Ladies and gentlemen, thank you for waiting. No w, we are going to talk about the earnings call of the second quarter of 2021. We will almost start the earnings call. The rest, we are going to start with the Q&A. If you have any questions, you need any assistance, please request help by typing asterisk zero. Before we continue, we would like to clarify that anything that we might say during this earnings call about the prospective business of the company projection and operational roles are based on belief of the board of directors' advisors, as well as based on information that is available for the company.
This document may have such forward statements that is based on uncertainties and risks which might lead to expectations materializing or potentially differ from those expectations. We have other operational factors that might affect the results and might lead to results that are materially different. Now, I'd like to give the floor to Mr. Eduardo Parente. Mr. Parente.
Good morning, everyone. I hope that everyone is doing fine. I'd like to apologize for the delay. Our provider had a problem with links. We tried to do this via video. Now I ask you that you follow the presentation here on the telephone. Now, I'm going to start on page three. I think that we had a wonderful quarter. We had the pre-pandemic. We are going back to the same levels, which is one of the highlights.
We'd like to say that this is the first and last that we have a guidance reach because we calculated the business and the results per business unit in a quarter that was very atypical in the late capturing. So I think it's important that we give visibility to the two quarters, given this important moment. We reached the numbers. We overcame the guidance, which is a source of joy. It shows that we have a pretty forward path. We are trusting that this moment is improving. As we have said previously, the complementary discount in our fraction, everybody that is doing digital transformation to try and have a teaching system that is very robust, that we have been applying since 2019, has had an impact that is very important in the NPS on campus and Digital Learning. Second quarter.
I remember you saying the second quarter of 2020, we had a big advancement in 2019. As we said at the beginning of the year, we mentioned that we have an expectation that the Digital will get to the revenue while we have increased premium and be a representativeness of literally 40% of that revenue for the semester, a big renewal in regards to the first quarter. We are keeping the standard with a solid capital structure. If you remember last year, we had the program structure from LASO. It was a very severe moment because of the pandemic. There was issues with loss of revenue from our students, loss of jobs. Now we are looking on the financial effect part. We have a solid capital structure leverage gives us comfort and flexibility.
As we have shown in the last two sessions, we are doing M&A, which I think that we are very busy times. The operating net revenue is growing a lot in premium Digital. All that has happened since 2018. We are talking about medicine and M&A. I think that a lot of Distance Learning and really Digital Learning and medicine has had a growth in revenue as it has been demonstrated in the four prior years. We have another stable point, the EBITDA reported as we own a lot. We are talking about all the E3, which is the most correct. A 50% growth. Last year, same thing with the EBITDA revenue. In medicine and Digital, the big highlights as a growth in the student base, 22% medicine, and we have Digital of 52% year-on-year undergraduate student base growth.
We are really focusing actually. As we see, until the seat is approved, it is not accounted for. This is very important. We have to be extremely transparent. We opened another 500 DL centers. We will continue moving up. Here are the tickets, and we have an increase in year-on-year as we said. It is student-based on Digital and on-site also grows. Something that is very important, something that we have worked in the tender with [Subsite] and are depending if we can give more transparency in our industry has a lot of dynamic issues with M&A, basic Digital Learning, medicine. We have to be transparent so that people understand the different businesses. We have done that today. We can show you the margins. Digital 39%, on-site 19%. I believe that there are two messages here.
Human and Digital are a lever of growth with margin EBITDA, and this is very superior to our average margin. On-site, we had not so much of a growth capture, but I can show you the report. This is a big opportunity. The on-site is here. Student coming back, the revenue becomes EBITDA almost in its full. The three numbers are very positive. I am going to get into the detail, page four. What do we have here? We have premium on the right. You can see that it is 1/3 of our EBITDA, 29%. On the left, we see the evolution of the revenue, second quarter 2019. Of course, we have IDOMED here from the second quarter onwards, even when we just had the green. We have the student base in medicine. This is what I always say.
Medicine has had a very accelerated growth. It is a number that is very significant. Most of this growth is organic, and our operations are maturing. Up top in the guidance, BRL 400 million- BRL 430 million. The EBITDA BRL 434 million. If we had the reported income, the gain would have been higher. But because of a coherent thing, coherent, we are always based on the revenue. This was reported last year, and we have the press four unit in the restart post-COVID-19. This is why you will see all throughout this presentation, and we have seen the numbers that were adjusted. Same thing is applied to the EBITDA. You can see EBITDA 45%, also within the guidance is BRL 210 million. Here is the importance of this guidance. Of course, quarter and the premium was better than the second quarter, and it shows the sensitivity.
The guidance here has helped us, and we are having to explain the second quarter, the aggregated number. I think on your table, we will have to explain what went from one semester to another. Everything is well aligned. In the middle of the page, say that they come to 1,000 students, 6,200, 6,600. We are within this range. In tickets, 5% in this quarter. IDOMED has 5,500 students. Renewal rate above what was last year. The issue of medicine, which is very important, 450 new medicine seats approved for 2021 second quarter. Digital learning, 78 and doubling every two years. All we know, medicine was better than the first quarter because, well, we had a bit of a delay of capturing the students, and the reality of the business is here well displayed.
