Medellin-based electric power multinational Celsia announced May 9 that its first quarter (1Q) 2023 net income fell 26.3% year-on-year, to COP$122 billion (US$26.8 million) -- mainly because of higher financial expenses and government-mandated cuts in power tariffs.

Revenues rose 15% year-on-year, to COP$1.5 trillion (US$330 million), while earnings before interest, taxes, depreciation and amortization (EBITDA) rose 13%, to COP$514 billion (US$113 million), according to the company.

Operations in Colombia produced COP$1.35 trillion (US$297 million) in revenues, accounting for 90% of the total, while Central America added COP$145 billion (US$32 million).

Colombia EBITDA accounted for COP$472 billion (US$104 million) with Central American adding COP$42 billion (US$9 million). EBITDA margin for the latest quarter was 34.1%.

Financial expenses rose 138% year-on-year due to higher interest rates and inflation.

Income taxes dipped 31.6% year-on-year, to COP$64.2 billion (US$14 million) “mainly due to lower income before taxes,” according to the company.

Celsia closed 1Q 2023 with consolidated debt at COP$5.69 trillion (US$1.25 billion) and a leverage ratio of 2.89 times net debt-to-EBITDA, while average life of the company's debt stood at 5.63 years.

“Asset management and investment platforms allow us to grow rapidly,” added Celsia CEO Ricardo Sierra. “At the beginning of the year we put new solar assets and distribution infrastructure into operation.”

Transmission assets and operations -- now valued at COP$2.06 trillion (US$441 million) -- grew 33.1% in revenues in the latest quarter.

The “C2 Energía” solar-power unit “grew significantly in revenue reaching more than COP$17.4 billion [US$3.8 million] and more than COP$14.4 billion [US$3 million] in EBITDA. This unit now has 166-megawatts (MW) of power capacity in operation and 133-MW under construction,” according to Celsia

So far this year, Celsia has put seven new solar-power farms into operation in Colombia: five in Tolima department and two in Valle del Cauca, the company added.

Meanwhile, Celsia just sold several power-gen assets in Panama and Costa Rica, netting the company COP$900 billion (US$198 million). With those new revenues, “over the next three years, we plan to multiply our solar energy capacity in the region by almost four times, going from 55-MW to 200-MW,” according to the company.