UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 UNDER
THE SECURITIES EXCHANGE ACT OF 1934
For the month of June 2022
Commission File Number: 001-38353
PagSeguro Digital Ltd.
(Name of Registrant)
Av. Brigadeiro Faria Lima, 1384, 4º andar, parte A
São Paulo, SP, 01451-001, Brazil
+55 11 3038 8127

(Address of Principal Executive Office)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F ☒    Form 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Yes ☐    No ☒
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
Yes ☐    No ☒



a01.jpg


pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022 and 2021

Contents
2
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Unaudited condensed consolidated interim balance sheet
As of March 31, 2022 and 2021
(All amounts in thousands of reais)
Note March 31, 2022 December 31, 2021
Assets  
Current assets  
Cash and cash equivalents 5 1,483,092  1,794,362 
Financial investments 6 1,131,788  782,647 
Accounts receivable 7 25,528,929  23,428,522 
Derivative Financial Instruments 14 1,329  — 
Inventories   49,274  49,537 
Tax Receivable 8 434,384  469,490 
Other receivables   242,924  194,776 
Total current assets   28,871,720  26,719,334 
Non-current assets
Accounts receivable 7 390,428  228,880 
Judicial deposits   41,148  40,224 
Deferred income tax and social contribution 19 114,309  120,762 
Other receivables   9,890  11,710 
Investment 15,512  15,666 
Property and equipment 11 2,578,525  2,289,052 
Intangible assets 12 1,785,976  1,650,176 
Total non-current assets   4,935,788  4,356,470 
Total assets   33,807,508  31,075,804 
The accompanying notes are an integral part of these unaudited condensed consolidated interim financial statements.
3
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Unaudited condensed consolidated interim balance sheet
As of March 31, 2022 and 2021
(All amounts in thousands of reais)
  Note March 31, 2022 December 31, 2021
Liabilities and equity    
Current Liabilities    
Payables to third parties 13 13,180,321 13,217,150
Trade payables   557,654 578,004
Payables to related parties 9 282,767 543,621
Deposits 14 5,145,864 3,056,444
Salaries and social security charges 15 182,974 259,724
Taxes and contributions 16 55,949 63,934
Provision for contingencies 17 29,791 27,653
Borrowings 18 1,110,372 1,005,787
Derivative Financial Instruments 18  192,743 14,317
Deferred revenue 147,489 162,566
Other liabilities   40,521 73,719
Total current liabilities   20,926,445 19,002,919
   
Non-current liabilities  
Deferred income tax and social contribution 19 1,421,705 1,391,760
Deposits 14 568,515 77,552
Provision for contingencies 13,656 13,910
Deferred revenue 16,751 17,300
Other liabilities   69,173 70,165
Total non-current liabilities   2,089,800 1,570,687
     
Total liabilities   23,016,245 20,573,606
 
Equity    
Share capital 20 26 26
Treasury shares 20 (280,555) (285,011)
Capital reserve 20 6,014,216 6,076,286
Retained earnings 20 5,082,544 4,732,624
Equity valuation adjustments 20 (22,372) (22,372)
Other comprehensive income 20 (2,596) 645
     
Total equity 10,791,263 10,502,198
   
Total liabilities and equity   33,807,508 31,075,804
The accompanying notes are an integral part of these unaudited condensed consolidated interim financial statements.
4
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Unaudited condensed consolidated interim statement of income
For the three-month periods ended March, 2022 and 2021
(All amounts in thousands of reais unless otherwise stated)
Note March 31, 2022 March 31, 2021
Revenue from transaction activities and other services 22 2,054,583  1,384,970 
Financial income 22 1,330,795  656,983 
Other financial income 22 41,573  25,248 
 
Total revenue and income   3,426,951  2,067,201 
 
Cost of sales and services 23 (1,739,379) (1,146,085)
Selling expenses 23 (480,650) (368,112)
Administrative expenses 23 (165,331) (189,070)
Financial expenses 23 (620,628) (44,388)
Other income (expenses), net 23 (4,491) 40,806 
 
Profit before income taxes   416,472  360,352 
 
Current income tax and social contribution 19 (28,651) (19,966)
Deferred income tax and social contribution 19 (37,901) (69,059)
 
 
Income tax and social contribution   (66,552) (89,025)
     
Net income for the period   349,920  271,327 
 
Attributable to:  
Equity holders of the parent
  349,920  271,266 
Non-controlling interests
    60 
 
 
Basic earnings per common share - R$ 21 1.0569  0.8221 
Diluted earnings per common share - R$ 21 1.0504  0.8213 
The accompanying notes are an integral part of these unaudited condensed consolidated interim financial statements.
5
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Unaudited condensed consolidated interim statement of comprehensive income
For the three-month periods ended March, 2022 and 2021
(All amounts in thousands of reais)
March 31, 2022 March 31, 2021
Net income for the period 349,920  271,327 
Other comprehensive income that may be reclassified to the
statement of income in subsequent periods
Currency translation adjustment (592) 78 
Loss on investments designated at fair value through OCI 339  238 
Derivative Financial Instruments through OCI (4,356) — 
Income tax and social contribution 1,370  (81)
Other comprehensive income for the period 346,681  271,562 
Attributable to
Equity holders of the parent 346,681  271,502 
Non-controlling interests   60 
Net income for the period 346,681  271,562 
The accompanying notes are an integral part of these unaudited condensed consolidated interim financial statements.
6
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Unaudited condensed consolidated interim statement of changes in equity
For the three-month periods ended March 31, 2022 and 2021
(All amounts in thousands of reais)
Capital reserve
Note Share capital Treasury shares Capital reserve Share-based long-term incentive plan (LTIP) Profit reserve Retained earnings Equity valuation adjustments Other comprehensive income Total
Non-
controlling
interests
Total equity
 
On December 31, 2020   26  (13,609) 5,690,089  94,199  3,566,522  (22,372) 491  9,315,346  12,113  9,327,459 
                       
