Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes _______ No ___X____.
São Paulo, August 10, 2011 – CPFL Energia S.A. (BM&FBOVESPA: CPFE3 and NYSE: CPL), announces its 2Q11 results. The financial and operational information herein, unless otherwise indicated, is presented on a consolidated basis and is in accordance with the applicable legislation. The financial statements are presented according to the new Brazilian accounting standards, fully adapted to all statements issued by the Accounting Pronouncements Committee (CPC) applicable to the operations of CPFL group, which are consistent with the international accounting practices – IFRS. Comparisons are relative to 2Q10, unless otherwise stated.
CPFL ENERGIA ANNOUNCES 2Q11 NET INCOME OF R$ 294 MILLION
Indicators (R$ Million) |
2Q11 |
2Q10 |
Var. |
1H11 |
1H10 |
Var. |
Sales within the Concession Area - GWh |
13,404 |
13,051 |
2.7% |
26,885 |
25,513 |
5.4% |
Captive Market |
9,680 |
9,761 |
-0.8% |
19,663 |
19,602 |
0.3% |
TUSD |
3,724 |
3,290 |
13.2% |
7,223 |
5,911 |
22.2% |
Commercialization and Generation Sales - GWh |
2,882 |
2,953 |
-2.4% |
5,873 |
6,015 |
-2.3% |
Gross Operating Revenue |
4,515 |
4,220 |
7.0% |
9,025 |
8,471 |
6.5% |
Net Operating Revenue |
3,045 |
2,868 |
6.2% |
6,068 |
6,068 |
0.0% |
EBITDA (IFRS)(1) |
815 |
791 |
2.9% |
1,834 |
1,773 |
3.5% |
EBITDA (IFRS+ Regulatory Assets & Liabilities - Non-Recurring)(2) |
877 |
755 |
16.2% |
NA |
NA |
NA |
Net Income (IFRS) |
294 |
360 |
-18.3% |
760 |
848 |
-10.3% |
Net Income (IFRS+ Regulatory Assets & Liabilities - Non-Recurring)(3) |
335 |
335 |
0.2% |
NA |
NA |
NA |
Investments |
325 |
433 |
-24.9% |
737 |
722 |
2.1% |
|
|
|
|
|
|
|
Notes:
(1) EBITDA (IFRS) is calculated from the sum of net income, taxes, financial result, depreciation/amortization and pension fund contributions;
(2) EBITDA (IFRS + Regulatory Assets & Liabilitites – Non-recurring) considers, besides the items mentioned above, the regulatory assets and liabilities, and excludes the non-recurring effects;
(3) Net Income (IFRS + Regulatory Assets & Liabilitites – Non-recurring) considers the regulatory assets and liabilities and excludes the non-recurring effects.
NA = Not applicable.
2Q11 HIGHLIGHTS
· Increase of 2.7% in sales within the concession area;
· Annual Tariff Adjustments for CPFL Paulista (6.11%), effective as of April 8, 2011, and for RGE (8.58%), effective as of June 19, 2011;
· Announcement of 2 new biomass projects by ERSA’s’ subsidiary - Alvorada Thermoelectric Facility (50 MW) and Coopcana Thermoelectric Facility (50 MW), with R$ 311 million of projected investments;
· Approval (by Aneel, BNDES, Cade and financial institutions) of the joint venture between CPFL Energia and ERSA and of the incorporation of CPFL Renováveis, concluded in July 2011;
· Distribution of R$ 748 million of dividends related to 1H11. Dividend yield of 6.0% for the last 12 months;
· R$ 3.8 billion funding for debt rollover and new projects;
· Conclusion of CPFL Energia’s simultaneous stock reverse split and split on June 29th, in the BM&FBOVESPA, and on July 6th on NYSE;
· CPFL Brasil was elected as the Best Company in the Brazilian Electricity Sector for its 2010 Results, by the Melhores e Maiores Exame magazine;
· IBEF award of 2011 Sustainability in Corporate Governance (CPFL Energia);
· Appreciation of 10.6% of CPFL Energia’s shares price on the BM&FBOVESPA in 1H11, outperforming the Ibovespa (-10.0%) and the IEE (10.4%).
Conference Call with Simultaneous Translation into English | Investor Relations |
(Bilingual Q&A) | Department |
• Thursday, August 11, 2011 – 11:00 am (Brasília), 10:00 am (EST) | 55-19-3756-6083 |
Portuguese: 55-11-4688-6361 (Brazil) | ri@cpfl.com.br |
English: 1-888-700-0802 (USA) and 1-786-924-6977 (Other Countries) | www.cpfl.com.br/ir |
• Webcast: www.cpfl.com.br/ir |
2Q11 Results | August 10, 2011 |
INDEX
1) ENERGY SALES |
3 |
1.1) Sales within the Distributors’ Concession Area |
3 |
1.1.1) Sales to the Captive Market |
3 |
1.1.2) Sales by Class – Concession Area |
4 |
1.1.3) TUSD by Distributor |
4 |
1.2) Commercialization and Generation Sales – Excluding Related Parties |
4 |
|
|
2) ECONOMIC-FINANCIAL PERFORMANCE |
5 |
2.1) Operating Revenue |
5 |
2.2) Cost of Electric Energy |
5 |
2.3) Operating Costs and Expenses |
6 |
2.4) Regulatory Assets and Liabilities |
7 |
2.5) EBITDA |
8 |
2.6) Financial Result |
8 |
2.7) Net Income |
8 |
|
|
3) DEBT |
9 |
3.1) Financial Debt (Including Hedge) |
9 |
3.2) Total Debt (Financial Debt + Hedge + Debt with the Private Pension Fund) |
11 |
3.3) Adjusted Net Debt |
12 |
3.4) New Funding |
12 |
|
|
4) INVESTMENTS |
12 |
|
|
5) CASH FLOW |
13 |
|
|
6) DIVIDENDS |
14 |
|
|
7) STOCK MARKET |
15 |
7.1) Share Performance |
15 |
7.2) Average Daily Volume |
16 |
7.3) Ratings |
16 |
|
|
8) CORPORATE GOVERNANCE |
17 |
|
|
9) CURRENT SHAREHOLDERS STRUCTURE – 06/30/2011 |
18 |
9.1) Stock Reverse Split/Split and ADRs Ratio Change |
18 |
9.2) Joint Venture between CPFL and ERSA and Creation of CPFL Renováveis |
19 |
|
|
10) PERFORMANCE OF THE BUSINESS SEGMENTS |
20 |
10.1) Distribution Segment |
20 |
10.1.1) Economic-Financial Performance |
20 |
10.1.2) Tariff Adjustment |
23 |
10.2) Commercialization and Services Segment |
25 |
10.3) Generation Segment |
25 |
10.3.1) Economic-Financial Performance |
25 |
10.3.2) Status of Generation Projects |
27 |
10.3.3) ERSA – Two New Projects of Energy Generation from Biomass |
28 |
|
|
11) ATTACHMENTS |
29 |
11.1) Statement of Assets – CPFL Energia |
29 |
11.2) Statement of Liabilities – CPFL Energia |
30 |
11.3) Income Statement – CPFL Energia |
31 |
11.4) Income Statement – Consolidated Generation Segment |
32 |
11.5) Income Statement – Consolidated Distribution Segment |
33 |
11.6) Economic-Financial Performance – Distributors |
34 |
11.7) Sales to the Captive Market by Distributor (in GWh) |
36 |
Page 2 of 36
2Q11 Results | August 10, 2011 |
In 2Q11, sales within the concession area, achieved by the distribution segment, totaled 13,404 GWh, an increase of 2.7%.
Sales within the Concession Area - GWh | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
1H10 |
Var. |
Captive Market |
9,680 |
9,761 |
-0.8% |
19,663 |
19,602 |
0.3% |
TUSD |
3,724 |
3,290 |
13.2% |
7,223 |
5,911 |
22.2% |
Total |
13,404 |
13,051 |
2.7% |
26,885 |
25,513 |
5.4% |
Sales to the captive market totaled 9,680 GWh, a decrease of 0.8%.
The energy volume in GWh consumed by free customers in the distributors’ operational areas, billed through the Distribution System Usage Tariff (TUSD), rose by 13.2% to 3,724 GWh, reflecting the migration of customers to the free market.
Captive Market - GWh | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
1H10 |
Var. |
Residential |
3,256 |
3,187 |
2.2% |
6,716 |
6,471 |
3.8% |
Industrial |
2,627 |
2,941 |
-10.7% |
5,193 |
5,772 |
-10.0% |
Commercial |
1,935 |
1,868 |
3.6% |
4,034 |
3,858 |
4.6% |
Others |
1,861 |
1,765 |
5.4% |
3,721 |
3,501 |
6.3% |
Total |
9,680 |
9,761 |
-0.8% |
19,663 |
19,602 |
0.3% |
Note: The captive market sales by distributor tables are attached to this report in item 11.7.
In the captive market, emphasis is given to the growths of the residential and commercial classes, which jointly accounted for 53.6% of total consumption by the distributors’ captive consumers:
· Residential and commercial classes: up by 2.2% and 3.6%, respectively, negatively impacted by fewer billing days (on average minus 2.4 and 2.1 days, respectively) and lower temperatures in the quarter (specially in June 2011). Excluding these factors, the growth of these classes would have been 6.6% and 7.3% respectively, favored by the accumulated effects of economic growth (increase of income levels, purchasing power of consumers and credit concessions) over recent years.
· Industrial class: down by 10.7%, due to the migration of customers to the free market.
Page 3 of 36
2Q11 Results | August 10, 2011 |
TUSD by Distributor - GWh | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
1H10 |
Var. |
CPFL Paulista |
1,849 |
1,619 |
14.2% |
3,591 |
2,844 |
26.3% |
CPFL Piratininga |
1,457 |
1,370 |
6.4% |
2,806 |
2,501 |
12.2% |
RGE |
366 |
259 |
41.5% |
722 |
497 |
45.3% |
CPFL Santa Cruz |
5 |
5 |
-0.1% |
9 |
8 |
7.1% |
CPFL Jaguari |
11 |
20 |
-45.6% |
27 |
33 |
-18.7% |
CPFL Mococa |
- |
- |
0.0% |
- |
- |
0.0% |
CPFL Leste Paulista |
11 |
- |
0.0% |
21 |
- |
0.0% |
CPFL Sul Paulista |
25 |
18 |
36.7% |
47 |
28 |
70.6% |
Total |
3,724 |
3,290 |
13.2% |
7,223 |
5,911 |
22.2% |
Commercialization and Generation Sales - GWh | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
1H10 |
Var. |
Total |
2,882 |
2,953 |
-2.4% |
5,873 |
6,015 |
-2.3% |
Note: Exclude sales to related parties and in the CCEE. Considers Furnas (Semesa) and other generation sales outside the group, except Epasa’s sales (availability contract).
In 2Q11, commercialization and generation sales moved down by 2.4% to 2,882 GWh, mainly due to the decrease in sales through commercialization’s short-term bilateral contracts, effective in 2010. However, the sales to free customers rose, due to the increase in the number of customers in the portfolio this year (from 98 to 130).
Page 4 of 36
2Q11 Results | August 10, 2011 |
Consolidated Income Statement - CPFL ENERGIA (R$ Thousands) | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
2H10 |
Var. |
Gross Operating Revenues |
4,515,489 |
4,220,035 |
7.0% |
9,025,253 |
8,470,817 |
6.5% |
Net Operating Revenues |
3,044,857 |
2,867,559 |
6.2% |
6,067,641 |
5,746,284 |
5.6% |
Cost of Electric Power |
(1,524,451) |
(1,509,474) |
1.0% |
(2,943,113) |
(2,916,782) |
0.9% |
Operating Costs & Expenses |
(883,515) |
(713,953) |
23.7% |
(1,633,482) |
(1,343,719) |
21.6% |
EBIT |
636,891 |
644,132 |
-1.1% |
1,491,046 |
1,485,783 |
0.4% |
EBITDA |
814,571 |
791,320 |
2.9% |
1,834,484 |
1,772,976 |
3.5% |
Financial Income (Expense) |
(182,050) |
(84,124) |
116.4% |
(313,156) |
(166,131) |
88.5% |
Income Before Taxes |
454,841 |
560,008 |
-18.8% |
1,177,891 |
1,319,652 |
-10.7% |
Net Income |
294,083 |
359,770 |
-18.3% |
759,958 |
847,633 |
-10.3% |
Gross operating revenue in 2Q11 reached R$ 4,515 million, representing an increase of 7.0% (R$ 295 million). Excluding the revenue from building the infrastructure of the concession (which does not affect the results because of the related cost, in the same amount), gross operating revenue would have amounted to 4,265 million, an increase of 7.5% (R$ 298 million).
