Good morning, everyone. I'm Ricardo Moura, Director of Investor Relations, M&A, and Strategy. This is the Result Conference for the first quarter of 2024 from Banco ABC Brasil. Welcome. If you are watching the broadcast via Zoom and want to follow in English, please click on the translation button right below your screen. Before we begin, I would like to share the following disclaimers: any statement that may be made during the conference relating to Banco ABC Brasil's business perspectives, projections, operational, and financial goals constitutes beliefs and assumptions from the company as well as information currently available to Banco ABC Brasil. Future considerations are not a guarantee of performance and involve risks, uncertainties, and assumptions as they refer to future events and depend on circumstances that may or may not occur. Investors and analysts should understand that general conditions, industry conditions, and other operational factors may affect the future results of Banco ABC Brasil and may lead to results that differ materially from those expressed in such future conditions. In compliance with the General Data Protection Law, we also inform that this presentation is being recorded and broadcasted in our social networks, LinkedIn and YouTube, and that by continuing you are aware that personal data like image and voice may be shared without any harmful breach of the law. All content is available on our website. To follow the presentation, I suggest you download the content using the QR code on the screen. After the presentation, there will be a moment for Q&A. I would like to call our CEO, Sérgio Lulia, to follow the presentation of the results. Lulia, the floor is yours. [Foreign language] Thank you, Moura. Thank you. It's a great pleasure to be here today with our presentation for another quarter of Banco ABC Brasil. I would like to start by saying how sorry we are to all who live in the South of Brazil, who suffered this terrible tragedy, and say that as an organization, we are giving all the support to our employees in the region, our clients, and their families. We have 407 clients there sending the necessary input and material, and also financial support that comes not only from the bank but all employees. So here is our support so the situation will be solved as soon as possible, and the lowest cost to everyone who lives there. I would like to start our presentation by showing a small video with the highlights of our first quarter. Check the highlights of the first quarter of 2024: Net Profit and ROAE. A net profit of BRL 223 million in the first quarter. A growth of 17.4% in relation to the same period in 2023. An ROAE of 15.1% with an expansion of 64 basis points. Investment Bank. A revenue of BRL 41.6 million in the first quarter of 2024, the highest historical value in the first quarter. A revenue almost 3 times larger than the first quarter of 2023, and 12.3% larger. An increase in the volumes of the DCM operations and also the closure of advisory services, regulatory. We reinforced our capital base in the first quarter with the emission of Capital Level 1 and 2 instruments. A highlight for the local emission of BRL 500 million in perpetual subordinate bonds. We increased our Capital Level 1 in 13.8% and our Basel ratio in 16.6%. Those were the efforts to create a base for our asset growth with a structure that is optimized. Well, those were the highlights of our first quarter. Let's continue here our presentation. Going through the profitability of BRL 223 million and an ROAE of 15.5%, that's not what we want, but considering the seasonality, including January and February, those are good results. The Investment Bank, as it was highlighted in our presentation, with BRL 41 million in results, the best first quarter in the history of ABC Bank. The credit cost of 0.4% from the credit portfolio, this is pretty good if we consider our history. It's something between 0.3%, 0.4%, and 1.1%, so we can see here that it's in the lower part. The regulatory capital, good conditions for the funding of competitive ratios, giving these numbers. In relation to the expanded credit portfolio, there was a growth in 12 months of 5.3%, and here we have the CIB and Middle segments that grew 7%. The Corporate, a little bit back, that had a good growth along last year and in the first quarter. There are some derivative operations and we expect that to resume soon. The quarter -0.9%, seasonal, pretty common in the bank activities in the first quarter of each year. A highlight I would like to bring here is the growth of what we call the cash, so it's an addition of the loans plus the bonds, and they have all that, the securities also, and that comes from 10% - 6.9% of the guarantees issued. The guarantees issued are an important business for the bank. It's something that we have been doing for a long time. We enjoy this activity, but it has had competition with other products, including guarantees issued that we started to offer through our broker, and that explains partially this