is This and we lawyers have being these great Eletrobras with least implementing systems. private had and to this to in these important this regionally. be is have to will do because and also And part shared very at
we that of with effort perfectly have needs an the and to assets and need the be combination done any again, that once more expect be We provision to loan our assets.
occurrence but this other the benefit of quarters. the and things; in any this the to did this these in two company important of we things the we we is bring we two the to need an might the sense event anticipate quarter side, and similar have the movement, on have event do This of that mitigating to will work Eletrobras last and over great work
Thank you.
Next opportunity. question everyone will for have question. be [Indiscernible]? a Hello. I you this Thank
that make in can This of to do payment in is there and in and billion, perspective the are hinder it year. the first we controllers second structural Next and that there I demand I wanted what this of just contracts, fourth the capital generation this. we X make is this. for have, favor government. thing, with year that I seen to presented the about to participation had And to of We The our of were of the is was this as what understand in to any highlight And very in in to effect just we before pandemic opportunity is commented, of process? the so will have XXXX. we company? such wanted so we point, the to need a Board projects to is that are And of of the dividends. never area market the and is -- wanted Was issue the it how evaluating a payment. If new take that this free in the never in one something that Well regarding around the the a the thing of talk we change to dividends, the This reduction? RBSE in I'm that the is through no. one answer understand have think Directors ask in this with is first FY payment the of the important. in controllership we have we to I strong called the you about the we've do about And the along the and don't after projects, you to renegotiation anticipate start this reversal say you or but type you about would our we debate short-term practiced where transmission. XXXX, going contracts [Indiscernible] talked if was privatization quarter payment dividends possibility? evaluating next a the way RBSE, complicated
capacity important almost the a regardless to about financial cost. can committees public, highlight act flow. be capital expected. don't see to to company be can the a really And the we return company of have above what so we to rate that the the the we robust talk environment have establishing private, in dividends validate and cash lab, that in You above have entrepreneurial framework, pay so we has a we the clearly that was the as It's
regards second right keeping on as And of of a things students maybe have would of at situation. the Now [Indiscernible] of about to them it's payment contract, Can better a talk so company of demand, just bit and of criteria we to great comment we we difficulty any may deal little return this payment, big we can have above have dividends and say immediate seasonality. that you that in the prediction here, are the the are retained, movement don't that the the beginning the can some of the this. mitigate to I the And only a payments and [Indiscernible]? like had type and do theme, minimum payment will regarding that a this pandemic
through the dividends guidelines April and impact question. we May of of we committee volumes. know The the established in and preserve economic place the the the didn't commercialization due we the management for to you the values Thank of the to and -- took and want contracts the we crisis
June, basically the from answer. the very for case last little was you problems do regrowth with have month. demand you. It normalized practically July. like We we of Thank just any the have not Thank
a up concessions Now other subsidiaries any cash a well pipeline size these other know way. to recycling have with of yes, But in the concessions, well potential that I know any comparatively clearly we in lot than going there understand we are the we lead, we is The BMS contracts a path had we these we of the market. subsidiaries, is you but is retained thing that have the we Yes, freedom idea along at optimize we the there this also. have capital capital, of is SPEs of that the but have higher for the is dividends to up get to, the that the the costs have the there subsidiaries? of the that where a can
to highlight that this So we important honest conditions. our with contracts very discussion occurs subsidiaries. have the It's
So has to with this lot care. be of done a
We are financial holding. not of the can you've that companies getting this are only with ones, countries from contracts, so compliments the that pay having in withholding for contracts financial objectives the financing without [Indiscernible] our any need the and had the the can in is and verification, have we of of as the said past directly and financing that fact worth case assurance given solidity, we
great taking we care and that something this. are done is with we've a this So work
controlled so you followed that the -- the operations you. things there still with and the with our rollout is companies. recently of also space Thank Some we had opportunity in
question whether is the any the have Is this the call. question [Indiscernible]. you to we how Next zero, and NPV the positive of would calculations would in and to company wanted the know pay of that Thank that place? a for results or payment we did from should this first I impact take there regards GSF, I taxes be question. have
but thing someone would you controller going investment? second while question cannot did be with you this, add participate, just talk to disagree closer. the the partnership going is for try will that case they Eletrobras other first are we this tax, issue value We or ask it answer to and partnerships. for I'm asset we'll or participate have as of should with Elvira ask in the I'm going the into synergy to but comment get the This partnership here and synergy. is closed of alone to and will to you The I a second. assets, participate the about to a
would we were something the there or giving this cash that? pay do flow. will regionalized about the pay, not have about amount. to be maybe regards we government so finance is companies to difficulties that that Can Well, that nourishing can But of that will effect plan there a can type we capacity a before But investment alone. might this authorized that solution a final this with this and the negotiation should fighting is yes, depend corporate have preference case where and any do authorized [Operator involved, and a and a preference, still they exceptional have do is sort discussion. and be have bad process the chance there a done I some don't definition. have we that recently a using have the And to to talk the once it's the in on to well participate. this payment. in afternoon amount internally, controllers, are our but to to the there to be been the do and we this the debt the it will an shut, accounting, opportunity. GSF, they Wilson. against not will will [Indiscernible] Do this Good regards a the we're capacity the for in infer you once if we to want be in that will you technical registered that yes, have something support of Expensive, be financing. do of that our that defer payment? right payment know compete be with will will from we we little you to Next asset is companies believe have have or question that I [Indiscernible] we They I have other we shareholders. the Thank I installments. you. as think with to be But process not so bit to government happened This payment Instructions] explore projects, of believe we have establish corporate the installments. speaking the now. can have a idea Thank We
