Ladies and gentlemen, good afternoon to you all. Will everyone please take seats? For those virtually connected, let's get started. Welcome to Despegar's 2022 Investor Day. Thank you all for joining us today. With the LatAm travel industry in strong recovery, we are excited to be here today. For those I have not met, I am Alberto López Gaffney, Chief Financial Officer. We welcome the opportunity to spend the next hours with you. We have a tight agenda, including 5 chapters, as well as a Q&A session at the end of the full presentation. As we have a lot to cover, we would welcome you saving your questions for the end of our materials. We will begin with questions from our audience here in New York, and later on, we will move on to answer questions via the webcast. For our live webcast audience, at any time, please register your questions using the button that is on the bottom left of your screens. Following the Q&A, we hope you'll join us for cocktails in the other room. Now, before I turn it over to Damián, please, let's take a moment to review the safe harbor statement for this event. With that, let me turn the podium to our CEO, Damián Scokin, who will introduce the whole team and get us started. Thank you. Well, thank you, Alberto, and thank you everyone for coming today. We are delighted to be here, particularly seeing some familiar faces as well as some new ones. A warm welcome also to those participants joining us via the webcast. Let me introduce the team that will be presenting to you today. Alberto has already introduced himself, and in addition to Alberto, you will be hearing today from Gonzalo Estebarena, our Chief Commercial Officer. Most of you have already met Gonzalo in 2018 during our Investor Day. We have 2 new faces joining today, new to you, but who have been with the company for some time. Marcelo, who leads our business development efforts. Marcelo joined Despegar in 2017, and prior to that, he was the commercial officer of Avantrip in Argentina. In anticipation to that, he held some leadership positions in LatAm in the commercial area. Nicolás, who leads Koin, has joined Despegar in 2019, if I'm not wrong. Prior to that, he was the CEO of Aerolíneas Argentinas, and in anticipation to that also, he held several senior positions in LatAm. As you can see, we have several of our key business leaders today to share with you our perspectives on the market and on Despegar. I am sure you will find their presentations insightful. Without further ado, let's move forward into sharing with you how have we structured the presentation today. I will begin today by providing insights into the substantial market opportunity that Despegar has ahead of us. We will be addressing not only the immediate context of the travel market, but also sharing with you our medium and long-term perspectives. Gonzalo will follow me, discussing how we are leveraging our platform in order to win and retain customers and being able to extract more value from them. After that, Marcelo will explain how we're leading in the consolidation of the travel intermediary sector in Latin America. He will not only expand on the M&A strategy, but also how we are integrating different businesses into Despegar. After Marcelo, Nicolás will tell you about Koin and how it fits within the overall Despegar strategy. Alberto will be our last speaker, and he will provide a closer look into the financial projections, in particular, how we're increasing Despegar's revenue engine and operating leverage, and how that translates into the financials of the company, and obviously, how that delivers superior shareholder value in the next few years. Before proceeding, we are fully aware of the context we are having this discussion with you. We're great for timing, you know, but we are fully aware of what the macro uncertainty and volatility means in terms of inflation rates, in terms of interest rates. We believe in this context, it's even more important for us to be here sharing with you our long-term plans, because that's how we drive shareholder value creation. Two comments regarding that uncertain context. First of all, we've been going through this context over the last, I would say four months, and the company has been able to continue growing top line and gain traction in this context. In addition to that, Latin America, which is slightly different than the U.S. in that sense, is more used to deal with inflationary context. Most Latin American economies have even built-in mechanisms to cope with inflation for the wrong reasons, but are extremely effective in this context. Having said that, let's move to how we're sizing the market opportunity. Let me start by having a brief look at how we are today and how we're positioned today, and how we are uniquely positioned to capture the resurgent travel market in Latin America. Following the pandemic, Despegar is emerging stronger because we have strengthened our core competencies, and we have also established a leaner and more efficient operation. In addition to that, when you look at the LatAm travel market, it does not only present long-term growth opportunities, but it also keeps its compelling dynamics and structure, for example, its fragmentation, that we are very well positioned to capture on. In addition, during the pandemic, we selectively acquired complementary and adjacent businesses at very attractive valuations, which we believe are very attractive valuations, and we were able to add those businesses, bring them into the Despegar ecosystem in a very effective way. The results we're gonna share today of some of those acquisitions in terms of how those businesses grew are very compelling to support our claim to add value through M&A. Finally, in addition to the M&A growth strategy, we have in place a significant set of growth avenues that we'll be sharing with you today. Gonzalo will talk a lot about our innovations and what's ahead in the pipeline in the different business lines. Moving to the next slide, let me tell you how emerging from the pandemic stronger translates into a very concrete earnings power. What we're sharing with you today is that in our projections, when Despegar will reach its 2019 volume levels, Pre-pandemic levels, the company will be able to generate 5 times its EBITDA levels compared to 2019. Again, under the current margins that we're starting at the Top-Line level, and considering the operational leverage and the cost streamlining that we went through during the pandemic, our ability to create, to generate EBITDA is 5 times larger when we expect to reach the 2018 volumes. How do we achieve that? What have we been doing during the pandemic to achieve that? First of all, we became much more efficient at attracting customers. Second, we've been able to increase our customers' and partners' willingness to pay by improving our value offering, and you can see that in the higher take rate we're commanding. In addition, we have streamlined operations. Particularly, you see that as our customer care areas, and we also reduce significantly our structural cost, our G&A in particular when you compare that to 2018 levels, and we became therefore a much more scalable company. In addition, by bringing in new businesses like Best Day, like Viajanet, we increase our overall scale when the market returns will be a far larger company. Therefore, this is a claim that's pretty compelling for us, and that's one of the key messages we wanted to share with you today. Moving to the next slide, let me talk a little bit about the LatAm travel market characteristics. As you recall, those who follow us from a longer period of time, where we talk about the LatAm travel market being large, being a growing market, under-penetrated, with a fragmented supplier base and with unique customer preference. Unique not only at the overall LatAm level, but country by country. Let me share with you some updates on these characteristics, and I will get deeper into a few of these. First of all, when we talk about growing, the growth projections of the LatAm travel market are now higher than Pre-pandemic for several reasons. The most relevant ones are obviously, there's an intense pickup demand in terms of travel recovery. We expect the travel category to capture a larger share of wallet of the overall consumer spending. In addition to that, the emergence and availability of new payment methods in Latin America allow some either unbanked or underbanked segments of the population not only to access travel, but also to increase the ticket size of the travel they buy. That's very relevant going forward as the market recovers. We're gonna talk also in terms of consumer preferences. You're fully aware of some of the changes in terms of hybrid work environment and what that means for travel, both in terms of frequency and how much people are willing to travel and extend their holidays. In addition, the growth in alternative accommodations represents a significant opportunity for us. We're gonna talk about that. Finally, this translates not only in a higher demand for activities and tours, but also for bundled products. Let's move into the growth perspectives of the market. What we see here is a total travel market that is more than twice the size of India. The growth outlook is faster than the one we shared in 2018 with you. Now we're talking about the total market expected growth of 17%. When you compare that to the US, that's close to 13%. In particular, the online travel portion of that market is expected to grow at 19%, as opposed to a 14% in the US. As a result of that, the share of the online travel is projected to grow from 42%, when we're talking a total travel market, to 47%. Its overall growth, higher growth even for online, and you know that this is still a significant portion of the market in Latin America that by 2026 is expected to be offline. Ample room for further growth. On the next page, we touch base, and we come back to a very peculiar characteristic of the Latin American travel market. You remember we've been saying that the supplier base is extremely fragmented, and some of you in several interactions have asked us about, "Well, how's that evolving during and post-pandemic?" What we have to say is that that fragmentation, both at the airline levels, that you see that the 4 largest airlines command just 31% of total revenues of the market, as opposed to 67% for US airlines. Even further on the hotel vertical, where the largest 10 hotel chains command only 14% vis-à-vis 71% in the US. That still holds there. This is extremely relevant for several reasons in the case of Despegar. First of all, negotiating power. That means that for this fragmented supplier base, Despegar brings a lot of power of value to the table. It is very difficult to scale your own direct distribution being that small. In addition to that, this fragmentation is also a key driver on why Despegar becomes the de facto metasearch for a lot of these categories. Now, moving into the new industry trends. As I said, the hybrid work environment has a significant impact on travel demand going forward. Here we have some of the studies that you must be surely familiar with in terms that for international travelers expect to work or at least combine work and leisure travel and that combination leads to either longer stays or higher tickets from the consumers. This means more travel demands, and we believe more add-on products that will benefit the bundles. Second characteristic is the growth on the alternative accommodations category. You can see here the recovery of alternative accommodations, vacation rentals, is much higher than other categories. Our organic growth and growing inventory in alternative accommodations, along with our investment in Stays.net, are gonna help us take advantage and profit from this trend. As I said before, 1/3 characteristic of the future of the travel market in Latin America is alternative payment methods. As I said, this not only brings new segments into the market, but generates higher increase in the average purchase price and facilitates the purchase of packages, a key component of our strategy, given that packages are generally larger price or higher price ticket items. Finally, as I said, we believe that online penetration will grow, but will not just suddenly take away the offline penetration in Latin America. That has to do with advice, with less sophisticated travelers. That's also we're taking that into consideration on the way we set up our strategy. Let me talk now about how we have strengthened our value proposition over the last years and how it looks forward. Today, we offer the best customer-centric value proposition, and we strengthen that value proposition by focusing on 3 attributes. We offer a complete trip, we offer an affordable trip, and we facilitate an omni-channel interaction with the consumer. Starting with the complete trips, our key initiatives on this front have to do with increase the presence and the sale of packages and bundles, not only as a better value proposition to the consumer, but as you know, these packages, these products command a higher take rate. We can build that through our increased presence in verticals like vacation rentals, tours, and activities. Also, as I said, we are getting deeper into vacation rentals, not in terms of inventory, our flows, but also through Stays. In tours and activities, Best Day help us reach another level in how we approach that. Which are the key initiatives in terms of affordability? One is obviously customer loyalty. Gonzalo is gonna talk about how excited we are about Pasaporte Despegar and how it is doing, and what that means, not only in economic terms, loyalty, but in terms of customer acquisition cost. That's very relevant to that. Gonzalo is also gonna talk about how we segment and target our offers, using our wider set of brands in the industry. In terms of availability, obviously, for Despegar, payment methods has always been a key differentiating factor. Now we have Koin, and Nico is gonna talk about how that fits and help us be even stronger on that dimension. As per the multiple channel or omni-channel presence, in addition to the growth we'll be sharing with you in terms of our app, and we're very excited about that, we also added and increased our presence through Multi-Channel B2C, Viajes Falabella, Best Day, who have been very effective. Marcelo is gonna talk about that, on how their Multi-Channel presence has been streamlined and made more efficient and more profitable. And also, again, Best Day help us increase our presence and our power in the B2B and white labels arena, which are ways in which we can reach the consumer, the travel consumer, in that significant offline portion of the market in a very effective and profitable way. All these components of our value proposition are sustained or supported or based on the 5 core competencies we've been sharing with you. First of all, the brands. We operate a strong portfolio of brands, which has not only grown as we brought along Viajes Falabella, Best Day, Hoteldo, Stays, a whole set of brands that you see on the different slides, but the way in which those brands interact and help us structure a segmented offer in terms of better reaching the customer has been extremely powerful. In addition, Gonzalo will share some indicators of the health of the brands we brought into the portfolio, and you will see that those brands have increased their power. We have a larger or even more powerful set of brands. Second, the scale. We are the largest OTA in Latin America. That gives us a significant advantage, not only in terms of cost, but also in terms of negotiating power. 