reduction. But when we look here, this is a proxy that is better than we expected in relation to the portfolio growth for the next quarters, considering that guarantees issued will reach a level that they won't go down below this level. The sectoral exposure is pretty good. Our portfolio is diverse. It still is. Agribusiness is the main one. Even inside agribusiness, we have some diversity with grains 10%, sugar and ethanol 4.5%, agriculture and livestock 4.1%, agriculture input 3.2%, energy. It's the second most important, had a good performance in the quarter, 14% of representation with a growth of 2 percentage points. And then services, trade, and a highlight here for transportation and logistics that grew in the quarter of 0.6 percentage points, representing now 6% of our portfolio. Here is a new slide that we bring to all of you so we show this silent transformation of the bank. It is a diversification that is way bigger of the credit portfolio. If we get the credit portfolio of the bank, it has some diversity with different metrics. Here are some: the 20 largest risks, and divided by the bank equity, and it shows how much the major clients represent in the capital. But that would show different things. If we get the average ticket, it's down. If we get the representativeness of our 20 largest clients over the portfolio, it went down. So this is a healthy change that improves the resilience of the bank, the business, on the long run. What this number shows? It shows that in the first quarter of 2022, the 20 largest clients represented 1.7 times the size of the bank, the equity of the bank, and today it's 1.1%. We believe that's a proper level. We don't expect that to be reduced, so this is a work that we have been doing. So here, let's talk about the financial margin. The behavior here had a drop of 5.3% when compared to the previous month, and also when 3.5% over the same quarter. So it's easy to understand there is a vector here of the Selic rate. It comes from 3.75%, 10.75% today in the first quarter, and that causes some pressure. We have a good behavior of the financial margin to the market. We practice with consistency since the beginning of the bank, and it's reinforcing more and more, and you also have a drop in the growth margin with the clients. That's what's here. Activities with clients, we have the revenues in the origination of operations and provisions that are not here. So when we see in the next slide, we will see that there is a drop in the gross revenue, but in the net you have a good level. The financial margin is reflected here in the mean. So when we have 4.5%, 4.6%, it goes down to 4.1%. We believe in the first quarter there is a seasonality, a seasonality that comes from a commercial activity that is a little bit weaker, a growth in the portfolio that didn't happen, and a mix of clients that is pretty important. So, NIM, the major factor here for the net interest margin, and this increase is the mix of our portfolio, and that didn't happen, and the mix of products that is better, products that work better. We capture throughout 2023, and that may continue. And we believe that for the next quarter, not going to 4.8% but not into 4.1%, something around between those two numbers. The spread with clients, that's what I've mentioned before. Here we get the revenue, all the, and then we have the net spread. It grew from 3%-3.3%, and it's constant. And here in the blue bar, we show the behavior of this revenue without losses. So it goes from BRL 240 million in the first quarter of 2023 to BRL 560 million, to BRL 61 million, to BRL 78 million, and now it reaches BRL 258 million in this higher trend that we believe it's going to continue throughout the years. The service revenues, third quarter above BRL 100 million. This is, besides NIM, another source of revenue and operations with clients that changed in its level. A great highlight for the Investment Bank, BRL 41 million in the first quarter in which it's weak for this activity in the entire industry. We have a good provision for the next quarter, and the revenues coming from brokerage and tariffs, they are good, almost 8% compared year-over-year, pretty good. The only reduction here is in relation to the guarantees issued. As I've mentioned, there was a reduction in the volume, but it's a stable product. Besides this spot reduction, we don't foresee any change. It's a line, a constant line that has less volatility to our revenue with services or service revenues. Talking about our portfolio quality, 0.4%, as I've mentioned. In this graph, we can see the evolution since the first quarter of 2022. You can see what I've mentioned, 0.4%-1.1%, and if we get years before, we will see that that's the behavior, that's the level of provisions the bank operates on, and we are in a good cycle of credit, the opposite of the beginning of last year, in which we had some cases. And this provision has recovery levels that are pretty low. So we had a better one, but this is the level of provisions, gross one, without taking into account