Inter & Co. Inc.

Good afternoon, and thank you for standing by. Welcome to Inter & Co.' 's first quarter of 2025 Earnings Conference Call. Today's speakers are João Vitor Menin, Inter's Global CEO, Alexandre Reto, Brazil CEO, Santiago Stel, Senior Vice President and CFO. Please be advised that today's conference is being recorded, and a replay will be available at the company's IR website. At this time, all participants are in listen-only mode. After the prepared remarks, there will be a question-and-answer session. For this session, we ask you to write down your question via the Q&A icon on your screen. Your name will then be announced, and you will be able to ask your question live. At that point, a request to activate your microphone will appear on your screen. If you do not want to open your microphone live, please write down no microphone at the end of your question. In this case, our operator will read your question out loud. Please note that there is an interpretation button on your screen where you can choose the language you want to hear, English or Portuguese. Throughout this conference call, we will be presenting non-IFRS financial information. These are important financial measures for the company, but are not financial measures as defined by IFRS. Reconciliations on the company's non-IFRS financial information to the IFRS financial information are available in the Interim Co's Earnings Release and Earnings Presentation Appendix. Today's discussion might include forward-looking statements which are not guarantees of future performance, Please refer to the forward-looking statement's disclosure in the company's earnings release and earnings presentation. Now, I would like to yield the floor to Mr. João Vitor Menend. Sir, the floor is yours.

Thank you, operator. Good morning, everyone. Today, I am glad to share our strong financial and operational performance for this quarter, and even more thrilled about the future we are building at Inter. We are uniquely positioned to thrive in a rapidly changing banking industry. The market is moving towards a model that fits us perfectly. I believe we are living a secular shift with huge opportunities that we are already capturing. Let me explain why I am so confident on that thesis. Back in 2016, Brazil had a highly concentrated banking industry. Debt service was expensive and services were costly for clients, with hidden fees and high charges for basic transactions. Since then, we saw a significant shift towards digitalization of banking services. Over $20 billion were raised in the capital markets. The Central Bank of Brazil launched the Agenda BC Plus to promote financial inclusion and competition. Many niche players emerged, with us being one of the protagonists in this revolution. However, we took a different approach than most players. We choose to focus on sustainable products with a high level of diversification, both on fees and credit. Although bancarization has made significant progress, mostly on transactional costs, it still relies on expensive unsecured credit, primarily through credit cards and personal loans. Since 2016, we have seen a threefold increase in this type of lending. placing Brazil within the countries with the highest credit costs. As I mentioned, we have taken a different route, which I have been vocal about for many years. We operate a mostly collateralized credit portfolio that promotes sustainability for both our clients and Inter. Beyond credit, we offer a wide range of services that contribute to a highly diversified revenue stream. Our complete digital platform fosters client engagement, encouraging them to use Inter for their daily transactions, which results in a strong retail funding franchise. This is what I call Inter by Design. We see the market moving in a direction that aligns with our strategy. Some examples are mortgage, home equity, FGTS loans, along with the new private payroll loan, and the upcoming SMB digital receivables. We have a remarkable success in these recently launched products, with market shares growing towards our 80.2% PIX share. In the following slides, you'll notice a secular shift opportunity stamp, highlighting the potential in the markets that we are a red well position. Shanji, please take over to elaborate on our business model. Thank you, João.

It's exciting to see what we're building and the market opportunities on this secular shift. Hello, everyone, and thank you for joining us today. The first quarter was once again exciting for all of our businesses and reinforced Inter as a unique growth story. As usual, I'll highlight the performance of our seven verticals, which represents Inter's large and complete set of products and solutions. For the fifth consecutive quarter, we added 1 million new active clients, bringing us to a 57% activation rate. This is the result of our constant efforts to improve our onboarding process, including early activation strategies and also enhancements in hyper-personalization. Last quarter, we personalized the homepage according to each client's interactions with Babi, our customer service bot, and that increased the conversion of those clients by 12%. On our business clients, we grew by 23% year over year, reaching 2.4 million clients. These clients show high engagement and increased our PAC levels. When we look at our banking performance, we observe seasonality effects typical of the first quarter, with lower liquidity and transactional volumes in the market. Therefore, TPV decreased when compared to the last quarter, but has increased by 33% in the yearly comparison, reaching R$342 billion. Transactions made through PIX totaled R$315 billion in the first quarter, achieving an 8.2% market share. TPV levels across cohorts are steadily increasing, with newer clients transacting more and faster than older clients. Now moving to credit, I'm pleased to report strong growth in our Consumer Finance 2.0 portfolio. which includes PIX financing, buy now, pay later, and overdraft. In a yearly comparison, our portfolio grew by more than five times, reaching R$920 million. This quarter, we expanded our product offering by including the new private payroll. In only 10 days, we added R$150 million in new credit to our portfolio through a 100% digital underwriting process. This product offers a significant opportunity for us, as it is a perfect fit for our business model. Digital, low distribution costs, scalable and collateralized, with little to no overlap with other credit products we already offer to our clients. Private payroll is also another secular shift opportunity, and we're seizing it. Also worth mentioning, our reshaping process on the credit card portfolio is underway, with the participation of installments in the total portfolio moving from 7% to 9%. Moving forward to the investments vertical, AUC increased 54% on a yearly basis, reaching $146 billion. Our engaged base also maintained growth, reaching over 7.2 million active clients. One highlight of this quarter is that we achieved nearly 4% market share of Treasury Direct Balance, growing 80 bps in one year. Also, great evolution in our third-party fixed income distribution and on inter-assets, assets under management, when we look at the yearly comparison. Moving to insurance, we had another record-breaking quarter. We have been experiencing significant growth and penetration, which we can achieve with the right targeting, quality products, and hyper-personalization. We reached nearly 8 million active contracts, growing 51% in just one quarter, and sold an impressive 3.5 million items. FGTS and Sortezinha, two low-ticket but recurrent products, continue to be the highlights. Shifting to our marketplace, we saw good numbers to start the year. GMV grew by almost 30% comparing to the first quarter of last year, reaching $1.3 billion. This quarter, 8% of the ONUS GMV was generated through our buy now, pay later operations. This unique combination enables us to leverage our fee revenues while also generating interest income from higher margin unsecured credit operations. Our global front is growing at an accelerated pace, with clients increasing 41% in the year, totaling 4.1 million. Global AUC grew around 20% in the quarter, with a highlight in the deposit balance, which increased almost 30% in only one quarter. Recently, we announced the launch of our investment accounts for Argentinians through a partnership with BIND, an Argentinian bank. Through this product, our clients will have access to a product very similar to our global account used by Brazilians. Finally, we surpassed 12 million clients in loyalty, our last business vertical. With several ways for them to earn and redeem their points with Inter Super App, those clients become the most active within our platform. They tend to generate many times more ARPAC than regular clients and use 2.3 times more products. This quarter, we added one more airline to the burn portfolio and will keep evolving the offering. Last but not least, talking about market share on page 23, we can see a great evolution for many products. We are effectively providing our clients with access to our extensive range of solutions and increasing our share of wallets. This evolution is happening both on credit and fee businesses, and we gained more than 40 BIPs of market share in 7 of the 10 presented products. As we continue to expand our product offerings and enhance client engagement, I am confident that we will further solidify our position in the market. Now, I'll pass the mic to Santi, who will cover the financial part.