Good afternoon, ladies and gentlemen. Welcome to the conference call of HBR Realty to discuss the earnings concerning Q2 2024. This conference call is being recorded, and the replay can be accessed at the company's website, www.ri.hbrrealty.com.br. The presentation will also be available for download. We inform that all the participants will be in the listen mode only during the presentation. Next, we will begin the Q&A session when further instructions will be supplied. Before proceeding, I would like to reinforce that declarations about the future are based on beliefs and assumptions of the management of HBR Realty and the information currently available. They may involve risks and uncertainties, bearing in mind that they refer to future events and depend on circumstances that may or may not occur.
Investors, analysts, and journalists should know that events related to the macroeconomic environment, the segment, and other factors may result in results that will be different from the declarations made. We have with us here Mr. Alexandre Nakano, CEO and COO of HBR Realty, Mr. Daniel Viterbo, CFO and Investor Relations Director, and Ms. Laís Severo, IR manager of the company. Now I would like to pass the floor to Mr. Alexandre Nakano, who will begin.
Thank you. Good afternoon. On behalf of HBR, I thank you all for participating. Today, we will talk about the results of Q2 2024. Going on to slide number three in the presentation, what did we have in terms of performance? We reached gross revenue of BRL 41 million, stable in relation to last year, and also net revenue almost at BRL 37 million, and EBITDA BRL 18.3 million.
We would like to say that within the net revenue, we had a good surprise, which was 7.5% rise in shopping centers, HBR Malls. Operational highlights. The great highlight is for the growth of ABL, 20%. So which were the ComVems? Vila Madalena, Limão, Caminhos da Lapa, and Joaquim Antunes in Pinheiros. Even with this growth of 20%, you will observe that the occupation went from 32%- 34%, which means that we were able to advance in new rentals, absorption of new stores, and also in the retention of store owners in this quarter. We signed 30 new contracts. Within malls, what I would like to highlight, the first year of activity of Shopping Patteo Urupema . Shopping Patteo Urupema.
It is performing according to the plan with a growth in the flow of people and cars and revenue as expected, and more and more being consolidated in the downtown area of Mogi das Cruzes. Suzano, I would like to highlight. They had a marketing project that was a success and received recognition in ABRASCE, an award in the ABRASCE award. Another highlight is the growth of 10% in total sales if compared to the same quarter 2023. Within opportunities, hotels gross revenue, BRL 4.3 million. This means a growth of 8%. This shows that both hotels in activity, especially Hilton plus Ibis, they are making progress in price and occupation. I would like to say that Ibis, with the reopening of Parque Anhembi, tends to have a performance that will be higher.
In +BOX, once again, we were able to have expansion in gross revenue, double digit, 13%, BRL 1.1 million in gross revenue. A performance we would like to highlight. In terms of strategy, we announced some time ago that we have Ibis Styles Anhembi, and due to a commercial agreement, the buyer gave up the project, and we reopened the process to sell this hotel in the market. I said shortly that with the reopening of Anhembi, the trend is to have a better performance in the last six months of the year and have a higher value. As you must have seen, Bradesco BBI is hired to sell HBR assets.
In the last calls, I have been saying that more than assets, we develop real estate, and part of this means to recycle, to make investments, but we like to measure the market, the temperature of the market, to see what is the best slot, when it is better to sell these projects. We understood, together with Bradesco's team, that we are in this sweet spot for sales. To see that this is true, many prospects signed their NDAs. Reminding you that with Bradesco helping us, we have Faria Lima, our triple A tower in Faria Lima, João Moura, HBR Corporate Pinheiros, that we rented for a single user, Hospital Israelita Albert Einstein, and also participations in Suzano and Mogi das Cruzes, Mogi Shopping. Reminding you that the sale of the minority share in Suzano, we continue to manage these.
Also together with Albor, we had a residential building with us in a ComVem below, and we decided to leave the project, and we sold this to Diálogo Engenharia. So this project for HBR Caçapava is no longer existent. Another highlight, we had a piece of land in Caçapava without any building, just a plot of land. One of our partners, ComVem Downtown HBR 10, was interested in developing something there because they are in the region. We made an agreement, we swapped. They kept the plot of land, and we took their skate in downtown. So we are there, 100% of HBR 10, and it was a good strategy because we had a cost in Caçapava, and now we have a percentage of revenue that ComVem Downtown brings to us.
