Operating Costs
R$ Thousand
|
2Q21
|
2Q20
|
Variation (%)
|
Analysis
|
Energy Purchased for Resale
|
-148,340
|
-140,330
|
5.7
|
The variation is mainly due to: (i) a 4% increase in the average acquisition price, increasing the cost by R$5.7 million; (ii) positive variation in energy purchased through the MCP (Short-term market), mitigated by tax and financial effects of the PIS/COFINS discount, which accounted for an increase of approximately R$1.9 million compared to 2Q20. The company has four purchase contracts, three of which for PPAs celebrated with companies in which CGT Eletrsoul holds or has previously held an equity interest. In the event of a deficit in any of the generating units, these contracts could be supplied without the need to purchase additional energy.
|
Charges upon use of electricity network
|
-13,756
|
-12,134
|
13.4
|
The variation is mainly due to: (i) readjustment of tariffs for the use of the transmission system determined by ANEEL Resolution No. 2726/2020 (cycle 2020/21) of 1.88%, comprising inflation (IPCA + Component location); and (ii) readjustment of tariffs for the use of the distribution system with specific dates for each distribution company.
|
Construction Expense
|
-25,180
|
-26,851
|
-6.2
|
The variation is mainly due to: (i) a drop in the volume of investment in transmission projects, linked to Aneel's authorizing resolutions and improvements to the existing system, being built by the company in the comparative period.
|
Fuel
|
-43,381
|
-26,395
|
64.4
|
The variation is mainly due to: (i) stoppage of the Candiota III unit, throughout April/2020, which led to 75% higher generation in 2Q21 compared to 2Q20; (ii) mistaken entries of mineral coal in 2021 in the Supply item which adjustment was made in June/2021 retroactive to January, thus, 2Q21 values ​​increased the realization of this item in 2Q21 by R$3.7 million; (iii) Asset values ​​(deducting the expense) of BRL 10.4 million were transferred, as an adjustment, from the grant item received, which are related to adjustments between the movements of coal entries and not to reimbursements actually received, and out of this amount, R$4.9 million are non-recurring, as they refer to 2Q21, but contributed to reduce the expense in 2Q21.
|
(-) Expenses recovery - Grant received
|
2,616
|
21,601
|
-87.9
|
The variation is mainly due to the following reasons: (i) in 2020, the reimbursement of all the fuel purchased was being registered regardless of the amount actually reimbursed and the difference was recorded in an asset account, understanding that has already changed, with the amounts duly adjusted, in September 2020 after the publication of Order No. 2616/2020 by ANEEL, bringing a new definition on the subject. (ii) In 2021, adjustment values ​​that should have been recorded in the Fuel item were mistakenly in the Reimbursement item which regularization occurred in June/21 with the transfer of R$ 10.4 million in credits to the fuel account, of which R $4.9 million related to 2Q21, reducing the amount of this item in the period. If we do not consider what was mentioned in item (ii), the amount of this item in 2Q21 would have been R$7.7 million, an amount effectively reimbursed in the period.
|
Depreciation and Amortization
|
-59,728
|
-58,806
|
1.6
|
The variation is mainly due to: (i) addition of new assets that offset the amortization of existing assets.
|
TOTAL Custos Operacionais
|
-287,769
|
-242,915
|
18.5
|
|
|
|
|
|
|
Operating Provisions
R$ Thousand
|
2Q21
|
2Q20
|
Variation (%)
|
Analysis
|
|
-96,482
|
-320,158
|
-69.9
|
The variation is mainly due to: (i) in 2Q20, there was a record of overpaid amounts in RAP (Annual Allowed Revenue) in cycles 2018/2019 and 2019/2020 due to the delay in the Periodic Tariff Review of the renewed contract in the amount of R$223.9 million, without occurrence in 2Q21;
(ii) provision for inflexibility in the amount of R$59.7 million in 2Q20, which effective reimbursement has been occurring in 2021, and for availability in the amount of R$5.6 million due to the shutdown of TPP Candiota in April/2020 ;
(iii) Regarding contingencies, in 2Q20, labor provisions were set up and adjusted in the amount of R$50.2 million, while in the same period of 2021, adjustments were of R$90.8 million. The respective adjustments refer to changes in the probability of loss, write-offs in judicial deposits and updates to the provisioned balance, of several lawsuits in progress;
(iv) Provision for losses on investments at fair value of assets held for sale (SPE Livramento) in the amount of R$20.2 million; and, after recording a business combination, reversal of a provision for loss of investments in SPE FOTE, in the amount of R$23.9 million.
