Good morning, everyone. I'm Santiago Donato, Investor Relations Officer of IRSA, and I welcome you to the Fiscal Year '23 Results Conference Call. First of all, I would like to remind you that both audio and slide show may be accessed through company's Investor Relations website at www.irsa.com.ar by clicking on the banner webcast link. The following presentation and the earnings release are also available for download on the Company website. After management remarks, there will be a question-and-answer session for analysts and investors. [Operator Instructions] Before we begin, I would like to remind you that this call is being recorded and that information discussed today may include forward-looking statements regarding the company's financial and operating performance. All projections are subject to risks and uncertainties and actual results may differ materially. Please refer to the detailed note in the Company's earnings release regarding forward-looking statements. I will now turn the call over to Mr. Eduardo Elsztain, CEO, for his opening remarks.

Thank you very much, Santi. Welcome to our annual year 2023 results conference call. I am very glad to be closing another great year for IRSA, one of the historic one. The rental business had a great performance, mainly in shopping malls and hotels. They both increased sales. In terms of assets, we sold office assets at very good prices in terms of pesos and in dollars. We made progress to launch our most ambitious project, Costa Urbana, which is a project that we have in the portfolio for more than two decades and a half, and we achieved permits after long patience. We successfully concluded a debt refinancing process, which positions us favorably for a new phase of growth in the coming years. I would say that the level of reducing debt has been one of the most impressive in three years and half that we are running the company. In terms of revenues, we increased revenues and occupancy in the three rental segments, in the malls, in the office, and in the hotels. We have been also very active in the real estate transactions. We acquired assets. We acquired a building in an auction in Paseo Colon property for $7.8 million at the price, which is really liquidation price. And we have been selling more than $161 million, including nine floors of the tower of the building we did in Catalinas. And after the fiscal year finished, we sold the first building we bought in IRSA, Suipacha building to the University of CEMA and we sold 50% shares of Quality, which is owner of the warehouses in San Martin plot. As I mentioned before, we have been very active in the financial front as well. What we did is conclude all the refinancing debt process, including the exchange…

Thank you, Eduardo. Moving to the rental segment and [go forward] (ph) operations. We can see here the evolution of tenant sales in real terms for shopping centers, our main line of business. Remember that represents approximately 70% of our EBITDA. This grew 16% in the year in real terms. So, it's a great performance explained by more visitors, higher apparel inflation. Remember that apparel represents like 50% of our tenant mix and the strong recovery also of entertainment and food court sales. When we compare to the pre-pandemic levels, we are about 27% in real terms. So our business is very, very healthy, and we hope we can keep these levels of sales visitors and occupancy as well in our shopping malls portfolio. Here, we can see the evolution of occupancy. Remember that with all the pandemic and the exit of Walmart first and then Falabella from Argentina, our minimum occupancy in those times were approximately 89%. We have recovered a lot. And during the last year, particularly, we grew like 4 points occupancy in our malls. We have almost all the portfolio full and we expect to keep growing in the future. This is a very, very good level of occupancy, similar to the ones pre-pandemic and historical levels of the IRSA. On the office market, as Eduardo mentioned, we have been selling more during the year. We sold eight floors of the Santo Della Paolera building, our latest development here in Buenos Aires. And after the end of the quarter, we sold Suipacha and one additional floor of the Santo Della Paolera. So today, we have a total stock of around 72,000 square meters post those sales and consolidating a premium portfolio after the sale of Suipacha was a B class category. Now we have only one…

Thank you, Santiago. Good morning, everybody. Well, we -- regarding real estate acquisitions, we bought a building in an auction, it's a block and a half away from Casa Rosada, the national government headquarters. We bought it at a great price, less than $600 official dollars for each square meter. And it has a beautiful view to the park and to Puerto Madero. Actually, it's walking distance to Puerto Madero. This part of the city is changing. It's changing fast because there's a highway nearby and now that highway is an under -- an underground highway. There's even a construction -- two constructions actually of two premium residential developments nowadays in the area. If we review the investment in 200 Della Paolera, we have continued to sell 200 Della Paolera. We invested a total amount of $112 million. Our revenue from sales has been $259 million, evaluation of remaining stock of $88 million that comes up to be -- that's $235 million of profit, 210%. Of course, we're really proud of this -- of this investment. Regarding sales, we have sold the Maipu building. The Maipu building was vacant. And that was an opportunity for us to sell it in block. It wouldn't be easy to sell it one floor at a time. It's a beautiful building, but in a downtown location that hasn't recovered after COVID and may not recover for some time. Our first office building acquisition. You get a kind of emotional about it, but business is business. And it's going to turn out being the main building of one of the most important universities in Argentina. So, we're happy for all of us. We also sold our stake in Quality. It's, as Eduardo said, it's a big plot of land with warehouses. We're going to focus…

