By Brazil Stock Guide – Companhia de Saneamento de Minas Gerais (COPASA MG, B3: CSMG3) posted a 2% decline in net income for the third quarter of 2025, reaching R$360.8 million, even as net revenue grew 3.4% to R$1.84 billion. EBITDA remained steady at R$726.9 million, with a margin of 39.3%, reflecting disciplined cost management and the tariff adjustment applied by regulator Arsae-MG in January.
Measured water volume fell 1.7% due to milder weather and a shorter billing cycle. Still, COPASA showed operational efficiency: water losses dropped from 38.4% to 37.3%, and the workforce was reduced by 2%, to 9,473 employees.
Net debt reached R$6.06 billion, bringing leverage to 2.1x EBITDA, well within statutory limits. Fitch upgraded the company’s rating to AAA(bra) in April, and Moody’s reaffirmed AAA.br in July, both with a stable outlook. COPASA also upheld a strong payout policy, distributing R$514.6 million in dividends and interest on equity during the first nine months of 2025.
Investments totaled R$2 billion from January to September, up 26% year over year, reinforcing COPASA’s commitment to universal sanitation coverage by 2033. The company already serves over 99% of the population with water and 78.4% with sewage treatment, outperforming Brazil’s national averages of 92.1% and 61.6%, respectively.
Leave a Reply