Deductions from the operating revenue were R$ 1,471 million, representing an increase of 8.7% (R$ 118 million), mainly due to the following upturns: (i) taxes on revenue (R$ 60 million); (ii) CCC and CDE sector charges (R$ 54 million); and (iii) amounts related to the R&D and energetic efficiency program (R$ 13 million). The increase in the deductions from the operating revenue was partially offset by the following downturns: (i) amounts related to Proinfa (R$ 5 million); and (ii) global reversal reserve - RGR (R$ 4 million).
Net operating revenue reached R$ 3,045 million in 2Q11 an increase of 6.2% (R$ 177 million). Excluding the revenue from building the infrastructure of the concession, net operating revenue would have amounted to 2,794 million, an increase of 6.9% (R$ 180 million).
The upturn in operating revenue was mainly caused by the following factors:
· Tariff adjustments of the distribution companies;
· Increase of 24.0% (R$ 63 million) in the gross revenue of TUSD from free customers, mainly due to the migration of captive customers to the free market;
· Additional net revenue, in the amount of R$ 66 million: (i) from Chapecoense, due to the beginning of the contract of Foz do Chapecó Hydroelectric Facility in October 2010; (ii) from CPFL Bioenergia, due to the beginning of the operations, in August 2010; and (iii) from Epasa conclusion in January 2011.
The upturn in operating revenue was partially offset by the 0.8% reduction in the sales volume to the captive market.
The cost of electric energy, comprising the purchase of electricity for resale and charges for the use of the distribution and transmission system, amounted to R$ 1,524 million in 2Q11, representing an increase of 1.0% (R$ 15 million):
· The cost of electric power purchased for resale in 2Q11 was R$ 1,216 million, representing a decrease of 0.1% (R$ 1.4 million), due to the following effects:
Page 5 of 36
2Q11 Results | August 10, 2011 |
(i) Decrease in the cost of energy from Itaipu (R$ 25.4 million), due to the reduction of 12.7% in the average purchase price, caused by the lower foreign exchange rates, partially offset by the increase of 3.1% (81 GWh) in the volume of purchased energy;
(ii) Decrease in the cost of energy purchased through bilateral contracts (R$ 13.8 million), caused by the reduction of 9.4% (878 GWh) in the volume of purchased energy, partially offsed by the increase of 8.9% in the average purchase price;
(iii) Decrease in the PROINFA cost (R$ 2.8 million), due to the 51.0% (135 GWh) reduction in the average purchase price, partially offset by the increase of 91.5% in the volume of purchased energy.
Partially offsetting:
(i) Increase in the cost of energy purchased in the short term (R$ 38.4 million), due to the rise in the average purchase price and to the rise of 131.6% (630 GWh) in the volume of purchased energy;
(ii) Decrease in Pis and Cofins tax credits (R$ 2.2 million), generated from the energy purchase.
The net reduction of 302 GWh in the volume of purchased energy is due to the increase of purchases within CPFL Group.
· Charges for the use of the transmission and distribution system reached R$ 309 million in 2Q11, a 5.6% increase (R$ 16 million), mainly due to the following factors:
(i) Increase in the basic network charges (R$ 18 million), due to, among other factors, the amounts due by Epasa related to 2010 (R$ 6 million) – non-recurring item;
(ii) Increase in the connection charges (R$ 5 million);
(iii) Increase in the charges for the use of the distribution system (R$ 3 million);
(iv) Increase in the system service usage charges - ESS (R$ 1 million);
(v) Reduction in the Pis and Cofins tax credits (R$ 3 million), generated from the charges for the use of the transmission and distribution.
Partially offsetting:
(i) Decrease in the reserve energy charges (R$ 13 million);
(ii) Decrease in Itaipu charges (R$ 1 million).
Operating costs and expenses were R$ 884 million in 2Q11, a 23.8% increase (R$ 170 million) due to the following factors:
· The PMSO item reached R$ 455 million in 2Q11, an increase of 45.2% (R$ 142 million), mainly due to the following factors (that need to be excluded for comparison purposes):
(i) Non-recurring increase on Personnel Expenses due to the Incentivated Retirement Program – PAI (R$ 48 million);
ü 445 adherences, of wich 130 employees quit immediately and 315 will resign until the end of 2011;
ü Dismissal costs: R$ 47.5 million (of which R$ 10.2 million were accomplished and R$ 37.3 million were accrued);
Page 6 of 36
2Q11 Results | August 10, 2011 |
ü Benefit: permanent reduction in the wages of this group of employees by 43%, through the review of process and replament criteria;
ü Pay back: 2.5 years.
(ii) Increase in legal and judicial expenses and indemnities of CPFL Paulista, due to the non-recurring decrease in 2Q10 regarding to the reversal of the provision related to the liabilities of Pis/Cofins credits on sector charges (R$ 40 million);
(iii) Non-recurring effect related to the provision for contingency of ISS taxes on services, at Enercan (R$ 10 million);
(iv) Expenses with physical inventory of assets, in accordance with Aneel’s Resolution No. 367/09 (R$ 11 million), in the controlled companies CPFL Paulista (R$ 5.1 million), CPFL Piratininga (R$ 2.9 million), CPFL Santa Cruz (R$ 1.4 million), CPFL Sul Paulista (R$ 0.6 million), CPFL Leste Paulista (R$ 0.4 million), CPFL Mococa (R$ 0.6 million) and CPFL Jaguari (R$ 0.3 million);
(v) Commercial start-up of Foz do Chapecó Hydroelectric Facility, Baldin Thermoelectric Facility and Epasa - Termonordeste and Termoparaíba Thermoelectric Facilities (R$ 10 million).
Excluding these effects, PMSO for 2Q11 would have totaled R$ 377 million and PMSO for 2Q10 would have been R$ 353 million, an increase of 6.7% (R$ 24 million), compared to the IGP-M index of 8.6% (for the last 12 months).
The principal factors explaining the variation in PMSO, following the exclusion of the effects already mentioned were:
(i) Personnel expenses, which reported an increase of 7.1% (R$ 10 million) principally due to the following effects: (i) Collective Bargaining Agreement for 2010 (affecting April and May) and for 2011 (affecting June) (R$ 8 million); and (ii) business expansion of CPFL Atende (R$ 2 million);
(ii) Expenses with material, which registered an increase of 12.1% (R$ 2 million);
(iii) Out-sourced services expenses, which registered an increase of 11.6% (R$ 13 million) mainly due to the increase in auditing and consulting expenses (R$ 12 million);
The increase in PMSO was partially offset by the 2.3% decrease in the other operating costs/expenses (R$ 1 million).
· The Depreciation and Amortization items which represented a net increase of 18.4% (R$ 31 million), mainly due to the following effects:
(i) Increase at CPFL Geração (R$ 27 million), mainly due to: (i) the non-recurring accounting adjustments in the facilities (R$ 7 million); and (ii) the commercial start-up of Foz do Chapecó Hydroelectric Facility (R$ 14 million) and Epasa - Termonordeste and Termoparaíba Thermoelectric Facilities (R$ 4 million);
(ii) Increase at CPFL Paulista (R$ 6 million), mainly due to the new billing system amortization.
The cost of building the infrastructure of the concession (which does not affect the results because of the related revenue, in the same amount), reached R$ 250 million in 2Q11, representing a decrease of 1.0% (R$ 3 million). This amount has its counterpart in the “operating revenue”;
The regulatory assets and liabilities, which are no longer registered, in accordance with the pronouncements issued by the Accounting Pronouncements Committee (CPC) and the international practices (IFRS), represented a revenue of R$ 3 million in 2Q10 (net of the non-recurring effects related to the recalculation of the 2009 Tariff Adjustment Index - IRT - of RGE) and a cost of R$ 0.6 million in 2Q11 (net amounts). The amounts related to the deferral of the regulatory assets and liabilities will be passed through the tariffs in the next tariff readjustment, through the financial components. The amounts related to the amortization are reflected in the tariffs of each period.
Page 7 of 36
2Q11 Results | August 10, 2011 |
Based on the above factors, 2Q11 EBITDA (IFRS) reached R$ 815 million, registering a 2.9% increase (R$ 23 million).
Considering the regulatory assets and liabilities and excluding the non-recurring effects, the EBITDA (IFRS + Regulatory Assets and Liabilitites - Non-recurring effects) would have totaled R$ 755 million in 2Q10 and R$ 877 million in 2Q11, an increase of 16.2% (R$ 122 million).
The 2Q11 net financial expense was R$ 182 million, a 116.4% increase (R$ 98 million) compared with the net financial expense of R$ 84 million reported in 2Q10.
The items explaining these changes are as follows:
· Financial Revenues: an increase of 23.2% (R$ 24 million) from R$ 102 million in 2Q10 to R$ 126 million in 2Q11, mainly as a result of the increase in the following items: (i) income from financial investments (R$ 14 million), due to the increase in the income balance and to the increase in the CDI Interbank rate; (ii) increases and moratorium fines (R$ 7 million); and (ii) monetary restatements and currency variations (R$ 6 million).
· Financial Expenses: an increase of 65.4% (R$ 122 million) from R$ 186 million in 2Q10 to R$ 308 million in 2Q11, mainly due to the following factors:
(i) Upturn in debt charges (R$ 62 million) as a result of the increase in the debt balance and the increase in the CDI Interbank rate, from 2.2% in 2Q10 to 2.8% in 2Q11 (R$ 42 million);
(ii) Financial expense related to the commercial start-up of Foz do Chapecó Hydroelectric Facility, Epasa - Termonordeste and Termoparaíba Thermoelectric Facilities and Baldin Thermoelectric Facility (CPFL Bioenergia) (R$ 26 million);
(iii) Financial update of the Use of Public Assets (UBP) (R$ 26 million), including the non-recurring accounting adjustments related to the UBP re-calculation of the facilities (R$ 13million);
(iv) Increase in the financial expense caused by the non-recurring reduction in monetary restatements and currency variations in 2Q10, due to the monetary update of the liabilities of Pis/Cofins credits on sector charges (R$ 4 million), being R$ 16 million related to the provision reversal at CPFL Paulista, partially offset by the R$ 12 million update at CPFL Piratininga.
Net income (IFRS) in 2Q11 was R$ 294 million, a decrease of 18.3% (R$ 66 million).
Page 8 of 36
2Q11 Results | August 10, 2011 |
Excluding the amount related to the non-controlling shareholders, the net income (IFRS) would have totaled R$ 288 million, a decrease of 18.9% (R$ 67 million), compared to the net income of R$ 355 million in 2Q10.
Considering the regulatory assets and liabilities, including the effects on the financial result, (net of taxes) and excluding the non-recurring effects, the net income (IFRS + regulatory assets and liabilities – non-recurring effects) would have totaled R$ 335 million in 2Q10 and in 2Q11, an increase of 0.2% (R$ 0.7 million).
CPFL Energia’s financial debt (including hedge) increased by 52.9% to R$ 12,386 million in 2Q11. The main contributing factors to the variation in the balance of financial debt were:
· CPFL Brasil, CPFL Geração and Generation Projects: funding (BNDES and other financial institutions), net of amortizations, totaling R$ 2,312 million, with the following highlights:
+ Debentures issuances by CPFL Brasil (2nd Issue of R$ 1,320 million), CPFL Geração (4th Issue of R$ 680 million), EPASA (2nd Issue of R$ 204 milhões), ENERCAN (R$ 53 million) and BAESA (R$ 9 million), for debt rollover, investments funding and acquisition of Jantus’ equity;
+ Funding of BNDES financing for CPFL Brasil (R$ 197 million), CPFL Geração (R$ 80 million), Foz do Chapecó (R$ 35 million), CPFL Bioenergia (R$ 18 million) and CPFL Sul Centrais Elétricas (R$ 7 million);
+ Funding of BNB financing for Epasa (R$ 97 milhões);
+ Funding of working capital by Foz do Chapecó (R$ 25 million);
- Amortizations of the principal of Epasa (1st Issue of R$ 230 million) and BAESA’s debentures (R$ 8 million);
- Amortization of Inter-American Development Bank - IDB’s loan for ENERCAN (R$ 52 million);
- Amortizations of BNDES financing for CERAN (R$ 54 million), ENERCAN (R$ 35 million), BAESA (R$ 19 million) and CPFL Geração (R$ 18 million).
· CPFL Energia and Group’s Distributors: funding (BNDES and other financial institutions), net of amortizations, totaling R$ 1,775 million, with the following highlights:
Page 9 of 36
2Q11 Results | August 10, 2011 |
+ Debentures issuances by CPFL Paulista (5th Issue of R$ 484 million), CPFL Piratininga (4th Issue of R$ 280 million and 5th Issue of R$ 160 million), RGE (5th Issue of R$ 70 million) and CPFL Santa Cruz (1st Issue of R$ 65 million), for debt rollover and investments funding;
+ Funding of financing by RGE (R$ 288 million), CPFL Paulista (R$ 347 million), CPFL Piratininga (R$ 37 million), CPFL Santa Cruz (R$ 23 million), CPFL Leste Paulista (R$ 34 million), CPFL Sul Paulista (R$ 19 million), CPFL Mococa (R$ 11 million) and CPFL Jaguari (R$ 8 million);
+ Funding, net of amortizations, of BNDES financing for Group’s Distributors, totaling R$ 282 million;
- Amortizations of the principal of CPFL Piratininga (1st Issue of R$ 200 million), CPFL Paulista (4th Issue of R$ 65 million) and RGE’s debentures (2nd Issue of R$ 29 million).
