Central Puerto beats Q3 estimates with strong fuel margins

Central Puerto S.A., Argentina's leading private power generation company, exceeded expectations in the third quarter, reporting adjusted earnings per share of $0.25 and revenue of $532.4 million, a remarkable 157.6% increase from $206.7 million in the same period last year. Shares rose 0.20% in after-hours trading. Revenue growth was primarily due to a 192.2% YoY increase in spot thermal revenues to $289.8 million, driven by winter season pricing and fuel margins from self-procured fuel.

The company self-generated 3.96 million cubic meters of fuel daily, accounting for 55.3% of total fuel usage. Total generation reached 4,791 GWh, a 5.6% YoY rise, aided by higher hydro output at Piedra del Aguila and the Brigadier Lopez combined cycle unit's expansion. Adjusted EBITDA grew by 70.3% YoY to $185.3 million. Management remains on course to hit its full-year 2026 adjusted EBITDA target of $500-550 million, with YTD adjusted EBITDA at $451.0 million as of September 30, 2026.

Capital expenditures totaled $36.7 million, mainly spent on Battery Energy Storage System projects and maintenance. As of Q3, net financial debt stood at approximately $343.7 million, with a net leverage ratio of 0.72x adjusted EBITDA.