Welcome in last. We can think of the undergraduate and lifelong for the adjusted net revenue, a growth of 130% and 40% year-on-year. 130% was 2019 to 2021. The average ticket on the right is going in parallel. It is very good. This represents almost 40% of the total orders. At the bottom, if you take a look, it is very impressive numbers. Student base, you can see undergraduate, we had 246,000 and now 511,000. A growth. If we see the middle graph, we see our centers, the number of centers and its expansion. This is very important. We are reaching very small cities even. We have centers where we have 32 students even. A very simple model. We can work with technology and in small cities. We have 500 students in a city of 30,000.
We can take with the CAO centers, we can get education services, get access to education for these people and keep a profitable operation. When we look at the 2,500 centers, 80% are less than two years of age. Actually, it was 1,700 centers at all of this. We had a renewal rate, very good, as you can see, 37%, first quarter of 2021. It is very stable. We continue with the growth in centers and an improvement of 10.1% in the NPS. Very great. Let us talk about the on-campus. On-campus, we have good news in this page. When we look at it, we had a drop in revenue, which is very important, BRL 703 million. When we look at the revenue and the adjusted, actually the adjusted revenue dropped from BRL 700 million- BRL 600 million, 16%.
We had the results in the second quarter that were better than what we saw in the first quarter because of the capturing of new students. We are talking about a third of the company. In this margin of 19%, we had a very big impact in the quarter and in the months prior. The amount of students, well, it happens more in the first quarter than the second quarter. This was a very frustrating moment in the first quarter. We can see a margin of 19% revenue adjusted, of course. We are not talking about CACs anymore. We are talking around that we had COVID-19, CACs, and the integration of Adtalem. We had a lot of relevant CACs. We see that the base, that does not consider CAC, which is at the bottom, that base is growing without CAC. On-campus and the on-campus. This is good.
We are going to talk about this capture. We see an inflection point. There was never a decrease in this. It is an inflection point. We have a big impact at the moment that it happens. I think it is featured here in the middle, undergraduate. We see clearly that. I will show you up ahead. We are going to see this. We have had an adjustment of tickets, very relevant when we look at the tickets and look at the. Well, if you just look at the tickets, we wanted to write down a footnote. If it was relevant, it would not be in the footnote that is here because we do not think that this information is that important.
But option to read. There are many people who are said, "Well, your increase of ticket is worse than the competition." Here, it is an issue that when you mix information, it is not relevant anymore. We are going to give you the information that allows you to solve issues, to understand issues. If we had placed medicine here because of a change in mix, medicine is relevant now on, instead of 9% of growth, it would have been 15% year-on-year. And we could have said, "Oh, we had a very good ticket." But the issue was a change in mix. So we would rather be transparent. I am just writing this down to illustrate the difference of context. And we will report as we have always reported.
Thank you for being here and for starting it up. So on the right of the page, same thing. We will print very stable, 86%, no sacrifices. Average ticket. On the third consecutive period, it is stable. Very important improvement in VME. Now already I am going to talk about revenue and efficiency.
Thank you, Parente. Let us just continue with the previous slide of the revenue and the follow-ups. How are we working with this? It is a lot of revenue. So the guidance is stated above. We had BRL 2,295, now we are BRL 2,338, and we highlight the second semester. The premium in Digital segment is almost 50% of the total ROL.
Now, the important thing is here in the middle. Can you see the reduction of student base that we have with a loss almost BRL 7 million. The net percentage in June has got this loss of the quarter beginning from BRL 6 million to BRL 7 million. Now, when we look at the net revenue on the left, we are growing year-on-year 10%. Now when we look here is 2019 to 2021, 22%. On the right, a little bit of the evolution. We have the mix of our segments all throughout time.
You can see that the growth from Digital continues, 20% two years ago. And now this quarter is 50% of the growth. Now on the credit slide eight. I want to show you a little bit of what we are calling resuming normality, going back to normal. So that quarterly since the fourth quarter of 2019, how every segment is behaving in terms of student base, revenue, and ticket. And the reported values, meaning we had a jump in the student base because of Adtalem and M&A. Plus high D-mix. Regardless of that, we are growing at this quarter with new patches and down below net revenue. This is present in every quarter, regardless that we had a little ticket. Average ticket. We touched in the second quarter of last year until the first quarter of last year with the laws and code mandates.
Indicators are well online for the pre-pandemic period after some time inflation. The crisis has almost not been felt. Student tickets is the only one that said, even though companies have said that the tickets will drop, you can see the student base and everything is working well. On-site, you can see the student base. Average table rather than table. On average, things are going well. H2b loss in a quarter. Manage. Now we are going to the revenue pre-pandemic. Heavy loss in third mandate, 23. We lost almost BRL 100 per ticket. Fair enough. We are going back to the standards of the pre-pandemic, showing that this COVID measure had a recurrent online requirement. Now we are going back to normal.