1/3, our culture in terms of being a dynamic company that innovates is gonna be. It has been critical and gonna be critical. Gonzalo will share some initiatives on how innovation, not only in terms of the commercial offering or the features of the site, but also innovation in how we build for traffic, innovation in the way we segment our consumer base is, has been critical. We have achieved significant results here and will be very relevant going forward. Fourth, our technology stack. The technology stack is always, and has been and will be even more relevant competitive advantage for us, because we test it now with the fact of bringing on board and putting into that stack additional brands and additional operations. The stack has been. has had an impressive performance in terms of how we brought along Best Day, Viajes Falabella, and that has become a competitive advantage in terms of our ability to add more brands under that stack. Finally, as we always say, Latin America is far from a single and homogeneous region. It has very specific preferences in terms of destination, packages, even payment methods, country by country. In a context in which global brands perhaps have lost focus of Latin America and invested relatively less in our region, our ability to tailor our offering to those specific preferences has been key. Let me move on how are we gonna extract value of this market opportunity and how we're gonna implement that strength and value proposition. First of all, as I said, our value proposition that I described in the previous page is not only attractive for customers and partners, but we're delivering it through more efficient and scalable processes. That's why our earnings power has increased significantly. Second, we continue to innovate, as I said, not only in terms of offers to the consumers, but in terms of internal processes in our marketing and suppliers base in order to keep remaining ahead of the competition. We've proven that through M&A, we've been successful not only in closing deals but integrating companies, and that's a key to further consolidate the travel intermediary sector in Latin America. Finally, we expect through M&A and organic growth to expand our presence in different parts of the travel value chain of Latin America. Leveraging what we do well, how we attract customers, how we cross-sell products to customers and Koin and other stories attest to that. Finally, these four components of our strategy will result, and Alberto will share that with you at the end, on an attractive growth profile and a much more powerful earnings power in the future. With that, let me turn to Gonzalo, who will be leading you through the scalable business model. Good. Okay. Thank you, Damián. Hello, everyone. It is great to be here back with you, back again with some of you in person even and back to traveling. As Damián just pointed out, next we're gonna discuss and review how we evolved into becoming a winning OTA with a highly scalable model for growth. First and foremost, our business is built on delivering the best value proposition both for travelers and suppliers alike. Travelers know they can trust we will offer them the best value for their money, while suppliers finding us a very efficient way to distribute their inventories. Secondly, our business is built to scale rapidly onto new market segments and geographies. We develop capabilities that can be easily deployed onto any B2C brand. Finally, we are committed to continuous innovation to renew our business and to maintain our leadership position. Let's dive into our value proposition first. We believe having the best value proposition, both for customers and travel partners alike, is at the core of our business model. Suppliers view Despegar as a marketing and distribution channel, not as a competitor. This is because they know that one, we are the de facto metasearcher for the region, and thus we help them tap into the largest travel consumer base in Latin America. We help them manage their inventories effectively with our ability to opaque their fares and steer the demand. For travelers, the value proposition is even more compelling. We source privately negotiated fares for them. We bundle so that we can offer them even better deals. We're affordable for everyone. We care, and we've shown that through the pandemic. We are close to them through a diversity of channels, and we reward their customer loyalty. Numbers speak for themselves. When you look at supplier and client take rates, they have increased significantly over the past 2 years. Back when we met in 2019, we committed to 6 key initiatives to strengthen our value proposition even further. We committed to continue to drive higher-margin packages, to develop a loyalty program, to enhance our customer analytics and segmentation capabilities, to further strengthen our payment options, to build on our leading mobile app, and to expand our reach through multiple platforms. We delivered on each and every one of these. Let's walk through each of these initiatives. First, we committed to continue to drive higher-margin packages. As you can see, we delivered. Today, packages are up 60% of the share of our total growth bookings, and sales margins for these are up 27%. Bundling is a key part of our strategy. Looking forward, when we bundle, we offer the best value to our travelers, who can get the best available fares and also find a one-stop shop solution for them. For partners, by opaquing their fares, we support them in managing their inventory and steering the demand. At the same time, we capture the highest take rates for Despegar. Our second commitment back then was to enhance our customer loyalty, and we also delivered. We launched what we call Passaporte Decolar. Passaporte Decolar is our loyalty program across the region. We also launched our associated co-branded cards in Brazil, in Mexico and Argentina already, with the remaining markets of Colombia, Chile, Peru and Ecuador coming soon. We signed up more than 3 million members during a pandemic when people were not really traveling, and we achieved 75% penetration on purchases in the markets where the program is fully implemented. Plus, we are generating an incremental annual income of $2 million from partner points sold to partners. Our loyalty program is allowing us to get to know our customers better, interact with them more frequently and in a more personal way, and helping increase repeat purchases and reduce our cost of acquisition, as we'll see, very soon. 1/3 we committed to strengthen our analytics and segmentation capabilities to take better advantage of all this vast data that we have continuously amassed on the Latin American traveler. We also delivered. We completely rebuilt our segmentation model from scratch using much more machine learning techniques. We updated our marketing optimizer with new segmentation attribution capabilities, and we developed a proprietary engine that optimizes prices and installment offers in real time for each specific transaction. Don't take my word for it. Allow me just to postpone this for a few minutes and deep dive on the numbers when we get to the next chapter develop, talking about capabilities. Fourth, we committed to leverage our unique payment offerings, and we also delivered. We scaled our Non-credit card financing now available in Brazil and Argentina, and we incorporated new QR payments to reduce friction. As you can see on this image, now QR payments are available, and you can easily complete your data now in Brazil and get to the QR that will allow you to very easily and a very user-friendly complete a transaction. Currently, 13% of our gross bookings in Brazil are paid with these Non-traditional means. This is 12 times the figures that we had in 2019, and at a much lower cost for Decolar. Fifth, we committed to building on our leading mobile app, and we also delivered. Share of transactions through the app are up 33%, and we keep on leading as the app with the most cumulative downloads in the region with over 60 million downloads. This is a strong competitive advantage for Despegar, and we keep promoting mobile as our platform of choice as it offers us a direct organic channel to interact with customers, offers us additional insights into their preference, and at the same time, it creates close user groups for our suppliers to offer them specific offers. In an IDFA future with no tracking cookies, this will be even more relevant than it was before. Last, we also committed to expanding our reach at cross channels, and we also delivered. Damián highlighted how offline is still very relevant in our region, and it's expected to represent 40%+ of the addressable market in the future for buyers seeking advice and trust. With our technology, we can make offline profitable with automated fulfillment and back office and an asset-light model for our stores, as Marcelo will talk in a few minutes. Despite we believing in the long term online will prevail as the channel of choice, in the short term, we will capture this profitable opportunity, attracting customers to our brands and later helping them migrate. In summary, we are consistently delivering on our value proposition. Now, in order to grow rapidly in a highly fragmented market, we need our business model to be easily implemented as we consolidate the industry, while still, and this is very important, while still maintaining a specific value proposition for each brand. Let's look at how we do this. Our growth model relies, on the one hand, on having a single sourcing operation, a single back office, and a single technology platform. That is, everything that is Non-Client facing, we integrate. However, on the other hand, when it comes to the value proposition presented to our clients, we want to maintain each brand distinct and complementary, yet relying on a common set of capabilities to roll out our best practices onto new operations as rapidly as possible. This has basically these capabilities. First, we establish a very strong recognizable brand to minimize dependence on paid traffic. Second, we optimize marketing investments through segmentation and advanced attribution. 