Morning to everyone. It's a pleasure to be here to show you the wonderful results of CPFL. We're gonna talk about the fourth quarter in 2021. My name is Carlos Cyrino, I'm the Director of Investor Relations with CPFL, and today I will be the master of ceremonies of our event. Today we have with us Gustavo Estrella, our CEO. Mr. Pan, the Director Vice President of the company.
We're gonna do the whole presentation in Portuguese with translation to English. All you have to do is click on the interpretation button that shows up in the lower part of the viewer. If you want to see the presentation in English, it is in the site of CPFL Energia. I would like to inform all the participants that after this, we will start our questions and answers. Like the last times, everything will be done live.
To ask, all you have to do is click on the button Raise Hands. This is also on the bottom part of the platform. The whole event is being recorded. I'm now gonna give the floor to Gustavo Estrella for him to start the presentation of the results.
Okay, Cyrino. Thank you very much, Cyrino. Good morning to everyone. Good morning for your presence in the call of results. As Cyrino mentioned, we are gonna demonstrate the results of the fourth quarter, and also the year of 2021. We're gonna begin talking about the load in the concession area. This dropped 3% in the fourth quarter of 2021, and very much due to temperature. We're gonna see this in detail in the next slides.
with a growth of 3.4% in 2021 due to the industrial class that presented an important recovery in relation to 2020. In relation to the EBITDA profit, we had a historical record in the company. We closed with BRL 9.16 million in the year, a growth of 35.1% in relation to the year of 2020.
We had a profit of BRL 4.854 million, with a growth of 30.9% in relation to 2020. Leverage, we have a net debt of BRL 21.11 million. This is a leverage that is 2.13 times. This is very comfortable given the space that we have up to the limits of our financial covenants.
The CapEx, we intensified our investment program in the company, especially in distribution due to the proximity of the tariff revision. These are important years for the realization of CapEx in the company. We have a CapEx of almost BRL 4 million in the year. A growth of 42.3% in relation to 2020.
We're also gonna show that we continue with an ambitious plan in relation to the CapEx of the group. We estimate that between 2022 and 2026, a total CapEx of BRL 21 million, an investment that is led by distribution, but also incorporating the additional investments in the transmission sector. The regulatory asset we closed the year here with a historical number of BRL 3.2 billion. It's the highest level in the history of the company.
This number has started dropping in 2022 due to the improvement of the hydrology. There's a lot of pressure here for the tariff readjustments in 2022, and this is due to the regulatory assets, elevated regulatory assets. Now we're gonna move forward to the slide four. We have a proposal to pay the dividends. This is gonna be submitted to the approval of the board with the shareholders.
This is basically confirming our strategy of balancing the growth with the payment of dividends. Even with important growth in 2021 with CPFL Transmission going into the Gameleira transmission project, the proposal is to pay a total of 100% of the distributed profit of 2021, which represents BRL 454 million.
As we've paid in December, BRL 804 million, we have additional dividends of BRL 3,000,736, which corresponds to BRL 3.24 per share. Now let's move forward to slide five. Here you see more in detail the energy sales. You see a drop here of 3% in the concession.
If you look at the bottom left side of our slide, you can see that the residential area has a drop of 5.7%. 4.9% is the effect of temperature which affected our commercial class with the effect of temperature of 6.1%. In this quarter, we already see industrial consumption is very positive at the end of the year.
We start seeing the growth here of the industry of manufacturing, and we see this also taking place in the beginning of 2022. If we pass here to slide six. If we look at slide six, energy sales in 2021, as we can observe, the load in the concession area of sales of 4.2% when we look per class.
The residential class is a growth of 0.5, and the growth comes due to the industry which has grown a lot in the second quarter of 2021, and has an average growth of 11.1%. We have to notice that we have two classes here in industry, metallurgy and vehicles that are pulling this growth, but the consumption is still below 2019.
