Q2 2026 Itausa SA Earnings Call

August 11, 2026

Priscila Greco: Bom dia a todos, sejam muito bem-vindos a mais uma. Good morning, everyone. Welcome to another edition of Resultados em Foco. I am the CFO of Itaúsa, Priscila Greco, and it is a pleasure to be with you for the discussion of the H1 2026 and talking about the perspectives for the H2, and of course, answering your questions. To run this live alongside me, we have Alfredo Setubal, our CEO, and also IR director. Welcome, Alfredo. Good morning. Good morning to the investors, shareholders. Let us have a nice event. Lots of news. Before going the agenda, we have the simultaneous translation into English. If you wish to listen to the translation, click on the flag for English. Submit your questions, clicking in the message box in the platform, and also over YouTube and LinkedIn comments, and also using the X platform, getting the hashtag #ResultadosItausa.

Speaker #1: Bom dia a todos. Sejam muito bem-vindos a mais

Priscila Greco: Good morning, everyone. Welcome to another edition of Resultados em Foco. I am the CFO of Itaúsa, Priscila Greco, and it is a pleasure to be with you for the discussion of the H1 2026 and talking about the perspectives for the H2, and of course, answering your questions. To run this live alongside me, we have Alfredo Setubal, our CEO, and also IR director. Welcome, Alfredo.

Speaker #2: Good morning, everyone. Welcome to another edition of "Resultados em Foco." I am Priscila Greco, CFO of Itausa, and it's a pleasure to be with you.

Speaker #2: For the discussion of the first semester of 2026 and talking about the perspectives for the second semester. And of course, answering your questions. To run this live alongside me, we have Alfredo Setubal, our CEO, and also IR director.

Speaker #2: Welcome, Alfredo.

Speaker #3: Bom dia, Priscila. Bom dia ao nosso.

Speaker #2: Good morning. Good morning to the investors, shareholders, let's have a nice event. Lots of news.

Alfredo Setubal: Good morning. Good morning to the investors, shareholders. Let us have a nice event. Lots of news.

Speaker #1: Para a gente contar. Bom, antes da gente passar pela agenda do evento.

Speaker #2: So before going the agenda, we have the simultaneous translation into English.

Priscila Greco: Before going the agenda, we have the simultaneous translation into English. If you wish to listen to the translation, click on the flag for English. Submit your questions, clicking in the message box in the platform, and also over YouTube and LinkedIn comments, and also using the X platform, getting the hashtag #ResultadosItausa.

Speaker #1: Na bandeira dos Estados Unidos.

Speaker #2: If you wish to listen to the translation, click on the flag for English. Submit your questions clicking in the message box in the platform, and also over YouTube and LinkedIn.

Speaker #2: Comments, and also using the X platform. Getting the hashtag #ResultadosItausa. Please, take part. We will start the agenda with our presentation. And a brief update on the business environment.

Priscila Greco: Please take part. We will start the agenda with our presentation and a brief update on the business environment, getting Alfredo's opinion on the scenario of the H1, and then we will go through the results of the invested companies. We talked about the liquidity management. We also go through proceeds, the declared proceeds, and also by Itaúsa, and also updates for our capital allocation strategy, and then the final ideas by Alfredo, and then the Q&A. First theme here, which is Traditional for our talk, talking about the business environment. We talked about the perspective of reduction of the interest rates and an accelerated geopolitical conflicts that still linger. I wanted you to get your opinion on how did you see the perspectives on what to expect over the next quarters. Well, we had the Q1 very much aligned with what we have seen last year.

Speaker #2: Getting Alfredo's opinion on the scenario of the first quarter. First semester, and then we will go through the results of the investor companies we talked about, the liquidity management.

Speaker #2: We also go through proceeds—the declared proceeds, and also by Itaúsa—and also updates for our capital allocation strategy. Then, the final ideas by Alfredo, and then the Q&A.

Speaker #2: So, first theme here, which is traditional for our talk, talking about the business environment. We talked about the perspective of reduction of the interest rates in an accelerated geopolitical conflict that's still lingering.

Speaker #2: So when you two get your opinion, on how did you see the perspectives on what to expect over the next quarters? Well, we had the first quarter very much aligned with what we've seen last year.

Alfredo Setubal: Well, we had the Q1 very much aligned with what we have seen last year.

Speaker #2: Economy Brazilian economy growing very slowly. Interest rates very high. An economy that's decelerating. So an environment that is not helping business. But fortunately, our portfolio has reacted well.

Alfredo Setubal: Brazilian economy growing very slowly, interest rates very high. An economy that is decelerating. So an environment that is not helping business. But fortunately, our portfolio has reacted well. Has reacted well regarding this political, economical scenario. We have had great results. We have a perspective for the H2 similar to the first one. Economy is still growing very slowly, even with a bit of a deceleration. We see the consumption of families being reduced due to the indebtness, which is a lot, very high, regardless of all the incentives that the government has placed in the economy of over BRL 200 billion. We do not see the economy growing or giving a significant evolution signal. H2, we have the elections, which are always an uncertainty factor for the shareholders and consumers who wins if something changes. So our scenario is still of low economic growth.

Speaker #2: Has reacted well regarding this political, economical scenario. We've had great results. We have a perspective for the second semester similar. To the first one.

Speaker #2: Economy still growing very slowly. Even with a bit of a deceleration. We see the consumption of families being reduced. Due to the indebtedness, which is a lot very high.

Speaker #2: Regardless of all the incentives, that the government has placed in the economy. We have over 200 billion reais. We do not see the economy growing or giving a significant evolution signal.

Speaker #2: Second semester, we have the elections, which are always an uncertainty factor for the shareholders and consumers who wins. If something changes, so our scenario is still of low economic growth.

Speaker #2: We've seen a reduction of the interest rates. It's possible that we might see some reduction in the inflation has dropped. Because of the low consumption.

Priscila Greco: We have seen a reduction of the interest rates. It is possible that we might see some reduction, and the inflation has dropped because of the low consumption, so there is not an inflationary consumption by. Well, there is the energy Iran war that affects oil. But the economy itself is very slow. That should be kept for the H2, but also for next year. Next year, we still have an economy that is very decelerated. Inflation still low, but above the threshold of 4.5%, which is the top of the threshold. So it is a scenario that is challenging. We might see a little bit increase in delinquency in the bank and even the clients of the company. So it is a scenario that demands a lot of caution. It also, nonetheless, has a resilient portfolio, well managed with companies with results. So our position is very good in this challenging scenario.

Alfredo Setubal: We have seen a reduction of the interest rates. It is possible that we might see some reduction, and the inflation has dropped because of the low consumption, so there is not an inflationary consumption by. Well, there is the energy Iran war that affects oil. But the economy itself is very slow. That should be kept for the H2, but also for next year. Next year, we still have an economy that is very decelerated. Inflation still low, but above the threshold of 4.5%, which is the top of the threshold. So it is a scenario that is challenging. We might see a little bit increase in delinquency in the bank and even the clients of the company. So it is a scenario that demands a lot of caution. It also, nonetheless, has a resilient portfolio, well managed with companies with results. So our position is very good in this challenging scenario.

Speaker #2: So there isn't an inflationary consumption by well, there is the energy Iran war that affects oil but the economy itself is very slow. That should be kept for the second semester, but also for next year.

Speaker #2: Next year, we still have an economy that is very decelerated. Inflation is still low, but above the threshold of 4.5%, which is the top of the threshold.

Speaker #2: So it's a scenario that is challenging. And we might see a little bit increase in delinquency in the bank. And even the clients of the company.

Speaker #2: So it's a scenario that demands a lot of caution. Itausa, nonetheless, has a resilient portfolio. Well managed. With companies with results. So our position is very good in this challenging scenario.

Speaker #2: So, Alfredo, let's look at how we closed these results in the quarter.

Priscila Greco: Alfredo, let's look at how we close these results in the quarter. Well, let's see this challenging scenario that Alfredo has gone through, how it affected the results of Itaú and the portfolio. Let's talk about that our result was very resilient, very solid. Record results reflecting the quality and resilience of the portfolio. We have BRL 9.6 billion in revenue, 22% growth. We got an ROE of 21.2%, 3 percentage points above last year. Non-recurrent, about BRL 1 billion, BRL 900 million that stem from a controlled non-operational company, Itautec, that recognized gains in legal proceedings and administrative proceedings. The result is here. We look at this effect, we get to the recurring net revenue, BRL 8.8 billion, double-digit growth, 12%, and ROE 19.3%.

Speaker #1: Bom, vamos ver como é que é esse cenário.

Speaker #2: Well, let's look at this challenging scenario that Alfredo has gone through, and how it affected the results of Itaúsa and the portfolio.

Speaker #1: Acho que vamos falar aqui que o nosso resultado.

Speaker #2: Let's talk about that our result was very resilient, very solid. Record results reflecting the quality and resilience of the portfolio. We have 9.6 billion in revenue, 22% growth.

Speaker #2: We got an ROI. ROE of 21.2%. Three percentage points above last year. Non-recurrent. About 1 billion 900 million that stem from a controlled non-operational company Itautek.

Speaker #2: That recognized gains in legal proceedings and administrative proceedings. The result is here. Let me look at this effect. We get to the recurring net revenue: $8.8 billion.

Speaker #2: Double digit growth. 12%. And ROE 19.3%. Our net debt a bit of an increase. In regards to the previous year. Due to the usage of cash that stem from the capital allocation that we've done.

Priscila Greco: Our net debt, a bit of an increase in regards to the previous year due to the usage of cash that stem from the capital allocation that we've done. The net debt is closing the quarter in BRL 1.2 billion. The net assets almost BRL 94 billion. The market value of our portfolio, almost BRL 190 billion. An important growth, almost 20%. Let's talk about how our shares have worked. In a very consistent way, we've performed above the market benchmarks in any time frame. 10 years, our shares are valuing against 234% of IPCA. If we compare with CDI and the dollar, our performance of 437 also is very good. Other time frames and also what we've performed this year can be accumulated until August. Our shares have gone double of what Ibovespa has done in the same period, 15.4%.

Speaker #2: So the net debt is closing the quarter in 1.2 billion. The net assets almost. Well, not almost, 94 billion. And the value market value of our portfolio 190 billion almost.

Speaker #2: An important growth—almost 20%. So, let's talk about how our shares have performed. In a very consistent way, we've performed above the market benchmarks.

Speaker #2: In any time frame. So 10 years, our shares are valuing against 234% of equal face. But if we compare with CDI and the dollar, our performance of 437 also is very good.

Speaker #2: Other time frames. And also what we've performed this year. In the accumulated until August, our shares have gone double of what equal Vespa has done in the same period.

Speaker #2: 15.4%—very consistently. We're showing the market our capacity to generate value for our shareholders. This is reflected in our remuneration, our payout, and good results that are very consistent and very solid, as being reported to the market.

Priscila Greco: Very consistently, we're showing to the market our capacity to generate value for our shareholders. This reflects our remuneration, our payout in good results and very consistent, very solid being reported to the market. This share, even though it has an important valuation in this time, we have potential of valuing when we see the discount. We have a discount, I'm going to comment, of about 19%. We have the value of the portfolio, BRL 191 billion. Of BRL 177 billion are Itaú Unibanco, BRL 16 billion, all of the non-financial sector portfolio. Itaúsa at the end of June, and we have a discount of 19.5%. The threshold of discount, which would be above what is fair, what is adequate, considering the quality of our portfolio, the results that we presented, but we've seen an evolution that is very expressive.

Speaker #2: This share. Even though it has an important valuation in this time, we have potential of valuing. When we see the discount, we have a discount I'm going to comment of about 19%.

Speaker #2: We have the value of the portfolio 191 billion. So 177 are Itau Unibanco 16 billion. All of the non-financial sector portfolio. Itausa at the end of June.

Speaker #2: And we have a discount of 19.5%. The threshold of discount. Which would be above what is fair, what is adequate. Considering the quality of our portfolio, the results that we presented.

Speaker #2: But we've seen an evolution that is very expressive. We started in the year with a discount of 26.1%. And this discount has been 26.2.

Priscila Greco: We started in the year with a discount of 26.1%, and this discount, 26.2%, has been reducing in the first semester, and we closed July with a discount of about 19.5%. This discount is below the records of what we've seen with Itaúsa, and so the recognition of the market that the company is performing well and our portfolio has delivered good results, and also recognizing that shares have important upsides with the end of the fiscal inefficiency. Regardless, the discount is still high in comparison to what we consider the target price of Itaúsa and our listed companies. The discount implicit is about 15.6%, which represents still an upside in our shares of 4 percentage points. This is based in 3 big fundamentals. First one, end of the fiscal inefficiency for next year. End of the PIS and COFINS tax in Itaúsa.

Speaker #2: Has been reducing in the first semester. And we closed July with a discount of about 19.5%. This discount is below the records of what we've seen with Itausa.

Speaker #2: And so the recognition of the market that the company is performing well. And our portfolio has delivered good results and also recognizing that shares has have important upsides with the end of the fiscal inefficiency.

Speaker #2: Regardless, the discount is still high in comparison to what we consider the target price of Itaúsa. And for our listed companies, the discount implicit is about 15.6%.

Speaker #2: This still represents upside in our shares of 4 percentage points. This is based on three big fundamentals. The first one is the end of the fiscal inefficiency.

Speaker #2: For next year, there will be the end of the PIS and Cofins tax. And Itausa—the main cost is the payment of PIS and Cofins tax over the interest on capital that we receive from the invested companies.

Priscila Greco: The main cost is the payment of PIS and COFINS tax over the interest of our capital that we receive over the invested companies, especially Itaú Unibanco last year. That was BRL 860 million. So an evolution, an expectation that is very good for next year that we are going to stop having an expense of BRL 860 million. Proceeds, non-financial. We have seen a growth that is very expressive. Proceeds had been BRL 1 billion last year. We still keep it in the holding, facing our cost, of which a great part is due to the payment of the PIS/COFINS tax. There is a combination of the two items, the big two fundamentals. They generate a great perspective for our shareholders. Three invested companies and non-listed, NTS, Copa Energia, Aegea, unlocking value if we have a bit of a recycling in our portfolio.

Speaker #2: Especially Itauni Banco the last year that was 860 million reais. So an evolution. An expectation that is very good. For next year that we're going to stop having an expense of 860 million reais.

