2Q17 and 6M17 Earnings Release Resultados 4T12

Transcription

1 ex-inss: Revenues up 5%. Lower dental care ratio and decreasing bad debt expand adjusted EBITDA by 13%. EPS 17% higher. Cash dividends in the quarter reach R$111 million, 217% above 2Q16 Sao Paulo, July 26 th, OdontoPrev (B3: ODPV3; Bloomberg: ODPV3 BZ; Reuters: ODPV3.SA), the largest dental benefits company in Latin America, announced today its consolidated results for the second quarter of 2017 and first half of The Company s financial and operational data are presented based on consolidated numbers and in thousands of reais, pursuant to the Brazilian Corporate Law, the accounting rules of the National Health Agency (ANS) and the accounting principles of the International Financial Reporting Standards (IFRS). All information comparisons refer to variations between, 2Q16, 6M17 and 6M16, except otherwise stated. Key Metrics Net Revenue Dental Care Ratio¹ Adjusted EBITDA¹ EBITDA Margin¹ Net Income¹ R$ 354, % R$ 86, % R$ 51,629 Net Cash Cash Dividends Annualized ROE Total Capital Treasury shares R$ 514,600 R$ 111, % 531,294,792 shares 417,440 shares ¹ Excludes Bradesco Dental and OdontoPrev INSS reversals Growth Net operating revenue increased 4.6% in. We highlight the performance of SME, which revenues increased 17.1%, and the Individual Plans segment, which revenues grew 20.6% YoY. Average ticket grew in all three business segments, 6.4% above 2Q16. Net loss of 28 thousand lives in corporate segment, and net additions of 6 thousand lives of SME and Individual Plans. Bradesco Dental and OdontoPrev INSS In accordance with the Notice to the Market of July 10, the Company reversed in, Bradesco Dental INSS provisions of R$45,554, with a positive cash impact in 3Q17. Also, in accordance with the Notice to the Market of July 14, OdontoPrev INSS provisions of R$303,266 were reversed in, without any cash impacts. Efficiency and value creation Excluding Bradesco Dental and OdontoPrev INSS reversals, the dental care ratio was 46.4%, due to a lower utilization of the dental benefit, better than 48.8% of 2Q16. Bad debt came down to 3.2%, a decrease in relation to the 4.1% in 2Q16 and the 4.6% in 1Q17. The adjusted EBITDA reached R$86 million, 13.2% higher than 2Q16, with adjusted EBITDA margin of 24.3%, above 2Q16 of 22.4%. Results and Shareholder remuneration The net income, excluding Bradesco Dental and OdontoPrev INSS reversals was R$52 million, 17.4% above 2Q16. The dividend of R$100 million, plus the R$11 million interest on capital already paid, equals R$249 million of cash dividends in the last twelve months. At the end of, OdontoPrev registered a net cash position of R$515 million, without any leverage. Key Metrics (R$000, except otherwise specified) ex-inss¹ 2Q16 Δ% 6M17 6M17 ex-inss¹ 6M16 Δ% Net operating revenue (NOR) 354, , , , , , Average ticket (R$/member/month) Number of members 6,190,274 6,190,274 6,281, ,190,274 6,190,274 6,281, Cost of services (63,234) 164, , , , , Dental care ratio (%) (17.8) p.p p.p. SG&A ratio (%) p.p p.p. Allowance for doubtful receivables (%) p.p p.p. Adjusted EBITDA 299,745 86,055 76, , , , Adjusted EBITDA margin (%) p.p p.p. Net income 252,456 51,629 43, , , , EPS (R$/share) Cash dividends 111, ,363 35, , ,534 90, Cash dividends per share (R$/share)² ¹ Excludes Bradesco Dental and OdontoPrev INSS reversals ² Excluding Treasury shares 1 / 39

2 Index and 6M17 Earnings Release Page Income Statement 3 Key metrics per segment 4 OdontoPrev commercial and financial performance 5 to 21 Operating revenue 5 & 6 Average ticket 7 Membership 8 Figures by business segment 9 ato11 Net Revenues - Corporate Segment 9 Average ticket - Corporate Segment 9 Membership - Corporate Segment 9 Net Revenues - Individual Plans 10 Average Ticket - Individual Plans 10 Membership - Individual Plans 10 Net Revenues - SME 11 Average Ticket - SME 11 Membership - SME 11 Brasildental 12 Costo of Services (Dental care ratio) 13 to 15 Selling expenses 16 Administrative expenses 17 Allowance for doubtful receivables 18 EBITDA and adjusted EBITDA 19 Financial income 20 Income and social contribution taxes 21 Net income 21 Cash flow 22 & 23 Capex 24 Statement of added value 25 Stock options 25 Shareholder remuneration 26 Capital Markets 27 & 28 Upcoming IR events 29 Conference calls 30 Attachments 32 to 39 This material was prepared by Odontoprev S.A. ( OdontoPrev or the Company ) and may include forward-looking statements. Such statements are based on assumptions and analyses made by the Company based on its experience and the economic environment and on market conditions and expected future events, many of which are beyond the Company s control. Important factors which can lead to significant differences between real results and these forward-looking statements include the business strategy of the Company, Brazilian and international economic conditions, technology, financial strategies, developments in the sector, conditions of the financial markets, uncertainty regarding the results of the Company s future operations, plans, objectives, expectations, intentions, and other factors. Because of these factors, the real results of the Company may differ significantly from those expressed or implied in forward-looking statements. The information and opinions contained herein should not be interpreted as recommendations for potential investors, and no decision regarding investment should be based on the assumption that this information is accurate, current, or complete. 2 / 39

