Fleury S.A. (FLRY3) Earnings Call Transcript & Summary

[Presentation] A good day to all of you. I am Fernando Leão. And on behalf of the Fleury Group, I would like to thank all of you for your presence in Fleury Investor Day. This year, because of the pandemic, the event will be virtual. And despite all of the difficulties imposed by the pandemic, the Fleury Group doubled its number of investors. We have more than 215,000 investors. During the next hour, the main leaders of the company will share with analysts and investors our greatest achievements this year and our strategy for the sustainable growth of the company going forward. After the presentations, we will have a Q&A session. I would like to reinforce that to guarantee the safety of everybody involved in this event, we're stringently following all of the necessary health protocols. We wish you a good event. And I would like to give the floor to the Chairman of the Board of Fleury, Mr. Mendes.

A good day to you. At the meeting today, we're going to share our vision about the future of the Fleury Group and our ambition of becoming more protagonistic in the health sector in Brazil. One of the fronts that we're going to focus on is our ESG commitment that approaches the best environmental, social and governance practices. This is a commitment that was recognized recently when the Fleury Group became part of the Dow Jones Sustainability Index. The list includes 100 companies, 9 are Brazilian. And another reason of pride is that the Fleury Group is the only company in the health sector in the Americas. Conscious capitalism is a path without return. It is the only one that can guarantee the longevity of companies. The Fleury Group began to follow a sustainable path 20 years ago, and the advance of the stakeholders' capitalism is excellent news. We believe that this way of doing business is the only way of reinforcing relationships of trust, relationships that we have with customers, associates, physicians, investors and community. We lead the digital transformation in the health sector, and we're also going to lead the ESG transformation. For that, our planning for 2021 has set forth that we will have strategic planning involved in all of the areas of the company. In practice, this means that our ESG plan has taken on such a magnitude that it has become a priority for top management and for the Board. We are convinced that this is the right path. And beginning in 2021, we will be one of the rare Brazilian companies that will link the ESG goals with remuneration. And everything will be followed up closely by a strategic committee that will be set up at the beginning of 2021 and will report to the Board. This is another significant stride in our organization. As part of the green commitment, in 2021, we have a project for the use of solar energy for the 117 units in São Paulo and Rio de Janeiro. We will have 2 plants, 2 wind farms that will be plugged to the electrical networks of concessionaires. And the energy that we will generate will become credit that will be discounted from the energy bills. This is something that will have a positive impact on everybody using clean energy, avoiding 7 million tons of CO2 a year, which represents 7,000 trees. While we simultaneously reduce our cost with consumption, the forecast is that the 2 wind plants will enter into operation in the second semester of 2021. This is one of the most ambitious plans we have, but this is not a concern we began to have now. In 2012, we began to create plans to reduce water/paper consumption and to reduce the production of residues. This is critical for a health company that has to be careful with its chemical infecting residues with a great deal of responsibility. See how we have reduced the consumption per test between 2016 and 2019. The use of water dropped 12.5%; the use of paper, 24%; and the generation of residues fell 39%. In the last decade, we had also begun to measure our gas emissions that cause greenhouse gases, and strides have been consistent. In 2019, emissions were reduced by 40% vis-à-vis the previous year. Our social impact was accelerated during the pandemic with several activities to fight against the disease. This will be presented by Dr. Celso Granato. For us, the ESG strategy cannot be put in place unless it is a priority for all of society. In terms of governance, we have been acknowledged as a benchmark several times, and we have had significant strides preparing us for new growth leaps. Our executives will speak more about this. We are a centennial company created by physicians. We always think in the long term, and excellence in health is a priority. Our ESG strategy means to reinforce our beliefs and values and to connect to the needs and aspirations of present-day society. Thank you very much.

