Slides
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Highlights 1) Dividend Yield: dividends from 2024 divided by the closing price in December 2024 (R$20.82). 641 million Adjusted EBITDA in 4Q24 (36.0%) and 2.8 billion in 2024 (39.7%) 480 million in operational cash generation in 4Q24 and 2.1 bilhões in 2024 The highest CAPEX in history: 2.2 billion (+33.2% vs. 2023) 2.92% default rate at the end of 2024, the lowest value in the historical series. 906 million in dividends distributed in 2024. Dividend Yield of 11.5%¹ 38.1% losses in December 2024, a reduction of 0.5 percent points compared to the previous year 3
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Advancing on strategic pillars with a focus on value creation Competitive Management •Redesign of CAPEX Management Model •Organization and people •Advanced data analysis Universalization •Coverage Index: water (> 99%) and sewage (77.3%) •Investment program: 16.9 billions (2025 to 2029) ESG Agenda •Social tariff •Pro-Mananciais program •Engajar para Transformar program •Concessão de subvenções program, included in the tariff in 2024 Customers •Reading and measurement quality •Customer relationship 4
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Adequate capital remuneration with a focus on universalization Key Advances: •Increase of WACC from 7.924% to 9.152% (preliminary value) •Annual recognitions of investments made throughout the cycle •Parital sharing of efficiency gains (under public consultation) 1st PHASE May/24 a Aug/24 2nd PHASE Jul/24 a Jul/25 3rd PHASE Aug/25 a Nov/25 01/01/2026 •Application of methodologies •Final calculations •Result disclosure (11/2025) •Tariff application•Guidelines •Schedule •BAR •WACC •Costs •X-Factor •Annual adjustment methodology •Tariff structure Schedule of the 3rd Tariff 5
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Financial performance: quarterly overview (R$ million) Δ Volume and Mix: -2.0%. In Q4 2023, the volume was driven by the intense heat and longer consumption period Δ Price: adjustment of 4,21% (01.2024) Δ Volume and Mix 1,759 4Q23 1,761 4Q24 +1 / +0.1% Δ Price +36 -35 Net Revenue Personnel: -3.3% - reduction in overtime ( ), reduction in profit sharing ( ), collective labor agreements ( ) Third-Party Services: +34.7% - adjustments and expansion Non-Manageable Costs: +12.2% +77 / +7.8% +24 Non- Admin. Costs 984 4Q23 4Q24 1,061 Personnel -15 Third-Party Services +63 Other Admin. Costs +5 Costs and Expenses (excluding Depreciation) 7
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Financial performance: quarterly overview Adjusted EBITDA Tributes Financial Result Depreciation and Amortization Non-operating result of subsidiaries Net Income 272 (2) (109) (51) (207) – 641 355 (1) (22) (105) (197) (32) 712 4Q23 4Q24 Non-Recurring Items Net IncomeAdjusted EBITDA 641 4Q24 36.0% 712 4Q23 39.8% -10.0% 272 4Q24 355 4Q23 -23.5% • Net revenue for Q424 in line with Q423 • Increase in costs by 7.8% quarter-over-quarter • Financial result for Q424 was affected by increased debt and currency depreciation, with impacts of 59 (R$ million) Reconciliation of Adjusted EBITDA to Net Income 8
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Financial performance: annual overview Δ Volume: +2.5%. Δ Price: adjustment of 4.21% (01.2024) Δ Price +263 Δ Volume and Mix +178 6,968 6,527 2023 2024 +441 / +6.8% Net Revenue Personnel -3 +144 Third- Party Services +62 Other Admin. Costs +111 Non- Admin. Costs +196 / +5.1% 3,816 2023 4,012 2024 Costs and Expenses (excluding Depreciation) Personnel: -0.2% - reduction in the average number of employees ( ), reduction in overtime hours ( ), reduction in profit sharing ( ), collective labor agreements ( ) Third-party services: +20.7% - adjustments and expansion Non-manageable costs: +15.7% (R$ million) 9
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• Increase in net revenue by 6.8% year-over-year • Increase in costs by 4.5% year-over-year • Financial result for 2024 was affected by increased debt and currency depreciation, with impacts of 189 Financial performance: annual overview Reconciliation of Adjusted EBITDA to Net Income 2024 2023 (97) 2 (778) (789) (407) (356) (2) (327) (12) (6) 1.379 1.317 2.676 2.793 Depreciation and Amortization Adjusted EBITDA Tributes Financial Result Non-operating result of subsidiaries Net Income Non-Recurring Items 2,676 2023 40.2% 2,793 2024 39.7% +4.4% 1,379 2023 1,317 2024 -4.5% Adjusted EBITDA Net Income (R$ million) 10
