StoneCo Ltd (NASDAQ:STNE) Q1 2020 Earnings Conference Call - Final Transcript
May 26, 2020 • 05:00 pm ET
Good afternoon, ladies and gentlemen. Thank you for standing by. Welcome to the StoneCo First Quarter 2020 Earnings Conference Call. By now, everyone should have access to our earnings release. The Company also posted a presentation to go along with its call. All material can be found at www.stone.co on the Investor Relations section.
Throughout this conference call, the Company will be presenting non-IFRS financial information including adjusted net income and adjusted free cash flow. These are important financial measures for the Company, but are not financial measures as defined by IFRS. Reconciliation of the Company's non-IFRS financial information to the IFRS financial information appear in today's press release.
Finally, before we begin our formal remarks, I would like to remind everyone that today's discussion might include forward-looking statements. These forward-looking statements are not guarantees of future performance and therefore you should not put undue reliance on them. These statements are subject to numerous risks and uncertainties that could cause actual results to differ materially from the Company's expectations.
Please refer to the forward-looking statements disclosure in the Company's earnings press release. In addition, many of the risks regarding the business are disclosed in the Company's Form 20-F filed with the Securities and Exchange Commission, which is available at www.sec.gov.
I would now like to turn the conference over to your host, Rafael Martins, Investor Relations Executive Officer at Stone. Please proceed.
Rafael Martins Pereira
Good evening, everyone. Thank you for participating on the call, and hope all of you are safe. We have today in our call Thiago Piau, our CEO; Lia Matos, Chief Strategy Officer; and Marcelo Baldin, CFO. On this call, we will present our operational and financial results for the first quarter 2020 as well an update regarding operating metrics of our business in the beginning of the second quarter.
I'll pass it over to Thiago, so he can share with you the main highlights of our performance. Thiago?
Thiago Dos Santos Piau
Thank you, Rafael, and good evening everyone. Thank you for joining us today. As we are facing unprecedented times with the outbreak of COVID-19 globally, I hope that all of you and your loved ones are safe and healthy. Before we start, I would like to highlight that we continue to be extremely confident in our business as it remains financially very strong and continues to grow double-digit year-over-year with healthy profitability.
We believe the tactical and strategic steps we've taken put us in the right directions to generate long-term value. In mid-March when the severity of the COVID-19 crisis became clear, we took quick actions to protect the health and safety of our team and clients to help SMBs navigate this crisis and continue conducting their business by providing financial reliefs and additional tools to help them sell online, to contribute to our community by funding public health initiatives, and developing tools to support local businesses and to keep our business financially strong, improving operational efficiency and allocating capital wisely.
Despite some short-term impact in our P&L, we believe we