· Interest provision in the period, net of interest paid, in the amount of R$ 210 million.
Financial Debt - 2Q11 (R$ Thousands) | |||||||||||
|
Charges |
|
|
Principal |
|
|
Total | ||||
|
Short Term |
Long Term |
|
|
Short Term |
Long Term |
|
|
Short Term |
Long Term |
Total |
|
|
||||||||||
Local Currency |
|
|
|||||||||
BNDES - Repowering |
40 |
- |
|
3,733 |
6,647 |
|
3,773 |
6,647 |
10,420 | ||
BNDES - Investment |
13,124 |
- |
|
396,462 |
3,072,962 |
|
409,586 |
3,072,962 |
3,482,548 | ||
BNDES - Others |
447 |
- |
|
49,633 |
53,452 |
|
50,080 |
53,452 |
103,532 | ||
BNDES - Working Capital |
426 |
- |
|
56,181 |
42,051 |
|
56,607 |
42,051 |
98,658 | ||
Financial Institutions |
22,625 |
56,495 |
|
58,388 |
1,594,732 |
|
81,013 |
1,651,227 |
1,732,240 | ||
Others |
593 |
- |
|
14,607 |
30,786 |
|
15,200 |
30,786 |
45,986 | ||
Subtotal |
37,255 |
56,495 |
|
579,004 |
4,800,630 |
|
616,259 |
4,857,125 |
5,473,384 | ||
|
|
|
|||||||||
Foreign Currency |
|
|
|||||||||
Financial Institutions |
11,692 |
- |
|
397,000 |
36,422 |
|
408,692 |
36,422 |
445,114 | ||
Subtotal |
11,692 |
- |
|
397,000 |
36,422 |
|
408,692 |
36,422 |
445,114 | ||
|
|
|
|||||||||
Debentures |
|
|
|||||||||
CPFL Energia |
16,923 |
- |
|
- |
450,000 |
|
16,923 |
450,000 |
466,923 | ||
CPFL Paulista |
17,609 |
- |
|
323,279 |
908,833 |
|
340,888 |
908,833 |
1,249,721 | ||
CPFL Piratininga |
11,097 |
- |
|
- |
696,687 |
|
11,097 |
696,687 |
707,785 | ||
RGE |
25,791 |
- |
|
311,665 |
322,984 |
|
337,456 |
322,984 |
660,440 | ||
CPFL Santa Cruz |
465 |
- |
|
- |
64,670 |
|
465 |
64,670 |
65,135 | ||
CPFL Leste Paulista |
1,475 |
- |
|
24,000 |
- |
|
25,475 |
- |
25,475 | ||
CPFL Sul Paulista |
975 |
- |
|
16,000 |
- |
|
16,975 |
- |
16,975 | ||
CPFL Jaguari |
614 |
- |
|
10,000 |
- |
|
10,614 |
- |
10,614 | ||
CPFL Brasil |
23,493 |
- |
|
164,960 |
1,315,301 |
|
188,453 |
1,315,301 |
1,503,754 | ||
CPFL Geração |
40,339 |
- |
|
424,882 |
940,606 |
|
465,221 |
940,606 |
1,405,827 | ||
EPASA |
13,978 |
- |
|
101,999 |
101,285 |
|
115,977 |
101,285 |
217,262 | ||
BAESA |
657 |
- |
|
5,734 |
24,371 |
|
6,391 |
24,371 |
30,762 | ||
ENERCAN |
292 |
- |
|
2,708 |
49,726 |
|
3,000 |
49,726 |
52,726 | ||
Subtotal |
153,708 |
- |
|
1,385,227 |
4,874,463 |
|
1,538,935 |
4,874,463 |
6,413,398 | ||
|
|
||||||||||
Financial Debt |
202,655 |
56,495 |
|
|
2,361,231 |
9,711,515 |
|
|
2,563,886 |
9,768,010 |
12,331,897 |
|
|
||||||||||
Hedge |
- |
- |
|
- |
- |
|
53,489 |
415 |
53,904 | ||
|
|
||||||||||
Financial Debt Including Hedge |
- |
- |
|
|
- |
- |
|
|
2,617,375 |
9,768,425 |
12,385,801 |
Percentage on total (%) |
- |
- |
|
|
- |
- |
|
|
21.1% |
78.9% |
100% |
With regard to financial debt, it is worth noting that R$ 9,768 million (78.9% of the total) are considered long term, and R$ 2,617 million (21.1% of the total) are considered short term.
Page 10 of 36
2Q11 Results | August 10, 2011 |
Total debt, comprising financial debt, hedge (asset/liability) and debt with the private pension fund, amounted to R$ 12,911 million in 2Q11, growth of 47.1%. The nominal average cost of debt rose from 9.5% p.a. in 2Q10 to 11.4% p.a. in 2Q11, due to the upturn in the CDI interbank rate (from 8.8% to 11.0%), and in the IGP-M (from 5.2% to 8.6%) (accrued rates in the last 12 months). The real average cost remained stable.
As a result of the funding operations and amortizations, there was an increase in the CDI-pegged portion (from 60.0%, in 2Q10, to 68.0%, in 2Q11) and prefixed (from 1.0%, in 2Q10, to 3.5%, in 2Q11), and a decrease in the portion tied to the TJLP-indexed portion (from 32.5%, in 2Q10, to 23.9%, in 2Q11) and the IGP-M/IGP-DI (from 5.3%, in 2Q10, to 4.3%, in 2Q11).
The foreign-currency and TJLP debt would have come to 4.1% and 25.0% of the total, respectively, if banking hedge operations had been excluded. However, as we consider contracted swap operations, which convert the indexation of debt in foreign-currency and TJLP to the CDI, the effective foreign-currency and TJLP debt is 0.3% (all of this possesses a natural hedge) and 23.9%, respectively.
Page 11 of 36
2Q11 Results | August 10, 2011 |
R$ Thousands |
2Q11 |
2Q10 |
Var. |
Total Debt |
(12,910,793) |
(8,778,944) |
47.1% |
(+) Available Funds |
4,402,948 |
1,377,449 |
219.6% |
(+) Judicial Deposit (1) |
569,624 |
465,306 |
22.4% |
(=) Adjusted Net Debt |
(7,938,221) |
(6,936,189) |
14.4% |
|
|
|
|
Note: (1) Related to the income tax of CPFL Paulista.
In 2Q11, adjusted net debt totaled R$ 7,938 million, an upturn of 14.4% (R$ 1,002 million).
The Company closed 2Q11 with a Net Debt / EBITDA ratio of 2.33x. Excluding the balance of the debt of CPFL Bio Formosa (Bio Formosa Thermoelectric Facility), CPFL Bio Buriti (Bio Buriti Thermoelectric Facility), CPFL Bio Pedra (Bio Pedra Thermoelectric Facility) and Santa Clara Wind Farm, which are under construction and have not started generating EBITDA to the group, the Net Debt / EBITDA would have been 2.13x.
In June 2011, the contracting of loans to the controlled companies CPFL Paulista, CPFL Piratininga, CPFL Geração, CPFL Sul Paulista, CPFL Leste Paulista, CPFL Mococa and CPFL Jaguari were approved, with the provision of security by CPFL Energia.
The financing was contracted through Law 4,131/62, in the total amount of up to R$ 1,210 million, for a period between 3 and 5 years (amortized only at maturity and with interest paid on a half-yearly basis). The amounts by company are as follows: (i) CPFL Paulista: up to R$ 740 million; (ii) CPFL Piratininga: up to R$ 340 million; (iii) CPFL Geração: up to R$ 100 million; (iv) CPFL Sul Paulista: up to R$ 8 million; (v) CPFL Leste Paulista: up to R$ 8 million; (vi) CPFL Mococa: up to R$ 7 million; and (vii) CPFL Jaguari: up to R$ 7 million.
In July 2011, the disbursements for CPFL Paulista and CPFL Piratininga occurred, in the amounts of R$ 740 million and R$ 243 million, respectively, with average cost of 100% of CDI.
In 2Q11, R$ 325 million were invested in business maintenance and expansion, of which R$ 217 million in distribution, R$ 104 million in generation and R$ 4 million in commercialization and value added services (SVA). As result, CPFL Energia’s investments totaled R$ 737 million in 1H11.
Listed below are some of the main investments made by CPFL Energia in each segment:
(i) Distribution: strengthening and expanding the electricity system to keep pace with market growth, both in terms of energy sales and numbers of customers. Other allocations included electricity system maintenance and improvements, operational infrastructure, the upgrading of management and operational support systems, customer help services and research and development programs, among others;
(ii) Generation: chiefly focused on the Foz do Chapecó Hydroelectric Facility and Epasa (Termonordeste and Termoparaíba Thermoelectric Facilities), enterprises that have already entered into commercial operation, and Bio Formosa, Bio Buriti, Bio Ipê and Bio Pedra Thermoelectric Facilities, and Santa Clara and Campo dos Ventos II Wind Farms, ongoing construction projects.
Page 12 of 36
2Q11 Results | August 10, 2011 |
Consolidated Cash Flow (R$ Thousands) | ||||
2Q11 |
Last 12M | |||
Beginning Balance |
1,967,201 |
1,377,449 | ||
Net Income Including Social Contribution and Income Tax |
454,841 |
2,243,611 | ||
Depreciation and Amortization |
199,971 |
745,690 | ||
Interest on Debts and Monetary and Foreign Exchange Restatements |
249,480 |
790,645 | ||
Income Tax and Social Contribution Paid |
(118,967) |
(690,820) | ||
Interest on Debts Paid |
(224,474) |
(693,470) | ||
Others |
(103,298) |
(346,546) | ||
2,712 |
(194,501) | |||
Total Operating Activities |
457,553 |
2,049,110 | ||
Investment Activities |
||||
Acquisition of Property, Plant and Equipment, and Intangibles |
(325,115) |
(1,815,855) | ||
Others |
12,978 |
6,673 | ||
Total Investment Activities |
(312,137) |
(1,809,182) | ||
Financing Activities |
||||
Loans and Debentures |
3,029,960 |
5,181,691 | ||
Principal Amortization of Loans and Debentures |
(249,351) |
(1,112,547) | ||
Dividends Paid |
(490,278) |
(1,281,281) | ||
Others |
- |
(2,292) | ||
Total Financing Activities |
2,290,331 |
2,785,571 | ||
Cash Flow Generation |
2,435,747 |
3,025,499 | ||
Ending Balance - 06/30/2011 |
|
4,402,948 |
|
4,402,948 |
The cash flow balance closed the 2Q11 at R$ 4,403 million, 123.8% (R$ 2,436 million) up on the opening figure. We highlight the following factors that contributed to this variation in the cash balance:
· Cash increase:
(i) Cash from operating activities in the amount of R$ 458 million;
(ii) Funds of loans and debentures, which exceeded amortizations by R$ 2,781 million.
· Cash decrease:
(i) Investments (sum of “Acquisition of Property, Plant and Equipment” and “Intangibles” accounts), in the amount of R$ 325 million (detailed in item 4, “Investments”);
(ii) Dividend payments related to 2H10, in the amount of R$ 490 million.
Page 13 of 36
2Q11 Results | August 10, 2011 |
CPFL Energia has announced an intermediate dividend distribution, for 1H10, in the amount of R$ 748 million, equivalent to R$ 0.777023176 per share and corresponding to 100% of controlling shareholders' net income for the period.
Shareholders owning shares on August 17, 2011 will be entitled to receive these dividends. Shares will be traded ex-dividend on the São Paulo Stock Exchange (BM&FBovespa S.A. Bolsa de Valores, Mercadorias e Futuros - BM&FBOVESPA) and New York Stock Exchange (NYSE) as of August 18, 2011.
CPFL Energia's Dividend Yield | |||||
|
1H09 |
2H09 |
1H10 |
2H10 |
1H11 |
Dividend Yield - last 12 months (1) |
7.6% |
7.9% |
8.6% |
6.9% |
6.0% |
|
|
|
|
|
|
(1) Based on the average of the closing quotations in the period. |
The 1H11 dividend yield, calculated on the average of the closing quotations in the period (R$ 22.05 per share) is 3.5% (6.0% in the last 12 months).
The declared amounts are in line with the Company’s dividend policy, which states that shareholders will receive at least 50% of adjusted half-yearly net income as dividends and/or interest on equity (IOE).
Page 14 of 36
2Q11 Results | August 10, 2011 |
CPFL Energia, which has a current free float of 30.7%, is listed on both the BM&FBOVESPA (Novo Mercado) and the NYSE (ADR Level III), segments with the highest levels of corporate governace.
