Afya Ltd (AFYA)

Afya Limited (the "Company") Notice of Annual General Meeting of the CompanyJune 2, 2026 5:56 PM
Business Wire Notice is hereby given that an Annual General Meeting of the Company (the "AGM") will be held at the offices of Afya Participações S.A., Rua Paraíba, No. 330, 17th Floor, Bairro Funcionários, Belo Horizonte, Minas Gerais, 30130-917, Brazil, and virtually by accessing the following link https://edge.media-server.com/mmc/p/ej9nfse2 (password: afya2026), on the 22nd day of June 2026 at 10:00 a.m. BRT, for the purpose of considering and, if thought fit, passing and approving the following resolution: "As an ordinary resolution, that the Company's financial statements and the auditor's report for the fiscal year ended December 31, 2025 be approved and ratified." The AGM will also serve as an opportunity for shareholders to discuss Company affairs with management. Shareholders may participate in the AGM virtually by accessing the following link https://edge.media-server.com/mmc/p/ej9nfse2 (password: afya2026). Participation by a shareholder in the AGM in this manner shall be treated as presence in person at the AGM and such shareholder shall be counted in a quorum and entitled to vote in accordance with Article 18.3 of the Articles of Association of the Company. The Board of Directors of the Company (the "Board") has fixed the close of business, BRT, on May 15, 2026, BRT, as the record date (the “Record Date”) for determining the shareholders of the Company entitled to receive notice of the AGM or any adjournment thereof. The holders of record of the Class A common shares, Class A restricted shares and the Class B common shares of the Company as at the close of business, BRT, on the Record Date are entitled to receive notice of and attend the AGM and any adjournment thereof. The Company’s 2025 Financial Statements for the fiscal year ended December 31, 2025 was filed with the U.S. Securities and Exchange Commission on March 31, 2026 (the “Financial Statements”). Shareholders may obtain a copy of the Financial Statements, free of charge, from the Company’s website at https://ir.afya.com.br or by contacting the Company’s Investor Relations Department by email at ir@afya.com.br. The Board recommends that shareholders of the Company vote “FOR” the resolution at the AGM. Your vote is very important to the Company. Whether or not you plan to attend the AGM, please promptly complete, date, sign and return the proxy card attached to this Notice. By order of the Board /s/ Kay Kraft__________________
Kay Kraft
Director
June 2, 2026 Registered Office:
c/o Maples Corporate Services Limited
PO Box 309, Ugland House
Grand Cayman
KY1-1104
Cayman Islands *A form of proxy has been included with this Notice. NOTES IF YOU HAVE EXECUTED A STANDING PROXY, YOUR STANDING PROXY WILL BE VOTED AS INDICATED IN NOTE 2 BELOW, UNLESS YOU ATTEND THE AGM IN PERSON OR SEND IN A SPECIFIC PROXY. 1  A proxy need not be a shareholder of the Company. A shareholder entitled to attend and vote at the AGM is entitled to appoint one or more proxies to attend and vote in his/her stead.   2 Any standing proxy previously deposited by a shareholder with the Company will be voted in favour of the resolution to be proposed at the AGM unless revoked prior to the AGM or the shareholder attends the AGM in person or executes a specific proxy.   3 A form of proxy for use at the AGM is enclosed.  Whether or not you propose to attend the AGM in person, you are strongly advised to complete and sign the enclosed form of proxy in accordance with the instructions printed on it and then deposit it (together with any power of attorney or other authority under which it is signed or a notarially certified copy of that power or authority) at the offices of Afya Participações S.A., Rua Paraíba, No. 330, 17th Floor, Bairro Funcionários, Belo Horizonte, Minas Gerais, 30130-917, Brazil, or send copies of the foregoing by email to ir@afya.com.br, in each case marked for the attention of Renata Couto, Anibal Sousa and Rodrigo Proença, not later than 11:59 p.m. BRT on June 21, 2026 or on the day prior to the date of an adjourned AGM in accordance with the Amended and Restated Articles of Association of the Company. Returning the completed form of proxy will not preclude you from attending the AGM and voting in person if you so wish.   4 If two or more persons are jointly registered as holders of a share, the vote of the senior person who tenders a vote, whether in person or by proxy, shall be accepted to the exclusion of the votes of other joint holders.  For this purpose seniority shall be determined by the order in which the names stand on the Company's register of shareholders in respect of the relevant shares.   5 A shareholder holding more than one share entitled to attend and vote at the AGM need not cast the votes in respect of such shares in the same way on any resolution and therefore may vote a share or some or all such shares either for or against a resolution and/or abstain from voting a share or some or all of the shares and, subject to the terms of the instrument appointing any proxy, a proxy appointed under one or more instruments may vote a share or some or all of the shares in respect of which he is appointed either for or against a resolution and/or abstain from voting.   6 No business shall be transacted at the AGM unless a quorum is present at the time when the meeting proceeds to business. One or more Members holding not less than one-third in aggregate of the voting power of all Shares in issue and entitled to vote, present in person or by proxy or, if a corporation or other non-natural Person, by its duly authorised representative, shall represent a quorum.   View source version on businesswire.com: https://www.businesswire.com/news/home/20260602448234/en/ Investor Relations Contact:
Afya Limited
ir@afya.com.br Original: Afya Limited (the "Company") Notice of Annual General Meeting of the Company

