Ser Educacional (SEER3) Q2 2026 earnings summary

Executive summary

• Net income rose 30.7% year-over-year to R$106.3 million, with adjusted net income up 33.3% to R$115.4 million and net margin exceeding 17%.

• Net revenue increased 5.6% to R$622.0 million, driven by on-campus undergraduate and medical school expansion, with on-campus now 83% of total revenue.

• Adjusted EBITDA grew 10.8% to R$180.7 million, with margin expanding to 29.1%.

• On-campus undergraduate student base grew 4.4% year-over-year, offsetting declines in distance/blended learning.

• Robust cash generation enabled increased shareholder remuneration and further strengthened the capital structure.

Financial highlights

• Gross profit increased 7.5% year-over-year to R$381.8 million, with gross margin up 1.1 p.p. to 61.4%.

• Net operating cash generation post-CapEx surged 68.6% to R$58.0 million, with EBITDA-to-cash conversion improving.

• Net debt declined 31.5% to R$443.0 million, with net debt/adjusted EBITDA at 0.75x, the lowest since Dec 2021.

• Dividend payments increased to R$61.1 million, over three times higher than the prior year.

• CAPEX totaled R$23.8 million in 2Q26, mainly for campus upgrades, equipment, and licenses.

Outlook and guidance

• Focus remains on profitable growth, operational efficiency, and organic expansion, especially in medicine.

• Expectation for average medicine tuition to normalize at BRL 9,500–9,600 in the second semester.

• Digital learning segment expected to recover in 2027 after sector adaptation to new regulations.

• No formal net income growth guidance, but positive profit growth expected due to operational leverage and financial improvements.

• Recurring financial benefits anticipated from recent debt refinancing at lower cost.