Good afternoon, ladies and gentlemen, and welcome to Plano & Plano third quarter 2024 earnings conference call. This teleconference is being recorded and can be replayed at the company's IR website. The slide deck will also be available to download. We'd like to inform you that all participants will be in a listen-only mode during the presentation. We will later hold a question and answer session when more instructions will be provided. Before proceeding, I'd like to mention that any statements that will be made during this conference about the business prospects, forecasts, and operating and financial targets are beliefs and assumptions of the management of the company, as well as information currently available to Plano & Plano. Forward-looking statements are no guarantee of performance as they involve risks, uncertainties, and assumptions, and as they refer to future events, and therefore depend on circumstances that may or may not come to pass. Investors and analysts should understand that events dependent on the macroeconomic environment, the sector, and other factors may impact future results of Plano & Plano and cause them to be materially different from those contained in the forward-looking statements. With us today, we have Mr. João Hopp and Anselmo Soares, our Vice President and our CFO. I'd now like to turn the call over to Mr. João Hopp, our VP, who will start the presentation. Mr. Hopp, you may begin, sir. Good afternoon, everyone. Welcome to our third quarter 2024 teleconference with Plano & Plano. We do not have Rodrigo Luna with us today. He's at a SICAV meeting, and Rodrigo von Uhlendorff is not in São Paulo right now. They apologize for this clash in their schedules. Before we go into the details of our operating and financial results, I'd like to mention some of the most important highlights of the quarter, which stress how strong our commitment is with sustainable and consistent growth. The company continues with its strong execution journey, focusing on quality and delivering value to our shareholders, clients, and partners. One of our main highlights in the quarter was the Pode Entrar program. We surpassed the BRL 1 billion milestone in accumulated sales or year-to-date sales since 2023. That shows how strong and robust our operations are in the market. The signing of this contract is a significant milestone to our company, just reinforcing our commitment to excellence and the development of projects that have social interest. Among the main results, I like to highlight the historical records that we had in the net sales in the private market that continues to grow quarter-on-quarter. In the third quarter 2024, our PSV was BRL 906 million. That is a BRL 268 million year-on-year and a BRL 109 million rise quarter-on-quarter. We also have historical highs in net income or rather net revenue. That was BRL 719 million, and the net income was BRL 119 million. Year-to-date, we have BRL 256 million in the net income, a 29.1% rise year-on-year. Our cash generation continues to perform solidly and continues to grow. In the third quarter 2024, we had BRL 104 million. That is a BRL 16 million rise quarter-over-quarter. We have also issued our first CRI, our Certificate of Real Estate Receivables, with a total value of BRL 273 million. This operation had an AA+ rating issued by S&P, and the demand was up to BRL 578 million, which allowed us to capture good rates for these issuance. These results bear witness to our solid performance and the company's capacity to grow, stressing our strong commitment to growth and excellence. The company has also been very successful in acquiring new land lots. This quarter, we had BRL 21.8 billion reals in potential sales in our land bank. That's also a historical high for the company. Our yearly target for land bank acquisition has already been met. We continue to analyze potential opportunities in acquisition to minimize the capital invested in land bank and also to acquire new land lots that are well-located and that are sized to produce very expressive businesses and that we can incorporate in our development, construction, and sales of new projects. We continue to follow the track to be a bigger, better, and more relevant company by the day. We're very confident that we'll continue to expand our operations profitably and with risks under control. In the third quarter of 2024, the company launched eight new projects, four in the Pode Entrar program with a PSV of BRL 274 million, and four projects in the private market with a PSV of BRL 703 million, totaling BRL 1,076 million. In the last nine months, the company recorded a 58.2% rise year-on-year. That is a BRL 959 million increase amounting to BRL 2.606 billion, bearing witness to our robust and consistent performance. In the third quarter of 2024, the Plano & Plano launches amounted to BRL 957 million, 97.3% higher year-on-year. Year to date, we had amazing growth of BRL 904 million, a 59.7% rise year-on-year, amounting to BRL 2.418 billion. These results also bear witness to our solid growth journey and the trust the market has in us, in our quality, and our potential to continue to grow. Net sales continue to