Afya Limited Announces First-Quarter 2026 Financial ResultsMay 7, 2026 8:42 PM
Business Wire Solid Start to 2026 with Disciplined Execution
Shareholder Value Creation Afya Limited (Nasdaq: AFYA; B3: A2FY34) (“Afya” or the “Company”), the leading medical education group and medical practice solutions provider in Brazil, reported today its financial and operating results for the first quarter and three-month period ended March 31, 2026. Financial results are expressed in Brazilian Reais and are presented in accordance with International Financial Reporting Standards (IFRS).  First Quarter 2026 Highlights 1Q26 Revenue increased 8.2% YoY to R$1,012.7 million. Revenue excluding acquisitions increased 7.7%, reaching R$1,008.4 million. 1Q26 Adjusted EBITDA increased 4.0% YoY, reaching R$511.4 million, with an Adjusted EBITDA Margin of 50.5%. Adjusted EBITDA Margin decreased -200 bps YoY. Adjusted EBITDA excluding acquisitions grew 3.7%, reaching R$510.4 million, with an Adjusted EBITDA Margin of 50.6%. 1Q26 Net Income increased 1.8% YoY, reaching R$261.8 million. Basic EPS growth was 3.0% in the same period. Operating Cash Conversion ratio of 92.5% and a Free Cash Flow of R$376.0 million, with a solid cash position of R$1,332.9 million. Over 304 thousand users in Afya’s ecosystem. Table 1: Financial Highlights         For the three months period ended March 31, (in thousand of R$) 2026   2026 Ex
Acquisitions*   2025   % Chg   % Chg Ex
Acquisitions (a) Revenue 1,012,712   1,008,373   936,360   8.2%   7.7% (b) Adjusted EBITDA 1 511,419   510,352   491,971   4.0%   3.7% (c) = (b)/(a) Adjusted EBITDA Margin 50.5%   50.6%   52.5%   -200 bps   -190 bps Net income 261,763   -   257,036   1.8%   - Basic Earnings per Share - in R$ 2.88   -   2.79   3.0%   - *For the three months period ended March 31, 2026, "2026 Ex Acquisitions" excludes: FUNIC (January to March, 2026; Closing of FUNIC was in May 2025). (1) See more information on "Non-GAAP Financial Measures" (Item 08). Message from Management We begin 2026 with another quarter of solid execution, reflecting the consistency of our operating model and our ability to combine growth and cash generation while continuing to invest in Afya’s long-term strategic priorities. In the first quarter, our performance was once again supported by the strength of our Undergraduate segment, disciplined capital allocation and continued progress in expanding our physician-centric ecosystem. During the quarter, we completed another successful intake cycle across our medical schools, maintaining 100% occupancy and achieving a 4.6% YoY increase in Medical School net average ticket, excluding acquisitions. This performance was supported by the strength of our academic offering, the effectiveness of our unified intake process, and the continued recognition of the Afya brand across Brazil. Revenue growth in the period also benefited from the continued maturation of medical seats and the contribution from recent seat authorization, and the acquisition of FUNIC. Our integrated model remains a key differentiator, helping us attract students and sustain efficient growth across our campuses In Continuing Education and Medical Practice Solutions, we continued to advance the next phase of our strategy during the quarter. Both segments reflected higher investment levels, mainly in SG&A, product development and engagement initiatives. These investments are part of a broader strategic cycle aimed at strengthening Afya’s ecosystem and unlocking scalable long-term monetization. As our audience and engagement expand, we also reinforce our data advantage, improve users' experience, and build stronger foundations for future B2P and B2B opportunities. At the same time, this more integrated ecosystem continues to support a structurally low customer acquisition cost in Undergraduate, reinforcing an important competitive advantage of our business model. In Continuing Education, this progress was reflected in the growth of Graduate Journey students and B2P revenue growth. In Medical Practice Solutions, we highlight the increase in Clinical Management active payers, together with B2B revenue growth Our capital allocation remained disciplined throughout the quarter. We further reduced leverage, reinforcing the quality of our capital structure while advancing our strategic priorities and returning value to shareholders. Consistent with this approach, we continued to execute our share repurchase program authorized in 2025, which provides for the repurchase of up to 4,000,000 Class A common shares through December 31, 2026. Since the launch of the program, we have already repurchased over 50% of the total amount authorized. In addition, in March 2026, our Board of Directors approved a cash dividend of R$307.4 million, equivalent to 40% of Afya’s 2025 consolidated net income, corresponding to a dividend amount of US$0.656489 per share. Taken together, these actions underscore our commitment to prudent capital allocation, shareholder remuneration, and long-term value creation. Looking ahead, we remain focused on executing with consistency, strengthening our ecosystem, and reinforcing Afya’s role as the partner of choice for physicians in Brazil. We believe that our disciplined investment cycle, combined with the strength of our balance sheet, positions us well to deepen engagement across the physician journey, support sustainable growth, and create long-term value for our shareholders. 1. Key Events in the Quarter On February 6, 2026, MEC authorized an increase of 63 medical seats for ITPAC – Instituto Tocantinense Presidente Antonio Carlos Porto S.A. (“Afya Abaetetuba”), located in the city of Abaetetuba, in the state of Pará. With this authorization, Afya’s Abaetetuba campus will offer a total of 113 medical seats. As Afya Cametá—an approved but, non-operating medical school—and Afya Abaetetuba are located within the same health region, Afya Cametá will not become operational, thereby creating the capacity that enabled the approval of 63 additional medical seats at Afya Abaetetuba. With this addition, Afya now has a total of 3,768 approved medical seats across its portfolio. On March 12, 2026, the Company’s Board of Directors approved dividend distribution in the amount of R$307.4 million, representing 40% of the Company’s consolidated net income for the year ended December 31, 2025 and a dividend per share of R$3.446838, paid in U.S. dollars on April 6, 2026, to the shareholders on record as of the close of business on March 25, 2026. The payment was made at the exchange rate (PTAX) published by the Brazilian Central Bank on March 13, 2026. 2. Subsequent Events On May 5, 2026, Moody’s reaffirmed Afya’s credit rating at AAA.br and maintained a stable outlook. The reaffirmation of Afya’s AAA.br rating and stable outlook reflects revenue growth, a track record of above-industry-average margins, very strong credit metrics, exceptional cash generation, and robust liquidity. In addition, Afya’s credit profile reflects a strong competitive position and a predictable financial policy, including proactive liability management and prudent capital allocation, despite its appetite for M&As. 3. 2026 Guidance The Company is reaffirming its 2026 guidance, which assumes the successful acceptance of new students for the first semester of 2026. The guidance for 2026 is defined in the following table: Guidance for 20261 Revenue R$ 3,950 mn ≤ ? ≤ R$ 4,100 mn Adjusted EBITDA R$ 1,700 mn ≤ ? ≤ R$ 1,800 mn CAPEX R$ 340 mn ≤ ? ≤ R$ 380 mn (1) Excludes any acquisition that may be concluded after the issuance of the guidance. 4. 1Q26 Overview Segment Information The Company has three reportable segments as follows: Undergraduate, previously denominated Undergrad, which provides educational services through undergraduate courses related to medical school, undergraduate health science and other ex-health undergraduate programs; Continuing education, which provides medical education (including residency preparation programs, specialization test preparation and other medical capabilities), specialization and graduate courses in medicine, delivered through digital and in-person content; and Medical practice solutions, which provides clinical decision, clinical management and doctor-patient relationships for physicians and provide access, demand and efficiency for the healthcare players. Key Revenue Drivers – Undergraduate Programs Table 2: Key Revenue Drivers Three months period ended March 31, 2026 2025 % Chg Undergraduate Programs MEDICAL SCHOOL Operating Seats 3,768 3,543 6.4 % Total Students (end of period) 26,494 25,879 2.4 % Average Total Students 26,494 25,879 2.4 % Average Total Students (ex-Acquisitions)* 26,352 25,879 1.8 % Revenue (Total - R$ '000) 765,925 714,713 7.2 % Revenue (ex-Acquisitions* - R$ '000) 761,596 714,713 6.6 % Medical School Net Avg. Ticket (ex- Acquisitions* - R$/month) 9,634 9,206 4.6 % UNDERGRADUATE HEALTH SCIENCE Total Students (end of period) 31,088 26,134 19.0 % Average Total Students 31,088 26,134 19.0 % Average Total Students (ex-Acquisitions)* 31,087 26,134 19.0 % Revenue (Total - R$ '000) 70,745 62,811 12.6 % Revenue (ex-Acquisitions* - R$ '000) 70,736 62,811 12.6 % OTHER EX- HEALTH UNDERGRADUATE Total Students (end of period) 39,358 34,995 12.5 % Average Total Students 39,358 34,995 12.5 % Average Total Students (ex-Acquisitions)* 39,358 34,995 12.5 % Revenue (Total - R$ '000) 55,795 49,848 11.9 % Revenue (ex-Acquisitions* - R$ '000) 55,795 49,848 11.9 % Total Revenue Revenue (Total - R$ '000) 892,465 827,372 7.9 % Revenue (ex-Acquisitions* - R$ '000) 888,127 827,372 7.3 % *For the three months period ended March 31, 2026, "2026 Ex Acquisitions" excludes: FUNIC (January to March, 2026; Closing of FUNIC was in May 2025). Key Revenue Drivers – Continuing Education Table 3: Key Revenue Drivers Three months period ended March 31, 2026 2025 % Chg Continuing Education Total Students (end of period)1 Residency Journey - Business to Physicians B2P 9,744 12,203 -20.2 % Graduate Journey - Business to Physicians B2P 9,855 8,542 15.4 % Other Courses - B2P and B2B Offerings 36,932 26,164 41.2 % Total Students (end of period) 56,531 46,909 20.5 % Revenue (R$ '000) Business to Physicians - B2P 74,083 65,444 13.2 % Business to Business - B2B 4,862 5,660 -14.1 % Total Revenue 78,946 71,103 11.0 % (1) The figure above does not contemplate intercompany transactions. Key Revenue – Medical Practice Solutions Table 4: Key Revenue Drivers Three months period ended March 31, 2026 2025 % Chg Medical Practice Solutions Active Payers (end of period) Clinical Decision 154,101 163,071 -5.5 % Clinical Management 46,707 40,324 15.8 % Total Active Payers (end of period) 200,808 203,395 -1.3 % Monthly Active Users (MaU) Total Monthly Active Users (MaU) 220,528 244,518 -9.8 % Revenue (R$ '000) Business to Physicians - B2P 38,216 37,231 2.6 % Business to Business - B2B 5,210 4,453 17.0 % Total Revenue 43,425 41,684 4.2 %   Key Operational Drivers – Users Positively Impacted by Afya The Users Positively Impacted by Afya represents the total number of medical students from the Undergraduate segment, students from Continuing Education and users from Medical Practice Solutions. For the first quarter of 2026, Afya’s ecosystem reached 303,553 users. Table 5: Key Revenue Drivers               1Q26   1Q25   % Chg YoY   4Q25   3Q25   2Q25 Users Positively Impacted by Afya 1             Undergraduate (Total Medical School Students - End of Period)   26,494   25,879   2.4 %   25,556   25,706   25,733 Continuing Education (Total Students - End of Period)   56,531   46,909   20.5 %   55,039   50,317   45,505 Medical Practice Solutions (Monthly Active Users)   220,528   244,518   -9.8 %   220,051   227,941   230,468 Ecosystem Outreach   303,553   317,306   -4.3 %   300,646   303,964   301,706 (1) Ecosystem outreach does not contemplate intercompany figures. Note that there may be overlap in student numbers within the data. Revenue Revenue for the first quarter of 2026 was R$1,012.7 million, an increase of 8.2% over the same period in the prior year. Excluding acquisitions, Revenue for the three-month period increased by 7.7% YoY to R$1,008.4 million. The quarter revenue increase was mainly due to higher tickets in medicine courses, the increase in non-medical undergraduate students, the acquisition of FUNIC, and the advancement of the Continuing Education Segment. Table 6: Revenue & Revenue Mix           (in thousands of R$)   For the three months period ended March 31,   2026     2026 Ex
Acquisitions*   2025     % Chg   % Chg Ex
Acquisitions Revenue Mix           Undergraduate   892,465     888,127     827,372     7.9 %   7.3 % Continuing Education   78,946     78,946     71,103     11.0 %   11.0 % Medical Practice Solutions   43,425     43,425     41,684     4.2 %   4.2 % Inter-segment transactions   (2,124 )   (2,124 )   (3,799 )   -44.1 %   -44.1 % Total Reported Revenue   1,012,712     1,008,373     936,360     8.2 %   7.7 % *For the three months period ended March 31, 2026, "2026 Ex Acquisitions" excludes: FUNIC (January to March, 2026; Closing of FUNIC was in May 2025). Adjusted EBITDA Adjusted EBITDA for the first quarter of 2026 increased by 4.0% to R$511.4 million, up from R$492.0 million in the same period of the prior year, with the Adjusted EBITDA Margin reducing by -200 basis points to 50.5%. The reduction in Adjusted EBITDA Margin was primarily driven by higher costs and expenses in the Continuing Education and Medical Practice Solutions segments, mainly reflecting (a) lower gross margin compared with the first quarter of 2025; and (b) higher payroll, sales, and marketing expenses associated with the ongoing investment cycle in both segments. Table 7: Reconciliation between Adjusted EBITDA and Net Income             (in thousands of R$)   For the three months period ended March 31,   2026   2025   % Chg Net income   261,763   257,036   1.8% Net financial result   94,350   94,994   -0.7% Income taxes expense   42,454   24,782   71.3% Depreciation and amortization   93,077   91,755   1.4% Interest received 1   13,547   14,532   -6.8% Income share associate   (4,967)   (4,285)   15.9% Share-based compensation   11,149   6,963   60.1% Non-recurring expenses:   46   6,194   -99.3% - Integration of new companies 2   -   5,970   n.a. - M&A advisory and due diligence 3   -   88   n.a. - Expansion projects 4   -   124   n.a. - Restructuring expenses 5   46   12   283.3% Adjusted EBITDA   511,419   491,971   4.0% Adjusted EBITDA Margin   50.5%   52.5%   -200 bps (1) Represents the interest received on late payments of monthly tuition fees. (2) Consists of expenses related to the integration of newly acquired companies. (3) Consists of expenses related to professional and consultant fees in connection with due diligence services for our M&A transactions. (4) Consists of expenses related to professional and consultant fees in connection with the opening of new campuses. (5) Consists of expenses related to the employee redundancies in connection with the organizational restructuring of our acquired companies. (6) Financial information for 2025 is unaudited. Net Income Net Income for the first quarter of 2026 totaled R$261.8 million, representing a 1.8% YoY increase. This growth reflects stronger operating performance, partially offset by an additional CSLL provision related to the OECD’s Pillar Two global minimum tax. Basic EPS for the three-month period ended March 31, 2026, reached R$2.88. An increase of 3.0% YoY, reflecting the higher Net Income and our capital allocation strategy. Table 8: Net Income and Basic Earnings Per Share       (in thousands of R$, except for earnings per share)   For the three months period ended March 31,   2026   2025   % Chg Net income   261,763   257,036   1.8% Basic earnings per share - in R$ 1   2.88   2.79   3.0% (1) Basic earnings per share is calculated as net income attributable to Owners of the Company divided by the weighted average number of outstanding shares during the period. Cash and Debt Position As of March 31, 2026, Cash and Cash Equivalents totaled R$1,332.9 million, representing a 15.4% increase from March 31, 2025. Afya reduced its Net Debt, excluding the effect of IFRS 16, to R$1,151.3 million, a decrease of R$372.8 million compared to March 31, 2025. This reduction was achieved through solid Cash Flow from Operating Activities, despite the business combination with FUNIC, dividend payment, and Afya’s ongoing share repurchase program. For the three-month period ended March 31, 2026, Afya generated R$473.2 million in Cash Flow from Operating Activities, up from R$470.2 million in the same period of the previous year, an increase of 0.6% YoY. The Operating Cash Conversion Ratio reached 92.5%. Table 9: Operating Cash Conversion Ratio Reconciliation   For the three months period ended March 31, (in thousands of R$)   Considering the adoption of IFRS 16   2026   2025   % Chg (a) Net cash flows from operating activities   466,796   463,850   0.6% (b) Income taxes paid   6,357   6,386   -0.5% (c) = (a) + (b) Cash flow from operating activities   473,153   470,236   0.6%         (d) Adjusted EBITDA   511,419   491,971   4.0% (e) Non-recurring expenses:   46   6,194   -99.3% - Integration of new companies 1   -   5,970   -100.0% - M&A advisory and due diligence 2   -   88   -100.0% - Expansion projects 3   -   124   -100.0% - Restructuring Expenses 4   46   12   283.3% (f) = (d) - (e) Adjusted EBITDA ex- non-recurring expenses   511,373   485,777   5.3% (g) = (c) / (f) Operating cash conversion ratio   92.5%   96.8%   -430 bps (1) Consists of expenses related to the integration of newly acquired companies. (2) Consists of expenses related to professional and consultant fees in connection with due diligence services for M&A transactions. (3) Consists of expenses related to professional and consultant fees in connection with the opening of new campuses. (4) Consists of expenses related to the employee redundancies in connection with the organizational restructuring of acquired companies. The following table shows more information regarding the cost of debt for 2026, considering loans and financing and accounts payable to selling shareholders. Afya’s capital structure remains solid, with a conservative leveraging position and a low cost of debt. Afya’s Net Debt (excluding the effect of IFRS16) divided by Adjusted EBITDA mid guidance is 0.7x, marking an impressive reduction from 0.9x in the same period of the prior year, reinforcing Afya’s accelerated deleveraging trend. Table 10: Gross Debt and Average Cost of Debt     (in millions of R$)   For the closing of the three months period ended in March 31,           Cost of Debt   Gross Debt   Duration (Years)   Per year   %CDI²   2026   2025   2026   2025   2026     2025     2026     2025   Loans and financing: Softbank   -   850   -   1.1   -     8.6 %   -     69 % Loans and financing: Debentures   1,594   513   3.9   2.3   15.5 %   14.6 %   106 %   115 % Loans and financing: Others   -   328   -   0.5   -     14.7 %   -     115 % Loans and financing: IFC   530   522   2.8   3.6   15.8 %   14.0 %   108 %   110 % Accounts payable to selling shareholders   360   466   4.2   3.6   14.6 %   12.7 %   100 %   100 % Total¹| Average   2,484   2,679   3.7   2.2   15.4 %   12.2 %   105 %   97 % (1) Total amount refers only to the "Gross Debt" columns. (2) Based on the annualized Interbank Certificates of Deposit ("CDI") rate for the period as a reference: 1Q26: ~14.65% p.y. and for 1Q25: ~14.15% p.y. Table 11: Cash and Debt Position           (in thousands of R$)             1Q26   FY2025   % Chg   1Q25   % Chg (+) Cash and Cash Equivalents   1,332,866   1,125,381   18.4 %   1,154,888   15.4 % Cash and Bank Deposits   25,796   15,470   66.7 %   3,508   635.3 % Cash Equivalents   1,307,070   1,109,911   17.8 %   1,151,380   13.5 % (-) Loans and Financing   2,124,512   2,054,267   3.4 %   2,212,674   -4.0 % Current   132,099   60,668   117.7 %   373,275   -64.6 % Non-Current   1,992,413   1,993,599   -0.1 %   1,839,399   8.3 % (-) Accounts Payable to Selling Shareholders   359,667   440,597   -18.4 %   466,341   -22.9 % Current   57,325   110,640   -48.2 %   191,698   -70.1 % Non-Current   302,342   329,957   -8.4 %   274,643   10.1 % (-) Other Short and Long Term Obligations   -   -   n.a.   -   n.a. (=) Net Debt (Cash) excluding IFRS 16   1,151,313   1,369,483   -15.9 %   1,524,127   -24.5 % (-) Lease Liabilities   1,077,075   1,065,746   1.1 %   989,184   8.9 % Current   55,478   55,772   -0.5 %   47,762   16.2 % Non-Current   1,021,597   1,009,974   1.2 %   941,422   8.5 % Net Debt (Cash) with IFRS 16   2,228,388   2,435,229   -8.5 %   2,513,311   -11.3 % CAPEX Capital expenditure consists of the purchase of property and equipment and intangible assets, including expenditure mainly related to the expansion and maintenance of Afya’s campuses and headquarters, leasehold improvements, and the development of new solutions in Medical Practice Solutions and content in Continuing Education. For the three-month period ended March 31, 2026, CAPEX totaled R$44.8 million, representing 4.4% of Afya’s Net Revenue, including an acceleration in intangible investments in the first quarter associated with the ongoing investment cycle in Continuing Education and Medical Practice Solutions. Table 12: CAPEX (in thousands of R$)   For the three months period ended March 31,   2026     2025     % Chg Property and equipment   12,762     38,477     -66.8 % Intangible assets   32,016     17,735     80.5 % CAPEX   44,778     56,212     -20.3 % % of Revenue   4.4 %   6.0 %   -160 bps 5. Conference Call and Webcast Information When:  May 7, 2026 at 5:00 p.m. EST.   Who: Mr. Virgilio Gibbon, Chief Executive Officer Mr. Luis André Blanco, Chief Financial Officer Ms. Renata Costa Couto, IR Director   Webcast:   https://afya.zoom.us/j/98271618661 OR Dial-in: Brazil: +55 21 3958 7888 or +55 11 4632 2236 or +55 11 4632 2237 or +55 11 4680 6788 or +55 11 4700 9668. United States: +1 346 248 7799 or +1 360 209 5623 or +1 386 347 5053 or +1 507 473 4847 or +1 564 217 2000 or +1 646 931 3860 or +1 669 444 9171 or +1 669 900 6833 or +1 689 278 1000 or +1 719 359 4580 or +1 929 205 6099 or +1 253 205 0468 or +1 253 215 8782 or +1 301 715 8592 or +1 305 224 1968 or +1 309 205 3325 or +1 312 626 6799. Webinar ID: 982 7161 8661 Other Numbers: https://afya.zoom.us/u/aRK0ROGaH 6. About Afya Limited (Nasdaq: AFYA; B3: A2FY34) Afya is a leading medical education group in Brazil based on the number of medical school seats, delivering an end-to-end physician-centric ecosystem that serves and empowers students and physicians to transform their ambitions into rewarding lifelong experiences from the moment they join us as medical students through their medical residency preparation, graduation program, continuing medical education activities and offering medical practice solutions to help doctors enhance their healthcare services through their whole career. For more information, please visit www.afya.com.br. 7. Forward – Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which statements involve substantial risks and uncertainties. All statements other than statements of historical fact could be deemed forward-looking, including risks and uncertainties related to statements about our competition; our ability to attract, upsell and retain students; our capacity to increase tuition prices; our ability to anticipate and meet the evolving needs of students and teachers; our capacity to source and successfully integrate acquisitions; as well as general market, political, economic, and business conditions. Additionally, these statements include financial targets such as revenue, share count and IFRS and non-IFRS financial measures including gross margin, operating margin, net income (loss) per diluted share, and free cash flow. These statements are not guarantees of future performance and undue reliance should not be placed on them. The Company assumes no obligation to update any forward-looking statements made in this press release to reflect events or circumstances occurring after its publication, nor to incorporate new information or the occurrence of unanticipated events, except as required by law. The achievement or success of the matters covered by such forward-looking statements involves known and unknown risks, uncertainties and assumptions. If any of these risks or uncertainties materialize or if any of the assumptions prove incorrect, our results could differ materially from those expressed or implied by the forward-looking statements we make. Readers should not rely upon forward-looking statements as predictions of future events. Forward-looking statements represent management’s beliefs and assumptions only as of the date they are made. Further information on these and other factors that could affect the Company’s financial results is included in filings made with the United States Securities and Exchange Commission (SEC) from time to time, including the section titled “Risk Factors” in the most recent annual report on Form 20-F. These documents are available in the SEC Filings section of the investor relations section of our website at: https://ir.afya.com.br/. 8. Non-GAAP Financial Measures To supplement the Company's consolidated financial statements, which are prepared and presented in accordance with IFRS accounting standards as issued by the International Accounting Standards Board—IASB, Afya presents Adjusted EBITDA and Operating Cash Conversion Ratio which are non-GAAP financial measures, for the convenience of investors. A non-GAAP financial measure is generally defined as one that intends to measure financial performance but excludes or includes amounts that would not be equally adjusted in the most comparable GAAP measure. Afya calculates Adjusted EBITDA as net income plus/minus net financial result, plus income taxes expense, plus depreciation and amortization, plus interest received on late payments of monthly tuition fees, plus share-based compensation, plus/minus income share associate, plus/minus non-recurring expenses/income. Operating Cash Conversion Ratio is calculated as the Cash flow from Operating Activities plus income taxes paid, minus/plus non-recurring expenses/income divided by Adjusted EBITDA. The non-GAAP supplemental financial measures are provided with the intend to help investors in assessing the overall performance of Afya’s business regarding its core operations, cash generation and profitability. The non-GAAP financial measures described in this release are not substitutes for the IFRS measures. In addition, the calculations of Adjusted EBITDA and Operating Cash Conversion Ratio are not standardized financial measures and may differ from the calculations used by other companies, including competitors in the education services industry, and therefore, Afya’s measures may not be comparable to those of other companies. 9. Investor Relations Contact E-mail: ir@afya.com.br 10. Financial Tables Unaudited interim condensed consolidated statements of financial position
As of March 31, 2026 and December 31, 2025
(In thousands of Brazilian reais)   March 31, 2026   December 31, 2025 Assets   (unaudited)     Current assets       Cash and cash equivalents   1,332,866   1,125,381 Trade receivables   777,975   717,373 Recoverable taxes   21,572   13,429 Income taxes recoverable   25,833   23,046 Other assets   66,179   62,947 Total current assets   2,224,425   1,942,176         Non-current assets         Trade receivables   41,567   34,985 Deferred tax assets   4,676   12,552 Other assets   129,553   125,480 Investment in associate   50,607   46,518 Property and equipment   699,016   711,485 Right-of-use assets   902,538   896,758 Intangible assets   5,573,118   5,587,980 Total non-current assets   7,401,075   7,415,758 Total assets   9,625,500   9,357,934         Liabilities         Current liabilities         Trade payables   134,138   123,581 Loans and financing   132,099   60,668 Lease liabilities   55,478   55,772 Accounts payable to selling shareholders   57,325   110,640 Advances from customers   151,115   158,035 Dividends payable   308,332   192 Labor and social obligations   245,680   217,526 Taxes payable   37,385   36,043 Income taxes payable   117,657   112,638 Other liabilities   7,758   8,946 Total current liabilities   1,246,967   884,041         Non-current liabilities         Loans and financing   1,992,413   1,993,599 Lease liabilities   1,021,597   1,009,974 Accounts payable to selling shareholders   302,342   329,957 Taxes payable   74,459   77,487 Income taxes payable   26,358   - Provision for legal proceedings   131,832   128,220 Other liabilities   42,985   43,471 Total non-current liabilities   3,591,986   3,582,708 Total liabilities   4,838,953   4,466,749         Equity         Share capital   17   17 Additional paid-in capital   2,319,509   2,320,422 Treasury shares   (372,786)   (306,010) Share-based compensation reserve   213,964   202,815 Retained earnings   2,584,194   2,634,552 Equity attributable to the owners of the Company   4,744,898   4,851,796 Non-controlling interests   41,649   39,389 Total equity   4,786,547   4,891,185 Total liabilities and equity   9,625,500   9,357,934 Unaudited interim condensed consolidated statements of income and comprehensive income
For the three-month periods ended March 31, 2026 and 2025
(In thousands of Brazilian reais, except for earnings per share information)     March 31, 2026   March 31, 2025     (unaudited)   (unaudited)           Revenue   1,012,712     936,360   Cost of services   (314,649 )   (282,639 ) Gross profit   698,063     653,721             Selling, general and administrative expenses   (287,661 )   (264,942 ) Allowance for expected credit losses   (17,843 )   (16,558 ) Other income   4,871     2,506   Other expenses   (3,830 )   (2,200 )           Operating income   393,600     372,527             Finance income   53,297     43,481   Finance expenses   (147,647 )   (138,475 ) Net finance result   (94,350 )   (94,994 )           Share of profit of equity-accounted investee, net of tax   4,967     4,285             Income before income taxes   304,217     281,818             Income taxes expenses         Current   (34,578 )   (31,928 ) Deferred   (7,876 )   7,146             Net income   261,763     257,036             Other comprehensive income   -     -             Total comprehensive income   261,763     257,036             Net income / total comprehensive income attributable to:         Owners of the Company   257,019     251,999   Non-controlling interests   4,744     5,037       261,763     257,036           Basic earnings per common share   2.88     2.79   Diluted earnings per common share   2.85     2.76   Unaudited interim condensed consolidated statements of cash flows
For the three-month periods ended March 31, 2026 and 2025
(In thousands of Brazilian reais)     March 31, 2026   March 31, 2025     (unaudited)   (unaudited) Operating activities         Income before income taxes   304,217     281,818   Adjustments to reconcile income before income taxes         Depreciation and amortization expenses   93,077     91,755   Write-off of property and equipment   362     305   Allowance for expected credit losses   17,843     16,558   Share-based compensation expenses   11,149     6,963   Net foreign exchange differences   893     476   Accrued interest   86,895     76,939   Accrued interest on lease liabilities   30,211     29,563   Share of profit of equity-accounted investee, net of tax   (4,967 )   (4,285 ) Provision (reversal) for legal proceedings   5,409     408             Changes in assets and liabilities         Trade receivables   (85,027 )   (55,632 ) Recoverable taxes   (10,930 )   (6,392 ) Other assets   (6,965 )   (6,131 ) Trade payables   10,557     1,893   Taxes payable   1,362     10,787   Advances from customers   (6,920 )   214   Labor and social obligations   28,154     29,774   Provision for legal proceedings   (1,259 )   -   Other liabilities   (908 )   (4,777 )     473,153     470,236   Income taxes paid   (6,357 )   (6,386 ) Net cash flows from operating activities   466,796     463,850             Investing activities         Acquisition of property and equipment   (12,762 )   (38,477 ) Acquisition of intangibles assets   (32,016 )   (17,735 ) Dividends received   -     5,598   Acquisition of assets and subsidiaries, net of cash acquired   (65,005 )   (65,162 ) Payments of interest   -     (14,536 ) Net cash flows used in investing activities   (109,783 )   (130,312 )           Financing activities         Payments of principal of loans and financing   (5,254 )   (769 ) Payments of interest   (28,087 )   (44,980 ) Payments of principal of lease liabilities   (13,792 )   (11,904 ) Payments of interest of lease liabilities   (32,200 )   (29,167 ) Treasury shares repurchase   (69,511 )   -   Proceeds from exercise of stock options   1,930     1,622   Dividends paid   (1,721 )   (3,991 ) Net cash flows from (used in) financing activities   (148,635 )   (89,189 ) Net foreign exchange differences   (893 )   (476 ) Net increase (decrease) in cash and cash equivalents   207,485     243,873   Cash and cash equivalents at the beginning of the period   1,125,381     911,015   Cash and cash equivalents at the end of the period   1,332,866     1,154,888     View source version on businesswire.com: https://www.businesswire.com/news/home/20260507813584/en/ Investor Relations Contact:
Afya Limited
ir@afya.com.br
Original: Afya Limited Announces First-Quarter 2026 Financial Results

