Cash conversion efficiency remains strained, as evidenced by the 2026Q1 CapEx-to-OCF ratio of 173.6%, which highlights the company's struggle to fund infrastructure requirements through internal operations alone.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 |
|---|
| Cash from Operations | 14.08B | 14.51B | 12.39B | 8.24B | 5.2B | 6.97B | 5.13B | 779.44M | 4.36B | 694.39M | 433.67M | 6.52B | 5.19B | 9.33B | 13.35B | 4.29B | 8.24B | 6.06B | 10.05B | 15.44B | 8.76B | 3.99B | 4.09B |
| Operating CF Growth % | 55.1% | 17.15% | 50.4% | 58.51% | -25.41% | 35.84% | 557.83% | -82.11% | 527.44% | 60.12% | -93.34% | 25.48% | -44.34% | -30.12% | 211.41% | -48.01% | 36.03% | -39.72% | -34.87% | 76.15% | 119.84% | -2.5% | - |
| Operating CF / Revenue % | 32.49% | 35.15% | 30.82% | 22.16% | 15.25% | 20.11% | 20.19% | 2.68% | 16.62% | 2.36% | 0.86% | 20.25% | 17.23% | 39.14% | 47.65% | 14.68% | 30.73% | 24.41% | 34.71% | 61.36% | 39.86% | 22.31% | 22.5% |
| Net Income | 9.49B | -6.98B | 10.62B | 1.4B | 4.33B | 10.97B | 6.77B | 7.22B | 17.22B | 2.96B | 18.82B | -11.21B | -4.46B | -4.82B | -7.27B | 4.54B | 4.05B | -1.54B | 8B | 655.13M | 1.03B | 946.96M | 1.18B |
| Depreciation & Amortization | 4.69B | 4.58B | 3.99B | 3.62B | 2.69B | 1.44B | 1.26B | 1.81B | 1.7B | 1.52B | 1.56B | 1.84B | 1.78B | 1.51B | 1.7B | 1.72B | 1.59B | 3.48B | 3.81B | 2.85B | 3.36B | 1.9B | 1.74B |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 828K | -974.19M | 3.38B | -1.22B | -612.66M | 0 | 83.74M |
| Other Non-Cash Items | 12.66B | 15.8B | -3.13B | 5.13B | -859.1M | -6.81B | 37.16M | -3.79B | -12.54B | -4.38B | -21.73B | 13.36B | 3.65B | 10.67B | 13.31B | 1.02B | 1.52B | 8.34B | -5.92B | 8.74B | 2.15B | 1.26B | 517.01M |
| Working Capital Changes | 837.07M | 1.12B | 907.55M | -1.91B | -969.68M | 1.36B | -2.93B | -4.46B | -2.02B | 590.65M | 1.78B | 2.52B | 4.23B | 1.97B | 5.61B | -3B | 1.08B | -3.24B | 784.65M | 4.42B | 2.84B | -124.51M | 563.12M |
| Capital Expenditures | -10.77B | -5.57B | -8.66B | -4.12B | -33.62B | -1.19B | -1.06B | -2.02B | -1.26B | -1.24B | -5.12B | -9.01B | -10.64B | -8.16B | -10.86B | -8.16B | -6.62B | -5.18B | -4.12B | -3.23B | -3.07B | -3.12B | -2.36B |
| CapEx / Revenue % | 24.85% | 13.5% | 21.55% | 10.4% | 4.65% | 3.13% | 3.65% | 6.73% | 4.32% | 4.1% | 10.17% | 28.01% | 35.29% | 34.22% | 38.76% | 27.45% | 23.32% | 20.13% | 14.18% | 12.86% | 13.98% | 17.46% | 13.01% |
| CapEx / D&A | 2.30x | 1.22x | 2.17x | 1.07x | 0.59x | 0.75x | 0.74x | 1.08x | 0.67x | 0.79x | 3.28x | 4.89x | 5.98x | 5.40x | 6.39x | 4.65x | 3.93x | 1.44x | 1.08x | 1.13x | 0.91x | 1.64x | 1.35x |
| CapEx Coverage (OCF/CapEx) | 1.31x | 2.60x | 1.43x | 2.13x | 3.28x | 6.42x | 5.54x | 0.40x | 3.85x | 0.58x | 0.08x | 0.72x | 0.49x | 1.14x | 1.23x | 0.53x | 1.32x | 1.21x | 2.45x | 4.77x | 2.85x | 1.28x | 1.73x |
| Cash from Investing | -10.77B | -5.57B | -8.66B | 827.04M | -24.72B | -998.45M | 375.17M | 2.4B | 421.31M | 1.54B | -5.12B | -9.01B | -10.64B | -8.16B | -10.86B | -10.9B | -7.74B | -5.32B | 699.17M | -4.13B | -3.77B | -2.36B | -2.24B |
| Acquisitions | -540.16M | -568.33M | -176.64M | -1.44B | -74.31M | -274.35M | 941.78M | 1.02B | 714.84M | 1.01B | 0 | 0 | -3.74B | -3.56B | -4.09B | 0 | -894.6M | 0 | 0 | 0 | 0 | 757.72M | 126.28M |
| Purchase of Investments | -3.78B | -1.86B | -3.06B | -450M | -254.5M | 0 | -68.17M | -989.8M | -1.22B | -1.79B | -3.27B | -2.43B | 0 | 0 | 0 | 0 | 0 | -1.16B | -740.93M | -894.27M | -692.89M | 0 | 0 |