The growth of these two classes is still not enough to compensate the drop in consumption that we had in the year of 2020. When we look at the industry in general, we have a growth of 5% in relation to 2019. We are above the levels pre-pandemic. Specifically these two classes, metallurgy and vehicles, we are still below the consumption of the year 2019.
Here in slide seven, we do a comparison with the numbers adjusted. We remove the effect of migration, calendar, temperature, and our resolution so that we can in fact look at the behavior of each one of the classes during the year of 2021.
Here in residential, we can clearly see a fluctuation due to the pandemic, and we have here an increase of consumption in the residential class, and then we have other moments of decrease. This is very much due to the variation, which is a result of the pandemic. In the industrial sector, you have a strong base effect of comparison.
Look at the second quarter, a growth of 28%. This is due to the low base of the second quarter of 2020. Remember, the pandemic begins in the middle of March, so it gets the second quarter, it hits it in full. We have a comparison, and it reflects at the end of the year a drop of 0.5%.
This is a reduction of the industrial activity that we noticed at the end of last year. This is with the same trend in the beginning of 2022. In the commercial areas, we also see a recovery. Here, concentrated in a comparison base, the second quarter, we can see a recovery in a pace which is a bit lower than the industry.
This class, the total consumption is over 7% below 2019. Different to the industry, but it also is an important recovery and others with a variation due to hydrology, irrigation, especially in the southern area of the country. Now let's go to slide eight. Here we're talking about EBITDA. We can see the fourth quarter, 0.78. This is an important recovery, if we compare to the prior quarters.
This is very critical in relation to delinquency, but a percentage that is still above the closure of 2020. When we look at the year, the average goes from 0.8% to 1% in 2021. This for sure continues being a point of concern for our company, especially due to the expectation of a low growth which we expect in 2022, together with the scenario of expectation of increase of tariffs for the year.
When we look at our collection actions, it's practically stable. It's high here with over 210 power cuts per month in the concession areas and a growth of 18% in relation to 2019. We have used the power cuts to control delinquency, and I think the scenario is still challenging in relation to this issue.
In relation to losses, it's a bit different. We have a drop of losses in the last two months, and compared to 2020, the loss goes from 905 to 871. This also is a point of concern and a point of attention, our volume of losses. What we have done is the maintenance of the number of inspections in our units of consumption, which basically are from 500 to 600 thousand inspections per year.
What is new and what has improved is the use of more technology, more intelligence. We have an analytics center so that we can have a more assertive, more quality inspection, and this has increased, and it reflects here in a drop of losses that we have, decrease of losses. Well, in relation to generation, we start here with a PLD.
It already shows a drop in relation to 2020. The improvement of hydrology starts at the end of last year. This already reflects in an average lower PLD. The fourth starts with a high level, and it drops with the three months, and it closes more or less BRL 35.
Since we had a very negative hydrology, we had PLD high during a good part of the year, and we closed with BRL 280 against 220, 2020, which was BRL 170. It also reflects the worsening of hydrology. We can see here a GSF with 73%, very negative, remembering that CPFL has the hedge, so the exposure to GSF is low. It exists, but it's low. We do have a negative GSF for the year.
As for the flow, we have a different scenario here. These plants are located basically in the southern area. In the Center-West, we have an improvement of the hydrology in these areas, so we have a better flow in comparison with 2020.
In relation to the PCHs, they're located in São Paulo, in the state of Minas Gerais, the asset HPPs. We have a drop of flow 2021 versus 2020. In the fourth quarter, where it starts improving, we then have an increase of flow of 40%. What about the wind generation?
The wind generation we have here, this is a fruit of the better hydrology, especially you can see that we have a drop of generation and there's a positive variation when we look at the year, 17%, basically due to the performance of the wind and the percentages which are much better in 2020 when we compare to the year of 2021 compared to 2020.
We had 82% of winds compared to P50, and 2021, it goes up to 91%. The availability is practically aligned in the two years. Now I'm going to give the floor to Mr. Pan, who's gonna talk to us about the results.
