The results for the first quarter of 2018, reported by Aegea today, show an increase of 21.7% in net revenue and 13.5% in EBITDA, which reached R$343.3 million and R$169.3 million, respectively. Among the factors driving this growth were the operational startup of the new concessions Águas de Rolim de Moura, Águas de Teresina and Vila Velha Ambiental, which were mainly responsible for the increase in active households for water and sewage services, and the revenue arising from the Public-Private Partnership (PPP) contracts of Serra Ambiental and Vila Velha Ambiental, which contributed R$10.6 million to the growth in net revenue.

Compared to the same period last year, total households served by Aegea reached 2,188 thousand, an increase of 560 thousand. The number of households supplied with water increased by 38.8% to 1,241 thousand, while the number of households connected to the sewage network grew by 29.1%, or 947 thousand.

In 1Q18, the Company invested R$570.6 million, which is R$43.4 million more than in the same period the previous year. This increase is mainly due to the payment of the concession fee for Águas de Teresina. The balance of short- and long-term cash and financial investments totaled R$980.6 million, while the company’s leverage ratio stood at 3.1x. In addition, between the third and fourth quarters of 2017, the company issued debentures and bonds that enabled it to extend the average maturity of the debt to 6.4 years, from 5.8 years in the same period last year.

Also, during the period, the Company obtained approval from Brazil’s antitrust authority CADE, the country’s development bank BNDES and competent authorities to acquire the shares of Companhia de Saneamento do Norte, which operates water and sewage services in the city of Manaus. It also signed the share purchase agreement for the acquisition of the shares of Sagua – Soluções Ambientais de Guarulhos S.A., which operates sewage services through a PPP agreement in the city of Guarulhos in São Paulo. With the conclusion of both acquisitions, Aegea will operate in 50 cities spread across eleven Brazilian states.