Speaker #2: Proceeds. Non-financial. We've seen a growth that is very expressive. Proceeds had been 1 billion reais last year. We still keep it in the holding.

Speaker #2: Facing our costs, of which a great part is due to the payment of the PIS Cofins tax. So, there is a combination of the two items.

Speaker #2: A big two fundamentals. They generate a great perspective for our shareholders. Three invested companies in non-listed. NTS Copenhagen IHM. Unlocking value if we have a bit of a recycling in our portfolio.

Priscila Greco: Also a liquidity event, including the IPO that will happen with Aegea. Very important for our shareholders. Let us talk about the invested companies. How do we see the results of 2026? We had the bank reporting the IFRS. The bank getting to the ROE of 22.8%, BRL 24 billion recurring IFRS. The delinquency is under control. Efficiency level getting to one of the best thresholds of the bank. Dexco, very good with better volumes and better mix and better margins in the period. We also saw advances in the segment of utilities. Here, the invoice, even though we had an expressive growth and an advancement on the deleveraging of the company, we saw a drop due to the impact of the smallest price of dissolving cellulose getting to our invested company.

Speaker #2: And also a liquidity event, including the IPO that will happen with IHM. Very important for our shareholders. Let's talk about the invested companies. How do we see the results for 2026?

Speaker #2: We had the bank reporting under IFRS, with the bank achieving an ROI of 22.8% and $24 billion. Recurring IFRS. The delinquency is under control. Efficiency level is reaching one of the best thresholds.

Speaker #2: Of the bank. Dexco very good. With better volumes and better mix. And better margins in the period. We also saw advances in the segment of utilities.

Speaker #2: But here the invoice even though we had an expressive growth. And an advancement on the deleveraging of the company. We saw a drop due to the impact of the smallest price of soluble cellulose getting to our invested company.

Priscila Greco: Alpargatas is delivering a result that is very consistent with an evolution, 60% getting to BRL 354 million as a reflection of all the turnaround process. Higher volumes, the international market getting to a recovery that is very interesting. Also a report of the better mix of products. Motiva, an increase of 38%, BRL 1.3 billion. A reflection of all the operational efficiency, new conditions, a growth of volume, and the rearrangement of tariffs. Solidity also to the company's result. Copa Energia, double-digit, very robust, very consistent. Even though we have seen stable volumes, they are very consistent in having the maintenance of the spreads and an efficient commercial strategy. NTS. We have the ending of the contracts of the company that was delayed temporarily, but in worse conditions than the ones that existed in the legacy contracts that we have had in the company.

Speaker #2: Delivering a result that is very consistent. With an evolution. 60% getting to 354 million as a reflection of all the turnaround process. Higher volumes.

Speaker #2: The international market and international market. Getting to a recovery—that is very interesting. And also, a report of the better mix of products. Motiva.

Speaker #2: An increase of 38%. $1.3 billion. A reflection of all the operational efficiency, new conditions, a growth of volume, and the rearrangement of tariffs.

Speaker #2: Solidity also to the company's result. Copenergia double digit. Very robust. Very consistent. Even though we've seen a stable volumes. They're very consistent. In having the maintenance of the spreads.

Speaker #2: And an efficient commercial strategy. NTS. And we have the ending of the contracts of the company. That was delayed temporarily. But in worse conditions than the ones that existed in the legacy contracts that we've had in the company.

Priscila Greco: A reflection of deflation at IGP-M on the tariffs that are charged by the company. So a result that was a drop of 16%, but still a robust revenue of BRL 1.5 billion reported in the semester. Aegea, operational growth, very as expected, very good. An evolution of 48% of the EBITDA. As an evolution ramp-up, readjustments of the tariffs and new economies, so it is a solid growth. This has reflected in the company growing consolidated 80% in the period. So in general, all of our invested companies performing very well in a scenario that is very challenging. Going through the net revenue, we see the semester end, 22% growth, and we have BRL 857 million of non-recurring effects that are higher from the invested non-operational Itautec. Here is the recurring result of BRL 8.8 billion.

Speaker #2: Reflection of deflation IGPM on the tariffs that are charged by the company. So a result that was a drop of 16%. But still a robust revenue of 1.5 billion.

Speaker #2: Reported in the semester. IHM. Operational growth. Very as expected. Very good. An evolution of 48% of the EBITDA. As an evolution ramp up. Readjustments of the tariffs.

Speaker #2: And new economies. So it's a solid growth, and this has been reflected in the company, growing consolidated 80% in the period. So in general, all of our invested companies are performing very well.

Speaker #2: In a scenario that is very challenging, going through the net revenue, we see the semester end with 22% growth, and we have $857 million of non-recurring effects.

Speaker #2: Higher from the invested non-operational Itautec. And here is the recurring result of 8 billion. 800. A great deal of it comes from the invested company.

Priscila Greco: A great deal of it comes from the invested company, Itaú Unibanco, a great part. The non-financial sector has contributed BRL 600 million in the results of equivalency and with a robust growth of 30% H1 on H1, while this financial H1 is growing. Something that we have reinforced in the calls is the rhythm of growth that is accelerated considering the ramp-up of these new conditions with a lot of growth that we will demonstrate Q on Q. We have the reducers of our results, the cost of holding the result and the financial result that we can comment. Talking about the invested companies in the non-financial sector, growing 34%, getting to BRL 600 million, of which we have big contributions of Copa Energia, NTS, and Alpargatas. I believe that all the invested companies are contributing positively to our results.

Speaker #2: Itaú Unibanco was a great part. But the non-financial sector has contributed 600 million in the results of equivalency, and with a robust growth of 30% semester on semester.

Speaker #2: While the financial semester is growing. So something that we've reinforced in the calls is the rhythm of growth. That is accelerated considering the ramp up of these new conditions.

Speaker #2: With a lot of growth. That we will demonstrate quote on quarter. We have the reducers of our result. The cost of the holding the result.

Speaker #2: And the financial result that we can comment on, speaking about the invested companies in the non-financial sector: growing 34%, getting to $600 million. Of this, we have big contributions from Copenhagen, Energia, and NTS.

Speaker #2: And Alpargatas. I believe that all the invested companies are contributing positively to our results. The other one is just an accounting effect of amortization that was recognized in the acquisition of the investments and the infrastructure assets.

Priscila Greco: The other one is just an accounting effect of amortization that was recognized in the acquisition of the investments and the infrastructure assets. So positive growth of the invested company. Talking about the composition of our own results, our own results are composed by the tax expenses. There is no big evolution in the period. We have a stable year-on-year. Talking about the financial results, we saw a worsening on the financial results on the period, but due to an explanation that has to do with the profitability of our cash flow. Because less cash flow in the period, we have a usage of cash flow due to the first capitalization that was done in Q1 of Aegea, but also as an effect with the anticipation of the dividends that we have done last year with the taxation of the dividends.

Speaker #2: So, positive growth of the invested company. So, talking about the composition of our own results: our own results are composed of the tax expenses.

Speaker #2: There is no big evolution in the period. We have a stable year on year. Talking about the financial results. We saw a worsening on the financial results on the period.

Speaker #2: But this is due to an explanation that has to do with the profitability of our cash flow, because there was less cash flow in the period. We had a usage of cash flow due to the first capitalization that was done in the first quarter of IHM.

Speaker #2: But also as an effect, with the anticipation of the dividends that we've done last year, with the taxation of the dividends. We have the opening of the cash flow, which went from the proceeds, and then there is an effect in the profitability that was mitigated by the smaller expenses in the period.

Priscila Greco: We have the opening of the cash flow from the proceeds, and then there is an effect in the profitability that was mitigated by the smaller expenses in the period and a reflection of the liability management, bringing a reduction of the expenses, considering that the average Selic rate of H1 was higher than H1 of last year. So a positive reflection of the financial management of the company. Equity management is something that we have demonstrated our results and the initiatives that are implemented in the last years.

Speaker #2: And a reflection of the liability management. Bringing in reduction of the expenses. Considering that the average sale rate of the first semester was higher than the first semester of last year.

Speaker #2: So a positive reflection of the financial management of the company. Liquidity management is something that we've demonstrated. Our results. In the initiatives that are implemented.

Speaker #2: In the last year's. In 2022 we started a process of deleveraging. Prioritization in the reduction of our debt. In the company. Making lots of movements in the repayment of debts.

Priscila Greco: In 2022, we started a process of deleveraging, prioritization in the reduction of our debt in the company, making lots of movements in the repayment of debts, which led us to a reduction of 80% of our net debt, which is BRL 1.2 billion in the period, and also an increase of the average deadline of the debt, which is 7 years. An important growth to the scenario that we had in 2022. At the same time that we increased our debt, we could reduce the cost, and now we are in a threshold debt is 11.2% for this average deadline, which is very healthy. We have coverage which is very healthy, no amortization until 2022. It gives us a lot of comfort, and all this financial management was recognized by the rating agencies, and they continue to give us triple A for the risk of credit.

Speaker #2: Which led us to a reduction of 80% of our net debt. Which is 1 billion 200 in the period. And also an increase of the average deadline of the debt which is 7 years.

Speaker #2: An important growth. To the scenario that we had in 2022. At the same time that we increased our debt. We could reduce the cost.

Speaker #2: And now we are at a threshold of 11.2% for this average deadline, which is very healthy. We have coverage, which is very healthy.

Speaker #2: No amortization until 2022. It gives us a lot of comfort. And all this financial management was recognized by the rating agencies, and they continue to give us AAA for the credit risk.

Priscila Greco: Talking about the amortizations, there is no amortization, or there is a bit immaterial until 2031. We have in 2032, in terms of liquidity, we are in a scenario that is very. We close the semester in BRL 2.2 billion. We have to comment that this cash flow does not include the value of Itautec, and it does not include the capitalization that we have done in our investor company, Aegea, BRL 230 million. The trend is that the cash flow increases with the two events that we have had in this event. Leveraging, very healthy. We have the balance that is very robust. The record results in the balance sheet, very robust, very healthy, and prepares the company for any cycle of investment when the scenario makes sense, and also a project that is economically viable. Well, this is it. Talking about the proceeds.

Speaker #2: Talking about the amortizations, there's no amortization, or there is a bit, immaterial, until 2031. We have in 2032, in terms of liquidity. We're in a scenario that is very — we closed the semester at R$2.2 billion.

Speaker #2: We have to comment that this cash flow does not include the value of Itautec, and it doesn't include the capitalization that we've done in our invested company IHM, which was R$230 million.

Speaker #2: So the trend is that the cash flow increases with the two events that we've had in this event. And leveraging very healthy. We have the balance that is very robust.

Speaker #2: The record results and the balance sheet. Very robust. Very healthy. And prepares the company for any cycle of investment. When the scenario makes sense.

Speaker #2: And also a project that is economically viable. Well, this is it. Talking about the proceeds. I think that all the performance of our shares and the results of the portfolio in Itausa.

Priscila Greco: I think that all the performance of our shares and the results of the portfolio in Itaúsa, it is also translated into proceeds that are very attractive to our shareholders. BRL 2.8 billion in the first semester of billions declared in proceeds. Growth of 3% in regards to the previous year. Let us consider the previous year is a threshold of proceeds that is very high. A growth that is very interesting for us. It gives us a dividend yield of 10%, which provides us amongst the companies. We are one of the companies that give dividend yield that is very significant and one of the best in B3. Of these BRL 10.8 billion, we have BRL 2.3 billion pending of payment, so BRL 0.21 per share. Yesterday at the board, we have the payment date, which is going to be 28 August.

Speaker #2: It's also translated into proceeds that are very attractive to our shareholders. So 2 billion 800 in the first semester of billions declared in proceeds.

Speaker #2: Growth of 3% in regards to the previous year. Let's consider that previous year is a threshold of proceeds. That is very high. The growth that is very interesting for us.

Speaker #2: And it gives us a dividend yield of 10%, which provides us—amongst the companies—we are one of the companies that give a dividend yield that is very significant.

Speaker #2: And one of the best in B3. Of these 10.8 billion we have 2.3 pending of payment. So 21 cents per share. And yesterday at the board we have the payment date which is going to be August 28th.

Priscila Greco: These proceeds that are declared in March, in June, we will pay this BRL 0.21 per share. Let us talk about the non-financial sector. I commented that this is one of the fundamentals that lead to the upside of our share, and in fact, we see an expressive growth. We had the threshold of the non-financial sector, which is BRL 900 million. This threshold is growing year on year, and it gets to 2025, BRL 1.2 billion. If we consider the last 12 months in June, we have BRL 2 billion of received proceeds considering that we received BRL 973 million in Itautec. A growth with non-recurring of Itautec of 27%, growth that is very robust. We continue with the practice of not sharing these proceeds for the shareholders, considering the cost of holding that we have now. It is a positive expectation that next year we will reduce.

Speaker #2: These proceeds that are declared in March. In June we will pay this 21 cents per share. Let's talk about the non-financial sector. I commented that this is one of the fundamentals that lead to the upside.

Speaker #2: Of our share, and in fact, we see expressive growth. We had the threshold of the non-financial sector, which is $900 million. This threshold is growing year on year.

Speaker #2: And it gets to 2025, $1.2 billion. And if we consider the last 12 months in June, we have $2 billion of received proceeds. Considering that we received $973 million in Itautec.

Speaker #2: So a growth with non-recurring of Itautec of 27%. Growth that is very robust. We continue with the practice of not sharing these proceeds for the shareholders considering the cost of holding that we have now.

Speaker #2: But it's a positive expectation that next year we will reduce, and the proceeds have a trend that is relevant. So, positive results and also capital allocation.

Priscila Greco: The proceeds, they have a trend that is relevant. Positive results and also capital allocation in the last years, in the last cycle of investment since 2027. We have BRL 11 billion, and we have capital allocation movements. Here in assets that are in our portfolio, we invested BRL 1.2 billion in two assets. In Aegea, we received BRL 1.2 billion in investments, and we see an opportunity to increase the participation in Alpargatas. We did an investment of BRL 100 million in Alpargatas. We have to comment that the return of this portfolio that we created since 2017 got to a threshold of about 16% a year. Above Ibovespa, above CDI, close to the return had we invested the BRL 11 billion in the shares of Itaú Unibanco, we would have very similar results to this.

Speaker #2: In the last years in the last cycle of investment. Since 2027. And we have 11 billion. And we have capital allocation movements and here in assets that are in our portfolio.