Thank you, Jorge. Good morning, everybody. So, if we jump to page 16, first I would like to mention what happened with the macro-economy in Argentina in order to understand our figures. You can see in the center of the graph that inflation accelerated from the previous year to reaching levels of 116% compared with 64%. On the FX side, on the official exchange rate, we have an evaluation of 100%. That means that in real terms, we have an appreciation of the pesos of 5% compared with 20% of the last year. That is important to understand what happened with prices of our investment properties when we value the investment properties in our books and also to restate our dollar-denominated debt in pesos. On the blue chip swap side, on the MEP FX evolution, there was an evaluation of 93%. That means 10% in real terms compared with 8% in the previous year. So, we're going to see later some FX related to that. About our adjusted EBITDA, we can see a decline of 40% from the previous year from ARS59 billion to ARS36 billion pesos. This is related to three different things. The first one is the sales and development segment, another segment that this year decreased from ARS25.1 billion to a loss of ARS6.5 billion. The last year, we sold more than this year, so the last year was an extraordinary year in terms of sales. Remember that we sold the entire Republica building and we posted an important gain related to that. Also, during this year, we have two one-shot effects. One is related to salaries and Board member fees. And the other is related to a claim that we received from our investment in Israel that we discussed in December. We decided to make a…

Okay. We start with the Q&A session. [Operator Instructions] So, well -- first question here comes from [indiscernible]. We ask you for the case -- in the case the country goes to a dollarization of the currency, if you think that is likely to occur. And how that could work in the country?

I would prefer to answer the question on the business side. I don't know if that will work for the country or not. I'll leave that for the politicians. For the Company, we will have to adjust the agreements. At the end of the day. Real estate in Argentina were always quote in dollars. People think in dollars, the transactions are in dollars and prices were always fixed in dollar terms. So, I don't see that as a major change. In terms of our revenues, both offices and hotels are agreements that are in dollars. At the end of the day, they pay the official exchange rate. So if we're in dollars, we will receive the dollars. And related to our main cash generation, that is most our agreements are in pesos today tied to inflation. It's a combination between a fixed amount and a percentage of tenant sales. So if there is a change in the currency, I assume that inflation probably won't be a major issue anymore. And so, our agreements should increase in terms of the tenant sales that will increase by the evolution of the economy. So, we don't anticipate a major disruption, if we have a change in the regime in the monetary regime. It's not clear yet what could happen and when it could happen. So it's not a major concern for us today.

Next question. Can you give a little bit more color on the extraordinary compensation for the Board this fiscal year?

Yes, this is a one-shot effect that is not related with just this fiscal year. Well, say that this was a three-year cycle where the Company were very active in many, many transactions. We sold more than $500 million dollars of assets. We simplified our corporate structure with the merge of IRSA and IRSA commercial properties, generating a huge synergy in terms of costs, payments, taxes, everything. There was also an extraordinary work related to the renegotiation and refinancing of our debt. We cancelled debt, generating a lot of value and at the same time, selling assets that help us to add a lot of value on those transactions. Also, there was extraordinary work in our own capital structure, acquiring shares and paying dividends for more than $150 million. So there was a cycle of three years. The increase in fees are related to that cycle. So, it's one short effect related to that.

Here, there is a question related to the rationale of -- well the split, it's not a split of shares and when that is expected to take place?

Well, the split is more a technical issue. I would say that it will take place in the coming days. We are waiting for the approval of the CMB, a final approval that probably will happen in the next days. At the end of the day, this won't have any impact for our shareholders. Will be a change in the way that our shares trade, but won't have an impact on -- an economy impact. We did this in order to be ready or to pay more dividends. There was a smart way to have a technical issue that we have on our own, on the dividend distribution and because of that, we are changing that way that our shares trade, but won't have any impact for our shareholders.