I don't know if you remember the first time you used an Uber or asked for food in iFood or the first time that you carried out an online purchase. Can you remember that feeling of that world of expeditiousness and convenience at your door? But that didn't make you sell your car or stop going to the restaurant or your favorite store. The physical experience is different but also positive in each of these spaces. And this is the same feeling that hundreds of millions of Brazilians had recently in the health sector. How many of you carried out a telemedical consultation for the first time or know somebody who did that? Telemedicine was not a word that was in the vocabulary of Brazilians. Because of the pandemic, this has been incorporated into the day-to-day and has become synonymous with health. The American Academy of Neurology states that physicians consider the use of telemedicine satisfactory in 93% of the cases. And this is an important component for the follow-up on consultations. 86% of the patients said that they were interested in using this attention model for their care in the future. Now the arrival of technology in an intense way was one of the most visible changes in the way we care for our health but not the only one. These changes are not temporary. They are here to stay. The first of them relates to the issue of telemedicine. And the consumption of health has become remote. As happens in other health -- sectors of the economy where we live with hybrid worlds: the face-to-face and the hybrid one, access to health will no longer take place in the traditional brick-and-mortar facilities. Multichannel will become ever more important. Telemedicine and home service are 2 modalities where we had exponential growth this year precisely because of this change in mindset. This hybrid model is also a powerful leverage for the growth of our platform that we launched in the second segment. This platform sets forth our pioneerism. We have a health model that already began with 7 million lives, and we have the ambition of being the largest and the best marketplace in Brazil. This is a big mission because we know that we have the legitimacy for this. We have been a platform since 1926, much before this term was a buzzword. We are a platform of physicians, diagnostic solutions, patient care units, diagnostic for hospitals and ever more a health platform. We are relational, not transactional. We touch upon our customers and patients for 94 years. We inspire their confidence in our brands and in our people. Our mission is to execute a platform based on service and data, organizing the demands of the health sector and connecting the journey of the patients throughout their life and integrating data with each participation of the patient and those who render health services. To deal with data enables us to generate insights and to take care to those who need it when they need it and in the amount they need it is a leverage of transformation to improve the health of people in a scalable fashion. Now let us go on to the second significant change in behavior that the pandemic has caused and that will become more intensive in the future. Until recently, most of the consumers and patients dealt with their health in a very reactive fashion, caring for diseases as they appeared going forward. Nevertheless, based on the convenience of the access made feasible by technological solutions, individuals and health professionals will look for health in a more proactive fashion. The pandemic led us to questioning ourselves of how we should maintain healthy and safe. This is a priority. In the future, when we look back to 2020, we will see that the pandemic was a changing point. Without a doubt, we will recall all of the difficulties caused by the pandemic. But we will also acknowledge that we think more and better about our health and the people that surround us. In this new vision, opportunities are multiplied. 99% of health needs will be serviced in a hybrid way through a low-complexity ecosystem of care, outpatient care, care offered at home. And hospitals will continue to keep their role for serious diseases and complex surgeries. But new forms of interacting with patients caring for their health in an integrated, preventive and hybrid way will gain ever more space. In China, for example, there are 500 different organizations with a focus on this construction of creating an environment based on technology to follow up and treat their patients at homes and in lower-complexity sites. Faced by this new scenario, our only choice is to open up new growth avenues in different channels and areas. We are going to act in anything that refers to health and well-being. And we want to be available for our customers and patients to be that door of entry into the health system. That is why we think of the community, of their challenges, we think big. And beyond that, we think in markets that still do not exist that are being and still will be created. This is the role of a leading company in such a special segment of our society: to look for a solution that will be of benefit to all for collective health and that will bring sustainability into the system. As the leader of the group, I would like to thank our 10,000 employees and 3,000 physicians who are caring for the health of millions of Brazilians during the pandemic. These professionals are fundamental for the quest and execution of these new growth opportunities for the company. And they are the true protagonists of this new health model that we are building for the future. Thank you very much.

After a very promising beginning of the year and an expressive growth in our business, we were forced to reinvent our operations to securely help everybody who could not wait for their diagnostic results. Social isolation led to a retraction in demand for our services. But at this point in time, we face a strong recovery. The third quarter sets forth the historic growth for the company, at the same time in which we guaranteed record financial results, thanks to our diligency in costs at the moment where we have to preserve our cash. We continue to gain in productivity in the operations through the digitizing of processes and new service models. And this intense growth will continue during the fourth quarter where we continue moving forward in mobile attention. For example, it is during this period that we accelerated our strategy for the health platform. The financial soundness of the company with relevant liquidity and a robust cash generation have enabled us to continue to speed up the investments pegged to our strategy. We are diversifying our service portfolio, opening new growth avenues, all of this without losing focus on generation of value in our core business and diagnostic. These are complementary investment journeys, ensuring that we will generate value through scale and synergy. In this growth in new chains, in the health system, we will have growth from internal movements and acquisitions, acquisitions that will continue to take place in our core business, especially with our entry into new and relevant cities. We are prepared for a strong growth journey in all of the strategic fronts, with low leverage, with a robust cash and access to the capital markets whenever necessary. We continue with strong and accelerated execution of our growth plans. Thank you very much.

