CSU Digital S A : 1Q24 Financial Statement

(A free translation of the original in Portuguese)

CSU DIGITAL S.A.

Individual and Consolidated Financial Statements March 31, 2024

and independent auditor's report

1

CSU DIGITAL S.A.

Full set of financial statements

At March 31, 2024

Index

Capital	3
Individual of financial statements
Balance sheet	4
Statement of income	6
Statement of comprehensive income	7
Statement of changes in equity	8
Statement of cash flows	10
Statement of value added	11
Consolidated of financial statements
Balance sheet	12
Statement of income	14
Statement of comprehensive income	15
Statement of changes in equity	16
Statement of cash flows	18
Statement of value added	19
Management Report	20
Notes to the financial statements	52
Other Information	83
Independent auditor's report on review of Full set of financial statements	84
Officers' statement on the financial statements	86
Officers' statement on the independent auditor's report	88

2

(A free translation of the original in Portuguese)

Full set of financial statements - 03/31/2024- CSU DIGITAL S.A.

Company information/Capital Composition

Number of Shares	Last Financial Year
(Thousand)	03/31/2024
Paid-in Capital
Ordinary	41,800
Preferenciais	0
Total	41,800
Treasury shares
Ordinary	544
Preferenciais	0
Total	544

3

(A free translation of the original in Portuguese)

Full set of financial statements - 03/31/2024- CSU DIGITAL S.A.

Individual of financial statements/balance sheet - assets

(R$ thousand)

Code	Description	Current year	Prior year
03/31/2024	12/31/2023
1	Total Assets	667,603	606,534
1.01	Current assets	191,751	169,821
1.01.01	Cash and Cash Equivalent	89,649	74,608
1.01.03	Trade receivable	78.675	76,879
1.01.03.01	Customers	78.675	76,879
1.01.04	Inventories	2,783	2,449
1.01.06	Securities	8,859	6,963
1.01.06.01	Current securities	8,859	6,963
1.01.06.01.01	Income tax and social contribution	6,831	5,368
1.01.06.01.02	Other taxes to offset	2,028	1,595
1.01.08	Other current assets	11,785	8,922
1.01.08.03	Others	11,785	8,922
1.02	Non-current assets	475,852	436,713
1.02.01	Long-term assets	6,495	5,701
1.02.01.04	Trade receivable	212	0
1.02.01.04.01	Customers	212	0
1.02.01.07	Taxes recoverable	1,395	1,395
1.02.01.07.02	Taxes to offset	1,395	1,395
1.02.01.10	Other non-current assets	4,888	4,306
1.02.01.10.03	Judicial deposits	3,756	4,093
1.02.01.10.04	Others	1,132	213
1.02.02	Investments	31,391	31,955
1.02.02.01	Investment Properties	31,391	31,955
1.02.02.01.04	Other Investments	31,391	31,955
1.02.03	Fixed assets	105,205	76,960
1.02.03.01	Fixed assets in operation	14,793	14,879
1.02.03.01.01	Fixed assets in operation	14,793	14,879
1.02.03.02	Right of use leased assets	90,412	62,081
1.02.04	Intangibles	332,761	322,097
1.02.04.01	Intangibles	332,761	322,097
1.02.04.01.02	Computerized systems	306,867	296,203
1.02.04.01.03	Goodwill (indefinite lived asset)	25,894	25,894

4

(A free translation of the original in Portuguese)

Full set of financial statements - 03/31/2024- CSU DIGITAL S.A.

Individual of financial statements/balance sheet - liabilities and equity

(R$ thousand)

