Empresa Distribuidora y Comercializadora Norte Sociedad Anónima (NYSE:EDN) Q3 2022 Earnings Conference Call November 10, 2022 2:00 PM ET

Company Participants

German Ranftl - CFO

Operator

Good afternoon, ladies and gentlemen, and thank you for joining. At this time, we would like to welcome everyone to Edenor's Third Quarter 2022 Earnings Conference Call. We would like to inform you that this event is being recorded. [Operator Instructions] After the company's remarks are completed, there will be a question-and-answer section through the webcast chat.

Before proceeding, let me mention that forward-looking statements are based on the beliefs and assumptions of Edenor's management and on information currently available to the company. They involve risks, uncertainties and assumptions because they relate to future events and, therefore, depend on circumstances that may or may not occur in the future. Investors should understand that general economic conditions, industry conditions and other operating factors could also affect the future results of Edenor, and could cause results to differ materially from those expressed in such forward-looking statements.

Now I'll turn the conference over to Mr. German Ranftl, CFO of Edenor. Thank you.

German Ranftl

Good morning or good afternoon, everyone, and thank you for joining. Welcome to Edenor earnings webcast for the third quarter 2022. As you know, you can always call any member of our team for more details on the results of the period already doubts you may have.

First, we will focus on the highlights. Edenor continues to guarantee the electric distribution services to all its 3.2 million customers, which represents a population of approximately 11 million people. Our mission is to provide a social responsible electricity distribution service, leading the energy transition that contributes to improve people's quality of life, business and community development as well as to our employees, bondholders and shareholders.

We are committed to our community, which is why we have adopted the best environmental, social and governance practices. Revenues from sales were 11% lower than in the third quarter of 2021 in real terms, mainly due to the effect of the lack of adjustment -- of the lack of VAD adjustment.

The part of the bill that represents the income of the distributors since 2019, there have been just 2 small tariff increases in March 2021, 21%; and in May 2022, 8% against an inflation of 222% over the same period. Revenues from sales decrease was partially offset by an increase in volume of levels of energy sold. Despite the lack of VAD adjustment, Edenor was able to maintain its quality of services for all its clients.