Also recently, 10 days ago, we had the sustainability report, which shows the main activities and pillars of our ESG platform. Going on to slide five, I will give you more color about the ComVem. So the first graph on the left shows total sales and same-store sales. This makes me very happy. It shows that our thesis in ComVem is becoming more and more robust. This growth is ABL because I put store owners in these ABLs. Store owners began to understand better our ComVem business, and we had a double-digit growth. So there is a lot of growth. Rent, an increase of 5% in total and 3% in comparison with last year. The occupation, with an increase of ABL 20%, we went from 82%- 84% occupancy rate.
BRL 70 million in total sales in relation to last year, and the rent went up 5% and 3%. With these 20%, we got to 41,000 m of operation and occupancy rate 84%, and 14 stores opened, 29 contracts signed. Cacau Show, Kalunga, and other stores. Going on to the next slide, number six, let's talk about HBR Malls. The first graph, total sales shows asset. Mogi, 3% growth, Suzano, 11.5%, Olinda, 13%, and Urupema, 110%. Why? Because it was inaugurated last year, so we see the strong growth. Looking at same-store sales, the second graph, Mogi in line, Suzano, 2.8%, and Olinda, Urupema, we did not put since my basis was still unstable because we had just inaugurated, so it's not a good comparison for same-store sales. In total, 4.2% above total rents. Mogi, 5%, Suzano, 5%, Olinda, 4%, Urupema, 200%, 5.8% above in total.
Same-store rent, Mogi, 2%, Suzano, 4%, Olinda, 4%, totaling 3% in total. Next slide. Here, HBR Malls. The graph on the left shows occupancy. You can see that Suzano and Mogi continue with high occupation. Vacancy that we have, I would say, is a technical vacancy because we have Mogi, the expansion project. We sent the plans to the city hall. So we're designing the expansion because in Mogi, we have many store owners asking about opportunities, and we don't have ABL to absorb, so we're expanding the operation. Here, we see Urupema, first year, one or another store owner is not having a good performance, and we have to make some adjustments in the stores. The highlight in Q2 is the occupancy rate higher than the same one last year. Growth in total sales, 10%. First year, the first anniversary of Patteo Urupema and the ABRASCE Award.
The next slide, occupancy 100% since 2020. NOI growing 4.6% in comparison with 2023. The highlight within this platform, after a long negotiation with Hospital Israelita Albert Einstein, we rented 15,400 m of the building in João Moura, HBR Corporate Pinheiros, and we should deliver this in the last quarter of the year so they can begin, and they can move into the building. I'd like to highlight that we have a ComVem at the bottom of the tower. We are renting the stores, always taking a mix that is dedicated to a hospital, because the largest clients will be those using in the hospital. Here on the right, I see the deliveries, the five first, Pinheiros, the deliveries, the next three, Itaim, two, Cotovia, and Ascendino Reis between the end of 2026, beginning of 2027. We bought these from Cyrela.
Paulista, first semester of 2027, our tower on Minas Gerais with Paulista Street and Angelica. We began the construction 15 days ago. Pedroso Alvarenga, Itaim, this project, we had this approved. With the changes in the city hall's plans, now we can build more. So we began the first approval. Soon we will announce the beginning of construction. Also Chucri Zaidan. It is in hold to understand the local market, the corporate vacancy in the region. Looking at this, looking at the performance of the land around. So we're studying the project to make a decision in the future. The newest one, a piece of land we acquired close to our tower on Faria Lima with Chipre Street. This is, we know what we will do, a boutique corporate building, well-located. This is for 2028. Next slide, I will talk about opportunities.
Once again, I like to highlight the performance of hotels, especially Hilton. Hilton always growing. When we look at realized versus budget, it is already above the budget. At the end of the year, we should have good news. That is why we can have this good result. +BOX, the best quarter, 82% occupancy, and even having grown, the price went up. Gross revenue made an expressive rise due to occupancy.
Hotel W, we are almost getting to 100% Hotel W. I will call it great project. Civil works is already at 99%, so what we are doing now, all the hotel, 179 rooms are being furnished, restaurants, kitchen, back of the house. We are making progress, fast progress. We should inaugurate this hotel at the end of October, beginning of November for the year-end. All the operations, operational package is being implemented with the support from Marriott Hotels. Next slide.
