Ricardo Dutra: Geoff, regarding the PIX, we €“ the regular price for longtail is 1.89%. So, it’s 10 bps lower than debit that we offer for longtail. This kind of transaction could happen in online or it could happen in one of our devices that we just generate the QR code in the POS, and the consumer can pay with their mobile phones. To be honest, the base is very small. So, it is growing, but it’s a very small participation in the mix of the transactions in TPV. Regarding to PIX and debit, we know that PIX is similar to a debit card transaction because it goes straight to your balance. We don’t see that cannibalizing the clients that we have, maybe is cannibalizing part of the debit card transactions. But in Q4, for instance, we didn’t see this kind of movement because debit card transactions increased in our base.
So, people keep using debit cards. The usage is easy. It’s safe. People know how to use it. They know if they have our problem, they have chargebacks and so on. So, we don’t see that as a big transformational movement, although people are using PIX to replace wire transfers, replace cash, and replace bank slips, in e-commerce. Those are the main features that people are using for PIX. And also, important to say that, as you show in the presentation, PIX was a very important headwind for cash-in in PagBank. So, we also tailwind in PagBank. As you could see, the cash-in through PIX in PagBank was massive and grew like from BRL50 billion, BRL59 billion in 2021 to close to BRL150 billion in 2022. So, that’s the overall picture about PIX.
Operator: Our next question comes from Jeff Cantwell, Wells Fargo.
Jeff Cantwell: I wanted to ask you if you could give us some high-level thoughts on revenue? We could see your revenue and income of about 4 billion over the past couple of quarters. 2Q was about . And so just curious if you can sort of walk us through whether 4 billion can grow. Clearly, there’s a lot of moving parts to your model right now. So, we’re trying to think through active users on the PagBank side, active merchants on the PagSeguro side and take rate and so forth. So, I was hoping you might be able to give us a little bit of color on the framework of how you’re thinking about the plan going forward? Thanks very much.
Ricardo Dutra: Jeff, thanks. So, let me walk through the revenues and the best improvement that you have at this point. But we €“ of course, we had this small decrease in PagBank revenues because of the duration of the credit products that I mentioned before. So, we had this BRL10 million lower in Q4 versus Q3 in overall PagBank. We had a decrease about BRL50 million in acquiring in PagSeguro, mainly because of the increase of participation of debit and shorter duration for credit card with installments. So, those are the main drivers. So, that’s why we’re kind of flat quarter-over-quarter. In 2023, as we expect the volumes to grow, revenue should grow as well. And this component would be €“ PagBank we expect to grow because credit will keep growing, the secured products.
And in PagSeguro, we should expect €“ we should not expect take-rate to go up because the participation of SMBs in the mix will kind of pressure this net take-rate to go down. But overall, revenue should grow. Talking about Q1, usually in Q1, TPV presents a decrease versus Q4 because Q4 is the high with Christmas and Black Friday and so on. So €“ but we are seeing good trends in revenues in Q1 as well. So, overall, going back to your question, as we’re going to have an increase in volumes, even with the higher participation of SMBs in the mix, we should see increase in the total revenues of the company for 2023.