Speaker #2: We invested 1.2 billion in two assets in IHM. We received 1.2 billion in investments. So we see an opportunity to increase the participation in Alpargatas.

Speaker #2: We made an investment of $100 million in Alpargatas. And we have to comment that the return of this portfolio that we created since 2017 reached a threshold of about 16% per year.

Speaker #2: So above CDI and close to the return had we invested the 11 billion in the shares of Itauma Unibanco. We would have very similar results to this.

Speaker #2: The big results which is finding assets relevant assets that would deliver levels of return that are similar to the portfolio. We got an it shows our assertiveness in the capital allocation process.

Priscila Greco: The big result, which is finding relevant assets that would deliver levels of return that are similar to the portfolio we got, it shows our assertiveness in the capital allocation process. Let's talk about the two movements. Starting by Aegea, which is a company that we considered a lot of excellency, positive records of turnaround of the concessions that they acquire, demonstrated a record of growth, very robust. We see the company growing the EBITDA, it is a record which is very consistent of growth, it has the higher growth by the base of assets that they have in the portfolio that is very expressive. With an attractive return within what I just showed you, we have the important results of here, Aegea, this investment, an interesting return.

Speaker #2: Let's talk about the two movements. Starting with IHM, which is a company that we consider to have a lot of excellence—positive records of turnaround in the concessions that they acquire.

Speaker #2: Demonstrated a record of growth—very robust. We see the company growing the EBITDA, and it's a record which is very consistent in terms of growth. It also has the highest growth based on the assets they have in the portfolio.

Speaker #2: That is very expressive, with an attractive return within what I just showed you. We have the important results of tier IHM, this investment, and an interesting return.

Priscila Greco: Besides the positives, the company allows for the utilities expansion, which is very interesting to lead us to do an investment in this company of BRL 1.2 billion, with two movements of capitalization that happened this year, elevating our participation from 12.8% to 14%. We didn't have any relevant effects in Itaúsa, not expected for the next quarters. All the funding of the operations are with our own results. We have the impacts here. The second capitalization, probably we should use the resources that are going to get from the proceeds of Itautec in such a way that we're not going to have a big impact in our cash flow. It's important to say that along with this last capitalization, we also celebrate an agreement that guarantees the protection of the return.

Speaker #2: Besides the positive the company allows for the utilities expansion. Which is very interesting. To lead us to do an investment in this company of 1.2 billion.

Speaker #2: With two capitalization movements that happened this year, we elevated our participation from 12.8% to 14%. We didn't have any relevant effects in Itaúsa, and none are expected for the next quarters.

Speaker #2: And all the funding for the operations is from our own results. We have the impacts here. For the second capitalization, we should probably use the resources that we're going to get from the proceeds of Itautec, in such a way that we're not going to have a big impact on our cash flow.

Speaker #2: It's important to say that, along with this last capitalization, we also celebrate an agreement that guarantees the protection of the return. This refers to the return of IPCA plus 15% a year.

Priscila Greco: This reference of the return of IPCA plus 15% a year that is given through adjustments of participation in certain conditions established by the agreement, but also in the occurrence of the IPO of a company. A mechanism that also has as an objective, protect our shareholders and maximize the creation of return on this investment. Now, looking at the other investment that we've done, we have windows in the market, Alpargatas, also increasing our participation in Alpargatas. Everybody knows it's a very strong brand, Havaianas, well known. It's a company that has presented after the turnaround process, the operational discipline, a lot of focus in achieving operational efficiency, presenting strong cash generation in the period. We realize that the company still has potentials for growth and especially with an improvement of mix and with a penetration that is higher in the specialized channel.

Speaker #2: That is given through adjustments of participation in certain conditions established by the agreement. But also in the occurrence of the IPO of a company.

Speaker #2: So, a mechanism that also has as an objective to protect our shareholders, and to maximize the creation of return on this investment. Now, looking at the other investment that we've done...

Speaker #2: We have windows in the market Alpargatas also increasing our participation Alpargatas everybody knows. It's a very strong brand. Avayon is well known. It's a company that has presented after the turnaround process.

Speaker #2: The operation of discipline a lot of focus in achieving operational efficiency. Presenting strong cash generation in the period. We realize that the company still has potentials.

Speaker #2: For growth. And especially with an improvement of mix and with the penetration that is higher in the specialized channel. Internationalization still in the agenda of the company.

Priscila Greco: Internationalization is still in the agenda of the company. We've done a redefinition with the investment on the abroad with a focus in specific regions. We realize that there is a lot of potentials to capture this international value. This investment, we've done purchases in the market of shares from last year, and we got to BRL 100 million of investment, making our participation to be 29.4% to 30.6%. Also, we didn't see a lot of relevant effects in the results, and all the funding was with our own cash flow. That cash flow that I showed you, billion, with this leaving of cash flow with this investment. I think it's important that we mention that all this acquisition had an average rate price per share of BRL 10.8 per share.

Speaker #2: We've done a redefinition with the investment on the abroad. With a focus in specific regions. We realize that there is a lot of potentials.

Speaker #2: To capture this international value. This investment we've done purchases in the market of shares. From last year. And we got to 100 million of investment.

Speaker #2: Making our participation to be 29.4 to 30.6%. Also we didn't see a lot of relevant effects in the results. And all the funding was with our own cash flow.

Speaker #2: That cash flow that I showed, two billion. With this leaving of cash flow, with this investment, I think it's important that we mention that all this acquisition had an average rate, price per share of 10.8 reais per share.

Priscila Greco: If we consider the quote for the closing of the company yesterday, we have an accumulated return on the investment just in this investment, which is 24%. It shows the assertiveness of this process of the capital allocation, making this acquisition at the price that is adequate, highlighting the return to our shareholders. With that, I get to the end of the presentation. But before we go through the closing arguments, I would like to remember that Itaúsa publishes the news that are relevant for the holding, the insights newsletter, and also in the social networks. Follow us. Enroll in our YouTube channel, LinkedIn, sign our newsletter. Also, I would like to ask at the end of this event, answer the questionnaire so we can improve our event every edition. Capture the QR code or click in the button below.

Speaker #2: So if we consider the quote for the closing of the company yesterday. We have an accumulated return on the investment just in this investment which is 24%.

Speaker #2: So it shows the assertiveness of this process of capital allocation, making this acquisition at a price that is adequate, and highlighting the return to our shareholders.

Speaker #2: With that, I get to the end of the presentation. But before we go through the closing arguments, I'd like to remind you that Itausa publishes the news.

Speaker #2: That are relevant for the holding. The insights newsletter and also in the social networks. Follow us. Enroll in our YouTube channel. LinkedIn. Sign our newsletter.

Speaker #2: And also I would like to ask. At the end of the at the end of this event. Answer the questionnaire so we can improve our event every edition.

Speaker #2: Capture the QR code. Or click in the button below. Now I'd like to give the floor to Alfredo. We gave a panorama on the main results.

Priscila Greco: Now I would like to give the floor to Alfredo. We gave a panorama on the main results, a lot of good news. I wanted you to do your summary of what you have seen and the highlights of Itaúsa. Thank you. Congratulations on the presentation. Our investors and shareholders are very satisfied with our numbers. As I commented at the beginning, we are living through a scenario that is very challenging in the economy, in Brazil and abroad, and our portfolio has been very resilient to face this. I would like to say the strong results, they are still the main investment and with performance that is very superior to the competitors, good risk management, control of delinquency, cost reduction. The bank is also in a digital journey to face the new competitors. Our main asset, which is Itaú Unibanco, had once again, an exceptional performance.

Speaker #2: A lot of good news. So I wanted you to do your summary of what you've seen and the highlights of Itaúsa. Thank you. Congratulations on the presentation.

Alfredo Setubal: Thank you. Congratulations on the presentation. Our investors and shareholders are very satisfied with our numbers. As I commented at the beginning, we are living through a scenario that is very challenging in the economy, in Brazil and abroad, and our portfolio has been very resilient to face this. I would like to say the strong results, they are still the main investment and with performance that is very superior to the competitors, good risk management, control of delinquency, cost reduction. The bank is also in a digital journey to face the new competitors. Our main asset, which is Itaú Unibanco, had once again, an exceptional performance.

Speaker #2: Our investors and shareholders are very satisfied with our numbers. As I commented at the beginning we are living through a scenario that is very challenging.

Speaker #2: In the economy. In Brazil and abroad. And our portfolio has been very resilient. To face this. I'd like to say the strong results. They are still the main investment.

Speaker #2: And with a performance that is far superior to the competitors. Good risk management, control of delinquency, and cost reduction. The bank is also on a digital journey.

Speaker #2: To face. The new competitors. So our main asset which is Itauni Banco head once again. An exceptional performance. With the infrastructure IJI investments. Motiva.

Priscila Greco: With the infrastructure, Aegea investment, Motiva, NTS and Copa Energia, we had solid results with good cash generation. Obviously, these companies, they have a big debt due to the business itself that demands an investment in its concessions of trains in the case of Motiva, which is very big, but they are generating cash flow that is enough, facing in the financial expenses and facing the investments that are mandatory for the concessions. The results would be industrial. Two companies that we have, Alpargatas, which is for the second year, showing solid results. Alpargatas growing in Brazil and abroad. Strong cash generation and very good. A growth process. We have strong plans of growth in Brazil and abroad. A robust plan in the board of Alpargatas.

Alfredo Setubal: With the infrastructure, Aegea investment, Motiva, NTS and Copa Energia, we had solid results with good cash generation. Obviously, these companies, they have a big debt due to the business itself that demands an investment in its concessions of trains in the case of Motiva, which is very big, but they are generating cash flow that is enough, facing in the financial expenses and facing the investments that are mandatory for the concessions. The results would be industrial. Two companies that we have, Alpargatas, which is for the second year, showing solid results. Alpargatas growing in Brazil and abroad. Strong cash generation and very good. A growth process. We have strong plans of growth in Brazil and abroad. A robust plan in the board of Alpargatas.

Speaker #2: And NPS. And Copa Energia. We had solid results. With a good cash generation. And obviously these companies they have a big debt. Due to the business itself.

Speaker #2: That demands an investment in its concessions of trains. In the case of Motiva, which is very big, they are generating cash flow that is enough.

Speaker #2: Face it in the financial expenses. And facing the investments. That are mandatory. For the concessions. And the results would be industrial. Two companies that we have.

Speaker #2: Alpargatas. Which is for the second year showing solid results. Alpargatas growing in Brazil. And abroad. Strong cash generation. And very good. And a growth process.

Speaker #2: We have strong plans of growth. In Brazil. And abroad. A robust plan in the board. Of Alpargatas. So it's a company that is generating a lot of cash flow.

Priscila Greco: It is a company that is generating a lot of cash flow and a lot of growth and benefiting itself and making Havaianas growing in a sustainable way. Dexco as well. Dexco has been facing challenges, and going through this period after the pandemic in 2022, 2023, the market of construction has retracted. But I think that this year, we have shown a good discipline. The company is deleveraging. We got two levels of leverage that were high considering the economy growing little, the main market a bit retracted, so we could bring the net debt to a level 3, so high. Then we hope to close this threshold in 2.5% this year. The company is recovering market, is operating with better margins. We are in a good path so that Dexco can generate results and reduce the investment. It is a solid portfolio. We have the challenges.

Alfredo Setubal: It is a company that is generating a lot of cash flow and a lot of growth and benefiting itself and making Havaianas growing in a sustainable way. Dexco as well. Dexco has been facing challenges, and going through this period after the pandemic in 2022, 2023, the market of construction has retracted. But I think that this year, we have shown a good discipline. The company is deleveraging. We got two levels of leverage that were high considering the economy growing little, the main market a bit retracted, so we could bring the net debt to a level 3, so high. Then we hope to close this threshold in 2.5% this year. The company is recovering market, is operating with better margins. We are in a good path so that Dexco can generate results and reduce the investment. It is a solid portfolio. We have the challenges.

Speaker #2: And a lot of growth, and benefiting itself, and making Havaianas grow in a sustainable way. Dexco as well. Dexco has been facing challenges, and we've had a good period going through this after the pandemic in '22 and '23.

Speaker #2: The market of construction has retracted. But I think that this year we've shown a good discipline. The company is deleveraging. We got to levels of leverage.

Speaker #2: That were high. Considering the economy growing little. The main market a bit retracted. So we could bring the debt not debt a bit to a level three so high.

Speaker #2: And we hope to close this. Threshold in trying to have percent this year. The company is recovering market. Is operating with better margins. We're in a good path.

Speaker #2: So, Dexco can generate results and reduce investment, so it's a solid portfolio. We have the challenges: interest rates are still very high, and so that affects the companies.

Priscila Greco: Interest rates still very high, so that affects the companies that have more debt. It has by its characteristics such as Aché and Motiva, but we are very confident with the performance of all of them, specifically Itaú Unibanco. We believe that we are in a good moment, as I told you, with good perspective of keeping profitability at a very healthy threshold. So in general, we got into the second semester in a good position, but knowing that 2027, everything is indicating that we are going to have a challenging year, both in Brazil and abroad. But we are well-positioned to face these challenges. We had the share performing above benchmarks, and we have talked about the remuneration for our shareholders. Profitability, medium to short term, long term of Itaú is very good, getting to all the indicators.

Alfredo Setubal: Interest rates still very high, so that affects the companies that have more debt. It has by its characteristics such as Aché and Motiva, but we are very confident with the performance of all of them, specifically Itaú Unibanco. We believe that we are in a good moment, as I told you, with good perspective of keeping profitability at a very healthy threshold. So in general, we got into the second semester in a good position, but knowing that 2027, everything is indicating that we are going to have a challenging year, both in Brazil and abroad. But we are well-positioned to face these challenges. We had the share performing above benchmarks, and we have talked about the remuneration for our shareholders. Profitability, medium to short term, long term of Itaú is very good, getting to all the indicators.

Speaker #2: That have more debt. That had, by its characteristics, such as IJI and Motiva. But we are very confident with the performance of all of them.

Speaker #2: Specifically Itaú Unibanco. We believe that we are in a good moment, as I told you, with a good perspective of keeping profitability at a very healthy threshold.

Speaker #2: So in general we got into the second semester in a good position. But knowing that 2027 everything is indicating that we're going to have a challenging year.

