Vasta Platform : Q1 2024 Earnings Presentation

1Q24 Earnings Presentation

May 8, 2024

DISCLAIMER

This presentation contains forward-looking statements that can be identified using forward-looking words such as "anticipate," "believe," "could," "expect," "should," "plan," "intend," "estimate" and "potential," among others. Forward-looking statements appear in several places in this presentation and include, but are not limited to, statements regarding our intent, belief or current expectations. Forward-looking statements are based on our management's beliefs and assumptions and on information currently available to our management. Forward-looking statements speak only as of the date they are made, and we do not undertake any obligation to update them considering new information or future developments or to release publicly any revisions to these statements in order to reflect later events or circumstances or to reflect the occurrence of unanticipated events. Such statements are subject to risks and uncertainties, and actual results may differ materially from those expressed or implied in the forward- looking statements. Further information on these and other factors that could affect our financial results is included in filings we have made and will make with the U.S. Securities and Exchange Commission from time to time, including in the section titled "Risk Factors" in our most recent Form F-1 and 424(b) prospectus. These documents are available on the SEC Filings section of the investor relations section of our website at: https://ir.vastaplatform.com.

We prepared this presentation solely for informational purposes. The information in this presentation does not constitute or form part of, and should not be construed as, an offer or invitation to subscribe for, underwrite or otherwise acquire, any of our securities or securities of our subsidiaries or affiliates, nor should it or any part of it form the basis of, or be relied on in connection with any contract to purchase or subscribe for any of our securities or any of our subsidiaries or affiliates nor shall it or any part of it form the basis of or be relied on in connection with any contract or commitment whatsoever.

We have included in this presentation our EBITDA, Adjusted EBITDA, Free Cash Flow and Adjusted Cash Conversion Ratio, which are non-GAAP financial measures, together with their reconciliations, for the periods indicated. We understand that, although EBITDA, Adjusted EBITDA, Free Cash Flow and Adjusted Cash Conversion Ratio are used by investors and securities analysts in their evaluation of companies, these measures have limitations as analytical tools, and you should not consider them in isolation or as substitutes for analysis of our results of operations as reported under IFRS. Additionally, our calculations of Adjusted EBITDA, Free Cash Flow and Adjusted Cash Conversion Ratio may be different from the calculation used by other companies, including our competitors in the education services industry, and therefore, our measures may not be comparable to those of other companies.

2

Highlights Cycle 2024

+12%

Net revenue

+21%

Adjusted EBITDA

+R$59mn

Free Cash Flow

improvement

Subscription revenue +9% vs 2023;

Expansion of complementary solution: +21% vs 2023; B2G contributed to R$69mn in total Revenue

Adjusted EBITDA R$ 402 million (vs R$ 332 million in 2023); Adjusted EBITDA Margin increase to 39.6% (from 36.5% in 2023);

FCF totaled R$ 52 million (vs negative R$ 7 million in 2023);

LTM FCF / LTM Adjusted EBTIDA conversion improved to 43% (from 31% in 2023);

3

ACV 2024 Bookings revised to +12% vs 2023

Annual Contract Value

(ACV, R$ millions)

1.350

CAGR

+18%1207

1,230

1.024

1,000

692	853	741

716

Cycle 2020	Cycle 2021	Cycle 2022 Cycle 2023 Cycle 2024
COVID	COVID
Effect	Effect	ACV Forecast
-3%	-13%	ACV Achieved

ACV Breakdown

(ACV, R$ millions)

+12%1,350

1,207	188
+30mn
158

1,162

1,049

2023 Subscription	2024 ACV
Core	Complementary

Previous ACV Bookings of R$1.400 reduced by 3.5% due	Top performers: Premium brands, Complementary
to effective number of students	solutions and Textbook as a Service Platform

2024 ACV recognition

The ACV 2024 is less concentrated in the first two quarters (64.5%) than in previous year (66.4%), mainly due product deliveries migrated to third commercial quarter and different seasonality of new contracts.

66.4%64.5%

33.6%35.5%

Net Revenue In R$ (million)

Subscription (ACV)

Cycle to date	Cycle to date
2023	2024
Cycle to Date 23	Cycle to Date 24	%
4Q22 - 1Q23	4Q23 - 1Q24	Y/Y
801	872	+9%

Cycle to Go	Cycle to Go
2023		2024
Cycle to Go 23		Cycle to Go 241	%
2Q23 - 3Q23		4Q23 - 1Q24	Y/Y
406			478	+18%

Cycle 2023

1,207

Cycle 20241

1,350

%

Y/Y

+12%

5

(1) Management's guidance.

Net Revenue

Values in R$ (million)

Quarter

461

403 n.m69

46	-24%	35
	0%
357		357

1Q23	1Q24
Subscription	Non subscription	B2G

Cycle

	1,015
908	69
107	74
-31%

	+9%	872
801

2023	2024
Subscription	Non subscription	B2G

6

Note: The Business is comprised of a single segment. We are presenting in this slide a supplemental information in terms of the sub-segments composing the reportable operating segment.

Adjusted EBITDA and Adjusted EBITDA Margin

Values in R$ (million)

	Quarter			Cycle
				+21%	39.6%
	+2.6p.p	36.5%	+3.1p.p	402
32.6%	35.2%
	162	332
131
1Q23	1Q24	2023		2024

Adjusted by non-recurring expenses, expenses with share-based compensation plans and one-off M&A adjusted expenses.	7

Adjusted EBITDA Margin

(%) Net Revenue

		100%		100%
Gross margin
PDA	64.0%	+3.0pp	66.9%
Commercial Expenses	4.3%	+0.1pp	4.2%
			13.8%
		11.2%	-2.7pp
Adjusted G&A	11.9%	+2.6pp	9.3%
Adjusted EBITDA Margin	36.5%	+3.1pp	39.6%
		2023		2024

Margin analysis as % of Net Revenue

Gross Margin

Increased gross margin benefiting from better product mix and reduced impact of product cost

PDA

Slight improvement in PDA although still impacted by 4Q23 credit review.

Commercial expenses

Higher expenses related to business expansion and marketing investments.

Adj G&A expenses

Reduction are driven by operational efficiencies and workforce optimization indicating greater cost- effectiveness.

Adjusted EBITDA Margin

In 2024 cycle to date the EBITDA margin increased by 3.1 p.p. compared to 2023

8

Adjusted Net Profit

Values in R$ (million)

Quarter

+97%

50

26

1Q231Q24

Cycle

+49%

146

98

20232024

Adjusted by non-recurring expenses, expenses with share-based compensation plans, amortization of intangible assets from business combination, one-off M&A adjusted expenses and one-off	9
contingencies gain, net of the tax shield (34%) originated by these expenses.

Free Cash Flow and LTM FCF / LTM Adj EBITDA conversion

Values in R$ (million)

Quarter	Cycle
	n.m	43%
	31%
52		52

36

		(7)
1Q23	1Q24	2023	2024

10

1) Cash flow from operating activities less: income tax and social contribution paid; tax, civil and labor proceedings paid; interest lease liabilities paid; acquisition of property, plant and equipment; additions to intangible assets; and lease liabilities paid.