the recoveries, and that was good. Operations, past due over 90 days, 1.1% if we reduce that retail case that we all know, 2.9% if we consider that case. So pretty aligned to what we have in our historical level, good results, no deterioration here. Here, once again, there was a deterioration of the Middle segment that reached 4.7%, and that due to the crops, past crops, and crops passed in the second quarter of 2022. In 2023, we had a bad behavior from the crops, and here it's what we call the denominator event, because when you are growing the activities, growing the portfolio, you hire operations with good customers, no default, and you grow the denominator, the number of operations, and then you have the results. I believe that when we have this uptake of the Middle, and this is something that is already happening, this will improve. Here in relation to the balance of provisions, 2.4% without considering the retail or 3.6% considering, and that has a coverage ratio of 217%, pretty comfortable, a well-provisioned bank. We don't have a lot of cases of default in the market today, and that tends to be a positive factor in the bank's activities. Here, the expenditures evolution there was a growth of 6.1%. Keep in mind that we have a 9%-14%, that's our guidance, so 6% is below what we projected. We are not saying that this is going to be the dynamics for the entire year. We have the 9%-14% guide, but the investment cycles in which the bank went through from 2020 to 2023 is in a way or another, concluded. We will keep on investing. All banks are investing. There's no way to stop investing. In relation to the size and impact in expenditures, here the worst moment has passed. The efficiency ratio goes from 37%-39.4%, due to some revenues that were a little bit worse. The first quarter we had January and February that were pretty smooth in activities. The credit demand was not strong and the operations that were paid, but March was better, April also a good month. So we believe that throughout the year the expectation is that the expenditures will be in control, the revenues will be better, and the efficiency level will improve, and will achieve what we propose to the market. And here we have funding, a pretty strong point in the bank. It's pretty diverse. We have access to investors from different categories in the domestic market, international market, companies, investors, individuals, and we also have agencies in international banks. We are going through a moment in which the rates and funding are the most competitive ones. We have good rates with good deadlines, and here an example that I showed in the highlight. When we have the subordinated Level 2 bonds or perpetual ones, there was an increment of BRL 800 million due to an issuance of BRL 500 million of perpetual subordinated bonds Level 1 and BRL 300 million of 10-year bonds Capital Level 2. And that made our Basel ratio to reach 16.6%, and 13.8% comes from Level 1. I don't have to talk a lot about that. Those are pretty comfortable levels, more than enough for the bank to continue in its trajectory and also deliver as committed. And here the evolution of the result, we go from the first quarter of 2023 with a profit of BRL 190 million. Here a negative contribution with the margin with clients, but keep in mind that the losses were smaller. So when you add both numbers, the activity with clients added value to the bank, the margin activities added also, and it comes from the equity. We had revenue with services increased, and then expenditures, mainly with administration, taxation, and personnel, is a negative contributor, reaching BRL 223 and an ROI of 15%. That's not what we expected. We want more and more for a first quarter. That's pretty good. And to finish, I would like to highlight about our guidance page. We keep all the guidance for growth in portfolio from CIB and Corporate, the guidance for Middle growth, also reduction and efficiency level. We are pretty confident. There was a beginning of the year, January and February, with smoother activities. March and April, we will see a great improvement. We are prepared. Our teams are here. We have capital, we have funding, and we are pretty confident. That's what I had to share with you. Now, Moura, the floor is yours. Thank you, Lulia, for bringing this overview in this first quarter. I would like to thank you all who are following the broadcast. Let's start our Q&A session. Now we will open for your participation in our Q&A session. To join us at this moment, we count with the presence of Sérgio Borejo, CFO of Banco ABC Brasil. [Foreign language] Welcome, good morning, thank you, it's a pleasure to be here in our teleconference, and thank you for the opportunity. To everyone following us, feel comfortable to ask questions. To participate, click on raise your hand in the icon in the bottom of your page, and we are available to answer questions. Our first question comes from Brian Flores from Citibank. Brian, please ask your question. [Foreign language] Good morning everyone, thank