Next slide. Page five. Reported cost and expenses. The highlight is that by the end of the PDD in the second quarter of 2020, we can see BRL 17 million. We can see the previous year. If you know the events that we are checking to the percentage of that plus the cost and acceptance and difference that will vary based almost on the existing number. We can see another point that is important. As questions in the quarter, the cost was an increase in former D&A and acquisitions. We are talking about the absolute values. The second quarter has the standard year alignment. That is the numbers. In the middle graph, just going to show you the cost evolution. Here we were talking about amortization and depreciation.
This has grown a lot into the amortization from M&A and the CapEx. When we exclude these costs, which are more manageable, then it is relatively clean. In acquisitions, it seems that it grows, but it is important to mention that for the case of Adtalem, which is in this and in this quarter, we have had Atenas, which we just incorporated from August onwards. The comparison is not correct. In which way this is reflected on slide 10, the EBITDA is a little bit better. BRL 685, BRL 6 86 actually, and we can see clearly that the distribution of the EBITDA is very balanced. A third for each segment. On slide— On CapEx, Digital Learning and Atenas. In terms of reported EBITDA for last year, I have a question, non-recurring costs or not, and how we are taking the number for EBITDA.
If we compare now to 10% in the adjusted, if we are going to see the previous year and it was the recurring number, we would have grown 240%. This does not make any sense. It was at 349%. The margin of the EBITDA non-adjusted is in line with the previous period, and even the quarter of this adjusted, the quarter is also aligned, showing that the way that we report it is correct to give visibility to anybody that wants to do any future projections in the net income. There are two things that we did. The EBITDA of the quarter was BRL 873 million, but the other one, the other thing that we did is to have the cash net revenue. Since we are amortizing the payment with the M&A and the acquisition of Adtalem that are almost original BRL 32 million is for the semester.
Our net revenue cash, we should say cash flow number comes with the BRL 162 million, BRL 217 million. Everything is on the right of the slide per quarter. On the bottom left, you can see the different things. The reported and the former IFRS adjusted net income. You can see that the net income unadjusted BRL 150 million. When we adjusted by the IFRS, it would have been BRL 150 million. Why do we have this difference? In mechanics that have to do the calculation of the rent rolls, believe that in the first year of IFRS 16, I have obtained more revenue, and my accounting will be higher if I just had rent roll expenses. Next slide 12. Let's talk about the cash flow.
If we go to our IGR and you say what they do first line, you will see a drop of BRL 3 50 million that we had to do a few adjustments to do a comparison quarter-on-quarter. Both are very analogous, and here is the path of the PS, and we can see here in the first quarter and the first quarter of 2020. You can see here that it should have dropped in December of 2019. Here I'm going to show you a few things for January 2020. This time due to MP 936 and the bonus that would have been paid in the third semester of last year. We are saving almost BRL 120 million of cash that would be a normal semester here.
Besides, we have to think about the mechanics here and what is important for the operational results of the company. Over to the statement of cash, we know that because there is a comparison here in terms of cash generation. Finally, there is one thing that is not really recurring. There is a decision here that was provisioned before that we're going to pay now. It's a one-off payment of BRL 45 million. When you do that adjustment, it looks similar. As was said before, we have gift cash around BRL 10 million. There is a little outage here of BRL 10 million with our investment, which is what you see here on the right. That is along with what we had beforehand. There is a little bit of acceleration until the end of this year.
Total investment this year is probably going to be a little bit above what we saw last year. There is a little focus on digital transformation and IT as well. In these two or three years, we'll have a bit more investment on those aspects, especially in IT, with some changes in the legacy systems. As I highlight here in terms of investments, I'm going to mention two things. One would be the new campus that we have in Maracanã, in which we're looking at the first unit of its kind here in Brazil, drawn for the unit that is close to Maracanã, the stadium. The other one would be Presidente Vargas in medicine, which is nowadays within one of the units that we have right now, but we're going to set up in another building in the region.
Besides all that, still on digital transformation and IT, we know that represents 44% and usually around 40%, a little bit above, a little bit around 40%. That has brought good improvement in the experience of our students with a consequent improvement in NPS. We also have better retention and better teaching quality. Now I'm going to turn it over back to Parente. Thank you.
Thank you. Now I'm going to go to page 13. We looked at digital transformation, where we have discussed IT as well, and I think there are a few things that allow us to think about this in an effective manner. Of course, we don't have much time to do this, but still I think it is important for us to see that first question.
On page 13, people have been talking about digital transformation a lot, but they forget that behind all that, there is a lot of people, there are many factors, there is hardware and software programs, right? If we don't have that with good quality, we're not really going anywhere. We're not really going to be able to fly very high, I would say. We put a few examples here to the right. Everything is on the cloud nowadays. Our applications have gained a lot of momentum. We were able to do a lot without interfering with everything else. All of the code is really used. We have an API that allows it to work in a continuous manner. We've been developing this for a long time. These things, they usually take a few years, to run the tests and everything else.