Speaker #2: Both in Brazil and abroad, we are well positioned to face these challenges. We had the share performing above benchmarks, and we've talked about the remuneration for our shareholders.

Speaker #2: Profitability medium to short term. Long term of Itausa very good. Getting to all the indicators. One of the shares that is more valued. And we have a dividend yield that is very high.

Priscila Greco: One of the shares that is more valued and we have a dividend yield that is very high, 10%. Very relevant for our shareholders. Itaúsa still with the practice of passing on the dividends and retaining the proceeds that we receive from the non-financial to pay the expenses of holding. We are making these investments using our own cash flow in Aegea, in Alpargatas, which are assets that we consider very good, that on the long term are going to give results for a value generation for our shareholders that is very relevant. We have a very good mix of allocation of resources and results. Well, let's get into the Q&A session and answer the questions of the shareholders. Well, we start with the business analyst, the market analyst, and you can still submit your questions. Or you can see through YouTube, LinkedIn comments, or ask using #ResultadosItausa.

Alfredo Setubal: One of the shares that is more valued and we have a dividend yield that is very high, 10%. Very relevant for our shareholders. Itaúsa still with the practice of passing on the dividends and retaining the proceeds that we receive from the non-financial to pay the expenses of holding. We are making these investments using our own cash flow in Aegea, in Alpargatas, which are assets that we consider very good, that on the long term are going to give results for a value generation for our shareholders that is very relevant. We have a very good mix of allocation of resources and results.

Speaker #2: 10%—very relevant for our shareholders. Itaúsa is still following the practice of passing on the dividends and retaining the proceeds that we receive from the non-financials.

Speaker #2: To pay the expenses of holding. And we're making these investments using our own cash flow in IJI, in Alpargatas, which are assets that we consider very good.

Speaker #2: That, in the long term, is going to deliver results in terms of value generation for our shareholders. That is very relevant. We have a very good mix in terms of allocation of resources.

Speaker #2: And results. Well, let's get into the Q&A session and answer the questions of the shareholders. Bom, a gente começa esse bloco com os análises.

Priscila Greco: Well, let's get into the Q&A session and answer the questions of the shareholders. Well, we start with the business analyst, the market analyst, and you can still submit your questions. Or you can see through YouTube, LinkedIn comments, or ask using #ResultadosItausa.

Speaker #1: But we start with the business analysts, the market analysts. And you can still submit your questions, or you can see through YouTube, LinkedIn comments, or ask using Resultados Itausa.

Speaker #1: So, our first guest: Thiago Batista, UBS. Thiago, the floor is yours.

Thiago Batista: Our first guest, Thiago Batista, UBS. Thiago, the floor is yours. Good morning, Alfredo and everyone. My question, while talking about the dividends, you use the dividends for the initiatives. Do you think that for 2027, that the tax inefficiency on 2028 onwards, you are going to have an additional dividend from the non-financial? Two, do you study any type of buyback in Itaúsa? Good morning, Thiago, thank you for the question. It is an interesting point. Very good that for Itaúsa over the next years, as Priscila commented, we should from 2027 have a reduction in the financial tax relief expenses of Itaúsa regarding the PIS/COFINS tax that we pay of the interest of our capital, which our invested companies pay, especially Itaú Unibanco. Priscila commented BRL 860 million, which is very significant, that will cease to be charged in 2027.

Priscila Greco: Our first guest, Thiago Batista, UBS. Thiago, the floor is yours.

Speaker #3: Bom dia, Alfredo. Bom dia, Fia. Bom dia.

Thiago Batista: Good morning, Alfredo and everyone. My question, while talking about the dividends, you use the dividends for the initiatives. Do you think that for 2027, that the tax inefficiency on 2028 onwards, you are going to have an additional dividend from the non-financial? Two, do you study any type of buyback in Itaúsa?

Speaker #1: Good morning, Alfredo, and everyone. So, my question: while talking about the dividends, you used the dividends for the initiatives. So, do you think that for 2027, with the tax inefficiency in '28 and onwards, you're going to have...

Speaker #1: Additional dividends from the non-financials, and secondly, do you foresee any kind of buyback at Itausa? Good morning, Thiago. Thank you for the question.

Alfredo Setubal: Good morning, Thiago, thank you for the question. It is an interesting point. Very good that for Itaúsa over the next years, as Priscila commented, we should from 2027 have a reduction in the financial tax relief expenses of Itaúsa regarding the PIS/COFINS tax that we pay of the interest of our capital, which our invested companies pay, especially Itaú Unibanco. Priscila commented BRL 860 million, which is very significant, that will cease to be charged in 2027.

Speaker #1: It's an interesting point. Very good. That for Itausa over the next years. As Priscila commented. We should from 2027 have a reduction. In the financial tax relief expenses of Itausa.

Speaker #1: Regarding the PIS cofins tax that we pay. Of the interest over capital. Which is our invested companies. Pay specially Itauni Banco. Priscila commented. 860 million reais.

Speaker #1: Which is very significant. That will stop to. Cease to be charged in 2027. These are resources. That we can use. In a very various ways.

Alfredo Setubal: These are resources that we can use in various ways. One of them is replenish our cash flow. In 2027, we are doing these investments, increasing the participation in companies of our portfolio. So we are using our own cash flow. Next year we will reuse these resources for a replenishing of cash of the holding to see new investments, new opportunities that appear in the current portfolio. A second use would be payment of proceeds of dividends. But we will see if this is possible or not from 2028 onwards, where we are going to have more clarity of our cash flow, the investments done.

Speaker #1: One of them is to replenish our cash flow. In 2027, we are making these investments, increasing our participation in companies in our portfolio. So we're using our own cash flow.

Speaker #1: And so next year we will reuse these. Resources for a replenishing of cash of the holding. To see new investments. New opportunities that appear in the current portfolio.

Speaker #1: In a second news. Would be payment of proceeds. Of dividends. But we will see. If this is possible or not. From 2028 onwards. Where we're going to have.

Speaker #1: More clarity of our cash flow. The investments done. But it's possible. Not having any new investments. Having being above the minimum of cash flow that we have for the holding.

Priscila Greco: But it is possible, not having any new investments, being above the minimum of cash flow that we have for the holding, we could increase the proceeds paid for our shareholders above what we are practicing, which is the payment of the proceeds from Itaú Unibanco. So 2028 onwards, we will be able to analyze it in a more efficacious way due to our cash flow. Well, repurchasing of shares. In regards to the repurchasing of shares, we are not studying it. The policy is to do this capital allocation in the investments that we have. Well, studying the increase of participation of the other companies and of the other portfolio. So the allocation in this moment is replenishing of cash flow of the holding due to the new investments. We are not analyzing any repurchasing of shares per se of Itaúsa in the market.

Alfredo Setubal: But it is possible, not having any new investments, being above the minimum of cash flow that we have for the holding, we could increase the proceeds paid for our shareholders above what we are practicing, which is the payment of the proceeds from Itaú Unibanco. So 2028 onwards, we will be able to analyze it in a more efficacious way due to our cash flow. Well, repurchasing of shares. In regards to the repurchasing of shares, we are not studying it. The policy is to do this capital allocation in the investments that we have. Well, studying the increase of participation of the other companies and of the other portfolio. So the allocation in this moment is replenishing of cash flow of the holding due to the new investments. We are not analyzing any repurchasing of shares per se of Itaúsa in the market.

Speaker #1: We could increase the proceeds paid to our shareholders, above what we are currently practicing, which is the payment of the proceeds from Itaú Unibanco. So, from 2028 onwards.

Speaker #1: We will be able to analyze it in a more efficacious way, due to our cash flow. But regarding the repurchasing of shares—in regards to the repurchasing of shares.

Speaker #1: Well, we are not studying it. The policy is to do this capital allocation in the investments that we have, increasing the study of the increase of participation in the other companies.

Speaker #1: And of the other portfolio. So, the allocation at this moment is the replenishing of cash flow of the holding due to the new investments. We are not analyzing.

Speaker #1: Any repurchasing of shares, per se, of Itausa in the market? We did a repurchasing this year, but it was for the long-term program because of the employees of Itausa.

Eduardo Nishio: We did a repurchasing of this year, but for the long-term program because of the employees of Itaúsa repurchasing of 5 million, very small, to face the long-term investments of our directors. Our next guest, Eduardo Nishio. Eduardo. Good morning. Thank you for the opportunity and congratulations on the results. I have a question in regards to the potential unlocking of values. The first one is the IPO of Aegea, which was scheduled for the H1 of this year. Obviously, the market is a bit difficult. We have the elections for the H2, so I wanted to know what is the best estimation for this potential IPO. The second question is related to this difficult moment that we are going through, this challenging moment. 2027 should be a year of fiscal adjustments. In these moments, we have the opportunities.

Alfredo Setubal: We did a repurchasing of this year, but for the long-term program because of the employees of Itaúsa repurchasing of 5 million, very small, to face the long-term investments of our directors.

Speaker #1: Repurchasing of $5 million—very small—to face the long-term investments of our directors. Well, next guest: Eduardo Nichio. Eduardo, good morning. Thank you for the opportunity.

Priscila Greco: Our next guest, Eduardo Nishio. Eduardo.

Eduardo Nishio: Good morning. Thank you for the opportunity and congratulations on the results. I have a question in regards to the potential unlocking of values. The first one is the IPO of Aegea, which was scheduled for the H1 of this year. Obviously, the market is a bit difficult. We have the elections for the H2, so I wanted to know what is the best estimation for this potential IPO. The second question is related to this difficult moment that we are going through, this challenging moment. 2027 should be a year of fiscal adjustments. In these moments, we have the opportunities.

Speaker #1: And congratulations on the results. I have a question regarding the potential unlocking of value. The first one is the IPO of IJI.

Speaker #1: Which was scheduled for the first semester of this year. Obviously, the market is a bit difficult. We have the elections in the second semester.

Speaker #1: So I wanted to know, what is the best estimation for this potential IPO? And the second question is related to this difficult moment that we're going through.

Speaker #1: This challenging moment. 2027 should be a year of fiscal adjustments. In these moments. We have the opportunities. You have a strong cash generation. Dividends.

Alfredo Setubal: You have a strong cash generation, dividends of the invested increasing, that one-off of Itautec reinforces the capital. So do you see, besides Aegea, that you have a payment in the H2, do you see any segments that you think that is interesting in other sectors? Infrastructure, something that in Brazil we have competitiveness in regards to the world, and mainly that the sector is kind of squeezed. Do you see any opportunities? In regards to the IPO of Aegea, still in the table. Company is preparing for this moment internally from the administrative controls, governance. There are some aspects that need to be improved, but having the opportunity, of course, the company needs capital. The current shareholders, Itaú, GIC, they are increases of capital in the company, but it is still with a leverage degree with the characteristics of the sector.

Eduardo Nishio: You have a strong cash generation, dividends of the invested increasing, that one-off of Itautec reinforces the capital. So do you see, besides Aegea, that you have a payment in the H2, do you see any segments that you think that is interesting in other sectors? Infrastructure, something that in Brazil we have competitiveness in regards to the world, and mainly that the sector is kind of squeezed. Do you see any opportunities?

Speaker #1: Of the invested increasing that one off of Itautec. Reinforces the capital. So do you see. Besides IJI. That you have a payment. In the second semester.

Speaker #1: Do you see any segment that you think is interesting in other sectors? For example, infrastructure—something where, in Brazil, we have competitiveness in relation to the rest of the world.

Speaker #1: And mainly that the sector is kind of squeezed. Do you see any opportunities in regards to the IPO of IJI still on the table?

Alfredo Setubal: In regards to the IPO of Aegea, still in the table. Company is preparing for this moment internally from the administrative controls, governance. There are some aspects that need to be improved, but having the opportunity, of course, the company needs capital. The current shareholders, Itaú, GIC, they are increases of capital in the company, but it is still with a leverage degree with the characteristics of the sector.

Speaker #1: Companies are preparing for this moment internally. From the administrative controls and governance, there are some aspects that need to be improved. But having the opportunity—of course, the company needs capital.

Speaker #1: The current shareholders, Itausa, and NJIC did not increase capital in the company, but it is still operating with a degree of leverage characteristic of the sector.

Priscila Greco: It is a bit higher than what we would expect. So the IPO is an objective when the moment of the market is possible. As you said, this moment is difficult. The market is closed, the economy is very slow, the international scenario is difficult. But we continue to have a reality that the company Aegea will face and will do whenever possible. On the standpoint of new alternatives, as I commented, we are giving a priority to increase the participation of the companies of our portfolio. We did Alpargatas Aegea in the last six months. We have other alternatives that we are studying of increase of participation in the companies of the portfolio. So the priority is to increase the participation in the companies that we have investments. But our M&A team is still active. We are looking for alternatives.

Alfredo Setubal: It is a bit higher than what we would expect. So the IPO is an objective when the moment of the market is possible. As you said, this moment is difficult. The market is closed, the economy is very slow, the international scenario is difficult. But we continue to have a reality that the company Aegea will face and will do whenever possible. On the standpoint of new alternatives, as I commented, we are giving a priority to increase the participation of the companies of our portfolio. We did Alpargatas Aegea in the last six months. We have other alternatives that we are studying of increase of participation in the companies of the portfolio. So the priority is to increase the participation in the companies that we have investments. But our M&A team is still active.

Speaker #1: It's a bit higher than what we would expect. So the moment of the market is possible, as you said. This moment is difficult.

Speaker #1: The market is closed. The economy is very slow. The international scenario is difficult. But we continue to have a reality. That the company IJI.

Speaker #1: We will face this and we will do it whenever possible, from the standpoint of new alternatives. As I commented, we are giving priority to increasing the participation of the companies in our portfolio.

Speaker #1: We did Alpargatas IJI in the last six months. We have other alternatives that we are studying for increasing our participation in the companies of the portfolio.

Speaker #1: So the priority is to increase the participation in the companies that we have investments in. But our M&A team is still active. We are looking for alternatives.

Alfredo Setubal: We are looking for alternatives but with this level of interest rates and the risks of the economy, internal, international, the geopolitical risks, all of that interfering with our economy, it is difficult to find opportunities that generate a return for the shareholders. The priority is to increase the participation in the investments that we still have, where we know the potential of the companies and we know how they will perform, what are the risks, the qualities, the investments where we have more surety to increase the participation in the portfolio.

