Vasta Platform (US:VSTA)2025-03-12 20:21Financial Performance - In the fiscal year 2024, Vasta's net revenue increased by 13% to R$1,674 million, with a 26% increase in 4Q24 compared to the previous year[3]. - Subscription revenue for 2024 totaled R$1,462 million, a 14% increase year-over-year, with 4Q24 subscription revenue growing by 20% to R$619 million[3]. - Adjusted EBITDA for 2024 grew by 13% to R$508 million, with an Adjusted EBITDA Margin of 30.4%, up from 30.3% in 2023[3]. - The company reported a profit for the year of $486,354, a significant recovery from a loss of $82,978 in 2023[86]. - Profit before income tax for 2024 was $307.1 million, a significant recovery from a loss of $119.7 million in 2023[90]. - Adjusted net profit for 4Q24 was R$114 million, reflecting an 18.9% increase from R$95.9 million in 4Q23[29]. - The company achieved a free cash flow of R$69.3 million in 4Q24, a substantial improvement from a negative R$0.1 million in 4Q23[34]. - Cash generated from operating activities increased to $377.8 million in 2024, compared to $360.6 million in 2023[90]. Revenue Segments - The B2G segment generated R$105 million in revenue for 2024, a 29% increase from R$81 million in 2023[8]. - The company experienced significant seasonal revenue peaks in the first and fourth quarters, aligning with the academic calendar[75]. Cost and Expenses - Gross profit for the year was $1,020,742, compared to $915,366 in the previous year, indicating a gross margin improvement[86]. - Depreciation and amortization expenses rose to $294.1 million in 2024, up from $287.8 million in 2023[90]. - Interest on bonds decreased to $96.8 million in 2024 from $117.5 million in 2023[90]. - The company incurred impairment losses on trade receivables amounting to $53.0 million in 2024, slightly down from $55.8 million in 2023[90]. Cash Flow and Liquidity - Free cash flow (FCF) for 2024 was R$215 million, a 14% increase from R$189 million in 2023, with a conversion rate of FCF/Adjusted EBITDA improving from 41.8% to 42.4%[10]. - Cash and cash equivalents decreased to $84,532 in 2024 from $95,864 in 2023, reflecting changes in cash flow management[81]. - Net cash used in financing activities was $217.7 million in 2024, slightly higher than $213.4 million in 2023[90]. - The company reported a net cash inflow from investing activities of $30.9 million in 2024, compared to an inflow of $44.7 million in 2023[90]. Debt and Liabilities - Vasta's net debt/LTM adjusted EBITDA ratio improved to 1.97x as of 4Q24, indicating effective liability management strategies[10]. - The net debt position decreased to R$1,003 million in 4Q24, down R$61 million from R$1,064 million in 4Q23, with a net debt/LTM adjusted EBITDA ratio of 1.97[35]. - Total liabilities decreased to $2,211,844 in 2024 from $2,882,089 in 2023, showing improved financial health[84]. Customer and Market Insights - The number of partner schools using complementary solutions increased by 455, totaling 2,177 schools, representing a 22% growth year-over-year[15]. - The customer satisfaction assessment index (NPS) improved by over 30 points in the last 12 months, reflecting enhanced service quality[12]. - The Annual Contract Value (ACV) metric indicates strong demand for the company's solutions, calculated based on the number of enrolled students and average ticket per student[78]. Technological Advancements - The technology platform Plurall introduced an AI-powered intelligent assistant, enhancing personalized learning experiences for students and teachers[6]. - The company plans to continue expanding its product portfolio and enhancing its technological capabilities to adapt to market demands[68]. Human Resources and Safety - The number of C-level women executives decreased to 22% in Q4 2024 from 29% in Q4 2023, a drop of 7 percentage points[46]. - Total leadership positions (≥ managers) decreased by 20.9% year-over-year to 117 in Q4 2024, down from 148 in Q4 2023[46]. - The total number of employees trained in health and safety decreased significantly to 84 in Q4 2024 from 1,070 in Q4 2023, a decline of 92.1%[50]. - The injury frequency rate rose to 2.3 in Q4 2024, a 156.7% increase compared to 0.9 in Q4 2023[50]. - The number of external complaints substantiated by the organization increased to 3 in Q4 2024, up from 2 in Q4 2023, a 50% increase[59]. - The number of confirmed incidents of discrimination remained at 0 in Q4 2024, consistent with Q4 2023[55]. Environmental Impact - Total energy consumption increased by 4% year-over-year to 3,059 GJ in Q4 2024, up from 2,933 GJ in Q4 2023[45]. - The percentage of energy from renewable sources decreased to 87% in Q4 2024, down from 97% in Q4 2023, a decline of 9.8 percentage points[45].