1/3, we deploy our pricing engine to present the best commercial offer to each of the 2 million searches we get every day. Finally, we reward loyalty to close this loop. Only few companies have the ability to completely integrate a new business into the core platform in just a few months, while still maintaining the brand-specific proposition for their clients. One of our biggest competitive advantages is, of course, our brand. We are the undisputed leader in terms of unaided brand awareness in the LatAm travel market with the Despegar brand, as you can see. As we added new brands to our portfolio, we have been replicating this as something that you cannot replicate overnight. As you can see, we aspire to achieve similar awareness for every business that we integrate for their specific targets. Viajes Falabella is a great example of this. If you can see, since the acquisition, we have doubled the unaided brand awareness of Viajes Falabella for its market. Just to give you a sense of how we do this and how we tailor our specific brand investments for each market, let me share with you a few videos highlighting what we do in each of the brands. Strong brand positioning is very important. It has to be complemented with investments in paid traffic, which we strive to make as efficient as possible. For over 50% of our traffic, we have the ability to predict with high accuracy the spend a visitor will have in Despegar before bidding for that click. Let me say that again. For 50% of the people out there who are probably looking for a flight or maybe just reading the news or watching a YouTube video, we can predict how much they would spend in Despegar if we were to show them an ad and bring them to one of our platforms. We give Google this information in advance, and we let them know how much we are willing to bid to show them one of our ads. This allows us to dramatically increase the bids for highly valuable traffic and reduce it for those clicks that will either not convert or do it at a very low margin for us. Results, I believe, are really impressive. Organic traffic has continued to grow, and making us less dependent on paid traffic, as you can see. On top of that, SEO represents only 14% of our traffic, making us very little vulnerable to changes that might occur in how search optimization is done. Our marketing investment has become much more efficient, reducing costs while yet, and this is very important, yet maintaining the same levels of qualified traffic, as in comparison to industry standards that we had before the pandemic, even higher. Okay. One thing that is very important to note when you compare us to others, we do not aim to purchase traffic. We aim to purchase qualified traffic that will turn into profitable clients. Turning high levels of qualified traffic into profitable sales is, of course, the other 1/2 of the challenge. We developed our own proprietary pricing engine to adapt our commercial value proposition for every type of customer in every type of transaction. We have the ability to continuously measure how sensitive different groups of customers are to changes in our commercial offers, such as a change in price or a change in the number of interest-free installments that we offer, or even a change in the sorting order in which we present the results to the customer. The results of all these elasticity tests that we have been running for a couple of years now have become an invaluable source of insight into how Latin American travelers make unconscious purchase decisions. Some of them might be perhaps intuitive for us, like the fact that people traveling alone are less price sensitive than families, or that some brands of mobile phones, for example, correlate with people who prefer to buy in installments. Others might be a bit more surprising, like the fact that people who research at certain times of the day compare many fewer options than the rest of the buyers, and therefore for them, it is much more relevant to show at the very top of the results page their preferred option than offering a lower price to them. All these insights allow us to price, to sort, and to offer the right set of installments on the fly for every search in a very, very targeted way. Results are clear. For the same levels of market share, we are currently achieving an additional 2-3 percentage points of operating margin. All these capabilities that I presented are now fully implemented across Despegar and also the newer brands that we have acquired with great results. We built a successful model, and we are quickly transforming B2C operations. Finally, we believe innovation is critical to maintain this leadership. Today, I want to take with you a peek on some of the new features we are working on. We are very proud to present 3 innovations that are focused on improving our value proposition to customers and at the same time helping suppliers work with us. One is early bird packages. Early bird packages will allow travelers to take advantage of very early booking opportunities, sometimes more than one year in advance, at heavily discounted prices. Customers will be able to book a complete holiday trip to a desired destination with flights, hotels, transfers, and even activities, but without choosing a specific date for their travel, but rather a range of dates for their trip. Our desirability tests that we have run showed that discount-seeking travelers are very, very interested in this product and that travel partners are also interested, too. This is a product that will allow us to concentrate demand for a given destination and steer it to the best fulfillment alternative, achieving discounts that have never been seen before. Secondly, I'd like to present price freeze and best price guarantee. These speak for themselves. We have all experienced the anxiety related to booking a trip and feeling forced to either make a quick decision or be exposed to price volatility. The option to freeze the price or buy with the peace of mind that if the price drops, you will still get the better deal is becoming a common alternative in the US and Europe, but still not available in Latin America, and we expect to change that. Finally, package protection. Package protection will harness the value of the complete trip, and we will automatically adjust hotel reservations, airport transfers, and activities whenever a flight is delayed or canceled as part of a package trip. To summarize, we have built and are continuously enhancing a winning business model that is rapidly scalable. Thank you. Now, we will take a 10-minute break, and we will be back soon to continue with our presentations. É fácil Decolar e dizer tchau pro TBT. Yeah, yeah, yeah, yeah, yeah. Eu quero Decolar e dizer tchau pro TBT. Amor, ¿qué prefieres, Punta Cana o Aruba? Volvió el 2x1 de viajes a la playa, con paquete todo incluido para 2 personas al mejor del Caribe y en cómodas cuotas sin interés. Elige el canal que más te acomode y planifiquemo Oh. Llegó la tarjeta ideal para los amantes de los viajes. Con la tarjeta Despegar ICBC tenés tres maneras diferentes de sumar. Sumás puntos por las compras realizadas en Despegar. Sumás puntos por las compras diarias que hagas con tu tarjeta Despegar ICBC. Y además seguís sumando millas en las líneas aéreas. Aprovechá y pedí la tuya ahora mismo. Pasaporte Despegar, puntos para vivir viajando. Vou fazer minha mala que já demorou. Viver viajando é muito mais legal. O app Decolar no celular baixou. Pro TBT eu vou dizendo tchau. Eu tô na brisa. Já botei na mala o que precisa. Hoje eu tô de boa, tô na brisa. Eu vou de Decolar que economiza. Assim eu canto. Yeah, yeah, yeah, yeah, yeah. Eu quero viajar e dizer tchau pro TBT. Yeah, yeah, yeah, yeah, yeah. Eu quero decolar e dizer tchau pro TBT. Tchau, TBT. É hora de decolar. Yeah, yeah, yeah, yeah, yeah. É fácil decolar e dizer tchau pro TBT. Yeah, yeah, yeah, yeah, yeah. Eu quero decolar e dizer tchau pro TBT. Amor, ¿qué prefieres, Punta Cana o Aruba? Volvió el 2x1 de viajes a la vela, con paquete todo incluido para 2 personas a los mejores del Caribe y en cómodas cuotas sin interés. Elige el canal que más te acomode y planifiquemos juntos tu próximo viaje. Tú cuerpo pide playa. Este Buen Fin regístrate y entérate antes que nadie de las mejores ofertas para viajar en Best Day. En Despegar sabemos que cuando Valentina busca un pasaje, no quiere encontrar solo un pasaje, sino un lugar para estar en paz. Que cuando Rodrigo busca alojamiento, en realidad quiere decir recargador de energía. En Despegar entendemos que si Sofi busca un auto, quiere encontrar libertad. Si Diego elige un paquete, es porque quiere disfrutar en familia. En Despegar entendemos que cuando buscás un destino, no solo querés descubrir cómo llegar, sino cómo ser feliz allá. Por eso, Despegar cambió. Ahora tenemos una nueva imagen y una experiencia que se renueva cada día. Despegar, vivir viajando. Vuelven los precios más esperados del año. Vuelve Travel Fest. Con los mejores destinos, circuitos imperdibles y beneficios adicionales con tu CMR. Te esperamos en Centro Comercial Hacienda Santa Bárbara y en todos nuestros canales de atención. Tu cuerpo pide playa. Este Buen Fin regístrate y entérate antes que nadie de las mejores ofertas para viajar en Best Day. Nos vamos en familia, gracias Despegar. A hacer actividades hasta no dar más. La alberca, el restaurante preguntan por mí. Ya quiero despegar. Me voy a un all inclusive y soy tan feliz. Despegar, vivir viajando de nuevo. Pasear por las mejores playas de Miami. Visita nuestro nuevo sitio y encuentra entradas a parques, shows, city tours y mucho más con las mejores ofertas. Ven y asesórate con expertos en todos nuestros canales de atención. Llegó la tarjeta ideal para los amantes de los viajes. Con la tarjeta Despegar ICBC tenés tres maneras diferentes de sumar. Sumás puntos por las compras realizadas en Despegar. Sumás puntos por las compras diarias que hagas con tu tarjeta Despegar ICBC. Y además, seguís sumando millas en las líneas aéreas. Aprovechá y pedí la tuya ahora mismo. Pasaporte Despegar, puntos para vivir viajando. Vou fazer minha mala que já demorou. Viver viajando é muito mais legal. O app Decolar no celular baixou. Pro TBT eu vou dizendo tchau. Eu tô na brisa. Já botei na mala o que precisa. Hoje eu tô de boa, tô na brisa. Eu vou de Decolar que economiza. Assim eu canto. Yeah, yeah, yeah. Yeah, yeah, yeah. Eu quero viajar e dizer tchau pro TBT. Yeah, yeah, yeah. Yeah, yeah, yeah. Eu quero decolar e dizer tchau pro TBT. Tchau, TBT. É hora de decolar. Yeah, yeah, yeah. Yeah, yeah, yeah. É fácil decolar e dizer tchau pro TBT. Yeah, yeah, yeah. Yeah, yeah, yeah. Eu quero decolar y dizer tchau pro TBT. Amor, ¿qué prefieres, Punta Cana o Aruba? Volvió el 2x1 de Viajes Falabella. Con paquetes todo incluido para 2 personas a lo mejor del Caribe y en cómodas cuotas sin interés. Elige el canal que más te acomode y planifiquemos juntos tu próximo viaje. Tu cuerpo pide playa. Este Buen Fin, regístrate y entérate antes que nadie de las mejores ofertas para viajar en Best Day. En Despegar sabemos que cuando Valentina busca un pasaje, no quiere encontrar solo un pasaje, sino un lugar para estar en paz. Que cuando Rodrigo busca alojamiento, en realidad quiere decir recargador de energía. En Despegar entendemos que si Sofi busca un auto, quiere encontrar libertad. Si Diego elige un paquete, es porque quiere disfrutar en familia. En Despegar entendemos que cuando buscás un destino, no solo querés descubrir cómo llegar, sino cómo ser feliz allá. Por eso, Despegar cambió. Ahora tenemos una nueva imagen y una experiencia que se renueva cada día. Despegar, vivir viajando. Vuelven los precios más esperados del año. Vuelve Travel Fest. Con los mejores destinos, circuitos im Tu cuerpo pide playa. Este Buen Fin regístrate y entérate antes que nadie de las mejores ofertas para viajar en Best Day. Nos vamos en familia, gracias Despegar. A hacer actividades hasta no dar más. La alberca, el restaurante. Despegar, vivir viajando de nuevo. Pasear por las mejores playas de Miami. Visita nuestro nuevo sitio y encuentra entradas a parques, shows, city tours y mucho más con las mejores ofertas. Ven y asesórate con expertos en todos nuestros canales de atención. Llegó la tarjeta ideal para los amantes de los viajes. Con la tarjeta Despegar ICBC tenés tres maneras diferentes de sumar. Sumás puntos por las compras realizadas en Despegar. Sumás puntos por las compras diarias que hagas con tu tarjeta Despegar ICBC y además seguís sumando millas en las líneas aéreas. Aprovechá y pedí la tuya ahora mismo. Pasaporte Despegar, puntos para vivir viajando. Vou fazer minha mala que já demorou. Viver viajando é muito mais legal. O app Decolar no celular baixou. Pro TBT eu vou dizendo t Hello? Can you hear me? Yes. Okay. Good afternoon, everyone. Thanks again for joining. Damián presented me before, but my name is Marcelo Grether. I'm responsible for all the business development efforts we do at Despegar. In this chapter, together with Nicolás, we will talk about the acquisitions we made over the last 3 years, aimed at improving our value proposition for customers and travel partners. Most importantly, we show how we are gonna be transforming these new companies, or we transformed already, to boost our growth. We have 2 things in mind when executing our M&A strategy. First, to have a clear strategic objective for each asset we acquire. Second, to establish a well-focused and designed seamless integration plan from the beginning. Our technological and managerial capabilities are fundamental factors that enable these acquisitions to generate returns from the beginning. Related to complete trips strategy, we have added vacation rentals through the acquisitions of Stays, a company recently acquired in Brazil that operates as channel manager and tourism activities through BD Experience, a subsidiary of Best Day at the time of the acquisition. To improve our affordability as a key differentiating factor, in 2020, Koin was incorporated to enhance our payments offering. Nicolás will handle this topic later. 1/3, for our omni-channel strategy, we acquired Viajes Falabella in 2019, Hoteldo in 2020, and recently announced Viajanet in Brazil, which we recently closed transaction 2 weeks ago. In total, we invested more than $100 million the last 3 years, with more than $260 million in revenues, considering Pre-crisis figures of 2019. As mentioned before, in this chapter, we do not want to talk about M&A activities per se, rather focus on how these companies or businesses are helping us strengthening our value proposition. Let's start talking about these 2 big B2C brands that are helping Despegar consolidating its presence in strategic market. Viajes Falabella was acquired in 2019 for $27 million and operating under the Falabella brand in all the Andean region and Argentina. Best Day, a company based in Mexico, in Cancún specifically, and specialized in domestic travel, that was originally signed in January 2020, but that it was not concluding when COVID-19 crisis started, it was renegotiated, and transaction finally closed in October of that year. Before getting into the results we have obtained so far with these 2 companies, it's important to explain something that was mentioned before, our integration strategy and process. As Gonzalo mentioned earlier, all our technology platforms allow us to rapidly and efficiently integrate any B2C brand, both in offline or online channels. This includes integrating sourcing, post-sale services, back office operations, marketing, and revenue tools, among other functions. The goal is to preserve the attributes of each brand and quickly generate synergies. Simple as that. To achieve this, we have established teams from all relevant areas of our company that are fully dedicated to bring process to a successful conclusion. Both the M&A and the integration teams work under the same umbrella, so when we analyze a target, we already envision this integration plan. As indicated on this slide. Sorry. Viajes Falabella was concluded in 9 months, all the integration process. It has 4 countries, different operations, but it was our first learning. Our ability to integrate acquisition has improved. 