Thank you, Gustavo. Good morning to everyone. I'm on slide 11. The EBITDA in this quarter was BRL 2.5 billion, an increase of 32.4%. The highlight, once more, was the good results of the distribution segment with an increase of 59.2%. The largest gain came from the market and tariff, BRL 463 million, especially due to the IGPM, which was higher.
Another important effect was the concession financial asset gain, which had an increase of BRL 181 million due to the highest IPCA index. We also had a gain of BRL 42 million of other revenues. Here is the rental of posts and these contracts updated by the IGPM. The PDD was the highest, BRL 23 million. This hike is due to the increase of the revenue.
The revenue was 0.78%, and our historical level is 0.7%-0.8%. The other effects add -BRL 7 million. In generation, the EBITDA was BRL 735 million, a reduction of 2.5%. We should highlight that this quarter, the five transmission projects that were consolidated here, they are now separate.
The main positive effect was the update of the contract prices, BRL 203 million. Another positive impact was the GSF during the period. Even though it is higher, we had a lower PLD this year due to the rains at the end of the year, which allowed for a reduction of these expenses.
On the other hand, we had a negative impact of BRL 140 million due to the solution of GSF in the free market, regulated, registered in 2020. The lower wind generation, as Gustavo just said in the previous slide, affected 29 million. Other effects added 71 million. Let's move to the next slide. Segmento de Transmissão.
The transmission segment after the acquisition of the CEEE-T brought large relevance for the consolidated numbers of CPFL Energia. We report separate to generation. The EBITDA of the period was BRL 77 million, an increase of over 700%. The main effect was the consolidation of the numbers of CPFL Transmissão with BRL 122 million. On the other hand, we had a negative impact of BRL 46 million due to the higher CapEx and delays in the greenfield projects.
The trading segment, services and others, we had a negative EBITDA of BRL 44 million impacted especially by the margin, negative margin of BRL 83 million. This was partially compensated by the better result of the service segment of BRL 10 million, especially CPFL Serviços.
Other effects added a total of BRL 18 million. Now, let's move to the next slide. Here we show the net income performance. You can see a hike of 34.5% in relation to the fourth quarter of 2020. In the financial result, we had a net debt of BRL 321 million due to expenses with debt with an increase of BRL 321 million.
This is explained due to the increase of CDI and IPCA, and also fines, BRL 29 million after the adoption of IPCA and no longer IGP-M, especially compensated by the gain of GSF MTM, BRL 68 million. The monetary update of the regulatory asset, BRL 37 million. Other effects add -BRL 56 million.
The lower value of taxes is related to fiscal credits in the last quarter of 2021, at a total of BRL 187 million. Let's move on to slide 14. Here we show you the accumulated results of the year where the EBITDA grew 35.1%. We highlight here the distribution segment, which grew 47.5% favored by the market recovery and the increase of tariffs besides the financial asset of the concession.
Another highlight is a hike of 25.1% due to more wind generation because of the strong winds observed in 2021. Readjustment of contracts linked to inflation and the solution of GSF. The net profit increased 30.9%, reaching BRL 4.9 billion. We had an impact of the net of the cost of the debt of MTM, partially compensated by the larger value of the fines.
Also, the higher payment of taxes due to the better operational results. Let's go to the next slide, leverage and dividends. We have the covenant criteria for the indebtedness, and the net debt is BRL 21.1 billion. The EBITDA of the last twelve months reached BRL 9.9 billion.
The leverage measured by the net debt over the EBITDA was 2.13x after the acquisition of CEEE-T, which was BRL 2.7 billion, and the payment of dividends of BRL 2.5 billion realized in the last quarter of 2021. Still on dividends, we are going to take to the board the proposal for approval in the January general meeting for the payment of dividends relative to the results of 2021, and the value is BRL 4.54 billion, BRL 3.94 per share.