| Sale of Investments | 1.1B | 3.3B | 2.45B | 4.05B | 1.17B | 0 | 941.78M | 1.02B | 714.84M | 1.08B | 0 | 0 | 0 | 0 | 0 | 0 | 3.16B | 1.36B | 744.21M | 0 | 0 | 0 | 0 |
| Other Investing | -5.21B | -4.38B | -4.77B | 2.53B | -23.98B | 361M | -514.32M | 3.31B | 1.34B | 2.45B | -212.46M | -2.44B | -4.09B | -2.46B | -3.03B | -2.89B | -3.75B | -515.26M | 4.8B | 0 | 0 | 0 | 4 |
| Cash from Financing | -13.36B | -19.09B | 9.8B | -6.76B | 30.07B | -6.06B | -5.55B | -3.39B | -5.01B | -1.94B | 2.81B | 2.14B | 3.25B | -77.88M | -3.1B | 2.36B | 93.89M | 1.84B | -8.55B | -8.88B | -3.68B | 679.59M | 1.03B |
| Dividends Paid | -167K | -12.19B | -1.31B | -864.19M | -1.49B | -3.75B | 0 | -1.18B | -64.5M | -381.44M | -5.79M | -23.06M | -814.99M | -4.19B | -4.98B | -4.06B | -3.14B | -1.13B | -1.22B | -458.9M | -409.1M | -426.52M | -332.07M |
| Dividend Payout Ratio % | - | 185.81% | 12.6% | 18.99% | 40.99% | 66.37% | - | 10.57% | 0.45% | - | 0.17% | - | - | - | - | 108.85% | 139.84% | - | 15.33% | 70.05% | 39.86% | 45.04% | 28.14% |
| Debt Issuance (Net) | 0 | -1000K | 1000K | -1000K | 1000K | -1000K | -1000K | -1000K | -1000K | -1000K | -1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | -1000K | -1000K | -1000K | 1000K | 1000K |
| Stock Issued | 0 | 0 | 0 | 0 | 30.65B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 13.92M |
| Share Repurchases | -36.73M | -36.73M | -115.1M | -1.97B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -10.73B | -962.19M | 0 | 217.9M | -130.07M | 1.61B | -1.73B | 4.02B | 399.9M | 3B | 4.65B | -2.43M | -103.74M | 541.71M | 888.92M | 1.4B | 610.49M | 1.19B | -639.02M | -517.58M | -649.83M | 0 | 0 |
| Net Change in Cash | -9.26B | -10.15B | 13.53B | 2.31B | 10.55B | -93.95M | -48.7M | -206.98M | -208.9M | 270.64M | 499.03M | -361.21M | -2.19B | 1.1B | -608.33M | -4.26B | 602.88M | 2.59B | 2.21B | 2.43B | 1.31B | 110.69M | 0 |
| Exchange Rate Effect | 792.28M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 2.38B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -2.19B | 0 |
| Cash at Beginning | 16.08B | 26.57B | 13.05B | 10.74B | 192.66M | 286.61M | 335.31M | 583.35M | 792.25M | 327.2M | 1.25B | 1.41B | 3.6B | 2.5B | 3.11B | 9.22B | 8.62B | 5.59B | 3.39B | 5.22B | 3.9B | 0 | 0 |
| Cash at End | 13.06B | 16.42B | 26.57B | 13.05B | 10.74B | 192.66M | 286.61M | 376.37M | 583.35M | 597.84M | 327.2M | 1.05B | 1.41B | 3.6B | 2.5B | 4.96B | 9.22B | 8.18B | 5.59B | 7.65B | 5.22B | 110.69M | 2.67B |
| Free Cash Flow | 3.31B | 8.94B | 3.73B | 4.11B | -28.43B | 5.78B | 4.07B | -1.24B | 3.1B | -548.15M | -4.69B | -2.5B | -5.44B | 1.17B | 2.49B | -3.87B | 1.63B | 885.85M | 5.93B | 12.2B | 5.69B | 865.86M | 1.72B |
| FCF Growth % | -55.43% | 139.89% | -9.45% | 114.47% | -592.15% | 41.99% | 427.89% | -140.08% | 664.77% | 88.31% | -87.81% | 54.13% | -563.78% | -52.9% | 164.39% | -337.55% | 83.93% | -85.07% | -51.39% | 114.46% | 557.13% | -49.8% | - |
| FCF Margin % | 7.63% | 21.65% | 9.27% | 11.07% | -83.43% | 16.68% | 16.02% | -4.27% | 11.81% | -1.86% | -9.31% | -7.76% | -18.07% | 4.93% | 8.9% | -13.25% | 6.07% | 3.57% | 20.48% | 48.5% | 25.88% | 4.85% | 9.49% |
| FCF / Net Income % | 34.86% | 136.26% | 35.9% | 90.43% | -782.01% | 102.31% | 63.69% | -11.08% | 21.4% | 31.08% | -136.9% | 21.9% | 87.45% | -18.97% | -37.01% | -103.7% | 72.48% | -54.23% | 74.25% | 1862.58% | 554.42% | 91.44% | 146.19% |
Regulatory and hydrological volatility
