Q4 2025 EDP SA Earnings Call

February 26, 2026

Operator: Good morning. We welcome you to EDP's 2025 Final Year Results Presentation Conference Call. During the presentation, all participants will be on listen-only mode. There will be opportunity to ask questions after the presentation. If you wish to ask a question during the Q&A session, you will need to press star one one on your telephone keypad. You will then hear an automatic message advising your hand is raised. To withdraw your question, please press star one one again. Alternatively, if you wish to ask a question via the webcast, please use Q&A box available on the webcast link at any time during live event. If you're experiencing any difficulty in listening to the conference at any time, please make sure you have your headset fully charged and plugged in. Alternatively, please try calling from a different device. I'll now hand the conference over to Mr.

Good morning, welcome to true Edp's 2025 final results presentation conference call joining.

During the presentation, all participants will be on listen only mode.

There will be opportunity to ask questions. After the presentation.

If you wish to ask a question during the Q&A session, you will need to press star one one on the telephone keypad.

We'll go get another magic message advising you had this waste to.

Can we draw a question. Please press star one again.

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Operator: I'll now hand the conference over to Mr. Miguel Viana, Head of IR and ESG. Please go ahead.

I'll now hand, the conference over to Mr. Miguel Viana head to figure out and E. S. G. Please go ahead.

Operator: Miguel Viana, Head of IR and ESG. Please go ahead.

Yeah.

Miguel Viana: Good morning. Thanks for attending, EDP's 2025 results conference call. We have today with us our CEO, Miguel Stilwell d'Andrade, and our CFO, Rui Teixeira, which will present you the main highlights of our strategy discussion and 2025 financial performance. We'll then move to the Q&A session, in which we'll be taking your questions, starting with written questions that you can insert from now onwards at our webcast platform, and then by phone. I'll give now the floor to our CEO, Miguel Stilwell d'Andrade.

Good morning, Thanks for attending Edp's 2000, <unk> results conference call.

Yesterday, we then we go to them and.

So with this data we will present you the main highlights of our strategy execution and.

Financial performance.

We will then move to the Q&A session, which will be taking your questions starting with recent questions that you're getting from now onwards, our webcast platform and then by phone I'll give the floor to our CEO.

Uh huh.

Miguel Stilwell d'Andrade: Thank you, Miguel. Good morning, everyone, and welcome to the 2025 Results Conference Call. Just before presenting our results, and as yesterday, I just wanted to address the extreme weather event that impacted Portugal. As you know, Portugal was hit by a series of devastating storms, starting at the end of January and then well into February, to a certain point, had winds over 200 km/h. Which really caused unprecedented physical damage to infrastructure in the country, including our own network infrastructure, and also customers. I think the first thing to say is that we immediately responded with a very coordinated and large-scale support from all the internal and external teams.

Good morning, everyone and welcome to 30 to 35 results conference call.

Just before.

Presenting our results yesterday I just wanted to address.

Stream weather events.

In fact that Portugal.

And.

As you know.

Portugal was hit by a series of.

Devastating storm starting at the end of January and then well into February to certain point wins over 200 kilometers an hour.

Which really caused unprecedented physical damage to infrastructure in the country, including our own network infrastructure.

Also customers.

The first thing to say is that we immediately responded with a very coordinated and large scale support from all the internal and external teams I mean, we had people coming in Spain.

Miguel Stilwell d'Andrade: I mean, we had people coming in from Spain, Brazil, France, and Ireland. I just wanted to thank also all those teams. The networks and the hydropower teams worked round the clock to limit the damage caused by the storm and to restore power to our consumers. Naturally, the first thing is our thoughts are with the people and the communities affected. We understand the damage that this has caused, the frustration from people that had no power over those weeks. From the beginning, our first priority was to reestablish power in the quickest, safest, and the most effective way possible. We have now recovered 100% of the customers, only very few specific situations outstanding that will be resolved very shortly, I think the worst is definitely over.

Spain, Brazil, France, and Ireland and I just wanted to thank also all of those teams.

The networks and the hydropower teams worked around the clock to limit the damage caused by the storm and to restore power to consumers.

Naturally.

First thing is our thoughts are with the people and the communities affected.

We understand.

The damage that this has caused the frustration from people that had no power over those weeks.

And from the beginning our first priority was to reestablish power and the quickest safest and the most effective way possible.

We have now recovered 100% of the customers only very few specific situations outstanding.

That will be resolved very shortly but I think the worst is definitely over.

Miguel Stilwell d'Andrade: I also wanted to extend a really sincere word of appreciation for the absolutely extraordinary professionalism and dedication demonstrated by the teams, both internal and external, across all the country. Their response from grid repairs, to the hydropower management, the community support, emergency logistics, it was absolutely exemplary. I think it really showed the best of EDP in terms of the commitment to stand with our customers and with the communities that we serve, especially in the moments where they need us most. I will come back to this later in the presentation, just to talk a little bit about the impact on us in more detail. I would move now into the bulk of the presentation and onto slide 3, which essentially shows an overview of our results for 2025.

I also wanted to extend a really sincere word of appreciation for the absolutely extraordinary professionalism and dedication that.

I'm excited by the teams both internal and external across the country I mean their response from grid repair to the hydro power management community supports emergency logistics I mean, it was absolutely exemplary.

I think it really showed the best of Edp and in terms of the commitment to spend with our customers and with the communities that we serve.

Especially in the moments, where they need us most.

I will come back to this later in the presentation just to talk a little bit about the impact for us in more detail.

But I wouldn't move now into the.

Bulk of the presentation.

And on to slide three which essentially shows.

An overview of our results for 2025, and I'd start off by saying ETP had a very strong set of results for 2025.

Miguel Stilwell d'Andrade: I'd start off by saying EDP had a very strong set of results for 2025. The recurring EBITDA reached EUR 5 billion, outperformed the EUR 4.9 billion guidance. It's mostly on the back of a better-than-expected Q4 in the integrated segment in Iberia, from above average hydro resources in Q4. If we compare that with 2024, EBITDA was up 1% year-over-year, it reflected a rebound in EDPR's performance, which, as you know, had record capacity additions towards the end of last year. Recurring net profit came in at EUR 1.3 billion, also above the guidance, although it's down 8% versus 2024, that's mostly explained by higher financial expenses.

The recurring EBITDA reached 5 billion euros, so outperformed the $4 9 billion guidance, it's mostly on the back of a better than expected fourth quarter and get integrated segments in Iberia.

From above average hydro resources in the fourth quarter.

If we compare that with 2024 EBITDA was up 1% year on year. So it reflected a rebound and EPS performance.

As you know had.

Record capacity additions towards the end of last year.

Recurring net profit came in at $1 3 billion. So also above the guidance, although it's down 8% versus the 'twenty 'twenty four and that's mostly explained by higher financial expenses.

Miguel Stilwell d'Andrade: Net debt ended the year very well at EUR 15.4 billion, better than the EUR 16 billion guidance. That led us to have a great FFO over net debt of 21%, compared with the 19% guidance. The upside versus guidance at all levels allowed us to then increase the shareholder return. We're proposing a dividend of EUR 0.205 per share. That's a small increase, which will be paid this year already in 2026. Obviously, subject to the general shareholders meeting approval. If we move forward into the next slide to talk a little bit more detail about the FlexGen and customers.

Net debt ended the year very well so at $15 4 billion better than the 16 guidance.

That led us to have a great <unk> over net debt of 21% compared with the 19% guidance. So the upside versus guidance at all levels allowed us to then increase to shareholder returns. So we're proposing a dividend.

The $20.05 per share.

So that's a small.

Small increase which will be paid this year already in 226.

Obviously subject to the general shareholders meeting approval.

If we move forward into the next slide to talk a little bit more detail about the flexjet and customers.

Miguel Stilwell d'Andrade: Here we see a structural uplift in the value of flexibility, and I really wanted to highlight, if you see here on the left-hand side, there's a chart from the International Energy Agency recently. It shows the capture rates in Spain by technology, and it shows how the market's increasingly rewarding assets that can respond to price volatility and the system needs. You can see natural gas capture prices obviously rising in 2024 and 2025. Hydro with reservoir also trending upwards, and more intermittent and less flexible technologies, particularly solar, you see obviously a decline in capture rates in 2025. The takeaway here is that flexibility is being structurally priced in and that we expect that to remain a long-term feature of the market. You can see that in the figures for EDP for 2025.

So here, we see a structural uplift in the value flexibility and I really wanted to highlight if you see here on the left hand side. There is a chart from the international Energy Agency.

Recently.

The capture rate in Spain by technology, and it shows how the markets increasingly rewarding assets that can respond to price volatility and the system needs and you can see natural gas capture prices, obviously rising 2400, 35 hydro with reservoir also trending upwards.

And more intimate and less cyclical technologies, particularly solar as he obviously decline in capture rates in 2025.

The takeaway here is that flexibility is being structurally priced in and that we expect not to remain a long term feature of the market.

And you can see that in the figures for Edp for 'twenty 'twenty five the hydro net generation was almost 10 terawatt hours.

Miguel Stilwell d'Andrade: The hydro net generation was almost 10 TWh. That's down 2% year-on-year, but still, very strong year for that. Hydro premium versus base load increased to 21%, reinforcing the value of the flexible output. On pumped hydro, the pumping volumes increased to 2.3 TWh on the year, up 24% year-on-year, with the pumping spread versus base load reaching 75%. Look at the right-hand side of the slide, we give there an update on the reservoir levels in 2026. Given the heavy rainfall, reservoir levels are at historically all-time highs. They've reached around 96% in February 2026, up from roughly 76% in January. That's consistent also with the hydro production index in Portugal, which has doubled its historical average year to date.

<unk>, 2% year on year, but still.

Very strong year for that hydro premium versus baseload increased to 21% reinforcing the value of the flexible output.

Pumped hydro pumping volumes increased to $2 three terawatt hours.

The year, so up 24% year on year with the pumping spreads versus baseload, reaching 75%.

The right hand side of the slide.

It gives you an update on the reservoir levels in 2026.

So given the heavy rainfall reservoir levels are at historically all time highs.

It's around 96% in February 2026 up from roughly 76% in January.

And that is consistent also with the hydro production index in Portugal, which doubled its historical average year to date so.

Miguel Stilwell d'Andrade: Obviously that's following the heavy storms, which I just talked about in Portugal in January and February. One important thing to note is that the market consequence of these extreme weather conditions is that we also had abnormally depressed pool prices, which, together with higher ancillary services costs in February, you know, it's shown by the Portuguese pool prices going from around EUR 71 per megawatt-hour in January to roughly EUR 8 per megawatt-hour until mid-February. More depressed pool prices in February, and higher ancillary service costs. If we move forward to the next slide and just in a little bit more detail on the storms here in Portugal, the first half of first February, essentially. First, as I mentioned, I just highlighting the efforts made by the team.

Mostly that following the heavy storms, which I just talked about.

In Portugal in January and February.

One important.

Thing to note is that the market consequence of these extreme weather conditions.

Normally depressed coal prices.

Which together with higher ancillary services cost in February.

It's shown by the Portuguese coal prices going from around 71 euros per megawatt hour in January to roughly eight euros per megawatt hour until mid February so more depressed coal prices in February.

And higher ancillary service costs.

If we move forward to the next slide and just in a little bit more detail on the on the storms here in Portugal in the first half.

February essentially.

First as I mentioned.

I was just highlighting the efforts made by the team so.

Miguel Stilwell d'Andrade: Huge efforts done to restore power and to make sure that the dams and that the flooding was limited. The storms impacted around 6,000 km of grid, damaged around 5,800 towers. We had more than 2,000 people mobilized on the ground, around 2,400 people. As I said, we were able to restore 100% of the customers already by this week. On hydro, we continuously monitor the rainfall. It's great to see using advanced hydrological models, so we were able to proactively or sort of anticipate what was coming down the road and to be able to also anticipate some of the discharges and coordinate that with the environmental authorities.

Huge effort to restore power and to make sure that the dams in debt.

The flooding was limited.

The storm's impact at around 6000 kilometers of grid damaged around 5800 towers.

We had more than 2000 people mobilized on the ground around 2400 people.

And as I said, we were able to restore.

100% of the customers already.

By this week.

On hydro we continuously monitor the rainfall.

Here was great to see us using it sounds hydrological models. So we were able to proactively aren't sort of anticipate.

What's coming down the road and then be able to also anticipates that this charges in court and coordinating that with the environmental authorities. So I think that there was a meaningful role in this.

Miguel Stilwell d'Andrade: I think that there was a meaningful role in flood control. On the more practical side, with customers and communities, you know, we have put in place schemes to ensure that payments and invoicing support for the customers impacted, as well as assistance with the solar DG reinstallations. On a more social level, we also delivered over 90 tons of essential materials, including sand, roofing tiles, tarpaulins, you know, basically to help people protect their homes. Obviously, we also helped, you know, people in more isolated areas get access to communications, including Starlink devices and power banks. In terms of financial impact, we're expecting that this will result in around EUR 80 million in CapEx, with infrastructure to rebuild, will be partially supported by insurance.

Flood control.

And then on the Morrow practical side with customers and communities.

<unk>.

Uh huh.

We have put in place schemes to ensure that payment and invoice in support for the customers impacted as well as the assistance with the solar DG re installations.

On a more social level, we also delivered over 90 tons of essential materials, including sand roofing tiles.

Parklands basically to help people protect their homes.

Obviously, we also helped.

People are more isolated areas get access to communications, including Starlink devices and power banks.

In terms of financial impact, we're expecting that this will result in around $18 million in capex with infrastructure to rebuild to be partially supported by insurance, we're still evaluating additional cost and impact and we will update that in the first quarter results, but clearly shows increasing vulnerabilities.

Miguel Stilwell d'Andrade: We're still evaluating additional costs and impacts, and we'll update that in the Q1 results. Clearly shows increasing vulnerability that, you know, climate change is causing and the importance above all, of resilient, flexible systems and long-term investment in networks. That takes me to the next slide, where I wanted to just stress that already before this event, so as of last year, we're already significantly ramping up the investment to respond to the growing needs of the system. You know, the electrification, the renewables integration, the grid resilience. Gross investments for the period 2026 to 2030 will reach EUR 4.1 billion, compared to the EUR 2.6 billion in the 2021 to 2025 period. That's a 58% increase overall in Iberia, slightly more in Portugal than in Spain.

Climate change is causing and the importance above all the resilience flexible systems and long term investments in networks and that takes me to the next slide.

I wanted to.

Stressed already before these events.

Last year, we were already significantly ramping up the investment to respond to the growing needs of the system.

The electrification the renewables integration the grid resilience.

Gross investments for the period 26 to 2030 will reach $4 1 billion euros.

Compared to the $2 6 billion in the 'twenty, one 'twenty five period, so that's a 58% increase overall in Iberia.

Something more in Portugal and in Spain.

Miguel Stilwell d'Andrade: Although both geographies are contributing significantly to this. In Portugal, it's around 66%, so almost 70% increase. The big part of this is strengthening grid resilience. We're assuming around or more than EUR 500 million for grid resilience to ensure that the network is prepared for higher loads, more distributed generation, and greater system complexity. Fortunately, this greater investment is underpinned by much stronger regulatory visibility, as we showed here on the right-hand side. As you know, the new regulatory framework sets out a 6.7% nominal pre-tax return for this period, till 2020-2029 in Portugal. In Spain, the framework establishes a 6.58% return for the period out till 2031.

Although both geographies are contributing significantly to this in Portugal around 66%, so almost 70% increase.

A big part of it is strengthen grid resilience.

We're assuming around or more than 500 million euros for grid resilient.

To ensure that the network is prepared for higher loads more distributed generation and greater system complexity.

And unfortunately this greater investments is underpinned by much stronger regulatory visibility as we showed here on the right hand side.

So as you know the new regulatory framework sets up to $6 seven nominal pretax return for this period until 2029, and Portugal and in Spain. The framework established as the $6, 58% return for the period out till 2031. So importantly, both framework is closed.

Miguel Stilwell d'Andrade: Importantly, both frameworks closed as of the end, as of the end of last year, giving us clarity and stability for the upcoming investment cycle. I think it's also important to note that in Portugal, the 2026 State Budget clarifies and the conditions under which new investments in the networks are exempted from the Extraordinary Tax. That supports really this incremental investment that we're doing in the networks. Still on networks, if we move forward to the next slide. You can see that the new regulatory terms and approval plans will allow an EBITDA growth in Iberia for networks. It grows to around over 1 billion over this period. We have to consider that in this period in Portugal, there are legacy revenues that end in 2026, worth around EUR 40 million.

End of last year.

Given us clarity and stability for the upcoming investment cycle.

It's also important to note that in Portugal to 20006 state budget clarifies.

And the conditions under which new investments and the metrics are exempted from the extraordinary tax so that supports really this incremental investment that we're doing it in the metrics.

Still on that Forex, if you move forward to the next slide.

The new regulatory terms and approval plans.

Will allow an EBITA growth in Iberia.

For networks.

It grows.

To round over $1 billion over this period.

Have to consider that in this period in Portugal their legacy revenues that end in 2026 worth around 40 million euros, removing that means that we would have a normalized 2025 EBITDA of around <unk> 9 billion.

Miguel Stilwell d'Andrade: Removing that means that we'd have a normalized 2025 EBITDA of around EUR 0.89 billion. That then reaches EUR 1.05 billion in 2028. That's an 18% EBITDA growth for 2025 to 2028, with updated already with the new terms. This isn't just a one-off step to 2028, this then continues to grow beyond 2028. That's supported by the approved returns and also the investment plans that we discussed on the previous slide. All this gives us confidence in the continued momentum, well beyond 2028 to 2030 and beyond that. If we move on to the next slide and just talking quickly about Iberia. I think what I'd say here is that Iberia is entering a period of much stronger electricity demand growth and driven by electrification.

And that then reaches the 1.05 billion in 2020, yet so that's an 18% EBITDA growth.

425% to 28.

With updated already with the new terms.

This isn't just a one off step to 2028. This then continues to grow beyond 2028, and that's supported by the improved returns and also the investment plans that we discussed on the previous slide. So all of this gives us confidence in the continued momentum well beyond 2028 to 2030 and beyond that.

If we move on to the next slide and just talking quickly about Iberia.

I think what I'd say here is that <unk> is entering a period of much stronger electricity demand growth driven by electrification.

Miguel Stilwell d'Andrade: On the left, you can see the power demand growth in 2025 versus 2024. Portugal leads at 3.6%, Spain at 2.8%, which means Iberia clearly outperforming several other European markets. It's not just a 1-year effect. I mean, obviously, we're seeing strong momentum into 2026. Just in January, the demand was 7.9% in Portugal and 4.8% in Spain, already adjusted for temperature. Going forward, we see our estimated 2% CAGR in the Iberian electricity demand over the period leading up to 2030. Demand growth should be supported overall, not just by the economy doing well, but by more than 18 GW of data center projects pipeline that have been announced or that are, you know, publicly available.

On the left you can see the power demand growth in 2025 versus 24, Portugal leads at three 6%, Spain at two 8% which means.

Clearly outperforming several of the European markets and it's not just a one year effect.