The shares closed the half year priced at R$ 22.30 per share and US$ 28.97 per ADR, respectively (closing price in 06/30/2011).
In 1H11, the shares appreciated 10.6% on the BM&FBOVESPA and 15.5% on the NYSE, outperforming major market indexes.
In the last 12 months, the shares appreciated 20.0% on the BM&FBOVESPA and 37.4% on the NYSE, also outperforming major market indexes.
Page 15 of 36
2Q11 Results | August 10, 2011 |
The daily trading volume in 1H11 averaged R$ 33.1 million, of which R$ 13.9 million on the BM&FBOVESPA and R$ 19.3 million on the NYSE, 0.6% down on 2010. The number of trades on the BM&FBOVESPA decreased by 6.3%, falling from a daily average of 1,406, in 2010, to 1,317, in 1H11.
Note: Considers the sum of the average daily volume on the BM&FBOVESPA and the NYSE.
CPFL Energia’s rating was maintained the same, by Standard and Poor’s and Fitch Ratings, after the acquisition of Jantus and the joint venture with ERSA.
The following table shows the evolution of CPFL Energia’s corporate ratings:
Ratings of CPFL Energia - National Scale | |||||||
Agency |
|
2010 |
2009 |
2008 |
2007 |
2006 |
2005 |
Standard & Poor's |
Rating |
brAA+ |
brAA+ |
brAA+ |
brAA- |
brA+ |
brA |
Outlook |
Stable |
Stable |
Stable |
Stable |
Positive |
Positive | |
Fitch Ratings |
Rating |
AA+ (bra) |
AA (bra) |
AA (bra) |
AA (bra) |
A+ (bra) |
A- (bra) |
Outlook |
Stable |
Positive |
Positive |
Stable |
Stable |
Stable | |
| |||||||
Note: Close-of-period positions. |
Page 16 of 36
2Q11 Results | August 10, 2011 |
CPFL Energia’s corporate governance model is based on four principles – transparency, equity, accountability and corporate responsibility – and is adopted by all the companies in the CPFL group.
CPFL Energia is listed on the Novo Mercado of the BM&FBOVESPA and its Level III ADRs are traded on the NYSE, being submitted to arbitration at the BM&FBOVESPA’s Market Arbitration Chamber. The company's capital stock is composed of common shares only, and ensures tag-along rights equivalent to 100% of the amount paid to the controlling shareholders in the case of disposal of control.
The Company’s Board of Directors has as its objetive to define the overall business guidelines and elect the Board of Executive Officers, among other responsibilities determined by the law and the Bylaws. Its working rules are defined in the Internal Rules. The Board is composed of one independent member and six members designated by the controlling shareholders, with a one-year term of office, reelection being admitted. It normally meets once a month but may be convened whenever necessary, electing, among its members, the Chairman and the Vice-Chairman. No member may serve on the Company’s Board of Executive Officers.
The Board of Directors constituted three committees and defined its competence in a sole Internal Rules: the Human Resources Committee, Related Parties Committee and Management Processes Committee. Whenever necessary, ad hoc commissions are installed to advise the Board on such specific issues as: corporate governance, strategies, budgets, energy purchases, new operations and financial policies.
CPFL Energia maintains a permanent Fiscal Council comprising five members who also carry out the attributes of the Audit Committee, in accordance with the rules of the Securities and Exchange Commission (SEC). The Fiscal Council’s working rules are defined in the Internal Rules and in the Fiscal Council Guide.
The Board of Executive Officers comprises seven officers, with a two-year term of office, being admitted the reelection. It represents the Company and manages its business in accordance with the policy defined by the Board of Directors. The Chief Executive Officer is responsible for nominating the other statutory officers.
Page 17 of 36
2Q11 Results | August 10, 2011 |
CPFL Energia is a holding company, whose results depend directly on those of its subsidiaries.
Notes: (1) Includes the 0.1% stake of the company Camargo Corrêa S.A.;
(2) Controlling shareholders;
(3) Comprises 13 companies: Santa Clara I, II, III, IV, V and VI, Eurus VI, Campo dos Ventos I, II, III, IV and V and Eurus V.
The reverse split of CPFL Energia’s common shares, at the ratio of 10 (ten) to 1 (one), with the simultaneous split of each share submitted to forward split, at the ratio of 1 (one) to 20 (twenty), were approved at the Extraordinary General Shareholders’ Meeting, held on April 28, 2011. The ADR ratio change, from 1 (one) ADR equivalent to 3 (three) common shares to 1 (one) ADR equivalent to 2 (two) common shares, was already approved by CPFL Energia’s Board of Directors, in the meeting held on February 23, 2011.
· Benefits: (i) probable increase in the liquidity of the common shares and ADRs, (ii) greater access of the individual investor to the negotiations (lower stock quotation), (iii) increase of the active shareholders base, and (iv) optimization of the management of the shareholder base;
· June 29, 2011: Commencement of trading (in the new quotation) of the common shares submitted to reverse split and split;
· July 06, 2011: Commencement of trading (in the new quotation) of the ADRs, considering the new ratio change, of 1 (one) ADR equivalent to 2 (two) common shares;
· August 2011: Payment of common shares fractions.
Page 18 of 36
2Q11 Results | August 10, 2011 |
The Company entered, together with its subsidiaries CPFL Geração and CPFL Brasil, into a Joint Venture Agreement with the current shareholders of ERSA – Energias Renováveis S.A., which sets forth the terms and conditions under which they intend to ally renewable energy assets and projects owned by CPFL and ERSA in Brazil, such being considered Wind Farms, Small Hydro Power Plants and Biomass Thermoelectric Power Plants.
As previously reported the in the material fact of April 19, 2011, the Joint Venture Agreement formalized between the parties affects the effective implementation of the joint venture between the Company and ERSA to certain conditions, including authorizations of regulators, corporate reorganizations of subsidiaries of the Company, as well as the preparation of documents and evaluations necessary to implement the steps outlined in that material fact.
The Company concluded, in July 2011, obtaining prior authorization from ANEEL, CADE, BNDES and other financial institutions, necessary for the implementation of the joint venture and as contained in the Agreement. It is currently in the process of preparing the documents and evaluations necessary to consummate the joint venture, which will be through the merger of its subsidiary Smita Empreendimentos e Participações S.A. (Nova CPFL) by ERSA.
In this aspect, the Company expects the effective implementation of the joint venture occurs in the second half of August 2011.
Page 19 of 36
2Q11 Results | August 10, 2011 |
Consolidated Income Statement - Distribution (R$ Thousands) | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
2H10 |
Var. |
Gross Operating Revenues |
4,089,376 |
3,829,959 |
6.8% |
8,152,021 |
7,706,427 |
5.8% |
Net Operating Revenues |
2,660,724 |
2,512,761 |
5.9% |
5,279,568 |
5,048,497 |
4.6% |
Cost of Electric Power |
(1,533,781) |
(1,468,940) |
4.4% |
(2,967,791) |
(2,870,318) |
3.4% |
Operating Costs & Expenses |
(685,239) |
(571,205) |
20.0% |
(1,285,258) |
(1,070,269) |
20.1% |
EBIT |
441,705 |
472,616 |
-6.5% |
1,026,519 |
1,107,910 |
-7.3% |
EBITDA |
510,818 |
537,113 |
-4.9% |
1,165,233 |
1,233,241 |
-5.5% |
Financial Income (Expense) |
(43,819) |
(10,708) |
309.2% |
(74,594) |
(29,353) |
154.1% |
Income Before Taxes |
397,885 |
461,908 |
-13.9% |
951,925 |
1,078,557 |
-11.7% |
Net Income |
285,830 |
327,884 |
-12.8% |
650,831 |
735,079 |
-11.5% |
Note: The distributors’ financial performance tables are attached to this report in item 11.6.
Operating Revenue
Gross operating revenue in 2Q11 reached R$ 4,089 million, representing an increase of 6.8% (R$ 259 million). Excluding the revenue from building the infrastructure of the concession (which does not affect the results because of the related cost, in the same amount), gross operating revenue would have amounted to 3,839 million, an increase of 7.3% (R$ 262 million).
Deductions from the operating revenue were R$ 1,429 million, representing an increase of 8.5% (R$ 111 million), mainly due to the following upturns: (i) taxes on revenue (R$ 53 million); (ii) CCC and CDE sector charges (R$ 54 million); and (iii) amounts related to the R&D and energetic efficiency program (R$ 42 million). The increase in the deductions from the operating revenue was partially offset by the following downturns: (i) amounts related to Proinfa (R$ 34 million); and (ii) global reversal reserve - RGR (R$ 3 million).
Net operating revenue reached R$ 2,661 million in 2Q11 an increase of 5.9% (R$ 148 million). Excluding the revenue from building the infrastructure of the concession, net operating revenue would have amounted to 2,410 million, an increase of 6.7% (R$ 151 million).
The upturn in operating revenue was mainly caused by the following factors:
· Tariff adjustments of the distribution companies;
· Increase of 23.5% (R$ 62 million) in the gross revenue of TUSD from free customers, mainly due to the migration of captive customers to the free market.
The upturn in operating revenue was partially offset by the 0.8% reduction in the sales volume to the captive market.
Cost of Electric Power
The cost of electric energy, comprising the purchase of electricity for resale and charges for the use of the distribution and transmission system, amounted to R$ 1,534 million in 2Q11, representing an increase of 4.4% (R$ 65 million):
· The cost of electric power purchased for resale in 2Q11 was R$ 1,245 million, representing an increase of 5.1% (R$ 60 million), due to the following effects:
Page 20 of 36
2Q11 Results | August 10, 2011 |
(i) Increase in the cost of energy purchased in the short term (R$ 39.4 million), due to the rise in the average purchase price and to the rise of 149.5% (577 GWh) in the volume of purchased energy;
(ii) Increase in the cost of energy purchased through bilateral contracts (R$ 52.1 million), caused by the increase of 11.9% in the average purchase price, partially offsed by the reduction of 6.0% (481 GWh) in the volume of purchased energy.
Partially offsetting:
(i) Decrease in the cost of energy from Itaipu (R$ 25.4 million), due to the reduction of 12.7% in the average purchase price, caused by the lower foreign exchange rates, partially offset by the increase of 3.1% (81 GWh) in the volume of purchased energy;
(ii) Decrease in the PROINFA cost (R$ 2.8 million), due to the 51.0% (135 GWh) reduction in the average purchase price, partially offset by the increase of 91.5% in the volume of purchased energy.
(iii) Increase in Pis and Cofins tax credits (R$ 2.9 million), generated from the energy purchase.
· Charges for the use of the transmission and distribution system reached R$ 288 million in 2Q11, an increase of 1.6% (R$ 4 million), mainly due to the following factors:
(i) Increase in the basic network charges (R$ 7 million);
(ii) Increase in the charges for the use of the distribution system (R$ 7 million);
(iii) Increase in the system service usage charges - ESS (R$ 2 million);
(iv) Reduction in the Pis and Cofins tax credits (R$ 3 million), generated from the charges for the use of the transmission and distribution.
Partially offsetting:
(i) Decrease in the reserve energy charges (R$ 13 million);
(ii) Decrease in the connection charges (R$ 1 million);
(iii) Decrease in Itaipu charges (R$ 1 million).
Operating Costs and Expenses
Operating costs and expenses were R$ 685 million in 2Q11, a 20.0% increase (R$ 114 million) due to the following factors:
· The PMSO item reached R$ 366 million in 2Q11, an increase of 44.2% (R$ 112 million), mainly due to the following factors (that need to be excluded for comparison purposes):
(i) Non-recurring increase on Personnel Expenses due to the Incentivated Retirement Program – PAI (R$ 45 million);
(ii) Increase in legal and judicial expenses and indemnities of CPFL Paulista, due to the non-recurring decrease in 2Q10 regarding to the reversal of the provision related to the liabilities of Pis/Cofins credits on sector charges (R$ 40 million);
(iii) Expenses with physical inventory of assets, in accordance with Aneel’s Resolution No. 367/09 (R$ 11 million), in the controlled companies CPFL Paulista (R$ 5.1 million), CPFL Piratininga (R$ 2.9 million), CPFL Santa Cruz (R$ 1.4 million), CPFL Sul Paulista (R$ 0.6 million), CPFL Leste Paulista (R$ 0.4 million), CPFL Mococa (R$ 0.6 million) and CPFL Jaguari (R$ 0.3 million).
Excluding these effects, PMSO for 2Q11 would have totaled R$ 310 million and PMSO for 2Q10
Page 21 of 36
2Q11 Results | August 10, 2011 |
would have been R$ 293 million, an increase of 5.7% (R$ 17 million).
