General Assembly approves the 2020 consolidated accounts

The General Assembly of Shareholders of AdP - Águas de Portugal, SGPS, S.A. today approved the report and consolidated accounts for the 2020 financial year.

The good economic performance registered over the course of the year reflects in a series of positive results, whether the growth in business turnover that reached EUR 715.3 million, up 3.4% on 2019. EBITDA, adjusted to the cost recovery surplus, also put on 2.3% to attain EUR 374.1 million.

This also highlights favourable progress in the operating efficiency indicators as well as the recording of a EUR 55.4 million tariff surplus that enabled a reduction in the accumulated amount of the cost recovery deviation for the third year in a row by the AdP Group.

The net result minus this tariff surplus came in at EUR 78.6 million, a year-on-year slide of 5.5% due to the impact of the pandemic and the cut in the market reference (Portuguese state 10-year treasury bonds) set for shareholder remunerations for the multi-municipal system management entities.

The net debt, which corresponds to around a third of the sources of funding, fell back 9% and already corresponds to the EBITDA due for generation in the next four years. This indicator of financial robustness is especially relevant in a capital intensive industry with relatively stable economic profiles and long timeframes established for the respective concessions.

José Furtado, Chair of the Board of Directors highlighted how “the robustness of the Group endows great operational stability upon participated companies, the capacity to advance with their investment plans and future sustainability in obtaining their public service missions.”

The Group leader also highlight how the environmental sector was the scene for the greatest of transformations sweeping the economic and society. “A new level of standards is demanded of us: Do more, achieve more, with fewer resources, in the management of water and the preservation of nature. We incorporated these challenges into our Strategic Framework of Commitment”.

In 2020, the AdP Group publicly presented the Strategic Framework of Commitment for the decade to come and that features a set of challenges and commitments within the scope of raising the levels of demand and quality and adding social utility to the management of the urban water cycle, especially focusing on excellence in client service, the valuation of its human capital, innovation, resilience, carbon neutrality and the circular economy.

“In the tough circumstances of the pandemic, the operators of our water supply and wastewater sanitation system ensured their tasks safely and reliably providing an essential service to life of renewed importance in the struggle for public health. It is time to pay them their due recognition”, emphasised the President of the AdP Group.

11 of May of 2021