Obviously, we're seeing strong momentum into 2026.

So just in January the demand was seven 9% in Portugal that four 8% in Spain already.

Adjusted for temperature.

And going forward, we see our estimated 2% CAGR and the Iberian electricity demand over the period, leading up to 2030, so demand growth should be supported overall not just by the economy is doing well, but by more than 18 Gigawatts from data center projects pipeline that have been announced or that arm.

Publicly available.

Miguel Stilwell d'Andrade: I'd have to highlight here that EDP is obviously engaging with a lot of these projects. Two of the more advanced ones that certainly here in Portugal are the Merlin Data Center north of Lisbon, at 180MW. We had an MOU signed with them back in July of 2025, and also the Start Campus project in Sines, with an MOU that we signed yesterday. The Sines project, as you know, is expected to reach 1.2GW over the next couple of years. I can just detail a little bit more what that means in the Q&A, if you think that's appropriate. If we move forward to still two, talking about Iberia.

I'd have to highlight here that edp is obviously engaging with a lot of these projects two of the more advanced ones.

Certainly here in Portugal.

Are the Merlin data center North of Lisbon at 180 megawatts, you had an Mou signed with them back in July of 2025, and also to start campus project in seniors.

The Mou that we signed yesterday.

The <unk> project as you know is expected to reach one two gigawatts over the next couple of years.

And if I can just tell you tell a little bit more what that means in the Q&A. If she think that's appropriate.

If we move forward to still to I'm talking about Iberia and this is a slide which I think is also extremely important because it's not just about demand growth. It's also the Iberia combined this demand growth with structurally affordable power prices and.

Miguel Stilwell d'Andrade: This is a slide which I think is also extremely important, because it's not just about demand growth, it's also that Iberia combines this demand growth with structurally affordable power prices. That's supported by improving system fundamentals, and that's really an important advantage for customers, for electrification, for the broader competitiveness of the economy. When there's so much talk in Europe and elsewhere about affordability and about competitiveness, Iberia has a really distinctive advantage in Europe, and I think we will benefit from that, sort of on the electrification front. On the left-hand side, you can see the evolution of the B2C electricity prices. The key takeaway is that Portugal and Spain sit among the most affordable markets in Europe, around 17% below the European average.

That's supported by <unk>.

Improving system fundamentals and that's really an important advantage for customers for electrification for the broader competitive necessarily economy. So when there's so much talk in Europe and elsewhere about affordability about competitiveness Iberia has it really distinctive advantage in Europe, and I think we will benefit from that.

Electric pension fund.

On the left hand side, you can see the evolution of the BTC electricity prices.

And the key takeaway is that Portugal, Spain fit among the most affordable markets in Europe around 17% below the European average.

Miguel Stilwell d'Andrade: Going forward, at the European level, Northern Europe faces higher expected network investments that typically puts upward pressure on end user prices over time. By contrast, in Portugal and Spain, we have several structural elements that we think will support the affordability. One is that the historical electricity system debt is expected to be fully paid by 2028. That means that there'll be significant cost reductions in the tariff structure going forward. Second, there's a gradual phase out of legacy support schemes like the feed-in tariffs in Portugal and the RECORE scheme in Spain. That also reduces access tariff costs. In Portugal specifically, the regulator ERSE has simulated annualized reductions in the B2C reference end user tariffs from 2026 to 2030.

Going forward at the European level, Northern Europe faces higher expected network investments that typically puts upward pressure and then user prices over time, but by contrast in Portugal, and Spain. We have several structural elements that we think will support affordability. One is that the historical electricity system debt is expected to be fully paid by 2028.

That means that there'll be significant cost reductions in the tariff structure going forward.

Theres, a gradual phaseout of legacy support schemes like the feed in tariffs.

Portugal and the recall.

Our scheme in Spain that also reduces excess tariff costs.

So in Portugal, specifically.

The regulator has stimulated annualized reductions in the BTC reference end user tariffs from 2026 to 2030, so that helps create room to accommodate new system needs like ancillary services capacity mechanisms additional investments in networks without compromising competitiveness. So I think it's we are able to get the best of both.

Miguel Stilwell d'Andrade: That helps create room to accommodate new system needs, like ancillary services, capacity mechanisms, additional investments in networks, without compromising competitiveness. I think it's, we are able to get the best of both worlds, which is more investment, more ancillary services, more capacity mechanisms to make sure that we have a stronger, more resilient system and still have sort of annualized reductions in the end user tariffs. Moving on to EDPR. Again, you had more detail on that yesterday, so just a quick note here. We are seeing really strong execution momentum and better visibility on the business and plan delivery. Over the last six months, EDPR secured 1.3 GW of capacity, and on the left-hand side, you can see the main projects secured during this period. It's a combination of PPAs with utilities, global tech companies.

The world, which is.

More investment more ancillary services more capacity mechanisms to make sure that we have a stronger more resilient system and still have them.

Sort of annualized reductions and the end user tariffs.

Moving on to Edp arm.

You had more detailed on that yesterday, so just a quick note here.

We are seeing really strong execution momentum.

Better visibility on the business plan delivery over the last six months.

Cdpr secured one three gigawatts of capacity. Nonetheless, aside you can see the main projects secured during this period, that's a combination of ppas with utilities Global Tech companies.

Miguel Stilwell d'Andrade: We also have build and transfer agreements in the US, so it's really a diversified set of off-takers and structures. Across the 2026 to 2028 period, we already have 2.8GW secured, and we expect to continue on securing more projects over the coming weeks and months. If we break it down year by year, 2026 is already 100% secured, so almost all of that under construction. A couple of projects coming under into construction in the very short term. That gives us very good confidence on the 2026. 2027 is already 65% secured, and 2028 is at 10% secured. That gives us roughly already 55% secured for 2026 to 2028.

So have built and transfer agreements in the U S. So it's really a diversified set of off takers and structures.

Across the 26 to 28 period, we already have two eight gigawatts secured and we expect to continue on securing more projects over the coming weeks and months.

If we break it down year by year 2026 is already 100% secured so.

Almost all of that under construction a couple of projects coming under construction in the very short term. So that gives us very good confidence on the 226.

<unk> seven is already 65% secured.

28, 10% secured so that gives us roughly already 55% secured for 26 to 28.

Miguel Stilwell d'Andrade: As I say, we have good visibility on additional projects that are coming down the pipeline, to help us meet the rest of this project. With that, I'd stop here. I pass it over to Rui to go through the 2025 results in more detail, and I'll come back for closing remarks. Thank you.

We have good visibility on additional projects that are coming down the pipeline.

To help us.

The rest of this project.

I'll stop here I pass it over to <unk> to go through the 25 results in more detail and I'll come back for closing remarks. Thank you.

Rui Teixeira: Thank you, Miguel, and good morning to you all. Let me start with the EDP's results. Recurring EBITDA reached EUR 5.03 billion in 2025. It's up 1%. If we exclude asset rotation gains and FX, the underlying growth was 7% year-on-year, driven by strong EDPR performance and resilient network space. Looking at the recurring figures by segment, renewables, clients and energy management increased by EUR 65 million year-on-year, reaching EUR 3.4 billion, and now represent 69% of group EBITDA. Within this segment, the hydro clients and energy management declined to EUR 160 million year-on-year, mainly reflecting the normalization of gas sourcing conditions in Iberia versus the extraordinary environment that we had in 2024.

Thank you Miguel and good morning, Carol So let me start with the Edp's results.

Recurring EBITDA reached five points year over $3 billion in 2025.

It's up 1%, but if we exclude asset rotation gains and FX. The underlying growth was 7% year on year, driven by strong edp outperformance and reasonably a temporary space. So we can get.

Barring figures by segment.

Renewables clients and energy management increased by $65 million year on year, reaching $3 4 billion and now represent 69% of group EBITDA.

Within this segment, the hydro clients and energy management declined to $160 million year on year, mainly reflecting the normalization of guest sourcing conditions and Iberia versus the exit.

Environment that we had in 2024.

Rui Teixeira: This was more than offset by strong EDPR performance, up to EUR 190 million year on year, reflecting 2024 record additions, translating into higher generation. On the network side, recurring EBITDA stood at EUR 1.54 billion, now representing 31% of group EBITDA. While EBITDA decreased EUR 68 million year on year, this is mainly explained by Brazil FX impact and the absence of capital gains. Again, excluding FX and asset rotation, the underlying networks EBITDA increased 3%, supported by a positive performance in Iberia, both from regulatory framework and reinforced operating discipline. Finally, recurring OPEX decreased 2% year on year or 5% in real terms, reinforcing also the operational discipline, which I will detail in the next slide.

This was more than offset by strong edp, our performance up to 119 million year on year, reflecting <unk> 24, a record additions translating into higher generation.

On the network side regarding EBITA at 154 billion now representing 31% of group EBITDA.

EBITDA decreased $16 million in your year on year. This is mainly explained by Brazil, FX impact and the absence of capital gains again, excluding FX and our sortation the underlying networks EBITDA increased 3%.

By a positive performance in Iberia, but.

Regulatory framework and reinforce operating discipline.

So finally regarding opex decreased 2% year on year or 5% in real terms reinforcing also be operational discipline, which I will detail in the next slide.

Rui Teixeira: If you look to the OPEX, this slide highlights an important enabler of our EBITDA performance, which is sustained cost discipline. Recurring OPEX decreased EUR 1 to 1.88 billion, trending down year by year, a total reduction of around EUR 160 million in 2025 versus 2023. Over the last 12 months, inflation was around 3%, and yet we still delivered a 2% nominal reduction in recurring OPEX. Excluding effects, OPEX is slightly below, which means that we are effectively absorbing inflation through efficiency and productivity gains. This is translating into improved efficiency ratios. OPEX, as a share of gross profit, improved from 28% in 2023, down to 26% in 2025. Key drivers for this, EDPR delivering efficient growth.

If you look to the Opex.

Opex despite highlights an important enabler of our EBITA performance, which is sustained cost discipline.

Recurring opex decreased one to $1 88 billion.

Trailing down year by year, a total reduction of around $160 million and 35% versus 23 oil.

Over the last 12 months inflation was around 3% and yet we still delivered a 2% nominal reduction.

Having opex.

Excluding FX opex is slightly below which means that we are effectively absorbing inflation through efficiency and productivity gains.

Translating into improved efficiency ratios opex as a share of gross profit improved from 28% and 23 down to 26% in 'twenty five.

Key drivers for base EPR delivering efficient growth.

Rui Teixeira: We're reducing adjusted OPEX per megawatt by 12% year-on-year to 40,000 EUR per megawatt, this while scaling capacity. A leaner, more focused workforce aligned with the company's growth priorities. Digital and AI-driven initiatives to improve O&M efficiency, decision making, and customer experience. I think the message is very clear: We are growing and investing while structurally improving the cost base, and obviously, this supports cash generation as we deliver the plan. Now let me move to FlexGen and client segments. EBITDA for 25 stood at EUR 1.46 million. This is down 13% year-on-year, and this reflects the normalization versus an extraordinary 2024, but also flexibility revenues structurally increasing. In Iberia, 2024, as you know, was impacted by extraordinary gas sourcing costs.

We're reducing adjusted Opex per megawatt by 12% year on year to 40000 euros per megawatt.

These wireless getting capacity.

Leaner more focused workforce aligned with the company's growth priorities.

Digital and AI driven initiatives to improve O&M efficiency decision, making customer experience. So I think the message is very clear, we are growing and investing while structurally improving the cost base.

I mean, obviously the supports cash generation as we deliver the pipe.

So now let me move to flex chairman client segments EBITDA from 25 stood at 146 million. This is down 13% year on year and this reflects the normalization versus an extra ordinary 'twenty 'twenty four but also flexibility revenues structurally increasing.

In Iberia at 'twenty 'twenty four as you know was impacted by extraordinary guest sourcing costs.

Rui Teixeira: 2025, base load hedging price normalized from EUR 90 per MWh to EUR 70 per MWh. However, this was partially offset by stronger, flexible generation revenues, but in generation increasing by 24%, pumping spreads reaching 75% over base load prices, hydro premium improving to 21%, and CCGT generation increasing by approximately 3 TWh, reflecting the system operator needs. In Brazil, EBITDA declined from EUR 184 million to EUR 156 million, mainly due to Forex impact. Overall, while the headline EBITDA reflects normalization, the structural uplift in flexibility was very solid, with EUR 0.3 billion contribution to overall group. Now we move to slide 15, turning to EDPR, which we also commented on yesterday's call. Recurring underlying EBITDA ex-Forex grew by 27% year-on-year.

2025, Baseload hedging price normalized from 19 euros per megawatt hour to 70 years per megawatt hour.

However, this was partially offset by stronger flexible generation revenues, I think generation, increasing by 24% pumping spreads, reaching 75% of our baseball prices high.

Hydro premium improving to 21%.

MCC GT generation, increasing by approximately three terawatt hours, reflecting the system operator needs.

In Brazil, EBITDA declined from $184 million to 156 million, mainly due to forex impact.

Overall, while the headline EBITA reflects normalization the structural uplift in flexibility was very solid with viewpoint three building contribution to overall group.

So now we move to slide 15, turning to <unk>, which we also commented on yesterdays call regarding underlying EBITDA ex Forex grew by 27% year on year.

Rui Teixeira: This growth, very robust growth, reflects a significant step up in the generation, following the record capacity additions in 2024, offsetting worse renewable resources and also normalization of selling prices, primarily in Europe. Overall, EDPR continues to deliver strong operational momentum and translate capacity growth into earnings growth. Now looking at the networks EBITDA on slide 16. Recurring EBITDA reached EUR 1.54 billion in 2025, representing a 4% decrease year-on-year. This is primarily explained by the evaluation of the Brazilian real, the assets of asset rotation gains in Brazil, which amounted to EUR 71 million in 2024. Combination of the consolidation of transmission assets, the decrease on the distribution company's residual value update, and on transmission inflation update. This is compensated overall by improving operating performance. Again, excluding FX and asset rotation, underlying EBITDA increased 3%.

Growth very robust growth reflects a significant step up in the generation following the record capacity additions in 'twenty four upsetting worsen renewable resources and also the normalization of selling prices primarily in Europe.

Overall, <unk> continues to deliver strong operational momentum and translate to capacity growth into earnings growth.

Now looking at the networks EBITDA on slide 16.

Regarding EBITDA reached 154 billion.

Billion euros in 30 to 35.

Representing a 4% decrease year on year, but this is primarily explained by devaluation of the Brazilian real.

Yes, that's what I said, we're patient gains in Brazil, which amounted to $71 million in 'twenty four.

<unk> of deconsolidation of transmission assets the decrease.

Distribution companies residual value upside.

Transmission inflation abate.

But this is compensated all by improving operating performance.

Again, excluding FX and Thats, a rotation underlying EBITA increased 3%.

Rui Teixeira: It has an important contribution of EUR 56 million in EBITDA from Iberia, following inflation uptake in Portugal and RAP growth overall. All in all, the network segment is showing a resilient operational performance with very supportive regulatory frameworks, as Miguel just described, going into the future. On financial costs, following slide. Next, the net financial costs increased from EUR 865 million to EUR 989 million. There are two main drivers to this. The first one is that net interest costs, which add about EUR 54 million, they reflect higher average debt and a higher cost of debt in Brazilian reals, where the average cost rose from 11.7 to 14.1%, reflecting the macro conditions in the country. Excluding Brazil, the average cost of debt reduced to 3.3%.

It has an important contribution of 56 million euros.

EBITDA from Iberia, following inflation uptake in Portugal, and Rab growth overall.

So all in all the networks segment, you're showing your resilient operational performance with some very supportive regulatory frameworks ethnic al just described.

Going into the future.

On financial costs following slide.

Next net financial costs increased from 865 million to 989 million, Dr. Tim and driver space. The first one is that net interest costs, which add about $454 million.

They reflect higher average stepped it up.

Higher cost of debt in Brazilian Reals, where the average costs rose from 11, 7% to 14, 1%, reflecting the macro conditions in the country exposure.

Excluding Brazil, the average cost of debt reduced to three 2%.

Rui Teixeira: Second, lower capitalizations and other effects, contributing with an additional EUR 69 million. This is largely explained by the EUR 1.2 billion reduction in works in progress as projects entered operation, therefore reducing capitalizing interest. If you look to the right-hand side, average nominal debt by currency remains broadly stable year-on-year. The portfolio continues to be predominantly euro-denominated, with 64%, followed by US dollar, 16%, and Brazilian real at 18%. Finally, in terms of recent financing activity, we issued a six-year, six senior bond, EUR 650 million in January, with a 3.25% coupon. This confirms the competitive access for EDP to funding in the debt markets. Now, let's move to the cash flow on the following slide. Organic cash flow reached EUR 3.3 billion, up EUR 0.5 billion year-on-year, driven by EBITDA improvement and working capital management.

Second lower capitalization and our effects contributing with an additional $69 million. This is largely explained by the $1 2 billion reduction even works in progress as projects into operation and therefore, reducing capitalizing interest.

You can look to the right hand side average nominal depth by currency remains broadly stable year on year. The portfolio continues to be predominantly euro denominated with 64% followed by U S dollar, 16% in Brazilian real 8%.

Finally in terms of recent financing activity, we issued eight six years.

Senior bonds $615 million in January with a 325 coupon.

This confirms the competitive access of PDP to funding in the debt markets.

Now, let's move to the cash flow on the following slide organic cash flow reached $3 3 billion.

0.5 billion year on year, driven by EBITA improvement and working capital management.

Rui Teixeira: Net interest paid amount to EUR 0.8 billion, partially offsetting the operating improvement. Among investments, gross investments totaled EUR 3.9 billion, mainly EUR 2.4 billion in EDPR, EUR 1.1 billion in electricity networks, and also EUR 0.4 billion in FlexGen and clients. These gross investments were funded through EUR 1.6 billion of asset rotation and EUR 0.8 billion of tax equity proceeds. There are also EUR 0.5 billion of other impacts, mainly related with payments to fixed asset suppliers. As a result, a total of EUR 1.7 billion of net cash investments, of which close to 50% in the electricity networks and around 40% in EDPR.

Net interest paid amounts to 0.8 billion, partially offsetting the operating improvement.

On investments gross investments totaled $3 9 billion, mainly to four <unk> and $1 1 billion in electricity metrics.

0.4 billion inflection and clients.

These investments were funded through $1 6 billion of basketball patient and to your point 8 billion of tax equity proceeds bear also to your 0.5 building up other impacts mainly related with payments to fixed assets suppliers. So as a result of a total of $1 7 billion net cash investments of which close to 50%.

In electricity networks and around 40% DPR.

Rui Teixeira: Now, on slide 19, net debt stood at EUR 15.4 billion, down from EUR 15.6 billion at the end of 2024, and outperforming the EUR 16 billion guidance that we gave them to the market. The key drivers for the change in net debt include EUR 3.3 billion of organic cash flow, obviously the EUR 0 billion of dividend annual payment, and the EUR 100 million share buyback throughout 2025. The EUR 1.7 billion of net cash investments that I just explained, also EUR 0.8 billion of regulatory receivables, and about EUR 0.3 from FX and other, mostly related to US-denominated debt.

