Syn Prop E Tech Sa S/Gdr

Good morning, ladies and gentlemen. Welcome to the SING video conference to discuss the results for the second quarter of 2022. This video conference is being recorded and the replay can be accessed on the company website, ri.sing.com.br. The presentation will also be available for download. Please be advised that all the attendees will only be watching the video conference during the presentation, and then we will start the Q&A session when further instructions will be provided. Before proceeding, I would like to emphasize that the forward-looking statements are based on the beliefs and assumptions of SIEM management and the current information available to the company. These statements may involve risks and uncertainties as they relate to future events and, therefore, depend on circumstances that may or may not occur. Investors, analysts and journalists should be aware of events related to the macroeconomic environment, the industry and other factors could cause results to differ materially from those expressed in the respective forward-looking statements. Present in this video conference is Mr. Thiago Muramatsu, CEO of Sync, and Mr. Hector Leitão, CFO and IRO of the company. Now, I would like to give the floor to Mr. Thiago Muramatsu, who will start the presentation.

Please, Thiago, you can proceed. Good morning, everyone.

Thank you for your availability for our quarter results about what happened in this quarter so is starting our meeting now talking about what happened in this corner we start with the main events we did an anticipation of a payment of 98 million of 98% of return from one of the series that we emitted in 2021, 2020, that was due to 2024. We were trying to optimize a bit of our cash flow of our bankroll. We got our first debenture with a payment of 100 million in May of 2022. We also did a dividend share in 2022, in the end of May also. with the data tax of 16 of May 2022. And then we did a technology investment, a small investment inside of the strategy that we have to do some investments in technology that is Condo Conta, that is a digital bank focused on houses, on neighborhoods. They also have some corporative ones in this round we did an investment of 4.8 million 4.4 million dollars so we can have a share in the startup i think that an event that we would like to highlight in in this quarter is jaguar parade that is um is an action that is in in is in continuity of other parades we did in the past and this jaguar parade has a focus in raising funds for raising awareness for the the protection of the the spotted lions in their natural habitat and we had uh several different art pieces and they were exposed in in different shopping malls here in central del here in sao paulo some of these pieces will go to new york new york where they will be auctioned and all the funds will be reverted for the for raising awareness One of the species that will be auctioned is from an artist that we supported that is called Bakari from Santander. He did a live painting of this jaguar that he put in the shopping. We had one with an incredible reach. We had this exposition that we did, right? In relation to a website visits, we had more than 1,600,000 and it impacted more than a million people. Now talking about the operational side, we had a physical and financial occupying rate that is very close to this year's rate as well. Even though we had a very interesting commercial activity in our shopping malls, we had lots of replacement and that happened a lot in the first quarter as well. When we saw that these replacements, they are There are new occupations that are more productive than the last ones. So from the shopping side, we are having these classifications that are very productive in a general manner. You will see in the financial side how this is showing up to be very productive, seeing discounts and seeing payers and non-payers. and thinking that even though we had a similar level from the other quarters the quality that we've been doing and the volume that we're doing of negotiations it's very positive for our portfolio when we see the occupation of different classes i think that these these Class A portfolios, they are very impacted by these sorts of things. I believe this is in the next slide. I think that the shopping malls, I already talked a bit. Before we go into offices, let's talk about the sales that we had a very good increase in store sales and total sales. The same store sales we had We had a very interesting growth of 60%. And when we see our parking influx from the second trimester 2019 to the second trimester 2022, we had a decrease of almost 20%. We had other opportunities show up. obviously when we see this influx of people the the flux of people is not going uh down in the same proportion so we have 20 percent less in the vehicle influx but we have a compensation in the flux of people and when we talk about productivity and real state of parking spots we we have been able to enjoy this vacancy, let's say, of these 20% of our parking spots to other usages like media, like storages, like used car retail, utilizing it for events. And when we see in relationship to the financial part of our parking business, we have in the consolidated growth more than 14%, even though. So I think that that's the productivity that we've been trying to do so we don't get the real estate in a stagnant manner. From the time that Itaú had, we obviously have been working in these assets, but it is an asset that we have some difficulties in allocating it. When we look to the triple ways that we have a financial occupation that is near 90%, we have two other actives that we consider in this category, in shopping JK and in Rio de Janeiro that is on Barra da Tijuca. It's a neighborhood that we have lots of, it's a heavy neighborhood in Rio de Janeiro. because jk is 100 percent allocated we have a high vacancy in two assets in salvador and here in brazil machado i believe that in majano in the next quarters we will have good news regarding machado suarez has a good representative here inside the this vacancy basket. So I believe that in the next quarters we will have a good increment here in our occupying occupants rates. Now I'll give the floor to Hector to talk about the financial result that is a bit different from the operational. Good morning, everyone. Thank you, Thiago. Thank you, everyone. Let me start talking about the assets, the NOI. When I look at the total NOI from the quarter versus 2021, we had a decrease of 16%. And when we look at the semester, we see a decrease of 10.4%. And the big impact here, the great reason for this now for is because last year we sold five corporative buildings plus the shopping mall in Biagai Station. And these assets would bring, if you see the same base of last year, the same database of last year, would bring 14 million more of results. separate a bit of this effects of what's portfolio and what is the asset here in the right side as we see the noi of the same properties comparing the same assets and then we have a growth of 43.5 percent we've reached 45.5 uh percent of noi in in the second quarter And in the semester we reached 90.2 millions of NOI and growth of 61%. And here I would like to highlight something that is very important and you need to be very mindful of what we open in the release is the linearization effect of this count that is impacting a lot of our results. And we have a criteria changing this semester so since the beginning of the pandemic in 2020 most of the companies started linearizing the discounts that were given to the shopkeepers throughout their contracts because these discounts were conditioned to the payment to their payments if they were payment paying it right after the discounts And with the auditors, we understood that that should be linearized according to the financial rules and that had an important impact in our balance.