3 Income Statement OdontoPrev performs a regulated activity, and as such must present interim financial statements based on the Accounting Rules of the ANS, including accounting lines with names differing from those commonly used by companies from other sectors. OdontoPrev s consolidated data on and 2Q16, 6M17 and 6M16 include Rede Dental; DentalCorp and Care Plus (incorporated in 2008); Sepao; Prontodente and OdontoServ (incorporated in December of 2009); Bradesco Dental (incorporated in 2010), Easy Software; Adcon; Dental Partner; Clidec; Clidec Participações; OdontoPrev Serviços, Papaiz, Brasildental and Odontored (Mexico). R$000 ex-inss 2Q16 6M17 6M17 ex-inss (+) Payments net 366, , , , , ,448 (+) Sales of services and products 2,587 2,587 2,454 5,289 5,289 4,576 (+) Odontored 2,057 2, ,945 3, Gross operating revenue 370, , , , , ,574 (-) Direct taxes on dental care operations 14,406 14,406 12,444 29,210 29,210 26,514 (-) Taxes on sales of services and products 2,141 2,141 2,504 4,316 4,316 4,559 Net operating revenue 354, , , , , ,501 (-) Cost of services (50,486) 177, , , , ,870 Indemnifiable claims, net 151, , , , , ,102 Odontored Payroll charges on services (217,694) 9,964 10,023 (207,900) 19,758 18,950 Dental materials 1,551 1,551 2,567 3,260 3,260 4,082 Other operating revenues (expenses) 1,312 1,312 4,942 3,086 3,086 9,020 Incurred but Not Reported Provision (IBNR) 12,889 12,889 14,603 6,890 6,890 3,674 Odontored - Technical reserves (141) (141) (67) (59) (59) (67) Gross profit 404, , , , , ,631 (-) Selling expenses 35,950 35,950 31,991 70,818 70,818 63,171 (+) Other operating revenues ,078 1, (-) General and Administrative Expenses 69,432 55,464 52, , ,375 99,219 G&A (adjusted at EBITDA base) 67,483 53,515 50, , ,428 95,646 Personnel 28,896 28,896 26,569 56,592 56,592 51,511 Third parties services 20,414 6,446 6,588 26,295 12,327 11,809 Rentals and occupancy 11,240 11,240 11,358 21,392 21,392 21,502 Taxes and fees 2,871 2,871 2,951 5,977 5,977 5,910 Publicity and advertising 3,199 3,199 1,995 4,678 4,678 3,831 Others ,463 1,462 1,083 G&A (not adjusted at EBITDA base) 1,949 1,949 1,821 3,947 3,947 3,573 Depreciation and amortization 1,949 1,949 1,821 3,947 3,947 3,573 (-) Other operating expenses 17,953 17,953 18,436 40,962 40,962 37,769 Stock options plan 2,593 2,593 2,403 5,227 5,227 4,806 Allowance for doubtful receivables 11,484 11,484 13,941 27,528 27,528 27,608 Profit sharing 3,876 3,876 2,092 8,207 8,207 5,355 (+) Equity in subsidiaries ,399 1, Income before financial income (expenses) and taxes 282,657 68,967 57, , , ,818 (+) Net financial income 97,358 6,764 5, ,859 14,265 10,529 (+) Financial income 91,343 14,040 13, ,015 29,712 26,228 (-) Financial expenses (6,015) 7,276 8,244 2,156 15,447 15,699 Bank fees ,597 1,597 1,613 Monetary restatement of provision of contingencies (7,002) 6,289 7, ,454 13,525 Other financial expenses Income before taxes 380,015 75,731 63, , , ,347 (-) Income and social contribution tax 127,510 24,053 19, ,774 54,317 49,571 (-) Current 11,045 26,318 22,625 48,460 63,733 61,356 (-) Deferred income and social contribution tax 116,465 (2,265) (3,114) 109,314 (9,416) (11,785) Net income before participation of minoritary shareholders 252,505 51,678 43, , , ,776 (+) Participation of minoritary shareholders (49) (49) 107 (117) (117) (28) Net income 252,456 51,629 43, , , ,748 6M16 *the numbers in red exclude Bradesco Dental and OdontoPrev INSS reversals 3 / 39

4 Key metrics per segment The following tables exclude Bradesco Dental and OdontoPrev INSS reversals in the cost of services, dental care ratio and contribution margin. Corporate 1Q16 2Q16 6M16 3Q16 4Q16 1Q17 6M17 Average ticket (R$/member/month) (A/B) / # of months Final number of members (000) 4,912 4,787 4,787 4,702 4,696 4,649 4,621 4,621 Average number of members (000) (B) 4,957 4,850 4,895 4,745 4,699 4,673 4,635 4,659 (+) Payments, net (R$ 000) (A) 241, , , , , , , ,156 (-) Direct taxes on dental care operations (R$ 000) 9,114 7,333 16,447 6,806 8,056 8,417 7,976 16,393 Net operating revenue - NOR (R$ 000) 232, , , , , , , ,762 Cost of services (R$ 000) 119, , , , , , , ,457 Dental care ratio (% Sales) Cost of Services / member / month (R$) Selling expenses (R$ 000) 12,879 13,071 25,950 13,011 13,117 13,016 12,294 25,310 Selling expenses (% Sales) Contribution Margin (R$ 000) 100,864 90, ,453 78,336 84,867 94,974 93, ,995 Contribution Margin (% Sales) Individual Plans 1Q16 2Q16 6M16 3Q16 4Q16 1Q17 6M17 Average ticket (R$/member/month) (A/B) / # of months Final number of members (000) Average number of members (000) (B) (+) Payments, net (R$ 000) (A) 55,715 62, ,878 67,287 71,525 74,782 75, ,949 (-) Direct taxes on dental care operations (R$ 000) 2,957 3,293 6,250 3,544 3,779 4,093 4,149 8,242 Net operating revenue - NOR (R$ 000) 52,758 58, ,628 63,743 67,746 70,689 71, ,707 Cost of services (R$ 000) 11,687 14,596 26,283 17,411 17,660 16,952 19,034 35,985 Dental care ratio (% Sales) Cost of Services / member / month (R$) Selling expenses (R$ 000) 12,220 13,060 25,280 11,014 14,670 15,832 17,246 33,077 Selling expenses (% Sales) Contribution Margin (R$ 000) 28,851 31,214 60,065 35,318 35,416 37,906 34,739 72,644 Contribution Margin (% Sales) SME 1Q16 2Q16 6M16 3Q16 4Q16 1Q17 6M17 Average ticket (R$/member/month) (A/B) / # of months Final number of members (000) Average number of members (000) (B) (+) Payments, net (R$ 000) (A) 46,070 47,486 93,556 49,421 52,188 53,200 55, ,945 (-) Direct taxes on dental care operations (R$ 000) 1,999 1,818 3,817 1,824 2,136 2,294 2,281 4,575 Net operating revenue - NOR (R$ 000) 44,071 45,668 89,739 47,597 50,052 50,906 53, ,370 Cost of services (R$ 000) 18,256 20,451 38,707 23,712 22,844 21,313 23,096 44,408 Dental care ratio (% Sales) Cost of Services / member / month (R$) Selling expenses (R$ 000) 6,081 5,860 11,941 6,067 5,516 5,981 6,377 12,358 Selling expenses (% Sales) Contribution Margin (R$ 000) 19,734 19,357 39,091 17,818 21,692 23,612 23,992 47,604 Contribution Margin (% Sales) / 39