In its almost 100 years of history, Grupo Fleury has dealt with different epidemics. The most recent one, for example, we had the swine fever in 2009, chikungunya in 2013 and zika virus in 2015. But none of them got closer to the size of the challenge that was imposed to us by COVID-19. All our technical skills, our medical expertise and our capacity to act with precision and speed were put to test. We quickly became a leading agent in the fight of the disease. We developed in record time the molecular testing for diagnosis. And as always, our concern was to provide society as quickly as possible with reliable tests. The genetic sequencing of the virus was published in January this year. And before that, nothing could be done. But 3 weeks later, we started to receive imported supplies required for producing the tests. And in mid-February, our tests started to be performed. Colleagues from all the different areas, all areas participated in a cohesive and integrated way so that all of these activities could take place in a smooth and efficient way. So what would be the use of having the best diagnostic testing in the world if our logistic and sales team couldn't bring us the supplies we needed? What would be the use in having the tests available here if our business areas and customer service areas wouldn't put them -- make them available to our customers? And what will be the use in having the best results if our infectious disease specialists didn't have the time to meet all the demand for consulting that these tests were creating? Our ability to execute all the different areas of the group was critical in all the initiatives that we put in place to fight the virus. A little while later, our mass spectrometry group developed an unprecedented test in the world, which detects the proteins of the virus, allowing us to diagnose in samples collected 5 days before their arrival to the lab. In a continent-sized country like Brazil and with the high temperatures that we have in certain regions of the country, this test made it viable for people in remote areas to access diagnosis of the disease. Due to its pioneer work, this work developed in Fleury was reported in a paper published in the Nature Communications magazine, one of the most renowned medical research journals in the world. It's worth mentioning that this is the second paper about the coronavirus published in international renowned journals based on the knowledge of Grupo Fleury. Right after identification of the first cases of the disease in Brazil, we collaborated with researchers from the University of São Paulo to describe the spread of the pandemic in the country, generating a paper that was published on the Science Magazine. Our reputation as a health care reference was also one of the main assets for Grupo Fleury to exert a social role during the pandemic. Since the start of the pandemic, we have been bringing high-quality information to the society. I myself gave more than 250 interviews for the media in the country and international media, trying to answer questions about the disease. Also, we got engaged in the SoroEpi MSP project, which aims to identify the proportion of the population which already have antibodies against the new coronavirus in the capital of the state of São Paulo. This program is a partnership between scientists and renowned physicians with support of Fleury, IBOPE Inteligência, Instituto Semeia and Todos pela Saúde. I can't say enough that in my 30 years at Fleury, I have never seen so much dedication. And our standards have always been very high, that the result of this epic effort makes us really proud. I can say that due to our medical expertise, we have been able to bring health to the general population and help companies resume their activities with safety. I hope we never have to go through anything like this again either in our professional life or our personal life. And I am 100% sure that as a group, we're coming out of this pandemic much better than we entered it. We have reinforced our values, and we took some very important steps in our near obsession in putting customers in the center of our activities. So I just told you about the main actions that we took to fight COVID-19. And now Dr. Edgar Gil Rizzatti, our Technical Medical Executive Director, is going to talk about medical advancements that go beyond the pandemic and will be the driver for our growth in the future. Thank you.

