Cielo - 22.5% Increase in Financial Volume and Net Income of R$803 Million in 1Q14

BARUERI, Brazil, May 6, 2014 /PRNewswire/ -- Cielo S.A. (BM&FBOVESPA: CIEL3 / OTCQX: CIOXY) announces today its results for the first quarter of 2014. The Company's consolidated financial statements are presented in accordance with the International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) and in accordance with the accounting practices adopted in Brazil.

1Q14 HIGHLIGHTS

• Transaction financial volume totaled R$119.6 billion, up 22.5% year-on-year, or R$22.0 billion; and reduction of 9.2% compared to 4Q13, or R$12.1 billion;
• Net Operating Revenue of R$1.8 billion, up 19.3% or R$294.2 million year-on-year and reduction of 1.9% or R$35.8 million quarter-on-quarter;
• Net revenue from Prepayment of Receivables* totaled R$191.0 million, up 53.4% or R$66.5 million year-on-year and 2.2% or R$4.1 million quarter-on-quarter;
• Prepayment of Receivables reached 18.7%, over the financial volume of credit, up 5.4 p.p. year-on-year and up 1.5 p.p. quarter-on-quarter;
• EBITDA of R$1.0 billion, up 16.7% or R$143 million year-on-year and increase of 9.7% or R$88.8 million quarter-on-quarter;
• EBITDA margin at 55.1%, down 1.3 p.p. year-on-year and 5.9 p.p. quarter-on-quarter;
• Cielo's net income totaled R$802.7 million, up 27.4% or R$172.4 million year-on-year and 11.4% or R$81.9 million quarter-on-quarter;
• Cielo's net income margin at 44.2%, up 2.8 p.p. year-on-year and 5.3 p.p. quarter-on-quarter;
• Cielo signs memorandum of understanding to participate in Stelo, a new facilitator for online payments and digital wallets;
• Cielo is included in the OTCQX ADR 30 Index ("OTCQX30"), an index of the 30 largest companies listed on the OTC market in the United States, according to market value, trading volume and liquidity.

*Net funding costs revenue (see explanation in management analysis of Prepayment of Receivables Revenue)

Click on the link below to open the earnings release:
http://cielo.riweb.com.br/ShowResultado.aspx?IdResultado=TQrtnyoSaVnwGKIRmeD5NA==&linguagem=en

1Q14 Earnings Conference Call
May 07, 2014

ENGLISH
10:30 a.m. (New York) | 11:30 a.m. (Brasilia)
Phone.: + 1 786 924-6977
              [phone]
Code: Cielo

PORTUGUESE
09:00 a.m. (NY) 10:00 a.m. (Brasilia)
Phone.: [phone]
              [phone]
Code: Cielo

Investor Relations Director
Roberta Noronha
[e-mail]
[phone]

SOURCE Cielo S.A.

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