I will talk about the next deliveries. Moema, we have one store empty. Store owners, they are already making the final furnishings. We will have sports nutrients, and we should inaugurate all these stores at the end of the year. So end of October, November, Chilena, 3A, Itaim Bibi, and Cotovia, end of 2025, beginning of 2026, Patio Club, 7,000 sq m. We have a Decathlon store there. The store owners are working on their stores. It should be inaugurated soon. ComVem João Moura, HBR Corporate Pinheiros. These two, we should deliver at the end of the year with the beginning of the hospital furnishings. Paulista, we began 15 days ago. Looking at the right analysis of the evolution of GLA, you can see that both ComVem and 3A, we have a strong development agenda.
Here you see on the left, they are smaller than the ones in the middle. In terms of development, I must explain, either it is in the design phase or in construction. Here we have a lot of focus on development and to have them in operation with good rentals. HBR Malls, no great change, 273,000 sq m. Below, delivery schedule in a condensed way of our deliveries. You can see that the largest agenda are after 2025, 2026. We have the delivery of many square meters of towers, SLAMS, and ComVem. Now I will pass the floor to Daniel Viterbo. He will talk about financial numbers.
Good afternoon. Let us go over this quickly. After the explanation given by Nakano, we have a summary showing the main financial indicators. On the next slide, management DRE, we had a stability in revenue compared to Q2 2023.
Savings of 4.2% in SG&A. This helped EBITDA in the second quarter of 2024. We have expenses that are well controlled. No projection of increase in expenses. We are monitoring, saving everything we can, making savings. This month, in this quarter, we had a financial expense that was a little higher due to the debt that went up a little between the first and second semester. This helped us while we are recycling assets, which will happen now in the second semester, and also for the funding. The results before net profit, a loss of BRL 19 million, an increase in relation to the same area, because financial expenses are higher and financial investments are lower. Revenue totaled BRL 36.6 million. So stability in relation to Q2 last year, but a growth versus Q1. Managerial NOI, BRL 28.8 million, and the margin, 79%.
When we look at the graph below, always in the managerial part, which represents our stake, we see in ComVem a drop, but this is due to one asset that we explained. In other, we gave a discount, and now we gave discounts to a store owner. Now we will have a new store owner. The part for malls grew. The rest, very similar to Q2 last year in opportunities and other revenues. When we look at managerial NOI, a small drop. This comes from ComVem, the discount that we mentioned has an effect on NOI. When we look at 3A Shopping Mall, we see that we are in line with what was done last year. This too is very stable. Other revenues, practically the same. The next. EBITDA of the company in this quarter, adjusted BRL 18.3 million. Very stable. When we compare with Q2 last year, very similar.
In spite of all the challenges we had with these assets, we have compensated in other assets, especially in ComVem, with better operational performance and shopping malls to recover the results. We have here adjusted EBITDA BRL 18.3 million. FFO went up in relation to last year. Financial expenses and cash position. Financial expenses, a little higher. Net result, net profit, already with the accounting effect, same explanation. In terms of CapEx, Nakano mentioned. We have in June, the company hired Bradesco BBI to lead asset negotiations on the 3A and malls to see the buyers. This shows it is our DNA today to develop, rent, manage, and have capital gains. The company is a capital goods company. In the second semester, we have many negotiations in progress, some advanced. We will inform the market as soon as we have something more concrete.
We will communicate this to all the investors and shareholders. Here, recent movements in the portfolio. Nakano mentioned the project, Conselheiro Carrão. We made the decision to not continue due to the risks and uncertainties, and we made a barter. We exchanged this for a participation in ComVem, which now is 100% ours. We can monetize the asset. The plot of land was sold, was exchanged. CapEx curve 2025, 2026, 2027, until 2030, BRL 855 million. The funding through recycling of assets. The company will recycle assets, will sell assets in Suzano and always recurring facts to have the future CapEx. CapEx is concentrated in 2025, 2026, large deliveries in Cyrela projects, and then it begins to drop. We will have more operational results by then to pay the company's debt. Next slide, debt, managerial indebtedness. The debt, BRL 1.2 billion at the end of Q2 2024.
We continue showing debt versus PPI, 34.8%. We believe it is comfortable. The company's debt has an extended profile with attractive pre and post-fixed rates. If you see the amortization schedule, you will see this result with the best rates. Gross debt is well distributed between ComVem, 3A and malls, and a small part here. This is what I had to say. I would like to pass the floor back to Nakano, and we will begin the Q&A session.