grow year after year. In this quarter, total sales amounted to BRL 1.28 billion. These results account for a 100.7% year-on-year rise, BRL 642 million increase, and that is a 60% increase quarter-on-quarter, BRL 482 million. Year to date, we also had notable growth, BRL 925 million. That is a 59.1% rise year-on-year. With that, our total PSV is BRL 2.489 billion, showing our solid demand and our successful execution of our sales strategies. Net sales in the private market continue to perform really well, reaching new record highs. This quarter, we had BRL 906 million. We see a BRL 268 million increase year-on-year. Quarter-on-quarter, we had a BRL 109 million increase. Year to date, the company surpassed the 2 million—2 billion, pardon me, 296 million milestone in net sales. That's a BRL 533 million increase, a 30% rise year-on-year. These results also bear witness to our solid sales strategy and our performance in the private market. On September 30th, 2024, our total SOS was 62.3%, including the Pode Entrar program. That is a 9.4 percentage point increase year-on-year and a 6.2 percentage points rise quarter-on-quarter. In the private market sector, the last twelve months SOS was 54.7%, a 4.5 percentage points rise year-on-year, and a 1.9 percentage points rise quarter-on-quarter. Pardon me, 4.4 quarter-on-quarter and 1.9 year-on-year. The contracted units from the Pode Entrar are recognized as 100% sold on the date the contracts are signed, and that took place in December 2023 and September 2024. That strengthened the company's sales results. That also shows how we have been performing well in our SOS. At the end of the third quarter of 2024, we had 0.8 years inventory available to be sold based on the last twelve months. That is a reduction of 0.17 years quarter-on-quarter when the indicator was 0.97 years. Looking at our historical performance, we can say that in the first quarter of 2021, the company had about 1.74 years of sales, and ever since then, we have had a significant decrease in this indicator. Comparing the first quarter of 2021 with the third quarter of 2024, we see a 0.94-year decrease. That also stresses our commitment to continue to reduce this indicator in the coming years, creating a virtuous cycle that will strengthen or favor our launches performance. The decrease of our inventory shows how efficiently our portfolio is managed and that we're in line with our strategy to accelerate launches and increase the turnaround of our products, increasing the profitability of our operations. In the third quarter of 2024, the company had notable performance with a net revenue of BRL 718 million, a new record high. That is a BRL 162 million increase in comparison to the BRL 556 million recorded in the same period, 2023, and a BRL 21.3 million increase in comparison to the BRL 696 million reals we had in the second quarter 2024. In the last nine months, the company amounted to BRL 1.917 billion in net revenue, a BRL 484 million rise year-on-year. Additionally, the LTM revenue had a 37% rise year-on-year. As for the Pode Entrar program, in this quarter, the company had a BRL 155 million reals in revenue. That is a BRL 106 million increase year-on-year. In the third quarter of 2024, we not only made progress with the construction works that are ongoing, we also had BRL 63 million recognized in the newest contract of the program. We'd also like to mention the positive impact of the consistent growth that we have had in launches and sales. As the company's construction works go ahead, the company recognizes gradually the new revenue. With that, our revenue for future years has shown consistent growth, going from BRL 871 million on the 30th of September 2023 to BRL 1,230 million on the 30th of September 2024. That is a BRL 459 million increase in 12 months. Recognizing these revenues in the course of time, we continue to feel confident that we're scaling up our operations and that that's going to be mirrored in our operations, strengthening further our growth journey and our profitability. At the end of the third quarter, our REF margin in the private market was 39.9%. We had substantial increase in SOS, and the company has been maintaining their REF margin at healthy levels with minor fluctuations springing from the product mix that are traded. In this product mix, we'd like to highlight the sales of products focusing on clients with a family income that goes up to BRL 2,640. This segment has a benefit, which is a tax reduction over the revenues that goes from 4% to 1%. Plano & Plano planned a number of launches to cover this first interval of families. In this market, we see a better SOS than in other markets that we operate. We have adapted and reduced our commercial expenses for the segment so that the prices could be adjusted for the target audience. In that, we have slightly lower gross margins offset by lower expenses, commercial expenses, delivering margins that are similar to other projects of the company. These projects have been successful, and the REF margin continue to perform in the same way, and that does not change our profitability in any ways. The third quarter 2024, our adjusted gross