Now on slide 19, net debt stood at $15 4 billion down from $15 6 billion at year end of 2024 and outperforming the $16 billion.

Guidance that we.

We can come to the market.

Key drivers for the change in net debt include $3 3 billion of organic cash flow.

Obviously this is your point periodic dividend annual payment and the 100 million share buyback, it's about 25.

The $1 7 billion up net cash investments that I. Just explained also 0.8 billion of regulatory receivables.

0.3 from FX and other mostly related to U S denominated debt.

Rui Teixeira: As a result of, you know, cash flow management, balance sheet discipline, and obviously very strong operational cash flow, we do have solid credit metrics, with 20.9% FFO net debt and 3.3x net debt EBITDA. Now, on the net profit. Net profit reached EUR 1.28 billion. That's a reduction of 8% year-on-year, and this is mostly reflected, or driven by the higher EBITDA, EUR 74 million, higher D&A and provisions, increasing EUR 60 million year-on-year, reflecting the investment path. Higher net financial costs due to higher cost of debt and lower capitalizations, slightly higher income taxes, and lower non-controlling interests. Excluding asset rotation gains and the Forex, the underlying net profit increased 3%, confirming a very solid operational performance, as we just described.

So as a result of cash flow management.

Our balance sheet discipline, and obviously very strong operational cash flow, we do have solid credit metrics with 29% ethically and adapt and three three times net debt EBITDA.

Now on the net profit net profit reached 128 billion euros, that's a reduction of 8% year on year and this is mostly reflective.

Driven by the higher appetite EBITDA $74 million higher DNA and provisions increasing $60 million year on year, reflecting the investment to attack.

Higher net financial costs due to higher cost of pet Edward Capitalizations, slightly higher income taxes and lower noncontrolling interests.

Floating asset rotation gains and the Forex the underlying net profit increased 3% confirming a very solid operational performance as we just described.

Rui Teixeira: Reported terms, net profit reached EUR 1.15 billion, including the negative impact of EUR 130 million, mostly related with some non-recurring items in EDPR. Year-on-year reported net profit therefore increased 44%, also driven by EDPR performance rebound compared to a negative 2024. This improvement in net profit supports our proposal to increase the dividend to EUR 0.205 per share, up 2.5% versus the guidance to be paid in 2026, obviously subject to the approval at the shareholders' meeting. Now let me just address a topic which I think is relevant regarding the net income sensitivity to power prices versus what we presented at the CMD. This slide, just again to remind everybody, our exposure to energy markets is well diversified, and as you know, we have a very active energy management.

Reported terms net profit reached $1 15 billion, including the negative impact of 130 million mostly related with some.

Nonrecurring items in the PR.

Year on year reported net profit therefore increased 44% also driven by EPR performance rebound compared to a negative <unk> 24.

This improvement in net profit supports or our proposal to increase the dividend to <unk> 35 per share.

Up to 5% versus the guidance to be paid in 2026, obviously subject to the approval at the shareholders' meeting.

And I'll, let me just.

Yes.

Which I think it's relevant regarding the net income sensitivity to power prices versus what we presented at the CMT.

So dislike.

Our just again too.

Not everybody so our exposure to energy markets is well diversified and as you know we have a very active energy management.

Rui Teixeira: The portfolio is predominantly long-term contracted. This provides strong cash flow visibility and obviously reduces short-term impacts from price volatility. In Iberia and Brazil, we have a structural short position in generation, which is hedged through our supply business. Partially offsetting wholesale price movements. At the CMD, we disclosed that a simultaneous 5 years per megawatt hour movement in all markets would imply approximately EUR 60 million impact on 2028 net income. Since then, Iberia 2028 forwards have declined around EUR 10 per megawatt hour. On the other hand, US and Brazil forward curves are moving upwards. This portfolio diversification plus an active energy management have actually reduced the sensitivity.

The portfolio is predominantly long term contracted.

This provides strong cash flow visibility and obviously reduces short term impacts from price volatility in Iberia, and Brazil, we have a structural.

Short position in generation.

<unk> hedged through our supply business, so partially upsetting wholesale price movements at the CMV, we disclosed at the simultaneous five years per megawatt hour movement in all markets.

It would imply approximately 60, new the impact on 2028 net income since then IBM.

It'd be array of 20 to 88 forwards have declined around 10 years per megawatt hour, but on the other hand U S and Brazil forward curves are moving upwards.

So this portfolio diversification plus inactive energy management have actually reduced the sensitivity. So today the same five years familiar our movement across all markets in the same direction with imply approximately $45 million impact on net income in 2028 again versus the 60 million that we presented.

Rui Teixeira: Today, the same EUR 5 per megawatt hour movement across all markets in the same direction, would imply approximately EUR 45 million impact on net income in 2028, again, versus the EUR 60 million that we presented at the CMD. A reduction on the sensitivity. The merchant exposure split is about 65% Europe, 20% Brazil, and 15% North America. With this, I will hand over to Miguel for final remarks. Thank you.

Sandy so a reduction on the sensitivity.

The merchant exposure split is split is about 65% Europe, 20%, Brazil, and 15% EMEA and North America.

So with this I would hand over to Miguel for final remarks. Thank you.

Miguel Stilwell d'Andrade: Thank you, Rui. As you say, I think this has shown the sensitivity to power price is an important point to note because I know there are questions on that. Anyway, if we move forward to the final slide, just before we open it up for Q&A. Summarizing the 2025 results and how we're seeing 26 and beyond. First, in relation to 2025, I think it's undeniable that it was very strong execution and delivery of what we'd promised. Across the group, we delivered ahead of guidance, and we're seeing a clear structural change in FlexGen and clients, with the value of flexibility coming through very strongly. At the same time, EDPR also improved its performance as it's continued focus on integrated markets. It's got better visibility on the business plan execution.

Thank you Ray.

As I say I think the fish on the sensitivity to power prices and important point to note because I know another questions on that.

If we move forward to them to the final slide just before we open it up for Q&A.

So summarizing the 2025 results and how we're seeing 26 and beyond.

Just in relation to 25, I think it's undeniable that it was very strong execution and delivery of what we'd promised across the group. We delivered ahead of guidance and we're seeing a clear structural change in flex Gen and clients with the value flexibility coming through very strongly at.

At the same time Edp are also improved its performance has continued to focus on that market. It's got.

Better visibility on the business plan execution.

Miguel Stilwell d'Andrade: In networks, we have significantly improved visibility with the regulatory periods closed in Portugal and Spain, we also advanced in Brazil with the extension of the concessions. Importantly, all of this was delivered with financial discipline and increased efficiency, and as Rui spoke about, particularly on the cost side, but also on the debt side, supporting the maintenance of sound credit ratios. Second, looking at the 2026 guidance, we expect recurring EBITDA of around EUR 4.9 to 5 billion, and this is supported by the balanced contribution across the portfolio. We have the networks, around EUR 1.5 to 1.6 billion, EDPR at around EUR 2.1 billion, as mentioned yesterday.

Networks, we have significantly improved visibility with the regulatory periods closed in Portugal, and Spain, and we also advanced in Brazil with the extension of the concessions and importantly, all of this was delivered with financial discipline and increased efficiency in Sweden.

I spoke about this a particularly on the cost side, but also on the debt side.

Supporting the maintenance of sound credit ratios.

Second looking at the 2026 guidance, we expect to recurring EBITDA of around $4 95 billion.

And this is supported by the balanced contribution across the portfolio, we have the networks around one 5% to $1 6 billion.

Edp.

<unk> at around $2 1 billion as mentioned yesterday.

Miguel Stilwell d'Andrade: FlexGen and clients at around EUR 1.3 to 1.4 billion, and we reaffirm our reoccurring net profit of EUR 1.2 to 1.3 billion. On the 2028 targets, over the course of the next couple of years, we continue to expect around EUR 12 billion of gross investments, and let's say this will be funded with discipline and supported by around EUR 6 billion of asset rotations and disposals. We'll keep our balance sheet targets unchanged, so we're targeting the FFO over net debt of around 22%. In terms of earnings delivery, we remain committed to the EUR 5.2 billion of recurring EBITDA and the EUR 1.3 billion of recurring net profit by 2028. Overall, the message is consistent. We executed strongly in 2025.

And clients at around one three to $1 4 billion and we.

We reaffirm our reoccurring net profit of one two to one 3 billion.

On the 2028 targets.

Over the course over the next couple of years, we continue to expect around 12 billion of gross investments in let's say this will be funded with discipline and.

And supported by around $6 billion of asset rotations and disposals.

We will keep our balance sheet.

Targets unchanged. So we're targeting <unk> over net debt of around 22% and in terms of earnings delivery. We remain committed to the $5 2 billion of recurring EBITDA and the $1 3 billion of recurring net profit by 128.

So overall the message is consistent we executed strongly in 2025, we have very clear visibility for 2006, and we are reiterating our 2028 guidance.

Miguel Stilwell d'Andrade: We have very clear visibility for 2026, and we are reiterating our 2028 guidance. With that, happy to turn it over to Q&A, and back to you, Miguel. Thanks.

Im happy to turn it over to Q&A and bacteria.

Operator: Thank you so much. We will begin by addressing the questions submitted in writing. After that, we will move on to the live questions by phone. As a reminder, if you wish to ask a question by phone, please press star one one on your telephone keypad and wait for your name to be announced. Please ensure your line is unmuted when your name is announced. Alternatively, you can submit questions via the webcast. We'll now begin with the written questions.

Thank you so much but will begin by addressing the questions submitted in writing after that we'll move on to the last question is by phone as a reminder, if you wish to ask a question by phone. Please press star one on your telephone keypad and like finance you be announced.

Please ensure your line is open you typically your name even out.

Tentatively you can tell my question is why the webcast.

I'll begin, but then with your question.

Rui Teixeira: Thank you. We start with the written questions, and we have a first question from Garcia, RBC, and other analysts, JB Capital, Deutsche Bank, and CaixaBank. Regarding the guidance for 2026 that we provide, we are guiding a stable EBITDA versus what we presented at CMD, while at EDPR, there was a slight vision. If we can explain this in detail, this updated guidance.

Miguel Viana: Thank you. We start with the written questions, and we have a first question from Garcia, RBC, and other analysts, JB Capital, Deutsche Bank, and CaixaBank. Regarding the guidance for 2026 that we provide, we are guiding a stable EBITDA versus what we presented at CMD, while at EDPR, there was a slight vision. If we can explain this in detail, this updated guidance.

Thank you so we start with the written questions and we have a prescription.

From the trends of CIBC and other analysts GP capital Deutsche Bank cashier banks.

Regarding the guidance for 2056 and that we provide.

So we are guiding a stable.

EBITDA versus what the person that sandy well Philip yard there was a slide to the <unk>.

<unk>.

If we can explain this.

Any therapies this updated guidance.

Miguel Stilwell d'Andrade: Sure. As I mentioned, I think 2026, we're very comfortable with it. I mean, a couple of points that have improved since the capital markets day last November. The regulated rate of return for the distribution in Portugal was better than the initial proposal. That was an upside. The Clawback was suspended as of December, and previously we were assuming that we would have that over the next couple of years. That's also a positive. January and February, we saw obviously very strong hydro inflows and, you know, I showed you the numbers in terms of how the reservoirs are. They're sort of all-time highs, full capacity there. Good visibility also the next couple of months in terms of hydro.

Sure.

So as I mentioned I think 26, we're very comfortable with it.

I mean, a couple of points that have improved since.

The capital markets Day last November.

The regulated rate of return for the distribution in Portugal was better than the initial proposal so that was an upside.

Call back was suspended as of December and previously we're assuming that we would have that over the next couple of years. So that's also positive.

January and February so, obviously very strong hydro inflows.

I showed you the numbers in terms of how the reservoirs are those are all time highs.

So.

Full capacity there so good visibility off over the next couple of months in terms of hydro.

Miguel Stilwell d'Andrade: on selling negative, low wholesale prices in February and higher than normal ancillary services in terms of supply. Also, some transmission grid restrictions due to the storms still being fixed, so that's on the negative side. We are expecting these to decline over the next couple of months, and also the wholesale prices in Iberia to normalize again, also over the next couple of months. On Forex, on FX, we have a slightly lower $ versus the EUR, as we commented yesterday on the EDPR level. On the other hand, we're seeing a positive rebound of the Brazilian real. We're now seeing, you know, BRL 6 per EUR, versus our business plan assumptions of BRL 6.6 per EUR for 2026.

So.

Negative low wholesale prices in February and higher than normal ancillary services in terms of supply also some transmission grid restrictions due to the storms still been fixed so that's on an exercise.

But we are expected to decline over the next couple of months and also the wholesale prices in Iberia to normalize.

Again also over the next couple of months.

On Forex on FX, we have.

Likely lower dollar versus the euro.

<unk> commented yesterday on the ETR level, but on the other hand, we're seeing a positive rebound of the Brazilian real so we're now seeing.

Three hours per euro versus our business plan assumptions of $6 six reais per euro for 2020 six so credits.

Miguel Stilwell d'Andrade: you know, quite a few positives, a couple of negatives, but all in, quite frankly, we feel very confident with the 2026 guidance.

Quite a few positives and a couple of negatives, but all in quite frankly, we feel very confident with the 2026.

Got it.

Miguel Viana: We have then a second question about the net debt. What contributed to the positive deviation of our net debt figure in 2025? The EUR 15.4 billion versus the EUR 16 billion guidance that we had provided, and also a question around update for net debt expected evolution over 2026.

And then the second question.

About our net debt so what contributed to the positive deviation of our net debt figure in 2025, so the $15 4 billion euros versus the 16 billion euros.

The guidance that we've provided and also a question around the plate for net expected evolution over 2056.

Miguel Stilwell d'Andrade: Thank you, Miguel. First of all, you know, Q4 was very good in terms of operational cash flow, strong contribution from the integrated segment in Iberia. That's the first one. Obviously, there is some impact from working capital that we'll see then reverting in the... Now in 2026. What I would say is that, first of all, 2026, you know, we are looking at around EUR 16 billion of net debt towards the year end. Typically, as you know, we have during the first half, a rise in net debt, coming either from this working capital. Also bear in mind that we have the Greek transaction, but also dividend payment in Q2.

No.

So first of all Q4 was very good in terms of operational cash flow.

Contribution from the enterprise segment in Iberia.

So that's the first one obviously there is some impact from working capital that we'll see then reverting in now in 2026.

So what I would say is that first of all 2036.

We are looking at around $16 billion of net debt towards the year end.

Typically as you know we have during the first half arise in that.

Coming either from this working capital also bear in mind that we have the Greek transaction, but also dividend payments in the second quarter.

Miguel Stilwell d'Andrade: As we start having the, also the cash-in from asset rotation, tax equity proceeds towards the end of the year, it tends to go down again. That's why we're looking at around the EUR 16 billion by 2026.

And then as we start having that also have the cash in from asset rotation tax equity proceeds towards the end of the year.

It tends to go down again, so that's why we're looking at around $16 billion.

By 2026.

Miguel Viana: We have a question around the news of yesterday regarding Memorandum of Understanding with Start Campus. What does it mean for EDP and this engagement? Questions from Alex, Bank of America, Fernando, and RBC.

We have another question around the NIM.

And use of yesterday regarding the memorandum of understanding with step campus.

What to what to what does it mean for you to be in.

These engagements so questions from from Alex from Bank of America for under CIBC.

Miguel Stilwell d'Andrade: Sure. It's an interesting step. I think it's one of many we've been taking. It's essentially, the MOU is just an interest of both parties to explore the synergies between their activities. Obviously, we as experts on the energy side and them on the infrastructure side. I'd say there are essentially three parts to the MOU. I think the first is for EDP to be considered the strategic energy partner to the Start Campus project, whether it's through power supply, as is, or through additionality of projects, so that the Start Campus infrastructure continues to be built out. The second is just synergies between the Sines data campus center or project and the infrastructure that we already manage, for example, on the Sines power plant.

Sure.

Interesting.

I think it's one of many we've been taking.

It's essentially the Mou is just in interest of both parties to explore the synergies between their activities obviously.

Experts on the energy side, and then on the infrastructure side I'd say there are essentially three parts to the Mou I think the first is for ADP to be considered the strategic energy partner to start campus projects, whether it's through the power supply.

As is or through additionality projects.

The Star campus.

Infrastructure continues to be built out the.

Secondly, just synergies between the CNS data campus Center project and.

The infrastructure that we already manage for example on the finish of power plants. So for example, like on the water side in terms of cooling.

Miguel Stilwell d'Andrade: For example, like on the water side, in terms of cooling. The third is really potential collaboration for other data centers in Portugal that Start Campus might want to develop, leveraging on EDP's assets and capabilities. We have land and generation assets that we own in Portugal, and so explore potential collaborations. I think above all, it's opening up the possibility for creating additional value from our existing assets and operations, as well as getting additional visibility on future demand volumes, which could support the development of, you know, a sizable pipeline of renewable energy projects, as we've discussed in the past. Overall, it's just, I think, a step, one of many that we expect to take in this area.

And the third is really potential collaboration for other data centers in Portugal, let's start campus, Mike wants to to develop leveraging on adp's assets and capabilities. So we have lots of generation assets that we own in Portugal, and so explore potential collaborations I think.

Paul it's opening up the possibility for creating additional value from our existing assets and operations as well as getting the additional visibility on future demand volumes.

Which could support the development of <unk>.

Sizeable pipeline of renewable energy projects as we've discussed in the past. So overall, it's just.

I think a step one of many that we expect to take in.

This area.

Miguel Viana: We have also a question from Pedro of CaixaBank regarding the effective tax rate evolution, from the 28% in 2025, and also explaining the 28%, and how we see the evolution for 2026.

So question from Scotiabank regarding the effective tax rate evolution. So.

At from the 28% in 2025, I was explaining where do we see sort of explaining to 28% in the OECD evolution six. Thank you so 2025, 28% tax rate.

Miguel Stilwell d'Andrade: Thank you. 2025, 28% tax rate, was primarily driven by the fact that we had lower asset rotation gains and some costs that are not deductible, tax deductible, and that what basically impacted the rate. If you think about 2026, you know, you could consider sort of low twenties. This because we expect again to increase the capital, the asset rotation gains from the transactions, and also the declining tax rate in Portugal, which is, you know, will be dropping by 1 percentile point every year until 2028. 2026, around the low twenties.

It was primarily driven by the fact that they have more at sort of a pension gains.

And some.

Costs that are not deductible tax deductible.

That was basically in the back to the right, but if you think about 'twenty to Asics.

You can consider as sort of a low twenties.

And that's because we expect again to increase the capital.

Fishing and gains from the.

From the transactions and also the declining tax rate in Portugal, which will be dropping by one percentage point every year until 2028 26 are on the low twenty's.

Miguel Viana: We have a question from Pedro, from CaixaBank, regarding if we can explain a little bit better the inflation update in terms of renewal, in terms of the impact in our EBITDA in Brazilian networks in 2025, and how do we see it evolving for 2026, 28?

We have to any question from Rob from Kasha Bank regarding it.

If we can explain a little bit better.

Yeah.

