News

In 2024 the EPM Group drove the countrys development through investment and tax contributions to the State

Fecha de publicación

2025-03-18 00:00

Contenido

• The Group generated revenues of COP 41.5 billion, an 11% increase from 2023. EPM recorded COP 20 billion, reflecting a 22% increase from the previous year.
• The EPM Group reported an EBITDA of COP 11.6 billion, up 9% from the prior period. EPM contributed COP 8 billion, posting a 16% growth.
• The added value of the EPM Group reached COP 19.2 billion, an 18% increase from 2023. At EPM, this figure stood at COP 13.2 billion, marking a 17% growth.
• COP 1.5 billion was allocated to the construction of the last four generation units of the Ituango Hydroelectric Plant.
  

In 2024, the EPM Group generated revenues of COP 41.4 billion and an EBITDA of COP 11.6 billion. At EPM Parent Co., these same figures amounted to COP 20 billion and COP 8 billion, respectively.

This revenue growth enabled the EPM Group to generate an added value of COP 19.2 billion, an 18% increase from 2023. Of this total, 29% was reinvested in fixed assets to strengthen sustainability and drive growth, while 71% was allocated to society through tax payments, investments in communities and environmental initiatives, job creation, and contributions to Medellín’s development. Through these actions, the EPM Group reaffirms its commitment to the progress and well-being of the regions where it operates.

Contribution to Development Through Tax Payments and Social Investment

In its 2024 financial results, the EPM Group reported investments of COP 5.6 billion in projects aimed at improving access, coverage, and quality of utility services for more than 9 million people. At EPM Parent Co., investments reached COP 3.3 billion, with 46% allocated to the construction of the Ituango Hydroelectric Plant.

EPM also contributed to Medellín’s development with surpluses of nearly COP 2 billion for the District, supporting infrastructure, education, and sustainability, and reinforcing its commitment to community well-being.
Of the added value, 15% was invested in the Group’s workforce, generating 17,009 direct jobs and 42,972 indirect jobs. At EPM, direct hiring totaled 8,021 people, while 25,427 indirect jobs were created or maintained. Additionally, the Company’s workforce included 86 employees with disabilities.

Tax authorities received 10% of the added value in the form of taxes, fees, and contributions: COP 1.9 billion in income tax, COP 227 thousand million in industry and commerce tax, and COP 114 thousand million in financial transactions tax, along with other national and regional taxes. Investments in communities and the environment totaled COP 435 thousand million, supporting water source protection and the Financial Support Fund for Non-Interconnected Zones (FAZNI).

Solutions for the Current Energy Sector Situation
The EPM Group prioritized investments in power generation, supply, and demand. Its efforts focused on optimizing distribution networks and implementing energy efficiency technologies to mitigate the risk of shortages. In 2024, EPM allocated COP 1.5 billion to advance the construction of the last four units of the Ituango Hydroelectric Plant, which generated 6,998 GWh this year and will soon contribute 17% of Colombia’s electricity demand. Additionally, COP 117 thousand million was invested in the completion of the Tepuy photovoltaic solar park.

The EPM Group Improves Electricity Service Quality
In 2024, the EPM Group allocated COP 2.4 billion to power distribution and commercialization, of which EPM contributed 33% (approximately COP 806 thousand million). This investment enabled the Company to reduce the SAIDI index (average duration of interruptions perceived by a user) by 14% and the SAIFI index (average number of times an interruption occurs for a user) by 16% compared to 2023. Additionally, substations in Caldas, Rionegro, Guadalupe, and Barbosa were modernized, progress was made on the Puerto Antioquia–Nueva
Colonia Substation connection in Turbo, and more than 2,400 kilometers of power lines were built, among other projects.

The EPM Group Strengthens Electrical Infrastructure in the Caribbean Region
Of the COP 5.6 billion allocated to projects aimed at improving access, coverage, and quality of utility services, 11% was dedicated to high-voltage infrastructure projects in Afinia to enhance service and reduce losses in the Caribbean region. In 2024, the subsidiary recorded an impairment of COP 346 thousand million.

More and better infrastructure for Water and Solid Waste Management
In 2024, COP 1.2 billion was invested in the expansion, replacement, and modernization of networks, the installation of new storage tanks, and the expansion and enhancement of potable water and wastewater treatment plants. Key projects included the Caldas-La Estrella interconnection, which increases water availability for the southern Aburrá Valley; the replacement of 500 meters of distribution pipelines in northeastern Medellín, benefiting 10,985 customers; and the Valle San Nicolás project, which will connect Rionegro with the La Fe Reservoir to accommodate growing demographic expansion and ensure potable water supply in the nearby eastern region. Additionally, 6% of the investment was allocated to the Aguas Antofagasta Desalination Plant in Chile.

In solid waste management, EMVARIAS allocated COP 182 thousand million primarily for the stabilization of the existing Altaír landfill cell and the construction of the La Piñuela landfill cell at the La Pradera sanitary landfill, ensuring the final disposal of waste for 42 municipalities in Antioquia, including the Medellín District, through 2030.

“Investments in 2024 and our timely compliance with tax obligations reflect our ongoing efforts to foster well-being and progress in the territories where we operate. The EPM Group is committed to strengthening energy, water, and waste management infrastructure to provide quality utility services to millions of people. In addition, we are working diligently to deliver innovative solutions that will enable the country to overcome the current energy sector situation,” said John Maya Salazar, CEO of EPM.

Financial Performance in 2024
The power distribution business contributed 39% of the Group's EBITDA, totaling COP 4.6 billion. The power generation business contributed COP 10 billion, reflecting a 37% increase compared to the previous period. The water and solid waste management businesses grew 11% in revenue and accounted for 10% of EBITDA (COP 4.3 billion). The power generation and commercialization business contributed 23% (COP 10 billion), while the gas business accounted for 4% (COP 1.6 billion).

In 2024, EPM recorded a net income of COP 4.8 billion, of which subsidiaries and affiliates contributed COP 732 thousand million through the equity method, representing 15% of the parent company’s earnings. EPM received dividends totaling COP 571 thousand million, strengthening the Company's liquidity.

EPM Group and EPM Parent Co. Statement of Financial Position

Debt/EBITDA ratio: For the EPM Group, this ratio closed at 2.71, up from 2.62 in the previous period. At EPM, it stood at 3.09, improving from 3.32 in the prior year. The reduction in this ratio is driven by EBITDA growth over the past 12 months, which outpaced the increase in long-term financial debt. This reflects the Company’s adherence to credit commitments and a debt level aligned with EPM’s target credit rating.

Financial Indebtedness in 2024: The EPM Group’s financial indebtedness stood at 39.4%, up from 38.4% in the prior period. For EPM, the ratio reached 38.1%, slightly below the 38.3% recorded in 2023. These financial results highlight the EPM Group’s commitment to sustainable development in the regions where it operates, ensuring access, coverage, and affordability of utility services. The Group continues to implement initiatives that improve connectivity in remote areas, drive the energy transition, and contribute to achievingthe Sustainable Development Goals (SDGs).