Positivo Tecnologia S A : Dados Econômico-Financeiros

Positivo Tecnologia S.A.

Individual and consolidated interim financial information for the quarter ended September 30, 2022 and Report on the Review of Quarterly Information

KPMG Auditores Independentes Ltda. The Five East Batel

Rua Nunes Machado, nº 68 - Batel

Caixa Postal 13533 - CEP: 80250-000 - Curitiba/PR - Brasil Telefone [phone]

kpmg.com.br

Independent Auditor's report on review of Interim Financial Information

To the Board of Directors and Shareholders of

Positivo Tecnologia S.A.

Curitiba, PR

Introduction

We have reviewed the accompanying individual and consolidated interim financial information of Positivo Tecnologia S.A. ("the Company"), included in the Quarterly Information Form - ITR, for the quarter ended September 30, 2022, which comprises the statement of financial position at September 30, 2022 and the respective statements of income and other comprehensive income for the three and nine-month period than ended, and changes in equity and cash flows for the nine-month period than ended, including explanatory notes.

The Company's management is responsible for the preparation of the individual interim financial information in accordance with the Technical Pronouncement CPC 21(R1) - Demonstração Intermediária and the preparation of the consolidated interim financial information in accordance with the Technical Pronouncement CPC 21(R1) and the International Accounting Standard IAS 34 - Interim Financial Reporting, issued by the International Accounting Standards Board (IASB), as well as for the presentation of this information in accordance with the standards issued by the Comissão de Valores Mobiliários - CVM, applicable to the preparation of the Quarterly Information Form (ITR). Our responsibility is to express a conclusion on this interim financial information based on our review.

Scope of review

We conducted our review in accordance with Brazilian and International standards on review engagements of interim financial information (NBC TR 2410 - Revisão de Informações Intermediárias Executada pelo Auditor da Entidade and ISRE 2410 - Review of Interim Financial Information Performed by the Independent Auditor of the Entity, respectively). A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with the auditing standards and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

KPMG Auditores Independentes Ltda., uma sociedade simples brasileira, de responsabilidade limitada e firma-membro da organização global KPMG de firmas-membro independentes licenciadas da KPMG International Limited, uma empresa inglesa privada de responsabilidade limitada.

KPMG Auditores Independentes Ltda., a Brazilian limited liability company and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.

Conclusion on individual interim financial information

Based on our review, nothing has come to our attention that causes us to believe that the accompanying individual interim financial information included in the Quarterly Information Form - ITR referred above has not been prepared, in all material respects, in accordance with CPC 21(R1), applicable to the preparation of the Quarterly Information Form - ITR, and presented in accordance with the standards issued by the Comissão de Valores Mobiliários - CVM.

Conclusion on consolidated interim financial information

Based on our review, nothing has come to our attention that causes us to believe that the accompanying consolidated interim financial information included in the Quarterly Information Form - ITR referred above has not been prepared, in all material respects, in accordance with CPC 21(R1) and IAS 34, issued by IASB, applicable to the preparation of the Quarterly Information Form - ITR, and presented in accordance with the standards issued by the Comissão de Valores Mobiliários - CVM.

Other matters - Statements of Value Added

The interim financial information above mentioned includes the Statements of Value Added, individual and consolidated, for the nine-month period ended September 30, 2022, prepared under the responsibility of the Company's management, and presented as supplementary information for the purposes of IAS 34. These statements were submitted to review procedures together with the review of Quarterly Information, with the objective of concluding whether they are reconciled with the interim financial information and accounting records, as applicable, and whether their format and content are in accordance with criteria determined in the Technical Pronouncement CPC 09 - Demonstração do Valor Adicionado. Based on our review, nothing has come to our attention that causes us to believe that it has not been prepared, in all material respects, in accordance with the criteria defined in this Pronouncement and consistent with the individual and consolidated interim financial information as a whole.

Curitiba, November 9, 2022

KPMG Auditores Independentes Ltda.