Inflation update in terms of read as well in terms of the impact in our DTA in Brazilian networks in 2025, and now we see people being 426 28.

Miguel Stilwell d'Andrade: In 2025, we had the extension of the concession in Espírito Santo for another 30 years. We expect to have that extension as well for São Paulo, as you know, it's been sort of approved by the regulator. We're just pending the final signature in the next couple of weeks. There's a positive impact from the inflation update of this residual value, which existed in 2025, which becomes the material from 2026 onwards. To be specific, in 2025, in the electricity networks in Brazil, we had around EUR 70 million of EBITDA from inflation updates in both the distribution companies and the transmission companies. We had around EUR 20 million from EBITDA from the two transmission lines that we then sold in Q4 2025.

So.

Five we have the extension of the concession that you could get a sense for another 30 years.

And we expect to have that extension as well for so Paulo as you know it's been sort of approved by the regulator or just pending the final signature.

And the next couple of weeks so.

It has a positive impact.

From the inflation update of this residual value.

Which existed in 'twenty, five which becomes immaterial from 'twenty to 'twenty six onwards.

To be specific in 'twenty, five and the electricity networks in Brazil, we had around 70 million euros of EBITA from inflation updates into.

Distribution companies in the transmission companies.

At around 20 million euros from EBITDA from the two transmission lines that we then sold in the fourth quarter of 2025.

Miguel Stilwell d'Andrade: The impact of this inflation update in the networks has declined in 2025 already versus 2024, but in 2023, in 2026, it will be immaterial. I think it's important to note the following: we are under discussion with ANEEL, and which is the regulator in Brazil, we and the other distributors. We are more advanced in this process because we're the first ones to have our concessions renewed. To change the recognition of investment in the company's asset base, as I mentioned, I think in the capital markets today, and I'll just reiterate, they're currently only recognized every five years with tariff revisions.

The impact of this inflation update into networks has declined.

Turning to slide five already versus 'twenty, four but 23.

In 2006 or two it can be material.

I think it's important to note. The following we are under discussion with Aneel.

<unk>, which is the regulator in Brazil.

And the other distributors, but we are more advanced in this process because we were the first ones to have our concessions renewed.

To change the.

The recognition of investments in the company's asset base as I mentioned I think at the capital markets day and I'll just reiterate the currently only recognized every five years with tariff revisions. So theres still no conclusion, but we see a positive sign that we still have a regulators' willing to consider this and that.

Miguel Stilwell d'Andrade: There's still no conclusion, but we see a positive sign that at least the regulator is willing to consider this, and that would allow us to have this intra-cycle recognition of investments, rather than having to wait for the end of the regulatory period. That's work in progress. We're certainly very committed to it, and we think others will be as well, as soon as they start seeing their concessions being renewed as well.

Allow us to have this interest cycle recognition of investments rather than having to wait for the end of the regulatory period. So that's work in progress.

We're certainly very committed to it and we think others will be as well as soon as they start seeing their concessions being renewed as well.

Okay.

Miguel Viana: We have a question from Jorge Alonso from Bernstein. Also, regarding the current power price environment, how confident are we to maintain our 2028 guidance? Regarding the assumptions that we provided at CMD and current forwards, how do we see the guidance for 2028?

We have a question from Alonso from Bernstein also regarding the current power price environment.

Our confidence is that we need to maintain our <unk> guidance.

Regarding the assumptions that we provided at <unk> in the current forwards as we see the guidance for 2008.

Miguel Stilwell d'Andrade: As I also briefly explained with that slide on sensitivity, I mean, effectively, we do have, as you know, short positions in both structurally short positions in generation in both Iberia and Brazil. This we hedge primarily through our clients business. But we also have a very active energy management. On the rest of the markets, as you know, we have from an EDPR standpoint, 85% is actually long-term contracted. On this, basically what we have done since the CMD is obviously to increase the hedging. We have been working actively on the hedging on the energy management. For 2026, 85% of the volumes are hedged at a price which is north of EUR 64 per megawatt hour.

So.

As I also briefly explain with that too.

<unk> sensitivity.

We do have them.

As you know short positions in both structurally short positions in generation in both.

Iberia in Brazil, because we hedged primarily through our clients' business.

But we also have a very active energy management and then on the rest of the markets.

As you know we have from <unk> 85 per cent is actually.

The long term contracted.

On this basically with what we have.

That does seem to the CMV is obviously to increase the hedging so they have been working actively on the hedging on the energy management. So.

For 2026, 85% of the volumes are hedged at a price, which is north of 64 years per megawatt hour.

Miguel Stilwell d'Andrade: For 2027, 2028, we have about 50% of base load volumes hedged above the current forward prices. Obviously, this gives us, you know, stability and predictability versus the changes in the forward curves. Also on the other markets, US, the exposure is mostly concentrated in PJM and MISO. We are seeing forward prices going up by around $5 per megawatt hour. Also in Brazil, where we have lower exposure but still relevant, the PLD has been rising significantly since the CMD. That's why, all in all, again, this portfolio diversification, the very active energy management, is giving us confidence towards the 2028 guidance. More importantly, as I said, we actually reduced the portfolio exposure to these price movements. In...

For 2788, we have about 50% of base load volumes hedged above the current forward prices. So obviously these gives us.

Stability and predictability versus the changes in the in the in the forward curves.

So on the other markets U S exposure is mostly concentrated in PJM and MISO. We have we are seeing forward prices going up by around $5 per megawatt hour.

And also in Brazil, where we have lower exposure, but still irrelevant.

The PLD has been rising significantly since the CMV. So that's why all in all.

Again this portfolio diversification.

Very active management.

Giving us confidence towards the 2028 guidance so more importantly as I've.

We actually reduced the portfolio exposure to these price movements, so and at the CMV in November we're estimating around $60 million.

Miguel Stilwell d'Andrade: at the CMD in November, we were estimating around EUR 60 million. Now, we are looking at, you know, a substantially lower number.

And now we are looking at them.

Actually a lower number.

Miguel Viana: We have now a question from Manuel Palomo, BNP. What is your take about increasing concerns about affordability and approval of the Energy Decree to reduce price by the Italian government, and if you, if we could expect any contagion effect?

We have no questions from the monopoly bnb what is your take about increasing concerns about the part of the ability and the approval of the energy decreased to reduce price spreads Italian government and if.

If you could.

Baked any contagion effect.

Miguel Stilwell d'Andrade: Well, I think this is an important point. Just to take a step back, I think we are all focused on competitiveness of the economy. You know, what's good for the overall economy is good for the companies. As I mentioned, most of our exposure is in Iberia, you know, we specifically put up a slide which showed that in Iberia, in Portugal and Spain, we already have some of the lowest prices in Europe, and they are expected to even trend lower as some of the existing costs in the system come to an end, like the tariff deficit payments, which are being amortized, and like the feed-in tariffs, for example. The trend is it's already much lower than the rest of Europe and trending lower.

Well I think that's an important point.

To take a step back I think we are all always.

Focus on competitiveness of the economy.

What's good for the overall.

<unk> is good for the companies.

As I mentioned most of our exposure is in Iberia and we.

Specifically, we put up a slide.

Which showed that.

In Iberia, Portugal, Spain, we already have some of the lowest prices in Europe.

And they are expected to even trend lower as some of the existing cost of the system.

Come to an end like the tariff deficit payments, which are being amortized in like the feed in tariffs. For example, so the trends are it's already much lower than the rest of Europe and trending lower so the affordability and competitiveness I think in February is actually a positive and it means it can take additional investment that can take so someday until their services without <unk>.

Miguel Stilwell d'Andrade: The affordability and competitiveness, I think, in Iberia is actually a positive, and it means it can take additional investment, it can take some of the ancillary services without impacting the affordability. On the Italian case, I think it still has to go through, you know, be, let's say, finally promulgated, and I'm sure it'll have a lot of discussion at the European level. You know, conceptually sort of understand, but disagree with what it's doing. You know, there's been a lot of discussion already 2 years ago about market design, about how to make things competitive, you know, make the wholesale market work differently. Ultimately, it always comes back to the marginal pricing system is the system that works best. CO2 has to be internalized, and that continues to be a cur- cur pri...

And the affordability on the Italian case, I think it still has to go through.

Yeah.

Let's say finally promulgated and I'm sure you'll have a lot of discussion at the European level.

Uh huh.

Separately.

Sort of understand but disagree with the with what its doing.

There's been a lot of discussion already two years ago, but market design about how to make things competitive.

The wholesale market.

Work differently and ultimately it all comes back to the marginal pricing system is the system that works best.

Tier two would have to be internalized and that continues to be a core part of it.

Miguel Stilwell d'Andrade: key priority for Europe. Listen, it's something to watch, but we don't expect it to have any material impact in Iberia.

A key priority for her for Europe.

Listen, it's something to watch, but we don't expect it to have any material impact in there.

Yeah.

Miguel Viana: We move now to the questions on the phone. We start for the first question that comes from the line of Fernando Garcia from Royal Bank of Canada. Fernando, please go ahead.

We move now to the questions on the phone.

And we start for the first question comes from the line up for them. This year from Royal Bank of Canada.

Please go ahead.

Fernando Garcia: Good morning. Thank you for the presentation and for taking my follow-up question. I am curious because I am seeing a significant increase in CCGTs output in Portugal, and this despite the strong hydro and wind output so far in the year, particularly in February. My question here is this explained by the elimination of the Portuguese global act, and if this could be a potential upside to your estimated positive impact? I think you mentioned EUR 25 million for 2026. Thank you.

Good morning, Thank you for the presentation on Florida thinking my follow up question.

I'm curious because I haven't seen a significant increase in ccd's a protein Portugal and this despite the strong hydro wind output so.

So far in the year, particularly in February. So my question. Here is is this is explained by the elimination of the Portuguese Slovak.

And if this could be a potential upside to your estimated positive impact I think you mentioned.

$25 million for 2026, thank you.

Miguel Stilwell d'Andrade: Excellent. You're right, CCGT output has increased. It's more related to the ancillary services, means the system operator has wanted to keep these working sort of as backup to the system. It's already this trend, as you know, following the blackout of last year, it then started to decrease. Now it's increased significantly, because of some specific issues here in Portugal, relating to all the storms that happened and sort of the disruption to the network. I wouldn't say it's an upside, probably it's a downside, in the sense that higher ancillary costs would have a knock-on impact if they're not passed on onto the suppliers. Sorry, something to watch.

Excellent.

So you're right.

Output has increased.

It's more related to some of the ancillary services in the system. Operator has wanted to keep these working instead of as a backup to the system. That's already this trend as you know following the blackout of last year and then started to decrease now it has increased significantly.

Because of some specific issues youre in Portugal relating to all the storms that happened in some of the disruption to the network.

I wouldn't say, it's an upside probably sit downsides in the sense that.

Higher ancillary costs.

Whatever knock on impact us and our platform.

Onto the suppliers.

So it's something to watch what they expect us to normalize over the next couple of weeks, but but it's basically the cities working overtime.

Miguel Stilwell d'Andrade: We expect this to normalize over the next couple of weeks, but it's basically the CCGTs working overtime, basically over the month of February.

Basically over the month of February.

Miguel Viana: Thank you, Fernando. We have a final question from the line of Alberto Gandolfi from Goldman Sachs. Alberto, please go ahead.

Thank you Fernando.

We have a final question from the line of all better than the market from Goldman Sachs. Please go ahead.

Alberto Gandolfi: Miguel, thank you, and good morning. My first question is, I wanted to ask you about Brazil. Is it a region where you think you might be growing exposure, there are potentially assets for sale? You're happy with the status quo, or is it something that, given the better returns in Portugal and the clarity in Spanish networks, you might think about de-emphasizing a little bit? The second question is a clarification on slide 21. Am I right in saying that the EUR 45 million impact on net income is therefore adjusted for 50% hedging? In other words, without hedging, do we just double the EUR 45 million or is it... Can you maybe help us on that a little bit?

Hey, guys. Thank you and good morning.

So my first question is I wanted to ask you about Brazil.

Is it a region, where you think you might be growing exposure potentially assets for sale.

We are happy with the status quo or is it something that given the better returns and Porsche Garland.

And the clarity in Spanish networks, you might think about deemphasizing a little bit.

The second question is a clarification on slide 21 am I right in saying that the 45 million impact on net income is therefore adjust that 450% hedging so in other words without hedging.

Do we just double the 45 million or is it is it.

Can you maybe help us on that a little bit.

Alberto Gandolfi: Last, one, on these data center opportunities, since you're very active in this booming Portuguese market, can I ask you if you are planning to build potential incremental capacity if you were to sign a PPA there, or would it be from existing, and would it be done at EDP or EDPR level, if it were to happen? Thank you so much.

And last one on this data center opportunities seems a fatty active in this booming Portuguese market can I ask you. If you are planning to be a potential incremental capacity. If you were to sign a PPA there or would it be from existing and would it be done at ETP.

<unk> levels.

What will happen. Thank you so much.

Okay.

Miguel Stilwell d'Andrade: Good questions. I think in relation to Brazil, listen, we have a long track record in Brazil, over 30 years. I think we have a great business there. You know, we continue to look at opportunities for growth there, to the extent that it makes sense within the overall Brazilian exposure that cap that we've always talked about. Obviously, you know, we continue to see how best to allocate capital, and so we've sold assets in Brazil in the past. I mean, even recently, we did the asset rotations of the transmission lines. We sold the hydro.

So great question I think in relation to <unk>.

Listen we have a long track record in Brazil over 30 years I think we are very good.

Business there.

We continue to look at opportunities for growth there to the extent that it makes sense within the overall Brazilian exposure that's that's.

Catherine we've always talked about.

Obviously.

We continue to see how best to allocate capital and so we've sold assets in Brazil in the past I mean, even recently, we did the asset rotations of the transmission lines, we sold the hydro.

So we will continue to adjust and fine tune, our our exposure to Brazil, and obviously reallocate the capital to wherever I think is best.

In particular time, whether it's Europe or the U S at the moment.

Miguel Stilwell d'Andrade: I'd say that we like having this diversification of geographies, because it does allow us to allocate capital quite well, depending on the different cycles and the different geographies. On the third question, I'll quickly take it, the second question. On the third question, essentially what we're saying is that there's a certain amount of power that can probably be supplied just as is, because there's sufficient reserve margin in the system to be able to supply these data centers without necessarily having to go and build new power plants. That's a positive, I think, for the system. We just need to make sure the networks are there. You know, that's essentially the key issue, because as long as there's reserve margin, you can feed it.

But.

But I'd say that we like having the diversification of.

Of geographies, because it does allow us to allocate capital quite well depending on the different cycles in the different geographies.

On the third question and then I'll look for the second question.

Miguel Stilwell d'Andrade: On the third question, essentially what we're saying is that there's a certain amount of power that can probably be supplied just as is, because there's sufficient reserve margin in the system to be able to supply these data centers without necessarily having to go and build new power plants. That's a positive, I think, for the system. We just need to make sure the networks are there. You know, that's essentially the key issue, because as long as there's reserve margin, you can feed it. If the demand starts getting above a certain level and, you know, if you start having Start Campus and Merlin and others, yes, we need to think about incremental capacity of different technologies.

The third question.

So essentially what we're saying is that.

Theres a certain amount of power that can probably be supplied just ounces because the sufficient reserve margin in our system to be able to supply these data centers without necessarily having to go and build new.

New power plants, and so that that's a positive thing for the system and we just need to make sure that networks are there.

But that's essentially that the key issue because as long as those reserve margin you can feed it if the demand and starts getting above a certain level.

Miguel Stilwell d'Andrade: If the demand starts getting above a certain level and, you know, if you start having Start Campus and Merlin and others, yes, we need to think about incremental capacity of different technologies. Depending on what that incremental technology is, you know, if it's renewables, it will definitely be done through EDP Renewables, which, as you know, has the exclusivity for renewable development, well, certainly in Iberia, but elsewhere in the world as well. If it's, for example, if it was to be like a thermal technology, then obviously it would be, for example, with the EDP, or if it was hydro, for example, it would be through EDP.

And if you start having to start campus in Maryland and in others.

And then yes, then we need to think about incremental capacity.

With different technologies.

Miguel Stilwell d'Andrade: Depending on what that incremental technology is, you know, if it's renewables, it will definitely be done through EDP Renewables, which, as you know, has the exclusivity for renewable development, well, certainly in Iberia, but elsewhere in the world as well. If it's, for example, if it was to be like a thermal technology, then obviously it would be, for example, with the EDP, or if it was hydro, for example, it would be through EDP. There's a certain amount that can be done with existing capacity or, you know, supplied with existing capacity, and then above that level, then you start getting into having to build incremental capacity, and we're obviously looking at that and thinking about when that would come down the pipeline. It will depend on also how the demand is evolving.

And then depending on what the.

Incremental technology is if it's renewables that will definitely be done through edp renewables, which as you know has exclusivity for renewable development.

Well certainly the idea of its elsewhere in the world as well.

If it's for example, if it was to be like a thermal technologies and obviously it would be for example, with the ETP or she was hydro for example would be to ETP.

Miguel Stilwell d'Andrade: There's a certain amount that can be done with existing capacity or, you know, supplied with existing capacity, and then above that level, then you start getting into having to build incremental capacity, and we're obviously looking at that and thinking about when that would come down the pipeline. It will depend on also how the demand is evolving.

But.

So theres a certain amount that can be done with existing capacity or supplied with existing capacity and then above them.

That level, then you start getting into having to build incremental capacity and we're obviously looking at that and thinking about when that would come down the pipeline, but it'll depend on also how demand is evolving.

Miguel Viana: Great. Thank you, Miguel. Hi, Alberto. On, on the, on the second one, I mean, this is also the result of different diversification effects.

Miguel Viana: Great. Thank you, Miguel. Hi, Alberto.

Okay.

Rui Teixeira: On, on the, on the second one, I mean, this is also the result of different diversification effects. ...looking at the portfolio as a whole, two different trends. Again, the active management that we run on every single market, this is, you know, how we are bringing down the sensitivity from the EUR 60 million to the EUR 45 million. Again, just bearing in mind, this is if all the markets would move in the same direction for during this, the period that we didn't plan. No, you cannot sort of double the sensitivity if the hedging was coming down to 0. It's a bit more complex than that.

So on the on the second one.

I mean this is also the result of different diversification effect.

Rui Teixeira: ...looking at the portfolio as a whole, two different trends. Again, the active management that we run on every single market, this is, you know, how we are bringing down the sensitivity from the EUR 60 million to the EUR 45 million. Again, just bearing in mind, this is if all the markets would move in the same direction for during this, the period that we didn't plan. No, you cannot sort of double the sensitivity if the hedging was coming down to 0. It's a bit more complex than that.

So looking at the portfolio as a whole.

Recent trends again, the active management, that's being run on every single market.

This is how we are bringing down the sensitivity from the <unk> to the $45 million.

And again just bearing in mind. This is if all of the markets moving the same direction.

For during this pretty that was even fun. So you cannot sort of double the sensitivity if the hedging was coming down to zero.

So it's a bit more complex than that.

Operator: Thank you.

Thank you.

Rui Teixeira: I think I'll get to, so that's now back to our CFO for final remarks.