6 months after we finalized Viajes Falabella, we began the integration of B2C's Best Day operation, which was achieved in less than 3 months, as we show here. With Viajes Falabella, we purchased a company with a strong presence in the Andean region. Strong penetration of package through sales through travel consultants, and a brand associated with a leading retail financial company as Falabella Group in the Andean region. In the first 1/4 of this year, with sales of Viajes Falabella recovering to nearly 80% of 2019 levels, we can evaluate the success of this purchase in 2 ways. The first, by analyzing how Viajes Falabella improved our overall performance in Chilean market together with Despegar. These are the combined figures of both companies comparing first 1/4 of this year against the first 1/4 of 2019, and we see an increased revenue margin combined of both companies by more than 5 percentage points. We increase a higher penetration of Non-air products by more than 20 percentage points. We double our market shares among CMR Falabella customers, and we increase the average sales price altogether more than 20% due to Falabella being a company that was really concentrating on long-haul trips for their customers. Second, we analyze Viajes Falabella P&L per se as a result of all the integration process we done and the migration to our platform. We were able to obtain different levels of improvement. The online penetration of Viajes Falabella improved by more than 17 percentage points, reaching almost 50% of their total sales. We improved the revenue margin by one percentage point due to the fact that incorporating all the Despegar sourcing contracts, but as well all the revenue management tools we have at Despegar. We were able to reduce cost by more than 60%, both in the operational and the G&A and IT cost of the company, leveraging our Despegar structure. Overall, dramatically improving the EBITDA margin of Viajes Falabella per se. In the case of Best Day, as mentioned before, we acquired in October 2020, and this company operated, when we bought it, 2 different businesses, a B2C, a B2B, white labels, and tourism activity. What we are gonna be showing here is the result of the B2C business that accounted for more than 50% of the business at the time we bought it. As you can see, again, as well as we compare with Viajes Falabella, all together, Despegar and Best Day in Mexico, the B2C business, were able to improve for, on the first 1/4 of this year compared to, for the, with the first 1/4 of 2019, the revenue margin by more than 8 percentage points. Non-air penetration grew more than 30 percentage points, helped by the strong penetration of packages. The average sales price rose more than 40%. Overall, we were able to increase the domestic travel penetration due to the fact that Best Day was really focused on domestic traveling. Similar to what we mentioned in Viajes Falabella, the P&L per se of Best Day was improved in all lines. Online penetration grew more than 10 percentage points. We improved revenue margins and the G&A and operational costs were reducing dramatically. Overall, EBITDA margin rose more than 3 percentage points and with a sales level at 70% compared to 2019. Importantly, when we measure the success of the acquired companies, we see that overall, the revenue growth of combined companies in that market was well above compared to the market. While the market in first 1/4 of 2022, it's still down 30% against 2019. The combined companies were only 5% down in terms of revenue compared to 2019. As well, we were able to raise the revenues of Despegar in that market for more than 60%. In the case of Best Day, similar picture. While the market dropped 15%, we were able to drop only 9% when combining the revenues of both companies. Increasing the revenues of Despegar standalone 66% when combining them with Best Day. Thanks. Overall, this has proven us that we have a really strong integration engine that allows us to consolidate the travel space. Now we're going to return to our value proposition framework and how we are going to review the initiatives that are helping us to expand our travel ecosystem. Despegar as well as Hoteldo build our B2B strategy in order to monetize its tourist content by offering it to other travel agencies. Currently, we sell our product in 2 ways. On the one hand, through API connectivity, in which we offer all of our travel content with exclusive rates for OTAs and big consolidators. This business represents approximately 50% of the revenues generated in the B2B, and the clients are not only from Latin America, but global players such as Expedia, Restel, Hotelbeds, and Ctrip, among others. 100% of this business is hotels. Additionally, we are developing an API for flights for this year, something that will leverage all our sourcing power in Latam for that product. The other 50% of the B2B is generated through HTML solution for small and medium-sized travel agencies in Latin America, offering hotels, air, packages, and tours and activity content, as well as technological solutions, back office, and customer service support. In such a fragmented market with few leaders the size of Despegar, the commercial conditions to which we have access are much higher than those the rest of the travel agencies in the region, and therefore, they buy through us. With the acquisition of Best Day in 2020 and the incorporation of Hoteldo business, we have not only been able to access or to increase our presence in this segment, acquiring new customers, but also incorporate technology and business practices to improve our value proposition. As you can see, in 2019, 3% of the gross bookings of Despegar came from this business. Nowadays, it rose to 6%, and we are planning to take it to a level that we're seeing in global players, where gross bookings generated by B2B represents between 15% and 20% of the total business. White labels. The white labels business in recent years has shown important growth, mainly due to the attractiveness of the travel segment when it comes to building customer loyalty. When the industry recovering as we're seeing it, this increase has been even improved. Banks, credit cards, or retailers seek for their customer to operate in the ecosystem of their brands to increase the use of their own means of payments. Despegar white label solution offers the possibility of doing all this under the umbrella of the partner's brand, where a customer can buy travel using their own means of payment, accumulate or redeem points, and obtain exclusive benefits with the best offer of travel products and customer experience that Despegar offers. Main financial and retail players of the region such as Visa, Mastercard, BBVA, and recently, Nubank in Brazil, are partnering with Despegar for this purpose. For airlines and hotels, which for years have made great efforts to develop their own capacity to sell tourism packages, Despegar offers a much better solution than they have achieved so far. Hotel chains such as Hard Rock or AMResorts were deals that were incorporated by acquiring Best Day, and performance have increased since migrating them to Despegar solution. We recently signed an agreement with LATAM Airlines, the main airline in Latin America, in which Despegar will exclusively operate all, LATAM Travel's business. LATAM Travel is LATAM's brand that offers packages to customers who operate through their direct sales channels. Important, an important competitive advantage in this segment definitely is time to market. Remember referring our platform that allows us to implement a new white label in less than 60 days, depending on the complexity, but we are able to do that fast. In 2019, this business represented only 2% of the gross bookings of Despegar. Nowadays, it rose to 7% and we are projecting this business to represent at least 10% in the future ahead. These are some examples when we speak about white labels, we're meaning brands as banks or retailers or airlines or hotels that offers all the travel content to their customers, packages in this manner, where Despegar is behind and sometimes on the front as the leading company that helps achieve that purpose. As part of our value proposition, selling complete trips also mean being present at the destination. Not just to better serve our customers, but to generate revenues from the sales of tours and activities. Recent analysis shows that globally, 80% of tours and activities are bought at the destination once the customer is traveling. With the acquisition of Best Day in 2020, we acquired BD Experience, a brand that operated in Cancún and Riviera Maya, offering tours and activities to Best Day consumers. How does this operate? Travelers are contacted upon arriving to the airport. Our logistic operation will transport them to their hotels. Once contacted, this customer can be assisted at any point during their stay at the destination. We have a strong presence at hospitality desk, located in more than 100 hotels in the Cancún and Riviera Maya area, giving us in-person access to more than 1 million consumers. This presence enable us to increase the customer engagement and as well expand our share in the customer vacation wallet, generating, therefore, incremental revenue for our company. Importantly, this BD Experience operation has already been migrated to Despegar platform, enabling us to replicate this operation model in any other key destination in Latin America. As you know, Latin America is our main destination. It's the main destination for our customers, and we are looking forward in expanding this operation. How do we measure success? One of the main KPIs, it's attach rate. It's the percentage of Despegar customers arriving at the destination who end up buying tours and activities. In 2019, our attach rate was 3%, while in 2022, with the incorporation of BD Experience, this number rose from 3 percent to 20%. From 3 percent to 20%. That's a lot. In terms of revenues, although T&A or tours and activities represent less than 1% of our total revenues in 2019, today it's close to 4%, and we project to be above 10% by 2025. As mentioned several times and during Damián's presentation, vacation rental is consolidating in the travel industry. The challenge to grow here in this segment has 3 components as we see it. First, to have access to consumers. Many of the million consumers or customers that travel every year with any of the Despegar brands are already shifting from hotels to vacation rentals when buying accommodation. Second, a seamless experience and access to payment options through all the multiple channels. 1/3, inventory. We currently have more than 400,000 properties available worldwide, mainly provided by 1/3 parties. We are investing in improving this offer in Latin American destination. This 1/3 point is the main reason why we recently invested in Stays.net, a channel manager for vacation rentals in Brazil. Within this travel, the distribution chain, Stays generates value for owners and property managers for their inventory to be available at any sales platform, such as Despegar or Airbnb, Booking, Vrbo, among other players in this segment. The acquisition of Stays, therefore, has 2 main objectives. On one hand, to increase Despegar's vacation rental direct inventory in Latin America. Currently, we have 10,000 listings and we are incorporating in the short term 20,000 with Stays, and we have a plan to reach more than 150,000 in the next 3 years. Stays allows Despegar to accelerate this sourcing process as well as reducing the cost of it. Properties connecting through Stays have access to multiple distributors and not only one. On the other hand, incorporate a new business. Stays entering our ecosystem and by using our deep local understanding, financial resources, and technology, we help Stays to boost their business in LATAM. Now focused in Brazil, but aiming to expand on the rest of Latin America. With this, let me introduce Nicolás Ovejero. He’s the CEO of Koin, who will discuss Despegar’s buy now, pay later operation. Thank you. Thank you, Marcelo. Well, good morning, everyone. It's a pleasure to be here with you. As noted earlier by Damián, payments has been one of Despegar's competitive advantages for a long time already. By the end of 2019, after operating successfully with Koin for a full year, Despegar decided that by entering the buy now, pay later market, we would enhance its value proposition and its capabilities in the digital payments landscape. After making a deep dive of the main players in the region, we concluded that Koin outperforms its peers with proprietary and flexible solutions and its great know-how as its most outstanding capabilities. In August 2020, Despegar acquired the company at a very attractive valuation. Koin is a buy now, pay later pioneer in LATAM, enabling instant access to credit through a seamless, fully digital and secure experience without the need of a credit card in the whole process. Through this service, Koin helps merchants