Now we're running these tests with computers, we have humans. There are a few things that only in Salvador, for instance, they will have the same experience as someone who is in São Paulo. These things, they allow for that, even though they have different features. We're able to add or remove things from these apps as necessary, depending on the profile of the student or the way that we're going to work with them. Now, to the left of this chart here, a lot of people have been talking about digital transformation, and this part here is very important. It has to do with students that have to understand what they're paying for, and they need to know how to negotiate their debt, if that's the case. That is guiding that there is a good relationship with our clients, with our customers in a way.
That's something that we've learned a long time ago, and we continue to improve that. On top here, you can see that we're changing the way we're teaching and the way these people are learning. We're able to change the way they are learning, and we want to be more engaging. We want to give them content that is more up-to-date and that is also high quality, and they can talk about that later. They're going to have a completely different experience than they had before. Through that, we're able to do something different, something interesting, different from the rest of the market. Because we were just dreaming about this. If you think about it, one year ago, if we thought about where we are or where we will be, that is completely different. We are continuously learning and taking things to the next level.
On page 14, I just have a few examples of that. There are 500,000 people here on campus thanks to the new platform, the NC and NA. We had almost 5 million digital exams last year. We are looking at 400,000 logins to virtual labs impacting 30,000 students. 9% of our student base is also using the student app. We are actually also looking at the other educational institutions around us. When we look at the cell phones, when we are looking at that kind of competition, we know that they are using games, they are using that kind of experience. That is not really focused on studying per se. It is very important to have them know that they can study through their cell phones with sponsored internet usage. That is very important as well.
We also have a great faculty app, which is a first into the market, already in use by 6,000 teachers. We have digital transformation in administrative areas as well, which allows them to do the entire plan. The enrollment process is easier. We have 40 percentage points versus 2020 in terms of the renewal satisfaction level. There is a very important increase. Before they end the next quarter or the next semester, they already know how much they are going to pay in the next one and what they are going to be willing to study in the next one. It is very engaging for them. They understand if I study more credits, I am going to pay more. If I want to study fewer credits, I am going to pay less.
What used to happen is that students started to choose at the very end or at the very beginning, actually, of the semester. Now they can do that beforehand and plan ahead of time. On page 15, I just wanted to show you a little bit about the ecosystem and the channels. Everything begins here with teaching. What is EnsineMe? EnsineMe is something that we created back in 2019. We understood that distance learning would be interesting, and if we wanted to have high quality, we would have a serious investment there, but that would be direly needed because there would be so many people that would be serviced with that. We were discussing how to do that. It was going to be something that could be used with the best students or the best teachers.
It would not be just about the content, but about engaging people as well. We created that curatorship. We have great curators coming from very good universities here in Brazil and also abroad, and they will define and update everything in real-time. I was looking at something about sports psychology, and there was Zico, a very important sports reference, really, talking about that. The other day, I was talking to one of the people in the secretariat of Rio about being diplomats and all that, and that is going to be also in the platform. You have so many references. So many people are talking about life, talking about the career, et cetera. That is really very rich content, and technology allows us to do that. If someone had a presentation here, for instance, they would go to the auditorium to talk to, I do not know, 300 people.
Now we are talking about thousands of people. Now, we also have this questions database. That was the possibility for teachers to go to that questions database and see the rates and give us a report for those rates. Now with Digital, we have run a few different pilots. We are going to implement that with larger scale. Actually, students are going to do those exams directly on the system. They are going to see what questions they did right, what they did wrong, and the questions that they did right or wrong. In the beginning, they did not really help us get a lot of insights. Now computers are showing us where we have to change and improve the questions database. That is very nice that it is Digital, it is for the app, it is for the web. We can use it to white label Digital platform, basically.
It is a service which we purchas ed last month. In about 40 days, everything was running already. We can see content consumption and behavioral data in real time. You know what they are reading, what they are not reading, what kind of things they are asking about, what they are really learning. Now, ever since 2019, we have had the Digital platform and Digital projects. Remember, I was talking about Distance Learning, but we noticed that teaching materials, they are very important for students. There is maybe a different format. They can use podcast, internet, ask questions and all that. That is a very important factor to increase our NPS. Ever since 2019, we have that. This year we are working on it. We are looking at the feedback on teachers. We are looking at the assessment.
We are looking at what works, what does not work, and we try to translate that into the system, into an improvement. I have a subject where there are 120 teachers approximately. Then we can also do this comparison and say, "Okay, this teacher did well on this or that assignment," and so on and so forth. If you see their point for improvement, the things that they did right or not. They will reinforce that. Also there is the student segmentation. That is my experience at a classroom. If you have 30 people or 15 people, they all have a different background. You sometimes focus on the ones that are facing more difficulty, but the other ones are not going to have such an engaging experience.