5 Operating revenue Net operating revenue (NOR) 2Q16 6M17 6M16 Δ% R$ 000 % Sales R$ 000 % Sales R$ 000 % Sales R$ 000 % Sales Δ% (+) Payments, net 366, , , , (+) Sales of services and products 2, , , , (+) Odontored 2, , Gross operating revenue (GOR) 370, , , , (-) Direct taxes on dental care operations 14, , , , (-) Taxes on sales of services and products 2, , (14.5) 4, , (5.3) Net operating revenue (NOR) 354, , , , The net operating revenue (NOR) reached R$354,297 in, a 4.6% growth YoY, of which R$11,058 from Brasildental. In the 6M17, net revenues reached R$705,758, a 5.6% expansion over the same period of previous year, of which R$20,820 from Brasildental. R$ million Net Revenues ,070 1,156 1,250 1,365 1, % % JUL16 JUN17 6M16 6M17 2Q16 In, the SME and Individual Plans segments represented 35% of total revenue, versus 31% in 2Q16, with a 19.1% growth on revenues. R$ million Revenues evolution per segment in R$ million +4.6% +20.6% % % 69% 14% 65% 20% 15% Q16 2Q16 Corporate SME Individual Plans 5 / 39

6 R$ million Incremental revenue expansion per segment (YoY) Q Q Q Q Q Q Q Q Individual Plans SME Corporate JUL16-JUN17 Revenues, average ticket and contribution margin per segment JUL16 JUN17 AVERAGE TICKET (R$ / member / month) Contribution Margin 37 Individual Plans Revenues JUL16-JUN17 R$273 M (+33% YoY) 53% Corporate SME Revenues JUL16-JUN17 R$918 M (-2% YoY) Revenues JUL16-JUN17 R$202 M (+16% YoY) 43% 38% ¹ M: million High Low NUMBER OF COMPETITORS 6 / 39

7 (i) Average Ticket and 6M17 Earnings Release Average ticket calculation 2Q16 Δ% 6M17 6M16 Δ% Payments, net R$000 (A) 366, , , , Average number of members (B) 6,201 6,318 (1.9) 6,229 6,345 (1.8) Average ticket (R$/live/month) (A/B)/nº of months Average ticket calculation (ex-brasildental portfolio) 2Q16 Δ% 6M17 6M16 Δ% Payments, net R$000 ex-brasildental porfolio (A) 356, , , , Average number of members ex-brasildental portfolio (B) 5,768 5,990 (3.7) 5,797 6,019 (3.7) Average ticket (R$/live/month) (A/B)/# of months The average ticket came from R$18.50 per member/per month in 2Q16 to R$19.68 in, a growth of 6.4%, and a 1.3% higher than 1Q17, due to corporate contracts readjustments and the sales mix of the period. Excluding the Brasildental portfolio, and the correspondent net payments related to the risk transferred, the average ticket would have been R$20.58, 7.3% higher than 2Q16. Quarterly average ticket (R$/member/month) Quarterly average ticket ex-bb (R$/member/month) 6.4% % Q16 3Q16 4Q16 1Q17 2Q16 3Q16 4Q16 1Q17 Average Ticket per segment (R$/member/month) +12.6% % % Q16 2Q16 2Q16 Corporate SME Individual Plans 7 / 39

8 (ii) Membership net additions per segment Thousand members and 6M17 Earnings Release OdontoPrev reached 6,190,274 members in, with 22 thousand net loss in the quarter and a decrease of 92 thousand in twelve months The SME and Individual Plans segments totaled 1,569,234 lives, with net addition of 75 thousand lives in the last twelve months, with CAGR of 17% since Corporate SME Individual Plans SME and Individual Plans portfolio Thousand members 1,406 1,571 1,563 1,569 1,203 1, Q17 Porfolio breakdown JUN16 MAR17 JUN17 QoQ YoY Members % Members % Members % Members % Members % Corporate 4,787, % 4,649, % 4,621, % -28, % -166, % SME 862, % 911, % 912, % % 49, % OdontoPrev 135, % 130, % 127, % -2, % -7, % Bradesco 718, % 715, % 720, % 5, % 2, % BB 9, % 65, % 63, % -1, % 54, % Individual Plans 631, % 651, % 656, % 5, % 24, % OdontoPrev 352, % 353, % 359, % 5, % 6, % Bradesco 258, % 283, % 282, % % 24, % BB 21, % 15, % 14, % % -6, % Total 6,281, % 6,212, % 6,190, % -22, % -91, % 8 / 39

9 Figures by business segment Net Revenues - Corporate segment The Corporate segment revenues totaled R$227,312 in, 65% of total revenues. In 6M17, Corporate net revenues reached R$454,763. Corporate 2Q16 Δ% 6M17 6M16 Δ% (+) Payments, net 235, , , , (-) Direct taxes on dental care operations 7,976 7, ,393 16, Net operating revenue¹ (NOR) 227, , , , ¹ excluding Sale of Services and Products (i) Average Ticket - Corporate segment In the Corporate average ticket reached R$16.92, a 2.1% increase YoY. Average Ticket - Corporate 2Q16 Δ% 6M17 6M16 Δ% Payments, net R$000 (A) 235, ,063 (2.4) 471, ,014 (2.5) Average number of members (B) 4,635 4,850 (4.4) 4,659 4,895 (4.8) Average ticket (R$/member/month) (A/B) / # of months (ii) Membership - Corporate segment The Corporate segment presented a net loss of 28 thousand lives in the quarter, due to the unemployment effects, reaching 4,621 thousand members, 75% of the total portfolio. 9 / 39