Net income for the period   —  —  —  —  271,267  —  —  271,267  60  271,327 
Currency translation adjustment   —  —  —  —  —  —  78  78  —  78 
Gain on financial assets through other OCI   —  —  —  —  —  —  157  157  —  157 
Share based long term incentive plan (LTIP)   —  —  —  81,275  —  —  —  81,275  —  81,275 
(LTIP) of treasury shares   —  12,723  —  (12,723) —  —  —  —  —  — 
On March 31, 2021   26  (886) 5,690,089  162,751  3,837,789  (22,372) 726  9,668,123  12,173  9,680,296 
                       
Net income for the period   —  —  —  —  894,835  —  —  894,835  122  894,957 
Currency translation adjustment   —  —  —  —  —  —  (195) (195) —  (195)
Gain on financial assets through OCI   —  —  —  —  —  —  114  114  —  114 
Non-controlling   —  —  —  —  —  —  —  —  (12,295) (12,295)
Shares issued   —  —  138,665  (138,665) —  —  —  —  —  — 
Share based long term incentive plan (LTIP)   —  —  —  224,133  —  —  —  224,133  —  224,133 
Acquisition of treasury shares   —  (284,812) —  —  —  —  —  (284,812) —  (284,812)
(LTIP) of treasury shares   —  687  —  (687) —  —  —  —  —  — 
                     
On December 31, 2021   26  (285,011) 5,828,754  247,532  4,732,624  (22,372) 645  10,502,198    10,502,198 
                       
Net income for the period 20 —  —  —  —  349,920  —  —  349,920  —  349,920 
Currency translation adjustment
20 —  —  —  —  —  —  (592) (592) —  (592)
Gain on financial assets through OCI 20 —  —  —  —  —  —  222  222  —  222 
Derivative Financial Instruments through OCI 20 —  (2,871) (2,871) —  (2,871)
Share based long term incentive plan (LTIP) 20 —  —  35,999  —  —  —  35,999  —  35,999 
Acquisition of treasury shares 20 —  (93,613) —  —  —  —  —  (93,613) —  (93,613)
(LTIP) of treasury shares 20 —  98,069  —  (98,069) —  —  —  —  —  — 
 
On March 31, 2022   26  (280,555) 5,828,754  185,462  5,082,544  (22,372) (2,596) 10,791,263    10,791,263 
The accompanying notes are an integral part of these unaudited condensed consolidated interim financial statements.
7
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Unaudited condensed consolidated interim statement of cash flows
For the three-month periods ended March 31, 2022 and 2021
(All amounts in thousands of reais)
March 31, 2022 March 31, 2021
CASH FLOWS FROM OPERATING ACTIVITIES
Profit before income taxes 416,472 360,352
Expenses (revenues) not affecting cash:
Depreciation and amortization
249,022 158,302
Chargebacks and ECL
249,715 173,133
Accrual of provision for contingencies
5,928 5,357
Share based long term incentive plan (LTIP)
35,999 79,671
Reversal of taxes and contributions
(29,114)
Loss on disposal of property, equipment, and intangible assets
2,345 4,645
Interest accrued
218,081 12,609
Other (income) cost, net
(4,684) (3,768)
Changes in operating assets and liabilities
Accounts receivable
(3,181,379) (78,300)
Financial investments (mandatory guarantee)
(257,707) (20,592)
Inventories
263 (22,617)
Taxes recoverable
51,162 25,277
Other receivables
(47,250) (21,985)
Deferred revenue
(15,626) 5,699
Other liabilities
(34,520) (58,298)
Payables to third parties
(192,620) (1,363,442)
Trade payables
(21,943) (29,835)
Receivables from (payables to) related parties
(270,740) 21,318
Deposits
2,524,720 672,919
Salaries and social charges
(76,750) (20,725)
Taxes and contributions
3,122 25,803
Provision for contingencies
(4,053) (1,907)
(350,443) (105,498)
Income tax and social contribution paid
(40,149) (25,418)
Interest income received
677,917 113,206
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES 287,325 (17,710)
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property and equipment
(439,559) (249,847)
Purchases and development of intangible assets
(241,814) (148,987)
Redemption (Acquisition) of financial investments
(69,437) 40,144
NET CASH USED IN INVESTING ACTIVITIES (750,810) (358,690)
CASH FLOWS FROM FINANCING ACTIVITIES
Borrowings
250,000
Acquisition of treasury shares
(93,613)
Payment of leases
(4,172) (3,386)
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES 152,215 (3,386)
DECREASE IN CASH AND CASH EQUIVALENTS (311,270) (379,786)
Cash and cash equivalents at the beginning of the period
1,794,362 1,640,065
Cash and cash equivalents at the end of the period
1,483,092 1,260,278
The accompanying notes are an integral part of these unaudited condensed consolidated interim financial statements
8
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)