Now when we already know what the questions are, it is easier for us to see, okay, these students, it is easier for them, so we are going to have this kind of approach. Now, these other students, it is not that easy for them, so we are going to give them a different approach. Now we are able to do that. That, again, is to have a more professional thing. This set of knowledge will interact with the channels and the products. If we look at this on page 16, you will see we have so many different products. We have the online. You can see here the pictures. The one with the finger is the online. You have all the opportunities. You have the virtual lab and you have the teachers. You have different products with different ways.
These are different ways for us to deliver that kind of content, that very high-quality content that we have. When we have URA, we are looking at a system that up until recently had unlimited access, but now it is completely different. It depends on how much they are willing to pay, where they are, what they want to study. But the thing is, fundamentally, we want to have high quality for all of them. We are starting with online. It is concerning. It goes from BRL 100- BRL 460, depending on the course and everything. We also have the on-campus, which is a bit more expensive. Oh, and by the way, we have the online, we have the premium DL, and we have the Flex when it comes to DL. Now, as I am saying, now we have the on-campus as well.
We have the semi on-campus, and we have the on-campus per se. Semi on-campus is totally a combination of classes where people will go to the university, let us say four times a week. Some of those lessons are going to be live. Some of the other things we are going to actually have to prepare beforehand. For semi on-campus, instead of having four hybrids subjects, there is about two, and then three online courses, and so on and so forth. The idea here is to show you the different channels, products, and platforms that we have to deliver good content that we have developed. It is our educational service with our content, I would say, that could be taught anytime, anywhere, even if you did not have access to that beforehand. Now on the next page, we have a few results.
Here to the left, you can see the first half, basically, of 2021. Those are the key evaluations that we have so far. We are changing a bit the patterns from 25% and 63% and 13%. We are now seeing 67% and 43%. Of course, there is a lot that we have to do still. We want to improve the content even further, and we hope to show this to everyone next year. We have a few indicators in terms of the MEC, the Ministry of Education, the evaluation, and also in terms of NPS that are very good. Of course, last year it was very complicated. It was the peak of the pandemic, and we just do not want to have a comparison with the recurrence of last year because it is not really fair. We are showing these versus 2019 to have a better reference.
You know that in sensu we also have very good NPS, so that is a very good level for us to work with and to overcome any challenges. Now on page 18, we have the four institutions that we had four years. Legally, we do not have very good acquisition sessions. There were a few specificities. We have a very good national system with Yduqs as medicine. Yduqs being an online institution has a very important responsibility to work with this ecosystem in terms of content. The tendency was a very good thing that happened after March of 2019, actually no longer. Now to continue then, I think it was a very good momentum, I would say, for all those places, all those hubs. They are doing very well right now. We take up 100,000, actually 600,000 for medicine seats, and it is doing great.
We do not usually like to have the data compared or looked at just individually. But still, this is what we have here as of right now. We have Luiz de Queiroz, Atala, Mackenzie. People focus on here. We have the expenses, of course. A Parliament tenant survey to go until 2023. We have not seen expenses until 2023. Here to the right, we have QConcursos. The price was BRL 208 million, which was the current cash generation that they had. They have not capitalized on much, so it did not make sense to talk about Adquira, but anyway, that was the number. That would be the number. The EB cash flow. We are not talking about EB at the cap after the synergy, because the idea is not to go for an integration. It is completely separate.
I am part of our council there with three other people here, and it is interesting to see the internet traffic there. If you look at that monthly, and they have so many active users, that could help us reduce the CAC because it is now to the future. But it is really open-minded people, and I am around 50, and I can see that they think about technology in a different way, from a different perspective. We are working with them to create this opportunity for external suppliers to help Yduqs to have all of our brands really go beyond, right? So these are very good acquisitions. Recent acquisitions, and very good one. We think will be good in terms of our tactical and respecting our profile. And we have very interesting expectations about that. Now, on page 19, just some final remarks.
I would say that these are the main messages. I am sure you are probably tired of me speaking here. Just the final messages. So freedom and Digital to deliver quality results. That would be one of the main messages. With Adquira, we have medicine involved, administration following our public policies. We are probably going to have this acquisition of around 6,200 or 6,600 as a graduate student in 2021. 466 for approval in 2021 second semester. We also have those new hubs for this year, for next year. We had five higher education institutions with the authorization of the Ministry of Education and Culture. They could make for the law major in the L format. Since everything is now in Aura and in the team limit, it is very easy for us to prepare for it.
We have basically two years that are there on the Digital platform. They are done, and it is built. Since we are looking at small cities and all that, I think that law major students are going to come from those small cities. Cities where they did not have universities, they did not have a university hub, the whole school problem, as you call them. So I think that is the expectation. We are going to have new people coming from smaller cities to study. That part of it is going to be very positive. So I would not put this in my spreadsheet as an upside here in the short term. So that was the first message, freedom and Digital to deliver quality results. The second thing, our campus will resume normality. I think that we are ready. We are.