you for the opportunity. In fact, I have two questions. The first one, you've mentioned a little bit that you are speeding up your portfolio, so I would like to understand a little bit if you have further details per line, and also how this would affect the provisions to the future. Maybe a credit risk that is a little bit higher in the quarter, that it was pretty good. And my second question, you've mentioned some interesting comments on funding competition, but we've heard that the competition in the rate for corporate segment is pretty high. So I would like to hear a little bit from you about what you see, the dynamics, and for this quarter, if we could await a little bit more for this strong competition. Thank you. [Foreign language] Thank you, Brian. I will answer, and then my colleagues will be able to add on. From the dynamics for portfolio growth, it's interesting to say, and we have some work with RI and they can make it available, the market, the first quarter that is a seasonality in which the volume of loans in the system goes down. That due to the strong last quarter, a lot of anticipation of receivables at the end of the year, and the first quarter has that balance. So during the first quarter, we had January and February, pretty smooth, March in which the portfolio went up, and April, as I've mentioned, was a good month. The expectation is that this will continue, and that generates from provisions is a healthy provision because it's the provision you do based on the Resolution 2,682. You do that upfront, and it's healthy because credits are originated with good clients. So that's something that we really expect. In relation to competition, competitors are here, you are right, and if we get, most of the time they ask us about the relationship of the Selic Rate and the spread, we have a relationship here, and we see that more between the default scenario and the spread than the Selic spread. So now we are going through the default scenario that is more benign and that has caused some pressure in the spreads. The major effect has happened already, November, December up to February. So now we have some stability, and in our case, the major engine to improve the mean is not the spread but the mixed portfolio change. With Middle growing, that didn't happen the former quarter, but we are working hard for that to happen. We expect the Middle growth to take in a structuring way throughout the quarters, gradually to an improvement in the mean. [Foreign language] Please, please, no, it's perfect. [Foreign language] Brian, do you have an answer? [Foreign language] Yes, I do, thank you very much. Now, our next question, Yuri Fernandes from JP Morgan. Yuri, thank you for your participation, please. I think, Yuri, the question was answered. Well, I believe Carlos from HSBC feel comfortable to ask your question. [Foreign language] Thank you. Well, thank you for the participation. Could you tell us your perspective in relation to the impact of the tax reform in this year and the following years? [Foreign Language] Hello, Carlos, thank you for your question. This is a question that there's no clear answer, and now we have all the regulation of the tax reform. In general, what we see is a pretty good reform to the country. It's a reform that simplifies the tax system as a whole, and that brings competitiveness to companies. This is pretty good for Banco ABC Brasil because we work with companies. So every news that improves the competitiveness of the Brazilian companies in relation to the world, we welcome with open arms, and that's how we can prosper as a country. It's a reform that the effect will be felt on the long term. The transition is long. It starts small in a real economy. If we remove the expectations factor every day in the cash, it's a reform that starts to have effect in four years. We are going to have to wait a little bit. In relation to the financial system, as well as many others, the ratios were not defined, not even the rules. So what was approved so far is a guidance in which the taxation of the financial system will be just like it is today, and that brings some comfort that at least there will be no increase. But the details, the mechanics, the rates, the ratio, that will be defined in the future. Thank you. [Foreign language] So the tax reform is somehow indirectly adding an additional value, but the tax reform, the direct tax reform is just for next year, right? Over the revenue, the direct taxation? [Foreign language] Well, there were some attempts, and this government, as in the previous government, it didn't happen. So from what we realize, at least, the greater probability is for next year. [Foreign language] Okay, thank you very much. [Foreigh langauge] Thank you, Carlos. Now our next question, Yuri Fernandes, JP Morgan, please. [Foreign language] Hello everyone, I got really confused. I lowered my hand at the end, so I apologize. Thank you for the opportunity. I would like to ask a little bit about the broker, and it's a small line, and the Insurance Broker, well, things