Cogna Educação (COGN3) investor relations material

Executive summary

• Celebrated 60 years since founding, now serving over 25 million students and transforming into a leading educational platform in Brazil.

• Successfully integrated Vasta, Saber, and Cogna operations, creating two main verticals: Basic and Higher Education, with new segmentation for On-site, Hybrid, and Distance Learning.

• Demonstrated ambidexterity by evolving core business and expanding new growth fronts, notably B2G and new product launches.

• All business units reported double-digit revenue and EBITDA growth, with strong operational and free cash flow generation.

• Regulatory changes impacted course offerings, especially in nursing and pedagogy, but adaptation is underway.

Financial highlights

• Net revenue grew 31.9% year-over-year to R$2.1 billion in Q1 2026/2028.

• Recurring EBITDA increased 22.2% to R$679.6 million, with margin at 31.7%, down 2.5 p.p.

• Net income rose 48.7% to R$141.4 million, driven by operational improvements.

• Free cash flow grew 68.7% to R$252.5 million year-over-year.

• Net debt reduced to R$30.4 million, leverage improved to 1.13x EBITDA from 1.28x in 1Q25.

Outlook and guidance

• Optimistic for continued growth in both Basic and Higher Education segments, with focus on productivity gains and operational efficiency.

• Ongoing expansion of new growth avenues, including B2G and product innovation.

• Expect further margin pressure due to regulatory changes and business mix, but nominal revenue growth remains strong.

• Anticipate full adaptation to new regulatory framework by 2027.

• Results exceeded NBTP guidance disclosed in March 2026.