Empresa Distribuidora y Comercializadora Norte Sociedad Anónima
- Open
- 23.18
- Day high
- 24.10
- Day low
- 22.10
- Prev close
- 23.39
- Volume
- 99K
- Mkt cap
- $1.0B
- P/E (TTM)
- 6.1
- EPS (TTM)
- $3.90
- P/B
- 0.6
- P/S
- 0.5
- Yield
- —
- Per share
- —
Empresa Distribuidora y Comercializadora Norte Sociedad Anónima (EDN) is a Utilities company listed on NYSE. The stock is up 14% over the past year. Drillr has 1 published research article covering EDN.
Empresa Distribuidora y Comercializadora Norte Sociedad Anónima (EDN) financials & analyst ratings
Fundamentals (TTM)
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
EDN earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Aug 11, 2026 | $-0.17 | $0.64 | +470.5% | $652M | +199.6% |
| May 11, 2026 | $-0.17 | $1.90 | +1198.6% | — | — |
| Mar 9, 2026 | — | $0.95 | — | — | — |
| Nov 6, 2025 | — | $0.70 | — | $519M | — |
| May 9, 2025 | — | $0.78 | — | $592M | — |
| Mar 11, 2025 | $-0.00 | $0.85 | +1062600.0% | $612M | +42.6% |
| May 10, 2024 | $-0.09 | $1.39 | +1644.4% | $321M | — |
| Mar 11, 2024 | $-0.09 | $-0.25 | -177.8% | $311M | +133.1% |
| Aug 10, 2023 | — | $-0.48 | — | $328M | -16.9% |
| May 11, 2023 | — | $-1.19 | — | $311M | — |
| Mar 10, 2023 | $-0.36 | $0.11 | +130.8% | $421M | — |
| May 13, 2022 | $-0.44 | $-0.60 | -36.1% | $264M | +9.2% |
Empresa Distribuidora y Comercializadora Norte Sociedad Anónima company profile
Overview
Empresa Distribuidora y Comercializadora Norte Sociedad Anónima (NYSE:EDN) is Argentina's largest electricity distribution company, serving over 3.2 million customers in the northern region of Greater Buenos Aires and parts of Buenos Aires Province. Founded in 1992 as part of Argentina's electricity sector privatization, the company operates as a regulated utility under the oversight of the National Electricity Regulatory Entity (ENRE). EDN is a subsidiary of Empresa de Energía del Cono Sur S.A. and has been publicly traded on the New York Stock Exchange since 2007. The company plays a critical role in Argentina's electrical infrastructure, distributing electricity across a densely populated area that includes both residential and industrial customers.
Business
EDN operates in the regulated electricity distribution sector, which sits between electricity generation and end consumers in the power value chain. The company purchases bulk electricity from the wholesale market (administered by CAMMESA, Argentina's wholesale electricity market administrator) and distributes it through its extensive network of power lines, substations, and transformers to reach individual customers. The electricity distribution industry functions as a natural monopoly due to the enormous capital requirements and inefficiency of duplicating power grid infrastructure. In Argentina, electricity distribution companies like EDN are granted exclusive territorial concessions by the government, meaning they are the sole provider of electricity distribution services within their designated geographic areas. This regulatory framework ensures universal service coverage while subjecting companies to strict price controls and service quality standards. EDN's core business consists of a single primary segment: electricity distribution and commercialization. The company's revenue comes almost entirely from regulated distribution tariffs that customers pay as part of their electricity bills. These tariffs are set by Argentina's national electricity regulator and are designed to cover the company's operational costs, infrastructure investments, and provide a regulated return on invested capital. The company handles the entire customer relationship, from billing and collection to maintenance and emergency response, while the actual electricity they distribute is purchased from generators through the wholesale market.