maybe go through an eye, so it's not something that is growing. It all depends on how you see year by year, 22%. I'm not saying that it's low, but well, as the base is pretty low, shouldn't it be growing more? I just want to understand your expectations because when we talk to the guarantees, it's what you've mentioned during the call, it's pretty competitive, there are some other products competing. So I would like to understand on the top of the service revenue if the brokerage could offset guarantees, so then there would be a service line that is more resilient. If you could comment, elaborate on that, which are the business, how is the outlook of that, it would be great. Thank you very much. Would you like to comment, Ricardo? [Foreign language] Perfect. Yuri, well, there we can think in the line in two different ways. Well, one of them is what comes from the Insurance Broker, and we are pretty happy with the Insurance Broker, and it has a seasonality as well as the bank has a seasonality. If you compare the broker in the first quarter versus the fourth quarter, there is a seasonality, just like other areas of the bank, they have this seasonality. But if we compare the first quarter 2024 and the first quarter 2023, then you can see in a more evident manner the most important growth of the Insurance Broker, and we have three vectors of growth. One, the maturation of the operations we have in the broker with the lines we already have. Two, we grow our portfolio for the clients. A new client of the bank is a new client of the Insurance Broker in potential. And third, we don't have all the lines that are possible, so step by step we increased the array in which we act on, so there is no potential of expansion for the lines we do not act. So we are going to check and analyze the options. The tariff is more mature compared to an Insurance Broker, but it should grow aligned to the portfolio and the bank operations. So by the time we look to this line, it's important to think in both dimensions, and yes, we want that to be an offset of a smaller growth we have in relation to guarantees. I don't know if I've answered your question, please feel comfortable to let me know. [Foreign language] No, it was pretty clear. And how much in 2024-2025 BRL 25 million, how much is brokerage and how much is tariff? [Foreign language] Well, it's not open, but just a hint. Before we called the tariff and Insurance Broker, and since the last quarter, it's a broker and tariff, so the Insurance Broker has a good share of the line. Thank you, thank you very much. I would like to mention, Yuri, because you've mentioned something about the investment broker. Out of the three lines, the Insurance Broker is, as Ricardo mentioned, an initiative that we are pretty pleased with, but the Investment Bank is where we see from the amount of KPIs a potential growth. We restructured the entire Investment Bank last year as it was already mentioned, and it's a subsidiary of Banco ABC Brasil with Gustavo Bellon, Ricardo Rocha and others. We congratulate the teams, we open new product lines with more structured operations and also securities with FIDC and other options, and that has generated a larger volume of operations and also more specific opportunities of high yield for specific markets. So there is a different dynamic here. So now in the Investment Bank on the next quarter, the market will continue as it is, at least we are going to have an expressive gain better than we have in the previous years. [Foreign language] Perfect. And Lulia, we also have cost gains in the organizations, so we changed your structure and how you are set as a corporation, so thank you very much. Now next question, Mateus Raffaelli from Itaú BBA. Mateus, thank you very much. [Foreign language] Hello everyone, thank you, thank you for the opportunity. I would like to explore the coverage and PDD. I know that coverage is not the target, it's an output, but the ABC coverage is a low level in relation to the historical series. Maybe it's more scattered, but in this context it would be interesting to understand a little bit better what you think about that, about the portfolio growth, the guidance to talk about the expansion to the Middle with a coverage that is not that comfortable. So I would like to hear from you on that sense and the portfolio. [Foreign language] Mateus, thank you for the question. Well, I believe this issue about the coverage was reduced due to many factors, but the major one was due to the major retail company that of what happened in the beginning of last year and the non-growth of the portfolio. So you have crops that become more mature, there are some delays, and they converge. So the trend for this year with our portfolio growing is to increase the coverage, and I have no questions that at least in light of what we see today, this will for sure increase, and that's a good option for the future. Well, anyways, I know that the analysts, you all see, we have the numbers, but you know the statements of 2,682, you don't go from a