to increase their addressable market, better their conversions, and providing them with an anti-fraud service at the same time. How does Koin business model differ from usual buy now, pay later models that we know from Europe and the US? Basically, the main difference is that the largest players in the buy now, pay later market focus on one to four installments with no interest rate charged to the end customer and with all the revenue streams coming from merchants. On the other hand, at Koin, our products go from 1 to 12 installments, charging both interest rate to the end customers, which accounts for 85% of the revenue, and lower MDRs to merchants. This allows us to monetize on both ends and to capture the value for both parties with a much better value proposition for merchants and with a take rate, which puts us well above the rates of our main international peers. Now let's talk about what Koin brings to Despegar. Basically, owning a distinctive and inclusive payment method enhances Despegar value proposition, as I was saying a minute ago, by enlarging the addressable market. As a result of an A/B test that we did before the acquisition of Koin, we found out that 84% of the clients that bought through Koin were new clients for Despegar. Credit card buy failure was lower as well. The credit card flow was better with the Koin inside the payment methods. Why is this? Basically, this is due to the low penetration of credit cards, which stands around 30% in the region, but also due to the low limits on the credit cards. Just to give you an example and put this in numbers. In Brazil, the average credit card limit is $300 with a credit utilization, which is over 54% of that limit. What you're left with is $150 accessible for clients to purchase, which is less than 1/2 of Koin's average ticket. In this scenario, Koin becomes a great payment method and a form to both increase addressable market and allow middle and high income consumers who were not able to afford in one card the purchase, and also to let them credit for use during the travel. At the same time, from a cost standpoint, Koin's new alternative, which are buy now, pay later and Pix solution, offer, as Gonzalo said before, a much lower payment cost or MDR than credit cards. For instance, buy now, pay later charges a 0% MDR to Despegar and to main merchants, to the extra large merchants. At the same time, Pix charges a fixed cost, which is less than $0.04 per transaction. That is a saving when compared to credit cards purchases of over 98% of the MDR, which is 2.1% in terms of costs. On the other hand, Koin also, in addition to expanding the addressable market and the cost saving, Koin's customers are more profitable, and this is because the transactions have a 40% higher average ticket. They also have a more profitable mix, as they tend to include more packages. As Gonzalo explained earlier, they have a higher margin as well. In addition to this, we obtain an additional 16% take rate in terms of interest from our clients. Furthermore, Koin provides a world-class fraud service, which is leveraged by the information that we have with over 25 merchants in the region, that we share a lot of clients with these customers. For example, we have 30% of the customers from Frávega, which is a leading white goods retailer in Argentina, are shared by Despegar. What this implies for us is that we have higher acceptance rates, we have lower risk, and we optimize all the marketing investing, while rejecting less good clients and at the same time having a negative list and rejecting fraudsters, sorry. What is our right to succeed? Well, Koin is strategically positioned to lead growing with profitability because we are already positioned in LatAm's main distribution channels. In most cases, we are the only provider in these channels. At the same time, our first step here was we started integrating with all platforms and with all gateways. That gave us access to over 130,000 addressable merchants. At this moment, we are also integrating with all the gateways in Brazil. Our 1/3 right to succeed is our scale and proprietary solutions, which allows us to first regionalize at a very low cost, and at the same time to reproduce our know-how in our risk and fraud engines in all the region. Finally, in terms of risk, we have a risk-based pricing. We were the first buy now, pay later company to introduce risk-based pricing in the market with over 30 different risk clusters, with different both risk profiles and pricing. Therefore, we were able to better allocate the conversion of the better profile clients with a lower risk through lower interest rates. We were able to improve our mix by having, of course, higher rates for higher-risk clients, no? Finally, the short duration of our products allows us, gives us 3 different things that are very good at reducing and managing risk. The first point is that we have very short duration in our loans. We have less than 4 months of duration. That has the... That helps us to both measure and have early alarms to the first payment default, information that we get 5 days after the purchase, so we have a very early alarm to know how our underwriting is going on. Second, you can both evolve your credits, your credit engines at a high speed because of this constant feedback. You can make the price adjustment without committing to long-term loans. Your reaction to the context, and that is something which is especially relevant today, is really fast because you have the information 5 days after a purchase, and you can constantly make your price adjustment and change your strategy. Now, let's talk about our commercial strategy. Koin has built a huge amount. Yeah, let's start with the merchants, the key merchants. Koin was the first buy now, pay later market player in Brazil. Well, we have over 200 merchants here, which basically positions us as leaders in both the travel industry, with obviously Despegar, and now we've just signed an RFP or won an RFP with the largest airline in Latin America. We also have, as you see, leaders in the edTech with Positivo, Descomplica, and also in the healthcare industry. Our merchant base has already gave us with some anchor clients. It gives us the information to be able to evolve our risk engines quickly enough, and that puts us ahead of the competition. Basically, as we said before, our distribution channels, we are already integrated with all the main distribution channels in Brazil and gateways. We also developed business partners alliances with Dock, which is a virtual credit card. Basically, the idea here is that we are not only be able to integrate with whole new verticals with just one merchant code, so without the need of integrating with each vertical. Also, what we're gonna do is you don't need or you don't have that friction or switching costs from the merchant side. Also it gives us information about our clients that's gonna make our conversions better, and it's gonna make better decisions in our risk engine. On the other side, we also have some partners for personal loans, which will allow us to get a better lifetime value from our clients with no risk for Koin at all. Let's see some figures. We can go to the next slide. There. Let's look at some figures here. As you can see, Koin has achieved stellar growth in the past years, delivering impressive results with first 1/4 2022 over 6.5 times the figures of the first 1/4 2021, and almost 3.5 times what we had in the first 1/4 2020, with over 700 transactions a day and already granted more than $100 million since 2019. Our repeat usage is at 19.5%. It was below 10% last year. We have a 16% take rate, which was at 9.5% one year before. Our EBITDA margin is growing constantly, and we expect to get to cash breakeven here by the second 1/2 of 2023, with cash needs around $20 million. Finally, our penetration in Despegar is around 11.2% of the total purchase volume. With this, I'm gonna hand over to Alberto to talk about. Yeah, it's blocked. Yes. No. No? No. Okay. Ladies and gentlemen, you've been very kind sharing your time with us this afternoon. We'll be jumping into the very last chapter, that is actually the financial implications of all the fun stuff that we believe we're doing. Okay? I aspire that this segment is gonna be as interesting as the last, as the prior ones. As we actually get into the financial section, allow me for a minute to first get into our ESG efforts. Okay? We believe ESG is critical to the development of the company, development of the values, the key performance indicators, and the way we run the business. We have made substantial progress on our ESG journey. Back in 2021, we published our first ESG report, and in a couple of weeks we will be sharing our 2021 report via our investor relations website. In anticipation of that, because many of you have been contacted in order to provide to include your feedback, okay, we would like to share the results of the first materiality assessment we conducted in the second 1/2 of last year. With various stakeholder participating, including many of you as investors, employees, customers, travel partners, and the media. Among the latter, we included insights of many of people that are present here or connected through the link. As shared on this slide, the most material issues for investors we surveyed were as follows, and you can see them on the right side of this page. Number one, customer satisfaction, which is one of our key ingredients for growth, and as Gonzalo mentioned, is a relevant part of our value proposition. Importantly, during the pandemic, we invested an additional $25 million in customer support. This to respond to incoming calls that were 30 times the volume that were running in the fourth 1/4 of 2019. That was an impressive task by our operational team. As a result of those investments, we increased our response rates by 19% or points when compared to Pre-pandemic levels. Secondly, we identified innovation. This was ranked second as a material topic. To maintain our competitive advantage, we are developing new businesses with various degrees of technology, technological sophistication, such as Koin, the B2B business, vacation rentals, and in-destination activities. In addition, Gonzalo has shared with you all the fun stuff that we're doing in order to more efficiently segment and target audiences, and at the same time, price our products accordingly. I would also like to briefly discuss the very last pillar that we identified through the materiality assessment, that is information security, on the bottom right of this page. Okay. Security is based on 3 pillars. Number one, a very profound risk management process. Second, security awareness, which includes educating the entire company on how to securely handle information. And lastly, frequent infrastructure and breach testing exercises. We are proud of all the efforts we have done on this front, particularly as we emerge from COVID-19 over the last 2 years. ESG is now at the core of what all of us do at Despegar. Our board, with their leadership, our management, partners, and suppliers. We are working jointly to advance this agenda. Now, just switching into financial performance. Damián kicked off today's session highlighting the opportunity, with Gonzalo and Marcelo getting into the details of our strategy and its execution. Through execution, we should drive long-term value for shareholders. Let me help you put it all together into forward-looking financial information. Bear with me, because this is a pretty busy page, but I think it actually provides the basis for a thoughtful discussion. In advance of that, following on Nicolás' comments, and considering that all the information that we're gonna share in this section excludes Koin, okay? Let me be clear on some key metrics for that company. Okay? Number one, as Nicolás mentioned, we expect Koin to be EBITDA break-even in the second 1/2 of 2023, with cumulative EBITDA losses from now till then, and cash needs south of $20 million. That investment would allow us to turn Koin into a venture that will have a 2023 total purchase volume between $250-$300 million. A relevant disclaimer prior to actually getting into the details of the financials. Okay? As Damián mentioned, we understand we are currently experiencing a very volatile macro environment. Thus far, this does not appear to have been a dent on the ongoing recovery of travel in our region. Let's keep in mind that the LatAm consumer has shown resiliency to currency and high inflation environments in the past. In this uncertain context, we are basing all macro long-term views, including GDP, inflation, and effects, on the most updated consensus from renowned institutions such as IMF and World Bank. GDP-wise, the consensus for Latin America real GDP growth in the medium to long run points to 2%+ over the next 5 years. As many of you know, now I'm gonna be particularly focusing on the left side of the page. Okay? Transactions in Latin America sector, in travel sector, are conducted in local currency. Consequently, price levels are directly affected by foreign exchange fluctuations, in particular with regards to demand for international travel. The chart on the left presents the relative performance of LatAm currencies. We should spend some time on this topic as currency dynamics impact Despegar differently as we analyze our revenue and cost structure. Why is that? Despegar has its cost structure, okay, particularly based in Argentina, okay? As such, that is very much tied to the local currency. At the same time, also for Argentinian customers that currently represent, let's say, 10 low teens of our portfolio, okay? Their purchasing power in dollar terms are also affected, not only by this, the valuation of the local