Companhia de Saneamento do Paraná - SANEPAR (SAPR4) Q4 2024 earnings summary

Executive summary

• Net revenue reached BRL 6.85 billion in 2024, up 8.8% year-over-year, with net profit at BRL 1.55 billion, a 2.8% increase, and EBITDA at BRL 2.94 billion, margin 42.9%.

• 4Q24 net profit was BRL 412.9 million, up 13.2% YoY, with net revenue up 4.7% and stable EBITDA margin at 42.8%.

• Maintained 100% water service and 81.4% sewage coverage, progressing toward universalization targets.

• Received ANEFAC Transparency Award, ODS 6 Champions Award, and international recognition for ESG and sector leadership.

• Investments totaled BRL 1.91 billion, focused on water and sewage infrastructure expansion.

Financial highlights

• 2024 net revenue: BRL 6.85 billion (+8.8% YoY); 4Q24: BRL 1.77 billion (+4.7% YoY).

• EBITDA: BRL 2.94 billion (+3.9% YoY), margin 42.9%; 4Q24 EBITDA: BRL 759.8 million (+5.2% YoY), margin 42.8%.

• Net profit: BRL 1.55 billion (+2.8% YoY), margin 22.6%; 4Q24: BRL 412.9 million (+13.2% YoY), margin 23.2%.

• Operating cash flow: BRL 2.8 billion (+16.5% YoY); EBITDA-to-cash conversion rate: 94.5%.

• Net debt: BRL 4.83 billion; net debt/EBITDA: 1.6x; gross debt: BRL 6.63 billion.

Outlook and guidance

• Strategic plan targets universalization of sewage before 2032/2033, supported by PPPs and BRL 11.8 billion in investments through 2029.

• Focus on innovation, operational efficiency, and expansion into new markets post-2025.

• Monitoring regulatory developments, including the third tariff revision expected by May 2025.

• Social Tariff implementation process initiated in compliance with new federal law.