Copasa (CSMG3) reported adjusted net income of R$ 339.2 million in the third quarter of 2026 (3Q26), down 6.0% from 3Q25. Unadjusted net income was R$ 335.7 million, a 7.0% decline from R$ 360.8 million in 3Q25. The decline is explained by a worsening net financial result, which went from an expense of R$ 31.9 million to R$ 104.7 million, a 9.7% increase in depreciation and amortization, and higher taxes on income. Taxes (income tax and CSLL) rose 27.7% because the JCP (interest on equity) declared in the quarter was lower: R$ 96.9 million, versus R$ 169.7 million in 3Q25.
Net revenue from water, sewage and solid waste totaled R$ 2.0 billion (R$ 2,032 million), up 9.8%. The increase resulted from the average tariff effect of 6.56%, in effect since January 22, 2026, a 1.1% increase in the measured water volume, to 174.5 million m³, and a 3.6% increase in sewage volume, to 123.8 million m³.
Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) was R$ 828.4 million, up 14.0%, with a margin of 40.8%, an increase of 1.5 percentage points from 39.3% a year earlier. Unadjusted EBITDA came in at R$ 823.3 million, with a margin of 40.5%. The adjustment accounts for a non-recurring expense of R$ 5.1 million for D&O insurance related to the public share offering. Among costs, third-party services rose 13.6% and the allowance for doubtful accounts (PECLD) increased 58.1%, while electricity fell 7.1%. The distribution loss rate fell to 34.9%, from 37.3% in September 2025.
Gross debt reached R$ 9.37 billion in September 2026, and net debt reached R$ 8.45 billion, versus R$ 6.06 billion a year earlier. Leverage (net debt/EBITDA for the last 12 months) rose from 2.1x to 2.8x. Cash was R$ 771 million, the average debt maturity is 4.8 years and the average cost is 13.2% per year. Investment (capex) in the year to September 2026 (9M26) was R$ 2.33 billion, up 16.1%. On October 5, 2026, the company completed its 23rd debenture issuance, of R$ 1.2 billion, at DI + 0.34% per year, with a two-year term.
JCP declared in 9M26 totals R$ 417.0 million, or R$ 1.0999058552 per share. The 3Q26 JCP is R$ 96.9 million (R$ 0.2556463313 per share), with an ex-dividend date of September 21 and payment on November 9, 2026. The earnings conference call will be held on November 10, at 11 a.m.