Good morning. Our focus on precision medicine increased our potential to develop new testing this year. One of the advancements was related with liquid biopsy, which is the detection of tumor genetic changes in small tumor DNA fragments present in the circulation, which can be detected in a simple blood sample. Throughout 2020, we saw significant growth in the use of these tests for patients with lung cancer, a situation in which liquid biopsy can direct personalized treatment. The indication for this test by oncologists led us to expand the portfolio of liquid biopsy tests to other tumors like melanoma, colorectal cancer and thyroid cancer. In the next year, we will also expand to prostate cancer and many other types of cancer. This year, we also expanded our portfolio of tumor genomic panels, which are more conventional exams that are performed on the tumor sample itself obtained through biopsy. These tests help physicians direct molecular targeted therapies and are used in different types of cancers, such as breast cancer, prostate cancer and others. We also developed the detection of gene fusions, an important alteration found in some tumors and a sophistication which increased the demand for one of our main tests in this field, the Oncofocos. In this permanent search for offering high-tech, state-of-the-art medicine services, we invested more than BRL 8 million in new equipment for genomic testing this year, such as the acquisition of a latest-generation DNA sequencing machine, automation robots and bioinformatic systems. More than 100 different types of tests were impacted by these improvements, which brought shorter turnaround times, better automation and a 38% reduction in unit costs. 20 new tests were also launched this year. And a good example is the genetic screening for newborns. And we are able to release results in -- within 15 years, which is the shortest turnaround time in the market. In order to support this great growth that we have been recording, Grupo Fleury has a very important ongoing project, and we are very excited about the future results of this project. And I'm very happy to announce this project to you now. We're changing locations. We are moving to a new head office, which is already being built. And the move should take place in 2022. Located in the capital of the state of São Paulo, the main objectives of this new building is to better integrate the different departments of the company and considerably increase our test processing capacity, which will go to 500,000 exams per day against the current 150,000. So yes, we're going to more than triple our processing capacity. Seven of the 12 floors of this building will be exclusively occupied by our clinical labs and precision medicine labs. Here, we have an example of the first floor where we'll have the automated areas of the lab. We'll move from the 4,600 square meters of useful area that we have today to a space of 8,000 square meters at first, which will be expandable to 15,000 square meters for future expansions because all floors are prepared with the technical infrastructure to support the installation of new technologies. We have as our guide to keep our operations patient-centered and focused on the same pillars that have been the tradition of the Grupo Fleury in the past 94 years since its foundation: our people, medical and technical quality and excellence, innovation and efficiency in the use of resources. In this new head office, we will be prepared to take a productivity leap and at the same time preserve the values and principles that have brought us so far.

Good morning. Medical secrecy and privacy are part of Grupo Fleury's history. We started to take care of health information of our patient nearly 1 century ago. And over time, we developed a culture and very well-consolidated processes regarding data privacy, ensuring privacy, secrecy and control of data in the benefit of everyone with whom we interact. Fleury was pioneer in information security in diagnostic medicine. In '94, we implemented a barcode system to securely identify exams. 4 years later, we innovated again and became the first laboratory in the world to provide results on the Internet. So we have been taking -- rigorously taking care of the privacy of our patients for a long time. And we faced a new data protection law as one more opportunity to keep advancing in this sense. It's important to remind that LGPD, the new data privacy law, is not just about information security. It also expands users' rights in the management of their data and regulates the way companies conduct data treatment. In practical terms, the process to adapt our internal processes for the LGPD relied on lawyers and consulting firms to map the life cycle of personal data in Grupo Fleury. This work resulted in a report with 165 processes mapped and the creation of 11 action plans, which are now being implemented. The improvements include, for example, the implementation of a system for data management, privacy risk assessment and the design of internal controls to treat data securely from the start of the development of new products or businesses. Our new businesses, such as Saúde iD, were created already in compliance with the new legislation enrolled. So we also created the flows to meet the needs of our customers, suppliers and employees, which are available in the company's communication channels. We also created the DPO position, the Data Protection Officer, occupied by a professional that represents the company on this behalf. Another very relevant topic for our company this year was the evolution of our compliance program. It became our integrity program now, fostering ethical culture through trust with our employees, suppliers, physicians and patients. Our Code of Conduct is now called Code of Trust. And the change goes beyond the name. It's directly connected to a new way of working with more flexibility and a more transparent communication. The autonomy of this new model comes with greater responsibility by our employees, managers and physicians and particularly for those who are now working remotely accompanied by their family members. The risk policy and the way we conduct compliance decisions were also updated. The company's leadership now has an even greater commitment to transparency and more incentives for the ethical conduct of its teams. In the Grupo Fleury, we believe that trust relationships are important assets. And our integrity program is here to strengthen these relations, fostering a positive, fair, ethical, moral and transparent work, not just for ESG practices but for the essence of the company itself. Thank you.

