Vasta Platform Limited

our executives will make forward-looking statements. Forward-looking statements generally relate to future events or future financial or operating performance and involve known and unknown risks, uncertainties, and other factors that may cause our actual results to differ materially from those contemplated by these forward-looking statements. Forward-looking statements in this presentation include, but are not limited to, statements related to our business and financial performance, expectations for future periods, our expectations regarding our strategic product initiatives and their related benefit, and our expectations regarding the market. Forward-looking statements are based on our management's beliefs and assumptions and on information currently available to our management. These risks include those set forth in the press release that we are issuing today, as well as those more fully described in our filings with the Securities and Exchange Commission. The forward-looking statements in this presentation are based on the information available to us as of today. You should not rely on them as predictions of future events and we disclaim any obligation to update any forward-looking statements except as required by law. In addition, management may reference non-IFRS financial measures on this call. The non-IFRS financial measures are not intended to be considered in isolation or as a substitute for results prepared in accordance with IFRS. I would now like to turn the call over to Cesar Silva, Chief Financial Officer. Thank you, please go ahead.

Hello everyone, good evening, and thank you for joining us in this conference call to discuss VASTA Platform second quarter of 2025 results. I'm Cesar Silva, VASTA CFO, and today we have the presence of Guilherme Mélaga, VASTA CEO, who will be joining me on the call. Let me now hand over the floor to Guilherme Mélaga, our CFO, to make his opening statements.

Thank you, Cesar, thank you all for participating in our earnings call. Let's move to slide number three with some highlights of 2025. We are now entering the final portion of 2025 sales cycle, which runs from October 2024 to September 2025. I'm pleased to report that in the second quarter, we continue to deliver solid financial and operational performance, with consistent growth across both our core and complementary solutions. A particular highlight this quarter was our free cash flow. Subscription revenue reached ,000,000 in the cycle to date, 16% increase compared to the same period of 2024. This result demonstrates our ability to sustain double digit growth in our core business for the fourth consecutive year. Our complementary solution business grew 24%, supported by accelerated expansion in both student base and market penetration. As a result, net revenue in 2025 cycle to date reached ,000,000, a 14% increase compared to the same period in 2024. This growth was driven by the successful conversion of ACV bookings into revenue, along with the strong performance of complementary business. In the B2G segment, we recorded ,000,000 in revenue from new customers, totaling ,000,000 in the cycle to date. Over the last two quarters, we generated ,000,000 from new customers, mainly municipalities, who began using our product and service, confirming that our strategy is on the right track and diversifying our B2G portfolio into states and municipalities. In the 2024 bail cycle, we booked ,000,000 in revenue from the Pará contract, which was recognized all at once, covering the first and second semester. And in the current cycle, the first semester of Pará was booked in Q4 2024, and the second semester is expected to be performed in the second half of 2025. On the profitability front, adjusted ABTDA reached ,000,000, an 8% increase compared to the previous cycle. The ABTDA margin was 31.1%, reflecting a different product mix, lower -to-date B2G revenue, and higher marketing expenses related to business expansion. In Q2 alone, adjusted ABTDA was ,000,000, with a margin of 11.7%, up 2.9 percentage points from Q2 2024. Free cash flow remains a key strength. In the cycle today, free cash flow totaled ,000,000, an increase of ,000,000, -over-year. In Q2 2025, free cash flow reached ,000,000, 108% increase compared to Q2 2024. Our last 12 months free cash flow to a B2D conversion rate improved to 57.7, driven by growth and sustained efficiency measures. These results reflect our ongoing efforts in operational discipline from automation and collection process to centralized payment scheduling and renegotiation of supplier terms. We also continue to make progress in the leveraging, with net debt ABTDA last 12 months at 1.9 times, down from 2.28 times in Q2 2024. Turning to start angle bilingual school, another important growth avenue, we can say that our operations continue to expand. We implemented five new operating units this year, and together with our two flagship schools, we now have seven units in operation. Closing this quarter, we have signed over 50 contracts, and we are actively working to deliver another strong growth cycle in this business line. Finally, we remain committed to innovation and inclusion. As we prepare for 2026, throughout AI, we will introduce new tools focusing on equity and personalized learning. The Individualized Education Plan, EEP, will empower educators with tailored pedagogical recommendations, supporting inclusive practice and transforming challenges into opportunities for growth. We are confident in our strategy and proud of the progress made so far. I'll now turn back to Cesar Silva, who walk us through the financial results.