Eletrobras has profit of BRL 3.6 billion in 2022 – 03/14/2023 – Market

Eletrobras recorded a profit of BRL 3.6 billion in 2022, the year in which it started to operate as a corporation without a controlling shareholder. The result is 36% lower than that seen in 2021 and, according to the company, was impacted by an increase in provisions and lower results from controlled companies.

In the fourth quarter, the second full quarter after its privatization, the company had a loss of BRL 479 million, with provisions of BRL 2.5 billion for losses with Amazonas Energia, BRL 1.2 billion for expenses with the new plan dismissal and R$ 900 for privatization obligations.

In the balance sheet released at the end of this Monday night (13), the company’s management says that “the year 2022 is the second most crucial in the history of Eletrobras, preceded in importance only by 1962, the year in which the company was founded “.

“The company’s capitalization process, concluded last year, represents a second foundation, six decades after the first, and was fundamental to make the company better prepared to face the systemic changes that are underway in the Brazilian and global energy sectors. “

The letter to investors, signed by the presidents of the board of directors, Ivan Monteiro, and of the company, Wilson Ferreira Junior, reinforces the defense of privatization, which is questioned by president Luiz Inácio Lula da Silva (PT) and his political base.

“This process made us stronger and more confident in the enormous potential of our company, making it possible to resume investments in favor of the company’s growth, which will be able to renew itself and compete to consolidate itself as one of the largest clean energy companies in the world”, say the executives.

Eletrobras even increased investments by 20% in the year, to R$ 5.6 billion, but the increase was due to the purchase of a stake in the Santo Antônio hydroelectric plant, which cost R$ 1.5 billion.

At this time, says the company, the focus is on restructuring its activities, implementing new strategies and cleaning its balance sheet, which led to an increase in provisions for possible losses due to default or legal proceedings also in the third quarter.

At the time, R$ 470 million were provisioned for possible losses due to default by Amazonas Energia and R$ 588 million for possible loss in a lawsuit against Chesf for delay in a transmission line.

In order to reduce costs, Eletrobras launched a new voluntary dismissal plan for retired employees or those who will reach the conditions to retire by April 30, 2023. There are 2,312 workers in this condition both at the holding company and at its subsidiaries.

The company estimates that the plan will cost R$ 1 billion, with the discharge of rights and incentives, such as the payment of nine salaries and expenses equivalent to three years of health plan and one year of food allowance.

On another front, Eletrobras announced last week a selection process with 832 vacancies for hiring professionals for its subsidiaries.

The objective, says the company, is to have “a staff with a rich composition of young talents and experienced professionals, encouraging the exchange of experiences and learning”.

In 2022, Eletrobras had net operating revenue of BRL 34 billion, practically stable compared to the previous year. Ebitda, an indicator that measures a company’s cash generation, fell 18% to R$11.4 billion.