Central Puerto Announces 1Q2023 Earnings

Central Puerto S.A ('Central Puerto' or the 'Company') (NYSE: CEPU), one of the largest private sector power generation companies in Argentina, reports its consolidated financial results for the First Quarter 2023 ('First Quarter' or '1Q2023), ended on March 31, 2023.

Financial statements as of and for the quarter ended on March 31, 2023, include the effects of the inflation adjustment, applying IAS 29. Accordingly, the financial statements have been stated in terms of the measuring unit current at the end of the reporting period, including the corresponding financial figures for previous periods informed for comparative purposes. Growth comparisons refer to the same period of the prior year, measured in the current unit at the end of the period, unless otherwise stated. Consequently, the information included in the Financial Statements for the quarter ended on March 31, 2023, are not comparable to the Financial Statements previously published by the company.

Definitions and terms used herein are provided in the Glossary at the end of this document. This release does not contain all the Company's financial information. As a result, investors should read this release in conjunction with Central Puerto's consolidated financial statements as of and for the quarter ended on March 31, 2023, and the notes thereto, which will be available on the Company's website.

A. 1Q2023 Highlights

Resolution 826/2022

On December 12th, 2022, through Resolution 826/2022 the Secretariat of Energy authorizes generators a tariff increases of 25% in February 2023 and 28% in August 2023 to Spot Energy.

Resolution 59/2023

On February 7th, 2023, through Resolution 59/2023 the Secretariat of Energy authorizes generators that have combined cycle units to adhere to the Agreement on Availability of Power and Improvement of Efficiency with the aim of encouraging the necessary investments of Major and Minor Maintenance of the machines. Through this agreement, the adhering generators undertake to achieve, at least, 85% availability of average monthly power in exchange for a new power and generation price.

In the case of Power, an amount of 2,000 USD/Mw-month is established plus the sum in pesos corresponding to 85% and 65% of the power value established in Resolution 826/22 for the periods of spring/autumn and summer/winter respectively. Additionally, the price for generated energy is set at 3.5 USD/MWh in the case of using gas and at 6.1 USD/MWh for alternative fuel (diesel).

The adherence to the Agreement by the Company, together with the improvements set by Resolution 826/22 represents a significant increase in the income of the thermal units, the effects of which will be fully verified in the 2023 period.

Proener S.A.U acquires Enel Generacion Costanera S.A.

On February 17th, 2023, Proener acquired from Enel Argentina S.A. 75.68% of the capital and voting stock of Enel Generacion Costanera S.A. ('Central Costanera'). The transaction price amounts US$ 48.0 million.

By taking possession of Central Costanera, Central Puerto reinforces its growth in Argentina consolidating as market leader in the generation sector.

The value of Central Costanera represents a unique opportunity as a strategic asset. The growth potential of this acquisition is based on the operational and corporate synergies, experienced management, and knowledge in technical and operational field. We believe that it is necessary to increase the power availability of the Costanera machines to strengthen and cover the demand at the national level.

All of this means that the acquisition cost does not accurately reflect the enormous growth potential of Central Costanera.

Central Costanera is in the City of Buenos Aires, reaching almost 6% participation in the total installed capacity of SADI and generates energy demanded by 3.5 million homes throughout the country. Currently, the Costanera plant is made up of six turbo-steam units, with an installed capacity of 1,131 MW of power, and two Combined Cycle units of 1,133 MW.

Proener S.A.U acquires EVASA group.

On May 3, 2023, Proener S.A.U., acquired 100% of the capital stock and votes of Empresas Verdes Argentina S.A., Las Misiones S.A. and Estancia Celina S.A, consisting of 88,063 hectares geographically located in the center of the province of Corrientes, of which approximately 26,000 hectares are planted with pine out of a total of approximately 36,000 plantable hectares.

The Company is focus on increase its environmental performance and contributing to global decarbonization objectives.

Installed Capacity: In 1Q2023, the installed capacity reached 43,278MW, compared to 42,871MW in 1Q2022, resulting in 1%increase. The installed capacity from thermal's sources increased 1% from 25,274 MW in 1Q2022 to 25,533 MW in 1Q2023, while renewable's capacity increased 3% to 5,156 MW in 1Q2023 compared to 5,008 MW in 1Q2022. There were no new hydro projects or nuclear in this period.

Between 1Q2023 and 1Q2022, the variation in installed capacity was 407 MW, increasing the capacity of the system. Regarding thermal sources, the increase of 260 MW is related with combine cycle Ensenada Barragan Site. Regarding renewable sources, 147 MW were added to the system, in which the main sources were solar (99 MW) and wind (36 MW).

As of 1Q2023, the installed capacity is divided in 59% thermal, 25% hydro, 4% nuclear and 12% renewable (maintaining the same percentage as in 1Q2022).

Generation: In 1Q2023, energy generation increased 8% to 38,627 GWh, compared to 35,719 GWh in 1Q2022, mainly due to: (i) an 1%increase in thermal generation, (ii) a 74%increase in hydro generation, which was partially offset by: (i) a 28% decrease in nuclear generation (ii) a 3% decrease in renewable generation.

The increase in thermal generation was mainly due to higher dispatch, the average system availability was 73% in 1Q2023, compared to 76% of 1Q2022. The increase in hydro generation is mainly related with the increase in the inflow of the Parana River. In contrast, in the case of generation from nuclear sources, the decrease is related with a severe technical failure in Atucha II. Regarding renewable energies, the decrease in generation was related to lesser wind resource.

During 1Q2023, the main sources of energy generation continued to be thermal and hydro, with a share of 61% and 22%, respectively. Renewables reached 12%, -1 p.p. (percentage point) less than 1Q2022 while Nuclear decreased -2 p.p. (percentage points) from 7% in 1Q2022 to 5% in 1Q2023. Thermal generation decreased -5 p.p. (percentage points) compared to the same quarter in 2022, as for hydro generation it increased 8 p.p. (percentage points) compared to 2022.

Demand: In 1Q2023, energy demand increased 14% to 39,490 GWh, compared to 34,513 GWh in 1Q2022, in which residential demand grew 25%, commercial 7%, and large industrial/commercial demand a 4%.

The increase in energy demand for both the residential and commercial segments is due to the rise in temperatures and the arrival of summer, there were historically higher temperatures specially at the end of the quarter.

As of 1Q2023 and in terms of demand structure, 49% is represented by residential users, 27% by commercial activity and the remaining 24% is related to great demand industrial/commercial.

CAUTIONARY STATEMENTS RELEVANT TO FORWARD-LOOKING INFORMATION

This release contains certain forward-looking information and forward-looking statements as defined in applicable securities laws (collectively referred to in this Earnings Release as 'forward-looking statements') that constitute forward-looking statements. All statements other than statements of historical fact are forward-looking statements. The words ''anticipate', ''believe', ''could', ''expect', ''should', ''plan', ''intend', ''will', ''estimate' and ''potential', and similar expressions, as they relate to the Company, are intended to identify forward-looking statements.

Statements regarding possible or assumed future results of operations, business strategies, financing plans, competitive position, industry environment, potential growth opportunities, the effects of future regulation and the effects of competition, expected power generation and capital expenditures plan, are examples of forward-looking statements. Forward-looking statements are necessarily based upon a number of factors and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties, and contingencies, which may cause the actual results, performance, or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements.

The Company assumes no obligation to update forward-looking statements except as required under securities laws. Further information concerning risks and uncertainties associated with these forward-looking statements and the Company's business can be found in the Company's public disclosures filed on EDGAR (www.sec.govwww.sec.gov).

Contact:

Tel: (+54 11) 4317 5000