Companhia de Saneamento Básico do Estado de São Paulo - SABESP (NYSE:SBS) Q4 2023 Earnings Conference Call March 22, 2024 10:00 AM ET Company Participants Luiz Roberto Tiberio - Investor Relations Superintendent André Salcedo - Chief Executive Officer Catia Pereira - Chief Financial Officer & Investor Relations Officer Luiz Roberto Tiberio Good morning, everyone, and welcome to SABESP Conference Call to discuss the Earnings of the Fourth Quarter of 2023. My name is Luiz Roberto Tiberio. I am Investor Relati ...

Financial Performance - Sabesp's revenue increased by 16.1% in 2023[30] - Sabesp's revenue increased from R$17.192 billion in 2022 to R$19.968 billion in 2023, a R$2.776 billion increase[53] - Net income increased from R$3.121 billion in 2022 to R$3.524 billion in 2023[53] - EBITDA increased by 21.9%[43] - Revenue from sanitation services per billed volume increased from R$2.0 in 2022 to R$2.0 in 4Q23[44] Operational Performance - Total water volume billed increased by 4.3% in 4Q[48] - Total sewage volume billed increased by 4.9% in 4Q[65] - Water CAPEX invested R$ 2.7 billion in 2023[11] - Sewage CAPEX invested R$ 3.6 billion in 2023[11] Costs and Expenses - Costs and expenses decreased by 4.7% from R$3.431 billion in 4Q22 to R$3.271 billion in 4Q23[56] - Personnel expenses increased by 7.4%[79] - Municipal fees decreased by 46.2%[75] Indebtedness - Net Debt / Adjusted EBITDA is 1.7 in 4Q23[62]

Company Participants Luiz Roberto Tiberio We would like to clarify that statements that may be made during this call regarding the business prospects of the Company projections and operating and financial goals are based on assumptions based on the beliefs of the Company's management, as well as on information currently available to the Company. They do not constitute any recommendation for investments. Forward-looking statements are not guarantee of performance. They involve risks and assumptions and uncer ...

DISCLAIMER Conference 3Q23 2 Efficiency and Integration • IDP (15%): adhesion completed, lay off schedule until by June/2024 Business Optimization • Energy: self-production project scheduled for the end of 2026 (RFP to be launched this year) • New Business and Expansion: Olímpia • Regular agenda with ARSESP aiming to close the Regulatory GAP • Submission and detailing of the Commercial Programs t ( NEXT STEPS FOR SABESP'S PRIVATIZATION Jun/23 Jul/23 Aug/23 Sep/23 Oct/23 Nov/23 Dec/23 Jan/24 Feb/24 Mar/24 Ap ...

Luiz Roberto Tiberio I would like to clarify that statements that may be made during this call related to business prospects of the company, financial goals, forecast based on premises of the Board of SABESP and information currently available to the company and they are not recommendations for investment. Forward-looking statements are not guaranteed because they involve risks, uncertainties and premises, because they refer to future events and therefore, they depend on circumstances that may occur or not. ...

Conference 2Q23 lട sabesp Economic-Financial and Investor Relations Office August 11 Conference 2Q23 2 QUARTER HIGHLIGHTS EBITDA Margin* | --- | --- | |--------------------------------------------------------------------------------------------|----------------------------------------------| | | | | IPD - Incentivized Dismissal Program: | New Director - Clients: | | Target audience of retired and retiring employees | on Customers as a company strategy | | One more stage of Sabesp's restructuring focused on ...

SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F. FORM 6-K REPORT OF FOREIGN ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 OF THE SECURITIES EXCHANGE ACT OF 1934 For May, 2023 (Commission File No. 1-31317) Companhia de Saneamento Básico do Estado de São Paulo - SABESP (Exact name of registrant as specified in its charter) Basic Sanitation Company of the State of Sao Paulo - SABESP (Translatio ...

This transformation will be strongly positive for society, for everyone who is involved in this process, and especially for our employees. The amount of opportunities we will gain with this expansion is unparalleled in So that's it. I'd like to congratulate the team. We will deliver more and more. Congratulations to all company employees and outsourced employees, third parties as well. This is a very enriching journey. We have the potential to transform the Brazilian sanitation sector. Thank you. Andre Salc ...

SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 FORM 6-K For April, 2023 (Commission File No. 1-31317) Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F. Companhia de Saneamento Básico do Estado de São Paulo - SABESP (Exact name of registrant as specified in its charter) Form 20-F ___X___ Form 40-F ______ Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1)__. Indica ...

Operations and Revenue - As of December 31, 2022, the company operated water and sewage systems in 375 municipalities, covering 58% of all municipalities in São Paulo state [562]. - The São Paulo metropolitan region accounted for 71.5% of the company's operating revenue in 2022, with a total population of approximately 21.4 million [563]. - Net operating revenue for 2022 was R$22,055.7 million, a 8.0% increase from R$19,491.1 million in 2021 [621]. - Net operating revenue for the year ended December 31, 2022 increased by R$2,564.6 million, or 13.2%, to R$22,055.7 million from R$19,491.1 million for the same period in 2021 [622]. Financial Performance - Profit for the year reached R$3,121.3 million in 2022, a 35.4% increase compared to R$2,305.9 million in 2021 [621]. - Gross profit margin improved to 34.9% in 2022 from 34.3% in 2021, despite operating costs rising to R$14,350.9 million [621]. - Financial result improved significantly, with net financial expenses decreasing to R$372.4 million in 2022 from R$927.4 million in 2021 [621]. - Profit before income tax and social contribution increased by R$1,102.6 million to R$4,272.8 million, with a profit margin of 19.4% compared to 16.3% in 2021 [637]. Expenses and Provisions - The company's allowance for doubtful accounts increased by 21.5% for the year ended December 31, 2022, compared to the same period in 2021 [570]. - Allowance for doubtful accounts increased to R$782.1 million in 2022, representing 3.5% of net operating revenue, up from 3.3% in 2021 [598][621]. - Administrative expenses rose by R$274.4 million, or 24.4%, to R$1,398.5 million, reflecting increased operational costs [629]. - Income tax and social contribution expense increased by R$287.2 million, or 33.2%, to R$1,151.5 million, driven by higher profits [638]. Debt and Financing - The company had total foreign currency-denominated indebtedness of R$2,775.8 million as of December 31, 2022 [583]. - Total financial indebtedness increased by 7.0%, from R$17,723.8 million as of December 31, 2021, to R$18,958.7 million as of December 31, 2022 [652]. - Long-term indebtedness outstanding as of December 31, 2022, was R$16,712.7 million, with R$2,463.2 million in foreign currency-denominated long-term debt [653]. - The company has outstanding domestic debt of R$16,182.9 million as of December 31, 2022, primarily consisting of real-denominated loans from federal and state-owned banks and debentures [659]. Investments and Capital Expenditure - The company’s capital expenditure program is focused on expanding water and sewage systems in the São Paulo metropolitan region to meet demand [563]. - The company has budgeted investments of approximately R$26.2 billion from 2023 through 2027 for improving and expanding water and sewage systems [701]. - In 2022, the company allocated R$36.5 million to research, development, and innovation projects [706]. Risk Management - Approximately 14.6% of the company's debt obligations, or R$2,775.8 million, were denominated in foreign currencies as of December 31, 2022, exposing the company to exchange rate risks [1005]. - The company estimates potential losses of R$277.6 million from a hypothetical 10% unfavorable change in exchange rates as of December 31, 2022 [1006]. - The company could face a potential loss of R$1,895.9 million from a hypothetical 1000 basis points change in interest rates as of December 31, 2022 [1014]. Research and Development - The company is involved in multiple RD&I projects focused on circular economy principles, enhancing resource recovery in water and sewage treatment processes [710]. - The partnership with FAPESP resulted in a non-refundable financing of R$50 million, equally divided between the company and FAPESP, leading to 17 research projects and 7 national patent applications [719]. - The Pinheiros River Oxygenation System project is in its first year of operation, showing satisfactory results in increasing oxygen concentration in the river [721]. Compliance and Ratings - As of December 31, 2022, the company met all financial covenants for its loans and financing agreements [684]. - The company’s S&P domestic rating was brAAA, and the global rating was BB- as of December 31, 2022 [653].