Of this amount, BRL 804 million have already been paid out in December 2021, and the rest, BRL 3.736 billion or BRL 3.24 per share, will be paid up to December 2022. In this manner, we continue with our plan of balance between the growth and the yield.
The next slide refers to indebtedness. We have the profile of the gross, that we have a larger exposure to CDI, 69%, 29% to IPCA, 3% prefix, and 2% TJLP. On the chart on the right side, we have the cost of the debt that increased due to the variation of the IPCA and CDI during the period.
At the end of the year, we had BRL 2.8 billion in cash with rate of coverage of 0.8x the amortization short term. The average time is three months. In slide 17, CapEx. It was BRL 1.351 billion in the fourth quarter, an increase of 53.6% in relation to the same period the year before.
If you look per segment, we had in distribution a total invested of BRL 872 million destined to the modernization and maintenance and increase of the net and the equipment. In generation, we invested BRL 127 million in the projects of Gameleira and Xirú Bem.
We invested BRL 307 million in our transmission Sul I, Sul II projects, Maracanaú, and reinforcements in improvements in the CPFL assets. Also, for the segment of trading and services, we destined BRL 45 million to modernize and maintain equipment, vehicles, tools, and IT. In the accumulated vision of 2021, we invested more or less BRL 4 billion, an increase of 42.3%. Now let's move to slide 18.
Here we have CapEx predictions for the cycle of 2022-2026, which is about BRL 21 billion for the whole group. In the vision per segment, we have a special highlight for distribution. We invested a total of about BRL 17.6 billion to the improvement, maintenance, and reinforcement of the network and the increase of the capacity of the substations.
We will also invest BRL 1.2 billion for the conclusion of the PCH of Cherobim and the maintenance of the plants that are already in operation. For transmission, we have a forecast of BRL 1.9 billion in our greenfield projects and in CPFL transmission. For this last one, we will destine about BRL 1.7 billion. That's what I had to say. Now I'm gonna give the floor back to Mr. Gustavo Estrella. Thank you very much.
Thank you very much, Mr. Pan. Well, let's continue. Let's talk about the integration of CPFL Transmission. I believe that we concluded in the beginning of January a 100-day plan, which was basically the beginning of our process of takeover. There's still a lot of things to be done. I think it's advancing according to our expectation with important results.
The first thing is this cultural integration plan with the implementation of practices and policies of CPFL. We're bringing the CPFL culture into the CPFL Transmission, our way of being. This is a process that takes a bit of time, but it's something that we've initiated. We also did the centralization of the transactional activities and service of the infrastructure, the fleet, the HR, supply chain, and finance.
This is all being carried out by our service center in Indaiatuba. An integration of the IT systems, this is a process that we're gonna conclude up to July this year. I would say that the main systems of this integration, they're gonna happen before the SAP, for example. This is a process as we are accelerating as much as we can. All the critical systems will be integrated well before July this year.
We've already had a revision of a series of contracts with a reduction of about BRL 15 million per year. We've already done this as a series of other analysis, other contracts that should be revised, but we already have, we've already moved forward in this process. In an important manner, we've transferred the headquarters, which was the original headquarters, to a new headquarters in Porto Alegre.
This will be concluded up to the end of July. Besides more modern installation, also, the rental costs that we have today in the current location. Last but not least, we have the substitution of the current debts which are linked to dollars ever since the privatization process.
We have a volume of debts, which $680 million, and we have the opportunity to renegotiate so that we can bring these debts to the level of the cost of CPFL with an important gain of results. Lastly, a little bit of the summary of ESG. I think the first thing, the first highlight here, the rates of the market. The CDP, see here we have highlights. We have the ISE B3.
This is a demonstration of recognition of the market in relation to all the practices and the policies that CPFL has developed in ESG. Some important achievements, I would mention the conclusion of the first part in the hospitals. BRL 156 million, more than 300 hospitals benefited in our area of concession.
