Business Context and Reporting Period
Company: Central Puerto S.A. (NYSE: CEPU; BYMA: CEPU), the largest private power generation company in Argentina.
Reporting Period: Fourth Quarter 2025 (ended December 31, 2025) and Full Year 2025.
Filing Date: March 5, 2026.
Key Developments: The Company secured a concession extension for the Piedra del Águila hydroelectric facility through 2055 (bid: US$ 245 MM). The San Carlos solar farm (15 MW) reached commercial operation in November 2025, doubling installed solar capacity alongside the Cafayate acquisition. The Brigadier Lopez combined cycle (420 MW) achieved commercial operation in Q1 2026.
Key Financial Metrics
| Metric | 4Q 2025 | FY 2025 | FY 2024 |
|---|---|---|---|
| Revenues | US$ 172.8 MM | US$ 782.6 MM | US$ 671.3 MM |
| Adjusted EBITDA | US$ 84.7 MM | US$ 337.2 MM | US$ 288.0 MM |
| Net Income | US$ 0.4 MM | US$ 254.1 MM | US$ 52.0 MM |
| Adjusted EBITDA Margin | 49% | 43% | 43% |
| Capital Expenditures (FY25) | US$ 202.4 MM | ||
| Gross Debt (Dec 31, 2025) | US$ 337.8 MM | ||
| Net Financial Debt | US$ 106.3 MM | ||
| Net Leverage Ratio | 0.32x Adj. EBITDA |
Liquidity: Cash, cash equivalents, and current financial assets totaled US$ 231.5 MM as of December 31, 2025.
Material Changes vs. Prior Period
- Generation Volumes: Total generation in 4Q25 was 3,957 GWh, a 27% decline year-over-year (vs. 5,416 GWh in 4Q24) and 13% quarter-over-quarter. Full year 2025 generation dropped 14% to 18,598 GWh. Declines were driven by low hydrology at Piedra del Águila (-38% y/y) and maintenance at Central Costanera and Luján de Cuyo.
- Revenue Mix: While 4Q25 revenues fell 26% q/q, FY25 revenues rose 17% y/y. Energy sales represented 91% of total revenues. The increase was driven by spot price realignment and higher wind resources, partially offset by lower hydro generation.
- Profitability: FY25 Net Income surged 389% to US$ 254.1 MM compared to US$ 52.0 MM in FY24, largely due to a significant gain on net monetary position and fair value adjustments. 4Q25 Net Income was minimal (US$ 0.4 MM) due to non-cash inflation effects and lower operating income.
- Debt Financing: The Company signed a US$ 300 MM syndicated loan with the IFC in December 2025 to finance the Piedra del Águila privatization fee and a battery energy storage system (BESS) project.
Outlook, Risks, and Management Commentary
- Regulatory Transition: Thermal units without PPAs transitioned to Resolution No. 400/25 in November 2025, moving toward a Wholesale Electricity Market (WEM) normalization with spot market remuneration and Term Market (MAT) contracts. Approximately 11% of new TERM volumes were executed by Central Puerto in Q4.
- Maintenance Events: An unplanned full stator replacement is underway at Luján de Cuyo TG26 (47 MW), with the unit expected to return to service in H2 2026.
- Share Buyback: A US$ 20.0 MM share buyback program was initiated in September 2025. As of the filing date, US$ 2.54 MM had been utilized.
- Risks: Results are sensitive to hydrology, fuel costs, and regulatory changes. The filing notes that quarterly results include non-cash effects due to inflation exceeding currency depreciation, which may affect comparability of US$ converted figures.
Investor Verification Checklist
- Hydrology Impact: Verify the extent of the -38% year-over-year hydrology decline at Piedra del Águila and its projected impact on 2026 generation.
- Regulatory Framework: Confirm the stability of Resolution No. 400/25 and the execution rate of new Term Market (MAT) contracts for thermal assets.
- Debt Maturity: Review the maturity profile of the US$ 337.8 MM gross debt, specifically the new US$ 300 MM IFC loan terms.
- Non-Cash Adjustments: Scrutinize the reconciliation of Net Income to Adjusted EBITDA, particularly the "Gain (loss) on net monetary position" and fair value variations which drove FY25 Net Income.
- Maintenance Schedule: Monitor the timeline for the Luján de Cuyo stator replacement and its effect on H2 2026 capacity availability.