1.  General information
PagSeguro Digital Ltd. ("PagSeguro Digital" or the "Company") is a holding company, a subsidiary of Universo Online S.A. ("UOL"), referred to, together with its subsidiaries, as the "PagSeguro Group", and was incorporated on July 19, 2017. A total of 99.99% of the shares of PagSeguro Internet Instituição de Pagamento S.A. ("PagSeguro Brazil") were contributed to PagSeguro Digital on January 4, 2018 and PagSeguro Digital maintains control of PagSeguro Brazil.
PagSeguro Brazil is a privately held corporation established on January 20, 2006, with its headquarters located in the city of São Paulo, Brazil, and engages in providing financial technology solutions and services and corresponding related activities, focused principally on micro-merchants and small and medium-sized businesses ("SMEs").
On March 18, 2021, PagSeguro Group constituted a holding company incorporated under PagSeguro Digital called PagSeguro Holding Ltd (“PSHC”). Additionally, during the third quarter of 2021, Pagseguro Group established four new subsidiaries under PSHC: Pagseguro Chile SPA (“Pagseguro Chile”), Pagseguro Colombia S.A.S (“Pagseguro Colombia”), PSGP México S.A de C.V. (“PSGP Mexico”) and Pagseguro Peru S.A.C. (“Pagseguro Peru”).
The subsidiaries of PagSeguro Digital are PagSeguro Brazil, PagSeg Participações Ltda. (“PagSeg”), BS Holding and PSHC.
The group subsidiaries are as follows:
PagSeguro Brazil subsidiaries are PagSeguro Biva Securitizadora de Créditos Financeiras S.A. ("Biva Sec"), Fundo de Investimento em Direitos Creditórios - PagSeguro ("FIDC"), RegistraSeguro S.A. ("RegistraSeguro"), Wirecard Brazil Instituição de Pagamento S.A. ("MOIP") and Concil Inteligência em Negociação S.A (“Concil”).
PagSeg subsidiaries are Net+Phone Telecomunicações Ltda. ("Net+Phone"), Boa Compra Tecnologia Ltda. ("Boa Compra"), BCPS Online Services Lda. ("BCPS"), CDS Serviços Financeiros LTDA. ("CDS"), Pagseguro Biva Serviços Financeiros Ltda (“Biva Serviços”) and PagBank Participações Ltda (“PagBank”).
PagBank subsidiaries are Tilix Digital Ltda. ("TILIX"), YAMÍ Software & Inovação Ltda. ("YAMÍ") and Zygo Serviços de Tecnologia S.A. ("ZYGO").
PSHC subsidiaries are Pagseguro Chile, Pagseguro Colombia, Pagseguro Peru and PSGP México.
BS Holding subsidiary is BancoSeguro S.A. (“Bancoseguro”).
Biva Serviços subsidiary is Pagseguro Biva Correspondente Bancário Ltda (“Biva Corban”).
These consolidated financial statements include Pagseguro Brazil, PagSeg, PSHC, BS Holding and the corresponding subsidiaries.
9
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
1.1   Additional Information
During the year ended December 31, 2021, the Company observed that, in the first three months, there was an increase in the number of people infected by COVID-19 and consequently the return of partial shutdowns and social isolation in several cities and states of the country. In the second quarter of 2021, most of the cities in Brazil accelerated the vaccination of the population, and consequently, the Company saw a graduate reopening process, with the extension of opening hours of commercial activities. In the third quarter of 2021, the Company observed the return of social events of the public, and consequently the growth of TPV. In the fourth quarter of 2021, Brazil began to see an increase in infections mainly related to the Omicron variant, without causing an impact on PagSeguro business.
In the first quarter of 2022, Brazil observed a decrease in the number of people infected and the total deaths by COVID-19 and the social events and commercial activities basically returned to a similar level before pandemic. This scenario resulted in higher transaction payment volume (“TPV”) and consequently higher revenues.
The Company has a significant variable cost structure mainly related to TPV, such as processing, interchange, card scheme fees and chargebacks. Marketing and sales expenses are also variable and depends on the Company’s strategy to leverage new products and services such as PagBank. The Company is also still accompanying the evolution of the Brazilian economy and reassessing, when necessary, the provisions for loss allowance for expected credit losses.
The Company has a solid position in terms of cash, liquidity and working capital levels and in the year ended December 31, 2021, as well as in the first three months of 2022, and has not faced the necessity of impairment of assets due to COVID-19.
Furthermore, geopolitical instability arising from conflicts, such as the ongoing war in Ukraine, and the resulting imposition of sanctions, taxes or tariffs against Russia and Russia’s response to such sanctions (including retaliatory acts, such as cyberattacks and sanctions against other countries) could adversely affect the global economy or specific international, regional and domestic markets, including the Brazilian market. Such events could have an adverse effect on our business and financial performance through increased worldwide inflation, greater compliance costs, higher volatility in foreign currency exchange rates, destabilized supply chains and further market disruptions, including from cyberattacks targeting technologies that we rely on or the markets in which we or our customers operate. For this moment the Company has not seen any significant impact in its operations as a result of the conflict.
10
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
2.  Presentation and preparation of the unaudited condensed consolidated interim financial statements and significant accounting policies
These unaudited condensed consolidated interim financial statements do not include all of the information required for a complete set of financial statements prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standard Board. However, selected explanatory notes are included to explain events and transactions that are significant to an understanding of the changes in the Company’s financial position and performance since the last annual financial statements.
These unaudited condensed consolidated interim financial statements for three-month period ended March 31, 2022 were authorized for issuance by the PagSeguro Digital’s Board of Directors on June 3, 2022.
2.1.  Basis of preparation of the condensed consolidated interim financial information
These unaudited condensed consolidated interim financial statements for the three-month period ended March 31, 2022 have been prepared in accordance with International Accounting Standard 34, “Interim Financial Reporting” as issued by the International Accounting Standard Board and disclose all (and only) the applicable significant information related to the financial statements, which is consistent with the information utilized by management in the performance of its duties.
These unaudited condensed consolidated interim financial statements do not include all the notes of the type normally included in an annual consolidated financial statement. Accordingly, this report is to be read in conjunction with the annual consolidated financial statements for the year ended December 31, 2021 (the “Annual Financial Statements”).
The accounting policies and critical accounting estimates and judgments adopted are consistent with those of the previous financial year and corresponding interim reporting period.
11
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
2.2.  New accounting standards not yet effective