In the widening, we have around 50, and these students, we had a little bit of a difficulty. They had lessons last year. They had lessons this year, and it is complicated. We have so many people that want to go back to studying. They want to go back to working and studying the normal way, I would say. They want to resume normal life. We have students returning to classes with the expectation of all the proper arrangements in students. Back on site by the end of 2021. I am not promising anything, of course, but I think it would be interesting. We had 20% of students doing that two last semesters. Now we are looking at around 60% for the next two months. Aura has had a very good impact in terms of performance of the students, and we had well, I have already mentioned this, never mind.
The last message here was building digital ecosystem, improving quality, and CPI. I know I have talked about it already about the acquisition of QConcursos. We have 18 mandates as an improvement in the quality of teaching. Then we also have Latin's in digital transformation and [LICs]. On page 20. We were not so sure about all this during the pandemic, but now in medicine, we are looking at a number of students, if we look here, this is the volume and the average ticket is very interesting against the reference, and the reference again to the second semester of 2020. When we look at Digital, both Digital and on-campus, we are looking at around 2/3 of our profits from capturing students. It would be around 10%-20% different against last year.
We want to have a good positive impact than last year, and this last third is very difficult. We are looking at a very special scenario right now, which is very difficult because it is still not obvious. We are trying to be ready for everything to happen. In terms of vaccinations, people are feeling better right now. What we can say now is that we are 20% better in terms of volume. We have very good tickets. When we look at on-campus, we are better than in the previous year. I think that would be all. I wanted to thank you all for your attention.
I think this is a very important moment for us, and it is worth all of our efforts, everything that was done. I wanted to thank everyone who is connected, all of the employees, teachers, who have been several millions and helped us greatly. I would like to thank the board of trust, especially during these difficult times that are almost over now. Thank you so much.
We will begin with our Q&A session now. If you have a question, please press star two. The first question is from Samuel, BTG Pactual as well. Samuel, you have the floor.
Hello, everyone. Congratulations on the presentation. First of all, about the one you were showing on slide 20, about the digital systems. Could you give us a little bit more detail about that curve that you are expecting to grow very quickly, but show influence of the ticket? Is that the base effect or are there any other factors in 2021? Also about CapEx. I just wanted to understand if that would be recurrent or not. Thank you.
Thank you, Samuel, for the question. Leading group. This is probably been around for a while. We've already seen our results and other leaders as well. I would say, I'm not promising anything, but it is now more than 10%. It is around 20%, and there could be some acceleration. We do not think that we are losing the momentum. We're picking up where the previous semesters, the previous years. What about CapEx, Eduardo?
Well, it's probably going to be a little bit higher than what we had last year with 450 seats. So it is more than the differences.
Hello, good morning. Our next question is from Vitor from Goldman Sachs.
Hello, everyone. Thank you for the presentation. I have a few questions. Could you tell us about the competitive scenario in terms of prices, about Digital, about Flex? There wasn't so much of an impact in the first semester for the tickets, so I was wondering, and for Digital and for CapEx, could you tell us more about that? The Digital CapEx, what kind of development and investment? The acquisition of student computers. I think that's an important accelerator of this investment. Thank you.
Thank you, Vitor, for that question. Well, Digital is very competitive, but it's changing. What we saw two years ago is no longer valid. There have been new apps. If you have the cost for content providership and also the CPM is high, you kind of change the breakdown of the competition of that competitive scenario. We believe that price is going to drop at some point. In our mind, it would be up to 10%, and let's say around three years.
No doubt that people are kind of pleased, right? We've said that for a long time, and they're just still not dropping, not dropping for the second semester. So we put zero to five , - 5, expecting that stability in the semester that ended. Since the market is still expanding, we still don't see such a competitive scenario. But that's probably going to happen. But still, we're ready for that. If you think about the margins, if you think about the situation of the sector, our EBITDA is now separated, right? We have DL separated from the other assets. So we believe that that's going to lead to lower costs. Whenever we're not untied, we're still going to have some space to expand because of the margins. That's probably not going to happen this year. What about CapEx, Eduardo?
Well, hello Vitor. As for that is turned over. I don't know how to talk to her. We also have data lakes. But as for hardware per se, we had some older systems running that was probably outdated already in the last IT. What we're doing is changing part of the legacy system that won't allow us to do as much as we wanted. That's probably going to be done this year. We'll have something to finish next year and also until 2023. But which by enterprise flexibility, digital transformation. That's a huge change in how we interact with students, teachers, content. That's the context.
Thank you.
Our next question is from [Patrick Allen], and this is from JP Morgan. [Patrick Allen], you have the floor.
Hello, everyone. Thank you for the call. I want to hear about non-payment and accounts receivable. And also, probably for expenses that you have for everything that is due in 2022.
One thing is in accounts receivable. Ever since July 2020, we have had that things were improving, and I would say that ever since 2020, around July until July now, it is a positive impact, positive trend. If we compare what we have now to last year, it is much better, and that is even better compared to the pre-pandemic time. And that reflects on our PDD. Now, for working capital, we had good acceleration with 10 goals. So there was an improvement. That does not have to do with the seasonality of Mondex. So right now for the second semester, in July and August, I would say that we have good collection and it is also a positive trend. Of course, it is going to depend on how Digital is going to look like from now on.