Thank you, Daniel. As you saw during the presentation, we have been doing, as we promised, our homework, bringing assets in development to operation, well rented, to have good bricks to put in the market as we are doing with BBI. The market is looking for good pieces of bricks to buy, and HBR has good projects to be sold.
Part of what I consider, which is initial success, Bradesco BBI is looking at finding buyers. I believe that clients, we have good locations and with good rentals. At the end of the day, this is what buyers, investors look for in the market. Now I'd like to pass the floor to the participants who have questions, and we can give you the clarifications.
We will begin now the Q&A session for investors and analysts. If you wish to ask a question, please write your question in the Q&A. Our first question comes from Mr. Matheus Meloni, Santander. Can you give us more color about the rental of 3A Pinheiros? Can you talk about the strategy for divestment for sale of assets by hiring BBI Bradesco?
Matheus, thank you. Part of it we already answered, but I will give you more color as you asked for.
Due to confidentiality, we cannot give you many. 15,500 sq m . One client, it will be a hospital. We should deliver the building at the end of the year. They will begin furnishings to inaugurate at the end of 2025, 2026. We believe that the value was good for us, good for Einstein, and aligned to the values in the region. This building is in the beginning. It is one of the first buildings delivered there. We know that there are many under construction. It was delivered and this is better. Talking about BBI, Bradesco BBI, the idea to hire BBI was the following. Instead of negotiating, we wanted to use the efficiency, the penetration power of BBI that belongs to a bank to understand what the right value for sale is, the right value for sale. We don't want to make mistakes.
We don't want more or less. We want to have the right value for sale. BBI is giving us support. When you hire through a company like BBI, we connect ourselves to many markets and thus we can see the ideal situations.
Our next question comes from Mr. Junior Massa, AZ Quest. Good afternoon. What is the percentage of sale in the minority sale in shopping malls?
We haven't closed. We haven't decided the percentage we want to sell. We're thinking of something between 20%-25% of the shopping mall, but more than the percentage, we will continue having the control, the management of the shopping mall. This is with BBI, Bradesco BBI. Whoever looks to buy this minority share, they know that we will continue managing.
Our next question comes from Mr. Johnny. How is the sale of assets? Do you have anything in an advanced state?
What resources are being sold? Ibis. I talked about Ibis. We had a buyer. They even began during the due diligence, but in the end, they gave up. We're selling Ibis again. Maybe it's even good because we believe that Ibis will have a better performance until the end of the year and will be worth more in relation to other assets. Bradesco BBI is taking care of this and Hilton Hotel, we are in final conversations to begin due diligence, an acquirer who is very interested in the hotel. As soon as we have more details, we will tell the market.
Our next question comes from Mr. Renato Kraus, investor. Good afternoon. Congratulations. Does the company intend to have a higher return rate in the new projects? In the last years, many other companies sold assets, some of them to buy back shares.
Good afternoon, Renato.
Thank you for the question. Yes, we are looking for a higher return rate. Today, we have share prices that are low in relation to the value. This is the best strategy. We are doing this process that Mr. Nakano mentioned with Bradesco BBI to extract more value for our assets, and certainly, this will result in a higher price for the shares. These assets, we will see. The assets we will sell, they will help to deleverage the company. We will pay the debts and study other possibilities, dividends and so forth. This is in the radar. As soon as we have more information, we will communicate, and this should happen in the next few months.
The Q&A session is concluded. We would like to pass the floor to the CEO of the company, Mr. Alexandre Nakano, for his final comments.
Well, you saw that we are really working as we had planned with our long-term strategy. ComVem is a long-term maturity investment. We have more ComVems to begin operations, so there is an effort. I repeat, we need to have a good development, to have a good product, and to rent it well, and naturally, this happens at the delivery, and these deliveries will happen until 2028, 2029, 2030. The corporate towers, same thing. When they are delivered, we will have more ABL. Thus, we believe strongly that our work is to work with excellence from acquisition of the land, the design, project, construction, rental, operation, and so we can continue this loop. The message I have is to thank you for the trust, to thank the shareholders and controllers, and all the employees of HBR.
Thank you very much for your attention, and we wish you a good afternoon, a good week.
Our conference is concluded. We thank you all for participating. We wish you a good afternoon.