The new and amended standards and interpretations that are issued, but not yet effective, up to the date of issuance of the consolidated financial statements are disclosed below. The Company intends to adopt these new and amended standards and interpretations, if applicable, when they become effective.
IFRS 17 was issued in May 2017 as replacement for IFRS 4 Insurance Contracts. It requires a current measurement model where estimates are remeasured in each reporting period. Contracts are measured using the building blocks of discounted probability-weighted cash flows, an explicit risk adjustment and a contractual service margin (CSM) representing the unearned profit of the contract which is recognised as revenue over the coverage period.
    The standard allows a choice between recognising changes in discount rates either in the statement of profit or loss or directly in other comprehensive income. The choice is likely to reflect how insurers account for their financial assets under IFRS 9. An optional, simplified premium allocation approach is permitted for the liability for the remaining coverage for short duration contracts, which are often written by non-life insurers.    
    There is a modification of the general measurement model called the ‘variable fee approach’ for certain contracts written by life insurers where policyholders share in the returns from underlying items. When applying the variable fee approach, the entity’s share of the fair value changes of the underlying items is included in the CSM. The results of insurers using this model are therefore likely to be less volatile than under the general model.
    Targeted amendments made in July 2020 aimed to ease the implementation of the standard by reducing implementation costs and making it easier for entities to explain the results from applying IFRS 17 to investors and others. The amendments also deferred the application date of IFRS 17 to 1 January 2023. The group does not expect the new IFRS to materially impact its results of operations.
Amendment to IAS 1 "Presentation of Financial Statements": issued in May 2020, with the objective of clarifying that liabilities are classified as current or non-current, depending on the rights that exist at the end of the period. The classification is not affected by the entity's expectations or events after the reporting date (eg, receipt of a waiver or breach of covenant). The amendments also clarify what "settlement" of a liability refers to under IAS 1. The amendments to IAS 1 are effective as of January 1, 2023. The group does not expect the new amendment to materially impact its results of operations.
12
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
2.2.   New accounting standards not yet effective - Continued
Amendment to IAS 1 and IFRS Practice Statement 2 - Disclosure of Accounting Policies: in February 2021 the IASB issued a new amendment to IAS 1 on disclosure of "material" accounting policies rather than "significant" accounting policies. The amendments define what "material accounting policy information" is and explain how to identify it. It also clarifies that immaterial accounting policy information does not need to be disclosed, but if so, it should not obscure the relevant accounting information. To support this change, the IASB also amended the "IFRS Practice Statement 2 Making Materiality Judgments" to provide guidance on how to apply the concept of materiality to accounting policy disclosures. This amendment is effective as of January 1, 2023. The group does not expect the new amendment to materially impact its results of operations.
Amendment to IAS 8 - Accounting Policies, Change in Estimate and Error Rectification: the amendment issued in February 2021 clarifies how entities must distinguish changes in accounting policies from changes in accounting estimates, as changes in accounting estimates are applied prospectively to future transactions and other future events, but changes in accounting policies are generally applied retrospectively to past transactions and other past events, as well as to the current period. This amendment is effective as of January 1, 2023. The group does not expect the new amendment to materially impact its results of operations.
Amendment to IAS 12 - Income Taxes: the amendment issued in May 2021 requires entities to recognize deferred tax on transactions that, on initial recognition, give rise to equal amounts of taxable and deductible temporary differences. This typically applies to lease transactions (right-of-use assets and lease liabilities) and decommissioning and restoration obligations, as an example, and will require the recognition of additional deferred tax assets and liabilities. This amendment is effective as of January 1, 2023.
13
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
3.  Consolidation of subsidiaries
On March 31, 2022
Company Assets Liabilities Equity Net income (loss) for the period Ownership - % Level
Pagseguro Brazil 24,971,282 16,149,456 8,821,826 304,418 99.99 Direct
BS Holding 555,137 52 555,085 16,406 99.99 Direct
Pagseg Participações 735,804 870 734,934 30,601 99.99 Direct
Pagseguro Holding 14 11 3 (11) 99.99 Direct
Pagbank Participações 181,786 13,796 167,990 (2,679) 99.99 Indirect
Net+Phone 384,907 97,327 287,580 15,657 99.99 Indirect
Boa Compra 359,282 130,480 228,802 15,773 99.99 Indirect
BCPS 1,655 27 1,628 149 99.99 Indirect
BSEC 1,508,229 1,498,060 10,169 3,074 99.99 Indirect
Biva Serviços 44,887 5,189 39,698 2,450 99.99 Indirect
Biva Corban 23,225 5,737 17,488 1,734 99.99 Indirect
FIDC 4,885,799 856,061 4,029,738 512,389 100.00 Indirect
TILIX 13,761 1,223 12,538 139 99.99 Indirect
BancoSeguro 11,683,297 11,154,335 528,962 16,295 100.00 Indirect
Yamí 1,968 686 1,282 56 99.99 Indirect
Registra Seguro 5,000 9 4,991 99.99 Indirect
CDS 9,339 584 8,755 (719) 99.99 Indirect
Zygo 3,358 9,964 (6,606) (4,340) 99.99 Indirect
Moip 782,325 591,081 191,244 (29) 100.00 Indirect
Concil 4,988 8,034 (3,046) (2,355) 100.00 Indirect
Pagseguro Chile (ii) 7 7 100.00 Indirect
Pagseguro Colombia 54 59 (5) (11) 100.00 Indirect
PSGP México (ii) 1 1 99.99 Indirect
Pagseguro Peru (ii) 13 13 99.99 Indirect
On December 31, 2021 (except for net income, that is presented to three-month period ended March 31, 2021)
Company Assets Liabilities Equity Net income (loss) for the period Ownership - % Level
Pagseguro Brazil 23,863,783 15,250,100 8,613,683 258,445 99.99 Direct
BS Holding 545,693 7,019 538,674 16,670 99.99 Direct
Pagseg Participações (ii) 648,175 5,870 642,305 99.99 Direct
Pagseguro Holding (ii) 36 36 99.99 Direct
Pagbank Participações (ii) 180,053 9,385 170,668 99.99 Indirect
Net+Phone 375,347 103,424 271,923 24,006 99.99 Indirect
Boa Compra 456,934 243,905 213,029 8,295 99.99 Indirect
BCPS 2,022 (52) 2,074 167 99.99 Indirect
BSEC 1,446,640 1,439,545 7,095 1,361 99.99 Indirect
Biva Serviços 42,901 5,653 37,248 80 99.99 Indirect
Biva Corban 21,200 5,446 15,754 985 99.99 Indirect
FIDC 4,770,455 816,980 3,953,475 577,695 100.00 Indirect
TILIX 13,972 1,573 12,399 (196) 99.99 Indirect
BancoSeguro 10,320,430 9,807,767 512,663 16,678 100.00 Indirect
Yamí 2,087 861 1,226 (215) 99.99 Indirect
Registra Seguro 5,000 9 4,991 99.99 Indirect
CDS 10,057 5,583 4,474 (794) 99.99 Indirect
Zygo 2,013 4,278 (2,265) (2,041) 99.99 Indirect
Moip 787,659 596,429 191,230 3,371 100.00 Indirect
Concil (i) 2,390 3,080 (690) 100.00 Indirect
Pagseguro Chile (i) 7 7 100.00 Indirect
Pagseguro Colombia (i) 28 28 100.00 Indirect
PSGP México (i) 1 1 99.99 Indirect
Pagseguro Peru (i) 13 13 99.99 Indirect
(i) Entities acquired/created after March 31, 2021.
(ii) Entities with very limited or no operation.

