SAO PAULO, May 12, 2011 /PRNewswire/ -- Companhia de Saneamento Basico do Estado de Sao Paulo - SABESP (BM&FBovespa: SBSP3; NYSE: SBS), one of the largest water and sewage services providers in the world based in the number of customers, announces today its results for the first quarter 2011 (1Q11).
In 1Q11, net operating revenue reached R$ 2.3 billion, a 6.1% growth compared to 1Q10. Costs and expenses, including construction costs, in the amount of R$ 1.9 billion grew 27.2% versus 1Q10. EBITDA was R$ 837.8 million in 1Q10 and R$ 654.3 million in 1Q11, a decrease of 21.9%. EBITDA margin in 1Q11 was 28.5% and 38.7% in the same period of 2010.
1Q11 results were particularly affected by the accounting record of R$ 230.9 million, related to the following factors:
- Complementation of the actuarial liability related to the retirement and pension plan supplementary benefits granted by State Law nº 4819/58 (G0 Plan) totaling R$157.5 million with effect in January 1, 2011; and
- Amortization term adjustment of the intangible asset, between the asset's useful life and the contract effectiveness, whichever is the shortest one, totaling R$ 73.4 million.
Excluding the effect of complementation of the actuarial liability, the EBITDA would increase from R$ 654.3 million to R$ 811.8 million and margin would rise from 28.5% to 35.4%.Excluding both effects mentioned above, the net income would increase from R$ 182.8 million to R$ 388.8 million. The complete version of the release is available at the Company's website: www.sabesp.com.br Conference call – May 13, 2011 in Portuguese 01:00 pm (US EST)Dial-in access: 55 (11) 3127-4971Conference ID: Sabesp in English 03:00 pm (US EST)Dial-in access: 1(412) 317-6776Conference ID: Sabesp Live webcast at: www.sabesp.com.br IR Contacts: Mario Arruda Sampaio: (55 11) 3388-8664 ( firstname.lastname@example.org ) Angela Beatriz Airoldi: (55 11) 3388-8793 ( email@example.com ) SOURCE SABESP