currency, but also with the fact of taxes impacting their purchasing ability to, for international travel. Okay? Peso is relatively depreciated, okay? Given post international taxes, ASPs in Argentina are actually quite high today. On the revenue front, an appreciation of local currencies benefits Despegar top line. This provides upside for Despegar across its portfolio. In the region as a whole, and in Argentina in particular, once you account for taxes on international trips. However, on the cost side, as we have material portion of our cost base in Argentina, okay, needed to take particular attention to official FX effects in Argentina, okay? That has been, over the past couple of years, an increase of our cost base given inflation and the impact of a depressed official exchange rate. In summary, a potential reversion to the mean could have a positive impact on Despegar, resulting in higher dollar revenues together with a lower cost structure in Argentina. As Damián mentioned, the current recovery trend in demand is strong. However, our gross bookings and transactions, and you can see now on this, the right side of the page, okay, they're still subdued vis-à-vis 2019 levels. Our gross bookings for the first 1/4, as we shared on our first 1/4 earnings release, were 69% vis-à-vis 2019 levels, with May continuing very strongly in an upward trajectory. The touristic group ASPs, as you can see here, okay, we are below 5% vis-à-vis 2019. This is mostly explained by devaluation and by lower international travel participation in the overall mix. The international travel is subdued vis-à-vis domestic travel in every jurisdiction in Latin America, so that is a important source of growth and profitability for the future because it's not flowing through our income statement currently. In summary, this slide points to upside through several levers. Potential long-term favorable trajectory for LatAm currencies vis-à-vis the US dollar, and gentlemen, ladies and gentlemen, we're not focusing on the effects for the next 6 months. Here, we're talking about long-term value for the company. Okay? Secondly, industry recovery to 2019 levels that Damián mentioned, what are our expectations with regards to when is, that the company will be achieving 2019 levels. 1/3, potential upside from ASPs due to continued growth in Non-air sales and product bundling. I think Gonzalo and Marcelo discussed that in detail. Fourth, market share gains resulting from continued execution of our strategic initiative and increased online penetration. Can we move to the next slide? Here we are. On take rate. Now we're gonna start flowing through the income statement of Despegar. We discuss about transactions, ASPs, and gross bookings. Now we get into take rate. Okay? As you can see from this slide, with the context of Despegar having constantly been focused on managing growth versus profitability trade-off, we initially responded to COVID by focusing on profitability. In 2020, we were actually affected by a high cancellation rate given the whole disarray of the market. However, we promptly, in 2021, and particularly the last twelve months, increased our take rate. We kicked off growth investments in those markets where recovery trends were most advanced, such as Colombia, Mexico, and domestic Brazil market. Our take rate levels of 13% are very strong. Specifically, the level is 2.1 percentage points better than in 2019. This improved performance reflects, one, partnership initiative with our suppliers. Our suppliers have higher willingness to pay Despegar for the services and the partnerships we represent to them. Two, an increase in on-air product penetration. Three, we are capturing the increase in customers' willingness to pay. Also noteworthy on this slide, you can note that take rate per order stands at close to $51, above 2019 levels, despite a lower recovery in international travel. That as we all know, international travel represents similar values in terms of take rate as% of gross bookings. However, ASPs can be 3-4 times larger when it comes to an actual booking. As COVID-19 pandemic recedes further and our industry continues to recover, we will maintain a balanced profitability versus growth strategy in the coming quarters, which should allow for market share gains. As a result, we expect our take rate to converge to 12%-12.5%+ of gross bookings by 2025. Importantly, particularly for both with whom we have been having continuous dialogues and those that were present our 2019 Investor Day, this number represents between 50-100 basis points higher than the mid-term guidance we gave at that event. Now, let's switch to the lower lines of our income statement. Cost of revenue. On the cost front, as we're showing here on this chart, we expect our cost of revenue in percentage point, in percentage terms, to maintain a positive recovery trend. Let me remind you that these figures just include our touristic operation, as we discussed before. Also, as you can see, you see a big jump from 2019 to 2020 and the years thereafter corresponding to COVID, okay? Remembering the $25 million additional investment that we did during the COVID pandemic. To better understand the behavior of cost of revenue, we show its 2 components separately here. On the one hand, we show fulfillment center fees, and at the bottom, we show cost of installments. On the blue line, on these stack bars, what we're showing is the extraordinary impacts corresponding to COVID that we do not expect them to be there in the future, okay? Cost of installments, importantly, more than an operational item, is used by Gonzalo's team as a commercial lever, okay? Providing more or less financing, more or less installments at higher or lower rates. Pre-COVID, fulfillment center fees and fraud and errors were on a downward trend on a per-transaction basis. However, as I just mentioned, it was dramatically affected by the COVID outbreak. Even adjusting for one-time impacts, okay, we saw a 22% increase in cost per transaction. This translates into a 70 basis point delta as a percent of gross booking given by lower orders. As you can see, this is the delta that we're making reference to, okay? The 1.5 going up to 3.2. Okay? And that is actually driven by lower orders and lower ASPs and higher operating complexity due to the need to address customer requests and to increase investment to solve these issues. The story behind cost of installments at the bottom of this chart is different. We experience a rebalancing of the cost of installment. As I said before, given higher financing cost, we are providing shorter installments, however, they are at a higher rates, okay? That shows a 10% lower cost of installments in recent periods. Earlier, Damián mentioned that Despegar is positioned to increase adjusted EBITDA by 5x. Let me allow me to walk you through how is that we get to that 5x. The bar that I have just added assumes, okay, that Despegar reaches the same gross bookings that the industry behaves in the same levels that it was behaving in 2019. Given the efficiencies that we're capturing within our platform, we are expecting a decrease of 40 basis points in cost of revenue going forward. You can see this comes down from 3.4 to 3.0 prior pandemic. Now, let me... Please bear with me. Let's move into the next section that discusses sales and marketing expenses. Gonzalo has already walked you through our strengthened marketing competencies and initiatives. Importantly, we should keep in mind that we manage all commercial levers jointly, fees, cost of installments, performance marketing, while steadily growing our loyalty program, the four levers on aggregate. Our brand portfolio and performance marketing capabilities allow us to reduce transaction costs. All-in costs as a percent of gross bookings are flat vis-à-vis 2019. Lower gross bookings and traffic in offline channels are currently counterweighting marketing efficiencies, okay? Doing the same analysis and focusing on what would be the marketing cost, assume when the industry goes back to 2019 levels, okay? We expect sales and marketing cost to be at 3.4% of gross bookings. This is 6ty basis points lower than Pre-pandemic. This efficiency vis-à-vis today and vis-à-vis 2019 is driven by efficient marketing, and Gonzalo went at length into that, focus on qualified traffic, an additional gain from operating leverage as larger volumes kick in. Now let's move to the support areas. This is G&A and tech and content, okay? Pre-COVID, G&A tech and content were decreasing up until 2019 and decreased approximately around 10%. Given their nature, these line items have significantly high operating leverage. As such, with gross bookings and orders declining around 35%, we have seen those ratios deteriorating by 1.8 percentage points vis-à-vis 2019. Comparing this column vis-à-vis the other ones. The deterioration has taken place despite the material cost reduction implemented kicking off in the second 1/4 of 2020 in the midst of COVID pandemic. Our payroll and Non-payroll decreased between 40%-50% respectively on a pro forma basis with the Best Day acquisition. However, given the peso appreciation taking place in Argentina, salary increases coupled with lower volumes over a fixed cost base countered said efficiencies driving a higher cost per order and as percent of gross bookings, as is shown in these slides. By engaging into the same exercise on what would be this line item, tech and content, when you actually start analyzing the volume, 2019 volumes, let's look at this very last column, the first one starting from the right. If we adjust gross booking to 2019 levels, as percent of gross bookings, we see total cost falling 30 basis points below 2019. Despite payroll cost pressures, should we adjust for payroll inflation cost decrease further, this will actually get to a number of 2.8 percentage points of gross bookings. This actually ties nicely with the graph that we're showing about what's going on with the appreciation of the Argentine peso in official exchange rate. To summarize this slide, we are confident about the power of our business model, which among other attractive features has strong operating leverage. We are well-positioned to drive this leverage higher as we grow both organically and through M&A, as Marcelo explained. We continue to invest to strengthen our position in a very attractive industry that is experiencing a strong recovery and that offers many mid to long-term growth opportunities, as Damián explained. Allow me to put all those drivers together, because clearly this section is hopefully interesting, but a lot less fun than the prior ones. As we look into the P&L altogether, okay, we are looking at a Top-Line growth for the next 5 years, okay, between 20%-25% per year in dollar terms. With industry normalization, Despegar could benefit from international travel recovery and lower cancellations, among other factors. In that context, to capture additional growth, we envision Despegar increasing investments with more aggressive pricing, driving take rate levels to 12%-12.5%+, as I mentioned earlier on this presentation. This is still from 1 to 100, so from 1 percentage point to 1.5 percentage points higher than Pre-pandemic rates, but lower than today's, that we're currently at 13%. That is a real balancing of the growth vis-à-vis profitability equation, okay, by decreasing the current rates into more growth. On the cost side, we see operating efficiencies that we have built into the business starting to materialize and drive increased operating contribution. We see room to decrease customer service costs through different initiatives under development, plus expected improvement in operational conditions already mentioned. To put it bluntly, operational conditions mean a request for every order, calls into our customer service for every order or even cancellations, okay. On the sales and marketing front, as Gonzalo explained, a steady focus on our marketing capabilities coupled with cost dilution in offline channels should drive lower marketing costs to the 3.4 percentage points vis-à-vis gross bookings that I mentioned earlier. The above is expected to drive an increase in operating contribution of 1.6 vis-à-vis last twelve months. Lastly, as we look into both costs and investments in tech and content and G&A, we expect to capture higher efficiencies given their semi-fixed nature. On the tech and content side, we see operating leverage at 30%-40%, okay? Goes without saying that the 30% or 40% operational leverage, as you think about the semi-fixed nature of the technology capacity, can be materially increased. That is against our strategy of continued investment in technology to maintain our capabilities ahead of competition. Okay. When it comes to G&A, we see operating leverage particularly high. Around 80%-90%, okay? Of orders in the aggregate, okay? We can see that decrease of more than 2 percentage points when we look at tech and content and G&A jointly. All in, long-term EBITDA levels are expected to be in the mid-20s level, with conversion to cash flow at 60%+. Considering the above guidance on our current capital structure, we believe Despegar has the flexibility to continue consolidating its position and gaining share. Let me remind you that the long-term view I've given does not include our payments unit Koin, as I've already highlighted at this presentation. Last, I would like to share with you a particular topic that we would certainly be remiss if we did not address it. That is Despegar's market valuation, which we all agree is a steep discount to comparable emerging market peers. We share our shareholder frustration, and it's one of the reasons we are presenting our growth strategy today and outlook to this audience. In the