The operational context of the subsidiaries is to be read in conjunction with the annual financial statements for the year ended December 31, 2021.
14
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
4.  Segment reporting
Operating segments are determined based on the information reported and reviewed by the Board of Directors, which is responsible for allocating resources and assessing the performance of the business and to make PagSeguro Group's strategic decisions.
Considering that all decisions are based on consolidated reports, and that all decisions related to strategic and financial planning, purchases, investments and the allocation of funds are made on a consolidated basis, the PagSeguro Group and its subsidiaries operate in a single segment, as financial service agents.
The PagSeguro Group is domiciled in Brazil and has revenue arising from local customers and customers located abroad. The main revenue is related to sales from the domestic market. The revenue from international market represents 1.4%, and 3.3% for the three-month period ended March 31, 2022 and three-month period ended March 31, 2021 respectively.
5.  Cash and cash equivalents
March 31, 2022   December 31, 2021
Short-term bank deposits 164,277  569,816 
Short-term investment 1,318,815  1,224,546 
1,483,092  1,794,362 
Cash and cash equivalents are held for the purpose of meeting short-term cash needs and include cash on hand, deposits with banks and other short-term highly liquid investments with original maturities of three-month or less and with immaterial risk of change in value. Short-term investments consist mainly of investments in Brazilian Treasury Bonds ("LFTs") with an average return of 100% of the Basic Interest Rate (SELIC, 11.75% per year on March 31, 2022 and 9.25% per year on December 31, 2021).
6.  Financial investments
Consists of investments in Brazilian Treasury Bonds ("LFTs"), in the amount of R$ 1,131,788 in March 31, 2022 (R$782,647 in December 31, 2021) with an average return of 100% of the Basic Interest Rate (SELIC, 11.75% per year on March 31, 2021 and 9.25% per year on December 31, 2021), invested to comply with certain requirements for authorized payment institutions as set forth by the Brazilian Central Bank regulation. This financial asset was classified at fair value through other comprehensive income. Unrealized gain on LFTs in three-month period ended March 31, 2022 totaled R$224 (gain of R$157 in the three-month period ended March 31, 2021).
15
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
7.    Accounts receivable
March 31, 2022 December 31, 2021
Visa Master Hipercard Elo Amex Total Visa Master Hipercard Elo Amex Total
Legal obligors
Itaú 1,506,354  2,471,306  788,143      4,765,803  1,333,263  2,045,133  757,306  —  —  4,135,702 
Bradesco 1,516,037  178,136    989,233  361,368  3,044,773  1,630,756  160,690  —  842,352  296,696  2,930,494 
Nubank   2,463,296        2,463,296  121,398  744,030  —  —  —  865,428 
Santander 829,393  1,427,788      6,990  2,264,171  1,384,872  77,639  —  467,305  —  1,929,816 
Banco do Brasil 1,421,893  223,128    512,673    2,157,694  818,937  1,464,314  —  —  3,253  2,286,504 
Banco Carrefour 114,751  673,373        788,125  216,047  633,590  —  —  —  849,637 
Porto Seguro 574,578  164,901        739,479  —  2,045,699  —  —  —  2,045,699 
CEF 234,976  189,160    283,320    707,456  550,352  141,924  —  —  —  692,276 
Banco C6   591,160        591,160  —  481,017  —  —  —  481,017 
Banco Cooperativo Sicoob   584,917        584,917  362,978  91,016  —  9,368  —  463,362 
Banco Inter   460,329        460,329  —  407,601  —  —  —  407,601 
Banco Bradescard 253,878  72,661    3,336    329,875  206,969  136,125  —  257,929  —  601,023 
Other (iv) 2,534,855  2,553,095    260,580  622  5,349,152  1,890,701  2,088,484  —  215,378  770  4,195,333 
Total card issuers(i) 8,986,715  12,053,251  788,143  2,049,142  368,981  24,246,231  8,516,273  10,517,262  757,306  1,792,332  300,719  21,883,892 
Current card issuers           24,047,538  —  —  —  —  —  21,883,892 
Non - Current card issuers           198,692  —  —  —  —  —  — 
Cielo - Elo           17,211  —  —  —  —  —  42,662 
Getnet           94,379  —  —  —  —  —  97,248 
Other           9,330  —  —  —  —  —  11,716 
Total acquirers (ii)           120,920  —  —  —  —  —  151,626 
Working capital loans           1,008,742  —  —  —  —  —  1,069,671 
Working capital loans ECL           (340,205) —  —  —  —  —  (256,927)
Credit card receivables           852,445  —  —  —  —  —  726,095 
Credit card receivables ECL           (251,534) —  —  —  —  —  (174,046)
Other credit iniciatives           193,598  —  —  —  —  —  110,050 
Other credit iniciatives ECL           (6,038) —  —  —  —  —  (6,166)
Total credit receivables           1,457,008  —  —  —  —  —  1,468,677 
Current           1,265,273  —  —  —  —  —  1,239,797 
Non - Current           191,735  —  —  —  —  —  228,880 
Other accounts receivable           98,562  —  —  —  —  —  156,700 
Other accounts receivable ECL           (3,364) —  —  —  —  —  (3,493)
Total accounts receivable 8,986,715  12,053,251  788,143  2,049,142  368,981  25,919,356  8,516,273  10,517,262  757,306  1,792,332  300,719  23,657,402 
Current 25,528,929  23,428,522 
Non - Current 390,428  228,880 
16
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
7.  Accounts receivable (Continued)
(i)Card issuers: receivables derived from transactions where PagSeguro Brazil acts as the financial intermediary in operations with the issuing banks, related to the intermediation agreements between PagSeguro Brazil and Visa, Mastercard, Hipercard, Amex or Elo. However, PagSeguro Brazil’s contractual accounts receivable are with the financial institutions, which are the legal obligors on the accounts receivable payment. Additionally, amounts due within 27 days of the original transaction, including those that fall due with the first installment of installment receivables, are guaranteed by Visa, Mastercard, Hipercard, Amex or Elo, as applicable, if the legal obligors do not make the payment.
(ii)Acquirers: refers to card processing transactions to be received from the acquirers, which are a third parties acting as financial intermediaries between the issuing bank and PagSeguro Brazil.
(iii)The ECL (“expected credit losses”), are measured according to the IFRS 9. The provision rates are based on the internal credit rating that considers external information and are based on days past due. Every report date, PagSeguro reassesses the premises to adjust the historical credit loss experience with prospective information.
(iv)Refers to other dispersed receivables from legal obligors.

