StoneCo adopts new internal accounting policy

The Company announces that, beginning in the first quarter of 2024, it will adopt a new internal accounting policy for the recognition of membership fee revenues. Membership fee revenue is generated from a non-refundable set up fee paid upfront by a merchant client upon the signing of its service agreement contract for some of our offerings. Previously, the Company recognized the entire membership fee at the time it was paid. Under the new policy, the recognition of these revenues will be deferred through the expected lifetime of the merchant client. For fiscal year 2023, membership fee revenue accounted for R$316 million in net revenue from transaction revenues. This change is expected to: Have no impact on our 2024 Guidance given the strong continued performance of the business. Have no impact on the Company’s cash position or its ongoing cash flow generation. Reduce transaction revenues by approximately R$60-70 million in 1Q24 and R$160-200 million in FY2024 and increase deferred revenue liabilities by the same amounts in 1Q24 and FY2024.