Speaker #1: But with this level of interest rates and the risks—of the economy, internal and international, and the geopolitical risks—all of that is interfering with our economy.

Rafael Nobre: But with this level of interest rates and the risks of the economy, internal, international, the geopolitical risks, all of that interfering with our economy, it is difficult to find opportunities that generate a return for the shareholders. The priority is to increase the participation in the investments that we still have, where we know the potential of the companies and we know how they will perform, what are the risks, the qualities, the investments where we have more surety to increase the participation in the portfolio. Now, Rafael Nobre, Safra. Good morning. Congratulations on the results. Thank you for the opportunity. Mine is a complement to Nishio's question. 2017, we are seeing a scenario that is a bit more challenging. Some economists point to a higher risk of recession.

Speaker #1: It's difficult to find opportunities. That generate. Return for the shareholders. The priority is to increase the participation in the investments that we still have.

Speaker #1: Where we know the potential of the companies, and we know how they will perform, what are the risks, the qualities, the investments where we have more surety.

Speaker #1: To increase the participation in the portfolio. Now Rafael Nobre. Good morning. Congratulations on the results. Thank you for the opportunity. Mine is a compliment to Nichio.

Priscila Greco: Now, Rafael Nobre, Safra.

Rafael Nobre: Good morning. Congratulations on the results. Thank you for the opportunity. Mine is a complement to Nishio's question. 2017, we are seeing a scenario that is a bit more challenging. Some economists point to a higher risk of recession.

Speaker #1: Nichio's question. In 2017, we were seeing a scenario that was a bit more challenging. Some economists pointed to a higher risk of recession when we looked at the financial sector.

Alfredo Setubal: When we look at the financial sector, we see a worsening, and we can see a credit cycle that is more challenging. So the question is in the sense of the diversification. In this scenario, would you consider increasing a bit more the participation in the non-financial sector for the portfolio, trying to find a diversification outside of the financial sector? Well, it is an important question that you bring, which is the macroeconomic scenario for next year. Certainly, we are seeing 2027 that is very challenging. We see the economy decelerating regardless of all the incentives that the government has given for the increase of consumption and social benefits. Renegotiation of debt, we are talking about 200 billion reais. But we do not see the economy in terms of GDP and consumption growing. Our scenario for next year is decelerating in the economy.

Rafael Nobre: When we look at the financial sector, we see a worsening, and we can see a credit cycle that is more challenging. So the question is in the sense of the diversification. In this scenario, would you consider increasing a bit more the participation in the non-financial sector for the portfolio, trying to find a diversification outside of the financial sector?

Speaker #1: You see a worsening, and we can see a credit cycle that is more challenging. So the question is, in the sense of the diversification.

Speaker #1: In this scenario, would you consider increasing a bit more the participation in the non-financial sector for the portfolio? Trying to find diversification outside of the financial sector.

Alfredo Setubal: Well, it is an important question that you bring, which is the macroeconomic scenario for next year. Certainly, we are seeing 2027 that is very challenging. We see the economy decelerating regardless of all the incentives that the government has given for the increase of consumption and social benefits. Renegotiation of debt, we are talking about 200 billion reais. But we do not see the economy in terms of GDP and consumption growing. Our scenario for next year is decelerating in the economy.

Speaker #1: Well it's an important question. You bring. Which is the macroeconomic scenario for next year. Certainly we're seeing 2027 that is very challenging. We see the economy decelerating.

Speaker #1: Regardless of all the incentives that the government has given for the increase of substitution and social benefits, and the renegotiation of debt, we're talking about R$200 billion.

Speaker #1: But we do not see the economy in terms of GDP and consumption growing. Our scenario for next is deceleration in the economy. Of course, we can have quarters without growth.

Priscila Greco: Of course, we can have quarters without growth or even a small recession. Certainly, this will be a challenging scenario, and it will be reflected in the less consumption of the families that have a high level of indebtedness. So we are guiding our invested companies and our companies whenever we have participation, to beyond a more cautious budget for us to do stress scenarios that can give a visibility that is higher should there be a stronger decrease of the economy or an internal, external problem that will cause a problem in the Brazilian economy. It will be challenging from the delinquency. It is possible that we are going to see a higher growth. In general, the delinquency, we see a result in Itaú Unibanco and the companies itself, the companies of the industrial are getting some delay.

Alfredo Setubal: Of course, we can have quarters without growth or even a small recession. Certainly, this will be a challenging scenario, and it will be reflected in the less consumption of the families that have a high level of indebtedness. So we are guiding our invested companies and our companies whenever we have participation, to beyond a more cautious budget for us to do stress scenarios that can give a visibility that is higher should there be a stronger decrease of the economy or an internal, external problem that will cause a problem in the Brazilian economy. It will be challenging from the delinquency. It is possible that we are going to see a higher growth. In general, the delinquency, we see a result in Itaú Unibanco and the companies itself, the companies of the industrial are getting some delay.

Speaker #1: Or even a small recession. Certainly this will be a challenging scenario. And it will be reflected. In the last. Consumption of the families that have a high level of indebtedness.

Speaker #1: So we are guiding our invested companies and our companies whenever we have participation. To beyond a more cautious budget. For us to do stress scenarios that can give a visibility that is higher.

Speaker #1: Should there be a stronger decrease in the economy, or an internal or external problem that will cause an issue in the Brazilian economy, it will be challenging in terms of delinquency.

Speaker #1: It's possible that we're going to see higher growth in general. The delinquency we see is a result in Itaú Unibanco and the companies themselves.

Speaker #1: The companies of the industrial are getting some delay. So, we see several signals that might lead to a decrease in the economy and an increase in delinquency.

Priscila Greco: So we see several signals that might lead to a decrease in the economy and increase of delinquency. In regards to Itaú Unibanco, we are very comfortable. The bank has models that are very efficient. The cycles of deterioration of credit in the financial market has happened for some time. Itaú Unibanco has been able to have a better performance than the performance, the newcomers. So our models and our policy that is more cautious for the risk management gives us a lot of tranquility that the bank will go through this moment with a higher economic difficulty very well. So we are very at ease with delinquency, looking at the portfolio of Itaú Unibanco that controls the models. So the idea is to see a solid operation. We do not see anything relevant in terms of delinquency for the bank and in terms of result.

Alfredo Setubal: So we see several signals that might lead to a decrease in the economy and increase of delinquency. In regards to Itaú Unibanco, we are very comfortable. The bank has models that are very efficient. The cycles of deterioration of credit in the financial market has happened for some time. Itaú Unibanco has been able to have a better performance than the performance, the newcomers. So our models and our policy that is more cautious for the risk management gives us a lot of tranquility that the bank will go through this moment with a higher economic difficulty very well. So we are very at ease with delinquency, looking at the portfolio of Itaú Unibanco that controls the models. So the idea is to see a solid operation. We do not see anything relevant in terms of delinquency for the bank and in terms of result.

Speaker #1: In regards to Itaú Unibanco, we're very comfortable. The bank has models that are very efficient. The cycles of deterioration of credit in the financial market have happened for some time.

Speaker #1: Itauni Banco has been able to have a better performance. Than the performance the newcomers so our models and our policy that is more cautious for the risk management gives us a lot of tranquility that the company will go through the bank will go through this moment with a higher economic difficulty.

Speaker #1: Very well. So we are very at ease with delinquency. Looking at the portfolio of Itaú Unibanco that controls the models, the idea is to see a solid operation.

Speaker #1: We don't see anything relevant in terms of delinquency for the bank. And in terms of results, we believe that the bank, because it's very dominant in several segments—

Marcelo Mizrahi: We believe that the bank, because it is very dominant in several segments, and one sector is doing well, the other one not so much, but we can keep profitability levels that are very good. This is going to be kept even with the difficulties that we are seeing in the economic scenarios. Well, we have another guest. Marcelo Mizrahi of Itaú BBA. You can ask your question. Well, thank you for the opportunity. Most of the questions were answered. Still along the lines of the new investments. A company that had a situation that was better is Dexco. It is more leveraged. It went through an investment cycle. We have to think about the portfolio. We do not really talk about Dexco, so it does not seem to have an additional need for capitalization. What do you think? Certainly.

Alfredo Setubal: We believe that the bank, because it is very dominant in several segments, and one sector is doing well, the other one not so much, but we can keep profitability levels that are very good. This is going to be kept even with the difficulties that we are seeing in the economic scenarios.

Speaker #1: One sector is doing well; the other, not so much. But we can maintain profitability levels that are very good. This will be sustained.

Speaker #1: Even with the difficulties that we are seeing in the economic scenarios. Well we have another guest. Marcelo Mishei. Of Itaú BBI. Pode fazer sua pergunta.

Priscila Greco: Well, we have another guest. Marcelo Mizrahi of Itaú BBA. You can ask your question.

Speaker #1: You can ask your question. Well thank you for the opportunity. Most of the questions were answered. Still along the lines of the new investments.

Marcelo Mizrahi: Well, thank you for the opportunity. Most of the questions were answered. Still along the lines of the new investments. A company that had a situation that was better is Dexco. It is more leveraged. It went through an investment cycle. We have to think about the portfolio. We do not really talk about Dexco, so it does not seem to have an additional need for capitalization. What do you think?

Speaker #1: A company that had a situation that was better is Duratex. It's more leveraged. It went through an investment cycle. So, when we think about new companies...

Speaker #1: And new investments we have to think about the portfolio. We don't really talk about Duratex. So it doesn't seem to have an additional need for capitalization.

Speaker #1: What do you think? Certainly. Thank you for the question. Dexco is in the midst of a strong investment cycle between 2022 and 2024. This cycle will continue into 2025.

Alfredo Setubal: Thank you for the question. Dexco is doing an investment cycle that is strong between 2022 and 2024. This cycle of 2025, sorry. The cycle of investments, we increased the capacity. The investment is closed, and I believe that Dexco, from this year onward, is in a process of deleveraging. The investments were done with the capital of third parties with indebtedness. Unfortunately, this led to the investments not giving the returns that were expected in terms of results and performance. We are working strongly with a lot of discipline to improve the results of Dexco. The level of leverage has been reduced. We have managed to increase regardless of the difficult construction sector and we have reduced this investment, this indebtedness to 2.7, and we hope to reduce this to 2.5 throughout this year.

Speaker #1: Sorry. In the investment cycle, we increased capacity. The investment is closed. And I believe that Dexco, from this year onward, is in a process of deleveraging.

Speaker #1: The investments were made with third-party capital through indebtedness. Unfortunately, this led to the investments not yielding the returns that were expected.

Speaker #1: In terms of results and performance, we are working strongly with a lot of discipline to improve the results of Dexco and the level of leverage.

Speaker #1: Our indebtedness has been reduced. We've managed to increase, regardless of the difficult construction sector. And we've reduced this investment—this indebtedness—to 2.7. We hope to reduce this to 2.5 throughout this year.

Priscila Greco: Still a threshold that we continue high, but very close to what we would like to reach. I believe that Dexco is in this scenario. The results are better for the cash generation, the gains of share. We are working with a lot of discipline due to the operational results of the company, and we do not see a need of increasing the capital and the company's capital. The cash generation is sufficient to do the investments that are necessary, specifically in forest, and facing the debt and the payment of interest. We see a positive growth cycle for the next years. The company is doing the selling of assets, and it should accelerate the process. The industrial, finalizing the sales of ceramics in Rio Grande do Sul.

Alfredo Setubal: Still a threshold that we continue high, but very close to what we would like to reach. I believe that Dexco is in this scenario. The results are better for the cash generation, the gains of share. We are working with a lot of discipline due to the operational results of the company, and we do not see a need of increasing the capital and the company's capital. The cash generation is sufficient to do the investments that are necessary, specifically in forest, and facing the debt and the payment of interest. We see a positive growth cycle for the next years. The company is doing the selling of assets, and it should accelerate the process. The industrial, finalizing the sales of ceramics in Rio Grande do Sul.

Speaker #1: Still a threshold that we continue high. But very close to what we would like to reach. And I believe that Dexco is in this scenario for the results are better for the cash generation.

Speaker #1: The gains of share, and we are working with a lot of discipline due to the operational results of the company. We don't see a need to increase the company's capital.

Speaker #1: The cash generation is sufficient to do the investments that are necessary specifically enforced. And facing the debt and the payment of interest. We see a positive growth cycle for the next years.

Speaker #1: And the company is doing the selling of assets, and it should accelerate the process. The industrial is finalizing the sales of ceramics in Rio Grande do Sul.

Priscila Greco: We are administering this with a lot of discipline, the operational side of Dexco, and as I told you, we got into a cycle that is more positive for purchase for the results. We close the participation of the analyst, but we have a lot of questions. Well, I wanted to start with Caio Kawamoto about Motiva. Do we have the interest of the participation of Motiva with the leaving of Bradesco? Bradesco just bought the shares of Motiva due to credits and guarantees of credits that it had. We are studying along with other shareholders to do a part of the control with an increase of participation, but nothing well-defined. Because of the selling by Bradesco and what is the degree of interest, results, performance. We are still in a preliminary study.

Alfredo Setubal: We are administering this with a lot of discipline, the operational side of Dexco, and as I told you, we got into a cycle that is more positive for purchase for the results. We close the participation of the analyst, but we have a lot of questions. Well, I wanted to start with Caio Kawamoto about Motiva. Do we have the interest of the participation of Motiva with the leaving of Bradesco? Bradesco just bought the shares of Motiva due to credits and guarantees of credits that it had. We are studying along with other shareholders to do a part of the control with an increase of participation, but nothing well-defined. Because of the selling by Bradesco and what is the degree of interest, results, performance. We are still in a preliminary study.

Speaker #1: So it we are administering this with a lot of discipline. The operational side of Dexco. And as I told you we got into a cycle that is more positive for purchase.

Speaker #1: For the results. So we close the participation of the analysts. But we have a lot of questions. Well I wanted to start with Caio Kawamoto.

Speaker #1: About Motiva. Do we have the interest of the participation of Motiva with the leaving of Bradesco? That just bought the shares of well Bradesco bought the shares of Mover due to credits and guarantees of credits that it had.

Speaker #1: We are studying along with other shareholders. To do a part of the control with an increase of participation. But nothing well defined. Because of the selling by Bradesco.

Speaker #1: And what is the degree of interest regarding results performance? We're still in a preliminary study, and the conditions are favorable. I believe that the shareholders are going to buy.

