Afya Limited Stock Price, News & Analysis

Afya (Nasdaq: AFYA; B3: A2FY34) has announced its financial results for Q2 and the first half of 2024. Notable highlights include:

For Q2 2024:

• Net Revenue increased by 13.7% YoY to R$809.9 million.
• Adjusted EBITDA grew by 28.2% YoY to R$343.8 million, with a margin of 42.5%, up 490 bps YoY.
• Net Income surged 85.3% YoY to R$162.2 million; Adjusted Net Income rose by 59.5% YoY to R$210.3 million, with Adjusted EPS up 61.8%.

In H1 2024:

• Net Revenue increased by 13.5% YoY to R$1,614.1 million.
• Adjusted EBITDA grew by 23.9% YoY to R$741.7 million, with a margin of 45.9%, up 380 bps YoY.
• Net Income increased by 80.5% YoY to R$370.5 million; Adjusted Net Income rose by 54.7% YoY to R$461.3 million, with Adjusted EPS up 56.9%.

Afya has approved 80 additional seats at UNIMA Alagoas and closed the acquisition of Unidom, adding 300 seats. The company's ecosystem now includes ~320,000 users.

Afya (Nasdaq: AFYA; B3: A2FY34), Brazil's leading medical education and practice solutions provider, has secured a sustainability-linked loan of up to R$500 million from the International Finance (IFC). This financing, IFC's first in the education sector tied to social targets, will support Afya's expansion through acquisitions.

The loan's pricing is linked to Afya achieving specific social key performance indicators, including free medical consultations for the community and education quality metrics. The loan terms include:

• Repayment in 7 semi-annual installments starting April 2027
• Interest rate: Brazilian CDI rate plus 1.2%
• Potential 15 bps rate reduction if sustainability targets are met

This strategic move underscores Afya's commitment to sustainable growth and social impact in Brazil's healthcare education sector.

Afya (Nasdaq: AFYA; B3: A2FY34), Brazil's leading medical education and practice solutions provider, has released its 2023 Sustainability Report. The report adheres to Global Reporting Initiative (GRI) standards and aligns with the Sustainable Development Goals (SDGs). It also incorporates indicators from the Sustainability Accounting Standards Board (SASB) and elements from the International Integrated Reporting Council (IIRC).

The report includes results from Afya's fourth Greenhouse Gas (GHG) Emissions Inventory. Both the sustainability report and the GHG inventory have been independently audited by KPMG. This comprehensive document showcases Afya's sustainability journey throughout 2023, emphasizing its commitment to transparent and responsible business practices in the medical education sector.

Afya (Nasdaq: AFYA; B3: A2FY34) has announced that the Secretary of Regulation and Supervision of Higher Education of Brazil's Ministry of Education has approved an increase of 80 medical seats at Centro Universitário de Maceió (UNIMA Alagoas), totaling 220 seats at this institution.

This expansion will incur an additional payment of R$ 1.25 million per seat, adjusted by IPCA from January 2, 2023, until the payment date. This move contributes to Afya's total of 3,583 approved seats, reinforcing its position as a leading medical education provider in Brazil.

Afya has completed the acquisition of Unidompedro and Faculdade Dom Luiz, expanding its presence in Salvador, Brazil. The acquisition brings 300 operational medical school seats, with 125 fully authorized and 175 pending final judicial approval. Afya paid R$ 347.8 million upfront and will pay R$ 312.2 million over ten years, contingent on authorization maintenance. The purchase price could be adjusted based on legal outcomes. Projected Net Revenue for 2024 is R$ 110.5 million, growing to R$ 267 million by 2027. The estimated EV/EBITDA at maturity is 4.2x post synergies.

Afya (Nasdaq: AFYA; B3: A2FY34), a leading medical education group in Brazil, announced the resignation of Mrs. Shobhna Mohn from its Board of Directors, effective June 30, 2024. Mohn's departure is unrelated to Afya’s operations or practices. During her tenure, she contributed significantly to Afya's growth, supporting its journey to becoming a top medical education and practice solutions provider in Brazil. Afya highlighted her strategic insights and leadership as pivotal to its success. The company has no immediate plans to fill her position. The board remains committed to strong governance with diverse skills and experience.

Afya (Nasdaq: AFYA; B3: A2FY34), a leading medical education and practice solutions provider in Brazil, announced the successful passage of a key resolution at its Annual General Meeting on June 5, 2024. Shareholders approved and ratified the company's financial statements and the auditor’s report for the fiscal year ending December 31, 2023.

Afya has announced its Annual General Meeting (AGM) scheduled for June 5, 2024, at 10:00 a.m. BRT. The meeting will take place at their Nova Lima office and virtually through a provided link. The main agenda item is the approval and ratification of the company's financial statements and the auditor's report for the fiscal year ending December 31, 2023. The record date for shareholders eligible to attend is May 10, 2024. The company encourages shareholders to participate and vote, either in person or via proxy. The company's financial statements are available on their investor relations website.

Afya reported solid financial results for the first quarter of 2024, with a 13.3% increase in net revenue to R$804.2 million and a 20.5% growth in adjusted EBITDA to R$397.9 million, leading to an adjusted EBITDA margin expansion of 300 bps. The company also saw significant increases in net income and adjusted net income. Afya's ecosystem reached 334,368 users, reflecting its strong presence in the medical education and practice solutions market in Brazil. The company reaffirmed its guidance for 2024, aiming for continued growth and acquisitions to enhance its offerings.