Moody's Reaffirmed Afya's AAA.br Rating With a Stable OutlookMay 5, 2026 8:59 PM
Business Wire Afya Limited (Nasdaq: AFYA; B3: A2FY34) (“Afya” or the “Company”), the leading medical education group and medical practice solutions provider in Brazil, announced today that Moody’s reaffirmed Afya’s credit rating at AAA.br and maintained a stable outlook. The reaffirmation of Afya’s AAA.br rating and stable outlook reflects revenue growth, a track record of above-industry-average margins, very strong credit metrics, exceptional cash generation, and robust liquidity. In addition, Afya’s credit profile reflects a strong competitive position and a predictable financial policy, including proactive liability management and prudent capital allocation, despite its appetite for M&As. The Company believes this development further validates the business model and its continued ability to deliver on its long-term strategy with consistency and financial discipline. About Afya Limited (Nasdaq: AFYA, B3: A2FY34) Afya is a leading medical education group in Brazil based on the number of medical school seats, delivering an end-to-end physician-centric ecosystem that serves and empowers students and physicians to transform their ambitions into rewarding lifelong experiences from the moment they join us as medical students through their medical residency preparation, graduation program, continuing medical education activities and offering medical practice solutions to help doctors enhance their healthcare services through their whole career. View source version on businesswire.com: https://www.businesswire.com/news/home/20260505442587/en/ Investor Relations Contact:
Afya Limited
ir@afya.com.br Original: Moody's Reaffirmed Afya's AAA.br Rating With a Stable Outlook