Alfredo Setubal: If the conditions are favorable, I believe that the shareholders are going to buy a part of these shares that potentially can be offered by Bradesco. Bruno is asking a question about new investments. They are commenting if we are reducing the exposure to Itaú to increase the weight, and if there is a target for the special participation of Itaú within this portfolio. Do you have anything else to add? Itaú is the main investment of Itaúsa. We have a participation of 38% in the capital of Itaú Unibanco, very relevant for the total capital, and the bank is very big. The biggest Brazilian company, private. It has a result that is very strong, very solid, high profitability. Our participation in the bank is very relevant in our results due to the patrimony equivalence. It is very difficult to do a really big diversification.

Speaker #1: A part of the shares that potentially can be offered by Bradesco. Bruno is asking a question about new investments. They're commenting if we are reducing the exposure to Itaú to increase the weight.

Speaker #1: And if there is a target for the special participation of Itaú within this portfolio. Do you have anything else to add? Itaú is the main investment of Itaúsa.

Speaker #1: So, we have a participation of 38% in the capital of Itaú, and the bank is very relevant for the total capital. And the bank is very big.

Speaker #1: The biggest Brazilian company. Private so it has a result that is very strong. Very solid. High profitability. So our participation in the bank is very relevant in our results.

Speaker #1: Due to the patrimony equivalence, it's very difficult to achieve significant diversification. So our objective is to maintain our participation in the results of Itaú and Banco between 85% and 90%.

Priscila Greco: Our objective is to keep the participation with the results of Itaú Unibanco 85%, 90%, and growing the investments in the area that is non-financial. It is very difficult. The bank is very big, and our participation is very big. We will continue to create a portfolio. We look at the companies in the non-financial sector as a portfolio. It is a portfolio that has an important value. We are talking about BRL 18 billion in real numbers. Let us just say we place that portfolio as one of the biggest companies, and that are negotiated in the stock exchange. But when we compare to our participation in Itaú Unibanco, it is small. We are confident that we can generate value in new investments.

Alfredo Setubal: Our objective is to keep the participation with the results of Itaú Unibanco 85%, 90%, and growing the investments in the area that is non-financial. It is very difficult. The bank is very big, and our participation is very big. We will continue to create a portfolio. We look at the companies in the non-financial sector as a portfolio. It is a portfolio that has an important value. We are talking about BRL 18 billion in real numbers. Let us just say we place that portfolio as one of the biggest companies, and that are negotiated in the stock exchange. But when we compare to our participation in Itaú Unibanco, it is small. We are confident that we can generate value in new investments.

Speaker #1: And growing the investments in the area that is non-financial. But it's very difficult. The bank is very big and our participation is very big.

Speaker #1: So, we will continue to create a portfolio. We look at the companies and the non-financial sector as a portfolio. It's a portfolio that has important value.

Speaker #1: We're talking about 18 billion reais. In real numbers. So that per se would place that portfolio as one of the biggest companies that are negotiating the stock exchange.

Speaker #1: But when we compare it to our participation in Itaú and the Banco it's small. We're confident that we can generate value in new investments.

Speaker #1: In this portfolio we see potential. And we will continue to do investments in such a way that this portfolio of non-financial companies are ever more relevant within Itaú.

Priscila Greco: In this portfolio, we see potential, and we will continue to do investments in such a way that this portfolio of non-financial companies are ever more relevant within Itaúsa, within the limitations that I just mentioned, why in the bank is very relevant. Fortunately, this is an asset that is key for us. Maybe this is the company with the highest performance on the long term in terms of profitability. We are very satisfied with this concentration in Itaú Unibanco, but we will continue to have a non-financial portfolio that balances the risks of concentration. Alfredo, another question from Alfredo. He wanted to know from Aegea the return on investment agreement. What are the triggers? IPO would be the only one. Is there any liquidity event predicted? I can comment.

Alfredo Setubal: In this portfolio, we see potential, and we will continue to do investments in such a way that this portfolio of non-financial companies are ever more relevant within Itaúsa, within the limitations that I just mentioned, why in the bank is very relevant. Fortunately, this is an asset that is key for us. Maybe this is the company with the highest performance on the long term in terms of profitability. We are very satisfied with this concentration in Itaú Unibanco, but we will continue to have a non-financial portfolio that balances the risks of concentration.

Speaker #1: Within the limitations that I just mentioned. When the bank is very relevant. And fortunately this is an asset that is key for us. And maybe this is the company with the highest performance on the long term.

Speaker #1: In terms of profitability, we are very satisfied with this concentration in Itaú and the Banco. But we will continue to have a non-financial portfolio.

Speaker #1: That balances the risks of concentration. Alfredo. Another question from Marcelo. From Alfredo. So he wanted to know from IAG the return on investment agreement.

Priscila Greco: Alfredo, another question from Alfredo. He wanted to know from Aegea the return on investment agreement. What are the triggers? IPO would be the only one. Is there any liquidity event predicted? I can comment.

Speaker #1: What are the assets, and what are the triggers? Would IPO be the only one? Is there any liquidity event predicted? I can comment that this is a mechanism of protection that is negotiated with the other shareholders.

Priscila Greco: That if this is a mechanism of protection that is negotiated with the other shareholders to guarantee the protection of the return of our investment, considering this capitalization plus the previous capitalization that we have done in the company. We have the trigger in two big events. If we have an IPO in the company, we are going to measure the return of Itaú's investment. If we have IPCA plus 5%. But then we will do a balance of participation involving just the shareholders, and we have the purchasing option with a symbolic price that makes our participation to be adjusted to reach the return of investment, which is IPCA plus 15%. Of course, we have the mechanisms that has a few limitations. There is a maximum number of shares that we can repurchase against the controlling shareholder.

Speaker #1: To guarantee the return. A protection of the return of our investment. Considering this capitalization plus the previous capitalization that we've done in the company.

Speaker #1: And we have the trigger in two big events. If we have an IPO in the company, we're going to measure the return of Itaú in this investment.

Speaker #1: If we have IPCA plus 5. But then we will do a balance of participation involving just the shareholders. And we have the purchasing option with a symbolic price.

Speaker #1: That makes our participation to be adjusted to reach the return of investment. Which is IPCA plus 15%. But of course we have the mechanisms that has a few limitations.

Speaker #1: There is a maximum number of shares that we can repurchase. Against the controlling shareholder. And the other mechanism is if we don't have the IPO.

Priscila Greco: The other mechanism is, if we do not have the IPO, then we can execute the totality of such options of purchase within the maximum number of shares. We can execute it and then we can increase the participation of Aegea at the symbolic price in such a way that we will highlight the return of investment. This is the way that it works, and the agreement is available should you need to check the results. Well, I am going to get the proceeds, which are always coming up. There are a lot of shareholders wanting to talk about this policy of the proceeds, understanding taxation changes and how this can change the practice. Matheus, Paulo Lanzelotte, John Sarno, and others, they are submitting questions on what changes in the interest of our capital and then the changes here.

Speaker #1: Then we can execute the totality of such options of purchase. Within the maximum number of shares. But we can execute it and then we can increase the increase in the participation of IAG.

Speaker #1: And the symbolic price is set in such a way that we will highlight the return on investment. This is the way that it works. And the agreement is available should you need to check the results.

Speaker #1: Well, I'm going to get the proceeds, which are always coming up. There are a lot of shareholders wanting to talk about this policy of the proceeds.

Speaker #1: Understanding taxation changes and how can this change the practice. Mateus, Paulo Lancelotti. John Sarno and others. They are submitting questions on what changes in the interest of our capital and then the changes here can we opt for other ways of generating value for the shareholders with the generation?

Alfredo Setubal: Can we opt for other ways of generating value for the shareholders with the generation? Well, we have the practice for many years of passing on to the shareholders all the proceeds, all the dividends that are received by Itaú Unibanco. That we should not change. That practice should be followed. We do not see a scenario that we are seeing a change in the increase of capital as we have seen last year, BRL 1 billion, that we use to do debt, reduce debt. We are in a moment that the practice continues. We continue to retain the proceeds of the non-financial companies in such a way that we can face the taxation expenses, the amortization, and interests that we have due to our debt. So we will continue to retain these proceeds, as I told you.

Priscila Greco: Can we opt for other ways of generating value for the shareholders with the generation?

Alfredo Setubal: Well, we have the practice for many years of passing on to the shareholders all the proceeds, all the dividends that are received by Itaú Unibanco. That we should not change. That practice should be followed. We do not see a scenario that we are seeing a change in the increase of capital as we have seen last year, BRL 1 billion, that we use to do debt, reduce debt. We are in a moment that the practice continues. We continue to retain the proceeds of the non-financial companies in such a way that we can face the taxation expenses, the amortization, and interests that we have due to our debt. So we will continue to retain these proceeds, as I told you.

Speaker #1: Well we have the practice for many years to passing on to the shareholders. All the proceeds. All the dividends. That are received by Itaú and the Banco.

Speaker #1: That we shouldn't change. That practice should be followed. We don't see a scenario in which we are seeing a change in the increase of capital.

Speaker #1: As we've seen last year. 1 billion reais. That we use to do debt. Reduce debt. We are in a moment that the practice continues.

Speaker #1: We continue to retain the proceeds of the non-financial companies. In such a way that we can face the taxation expenses the amortization and interests that we have due to our debt.

Speaker #1: So we will continue to retain these proceeds. As I told you. From next year onwards we will show that we have a reduction of 860 million in financial expenses.

Priscila Greco: From next year onwards, we will show that we have a reduction of BRL 860 million in financial expenses due to the end of the PIS/COFINS tax, and this will generate a freer cash flow for Itaúsa. These proceeds, we will use them to replenish the cash flow that we are using to do these new investments in Aegea and Alpargatas, and maybe another investment company. So we will continue with the practice of redistributing the proceeds of Itaú Unibanco without any change. From 2028, 2029, depending on the context, we can do new investments or we can increase the distribution of payouts, proceeds. This is not a scenario that we are going to consider only in 2028 onwards. So payout, very few realize there is a doubt. We have done that throughout the years.

Alfredo Setubal: From next year onwards, we will show that we have a reduction of BRL 860 million in financial expenses due to the end of the PIS/COFINS tax, and this will generate a freer cash flow for Itaúsa. These proceeds, we will use them to replenish the cash flow that we are using to do these new investments in Aegea and Alpargatas, and maybe another investment company. So we will continue with the practice of redistributing the proceeds of Itaú Unibanco without any change. From 2028, 2029, depending on the context, we can do new investments or we can increase the distribution of payouts, proceeds. This is not a scenario that we are going to consider only in 2028 onwards. So payout, very few realize there is a doubt. We have done that throughout the years.

Speaker #1: Due to the end of the PIS Cofins tax and this will generate a freer cash flow for Itaú. These proceeds we will use them to replenish the cash flow that we are using to do these new investments in IAG and Alpargatas.

Speaker #1: And maybe another invested company. So we will continue. With the practice of redistributing the proceeds of Itaú and the Banco. Without any change. From 2028, 2029.

Speaker #1: Depending on the context. We can do new investments or we can increase the distribution of payouts proceeds. But this is not a scenario that we are going to consider from 2020.

Speaker #1: Only in 2028 onwards. So payout very few realize. There is a. Doubt. We've done that throughout the years. A lot of payments. In shares.

Priscila Greco: A lot of payments in shares with an attributed cost in such a way that it can be used to increase the cost to our shareholders. With the tax reform, there is a doubt if that payout is taxed or not by the tax authority. The entity such as Abrasca has done consultations to understand if these payouts are subject to taxation in the 10% alíquota, which was done this year regarding the proceeds that the companies pay. At this moment, we are more cautious. We are doing a clarification, waiting for the clarification if there is going to be taxation or not. We are not expecting any payment, any payout for the shareholders while that is not clear so we do not incur in a situation that generates more expenses, because bonification payout is not a cash flow.

Alfredo Setubal: A lot of payments in shares with an attributed cost in such a way that it can be used to increase the cost to our shareholders. With the tax reform, there is a doubt if that payout is taxed or not by the tax authority. The entity such as Abrasca has done consultations to understand if these payouts are subject to taxation in the 10% alíquota, which was done this year regarding the proceeds that the companies pay. At this moment, we are more cautious. We are doing a clarification, waiting for the clarification if there is going to be taxation or not. We are not expecting any payment, any payout for the shareholders while that is not clear so we do not incur in a situation that generates more expenses, because bonification payout is not a cash flow.

Speaker #1: With an attributed cost in such a way that it can be used to increase the cost to our shareholders. But with the tax reform there is a doubt.

Speaker #1: If that payout will if it taxed or not by the tax authority. The entities such as Abrasco has done consultations to understand if these payouts are subject to taxation in the 10%.

Speaker #1: Alaqua which was done this year. Regarding the proceeds that the company is paid. So at this moment we are more cautious we are doing a clarification waiting for the clarification if there is going to be taxation or not.

Speaker #1: And we are not expecting any payment. Any payout for the shareholders while that is not clear. So we don't incur in a situation that generates more expenses.

Speaker #1: Because bonification payout is not a cash flow; it's more of an accounting movement that generates patrimony. But the payout, while it's not clarified, we are not going to do anything.

Priscila Greco: It is more of an accounting movement that generates patrimony. But payout, while it is not clarified, we are not going to do anything. Repurchasing the shares we have discussed, about the changes in the dividends, nothing that affects us. Because when we receive dividends from our invested, we do not see the taxation and we have had the practice via JCP interest of our capital. Due to the fiscal optimization, we use the same mechanism. I think it is something that we have to evaluate. Of course, if there is a receivable of dividends at the bank, if we are going to use the same. Well, the big base of the shareholders, it is not in a context of the dividends that are received of 50,000 reais per month. So the base is still exempt. Here there is a question that demands clarification from Andre Bello on discount.

Alfredo Setubal: It is more of an accounting movement that generates patrimony. But payout, while it is not clarified, we are not going to do anything. Repurchasing the shares we have discussed, about the changes in the dividends, nothing that affects us. Because when we receive dividends from our invested, we do not see the taxation and we have had the practice via JCP interest of our capital. Due to the fiscal optimization, we use the same mechanism. I think it is something that we have to evaluate. Of course, if there is a receivable of dividends at the bank, if we are going to use the same. Well, the big base of the shareholders, it is not in a context of the dividends that are received of 50,000 reais per month. So the base is still exempt.