10 Net Revenues Individual Plans The Individual plans revenues increased 20.6% over 2Q16, totaling R$71,018 in, representing 20% of total revenues. In the 6M17, this segment net revenues reached R$141,707, a 26.9% increase over the same period of the previous year. Individual Plans 2Q16 Δ% 6M17 6M16 Δ% (+) Payments, net 75,167 62, , , (-) Direct taxes on dental care operations 4,149 3, ,242 6, Net operating revenue¹ (NOR) 71,018 58, , , ¹ excluding Sale of Services and Products (i) Average Ticket Individual Plans In, individual plans average ticket was R$38.30, a 12.6% increase over 2Q16, due to the sales mix of the period and a price readjustment in May In the 6M17, the individual plans average ticket reached R$37.75, a 14.0% expansion. Average Ticket - Individual plans 2Q16 Δ% 6M17 6M16 Δ% Payments, net R$000 (A) 75,167 62, , , Average number of members (B) Average ticket (R$/member/month) (A/B) / # of months (ii) Membership Individual Plans The individual plans segment represents 10% of total portfolio, with 657 thousand lives. This segment added 25 thousand lives in the last twelve months. The Bradesco channel grew 10% YoY, representing 43% of the individual portfolio, reaching 283 thousand lives. 10 / 39

11 Net Revenues - SME and 6M17 Earnings Release The SME revenues increased 17.1% YoY, totaling R$53,464 in. In the 6M17, net revenues reached R$104,370, a 16.3% increase over the previous year. SME 2Q16 Δ% 6M17 6M16 Δ% (+) Payments, net 55,745 47, ,945 93, (-) Direct taxes on dental care operations 2,281 1, ,575 3, Net operating revenue¹ (NOR) 53,464 45, ,370 89, ¹ excluding Sale of Services and Products (i) Average Ticket - SME In, SMEs average ticket reached R$20.37, a 10.7% increase YoY, due to readjustments occurred in February Average Ticket - SME 2Q16 Δ% 6M17 6M16 Δ% Payments, net R$000 (A) 55,745 47, ,945 93, Average number of members (B) Average ticket (R$/member/month) (A/B) / # of months (ii) Membership - SME The SME segment registered net additions of 50 thousand lives in the last twelve months. The segment has the Bradesco channel with the majority of its lives, with 79% of total. In, the SME portfolio reached 912 thousand lives, or 15% of the total. 11 / 39

12 Brasildental and 6M17 Earnings Release (R$000, except otherwise specified) 2Q16 6M16 6M17 Net operating revenue¹ (NOR) 10,592 20,493 17,414 34,359 Cost of services¹ 6,086 11,363 9,994 18,800 SG&A 2,898 6,096 5,048 9,945 Selling expenses 454 1,045 2,094 4,028 Administrative expenses (G&A) 2,444 5,050 2,953 5,917 Other operating revenues (9) (10) (8) (13) Allowance for doubtful receivables ,197 Profit sharing EBITDA 1,181 2,372 1,341 4,041 EBITDA margin (%) Net income 947 1, ,956 ¹ Reclassifies the reducing effect of the co-responsability between OdontoPrev and Brasildental. Brasildental reached 436 thousand members, with 6 thousand new lives in, and 106 thousand new lives in the last twelve months, due to the SME and corporate segments. Brasildental portfolio breakdown JUN16 MAR17 JUN17 QoQ YoY Members % Members % Members % Members % Members % Corporate 298,923 91% 349,008 81% 357,208 82% 8, % 58, % SME 9,176 3% 65,498 15% 63,739 15% (1,759) -2.7% 54, % Individual Plans 21,581 7% 15,493 4% 14,947 3% (546) -3.5% (6,634) -30.7% Total 329, % 429, % 435, % 5, % 106, % 12 / 39

13 Cost of services (dental care ratio) and 6M17 Earnings Release Cost of services (ex IBNR) and dental loss ratio (% Sales) 2Q16 Δ% p.p. 6M17 6M16 Δ% p.p. R$ 000 % Sales R$ 000 % Sales Sales R$ 000 % Sales R$ 000 % Sales Sales Cost of services (ex IBNR) (63,234) (17.8) 165, (66.6) 94, , (33.6) Indemnifiable claims, net 151, , (.9) 295, , (0.3) Payroll charges on services (217,694) (61.4) 10, (64.4) (207,900) (29.5) 18, (32.3) Dental materials 1, , (0.4) 3, , (0.1) Other operating expenses 1, , (1.1) 3, , (0.9) Odontored Cost of services (ex IBNR) and dental loss ratio (% Sales) ex-inss 2Q16 Δ% p.p. 6M17 ex-inss 6M16 Δ% p.p. R$ 000 % Sales R$ 000 % Sales Sales R$ 000 % Sales R$ 000 % Sales Sales Cost of services EX-inss (ex IBNR) 164, , (2.4) 322, , (1.3) Indemnifiable claims, net 151, , (.9) 295, , (0.3) Payroll charges on services 9, , (0.2) 19, , Dental materials 1, , (0.4) 3, , (0.1) Other operating expenses 1, , (1.1) 3, , (0.9) Odontored For comparison purposes, the OdontoPrev IBNR Provision (Incurred but not Reported), approved by ANS, was excluded from the Cost of Services. In there was a constitution of IBNR and technical reserves of R$12,889, as compared to R$14,603 in 2Q16. In 6M17 there was a constitution of IBNR and technical reserves of R$6,890, as compared to R$3,674 in 6M16. The Company s INSS demand was also approved by the Supreme Court during. As of 06/30/2017, the amount of R$303,266 in provisions was fully reversed, of which there were no legal cash deposits. The Bradesco Dental S.A. INSS demand was approved by the Supreme Court, and the Company made the reversal of such related provisions in, in the amount of R$45,554, with a positive cash impact in 3Q / 39