Afya Limited Announces Fourth Quarter and Twelve Months 2025 Financial ResultsMarch 12, 2026 8:21 PM
Business Wire
Another Year of Strong Performance

Guidance Achievement


Afya Limited (Nasdaq: AFYA; B3: A2FY34) (“Afya” or the “Company”), the leading medical education group and medical practice solutions provider in Brazil, reported today its financial and operating results for the fourth quarter and full-year period ended December 31, 2025. Financial results are expressed in Brazilian Reais and are presented in accordance with International Financial Reporting Standards (IFRS).


Fourth Quarter 2025 Highlights



4Q25 Revenue increased 7.5% YoY to R$913.0 million. Revenue excluding acquisitions increased 7.3%, reaching R$910.8 million.



4Q25 Adjusted EBITDA increased 6.1% YoY, reaching R$388.5 million, with an Adjusted EBITDA Margin of 42.6%. Adjusted EBITDA Margin decreased 50 bps YoY. Adjusted EBITDA excluding acquisitions grew 6.0%, reaching R$388.0 million, with an Adjusted EBITDA Margin of 42.6%.



4Q25 Net Income increased 13.7% YoY, reaching R$175.4 million, and Adjusted Net Income increased 6.3% YoY, reaching R$205.7 million. Basic EPS growth was 14.9% in the same period.



Full Year 2025 Highlights



FY25 Revenue increased 11.9% YoY to R$3,697.3 million. Revenue excluding acquisitions grew 9.2%, reaching R$3,607.5 million.



FY25 Adjusted EBITDA increased 15.4% YoY reaching R$1,680.3 million, with an Adjusted EBITDA Margin of 45.4%. Adjusted EBITDA Margin increased 130 bps YoY. Adjusted EBITDA excluding acquisitions grew 11.8%, reaching R$1,628.0 million, with an Adjusted EBITDA Margin of 45.1%.



FY25 Net Income increased 18.4% YoY, reaching R$768.4 million, and Adjusted Net Income increased 9.9 % YoY, reaching R$901.7 million. Basic EPS growth was 18.7% in the same period.



Operating Cash Conversion ratio of 93.7% and a Free Cash Flow record of R$1,056 million, with a solid cash position of R$ 1,125.4 million.



~301 thousand users in Afya’s ecosystem.




Table 1: Financial Highlights






For the three months period ended December 31,

For the twelve months period ended December 31,


(in thousand of R$)
2025³
2025³ Ex Acquisitions*

2024





% Chg
% Chg Ex Acquisitions

2025³
2025³ Ex Acquisitions*

2024





% Chg
% Chg Ex Acquisitions


(a) Revenue

912,990






910,828






849,015






7.5%






7.3%







3,697,255






3,607,549






3,304,329






11.9%






9.2%







(b) Adjusted EBITDA 2

388,519






388,049






366,014






6.1%






6.0%







1,680,251






1,627,957






1,455,642






15.4%






11.8%







(c) = (b)/(a) Adjusted EBITDA Margin

42.6%






42.6%






43.1%






-50 bps





-50 bps


45.4%






45.1%






44.1%






130 bps





100 bps


Net income

175,444






-






154,279






13.7%






-







768,443






-






648,920






18.4%






-







Adjusted Net income

205,738






-






193,607






6.3%






-







901,740






-






820,290






9.9%






-







*For the three months period ended December 31, 2025, "2025 Ex Acquisitions" excludes: FUNIC (October to December, 2025; Closing of FUNIC was in May 2025).


*For the twelve months period ended December 31, 2025, "2025 Ex Acquisitions" excludes: UNIDOM (January to June, 2025; Closing of UNIDOM was in July 2024), and FUNIC (May to December, 2025; Closing of FUNIC was in May 2025).


(2) See more information on "Non-GAAP Financial Measures" (Item 08).


(3) Financial information for 2025 is unaudited.


Message from Management


We are pleased to present another year of strong operational and financial performance. In 2025, we once again met our revenue and Adjusted EBITDA guidance, achieving our seventh consecutive year of meeting or exceeding guidance since 2H19. This track record reinforces the strength of our business model, the quality of our execution, and the commitment of our teams. In addition, we delivered our second-highest Adjusted EBITDA margin, reaching 45.4% and an EPS growth of 18.7% in the same period, further supporting our ability to invest in growth and create long-term value for our shareholders.


This consistent performance gives us a solid foundation as we move into the next phase of our journey and look ahead to our 2026 guidance. We remain focused on combining sustainable growth with financial discipline while staying close to the needs of physicians and the Brazilian healthcare ecosystem.


In our Undergraduate segment, 2025 was marked by strong and sustainable revenue growth across Medical Schools, and other health related programs. This result reflects the maturity of our medical seats and the strength of Afya’s academic offering and brand. As we enter 2026, we start the year with 3,705 operating medical school seats, including 100 additional seats authorized at Afya Bragança. Our unified intake process across all medical schools is a key enabler, helping us attract and retain top candidates nationwide. This integrated approach brings consistency to admissions, reinforces Afya’s position as a leading medical education group, and supports greater operational efficiency across our campuses.


