RESULTS 2Q23

Santo André, August 8th, 2023: CVC Brasil Operadora e Agência de Viagens S.A. (B3: CVCB3) informs its shareholders and other market participants of the results for the second quarter of 2023 (2Q23) and of the first semester of 2023 (1H23). Unless otherwise indicated, the financial and operating information below are presented in nominal million of reais (R$), prepared pursuant to the Brazilian accounting standards, especially Law No. 6.404/76 and the standards issued by the Accounting Standards Committee ("CPC") and approved by the Securities and Exchange Commission of Brazil ("CVM"), and must be read together with the financial statements and the explanatory notes for the period ended June 30th, 2023.

Operation with growth in Bookings (2% in 2Q23 and 20% in the semester) New management focused on profitable growth

Completed follow-on reinforces capital structure and working capital

  • Bookings and Consumed Bookings grew 20% and 16% (SoS), respectively, due to the resumption of sales at CVC Corp Units.
  • Take rate: greater share of Argentina in the mix, of exclusive products in B2C, boarding of bookings of the Black Friday and still high share of cruise products continued to negatively impact the take rate;
  • Operating efficiency: reduction of 13% in general and administrative expenses. Focus on reducing non-core expenses. In the quarter, there was a provision for restructuring occurred in July;
  • Capital increase: R$ 550 million raised (in addition to 83 million warrants issued) for working capital, improvement of the capital structure and profitable growth of operations.

R$ million

2Q23

2Q22

∆

Bookings

3,824.1

3,750.2

2.0%

Consumed Bookings

3,603.9

3,533.0

2.0%

Net Revenue

269.4

269.7

-0.1%

Take Rate

7.5%

7.6%

-10 bps

EBITDA

(1.5)

(0.8)

82.9%

Adjusted EBITDA

(14.9)

(15.5)

-4.0%

Net Income / Loss

(167.0)

(94.8)

76.1%

1H23

1H22

∆

7,860.3

6,556.5

19.9%

7,592.2

6,539.6

16.1%

564.8

562.6

0.4%

7.4%

8.6%

-120 bps

14.1 32.3 -56.4%

10.6

(3.0)

n.m.

(294.9)

(261.6)

12.7%

Capital Markets (June 30)

Conference Call

Investor Relations

CVCB3: R$ 3.51 per share

August 9, 2023

https://www.cvccorp.com.br/

Total shares: 443,913,975

2:00 p.m. (BRT) / 1:00 p.m. (EST)

ri@cvc.com.br

Market cap: R$ 1,56 billion

Ph. +55 11 4090-1621 /

Daily avg. Fin. vol. 2Q23:

+55 11 3181-8565

R$ 88 million

Link para a webcast

1

RESULTS 2Q23

Message from Management

CVC Corp's businesses showed resilience and growth throughout the first semester of 2023, recording results that corroborate the heating of the tourism industry, although the result of 2Q23 has been negatively affected by pre follow-on capital restrictions. An important factor that reinforces the strength of the sector was the increase in the number of seats offered by airlines. The number of people traveling is closer to pre-pandemic levels and, according to the National Civil Aviation Agency (ANAC) data, 53.9 million passengers were transported in the first semester, which accounts for 20% more passengers than in 1H22.

In recent months, CVC Corp made changes in the executive body, led by the arrival of Fábio Godinho, the new CEO, on his third tenure in the Company. Godinho has more than 15 years of experience in the tourism sector, having already presided over an airline company and a hotel chain, in addition to having worked abroad as a master franchisee of an international food chain. He is joined by Carlos Wollenweber, the new CFO and Investor Relations Officer, as well as other executives, who will continue to resume profitable business, but with greater focus on discipline in the allocation of funds, operational efficiency, rationalization of fixed and financial expenses, gradual increase in the take rate, in addition to opening stores more quickly over the coming quarters.

