Companhia de Saneamento do Paraná - SANEPAR (SAPR4) Q1 2026 earnings summary

Executive summary

• Net operating revenue rose 7.8% year-over-year to BRL 1,946.4 million in Q1 2026, driven by tariff adjustments and increased water and sewage volumes.

• Net profit dropped 70.8% year-over-year to BRL 352.7 million, mainly due to non-recurring tax recovery effects in 1Q25.

• EBITDA reached BRL 843.5 million, down 24.4% year-over-year, with margin at 43.3%.

• Net debt decreased 59.6% year-over-year to BRL 1,921 million, reflecting receipt of precatórios.

• Water and sewage invoiced volumes increased by 1.2% and 2.4% year-over-year, respectively.

Financial highlights

• Net operating revenue: BRL 1,946.4 million (+7.8% YoY); EBITDA: BRL 843.5 million (-24.4% YoY); EBITDA margin: 43.3%.

• Net profit: BRL 352.7 million (-70.8% YoY); net margin: 18.1%.

• CapEx increased 20.8% to BRL 588.1 million, supporting expansion and universalization.

• Default rate improved to 2.5% from 2.8% year-over-year.

• Personnel expenses fell 46.3% due to prior year voluntary severance program.

Outlook and guidance

• Tariff readjustment of 2.4993% approved for 2026, effective May 17, 2026.

• Universalization targets for water (100%) and sewage (82.6%) are on track to meet legal requirements before 2033.

• Investment plan remains robust, with continued focus on expansion and service quality.

• Reservoir levels remain robust, supporting operational continuity.

• Social tariff implemented, offering a 50% discount for eligible customers.