CRC SP-014428/O-6F-PR

Original report in Portuguese signed by

Edson Rodrigues da Costa

Accountant CRC PR-054199/O-0

KPMG Auditores Independentes Ltda., uma sociedade simples brasileira, de responsabilidade limitada e firma-membro da organização global KPMG de firmas-membro independentes licenciadas da KPMG International Limited, uma empresa inglesa privada de responsabilidade limitada.

KPMG Auditores Independentes Ltda., a Brazilian limited liability company and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee.

POSITIVO TECNOLOGIA S.A. AND SUBSIDIARIES

STATEMENTS OF FINANCIAL POSITION AS OF SEPTEMBER 30, 2022 AND DECEMBER 31, 2021 (Amounts expressed in thousands of reais)

		Parent company	Consolidated				Parent company	Consolidated
		September 30,	December 31,	September 30,	December 31,			September 30,	December 31,	September 30,	December 31,
ASSETS	Note	2022	2021	2022	2021	LIABILITIES AND SHAREHOLDERS' EQUITY	Note	2022	2021	2022	2021
CURRENT ASSETS						CURRENT LIABILITIES
Cash and cash equivalents	5	386,902	287,152	436,833	359,007	Suppliers	17	661,815	870,647	900,855	1,186,214
Derivative financial instruments	32	49,808	4,482	49,808	4,482	Loans and financing	18	724,228	390,072	731,105	400,196
Accounts receivable	6	605,357	624,475	909,077	762,625	Derivative financial instruments	32	-	-	-	-
Inventories	7	1,396,206	1,201,256	1,682,779	1,690,347	Salaries and social charges payable		42,416	35,068	48,580	38,387
Related parties	10	117,963	196,153	14,899	14,502	Lease liabilities	15.a	9,357	7,874	10,938	9,115
Recoverable taxes	8	318,189	142,639	351,127	157,222	Provisions	19	132,834	138,024	198,065	158,080
Income tax and social contribution		42,288	14,717	47,648	18,803	Provision for tax, labor and civil risks	23	5,358	5,985	5,358	5,985
Sundry advances		25,315	38,209	60,276	56,229	Taxes payable		13,768	32,137	129,081	52,814
Other receivables	9	61,203	52,873	65,115	56,823	Dividends payable	24.f	58	47,611	58	47,611
		3,003,231	2,561,956	3,617,562	3,120,040	Deferred revenue	8 e 20	4,724	4,759	8,771	5,753
						Related parties	10	170,066	9,810	1,085	745
						Other accounts payable	21	22,837	19,455	41,583	32,751
								1,787,461	1,561,442	2,075,479	1,937,651
						NON-CURRENT LIABILITIES
						Loans and financing	18	702,114	481,729	717,072	500,406
						Lease liabilities	15.a	18,644	23,754	20,789	26,525
						Provisions	19	59,415	46,211	59,415	46,211
						Provision for tax, labor and civil risks	23	40,821	39,584	40,821	39,584
						Related parties	10	5,627	5,627	1,881	3,440
NON-CURRENT ASSETS						Net capital deficiency in subsidiaries and joint ventures	11 e 14 .a	475	475	475	475
Long-term receivables						Deferred taxes		-	-	532	654.00
Recoverable taxes	8	255,169	275,650	255,312	275,722	Other accounts payable	21	-	98	10,426	17,529
Deferred taxes		-	-	2,047	624			827,096	597,478	851,411	634,824
Other receivables	9	67,683	63,240	68,434	63,636
		322,852	338,890	325,793	339,982	TOTAL LIABILITIES		2,614,557	2,158,920	2,926,890	2,572,475
						SHAREHOLDERS' EQUITY
Investments in subsidiaries	11	478,458	302,880	-	-	Share capital	24.a	721,670	721,670	721,670	721,670
Investment in joint venture	14	-	-	35,431	37,942	Capital reserve	24.b	121,182	119,939	121,182	119,939
Investment in associates and others	12 e 13	21,570	26,789	69,928	76,284	Profit reserve	24.c	361,363	361,419	361,363	361,419
Property, plant and equipment	15	80,574	72,456	112,025	92,894	Equity valuation adjustment	24.d	(23,493)	(10,069)	(23,493)	(10,069)
Intangible assets	16	34,449	27,780	102,432	86,994	Treasury shares	24.e	(20,936)	(21,128)	(20,936)	(21,128)
						Lucro do período		166,791	-	166,791	-
		615,051	429,905	319,816	294,114	Shareholders' equity attributable to controlling shareholders		1,326,577	1,171,831	1,326,577	1,171,831
						Non-controlling interest		-	-	9,704	9,830
		937,903	768,795	645,609	634,096	Total shareholders equiy		1,326,577	1,171,831	1,336,281	1,181,661
TOTAL ASSETS		3,941,134	3,330,751	4,263,171	3,754,136	TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY		3,941,134	3,330,751	4,263,171	3,754,136

