1

Teleconference1st Quarter 2007 Results

2

Disclaimer

This document contains “forward-looking statements”. Forward-looking statements may be

identified by words such as “expects”, “plans”, “believes”, “seeks”, “estimates” or words with

similar meaning. The statements contained in this presentation about the Company's forward-

looking statements, including business prospects, operating and financial projections and

potential growth are merely forecasts based on management’s expectations in relation to its

future performance. Such estimates are highly dependent on market behavior, on Brazil’s

economic performance and on industry and international market conditions. As such, they are

subject to changes.

33

Overview

The 1st Quarter 2007 brought consistent results, with solid revenue, EBITDA and net profit growth;

The search for volume growth reflected on the increase of 34.7% on requisitions processed in the Outpatient & Inpatient operations;

The private healthcare market keeps its growth pace, specially over the last three years and this phenomenon is being mostly perceived on the behavior of our standard brands;

This evolution brings many challenges to the medical diagnostic market. DASA’s segmentation strategy, multi-product approach, scale and productivity gains, along with our management model, assures the competitive position to capture market opportunities.

Private Health Plans – Number of lives covered (million R$)

Growth% Change

2005 2006 1T07

Outpatient & Inpatient Revenue 17.4% 16.0% 21.4%

Volume (# of Requisitions) 14.5% 16.5% 34.7%

Price (R$/Requisitions) 2.6% -0.5% -9.8%

5.1%

Source: ANS

31.1

31.2 31.7

33.4

35.1

1.7

36.9

1.8

0.10.5

2001 2002 2003 2004 2005 2006

CAGR = 2.4%

1.7

Lives added during the year

# of Lives at the beginning

4

Gross Operating Revenue

Gross ProfitGross Margin

EBITDA

R$ million

EBITDA Margin

EBITDA adjustedAdjusted EBITDA Margin

Net Income

Net Margin

Net Debt

1Q06

25.6%

(5.0)

-3.3%

+ 22.8%

+ 21.7%

+ 91.3%

+ 18.2%

N.A.

39.4

206.2

43.4

23.0%

46.6

24.7%

49.0

25.9%

167.9

53.0

34.4%

64.5

34.2%

22.7

14.7%

Var. %1Q07

First Quarter 2007 – Highlights

(61.3) (2.7) N.A.

Same Units Sales’ growth acceleration to 9.5% y-o-y;

Acceleration in the organic growth, with 9 new standard PSC opened;

Standard Brands boosting volume growth of 34.7% in the Outpatient-Inpatient market;

Lab-to-Lab business kept the strong growth;

Adjusted Ebitda Margin in line with 2006 figures.

During 1Q07, DASA accounted on the Income Tax and Social Contribution line R$ 41.0 million of one time event adjustments (deferred income tax, net of permanent additions). Without this extraordinary adjust, net profit would have been R$ 8.0 million.

1Q07 Remarks

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Gross Revenues (R$ million) Growth Drivers (Excludes Lab-to-lab)

Gross Operating Revenues Increase of 22,8% on Gross Revenues, totaling R$ 206,2 million over the quarter, led by the

organic growth (expansion of lab-to-lab operations and same units growth), opening of new PSCs and acquisitions done during 2006.

Growth kept being fueled by volume increases (+34,7%). The decrease of 9,8% on average revenue per requisition results from the lower average ticket of acquired companies, which mainly includes clinical analysis, the rise of standard brands in São Paulo and Rio de Janeiro as well as agreements with key payers aiming to get additional volumes in exchange of lower prices;

Same Units Growth accelerated to 9,5% on 1Q07.

206.2167.9

729.7

323.8399.8

491.4576.9

2002 2003 2004 2005 2006 1Q06 1Q07

CAGR = 22.5%

22.8%3.3

3.94.6

5.2

1.4 1.8

114.3

103.097.4

102.0106.8 110.4109.9

2002 2003 2004 2005 2006 1T06 1T07

AverageRevenueper requisitionRequisitions

1.4 1.8

114.3

97.4

2002 2003 2004 2005 2006 1T06 1T07

AverageRevenueper requisitionRequisitions

6.1

66

Operating Revenue per Service Line

Imaging services kept expanding, posting 18.1% growth, however the mix from acquired companies during 2006 accelerated clinical analysis revenue growth, thus diluting by 1.0 p.p. the participation of imaging services as a percentage of net revenues;

The lab to lab activity registered a growth of 40.5%, as a result of price strategy, new exams to the main client–labs and geographic expansion.