Good morning. As the leader in support and operations, I must start this conversation by talking about the pandemic. The challenges brought by the pandemic showed the resilience, the commitment and the capacity to innovate of our entire team. We immediately put nearly 100% of our corporate departments in remote work. Just to give you an idea of the impact, we expanded in 15x the use of remote collaboration tools in the group. We also reinvented how our customer service central works, reinforcing remote service, particularly through WhatsApp, and creating the conditions for our call center operators to work remotely. And we did all that while reaching record numbers of contacts when we exceeded in 25% the peak number of calls that we had before the pandemic. We also had -- we also created new self-service systems to meet the demands of COVID-19. The number of messages exchanged with our systems via the applications on the website went from 120 million in March 2020 to 220 million in October, nearly doubling our capacity. The contact of customers with the group done digitally, which used to be about 12% in the start of the year, reached nearly 70% in the apex of the pandemic. And the challenges were no lesser in our supply chain. Overnight, we had to find new test suppliers, new supply suppliers. And we're not just talking about sophisticated suppliers like the ones required for our testing. The challenge even included suppliers for equipment that actually had a huge increase in consumption overnight. We went from a consumption of 3,000 masks in September 2019 to 355,000 in September 2020. Our engineering and expansion department was equally challenged. And they had to put in place in record time a new structure for drive-through collection. This service with the greater demand for home services, which actually puts a lot of pressure on our logistics, will allow us to expand the use of our facilities for new purposes. And this was already foreseen in our previous strategy. The expansion of the SantéCorp clinics, which use the already existing facilities of the group, is one example. And with this, we were able to better leverage the investments that we made in the past. We also built digital assets that are now being used in other services. And at the same time, we made our systems architecture more robust and scalable, ready for this new growth leap of the group. Here, I have a very emblematic example of this transformation, which is the concept of the virtual report center, which was implemented during the pandemic. Our traditional reporting model was based on reporting centrals, as we call them. In these centrals, our radiologists have sophisticated workstations with a huge processing capacity, which allow them for high-quality viewing of images, allowing for very accurate reports. With the pandemic, we had the need to allow physicians to write their reports remotely using state-of-the-art technology for graphic processing. And this is how we allowed physicians to view images using their home computers but still with the same accuracy of the reports that would have been written in our physical reporting center. This is a finished example of how the pandemic made us a much more agile and flexible organization without losing quality. Today, we have a company which is more capable of dealing with uncertainties and future transformations. So what is the challenge now in this context? Our challenge is to definitively incorporate into the entire organization the achievements and lessons learned in the past months. With this purpose in mind, we launched the Interstellar project, which was named after the sci-fi movie of Christopher Nolan, showing the search for a new place for humanity. With the new head office, the Interstellar project is reinforcing our pursue of a more agile and dynamic organization. And it is based on 3 large pillars. The first pillar is the redefinition of our workplace, something that was widely discussed during the pandemic. And the practical example of the results already obtained is that a relevant part of our employees, our corporate employees, will work definitively from home. The second pillar is the revisiting of all our processes to make them more simple and efficient, a movement that actually involves 5 squads. One of the results that we already had was an expressive improvement in our billing process, shortening by half the time spent in some specific situations. And finally but not less important, we are now less organized by areas and more by missions, which implies a great change in the monitoring of our work and our rewarding system. As a constantly changing organization, we were able to combine our experience of nearly 100 years and the experience of a start-up. The pandemic made clear to us that our capacity to execute and adapt is even greater than we thought. Thank you.

