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Pampa Energía Impressive Financial Growth

On August 4, 2026, Pampa Energía S.A., an independent energy firm actively involved in Argentina's oil, gas and electricity sectors, announced its quarterly and half-yearly financial results. This report highlighted a strong performance for the second quarter of 2026, concluding on June 30, 2026.

In terms of dollar metrics, Pampa reported impressive sales of US$746 million for Q2 2026, marking a 53% increase from the same period last year. This growth can be attributed to several factors, particularly the new deregulation framework in the Wholesale Electricity Market (WEM) which led to an increase in spot energy prices. Moreover, Business to Business Power Purchase Agreements (B2B PPA), enhancements in crude oil output, and a rise in gas sales aimed at power generation further contributed to this surge. However, lower volumes in Plan Gas and petrochemical sales posed a slight offset to these gains.

The operational key performance indicators (KPIs) for Q2 showed substantial improvements:

• - Total Oil and Gas Production: 107.5 thousand barrels of oil equivalent per day (kboe/day), a 28% growth year-on-year from 84.1 kboe/day.
• - Gas Production: Increased by 10% to 84.1 thousand barrels of oil equivalent per day (kboepd) compared to 76.1 kboepd last year.
• - Crude Oil Production: Seen a massive 194% growth to 23.4 thousand barrels per day (kbpd) from a mere 8.0 kbpd.
• - Average Gas Price: Rose by 15% to US$4.6 per MBTU from US$4.0 per MBTU.
• - Average Oil Price: Wavered downward, showing a 4% decrease to US$58.8 per barrel from US$61.6.

Power generation also saw significant growth, experiencing a 14% increase to 5,363 GWh compared to 4,704 GWh in the same quarter last year. Pampa has reported a gross margin of US$33.6 per MWh, marking a 30% increase from the previous year's US$25.8.

Additionally, the adjusted EBITDA for the quarter stood at US$415 million, a remarkable 75% increase year-on-year, backed by the success of its Rincón de Aranda operations, a profound vertical integration in gas and power, and improved margins. The net income for shareholders rose substantially to US$172 million, translating to a 4.3 times increase compared to Q2 2025, aided by higher operational margins.

Interestingly, the financial balance sheet reflects an increase in net debt to US$1.3 billion as of June 2026, up from US$801 million as of December 2025. This rise was primarily due to heightened capital expenditures on the Rincón de Aranda project and increased collateral requirements related to oil hedging.

Furthermore, the company is maintaining a robust asset position with a total balance sheet amounting to US$7.749 billion. The equity attributable to the owners of the company stood at US$4.027 billion, demonstrating a solid base for future growth and investments. The company’s fiscal health was further supported by a strong liquidity position, with cash and equivalents totaling US$979 million at the end of the quarter.

Pampa Energía's management will dive deeper into these results during a videoconference scheduled for August 5, 2026. The session will feature insights from prominent executives, including CEO Gustavo Mariani and CFO Adolfo Zuberbühler.

For stakeholders and those interested in the energy sector in Argentina, Pampa Energía's latest performance signifies not just growth but a strategic shift that could influence the dynamics of energy price and production practices in the region for the years to come. Stay tuned for further communications and insights from Pampa as they navigate through this promising financial landscape.