In Continuing Education and Medical Practice Solutions, 2025 was a year of higher efficiency and stronger synergies between the segments, which boosted gross margin expansion. We increased the total number of Continuing Education students by 8.9%, and for Medical Practice Solutions, we highlight the 9.4% growth in B2P revenue, demonstrating the value of our solutions and the segment's scalability.


Looking ahead to 2026, we are entering a new phase for Afya. Our ambition is to be recognized as the go-to brand for every physician in Brazil, in every stage of their medical career. In this new investment cycle, we will focus on expanding our audience and strengthening our digital products. Our goal is to increase adoption, deepen engagement, and continue growing our physician base. By making our ecosystem stronger and more integrated, we are able to sustain a structurally low customer acquisition cost for Undergraduate students, maintaining our competitive advantage and preserving efficient growth even in a more challenging environment. In this way, we are consolidating Afya as the long-term partner that supports physicians throughout their careers and building a solid platform for future B2B revenue opportunities.


On the solid basis of our guidance achievement for 2025, we are now presenting our guidance for 2026. We expect Revenue to range between R$3,950 million and R$ 4,100 million, and Adjusted EBITDA to be between R$1,700 million and R$1,800 million, excluding any acquisition that may be concluded after the issuance of this guidance.


From a capital allocation perspective, our strong cash generation and solid balance sheet allow us to support our organic and inorganic growth strategy while also returning value to shareholders. In 2025, our Board of Directors approved a new share repurchase program authorizing the buyback of up to 4,000,000 Class A common shares through December 31, 2026. On March 12, 2026, our Board of Directors declared a cash dividend of R$307.4 million, corresponding to 40% of Afya’s 2025 consolidated net income, supported by our 2025 Free Cash Flow of R$1,056 million reinforcing our commitment to shareholder remuneration, the strength of our financial position and our disciplined capital allocation strategy.


Looking ahead, we will keep strengthening our ecosystem, supporting physicians at every stage of their careers and pursuing sustainable growth in the years to come. We are proud of how far we have come and excited about the opportunities ahead as we continue to shape the future of the medical journey in Brazil.


1. Key Events in the Quarter



On October 15, 2025, Afya Brazil issued commercial notes for private placement ("Commercial Notes”), sold to Opea Securitizadora S.A. ("Opea”), a Brazilian securitization corporation pursuant to Section 45 of Brazilian Law No. 14,195/2021, as amended. Opea issued a debenture backed by the Commercial Notes on the same terms and conditions.
The aggregate principal amount of the Commercial Notes is R$1,500,000, divided into two series, the first in the aggregate amount of R$500,000 ("First Series”) and the second in the aggregate amount of R$1,000,000 ("Second Series”). The First Series will mature on October 15, 2028 and the Second Series will mature on October 15, 2030. The interest rate applicable to the First Series and Second Series will be equal to the CDI rate plus a spread of 0.70% and 0.85% per year, respectively, based on 252 business days.
Afya Brazil is subject to certain obligations including financial covenants, and the Company shall maintain Net Debt (excluding lease liabilities) to adjusted EBITDA ratio below or equal to 3.0x, at the end of each fiscal year, until the maturity date, applicable from December 31, 2025 and thereafter. Adjusted EBITDA for covenant purposes considers net income plus (i) income taxes expenses, (ii) net financial result (excluding interest expenses on lease liabilities), (iii) depreciation and amortization expenses (excluding right-of-use assets depreciation expenses), (iv) share-based compensation expenses, (v) share of income of associate, (vi) interest received and (vii) non-recurring expenses. As of December 31, 2025, the Company is compliant with all obligations set forth in this Commercial Notes.
The Commercial Notes have sureties provided by the following subsidiaries of the Company: Unigranrio, IESP and DelRey.




On October 22, 2025, Afya Brazil fully repaid the aggregate outstanding amount related to the first issuance of debentures originally issued on December 16, 2022. The debentures were issued with a final maturity date of January 15, 2028, with the principal to be amortized in two equal installments payable on January 15, 2027, and January 15, 2028.



On November 3, 2025, the Company repurchased all 150,000 Series A perpetual convertible preferred shares of a nominal or par value of US$0.00005 each in the capital of the Company for an aggregate purchase price of R$831,600, following the Share Repurchase Agreement with SBLA Holdco LLC, an affiliate of Softbank. All repurchased Series A Preferred Shares were cancelled by the Company.



On November 7, 2025, MEC authorized the increase of 100 medical school seats of ITPAC Porto located in the city of Bragança, State of Pará. With this authorization, Afya reaches 150 medical school seats on this campus, and 3,753 total approved medical school seats.



On December 18, 2025, MEC authorized the approval of two additional medical school seats at Afya Pato Branco, increasing Afya’s total approved medical school seats to 3,755.



2. Subsequent Events



On February 6, 2026, MEC authorized an increase of 63 medical seats for ITPAC – Instituto Tocantinense Presidente Antonio Carlos Porto S.A. (“Afya Abaetetuba”), located in the city of Abaetetuba, in the state of Pará. With this authorization, Afya’s Abaetetuba campus will offer a total of 113 medical seats.
As Afya Cametá—an approved but, non-operating medical school—and Afya Abaetetuba are located within the same health region, Afya Cametá will not become operational, thereby creating the capacity that enabled the approval of 63 additional medical seats at Afya Abaetetuba. With this addition, Afya now has a total of 3,768 approved medical seats across its portfolio.




On March 12, 2026, the Company’s Board of Directors approved dividend distribution in the amount of R$307.4 million, representing 40% of the Company’s consolidated net income for the year ended December 31, 2025 and a dividend per share of R$3.446838, payable in U.S. dollars on April 6, 2026, to the shareholders on record as of the close of business on March 25, 2025. The payment will be made at the exchange rate (PTAX) to be published by the Brazilian Central Bank on March 13, 2026.



3. Full Year 2025 Guidance Achievement


The Company’s financial results reaffirmed the resiliency and profitability of Afya’s business model:





Guidance for 2025

Actual 20252







Revenue

R$ 3,670 mn ≤ ? ≤ R$ 3,770 mn

R$ 3,697 mn







Adjusted EBITDA

R$ 1,620 mn ≤ ? ≤ R$ 1,720 mn

R$ 1,680 mn







CAPEX 1

R$ 250 mn ≤ ? ≤ R$ 290 mn

R$ 304 mn







(1) Excludes the license CAPEX related to the acquisition of FUNIC.


(2) Financial information for 2025 is unaudited.


4. 2026 Guidance


The guidance for FY2026 is defined in the following table:





Guidance for 20261


Revenue

R$ 3,950 mn ≤ ? ≤ R$ 4,100 mn


Adjusted EBITDA

R$ 1,700 mn ≤ ? ≤ R$ 1,800 mn


CAPEX

R$ 340 mn ≤ ? ≤ R$ 380 mn


(1) Excludes any acquisition that may be concluded after the issuance of the guidance.


5. 4Q25 and 2025 Overview


Segment Information


The Company has three reportable segments as follows:


Undergraduate, which provides educational services through undergraduate courses related to medical school, undergraduate health science and other ex-health undergraduate programs.


Continuing education, which provides medical education (including residency preparation programs, specialization test preparation and other medical capabilities), specialization and graduate courses in medicine, delivered through digital and in-person content; and


Medical Practice Solutions, which provides clinical decision, clinical management and doctor-patient relationships for physicians and provides access, demand and efficiency for the healthcare players.


Key Revenue Drivers – Undergraduate Programs



Table 2: Key Revenue Drivers

Twelve months period ended December 31,









2025






2024






% Chg







Undergraduate Programs



 







MEDICAL SCHOOL



 







Approved Seats

3,755






3,593






4.5%







Operating Seats 1

3,705






3,543






4.6%







Total Students (end of period)

25,556






24,255






5.4%







Average Total Students

25,719






23,440






9.7%







Average Total Students (ex-Acquisitions)*

24,881






23,440






6.1%







Revenue (Total - R$ '000)

2,789,170






2,477,906






12.6%







Revenue (ex- Acquisitions* - R$ '000)

2,705,045






2,477,906






9.2%







Medical School Net Avg. Ticket (ex- Acquisitions* - R$/month)

9,060






8,809






2.8%







UNDERGRADUATE HEALTH SCIENCE



 







Total Students (end of period)

26,545






25,570






3.8%







Average Total Students

26,344






25,154






4.7%







Average Total Students (ex-Acquisitions)*

25,954






25,154






3.2%







Revenue (Total - R$ '000)

261,724






236,791






10.5%







Revenue (ex- Acquisitions* - R$ '000)

257,075






236,791






8.6%







OTHER EX- HEALTH UNDERGRADUATE



 







Total Students (end of period)

33,924






27,163






24.9%







Average Total Students

34,271






27,542






24.4%







Average Total Students (ex-Acquisitions)*

33,538






27,542






21.8%







Revenue (Total - R$ '000)

204,533






180,994






13.0%







Revenue (ex- Acquisitions* - R$ '000)

203,600






180,994






12.5%







Total Revenue2



 







Revenue (Total - R$ '000)

3,255,426






2,895,692






12.4%







Revenue (ex- Acquisitions* - R$ '000)

3,165,720






2,895,692






9.3%







*For the twelve months period ended December 31, 2025, "2025 Ex Acquisitions" excludes: UNIDOM (January to June, 2025; Closing of UNIDOM was in July 2024), and FUNIC (October to December, 2025; Closing of FUNIC was in May 2025).


(1) The difference between approved and operating seats refers to Cametá, a campus that is still pre-operational.


(2) Financial information for 2025 is unaudited; comparative financial information for 2024 is audited.


Key Revenue Drivers – Continuing Education



Table 3: Key Revenue Drivers

Twelve months period ended December 31,









2025






2024






% Chg







Continuing Education



 







Total Students (end of period)1



 







Residency Journey - Business to Physicians B2P

12,990






16,381






-20.7%







Graduate Journey - Business to Physicians B2P

10,234






8,527






20.0%







Other Courses - B2P and B2B Offerings

31,815






25,613






24.2%







Total Students (end of period)

55,039






50,521






8.9%







Revenue (R$ '000)



 







Business to Physicians - B2P

257,706






237,379






8.6%







Business to Business - B2B

26,765






18,060






48.2%







Total Revenue2

284,471






255,438






11.4%







(1) The figure above does not contemplate intercompany transactions.


(2) Financial information for 2025 is unaudited; comparative financial information for 2024 is audited.