Revenue per Service line (% of the Gross Revenue)

Revenue – Lab to Lab (R$ million)

12.2

60.4

40.5

27.2

18.0 17.1

2003 2004 2005 2006 1Q06 1Q07

CAGR = 49.7%

40.5%

12.2

60.4

40.5

27.2

18.0 17.1

2003 2004 2005 2006 1Q06 1Q07

CAGR = 49.7%

40.5%

Clinical Analysis Imaging Services

119.5

58.9

69.5

96.8

1Q06 1Q07

167.8

206.2

18.1%

23.5%

17.1

22.8%

63.2%

36.8%

37.8%

62.2%

12.2

40.5 %

. Alvaro Lab.Clinical Analysis Imaging Services

119.5

58.9

69.5

96.8

1Q06 1Q07

167.8

206.2

18.1%

23.5%

17.1

22.8%

63.2%

36.8%

37.8%

62.2%

12.2

40.5 %

.

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Gross Profit and CostsThe gross margin registered a decrease of 0.2 p.p. in the quarter, mainly due to higher

depreciation and amortization costs. “Cash-Cogs” gained 0.3 p.p., due to the reduction of personnel costs;

The cost of materials increased as a consequence of the growth on the lab to lab operations, where this line is more representative than in the outpatient & inpatient activities;

In Services and Utilities, the increase of 0.6 p.p. reflects higher costs related to new PSCs opened (25) and new agendas for imaging tests.

“Cash-Cogs” Evolution (1Q06 vs. 1Q07) “Cash-Cogs” – 1T07 (% of Total Cost)

Personnel

28.7%

Materials

26.5%

Services and

Utilities

33.8%

General Expenses

1.0%

Depreciation and

Amortization

10.0%

“Cash-Cogs”1Q06

Personnel Materials ServicesandUtilities

General Expenses

59.5%59.2%

1.2

0.3

0.7 0.0

“Cash-Cogs”1Q071Q06

Materials ServicesandUtilities

General Expenses

59.5%59.2%

1.2

0.3

0.6 0.0

1Q07

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Operating ExpensesThe nominal decrease in Operating Expenses is a consequence of the reduction in General

and Administrative and Financial expenses that provided a gain of 10.6 percentage points as a share of net revenue;

The decrease in General and Administrative expenses (G&A) is a result of lower non-recurring expenses that, in the 1Q06, included R$ 16.7 million of capital market operations related expenses;

The parent Company G&A expenses remained in the same level as of the previous quarters. The increase in the subsidiaries’ G&A expenses refers to the four companies acquired from June 2006 on. 1Q07 1Q06 1Q07 1Q06 %

Dillution(p.p)

General and Administratives (36.9) (42.1) 19.5% 27,3% -12.2% -7.7Net Financial (2.4) (6.4) 1.3% 4,1% -62.2% -2.9Goodwill Amortization (9.4) (7.6) 5.0% 4,9% 23.9% 0.0Other Operating Revenues/ Expenses 0.3 0.2 -0.2% -0,1% 50.4% 0.0OperatingExpenses (48.4) (55.8) 25.6% 36,3% -13.2% -10.6

In R$ Million % of Net Revenues 1Q07 vs1Q06

1Q07 1Q06 1Q07 1Q06 %Dillution(p.p)

General and Administratives (36.9) (42.1) 19.5% 27,3% -12.2% -7.7Net Financial (2.4) (6.4) 1.3% 4,1% -62.2% -2.9Goodwill Amortization (9.4) (7.6) 5.0% 4,9% 23.9% 0.0Other Operating Revenues/ Expenses 0.3 0.2 -0.2% -0,1% 50.4% 0.0OperatingExpenses (48.4) (55.8) 25.6% 36,3% -13.2% -10.6

In R$ Million % of Net Revenues 1Q07 vs1Q06

1Q07 % Net Rev. 4Q06 % Net Rev. 3Q06 % Net Rev. 2Q06 % Net Rev. 1Q06 % Net Rev.

