COPEL Q2: Another Mixed Result, Maintain Buy
Summary
- I recommend buying COPEL due to its attractive valuation, cost control, and reduced leverage, despite mixed 2Q24 results with stable revenues and margins.
- Revenues grew 2.2% annually to BRL 5.4 billion, driven by strong distribution offsetting weak generation, with a strategy to mitigate future energy price risks.
- Net income surged 53.9% YoY to BRL 474 million, boosted by a non-recurring item, demonstrating strong profit growth despite lower-than-expected net income.
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