Good morning. And since the beginning of the pandemic, we got organized to, first of all, preserve the safety of our 10,000 employees, 3,000 physicians and thousands of customers, implementing all of the protocols so that we could continue servicing the customers that needed medical services. We also reinforced our innovation strategy, offering new strategies in new channels, both physical and digital. And we quickly captured the behavior of customers. An example of this is the drive-through to carry out diagnostic tests through serology and PCR for coronavirus. And the unit that specializes in this is in model B. If we put together all of the tests carried out in drive-through and the traditional model up to present, the company has carried out 1.5 million COVID tests. We also had spectacular growth in home services, a service that offers full comfort to the customer that was already in preparation in previous years. In 2020, we had a total growth of 68% in home service vis-à-vis the previous year. Now this performance is the result of expanding routes in all of our brands. Also, thanks to the expansion of our service portfolio, we even carry out ultrasounds at the customer's home. What makes us even more proud is that people are opening the doors to their homes to allow us to enter. And they are extremely satisfied with the quality of the services rendered. We have an NPS of 82%. Besides this, for 14% of the total number of customers that used home service during this period, this service was the first contact with the group to give us greater efficiency and safety and maintaining the quality standard. Our digital channels have been expanded. In this moment where we're adapting to a less physical and more convenient world, one of the highlights was the digital check-in already implemented in the Amais and Fleury brands. Through the app, the customer can anticipate the process of opening up a card. When they arrive at the unit, they can expedite their attention. Half of the eligible customer now works with digital check-in. But these innovations did not happen only in our patient care units. We also have a consultancy offer to resume activities for companies. It involves environmental and medical consultancy for safety protocols, diagnostic consultancy and health reports. We have more than 500 contracts, helping hundreds of Brazilian companies to resume their activities in a safe, healthy and sustainable way in accordance with the best ESG practices. Thanks to our legitimacy in health, the strength of our brand and the agility to quickly offer services according to the customers' needs, we have seen a true V recovery of our revenues. We're now obtaining levels that are higher than those before the pandemic. And the demand extended throughout the third quarter when we had a growth of 17 -- 13.7% coming from our patient service unit. And this has continued in the fourth quarter. We had a growth of 17.1% in revenues. There was also an increase in new customers for the Fleury brand. Even if we consider patients who came for coronavirus exams, the perception that people have that health is an important good makes them seek brands that they trust in. And we have that motto, "You get well cared." This is something that customers know genuinely. And the pillars of growth for the coming years consist an expansion towards new chains in the health value chain. And you will recall the trajectory of the Fleury Group. We began as a laboratory, we became a diagnostic center, and we're now taking a new step in the journey of individuals. We spoke about services like day clinics or orthopedic services and the center for infusion and immunobiological projects. We're using spaces that already exist in our units. Now the growth of these new businesses has been expressive during the pandemic as an alternative for outpatient centers for patients who were afraid to seek hospitals. All of this worked so well that we have set up other unheard-of initiatives in our history. And today, it is an honor to tell you that we're going to open a center for reproductive medicine in Vila Mariana. And this will be inaugurated in February of 2021. The number of women that postpone their decision to have children is growing, and this is associated to a greater possibility of infertility. As part of our mission of offering complete and integrated solutions for health management and the well-being of people, we would like to offer to women that experience of motherhood. And this reproductive center complements services that we already offer for women's health. Besides being a new growth avenue, it has a significant synergy with some of the core business of Fleury. Personally, I am extremely satisfied to be able to participate in this journey of women who dream to become mothers. And we also have a strong component of M&A to accelerate the growth process. We have just announced the signing for the acquisition of the infusion center in Pacaembu, which is still awaiting the approval of the CADE. Now this infusion center has proven to have a good expansion possibility. And we can use immunobiological pharmaceuticals, and Fleury can position itself with a very robust offer in that area. With PCUs, the Pacaembu center offers the infusion of several immunobiological products with BRL 180 million per year. We have now become a benchmark and have become one of the main outpatient centers for patients with immunological and rheumatology diseases in São Paulo. And this enables us to expand this service to other states. We're opening up a new chapter of growth with the traditional eye clinic founded in 1940, which means it has just celebrated 80 years of activity. Ophthalmology is a specialty with a growing demand in Brazil because it's related to the aging of the population. In ophthalmology, we do have the opportunity of creating an integrated outpatient service, creating opportunities with diagnosis, generating value to health. We acquired 80% of the service, and Dr. Marcelo Cunha, our reference in the area, will remain active day after day. This acquisition of the Cunha clinic is just an example of how we act in clinical consultations, diagnostic exams and outpatient services, a complete package to resolve the problem of the customers. And this new entry into ophthalmology is growing in the country. Now all of these opportunities show how we're going to reinforce our positioning by expanding outpatient services as a way of business. We do have a company with a very sound financial situation, a robust cash generation, and we can continue to grow both organically and inorganically by accelerating M&A. Working in different specialties will enable the Fleury Group to gain in terms of what they offer, connecting everything to digital solutions, a hybrid solution that will enable us to capture benefits throughout the journey of growth of the company. Our growth trajectory of more than 100 years allows us to offer solutions to offer more health and well-being to all of those who seek our services. And we are determined to strengthen this commitment, which also translates our purpose. Thank you very much.