14 Excluding Bradesco Dental and OdontoPrev INSS reversals in, the cost of services represented 46.4% of revenues, 2.4 p.p. below the 48.8% of 2Q16. In 6M17, it was 45.7% of revenues, 1.3 p.p. below the 47.0% of 6M16. Quartely and LTM Cost of Services (% Sales) , Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q¹ Quarterly LTM ¹ Excludes Bradesco Dental and OdontoPrev INSS reversals 2Q Cost of service and Dental Care Ratio per segment¹ Corporate SME Individual Plans 2Q16 Δ% 2Q16 Δ% 2Q16 Δ% Cost of services (R$ 000) (A) 121, , ,096 20, ,034 14, Dental care ratio (% Sales) p.p p.p p.p. Average number of members (B) 4,635 4, Cost of services / member / month (A/B)/ # of months ¹Excludes Bradesco Dental and OdontoPrev INSS reversals 6M Cost of service and Dental Care Ratio per segment¹ Corporate SME Individual Plans 6M17 6M16 Δ% 6M17 6M16 Δ% 6M17 6M16 Δ% Cost of services (R$ 000) (A) 241, , ,408 38, ,985 26, Dental care ratio (% Sales) p.p p.p p.p. Average number of members (B) 4,659 4, Cost of services / member / month (A/B)/ # of months ¹Excludes Bradesco Dental and OdontoPrev INSS reversals In the DCR showed a 1.9 p.p. decrease in corporate segment and 1.6 p.p. in SME. In the individual plans segment, DCR had a 2.0 p.p. increase. In 6M17, the DCR came down in the corporate segment, from 53.4% to 53.1%, and SME from 43.1% to 42.5%. In the individual plans segment, DCR showed an increase from 23.5% to 25.4%. 14 / 39

15 Cost of Services / member / month (R$) and DCR - Corporate Q16 3Q16 4Q16 1Q17 ¹ R$ million DCR (%) ¹ Excludes Bradesco Dental and OdontoPrev INSS reversals Cost of Services / member / month (R$) and DCR Individual Plans Q16 3Q16 4Q16 1Q17 ¹ R$ million DCR (%) ¹ Excludes Bradesco Dental and OdontoPrev INSS reversals Cost of Services / member / month (R$) and DCR - SME Q16 3Q16 4Q16 1Q17 ¹ R$ million DCR (%) ¹ Excludes Bradesco Dental and OdontoPrev INSS reversals 15 / 39

16 Selling expenses and 6M17 Earnings Release (R$000) % Sales 2Q16 % Sales 6M17 % Sales 6M16 % Sales Selling expenses 35, , , , The selling expenses reached 10.1% of revenues in, 0.7 p.p. higher in relation to 2Q16. In 6M17, the selling expenses reached 10.0% of revenues, 0.6 p.p. higher in relation to the the same period of the previous year. Selling expenses per segment Corporate SME Individual Plans 2Q16 Δ% 2Q16 Δ% 2Q16 Δ% Selling expenses (R$ 000) 12,294 13, ,377 5, ,246 13, Selling expenses (% Sales) p.p p.p p.p. Selling expenses per segment Corporate SME Individual Plans 6M17 6M16 Δ% 6M17 6M16 Δ% 6M17 6M16 Δ% Selling expenses (R$ 000) 25,310 25, ,358 11, ,077 25, Selling expenses (% Sales) p.p p.p p.p. In, selling expenses had a decrease both in the corporate and SME, being 0.2 p.p. in corporate and 0.9 p.p. in SME. The individual plans segment showed an increase of 2.1 p.p. in relation to revenues. Administrative expenses (G&A) 2Q16 Δ% p.p. 6M17 6M16 Δ% p.p. R$ 000 % Sales R$ 000 % Sales Sales R$ 000 % Sales R$ 000 % Sales Sales Personnel 28, , , , Third parties services 20, , , , Rentals and occupancy 11, , (0.2) 21, , (0.2) Taxes and fees 2, , (0.1) 5, , (0.1) Publicity and advertising 3, , , , Others , , G&A (not adjusted at EBITDA base) 67, , , , Depreciation and amortization 1, , , , G&A (not adjusted at EBITDA base) 1, , , , Total administrative expenses (G&A) 69, , , , G&A (included in the adjusted EBITDA base) The administrative expenses were R$67,483 in (19.0% of Sales) and R$116,396 in 6M17 (16.5% of Sales). 16 / 39

17 Administrative expenses (G&A) ex-inss 2Q16 Δ% p.p. 6M17 ex-inss 6M16 Δ% p.p. R$ 000 % Sales R$ 000 % Sales Sales R$ 000 % Sales R$ 000 % Sales Sales Personnel 28, , , , Third parties services 6, , (0.1) 12, , (0.1) Rentals and occupancy 11, , (0.2) 21, , (0.2) Taxes and fees 2, , (0.1) 5, , (0.1) Publicity and advertising 3, , , , Others , , G&A (not adjusted at EBITDA base) 53, , , , Depreciation and amortization 1, , , , G&A (not adjusted at EBITDA base) 1, , , , Total administrative expenses (G&A) 55, , , , G&A (included in the adjusted EBITDA base) Excluding Bradesco Dental and OdontoPrev INSS reversals, the administrative expenses were R$53,515 in (15.1% of Sales) versus R$50,188 in 2Q16 (14.8% of Sales). In 6M17, it was R$102,428 (14.5% of Sales), as compared to R$95,646 in 6M16 (14.3% of Sales). G&A (% Sales) Personnel Others # of employees 1, , , ,588 1, , ,509 6M17¹ ¹ Excludes Bradesco Dental and OdontoPrev INSS reversals 17 / 39

18 Allowance for doubtful receivables and 6M17 Earnings Release The Allowance for doubtful receivables totaled R$11,484 (3.2% of Sales), below the R$13,941 (4.1% of Sales) of 2Q16, a decrease of 0.9 p.p.. In 6M17, it was R$27,528 (3.9% of Sales), 0.2 p.p. below 6M16. The Company recognizes losses considering overdue payments above 60 days for individual plans, and above 90 days for non-individual plans, adding a percentage of historical losses, accounting as Allowance for doubtful receivables in the Income Statement. Allowance for doubtful receivables 2Q16 Δ% 6M17 6M16 Δ% R$ ,484 13,941 (17.6) 27,528 27,608 (0.3) % Sales p.p p.p. Allowance for doubtful receivables R$ million and % Sales Q16 3Q16 4Q16 1Q17 R$ million % Sales 18 / 39

