Companhia de Saneamento do Paraná - SANEPAR (SAPR4) Q4 2025 earnings summary

Executive summary

• Achieved 82.4% universalization, progressing toward 100% by 2029, with significant expansion in water and sewage connections, serving nearly 12 million people.

• Net revenue for 2025 reached BRL 7.206 billion, up 5.2% year-over-year, with EBITDA at BRL 2.937 billion, up 3.9% from 2024.

• Net profit increased 34.6% year-over-year to BRL 2.08 billion in 2025.

• Record investments of BRL 2.7 billion in 2025, a 38.8% increase over 2024, mainly in sewage infrastructure.

• Recognized for transparency and ESG impact, receiving the 2025 Transparency Award and state honors.

Financial highlights

• Net revenue increased 6.5% in Q4 2025 year-over-year and 5.2% for the full year, reaching BRL 7.206 billion.

• Net profit rose 34.6% to BRL 2.08 billion; EBITDA margin at 41.1%, slightly down 1.8% from 2024.

• Cost and expenses increased 8.4% to BRL 4.242 billion, with personnel costs up 12.7% due to labor indemnifications and provisions.

• Electricity and chemical costs decreased by 7.4% and 15% respectively, while third-party services rose due to PPPs and maintenance.

• Net margin improved to 28.9% in 2025.

Outlook and guidance

• Projecting BRL 2.6 billion in investments for 2026, with a continued focus on universalization and robust infrastructure expansion.

• Expectation of cost stabilization as effects of voluntary retirement (PDV) and operational efficiencies materialize in 2026 and beyond.

• Awaiting regulatory decisions on tariff adjustments and rates of payment, with clarity expected in the first half of 2026.

• New tariff structure implemented in December 2025, including a Social Tariff with a 50% discount for eligible customers.

• Ongoing regulatory reviews and public consultations may impact future tariff methodologies.