One day, the Fleury Group was always a reference when it was about innovation in diagnostic medicine. Nevertheless, in the last few years, innovation has taken on a new meaning. We have opened new growth avenues in areas where we did not act with digital health, and we are no longer a company exclusively for diagnostic medicine. This year, in a pioneer where we launched the Saúde iD platform, a new business model based on the intensive use of data that will be presented by Dr. Eduardo, innovation is increasing our opportunities to generate new revenues incredibly. And today, I would like to announce one of these new opportunities, Pupilla, our education platform that uses technology and medical curatorship to convey quality education to the more than 700,000 physicians, residents and medical students. This is an avenue with a normal potential. Only the medical education market, continued education and specialization moves BRL 1.3 billion in Brazil. Pupilla is completely digital. It is a platform with multi-format, multidisciplinary content and very streamlined. It is done from physicians for physicians with the goal of offering education to physicians throughout Brazil with the quality and legitimacy that only a company with a century of experience in health can foster. It began like a start-up with a network of partners such as MIT Sloan, Philips. And in the first phase, it will have 3 verticals: radiology (sic) [ cardiology ], radiology and medical clinic, each under the management of medical references in the community. The platform comes with podcasts, master classes, opinions, everything done with state-of-the-art professionals, discussion tables as well, and users will be able to find exclusive courses on medical updating lives and other formats and content for the medical community. This will mean the possibility of becoming updated with highly relevant content in full comfort in the hours that they prefer. And although we're almost a centennial company, we ever more have this mindset of a start-up to come closer to the health stakes to position ourselves for the future and create an ecosystem that will guarantee our access to technologies. A few weeks ago, we announced a corporate venture capital partnership. Corporate venture in our vision is the strategy of positioning for the future with 2 very clear goals. The first is to defend our pioneer and innovative position, bringing ever more technology and differentiation for our brands; secondly, to attack, to seek new markets and growth opportunities for the group. We're going to focus on 3 main pillars: diagnostic medicine, personalized medicine and digital health. The best start-ups do not only want money. They want the best partner to speed up their growth. And because of this, we truly believe that the investees will bring disproportional value to the market. We take strategic value to these companies. And jointly, we can build the future of health. Through Cortex, we're going to allow the investees to have access to a gigantic market in the country, unequaled medical information and support to grow. I usually say that Cortex is a self-realized prophecy, which means the start-up in which we invest will have that exponential possibility for success. And the culture of innovation that we develop at Fleury cannot be easily replicated, and it doesn't happen overnight. A significant part of this culture is due to our positioning in the health chain. We have a direct relationship with the links, with vendors, laboratories, payers and especially the end customer. And this gives us that unique view of the future of the market and the pains and desires of the users and, of course, people. This culture is always encouraged through the commitment of professionals who are [ relentless ] and who want to maintain the group always one step ahead. With these initiatives like Pupilla, Cortex, this innovation culture is simply showing its ambition. What you have seen today is nothing but a starting point. Fleury will continue to be the most acknowledged brand in diagnostic medicine because of its 100-year tradition. But we're going to speed up our assets and competencies to lead the transformation of health in Brazil. Dr. Eduardo Oliveira, CEO of Saúde iD, will give you greater details on our health platform, the greatest innovation of the Fleury Group when it comes to a business model. Thank you very much.

Good morning. In Fleury Investor Day 2019, we shared with you the vision and the mission of the group of creating a health platform that could face the greatest challenges in the sector through pioneer business models in Brazil. 3 months ago, after more than BRL 50 million invested and the dedication of hundreds of associates, this vision became a reality with the launch of Saúde iD. We are the first health platform in Brazil, and we begin huge with 7 million lives in our ecosystem. We carried out more than 100,000 teleconsultations with our medical team. And we will end the year with an offer for 4 main groups: individuals, physicians, operators. We have taken health management to a level without parallel in Brazil. For physicians, we have digital care, a free digital office that will allow these health professionals to attain their full potential through digital prescription, digital health cards and much more. In the last weeks, we also implemented a direct channel so physicians could have access to consultancy and nutrition offered by professionals in Danone consultancy, and we will also have medical in-training. For companies, we have evolved in our journey in terms of solutions and tools that help you in the field of health, quality of life of beneficiaries and employees. And this means a much more effective management of claims. And we have start-ups like Sweetch that enables us to use their artificial intelligence solution that is highly scalable for the treatment of chronic patients. Saúde iD is also bringing a singular experience to companies, an offer of outpatient work through telemedicine supported by TytoCare medicine. This is a portable device developed in Israel, making it possible to carry out a physical examination. And a physician can hear the heart, the lung, assess your nose and throat, intestinal cells, measure the body temperature and the cardiac frequency, everything remotely. With this app, we are able to help physicians during their consultation, offering important data to properly direct the patient. With this highly technological and remote app, we have expanded access to primary care in all of the regions of the country. We're now going to watch a very quick video that shows you how this app operates in practice. [Presentation]

Ever since we launched Saúde iD, the market is asking us when it's going to be available for B2C. So I'm very glad to announce to you today that our B2C is here. And in the coming weeks, individuals through the Saúde iD application at an accessible price, they can make a subscription to take care of their health in an active and high-quality manner. The service includes telemedicine and in-person consultations in our primary care facilities with periodical health checkups and discounts in our chain. Also, users will have an integrated health history, and users and physicians will have access to important data through these records. We will also offer a free version of the app with some of the functionalities. We're working with different partners to create an integrated offer to help our clients take increasingly better care of their health. Despite the past 12 months, which was very intense, we will make health access easier, more efficient, more integrated by combining technology and medical expertise. This is how we are going to take a stand not just as the first health marketplace in Brazil but also the largest. Thank you.