See the accompanying notes to the individual and consolidated interim financial information.

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POSITIVO TECNOLOGIA S.A. AND SUBSIDIARIES

STATEMENTS OF INCOME FOR FOR THE NINE AND THREE-MONTH PERIODS ENDED AS OF SEPTEMBER 30, 2022 AND 2021

(Amounts expressed in thousands of reais)

					Nine-month period ended in					Quarters ended on
			Parent company		Consolidated			Parent company		Consolidated
			September 30,		September 30,		September 30,	September 30,		September 30,		September 30,		September 30,	September 30,
	Note		2022		2021		2022			2021		2022		2021		2022			2021
NET REVENUE	25		3,505,648	2,092,740	3,726,610			2,291,156	964,045	740,973	1,064,496			828,794
COST OF SALES AND SERVICES RENDERED	26		(2,907,433)	(1,619,795)	(2,971,021)			(1,732,890)	(792,026)	(579,942)	(839,816)			(630,994)
GROSS INCOME			598,215	472,945	755,589			558,266	172,019	161,031	224,680			197,800
Sales expenses	26		(342,067)	(248,450)	(348,441)			(259,700)	(103,364)	(82,263)	(108,772)			(88,466)
General and administrative expenses	26		(101,306)	(91,853)	(138,312)			(113,838)	(35,063)	(26,779)	(50,162)			(40,394)
Other operating income (expenses), net	8		136,507	22,013	137,213			31,004	50,524	2,447	50,384			3,022
Equity in income of subsidiaries and associated companies	11 a 14	108,485		53,951		(7,618)			4,667		18,125		18,009		(4,594)			6,399
			(198,381)	(264,339)	(357,158)			(337,867)	(69,778)	(88,586)	(113,144)			(119,439)
INCOME BEFORE FINANCIAL INCOME AND EXPENSES			399,834		208,606		398,431			220,399		102,241		72,445		111,536			78,361
Financial revenues	28		69,090	31,828	73,569			34,763	40,644	7,080	42,550			7,009
Financial expenses	28		(236,911)	(96,860)	(256,639)			(105,345)	(90,134)	(37,785)	(98,745)			(40,358)
Net exchange-rate change	28		(65,222)		16,120		(45,177)			14,668		(3,980)		11,852		(4,732)			9,929
			(233,043)	(48,912)	(228,247)			(55,914)	(53,470)	(18,853)	(60,927)			(23,420)
INCOME BEFORE INCOME TAX			166,791		159,694		170,184			164,485		48,771		53,592		50,609			54,941
Current income tax and social contribution	22		-	-	(2,288)			(4,334)	-	-	(1,951)			(1,786)
Deferred income tax and social contribution	22		-		-		1,545			891		-		-		1,847			587
			-	-	(743)			(3,443)	-	-	(104)			(1,199)
NET INCOME FOR THE YEAR			166,791		159,694		169,441			161,042		48,771		53,592		50,505			53,742
Attributable to controlling shareholders			N/A		N/A		166,791			159,694		N/A		N/A		48,771			53,592
Attributable to non-controlling shareholders			N/A		N/A	2,650			1,348		N/A		N/A	1,734			150
NET INCOME PER SHARE - R$
Basic	29		N/A		N/A		1.1929			1.1866		N/A		N/A		0.3488			0.3826
Diluted	29		N/A		N/A		1.9120			1.1815		N/A		N/A		0.3481			0.3807

See the accompanying notes to the individual and consolidated interim financial information.

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