Edenor Files 20-F Annual Report for Fiscal Year Ended December 31, 2023

TL;DR

<b>Edenor has submitted its 2023 annual report on Form 20-F, detailing its financial performance and operations.</b>

AI Summary

EDENOR (EDN) filed a Foreign Annual Report (20-F) with the SEC on April 24, 2024. Edenor filed its annual report on Form 20-F for the fiscal year ending December 31, 2023. The filing covers the period from January 1, 2023, to December 31, 2023. The company's Central Index Key is 0001395213. Edenor operates in the Electric Services industry, SIC code 4911. The filing was made on April 24, 2024.

Why It Matters

For investors and stakeholders tracking EDENOR, this filing contains several important signals. This 20-F filing provides a comprehensive overview of Edenor's financial health and business activities for the fiscal year 2023, crucial for investors assessing the company's performance and outlook. As a significant player in the electric services sector in Argentina, Edenor's annual report offers insights into the regulatory environment and operational challenges impacting the energy market.

Risk Assessment

Risk Level: medium — EDENOR shows moderate risk based on this filing. The filing is a standard annual report (20-F), which typically contains a mix of historical financial data and forward-looking statements, making the overall risk assessment neutral to medium.

Analyst Insight

Review the detailed financial statements and risk factors within the 20-F filing to understand Edenor's operational performance and potential challenges in the Argentine electricity market.

Key Numbers

• 2023-12-31 — Fiscal Year End (Period of report)
• 2024-04-24 — Filing Date (Date of submission)
• 0001395213 — Central Index Key (Edenor's identifier)
• 4911 — SIC Code (Electric Services industry)

Key Players & Entities

• EDENOR (company) — Filer name
• EDN (company) — Ticker symbol
• 20-F (filing) — Form type
• 0001292814-24-001535 (filing) — Accession number
• 0001395213 (company) — Central Index Key
• 4911 (industry) — Standard Industrial Classification
• 2024-04-24 (date) — Filing date
• 2023-12-31 (date) — Fiscal year end

FAQ

Industry Context

Edenor operates within the electric services industry, providing electricity distribution services. This sector is often subject to regulatory oversight and significant capital investment.

Regulatory Implications

As an electric utility, Edenor is subject to regulations governing service provision, tariffs, and environmental standards in Argentina. The 20-F filing will detail compliance and any regulatory challenges.

What Investors Should Do

1. Analyze Edenor's financial statements for FY 2023 to assess revenue, profitability, and debt levels.
2. Review the 'Risk Factors' section of the 20-F for potential operational, regulatory, and market risks specific to Edenor's business.
3. Examine management's discussion and analysis (MD&A) for insights into the company's strategy and outlook.

Key Dates

• 2024-04-24: Filing of 20-F — Submission of the annual report for the fiscal year 2023.
• 2023-12-31: Fiscal Year End — End date for the reporting period.

Year-Over-Year Comparison

This filing represents the annual report for the fiscal year 2023, providing updated financial and operational information compared to previous filings.

Key Financial Figures

• $1.00 — er 31, 2023, which was Ps.808.45 to U.S.$1.00 unless otherwise indicated. These conve

Filing Documents

• ednform20f_2023.htm (20-F) — 4207KB
• ex12-1.htm (EX-12.1) — 6KB
• ex12-2.htm (EX-12.2) — 6KB
• ex13-1.htm (EX-13.1) — 4KB
• ex2-d.htm (EX-2.5) — 49KB
• ednform20f_001.jpg (GRAPHIC) — 35KB
• ednform20f_002.jpg (GRAPHIC) — 8KB
• ednform20f_003.jpg (GRAPHIC) — 15KB
• ednform20f_004.jpg (GRAPHIC) — 8KB
• ednform20f_005.jpg (GRAPHIC) — 12KB
• ednform20f_006.jpg (GRAPHIC) — 12KB
• ednform20f_007.jpg (GRAPHIC) — 11KB
• ednform20f_008.jpg (GRAPHIC) — 9KB
• ednform20f_011.jpg (GRAPHIC) — 17KB
• ednform20f_012.jpg (GRAPHIC) — 18KB
• ednform20f_013.jpg (GRAPHIC) — 19KB
• ednform20f_014.jpg (GRAPHIC) — 17KB
• ednform20f2023_013.jpg (GRAPHIC) — 2KB
• ednform20f2023_014.jpg (GRAPHIC) — 9KB
• image_001.jpg (GRAPHIC) — 1KB
• 0001292814-24-001535.txt (&nbsp;) — 16126KB
• edn-20231231.xsd (EX-101.SCH) — 169KB
• edn-20231231_cal.xml (EX-101.CAL) — 102KB
• edn-20231231_def.xml (EX-101.DEF) — 366KB
• edn-20231231_lab.xml (EX-101.LAB) — 687KB
• edn-20231231_pre.xml (EX-101.PRE) — 559KB
• ednform20f_2023_htm.xml (XML) — 3215KB

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 199 Item 12.

Description of Securities Other than Equity Securities

Description of Securities Other than Equity Securities 200 PART II Item 13. Defaults, Dividend Arrearages and Delinquencies 202 Item 14. Material Modifications to the Rights of Security Holders and Use of Proceeds 203 Item 15.

Controls and Procedures

Controls and Procedures 203 Item 16A. Audit Committee Financial Expert 204 Item 16B. Code of Ethics 204 Item 16C. Principal Accountant Fees and Services 204 Item 16D. Exemptions from the Listing Standards for Audit Committees 205 Item 16E. Purchases of Equity Securities by the Issuer and Affiliated Purchasers 205 Item 16F. Change in Registrant's Certifying Accountant 205 Item 16G. Corporate Governance 205 Item 16H. Mine Safety Disclosures 215 Item 16I. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections. 215 Item 16J. Insider Trading Policies 215 Item 16K. Cibersecurity 215 PART III Item 17.

