Companhia de Saneamento Básico do Estado de São Paulo - SABESP (SBSP3) Earnings Call Transcripts

Companhia de Saneamento Básico do Estado de São Paulo - SABESP's Latest Earnings Call - Q1 FY2026

In the first quarter of 2026, Companhia de Saneamento Básico do Estado de São Paulo (SABESP) reported adjusted net revenue of BRL 6 billion, reflecting an 11% year-over-year increase, while adjusted net income rose 32% to BRL 1.5 billion. The company achieved an impressive adjusted EBITDA margin of 62.9%, driven by operational efficiencies and a disciplined cost control strategy. Management maintained a strong CapEx trajectory, with investments reaching BRL 3.8 billion, up 31% year-over-year, signaling confidence in their universalization agenda and infrastructure projects. Guidance for future quarters remains optimistic, with a focus on regulatory compliance and continued investment in operational improvements.

Reported metrics

Guidance from management

Management maintained an optimistic outlook, emphasizing their commitment to achieving universal access targets and regulatory compliance. They expect continued CapEx growth and operational improvements throughout 2026.

What management said

I can take it, Daniel can also comment if you want. But I think there's small seasonality. At the end of the day, there's a big push given how regulation works to have everything ready for the regulatory discussion by end of the year. So the fourth quarter is our peak and usually the first quarter is where from a seasonality standpoint, a little bit lower. I think nothing that concerns us. This has basically 2 things...

I just wanted to add something here, Carlos Piani. We also had the cutover for SAP. We had to cut the month a little bit earlier in March. So we didn't have the typical days that we take at the end of every month to go through the unitization process. So this is going to be picked up in Q2, okay?

What analysts pressed on

Analysts expressed concerns regarding the impact of higher electricity and material expenses, particularly in relation to the company's hydrological situation. There were also questions about the potential revenue loss from social tariff benefits and the implications of regulatory changes on future earnings.

Main topics on the call

• Revenue Growth — SABESP's adjusted net revenue increased by 11% year-over-year to BRL 6 billion, driven primarily by a 12% price contribution from tariff adjustments. Management noted, "This reflects the last tariff increase implemented ...
• EBITDA Margin Expansion — Adjusted EBITDA grew 26% year-over-year to BRL 3.8 billion, resulting in a margin of 62.9%. This significant margin expansion was attributed to higher revenue and effective cost management, with management stating, "This...
• CapEx Increase — CapEx reached BRL 3.8 billion in Q1 2026, a 31% increase year-over-year, indicating strong execution capacity. Management emphasized, "This strong start to the year puts us well on track to achieve our ambitious plan."
• Customer Base Stability — SABESP's active customer base remained stable at approximately 9.5 million water and 8.2 million sewage connections. Management highlighted that excluding revenue assurance actions, water connections would have remained ...

Read the full Companhia de Saneamento Básico do Estado de São Paulo - SABESP transcript (Q1 FY2026) → Summary generated from the call transcript; every figure above is stated by management on the record.

Earnings Call History

EarningsCalls.dev has 26 Companhia de Saneamento Básico do Estado de São Paulo - SABESP earnings call transcripts on record, spanning March 31, 2020 to May 8, 2026. Based on this history, Companhia de Saneamento Básico do Estado de São Paulo - SABESP reports quarterly. The most recent call on file is dated May 8, 2026. The full list is below — each row opens the complete, free-to-read transcript.

Ticker

SBSP3

Exchange

BOVESPA

Country

BR

Sector

Utilities

Industry

Water Utilities

Calls on record

26

First call

March 31, 2020

Most recent

May 8, 2026

Reporting cadence

quarterly