PagSeguro Digital Ltd. Class A Common Shares

I will be your conference operator today. Welcome to PagBank webcast results for the first quarter 2023. At this time, all lines have been placed on mute to prevent any background noise. Should any participant need assistance during the call, please press star zero to reach the operator. This event is also being broadcast live via webcast and may be accessed through PEG Bank website at investors.pegseguro.com. Participants may view the slides in any order they wish. Today's conference is being recorded and will be available after the event is concluded. I would now like to turn the call over to your host, Eric Oliveira, Head of IR, ESG, and Market Intelligence. Please go ahead.

Hello, everyone. Thanks for joining our first quarter 2023 earnings call. After the speaker's remark, there will be a question and answer session. Before proceeding, let me mention that any forward-looking statements included in the presentation or mentioned on this conference call are based on currently available information and PagBank's current assumptions, expectations, and projections about future events. While PAC Bank believes that the assumptions, expectations, and projections are reasonable in view of currently available information, you are cautioned not to place undue reliance on these forward-looking statements. Actual results may differ materially from those included in PagBank's presentation or discussed on this conference call for a variety of reasons, including those described in the forward-looking statements and risk factor sections of PagBank's most recent annual report on Form 20F and other findings with the Securities Exchange Commission, which are available on PagBank's Investor Relations website. Finally, I'd like to remind you that during this conference call, the company may discuss some non-GAAP measures, including those disclosed in the presentation. We present non-GAAP measures when we believe that the additional information is useful and meaningful to investors. The presentation of this non-GAAP financial information, which is not prepared under any comprehensive set of accounting rules or principles, is not intended to be considered separately from or as a substitute for our financial information prepared and presented in accordance with IFRS as issued by the IASB. For more details, the foregoing non-GAAP measures and the reconciliation of these non-GAAP financial measures to the most directly comparable IFRS measures are presented in the last page of this webcast presentation and earnings release. With that, let me turn the call over to Ricardo.

Thank you. Good evening from São Paulo, everyone. And thanks for joining our first quarter 2023 results webcast. Tonight, I have the company of Alexandre Magnani, our CEO, Artur Schunk, our CFO, and Eric Oliveira, head of investor relations and ESG. Before Alexandre and Artur share the main highlights for the quarter, I would like to share some achievements during the first month of 2023. and the main drivers for profits and cash flow generation balanced with quality growth for the coming quarters. Going to side three, on the left side, we are happy to announce the conversions of our brands, PagBank and Pagoseguro, into one single brand, PagBank, the complete bank. We are excited about the next steps of our journey, having a unique two-sided ecosystem combining payments and financial services in one single app, one single iBanking, and one customer care. For us, Tag Bank Brand represents our offering beyond payments. We're also happy to announce that PEGS has joined FTSE Russell Preview List, which can impact positively our average daily volumes, increase exposure to passive funds, and further improve PEGS shares awareness. Another milestone was the brokerage license granted by CVM, the Brazilian Securities Exchange Commission, an important step that enables to provide a complete set of investment projects through our proprietary and integrated platform. On the right side of the slide, we highlight our main drivers for 2023 financials. Our drivers for profitability during these years are solid, and we keep committed to deliver lower losses, keep our operating expense discipline, and further improve our structure competitive advantage by having deposits as a main source of funding and at a lower cost when compared to peers. In terms of drivers for cash flow generation, We are focusing on improving our cash earnings and looking for capital expenditure efficiencies with diligent go-to-market strategy and software development optimization. Finally, in our drivers for quality growth, we will keep fostering Peggy Bank, secured credit portfolio products, and growing volumes in key segments. We also reaffirm our commitment to create a superior value proposition for our clients based on the transparent integration between our payments and financial services platform. Now, I'll pass the word to Alexandre. Thank you.