This direction, in line with the Board of Directors, is also shared by the Paulus Family, which once again joins CVC Corp's shareholder base. The combination of experienced executives with the knowledge held by the founders - now also investors - brings decades of know-how and forms the "new old CVC", which combines fighting spirit, focus on the product, on the customer and on the sales force, is based on in our historical essence, democratizing the dream of travelling, with a shelf full of accessible products, full assistance to the traveler, strong distribution via franchised stores and partner travel agencies located throughout the national territory, with austere management of its operating cash and expenses. As part of the governance reorganization, an Extraordinary General Meeting was called to be held in August 30, in line with the terms of the Investment Agreement signed with the Paulus Family and the Opportunity, for the election of new members to the Board of Directors and, subsequently, of the Executive Board.1

The new Management, already in its first weeks, was directly involved in two core topics for the sustainability of our business: at the CVC Sales Convention, which was attended by over 1,300 tourism professionals, in addition to master franchisees and franchisees, and at the completion of the Public Offering of Shares in the amount of approximately R$ 550 million (in addition to 83.3 million subscription warrants), to strengthen the Company's working capital and operations. Both events served to corroborate the confidence of the market and partners in this new management.

We understand that this is an important moment to accelerate certain businesses and to work in a more efficient and disciplined manner, taking advantage of the Company's strengths, conquered over the last decades and improved in recent years. As part of this process, at the beginning of July, there were structural reviews that culminated in an adaptation of the staff and a return to in-person work. We reaffirm our commitment to support sales growth to continue generating business opportunities for the full tourism production chain, with a complete portfolio of products and always seeking the best options for consumers and travel agents, with the credibility and trust that only CVC Corp has.

1 For further information, see the Material Fact disclosed on June 02, 2023 and the Management Proposal for the EGM disclosed on July 31, 2023.

2

RESULTS 2Q23

CVC New Management

Fabio Godinho takes over as CEO, leading the CVC Franchisees Convention

  • +1,300 participants in loco
  • Rapprochement of master franchisees and franchisees
  • Realignment between profitability - franchisor and franchisees and opening of new stores
  • Focus on partnership with strategic suppliers and pricing
  • Prioritize core businesses: product, marketing, sales and post-sales operations

Restructuring with key managers

Restructuring of the executive board and management of key areas, bringing to the CVC Corp team, a team with high level of background in the sector.

2H23/2024 Outlook

Disciplined Growth Strategy, Focused on Efficiency and Profitability

Expansion in Sales + Stores

Focus on product/price, increase in SSS (Same-Store Sales), opening of new stores.

Improved mix and increase in take rate

Improve the product mix, prioritizing those that are more profitable and require less working capital.

Opex reduction - expenses

Reduction of fixed expenses in non-strategic departments and redistribution to essential areas of the business.

Capital Structure

Equate capital structure and leverage reduction.

3

RESULTS 2Q23

CVC Corp Result

Bookings and Consumed Bookings

R$ million

2Q23

2Q22

∆

Bookings

3,824.1

3,750.2

2.0%

Brazil

2,739.7

2,860.8

-4.2%

B2C

1,273.6

1,243.0

2.5%

B2B

1,466.1

1,617.8

-9.4%

Argentina

1,084.4

889.4

21.9%

Consumed Bookings

3,603.9

3,533.0

2.0%

Brazil

2,537.4

2,643.6

-4.0%

B2C

1,098.5

1,052.8

4.3%

B2B

1,438.9

1,590.8

-9.6%

Argentina

1,066.5

889.4

19.9%

1H23

1H22

∆

7,860.3

6,556.5

19.9%

5,702.8

5,023.6

13.5%

2,632.4

2,169.7

21.3%

3,070.4

2,853.9

7.6%

2,157.6

1,532.9

40.8%

7,592.2

6,539.6

16.1%

5,385.1

5,006.8

7.5%

2,378.0

2,200.9

8.0%

3,007.1

2,805.9

7.2%

2,207.1

1,532.9

44.0%

Bookings at CVC Corp in 2Q23 increased 2.0% compared to the same period of the previous year, since in 2Q22 there had already been a period of great demand for trips, due to the absence of more severe health restrictions imposed by COVID-19 and the Omicron variant until 1Q22, as well as the resumption of corporate travel.

