Pampa sales rise 34% to $790 million as net profit jumps sixfold
Key Facts
Pampa Energía reported results for the third quarter and the nine months ended September 30, 2026, posting quarterly sales of $790 million, up 34% year over year. In its filing with the U.S. Securities and Exchange Commission, the company said net profit attributable to shareholders was $129 million, six times the level in the same period of 2025. Adjusted earnings before interest, taxes, depreciation and amortization rose to $398 million, up 23% year over year. By contrast, Investing.com reported earnings per share of $0.10, versus analyst estimates of $2.50, and revenue below the consensus forecast of $841.7 million. The website published its results report on November 2 at 5:17 p.m.
Pampa attributed sales growth to normalization in the wholesale electricity market, higher spot prices and corporate sales, alongside increased gas sales to its combined-cycle plants, growth in crude oil sales and improved prices for products from its refining unit. The company said lower gas deliveries under the “Plan Gas” program and to industrial customers, as well as crude oil hedges, partially offset these factors. The increase in adjusted earnings reflected improved margins on thermal power generation in the spot market and corporate sales. It added that vertical integration between gas production and thermal power generation supported results, while crude oil hedges limited gains. Sales and operating profit metrics thus rose compared with the third quarter of last year, alongside an increase in net profit that the company attributed to lower deferred income tax expense and improved operating margins, partially offset by a decline in foreign exchange gains.
In the oil and gas segment, sales increased 11% year over year in the third quarter. Pampa said higher gas sales to its thermal plants, retail tariff increases and the start of shale oil production expansion at the Rincón de Aranda field were among the main drivers. These were offset by lower realized oil prices as a result of hedging, and lower gas deliveries to some customers and export markets. In the power generation segment, sales were $378 million and adjusted earnings were $160 million. The segment recorded sales of $205 million and adjusted earnings of $120 million in the third quarter of 2025.
Earnings growth coincided with increased cash use for investment and a decline in operating cash flow. Net cash used in investing activities was $709 million in the third quarter, compared with $200 million a year earlier, while cash generated from operating activities was $153 million versus $343 million. Payments for purchases of property, plant and equipment rose to $525 million, from $307 million in the third quarter of 2025. Net debt was $1.731 billion in September, compared with $1.319 billion in June. The company attributed the increase in debt to higher capital spending, particularly at FEPASA, contributions to subsidiaries under development, advance payments for the GPM expansion, and crude oil hedge guarantees, while operating cash flow and Transener dividends partly offset these uses.
Pampa is scheduled to hold a video conference to discuss its third-quarter results on November 3 at 10 a.m. U.S. Eastern time and noon in Buenos Aires. The call follows the announcement of results for the quarter and nine months ended September 30. It will give the company an opportunity to present investors with details of the period’s financial and operating performance. The results announced by the company include year-over-year growth in sales, adjusted earnings and net profit, alongside an increase in net debt. Investing.com also reported that earnings per share and revenue came in below analyst estimates.