income was BRL 145 million, representing a 29.3% increase year-on-year. The adjusted gross margin was stable at 34%. This margin includes Pode Entrar effects with lower margins in the private market. In the private market, the adjusted gross margin was 35.9% excluding Pode Entrar sales. These results show a 0.7 percentage points increase in comparison to the 35.2% recorded in the previous quarter. That's a healthy level which shows our operating efficiency, especially considering the increase in our SOS, and we continue to deliver that consistently. When we look at our commercial expenses, there was an improvement in comparison to the same period last year. There was a 0.5 percentage points reduction going from 10.5% in the net revenue in the third quarter 2023 to 10% in the third quarter 2024. This performance shows how efficient the company is, boosted by our scale gains stemming from our continuous expansions and our operations in the past years, as well as with the investments that we have had in new technologies and the processes focusing on optimizing the acquisition of new clients. In the last nine months, sales expenses amounted to 9.8% of the net revenue, a 1.8 percentage points improvement in comparison to 11.6% in 2023. G&A expenses were 5.3% in the quarter, a minor increase of 0.1 percentage points in the same period, 2024, in comparison to 2023. The G&A expenses continue to be stable, and they're at 5.9% of the net revenue. The company has shown solid growth and sustainable growth in the past years as we continue to grow expressively in our operations, and that really shows our ability to scale up the business efficiently and profitably. When we compare the last 12 months in 2024 and the previous year, we see improvements in the net margin and in the net income. In the last 12 months, the net margin was 13.3%, and the net profit or net income was two hundred and forty-three percent higher, going to BRL 339 million. That is a 32.5% increase. In the third quarter, we had a net margin of 16.6%, three percentage points higher year-on-year. The net income was a record of BRL 119 million, a 57.7% rise year-on-year. In comparison to the second quarter 2024, net income grew 25.3%, bearing witness to the company's efficient strategies and solid financial performance. In the third quarter 2024, the company had the capitalized interest adjusted EBITDA of BRL 153 million with a 21.3% margin. That is a 47.5% increase in comparison to the BRL 103.8 million that we had in the third quarter 2023. The adjusted EBITDA in the last nine months of 2024 was BRL 236 million with a 17.6% margin. In the third quarter 2024, the company had an operating cash generation of BRL 103.8 million, which represented a 16.4 million increase in comparison to the 87.5 million that we had in second quarter 2024. Year to date, the operating cash generation was BRL 166 million, showing how solid our financial performance is. On the thirtieth of September 2024, the company's gross debt totaled BRL 585 million, and the cash and cash equivalents amounted to BRL 690 million. With that, the company's net cash was BRL 104 million at the end of the third quarter 2024, and the net debt to equity was -12.4%. That's the end of the presentation, and we're available to whatever questions you may have. Thank you very much for listening. We'll now start the question and answer session. Should you wish to ask a question, please type your name and company in the Q&A field or raise your hand. First question from Herman Lee from Bradesco BBI. Mr. Herman, please, you may unmute. Thank you for taking my questions. We've got two. First, around the gross margin. You're at 33% currently. It could get to 36%, and RFS, 39%. So how do you see the margins performing in the coming months? And as for the launch mix, you had said that you were likely to have some launches in the lower layers with the FGTS possibilities. And there's also, I just wanted to understand what the profile of the launches have been like and what they will be focusing on if lower income families. Concerning the gross margin. Thank you for your questions, first of all. We have been saying that, and this is an estimate, we believe there are gross margins. Adjusted gross margin should be between 34% and 36% in 2024 and 2025. This is the private market, okay? The private market was 35.9%, so this is the higher end of the spectrum we expect it to be in, so we're quite satisfied with our performance. Looking forward, we believe that we should stay in this interval, in this range, and always try and increase our SOS. Our SOS has been higher. And speaking about the mix, it's partially explained by the SOS of the mixes in the first range of the urban products. We had about BRL 600 million in PSV in the first urban range, and we've been selling well. The total units should be sold between five-six months, so all of them should be sold between then. Our mix has been focusing on the lower income, the first urban range focusing on lower income. Herman, we can build more stories than the average market, right, in structured brick-and-mortar. That allows us to have products that are very suitable for this first