The principal factors explaining the variation in PMSO, after excluding the effects already mentioned were:
(i) Personnel expenses, which reported an increase of 2.4% (R$ 3 million) principally due to the Collective Bargaining Agreement for 2010 (affecting April and May) and for 2011 (affecting June) (R$ 7 million), partially offset by reductions in provisions (R$ 4 million);
(ii) Expenses with material, which registered an increase of 5.0% (R$ 1 million);
(iii) Out-sourced services expenses, which registered an increase of 15.6% (R$ 14 million) mainly due to the increase in expenses with: (i) auditing and consulting; (ii) assets maintenance; and (iii) delivery and charge of bills.
The increase in PMSO was partially offset by the 8.8% decrease in the other operating costs/expenses (R$ 1 million).
· The Depreciation and Amortization items which represented a net increase of 5.6% (R$ 5 million), mainly due to the increase at CPFL Paulista (R$ 6 million), caused by the new billing system amortization.
The cost of building the infrastructure of the concession (which does not affect the results because of the related revenue, in the same amount), reached R$ 250 million in 2Q11, representing a decrease of 1.0% (R$ 3 million). This amount has its counterpart in the “operating revenue”;
Regulatory Assets and Liabilities
The regulatory assets and liabilities, which are no longer registered, in accordance with the pronouncements issued by the Accounting Pronouncements Committee (CPC) and the international practices (IFRS), represented a revenue of R$ 3 million in 2Q10 (net of the non-recurring effects related to the recalculation of the 2009 Tariff Adjustment Index - IRT - of RGE) and a cost of R$ 0.6 million in 2Q11 (net amounts). The amounts related to the deferral of the regulatory assets and liabilities will be passed through the tariffs in the next tariff readjustment, through the financial components. The amounts related to the amortization are reflected in the tariffs of each period.
EBITDA
Based on the mentioned factors, 2Q11 EBITDA (IFRS) reached R$ 511 million, registering a 4.9% decrease (R$ 26 million).
Considering the regulatory assets and liabilities and excluding the non-recurring effects, the EBITDA (IFRS + Regulatory Assets and Liabilitites - Non-recurring effects) would have totaled R$ 501 million in 2Q10 and R$ 555 million in 2Q11, an increase of 10.8% (R$ 54 million).
Financial Result
The 2Q11 net financial expense was R$ 44 million, a 309.2% increase (R$ 33 million) compared with the net financial expense of R$ 11 million reported in 2Q10.
The items explaining these changes are as follows:
· Financial Revenues: an increase of 24.1% (R$ 18 million) from R$ 77 million in 2Q10 to R$ 95 million in 2Q11, mainly as a result of the increase in the income from financial investments (R$ 18 million), due to the rise in the income balance and to the rise in the CDI Interbank rate.
Page 22 of 36
2Q11 Results | August 10, 2011 |
· Financial Expenses: an increase of 58.9% (R$ 52 million) from R$ 88 million in 2Q10 to R$ 139 million in 2Q11, mainly due to the following factors:
(i) Upturn in debt charges (R$ 42 million) as a result of the increase in the debt balance and the increase in the CDI Interbank rate, from 2.2% in 2Q10 to 2.8% in 2Q11 (R$ 22 million);
(ii) Increase in the financial expense caused by the non-recurring reduction in monetary restatements and currency variations in 2Q10, due to the monetary update of the liabilities of Pis/Cofins credits on sector charges (R$ 4 million), being R$ 16 million related to the provision reversal at CPFL Paulista, partially offset by the R$ 12 million update at CPFL Piratininga.
Net Income
Net income (IFRS) in 2Q11 was R$ 286 million, a decrease of 12.8% (R$ 42 million).
Considering the regulatory assets and liabilities, including the effects on the financial result, (net of taxes) and excluding the non-recurring effects, the net income (IFRS + regulatory assets and liabilities – non-recurring effects) would have totaled R$ 303 million in 2Q10 and R$ 301 million in 2Q11, a decrease of 0.5% (R$ 2 million).
Dates of Tariff Adjustments | |
Distribution Company |
Date |
CPFL Piratininga |
October 23th |
CPFL Santa Cruz |
February 3rd |
CPFL Leste Paulista |
February 3rd |
CPFL Jaguari |
February 3rd |
CPFL Sul Paulista |
February 3rd |
CPFL Mococa |
February 3rd |
CPFL Paulista |
April 8th |
RGE |
June 19th |
10.1.2.1) CPFL Piratininga
Aneel Ratifying Resolution 1,075 of October 19 2010 readjusted electric energy tariffs of CPFL Piratininga by 10.11%, made up of 8.59% with respect to the Tariff Readjustment and 1.52% with respect to external financial components to the Annual Tariff Readjustment, corresponding to an average effect of +5.66% on consumer billings. The new tariffs came into effect on October 23 2010.
10.1.2.2) CPFL Santa Cruz, CPFL Leste Paulista, CPFL Jaguari, CPFL Sul Paulista and CPFL Mococa
On February 3 2011, Aneel published in the Federal Official Gazette, the Annual Tariff Readjustment Indices for 2011 for the CPFL Santa Cruz, CPFL Leste Paulista, CPFL Jaguari, CPFL Sul Paulista and CPFL Mococa distributors, effective from the same date, as shown in the table at the end of item “10.1.2.5”.
Page 23 of 36
2Q11 Results | August 10, 2011 |
10.1.2.3) CPFL Paulista
Aneel Ratifying Resolution 1,130 of April 5 2011 readjusted the electricity energy tariffs at CPFL Paulista by 7.38%, 6.11% relative to the Tariff Readjustment and 1.26% with respect to the financial components external to the Annual Tariff Readjustment, corresponding to an annual impact of 7.23% on the billings of captive consumers. The new tariffs came into effect on April 8 2011 and will remain in force until April 7 2012.
Prior readjustment:
Aneel Ratifying Resolution 961 of April 6 2010 readjusted the electricity energy tariffs at CPFL Paulista by 2.70%, 1.55% relative to the Tariff Readjustment and 1.15% with respect to the financial components external to the Annual Tariff Readjustment, corresponding to an annual impact of -5.69% on the billings of captive consumers. The new tariffs came into effect on April 8 2010 and will remain in force until April 7 2011.
10.1.2.4) RGE
Aneel Ratifying Resolution 1,153 of June 14 2011 readjusted the electricity energy tariffs at RGE by 17.21%, 8.58% relative to the Tariff Readjustment and 8.63% with respect to the financial components external to the Annual Tariff Readjustment, corresponding to an average impact of 6.74% on the billings of captive consumers. The new tariffs came into effect on June 19 2011 and will remain in force until June 18 2012.
Prior readjustment:
Aneel Ratifying Resolution 1,009 of June 15 2010 readjusted the electricity energy tariffs at RGE by 12.37%, 1.72% relative to the Tariff Readjustment and 10.65% with respect to the financial components external to the Annual Tariff Readjustment, corresponding to an average impact of 3.96% on the billings of captive consumers. The new tariffs came into effect on June 19 2010 and will remain in force until June 18 2011.
10.1.2.5) Table with Adjustments
The adjustments are presented per distributor in the following table:
Annual Tariff Adjustment Index (IRT) |
CPFL Piratininga |
CPFL Santa Cruz |
CPFL Leste Paulista |
CPFL Jaguari |
CPFL Sul Paulista |
CPFL Mococa |
CPFL Paulista |
RGE |
Term >>>>>> |
10/23/2010 |
02/03/2011 |
02/03/2011 |
02/03/2011 |
02/03/2011 |
02/03/2011 |
04/08/2011 |
06/19/2011 |
Economic IRT |
8.59% |
8.01% |
6.42% |
5.22% |
6.57% |
6.84% |
6.11% |
8.58% |
Financial Components |
1.52% |
15.61% |
1.34% |
0.25% |
1.45% |
2.66% |
1.26% |
8.63% |
Total IRT |
10.11% |
23.61% |
7.76% |
5.47% |
8.02% |
9.50% |
7.38% |
17.21% |
Page 24 of 36
2Q11 Results | August 10, 2011 |
Consolidated Income Statement - Commercialization and Services (R$ Thousands) | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
2H10 |
Var. |
Gross Operating Revenues |
465,975 |
477,060 |
-2.3% |
896,237 |
881,087 |
1.7% |
Net Operating Revenues |
410,531 |
425,932 |
-3.6% |
790,767 |
786,744 |
0.5% |
EBITDA |
51,949 |
66,499 |
-21.9% |
143,923 |
162,143 |
-11.2% |
Net Income |
30,397 |
44,613 |
-31.9% |
90,857 |
108,330 |
-16.1% |
Operating Revenue
In 2Q11, gross operating revenue reached R$ 466 million, representing a decrease of 2.3% (R$ 11 million), while net operating revenue moved down by 3.6% (R$ 15 million) to R$ 411 million.
EBITDA
In 2Q11, EBITDA totaled R$ 52 million, a decrease of 21.9% (R$ 15 million), mainly due to the reduction in the volume of energy sold.
Net Income
In 2Q11, net income amounted to R$ 30 million, down by 31.9% (R$ 14 million), mainly due to the increase in the net financial expenses.
Consolidated Income Statement - Generation (R$ Thousands) | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
2H10 |
Var. |
Gross Operating Revenues |
369,526 |
276,426 |
33.7% |
734,581 |
538,855 |
36.3% |
Net Operating Revenues |
347,211 |
259,088 |
34.0% |
689,836 |
507,412 |
36.0% |
Cost of Electric Power |
(26,205) |
(35,668) |
-26.5% |
(51,434) |
(54,790) |
-6.1% |
Operating Costs & Expenses |
(130,079) |
(74,095) |
75.6% |
(226,165) |
(151,345) |
49.4% |
EBIT |
190,927 |
149,325 |
27.9% |
412,237 |
301,277 |
36.8% |
EBITDA |
261,709 |
193,994 |
34.9% |
541,443 |
388,693 |
39.3% |
Financial Income (Expense) |
(117,742) |
(62,853) |
87.3% |
(212,005) |
(124,257) |
70.6% |
Income Before Taxes |
73,186 |
86,472 |
-15.4% |
200,232 |
177,020 |
13.1% |
Net Income |
60,911 |
66,397 |
-8.3% |
147,587 |
124,266 |
18.8% |
Operating Revenue
In 2Q11, gross operating revenue reached R$ 370 million, representing an increase of 33.7% (R$ 93 million), while net operating revenue moved up by 34.0% (R$ 88 million) to R$ 347 million. The increase in the net operating revenue was chiefly due to the additional revenue, in the amount of R$ 66 million: (i) from Chapecoense, due to the commercial start-up of Foz do Chapecó Hydroelectric Facility, in October 2010; (ii) from CPFL Bioenergia, due to the beginning of the operations, in August 2010; and (iii) from Epasa (Termonordeste and Termoparaíba Thermoelectric Facilities), due to its conclusion, in January 2011.
Page 25 of 36
2Q11 Results | August 10, 2011 |
Cost of Electric Power
In 2Q11, the cost of electric power increased 26.5% (R$ 9 million) to R$ 26 million, chiefly due to the energy acquisition by Epasa, in 2Q10, to honour the commitments taken, while it had not started the operations of Termonordeste and Termoparaíba Thermoelectric Plants (R$ 24 million).
Partially offsetting:
(i) Increase in the charges for the use of the transmission system related to Foz do Chapecó Hydroelectric Facility and to Epasa (R$ 11 million), due to: (i) the commercial start-up of the facilities; and (ii) the amounts due by Epasa related to 2010 (R$ 6 million) – non-recurring item;
(ii) Acquisition of 20 GWh of energy by Foz do Chapecó Hydroelectric Facility and by CPFL Bioenergia (R$ 2 million).
Operating Costs and Expenses
In 2Q11, operating costs and expenses moved up by 75.6% (R$ 56 million) to R$ 130 million, chiefly due to the following factors:
· The PMSO item reached R$ 59 million in 2Q11, an increase of 101.5% (R$ 30 million), mainly due to the following factors (that need to be excluded for comparison purposes):
(i) Non-recurring increase on Personnel Expenses due to the Incentivated Retirement Program – PAI (R$ 3 million);
(ii) Non-recurring effect related to the provision for contingency of ISS taxes on services, at Enercan (R$ 10 million);
(iii) Commercial start-up of Foz do Chapecó Hydroelectric Facility, Baldin Thermoelectric Facility and Epasa - Termonordeste and Termoparaíba Thermoelectric Facilities (R$ 10 million).
Excluding these effects, PMSO for 2Q11 would have totaled R$ 37 million and PMSO for 2Q10 would have been R$ 29 million, an increase of 25.3% (R$ 7 million).
The principal factors explaining the variation in PMSO, following the exclusion of the effects already mentioned were:
(i) Personnel expenses, which reached R$ 9 million, reporting an increase of 6.3% (R$ 0.6 million) principally due to the Collective Bargaining Agreement for 2010 (affecting April and May) and for 2011 (affecting June);
(ii) Out-sourced services expenses, which reached R$ 12 million, reporting an increase of 78.1% (R$ 5 million) mainly due to the following factors: (i) increase in auditing and consulting expenses (R$ 3 million); and (ii) technical employees reinforcing (R$ 1.6 million);
(iii) Other operating costs/expenses, which reached R$ 14 million, reporting an increase of 11.4% (R$ 1.5 million) mainly due to the increase in the expenses with royalties (R$ 3 million).
