Prosus Nv Sp/Adr

Good day, ladies and gentlemen, and welcome to the NASPARS and PROCES financial results for the year ended 31 March 2024. At this time, all participants are in listen-only mode. A question and answer session will follow the formal presentation. If you should require operator assistance during the call, please signal an operator by pressing star and then zero. Please note that this conference is being recorded. I'd now like to turn the conference over to Investor Relations Director, Kayleen Brown. Please go ahead, ma'am.

Thanks, Judith. Welcome, everyone, and thank you for joining us on our earliest call today. With me, we have our interim CEO and soon-to-be group president, Ervin, our CFO, Basil, and our incoming CEO, Fabricio. Today, we are doing things slightly differently. You will find our usual extensive deck on our website, but for the purposes of this call, we are not going to go through every slide, but rather focus on some of the key slides that highlight our performance and recent developments. This will allow us to take more time to answer your questions. We do encourage you to study the full deck, and we will gladly address any questions you may have. After the presentation, we will, as usual, move to Q&A where I will ask you to please limit yourselves to two questions each. If you have any additional questions, please do get back into the queue to ask them. And as always, please reach out to IR if you have any follow-on questions. And for now, I'll turn it over to Irvin.

Thanks very much, Kayleen, and thanks to everyone for joining us today. We have an important set of results to announce, and as Kayleen has already alluded to, we're going to do things a little bit differently today, so I will highlight some of the slides. Not every slide will be in order, as you see on the website. I will make sure you know which slide I'm on as I go through it. Let's start with slide five. It has been a long road, and let's acknowledge that the work didn't just start in FY24, and I'm very proud of our achievements this year. I have the privilege of sharing our results with you, but they are a reflection of the hard work, tough choices, and contributions made by our team. And I want to highlight that. We sustained industry-leading growth and achieved profitability in our e-commerce businesses for the first time ever. This is a big milestone. We're not resting here, and we expect to continue this trajectory of improvement. Full-year profitability and increased dividends from Tencent led to a 3x increase in free cash flow. a big achievement underscoring the strength and task-generating abilities of our businesses at scale. Basil will delve deeper into the specifics shortly. Moving on to slide six, you'll see the strong execution from our operations, peer-leading revenue growth across our segments and significantly improved profit margins. We have several gems in our portfolio and we see significant opportunity to scale them profitably by building out their growing ecosystems. Today, I'd like to focus on what good looks like by highlighting iFood and OLX. First, the iFood on slide seven. Starting as an online food-oriented marketplace, iFood added a first-party food delivery offering to its platform. 1P Food Delivery now accounts for more than 30% of iFood's GMV and led to rapid scaling and profitability. With its expanding customer base and exceptional brand recognition, iFood is now scaling the business to explore new areas like groceries, meal vouchers, and credit. These initiatives are still in the early stages, but they are growing rapidly, and we are optimistic about their potential. In Classified, on slide eight, OLX continues to thrive, attracting over 14 million active users and featuring approximately 62 million active listings daily. We operate horizontal marketplaces for a broad range of categories while specialized verticals like motors and real estate target predominantly professional sellers. In combination, they operate as a strong traffic and inventory sharing ecosystem. This approach not only enhances user engagement but also drives monetization with our verticals generating 4x the average revenue per user compared to our horizontal platforms. We see a lot of potential in expanding and monetizing these ecosystems, building most through additional value-added services and products. As you can see on the right-hand side of the chart, when we do this well, we create a lot of value for our customers and ourselves. A key enabler of our current and future success is our investment in AI, as you can see on slide nine. Since 2018, we've increased our AI and data science teams by 8x, We've empowered our entire organization to explore GenAI for daily tasks by creating TOCAN, our AI assistant. TOCAN is now used by 13,000 employees across 24 portfolio companies and has boosted productivity by 5% to 10%, effectively adding the equivalent of 3,000 employees at no additional cost. AI has also driven significant tangible financial improvements across our portfolio. For example, OLX has deployed our AI capabilities to improve marketing effectiveness by 15%. And iFood saves tens of millions of dollars per year by automating customer support and optimizing promotional strategies through AI. These are just two small examples, but the total impact of AI-driven initiatives across the group is substantially larger. AI will also continue to be an important theme for our investing efforts. So far, for example, our Ventures team has looked at over 900 opportunities in AI and made nine investments in the space. To highlight these two examples, Martian is a model router that dynamically routes each query to the optimal LLM in real time. And Quarty is an AI co-pilot for healthcare professionals. Beyond Ventures, our entire investing team will continue to look for exceptional AI-related opportunities. We will do so with the benefit of our AI team and the knowledge of implementing AI in practice throughout our operating portfolio. Moving to slide 11, while our operational performance has improved, we are also focused on enhancing our returns. We streamlined our organization, refined our investment processes, and engaged more actively with our major operating companies. We see early positive results, but a recovery will continue to take time. We have more work to do here. Similarly, while we continued our work to grow our NAV, we are also focused on maximizing NAV per share. As you can see here on slide 12, our open-ended share repurchase program continues to create tremendous value, $32 billion today, while shrinking the process free flow by 22% and improving NAV per share by 8%. In fact, as you can see on slide 13, The program represents the largest buyback program globally in the tech sector on a relative basis. Reducing the discount remains a big opportunity and key priority for the group. We plan to operate the buyback program for as long as the discount remains elevated, compounding value over time, while at the same time increasing our per share exposure to our e-commerce portfolio and to Tencent. To close, this was a very strong year for the group, and I'm immensely proud of our achievements. We've reached e-commerce profitability, revitalized our culture, made substantial progress improving our processes, and we have paved the path for continued profitable growth and value creation. Let me now hand it over to Basil. Basil.