As reported in financial statements, AXIA's capital expenditure reached $4.7B in 2026Q1, representing a 173.6% ratio relative to operating cash flow, which highlights the aggressive investment cycle required to maintain the company's extensive transmission and generation infrastructure amidst ongoing regulatory and operational demands.
The high CapEx-to-OCF ratio suggests that AXIA is currently in a heavy reinvestment phase, likely prioritizing grid modernization and asset maintenance over immediate cash generation. Investors should monitor whether these capital outlays translate into future rate base growth or if they represent necessary, non-discretionary spending to mitigate operational risks associated with aging hydroelectric assets.
Based on the provided cash flow data, AXIA experienced a free cash flow deficit of $2.0B in 2026Q1, necessitating reliance on external financing sources to bridge the gap between massive infrastructure investment requirements and the company's current ability to generate sufficient internal liquidity from its regulated operations.
The recurring FCF deficits observed over the last ten quarters indicate that AXIA's growth strategy is fundamentally dependent on capital market access. Given the volatility in net income and operating cash flow, the company's ability to secure debt or equity on favorable terms remains a critical variable for sustaining its long-term capital expenditure pipeline.
According to recent financial disclosures, the divergence between net income and operating cash flow, exemplified by the $13.7B profit in 2025Q4 against only $3.2B in OCF, suggests that non-cash items and accounting adjustments significantly distort the company's true underlying cash-generating capacity for investors.
The significant gap between reported earnings and actual cash flow appears to be driven by non-cash financial income, such as RBSE receivables, which do not provide immediate liquidity. This discrepancy warrants caution, as it implies that headline profitability metrics may not accurately reflect the company's ability to fund its operations or service its debt obligations.
Financial data suggests that AXIA's cash flow statement may mask long-term obligations, as the company's complex decommissioning liabilities for nuclear assets and potential rate case lags remain largely opaque, creating uncertainty regarding the true sustainability of its current capital allocation and dividend-paying capacity.
The lack of transparency regarding future environmental and decommissioning costs suggests that the company may face significant cash outflows not currently captured in standard operating metrics. Investors should investigate whether these potential liabilities could constrain future financing capacity or necessitate a shift in capital allocation priorities as these obligations mature.
Quick answers to the most common questions about buying AXIA stock.
AXIA Energia S.A. (AXIA) generated $14.51B in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
AXIA Energia S.A. (AXIA) generated $8.94B in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
AXIA Energia S.A. (AXIA) spent $5.57B on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, AXIA Energia S.A. (AXIA) returned $12.19B to shareholders via cash dividends and spent $36.7M on share repurchases. This shows the company's commitment to returning capital to its equity investors.