Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp (NYSE:SBS) Issues Quarterly Earnings Results, Beats Expectations By $0.06 EPS

Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp (NYSE:SBS) released its earnings results on Tuesday. The utilities provider reported $0.51 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.45 by $0.06, reports. The firm had revenue of $1.08 billion for the quarter, compared to analyst estimates of $1.08 billion. Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp had a return on equity of 16.08% and a net margin of 22.32%.

Here are the key takeaways from Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp’s conference call:

• Adjusted EBITDA
• BRL 15.2 billion CapEx in 2025 (more than double 2024) accelerated universalization—millions of people gained water/sewage access and targets for 2025 were met early, with a large project backlog and 38 projects slated for 2026.
• Balance-sheet liquidity and funding remain strong: gross debt BRL 40 billion (net BRL 28 billion), net-debt/adjusted-EBITDA ~2.2x, BRL 12 billion cash covering >3 years of amortizations, and a long weighted-average debt maturity (~5.6 years).
• Reported results include several one-offs and accounting adjustments (e.g., BRL 370 million tax gains, BRL 60 million logistics restructure, financial-asset bifurcation) that management excludes from “adjusted” figures, so underlying recurring performance may be less robust than headline adjusted metrics suggest.
• Key execution and regulatory risks remain: the updated, inflation-adjusted CapEx plan is still under discussion with the regulator, a small portion of injunctions/discount disputes (BRL 50–100 million) remain unresolved, and the MIE acquisition/tender process carries timing and approval uncertainty.

Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp Stock Performance

Shares of NYSE SBS traded down $0.15 during trading hours on Wednesday, reaching $28.61. The stock had a trading volume of 141,814 shares, compared to its average volume of 1,368,837. The company has a market cap of $20.13 billion, a price-to-earnings ratio of 15.81, a PEG ratio of 5.43 and a beta of 0.78. Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp has a twelve month low of $16.52 and a twelve month high of $30.63. The business’s fifty day moving average is $27.33 and its two-hundred day moving average is $25.54. The company has a debt-to-equity ratio of 0.68, a current ratio of 1.17 and a quick ratio of 1.17.

Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp Announces Dividend

The company also recently disclosed a special dividend, which will be paid on Monday, May 11th. Stockholders of record on Monday, December 29th will be given a dividend of $0.4772 per share. The ex-dividend date is Monday, December 29th. Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp’s payout ratio is currently 40.33%.

Analysts Set New Price Targets

Several equities research analysts have recently weighed in on SBS shares. Weiss Ratings reissued a “buy (b)” rating on shares of Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp in a research report on Wednesday, January 21st. Zacks Research raised shares of Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, March 11th. One research analyst has rated the stock with a Strong Buy rating and one has given a Buy rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Strong Buy”.

Hedge Funds Weigh In On Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Bank of America Corp DE lifted its stake in Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp by 54.9% during the second quarter. Bank of America Corp DE now owns 3,152,070 shares of the utilities provider’s stock worth $69,251,000 after purchasing an additional 1,116,681 shares during the period. Mackenzie Financial Corp grew its stake in shares of Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp by 2.3% in the 4th quarter. Mackenzie Financial Corp now owns 2,161,328 shares of the utilities provider’s stock valued at $52,072,000 after purchasing an additional 48,214 shares during the period. Wellington Management Group LLP raised its holdings in shares of Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp by 61.9% in the 4th quarter. Wellington Management Group LLP now owns 1,785,307 shares of the utilities provider’s stock worth $42,580,000 after buying an additional 682,699 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC bought a new position in shares of Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp during the 4th quarter worth approximately $37,053,000. Finally, First Trust Advisors LP boosted its stake in Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp by 4.1% in the 4th quarter. First Trust Advisors LP now owns 1,138,971 shares of the utilities provider’s stock valued at $27,164,000 after buying an additional 45,229 shares in the last quarter. 10.62% of the stock is owned by institutional investors.

Companhia de saneamento Basico Do Estado De Sao Paulo – Sabesp Company Profile

Companhia de Saneamento Básico do Estado de São Paulo (SABESP) is a Brazilian utility that provides water supply and wastewater collection and treatment services. As the principal sanitation company serving the state of São Paulo, SABESP operates a wide range of infrastructure spanning water capture, treatment plants, distribution networks and sewage systems. The company’s activities support residential, commercial and industrial customers and are focused on delivering potable water, ensuring water quality and expanding access to sanitation services.

SABESP’s service offering includes the operation and maintenance of water treatment and sewage treatment facilities, network expansion and rehabilitation, meter reading and billing, customer service and environmental programs aimed at improving sewage treatment rates and protecting water resources.

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