Business Context and Reporting Period
Company: Companhia de Saneamento Básico do Estado de São Paulo - SABESP
Filing Type: Form 6-K (Report of Foreign Issuer)
Date of Filing: August 19, 2004
Reporting Period: This filing is a relevant notice regarding a tariff adjustment effective August 29, 2004. It does not cover a standard quarterly or annual financial reporting period but references cost and revenue data accumulated between July 2003 and June 2004 for calculation purposes.
Key Financial Metrics
This filing does not report specific revenue, profit, cash flow, margin, debt, or liquidity figures for the company. The document focuses exclusively on the methodology and result of a regulatory tariff adjustment.
Tariff Adjustment: 6.78% increase in water supply and sewage collection service tariffs.
Effective Date: August 29, 2004.
Material Changes
The primary material change disclosed is the regulatory approval of a 6.78% tariff increase. This adjustment is calculated based on:
- Amount A: Costs and expenses (electric power, treatment supplies, taxes, etc.) accumulated between July 2003 and June 2004, adjusted by the variation of the ratio of these costs to billed volume compared to the prior year.
- Amount B: The difference between Gross Operating Revenues and Amount A for the same period, adjusted by the IPCA (Brazilian Wide Ranging Consumer Price Index) accumulated between August 2003 and July 2004.
Guidance, Outlook, and Risks
Management Commentary: The filing states that further details on the application of the adjustment will be available on the company's website and the São Paulo State Official Gazette. It directs investors to official financial statements (DFP and ITR) for the underlying data used in calculations.
Forward-Looking Statements: The document includes a standard disclaimer that statements regarding future economic circumstances, industry conditions, and company performance are based on management's current estimates. There is no guarantee that expected events or results will occur.
Risks: Actual results may differ materially from expectations due to changes in general economic and market conditions, industry conditions, and operating factors.
Investor Verification Checklist
- Verify the implementation of the 6.78% tariff increase on customer bills effective August 29, 2004.
- Review the company's official website (www.sabesp.com.br) for detailed application data of the adjustment.
- Consult the São Paulo State Official Gazette for the formal publication of the adjustment.
- Examine the most recent DFP (Standard Financial Statements) and ITR (Quarterly Financial Statements) to validate the cost and revenue data used in the tariff formula.
- Monitor future filings for the actual financial impact of this tariff adjustment on revenue and operating margins.