Here, there is a question. I think you answered [indiscernible] on the financing of the proposed -- on the funding of the proposed dividend. Just want to understand the performance figures in terms of leverage after the dividend.

Well, if we go directly, the dividend will be ARS64 billion. It's not clear yet, if we're going to pay in only one installment or in different installments. So, we will decide that between now or our shareholders meeting will decide that in the next month. So if we consider that the ARS64 billion in real dollars around $85 million, we have these proposals after the fiscal year for $24 million, $25 million. That means that we still have to resort to use other sources for $60 million. And the company today has more liquidity than that. So, we can use our own cash to pay the dividend, or we can use another sources, but we are defining that since now until the shareholders meeting.

What is your current assessment of NAV per share per GDS? Well, this figure will show it always expressed at the official FX. You're going to see it in our presentations as of fiscal year '23, this is $2.1 billion. It's around $25, $26 per GDS, but this is all at official. So you have the problem here with the gaps on the dollars, but it's a bigger just to have in an idea or in mind. I think the rest of the questions were answered in some way. If you have any additional questions, we give some minutes for additional questions. The Argentine macro situation. And looking forward to next year in 2024, how it will impact the business?

It's a little uncertain what could happen in Argentina. Next year, we have elections in the coming months. It seems that we will have a change in the regime. What we are happy to see the discussions behind the candidates and it seems that Argentina should enter in a new trend and a more normal situation where we have a lot of imbalances that should be corrected. We see probably a first trend to accommodate all relative prices that could impact on the economy and probably we will see a slowdown on the economy at the beginning because there are many, many things that should be corrected that will have an impact in consumption in some way. So we are analyzing that. Then the rest, I believe that the company is very well prepared in terms of our current capital structure to face all the changes that could happen in the economy. We don't know today what will be the currency. We don't know what will be the proposals. But I think having the company with the lowest level of leverage ever, I would say is a good way to face what could happen in the future. And also the company is very well prepared for future expansion. We haven't launched projects -- big projects in the last years, so we work more in our capital structure, but the company is ready to grow. We have plenty of projects to launch. So we hope to see a normal economy. If we have a normal economy, the cost of capital for the companies will be lower, and we can speed up the process of new development.

Some additional questions regarding the dividend level, if this is recurring or there is an element on the tax decision from the Supreme Court that is boosting this dividend level is the tax gain and one-off?

Well [indiscernible] I won't say that this kind of dividend is recurrent. I would say that if we analyze the history of IRSA Commercial Properties, every time that we can pay dividends we pay, but we don't want to say or to fix the dividend to a policy because of the volatility of Argentina. This year, when we analyze the next year CapEx plus the current debt, plus the current levels of liquidity, we feel comfortable to maximize the dividend to our shareholders. But in the future, the decision will be taken, analyzing all those drivers. Related to the tax decision, it's not related to the Supreme Court, nothing. So we have the results. We can pay, and it's not related to that order.

And another one from Alvaro from BTG. Why are you distributing repurchased shares and not canceling them?

Well, this is something, Alvaro, this is -- I don't think that this is technical. At the end of the day, the consequences of the two is the same. Now we can cancel or we can distribute, at the end of the day is the same. I think we used to distribute all what we acquire is something that we did it in the past, and we are repeating. But it's not -- I think it's more like something that we have been doing, that's something that one alternative is better than the other. So we prefer to do this.

The last one, regarding the net debt after the disposals and the dividends, at which level it will be the target related to the leverage of the company?

I would say that the current level of debt is lower than the optimal point. So after -- as I said, we have to pay a dividend that is around -- sorry, is around $85 million. We sold properties after the end of the quarter. for around $25 million. So let's say that from the number that you are seeing there, we will increase debt for around $60 million -- that is without accounting the cash generation or the rest of the cash generation that today, we are generating around $10 million per month.

Well, with this, I think we cover all the questions. We conclude the Q&A session and the presentation. We thank you very much for participating. And I will turn back now to Matias for his closing remarks.

Thank you, Santi. Thank you everybody for your participation and your support. We are very happy with all the performance in the last years. We believe that -- and we are very happy with the tremendous execution and everything that we did in terms of real estate on the financial side and on the operational side. So, we hope to see a normal economy going forward and see IRSA growing again in new projects. So thank you very much, and have a good day. Bye.