StoneCo Ltd. (NASDAQ:STNE) Q3 2022 Earnings Conference Call November 17, 2022 5:00 PM ET

Company Participants

Rafael Martins – Vice President-Finance and Investor Relations Officer

Thiago Piau – Chief Executive Officer

Lia Matos – Chief Strategy Officer

Conference Call Participants

Geoffrey Elliott – Autonomous

Josh Siegler – Cantor Fitzgerald

Sheriq Sumar – Evercore ISI

Tito Labarta – Goldman Sachs

Kaio Prato – UBS

Mario Pierry – Bank of America

James Friedman – Susquehanna

Soomit Datta – New Street Research

Pedro Leduc – Itaú BBA

Domingos Falavina – JPMorgan

Nicolas Riva – Bank of America

Operator

Good evening, ladies and gentlemen, and thank you for standing by. Welcome to the StoneCo Third Quarter 2022 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 materials can be found online at investors.stone.co. Throughout this conference call, the company will be presenting non-IFRS financial information, including adjusted net income and adjusted net cash. These are important financial measures for the company, but are not financial measures as defined by IFRS. Reconciliations 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 may 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, Vice President of Finance and Investor Relations Officer at StoneCo. Please proceed sir.

Rafael Martins

Thank you, operator, and good evening, everyone. Joining us today on the call, we have our CEO, Thiago Piau; and our Chief Strategy Officer, Lia Matos. Today, we will present our third quarter 2022 results, discuss some recent trends and provide an updated outlook for our business.

I will now pass it over to Thiago, so he can share some highlights of our performance. Thiago?

Thiago Piau

Thank you, Rafa, and good evening, everyone. This quarter, we had strong growth with market share gains, doubled our profit sequentially, accelerated our net addition of clients and generated strong liquidity with improving adjusted net cash. Our profitability recovery is also gaining momentum.