coverage to the provision, you go from the rating. Each rating has a provision automatically, and the addition of all those provisions will make from A to H ratio, and that will establish the level of coverage. So what happens in practice is that every time you have a credit that is way too provisioned, well, a credit that it's 100%, the coverage is 1 because then it's in the numerator and denominator. So in the moments in which you have credits migrating to DH and the provisions are enough, that takes the indicator to be compressed, and then there is the write-off of that, and it goes from the numerator and denominator. Automatically, it goes up, but that doesn't mean that the bank is better provisioned or worse provisioned. We are pretty comfortable with the level of provision we have today. The credit portfolio is in an amazing moment, of course, if we no longer consider the past problems, it's something that does not concern us. Answered, Mateus? Did we answer you? [Foreign langauge] Yeah, pretty clear, thank you. Now next question, Lucas Martins, from Prada. Lucas, thank you for your participation. [Foreign language] Good morning everyone, thank you for your opportunity. Lulia, Borejo, so I would like to understand a little bit more this growth I saw in CIB in the quarter. Do you think there was an opportunity, a specific opportunity, or should we understand that for the last of the year considering that it was a meaningful growth that happened? The second question is related to the tragedy we are following, and I would like to understand how you are going to deal with what you have in the Rio Grande do Sul state and understand the exposure of the bank with these clients. You have an openness of what is south, but it's not clear how much can be in the state, how affected that can be. If you could comment, it would be perfect on our side. [Foreign language] Perfect, Lucas, thank you, thank you for your participation. The CIB issue, CIB is an important segment for the bank, it has always been, but it's a segment in which most business don't come from loans. It comes from the Investment Bank that is pretty important, and the activity of derivatives are important. It's a segment in which it's a little bit of loans, but in the short term, in which the funding of the chain is more opportunistic. We had those opportunities in the first quarter, but looking ahead, it grows according to the rhythm of the bank growth, including the corporate that is our segment. It's the most representative segment in our portfolio. It had a weaker performance, and we believe it will catch up in the next quarters. Our highlights will be in the development of the Middle. The Middle has not grown for a year and a half because we didn't feel we had a good environment for that. The environment is improving. It's not something that you just turn the key and it's solved. It depends on the location of the company, the sector, but there is a perception in some cases, and I believe there will be an uptake. In relation to the state of Rio Grande do Sul, as I've mentioned in the beginning of our conversation, of course, it's a terrible tragedy. It's a state that we have always worked with. It represents 5% of our portfolio. In the entire south, we have 20%, 5% in the state of Rio Grande do Sul. It's 407 clients, and that's a place in which we have an average ticket below the bank average ticket because usually the best ticket is in Rio and São Paulo with the CIB segment. What we have been doing, as it is 407 clients, a limited number, we didn't have to have a policy that was unique for all of them. We got in touch with all our clients. We have a commercial force for them. We're going to see how we are going to postpone the payment of an installment or some help for some clients. We are sending some food and some input so they can help their employees, their communities, and this has been done as necessary. In relation to behavior of the portfolio, too early to say anything. The clients cannot know what is the situation. We'll have to wait a little bit, but anyways, that's the scenario we have ahead of us. Answered, Lucas? [Foreign language] Okay, thank you, thank you very much. And now we are at the end of our Q&A. I would like to thank you all for your participation. So now we close the broadcastings of our conference in the first quarter of 2024, and I hand the floor to Borejo and Lulia to make their final considerations. Please. [Foreign language] Thank you, thank you, everyone, for the opportunity. It's a great pleasure to be here once again, and I hope to see you in our next teleconference for the results. Hence, thank you, Ricardo, Borejo, and see you in three months. Have a great day. Thank you, thank you, Borejo, Lulia, for the presentation. We also thank everyone for their participation. The presentation is available in our RI website, and the video will be in our YouTube channel. It's also available on ABC Brasil Spotify, and if you have any questions, we are available to answer you. So see you, thank you very much.