urban range. About 35% of our PSV should be in this first range. The mid income should be about 20%, and the high income in one and two. We're also into accelerating the first urban range, but we should be at about 20%-25% there. This is the mix that we have so far. We have a diversity of products and a focus in São Paulo. If we look at Plano & Plano, how we were 4 years ago, we're focusing on ranges two and three. Now we can service first, second, and third, and Minha Casa, Minha Vida in range four. This is our possibility to continue to grow. This is our mix, 20% in one and low mid, 20% in the rest, and three and two and three. All right. Thank you. Enjoy the holiday tomorrow. Our next question comes from Ruan Argenton from XP. Good afternoon. Thank you for taking my questions. My first question has to do with corporate funding. This has been becoming more expensive of late, right? What is your perspective there? Does that change your funding plans for next year? My second question has to do with the project that you have in Barueri. It's a bigger project, right? I wanted to hear what your expectations are when it's going to be launched, if you already have the licenses to launch there. Thank you. Hello, Ruan. Thank you for your questions. As for corporate funding in Minha Casa, Minha Vida, all of them have been with the FGTS funding with the average rating of about 8%. The first that we had outside the guarantee fund is going to be in the mid income, and we're gonna have a contract related to the CDI rate. You asked about 2025. We don't see the need to hire corporate funding outside the guarantee fund. We believe we'll continue to do what we're doing. What we've done more recently, considering the market, was the certificate of real estate receivables that really capitalized the company to grow. We had BRL 273 million in our issuance, and they're for a five-year term. We can use this money. If we're going to take loans from corporations, we won't take so much because we have a higher SOS, and if we want to amortize it, we can use that money for it. Considering the corporate funding as that, Minha Casa, Minha Vida continues with the guarantee funds, and if there's anything that is related with the CDI rate, we have money to take it from corporations and amortize it. If you look at Plano & Plano's history, we've been growing a lot when it comes to sales and launches, and we have reduced the amount of corporate funding we've taken on. We see that scenario as under control. In Barueri, we see a very important launch. It's a mid income BRL 738 million in PSV. We don't have the approvals of the authorities yet to launch it, so we are still waiting. We expect to launch it at the start of December. If not, then in the first quarter of 2025. We're waiting for the authorities to grant license. We find it a little more unlikely for it to be launched in the fourth quarter. It's more likely that it will come out in the first quarter next year. When you think of the whole story, the timeline of Plano & Plano, whether it's gonna be launched in the fourth quarter or the first quarter next year doesn't really make much of a difference. We don't yet have the documentation, the license to launch it. Thank you, Ruan, for your questions. Thank you, Ruan. Have a good afternoon, and enjoy the holiday. Next question from Antonio Castrucci from Santander. I have a question around the REF margin. It's been going down in the past quarters. It's still quite healthy. Is there any impact from the product mix? How the margins change from one product type for the other. In the past quarters, we see the REF margin being impacted by this first group, the first urban group. These are products that cost about BRL 195,000 and what we take away from that is low tax. With approximately the same construction cost after the gross margin, the gross profit, we can reduce commercial expenses. With the same construction costs, we have a sales price that are a bit lower, so the gross margin's a bit lower. That is offset, as we said in the presentation, with lower commercial expenses, so the contribution margin to the company is the same. We already launched BRL 700 million in PSV, and sales are going well, and we haven't yet started construction work, so this is still in the REF margin. The REF margin is bringing in this pressure from this line on the first urban range in comparison to ranges two and three from Minha Casa, Minha Vida. Thank you. Have a good weekend. Have a good Thursday. Next question from Luiz Capistrano from Itaú BBA. You may ask your question, Luiz. Congratulations on your results, and thank you for taking my question. There are two points regarding costs that I'd like to understand. First, what is the current diagnosis for the company? You've been reporting better efficiency. Are costs getting lower? Could you comment on that? Considering the past months especially, we have seen the INCC accelerate in the capitals of São Paulo and Rio. That's an update on that front. If you still have savings that could be booked. If you haven't done that because you're being more conservative. Looking at 2025, if we think the INCC is going to go higher