Speaker #1: Repurchasing the shares we've discussed. And about the changes in the dividends. Nothing that affects us. Because when we receive dividends from our invested we don't see the taxation.

Speaker #1: And we've had the practice via JC interest over capital. We do to the fiscal optimization we use the same mechanism. I think it's something that we have to evaluate.

Speaker #1: Of course if there is a receivable of dividends so the bank if we're going to use the same well the big base of the shareholders it's not in the context of the dividends that are received of 50,000 reais per month.

Speaker #1: So the base is still exempt. Here there is a question that demands clarification from André Bello. On discounts. So they're asking what is your perception in regards to the 19.5%.

Priscila Greco: Here there is a question that demands clarification from Andre Bello on discount. They are asking, what is your perception in regards to the 19.5%? They are asking if that reduction that we have seen was more due to the valuation of Itaú than the perception of the market due to the tax reform. I think it is the opposite because in the end, Itaúsa this year has valued more than the bank, so that is why we have a close discount. If we had a valuation of Itaú, then the discount would have increased. Itaúsa is valuing more because of that reading of the market that we have an interesting upside due to the end of the fiscal inefficiency.

Priscila Greco: They are asking, what is your perception in regards to the 19.5%? They are asking if that reduction that we have seen was more due to the valuation of Itaú than the perception of the market due to the tax reform. I think it is the opposite because in the end, Itaúsa this year has valued more than the bank, so that is why we have a close discount. If we had a valuation of Itaú, then the discount would have increased. Itaúsa is valuing more because of that reading of the market that we have an interesting upside due to the end of the fiscal inefficiency. 7 percentage points that we have seen in discount, very expressive, which has to do with the perspective, the end of the fiscal inefficiency and that potential of the creation of value of the shares for our shareholders. But the discount is to the average.

Speaker #1: And they're asking if that reduction that we've seen was more due to the valuation of Itaú than the perception of the market. Due to the tax reform.

Speaker #1: I think it's the opposite. Because in the end Itaú this year has valued more than the bank sold that we have closed discount. If we had a valuation of Itaú then the discount would have increased.

Speaker #1: Itaú is valuing more because of that. Reading of the market shows that we have an interesting upside, due to the end of the fiscal inefficiency.

Priscila Greco: 7 percentage points that we have seen in discount, very expressive, which has to do with the perspective, the end of the fiscal inefficiency and that potential of the creation of value of the shares for our shareholders. But the discount is to the average.

Speaker #1: 7 percentage points that we've seen in discount. Very expressive. Which has to do with the perspective. The end of the fiscal inefficiency. And that potential of the creation of value of the shares for our shareholders.

Speaker #1: But the discount is to the average. Yeah, it's a bit below average, but in fact, last year it increased, the discount, and we are reducing. On average, the discount is 20%.

Alfredo Setubal: Yeah, it is a bit below average, but in fact, last year it increased the discount and we are reducing. Well, the average discount is 20%, discount above what is reasonable, so it is more effective taking into account several aspects of expenses of taxes. It would be close to 15%, and we are going to the average, which is a good news. Here, Alfredo, there are questions of Dexco, which you commented a lot. Geraldo Campolino asking that Dexco has strong brands, but the company was not evolving, and what is our opinion on the subject? Well, in fact, the company had performance that was very, as I commented, an anticipation of the during the years of pandemic, the construction of that increased the usage of Dexco, and that led a company that did a life cycle of investments that was strong until 2025.

Priscila Greco: Yeah, it is a bit below average, but in fact, last year it increased the discount and we are reducing.

Alfredo Setubal: Well, the average discount is 20%, discount above what is reasonable, so it is more effective taking into account several aspects of expenses of taxes. It would be close to 15%, and we are going to the average, which is a good news.

Speaker #1: Discount above what is reasonable. So it's more effective. Taking into account several aspects of expenses of taxes. It would be close to 15%. And we are going to the average which is a good news.

Priscila Greco: Here, Alfredo, there are questions of Dexco, which you commented a lot. Geraldo Campolino asking that Dexco has strong brands, but the company was not evolving, and what is our opinion on the subject?

Speaker #1: Here, Alfredo, there are questions about Dexco, which you commented on a lot. Geraldo Campolino is asking: Dexco has strong brands, but the company wasn't evolving.

Speaker #1: And what is our opinion on the subject? Well, in fact, the company had performance that was very, as I commented, an anticipation of the performance during the years of the pandemic.

Alfredo Setubal: Well, in fact, the company had performance that was very, as I commented, an anticipation of the during the years of pandemic, the construction of that increased the usage of Dexco, and that led a company that did a life cycle of investments that was strong until 2025.

Speaker #1: The construction, so that increased the usage of Dexco. And that led the company that did life cycle of investments that was strong until 2025.

Priscila Greco: Those investments did not have the return that we expected when they were approved. That generated lower profitability that has more difficulty in payment. But as I told you, we are reducing the cash. We do not have any new investments. We can do the investments, normal ones for the replenishment of forest. So we got into a virtuous cycle, so to speak, for the company for the next months. A lot of questions about Aché. Carlos Rodriguez, Raimundo Freitas, and other. Well, if the payment in Aché can compromise the dividends of Itaúsa, what are the impacts of What is the measures? When do we understand that IESA should get at a balance point in terms of the return of the investment? The process of IPO of IESA, which is our vision of leverage in regards to IESA as well.

Alfredo Setubal: Those investments did not have the return that we expected when they were approved. That generated lower profitability that has more difficulty in payment. But as I told you, we are reducing the cash. We do not have any new investments. We can do the investments, normal ones for the replenishment of forest. So we got into a virtuous cycle, so to speak, for the company for the next months.

Speaker #1: Those investments didn't have the return that we expected when they were approved. That generated lower profitability. That has more difficulty in payment. But as I told you that is reducing the we are reducing the cash we don't have any new investments.

Speaker #1: We can do the investments, the normal ones, for the replenishment of force. So we got into a cycle—a virtuous cycle, so to speak—for the company for the next months.

Speaker #1: A lot of questions about Ichea. Carlos Rodriguez. Raymundo Freitas. And other well if the payment in Ichea can compromise the dividends of Itaú. What are the impacts of what is the measures when do we understand that Ichea should get at a balance point in terms of the return of the investment.

Priscila Greco: A lot of questions about Aché. Carlos Rodriguez, Raimundo Freitas, and other. Well, if the payment in Aché can compromise the dividends of Itaúsa, what are the impacts of What is the measures? When do we understand that IESA should get at a balance point in terms of the return of the investment? The process of IPO of IESA, which is our vision of leverage in regards to IESA as well.

Speaker #1: In the process of IPO of Ichea which is our vision of leverage in regards to Ichea as well. So I'm going to talk about the accounting aspects impacts in Itaú underrepresentation.

Priscila Greco: I am going to talk about the accounting aspects, impacts in Itaúsa on the representation. Due to all the accounting adjustments, we reported that to the market. They were impacts BRL 600 million that we accounted in the balance sheet, getting to the net assets. It did not have a reflection in the company. It was a reflection that was accounting to reflect the reduction of the net assets of the company. It is BRL 700 million, and we did the discount disclosure to the market when we had access to this information. The question on the impairment test due to the representation of the balance sheet. This asset in our balance is at a cost of cost. It is from acquisition cost. When we do the comparison of the books and the fair value of the company, the fair value is infinitely higher than the accounting value.

Speaker #1: Due to all the accounting adjustments. We reported that to the market. They were impacts 600 million that we accounted in the balance sheet. Getting to the net assets.

Speaker #1: It didn't have a reflection in the company. It was a reflection that was accounted for to reflect the reduction of the net assets of the company.

Speaker #1: So, it's $700 million, and we did the discount disclosure to the market when we had access to this information. So, the question on the impairment test is to present, due to the representation of the balance sheet, our—this asset in our balance is at a cost, at cost.

Speaker #1: It's from acquisition cost. When we do the comparison of the books and the fair value of the company. The fair value is infinitely higher than the accounting value.

Speaker #1: So it doesn't have any index of impairment of this investment. Getting your question. When do we want to get to the balance to the equilibrium point with this investment.

Priscila Greco: It does not have any index of impairment of this investment. Getting your question, when do we want to get to the equilibrium point with this investment? This is a level of return that is very expressive. It is at a moment of balance that is very high with the cost of capital of the company. If we disinvest the same value of the capitalization that we have done, we would have a return that would be very expressive and it would be very relevant with this investment. It is much higher than our cost of capital. It is important that we reinforce that the accounting readjustments that were done due to the changes of criteria because of the auditors did not affect the operation of the companies. From the operational standpoint, the company is solid.

Speaker #1: This is a level of return that is very expressive. So it is at a moment of balance that is very high with the cost of capital of the company.

Speaker #1: So if we do if we disinvest the same value of the capitalization that we've done. We would have a return that would be very expressive.

Speaker #1: And it would be very relevant with this investment. So it's much higher than our cost of capital. So it's important that we reinforce that the accounting readjustments that were done due to the changes of criteria because of the auditors did not affect the operation of the companies.

Alfredo Setubal: It is important that we reinforce that the accounting readjustments that were done due to the changes of criteria because of the auditors did not affect the operation of the companies. From the operational standpoint, the company is solid.

Speaker #1: From the operational standpoint the company is solid. We have a higher growth that it has due to the concessions that it has purchased over the last years.

Alfredo Setubal: We have a higher growth than it has due to the concessions that it has purchased over the last years. It gives us a revenue generation that is enormous. Of course, that is accompanied by the investment to connect the houses of utilities, but the growth of revenue that will be seen in the company is enormous. We see a cash generation that is relevant, that is more than enough, in our understanding, to face the necessary investments and the service to the debt that the company has of these concessions that were acquired. From the operational standpoint, the company is very solid. It is an investment that we are increasing the participation, and we see a potential for creation of value that is very relevant. The question is, can this compromise the dividends by Itaúsa? No. We are using our own cash flow.

Speaker #1: It gives us a revenue generation that is enormous. Of course, that is accompanied by the investment needed to connect the houses of utilities. But the growth of revenue that will be seen in the company is enormous.

Speaker #1: It's enormous. And we see a cash generation that is relevant. That is more than enough in our understanding. To face the necessary investments and the service to the debt that the company has of these concessions that were acquired.

Speaker #1: So from the operational standpoint the company is very solid. It's an investment that we are increasing the participation and we see a potential for creation of value that is very relevant.

Speaker #1: And the question is can this compromise the dividends by Itaú? No. We're using our own cash flow. We have a solid cash flow. And we are using our own resources and we even announced the interest of our capital that are declared and they are going to be received by Itaú Unibanco.

Priscila Greco: The question is, can this compromise the dividends by Itaúsa?

Alfredo Setubal: No. We are using our own cash flow.

Priscila Greco: We have a solid cash flow, and we are using our own resources, and we even announced the interest of our capital that are declared, and they are going to be received by Itaú Unibanco. They are going to be paid in August. It is the normal practice of paying the proceeds through the shareholders of Itaúsa. Alfredo, Marcelo from Bradesco BBI, and he submitted another question saying the following: The pipeline of investments in Itaúsa should be less in 2027 comparing to 2026. Once the companies are more positive in that sense, can we expect that Itaúsa will allocate less cash flows in investments and will pay more dividends? Depends. We are increasing participation, as I commented. We are studying new investments in the companies that take part in our portfolio, and if this occurs, we are going to use the cash flow of the company that still remains.

Alfredo Setubal: We have a solid cash flow, and we are using our own resources, and we even announced the interest of our capital that are declared, and they are going to be received by Itaú Unibanco. They are going to be paid in August. It is the normal practice of paying the proceeds through the shareholders of Itaúsa.

Speaker #1: They're going to be paid on August. It's the normal practice of paying the proceeds through the shareholders of Itaú. Alfredo Marcelo from Bradesco BBI and he submitted another question.

Priscila Greco: Alfredo, Marcelo from Bradesco BBI, and he submitted another question saying the following: The pipeline of investments in Itaúsa should be less in 2027 comparing to 2026. Once the companies are more positive in that sense, can we expect that Itaúsa will allocate less cash flows in investments and will pay more dividends?

Speaker #1: Saying the following. The pipeline of investments in Itaú should be less in 2027 comparing to 2026 once that the companies are more positive. In that sense can we expect that Itaú will allocate less cash flows in investments and will pay more dividends?

Alfredo Setubal: Depends. We are increasing participation, as I commented. We are studying new investments in the companies that take part in our portfolio, and if this occurs, we are going to use the cash flow of the company that still remains.

Speaker #1: It depends. We are increasing participation, as I commented. We are studying new investments in the companies that are part of our portfolio.

Speaker #1: And this is occurring if this occurs we're going to use the cash flow of the company that's still remains but the gain of fiscal inefficiency to replenish this.

Alfredo Setubal: But the gain of fiscal inefficiency to replenish this. So in 2027, I do not see that happening. We are going to see the dividends, the proceeds that Itaúsa pays being the proceeds that we receive from Itaú Unibanco. We do not see any perspective of change in this practice, but we will replenish the cash flow due to the investments done in the current companies of the portfolio. Another question from YouTube, Fernando Anderson, "We want to get into agro, and is there any prediction for this to happen?" Well, the appetite for investment in agriculture was higher. We see the sector that is challenged since last year, this year as well. The price of the commodities are dropping. Some companies renegotiating the debt. The agribusiness, even though it is the main one in the GDP, it represents 25% of the GDP, but we have had more exposure.

Speaker #1: So in 2027 I don't see that happening. We're going to see the dividends the proceeds that Itaú pays being the proceeds that we receive from Itaú Unibanco.

Speaker #1: We don't see any perspective of change in this practice. But we will replenish the cash flow due to the investments done in the current.

Speaker #1: Companies of the portfolio. Another question from YouTube. Fernando Anderson. And we want to get into agro and is there any prediction for this to happen?

Priscila Greco: Another question from YouTube, Fernando Anderson, "We want to get into agro, and is there any prediction for this to happen?

Speaker #1: Well, the appetite for investment in agriculture is higher—was higher. We see the sector has been challenged since last year, and this year as well.