The maturity analysis of accounts receivable is as follows:
March 31, 2022 December 31, 2021
Past due after 91 days 202,111 155,495
Past due within 31 to 90 days 42,989 32,703
Past due within 30 days 34,807 25,445
Due within 30 days 3,901,151 4,214,521
Due within 31 to 120 days 13,482,680 12,033,372
Due within 121 to 180 days 3,945,573 3,457,830
Due within 181 to 360 days 4,520,759 3,808,539
Due after 360 days 390,428 370,128
Expected credit losses (601,142) (440,631)
25,919,357 23,657,402
8.  Tax Receivable
March 31, 2022   December 31, 2021
Income tax and Social contribution 299,761  294,955 
Social integration program (i) 127,849  167,701 
Other 6,774  6,834 
434,384  469,490 
(i)Refers to Social Integration Program (PIS) and Social Contribution on Revenues (COFINS) recoverable on transaction activities and other services and purchase of POS devices.

17
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
9. Related-party balances and transactions
i)Balances and transactions with related parties
  March 31, 2022 December 31, 2021
  Payables Payables
Immediate parent  
UOL - sales of services (a)
28,304  16,216 
UOL - shared service costs (b)
17,501  19,093 
UOL – Deposits (c)
112,827  248,271 

Affiliated companies
UOL Edtech Tecnologia - Deposits (c)
100,412  229,250 
UOL Diveo - sales of services (d)
190  7,612 
Compasso Informática S.A.(d)
14,129  12,853 
Others
9,404  10,326 
  282,767  543,621 
(a)Sales of services refers mainly to the purchase of advertising services from UOL.
(b)Shared services costs mainly related to payroll costs that are incurred by the parent company UOL and are charged to PagSeguro Group.
(c)Certificate of deposits (CD) acquired by UOL and UOL Edtech from BancoSeguro with interest rate between 110% to 120% per year of CDI. The maturity analysis is as follows:
March 31, 2022   December 31, 2021
Due within 30 days 58,270   
Due within 31 to 120 days 21,261   
Due within 121 to 180 days 10,555  193,592 
Due within 181 to 365 days 123,153  283,929 
213,239  477,521 
(d)This payable refers mainly to colocation and cloud services.

18
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
9.  Related-party balances and transactions (continued)
ii)Revenue and expense from transactions with related parties
Three-month period
March 31, 2022 March 31, 2021
Revenue Expense Revenue Expense
Immediate parent
UOL - shared service costs (a)
  22,466  —  19,150 
UOL - sales of services (b)
793  22,314  775  20,865 
UOL - deposits (c)
  4,505  —  106 
Affiliated companies
UOL Diveo - sales of services (d)
  617  —  1,017 
Compasso Informática S.A.(d)
  31,689  —  20,306 
UOL Edtech Tecnologia (c)
  5,295  —  — 
Transfolha Transportadora e Distribuição Ltda.
    —  5,573 
Others
213  1,776  249  169 
1,006  88,662  1,024  67,186 
(a)Shared services costs mainly related to payroll costs sharing that are incurred by the parent company UOL and are charged to PagSeguro. Such costs are included in administrative expenses.
(b)Sale of services expenses is related to advertising services from UOL and revenue is related to intermediation fees.
(c)Expenses are related to UOL and UOL Edtech purchase of BancoSeguro's Certificate of Deposits (CD).
(d)Expenses related to colocation and cloud services.