Code	Description	Current year	Prior year
03/31/2024	12/31/2023
2	Total Liabilities	667,603	606,534
2.01	Current Liabilities	151,054	121,801
2.01.01	Social and Labor Obligations	49,700	47,884
2.01.01.01	Social obligations	6,811	8,991
2.01.01.02	Labor obligations	42,889	38,893
2.01.02	Suppliers	40,288	35,345
2.01.02.01	Domestic suppliers	40,288	35,345
2.01.03	Tax obligations	5,619	5,460
2.01.03.01	Federal Tax obligations	2,731	2,271
2.01.03.01.03	Other federal taxes	2,731	2,271
2.01.03.03	Municipal Tax obligations	2,888	3,189
2.01.04	Loans and Financing	39,773	25,576
2.01.04.01	Loans and Financing	4,961	4,929
2.01.04.01.01	In Brazilian Reais	4,961	4,929
2.01.04.03	Lease liabilities	34,812	20,647
2.01.04.03.01	Leasing liabilities	34,812	20,647
2.01.05	Other obligations	15,674	7,536
2.01.05.02	Others	15,674	7,536
2.01.05.02.01	Dividends and Interest on Equity	5,696	0
2.01.05.02.04	Other obligations	9,978	7,536
2.02	Non-current liabilities	69,237	55,377
2.02.01	Loans and Financing	51,814	38,179
2.02.01.01	Loans and Financing	423	1,689
2.02.01.01.01	In Brazilian Reais	423	1,689
2.02.01.03	Lease liabilities	51,391	36,490
2.02.01.03.01	Leasing liabilities	51,391	36,490
2.02.03	Deferred Taxes	8,421	8,458
2.02.03.01	Deferred Income Tax and Social Contribution	8,421	8,458
2.02.04	Provisions	9,002	8,740
2.02.04.01	Social security, labor and civil tax provisions	9,002	8,740
2.02.04.01.01	Tax provisions	6,098	5,765
2.02.04.01.02	Provisions for Social Security and Labor	2,291	2,381
2.02.04.01.04	Civil Provisions	613	594
2.03	Net equity	447,312	429,356
2.03.01	Paid-in Capital Stock	229,232	229,232
2.03.02	Capital reserves	3,222	3,009
2.03.02.04	Options Granted	3,222	3,009
2.03.04	Profit Reserves	197,146	197,146
2.03.04.01	Legal reserve	33,580	29,901
2.03.04.05	Profit Retention Reserve	166,630	170,309
2.03.04.09	Shares in Treasury	-3,064	-3,064
2.03.05	Accumulated Profit/Loss	17,732	0
2.03.08	Other Comprehensive Results	-20	-31

5

(A free translation of the original in Portuguese)

Full set of financial statements - 03/31/2024- CSU DIGITAL S.A.

Individual of financial statements/statement of income

(R$ thousand unless otherwise stated)

Code	Description	Current year to date	Prior year to date
1/1/2024 to 03/31/2024	1/1/2023 to 03/31/2023
3.01	Revenue from the Sale of Goods and / or Services	139,228	132,842
3.02	Cost of Goods and / or Services Sold	-80,756	-82,432
3.03	Gross profit	58,472	50,410
3.04	Operating Expenses / Revenues	-24,714	-22,975
3.04.01	Selling Expenses	-1,503	-2,238
3.04.02	General and Administrative Expenses	-22,527	-20,762
3.04.04	Other Operating Income	253	698
3.04.05	Other Operating Expenses	632	-673
3.04.05.01	Other Operating Expenses	632	-673
3.04.06	Equity pick-up	-1,569	0
3.05	Result Before Financial Result and Taxes	33,758	27,435
3.06	Financial result	-143	-147
3.06.01	Financial income	2,587	3,377
3.06.02	Financial expenses	-2,730	-3,524
3.07	Result Before Taxes on Profit	33,615	27,288
3.08	Income Tax and Social Contribution on Profit	-9,383	-7,087
3.08.01	Current	-9,420	-7,410
3.08.02	Deferred	37	323
3.09	Net Income from Continuing Operations	24,232	20,201
3.11	Profit / Loss for the Period	24,232	20,201

6

(A free translation of the original in Portuguese)

Full set of financial statements - 03/31/2024- CSU DIGITAL S.A.

Individual of financial statements/statement of comprehensive income

(R$ thousand)

Code	Description	Current year to date	Prior year to date
1/1/2024 to 03/31/2024	1/1/2023 to 03/31/2023
4.01	Profit / Loss for the period	24,232	20,201
4.02	Others Comprehensive Income for the period	-20	0
4.03	Comprehensive Income for the period	24,212	20,201

7

(A free translation of the original in Portuguese)

Full set of financial statements - 03/31/2024- CSU DIGITAL S.A.