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Consistent Dividends 283 391 638 606 372 3005.9% 6.6% 13.0% 11.5% 2021 2022 2023 2024 Regular Dividends Extraordinary Dividends Dividend Yield Declared Dividends Regular Dividends 2024: 452 paid and 154 (payment date to be determined at the Annual General Meeting) 2025: 50% of Net Income (R$ million) 11
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Record investments focused on universalization, strengthening operations, and increasing the asset base 614 438 366 360 2024202320222021 9M 4Q 2,169 1,628 1,306 1,002 3,8263,726 3,4263,426 2,542 20292028202720262025 Predicted Investment Program Focus of Investments Sewage Treatment Plant Retrofit Water Security Loss Reduction Universalization of Sewage (R$ million) 12
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• Moody’s: AAA.br – stable July/2024 • Fitch: AA+(bra) – positive – June/2024 Amortization schedule compatible with cash generation 666 673 766 852 861 584 390 340 336 215 70 66 294 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 a 2043 35,0% 29,0% 20,2% 13,7% 2,0% IPCA CDI TR TJLP Foreign Currency 3.1 3.8 5.4 1.6 1.5 1.9 12/2022 12/2023 12/2024 Net Debt Net Debt/EBITDA (number of times) Amortization Schedule (R$ million) Leverage and Net Debt (R$ billions) Debt Indexers 10.9% 8.7% 8.4% 12/2022 12/2023 12/2024 Average Coupon Ratings – National Scale 13
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Operational Cash Generation 4Q23 4Q24 Cash Operating Activities Investing Activities Financing Activities Cash 419 480 -426 -536 -202 -173 1,204 843 09/2023 09/2024 995 615 12/2023 12/2024 Quarterly Cash Flow 2023 2024 Cash Operating Activities Investing Activities Financing Activities Cash 1,745 2,057 -1,583 -2,268 -259 -170 1,091 12/2022 99512/2023 995 615 12/2023 12/2024 Annual Cash Flow Operating Activities: net income (-83); monetary and exchange variation (+67); deferred Income and Social Contribution Taxes (+32); VSP and retirement benefits (+59); interest and taxes paid (-21) Investing Activities: contract assets and intangibles (-149) Financing Activities: financing and debenture inflows (-284); IoE and dividends paid (+305) Operating Activities: net income (-62); monetary, exchange, and interest variation (+300); deferred Income and Social Contribution Taxes (-117); reversal of provisions (+282) Investing Activities: contract assets and intangibles (-515) Financing Activities: financing and debenture inflows (+258); debt amortization (+223); IoE and dividends paid (-380) (R$ million) 14
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Operational indicators demonstrate the assertiveness of the actions taken - 0,50 1,00 1,50 2,00 2,50 40.5 40.1 39.4 38.6 38.1 12/2020 12/2021 12/2022 12/2023 12/2024 Distribution Loss Index (%) Delinquency (%) 4.52 3.50 3.22 2.97 2.92 12/2020 12/2021 12/2022 12/2023 12/2024 11,393 10,692 10,185 9,542 9,613 1.55 1.42 1.33 1.23 1.22 12/2020 12/2021 12/2022 12/2023 12/2024 Employees Employees/Thousand Connections Employees • Annual replacement of 20% of water meters • Use of satellite technologies, specific algorithms, and equipment such as ground-penetrating radars, geophones, rods, and cameras in the search for non-visible leaks • Contracting the replacement of 348 km of water networks (BHMA) • Specialized billing • Expansion and structuring of the Commercial Intelligence Center • New judicial collection • Shutdown programs implemented in 2021 and 2023 • Specific shutdowns 15
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DISCLAIMER Any statements made during this presentation referring to COPASA MG business prospects, projections, and operational and financial goals consist of assumptions and expectations of the Company’s Management, based on information currently available. They involve risks and uncertainties, as they refer to future events, and therefore, depend on circumstances that may or may not occur. Changes in the macroeconomic policy, legislation, or other operating factors may affect COPASA MG future performance, leading to results that are materially different from those expressed in such remarks.