Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) (NYSE:EDN) Issues Earnings Results

Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) (NYSE:EDN) announced its quarterly earnings results on Friday. The utilities provider reported $0.72 earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.17) by $0.89, FiscalAI reports. The company had revenue of $772.70 million for the quarter, compared to the consensus estimate of $216.48 million. Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) had a net margin of 7.46% and a return on equity of 10.31%.

Here are the key takeaways from Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor)’s conference call:

• Tariff normalization continued to support results: third-quarter revenue rose 14% in real terms year over year, and nine-month EBITDA reached ARS 506 billion, up 58% excluding the prior-year CAMMESA settlement gain. Edenor also reported a 5% decline in nine-month operating expenses and a 95.08% collection rate.
• Service indicators improved to record lows, with third-quarter SAIDI at 5.3 hours and SAIFI at 2.7 outages per customer. The company attributed the gains to sustained network investment and technology upgrades.
• Energy losses increased to 16.3% over the last 12 months, which Edenor attributed to weather, tariff and subsidy changes, and weaker demand from large customers. Management said reducing losses remains a priority.
• Edenor’s accepted offer to acquire YPF’s 70% stake in MetroGAS remains subject to regulatory and government approvals, with closing expected before year-end. The company cited potential operating and commercial synergies, but said it will not operate MetroGAS until control transfers.
• Third-quarter net profit fell 25% year over year to ARS 43 billion, largely reflecting comparison with a prior-year quarter that included a CAMMESA settlement gain. Net financial expenses declined 10%, partly offsetting the pressure.

Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) Price Performance

Shares of NYSE:EDN traded down $0.03 on Friday, hitting $14.12. The company had a trading volume of 85,734 shares, compared to its average volume of 124,085. The company has a current ratio of 1.46, a quick ratio of 1.28 and a debt-to-equity ratio of 0.49. The company has a market cap of $638.70 million, a PE ratio of 3.37 and a beta of 1.46. Empresa Distribuidora Y Comercializadora Norte S.A. has a 52-week low of $13.80 and a 52-week high of $36.70. The business has a 50 day moving average of $20.91 and a 200 day moving average of $25.13.

Analyst Ratings Changes

Separately, Weiss Ratings cut shares of Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Friday, August 14th. One investment analyst has rated the stock with a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) has a consensus rating of “Reduce”.

About Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor)

Empresa Distribuidora y Comercializadora Norte SA, commonly known as Edenor, is an Argentine electric utility that distributes electricity to residential, commercial and industrial customers. The company operates and maintains the low-, medium- and high-voltage distribution network, manages customer connections and metering, and provides related billing and customer-support services.

Edenor serves the northern and northwestern areas of the Buenos Aires metropolitan region, including portions of the Autonomous City of Buenos Aires and surrounding municipalities in Buenos Aires Province.