than the levels that we currently see, getting to 7%-8%, would that change your strategy in launches, both in volumes, if you would launch fewer units for that reason, as well as mix? You have been quite emphatic about the first range. It can be more sensitive to inflation and price increases, right? If you have a more bearish scenario, if you would make any changes to the mix. Thank you, Luiz, for your questions. Construction cost is always an attention point for the market. We keep a close eye on it, and we keep in contact with an engineering team. Remember that in times like these, you have to have longstanding relationships with your vendors. We look for a win-win situation in the long run. The suppliers support us, keeping our construction costs reasonable. ICPP, that's a Plano construction index, we had basically 0% inflation in our index. We had 4.7% in ICPP. The INCC São Paulo, the INCC for São Paulo is 6.99%, and INCC is 5.99%. Be it with changes in standards or adjustments with our vendors, we have been keeping our performance lower. Looking forward, of course, there is a concern when it comes to inflation. Our prices continue to be 4.5% of embedded inflation in the sales price, but we are quite attentive to the inflation being higher than that. Our internal inflation is at 4.5%, as I said. In 2025, we expect this first range to be about 20% of our total mix. This is a concern that we have of inflation eroding this range. The first urban range has an adjustment after 12 months in the family income for this spectrum. After one year of regulation in April, there should be a readjustment of the family's income that fall into this category that should keep their purchase power in this category. 35% of the launches are going to be there. We're big now, but we want to be bigger in the future. There won't be much of a change in our mix because of inflation. Even if inflation changes a little bit more, we'll continue to have our construction costs under control. If necessary, we will be in ranges two and three of Minha Casa, Minha Vida if the first range is falling off tracks. That's not what we expect for now. Thank you, Luis. Thank you, John. Next question, Tainan Costa from UBS. You may ask your question, sir Hello, Hub. Thank you for taking my questions. First, the top line. You are performing well in sales and launches, and SOS is also performing really well pushed by this first range. When we look at sales and launches translating into revenue, it looks like it's moving a bit slower than we expected. Am I understanding that correctly? Or did we have changes in construction works that were impacted? Is there any change in the construction curve, or is that the impact of the first range, or is this a more competitive scenario that could be delaying construction works a bit? If you could maybe let me know if my interpretation is correct, that'd be great. Thank you very much. That's a very important question. We need to understand what the dynamics are this year. Wouldn't have any problem with production and engineering. We broke our record of square meters built last year, so they're going really well. We have our monthly report, and engineers keep a close eye there. In September, we have 92 days ahead of schedule in comparison to what we had with the clients. So that's the average. As I said, the costs are also as expected. When we look at the revenue this year, it is really related to a change in the terms of the projects that we had in January this year. Plano & Plano had 24-month terms. We launched a product, two to three months later, we started the construction works, and then we had 18-19 months for the construction works and two to three to have the documentation and the occupancy license and the Habite-se. As of January 2024, we changed that to 36 months. That's very important for the client. The client has more time to fund or to get the mortgage for the unit. We increase the demand for units with the same price with the same time. They need a lower income to be able to buy that, and that helps us get stronger sales with better SOS that will increase the cash flow and the project's VPL. Instead of having two to three, we're gonna have six months for the start of the construction cycle. We're having a postponement in the cycle, a bit of a gap, say, and that has an impact on the POC and then an impact on revenue. There's no structural change. There is no change in engineering when it comes to productivity and lack of labor or anything. Of course, we see that happen, but we don't have that problem. Starting construction works a bit later brings us to the normalized cycle as it is 2-4 quarters with the construction rates of the project starting a bit later. The ones that we launch up to June will be starting to produce in 2025, and then we get back to the normal cycle. Thank you very much for your question. It's a very important point to clarify, but it's basically the one change in strategy that's very important to our VPL and for our clients, and that helps our cash cycle. If I may ask a follow-up question. Does that apply to all of the segments, or does that apply to first segment and not so much