Business
Afya Limited Announces First Quarter 2020 Financial Results
Continuing Trend of Growth, Maintaining Strong and Consistent Results; 1H20 Guidance Reaffirmed; Solid Cash Position of R$ 1.3 billion NOVA LIMA, Brazil, May
About this update from Afya Limited
[{"type":"text","content":"Continuing Trend of Growth, Maintaining Strong and Consistent Results; 1H20 Guidance Reaffirmed; Solid Cash Position of R$ 1.3 billion\nNOVA LIMA, Brazil, May 28, 2020 (GLOBE NEWSWIRE) -- Afya Limited (Nasdaq: AFYA) (“Afya” or the “Company”), the leading medical education group in Brazil, today reported financial and operating results for the three-month period ended March 31, 2020. Financial results are expressed in Brazilian Reais and are presented in accordance with International Financial Reporting Standards (IFRS).\n First quarter 2020 main highlights Pro forma Net Revenue grew by 27.2% year over year (YoY), reaching R$272.3 million. Pro forma Net Revenue excluding UniRedentor grew 20.1%.Pro forma Adjusted EBITDA increased 36.0% YoY reaching R$140.6 million, with EBITDA margin of 51.6%, increasing 330 basis points (bps). Pro forma Adjusted EBITDA excluding UniRedentor grew 33.3%, with EBITDA margin expanding 530 bps.Adjusted Net Income of R$124.0 million, up 131.7% YoY.Cash conversion of 80.7% with a solid cash position of R$1,299 million at quarter-end.Intake process for the 2H20 have already captured more candidates than medical seats available, ensuring 100% occupancyConsidering the consolidation of UniSL figures, a 22% growth is projected in medical student base for 2H20 when compared to 1Q20, reaching 9,718 medical students.16,008 monthly active users of Afya Digital in the end of March 2020. Table 1: Financial HighlightsFirst Quarter Considering the adoption of IFRS 16 (in thousand of R$)2020 2019 % Chg 2020 ex-Uniredentor2019 % Chg ex-Uniredentor(a) Net Revenue272,304 144,578 88.3% 257,088 144,578 77.8% (b) Pro forma Net Revenue¹272,304 214,095 27.2% 257,088 214,095 20.1% (c) Adjusted EBITDA²140,644 74,730 88.2% 137,794 74,730 84.4% (d) = (c )/(a) Adjusted EBITDA Margin²51.6% 51.7% -10 b.p 53.6% 51.7% +190 b.p (g) Pro forma Adjusted EBITDA¹ ²140,644 103,409 36.0% 137,794 103,409 33.3% (h) = (e)/(b) Pro forma Adjusted EBITDA¹ ² Margin51.6% 48.3% +330 b.p 53.6% 48.3% +530 b.p (i) Adjusted Net Income124,011 53,531 131.7% 121,964 53,531 127.8% 1. Includes the pro-forma results of Medcel, IPEMED and FASA, as if the acquisition had been consummated on January 1, 2019. 2. See more information on \"Non-GAAP Financial Measures\" (Item 10). Message from Management Virgilio Gibbon, Afya’s CEO, stated: “This was an eventful and ...