São Paulo-based education company Vasta Platform has reported a 2021 net loss of 118.8 million reais (£18.7 million), compared to a net loss of 45.6 million reais reported for 2020.
Net revenue for sales and services for 2021 was 947.4 million reais, down from 997.6 million reais reported for 2020.
The management issued a statement saying: “The fourth quarter represents a new chapter in Vasta’s history. Vasta leaves behind perhaps the toughest period in the Brazilian K12 sector and the company’s history, and marks the beginning of the collection of the 2022 ACV [annual contract value], which was 35% higher than the subscription revenue collected in the 2021 cycle (4Q20 to 3Q21), resetting the company on its high growth trajectory. Despite the surge of a third wave of Covid-19 cases with the Omicron variant in January, the 2022 school year began within our expectations, with K12 schools fully reopened (with social distance measures still in place), a scenario that enables Vasta to fully convert the 2022 ACV into revenue.
“We are proud to say that this ACV shows a richer mix in sources of revenue, as we managed to grow faster in our premium brands Anglo and pH and to initiate the migration from paper-based products (PAR) to digital subscription products (Textbook-as-a-Service platform), in line with our strategy. The ACV of traditional learning systems increased 31% over 2021 subscription revenue, while complementary solutions once again had the highest growth rate among the business segments (with a 47% increase), evidencing that Vasta has successfully captured the strong cross-selling potential offered by its large core content client base.”
Date published: 25 March 2022