19 EBITDA and Adjusted EBITDA and 6M17 Earnings Release The adjusted EBITDA was R$299,745 in, and R$390,067 in 6M17. 2Q16 Δ% p.p. 6M17 6M16 Δ% p.p. Y/Y % R$ 000 % Sales R$ 000 % Sales Sales R$ 000 % Sales R$ 000 % Sales Sales Net Income 252, , , , (+) Income tax 11, , (3.6) (51.2) 48, , (4.4) (21.0) (+) Social contribution tax 116, (3,114) (0.9) 33.8 (3,840.1) 109, (11,785) (3.5) 34.4 (1,027.6) (-) Net financial income 91, , , , (+) Financial expenses (6,015) (1.7) 8, (4.1) (173.0) 2, , (4.0) (86.3) (+) Stock option 2, , , , (-) Participation of minoritary shareholders (49) (.0) (145.8) (117) (0.0) (28) (0.0) (+) Depreciation and amortization 1, , , , (-) Equity in subsidiaries (0.1) (42.7) 1, EBITDA 286, , , , (+/-) Incurred But Not Reported Provision - IBNR 12, , (0.7) (11.7) 6, , (0.1) 87.5 Odontored - Technical reserves (141) - (67) (0.0) (59) - (67) (0.0) - (11.8) (+) Brasildental EBITDA Pro Forma , (.1) 70.4 Adjusted EBITDA 299, , , , Excluding Bradesco Dental and OdontoPrev INSS reversals, the adjusted EBITDA reached R$86,055 in, 13.2% higher than 2Q16, with a margin of 24.3%. ex-inss 2Q16 Δ% p.p. 6M17 ex-inss 6M16 Δ% p.p. Y/Y % R$ 000 % Sales R$ 000 % Sales Sales R$ 000 % Sales R$ 000 % Sales Sales Net Income 51, , , , (+) Income tax 26, , , , (.1) 3.9 (+) Social contribution tax (2,265) (0.6) (3,114) (0.9) 0.3 (27.3) (9,416) (2.7) (11,785) (3.5) 0.8 (20.1) (-) Net financial income 14, , (0.1) , , (+) Financial expenses 7, , (0.3) (11.7) 15, , (.2) (1.6) (+) Stock option 2, , , , (-) Participation of minoritary shareholders (49) (.0) (145.8) (117) (0.0) (28) (0.0) (+) Depreciation and amortization 1, , , , (-) Equity in subsidiaries (0.1) (42.8) 1, EBITDA 72, , , , (+/-) Incurred But Not Reported Provision - IBNR 12, , (0.7) (11.7) 6, , (0.1) 87.5 Odontored - Technical reserves (141) - (67) (0.0) (59) - (67) (0.0) - (11.8) (+) Brasildental EBITDA Pro Forma , (.1) 70.4 Adjusted EBITDA 86, , , , INSS reversal in and the Adjusted EBITDA (R$ million) Y/Y % Y/Y % EBITDA Ex-INSS Reversal in cost of services Administrative expenses EBITDA 19 / 39

20 Financial income and 6M17 Earnings Release The net financial result was R$97,358 (27,5% of Sales) in, and R$104,859 in 6M17 (14.9% of Sales). 2Q16 6M17 6M16 Δ% Δ% R$ 000 % Sales R$ 000 % Sales R$ 000 % Sales R$ 000 % Sales Net financial income 97, , , , , (+) Financial income 91, , , , (-) Financial expenses (6,015) (1.7) 8, , , (86.3) (-) Bank fees (10.0) 1, , (1.0) (-) Monetary restatement of provisions (7,002) (2.0) 7, , (98.8) (-) Others financials expenses (38.9) (29.4) Excluding Bradesco Dental and OdontoPrev INSS reversals, the net financial result was R$6,764 (1.9% of Sales) in, 23.5% above R$5,479 (1.6% of Sales) in 2Q16. In 6M17, it was R$14,265 (2.0% of Sales), in comparison with 1.6% of Sales in 6M16. ex-inss 2Q16 6M17 ex-inss 6M16 Δ% Δ% R$ 000 % Sales R$ 000 % Sales R$ 000 % Sales R$ 000 % Sales Net financial income 6, , , , (+) Financial income 14, , , , (-) Financial expenses 7, , (11.7) 15, , (1.6) (-) Bank fees (10.0) 1, , (1.0) (-) Monetary restatement of provisions 6, , (10.4) 13, , (.5) (-) Others financials expenses (38.9) (29.4) OdontoPrev s financial assets are comprised of a mutual fund and time deposits of prime institutions, almost all of them 100% liquid. R$ milion Net Cash 515¹ JUN17 ¹ Includes R$114.8 million dedicated to ANS 20 / 39

21 Income and social contribution taxes and 6M17 Earnings Release 2Q16 6M17 6M16 Δ% R$ 000 % Sales R$ 000 % Sales R$ 000 % Sales R$ 000 % Sales Δ% Taxes 127, , , , (-) Current income and social contribution taxes 11, , (51.2) 48, , (21.0) (-) Deferred income and social contribution taxes 116, (3,114) (0.9) - 109, (11,785) (1.8) - ex-inss 2Q16 Δ% 6M17 ex-inss 6M16 R$ 000 % Sales R$ 000 % Sales R$ 000 % Sales R$ 000 % Sales Δ% Taxes 24, , , , (-) Current income and social contribution taxes 26, , , , (-) Deferred income and social contribution taxes (2,265) (0.6) (3,114) (0.9) (27.3) (9,416) (1.3) (11,785) (1.8) (20.1) ex-inss Effective tax rate (R$000) 2Q16 6M17 6M17 ex-inss Income before taxes and profit sharing 383,891 79,607 79, , , ,702 (-) Profit sharing 3,876 3,876 2,092 8,207 8,207 5,355 (=) Tax base 380,015 75,731 75, , , ,347 Taxes (-) Current income and social contribution taxes 11,045 26,318 22,625 48,460 63,733 61,356 (-) Deferred income and social contribution taxes 116,465 (2,265) (3,114) 109,314 (9,416) (11,785) Total taxes 127,510 24,053 24, ,774 54,317 49,571 6M16 Current effective tax rate 2.9% 34.8% 29.9% 10.1% 36.4% 37.8% The current effective tax rate in was 34.8% and 36.4% in 6M17. Excluding Bradesco Dental and OdontoPrev INSS reversals, the tax rate would be 2.9% in and 10.1% in 6M17. Net Income The net income was R$51,629 in, 17.4% above 2Q16 and R$120,593 in 6M17, 7.0% over the same period of the previous year. In the last twelve months, the net income was R$223,385. Considering the INSS reversal effects, the net income reached R$252,456 in and R$321,420 in 6M17. INSS reversal in Net Income (R$ million) Net Income ex-inss Reversal in cost of services Administrative expenses Net financial income Income & social contribution taxes Net Income 21 / 39