Individual of financial statements /statement of changes in equity - 1/1/2024 to 03/31/2024 (R$ thousand)

		Paid-up	Capital reserves,	Revenue	Retained	Other
Code	Description	share options and	comprehensive	Equity
capital	reserves	earnings
		treasury shares	income
5.01	Opening Balances	229,232	3,009	183,578	0	13,537	429,356
5.02	Adjustments from Previous Exercises	0	0	0	0	0	0
5.03	Adjusted Opening Balances	229,232	3,009	183,578	0	13,537	429,356
5.04	Capital Transactions with Partners	0	213	0	-6,500	0	-6,287
5.04.03	Options Granted	0	213	0	0	0	213
5.04.07	Interest on Equity	0	0	0	-6,500	0	-6,500
5.05	Total Comprehensive Income	0	0	0	24,232	11	24,243
5.05.01	Profit / Loss for the Period	0	0	0	24,232	0	24,232
5.05.02	Others Comprehensive Income	0	0	0	0	11	11
5.05.02.04	Period Conversion Adjustments	0	0	0	0	11	11
5.06	Profit allocation	0	0	0	0	0	0
5.07	Final balance	229,232	3,222	183,578	17,732	13,548	447,312

8

(A free translation of the original in Portuguese)

Full set of financial statements - 03/31/2024- CSU DIGITAL S.A.

Individual of financial statements/statement of changes in equity - 1/1/2023 to 03/31/2023 (R$ thousand)

		Paid-up	Capital reserves,	Revenue	Retained	Other
Code	Description	share options and	comprehensive	Equity
capital	reserves	earnings
		treasury shares	income
5.01	Opening Balances	169,232	2,402	196,644	0	13,568	381,846
5.02	Adjustments from Previous Exercises	0	0	0	0	0	0
5.03	Adjusted Opening Balances	169,232	2,402	196,644	0	13,568	381,846
5.04	Capital Transactions with Partners	0	218	0	-6,000	0	-5,782
5.04.03	Options Granted	0	218	0	0	0	218
5.04.07	Interest on Equity	0	0	0	-6,000	0	-6,000
5.05	Total Comprehensive Income	0	0	0	20,201	0	20,201
5.05.01	Profit / Loss for the Period	0	0	0	20,201	0	20,201
5.06	Profit allocation	0	0	14,201	-14,201	0	0
5.06.01	Retained profits	0	0	14,201	-14,201	0	0
5.07	Final balance	169,232	2,620	210,845	0	13,568	396,265

9

(A free translation of the original in Portuguese)

Full set of financial statements - 03/31/2024- CSU DIGITAL S.A.

Individual of financial statements/statement of cash flows - indirect method

(R$ thousand)

		Current year	Prior year
Code	Description	1/1/2024 to	1/1/2023 to
		03/31/2024	03/31/2023
6.01	Net Cash from Operating Activities	41,952	36,737
6.01.01	Cash generated from operations	43,442	40,684
6.01.01.01	Profit / Loss for the Period	24,232	20,201
6.01.01.02	Depreciation and amortization	14,282	16,099
6.01.01.03	Residual value of assets written off	523	190
6.01.01.04	Interest and indexation charges	3,045	3,266
6.01.01.05	Equity instrument for payment in shares	213	218
6.01.01.06	Estimated losses on allowance for loan losses	-553	111
6.01.01.07	Provision for legal liabilities	168	922
6.01.01.08	Deferred Income Tax and Social Contribution	-37	-323
6.01.01.09	Equity pick-up	1,569	0
6.01.02	Changes in Assets and Liabilities	9,252	2,806
6.01.02.01	Trade receivables	-1,243	3,266
6.01.02.02	Inventories	-334	926
6.01.02.03	Judicial deposits	337	300
6.01.02.04	Other Assets	-6,083	-2,835
6.01.02.05	Suppliers	4,943	-5,178
6.01.02.06	Salaries and Social Charges	1,604	2,279
6.01.02.07	Contingencies	-126	-1,243
6.01.02.08	Other liabilities	10,154	5,291
6.01.03	Others	-10,742	-6,753
6.01.03.01	Interest Paid	-2,385	-2,5
6.01.03.02	Income Tax and Social Contribution Paid	-8,357	-4,253
6.02	Net Cash Used in Investing Activities	-17,609	-12,491
6.02.01	Acquisition of property, plant and equipment	-910	-361
6.02.02	Acquisition of intangible assets	-15,705	-12,13
6.02.04	Investments	-994	0
6.03	Net Cash Used in Financing Activities	-9,302	-30,304
6.03.02	Amortization of Loans and Financing	-1,225	-2,968
6.03.04	Dividends and Interest on Equity Paid	0	-19,191
6.03.05	Amortization of Lease Liabilities	-8,077	-8,145
6.05	Decrease in Cash and Cash Equivalents	15,041	-6,058
6.05.01	Opening Balance of Cash and Cash Equivalents	74,608	86,455
6.05.02	Closing Balance of Cash and Cash Equivalents	89,649	80,397

10