Afya delivered solid first-half growth: Revenue rose 7% to BRL 1.985 billion, net income increased 7% to BRL 463 million, and adjusted EBITDA grew 3% to BRL 918 million. However, the adjusted EBITDA margin fell 190 basis points to 46.2% as the company increased sales, marketing and investment spending. Undergraduate medical education remained the main growth driver: Medical students increased 3% to more than 26,000, operating medical seats rose over 6%, and average monthly fees grew nearly 4%.
Management is targeting full occupancy in the second-half intake cycle without changing medical-program prices or offering discounts. Afya is investing while maintaining its outlook and shareholder returns: Spending is accelerating in continuing education and medical practice solutions, where product mix and competition from artificial-intelligence tools pressured growth and margins. The company maintained 2026 adjusted EBITDA guidance of BRL 1.7 billion–BRL 1.8 billion, returned BRL 448 million to shareholders in the first half, and will pursue acquisitions only meeting its 20% minimum unleveraged IRR target.
Afya (NASDAQ:AFYA) reported first-half 2026 revenue of BRL 1.985 billion, up 7% from a year earlier, while adjusted EBITDA rose 3% to BRL 918 million. Net income increased 7% to BRL 463 million, and basic earnings per share rose 9% to BRL 5.10. Chief Executive Officer Virgilio Gibbon said the company's adjusted EBITDA margin was 46.2% for the first six months of 2026, down 190 basis points year over year.
He attributed the margin decline primarily to a lower gross-profit contribution from continuing education, including higher sales and marketing expenses associated with Afya's investment cycle in continuing education and medical practice solutions. → AST SpaceMobile Earnings Just Reminded Investors How Risky Space Can Be Second-quarter revenue totaled BRL 972 million, a 6% year-over-year increase, while adjusted EBITDA increased 1% to BRL 470 million. The quarterly adjusted EBITDA margin was 41.8%. Afya's undergraduate segment generated BRL 1.762 billion of revenue in the first half, an increase of more than 7% from the prior-year period.
The company said 85% of undergraduate revenue came from medical programs and 93% came from health-related courses. → Nebius' Q2 Beat Shows the AI Bottleneck Is Capacity, Not Demand The medical student base grew 3% year over year to more than 26,000 students, while operating medical seats increased more than 6% to 3,768. The net average monthly fee for medical school rose nearly 4% to BRL 9,443. Gibbon said pricing trends in medical courses remained favorable, while health science courses recorded 13% growth compared with the prior year.
During the question-and-answer session, he said Afya was targeting full occupancy for the second-half intake cycle, although enrollment through Brazil's PROUNI program was still being completed and was expected to conclude by September. → On Holding's Price Stumble May Be an Opening for a Company Built to Run He added that Afya was not changing medical-program prices for the second half and was not offering discounts for those programs. In health-related programs, Gibbon said the company was more than 20% ahead of the prior year at the same point in the enrollment process and was growing organically by more than 18% in volume. Continuing education revenue rose 5% to BRL 144 million in the first half.
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