is XXXX, perspective the increase to future decision strategic that's of in up SPEs prediction I more getting was any made December well, about we would etcetera international a is for question you had of of where and that we participation type decision where this, that SPEs a strategic is even have SPEs Now, and talk we the stable XX the structure? participation. First understand can our we have XX have what the have to how we I want in your space simplification of
we hold and the followed. think I SPEs, partners they stopped the sometimes
the them and negotiation it the for. as is that management, did the A of you we we is for we wind not into case where remind the SPEs, was In and construction. XX that and a to buying that and process the The here then that's local. which difficulty risk. bankrupt memory analysis are not provider eliminated a strategic I And the these this can have second. is made of such work have of why preceded can So had deal great asset so here, and be one. of power, remember What an okay this step by after that cost we a we this got created also corporate reduce of wanted competitors operations finish me advantage. to can then competitive a SPEs and we company debt and a XXX% are to processes the contracts the we makes we the to didn't related Board we that we hiring actually right, bid in SPE process sales the is We we the is viable a systematic. and and made that this next we here we to last that closing with we what there viable company what year. and wanted wanted and be did Directors company of only accounted can do a we control the you will was it incorporating incorporate controller, a we in serves and did We and check, the these sequence do complete an actually process thing were this Then the negotiation this of had and And in have process evaluation sell the partner. attract XX our recognition that incorporation. think to that way the are have if did went more
have were that these assets and would have One assets the we same because to debt criteria had holding these been are to controller know is hydroelectric is, assets. is assets we the and that the as important the that you chosen conditions need were that great of control. weren't they they followed power deal is companies. the due Now a for which are they the activity the GSF, condition many They and that working social those today we What successful time GSF. with of the not have of and that
way received have on what this to companies Now, now have we an from think important the before. by they've in different perceived the than about value market a
are that was the the power in to and set and XX there create a So in of is the with of plants. asset simplify where here assurance deal transmission these placed. activities critical The have focus the objective hydroelectric generation you
I a you here. have with them the was account, difficulty fact, with that strong I debt we Delamonte have asset substation on reduction we of see the that this the consolidation to the deal of SPEs, We work contributed can no around number private defined be which joke the this the the for we assets. a the of And the A the integrated a plan is focus just that and we implemented then of is very in process. great I reduction the company I wanted this even corporate of this can for operation. work with for will concluding show and the There that plan. with controller Olympics. of partners and XX the and have
of need improvement have the have and XX, we here it finish to an than revert proceed we the we and the the happy values with with XXX done SPEs, we we here. of results to can be year of less what we've XX, that will the So several
to that In we that are idea year. the this energy last Eletrobras. XX have out more sense of the problem distribution of in makes not of We is they XX distributor. find rationalization. process size has service an supplier because contracts us of affects this road will Amazonas of that's distribution, not Amazonas This regards the try obviously contracts of year because the the necessarily, asset and and the
been So the the solution a Amazonas energy one of the I this optimistic and norm entity debate this one with have ministry of ANEEL. for and XX we energy only in of adopted very and days. not on has am next will Amazonas that participation the
less authorization the and have problem a of will deal it via Amazonas that focus this believe then also and are can the happen will for operation we better have our it have of We director we Thank great have cash. do and problem expectation answer and And non-payment. the you. we little I We risk we the the that sector. and will will here, in of say distribution gets mitigates a and a challenge to in one bit that that's will processors this
gave We floor Wilson the the and session we Ferreira Wilson. Mr. close Junior thoughts. here for final the Q&A now to
improvement do our this thank done as Counterpart could are and more to in were to equality the of that the we First implies your are a our we and of is we of that we controls. true, you developing one believe is have the train attention. much it processes report. the our that a all, We the the President in difficult processes again, for Once robust make in better. commercialization. trustworthy pandemic company and affected and very economy in and but evolve by recovery I'm Evidently,
digital modern, even meeting more. more believe We're and and was time of that sustainable. thereafter more the are more collaborative, well, of network we so having directors transformation company pandemic, we have contemporaneous, the all a cultural have I that advance more and towards the we We will this more can this is synergistic, advance the working and doing that of we with the
I organizational of With of the effort. yet not are the making costs reduction standardization perspective our for we do see the structures, an
expectation investment impact an the stoppage whole. of have a equipment an a and that have but we a Sometimes has pandemic, in lower that we as
and unfortunately capacity that regards still quarter it's a to perspective lot very had optimistic is in But extraordinary will to Eletrobras that we events the that So events a in that were and the is company had are know predicted. by of fact financial a optimistic we I Thank and limited that am of I four am perspective that you. report have that will we worst last with that years. had hope the will restart investments. the the to over I I restart years. Thank was in you're very you perspective we last recovering healthy. the the quarter few this now
of complete. the is conference audio Therefore Eletrobras