22 Cash flow (R$000) 2Q16 6M17 6M16 CASH FLOW FROM OPERATIONAL ACTIVITIES Net income for the period 252,505 43, , ,776 Reconciliation of net income with the cash generated by operations (140,512) 67,858 (72,652) 124, , , , ,183 Decrease (increase) in operational assets (27,751) (22,860) (39,955) (33,198) Increase (decrease) in operational liabilities 2,731 (29,728) (25,332) (54,646) NET CASH PROVIDED BY (USED IN) OPERATIONAL ACTIVITIES 86,973 59, , ,339 CASH FLOW FROM INVESTING ACTIVITIES Acquisition of property and equipment (1,853) (499) (2,667) (2,396) System development, software licenses and other (3,312) (2,013) (4,838) (4,375) Advance for future capital increase in Investee (1,125) Control in investee - 1,543-1,543 Advance for future increase of invested capital - - (1,275) - NET CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES (5,165) (969) (8,780) (6,353) CASH FLOW FROM FINANCING ACTIVITIES Dividends paid (78,369) (92,446) (78,369) (92,691) Interest on capital paid (12,264) (11,902) (24,461) (22,598) Stock Options Program vesting reimbursements - 2,532-2,833 NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES (90,633) (101,816) (102,830) (112,456) INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS (8,825) (43,646) 71,988 30,530 Cash, Cash Equivalents and short-term investiments Balance at the beginning of period 523, , , ,352 Balance at the end of period 514, , , ,882 INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS (8,825) (43,646) 71,988 30, / 39

23 6M17 Cash Flow 26.0% of Sales Net Cash DEC16 Cash + - Acquisitions - Capex - Generation Cash Dividends Net Cash JUN17¹ Since the IPO in 2006, OdontoPrev had a cash generation of R$2,068.5 million, and paid R$1,806.4 million to shareholders. At the end of June 2017, the net cash position was of R$514.6 million, without any leverage. Cash Flow since the 2006 IPO R$ million 22.6% of sales , Share buyback Capital reductions -1,428.9 Cash dividends 204,7-1, Net Cash DEC = Cash Generation Acquisitions Capex Shareholder Remuneration Stock Options² Net Cash JUN17¹ ¹ Includes R$114.8 million dedicated to ANS ² Stock Options Program vesting reimbursement 23 / 39

24 Capex The IT platform represents the bulk of OdontoPrev s capex: (R$thousand) 2Q16 IT platform, acquis ition/licens e of s oftware 3,311 2,014 Computer equipment Dental plan equipment, furniture and utens ils Ins tallations Vehicle Others 3 13 Total capex 5,164 2,511 Adjusted EBITDA and CAPEX R$ million ¹ Q16 Adjusted EBITDA CAPEX ¹ Excludes Bradesco Dental and OdontoPrev INSS reversals 24 / 39

25 Statement of added value Statement (R$000) 2Q16 6M17 6M16 Revenues 359, , , ,966 Inputs purchased from third parties (233,788) (217,806) (424,473) (391,604) (=) GROSS VALUE ADDED 125, , , ,362 Retentions (1,949) (1,821) (3,947) (3,573) (=) WEALTH CREATED BY THE COMPANY 123, , , ,789 Wealth received in transfer 91,879 14, ,414 26,850 (=) WEALTH CREATED 215, , , ,639 WEALTH DISTRIBUTED (215,502) 100% (134,808) 100.0% (391,750) 100% (303,639) 100% Personnel and charges (29,645) 13.8% (26,023) 19.3% (58,736) 15.0% (51,675) 17.0% Taxes, fees and contributions 65, % (51,687) 38.3% % (113,783) 37.5% Lenders and lessors 3, % (10,826) 8.0% (6,478) 1.7% (20,599) 6.8% Shareholders (252,505) 117.2% (43,869) 32.5% (321,537) 82.1% (112,776) 37.1% Stock options (2,593) 1.2% (2,403) 1.8% (5,227) 1.3% (4,806) 1.6% Stock options Since the creation of the Stock Options Plan, in 2007, OdontoPrev has made 12 grants, representing 4.2% of OdontoPrev s total capital, as demonstrated below: June 30, 2017 (R$/share) Grant date Exercised options Number of options outstanding on 06/30/2017 * Historical grant share price (R$) Δ % IGP-M since grant date Current share price updated by inflation Dividends per share IOC per share Capital Reductions per share Current grant share price 08/02/2007 1,673, % /28/2008 3,264, % /25/2009 2,220, % /11/2010 1,896, % /20/2011 1,489,135 41, % /20/2012 1,215,985 35, % /20/2013 2,172, , % /25/ , % /26/2015-2,338, ** ** ** ** ** /19/2015-2,298, ** ** ** ** ** /01/ , ** ** ** ** ** /26/2016-2,833, ** ** ** ** ** Total 13,931,001 8,323,616 * After the share split of 07/01/2010 and 04/02/2012 ** New stock options plan approved on Shareholder's Meeting, May/ / 39