Miguel Viana: I think I'll get to, so that's now back to our CFO for final remarks.

And compared to some of the best now back to our CFO for final remarks.

Miguel Stilwell d'Andrade: Okay. Final remarks. Just to reiterate, again, 2025 was a great year for EDP. I think we delivered and delivered solidly on all of the different metrics, whether it was on EBITDA, net income, net debt, the credit ratios, and improving the dividend. A really solid year for 25, and I think we come into 2026 also on a good footing, you know, with record high hydro levels and reserves, you know, with improved regulation, improved, you know, perspectives in both Portugal, Spain, and many of the other geographies we're in, like the US. Really, I think we are very confident also on the guidance for 2026, and I think that's one of the messages that I really wanted to reiterate.

Okay. So final remarks.

Reiterate again 2025 was a great year for Edp.

I think we delivered.

<unk> delivered solidly on all of the different metrics, where it was on EBITDA and net income net debt the credit ratios.

Improving the dividend so really solid solid year for 25, and I think we come into 2026 also on a good footing with record high hydro levels in reserves.

With improved regulation improved.

Perspective in both Portugal, Spain, and many of the other geographies where in the U S.

So really I think we are very confident also on the guidance for 2026 and I think that's one of the messages that I really wanted to raise rate.

Miguel Stilwell d'Andrade: Going forward, we continue to see, you know, great projects coming down the pipeline, certainly on the EDPR side, which makes us feel confident in relation to 2028. I mean, obviously, we'll go on monitoring the issues around the power prices, but as Rui has mentioned, we are relatively protected in relation to that. We think that it's a discussion that will play out over the next couple of months in Europe. At the end of the day, we're all aligned that competitiveness is important, but it's also important to keep the stability of the rules and make sure that, you know, there's space to invest or for investors to, you know, to capital allocation, you know, and feel safe about their investments, whether it's on the network side or on the generation side.

Going forward, we continue to see.

Great projects coming down the pipeline certainly on the APR side.

Which makes us feel confident in relation to 2028.

We will go on monitoring this issues around the power prices, but as Craig has mentioned.

We are relatively protected in relation to that.

And we think that it's a discussion that will play out over the next couple of months.

Europe, but they were all aligned the competitiveness is important but it's also important to keep the stability of the rules and make sure that.

There is space to.

To invest but for investors to you know to the capital allocation.

And feel safe about their investments, whether it's on the network side or on the generation side.

Miguel Stilwell d'Andrade: Listen, good 25, good prospects for 2026, and reiterating the guidance with confidence and looking forward also to the next couple of years, reiterating also our 2028 guidance. With that, thank you very much. Look forward to seeing you soon, and keep in touch.

What's a good 25.

Good prospects for 2026, and reiterating the guidance with confidence and looking forward also to the next couple of years reiteration of all of our 2028 guidance.

With that thank you very much look forward to seeing you soon.

The keep in touch.

Okay.

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Miguel Viana: Good morning. Thanks for attending EDP's 2025 results conference call. We have today with us our CEO, Miguel Stilwell d'Andrade, and our CFO, Rui Teixeira, which will present you the main highlights of our strategy, execution, and 2025 financial performance. We'll move to the Q&A session, in which we'll be taking your questions, starting with written questions that you can insert from now onwards at our webcast platform, and then by phone. I'll give now the floor to our CEO, Miguel Stilwell d'Andrade.

Good morning, Thanks for attending Edp 2005 results conference call.

Yesterday, we there's outs you owe me go through them and I was just hoping to shade, it which will present you. The main highlights of our strategy execution and.

Financial performance.

We'll then move to the Q&A session, which will be taking your questions. Starting with recent questions did you Kenny said from now onwards at our webcast platform and then by phone I'll give the floor to our CEO you don't switch.

Right.

Miguel Stilwell d'Andrade: Thank you, Miguel. Good morning, everyone, and welcome to the 2025 Results Conference Call. Just before presenting our results, and as yesterday, I just wanted to address the extreme weather event that impacted Portugal. As you know, Portugal was hit by a series of devastating storms, starting at the end of January, and then well into February, to a certain point, had winds over 200 kilometers an hour. Which really caused unprecedented physical damage to infrastructure in the country, including our own network infrastructure, and also customers. I think the first thing to say is that we immediately responded with a very coordinated and large-scale support from all the internal and external teams.

Thank you Amy and good morning, everyone and welcome to the 25 results conference call.

Just before.

Presenting our results yesterday I just wanted to address the <unk>.

Stream weather events that impacted Portugal.

And.

As you know.

Portugal was hit by a series of.

Devastating storm starting at the end of January and then well into February to certain point wins over 200 kilometers an hour.

Which really caused unprecedented physical damage to infrastructure in the country, including our own network infrastructure.

So our customers.

The first thing to say is that we immediately responded with a very coordinated and large scale support from all the internal and external teams I mean, we had people coming in from Spain, Brazil, France, and Ireland and I just wanted to to thank also all of those teams.

Miguel Stilwell d'Andrade: I mean, we had people coming in from Spain, Brazil, France, and Ireland, and I just wanted to thank also all those teams. The networks and the hydropower teams worked round the clock to limit the damage caused by the storm and to restore power to our consumers. Naturally, the first thing is our thoughts are with the people and the communities affected. We understand the damage that this has caused, the frustration from people that had no power over those weeks. From the beginning, our first priority was to reestablish power in the quickest, safest, and the most effective way possible. We have now recovered 100% of the customers, only a very few specific situations outstanding that will be resolved very shortly, but I think the worst is definitely over.

The networks and the hydropower teams worked around the clock to limit the damage caused by the storm and to restore power to all consumers.

Now naturally.

The first thing is our thoughts are with the people and the community is affected.

We understand that.

The damage that this has caused the frustration from people that had no power over those weeks.

And from the beginning our first priority was to reestablish power and the quickest safest and the most effective way possible.

We have now recovered 100% of the customers only very few specific situations outstanding.

That will be resolved very shortly but I think the worst is definitely over.

Miguel Stilwell d'Andrade: I also wanted to extend a really sincere word of appreciation for the absolutely extraordinary professionalism and dedication demonstrated by the teams, both internal and external, across all the country. I mean, their response from grid repair to the hydropower management, the community support, emergency logistics, I mean, it was absolutely exemplary. I think it really showed the best of EDP in terms of the commitment to stand with our customers and with the communities that we serve, especially in the moments where they need it most. I will come back to this later in the presentation, just to talk a little bit about the impact on us in more detail. I would move now into the bulk of the presentation and onto slide 3, which essentially shows an overview of our results for 2025.

I also wanted to.

Really sincere word of appreciation for the absolutely extraordinary professionalism and dedication.

I'm excited by the teams both internal and external across all the country I mean their response from grid repairs to the hydro power management community supports emergency logistics I mean, it was absolutely exemplary and I think it really showed the best of Edp and in terms of the commitment to spend with our customers and with the communities that we serve.

Especially in the moments, where they need us most.

I will come back to this later in the presentation just to talk a little bit about the impact on us in more detail, but I wouldn't move now into the the bulk of the.

<unk>.

And on to slide three which essentially shows.

An overview of our results for 2025, and I'd start off by saying Edp had a very strong set of results for 2025.

Miguel Stilwell d'Andrade: I'd start off by saying EDP had a very strong set of results for 2025. The recurring EBITDA reached EUR 5 billion, outperformed the EUR 4.9 billion guidance. It's mostly on the back of a better-than-expected Q4 in the integrated segment in Iberia, from above average hydro resources in the Q4. If we compare that with 2024, EBITDA was up 1% year-on-year. It reflected a rebound in EDPR's performance, which, as you know, had record capacity additions towards the end of last year. Recurring net profit came in at EUR 1.3 billion, also above the guidance, although it's down 8% versus 2024, that's mostly explained by higher financial expenses.

The recurring EBITDA reached 5 billion euros, so outperformed the $4 9 billion guidance, it's mostly on the back of a better than expected fourth quarter and the integrated segment in Iberia and from above average hydro resources in the fourth quarter.

Compare that with 2024 EBITDA was up 1% year on year. So it reflected the rebound in EPS performance, which as you know had.

Record capacity additions towards the end of last year.

Recurring net profit came in at $1 3 billion. So also above the guidance, although it's down 8% versus the 'twenty 'twenty four and Thats, mostly explained by higher financial expenses.

Miguel Stilwell d'Andrade: Net debt ended the year very well, it's EUR 15.4 billion, better than the EUR 16 billion guidance. That led us to have a great FFO over net debt of 21%, compared with the 19% guidance. The upside risk guidance at all levels allowed us to then increase the shareholder return. We're proposing a dividend of EUR 0.205 per share. That's a small increase, which will be paid this year already in 2026. Obviously, subject to the general shareholders meeting approval. If we move forward into the next slide to talk a little bit more detail about the FlexGen and customers. Here we see a structural uplift in the value of flexibility.

Net debt ended the year very well so at $50 4 billion better than the 60 billion guidance.

That led us to have a great <unk> over net debt of 21% compared with the 19% guidance. So the upside risks guidance at all levels allowed us to then increase the shareholder returns. So we're proposing a dividend.

Of the $20.05 per share.

So that's a small.

Small increase which will be paid this year already in 2026.

Obviously subject to the general shareholders meeting approval.

If we move forward into the next slide to talk a little bit more detailed about the flex Gen and customers.

So here, we see a structural uplift in the value flexibility and I really wanted to highlight if you see here on the left hand side. There is a chart from the international Energy Agency.

Miguel Stilwell d'Andrade: I really wanted to highlight, if you see here on the left-hand side, there's a chart from the International Energy Agency recently, and it shows the capture rates in Spain by technology, and it shows how the market's increasingly rewarding assets that can respond to price volatility and the system needs. You can see natural gas capture prices obviously rising in 2024 and 2025. Hydro with reservoir also trending upwards, and more intermittent and less flexible technologies, particularly solar, you see obviously a decline in capture rates in 2025. The takeaway here is that flexibility is being structurally priced in, and that we expect that to remain a long-term feature of the market. You can see that in the figures for EDP for 2025. The hydro net generation was almost 10 terawatt-hours.

Recently and it shows the capture rate in Spain by technology and it shows how the markets increasingly rewarding assets that can respond to price volatility and the system needs and you can see natural gas capture prices, obviously rising 2400, 35 hydro with reservoir also trending upwards.

And more intimate and Elisa flexible.

This is particularly solar as he.

Decline in capture rates in 2025.

The takeaway here is that flexibility is being structurally priced in and that we expect that to remain a long term feature of the market.

And you can see that in the figures for Edp for 10 to 25, the hydro generation was almost 10 terawatt hours.

Miguel Stilwell d'Andrade: That's down 2% year-on-year, but still, very strong year for that. Hydro premium versus base load increased to 21%, reinforcing the value of the flexible output. On pump hydro, the pumping volumes increased to 2.3 TWh on the year. Up 24% year-on-year, with the pumping spread versus base load reaching 75%. Look at the right-hand side of the slide, and we give there an update on the reservoir levels in 2026. Given the heavy rainfall, reservoir levels are at historically all-time highs. They've reached around 96% in February 2026, up from roughly 76% in January. That's consistent also with the hydro production index in Portugal, which has doubled its historical average year to date.

Down 2% year on year, but still.

Very strong year for that hydro premium versus baseload increased to 21% so reinforcing the value of the flexible output.

Pumped hydro pumping volumes increased to $2 three terawatt hours.

On the year, so up 24% year on year with the pumping spreads versus baseload, reaching 75%.

If you look at the right hand side of the slide and it gives you an update on the reservoir levels in 2026.

So given the heavy rainfall reservoir levels are at historically all time highs.

Reached around 96% in February 2026 up from roughly 76% in January.

And that is consistent also with the hydro production index in Portugal, which has doubled its historical average year to date so.

Miguel Stilwell d'Andrade: Obviously, that's following the heavy storms, which I just talked about in Portugal in January and February. One important thing to note is that the market consequence of these extreme weather conditions is that we also had abnormally depressed pool prices, which, together with higher ancillary services costs in February, you know, it's shown by the Portuguese pool prices going from around EUR 71 per megawatt-hour in January to roughly EUR 8 per megawatt-hour until mid-February. More depressed pool prices in February, and higher ancillary service costs. If we move forward to the next slide, and just in a little bit more detail on the storms here in Portugal, the first half of first February, essentially. First, as I mentioned, I just highlighting the efforts made by the team.

Obviously that following the heavy storms, which I just talked about in <unk>.

Portugal in January and February.

One important thing.

Thing to note is that the market consequence of these extreme weather conditions is that we also had abnormally depressed coal prices.

Which together with higher ancillary services cost in February.

It's shown by the Portuguese coal prices going from around 71 euros per megawatt hour in January to roughly eight euros per megawatt hour until mid February so more depressed coal prices in February.

And higher ancillary service costs.

If we move forward to the next slide and just in a little bit more detail on the on the storms here in Portugal, the firsthand firsthand.

February essentially.

First as I mentioned.

I was just highlighting the efforts made by the team so.

Miguel Stilwell d'Andrade: Huge efforts done to restore power and to make sure that the dams and that the, you know, the flooding was limited. The storms impacted around 6,000 km of grid, damaged around 5,800 towers. We had more than 2,000 people mobilized on the ground, around 2,400 people. As I said, we were able to restore 100% of the customers already by this week. On hydro, we continuously monitor the rainfall, I think here was... It's great to see using advanced hydrological models. We were able to proactively, or sort of anticipate, what was coming down the road and to be able to also anticipate some of the discharges and coordinate that with the environmental authorities.

Huge effort to restore power and to make sure that the dams in debt.

The flooding was limited.

Storms impacted around 6000 kilometers of grid damaged around 5800 towers.

We had more than 2000 people mobilized on the ground around 2004 hundred people.

And as I said, we weren't able to restore.

100% of the customers already by this week on.

Hi, Joe we continuously monitor the rainfall and I think he was great to see us using advance hydrological models. So we were able to proactively are sort of anticipate what was coming down the road and then be able to also anticipate some of that this charges in court and coordinating that with the environmental authorities. So I think that there was a meaningful role in.

Miguel Stilwell d'Andrade: I think that there was a meaningful role in flood control. On the more practical side, with customers and communities, you know, we have put in place schemes to ensure that payments and invoicing support for the customers impacted, as well as assistance with the solar DG reinstallations. On a more social level, we also delivered over 90 tons of essential materials, including sand, roofing tiles, tarpaulins, you know, basically to help people protect their homes. Obviously, we also helped, you know, people in more isolated areas get access to communications, including Starlink devices and power banks. In terms of financial impacts, we're expecting that this will result in around EUR 80 million in CapEx, with infrastructure to rebuild, will be partially supported by insurance.

Yes.

Flood control.

And then on the <unk>.

Laura practical side with customers and communities.

Yeah.

We have put in place schemes to ensure that payment and invoice in support for the customers impacted as well as the assistance with the solar DG re installations.

On a more social level, we also delivered over 90 tons of essential materials, including sand roofing tiles.

<unk> basically to help people protect their homes.

And obviously, we also helped.

People are more isolated areas get access to communications, including Starlink devices and power banks.

In terms of financial impact, we're expecting that this will result in around $80 million in capex with infrastructure to rebuild to be.

Partially supported by insurance, we're still evaluating additional costs and impact and we will update that in the first quarter results, but clearly shows increasing vulnerabilities.

Miguel Stilwell d'Andrade: We're still evaluating additional costs and impacts, and we'll update that in the Q1 results. Clearly shows increasing vulnerability that, you know, climate change is causing and the importance above all of resilient, flexible systems and long-term investment in networks. That takes me to the next slide, where I wanted to just stress that already before this event, as of last year, we're already significantly ramping up the investment to respond to the growing needs of the system. You know, the electrification, the renewables integration, the grid resilience. Gross investments for the period 2026 to 2030 will reach EUR 4.1 billion, compared to EUR 2.6 billion in the 2021 to 2025 period. That's a 58% increase overall in Iberia, slightly more in Portugal than in Spain.

Climate change is causing and the importance of all the Brazilians flexible systems and long term investments in networks and that takes me to the next slide.

Well I wanted to.

Stress Tek already before this event so as of last year, we were already significantly ramping up the investment to respond to the growing needs of the system.

Vacation the renewables integration the grid resilience.

Gross investments for the period 2006 to 2030 will reach $4 1 billion euros.

Compared to the $2 6 billion in the 'twenty, one 'twenty five periods. So that's a 58% increase overall in Iberia.

Something more in Portugal and in Spain.

Miguel Stilwell d'Andrade: Although both geographies are contributing significantly to this. In Portugal, it's around 66%, so almost 70% increase. A big part of this is strengthening grid resilience. We're assuming around or more than EUR 500 million for grid resilience to ensure that the network is prepared for higher loads, more distributed generation, and greater system complexity. Fortunately, this greater investment is underpinned by much stronger regulatory visibility, as we showed here on the right-hand side. As you know, the new regulatory framework sets out the 6.7% nominal pre-tax return for this period till 2020 to 2029 in Portugal. In Spain, the framework establishes a 6.58% return for the period out till 2031.

Although both geographies are contributing significantly to this in Portugal around 66%, so almost 70% increase.

A big part of it is strengthening grid resilience.

We're assuming around or more than 500 million euros for grid resilient.

To ensure that the network is prepared for higher loads more distributed generation and greater system complexity.

And unfortunately this greater investment is underpinned by much stronger regulatory visibility as we showed here on the right hand side.

Miguel Stilwell d'Andrade: Importantly, both frameworks closed as of the end of last year, giving us clarity and stability for the upcoming investment cycle. I think it's also important to note that in Portugal, the 2026 State Budget clarifies and the conditions under which new investments in the networks are exempted from the Extraordinary Tax. That supports really this incremental investment that we're doing in the networks. Still on networks, if we move forward to the next slide, you can see that the new regulatory terms and approval plans will allow an EBITDA growth in Iberia for networks. It grows to around over EUR 1 billion over this period. We have to consider that in this period in Portugal, there are legacy revenues that end in 2026, worth around EUR 40 million.

End of last year, giving us clarity and stability for the upcoming investment cycle.

I think it's also important to note that in Portugal, the 2026 state budget.

Our size and in the.

The conditions under which new investments and the metrics are exempted from the extraordinary tax so that supports really the incremental investment that we're doing in the metrics.

Still on that Forex, if you move forward to the next slide.

You can see that the new regulatory turns and approval plans will.

It will allow an EBITA growth in Iberia.

For networks.

It grows.

To round over $1 billion over this period.

We have to consider that in this period in Portugal. Their legacy revenues that ended in 2026 worth around 40 million euros, removing that means we'd have a normalized 2025 EBITDA of around <unk> 9 billion.

Miguel Stilwell d'Andrade: Removing that means that we'd have a normalized 2025 EBITDA of around EUR 0.89 billion, and that then reaches the EUR 1.05 billion in 2028. That's an 18% EBITDA growth for 25 to 28, with updated already with the new terms. This isn't just a one-off step to 2028, this then continues to grow beyond 2028, and that's supported by the approved returns and also the investment plans that we discussed on the previous slide. All of this gives us confidence in the continued momentum well beyond 2028 to 2030 and beyond that. If we move on to the next slide and just talking quickly about Iberia, I think what I'd say here is that Iberia is entering a period of much stronger electricity demand growth and driven by electrification.

