YDUQS (YDUQ3) Posts Record Cash Generation of R$ 364 Million in 3Q26

Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) totaled R$ 490 million in 3Q26, down 3% from R$ 508 million in 3Q25. The adjusted margin went from 38% to 36%, a decline of 1.9 percentage points. Adjusted net income for the quarter was R$ 138.9 million, down 10.1% year over year, compared with R$ 154.5 million in 3Q25. In the first nine months of 2026, shareholder cash flow was R$ 565 million, up 1%, and adjusted net income was R$ 303 million, down 11% from R$ 339 million in the first nine months of 2025. Year to date, net revenue was R$ 4,275.7 million (+1.4%) and adjusted EBITDA was R$ 1,394.5 million (-1.5%). The company attributes part of the decline to lower revenue from the DIS model (private tuition financing).

By segment, in 3Q26 Idomed revenue was R$ 342 million, Ibmec's was R$ 108 million, and Estácio and Wyden's was R$ 925 million. On-campus undergraduate enrollment at Estácio and Wyden grew 8% over 3Q25. Ibmec's undergraduate student base rose 14%. The average receivables period fell from 88 to 72 days. Operating cash generation was R$ 511.8 million (+9.1%), the highest quarterly figure in the historical series, and the conversion of EBITDA ex-IFRS 16 into cash was 137.6%.

Net debt excluding IFRS 16 effects (the accounting standard for leases) was R$ 2.642 billion, and leverage stood at 1.43x, versus 1.52x in 3Q25. Cash totaled R$ 1.521 billion. In August 2026, the company issued its 13th debenture, with a spread of CDI + 0.90% and an average maturity extended from 2.9 to 3.5 years.

The company reiterated its 2026 guidance: shareholder cash flow between R$ 520 million and R$ 620 million and earnings per share between R$ 1.40 and R$ 2.00. Regarding the merger with Afya, whose agreement was signed on September 23, the extraordinary general meeting is scheduled for November 25, 2026, and closing is expected within 12 months after signing, subject to approval by Cade.