Copasa studies paying extraordinary dividends – Capitalist

The Copasa Board of Directors (CSMG3) approved, in a meeting held on the 25th, the forwarding to the extraordinary general meeting (AGE), scheduled for April 26th, of a proposal for the distribution of extraordinary dividends in the amount of R$ 300 million .

This distribution of dividends is part of the proposal to adjust the surplus of the profit reserve in relation to the company’s share capital, referring to the year 2023. In addition, the board will also request the AGE to decide on the payment of R$ 203.4 million in the company’s share capital, without the issuance of new shares.

The company obtained a net profit of R$355.2 million in the fourth quarter of 2023, marking an increase of 32.4% compared to the same period in 2022, when it recorded R$268.2 million.

Copasa

This significant growth in profit is directly linked to the increase in net revenue, which increased by 26.7%, reaching a total of R$1.75 billion. This increase is mainly attributed to the 15.7% tariff adjustment, implemented in January 2023, and the increase in service volumes.

As for costs and expenses, administrative costs increased by 12.5% ​​throughout the year, totaling R$809.9 million. Highlights include higher personnel expenses, which grew 10.6% to R$436.6 million, and outsourced expenses, which rose 14.9% to R$181.9 million. Copasa attributes part of this increase to collective agreements made in the previous year and the increase in maintenance services for goods and systems.

On the other hand, non-administrative costs increased by 29.2%, reaching R$192.8 million. Of note is a 36.4% increase in electricity costs due to a supplier adjustment, and a 6.6% increase in capital costs, totaling R$196.5 million.

4TRI23

Adjusted Ebitda, which excludes extraordinary and non-recurring items, such as Compensation for Contract Default and reversal of the provision for the Labor Process, reached R$712.2 million, representing an increase of 34.3% in the year.

The company

Copasa, founded in 1963, is a Brazilian state-owned company responsible for supplying water and basic sanitation services in Minas Gerais.