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to SIEM video conference to discuss the results on the first quarter 2023. This video conference is being recorded and you can watch it later at the company's website, ri.siem.com.br. This presentation will be available for download. We would like to inform that all the participants will be watching this video conference during the presentation. And after that, we open up the floor for Q&A session, giving you further instructions. Before resuming, I'd like to reinforce that the statements here declare as the beliefs of the administration of SIN and the current information for the company. And this statement may involve risk and uncertainties considering that they regard future events so unforeseeable. Investors, analysts, and journalists should consider that the events about the macroeconomic environment, the segment, and other factors may influence the results here expressed in the statements. Here we have present in this video conference Mr. Thiago Muramatsu, Director and President of SIN, and Mr. Hector Leiton, Financial Director and Investor Relations with the companies. I'd like to pass the floor to Mr. Muramatsu to start his presentation. Please, Thiago, the floor is yours. First of all, I'd like to welcome you all with a good morning. You see now our call of results. I'd like to thank for your attendance. This quarter was a quarter without relevant movements within the company. On the other hand, this quarter, especially here in the area of shopping malls, we have currently a great concentration of our revenue started turbulent because of retail market is scaring us, startling us in the first 20 days of January. Throughout the quarter, we saw these effects being worn out by the growth. of sales at the mall and our activity of leasing, bringing results. Directly to the point of these results starting operational performance is slide five, talking about occupation. Occupancy of SIN had a small reduction compared to the fourth quarter, 22, because of basically seasonality at the most and impact of corporate offices, comparing the first quarter, 22, 23, and 22, I believe the seasonality effects are similar. We grew 2% in physical occupancy and more financial occupancy ahead, we are going to deep dive the segments. First, shopping malls. We place here a disclaimer about physical vacancy because of Grand Plaza.

Grand Plaza, we have a commercial building, 4,500 meters inside this development. And throughout the last year, there was an interesting movement of renting in this building.

So when we see occupancy excluding the effect of this building, we are just talking about occupancy of retail, retailing stores, the first trimester quarter, we grew 1.3%, leaving 94.3%, reaching 95.6%, going over the 95% mark in the last two quarters. So we see this already as a healthy situation. We still have some challenges ahead of us. These two developments, they are going so well. And we have been investing a lot in events and entertainment. And we can see the results here in all the malls, especially we have interesting results in Shopping D Mall and Serrado Shopping Mall. Shopping D Mall, an area that is an expansion for entertainment, taking people to the mall. This is helping a lot. in the trading of other areas. Shopping D Mall in the end of the year, that is Poucah Temple. So all these operations on recurrency help a lot in the occupancy of the mall. And Cerrado Shopping Mall, we experienced big events bringing a positive flow. It's not reflected in this quarter's numbers, but I am sure this helps a lot growing compared to less quarter. Financial occupancy, the increase was bigger. The increase was more than 2% when we compared the first quarter, 22, and the first quarter, 23. Still about the most, we had a growth of almost 15% on sales quarter after quarter, overcoming in two times the inflation rate, growth near 7.5%, vehicles flow, there was a growth that was shy, 4.5%. And to highlight in this quarter is Cidade de São Paulo Shopping Mall. In the last quarters, it was behind the other malls in our portfolio. In the first quarter, 23, there was and increase above the other malls in sales and flow. And this, we talked to investors because of the location of the mall, focusing on leisure entertainment in the city. Paulista Avenue, that is a commercial center that is a lot of people passing through because they work. in the surroundings. The companies are back to the offices, hybrid work, so it helps the return of the flow in Cidade de São Paulo shopping mall. But this year, as the companies are back to the office and people are back to the office, well, we experience something near that what we had in 2019, and this helped Cidade de São Paulo Shopping Mall a lot. Retaining the growth was 12%, leaving the numbers that we compared in the pandemic period, we are comparing normal year. This growth is really interesting comparing to the accrual inflation, 7.5%. And the leasing and the stores growing in the same rate, 9% growing above the inflation rate.