Key Revenue – Medical Practice Solutions



Table 4: Key Revenue Drivers

Twelve months period ended December 31,









20252






2024






% Chg







Medical Practice Solutions



 







Active Payers (end of period)



 







Clinical Decision

156,598






161,283






-2.9%







Clinical Management

38,906






33,735






15.3%







Total Active Payers (end of period)

195,504






195,018






0.2%







Monthly Active Users (MaU)



 







Total Monthly Active Users (MaU)

220,051






238,343






-7.7%







Revenue (R$ '000)



 







Business to Physicians - B2P

152,643






139,534






9.4%







Business to Business - B2B

18,680






22,252






-16.1%







Total Revenue2

171,323






161,787






5.9%







(1) Revenue from 'Shosp', the clinical management software, was reclassified from B2B to B2P.


(2) Financial information for 2025 is unaudited; comparative financial information for 2024 is audited.


Key Operational Drivers – Users Positively Impacted by Afya


The Users Positively Impacted by Afya represents the total number of medical students from the Undergraduate segment, students from Continuing Education and users from Medical Practice Solutions. For the fourth quarter of 2025, Afya’s ecosystem reached 300,646 users.



Table 5: Key Revenue Drivers

Twelve months period ended December 31,









2025






2024






% Chg







Users Positively Impacted by Afya 1



 







Undergraduate (Total Medical School Students - End of Period)

25,556






24,255






5.4%







Continuing Education (Total Students - End of Period)

55,039






50,521






8.9%







Medical Practice Solutions (Monthly Active Users)

220,051






238,343






-7.7%







Ecosystem Outreach

300,646






313,119






-4.0%







(1) Ecosystem outreach does not contemplate intercompany figures. Note that there may be overlap in student numbers within the data.


Seasonality of Operations


Undergraduate tuition revenues are related to the intake process, and monthly tuition fees charged to students, and do not significantly fluctuate during each semester.


Continuing education revenues are mostly related to: (i) monthly intakes and tuition fees on medical education, which do not have a considerable concentration in any period; (ii) Residency journey product revenues, derived from e-books transferred at a point of time, which are concentrated in the first and last quarter of the year due to the enrollments.


Medical Practice Solutions are comprised mainly of Afya Whitebook and Afya iClinic revenues, which do not have significant fluctuations regarding seasonality.


Revenue


Revenue for the fourth quarter of 2025 was R$913.0 million, an increase of 7.5% over the same period in the prior year. For the twelve-month period ended December 31, 2025, Revenue was R$3,697.3 million, reflecting an 11.9% increase over the same period of last year. Excluding acquisitions, Revenue in the fourth quarter increased by 7.3% YoY to R$910.8 million. For the twelve-month period ended December 31, 2025, excluding acquisitions, Revenue was R$3,607.5 million, reflecting a 9.2% increase over the same period of last year.


The yearly revenue increase was mainly driven by (a) Undergraduate, higher tickets in medicine courses, the maturation of medical school seats, the increase in non-medical students, the acquisition of FUNIC and the full year results consolidation of UNIDOM (Acquired July of 2024); (b) Continuing Education, expansion in Graduate Journey campuses and students, increasing the average ticket per student across the segment, and (c) Medical Practice Solutions, which delivered growth primarily due to an expansion in Clinical Management active payers and a more favorable product mix compensating the decrease in the B2B.



Table 6: Revenue & Revenue Mix













(in thousands of R$)
For the three months period ended December 31,

For the twelve months period ended December 31,



 






20251






20251 Ex Acquisitions*






2024






% Chg






% Chg Ex Acquisitions






 






20251






20251 Ex Acquisitions*






2024






% Chg






% Chg Ex Acquisitions







Revenue Mix













Undergraduate

796,213






794,051






739,797






7.6%






7.3%







3,255,426






3,165,720






2,895,692






12.4%






9.3%







Continuing Education

76,853






76,853






67,707






13.5%






13.5%







284,471






284,471






255,438






11.4%






11.4%







Medical Practice Solutions

43,130






43,130






44,497






-3.1%






-3.1%







171,323






171,323






161,787






5.9%






5.9%







Inter-segment transactions

(3,206)






(3,206)






(2,986)






7.4%






7.4%







(13,965)






(13,965)






(8,588)






62.6%






62.6%







Total Reported Revenue

912,990






910,828






849,015






7.5%






7.3%







3,697,255






3,607,549






3,304,329






11.9%






9.2%







*For the three months period ended December 31, 2025, "2025 Ex Acquisitions" excludes: FUNIC (October to December, 2025; Closing of FUNIC was in May 2025).



*For the twelve months period ended December 31, 2025, "2025 Ex Acquisitions" excludes: UNIDOM (January to June, 2025; Closing of UNIDOM was in July 2024), and FUNIC (May to December, 2025; Closing of FUNIC was in May 2025).


(1) Financial information for 2025 is unaudited.


Adjusted EBITDA


Adjusted EBITDA for the fourth quarter of 2025 increased by 6.1% to R$388.5 million, up from R$366.0 million in the same period of the prior year, with the Adjusted EBITDA Margin reducing by 50 basis points to 42.6%, due mainly to lower performance of Medical Practice Solutions and an increase in corporate expenses.


For the twelve-month period ended December 31, 2025, Adjusted EBITDA was R$1,680.3 million, an increase of 15.4% over the same period of the prior year, accompanied by an Adjusted EBITDA Margin increase of 130 basis points in the same period. The increase in Adjusted EBITDA Margin was mainly driven by: (a) higher gross margin in the Undergraduate and Continuing Education segments; (b) restructuring initiatives within Continuing Education and Medical Practice Solutions; and (c) improved efficiency in Selling, General, and Administrative expenses.



Table 7: Reconciliation between Adjusted EBITDA and Net Income





(in thousands of R$)
For the three months period ended December 31,

For the twelve months period ended December 31,



 






20256






2024






% Chg






 






20256






2024






% Chg







Net income

175,444






154,279






13.7%







768,443






648,920






18.4%







Net financial result

76,695






104,698






-26.7%







366,081






347,459






5.4%







Income taxes expense

29,032






1,083






2580.7%







92,502






27,471






236.7%







Depreciation and amortization

92,234






84,206






9.5%







373,344






333,341






12.0%







Interest received 1

9,606






8,438






13.8%







49,527






43,417






14.1%







Income share associate

(3,249)






(2,011)






61.6%







(13,916)






(11,737)






18.6%







Share-based compensation

(1,365)






6,125





n.a.


15,318






32,424






-52.8%







Non-recurring expenses:

10,122






9,196






10.1%







28,952






34,347






-15.7%







- Integration of new companies 2

7,661






7,970






-3.9%







25,430






25,692






-1.0%







- M&A advisory and due diligence 3

18






772






-97.7%







578






3,575






-83.8%







- Expansion projects 4

232






454






-48.9%







721






3,022






-76.1%







- Restructuring expenses 5

2,211






-





n.a.


2,223






2,058






8.0%







Adjusted EBITDA

388,519






366,014






6.1%







1,680,251






1,455,642






15.4%







Adjusted EBITDA Margin

42.6%






43.1%






-50 bps







45.4%






44.1%






130 bps







(1) Represents the interest received on late payments of monthly tuition fees.


(2) Consists of expenses related to the integration of newly acquired companies.


(3) Consists of expenses related to professional and consultant fees in connection with due diligence services for our M&A transactions.


(4) Consists of expenses related to professional and consultant fees in connection with the opening of new campuses.


(5) Consists of expenses related to the employee redundancies in connection with the organizational restructuring of our acquired companies.


(6) Financial information for 2025 is unaudited.


Net Income


Net Income for the fourth quarter of 2025 totaled R$175.4 million, representing a 13.7% YoY increase. Adjusted Net Income reached R$205.7 million, an increase of 6.3% over the same period in the prior year. For the three-month period ended December 31, 2025, Net Income benefited from proactive liability management actions, primarily driven by the repurchase and cancellation of the perpetual convertible preferred shares held by SoftBank, which resulted in a gain of R$18 million.


For the twelve-month period, Afya achieved a Net Income of R$768.4 million, 18.4% higher than the same period of 2024, and an Adjusted Net Income of R$901.7 million, which was 9.9% higher than the previous period. For the year, growth reflects stronger operational performance, combined with the recognition of deferred tax assets, partially offset by the additional CSLL provision related to the OECD’s Pillar Two global minimum tax effects.


Basic EPS for the twelve-month period ended December 31, 2025, reached R$8.32. An increase of 18.7% YoY, reflecting the higher Net Income and our capital allocation with the execution of the Repurchase Program approved in August of 2025.



Table 8: Adjusted Net Income









(in thousands of R$)
For the three months period ended December 31,

For the twelve months period ended December 31,



 






20258






2024






% Chg






 






20258






2024






% Chg







Net income

175,444






154,279






13.7%







768,443






648,920






18.4%







Amortization of Intangible Assets 1

21,537






24,007






-10.3%







89,027






104,599






-14.9%







Share-based compensation

(1,365)






6,125





n.a.


15,318






32,424






-52.8%







Non-recurring expenses:

10,122






9,196






10.1%







28,952






34,347






-15.7%







- Integration of new companies 2

7,661






7,970






-3.9%







25,430






25,692






-1.0%







- M&A advisory and due diligence 3

18






772






-97.7%







578






3,575






-83.8%







- Expansion projects 4

232






454






-48.9%







721






3,022






-76.1%







- Restructuring expenses 5

2,211






-





n.a.


2,223






2,058






8.0%







Adjusted Net Income

205,738






193,607






6.3%







901,740






820,290






9.9%







Basic earnings per share - in R$ 6

1.91






1.66






14.9%







8.32






7.01






18.7%







Adjusted earnings per share - in R$ 7

2.25






2.10






7.0%







9.79






8.91






9.9%







(1) Consists of amortization of intangible assets identified in business combinations.


(2) Consists of expenses related to the integration of newly acquired companies.


(3) Consists of expenses related to professional and consultant fees in connection with due diligence services for our M&A transactions.


(4) Consists of expenses related to professional and consultant fees in connection with the opening of new campuses.


(5) Consists of expenses related to the employee redundancies in connection with the organizational restructuring of our acquired companies.


(6) Basic earnings per share: Net Income/Weighted average number of outstanding shares.


(7) Adjusted earnings per share: Adjusted Net Income attributable to equity holders of the Parent/Weighted average number of outstanding shares.


(8) Financial information for 2025 is unaudited.


Cash and Debt Position


As of December 31, 2025, Cash and Cash Equivalents totaled R$1,125.4 million, representing a 23.5% increase from December 31, 2024. Afya reduced its Net Debt, excluding the effect of IFRS 16, to R$1,369.5 million, a decrease of R$445.4 million compared to December 31, 2024. This reduction was achieved through solid Cash Flow from Operating Activities, despite the business combination with FUNIC, dividend payments, and Afya’s share repurchase program.


For the twelve-month period ended December 31, 2025, Afya generated R$1,547.6 million in Cash Flow from Operating Activities, up from R$1,453.2 million in the same period of the previous year, an increase of 6.5% YoY, boosted by operational results. The Operating Cash Conversion Ratio reached 93.7%.