Whenever we have new students, that ma kes those numbers go up a little bit. So that is good. But as time rolls by, that number usually starts to drop. But that is normal. It is not something that is showing that the operation is wrong or anything. It is normal.
Hello everyone, this is Maria from the premium unit. About that second part that you were asking, the second question. Our expectation, we are looking at this very carefully, and we do not think there are going to be huge definitions right now about how that is going to work after the moratorium in 2023. Now, our expectation is that it could be very well organized. We have that program for admission on the first side. We have the cycles in line in different ways, and we are going to have more medical seats available after the moratorium. It is not defined for today, but we have had conversations about how to organize that and extend the number of medical seats.
Great. Thank you.
Thank you, [Gabrielle].
Our next question is from Mauricio Cepeda from Credit Suisse. Mauricio, you have the floor.
Of course. I am Mauricio Cepeda , and I just have a few questions about the growth that you are expecting in the second semester. I wanted to know a little bit more about what you are expecting. And also, about this cost that some of you mentioned that are giving temp agencies that are going to be launched, and I wanted to know more about that. So are you thinking of changing profile or are you going to also be looking at the competitors to adapt to the situation? That is also a question that I had. Finally, about the cash flow impact in the third and the second quarter, is that connected to any specific factors do you think that has changed within the teams, et cetera?
Mauricio , I am not sure if I understood your questions because your sound was a little break up.
The first one had to do with the students that we have nowadays, also going back to on-campus education, and the third had to do with the changing cost profile and the competition, and also working capital. Is that right? The cash flows?
Okay. I am going to turn it over to Marcel to start answering your questions.
Hello, Mauricio . Looking forward to the question. About the profile for students for this semester, I think it is different. It depends on the modality. If we think about distance learning, that would be an audience that starts at any time, any point during the year. We do not see any cutback needed treatment. We are still capturing lots of students very well in that modality. Probably around 100%. I think it all will reflect in all of these cost topologies. For on-campus education, we see a new audience that was expecting something new although in the first semester. We see these people already after June, July.
We see that they are starting their courses. Since that is no time we did restock our services, that is also very good. We have this good wave of capturing students who maybe were frustrated with another higher education institution, maybe because their courses were not confirmed, they did not have enough people, they did not have forum to start the course.
Let us see the other second question. The resumption of on-campus education. Let me tell you what we have today. Today, we have some idle minds. I mean, there are some student groups and some courses that have fewer people than they could. We have some idle capacity, I think. Of course, we are always looking at reducing costs. We have put some of the savings as recurring, so the delta that you are going to see now is much lower than if we had said, Well, this is our new reality. That was very important. When you look at the campus, what happens is the following. We have certain distancing nowadays because of safety, and that limits the number of students in one classroom. We had, I do not know, 110 people at the beginning of last year and 30 this year because of social distancing.
Because of having them into one slash on in February. We have this capacity nowadays where we can absorb more people than we have. Basically, everything that comes, we have to think about those factors. It is very different for DL and for on-campus. Let us say that their ticket is BRL 200. They are going to have a large amount, 60%, 70%. That is going to bring me BRL 140, let us say. When a ticket of BRL 700, it is basically an on-campus student, it is worth around five DL students. Really, we have to consider those factors. We expect to have a redemption that [Digby] is not that strong in terms of capturing new students and all that, but it had a great impact for EBITDA. How about the other question about the profile?
In our basket of references here as managers, we have this universe that was broad in IT, and now it has expanded so much. We have put so many other institutions in our basket. Because in the end, we have a business controlled with Wendy's, Burger King, or all these fast food chains. They really depend on campus education much more than us. If you think about medicine, about many other DL courses and our competitors, these are doing some movement or trying some initiatives or actually they are trying to copy from what we have done. I think it is going to be different value. When I think about DL or on-campus, when I think about medicine, I am looking outside of our sector because of the growth indexes that we have. They are much more compatible with the educational system that is outside of the sector.
It is very different. I think that our portfolio, if you think about the intent of separating the EBITDA per business unit, that is the point. I understand it is a small sector, and it is still a good opportunity. There are just a few people looking at this, and the people who are doing so, they have a different process design. They are looking at on Friday evening, they could if they somewhat look at that. I think we are trying to make it easier by separating the EBITDA. Then we have the portfolio. Our portfolio is well distributed. The risk is much lower, and we understand that we should look at the business units separately.
Thank you, Marcel, for that comment. About working capital, let me just tell you very briefly. Collection has improved in many of the layers. Usually, the second quarter is a bit lower because we usually have a higher trend in the first quarter, then it drops in the second. It is seasonal, it is normal. It is something that we usually notice. Now in the second quarter, since we had a very good result in the first quarter, it did not really drop that much. That is what made the working capital go up a little bit. We are not working on any specific campaigns to either to retain the students or to renew anything. On the contrary. For this semester, we have anticipated the renewal.
