Sabesp (SBS) filed a 6-K reporting 3Q25 results. Adjusted earnings were R$1.88 per share, up from R$1.72 a year ago. Reported EPS was R$3.16 versus R$8.94 in 3Q24, with the prior year inflated by the concession “financial asset” bifurcation. Management cited a 15% year-over-year increase in adjusted EBITDA and continued progress on universalization.
Investment and operations accelerated. The company invested R$4.0 billion in the quarter (a record) and R$10.4 billion year-to-date, adding 148,000 new active connections. Adjusted net sanitation revenue was R$5,468 million, essentially flat year over year, as higher volumes were offset by customer mix and FAUSP effects. Operating expenses fell 15% to R$2,270 million on efficiency measures including lower electricity costs and G&A reductions.
Non-recurring items were material. Court-ordered debt payments (precatórios) totaled R$1.950 billion, with R$1.118 billion received; a R$1,461 million monetary adjustment boosted financial results. Operating cash flow was R$3.17 billion. The financial asset bifurcation that lifted 3Q24 also contributed R$154 million to gross revenue in 3Q25.
Companhia de Saneamento Básico do Estado de São Paulo – SABESP plans to become the controlling shareholder of EMAE – Empresa Metropolitana de Águas e Energia S.A. through two negotiated share purchase agreements. SABESP agreed to buy 74.9% of EMAE’s common shares at R$59.33 per share from a fiduciary agent representing debentureholders of Phoenix Água e Energia S.A., and 66.8% of EMAE’s preferred shares at R$32.07 per share from Eletrobras.
After closing and regulatory and antitrust approvals, SABESP expects to hold 70.1% of EMAE’s total share capital, for an aggregate acquisition cost of R$1,131,460,783.00. The company highlights two main strategic benefits: stronger water security in the São Paulo Metropolitan Region through integration of the Guarapiranga and Billings systems, and access to EMAE’s portfolio of power generation assets with long-term, inflation-indexed revenue contracts, which management believes supports financial stability and long-term value creation.
Sabesp (SBS) reports a pending legal dispute with Subcondominio Eldorado Business Tower over commercial charging schemes. The lower court dismissed Eldorado's claim and that decision became final; a repetitive-demand procedure (IRDR) was decided in Sabesp's favor. Eldorado has filed appeals to higher courts (STJ and STF) which remain pending. The company cannot reliably estimate the amount at stake and currently classifies the risk of loss as possible.
Companhia de Saneamento Básico do Estado de São Paulo (Sabesp) delivered a materially stronger quarter driven by tariff carryover, volume growth and improved efficiency. Revenue rose as construction activity expanded, producing consolidated net revenue of R$17,391 million year-to-date and R$8,965 million in the quarter. Reported net income for the quarter was R$2,136 million (EPS R$3.12), up from R$1,209 million (EPS R$1.77) a year earlier, and YTD net income reached R$3,618 million. Operating cash generation remained robust (net cash from operating activities ~R$4.28 billion), and cash and equivalents increased to R$4.561 billion. Investment accelerated sharply: R$3.601 billion in 2Q25 and R$6.452 billion in 1H25, supporting universalization and adding new connections. Balance sheet shows higher borrowings of R$31.28 billion and net debt of ~R$23.36 billion, with reported leverage of 37%. The company reported a R$104.3 million after-tax loss in OCI from hedges.
Sabesp reported strong quarterly results, with consolidated EPS of R$3.12 versus R$1.77 a year earlier, driven by higher tariffs, increased billed volume and lower operating costs. Net income rose to R$2,136 million (up 76.6%), EBITDA reached R$3,890 million (up 29.4%), and operating improvements included reductions in general and administrative expenses and a leaner workforce.
The company accelerated investments to R$3.6 billion in the quarter (R$6.45 billion YTD), added 161,000 connections versus 2Q24 and reported expanded access since privatization (over 1.3 million people with water access and 1.4 million with sewage treatment). Cash at period end was R$4,561 million and operating free cash flow was R$4,142,674 (R$ '000), while total assets increased to R$88,719,931 and total liabilities were R$48,275,810.