B2C bookings grew 2.5% with a greater offer of exclusive products, maintenance of high demand for cruise products and special price conditions. These led to the overcoming of the Bookings recorded in 2Q22, which concentrated a large part of the company's commercial and marketing efforts that year on the CVC's 50th anniversary.

In B2B, bookings dropped 9.4%, mainly due to the lower stimulus for the sale of air products, due to financial discipline resulting from capital restrictions. Furthermore, the retraction of bookings this quarter was driven by the strong performance of corporate travel and resumption of events in 2Q22, given lower travel restrictions imposed by COVID-19 in previous quarters. In Argentina, Hot Sale period, which took place in May, contributed to the increase in bookings for the period, with greater representation for international destinations, in the quarter.

Bookings at CVC Corp for international destinations accounted for 59% of bookings in the period (57% in

2Q22). The search for destinations in Europe stands out in the quarter, with the Exclusive Product "European Circuits" (growth of 33 vs 2Q22) and trips to Portugal and Orlando being the best-selling products. During the first semester, Bookings totaled R$ 7.9 billion, 19.9% higher than the first six months of 2022.

Consumed Bookings advanced 2.0% in 2Q23, and this growth was linked to the factors mentioned above and the normalization of the profile of departures to usual standards, with the seasonality of departures related to leisure tourism usually concentrated in the first and third quarters of the year (summer and winter school holidays in the southern hemisphere, respectively). In Argentina, Consumed Bookings continued to grow, with greater representation for international destinations, highlighting the performance of Almundo.

In 2Q23, the share of Consumed Bookings for international destinations at CVC Corp increased to 59%

(55% in 2Q22). In the first semester, Consumed Bookings totaled R$ 7.6 billion, 16.1% higher than the first six months of 2022.

4

RESULTS 2Q23

Net Revenue

R$ million

2Q23

2Q22

∆

Net Revenue

269.4

269.7

-0.1%

Brazil

200.6

211.3

-5.1%

B2C

126.0

135.4

-7.0%

zB2B

74.6

75.9

-1.6%

Argentina

68.8

58.5

17.6%

Take Rate

7.5%

7.6%

-10 bps

Brazil

7.9%

8.0%

-10 bps

B2C

11.5%

12.9%

-140 bps

B2B

5.2%

4.8%

40 bps

Argentina

6.4%

6.6%

-20 bps

1H23 1H22 ∆

564.8 562.6 0.4%

  1. 452.0 -6.7%
  1. 307.3 -11.7%
  1. 144.7 3.9%

143.0 110.5 29.3%

7.4% 8.6% -120 bps

7.8% 9.0% -120 bps

11.4%

14.0%

-260 bps

5.0%

5.2%

-20 bps

6.5%

7.2%

-70 bps

CVC Corp's Net Revenue totaled R$ 269.4 million in 2Q23, practically stable compared to the same quarter of the previous year and similar to the behavior of consumed bookings.

In the Brazilian operation, the 5.1% decrease is due to: (i) reduction in Consumed Bookings, mainly in the B2B segment, as mentioned above, (ii) boarding of bookings sold during the Black Friday, and (iii) the mix between business units and products, such as the growing share of cruise products.

Take Rate reached 7.5% in 2Q23. Some negative effects observed in 1Q23 also impacted 2Q23, mainly in the B2C segment, such as losses with non-occupancy of exclusive products and boarding of approximately 20% of bookings made on the Black Friday weekend.

Furthermore, the quarterly take rate was impacted by (i) demand for cruise products, which remain high

(13% of B2C Bookings, compared to 6% in 2Q22), and despite having a lower nominal take rate, it does not require working capital or incurs in sales expenses, and (ii) growth in the mix of international destinations and the Argentine operation, considering the return to the usual seasonality of the business, with a lower B2C share in boardings in 2Q23.

rgentina's Take Rate reached 6.4% in 2Q23, 20 bps lower than that reported in 2Q22, impacted by the increase in taxes on international trips, which were added to the value of bookings; however, without impact on Net Revenue, thus diluting the take rate.

5

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Disclaimer

CVC Brasil Operadora e Agência de Viagens SA published this content on 08 August 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 25 August 2023 13:44:07 UTC.