General and Administrative (36.9) -19.5% (38.2) -21.8% (33.8) -18.8% (37.0) -23.0% (42.1) -27.3%

Parent Company (20.7) -11.0% (21.5) -12.2% (21.7) -12.0% (21.1) -13.1% (18.3) -11.9%

Non Recurring Expenses (3.2) -1.7% (4.1) -2.3% (2.2) -1.2% (7.4) -4.6% (16.7) -10.9%

Profit Sharing Program (1.7) -0.9% (0.7) -0.4% (1.7) -0.9% (1.7) -1.0% (1.4) -0.9%

Depreciation (3.0) -1.6% (3.9) -2.2% (2.7) -1.5% (3.1) -1.9% (2.2) -1.4%Subsidiaries (8.4) -4.4% (8.1) -4.6% (5.7) -3.1% (3.7) -2.3% (3.5) -2.3%

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EBITDA and Adjusted EBITDA

EBITDA and Adjusted EBITDA (R$ million)

The strong growth in the 1Q07 Ebitda (91.3%) derives from the revenue increase, from expense dilution and from the significant decrease in non-recurring expenses;

Even with the increase of the lab-to-lab activities (that currently has a lower margin), of the recently opened patience service centers yet under ramp-up and ongoing synergies, the 1Q07 Adjusted Ebitda margin reached 24.7%. The Adjusted Ebitda increased by 18.2%.

EBITDA

Non-Recurring Expenses

Adjusted EBITDA

2002 2003 2004 2005 2006 1Q06 1Q07EBITDA Margin 21.8% 23.1% 18.9% 22.5% 20.5% 14.7% 23.0%

Adjusted EBITDA Margin 27.1% 27.3% 27.5% 25.7% 25.0% 25.6% 24.7%

2002 2003 2004 2005 200621.8% 23.1% 18.9% 22.5% 20.5%27.1% 27.3% 27.5% 25.7% 25.0%

2002 2003 2004 2005 200621.8% 23.1% 18.9% 22.5% 20.5%27.1% 27.3% 27.5% 25.7% 25.0%

15.0

15.5

15.338.5

16.9

30.4

16.73.2

43.422.7

137.4

47.264.9

84.1 84.6

119.062.2

80.4

99.4

123.1

135.9

167.8

39.446.6

2001 2002 2003 2004 2005 2006 1Q06 1Q07

18.2%

CAGR = 22.0%

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During the first quarter of this year R$ 34.4 million were invested;

Most of the resources were invested in the acquisition of imaging equipments, construction and refurbishment of PSCs and information technology.

Capex

Investments (R$ million)

Pre-operatingInvestments

9,7%

Medical Equipment

47,3%

Information Technology

10,4%

Opening and Refurbishmentof PSCs31,9%

Other0,7%

22.0

29.6

40.0

65.0 71.0107.9

28.6

1.4 4.8

2003 2004 2005 2006 1Q06 1Q07

Parent Co. Subsidiaries

129.9

30.0 34.4

Investments break-down (1Q07)

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The additional investment needs for the first quarter consumed our cash generation and demanded additional resources from cash and equivalents;

The company’s net debt increased to R$ 61.3 million.

Cash Flow and Debt

Net Debt Evolution (R$ million)

(53.8)

4Q06Net Debt

(61.3)

CashGeneration

26.9

(34.4)

1Q07Net Debt

Cash Flow 1Q07

EBITDA 43.4

Taxes (7.5)

Net Financial Expenses (2.4)

Working Capital and Other(6.6)

26.9Cash Flow Generated

Cash Flow Analysis (R$ million)

Capex

Cash and Cash Equivalents 327.3

Debt – Short Term (63.4)

(325.2)Debt – Long Term

(61.3)Net Debt

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Expansion

The Company was fully prepared to absorb the 34.7% growth in the requisitions’ volume in the outpatient-inpatient market and of 49.1% in the volume on the lab-to-lab business. The only investments made were on the new Central Lab in São José dos Pinhais, the update of the hematology lab and the adjustments in the Cascavel Esoteric Lab.

However, in the organic growth front, we are increasing the number of PSCs to be opened in 2007.

On the acquisitions side, we are still confident that the goals set for 2007 will be reached. Currently, we have been favoring acquisitions in regions where DASA is already present, in order to consolidate our presence and market leadership and maximize the synergy potential.

Acquisition Strategy

Organic Strategy

ORGANIC GROWTH - 2007

Standard

Mega Total

Opened* 09 00 09

To be opened 16 08 24

New Schedule 25 08 33

Former Schedule

15 08 23

* Up to 03.31.2007