R$15.2B sanitation investment push at Sabesp (NYSE: SBS) in 2025
Rhea-AI Filing Summary
Companhia de Saneamento Básico do Estado de São Paulo – Sabesp reports that in 2025 it invested a preliminary, unaudited total of R$ 15.2 billion in water supply and sewage infrastructure. This amount is 2.2 times higher than the R$ 6,9 billion invested in 2024, with spending accelerating in the second half of 2025 and rising 36% compared to the first half of 2025.
The company states that these higher investments support its goal of achieving universal access to basic sanitation by 2029 for the population in the URAE-1 contract concession area.
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Insights
Sabesp sharply increased 2025 capex to support its 2029 sanitation universalization target.
Sabesp indicates it invested a preliminary R$ 15.2 billion in 2025, 2.2x the R$ 6,9 billion invested in 2024. Investments also accelerated, with second-half 2025 spending 36% higher than in the first half, pointing to an execution ramp-up.
Higher infrastructure investment can expand service coverage and asset base, but it also typically requires robust funding through cash flow, debt, or tariffs. The text links this capex directly to achieving universal basic sanitation by 2029 in the URAE-1 concession area, so future disclosures on funding, returns, and progress will be important context for this strategy.
PURSUANT TO RULE 13a-16 OR 15d-16 OF THE
São Paulo, S.P., 05429-900
Federative Republic of Brazil
annual reports under cover Form 20-F or Form 40-F.
Form 20-F ___X___ Form 40-F ______
in paper as permitted by Regulation S-T Rule 101(b)(1)__.
in paper as permitted by Regulation S-T Rule 101(b)(7)__.
Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also thereby furnishing the
information to the Commission pursuant to Rule 12g3-2(b) under
the Securities Exchange Act of 1934.
Yes ______ No ___X___
registrant in connection with Rule 12g3-2(b):
COMPANHIA DE SANEAMENTO BÁSICO DO ESTADO DE SÃO PAULO – SABESP
PUBLICLY-HELD COMPANY
CNPJ 43.776.517/0001-80
NIRE No. 35.3000.1683-1
MATERIAL FACT
Companhia de Saneamento Básico do Estado de São Paulo – Sabesp ("Company") in compliance with the provisions of the Resolution of the Brazilian Securities and Exchange Commission ("CVM") No. 44, of August 23, 2021, as amended, and in continuity with the Material Fact disclosed on July 22, 2025, informs its shareholders and the market in general that, in 2025, it made investments totaling R$ 15.2 billion in water supply and sewage system infrastructure works, amount in preliminary and non-audited version.
The investments made in 2025 were 2.2x higher than those made in 2024 (R$ 6,9 billion), with investments accelerating in 2H25 and increasing 36% versus 1H25.
As a result, the Company:
| · | Surpassed all its U-Factor(1) targets for the year, as follows: |
| o | Water Economies (ICA): 664,161 new economies, 152% of the 2024–2025 target |
| o | Sewage Economies (ICE): 781,464 new economies, 133% of the 2024–2025 target |
| o | Units for Sewage Treatment (IEC): 1,372,105 new economies, 134% of the 2024–2025 target |
| · | Expanded access to water services for 1,819,342 people, sewage collection for 2,138,670 people, and sewage treatment for 3,759,534 people |
| · | Generated more than 40,000 direct and indirect jobs |
These results reinforce the Company’s commitment to achieving universal access to basic sanitation by 2029, ensuring that the entire population within the concession area of the URAE-1 Contract concession area has access to essential water and sewage services.
The Company will keep its shareholders and the market informed of any relevant updates related to the subject matter of this Material Fact.
São Paulo, February 4, 2026
DANIEL SZLAK
Chief Financial and Investor Relations Officer
| (1) | O número de economias e metas de Fator-U estão sujeitas à auditoria e validação do órgão regulador. |
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Companhia de Saneamento Básico do Estado de São Paulo - SABESP | ||
| By: | /s/ Daniel Szlak
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Name: Daniel Szlak
Title: Chief Financial Officer and Investor Relations Officer |
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This press release may contain forward-looking statements. These statements are statements that are not historical facts, and are based on management's current view and estimates of future economic circumstances, industry conditions, company performance and financial results. The words "anticipates", "believes", "estimates", "expects", "plans" and similar expressions, as they relate to the company, are intended to identify forward-looking statements. Statements regarding the declaration or payment of dividends, the implementation of principal operating and financing strategies and capital expenditure plans, the direction of future operations and the factors or trends affecting financial condition, liquidity or results of operations are examples of forward-looking statements. Such statements reflect the current views of management and are subject to a number of risks and uncertainties. There is no guarantee that the expected events, trends or results will actually occur. The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially from current expectations.
FAQ
How much did Sabesp (SBS) invest in 2025 infrastructure projects?
Sabesp reports preliminary, unaudited investments of R$ 15.2 billion in 2025 for water supply and sewage infrastructure works. This represents a substantial increase compared to 2024 and reflects an acceleration of spending in the second half of 2025.
How do Sabesp’s 2025 investments compare to 2024 levels for SBS?
Sabesp states that 2025 investments of R$ 15.2 billion were 2.2x higher than 2024 investments of R$ 6,9 billion. This indicates a significant year-on-year ramp-up in capital spending on water and sewage infrastructure.
What did Sabesp (SBS) say about investment trends between 1H25 and 2H25?
Sabesp notes that 2025 investments accelerated during the year, with spending in 2H25 increasing 36% versus 1H25. This suggests a back-end-loaded execution of its water and sewage infrastructure projects during 2025.
What long-term sanitation goal did Sabesp (SBS) highlight in this update?
Sabesp reaffirmed its commitment to universal access to basic sanitation by 2029 for the population within the URAE-1 contract concession area. The company links its higher 2025 infrastructure investments directly to progressing toward this universalization target.
Are Sabesp’s reported 2025 investment figures final and audited?
No. Sabesp explicitly describes the R$ 15.2 billion investment figure for 2025 as preliminary and non-audited. Investors should treat it as an initial indication, pending confirmation in audited financial statements or future disclosures.
What regulatory disclosure did Sabesp (SBS) file for this 2025 investment update?
Sabesp furnished this information as a Form 6-K report of a foreign issuer, including a Brazilian Material Fact notice, to inform shareholders and the market about its 2025 investment levels and sanitation universalization objective.