I think anything public helps students choose their subjects and then maybe their weights, and they are more aware of what they are doing. Actually, if you look at the curve, it is very good, and the profile has improved overall. Financially speaking, it is a very good scenario.
Okay. Thank you for the answers. I was just wondering about some of the strategies that you are using. If you could talk a little bit about that, maybe. Maybe percentages. How much are we anticipating in terms of new students and accounts receivables?
For accounts receivables, what happens is for the second quarter, we had. As I was saying before, usually we have this drop naturally on the second quarter, but this time we had a very good result on the first quarter, so that drop did not happen. In the renewal with all the investments that we have put into digital transformation, that curve of renewal actually improved. Rent collection went up as well. In terms of non-payments, we are looking at a better scenario now for accounts receivable. It is not straight. It is easy. He is having trouble with membership. I will not know until now.
The audio is not very good or it is difficult to hear the question, Eduardo is saying. I could have worded the extended question. No problem. Maybe ask him to repeat if necessary. Now think about premium. I just wanted to say that it depends on what we are going to have in the future. In Midwest, in the South, or São Paulo might need more of that sector, premium or medicine. This is similar looking at in terms of the digital world, which will help us with the main business as well. But for premium, we are happy with IDOMED. We are still developing and we are still expanding. If anything happens, I will certainly review the strategy for premium.
Thank you.
The next question is from Vincent from UBS.
Good morning. Two quick questions. Wanted to know about the M&A dynamics, how is your cash flow, and are you looking at other possible M&As? Eduardo was talking about what makes sense tonight or what is going to happen in the next months. Is that going to change the M&A scenario as well? Can we imagine a more active pipeline for larger acquisitions? Or is it still going to be aligned with what you have done so far?
Well, thank you for that question, Vincent. We have a pipeline of things that are aligned with what we have done in the past two years. M&A and acquisitions, they have a little bit of science and a lot of art. We are talking about people who have this emotional connection with the asset, with the aid. It is not always very direct, especially right now when we are seeing that it has been difficult in the market.
We have to be very careful. But again, we are very happy with what we have done, and we have overcome many frustrations. There are a few things happening. And the large M&A as well? That depends. The conversations may happen whenever it is necessary. We do not have any negotiations ongoing, but it does not mean that maybe three months from now, we are not going to have something in mind. Right now, there is nothing in our perspective.
Okay. Thank you, Eduardo.
Our next question is from Itaú BBA . [inaudible]
Thank you. You were talking about NPS and the significant increase. Right? Considering the initiatives to maintain that engagement. I can look at.
Yes, for sure there is. I usually spend three or four hours a week looking at that, and there are many people doing that all the time. I mean, NPS is a very good indicator. It is not just that. We usually separate students in categories, DL and cancerous, and then we try to define what they are doing. It is not just they have paid, they have not paid. You also look at the grade, if they are using the system, et cetera. So way before that moment of truth when they are not paying, way before that, you are already working on their engagement. That is what is going to really change it.
If you have someone who is motivated and entering the system and studying, doing things, it is a completely different connection from a person who just paid for the course and does not really do anything, and then at the end of semester, they may drop out. We have different approaches.
If they decided to do a DL course, for instance, but then two weeks from then, they did not enter the system, they did not log in, we have someone call them and say, Oh, is everything okay? Have you got any questions about how to connect to the platform, et cetera. Or if someone misses an exam, somebody calls them and asks if everything okay, do you need help, et cetera. Around three years ago, we started working in that regard. Whenever they said, Oh, I want to" We try to capture them back, retain them. Now we are working with other engagement factors way before that. I think that is a great victory, wanting to retain the same level or even higher than last year without sacrificing the sound or letting go of their data or retaining the same people.
Probably even more important at the end of the day, if you think about the lifetime value, even more than capturing students. We have been very successful in that.
Thank you.
Well, since there are no further questions, I will turn it over to Eduardo Parente to say the final message.
Well, I would like to say I am sorry for the delay. I think it is probably an issue with the VoiceTel or telephone provider here. Well, I wanted to thank you for your trust, for your patience. We understand that people were saying, Well, where is trigger now? I think this resumption to on-campus education could be an incredible trigger. When we look at our accounts here, when we think about the values and the engagement and the difficulties that we are looking at and all that, we think that it makes sense.
I just want to thank you again for your trust, for your messages, for very positive comments that we have received about the way that we have been conducting our business all these years, especially during these difficult times. I must say that we launched ES and then we had this huge economic crisis and then COVID-19, and we are still holding on to the results, and we are still even expanding somehow. In 2021, this is what for all those who did not have a lot of sheets, that shows that we have solid plans and that we are able to continue with these solid plans. We are now looking at safer structures and initiatives for the future, and that is the reason we have a concrete consistent plan for the future.
I repeat that so many times that people probably think it is boring to hear it, but it is important to say that we are still growing, we are still expanding. We are very happy about our future. Thank you so much for listening. This is the end of the web conference. Thank you very much. Have a good day.