Revenue model
EDN operates under a regulated utility business model where revenue comes primarily from distribution tariffs charged to customers. The company earns money by adding a regulated distribution margin to the cost of electricity, which covers operational expenses, infrastructure maintenance, and provides a regulated return on invested capital. Customers pay EDN for both the electricity consumed (which EDN purchases from generators) and the distribution service that delivers power to their premises. The company's profitability is heavily influenced by several key factors. Tariff adjustments represent the most critical factor, as EDN's rates are set by government regulators and have historically lagged behind inflation in Argentina. During 2022, the company received only an 8% tariff increase against 222% inflation, severely compressing margins. Energy losses also significantly impact profitability, as EDN must purchase replacement power for electricity lost through technical losses and theft - the company has worked to reduce losses from 18.8% to 17.7%. Currency devaluation and inflation create additional challenges, as many operational costs rise with inflation while tariff increases require regulatory approval. Collection efficiency affects cash flow, particularly important given Argentina's economic volatility. Finally, regulatory changes around energy subsidies and market structure can materially impact the company's revenue base and cost structure.
Competitive moat
EDN possesses a strong regulatory moat through its exclusive territorial concession to distribute electricity in northern Greater Buenos Aires. This natural monopoly position is protected by extremely high barriers to entry - building a competing electricity distribution network would require billions of dollars in infrastructure investment and would be economically inefficient. The essential nature of electricity service creates highly predictable demand with very low customer churn, as customers cannot practically switch to alternative providers. However, the strength of this moat is significantly constrained by regulatory risk. While EDN has monopoly distribution rights, its ability to earn returns is entirely dependent on government-set tariffs. Argentina's history of populist policies and economic instability has led to prolonged periods where tariff increases lagged far behind inflation, effectively transferring wealth from utility shareholders to consumers. The company also faces political pressure as an essential service provider, making it vulnerable to government intervention during economic crises. Additionally, energy theft and technical losses represent a persistent challenge that erodes the economic benefits of the monopoly position. The regulatory framework theoretically allows for cost recovery and reasonable returns, but implementation has been inconsistent, creating ongoing uncertainty about the company's ability to earn adequate returns on invested capital.
Risks & safety
EDN presents moderate financial risk with some concerning liquidity metrics but manageable debt levels. • Liquidity concerns: Current ratio of 0.85 indicates working capital deficit, with current liabilities exceeding current assets by approximately $166 million • Cash position: Limited cash reserves of only $9.8 million as of Q1 2025, representing less than 2% of quarterly revenue • Debt management: Reasonable debt-to-equity ratio of 0.27, indicating conservative leverage • Cash generation: Positive operating cash flow of $69 million in Q1 2025, though free cash flow has been negative in recent quarters due to capital investments • Valuation metrics: Trading at 9.9x P/E ratio and 0.85x book value, suggesting reasonable valuation relative to earnings • Other considerations: Currency exposure to Argentine peso devaluation, regulatory dependency for tariff adjustments, and working capital management challenges in inflationary environment
Recent development
Over the past few years, EDN has focused heavily on operational efficiency improvements and energy loss reduction initiatives. The company has implemented advanced analytics and AI-powered tools to optimize inspection routing and identify energy theft, conducting over 82,000 customer inspections with 60.6% efficiency rates. These efforts have successfully reduced energy losses from 18.8% to 17.7%, representing significant cost savings given the company's scale. The company has also undertaken significant debt restructuring, completing a voluntary debt exchange of financial obligations that improved its credit profile. This resulted in upgraded credit ratings from both Moody's and Standard & Poor's, providing better access to capital markets. EDN has maintained focus on service quality improvements, achieving its best historical performance in service interruption duration and frequency metrics (SAIDI and SAIFI indicators) despite limited tariff adjustments. On the regulatory front, EDN has been working toward tariff normalization and CAMMESA debt regularization. The company has proposed a framework for regularizing wholesale market debts with a 6-month grace period and 96-month payment installments. Additionally, the implementation of energy subsidy segmentation has begun affecting certain consumer categories, though this does not directly impact EDN's distribution revenue streams.
EDN company profile · for informational purposes only — not investment advice.
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