We've started the second part of this program with another BRL 140 million being invested so that we can continue this project in partnership with the public hospitals. We have other improvements with revisions of regulation, audits, also regulatory demands for 2022. We've already done this ever since the beginning of last year.
Lastly, a series of awards and recognitions. I think this feedback of the market is very important, recognizing everything that CPFL has been doing, and it's a lot. I think the market sees these advances. With this, we conclude our presentation of results. I'm gonna give the floor to Cyrino, and then we can start our Q&A. Thank you.
We are now gonna open our Q&A session. As they come in, the questions will only be made live. You should use your button, Raise Hand, that you can see at the lower part of the platform. We have a first question here. This is coming from Felipe Andrade from Itaú BBA. Thank you, Felipe. Good morning. Feel free to ask your question.
Good morning, Cyrino. Good morning, Pan. Thank you for listening to my question.
As for the recent acquisition that you talked about, I would like to know if it would be possible to share a bit more the information about the planning, the financing of the debt. When will this happen?
And also, if you could please share information about the turnaround that is expected for the asset in terms of improvement, so to improve the CEEE-T for the transmission assets. So how long do you think that this improvement will take to happen? Thank you.
Felipe, thank you for your question. I think in relation to the debt, I think the challenge that we have this year in relation to all the refinancing and the funding, we don't only look to CPFL Transmissão, we look at the group in general. We have a year with an expectation of turbulence. There's a war going on.
We don't know how long it's gonna last. We don't know how it can affect the market and also here in Brazil when we think of elections. Our plan is to forecast or to anticipate any refinancing so that we can concentrate this in the next months, few months. I think up to March, June, we will have concluded all the refinancing, short-term that is necessary, and this includes CPFL transmission.
The expectation is that we bring, for obvious reasons, the cost of the debt to the same levels of the CPFL group. Obviously this brings us positive expectation of cost reduction in relation to the current debts. Remembering that these debts are in dollar and they have a higher cost than our average cost of financing.
The idea is to do this as quick as possible, not only to anticipate or to the gain, bringing this debt to lower levels, but also to avoid the risk of exposure to volatility during this year. In relation to the turnaround, I think it has a timing to take place. I think that we've already forecasted this timing, and this is happening, I would say, according to our expectations.
I mentioned some examples here. We reduced the company's fleet over 43%. We reduced BRL 15 million in the OPEX of the company. There are other reductions that take place in time. As we integrate the company more and more in CPFL systems, processes, people, we are clearly able to reap these benefits.
As you said, the expectation is to have a market margin, and it shouldn't be different to have a margin compatible to a company of transmission with these characteristics. Of course, it takes a while. We're trying to accelerate the maximum we can. It's the moment we're going through.
We took over this company in October last year in a period of pandemic, so the process of takeover is a complex process. We have done this with care and safety, but trying to do this integration process the best possible to be able to reap the benefits, and this will then reflect in the results of the company. In CPFL Transmissão, we have also an ambitious plan.
This execution, if it's well done, is very important, and this is another thing that we've done. We're preparing ourselves to do this in the best way possible to maximize the results of the company.
Thank you very much, Estrella.
Let's move to the second question. The question comes from Daniel, from Safra Bank. Good morning. You can ask your question.
Hello, everyone. Good morning. Thank you for the opportunity. Congratulations for the results. I have two questions. The first one, I'd like you to comment about the opportunities that we have. We're gonna have the bidding process of CTG, of transmission. So you are paying robust dividends. So I would like to know more about these opportunities during the year.
A second question I have is related to the tariff readjustment, expectations. You mentioned the PDD. I would like to know how this is going to happen and how much the PDD should go up due to an increase in tariffs, which should be high this year. Thank you.
Thank you for your question. Well, talking about the M&A opportunities, we continue to focus on opportunity for growth. We have an expectation about the transmission bid. We think that we'll have two auctions that will be quite relevant. At the end of the year, not so much.