(v) Reversal of Impairment of the Santo Cristo SHP, in the amount of R$ 20.2 million, in 2Q20 due to the non-continuity of the project, causing the respective write-off of assets, impacting the item of other operating expenses.
|
|
|
|
|
|
Financial Income
R$ Thousand
|
2Q21
|
2Q20
|
Variation (%)
|
Analysis
|
Financial Income
|
52,932
|
18,659
|
183.7
|
|
Income from financial investments
|
8,064
|
12,741
|
-36.7
|
The variation is mainly due to: (i) reduction in the average profitability of investments, falling from 1.154% in 2Q20 to 0.639% in 2Q2021, according to IRFM-1.
|
Exchange variation gain
|
34,621
|
0
|
-
|
The variation is mainly due to: (i) reduction in the exchange variation of the dollar, which in the period changed from R$ 5.70 to R$ 5.00, while the euro varied from R$ 6.49 to R$ $5.92. In the same period of 2020, the exchange variation was negative due to the appreciation of the foreign currency, as the dollar changed from R$ 5.20 to R$ 5.48 and the euro from R$ 5.72 to R$ 6. 15. It is noteworthy that of the total amount of debt that the company has, 20.65% corresponds to foreign currency (dollar and euro) in the amount of 587 million in June/2021.
|
Other Financial Income
|
10,247
|
5,918
|
73.1
|
The variation is mainly due to: (i) monetary variation on amounts not settled by the CCCE (Brazilian Electric Energy Trading Chamber), referring to amounts not settled or defaulted by other sector agents (CCEE Settlement) in the amount of R$7.2 million in the 2Q2021, while, in the same period of 2020, the monetary variation was R$3.0 million. This difference is mainly explained by the higher IGPM in 2021, which was 8.78% accumulated in the three months against 2.34% in the same period of 2020.
|
Financial Expenses
|
-25,902
|
-80,963
|
-68.0
|
|
Debt Charges - Financing and Loans
|
-37,952
|
-41,489
|
-8.5
|
The variation is mainly due to: (i) the reduction in 2Q21 of charges associated with the FIDC, due to the amortization of the contract. The outstanding balance on 06/30/2020 was R$452.5 million and 06/30/2021 reduced to R$189.4 million, leading to a reduction in the charges of this contract by R$2.9 million;
(ii) On the other hand, in 2021 there was an increase in charges associated with debentures (contracted in 4Q20), which caused the debt balance to present an average balance of 7.5% between the periods; (iii) the increase in the balance was more than offset by the decrease in the average cost of debt.
|
Debt charges - suppliers
|
-2,384
|
-4,296
|
-44.5
|
The variation is mainly due to: (i) Energy installments not paid by CGT Eletrosul to Eletronorte in 2019, which payment has been being made in 36 installments since July/2020, and the reasons for the variation between the periods are: (a) reduction of the debt balance from R$153 million in Jun/20 to R$119 million in Jun/21; (b) retroactive registration in Jun/20 of the entire charge between Dec/19 and Jun/20 bringing to 2Q20 the amounts referring to 2Q20 and, therefore, non-recurring in the amount of R$ 2.04 million; Finally, (c) these two factors were offset by the charges of the contract with Eletronorte slightly higher in 2021, as they are linked to the CDI, which showed a slight increase of 0.73% per quarter to 0.79% per quarter between periods.
|
Leasing charges
|
-1,128
|
-1,141
|
-1.1
|
No relevant variation.
|
Charges on shareholders' compensation
|
-2,957
|
-415
|
612.5
|
The variation is mainly due to: (i) reversal of R$ 530 thousand resulting from improper updating of dividends in 2019, which occurred in 2Q20; (ii) change in the amount of dividends and interest on equity payable, of R$471 million in 2Q21, of which R$213 million paid in May/21, against R$110 million in 2020 (paid in September/20.
