Jeff Cantwell: Hey, thank you very much. Just wanted to follow-up on — a little bit on that last round of questions. And I was hoping we could focus on slide seven of the presentation. If we look at the active merchant base over the past three quarters, it’s gone BRL7.7 million, BRL7.5 million and then BRL7.3 million. So I guess the question is, and clearly, this is in the context of what you’re discussing, which is you’re focusing on the quality of merchants, which is completely understandable. So I was just hoping you could help us out anything through where that merchant base potentially might go over time. I mean, in other words, just that like very intentionally, kind of, like barbell-type of gas it won’t decline perpetually with it, meaning at some point, the thinking would be that merchant base would level out.
So — and then you start to increase again. So I was hoping you might be able to provide a setting type of color in order to help us calibrate some expectations for 2023 and beyond? Thank you very much.
Ricardo Dutra: Jeff, I’ll try to answer your questions with the data that you have so far, and we’ve been seeing in this — in the company in the past quarters and what we planned for the near future. But we said a few quarters ago, that was the conscious decision not to focus nano-merchants at this point because with the services that we offer for the POS and so on, it was very hard to get profits from this kind of merchant. So we took this conscious decision to get merchants a little bit higher than nano-merchant to get the year one, the long-tail merchants. And it is working because the TPV per cohort in the slide seven is growing 36% in the fourth month after the merchant came to — come to us. So that’s one why we took the decision not to keep investing in the number of merchants and focus more on the quality, as you said.
Also important to say, when you look at the 90-days, although we don’t give this disclosure, the base is growing on 90-days base. It’s not decreasing. And when you look at the merchants that we’ve been losing, let’s say, the 7.5% to 7.3%, it’s a very, very small amount of TPV that you have. As you can see, industry grew 20%, we grew 35%, even losing some clients. So it’s really conscious decision that we took to grow our base — or not to grow our base, to focus on bringing gross adds or new adds with higher TPV per month. And then we may be losing some small nanomerchants. I don’t have here the answer to say to you when it’s going to be growing again. But I would say that as we measure these active merchants in a 12-month base, I guess part of the churn is already happening.
So maybe in 2023 in the first quarter 2023 we can give you more color about that. So — or when it’s going to be the churn decreasing, because the gross adds we are having a decent number of gross adds with decent TPV promotion. But the number that is — the dynamic that is impacting these numbers because we are having churn for small than immersions that we had in the base already. But again, very small PV from these merchants.