As we've done in the previous auctions, we're gonna evaluate what lots make sense with our strategy. Remembering we're going to search for synergy with our current business, and our strategy will be the same, recognizing the difficulties of the current moment, especially when we look at the auctions.
The competition has been very strong in the last ones, and possibly the scenario in the next 2 will be the same. Added to this, there's an increase of costs, commodities, labor, scarcity of materials. This already is happening, and I believe that the expectation is gonna be even more serious with the war. We believe that this brings us additional challenges.
We're respecting our financial discipline and assets that bring value to our company. You mentioned CT 3 generation. The company is not gonna participate in the auction. We have a preference right for some and if it happens, if there is a winner, we are going to exercise the right that we have. But we will not be participating in the auction. As for the readjustments, this is a huge challenge, not only CPFL, but it's a sectorial challenge.
We had an expectation, a higher expectation in relation to this. I think the loan is the best instrument today to avoid the high readjustments. BRL 5.2 million helps to. They will continue. The readjustments will probably be over two digits, so it's a very challenging situation. I think it makes the default situation even worse.
It's difficult to know the size and the dimension of and the impact of this, but what we've been doing is to try to prepare the company for the scenario that I showed you here. Program of power cuts, of debts paid in installments to help our clients pay and to avoid this default. It is really a challenge.
The performance of the level of revenue, several variables that can result in a higher or lower default or delinquency. We hope that we'll have a better scenario in the future, but we do think that the scenario is challenging for us during this year.
Thank you very much.
The third question is from Andre Sampaio from Santander. Hello, Andre. We're gonna follow now with your question.
I have two questions. The first question is if you please could comment the dividends of 100% of payout to 2021. What's the expectations of 2022? What are you planning to do in relation to the dividends this year?
The second one is you could go back to the CapEx slide, because I have a specific doubt in the transmission part when you mentioned the CapEx. These are only the projects that are in the pipeline, or do you have something that is not in the pipeline?
Thank you for the questions. Well, first of all, about the CapEx, we only have the CapEx of the companies where we have ongoing projects. These are what we've already got in prior auctions or specifically the CPFL Transmission. There's no projection of a new potential asset that we would acquire.
If we do this, next time when we give you the disclosure of the new CapEx plan, we will show you a higher investment in relation to dividends. As you know, our strategy always is to balance dividends with growth. One thing depends on the other. In our policy, we have a minimum payment of 50%.
The expectation is always to maximize the payment of dividends, but it depends a lot on our strategy of growth. Every time we are able to balance, like as we did this year, we pay dividends and for growth. If we have a higher growth than expected or an asset that demands a lot of cash, we can reduce the payout limited to 50%.
This is to monitor, but I would say that the strategy, the plan of the company always is to maximize matching the payment of dividends with growth.
Thank you, Estrella. Have you seen any relevant assets that could have this role in 2022, or you don't have anything mapped? This is gonna depend on the advance of the year.
We've felt an M&A market which is several assets. Brownfield, there's no asset, specific asset currently. What we feel is that the market is very active with various opportunities that might crop up during the year. That's what we're monitoring constantly. Now, there's no clear position of movement.
Thank you.
Thank you, Andre.
Let's move to the next question. Carlos Herrera, Strategist from CANDOR. Thank you for your participation. Move ahead with your question.
Your mic is...
I'm Carolina, I work with Carlos. He asked me to ask the question 'cause he's on a phone call. The question is... Just hold on a second. What segments will you be focusing on in 2022? In transmission, how do you see the competition, and how the increase of costs is bringing more realistic proposals?
That's the questions my colleague asked, but he is on a phone call, so I'm asking the questions in his place.
Good morning, Carolina. Thank you for the question. Well, segments for 2022, I would say that we continue focused on what we already do. Generation, transmission, distribution, commercialization, all the segments within the electrical sector. As for transmission, there is an expectation of a lot of competition.