26 Shareholder remuneration Dividends (DIV), interest on capital (IOC), capital reduction (CR) and share buyback (SB) - R$ thousand Fiscal year Payment Approval Shareholder position Type Amount R$ /09/ /25/ /25/2010 CR 248, /22/ /10/ /10/2010 DIV 56,258 Total annual /22/ /10/ /10/2010 IOC 32,692 Year 2010 Total paid in 2010: 523,850 R$352, /11/ /15/ /15/2011 DIV 15,077 Net income: R$121, /21/ /04/ /11/2011 DIV 47, /21/ /04/ /11/2011 IOC 23,508 Total paid in 2011: 85,806 Year 2011² /10/ /26/ /26/2011 IOC 16,957 R$159, /25/ /02/ /02/2012 DIV 72,000 Net income: R$145, /23/ /26/ /27/2012 IOC 14, /23/ /26/ /27/2012 DIV 27, /22/ /26/ /27/2012 IOC 9, /22/ /26/ /27/2012 DIV 32, /21/ /25/ /25/2012 JCP 8, /21/ /25/ /25/2012 DIV 25,506 Year Total paid in 2012: 207,467 R$159, /03/ /02/ /02/2013 DIV 41,016 Net Income: R$ /10/ /26/ /26/2013 IOC 8, /04/ /30/ /30/2013 DIV 50, /10/ /25/ /25/2013 IOC 8, /04/ /30/ /30/2013 DIV 31, /13/ /29/ /29/2013 IOC 9, /04/ /29/ /29/2013 DIV 33,558 Year Total paid in 2013: 181,975 R$206, /08/ /20/ /20/2013 IOC 7,191 Net Income: R$188, /10/ /27/ /28/2014 IOC 8, /04/ /29/ /29/2014 DIV 49, /11/ /01/ /02/2014 DIV 58, /10/ /24/ /25/2014 IOC 8,671 Year /03/ /29/ /29/2014 DIV 39,105 R$213, /08/ /16/ /18/2014 IOC 7, /03/ /28/ /28/2014 DIV 37,333 Total paid in 2014: 216, /07/ /16/ /16/2014 IOC 7,793 Net Income: R$194, /09/ /12/ /16/2015 IOC 7, /06/ /06/ /08/2015 DIV 54, /03/ /29/ /30/2015 DIV 59, /07/ /11/ /11/2015 IOC 9,881 Year /03/ /29/ /29/2015 DIV 39,740 R$220, /05/ /16/ /16/2015 IOC 9, /12/ /28/ /29/2015 DIV 33,807 Net Income: R$220,946 Total paid in 2015: 223, /06/ /14/ /15/2015 IOC 10, /05/ /14/ /14/2016 IOC 11, /04/ /11/ /12/2016 DIV 49, /03/ /27/ /27/2016 DIV 43, /05/ /14/ /17/2016 IOC 11,402 Year /05/ /27/ /01/2016 DIV 23,779 R$172, /05/ /15/ /20/2016 IOC 11, /05/ /26/ /31/2016 DIV 23,998 Net Income: R$ Total paid in 2016: 185, /04/ /13/ /16/2015 IOC 11, /05/ /15/ /20/2017 IOC 12, /04/ /28/ /31/2017 DIV 35, /05/ /24/ /02/2017 DIV 42, /05/ /19/ /22/2017 IOC 11,363 Total paid in 2017: 113, /05/ /26/ /31/2017 DIV 100,000 ¹ R$ 37,983 paid with statutory reserve. ² R$ 21,641 paid with statutory reserve. 3 R$ 21,238 paid with statutory reserve. 4 R$ 27,635 paid with statutory reserve. 5 R$ 28,608 paid with statutory reserve. 6 R$ 11,047 paid with statutory reserve. Total to be paid in 2017: 100,000 Total since the IPO 1,924, / 39

27 In 6M17, OdontoPrev s total shareholder remuneration was -6.0%, versus +5.4% of IBX. Capital Markets Total shareholder remuneration since IPO x IBX 650% 550% +559% 450% 350% 250% 150% 50% IBX +92% M17 ODPV3: +22.1% +30.8% -46.0% % +80.4% +8.0% +25.4% -5.2% +4.5% +0.1% +37.1% -6.0% IBX: +6.9% +47.8% -41.8% +72.8% +2.6% -11.4% +11.5% -3.1% -2.8% -12.4% +36.7% +5.4% Source: B3 R$ million Quarterly cash dividends to investors 216.5% Q16 2Q16 3Q16 4Q16 1Q17 Dividends Interest on capital 27 / 39

28 World class shareholder structure: investors from 37 countries Management 1.44% Treasury 0.08% % 7.1% 4.2% 4.1% Others 2.4% 2.0% 1.4% 50.01% Free Float 48.47% 15.5% 1.4% 1.0% 5% 40.1% 0.9% 0.8% Total Capital 531,294,792 Shares Source: OdontoPrev 48% Free float 257,590,523 Shares 0.5% Increasing number of shareholders Institutional and individual investors 4,074 3,789 3,119 3,248 3,397 JUN16 SEP16 DEC16 MAR17 JUN17 IR Awards Brazil 2017 On June, OdontoPrev s IR Program, IR website and Corporate Governance were, each one, ranked Top 5 among brazilian public companies, according to IR Magazine (US) and Revista RI (Brazil). 28 / 39

29 Upcoming IR events Date Country Broker Event Jul 27, 2017 Jul 27, 2017 Aug 22, 2017 Sep 07, 2017 Sep 08, 2017 Webcast Investor Presentation - São Paulo JP Morgan 11th Healthcare Check-Up - São Paulo NDR BofA Merrill Lynch - Copenhagen NDR BofA Merrill Lynch - Edinburgh Sep 11-12, 2017 Morgan Stanley LatAm Conference - London Sep 19, 2017 Sep 27, 2017 Oct 3, 2017 Oct 12, 2017 Oct 13, 2017 Oct 25, 2017 Oct 26, 2017 Oct 26, 2017 Nov 1, 2017 Nov 13, 2017 Nov 14-15, 2017 Nov 16-17, 2017 UBS V Healthcare Day - São Paulo NDR Safra - Rio de Janeiro NDR Bradesco - Santiago NDR HSBC - Johannesburg NDR HSBC - Cape Town 3Q17 Earnings Release 3Q17 Webcast Investor Presentation - São Paulo NDR Credit Suisse - Rio de Janeiro ESG NDR UBS - New York Bradesco 7th Annual CEO Forum - New York ESG NDR HSBC - London Nov 20-21, 2017 Itaú BBA's 10th LatAm Conference - London OdontoPrev s Investor Relations activities, including conference calls, webcasts, one-on-one meetings and public presentations have always been made by the Company s CEO and/or IRO, since the 2006 IPO. 29 / 39

30 Conference calls Portuguese with simultaneous translation July 27 th 2017 Thursday 9:00 a.m. US EDT (2:00 p.m. London and 10 a.m. Brazil) Phone: +55 (11) or +55 (11) Password: Odontoprev Investor Relations José Roberto Pacheco Executive Director & IRO Roberta Carneiro IR Manager Darcio Nunciatelli IR Analyst Stella Hong IR Analyst Media RMA Comunicação Corporativa Rebecca Vicente Tel.: (11) Elizabeth Boas Tel.: (11) Juliana Gasparado Tel.: (11) Phone: +55 (11) Apple Store: OdontoPrevIR About OdontoPrev OdontoPrev is the leading dental benefits company in Latin America. Over 6 million members count on our differentiated oral health solutions, provided by a highly specialized network of dentists. The Company is listed in the B3 Novo Mercado since 2006, with 100% tag-along rights, and quarterly cash dividends payments to shareholders in 37 countries. 30 / 39