Table 9: Operating Cash Conversion Ratio Reconciliation
For the twelve months period ended December 31,


(in thousands of R$)
Considering the adoption of IFRS 16



 






20255






2024






% Chg







(a) Net cash flows from operating activities

1,531,587






1,432,659






6.9%







(b) Income taxes paid

16,046






20,520






-21.8%







(c) = (a) + (b) Cash flow from operating activities

1,547,633






1,453,179






6.5%










 


(d) Adjusted EBITDA

1,680,251






1,455,642






15.4%







(e) Non-recurring expenses:

28,952






34,347






-15.7%







- Integration of new companies 1

25,430






25,692






-1.0%







- M&A advisory and due diligence 2

578






3,575






-83.8%







- Expansion projects 3

721






3,022






-76.1%







- Restructuring Expenses 4

2,223






2,058






8.0%







(f) = (d) - (e) Adjusted EBITDA ex- non-recurring expenses

1,651,299






1,421,295






16.2%







(g) = (c) / (f) Operating cash conversion ratio

93.7%






102.2%





-850 bps


(1) Consists of expenses related to the integration of newly acquired companies.





(2) Consists of expenses related to professional and consultant fees in connection with due diligence services for M&A transactions.


(3) Consists of expenses related to professional and consultant fees in connection with the opening of new campuses.


(4) Consists of expenses related to the employee redundancies in connection with the organizational restructuring of acquired companies.


(5) Financial information for 2025 is unaudited.


The following table shows more information regarding the cost of debt for 2025, considering loans and financing and accounts payable to selling shareholders. Afya’s capital structure remains solid, with a conservative leveraging position and a low cost of debt. Afya’s Net Debt (excluding the effect of IFRS16) divided by Adjusted EBITDA is 0.8x, marking an impressive reduction from 1.2x in the same period of the prior year, reinforcing Afya’s accelerated deleveraging trend.


The issuance of R$1,500 million in debentures on October 15, 2025, together with the repurchase and cancellation of the perpetual convertible held by SoftBank, the first issuance of debentures by Afya Participações S.A., and other Loans and Financing, demonstrates Afya’s disciplined approach to capital allocation and liability management, resulting in an extended average debt duration to 3.6 years.



Table 10: Gross Debt and Average Cost of Debt




(in millions of R$)

For the closing of the twelve months period ended in December 31,









 






 






 






 






Cost of Debt









Gross Debt






Duration (Years)






Per year






%CDI²








 






20253






2024






2025






2024






2025






2024






2025






2024







Loans and financing: Softbank

-






845






-






1.4






5.6%






7.5%






40%






71%







Loans and financing: Debentures

1,538






527






3.9






2.6






15.6%






12.0%






109%






110%







Loans and financing: Others

5






318






0.9






0.8






8.7%






12.7%






63%






117%







Loans and financing: IFC

511






505






2.8






3.8






15.5%






11.3%






108%






105%







Accounts payable to selling shareholders

441






531






3.4






3.3






14.4%






10.8%






100%






100%







Total¹| Average

2,495






2,726






3.6






2.4






13.5%






10.2%






95%






95%








(1) Total amount refers only to the "Gross Debt" columns.








(2) Based on the annualized Interbank Certificates of Deposit ("CDI") rate for the period as a reference: FY25: ~14.90% p.y. and for FY24: ~12.15% p.y.








(3) Financial information for 2025 is unaudited.








Table 11: Cash and Debt Position



 







(in thousands of R$)



 








FY20251
FY2024

% Chg







(+) Cash and Cash Equivalents

1,125,381






911,015






23.5%







Cash and Bank Deposits

15,470






6,078






154.5%







Cash Equivalents

1,109,911






904,937






22.7%







(-) Loans and Financing

2,054,267






2,195,161






-6.4%







Current

60,668






363,554






-83.3%







Non-Current

1,993,599






1,831,607






8.8%







(-) Accounts Payable to Selling Shareholders

440,597






530,772






-17.0%







Current

110,640






185,318






-40.3%







Non-Current

329,957






345,454






-4.5%







(-) Other Short and Long Term Obligations

-






-






n.a.







(=) Net Debt (Cash) excluding IFRS 16

1,369,483






1,814,918






-24.5%







(-) Lease Liabilities

1,065,746






978,336






8.9%







Current

55,772






45,580






22.4%







Non-Current

1,009,974






932,756






8.3%







Net Debt (Cash) with IFRS 16

2,435,229






2,793,254






-12.8%







(1) Financial information for 2025 is unaudited.


CAPEX


Capital expenditure consists of the purchase of property and equipment and intangible assets, including expenditure mainly related to the expansion and maintenance of Afya’s campuses and headquarters, leasehold improvements, and the development of new solutions in Medical Practice Solutions and content in Continuing Education.


For the twelve-month period ended December 31, 2025, CAPEX totaled R$404.0 million, including an acceleration in intangible investments in the fourth quarter. Excluding the license payment related to the FUNIC acquisition, CAPEX was R$ 304.4 million, representing 8.2% of Afya’s revenue.



Table 12: CAPEX


(in thousands of R$)
For the twelve months period ended December 31,



 






20252






2024






% Chg







CAPEX

404,011






392,615






2.9%







Property and equipment

166,014






136,924






21.2%







Intangible assets

237,997






255,691






-6.9%







- Licenses1

99,629






157,227






-36.6%







- Others

138,368






98,464






40.5%







(1) One-off effects include: (i) R$ 99.6 million in May 2025, related to the acquisition of FUNIC, which added 60 medical seats; (ii) R$ 49.6 million in January 2024, related to the earn-out of FIP Guanambi, following the expansion of 40 medical seat, and (iii) R$107.6 million in July 2024, related to the earn-out of UNIMA, due to the expansion of 80 seats.


(2) Financial information for 2025 is unaudited.


ESG Metrics


ESG commitment is a crucial part of Afya’s strategy and is deeply ingrained in the Company’s core values. Afya has been advancing year after year on its core pillars and, since 2021, ESG metrics have been disclosed in the Company’s quarterly financial results in three key metrics, Governance and Employee Management, Environmental and Social.


The 2024 Sustainability Report can be found at: https://ir.afya.com.br/annual-report/



Table 13: ESG Metrics 1, 2 & 3

2025






 






2024






 






2023






 








#






GRI





Governance and Employee Management






1






405-1





Number of employees

9,395






 






9,717






 






9,680






 








2






405-1





Percentage of female employees

60






%






59






%






58






%








3






405-1





Percentage of female employees in the board of directors

22






%






30






%






36






%








4






102-24





Percentage of independent member in the board of directors

44






%






40






%






36






%








 






 





Environmental






5






 





Total renewable energy generated by own photovoltaic plants (MWh)

5,588.210






 






6,329.796






 






4,510.637






 








6






302-1





Total energy consumed (MWh)

26,764.601






 






24,260.662






 






24,036.608






 








7






302-1





% of renewable energy consumed from own generation

18.1






%






23.2






%






16.0






%








8






302-1





% of energy consumed from the power grid

30.8






%






34.8






%






60.3






%








9






302-1





% of energy consumed from the free market

51.1






%






42.0






%






23.7






%








 






 





Social






10






413-1





Number of free clinical consultations offered by Afya

897,793






 






846,264






 






586,611






 








11






 





Number of physicians graduated in Afya's campuses

26,313






 






22,867






 






20,197






 








12






201-4





Number of students with financing and scholarship programs (FIES and PROUNI)

16,148






 






12,342






 






10,584






 








13






 





% students with scholarships over total undergraduate students

18.8






%






16.0






%






16.0






%








14






413-1





Hospital, clinics and city halls partnerships

596






 






614






 






649






 








 






 











(1) Some factors can influence in the adequate proportionality analysis of data over the years, such as: climate changes, COVID-19 pandemic effects, seasonalities, number of employees, number of students, number of active units, among others.


(2) Starting in 2Q22, previously disclosed social data were updated to consider: (a) the number of graduated physicians considering all units after its closing, and (b) partnerships related only to medical schools.


(3) The number of students with financing and scholarship programs (FIES and PROUNI) in 2023 excludes students from the Unima and FCM Jaboatão acquisition. As of 2Q25, it also includes students from the UNIDOM acquisition.


1. Conference Call and Webcast Information




When:






March 12, 2026 at 5:00 p.m. EDT.








 



Who:






Mr. Virgilio Gibbon, Chief Executive Officer









Mr. Luis André Blanco, Chief Financial Officer









Ms. Renata Costa Couto, IR Director








 



Webcast:






https://afya.zoom.us/j/98271618661







OR


Dial-in:


Brazil: +55 21 3958 7888 or +55 11 4632 2236 or +55 11 4632 2237 or +55 11 4680 6788 or +55 11 4700 9668.


United States: +1 346 248 7799 or +1 360 209 5623 or +1 386 347 5053 or +1 507 473 4847 or +1 564 217 2000 or +1 646 931 3860 or +1 669 444 9171 or +1 669 900 6833 or +1 689 278 1000 or +1 719 359 4580 or +1 929 205 6099 or +1 253 205 0468 or +1 253 215 8782 or +1 301 715 8592 or +1 305 224 1968 or +1 309 205 3325 or +1 312 626 6799.


Webinar ID: 982 7161 8661


Other Numbers: https://afya.zoom.us/u/aRK0ROGaH


2. About Afya Limited (Nasdaq: AFYA; B3: A2FY34)


Afya is a leading medical education group in Brazil based on the number of medical school seats, delivering an end-to-end physician-centric ecosystem that serves and empowers students and physicians to transform their ambitions into rewarding lifelong experiences from the moment they join us as medical students through their medical residency preparation, graduation program, continuing medical education activities and offering medical practice solutions to help doctors enhance their healthcare services through their whole career. For more information, please visit www.afya.com.br.


3. Forward – Looking Statements


This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which statements involve substantial risks and uncertainties. All statements other than statements of historical fact could be deemed forward-looking, including risks and uncertainties related to statements about our competition; our ability to attract, upsell and retain students; our capacity to increase tuition prices; our ability to anticipate and meet the evolving needs of students and teachers; our capacity to source and successfully integrate acquisitions; as well as general market, political, economic, and business conditions. Additionally, these statements include financial targets such as revenue, share count and IFRS and non-IFRS financial measures including gross margin, operating margin, net income (loss) per diluted share, and free cash flow. These statements are not guarantees of future performance and undue reliance should not be placed on them.


The Company assumes no obligation to update any forward-looking statements made in this press release to reflect events or circumstances occurring after its publication, nor to incorporate new information or the occurrence of unanticipated events, except as required by law. The achievement or success of the matters covered by such forward-looking statements involves known and unknown risks, uncertainties and assumptions. If any of these risks or uncertainties materialize or if any of the assumptions prove incorrect, our results could differ materially from those expressed or implied by the forward-looking statements we make.