table at the top, what we're seeing is a comparison with 2 very relevant Asian OTAs, okay? We compare our market cap and enterprise value with information updated as of yesterday close, okay, with these 2 players. In the bottom 1/2 of the table, we show consensus year-on-year growth for revenue and EBITDA. In the bar graph in the bottom left of this slide, you can see that we trade at a close to 70% discount on a multiple of enterprise value to revenue. Similarly, when you compare that EBITDA multiple, okay, we trade at a 71% discount. Even when adjusted for the respective growth expectations, our valuation gap is still very pronounced, and it's around between 40%-80%, as shown in the triangles above each bar graph. Our view is that Despegar's investment proposition is even more compelling when also take into consideration the deep discount at which our shares currently trade. With this, I would like to pause. I would like to leave it here and begin the question and answer session. We will start with questions from the audience in the room with us, and then move to questions submitted via the webcast. For those in the room, please raise your hand, and we will give you the microphone. I will pass you a microphone. Please state your name and company affiliation for the benefit of the whole group. For our live webcast audience, we may. You may submit your question at any time using the Q&A window located at the bottom left of the webcast screen. Is everybody joining? Yeah. We're right on time. We'll bring all the team here so we can address your questions. I'm lost. Are we starting with the questions in the room? Yes. Okay. Absolutely, yeah. Because they tell me there are more than 100 people connected, so let's make sure we leave some space for them. So. No? Good. I don't know if we've got any questions in the room or through the website. Yeah, go ahead. All right. Thanks for the presentation. Hold on till we get the. Sorry the mic. Thanks for the thorough presentation on the longer term guidance and developments with the group. Given what is happening with Despegar's share price as well as globally, the travel space, can you give us any indications of any changes that you're seeing in shorter term trends since the last quarterly update, particularly for cancellations and for the credit aspects of your business, both for Koin in terms of credit risk or your partnering banks in terms of providing credit for your customer transactions? Thank you. Good. If you can perhaps state your name for everybody so that. Oh, I'm sorry. This is Charlie Gashiki, Clocktower Capital, New York. Thanks. Good. Wonderful. I'll take a first cut on that, then Alberto, you can help me. First, I cannot get into the details of the second 1/4's evolution. Alberto will not let me. I mentioned earlier in my presentation that even in this context of volatility, high interest rates and inflation rates, what we are seeing in the second 1/4 is ahead of our expectations in terms of volumes. We are at the decision even today to pause the share repurchase is all connected. We're very cautious about that. It is strongly linked to how we see the market, our ability to generate cash. If you ask us for the recent performance, without getting into this, I say they are positively surprised over the last four weeks. As per credit, our credit indicator was in the counterparty risk in our traditional travel business. I've seen no issues on that. As per Koin, we see the same performance. Our ability to predict performance and Non-performing loans remains in place. There are no surprises there. As I said earlier, we are extremely confident in the short-term performance. I was talking to some of your colleagues over the break, that being here just a couple of days, we sense, and are obviously in contact with your colleagues and friends in the U.S. economy and following the economic context. The concerns in terms of stagflation, reduction of demand and everything, the recent reports on that, we are not seeing anything like that in Latin America. As I said, Latin American economies perhaps are more used to inflation. There's another aspect. Remember that the Southern Hemisphere is still catching up on travel demand vis-à-vis the Northern Hemisphere. There's still ample room for growth, and we are seeing that. Good day, Damian. Great Hi. So, um- I know you, but perhaps you raise your This is, Adam Wilder from Autonomous Research. Yeah. As we think about the comparison versus 2019, you acquired, call it, you know, 1/2 of a year of Viajes Falabella, that's $25 million. Another 130 or so from Best Day, and now another 30 from Viajanet. Call it roughly $200 million on top of a little over $500 million in 2019, roughly 40%. Is all of that 200 incremental as we think about the recovery back to 2019? Correct me if I'm wrong, Alberto, but when we refer back to 2019 levels, we're looking at a pro forma basis. Yes. Reaching the volumes of Despegar plus all the brands we acquired through these years. Mm-hmm. I don't know if that answers your question? Sure. The EBITDA of the low to mid-20s, is that based on a recovery back to those pro forma 2019 levels, or is that more of a 5-year? Just trying to get a sense of the actual EBITDA range. The- Mm-hmm. The EBITDA level. We expect to achieve those levels by around 2024. Just to give a bit of a timeframe there, okay? That's particularly dependent on the recovery of the industry. So far, as Damián was saying, we actually see that continues to be on track, okay? With regards to what are the EBITDA levels at that stage are very close to 20% by then, okay? The 20+, the mid-20s level, that is more farther out in the projection. Okay? Thanks a lot. It's Kevin Kopelman from Cowen. How you doing? Hey, Damian. Could you remind us of your key exposures, your largest markets, kind of what percentage exposure you have, and maybe a quick comment on specifically the outlook, the macro outlook in your couple of biggest markets like, you know, Mexico, Brazil? Okay. How much time do you have, Kevin? Well, the largest markets are Brazil, Mexico, to a lesser extent Colombia, Argentina, and Chile. Chile, coming closer. Because given our growth through Best Day, Viajes Falabella, Viajanet now, our exposure to largest markets has become much more significant. Let's start with the recent evolution in Mexico. I was talking to some of your colleagues again over the coffee break, and although Mexico during the pandemic was one of the markets that contracted the least, given that they didn't impose any restrictions to travel, and it remained at relatively low levels. The first 1/4 of the year was particularly weak in Mexico as an industry level, but we are seeing over the last, I would say 4 weeks, strong recovery, particularly after one of the biggest events in terms of promotion we had 3-4 weeks ago. In addition, Mexico, Despegar's operation, in particular, depends a lot on international tourist influx, and that's Canadians, the U.S., and some of Europe to a lesser extent, and that's picking up too. We are seeing Mexico, from a touristic standpoint, as regaining 2018 levels faster than other markets. Going from north to south, although not that relevant, Colombia. Colombia was the market that contracted the least and recovered its at least domestic levels most rapidly. Colombia is currently, in terms of passengers, above 2018 levels. That's going pretty well. You know better than me that they have elections coming up and that can put some uncertainty there. As per Brazil, also we're talking that when you look at Brazil again, it has a level of uncertainty, but to a lesser degree, given that the central bank in Brazil increased interest rates a year ago. What we've seen over the first month of this year is a steady recovery of both domestic and international travel. So far we haven't seen any signs of that abating, and we've not seen any signs of counterparty risk or risk profile increasing. Chile. It's a very positive performance, recent performance and outlook. Marcelo mentioned some of the numbers. We're extremely happy with our performance in Chile. As you know, the consumption levels in Chile, given some of the redemptions of the pension funds and so on, have been very large, and we see them sustaining at that level. Argentina is the opposite to all that I've said. Argentina has not recovered, but not so much as a result of the pandemic, because of all the taxes and limitations that the government trying to hold to foreign resources imposing. Beyond that, I mean, it's, as we said, overall, we are very positive with the future outlook based on what we are seeing on a daily basis. A week or 2 ago, we had one of the largest promotion. We had the largest volume since the pandemic, just 2 weeks ago, across the region. Great. Separate question on the outlook. As we look at the 5-year growth outlook, you mentioned 25% annual local currency gross bookings growth. How should we be thinking about? Obviously, there's uncertainties, but how should we be thinking about a base case scenario for how that would ultimately end up translating to US dollars? Okay. You wanna take that? Yeah, sure. I think that it's I really like to have the crystal ball here, okay? What I think the range between 20-25%, okay, is just, let's say, $20, 5%. Yeah, the extra 5% in local currency, okay? We base the long-term forecast. It's not necessarily Despegar management perspective on the long-term forecast. It's let's say, World Bank, IMF performance, okay, or forecast for that performance, okay? Yeah, I think you should feel comfortable having, like, a growth rate for Despegar for the next 5 years for around 20% in dollar terms. Thank you. There's another question, I think, over here. I don't know. Hi. I'm Michael Campagna, Moerus Capital Management. Just 2 quick questions on Koin. Number one, in the past, I think you guys have talked about securitizing a lot of the transactions, and I think up to date, the majority of Koin transactions have been securitized. Can you talk about you know, how you kinda think about that longer term and what level of on-balance sheet risk you guys are willing to take in the Koin business? The second question is, you know, I know second 1/2 of 2023 is the target profitability for Koin, but what is the long-term kinda normalized level of profit, be it EBITDA margin or whatever you, however you think about it, for the Koin business? Okay, good. Nico, I'm sorry. I'll take the Yeah The risk portion of it, okay? Exposure, okay? The exposure for Despegar, it's around, let's say today, around $30 million, okay? Given the increased penetration of the securitization and/or cash advances from Koin to Despegar and to other customers, what we're seeing is that that exposure should be at the same levels by 2023, by the end of 2023, okay? We are seeing the securitization of receivables. Tying up with the very first question of this session that is, like, we are not seeing at all any dry up of capital availability for any business, okay? That is across the region. That is in line with how Latin American financial institutions or Latin American capital markets are faring. They feel very comfortable operating under harsh economic environments, as Damián pointed out, okay. It's like that $30 million level, and the expectation is that Koin should actually be advancing Despegar in line with what Despegar does for factoring costs. That is around 50% of receivables. We are treating, from a Despegar perspective, Koin as a 1/3 party in line with the way we treat our financial institutions, okay. I think that's particularly relevant. We believe that we can securitize close to 80% of the receivables. In terms of profitability, what we are projecting for 2 years after the break even, 1 year and a 1/2, is an EBITDA margin around between 20%-25%. The main drivers behind that are, first, that we are gonna have a more developed risk engines in each vertical. When you start, you obviously start with open policies to be able to learn faster and to evolve faster and have the information to identify good payers from bad payers. The second and maybe the most important driver is the known clients. Known clients have less or have 50% of the NPLs than new clients. When you start having a recurring base, and as I showed, the repeat rates are growing really fast, the profitability has a huge impact on repeat rates. The 1/3 impact is basically a cost basis that is basically scale. Also, Pix is having a very strong impact on reducing the cost of operating loans in Brazil, because by paying through Pix, your installments, you have a lower cost as well. It's economies of scale and lower operating costs in terms of Pix. Great. One last question on Koin. What is the average tenure of the BNPL loans? The average tenure today is a little bit longer in travel, between 4.5 installments, 4.5 duration. The installments are around 7-8 months, and that's what gives us a quick sense of how your underwriting is going, and you can react fast to that. Great. Thanks. Hi, I'm Alfredo Schmunzer from Equinox Partners. It seems to me that it has been very difficult for you to gain market share organically, so excluding all the acquisitions. I just wanna understand if that's the case, the reason for that, considering all the competitive advantages that you mentioned. Yeah. Good. Gonzalo, you want to take that? Yeah, sure. Well, as you mentioned, the market share has remained, it has grown, like, just a bit, maintaining like same levels, on a pro forma basis than before the pandemic and growing just a little bit because basically what we have decided in this strategy that Alberto mentioned, this balance between growth and profitability. During the pandemic, we preferred to focus on maintaining profitability and achieving