Alfredo Setubal: Well, the appetite for investment in agriculture was higher. We see the sector that is challenged since last year, this year as well. The price of the commodities are dropping. Some companies renegotiating the debt. The agribusiness, even though it is the main one in the GDP, it represents 25% of the GDP, but we have had more exposure.

Speaker #1: The price of the commodities are dropping. Some companies renegotiating the debt. The agribusiness even though it's the main one in the GDP it represents 25% of the GDP but we've had more exposure we were more interested in getting to agribusiness in the past.

Priscila Greco: We were more interested in getting into agribusiness in the past. Of course, as the analyst has said, difficulties bring opportunities. Our M&A area is active, but our committee of investment has less appetite for agricultural businesses than it was in the past. NTS, "Is there any increase of participation in the company?" No. We are an investor that has 8.5%. The rest of the investment is in funds of infrastructure of Brookfield. There are several investors, sovereign, that are in this fund. So there is no possibility. The company does not need any. Well, they pay proceeds. So unfortunately, there is no possibility of increase of participation from this investment. That was a big investment that Itaúsa did. It was very profitable. We recovered much more than what we invested, and they are a payment of proceeds that is very important in our portfolio.

Alfredo Setubal: We were more interested in getting into agribusiness in the past. Of course, as the analyst has said, difficulties bring opportunities. Our M&A area is active, but our committee of investment has less appetite for agricultural businesses than it was in the past.

Speaker #1: Of course, as the analyst has said, difficulties bring opportunities. Our M&A area is active, but our investment committee has less appetite for agricultural businesses than it did in the past.

Priscila Greco: NTS, "Is there any increase of participation in the company?"

Speaker #1: And yes, is there any increase in participation in the company? No. We are an investor that has eight and a half percent. The rest of the investment is in infrastructure funds.

Alfredo Setubal: No. We are an investor that has 8.5%. The rest of the investment is in funds of infrastructure of Brookfield. There are several investors, sovereign, that are in this fund. So there is no possibility. The company does not need any. Well, they pay proceeds. So unfortunately, there is no possibility of increase of participation from this investment. That was a big investment that Itaúsa did. It was very profitable. We recovered much more than what we invested, and they are a payment of proceeds that is very important in our portfolio.

Speaker #1: Brookfield, there are several sovereign investors that are in this fund. So there is no possibility—the company doesn't need any, well, they pay proceeds—so unfortunately, there is no possibility of an increase of participation from this investment. That was a big investment that Itaú did.

Speaker #1: It was very profitable. We recovered much more than what we invested, and they are a payment of proceeds that is very important in our portfolio.

Speaker #1: Well, to close, technology with technology and the future. What is the future of holding, the holding, with AI? How do you see using this tool to generate value for the shareholders?

Priscila Greco: Well, to close with technology and future, Amare Vita has asked, "What is the future of holding with AI? How do you see using this tool to generate the value for the shareholders?" And Juliano Vieira asking, "What are the projections of future for 20 years?" Well, I see that technology and AI, which is one of the big things of this moment, and certainly without a doubt, because it generates a disrupture, it disrupts the way that the business is done. It is something extremely relevant, and of course, we have to look at that. From the standpoint of Itaúsa, we have used artificial intelligence in our models for the evaluation of the company's consolidation of reports using AI. So we have grown the use, the internal growth, and the gains of efficiency within the holding.

Speaker #1: And Juliano Vieira asking what are the projections of future for 20 years? Well I see that technology and AI which is one of the big things of this moment and certainly without a doubt because it generates a disruptor it disrupts the way that the business is done.

Alfredo Setubal: Well, I see that technology and AI, which is one of the big things of this moment, and certainly without a doubt, because it generates a disrupture, it disrupts the way that the business is done. It is something extremely relevant, and of course, we have to look at that. From the standpoint of Itaúsa, we have used artificial intelligence in our models for the evaluation of the company's consolidation of reports using AI. So we have grown the use, the internal growth, and the gains of efficiency within the holding.

Speaker #1: It's something extremely relevant and of course we cannot we have to look at that. From the standpoint of Itaú we've used artificial intelligence in our models for the evaluation of the company's consolidation of reports using AI so we've grown the use the internal growth and the gains of efficiency within the holding.

Speaker #1: But the big—the main relevant thing which is related to artificial intelligence will come from our invested companies. All of them are using artificial intelligence in their processes or controls, big gains of efficiency and gains of quality. It's impressive what the artificial intelligence that is almost at the inception will bring in terms of benefits for the companies, the society, in terms of improvement of quality of life, and all the aspects that are of the day-to-day will be impacted by artificial intelligence.

Priscila Greco: But the main relevant thing, which is related to artificial intelligence, will come from our invested companies. All of them are using artificial intelligence in their processes, their controls, big gains of efficiency and gains of quality. It is impressive what the artificial intelligence that is almost at the inception will bring in terms of benefits for the companies, the society, in terms of improvement of quality of life, and all the aspects that are of the day-to-day will be impacted by artificial intelligence. So we have gathered benefits, but the big company that is using artificial intelligence at big scale is Itaú Unibanco. Today, we have models of understanding of our clients for artificial intelligence and our call center, the model of the recommendation of investment to have a use of agents for our clients to interact.

Alfredo Setubal: But the main relevant thing, which is related to artificial intelligence, will come from our invested companies. All of them are using artificial intelligence in their processes, their controls, big gains of efficiency and gains of quality. It is impressive what the artificial intelligence that is almost at the inception will bring in terms of benefits for the companies, the society, in terms of improvement of quality of life, and all the aspects that are of the day-to-day will be impacted by artificial intelligence. So we have gathered benefits, but the big company that is using artificial intelligence at big scale is Itaú Unibanco. Today, we have models of understanding of our clients for artificial intelligence and our call center, the model of the recommendation of investment to have a use of agents for our clients to interact.

Speaker #1: So we've gathered benefits but the big company that is using artificial intelligence at big scale is Itaú Unibanco. Today we have models of understanding of our our clients for artificial intelligence and our call center the model of the the recommendation of investments have a use of agents for our clients to interact so more and more Itaú Unibanco becomes a technology company with a strong use of artificial intelligence technology in general to service our clients with big gains potential of of gains of efficiency of costs so Itaú Unibanco is the big company that should have the biggest benefit of the use of artificial intelligence as a tool for work and gains of efficiency.

Priscila Greco: More and more, Itaú Unibanco becomes a technology company with a strong use of artificial intelligence. Technology in general to service our clients with big gains, potential of gains of efficiency, of cost. Itaú Unibanco is the big company that should have the biggest benefit of the use of artificial intelligence as a tool for work and gains of efficiency. We are paying attention. I think that all companies I see that are taking part at the board, everybody has their own agenda regarding this theme, and I am certain that this will be a revolution in the companies and in our day-to-day for appointments, of medicine, of quality of life. I understand that this will be a revolution. Then we will go to the second stage. In 20 years, I don't know how the world will be.

Alfredo Setubal: More and more, Itaú Unibanco becomes a technology company with a strong use of artificial intelligence. Technology in general to service our clients with big gains, potential of gains of efficiency, of cost. Itaú Unibanco is the big company that should have the biggest benefit of the use of artificial intelligence as a tool for work and gains of efficiency. We are paying attention. I think that all companies I see that are taking part at the board, everybody has their own agenda regarding this theme, and I am certain that this will be a revolution in the companies and in our day-to-day for appointments, of medicine, of quality of life. I understand that this will be a revolution. Then we will go to the second stage. In 20 years, I don't know how the world will be.

Speaker #1: We are paying attention. I think that all companies I see, they're taking part of the board. Everybody has their own agenda regarding this theme.

Speaker #1: And I am certain that this will be a revolution in companies and in our day-to-day lives—for medical appointments, for quality of life. I understand that this will be a revolution.

Speaker #1: And then we will go to the second stage. In 20 years I don't know how the world will be it will be a world that will be very different from what we know and what we live nowadays.

Priscila Greco: It will be a world that will be very different from what we know and what we live nowadays. I think that technology will be ever more present in the lives of companies, in our day-to-day, and I see this in a very positive way, regardless of the fact that as any technology, it brings a risk of fraud, poor usage, but the benefits surpass the risks of the new technology. I am very optimistic in regards to this. But it's difficult to predict. If we look 5 years in the past, we didn't talk about this. Artificial intelligence was internal for the technology companies, and now we have artificial intelligence available in our cell phones. Changes are very quick. Certainly we will see technology gaining more space in our lives and our businesses.

Alfredo Setubal: It will be a world that will be very different from what we know and what we live nowadays. I think that technology will be ever more present in the lives of companies, in our day-to-day, and I see this in a very positive way, regardless of the fact that as any technology, it brings a risk of fraud, poor usage, but the benefits surpass the risks of the new technology. I am very optimistic in regards to this. But it's difficult to predict. If we look 5 years in the past, we didn't talk about this. Artificial intelligence was internal for the technology companies, and now we have artificial intelligence available in our cell phones. Changes are very quick. Certainly we will see technology gaining more space in our lives and our businesses.

Speaker #1: I think that technology will be ever more present in the lives of companies in our day to day, and I see this in a very positive way, regardless of the fact that, as any technology, it brings risks of fraud or poor usage. But the benefits, they surpass the risks of the new technology.

Speaker #1: So I am very optimistic in regards to this but it's difficult to predict if we look. Five years in the past we didn't talk about this artificial intelligence was internal for the technology companies and now we have artificial intelligence available in our cell phones.

Speaker #1: Changes are very quick, so certainly we will see technology gaining more space in our lives and our businesses. Considering that we have 50 years of history, we've gone through so many technological—yeah, the big capacities of Itaú, Grupo Itaú, is of adaptation.

Priscila Greco: Considering that we are 50 years of history, we've gone through so many technological. The big capacities of Itaú, Grupo Itaú, is of adaptation. We see this at Itaú Unibanco, that we've gone through several crises, changes, technological, and the capacity that we have of adapting to the new technologies and the new realities is enormous. Itaú Unibanco at this moment has shown this as being a reality that is present using the new technologies, the new tools, in benefiting the clients and benefiting the society that we will be providing high quality services. It's part of our DNA to know how to face the use of the new technologies. This I see with a lot of optimism in our companies, the capacity to use the tools and going through the crisis and new technologies. Alfredo, we serviced our audience.

Priscila Greco: Considering that we are 50 years of history, we've gone through so many technological.

Alfredo Setubal: The big capacities of Itaú, Grupo Itaú, is of adaptation. We see this at Itaú Unibanco, that we've gone through several crises, changes, technological, and the capacity that we have of adapting to the new technologies and the new realities is enormous. Itaú Unibanco at this moment has shown this as being a reality that is present using the new technologies, the new tools, in benefiting the clients and benefiting the society that we will be providing high quality services. It's part of our DNA to know how to face the use of the new technologies. This I see with a lot of optimism in our companies, the capacity to use the tools and going through the crisis and new technologies.

Speaker #1: We see this at Itaú Unibanco—that we've gone through several crises, changes, technological shifts—and the capacity that we have to adapt to new technologies and new realities is enormous.

Speaker #1: Itaú Unibanco, at this moment, has shown this as being a reality that is present—using the new technologies and new tools to benefit the clients and benefit the society. That way, we will be providing high quality services.

Speaker #1: So it's part of our DNA to know how to face the use of new technologies, and so this I see with a lot of optimism in our companies—the capacity to use the tools and go through the crisis and new technologies.

Priscila Greco: Alfredo, we serviced our audience but you have to look at the investors and through email. We want to know your opinion, and the QR code is here on the screen so we can have access to the satisfaction questionnaire. Remember that on 6 October, we have Panorama Itaú, which is an event that we do yearly to strengthen the relationship with our investors and having a unique opportunity to know more about the strategies and the perspectives of Itaú and its invested companies. Pay attention to our communications and don't lose our event. Thank you for another event. We've covered the main themes of the company, the portfolio. Thank you for sharing with this event.

Speaker #1: Alfredo we serviced our audience but should your well you have to look at the investors and through email so I wanted to we want to know your opinion and the QR code is here on the screen so we can have access to the satisfaction questionnaire.

Priscila Greco: But you have to look at the investors and through email. We want to know your opinion, and the QR code is here on the screen so we can have access to the satisfaction questionnaire. Remember that on 6 October, we have Panorama Itaú, which is an event that we do yearly to strengthen the relationship with our investors and having a unique opportunity to know more about the strategies and the perspectives of Itaú and its invested companies. Pay attention to our communications and don't lose our event. Thank you for another event. We've covered the main themes of the company, the portfolio. Thank you for sharing with this event. Congratulations, Priscila, on your presentation. I would like to thank our IR team, which provides all of our infrastructure so we can run this event live and we can clarify the doubts.

Speaker #1: Remember that on October 6th we have Panorama Itaú, which is an event that we hold yearly to strengthen the relationship with our investors and to provide a unique opportunity to learn more about the strategies and perspectives of Itaú and its invested companies.

Speaker #1: So pay attention to our communications and don't lose our event. Thank you for another event. We've covered the main themes of the company the portfolio thank you for sharing with this event.

Speaker #1: Congratulations, Priscila, on your presentation. I would like to thank our IR team, which provides all of our infrastructure so we can run this event live and clarify doubts. I think that we covered all of the themes and all the questions of the analysts and investors in your presentation, so I think it was a good event. I would like to reinforce the invitation for October 16 for the Panorama, where we're going to have the presence of the CEOs of our invested companies talking about the strategies and technologies, which will be a great event.

Alfredo Setubal: Congratulations, Priscila, on your presentation. I would like to thank our IR team, which provides all of our infrastructure so we can run this event live and we can clarify the doubts.

Alfredo Setubal: I think that we covered all of the themes and all the questions of the analysts, the investors, your presentation, so I think it was a good event. I would like to reinforce the invitation for 16 October, the Panorama, where we are going to have the presence of CEO of our invested companies talking about the strategies and technologies, which will be a great event. In closing with a positive side, the results of Itaú are solid, proceeds solid portfolio, ready to face the economic challenges, technological challenges of the future. Thank you for your participation. Till next time.

Speaker #1: In closing, on a positive note, the results of Itaú are solid. Proceeds are solid, and the portfolio is ready to face the economic and technological challenges of the future.

Priscila Greco: Thank you for your participation. Till next time.

Browse all earnings call transcripts

Q2 2026 Itausa SA Earnings Call

Request TrialDemo

Itausa

Earnings