Financial Statements

Financial Statements 218 Item 18.

Financial Statements

Financial Statements 218 Item 19. Exhibits 218 Index to Financial Statements F-1 Table of Contents PART I

Identity of Directors, Senior Management and Advisors

Item 1. Identity of Directors, Senior Management and Advisors Not applicable.

Offer Statistics and Expected Timetable

Item 2. Offer Statistics and Expected Timetable Not applicable.

Key Information

Item 3. Key Information In this annual report, except as otherwise specified, references to "we", "us", "our" and the "Company" are references to Empresa Distribuidora y Comercializadora Norte S.A. (EDENOR S.A.), or "Edenor". For more information, see "Item 4 — Information on the Company — History and Development of the Company."

FORWARD-LOOKING STATEMENTS

FORWARD-LOOKING STATEMENTS This annual report includes forward-looking statements, principally under the captions "Item 3. Key Information - Risk Factors", "Item 4. Information on the Company" and "Item 5. Operating and Financial Review and Prospects". We have based these forward-looking

Forward-looking statements may also be identified by words such as "believes", "expects", "anticipates",

Forward-looking statements may also be identified by words such as "believes", "expects", "anticipates", "projects", "intends", "should", "seeks", "estimates", "future" or similar expressions. Many important factors, in addition to those discussed elsewhere in this annual report, could cause our actual results to differ materially from those expressed or implied in our forward-looking statements, including, among other things: the treatment of tariff updates according to the Tariff Review Process ("RT"), or the former Integral Tariff Revision process ( Revisin Tarifaria Integral or "RTI"); uncertainties related to current or future Government interventions, proposed legislation or legal actions; general political, economic, social, demographic and business conditions in the Republic of Argentina, ("Argentina") and, particularly, in the geographic market we serve; the impact of a new tariff segmentation applicable to our users; the evolution of energy losses and the impact of fines and penalties and uncollectible debt; the impact of regulatory reform and changes in the regulatory environment in which we operate; electricity shortages; the high temperatures and extreme climate registered over the last years which affects the provision of transport and distribution energy services; potential disruption or interruption of our service; the revocation or amendment of our concession by the granting authority; our ability to implement our capital expenditure plan, including our ability to arrange financing when required and on reasonable terms; high depreciation of the Peso; the impact of high rates of inflation on our costs; the role of the Federal Government in the RT and the recognition of the Company's regulatory credits; Argentina's renegotiation with the International Monetary Fund ("IMF"); and additional matters identified in "Risk factors".

Forward-looking statements

Forward-looking statements speak only as of the date they were made, and we undertake no obligation to update publicly or to revise any forward-looking statements after we file this annual report because of new information, future events or other factors. In light of these limitations, undue reliance should not be placed on forward-looking statements contained in this annual report. Table of Contents PRESENTATION OF FINANCIAL INFORMATION We are a stock corporation ( sociedad annima ) incorporated under the laws of the Republic of Argentina. Unless otherwise stated, references to the financial results of "Edenor" are to the consolidated financial results of Edenor. We hold a concession to distribute electricity on an exclusive basis in the northwestern part of the greater Buenos Aires metropolitan area and in the northern part of the City of Buenos Aires, comprising an area of 4,637 square kilometres and a population of approximately 9 million people. Our financial statements as of December 31, 2023 and 2022 and for the years ended December 31, 2023, 2022 and 2021, and the notes thereto (the "Financial Statements") are set forth on pages F-1 through F-67 of this annual report. The Financial Statements, which were prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB"), have been approved by resolution of the Board of Directors' meeting held on March 8, 2024 and have been audited by an independent registered public accounting firm. Argentina has been considered a high-inflation economy for accounting purposes according to the IAS 29 "Financial reporting in hyperinflationary economies" since July 1, 2018. Therefore, the financial information included in this annual report for all the periods reported are presented on the basis of constant Argentine Pesos as of December 31, 2023 ("current currency"). See "Item 3. Key Information— Risk Factors—The Peso currently qualifies

RISK FACTORS

RISK FACTORS The following summarizes some, but not all, of the risks provided below. Please carefully consider all of the information discussed in this Item 3.D. "Risk Factors" of this annual report for a more thorough description of these and other risks: Risks Related to Argentina A global or regional financial crisis and unfavorable credit and market conditions may negatively affect our liquidity, users, business, and results of operations. The Argentine economy remains vulnerable and any significant decline may adversely affect our business, results of operations, and financial condition. Economic and political developments in Argentina, and future policies of the Argentine Government may affect the economy as well as the operations of the energy distribution industry, including Edenor. 3 Table of Contents If high levels of inflation continue, the Argentine economy and our results of operations could be adversely affected. The Peso currently qualifies as a currency of a hyperinflationary economy and we are required to restate our historical financial statements in accordance with IFRS, in terms of the measuring unit current at the end of the reporting year, which could adversely affect our results of operations and financial condition. Argentina's ability to obtain financing from international markets could be limited, which may impair its ability to implement reforms and foster economic growth and, consequently, affect our business, results of our operations and growth prospects. Fluctuations in the value of the Peso could adversely affect the Argentine economy and could in turn adversely affect our results of operations. Intervention by the Argentine Government may adversely affect the Argentine economy and, as a result, our business and results of operations. Argentine public expenditures may adversely affect the Argentine economy. The Argentine economy remains vulnerable to external shocks that could be caused by significant econo

View Full Filing

View this 20-F filing on SEC EDGAR