the second and third segments? We're talking about project cycles in 36 months. The construction cycle continues to be 18-19 months but starting a bit later. It's important that it be 18-19 months because we save in fixed expenses. The contractor continues to be very productive, and they want to continue to work with us with high productivity. There is a bigger term for it to start at this start of the construction cycle and after that for the license, and that applies to all of the segments. That's very clear. Thank you very much. Next question from Elvis Credendio from BTG Pactual. Hello, João. Two questions. One is your provision. When you look at the provision for bad debt, we see zero there, and I understand that a portfolio of the company is growing, right? Different to other companies. I'd like to understand your rationale behind it, what we could expect there. Another topic that I'd like to clarify has to do with de-leveraging in the course of the year. I would expect this to continue in the fourth quarter. The first installment of put in char is gonna be paid, and what do you expect to see in dividends? Net debt and equity in your net debt to equity, and what your target is, what adjustments that it may have that we could expect. Anselmo Soares will answer that question in more detail for the provision for bad debts, and then I'll talk about the dividends. When it comes to the provisioning, our estimate was 100% of those that had surpassed 30 days. We have analyzed that in more detail. We looked at the history. We discussed that with our auditors as well, and we noticed that according to the payment term, the share that we recover is quite substantial. In the first segment from 30-60 days, we have over 90% of what is expired and overdue, and we have provisioned according to these ranges. We understand that this change in the portfolio is the best way to do it. Looking forward, we see the maintenance in the same levels. We'll be revisiting these estimates and provisioning according to them. As for de-leveraging, we had a very good performance in cash generation this year, which is impacted by this faster SOS. The fourth quarter has 15% of the total contract that was signed at the end of September, so the first payment comes in at the end of November, BRL 55 million, and there are the other payments to be made. We expect the fourth quarter to be positive in cash generation as well. As for dividends, what we have been seeing is. Well, the company is already launching and seeing a better volume in production. We've been generating cash and increasing the payout ratio. In 2021 and 2022, the payout ratio was 25%. We were de-leveraging the company and solidifying our equity. In 2023, we had 37% payout ratio, and at the end of this year, and with the quote or the. Pardon me. The budget for 2025, we're going to make a decision in regards to the dividend, but probably increasing the payout ratio there too. We believe that we can increase it slowly but surely considering the strategy that we have. We don't have excess cash in-house. Our net debt over equity, which is comfortable up to 20%, so we have net cash, and we always take this macroeconomic scenario into consideration as we said. The use of cash for acquisitions, maturities, higher rates that are based on the CDI rate. We'll look at that in more detail next year, but we believe the payout ratio is going to increase as well. Thank you for your question. Thank you, João.. Have a good afternoon. Our next question comes from Jair Oliveira. He says, "Good afternoon. Congratulations on your results. Considering the good cash generation, are you going to increase your payout this year? Thank you for your question, Jair Oliveira. I think we have just answered that in the previous answer. Yes, we had 37% last year, and we see that the payout ratio may be increased from now on. Everything has to do with the macro scenario as well. We continue to have a land bank increase in purchase without excessive money there, so to mitigate risks and increase the return to shareholders. Yeah, we do believe that the payout ratio is going to be increased in the coming years. Thank you, Jair Oliveira, for your question. If you'd like to ask a question, please type your name and your company in the Q&A field, or you can click the button Raise Hand. Please bear with us as we collect further questions. As there are no further questions, this is the end of the question and answer session. We'll now turn the call back to Mr. Hopp for his final remarks. We're getting to the end of the year. This is a year with record highs for the company. The results this year surpass the results from previous years, so we are on a growth path. We know what direction we're headed in. The company has been making changes in people, management, processes, technology. We've been preparing ourselves for this moment, so we continue to be very optimistic for the near future in our operations. Thank you, everyone, for joining. Should you need us, just let us know. Have a great holiday. This is the end of Plano & Plano's video conference call. Thank you very much for joining, and we wish you all a good afternoon.