|
Monetary adjustment loss
|
-22,376
|
2,792
|
901.4
|
The variation is mainly due to: (i) the increase in the IPCA between the periods, from -0.43% in 2Q20, which generated a positive value, to 1.68% in 2Q21, impacting the monetary variation of the existing debts.
|
Exchange variation loss
|
48,003
|
-41,918
|
-214.5
|
The variation is mainly due to: (i) reduction in the exchange variation of the dollar, which in the period changed from R$ 5.70 to R$ 5.00, while the euro varied from R$ 6.49 to R$ $5.92. In the same period of 2020, the exchange variation was negative due to the appreciation of the foreign currency, as the dollar changed from R$ 5.20 to R$ 5.48 and the euro from R$ 5.72 to R$ 6. 15. It is noteworthy that of the total amount of debt that the company has, 20.65% corresponds to foreign currency (dollar and euro) in the amount of 587 million in June/2021.
|
Other Financial Expenses
|
-7,108
|
5,504
|
229.1
|
The variation is mainly due to: (i) in 2Q20, there was a reversal of the updating of the AFACs (Advance for Future Capital Increase) of the CGTEE developer made by the holding, in previous years, in the amount of R$9.8 million, with no occurrence in 2Q21 given the capitalization of AFACs upon incorporation; and (ii) negative present value adjustment of the Governador Jayme Canet Júnior Hydroelectric Power Plant, in 2Q21, in the amount of R$2.4 million higher than the same period in 2020.
|
Financial Result
|
27,030
|
-62,304
|
143.4
|
|
|
|
|
|
|
Equity
R$ Thousand
|
2Q21
|
2Q20
|
Variation (%)
|
Analysis
|
Equity
|
-17,956
|
-15,030
|
-19.5
|
The variation is mainly due to: (i) the increase in the remuneration rate of contractual assets, given that the respective assets are linked to IPCA. As a result, transmission SPEs showed equivalence in 2Q21 of R$4.9 million higher than the same period of the year 2020. However, the positive variation was partially offset by the higher volume of energy purchases from the SPE ESBR, triggering the deterioration of its equivalence in R$ 7.5 million. SPE Teles Pires presented a deterioration of R$ 344 thousand.
|
|
|
|
|
|
Income Tax and CSLL
R$ Thousand
|
2Q21
|
2Q20
|
Variation (%)
|
Analysis
|
Current IR and CSLL
|
-36,318
|
-27,110
|
34.0
|
The variation is mainly due to the following reason: (i) in 2Q21, the company obtained a tax result of R$153 million with tax credit and utilization of R$45 million reaching a calculation base of R$108 million, while in the 2Q20 the company had a tax result of R$108 million, however, with the use of a tax credit of R$32 million, the calculation base reached R$76 million. The improvement in the fiscal result mainly reflects the 20% growth in regulatory transmission revenue between the periods as a result of the incorporation of the payment of the controversial installment "Ke" of RBSE (Basic Network of the Existing System), which was under court since 2017 as of July/20. Another relevant factor for the improvement observed was the positive exchange variation of R$82.6 million, which boosted the fiscal result in 2Q21.
|
Deferred IR and CSLL
|
-51,473
|
398,451
|
112.9
|
The variation is mainly due to the following reasons: (i) In June 2020, R$ 292 million of deferred IR and CSLL credits (Assets) were recorded from CGTEE referring to previous periods; (ii) In 2Q20, R$ 320 million were recorded in the form of a provision, mainly related to the provision for inflexibility and unavailability of the Candiota III plant (R$ 65 million) and the recording of excess amounts received in RAP (Annual Allowed Revenue) in the 2018 cycles/ 2019 and 2019/2020 as a result of the RTP (Periodic Tariff Review) (BRL 223 million); (iii) in 2Q21, the significant result in corporate transmission revenue was the main factor for recording negative deferred taxes.
|
Non-controlling Shareholders
|
435
|
141
|
208.5
|
The variation is mainly due to: (i) reflections of the participation of minority shareholders in the consolidation of the investee SPE Livramento, in which CGT Eletrosul holds 78% and which had losses of R$ 2 million in 2Q21.
|