And that then reaches the 1.05 billion in 2020, yet so that's an 18% EBITDA growth.

425% to 28.

With updated already with the new terms.

So this isn't just a one off step to 2028. This then continues to grow beyond 2028.

Important by the approves the returns and also the investment plans that we discussed on the previous slide. So all of this gives us confidence in the continued momentum well beyond 2028 to 2030 and beyond that.

If we move onto the next slide and just talking quickly about Iberia.

What I'd say here is that <unk> is entering a period of much stronger electricity demand growth driven by electrification on the left you can see the power demand growth in 2025 versus 24, Portugal leads at three 6%, Spain at two 8%, which means my beard clearly outperforming several of the European markets and it's not just a one year.

Miguel Stilwell d'Andrade: On the left, you can see the power demand growth in 2025 versus 2024. Portugal leads at 3.6%, Spain at 2.8%, which means Iberia clearly outperforming several other European markets. It's not just a one-year effect. I mean, obviously, we're seeing strong momentum into 2026. Just in January, the demand was 7.9% in Portugal and 4.8% in Spain, already adjusted for temperature. Going forward, we see or estimated 2% CAGR in the Iberian electricity demand over the period leading up to 2030. Demand growth should be supported overall, not just by the economy is doing well, but by more than 18 GW of data center projects pipeline that have been announced or that are, you know, publicly available.

I mean, obviously, we're seeing strong momentum into 2026.

So just in January the demand was seven 9% in Portugal, and a four 8% in Spain already adjusted.

Adjusted for temperature.

Publicly available.

Miguel Stilwell d'Andrade: I'd have to highlight here that EDP is obviously engaging with a lot of these projects. Two of the more advanced ones that's certainly here in Portugal are the Merlin Data Center, north of Lisbon, at 180 MW. We had an MOU signed with them back in July 2025, and also the Start Campus project in Sines, with an MOU that we signed yesterday. The Sines project, as you know, is expected to reach 1.2 GW over the next couple of years. I can just detail a little bit more what that means in the Q&A, if you think that's appropriate. If we move forward to...

I'd have to highlight here that edp is obviously engaging with them a lot of these projects two of the more advanced ones that certainly here in Portugal.

Are the Merlin datacenter north of Lisbon at 180 megawatts.

Got an Mou signed with them back in July of 2025, and also to start campus project in seniors.

With an Mou that we signed yesterday.

The senior project as you know is expected to reach one two gigawatts over the next couple of years.

And if I can just tell you tell a little bit more what that means in the Q&A. If you think that's appropriate.

If we move forward to still to I'm talking about Iberia and this is a slide which I think is also extremely important because it's not just about the main growth. It's also the Iberia combined this demand growth with structurally affordable power prices and that's supported by improving system fundamentals and that's really an important advantage for customers for electrification.

Miguel Stilwell d'Andrade: still to talking about Iberia. This is a slide which I think is also extremely important because it's not just about demand growth, it's also that Iberia combines this demand growth with structurally affordable power prices. That's supported by improving system fundamentals, and that's really an important advantage for customers, for electrification, for the broader competitiveness of the economy. When there's so much talk in Europe and elsewhere about affordability and about competitiveness, Iberia has a really distinctive advantage in Europe. I think we will benefit from that, sort of on the electrification front. On the left-hand side, you can see the evolution of the B2C electricity prices. The key takeaway is that Portugal and Spain fit among the most affordable markets in Europe, around 17% below the European average.

For the broader competitive necessarily economy. So when there's so much talk in Europe and elsewhere about affordability and about competitiveness Iberia has it really distinctive advantage in Europe, and I think we will benefit from that.

Sort of on the electric a pension fund.

The left hand side, you can see the evolution of the beat to see electricity prices.

The key takeaway is that Portugal, Spain fit among the most affordable markets in Europe around 17% below the European average.

Miguel Stilwell d'Andrade: Going forward, at the European level, Northern Europe faces higher expected network investments that typically put upward pressure on the end user prices over time. By contrast, in Portugal and Spain, we have several structural elements that we think will support affordability. One is that the historical electricity system debt is expected to be fully paid by 2028. That means that there'll be significant cost reductions in the tariff structure going forward. Second, there's a gradual phase out of legacy support schemes like the feed-in tariffs in Portugal and the RECORE scheme in Spain. That also reduces access tariff costs. In Portugal, specifically, the regulator, ERSE, has simulated annualized reductions in the B2C reference end user tariffs from 2026 to 2030.

Going forward at the European level, Northern Europe faces higher expected network investments that typically puts upward pressure on end user prices overtime, but by contrast in Portugal and Spain.

Several structural elements that we think will support affordability.

One is that they're gonna Starkel electricity system debt is expected to be fully paid by 2028 that means that there'll be significant cost reductions in the tariff structure going forward.

There's a gradual phase out of legacy support schemes like the feed in tariffs.

The record.

Our scheme in Spain that also reduces excess tariff costs and so in Portugal, specifically.

The regulator has stimulated annualized reductions in the BTC reference end user tariffs from 2026% to 2030, so that helps create room to accommodate new system needs like ancillary services capacity mechanisms to additional investments in networks without compromising competitiveness. So I think it's we are able to get the <unk>.

Miguel Stilwell d'Andrade: That helps create room to accommodate new system needs like ancillary services, capacity mechanisms, additional investments in networks, without compromising competitiveness. I think we are able to get the best of both worlds, which is, more investment, more ancillary services, more capacity mechanisms to make sure that we have a stronger, more resilient system and still have, sort of annualized reductions in the end user tariffs. Moving on to EDPR. Again, you had more detail on that yesterday, so just a quick note here. We are seeing really strong execution, momentum, and better visibility on the business and plan delivery. Over the last 6 months, EDPR secured 1.3 GW of capacity, and on the left-hand side, you can see the main project secured during this period. It's a combination of PPAs with utilities, global tech companies.

Best of both worlds, which is.

More investment.

More services more capacity mechanisms to make sure that we have a stronger more resilient systems and still have sort.

Sort of annualized reductions and the end user tariffs.

Moving on to E D P R.

You had more detailed on that yesterday, so just a quick note here.

We are seeing really strong execution momentum.

Better visibility on the business plan delivery over the last six months.

Cdpr secured one three gigawatts of capacity and on the left hand side you can see the main projects secured during this period, that's a combination of ppas with utilities Global Tech companies.

Miguel Stilwell d'Andrade: We also have build and transfer agreements in the US, so it's really a diversified set of takers and structures. Across the 2026 to 2028 period, we already have 2.8 GW secured, and we expect to continue on securing more projects over the coming weeks and months. We break it down year by year, 2026 is already 100% secured, so almost all of that under construction, couple of projects coming under into construction in the very short term. That gives us very good confidence on the 2026. 2027 is already 65% secured, and 2028 is at 10% secured. That gives us roughly already 55% secured for 2026 to 2028.

You also have build and transfer agreements in the U S. So it's really a diversified set of off takers and structures.

And across the 26 to 28 period, we already have two eight gigawatts secured and we expect to continue on securing more projects over the coming weeks and months.

If we break it down year by year 'twenty 'twenty six is already 100% secure so.

Almost all of that under construction a couple of projects coming down there into construction in the very short term so that gives us very good confidence on the 26th.

27 is already 65% secured in 2028 is that 10% secured so that gives us roughly already 55% secured for 26 to 28.

Miguel Stilwell d'Andrade: As I say, we have good visibility on additional projects that are coming down the pipeline, you know, to help us, meet the rest of this project. With that, I'd stop here. I pass it over to Hui to go through the 25 results in more detail, and I'll come back for closing remarks. Thank you.

We have good visibility on additional projects that are coming down the pipeline.

To help us.

Meet the rest of this project.

I'll stop here I pass it over to <unk> to go through the 25 results in more detail and I'll come back for closing remarks. Thank you.

Thank you Miguel and good morning, Carol So let me start with the Adp's results.

Recurring EBITDA reached five points year over $3 billion in 2025.

It's up 1%, but if we exclude asset rotation gains and FX. The underlying growth was 7% year on year, driven by strong ETP, our performance and reasonably a temporary space. So we can get them.

Caring figures by segment renewable.

Renewables clients and energy management increased by $65 million year on year, reaching $3 4 billion and now represent 69% of group EBITDA.

Within this segment, the hydro clients and energy management declined to $160 million year on year, mainly reflecting the normalization of guest sourcing conditions and Iberia personally the exit.

Environment that we had in 2024.

Rui Teixeira: This was more than offset by strong EDPR performance, up to EUR 190 million year-on-year, reflecting 2024 record additions, translating into higher generation. On the network side, recurring EBITDA stood at EUR 1.54 billion, now representing 31% of group EBITDA. While EBITDA decreased EUR 68 million year-on-year, this is mainly explained by Brazil effects impact and the absence of capital gains. Again, excluding effects and asset rotation, the underlying networks EBITDA increased 3%, supported by a positive performance in Iberia, both from regulatory framework and reinforced operating discipline. Finally, regarding OpEx, decreased 2% year-on-year or 5% in real terms, reinforcing also the operational discipline, which I will detail in the next slide.

This was more than offset by strong edp, our performance up to 119 million year on year, reflecting 'twenty 'twenty four record additions translating into higher generation.

On the network side regarding EBITDA stood at 154 billion now representing 31% of group EBITDA.

While EBITDA decreased 16 million.

Year on year. This is mainly explained by Brazil, FX impact and the access of capital guidance again, excluding FX and I sortation, the underlying networks EBITDA increased 3%.

Courted by a positive performance in Iberia.

From a regulatory framework and reinforce operating discipline.

So finally regarding opex decreased 2% year on year or 5% in real terms reinforcing also the operational discipline, which I will detail in the next slide.

Rui Teixeira: If you look to the OpEx, this slide highlights an important enabler of our EBITDA performance, which is sustained cost discipline. Recurring OpEx decreased one to EUR 1.88 billion, trending down year-by-year, a total reduction of around EUR 160 million in 2025 versus 2023. Over the last 12 months, inflation was around 3%, we still delivered a 2% nominal reduction in recurring OpEx. Excluding effects, OpEx is slightly below, which means that we are effectively absorbing inflation through efficiency and productivity gains. This is translating into improved efficiency ratios. OpEx, as a share of gross profit, improved from 28% in 2023, down to 26% in 2025. Key drivers for this: EDPR delivering efficient growth.

If you look to be Opex.

Opex despite highlights an important enabler of our EBITA performance, which is sustained cost discipline.

Opex decreased one to $1 88 billion.

Trailing down year by year, a total reduction of around $160 million and 35% versus 23.

Over the last 12 months inflation was around 3% and yet we still delivered a 2% nominal reduction in recurring opex.

Excluding effects Opex is slightly below which means that we are effectively absorbing inflation through efficiency and productivity gains.

This is translating into improved efficiency ratios opex as a share of gross profit improved from 28% and 23 down to 26% in 'twenty five.

Key drivers for base EPR delivering efficient growth.

Rui Teixeira: We're reducing adjusted OpEx per megawatt by 12% year on year to 40,000 EUR per megawatt, this while scaling capacity. A lean and more focused workforce aligned with the company's growth priorities. Digital and AI-driven initiatives to improve O&M efficiency, decision-making, customer experience. I think the message is very clear. We are growing and investing while structurally improving the cost base, and obviously, this supports cash generation as we deliver the plan. Now let me move to FlexGen and client segments. EBITDA for 2025 stood at EUR 1.46 million. This is down 13% year on year, and this reflects the normalization versus an extraordinary 2024, but also flexibility revenues structurally increasing. In Iberia, 2024, as you know, was impacted by extraordinary gas sourcing costs.

We're reducing adjusted Opex per megawatt by 12% year on year to 40000 euros per megawatt.

These wireless carrying capacity.

A leaner more focused workforce aligned with the company's growth priorities ditched.

Obviously, the supports cash generation as we deliver the plan.

So now let me move to flex chairman client segments EBITDA for twenty-five stood at one point to 46 million. This is down 13% year on year and this reflects the normalization versus an extra ordinary 'twenty 'twenty four but also flexibility revenues structurally increasing.

In Iberia 'twenty 'twenty four as you know was impacted by extraordinary guest sourcing costs.

Rui Teixeira: 2025, base load hedging price normalized from EUR 90 per MWh to EUR 70 per MWh. However, this was partially offset by stronger, flexible generation revenues. Pumping generation increasing by 24%, pumping spreads reaching 75% over base load prices, hydro premium improving to 21%, and CCGT generation increasing by approximately 3 TWh, reflecting the system operator needs. In Brazil, EBITDA declined from EUR 184 million to EUR 156 million, mainly due to ForEx impact. Overall, while the headline EBITDA reflects normalization, the structural uplift in flexibility was very solid, with EUR 0.3 billion contribution to overall group. Now we move to slide 15, turning to EDPR, which we also commented on yesterday's call. Recurring underlying EBITDA ex-ForEx grew by 27% year-over-year.

2025, baseload hedging price normalized from $19 per megawatt hour to $70 per megawatt hour.

However, this was partially offset by stronger flexible generation revenues bumping generation, increasing by 24% pumping spreads, reaching 75% of our baseball prices higher.

Hydro premium improving to 21%.

<unk> generation, increasing by approximately three terawatt hours.

<unk> the system operator needs it.

In Brazil, EBITDA declined from $184 million to 156 million, mainly due to forex impact.

Overall, while there headlight EBITA reflects normalization the structural uplift in flexibility was very solid with viewpoint three building contribution to overall group.

So now we move to slide 15, turning to ETP art, which we also commented on yesterdays call regarding underlying EBITDA ex Forex grew by 27% year on year.

Rui Teixeira: This growth, very robust growth, reflects a significant step up in the generation following the record capacity additions in 2024, offsetting worse renewable resources and also normalization of selling prices, primarily in Europe. Overall, EDPR continues to deliver strong operational momentum and translate capacity growth into earnings growth. Now looking at the networks EBITDA on slide 16. Recurring EBITDA reached EUR 1.54 billion in 2025, representing a 4% decrease year-on-year. This is primarily explained by devaluation of the Brazilian real, the absence of asset rotation gains in Brazil, which amounted to EUR 71 million in 2024. Combination of the consolidation of transmission assets, the decrease on the distribution company's residual value update, and on transmission inflation updates. This is compensated overall by improving operating performance. Again, excluding FX and asset rotation, underlying EBITDA increased 3%.

Growth very robust growth reflects a significant step up in the generation following the record capacity additions in trading for upsetting worst in renewable resources and also the normalization of selling prices primarily in Europe.

Overall <unk> continues to deliver strong operational momentum and translate the capacity growth into earnings growth.

Now looking at the networks EBITDA on slide 16.

Regarding EBITDA reached 154 billion.

Billion euros in 30 to 35.

Representing a 4% decrease year on year, but this is primarily explained by devaluation of the Brazilian real.

Yes, that's what I said, we're patient gains in Brazil, which amounted to $71 million in 'twenty four.

<unk> of deconsolidation of transmission assets, the decrease the distribution company's residual value upside.

Transmission inflation abate.

But this is compensated overall by improving our operating performance.

Again, excluding FX and Thats, a rotation underlying EBITA increased 3%.

Rui Teixeira: It has an important contribution of EUR 56 million in EBITDA from Iberia, following inflation uptake in Portugal and rapid growth overall. All in all, the network segment is showing a resilient operational performance with very supportive regulatory frameworks, as Miguel just described, going into the future. On financial costs, following slide. Next, net financial costs increased from EUR 865 million to EUR 989 million. There are two main drivers to this. The first one is that net interest costs, which add about EUR 54 million, they reflect higher average debt and a higher cost of debt in Brazilian reals, where the average cost rose from 11.7% to 14.1%, reflecting the macro conditions in the country. Excluding Brazil, the average cost of debt reduced to 3.3%.

It has an important contribution of 56 million euros.

EBITDA from Iberia, following inflation uptake in Portugal, and Rab growth overall.

So all in all the networks segment, you're showing your resilient operational performance with some very supportive regulatory frameworks ethnic al just described.

Going into the future.

Operational costs following slide.

Next net financial costs increased from 865 million to $989 million, Dr. Tim and driver space. The first one is that net interest costs, which add about $454 million.

They reflect higher average steps.

Higher cost of debt in Brazilian Reals, where the average cost rose from 11, 7% to 14, 1%, reflecting the macro conditions in the country exposure.

Excluding Brazil, the average cost of debt reduced to three 3%.

Rui Teixeira: Second, lower capitalizations and other effects, with an additional EUR 69 million. This is largely explained by the EUR 1.2 billion reduction in works in progress as projects entered operation, and therefore reducing capitalizing interest. If you look to the right-hand side, average nominal debt by currency remains broadly stable year-on-year. The portfolio continues to be predominantly euro-denominated, with 64%, followed by US dollar, 16%, and Brazilian real at 15%. Finally, in terms of recent financing activity, we issued a 6-year senior bond, EUR 650 million in January, with a 3.25% coupon. This confirms the competitive access of EDP to funding in the debt markets. Now, let's move to the cash flow on the following slide. Organic cash flow reached EUR 3.3 billion, up EUR 0.5 billion year-on-year, driven by EBITDA improvement and working capital management.

Second.

Lower capitalization and our effects contributing with an additional $69 million. This is largely explained by the $1 2 billion reduction even works in progress as projects into operation and therefore, reducing capitalizing interest.

You can look to the right hand side average nominal depth by currency remains broadly stable year on year. The portfolio continues to be predominantly euro denominated with 64%.

By U S dollar, 16% in Brazilian real at 15%.

Finally in terms of recent financing activity, we issued eight six years.

Senior bonds $650 million in January with a 325 coupon. So this confirms the competitive access of ETP to funding in the debt markets.

Now, let's move to the cash flow on the following slides organic cash flow reached $3 3 billion.

0.5 billion year on year, driven by EBITDA improvements and working capital management.

Rui Teixeira: Net interest paid amounts to EUR 0.8 billion, partially offsetting the operating improvement. Among investments, gross investments totaled EUR 3.9 billion, mainly EUR 2.4 billion in EDPR and EUR 1.1 billion in electricity networks, also EUR 0.4 billion in clexan and clients. These gross investments were funded through EUR 1.6 billion of asset rotation and EUR 0.8 billion of tax equity proceeds. There are also EUR 0.5 billion of other impacts, mainly related with payments to fixed asset suppliers. As a result, a total of EUR 1.7 billion of net cash investments, of which close to 50% in the electricity networks and around 40% in EDPR.

Net interest paid amounts to 0.8 billion, partially offsetting the operating improvement.

The investments gross investments totaled $3 9 billion, mainly to four <unk> and $1 1 billion in electricity metrics.

0.4 billion inflection and clients.

These growth investments were funded through $1 6 billion of basketball patient and to your point 8 billion of tax equity proceeds.

They are also doing <unk> 5 billion of other impacts mainly related with payments to fixed assets suppliers. So as a result of a total of $1 7 billion of net cash investments of which close to 50% in electricity networks and around 40% DPR.

