Chile’s Colbún Profit Hits US$72.5M, Up 186%

CHILE · COMPANY RESULTS

Colbún, a Chilean power producer, nearly tripled its profit in the third quarter as wetter weather lifted its hydropower. Its profit for the first nine months is still 14% below last year.

Colbún, a Chilean electricity generator controlled by the Matte business group, earned US$72.5 million from July to September 2026. That is 186% more than the US$25.3 million it made in the same quarter of 2025.

Colbún reports in US dollars and sold a US$500 million green bond abroad in 2025, its second international one. Its board approved the accounts on Tuesday, 27 October, for filing with the CMF, Chile’s financial market regulator.

The company operates in Chile and Peru, and its shares trade in Santiago under the ticker COLBUN. The Company Intelligence profile has the share data and key ratios.

What Drove the Better Quarter

Revenue rose 21% to US$468.4 million, and EBITDA, a measure of operating cash earnings, jumped 55% to US$196.6 million. Operating profit more than doubled to US$129.0 million from US$61.1 million.

Colbún’s own comparison sets US$72.5 million, profit owned by shareholders, against US$25.3 million of total profit in 2025. On shareholders’ profit alone the rise is about 120%, from US$32.9 million.

Wetter weather did much of the work: better river flows lifted hydropower output by 735 gigawatt-hours (GWh). Total generation rose 37% to 3,170 GWh.

Colbún sold 491 GWh on the spot market, where power trades at the day’s price, against none a year earlier. Sales to large business customers rose 117 GWh on new contracts.

Sales to utilities fell 198 GWh after a contract with Chilectra, Enel’s Santiago distributor, expired in December 2025. Peru helped, with revenue up 25% to US$75.8 million on a new contract with Pluz Energía, a Peruvian utility.

Nine-Month Profit Is Still Lower

Profit for January to September was US$133.3 million, down 14% from US$155.9 million a year earlier. Colbún blames a one-off cost for cancelling coal supply contracts it signed in 2022, plus higher taxes.

The non-operating loss for the nine months grew to US$100.2 million from US$70.3 million. Income tax rose to US$52.5 million from US$39.5 million, even though profit before tax was lower.

Nine-month revenue grew 10% to US$1,326.1 million, and EBITDA grew 9% to US$486.1 million. Net debt fell to US$1,540.3 million from US$1,672.0 million at the end of 2025, or 2.4 times EBITDA.

Chile’s New Tax Law Could Add US$140 Million

Chile enacted Law 21,850 on Saturday, 17 October, phasing in cuts to the corporate income tax rate. Colbún estimates the cuts will shrink its deferred tax liabilities, taxes due in future years, by about US$140 million.

The filing says the law came after the quarter ended, so the gain is not in the US$72.5 million. Under accounting rules it becomes a tax gain in the year’s results, and Colbún calls it an estimate.

What It Means for US Readers

Colbún has sold dollar bonds abroad, and its results show how much Chile’s weather drives power profits. Wetter months lifted its hydropower, and it burned coal again after its Santa María plant returned to service.

Average wholesale power prices in Chile’s grid fell about 18% to US$44.1 per megawatt-hour in the quarter, the company says. It credits more hydro, solar, wind and battery supply; see also the Chile market report.

Colbún’s first-half profit fell about 53% on coal exit costs, as the first-half report shows. The third quarter reverses part of that drop.

What Is Not Known

Colbún has not said which quarter will carry the roughly US$140 million tax gain. Full-year profit could look very different depending on when it is booked.

Rivers were still below average at the end of September, with the Maule basin 9% under a normal year, Colbún says. That means next year’s hydropower is not assured.

No analyst consensus for the quarter was available, so it is unclear whether the result beat expectations. Colbún gives no profit forecast in these accounts.

What Comes Next

Colbún holds its results call on Friday, 30 October, at 11:00 a.m. Eastern time. Investors can hear management there on costs, fuel and the tax effect.

Two 228-megawatt battery projects are close to finishing: Celda Solar is 96% built and Diego de Almagro Sur 79%. Colbún’s role in a Chilean power tender is covered in the tender report.

Frequently Asked Questions

How much profit did Colbún make in the third quarter?

Colbún earned US$72.5 million from July to September 2026, up 186% from US$25.3 million a year earlier. Revenue rose 21% to US$468.4 million.

Why did Colbún’s profit rise?

Better river flows lifted hydropower output, and Colbún sold more power on the spot market and to large customers. Operating profit more than doubled to US$129.0 million.

Is Colbún’s profit up for the whole year?

No. Profit for January to September was US$133.3 million, down 14% from US$155.9 million. Colbún cites a one-off cost for cancelling coal contracts and higher taxes.

What is the US$140 million tax effect?

Chile’s Law 21,850 phases in lower corporate tax rates. Colbún estimates it will cut its deferred tax liabilities by about US$140 million, booked as a tax gain.

Why should US readers care about Colbún?

Colbún reports in US dollars and sold a US$500 million green bond abroad in 2025. Its results show how weather and fuel costs drive Chilean power profits.

Sources: Colbún, Management Discussion and Analysis of the Consolidated Financial Statements, 3Q 2026; Colbún, Consolidated Interim Financial Statements, 30 September 2026; Colbún investor relations, quarterly results; Colbún, 3Q 2025 results release; CMF, Chile financial market commission (all accessed 28 October 2026).