iii)Key management compensation
Key management compensation includes short and long-term benefits of PagSeguro Brazil's executive officers. The short and long-term compensation related to the executive officers for the three-month period ended March 31, 2022 amounted to R$9,289 (March 31, 2021 - R$29,130).
10.  Business combinations
On August 12, 2021, PagSeguro Brazil acquired 100% of the share capital and obtained control of Concil. Total consideration amounted to R$43,896 and the total net assets acquired at fair value amounted to R$23,165. The consideration paid in cash amounted to R$35,000 and the remaining portion in amount of R$8,896 was recognized in other liabilities and will be retained for the achievement of metrics. Concil main activity is in the information technology industry, focused on the processing of back-office solutions, including reconciliation services for the capture of credit cards with acquirers and sub acquirers.
19
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
The preliminary purchase price allocation ("PPA") was completed on September 30, 2021, which included the recognition of a customer portfolio with a fair value of R$3,839, non-compete agreement of R$940 and software of R$33,136. The Company has also recognized a contingency liability and indemnification assets of R$7,848 resulting in the recognition of goodwill of R$20,731, which is attributable mainly to operational synergy and cost reductions.
The PPA was elaborated considering projections for the period of five years based on management's budgets for Concil and applying an inflation rate plus the estimated growth of GDP of services (fluctuating from 2.0% to 4.5% per year) in order to project future cash flows, discount rate based on WACC (fluctuating from 17.5% to 19.5% per year).
These acquisitions are in accordance with PagSeguro Group's business strategies, ramping up investments on new technologies, products, and services for the Group’s digital ecosystem. The fair value of assets and liabilities acquired is detailed in our annual financial statements for the year ended December 31, 2021.
11.  Property and equipment
a)Property and equipment are composed as follows:
March 31, 2022
Cost Accumulated depreciation Net
Data processing equipment 115,377  (54,267) 61,110 
Machinery and equipment (i) 3,225,599  (797,853) 2,427,746 
Buildings Leasing 98,544  (30,952) 67,592 
Other 30,610  (8,533) 22,077 
Total 3,470,130  (891,605) 2,578,525 
December 31, 2021
Cost Accumulated depreciation Net
Data processing equipment 106,643  (51,294) 55,349 
Machinery and equipment (i) 2,798,823  (654,360) 2,144,463 
Buildings Leasing 94,048  (26,928) 67,120 
Other 29,909  (7,789) 22,120 
Total 3,029,423  (740,371) 2,289,052 
20
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
11.  Property and equipment (continued)
b)The changes in cost and accumulated depreciation were as follows:
Data processing equipment Machinery and equipment (i) Buildings Leasing (ii) Other Total
On December 31, 2020
Cost 77,413  1,881,556  79,890  22,114  2,060,973 
Accumulated depreciation (35,572) (204,154) (12,621) (6,013) (258,360)
Net book value 41,841  1,677,402  67,269  16,101  1,802,613 
On December 31, 2021
Opening balance
Cost 29,230  917,267  14,156  7,796  968,449 
Purchases
29,940  931,859  15,013  10,478  987,290 
Disposals
(1,226) (14,601) (857) (2,902) (19,586)
Acquisition of subsidiary
516  —  220  745 
Depreciation (15,722) (450,206) (14,305) (1,777) (482,010)
Depreciation
(16,407) (453,592) (14,804) (3,137) (487,940)
Disposals
1,063  3,389  499  1,445  6,396 
Acquisition of subsidiary
(378) (3) —  (85) (466)
Net book value 55,349  2,144,463  67,120  22,120  2,289,052 
On December 31, 2021
Cost 106,643  2,798,823  94,048  29,909  3,029,423 
Accumulated depreciation (51,294) (654,360) (26,928) (7,789) (740,371)
Net book value 55,349  2,144,463  67,120  22,120  2,289,052 
On March 31, 2022
Opening balance
Cost 8,734  426,776  4,496  701  440,707 
Purchases
8,852  429,134  4,496  1,573  444,055 
Disposals
(118) (2,358)   (872) (3,348)
Depreciation (2,973) (143,493) (4,024) (744) (151,234)
Depreciation
(3,085) (144,234) (4,041) (877) (152,237)
Disposals
112  741  17  133  1,003 
Net book value 61,110  2,427,746  67,592  22,077  2,578,525 
On March 31, 2022
Cost 115,377  3,225,599  98,544  30,610  3,470,130 
Accumulated depreciation (54,267) (797,853) (30,952) (8,533) (891,605)
Net book value 61,110  2,427,746  67,592  22,077  2,578,525 
(i)Net book value of machinery and equipment are R$2,367,986 POS devices (R$2,091,671 as of December 31, 2021), which are depreciated over 5 years. The depreciation of POS in the three-month period ended March 31, 2022, amounted to R$142,664 (R$95,696 in the three-month period ended March 31, 2021). On March 31, 2022, PagSeguro have contractual obligations to acquire POS Devices in the amount of R$1,540,736 (R$1,650,885 on December 31, 2021).
(ii)The leasing context is to be read in conjunction with the annual financial statements for the year ended December 31, 2021. As of March 31, 2022, PagSeguro had a lease liability presented in other current liabilities in the amount of 16,707 (R$15,690 in December 31, 2021) and as non-current liability in the amount of R$50,992 (R$51,521 in December 31, 2021). In the three month period ended March 31, 2022, the Company incurred in financial expenses related to these leases of R$4,172 (R$3,386 in the three month period ender March, 2021).

21
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
12. Intangible assets
a)Intangible assets are composed as follows:
March 31, 2022
Cost Accumulated amortization Net
Expenditures related to software and technology (i) 2,228,179  (865,689) 1,362,490 
Software licenses 227,030  (63,114) 163,916 
Goodwill (ii) 209,908    209,908 
Other 67,768  (18,106) 49,662 
2,732,885  (946,909) 1,785,976 
December 31, 2021
Cost Accumulated amortization Net
Expenditures related to software and technology (i) 2,016,541  (772,804) 1,243,737 
Software licenses 196,854  (53,129) 143,725 
Goodwill (ii) 209,908  —  209,908 
Other 67,768  (14,962) 52,806 
2,491,071  (840,895) 1,650,176 
(i)The PagSeguro Group capitalizes expenses incurred with the development of platforms, which are amortized over their useful lives of approximately five years.
(ii)The balances comprise the goodwill arising from the acquisition of the companies Biva, BancoSeguro, Yamí, Zygo, Moip and Concil.