Readers should not rely upon forward-looking statements as predictions of future events. Forward-looking statements represent management’s beliefs and assumptions only as of the date they are made. Further information on these and other factors that could affect the Company’s financial results is included in filings made with the United States Securities and Exchange Commission (SEC) from time to time, including the section titled “Risk Factors” in the most recent annual report on Form 20-F. These documents are available in the SEC Filings section of the investor relations section of our website at: https://ir.afya.com.br/.


4. Non-GAAP Financial Measures


To supplement the Company's consolidated financial statements, which are prepared and presented in accordance with IFRS accounting standards as issued by the International Accounting Standards Board—IASB, Afya presents Adjusted EBITDA, Operating Cash Conversion Ratio, Adjusted Net Income and Adjusted EPS, which are non-GAAP financial measures, for the convenience of investors. A non-GAAP financial measure is generally defined as one that intends to measure financial performance but excludes or includes amounts that would not be equally adjusted in the most comparable GAAP measure.


Afya calculates Adjusted EBITDA as net income plus/minus net financial result, plus income taxes expense, plus depreciation and amortization, plus interest received on late payments of monthly tuition fees, plus share-based compensation, plus/minus income share associate, plus/minus non-recurring expenses/income. Operating Cash Conversion Ratio is calculated as the Cash flow from Operating Activities plus income taxes paid, minus/plus non-recurring expenses/income divided by Adjusted EBITDA. The calculation of Adjusted Net Income is the Net Income plus amortization of customer relationships and trademark, plus share-based compensation, plus/minus non-recurring expenses/income. The calculation of Adjusted EPS is the Adjusted Net Income minus the non-controlling interests divided by the Weighted average number of outstanding shares.


The non-GAAP supplemental financial measures are provided with the intend to help investors in assessing the overall performance of Afya’s business regarding its core operations, cash generation and profitability. The non-GAAP financial measures described in this release are not substitutes for the IFRS measures. In addition, the calculations of Adjusted EBITDA, Operating Cash Conversion Ratio, Adjusted Net Income and Adjusted EPS are not standardized financial measures and may differ from the calculations used by other companies, including competitors in the education services industry, and therefore, Afya’s measures may not be comparable to those of other companies.


5. Investor Relations Contact


E-mail: ir@afya.com.br


6. Financial Tables




Consolidated statements of financial position




As of December 31, 2025 and 2024




(In thousands of Brazilian reais)








 









2025







2024








Assets






(unaudited)






 






 








Current assets






 










Cash and cash equivalents






1,125,381






 






911,015








Trade receivables






717,373






 






595,898








Recoverable taxes






13,429






 






7,139








Income taxes recoverable






23,046






 






18,587








Other assets






62,947






 






57,145








Total current assets






1,942,176






 






1,589,784









 






 






 








Non-current assets






 






 






 








Trade receivables






34,985






 






35,948








Deferred tax assets






12,552






 






-








Other assets






125,480






 






115,875








Investment in associate






46,518






 






54,442








Property and equipment






711,485






 






658,482








Right-of-use assets






896,758






 






842,219








Intangible assets






5,587,980






 






5,532,789








Total non-current assets






7,415,758






 






7,239,755








Total assets






9,357,934






 






8,829,539









 






 






 








Liabilities






 






 






 








Current liabilities






 






 






 








Trade payables






123,581






 






128,080








Loans and financing






60,668






 






363,554








Lease liabilities






55,772






 






45,580








Accounts payable to selling shareholders






110,640






 






185,318








Advances from customers






158,035






 






161,048








Dividends payable






192






 






-








Labor and social obligations






217,526






 






208,076








Taxes payable






36,043






 






33,456








Income taxes payable






112,638






 






4,247








Other liabilities






8,946






 






10,836








Total current liabilities






884,041






 






1,140,195









 






 






 








Non-current liabilities






 






 






 








Loans and financing






1,993,599






 






1,831,607








Lease liabilities






1,009,974






 






932,756








Accounts payable to selling shareholders






329,957






 






345,454








Taxes payable






77,487






 






84,407








Deferred tax liabilities






-






 






28,274








Provision for legal proceedings






128,220






 






113,521








Other liabilities






43,471






 






42,742








Total non-current liabilities






3,582,708






 






3,378,761








Total liabilities






4,466,749






 






4,518,956









 






 






 








Equity






 






 






 








Share capital






17






 






17








Additional paid-in capital






2,320,422






 






2,344,521








Treasury shares






(306,010)






 






(273,955)








Share-based compensation reserve






202,815






 






187,497








Retained earnings






2,634,552






 






2,011,875








Equity attributable to the owners of the Company






4,851,796






 






4,269,955








Non-controlling interests






39,389






 






40,628








Total equity






4,891,185






 






4,310,583








Total liabilities and equity






9,357,934






 






8,829,539









Consolidated statements of income and comprehensive income




For the years ended December 31, 2025, 2024 and 2023




(In thousands of Brazilian reais, except for earnings per share information)








 








 






2025






 






2024






 






2023








 






(unaudited)






 






 






 






 








 






 






 






 






 






 








Revenue






3,697,255






 






3,304,329






 






2,875,913








Cost of services






(1,313,895)






 






(1,215,603)






 






(1,109,813)








Gross profit






2,383,360






 






2,088,726






 






1,766,100








 






 






 






 






 






 








Selling, general and administrative expenses






(1,113,065)






 






(1,008,427)






 






(940,132)








Allowance for expected credit losses






(57,090)






 






(60,894)






 






(74,552)








Other income






18,762






 






13,299






 






53,206








Other expenses






(18,857)






 






(20,591)






 






(37,561)








 






 






 






 






 






 








Operating income






1,213,110






 






1,012,113






 






767,061








 






 






 






 






 






 








Finance income






194,943






 






111,283






 






110,642








Finance expenses






(561,024)






 






(458,742)






 






(457,616)








Net finance result






(366,081)






 






(347,459)






 






(346,974)








 






 






 






 






 






 








Share of profit of equity-accounted investee, net of tax






13,916






 






11,737






 






9,495








 






 






 






 






 






 








Income before income taxes






860,945






 






676,391






 






429,582








 






 






 






 






 






 








Income taxes expenses






 






 






 






 






 








Current






(133,328)






 






(24,238)






 






(27,399)








Deferred






40,826






 






(3,233)






 






3,233








 






 






 






 






 






 








Net income






768,443






 






648,920






 






405,416








 






 






 






 






 






 








Other comprehensive income






-






 






-






 






-








 






 






 






 






 






 








Total comprehensive income






768,443






 






648,920






 






405,416








 






 






 






 






 






 








Net income / total comprehensive income attributable to:






 






 






 






 






 








Owners of the Company






752,461






 






631,510






 






386,324








Non-controlling interests






15,982






 






17,410






 






19,092








 






768,443






 






648,920






 






405,416









 






 






 






 






 








Basic earnings per common share






8.32






 






7.01






 






4.30








Diluted earnings per common share






8.24






 






6.93






 






4.27









Consolidated statements of cash flows




For the years ended December 31, 2025, 2024 and 2023




(In thousands of Brazilian reais)








 








 






2025






 






2024






 






2023








 






(unaudited)






 






 






 






 








Operating activities






 






 






 






 






 








Income before income taxes






860,945






 






676,391






 






429,582








Adjustments to reconcile income before income taxes






 






 






 






 






 








Depreciation and amortization expenses






373,344






 






333,341






 






289,511








Write-off of property and equipment






3,062






 






2,539






 






1,910








Write-off of intangible assets






275






 






244






 






413








Allowance for expected credit losses






57,090






 






60,894






 






74,552








Share-based compensation expense






15,318






 






32,424






 






31,535








Net foreign exchange differences






1,816






 






7,027






 






681








Accrued interest






316,379






 






254,386






 






285,447








Accrued interest on lease liabilities






123,067






 






111,966






 






100,849








Share of profit of equity-accounted investee, net of tax






(13,916)






 






(11,737)






 






(9,495)








Provision (reversal) for legal proceedings






23,250






 






9,705






 






(40,044)








 






 






 






 






 






 








Changes in assets and liabilities






 






 






 






 






 








Trade receivables






(177,602)






 






(97,449)






 






(131,336)








Recoverable taxes






(10,749)






 






18,107






 






(15,353)








Other assets






(10,798)






 






11,220






 






88,427








Trade payables






(4,499)






 






18,126






 






24,500








Taxes payable






(18,109)






 






(14,798)






 






3,278








Advances from customers






(3,013)






 






6,329






 






(17,892)








Labor and social obligations






9,450






 






8,414






 






31,525








Payments of legal proceedings






(6,873)






 






(4,637)






 






(16,781)








Other liabilities






9,196






 






30,687






 






(42,542)








 






1,547,633






 






1,453,179






 






1,088,767








Income taxes paid






(16,046)






 






(20,520)






 






(45,144)








Net cash flows from operating activities






1,531,587






 






1,432,659






 






1,043,623








 






 






 






 






 






 








Investing activities






 






 






 






 






 








Acquisition of property and equipment






(166,014)






 






(136,924)






 






(118,435)








Acquisition of intangibles assets






(197,997)






 






(255,691)






 






(126,993)








Dividends received






15,553






 






7,501






 






9,900








Acquisition of non-controlling interest






-






 






-






 






(21,000)








Acquisition of assets and subsidiaries, net of cash acquired






(144,076)






 






(627,568)






 






(815,005)








Payments of interest






(14,536)






 






(78,931)






 






(71,518)








Net cash flows used in investing activities






(507,070)






 






(1,091,613)






 






(1,143,051)








 






 






 






 






 






 








Financing activities






 






 






 






 






 








Payments of principal of loans and financing






(1,624,911)






 






(128,696)






 






(112,630)








Payments of interest






(309,337)






 






(177,192)






 






(175,889)








Proceeds from loans and financing






1,494,881






 






491,593






 






5,288








Payments of principal of lease liabilities






(49,411)






 






(41,221)






 






(31,473)








Payments of interest of lease liabilities






(121,475)






 






(111,605)






 






(103,911)








Treasury shares repurchase






(77,002)






 






-






 






(12,369)








Proceeds from exercise of stock options






25,733






 






9,376






 






9,791








Dividends paid






(146,813)






 






(18,289)






 






(18,750)








Net cash flows from (used in) financing activities






(808,335)






 






23,966






 






(439,943)








Net foreign exchange differences






(1,816)






 






(7,027)






 






(681)








Net increase (decrease) in cash and cash equivalents






214,366






 






357,985






 






(540,052)








Cash and cash equivalents at the beginning of the year






911,015






 






553,030






 






1,093,082








Cash and cash equivalents at the end of the year






1,125,381






 






911,015






 






553,030







 

View source version on businesswire.com: https://www.businesswire.com/news/home/20260312732176/en/
Investor Relations Contact:

Afya Limited

ir@afya.com.br


Original: Afya Limited Announces Fourth Quarter and Twelve Months 2025 Financial Results