It demonstrates how our strategy continues to position Afya for sustainable growth as it continues to transform medical education across Brazil. We've achieved our seventh consecutive year of meeting or exceeding guidance since second half of 2018. This track record reinforce the strength of our business model, the quality of our execution, and the commitment of our teams. Our revenue for the 12-month period grew 12% year-over-year, reached BRL 3,697,000,000 followed by adjusted EBITDA growth of over 50% year-over-year, reaching BRL 1,680,000,000.
Adjusted EBITDA margin for the same period reached 45.4%, an increase of 130 basis points over last year. We also reported a solid cash flow from operating activities, ending the 12-month period with BRL 1,548,000,000 over 6% higher than last year, with a cash conversion of 93.7%. This achievement underscores our disciplined capital allocation on buyback programs, M&A, and an efficient capital structure. Our number of undergrad medical student has reached more than 25,000 students, represent a 5% growth compared to the same period last year.
Furthermore, our medical schools net average strictly excluding acquisition increased by 3% in the 12-month period. In the continuing education segment, we continue to see solid results, presenting a revenue growth of 11% year-over-year, reaching BRL 284 million. For medical practice solutions, we ended the year with an increase in revenue of 6% year-over-year, reaching BRL 171 million in the 12th-month period. In the next slide, starting with the undergrad segment, we delivered a record gross margin of 63.9%, reflecting the strength of our academic model and solid operational discipline.
| Metric | Period | Current guidance |
|---|---|---|
| Revenue | FY2026 | BRL 3.95 billion to BRL 4.1 billion |
| Adjusted EBITDA | FY2026 | BRL 1.7 billion to BRL 1.8 billion |
| Implied adjusted EBITDA margin | FY2026 | approx. 43.5% at midpoint (~190 bps reduction) |
| Implied net revenue growth | FY2026 | approx. 9% at midpoint (undergrad single digit, CE and MPS double digit) |
| M&A capacity target | per year | ~200 medical seats/year at IRR of at least 20% nominal unleveraged |
| Metric | YoY | Note |
|---|---|---|
| Q4 2025 revenue | +8% | BRL 913M, growth across segments |
| FY2025 revenue | +12% | BRL 3,697,000,000, driven by undergrad tickets and seat maturation |
| Undergrad revenue (FY) | +13% | BRL 2,789M vs BRL 2,478M; higher medicine tickets, seat maturation, FUNIC start, full-year consolidation of UNIT Alagoas (acquired July 2024) |
| FY2025 adjusted EBITDA | +15% | BRL 1,680,000,000; higher undergrad and continuing-education gross margins, restructuring in CE and MPS, and SG&A efficiency |
| FY2025 net income | +18% | BRL 768M; stronger operations plus deferred tax asset recognition, partially offset by OECD Pillar Two global minimum tax |
| Continuing education revenue (FY) | +11% | BRL 284M vs BRL 255M; 9% B2P growth and 48% B2B growth, higher graduate-journey participation |
| Medical practice solutions revenue (FY) | +6% | BRL 171M; more favorable product mix and higher average ticket |
| Medical students | +5% | more than 25,000 students; 3,755 approved medical seats |
| Net debt | reduced by BRL 445M | BRL 1,369,000,000 at year-end even after FUNIC acquisition, dividends and buybacks; leverage cut from 1.2x to 0.8x |
| Topic | Previous mention | Current period | Trend |
|---|---|---|---|
| Physician-lifecycle ecosystem integration and monetization | — | Three-year program to integrate CE and MPS products for the same physician persona into a unified membership-style platform, growing audience (301,000 users) to sustain low undergrad customer-acquisition cost | — |
| Incremental investment in CE and MPS | — | Investment program launched in Q4 2025 (higher intangible CapEx, reinforced product and sales teams) driving the ~190 bps 2026 margin reduction | — |
| Capital allocation framework | — | Balances M&A (~200 seats/yr, IRR >=20%), share buyback (~1/3 of FCF, 4M shares ~BRL 300M) and dividends (40% of net income); FCF over BRL 1bn funds all three | — |
| Organic and inorganic seat expansion | — | Acquired 60 seats (Afya Contagem) and secured 102 additional authorized seats (Bragança 100, Pato Branco 2); M&A strategy unchanged | — |
| ENAMED / PROFIMED regulation | — | No ENAMED impact expected in 2026 (near-100% intake occupancy); new ENAMED expected September with 12 mock-test simulations planned; PROFIMED still under Senate discussion, nothing approved | — |
| Shareholder returns | — | Added cash dividends alongside buybacks; EPS CAGR 37% and FCF CAGR 32% since 2021; dividend yield 4.76% | — |