break-even levels as fast as possible, rather than investing in more aggressive marketing or lower pricing or more installments to drive share faster. We thought at that point it was the right strategy. As Alberto also mentioned, when we look forward, we believe that at current levels, we are still able to grow share but at a slower rate. Despite that, as Alberto mentioned, the strategy going forward is to actually have take rates reduction from current levels to the longer-term numbers that Alberto shared between 12% and 12.5%. That, of course, will accelerate the rate at which we capture share, all of this in organic terms. Now, of course, the inorganic part of it accelerates it much more. If we talk everything pro forma organic terms, we are currently like growing very slowly share, and we can accelerate that, and we plan to accelerate that as the current situation recovers. Allow me to qualify also Gonzalo's answer, if I may. Let's separate the time periods into Pre-pandemic. Despegar was gaining share between, let's say, high double digits, okay? To 150 basis points year-on-year, okay? That was Pre-pandemic, okay? With a certain level of take rate that was around 11%, okay? Following the pandemic, as Gonzalo mentioned, the company maintained share. Maintained share with a much more aggressive pricing, okay? If you actually adjust market share for pricing, and if you look at the delta or whatever, like, the extra market share point that the company would have gained if we have maintained the pricing, the company gained market share. I really would like to, if you allow me, to challenge the assumption, okay? Because even though we haven't gained market share from a volume perspective, okay, we maintained share with much stronger pricing. We actually gained revenue share. Exactly. When you look at all the participation in the profit pool of the industry, we gained, okay? It's a matter of how you balance growth vis-à-vis profitability. Can I just follow up on? Yeah. Do you maybe measure or do you have any track on how your main competitors are doing in terms of market share and if you maybe are especially aware or maybe Focused or never anyway. No, afraid. Sorry. Yeah. Yeah. big player that may compete in a better way with you. That's why I mean focused. No, we're not afraid. Having said that. Sure. No. Gonzalo, you may want to comment on that. Yeah. Concern, no. Well, of course, we respect all of our competitors a lot. What we have seen is that other players have actually outlined similar strategies. When you see what Expedia recently has been talking about, it's focusing rather on transactions in general just for the sake of transactions, on relevant transactions, on profitable transactions, and reducing a little bit the aggressiveness in terms of marketing and pricing that they had before. What we have seen is that in general, global players are following certainly this strategy, which are the largest players. We have seen some local players in some markets that have had different strategies, let's say, that so far in most cases haven't proved to be sustainable along the way. Of course, we monitor this very closely and we make sure that whenever, if it is required to act different in a given market to maintain leadership, we do so. Let me put it this way. I mean, I will add some color. Tuesdays 11:00 A.M., there's a commercial review in which on a weekly basis, I review market shares on every market in Latin America. To summarize, we are where we want to be. Thank you. Jian Tao from Lazard. You forecast pretty decent EBITDA margin, and I guess it's a free cash flow business. In 5 years, what's your capital policy? When will you return the capital back to shareholder? Alberto. That's an interesting question. We still believe that we have ample opportunities to continue growing the business, okay? Clearly, as you pointed out, okay, projections point to a business that combines nicely growth with cash flow generation, okay? That's not very different from if you actually look at the larger players in global players, okay, such as, for argument's sake, Booking.com, Expedia, et cetera, okay? Down the road, from our perspective, from a capital allocation perspective, all options are on the table. Okay. Looking at M&A or returning capital through to shareholders through share buybacks, et cetera, I think when we get we very much look forward to have that quality problem, okay? We believe that we're not there yet, okay? But there are no sacred cows for Despegar to allocate capital wisely. Okay? A bit of a qualification on my answer is, or more additional color on the answer is, like, this very morning, okay, given the whole uncertainty in the markets, okay, the board like quickly met, and we announced a share buyback to support our shares, okay. We believe that valuation doesn't make much sense, okay. Where although capital is scarce, okay, we have ample opportunities to grow. I think we need to allocate capital wisely, okay? Of course, even though it was not solely in the cards to put capital to work in a share buyback, we decided to do so given the capital market allocation. If I may, have Folllow-Up question. You guided as each sector grow at around 17%. Yeah. which is pretty healthy growth. This business is a network business with a huge economies of scale. For long term, how to justify the strategic rationale for continuous M&A, because seems you already have the strong brands, you build the infrastructure, and you are located in a fast, pretty fast-growing industry. Suppose you can just leverage your own capability to grow the business rather than relying on the continuous M&A long term. That's a question we always look at on a continuous basis, not only when we're considering transaction, but permanently. The growth opportunity that this transaction puts in front of us is a growth opportunity that costs more or less if we do it organically or inorganically. We are very precise on how we measure not only the investments to get there, but the recurrent investments required. We also consider the change in market dynamics, and one of that transactions may generate. Again, I don't know if you are a shareholder of Google, but we try not to make them rich by continuously buying traffic. One of the things we look at is, well, we'll continue buying traffic as opposed to buying a brand that will help us capture more recurrent clients in a much more efficient way. We constantly look at the balance between the 2. It's not a single answer in a single moment. Hi, guys. It's Santiago from EV. Just, Damián, sorry, a question for you. When the company went public, I think the valuation multiple was around 15x ± based on the expectations of the time. Today it's trading at 5x. Mm-hmm. According to the slide that Alberto put up. What do you think the reasons are for that 2-1/3s derating in the multiple are? Santiago, there are multiple reasons for that. It has a lot to do with Latin America. It has a lot to do with currencies, like Alberto explained. It has to do with, I mean, 2 years pandemic. There's a lot of things that affect that, multiple. The answer I would give you also, if Despegar in the same worst or better position today as what it was in 2017. That was 2017 September, if I recall correctly. I have no doubt Despegar is in much better position today. Maybe the market is challenging, it's more uncertain, but Despegar is today far better company than what it was in 2017. Have absolute no doubts of that. Allow me, Santiago, to complement Damián, if I may, okay? When Despegar was trading at those values, okay, if you actually look at what the street was looking at the growth rate for the company, okay. We're actually seeing a company that was with a take rate of close to 12% and consensus view of the growth rate of the company around 30%. Okay? What happened? Okay. What you actually had is you had some overhang from a shareholder actually exiting the business. Importantly, you actually got into a big macro currency devaluation, okay, that affected the whole region. Okay? What you had is from 2017 until 2019, okay, the company was growing at 20%+ on a local currency basis, okay. Even adjusted for the high inflation in Argentina, it was solid growth, but currencies were actually on kind of free fall in the region. It was like kind of plateauing when it comes to top line. Okay? Clearly that disenchanted many investors, okay, and as such, the multiple really compressed. Okay. We are now at the juncture of really explaining the story, getting people excited again, okay, despite the current capital markets condition, not economic conditions, I would say, in the region. We are in that. We're just walking that path, okay? As the man pointed out, Despegar today is a company, is a machine, okay, that has much better operating leverage and earnings power than before, okay? We need to be in front of you guys, in front of your colleagues explaining the story. Questions from those participating via the webcast. Francisco Herrero from Emerging Variance. What do you expect the EBITDA contribution to be with respect to the Viajanet acquisition? The Viajanet is a company that basically is concentrated in selling air tickets. At least Yeah, it is working. Okay. It's selling air tickets with really low penetration of our Non-air. In terms of cost, it's a company that operates under pretty decent cost. Where we see the upside, it's cross-selling Non-air products and reach levels at least above 25% of Non-air penetration. In terms of online, it's a company that's 100% online, actually. What we see, it's much more synergies from the revenue side than from the cost side. We don't have projections on where the EBITDA can grow. Definitely depends on the recovery of the volume of the company that is still a little bit behind in terms of recovery, but looking good ahead. Another question from Rupesh Sahu of Ancient Art. Could you clarify again the 5 times earnings power, and in parentheses adjusted EBITDA? Does that mean EBITDA will go up 5 times, and from what base? Alberto, you. Sure. We are comparing ourselves to 2019. If you look at what the EBITDA in 2019 was, $26.6 million, okay? That is just multiplying that base times 5. Okay? Question from Felipe Arancibia of Itaú. What are the sales growth projections for Chile this year, and will the margins be similar to those in 2019? Correct me, Gerardo. We do not disclose. Yeah. projections by markets, but Yeah, again, I think it's important that we feel quite comfortable just looking at the world portfolio. When you start actually getting very granular, let's say, on a certain like route or certain product in a certain market on a weekend, et cetera. I'm starting to be a bit funny here, but I think you start losing a lot of accuracy in your forecasting, okay? That's why if you allow us not to address it at that level of detail, I think we'll feel more comfortable. Okay. I would just reiterate that. Yeah. Performance-wise, overall, not only in terms of top line growth, but in terms of profitability, we are extremely happy with the performance, the joint performance in between Despegar and Viajes Falabella, as Marcelo explained in Chile. Mm-hmm. Okay, we have no more questions from the online audience. Okay. What was that again? Sorry. Can I just ask a Follow-Up on the buyback? Yeah. The 2 previous ones in 2018 and 2019, they weren't fully utilized. 2018 used roughly 2-1/3s, and 2019 was in August of 2019, so it kind of segued into COVID. Can we expect by virtue of the fact that this is a shorter duration buyback, that we should have a fairly, you know, full utilization? Alberto. It will very much depend on average daily trading volumes, Adam, okay? As you know, you have strong limitations, okay? 10b5-1 limitations on a 1/4 of the volume. It will depend on how the market responds, what's the trading activity, and as such, what we actually wanted when we announced it is at least send out 2 messages. Number one, the endorsements of management and the board on, like, the upside of the company. Secondly, the fact that to be ready to utilize that amount, it should volumes pop up. Okay. Any other questions here in the? It seems there are no other questions. Before, thank you again. Thanking you again for being here. Let me get some closing remarks in terms of. Oh. Not yet. Just we would love you to leave with this on your mind after the time you spend with us. In terms of Despegar being the leading OTA in a market that we expect to continue growing intensively. We said 17% overall, 19% on the online part of it. We're strongly positioned as the leader in LatAm to capture that opportunity. A market that is gonna grow, as I said, and is still 2.5 times larger than India, a market that is highly fragmented. So those dynamics pose a very attractive opportunity ahead of us. Second, there you'll see, as we mentioned, we are emerging stronger from COVID. The 5x EBITDA that we plan to generate on the same 2018 volumes are a testament to that. 1/3, building a scale business through the proven M&A track record and integration track record will allow us to accelerate growth even beyond our organic capabilities. As I said, the earnings power that this new operational leverage and this new ability to increase our take rates will provide us is significant. Finally, Alberto mentioned it at the end of his remarks, we believe we had this written on Friday. Today is even more so. It's uniquely, in our perspective, opportunity to gain an upsell through this story. Without further ado, I would like, again, on be1/2 of everyone in Despegar, to thank you who are here with your presence and those joining over the webcast. Thank you again for your interest and your participation. Thank you very much. Thank you. Thank you. Thank you.