The scenario is not different from what we've seen in prior meetings. I believe it continues. A lot of competition in the future auctions. I mentioned two auctions that are expected, greenfield for 2022 and a series of brownfield assets. I think the scenario is very similar. A lot of competition, a lot of investors wanting to invest, wanting to join, increase investments in transmission.
The cost of capital, we revise our capital costs periodically so that we always have a cost which adheres to the level of risk and the return that's expected for a certain asset. This analysis, this exercise, is done in a recurrent manner in the company. It is not different now. Perhaps the only point is the scenario today of more volatility, where there is an expectation of capital costs or returns of a certain asset.
This might vary in relation to the external and macro scenario. This is something that we do always to have an alignment in the cost of capital and new investments. Thank you very much. I'd also like to thank you for the other questions.
Thank you, Caro. Well, we're now gonna move to the last question. This is a question from Juliano from UBS. Good morning, Juliano. Ask your question.
Thank you. Hello, Cyrino. Hello, Estrella. Thank you for the opportunity. I have some questions. The first, about these generation assets. You have the possibility of purchasing, but there's also the right to sell if someone makes an aggressive proposal. Can you sell these assets? That's my first question.
I have another two questions. I'd like to hear what you think about renewing concessions, if this is a concern. I'd like to hear how the conversations are about the assets of the controller, if there's a conversation about the transmission and State Grid.
Thank you for the questions. Starting with the generation asset, we don't have the right to sell. We only have a preferred right after the auction. If there's a winner, we can or not purchase the asset, but not sell.
As for the controller assets, there's no negotiation, no discussion now on the table in relation to this. Nothing new. If we do have anything new, we will put this in the market. Today there's no discussion in this sense. As for the concession renewal, as you know.
Looking at the historical part here, we've come here from the last process of distribution which took place in 2015, with a renewal of over 40 concessionaires of distribution. This renewal, after the authorization of the ministry, it took place with no type of impact for the companies. This is basically our expectation. We have a situation in distribution which is very different to generation.
I think with this characteristic of recurring investment tariff revisions, which adjust the margins of the company to the regulatory levels, it doesn't make sense for us to make any type of change in a concession renewal process for the concession. This long-term vision with which to manage the business is very important in our case. We close ten-year plans.
This long-term vision, so that we can operate our distribution business in the best manner possible, is fundamental. Our expectation is that we have a renewal process that preserves all the rights, preserves all the margins, the regulatory margins established by the regulator, and that also brings these long-term expectations to everyone. That's our expectation.
Thank you, Gustavo Estrella.
Thank you, Juliano, for your question.
Well, folks, we have no more questions. We're now ending our question and answer. If there's still any question, the investor relations team is available to clarify later. I'm gonna give back the floor to Gustavo Estrella for his final considerations and for the closure of this session. Thank you.
Thank you, Cyrino. Well, I thank you all for the participation in our call of results. We're very proud of our results here in CPFL. I think it reflects very well the resilience that the sector has, especially during this time of crisis.
The sector shows itself as an important hedge against inflation. I think it's important to say this. Looking in perspective, we have a CapEx program which is expressive, over BRL 21 billion. It's the largest CapEx program in the history of the company.
This guarantees the growth process of the company, a growth outside M&A, but also our internal growth, how we maximize our results and this takes place due to the dynamic of investment, whether it be distribution or transmission. We're here with a challenging CapEx, but a CapEx that guarantees the growth, continued growth of the company long term.
Dividends, we reinforce once more our strategy of balancing between growth and the dividend payments. We're able to address the two issues of last year. I think it's a perfect world when we, in fact, are able to deal with the growth, which was the purchase of CPFL Transmissão, also preserving the payment of 100% of dividends.
Lastly, also looking in perspective, I think we continue with a lot of confidence in all the process of modernization, opening of the energy sector. We're certain that we'll have the capacity of putting CPFL in the new market with new challenges, but keeping our role of leadership in this sector. Once more, I thank you all for participating in this call, and I wish you a very good day. Thank you.