· The Depreciation and Amortization items which represented a net increase of 58.8% (R$ 26 million), mainly due to: (i) the non-recurring accounting adjustments in the facilities (R$ 7 million); and (ii) the commercial start-up of Foz do Chapecó Hydroelectric Facility (R$ 14 million) and Epasa - Termonordeste and Termoparaíba Thermoelectric Facilities (R$ 4 million).
Page 26 of 36
2Q11 Results | August 10, 2011 |
EBITDA
In 2Q11, EBITDA (IFRS) was R$ 262 million, an increase of 34.9% (R$ 68 million).
Excluding the non-recurring effects, EBITDA (IFRS – Non-recurring) would have totaled R$ 206 million in 2Q10 and R$ 280 million in 2Q11, an increase of 36.2% (R$ 75 million).
Financial Result
In 2Q11, net financial expense was R$ 118 million, up by 87.3% (R$ 55 million). The items explaining these changes are as follows:
· Financial Revenues: moved from R$ 12 million in 2Q10 to R$ 28 million in 2Q11 (R$ 16 million increase), chiefly due to the upturn in revenue from financial investments (as a result of the increase in the balance of financial investments), and to the upturn in monetary restatements and currency variations;
· Financial Expenses: moved from R$ 75 million in 2Q10 to R$ 146 million in 2Q11 (R$ 71 million increase), chiefly due to the additional expenses related to the commercial start-up of Foz do Chapecó Hydroelectric Facility (R$ 43 million) and Epasa - Termonordeste and Termoparaíba Thermoelectric Facilities (R$ 15 million).
Net Income
In 2Q11, net income (IFRS) was R$ 61 million, a decrease of 8.3% (R$ 5 million).
Excluding the non-recurring effects, the net income (IFRS – Non-recurring) would have totaled R$ 65 million in 2Q10 and R$ 87 million in 2Q11, an increase of 33.7% (R$ 22 million).
Bio Formosa Thermoelectric Facility (CPFL Bio Formosa)
Bio Formosa Thermoelectric Facility, located at Paraíba State, is under construction (97% of works completed – June 2011). Commercial start-up is scheduled for 3Q11. The estimated investment in the project is of R$ 127 million. The installed capacity is of 40 MW and the assured power is of 16 average-MW. Approximately 70% of the energy was sold in the A-5 Auction occurred in 2006 (price: R$ 179.10/MWh – December 2010) and the remaining energy will be sold to the free market.
Bio Buriti Thermoelectric Facility (CPFL Bio Buriti)
Bio Buriti Thermoelectric Facility, located at Buritizal (São Paulo State), is under construction (87% of works completed – June 2011). Commercial start-up is scheduled for 4Q11. The estimated investment in the project is of R$ 135 million. The installed capacity is of 50 MW, with 21.2 MW of energy exported to CPFL Brasil, during the harvest season.
Bio Ipê Thermoelectric Facility (CPFL Bio Ipê)
Bio Ipê Thermoelectric Facility, located at Nova Independência (São Paulo State), is under construction (70% of works completed – June 2011). Commercial start-up is scheduled for 4Q11. The estimated investment in the project is of R$ 26 million. The installed capacity is of 25 MW, with 8.4 MW of energy exported to CPFL Brasil, during the harvest season.
Page 27 of 36
2Q11 Results | August 10, 2011 |
Bio Pedra Thermoelectric Facility (CPFL Bio Pedra)
Bio Ipê Thermoelectric Facility, located at Serrana (São Paulo State), is under construction (29% of works completed – June 2011). Commercial start-up is scheduled for 2Q12. The estimated investment in the project is of R$ 205 million. The installed capacity is of 70 MW and the assured power is of 24 average-MW. The energy was sold in the 3rd Reserve Energy Auction occurred in August 2010 (price: R$ 145.48/MWh).
Santa Clara I, II, III, IV, V and VI and Eurus VI Wind Farms
Santa Clara I, II, III, IV, V and VI and Eurus VI Wind Farms, located at Rio Grande do Norte State, are under construction (20% of works completed – June 2011). Start-up is scheduled for 3Q12. The total investment in the project is of R$ 801 million. The installed capacity is of 188 MW and the assured power is of 76 average-MW. The energy was sold in the Reserve Auction occurred in December 2009 (price: R$ 159.00/MWh – December 2010).
Campo dos Ventos I, II, III, IV and V and Eurus V Wind Farms
The start-up of Campo dos Ventos I, II, III, IV and V and Eurus V Wind Farms, located at Rio Grande do Norte State, is scheduled for 3Q13. The total investment in the project is of R$ 727 million. The installed capacity is of 180 MW and the assured power is of 78.6 average-MW.
ERSA have released, on July 27, 2011, an Announcement to the Market informing that it has signed, through one of its subsidiaries, a partnership contract with the Usina Alvorada Açúcar e Álcool Ltda. in order to develop, build and operate a thermoelectric power plant ("Alvorada Plant") powered by biomass (sugarcane bagasse), located in the municipality of Araporã - MG, aimed at producing electricity and steam for self-consumption by the plant and the sale of surplus power by the subsidiary. The installed capacity of Alvorada Plant will be 50 MW, of which 18 average-MW will be exported as surplus. The project has expected investments of around R$ 156 million. The start-up of the commercial operations of the plant is scheduled for 2Q13.
ERSA have released, on August 02, 2011, a new Announcement to the Market informing that it has signed, through one of its subsidiaries, a partnership contract with the Cooperativa Agrícola Regional de Produtores de Cana Ltda. in order to develop, build and operate a thermoelectric power plant ("Coopcana Plant") powered by biomass (sugarcane bagasse), located in the municipality of São Carlos do Ivaí – Paraná, aimed at producing electricity and steam for self-consumption by the plant and the sale of surplus power by the subsidiary. The installed capacity of Coopcana Plant will be 50 MW, of which 18 average-MW will be exported as surplus. The project has expected investments of around R$ 155 million. The start-up of the commercial operations of the plant is scheduled for 1Q13.
Page 28 of 36
2Q11 Results | August 10, 2011 |
Consolidated | |||
ASSETS |
06/30/2011 |
12/31/2010 |
06/30/2010 |
CURRENT ASSETS |
|||
Cash and Cash Equivalents |
4,402,948 |
1,562,897 |
1,377,449 |
Consumers, Concessionaries and Licensees |
1,798,570 |
1,816,073 |
1,823,550 |
Financial Investments |
43,744 |
42,533 |
40,209 |
Recoverable Taxes |
240,439 |
193,020 |
209,527 |
Derivatives |
92 |
244 |
404 |
Materials and Supplies |
38,231 |
24,856 |
17,631 |
Leases |
4,356 |
4,754 |
3,253 |
Other Credits |
417,227 |
253,812 |
231,470 |
TOTAL CURRENT ASSETS |
6,945,607 |
3,898,190 |
3,703,493 |
NON-CURRENT ASSETS |
|||
Consumers, Concessionaries and Licensees |
188,291 |
195,738 |
192,642 |
Judicial Deposits |
1,042,062 |
890,685 |
845,697 |
Financial Investments |
55,350 |
72,823 |
70,143 |
Recoverable Taxes |
159,591 |
138,966 |
123,155 |
Derivatives |
27 |
82 |
9,007 |
Deferred Taxes |
1,096,158 |
1,183,460 |
1,176,740 |
Leases |
25,300 |
26,315 |
22,817 |
Concession Financial Assets |
1,091,624 |
934,646 |
762,899 |
Employee Pension Plans |
5,800 |
5,800 |
11,053 |
Investments at Cost |
116,654 |
116,654 |
116,592 |
Other Credits |
222,109 |
222,100 |
243,124 |
Property, Plant and Equipment |
5,965,171 |
5,786,465 |
5,464,568 |
Intangible |
6,564,805 |
6,584,874 |
6,241,570 |
TOTAL NON-CURRENT ASSETS |
16,532,943 |
16,158,607 |
15,280,007 |
TOTAL ASSETS |
23,478,549 |
20,056,797 |
18,983,500 |
Page 29 of 36
2Q11 Results | August 10, 2011 |
|
Consolidated | ||
LIABILITIES AND SHAREHOLDERS' EQUITY |
06/30/2011 |
12/31/2010 |
06/30/2010 |
LIABILITIES |
|||
CURRENT LIABILITIES |
|||
Suppliers |
1,093,951 |
1,047,385 |
1,078,981 |
Accrued Interest on Debts |
48,947 |
40,516 |
35,381 |
Accrued Interest on Debentures |
153,708 |
118,066 |
114,217 |
Loans and Financing |
976,004 |
578,867 |
526,474 |
Debentures |
1,385,227 |
1,509,958 |
526,200 |
Employee Pension Plans |
37,762 |
40,103 |
43,006 |
Regulatory Charges |
139,745 |
123,541 |
110,360 |
Taxes, Fees and Contributions |
505,473 |
455,248 |
513,272 |
Dividends and Interest on Equity |
23,442 |
23,813 |
18,381 |
Accrued Liabilities |
120,728 |
58,688 |
64,024 |
Derivatives |
53,581 |
3,982 |
1,281 |
Public Utilities |
27,610 |
17,287 |
16,483 |
Other Accounts Payable |
483,344 |
410,869 |
378,132 |
TOTAL CURRENT LIABILITIES |
5,049,523 |
4,428,323 |
3,426,192 |
NON-CURRENT LIABILITIES |
|||
Accrued Interest on Debts |
56,495 |
29,155 |
8,733 |
Loans and Financing |
4,837,052 |
4,917,843 |
3,952,247 |
Debentures |
4,874,463 |
2,212,314 |
2,946,876 |
Employee Pension Plans |
493,030 |
570,877 |
643,859 |
Taxes, Fees and Contributions |
838 |
960 |
1,309 |
Deferred Taxes |
275,104 |
277,767 |
279,815 |
Reserve for Contingencies |
314,210 |
291,265 |
269,611 |
Derivatives |
442 |
7,883 |
1,134 |
Public Utilities |
436,526 |
429,632 |
417,958 |
Other Accounts Payable |
94,782 |
141,124 |
244,210 |
TOTAL NON-CURRENT LIABILITIES |
11,382,942 |
8,878,819 |
8,765,752 |
SHAREHOLDERS' EQUITY |
|||
Capital |
4,793,424 |
4,793,424 |
4,793,424 |
Capital Reserve |
16 |
16 |
16 |
Profit Reserve |
418,665 |
418,665 |
341,751 |
Additional Proposed Dividend |
- |
486,040 |
774,429 |
Revaluation Reserve |
808,593 |
795,563 |
781,185 |
Retained Earning (Loss) |
760,744 |
- |
(154,622) |
6,781,442 |
6,493,708 |
6,536,183 | |
Noncontrolling Interests |
264,642 |
255,948 |
255,373 |
TOTAL SHAREHOLDERS' EQUITY |
7,046,084 |
6,749,656 |
6,791,556 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY |
23,478,549 |
20,056,797 |
18,983,500 |
Page 30 of 36
2Q11 Results | August 10, 2011 |
Consolidated | ||||||||
2Q11 | 2Q10 | Variation | 1H11 | 2H10 | Variation | |||
OPERATING REVENUES | ||||||||
Electricity Sales to Final Customers(1) |
3,587,803 | 3,379,946 | 6.15% | 7,191,479 | 6,939,015 | 3.64% | ||
Electricity Sales to Distributors |
298,447 | 267,569 | 11.54% | 574,804 | 497,507 | 15.54% | ||
Revenue from building the infrastructure |
250,415 | 253,020 | -1.03% | 464,017 | 403,464 | 15.01% | ||
Other Operating Revenues(1) |
378,823 | 319,500 | 18.57% | 794,953 | 630,831 | 26.02% | ||
4,515,489 | 4,220,035 | 7.00% | 9,025,253 | 8,470,817 | 6.55% | |||
DEDUCTIONS FROM OPERATING REVENUES | (1,470,631) | (1,352,476) | 8.74% | (2,957,612) | (2,724,533) | 8.55% | ||
NET OPERATING REVENUES | 3,044,857 | 2,867,559 | 6.18% | 6,067,641 | 5,746,284 | 5.59% | ||
COST OF ELECTRIC ENERGY SERVICES | ||||||||
Electricity Purchased for Resale |
(1,215,522) | (1,216,936) | -0.12% | (2,330,257) | (2,343,769) | -0.58% | ||
Electricity Network Usage Charges |
(308,930) | (292,538) | 5.60% | (612,856) | (573,013) | 6.95% | ||
(1,524,451) | (1,509,474) | 0.99% | (2,943,113) | (2,916,782) | 0.90% | |||
OPERATING COSTS AND EXPENSES | ||||||||
Personnel |
(205,759) | (146,123) | 40.81% | (357,799) | (293,358) | 21.97% | ||
Material |
(23,325) | (19,257) | 21.13% | (41,536) | (36,214) | 14.70% | ||
Outsourced Services |
(136,059) | (110,092) | 23.59% | (257,022) | (208,969) | 23.00% | ||
Other Operating Costs/Expenses |
(90,276) | (38,273) | 135.87% | (169,669) | (114,521) | 48.16% | ||
Cost of building the infrastructure |
(250,415) | (253,020) | -1.03% | (464,017) | (403,464) | 15.01% | ||
Employee Pension Plans |
22,352 | 21,803 | 2.52% | 44,704 | 43,605 | 2.52% | ||
Depreciation and Amortization |
(154,019) | (120,950) | 27.34% | (296,115) | (238,069) | 24.38% | ||
Amortization of Concession's Intangible |
(46,013) | (48,041) | -4.22% | (92,026) | (92,729) | -0.76% | ||
(883,515) | (713,953) | 23.75% | (1,633,482) | (1,343,719) | 21.56% | |||
EBITDA | 814,571 | 791,320 | 2.94% | 1,834,484 | 1,772,976 | 3.47% | ||
EBIT | 636,891 | 644,132 | -1.12% | 1,491,046 | 1,485,783 | 0.35% | ||
FINANCIAL INCOME (EXPENSE) | ||||||||
Financial Income |
125,524 | 101,865 | 23.23% | 251,438 | 202,292 | 24.29% | ||
Financial Expenses |
(307,574) | (185,989) | 65.37% | (564,593) | (368,423) | 53.25% | ||
(182,050) | (84,124) | 116.41% | (313,156) | (166,131) | 88.50% | |||
INCOME BEFORE TAXES ON INCOME | 454,841 | 560,008 | -18.78% | 1,177,891 | 1,319,652 | -10.74% | ||
Social Contribution |
(41,890) | (53,133) | -21.16% | (110,682) | (125,675) | -11.93% | ||
Income Tax |
(118,868) | (147,105) | -19.20% | (307,251) | (346,344) | -11.29% | ||
NET INCOME | 294,083 | 359,770 | -18.26% | 759,958 | 847,633 | -10.34% | ||
Controlling Shareholders' Interest | 287,929 | 355,101 | -18.92% | 747,709 | 838,027 | -10.78% | ||
Non-Controlling Shareholders' Interest | 6,154 | 4,669 | 31.80% | 12,248 | 9,606 | 27.51% |
Note: (1) TUSD revenue from captive customers reclassified from the line of “other operating revenues” to the line of “electricity sales to final customers”.