22
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
12. Intangible assets (continued)
b)The changes in cost and accumulated amortization were as follows:
Expenditures with software and technology Software licenses Goodwill Other Total
On December 31, 2020
Cost 1,319,061  103,256  169,667  62,786  1,654,770 
Accumulated amortization (501,319) (29,060) —  (771) (531,150)
Net book value 817,742  74,196  169,667  62,015  1,123,620 
On December 31, 2021
Cost 697,480  93,597  40,241  4,983  836,301 
Additions (i) 715,382  97,103  40,589  4,983  858,057 
Disposals
(18,167) (3,645) (348) —  (22,160)
Acquisition of subsidiary
265  139  —  —  404 
Amortization (271,484) (24,069) —  (14,192) (309,745)
Amortization (278,219) (24,291) —  (14,192) (316,702)
Disposals 6,735  222  —  —  6,957 
Net book value 1,243,738  143,724  209,908  52,806  1,650,176 
On December 31, 2021
Cost 2,016,541  196,854  209,908  67,768  2,491,071 
Accumulated amortization (772,804) (53,129) —  (14,962) (840,895)
Net book value 1,243,737  143,725  209,908  52,806  1,650,176 
On March 31, 2022
Cost 211,638  30,176      241,814 
Additions (i)
211,638  30,176      241,814 
Amortization (92,885) (9,985)   (3,144) (106,014)
Amortization
(92,885) (9,985)   (3,144) (106,014)
Net book value 1,362,490  163,916  209,908  49,662  1,785,976 
On March 31, 2022
Cost 2,228,179  227,030  209,908  67,768  2,732,885 
Accumulated amortization (865,689) (63,114)   (18,106) (946,909)
Net book value 1,362,490  163,916  209,908  49,662  1,785,976 
(i)Refers to pulverized expenditures with software and technology, mainly related to customer experience functionalities, such as, digital payment and digital banking account. Goodwill recorded in business combinations acquisitions related to Concil and MOIP.
23
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
13.  Payables to third parties
Payables to third parties, in the amount of R$13,180,321 (R$13,217,15 as of December 31, 2021) correspond mainly to amounts to be paid to merchants related to transactions carried out by their card holders, net of the intermediation fees and discounts applied. PagSeguro Brazil's average settlement terms agreed upon with commercial establishments is up to 14 days.
From the total amount of payable to third parties, R$821,630 (R$533,436 as of December 31, 2021) refer to the balance of transactions settled on merchant's payment account and available to be used by them and R$4,646,567 (R$5,167,577 as of December 31, 2021) are the balance of the clients maintained in their banking accounts that are invested by the Company in Certificate of Deposits with 30 days of maturity and interest average rate of 59% of CDI (59% of CDI in December 2021).
14.  Deposits
March 31, 2022 December 31, 2021
Certificate of Deposit (i) 4,430,944 2,510,818
Interbank deposits (ii) 1,057,811 404,998
Corporate securities (iii) 225,624 218,180
5,714,379 3,133,996
Current 5,145,864 3,056,444
Non - Current 568,515 77,552
(i)The average return is 130% of CDI (163% of CDI in December 2021). From the total amount, R$501 million refer to certificate of deposits with interest rates correlated to the IPCA (Brazilian inflation rates). For these certificates of deposit, the Company contracted derivative financial instruments (“Swaps”) with the specific objective of protecting said deposit from fluctuations arising from inflation, changing IPCA rates for CDI rates. In March 2022, the Company recorded the net effects of the swap derivatives in the amount of R$1,329.
(ii)The average return is 115% of CDI (118% of CDI in December 2021).
(iii)The average return is 137% of CDI (152% of CDI in December 2021).

The maturity analysis of deposits is as follows:
March 31, 2022 December 31, 2021
Due within 30 days 436,389 646,232
Due within 31 to 120 days 1,370,973 1,029,936
Due within 121 to 180 days 485,426 313,008
Due within 181 to 360 days 2,853,076 1,067,268
Due to 361 days or more days 568,515 77,552
5,714,379 3,133,996
24
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
14.  Deposits (continued)
The changes in deposits were as follows:
On December 31,2020 766,086
Additions 4,929,926
Withdraws (2,667,612)
Interest 105,596
On December 31,2021 3,133,996
Additions 4,288,336
Withdraws (1,817,347)
Interest 109,394
On March 31,2022 5,714,379
15.  Salaries and social security charges
March 31, 2022 December 31, 2021
Profit sharing
24,227 75,076
Social charges
29,811 39,200
Payroll accruals
95,421 75,151
Payroll taxes (LTIP) (i)
25,102 61,359
Other
8,413 8,938
182,974 259,724
(i)Refers to social charges and income tax over LTIP and LTIP goals balances. A significant portion of the balances recorded as of December 31, 2021 was paid during the first quarter of 2022.

25
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
16.  Taxes and contributions
March 31, 2022   December 31, 2021
Taxes
Services tax and other (i)
175,882 171,902
Value-added tax on sales and services
732 117
Social integration program (ii)
28,294 26,832
Social contribution on revenues (ii)
171,476 164,330
Income tax and social contribution (iii)
14,725 31,865
Other
13,735 12,479
404,844 407,525
March 31, 2022 December 31, 2021
Judicial deposits (iv)
Services tax (i)
(161,681) (159,101)
Social integration program (ii)
(26,170) (25,789)
Social contribution on revenues (ii)
(161,044) (158,701)
(348,895) (343,591)
55,949 63,934
(i)Refers to tax on revenues.
(ii)Refers mainly to Social Integration Program (PIS) and Social Contribution on Revenues (COFINS) charged on financial income.
(iii)Refers to the income tax and social contribution payable.
(iv)The PagSeguro Group obtained court decisions to deposit the amount related to the payments in escrow for matters discussed in items "i", "ii" and "iii" above.

26
investors.pagseguro.com

pags02.jpg            pags03.jpg
PagSeguro Digital Ltd.
Notes to the unaudited condensed consolidated interim financial statements
As of March 31, 2022 and for the three-month periods ended March 31, 2022
(All amounts in thousands of reais unless otherwise stated)
17.  Provision for contingencies
PagSeguro Group is party to labor and civil litigation in progress and are discussing such matters at the administrative and judicial levels, which in some cases the PagSeguro Group has made corresponding judicial deposits. The likelihood of a negative outcome is assessed periodically and adjusted by management, when appropriate. Such assessment includes the opinion of its external legal advisors.
March 31, 2022 December 31, 2021
Civil 32,465 33,343
Labor 21,438 18,387
53,903 51,730
Labor Deposits (10,456) (10,167)
(10,456) (10,167)
43,447 41,563