Rui Teixeira: On slide 19, net debt stood at EUR 15.4 billion, down from EUR 15.6 billion at the end of 2024, and outperforming the EUR 16 billion guidance that we gave them to the market. The key drivers for the change in net debt include EUR 3.3 billion of organic cash flow, obviously the EUR 0. billion of dividend annual payment, and the EUR 100 million share buyback throughout 2025. The EUR 1.7 billion of net cash investments that I just explained, also EUR 0.8 billion of regulatory receivables, and about EUR 0.3 from FX and other, mostly related to US-denominated debt.

Now on slide 19, net debt stood at $15 4 billion down from $15 6 billion at year end of 2024.

Performing the $16 billion.

Guidance that we gave to the market.

The key drivers for the change in net debt.

$3 3 billion of organic cash flow.

Obviously, there is your point.

At an annual payment and the 100 million share buyback, it's about 25 to.

The $1 7 billion up net cash investments that I. Just explained also 0.8 billion of regulatory receivables.

0.3 from FX and other mostly related to U S denominated debt.

Rui Teixeira: As a result of, you know, cash flow management, balance sheet discipline, and obviously very strong operational cash flow, we do have solid credit metrics, with 20.9% FFO net debt and 3.3x net debt EBITDA. On the net profit. Net profit reached EUR 1.28 billion. That's a reduction of 8% year-on-year, and this is mostly reflected or driven by the higher EBITDA, EUR 74 million, higher D&A and provisions, increasing EUR 60 million year-on-year, reflecting the investment path. Higher net financial costs due to higher cost of debt and lower capitalizations, slightly higher income taxes, and lower non-controlling interests. Excluding asset rotation gains and the Forex, the underlying net profit increased 3%, confirming a very solid operational performance, as we just described.

So as a result of cash flow management.

Balance sheet discipline, and obviously very strong operational cash flow, we do have solid credit metrics with 29% difficult attacks and three three times net debt EBITDA.

Now on the net profit net profit reached one point to 28 billion euros, that's a reduction of 8% year on year and this is mostly reflective.

Or driven by the higher appetite EBITDA $74 million higher DNA and provisions, increasing 60 million year on year, reflecting the investment at that time.

Net financial costs due to higher cost of pet Edward Capitalizations, slightly higher income taxes and lower noncontrolling interests.

Exporting asset rotation gains and the Forex the underlying net profit increased 3% confirming a very solid operational performance as we just described.

Rui Teixeira: Reported terms, net profit reached EUR 1.15 billion, including the negative impact of EUR 130 million, mostly related with some non-recurring items in EDPR. Year-on-year, reported net profit therefore increased 44%, also driven by EDPR performance rebound, compared to a negative 2024. This improvement in net profit supports our proposal to increase the dividend to EUR 0.205 per share, up 2.5% versus the guidance to be paid in 2026, obviously subject to the approval at the shareholders' meeting. Now let me just address a topic which I think is relevant regarding the net income sensitivity to power prices versus what we presented at the CMD. On this slide, our...

Reported terms net profit reached $1 15 billion, including the negative impact of 130 million mostly related with some.

Nonrecurring items Uniti PR.

Year on year reported net profit therefore increased 44% also driven by ETP, our performance rebound compared to a negative <unk> 24.

This improvement in net profit supports or our proposal to increase the dividend to <unk> 35 per share.

Two 5% versus the guidance to be paid in 2026, obviously subject to the approval at the shareholders' meeting.

And I'll, let me just.

Address a topic, which I think it's relevant regarding the net income sensitivity to power prices versus what we presented at the CMT.

So it looks like.

Rui Teixeira: Just again, to remind everybody, our exposure to energy markets is well diversified, and as you know, we have a very active energy management. The portfolio is predominantly long-term contracted. This provides strong cash flow visibility and obviously reduces short-term impacts from price volatility. In Iberia and Brazil, we have a structural short position in generation, which is hedged through our supply business, so partially offsetting wholesale price movements. At the CMD, we disclosed that a simultaneous five years per megawatt hour movement in all markets would imply approximately EUR 60 million impact on 2028 net income. Since then, Iberia 2028 forwards have declined around EUR 10 per megawatt hour. On the other hand, US and Brazil forward curves are moving upwards. This portfolio diversification, plus an active energy management, have actually reduced the sensitivity.

Just again to remind everybody so our exposure to energy markets is well diversified and as you know.

We have a very active energy management the portfolio is predominantly long term contracted.

This provides strong cash flow visibility and obviously reduces short term impacts from price volatility.

In Iberia, and Brazil, we have a structural.

Short position in generation.

Is hedged through our supply business, so partially upsetting wholesale price movements at the CMV, we disclosed that the simultaneous five years per megawatt hour movement in all markets.

Would imply approximately 16 yoga and impact on 2028 net income since then.

Array of 20 to 88 forwards have declined around 10 years per megawatt hour, but on the other hand U S and Brazil forward curves are moving upwards.

So this portfolio diversification plus inactive energy management have actually reduced the sensitivity so today.

Rui Teixeira: Today, the same EUR 5 per megawatt hour movement across all markets in the same direction would imply approximately EUR 45 million impact on net income in 2028, again, versus the EUR 60 million that we presented at the CMD. A reduction on the sensitivity. The merchant exposure is split about 65% Europe, 20% Brazil, and 15% North America. With this, I will hand over to Miguel for final remarks. Thank you.

The same five years familiar our movement across all markets in the same direction within Playa approximately $45 million impact on net income in 2028.

<unk> versus the 60 million that we presented at the CMT. So a reduction on the sensitivity.

The merchant exposure split is split is about 65% Europe, 20%, Brazil, and 15% of men in North America.

So with this I would hand over to Miguel for final remarks. Thank you.

Miguel Stilwell d'Andrade: Thank you, Rui. As you say, I think this has shown the sensitivity to power prices is an important point to note, because I know there are questions on that. If we move forward to the final slide, just before we open it up for Q&A. Summarizing the 2025 results and how we're seeing 2026 and beyond. First, in relation to 2025, I think it's undeniable that it was very strong execution and delivery of what we'd promised. Across the group, we delivered ahead of guidance, and we're seeing a clear structural change in FlexGen and clients, with the value of flexibility coming through very strongly. At the same time, EDPR also improved its performance, as its continued focus on A-rated markets. It's got better visibility on the business plan execution.

Thank you alright.

As I say I think the fish on the sensitivity to power prices and an important point to note because I know another questions on that.

If we move forward to them to the final slide just before we open it up for Q&A.

So summarizing the 2025 results and how we're seeing 26 and beyond.

And really since the 25 I think it's undeniable that it was very strong execution and delivery.

What we promised.

Cross the group, which delivered ahead of guidance and we're seeing a clear structural change in flex Gen and clients with the value flexibility coming through very strongly at.

At the same time <unk> also improved its performance has continued to focus on a rated markets got.

Better visibility on the business plan execution.

Miguel Stilwell d'Andrade: In networks, we have significantly improved visibility with the regulatory periods closed in Portugal and Spain, and we also advanced in Brazil with the extension of the concessions. Importantly, all of this was delivered with financial discipline and increased efficiency, as Rui spoke about, particularly on the cost side, but also on the debt side, supporting the maintenance of sound credit ratios. Second, looking at the 2026 guidance, we expect to recurring EBITDA of around EUR 4.9 to 5 billion, and this is supported by the balanced contribution across the portfolio. We have the networks, around EUR 1.5 to 1.6 billion. EDPR at around EUR 2.1 billion, as mentioned yesterday. FlexGen and clients at around EUR 1.3 to 1.4 billion.

Networks, we have significantly improved visibility with the regulatory periods closed in Portugal, and Spain, and we also advanced in Brazil with the extension of the concessions and.

And importantly, all of this was delivered with financial discipline and increased efficiency and as we spoke about particularly on the cost side, but also on the debt side supporting the maintenance of sound credit ratios.

Second looking at the 2026 guidance, we expect to.

Recurring EBITDA of around $4 95 billion.

And this is supported by the balanced contribution across the portfolio, we have the networks around one 5% to $1 6 billion.

Edp arm at around $2 1 billion as mentioned yesterday nextgen clients at around one three to $1 4 billion.

Miguel Stilwell d'Andrade: We reaffirm our recurring net profit of EUR 1.2 to 1.3 billion. On the 2028 targets, over the course of the next couple of years, we continue to expect around EUR 12 billion of growth investments, and let's say this will be funded with discipline and supported by around EUR 6 billion of asset rotations and disposals. We'll keep our balance sheet targets unchanged, so we're targeting FFO over net debt of around 22%. In terms of earnings delivery, we remain committed to the EUR 5.2 billion of recurring EBITDA and the EUR 1.3 billion of recurring net profit by 2028. Overall, the message is consistent. We executed strongly in 2025. We have very clear visibility for 2026, and we are reiterating our 2028 guidance.

We reaffirm our reoccurring net profit of one two to $1 3 billion.

On the 2028 targets.

Over the course over the next couple of years, we continue to expect around 12 billion of gross investments in let's say this will be funded with discipline.

And supported by around $6 billion of asset rotations and disposals.

We will keep our balance sheet.

<unk> targets unchanged. So we're targeting a <unk> net debt of around 22% and in terms of earnings delivery. We remain committed to the $5 2 billion of recurring EBITDA and the $1 3 billion of recurring net profit by 228. So overall the message is consistent we executed strongly in 2025, we have very clear visibility for 2006, and we are reiterate.

Our 2028 guidance.

Miguel Stilwell d'Andrade: With that, happy to turn it over to Q&A, and back to you, Mio. Thanks.

And with that happy to turn it over to the Q&A and bacteria.

Thank you so much I will begin by addressing the questions submitted in writing after that we'll move on to the last questions by phone.

If you wish to ask a question by phone. Please press star one on your telephone keypad and like Finance you be announced please ensure your line is open you touched upon your name Ethernet Alternatively.

I will tell it can be you can tell my question is why the webcast.

I'll begin, but then with your question.

Rui Teixeira: Thank you. We start with the written questions, and we have a first question from RBC, and other analysts, JB Capital, Deutsche Bank, and CaixaBank. Regarding the guidance for 2026 that we provide, we are guiding stable EBITDA versus what we presented at CMD, while at EDPR, there was a slight revision. If we can explain this in detail, this updated guidance?

Thank you. So we start with the written questions and we are of course Gretchen from the trends of CIBC and does it analysts GP capital Deutsche Bank Cashier Bank.

Regarding the guidance for 2056 and that we provide.

So we are guiding a stable.

EBITDA versus what the prison that sandy well deep yard there was a slide to.

If we can explain these in any therapies dissipate as guidance.

Miguel Stilwell d'Andrade: Sure. As I mentioned, I think 2026, we're very comfortable with it. I mean, a couple of points that have improved since the capital markets, say, last November. The regulatory rate of return for the distribution in Portugal was better than the initial proposal, so that was an upside. The Clawback was suspended as of December, and previously, we were assuming that we would have that over the next couple of years, so that's also a positive. January and February, we saw obviously very strong hydro inflows, and you know, I showed you the numbers in terms of how the reservoirs are. They're sort of all-time highs, so full capacity there. Good visibility also the next couple of months in terms of hydro.

Sure.

I mentioned I think 23, six we're very comfortable with it.

I mean, a couple of points that have improved since.

The capital markets Day last November.

The regulated rate of return for the distribution in Portugal was better than the initial proposal so that was an upside.

The claw back was suspended as of December and previously we're assuming that we would have that over the next couple of years. So that's also a positive.

January and February saw obviously very strong hydro inflows.

I showed you the numbers in terms of how the reservoirs are there sort of all time highs.

So.

Full capacity there so good visibility off over the next couple of months in terms of hydro.

Miguel Stilwell d'Andrade: On some negative, low wholesale prices in February and higher than normal ancillary services in terms of supply. Also, some transmission grid restrictions due to the storms still being fixed, so that's on the negative side. We are expecting these to decline over the next couple of months, and also the wholesale prices in Iberia to normalize again, also over the next couple of months. On Forex, on FX, we have a slightly lower dollar versus the euro, as we commented yesterday on the EDPR level. On the other hand, we're seeing a positive rebound of the Brazilian real. We're now seeing, you know, 6 reais per euro, versus our business plan assumptions of 6.6 reais per euro for 2026.

Hum.

But we are expected to decline over the next couple of months and also the wholesale prices in Iberia to normalize.

Again also over the next couple of months.

On Forex on FX, we have a slightly lower dollar versus the euro as we commented yesterday on the ETR level.

But on the other hand, we're seeing a positive rebound of the Brazilian real so we're now seeing six reactors.

Per euro versus our business plan assumptions of six six.

Per euro for 2020 six so.

Miguel Stilwell d'Andrade: you know, quite a few positives, a couple of negatives, but all in, quite frankly, we feel very confident with the 2026 guidance.

Quite a few positives and a couple of negatives, but all in quite frankly, we feel very confident with the 2026.

Got it.

Yeah.

Miguel Viana: ... We have then a second question, about, net debt. What contributed to the positive deviation of our net debt figure in 2025? The EUR 15.4 billion versus the EUR 16 billion, guidance that we had provided, and also, a question around update for net debt expected evolution over 2026.

Yeah, and then a second question.

About that's what contributed to the positive deviation of our net debt figure in 2025, so the $15 4 billion euros versus the $16 billion.

The guidance that we have provided and also a question around the plate for net that's expected evolution over 2056.

Miguel Stilwell d'Andrade: Thank you, Miguel. First of all, you know, Q4 was very good in terms of operational cash flow, strong contribution from the integrated segment in Iberia. That's the first one. Obviously, there is some impact from working capital that we'll see then reverting now in 2026. What I would say is that, first of all, 2026, you know, we are looking at around EUR 16 billion of net debt towards the year end. Typically, as you know, we have, during the first half, a rise in net debt, coming either from this working capital, also bear in mind that we have the Greek transaction, but also dividend, payment in Q2.

Go.

So first of all Q4 was very good in terms of operational cash flow.

Contribution from the intuitive segmenting in Iberia.

So that's the first one obviously there is some impact from working capital that we'll see then reverting in the now in 2026.

So what I would say is that first of all 2026.

We are looking at around $16 billion of net debt towards the year end.

Typically as you know we have during the first half arise in that depth.

Coming either from this working capital also bear in mind that we have the Greek transaction, but also dividend payments in the second quarter.

And then as we start having that also have the cash in from asset rotations, etc proceeds towards the end of the year.

It tends to go down again, so that's why we're looking at around $16 billion.

By 226.

Miguel Viana: We have a question around the news of yesterday regarding memorandum of understanding with Start Campus. What does it mean for EDP and this engagement? Questions from Alex, Bank of America, Fernando, RBC.

We have another question around the NIM.

As of yesterday regarding the memorandum of understanding with step campus.

What to what to what does it mean for you to be in.

These engagements so questions from from Alex from Bank of America for under CIBC.

Miguel Stilwell d'Andrade: Sure. It's an interesting step. I think it's one of many we've been taking. It's essentially, the MOU is just an interest of both parties to explore the synergies between their activities. I mean, obviously, we as experts on the energy side and them on the infrastructure side. I'd say there are essentially three parts to the MOU. I think the first is for EDP to be considered a strategic energy partner to the Start Campus project, whether it's through power supply as is, or through additionality of projects, so that the Start Campus infrastructure continues to be built out.

Sure. So it's an interesting stat.

I think it's one of many we've been taking.

It's essentially the Mou is just in interest of both parties to explore the synergies between their activities obviously.

Experts on the energy side, and then on the infrastructure side I'd say there are essentially three parts to the Mou I think the first is for ETP to be considered the strategic energy partner to start campus projects, whether its through the <unk>.

Our supply.

As is or through additionality projects sort of as the.

Star campus.

Infrastructure continues to be built out.

Miguel Stilwell d'Andrade: The second is just synergy between the Sines Data Campus Center or project, and the infrastructure that we already manage, for example, in the Sines power plant, so for example, like on the water side, in terms of cooling. The third is really potential collaboration for other data centers in Portugal that Start Campus might want to develop, leveraging on EDP's assets and capabilities. We have land and generation assets that we own in Portugal, and so explore potential collaborations. I think above all, it's opening up the possibility for creating additional value from our existing assets and operations, as well as getting additional visibility on future demand volumes, which could support the development of, you know, a sizable pipeline of renewable energy projects, as we've discussed in the past.

The second is just synergies between the data campus Center project and.

The infrastructure that we already manage for example on the scene of ship power plants. So for example, like on the water side.

Of cooling.

And the third is really potential collaboration for other data centers in Portugal, let's start campus, Mike wants to to develop leveraging on adp's assets and capabilities. So we have landed generation assets that we own and in Portugal, and so explore potential collaborations I think.

Paul it's opening up the possibility for creating additional value from our existing assets and operations as well as <unk>.

Getting the additional visibility on future demand volumes, which could support the development of <unk>.

A sizable pipeline of renewable energy projects as we've discussed in the past. So overall, it's just.

Miguel Stilwell d'Andrade: Overall, it's just, I think, a step, one of many that we expect to take, in this area.

I think a step one of many that we expect to take in this area.

Miguel Viana: We have also a question from Pedro of CaixaBank regarding the effective tax rate evolution, from the 28% in 2025, and also explaining the 28% and how we see the evolution for 2026.

And then also a question from Scotia Bank regarding the effective tax rate.

Evolution so.

From the 28% in 2025, I was explaining where do we see sort of explaining to 28% in the OECD evolution for 26. Thank you so 2025, 28% tax rate.

Miguel Stilwell d'Andrade: Thank you. 2025, 28% tax rate was primarily driven by the fact that we had lower asset rotation gains and some costs that are not deductible, tax deductible, and that what basically impacted the rate. If you think about 2026, you know, you could consider sort of low 20s. This because we expect again to increase the capital, the asset rotation gains from the transactions, and also the declining tax rate in Portugal, which is, you know, will be dropping by 1 percentile point every year until 2028. 2026, around the low 20s.

It was primarily driven by the fact that they have more at sort of a pension gains.

And some of them.

<unk> costs that are not deductible tax deductible.

Basically in the back to the right, but if you think about 'twenty to Asics.

You can consider as sort of a low twenties.

And that's because we expect again to increase the capital.

Do you have sort of a fishing and gains from the.

From the transactions and also the.

Climbing a tax rate in Portugal, which as you know we will be dropping by one percentage point every year until 2028 26 are on the low twenty's.

Miguel Viana: We have a question from Pedro, from CaixaBank, regarding if we can explain a little bit better the inflation update in terms of review value, in terms of the impact in our EBITDA in Brazilian networks in 2025, and how do we see it evolving for 2026, 2028?

We have to any question from Bill Roth from Kasha Bank regarding it.

If we can explain a little bit better there.

Inflation update in terms of either well in terms of the impact in our EBITDA in Brazilian networks in 2025, and I'll I'll do we see people being 426 28.