Page 31 of 36
2Q11 Results | August 10, 2011 |
Consolidated | ||||||||
|
|
2Q11 |
2Q10 |
Variation |
|
1H11 |
2H10 |
Variation |
OPERATING REVENUES |
|
|
||||||
Eletricity Sales to Final Consumers |
|
- |
- |
0.00% |
|
- |
- |
0.00% |
Eletricity Sales to Distributors |
|
369,052 |
273,772 |
34.80% |
|
733,412 |
533,616 |
37.44% |
Other Operating Revenues |
|
474 |
2,654 |
-82.15% |
|
1,169 |
5,239 |
-77.68% |
|
369,526 |
276,426 |
33.68% |
|
734,581 |
538,855 |
36.32% | |
|
|
|||||||
DEDUCTIONS FROM OPERATING REVENUES |
|
(22,315) |
(17,338) |
28.71% |
|
(44,745) |
(31,443) |
42.31% |
NET OPERATING REVENUES |
|
347,211 |
259,088 |
34.01% |
|
689,836 |
507,412 |
35.95% |
|
|
|||||||
COST OF ELETRIC ENERGY SERVICES |
|
|
||||||
Eletricity Purchased for Resale |
|
(4,927) |
(25,245) |
-80.48% |
|
(15,089) |
(33,801) |
-55.36% |
Eletricity Network Usage Charges |
|
(21,278) |
(10,423) |
104.15% |
|
(36,345) |
(20,989) |
73.16% |
|
(26,205) |
(35,668) |
-26.53% |
|
(51,434) |
(54,790) |
-6.13% | |
OPERATING COSTS AND EXPENSES |
|
|
||||||
Personnel |
|
(14,038) |
(8,906) |
57.63% |
|
(24,708) |
(17,151) |
44.06% |
Material |
|
(2,539) |
(750) |
238.56% |
|
(3,291) |
(1,423) |
131.28% |
Outsourced Services |
|
(14,035) |
(6,853) |
104.81% |
|
(23,285) |
(12,861) |
81.05% |
Other Operating Costs/Expenses |
|
(28,683) |
(12,917) |
122.06% |
|
(45,675) |
(32,494) |
40.56% |
Employee Pension Plans |
|
621 |
299 |
107.53% |
|
1,241 |
598 |
107.53% |
Depreciation and Amortization |
|
(66,568) |
(38,723) |
71.91% |
|
(120,778) |
(77,362) |
56.12% |
Amortization of Concession's Intangible |
|
(4,834) |
(6,245) |
-22.59% |
|
(9,669) |
(10,652) |
-9.23% |
|
(130,079) |
(74,095) |
75.56% |
|
(226,165) |
(151,345) |
49.44% | |
|
|
|||||||
EBITDA |
|
261,709 |
193,994 |
34.91% |
|
541,443 |
388,693 |
39.30% |
|
|
|||||||
EBIT |
|
190,927 |
149,325 |
27.86% |
|
412,237 |
301,277 |
36.83% |
|
|
|||||||
FINANCIAL INCOME (EXPENSE) |
|
|
||||||
Financial Income |
|
27,871 |
12,170 |
129.01% |
|
47,995 |
19,823 |
142.12% |
Financial Expenses |
|
(145,612) |
(75,023) |
94.09% |
|
(260,000) |
(144,080) |
80.46% |
Interest on Equity |
|
- |
- |
- |
|
- |
- |
0.00% |
|
(117,742) |
(62,853) |
87.33% |
|
(212,005) |
(124,257) |
70.62% | |
|
|
|||||||
INCOME BEFORE TAXES ON INCOME |
|
73,186 |
86,472 |
-15.36% |
|
200,232 |
177,020 |
13.11% |
|
|
|||||||
Social Contribution |
|
(3,167) |
(5,459) |
-41.98% |
|
(14,038) |
(14,169) |
-0.92% |
Income Tax |
|
(9,108) |
(14,616) |
-37.69% |
|
(38,607) |
(38,585) |
0.06% |
|
|
|||||||
NET INCOME |
|
60,911 |
66,397 |
-8.26% |
|
147,587 |
124,266 |
18.77% |
Controlling Shareholders' Interest |
|
54,757 |
61,891 |
-11.53% |
|
135,338 |
116,108 |
16.56% |
Non-Controlling Shareholders' Interest |
|
6,154 |
4,506 |
36.57% |
|
12,248 |
8,158 |
50.13% |
Page 32 of 36
2Q11 Results | August 10, 2011 |
Consolidated | ||||||||
|
|
2Q11 |
2Q10 |
Variation |
|
2H11 |
2H10 |
Variation |
OPERATING REVENUES |
|
|||||||
Electricity Sales to Final Customers(1) |
3,418,312 |
3,241,137 |
5.47% |
|
6,856,701 |
6,670,836 |
2.79% | |
Electricity Sales to Distributors |
57,735 |
36,854 |
56.66% |
|
90,382 |
53,535 |
68.83% | |
Revenue from building the infrastructure |
250,415 |
253,020 |
-1.03% |
|
464,017 |
403,464 |
15.01% | |
Other Operating Revenues(1) |
362,914 |
298,948 |
21.40% |
|
740,921 |
578,592 |
28.06% | |
|
4,089,376 |
3,829,959 |
6.77% |
|
8,152,021 |
7,706,427 |
5.78% | |
|
|
|||||||
DEDUCTIONS FROM OPERATING REVENUES |
(1,428,652) |
(1,317,198) |
8.46% |
|
(2,872,453) |
(2,657,930) |
8.07% | |
NET OPERATING REVENUES |
2,660,724 |
2,512,761 |
5.89% |
|
5,279,568 |
5,048,497 |
4.58% | |
|
|
|||||||
COST OF ELECTRIC ENERGY SERVICES |
|
|||||||
Electricity Purchased for Resale |
(1,245,424) |
(1,185,045) |
5.10% |
|
(2,389,921) |
(2,314,711) |
3.25% | |
Electricity Network Usage Charges |
(288,357) |
(283,895) |
1.57% |
|
(577,870) |
(555,607) |
4.01% | |
|
(1,533,781) |
(1,468,940) |
4.41% |
|
(2,967,791) |
(2,870,318) |
3.40% | |
OPERATING COSTS AND EXPENSES |
|
|
||||||
Personnel |
|
(172,712) |
(125,181) |
37.97% |
|
(299,808) |
(252,339) |
18.81% |
Material |
|
(17,341) |
(16,508) |
5.05% |
|
(32,565) |
(30,354) |
7.28% |
Outsourced Services |
|
(117,110) |
(91,494) |
28.00% |
|
(226,330) |
(178,781) |
26.60% |
Other Operating Costs/Expenses |
|
(58,546) |
(20,505) |
185.53% |
|
(123,823) |
(80,000) |
54.78% |
Cost of building the infrastructure |
|
(250,415) |
(253,020) |
-1.03% |
|
(464,017) |
(403,464) |
15.01% |
Employee Pension Plans |
|
21,732 |
21,504 |
1.06% |
|
43,463 |
43,007 |
1.06% |
Depreciation and Amortization |
|
(85,964) |
(81,083) |
6.02% |
|
(172,414) |
(158,501) |
8.78% |
Amortization of Concession's Intangible |
|
(4,881) |
(4,918) |
-0.74% |
|
(9,763) |
(9,837) |
-0.75% |
|
(685,239) |
(571,205) |
19.96% |
|
(1,285,258) |
(1,070,269) |
20.09% | |
|
|
|||||||
EBITDA |
|
510,818 |
537,113 |
-4.90% |
|
1,165,233 |
1,233,241 |
-5.51% |
|
|
|||||||
EBIT |
|
441,705 |
472,616 |
-6.54% |
|
1,026,519 |
1,107,910 |
-7.35% |
|
|
|||||||
FINANCIAL INCOME (EXPENSE) |
|
|
||||||
Financial Income |
|
95,339 |
76,849 |
24.06% |
|
187,773 |
150,526 |
24.74% |
Financial Expenses |
|
(139,158) |
(87,557) |
58.93% |
|
(262,366) |
(179,879) |
45.86% |
Interest on Equity |
|
- |
- |
- |
|
- |
- |
- |
|
(43,819) |
(10,708) |
309.22% |
|
(74,594) |
(29,353) |
154.13% | |
|
|
|||||||
INCOME BEFORE TAXES ON INCOME |
|
397,885 |
461,908 |
-13.86% |
|
951,925 |
1,078,557 |
-11.74% |
|
|
|||||||
Social Contribution |
|
(30,107) |
(36,278) |
-17.01% |
|
(80,579) |
(92,211) |
-12.61% |
Income Tax |
|
(81,948) |
(97,746) |
-16.16% |
|
(220,515) |
(251,267) |
-12.24% |
|
|
|||||||
NET INCOME |
|
285,830 |
327,884 |
-12.83% |
|
650,831 |
735,079 |
-11.46% |
Note: (1) TUSD revenue from captive customers reclassified from the line of “other operating revenues” to the line of “electricity
sales to final customers”.
