SAO PAULO, Brazil, March 24 /PRNewswire-FirstCall/ -- SABESP - Cia. de Saneamento Basico do Estado de Sao Paulo - (Bovespa: SBSP3) , the largest water and sewage utility company in the Americas and the third largest in the world, according to its number of customers, today announces its results for the fourth quarter 2005 (4Q05) and fiscal year of 2005.
Highlights:
-- EBITDA margin recovery
-- Increase in net income
-- Increase in billed water and sewage volume
-- Gross operating revenue growth
EBITDA in 2005 totaled R$ 2,285.6 million, R$ 359.1 million more than in 2004, thanks to expressive growth in revenues versus costs.
Despite the substantial increase (64.2%) in COFINS/PASEP expenses, due to changes in the duty's rate and calculation basis as of September 2004, annual net income jumped by 68.7% from R$ 513.0 million, in 2004, to R$ 865.6 million. Part of this increase was due to the 11.8% appreciation of the Real in 2005, versus 8.1% the year before, but the hefty 66.2% rise in net income from operating results greatly contributed to this outcome.
ROE (return on equity) increased from 6.5% to 10.2%, while ROA (return on assets) climbed from 7.9% to 9.7%.
4Q05 EBITDA stood at R$ 618.2 million, 35.4% up year-on-year, while the corresponding EBITDA margin increased from 38.6% to 46.1%.
Full press release can be accessed in the Company's website.
Conference Calls and Webcast
English: Wednesday, April 5, 2006
11 a.m. - US EST
Phone: +1 (973) 935-8599
Conference ID code: 7161144
Portuguese: Wednesday, April 5, 2006
9 a.m. - US EST
Phone: 5511 2101-1490
Conference ID: SABESP
Webcast: http://www.sabesp.com.br/