Miguel Stilwell d'Andrade: In 2025, we had the extension of the concession in CP Cent for another 30 years. We expect to have that extension as well for São Paulo. You know, it's been sort of approved by the regulator. We're just pending the final signature in the next couple of weeks. There's a positive impact from the inflation update of this residual value, which existed in 25, which becomes the material from 2026 onwards. To be specific, in 25, in the electricity networks in Brazil, we had around EUR 70 million of EBITDA from inflation updates in both the distribution companies and the transmission companies. We had around EUR 20 million from EBITDA from the 2 transmission lines that we then sold in Q4 of 2025.

Uh huh.

25, we have the extension of the concession that you could get a sense for another 30 years.

And we expect to have that extension as well for some borrowers and that's been sort of approved by the regulator or just pending the final signature.

In the next couple of weeks so.

There is a positive impact.

From the inflation update of this residual value.

Which existed in 'twenty, five which becomes immaterial from 'twenty to 'twenty six onwards.

To be specific in 'twenty, five and the electricity networks in Brazil, we had around 70 million euros of EBITA from inflation updates in the both the.

Distribution companies in the transmission companies.

At around 20 million euros from EBITDA from the two transmission lines that we then sold in the fourth quarter of 2025.

Miguel Stilwell d'Andrade: The impact of this inflation update in the networks has declined in 2025 already versus 2024, but in 2023, in 2026, it will be material. I think it's important to note the following: we are under discussion with ANEEL, which is the regulator in Brazil, we and the other distributors, but we are more advanced in this process because we're the first ones to have our concessions renewed. To change the recognition of investment in the company's asset base, as I mentioned, I think, in the capital markets today, and I'll just reiterate, they're currently only recognized every five years with tariff provisions. There's still no conclusion, but we see a positive sign that at least the regulator is willing to consider this....

So the impact of this inflation update in the networks has declined.

It's going to take five already versus trade for but.

<unk> and <unk>.

Six are to be immaterial.

I think it's important to note. The following we are under discussion with Enel and or which is the regulator in Brazil, we and the other distributors, but we are more advanced in this process because we were the first ones to have our concessions renewed.

<unk>.

The recognition of investments in the company's asset base as I mentioned I think in the capital markets day, and I'll just reiterate the currency only recognize every five years with tariff revisions. So theres still a conclusion, but we see a positive sign that we still have regulators' willing to consider this.

Miguel Stilwell d'Andrade: That would allow us to have this intra-cycle recognition of investments, rather than having to wait for the end of the regulatory period. That's work in progress. We're certainly very committed to it, and we think others will be as well, as soon as they start seeing their concessions being renewed as well.

Allow us to have this interest cycle recognition of investments rather than having to wait for the end of the regulatory period. So that's work in progress.

We're certainly very committed to it and we think others will be as well as soon as they start seeing their concessions being renewed as well.

Yeah.

Miguel Viana: We have a question from Jorge Alonso, from Bernstein. Also regarding the current power price environment, how confident are we to maintain our 2028 guidance? Regarding the assumptions that we provided at CMD and current forwards, how do we see the guidance for 2028?

We have a question from Alonso from Bernstein also regarding the current power price environment.

Our confidence that we need to maintain our <unk> guidance and regarding the assumptions that we provided at <unk>.

In college.

At least you said guidance for 2008.

Miguel Stilwell d'Andrade: As I also briefly explained with that slide on sensitivity, I mean, effectively, we do have, as you know, short positions in both structurally short positions in generation in both Iberia and Brazil. This we hedge primarily through our clients' business. We also have a very active energy management. On the rest of the markets, as you know, we have from an EDPR standpoint, 85% is actually long-term contracted. On this, basically what we have done since the CMD is obviously to increase the hedging. We have been working actively on the hedging and the energy management. For 2026, 85% of the volumes are hedged at a price which is north of EUR 64 per MWh.

So.

As I also briefly explain with that too.

<unk> sensitivity I mean, effectively we do have them.

As you know short positions in both structurally short positions in generation in both.

Iberia in Brazil, This we hedged primarily through our clients reasons.

But we also have a very active energy management and then on the rest of the markets.

As you know we have from an ETP Ars $10 85 per cent is actually.

Long term contracted.

On this basically with what we have.

That does seem to the CMV is obviously to increase the hedging so they have been working actively on the hedging on the energy management opportunity.

For 2026, 85% of the volumes are hedged at a price, which is north of 64 years per megawatt hour.

For 2788, we have about 50% of base load volumes hedged above the current forward prices. So obviously these gives us.

Stability and predictability versus the changes in the in the in the fourth curves.

So on the other markets U S exposure is mostly concentrated in PJM and MISO. We have we are seeing forward prices going up by around $5 per megawatt hour.

And also in Brazil, where we have lower exposure, but still irrelevant.

The PLD has been rising significantly since the CMV. So that's why all in all.

Again this portfolio diversification.

Very active energy management is giving us.

Confidence towards the 2028 guidance, so more importantly as I've.

We actually reduced the portfolio exposure to these price movements, so and at the CMV in November we're estimating around $60 million.

Miguel Stilwell d'Andrade: At the CMD in November, we were estimating around EUR 60 million. Now, we are looking at, you know, substantially lower number.

And now we are looking at a.

Substantially lower number.

We have no questions from the monopoly B and B what is your take about increasing concerns about the part of the ability and the approval of the energy degree to reduce price spreads Italian government and.

If you expect any contagion effect.

Miguel Stilwell d'Andrade: Well, I think this is an important point. Just to take a step back, I think we are all focused on competitiveness of the economy. You know, what's good for the overall economy is good for the companies. As I mentioned, most of our exposure is in Iberia. You know, we specifically put up a slide which showed that in Iberia, in Portugal and Spain, we already have some of the lowest prices in Europe, and they are expected to even trend lower as some of the existing costs in the system come to an end, like the tariff deficit payments, which are being amortized, and like the feed-in tariffs, for example. The trend is it's already much lower than the rest of Europe and trending lower.

Well I think that's important just taking it to take a step back I think we are all always.

Focus on competitiveness of the economy.

What's good for the overall <unk>.

Economy is good for the companies.

As I mentioned most of our exposures in Iberia and we.

Specifically, we put up a slide.

Which showed that.

In Iberia.

<unk>, Spain, we already have some of the lowest.

<unk> in Europe.

And they are expected to even trend lower as some of the existing cost of the system.

Come to that like the tariff deficit payments, which are being amortized in like the feed in tariffs for example, so the trends are.

Pretty much slower than the rest of Europe and trending lower so the affordability and competitiveness I think of that is actually a positive and it means it can take additional investment to can take so someday until their services without impacting the affordability on the Italian case, I think it still has to go through.

Miguel Stilwell d'Andrade: The affordability and competitiveness, I think, in Iberia is actually a positive, and it means it can take additional investment, it can take sort of some of the ancillary services without impacting the affordability. On the Italian case, I think it still has to go through, you know, be, let's say, finally promulgated, and I'm sure it'll have a lot of discussion at the European level. You know, conceptually, sort of understand, but disagree with what it's doing. You know, there's been a lot of discussion already two years ago about market design, about how to make things competitive, you know, make the wholesale market work differently. Ultimately, it always comes back to the marginal pricing system is the system that works best. CO2 has to be internalized, and that continues to be a cur pri...

The let's say finally promulgated and I'm sure have a lot of discussion at the European level.

Uh huh.

Absolutely.

Sort of understand but disagree with the with what its doing.

There's been a lot of discussion already two years ago, but market design about how to make things competitive.

The wholesale market.

Work differently and ultimately it all kind of always comes back to the marginal price of the system is the system that works best.

Tier two it has to be internalized and that continues to be a core part of it.

Miguel Stilwell d'Andrade: key priority for Europe. listen, it's something to watch, but we don't expect it to have any material impact in Iberia.

A key priority for her for Europe.

Listen, it's something to watch, but we don't expect it to have any material impact in there.

Yeah.

Miguel Viana: We move now to the questions on the phone, and we start for the first question that comes from the line of Fernando Garcia from Royal Bank of Canada. Fernando, please go ahead.

We move now to the questions on the phone.

And we start from the first question that comes from the line up for them. This year from the Royal Bank of Canada.

Please go ahead.

Fernando Garcia: Good morning. Thank you for the presentation and for taking my follow-up question. I am curious because I am seeing a significant increase in CCGTs output in Portugal. This despite the strong hydro and wind output so far in the year, particularly in February. My question here is this explained by the elimination of the Portuguese load bank, and if this could be a potential upside to your estimated positive impact? I think you mentioned EUR 25 million for 2026. Thank you.

Good morning, Thank you for the presentation on Florida thinking my follow up question.

I am curious because I have seen a significant increase in ccd's output in Portugal, and this despite the strong hydro wind output so far in the year, particularly in February.

Pushed question here is is this is explained by the elimination of the Portuguese claw back.

And if this could be a potential upside to your estimated positive impact I think you mentioned.

25 million for 2026, thank you.

Miguel Stilwell d'Andrade: Hi, Fernando. You're right, CCGT output has increased. It's more related to the ancillary services, means the system operator has wanted to keep these working sort of as backup to the system. There's already this trend as, you know, following the blackout of last year, it started to decrease. Now it's increased significantly because of some specific issues here in Portugal, relating to all the storms that happened and sort of the disruption to the network. I wouldn't say it's an upside, probably it's a downside, in the sense that higher ancillary costs would have a knock-on impact if they're not passed on onto the suppliers. Sorry, it's something to watch.

Excellent.

So you're right.

Output has increased.

It's more related to some of the ancillary services.

The system operator has wanted to keep these working instead of as a backup to the system.

Already this trend as you know following the blackout of last year, and then started to decrease now it's increased significantly.

Yeah.

Because of some specific issues youre in Portugal.

Relating to all the storms that happened in terms of the disruption to the network.

I wouldn't say, it's an upside probably sit downsides in the sense that higher ancillary costs.

Whatever knock on impact of and I'll pass it on.

Onto the suppliers.

Oh I'm sorry.

So it's something to watch what they expect us to normalize over the next couple of weeks.

Miguel Stilwell d'Andrade: We expect this to normalize over the next couple of weeks, but it's basically the CCGTs working overtime, basically over the month of February.

But it's basically the cities working overtime.

Basically over the month of February.

Rui Teixeira: Thank you, Fernando. We have a final question from the line of Alberto Gandolfi from Goldman Sachs. Alberto, please go ahead.

Thank you Fernando and do we have a final question from Duane <unk> from Goldman Sachs. Please go ahead.

Alberto Gandolfi: Miguel, thank you, and good morning. My first question is, I wanted to ask you about Brazil. Is it a region where you think you might be growing exposure, there are potentially assets for sale? You're happy with the status quo, or is it something that, given the better returns in Portugal and the clarity in Spanish networks, you might think about de-emphasizing a little bit? The second question is a clarification on slide 21. Am I right in saying that the 45 million impact on net income is therefore adjusted for 50% hedging? In other words, without hedging, do we just double the 45 million, or is it? Can you maybe help us on that a little bit?

Hey, guys. Thank you and good morning.

So my first question is I wanted to ask you about Brazil.

A region, where you think you might be growing exposure trough potentially assets for sale.

Youre happy with the status quo or is it something that given the better returns and Porsche Garland.

The cladding team in Spanish networks, you might think about deemphasizing a little bit.

The final question is a clarification on slide 21 am I right in saying that the 45 million impact on net income is therefore adjust that 450% hedging so in other words without hedging.

Could we just double the 45 million or is it is it can you maybe help us on that a little bit.

Alberto Gandolfi: Last, one, on these data center opportunities, things are very active in this booming Portuguese market. Can I ask you if you are planning to build potential incremental capacity, if you were to sign a PPA there, or would it be from existing, and would it be done at EDP or EDPR level, if it were to happen? Thank you so much.

And last one on this data center opportunities seems or fatty active in this booming Portuguese market can I ask you. If you are planning to be a potential incremental capacity. If you were to sign a PPA there or would it be from existing and what would it be done at ETP.

<unk> levels.

What will happen. Thank you so much.

Miguel Stilwell d'Andrade: Hello. Good questions. I think in relation to Brazil, listen, we have a long track record in Brazil, over 30 years. I think we have a great business there. You know, we continue to look at opportunities for growth there, to the extent that it makes sense within the overall Brazilian exposure that, sort of, cap that we've always talked about. Obviously, you know, we continue to see how best to allocate capital, we've sold assets in Brazil in the past. I mean, even recently, we did the asset rotations with transmission lines. We sold the hydro.

Okay.

So great questions I think in relation to <unk>.

Brazil listen we have a long track record in Brazil over 30 years, I think we have a great business there.

We continue to look at opportunities for growth there to the extent that it makes sense within the overall Brazilian exposure.

Catherine.

<unk> always talked about.

Obviously.

We continue to see how best to allocate capital and so we've sold assets in Brazil in the past I mean, even recently, we did the asset rotations of the transmission lines.

The hydro.

Miguel Stilwell d'Andrade: We will continue to adjust and fine-tune our exposure to Brazil, and obviously reallocate capital to wherever we think is best at any particular time, whether it's Europe or the US at the moment. I'd say that we like having this diversification of geographies, because it does allow us to allocate capital quite well, depending on the different cycles and the different geographies. On the third question, and then I'll quickly take it, the second question. On the third question, essentially, what we're saying is that there's a certain amount of power that can probably be supplied just as is, because there's sufficient reserve margin in the system to be able to supply these data centers without necessarily having to go and build new power plants.

So we will continue to adjust and fine tune, our our exposure to Brazil, and obviously reallocate the capital to wherever I think is best.

At any particular time, whether it's Europe or the U S at the moment.

But.

But I'd say that we like having the diversification of.

Geography is because it does allow us to allocate capital quite well depending on the different cycles in the different geographies.

On the third question I don't know I'll look we think the second question.

On the third question.

So essentially what we're saying is that.

There is a certain amount of power that can probably be supplied just answers because there's sufficient reserve margin in our system to be able to supply. These data centers without necessarily having to go and build new power plants and so that that's a positive thing for the system and we just need to make sure that networks are there.

Miguel Stilwell d'Andrade: That's a positive, I think, for the system. We just need to make sure the networks are there. you know, that's essentially the key issue, because as long as there's reserve margin, you can feed it. If the demand then starts getting above a certain level, and, you know, if you start having Start Campus and Merlin and others, then, yes, then we need to think about incremental capacity of different technologies. depending on what that incremental technology is, you know, if it's renewables, it'll definitely be done through EDP Renewables, which is, you know, has the exclusivity for renewable development, well, certainly in idea, but elsewhere in the world as well.

But that's essentially that.

The key issue because of the as long as those reserve margin you can feed it if the demand starts getting above a certain level.

And if you start having to start campus in Maryland, and others. Then yes, then we need to think about incremental capacity of different technologies.

And then depending on what the incremental.

Technology is.

Renewables that will definitely be done through Edp renewables, which as you know has exclusivity for <unk>.

Renewable development.

Certainly an idea, but elsewhere in the world as well.

Miguel Stilwell d'Andrade: If it's, for example, if it was to be like a thermal technology, then obviously it would be, for example, with EDP, or if it was hydro, for example, it would be through EDP. There's a certain amount that can be done with existing capacity or, you know, supplied with existing capacity, and then above that level, then you start getting into having to build incremental capacity, and we're obviously looking at that and thinking about when that would come down the pipeline. It will depend on also how the demand is evolving.

If it's for example, if it was to be like a thermal technologies and obviously would be for example, with the ETP or if it was hydro for example would be to ETP.

But.

So theres a certain amount that can be done with existing capacity or supply with existing capacity and then above them.

That level, then you start getting into having to build incremental capacity and we're obviously looking at that and thinking about when that would come down the pipeline, but it will depend on also how demand is evolving.

Rui Teixeira: Great. Thank you, Miguel. Hi, Alberto. On, on the, on the second one, I mean, this is also the result of different diversification effects. Looking at the portfolio as a whole, to the different trends, again, the active management that we run on every single market, this is, you know, how we are bringing down the sensitivity from the EUR 60 million to the EUR 45 million. Again, just bearing in mind, this is if all the markets would move in the same direction, for during this, the period that we didn't plan. No, you cannot sort of double the sensitivity if the hedging was coming down to zero. It's a bit more complex than that.

Okay.

So on the on the second one is I.

I mean this is also the result of different diversification effect.

So looking at the portfolio as a whole.

Trends against the active management, that's being run on every single market.

This is how we are bringing down the sensitivity from the <unk> to the $45 million.

And again just bearing in mind. This is if all of the markets moving the same direction.

For during this is afraid that was going to fund. So you cannot sort of double the sensitivity if the hedging was coming down to zero.

It's a bit more complex than that.

Alberto Gandolfi: Thank you.

Thank you.

Rui Teixeira: Thank you, Alberto. That's now back to our CFO for final remarks.

I think all of that to Silvercrest now.

Oh CFO for final remarks.

Miguel Stilwell d'Andrade: Okay. Final remarks. Just to reiterate, again, 2025 was a great year for EDP. I think we delivered and delivered solidly on all of the different metrics, whether it was on EBITDA, net income, net debt, the credit ratios, improving the dividend. A really solid year for 25. I think we come into 2026 also on a good footing, you know, with record high hydro levels and reserves, you know, with improved regulation, improved perspectives in both Portugal, Spain and many of the other geographies we're in, like the US. Really, I think we are very confident also on the guidance for 2026, and I think that's one of the messages that I really wanted to reiterate.

Okay. So final remarks, I, just reiterate again 2025 was a great year for Edp.

I think we delivered.

Delivered solidly on all of the different metrics, where it was on EBITDA and net income net debt the credit ratios.

Improving the dividend so it really solid solid year for 25, and I think we've come into 2026 also on the on a good footing with record high hydro levels in reserves.

With improved regulation improved.

Perspective.

Both Portugal, Spain and in many of the other geographies were in like the U S.

So really I think we are very confident also on the guidance for 2026 and I think that's one of the messages that I really wanted to raise rate.

Miguel Stilwell d'Andrade: Going forward, we continue to see, you know, great projects coming down the pipeline, certainly on the EDPR side, which makes us feel confident in relation to 2028. I mean, obviously, we'll go on monitoring the issues around the power prices, but as Rui Teixeira mentioned, we are relatively protected in relation to that. We think that it's a discussion that will play out over the next couple of months in Europe. At the end of the day, we're all aligned that competitiveness is important, but it's also important to keep the stability of the rules and make sure that, you know, there's space to invest or for investors to, you know, to do capital allocation, you know, and feel safe about their investments, whether it's on the network side or on the generation side.

Going forward, we continue to see.

Great projects coming down the pipeline turnaround ADP our site.

Which makes us feel confident in relation to 2028.

We will go on monitoring this issues around the power prices, but as we just mentioned.

We are relatively protected in relation to that.

And we think that it's a discussion that will play out over the next couple of months in Europe, but at the end of the day. We're all aligned the competitiveness is important but it's also important to keep the stability of the world to make sure that.

There is space to.

Two invest refer investors to the capital allocation.

And feel safe about their investments, whether it's on the network side or on the generation side.

Listen good 25.

Good prospects for 2026, and reiterating the guidance with confidence and looking forward also to the next couple of years reiteration of all for 2028 guidance.

With that thank you very much look forward to seeing you soon.

The keep in touch.

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