Page 33 of 36
v
2Q11 Results | August 10, 2011 |
Summary of Income Statement by Distribution Company (R$ Thousands) | ||||||
CPFL PAULISTA | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
2H10 |
Var. |
Gross Operating Revenues |
2,076,085 |
1,947,904 |
6.6% |
4,073,259 |
3,944,499 |
3.3% |
Net Operating Revenues |
1,349,990 |
1,272,324 |
6.1% |
2,628,862 |
2,581,849 |
1.8% |
Cost of Electric Power |
(800,742) |
(764,609) |
4.7% |
(1,522,700) |
(1,465,079) |
3.9% |
Operating Costs & Expenses |
(349,682) |
(254,207) |
37.6% |
(633,685) |
(499,995) |
26.7% |
EBIT |
199,566 |
253,508 |
-21.3% |
472,477 |
616,775 |
-23.4% |
EBITDA |
224,273 |
271,636 |
-17.4% |
522,035 |
652,947 |
-20.0% |
Financial Income (Expense) |
(11,716) |
15,194 |
-177.1% |
(18,218) |
10,123 |
-280.0% |
Income Before Taxes |
187,849 |
268,702 |
-30.1% |
454,259 |
626,898 |
-27.5% |
NET INCOME |
129,620 |
183,453 |
-29.3% |
305,148 |
420,110 |
-27.4% |
CPFL PIRATININGA | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
2H10 |
Var. |
Gross Operating Revenues |
962,249 |
899,829 |
6.9% |
1,998,510 |
1,810,411 |
10.4% |
Net Operating Revenues |
612,074 |
586,475 |
4.4% |
1,278,549 |
1,176,294 |
8.7% |
Cost of Electric Power |
(346,817) |
(331,272) |
4.7% |
(672,173) |
(653,319) |
2.9% |
Operating Costs & Expenses |
(145,698) |
(151,173) |
-3.6% |
(301,015) |
(264,815) |
13.7% |
EBIT |
119,559 |
104,030 |
14.9% |
305,361 |
258,160 |
18.3% |
EBITDA |
132,075 |
117,724 |
12.2% |
331,279 |
283,667 |
16.8% |
Financial Income (Expense) |
(11,722) |
(15,719) |
-25.4% |
(20,313) |
(20,316) |
0.0% |
Income Before Taxes |
107,837 |
88,311 |
22.1% |
285,048 |
237,844 |
19.8% |
NET INCOME |
73,929 |
61,189 |
20.8% |
190,809 |
160,062 |
19.2% |
RGE | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
2H10 |
Var. |
Gross Operating Revenues |
816,008 |
782,272 |
4.3% |
1,627,845 |
1,560,548 |
4.3% |
Net Operating Revenues |
537,556 |
520,792 |
3.2% |
1,065,181 |
1,029,209 |
3.5% |
Cost of Electric Power |
(309,714) |
(300,901) |
2.9% |
(621,264) |
(608,201) |
2.1% |
Operating Costs & Expenses |
(136,678) |
(132,805) |
2.9% |
(254,845) |
(243,043) |
4.9% |
EBIT |
91,164 |
87,086 |
4.7% |
189,072 |
177,965 |
6.2% |
EBITDA |
117,991 |
115,169 |
2.5% |
242,372 |
232,730 |
4.1% |
Financial Income (Expense) |
(18,718) |
(10,669) |
75.4% |
(33,424) |
(20,034) |
66.8% |
Income Before Taxes |
72,445 |
76,417 |
-5.2% |
155,648 |
157,931 |
-1.4% |
NET INCOME |
60,360 |
62,938 |
-4.1% |
115,186 |
116,394 |
-1.0% |
CPFL SANTA CRUZ | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
2H10 |
Var. |
Gross Operating Revenues |
98,081 |
79,898 |
22.8% |
187,140 |
159,619 |
17.2% |
Net Operating Revenues |
67,690 |
54,210 |
24.9% |
127,810 |
108,913 |
17.4% |
Cost of Electric Power |
(33,232) |
(31,089) |
6.9% |
(64,918) |
(61,051) |
6.3% |
Operating Costs & Expenses |
(21,503) |
(16,597) |
29.6% |
(39,642) |
(31,780) |
24.7% |
EBIT |
12,955 |
6,524 |
98.6% |
23,250 |
16,082 |
44.6% |
EBITDA |
15,138 |
8,683 |
74.3% |
27,567 |
20,162 |
36.7% |
Financial Income (Expense) |
(987) |
227 |
-534.9% |
(1,582) |
369 |
-528.7% |
Income Before Taxes |
11,968 |
6,751 |
77.3% |
21,669 |
16,451 |
31.7% |
NET INCOME |
8,746 |
5,214 |
67.7% |
15,112 |
11,517 |
31.2% |
Page 34 of 36
2Q11 Results | August 10, 2011 |
Summary of Income Statement by Distribution Company (R$ Thousands) | ||||||
CPFL LESTE PAULISTA | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
2H10 |
Var. |
Gross Operating Revenues |
33,954 |
29,889 |
13.6% |
63,359 |
56,615 |
11.9% |
Net Operating Revenues |
24,494 |
21,141 |
15.9% |
45,091 |
39,351 |
14.6% |
Cost of Electric Power |
(9,629) |
(7,533) |
27.8% |
(18,130) |
(16,008) |
13.3% |
Operating Costs & Expenses |
(9,198) |
(6,249) |
47.2% |
(16,305) |
(10,871) |
50.0% |
EBIT |
5,666 |
7,359 |
-23.0% |
10,656 |
12,472 |
-14.6% |
EBITDA |
6,685 |
8,265 |
-19.1% |
12,670 |
14,273 |
-11.2% |
Financial Income (Expense) |
(685) |
(99) |
592.2% |
(1,238) |
(269) |
360.1% |
Income Before Taxes |
4,981 |
7,260 |
-31.4% |
9,419 |
12,203 |
-22.8% |
NET INCOME |
3,646 |
4,913 |
-25.8% |
6,527 |
8,186 |
-20.3% |
CPFL SUL PAULISTA | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
2H10 |
Var. |
Gross Operating Revenues |
43,903 |
37,991 |
15.6% |
86,146 |
72,910 |
18.2% |
Net Operating Revenues |
30,354 |
25,222 |
20.3% |
59,314 |
48,615 |
22.0% |
Cost of Electric Power |
(14,110) |
(13,904) |
1.5% |
(28,459) |
(27,646) |
2.9% |
Operating Costs & Expenses |
(10,234) |
(5,746) |
78.1% |
(18,681) |
(9,909) |
88.5% |
EBIT |
6,010 |
5,572 |
7.9% |
12,173 |
11,060 |
10.1% |
EBITDA |
6,834 |
6,238 |
9.5% |
13,759 |
12,381 |
11.1% |
Financial Income (Expense) |
(102) |
14 |
-826.2% |
(95) |
193 |
-149.5% |
Income Before Taxes |
5,909 |
5,586 |
5.8% |
12,078 |
11,253 |
7.3% |
NET INCOME |
4,361 |
4,031 |
8.2% |
8,326 |
7,780 |
7.0% |
CPFL JAGUARI | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
2H10 |
Var. |
Gross Operating Revenues |
39,056 |
34,612 |
12.8% |
76,563 |
67,614 |
13.2% |
Net Operating Revenues |
25,488 |
21,594 |
18.0% |
49,529 |
42,930 |
15.4% |
Cost of Electric Power |
(14,240) |
(13,588) |
4.8% |
(28,831) |
(27,089) |
6.4% |
Operating Costs & Expenses |
(6,532) |
(3,576) |
82.7% |
(11,155) |
(7,480) |
49.1% |
EBIT |
4,716 |
4,430 |
6.5% |
9,543 |
8,361 |
14.1% |
EBITDA |
5,278 |
4,921 |
7.2% |
10,643 |
9,320 |
14.2% |
Financial Income (Expense) |
200 |
138 |
45.2% |
317 |
296 |
7.1% |
Income Before Taxes |
4,917 |
4,568 |
7.6% |
9,860 |
8,657 |
13.9% |
NET INCOME |
3,557 |
3,102 |
14.7% |
6,821 |
5,976 |
14.1% |
CPFL MOCOCA | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
2H10 |
Var. |
Gross Operating Revenues |
23,808 |
20,169 |
18.0% |
45,731 |
39,815 |
14.9% |
Net Operating Revenues |
16,525 |
13,487 |
22.5% |
31,197 |
26,740 |
16.7% |
Cost of Electric Power |
(8,420) |
(7,882) |
6.8% |
(16,845) |
(15,370) |
9.6% |
Operating Costs & Expenses |
(6,038) |
(1,501) |
302.2% |
(10,365) |
(4,335) |
139.1% |
EBIT |
2,068 |
4,104 |
-49.6% |
3,987 |
7,035 |
-43.3% |
EBITDA |
2,545 |
4,474 |
-43.1% |
4,909 |
7,761 |
-36.7% |
Financial Income (Expense) |
(89) |
207 |
-143.0% |
(41) |
285 |
-114.5% |
Income Before Taxes |
1,979 |
4,311 |
-54.1% |
3,946 |
7,320 |
-46.1% |
NET INCOME |
1,611 |
3,042 |
-47.1% |
2,903 |
5,054 |
-42.6% |
Page 35 of 36
2Q11 Results | August 10, 2011 |
CPFL Paulista | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
1H10 |
Var. |
Residential |
1,812 |
1,774 |
2.1% |
3,725 |
3,585 |
3.9% |
Industrial |
1,217 |
1,375 |
-11.5% |
2,390 |
2,726 |
-12.3% |
Commercial |
1,126 |
1,070 |
5.2% |
2,334 |
2,204 |
5.9% |
Others |
894 |
889 |
0.6% |
1,782 |
1,735 |
2.7% |
Total |
5,049 |
5,108 |
-1.2% |
10,231 |
10,249 |
-0.2% |
CPFL Piratininga | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
1H10 |
Var. |
Residential |
808 |
787 |
2.6% |
1,691 |
1,620 |
4.4% |
Industrial |
702 |
761 |
-7.8% |
1,405 |
1,470 |
-4.4% |
Commercial |
441 |
442 |
-0.3% |
929 |
918 |
1.3% |
Others |
255 |
238 |
7.1% |
504 |
472 |
6.8% |
Total |
2,205 |
2,229 |
-1.1% |
4,529 |
4,480 |
1.1% |
RGE | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
1H10 |
Var. |
Residential |
479 |
471 |
1.6% |
979 |
961 |
1.9% |
Industrial |
540 |
625 |
-13.6% |
1,066 |
1,219 |
-12.5% |
Commercial |
293 |
284 |
3.0% |
613 |
590 |
4.0% |
Others |
559 |
490 |
14.1% |
1,143 |
1,010 |
13.1% |
Total |
1,870 |
1,870 |
0.0% |
3,801 |
3,780 |
0.6% |
CPFL Santa Cruz | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
1H10 |
Var. |
Residential |
73 |
72 |
1.8% |
148 |
144 |
3.0% |
Industrial |
49 |
42 |
15.4% |
91 |
82 |
11.2% |
Commercial |
37 |
35 |
5.1% |
77 |
73 |
5.9% |
Others |
83 |
74 |
11.8% |
156 |
144 |
8.6% |
Total |
242 |
224 |
8.2% |
473 |
443 |
6.8% |
CPFL Jaguari | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
1H10 |
Var. |
Residential |
18 |
18 |
0.0% |
37 |
36 |
2.7% |
Industrial |
70 |
70 |
-0.2% |
138 |
138 |
0.3% |
Commercial |
10 |
9 |
11.4% |
21 |
18 |
11.1% |
Others |
9 |
9 |
1.8% |
18 |
18 |
3.6% |
Total |
107 |
106 |
1.0% |
214 |
210 |
2.0% |
CPFL Mococa | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
1H10 |
Var. |
Residential |
16 |
15 |
1.2% |
32 |
31 |
4.9% |
Industrial |
15 |
15 |
-2.6% |
30 |
31 |
-2.2% |
Commercial |
7 |
6 |
6.5% |
14 |
13 |
8.0% |
Others |
13 |
15 |
-13.2% |
26 |
28 |
-8.1% |
Total |
50 |
52 |
-3.4% |
102 |
103 |
-0.4% |
CPFL Leste Paulista | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
1H10 |
Var. |
Residential |
21 |
21 |
2.6% |
43 |
40 |
7.1% |
Industrial |
7 |
18 |
-62.6% |
14 |
36 |
-61.3% |
Commercial |
10 |
9 |
9.4% |
19 |
18 |
8.6% |
Others |
26 |
29 |
-8.9% |
47 |
49 |
-4.4% |
Total |
64 |
76 |
-16.2% |
124 |
143 |
-13.8% |
CPFL Sul Paulista | ||||||
|
2Q11 |
2Q10 |
Var. |
1H11 |
1H10 |
Var. |
Residential |
30 |
29 |
5.7% |
61 |
56 |
8.9% |
Industrial |
28 |
35 |
-19.2% |
57 |
70 |
-18.5% |
Commercial |
12 |
12 |
7.4% |
26 |
24 |
7.6% |
Others |
22 |
22 |
1.7% |
44 |
44 |
0.6% |
Total |
93 |
97 |
-4.0% |
188 |
194 |
-3.1% |
Page 36 of 36
CPFL ENERGIA S.A. | ||
|
By: |
/S/ LORIVAL NOGUEIRA LUZ JUNIOR
|
Name: Title: |
Lorival Nogueira Luz Junior Chief Financial Officer and Head of Investor Relations |
This press release may contain forward-looking statements. These statements are statements that are not historical facts, and are based on management's current view and estimates of future economic circumstances, industry conditions, company performance and financial results. The words "anticipates", "believes", "estimates", "expects", "plans" and similar expressions, as they relate to the company, are intended to identify forward-looking statements. Statements regarding the declaration or payment of dividends, the implementation of principal operating and financing strategies and capital expenditure plans, the direction of future operations and the factors or trends affecting financial condition, liquidity or results of operations are examples of forward-looking statements. Such statements reflect the current views of management and are subject to a number of risks and uncertainties. There is no guarantee that the expected events, trends or results will actually occur. The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially from current expectations.