Years ago, I learned with Grupo Fleury's leader that health is a unique services environment, and we have to think about it in the long term and in a way to us to bring benefits to all users. It's like a squash game where we don't really want to beat our adversity but just exercise and enjoy. In order to keep the ball in the air for as long as possible, we need to have satisfied customers. And our focus needs to be the customer journey. All innovations that we heard here -- about here today in products, partnerships, investments and business models always have the customers at the center. And this -- in this legitimate and deep understanding of this journey is where our strength lies. That's why we have been striving to create a unique value proposition, identifying unmet needs in the current models. We do not want to limit ourselves to just doing better. We are also creating new markets, bringing state-of-the-art efficient technology that we can offer to the health care field. Based on our resources, our talent and our enthusiasm for health, we took the first steps to pivot our business model towards an even greater relevance in the lives of our clients and in the health care chain. And it is with this spirit that we are building the next 94 years of Grupo Fleury. We know it won't be easy, and this is a huge ambition that brings about challenges. But for us in Fleury, there's no impossible mission. We have missions that carry with them our values, our principles. And we will be able to keep the ball in the air and stretch this game for another 94 years. Now we will listen to APIMEC. And right after, we will open for questions. Thank you.

Good morning, everyone. On behalf of APIMEC São Paulo, I'd like to thank Mr. Carlos Marinelli and the other directors of Grupo Fleury for their presentation today. I also take this chance to thank the analysts and investors for their presence. I thank you for the 11-year partnership between APIMEC São Paulo and Grupo Fleury. And for this reason, the Grupo Fleury is receiving today the golden stamp of APIMEC for their 11 years of presentations held with APIMEC. Now I hand it over to Mr. Carlos Marinelli for the question-and-answer session. Thank you very much.

Good morning. I would also like to thank APIMEC for these 11 years of partnership. And now we have Fernando Leão here with us, our Investor Relations, Financial Director; and Claudio Prado, our Executive Director of Operations; Dr. Jeane Tsutsui, our B2B Executive Director; and Dr. Eduardo Oliveira, the CEO of Saúde iD. And we will now open for questions from our audience. The first question is from Joseph Giordano, JPMorgan.

I have a few questions. The first one is that we see that the group is positioning itself really well to meet the needs of its chain. Companies with such a good history, sometimes they don't innovate. But I don't see that that's the case with Fleury. You're always innovating. You're always in the forefront. I have a question to Carlos and Jeane. How can you maintain the group's differentiation in this more digital world? So when you start, for example, holding consultations in mobile devices, how do you take care of the clinical aspects and of proximity with the customers? How can you keep that sense of proximity in this digital world? You talked about home services. So how can you do that through an app? And the second question is a little more quantitative. You talked a lot about the M&A expansion, organic expansion and new services in your chain. So basically, we see the group expanding its scope within the health chain much beyond diagnosis. For example, you're talking about infusion, precision medicine and other things and reproductive medicine. So I would like to know from you, what is the size of the addressable market which is today outside the scope of Fleury and which will be addressed by these new initiatives just for us to measure what is the potential incremental growth with the digital initiatives of the group?

Thank you, Joseph, for your questions. Yes, we do have a large focus on that. Our -- innovation is in our DNA. This is the history of the group. So that's why we are intending to announce these things today. And we're not just announcing these things now. Actually, this has been happening for a while. 1 year ago, we were on this stage talking about platform. Of course, we were not using the exact same terms, but we were talking about digital systems. And this year, we saw a great acceleration in this sense particularly in the health chain. There's no question that 2020 -- when we look back on 2020, it will be a tipping point, a year in which new technologies were created and the new players which were able to quickly incorporate these new technologies into their competence domain will start ahead. And this will be key when we design our company for the future. Companies need to create good experiences for their users. And all these options and alternatives in health care today are viable through technology and through qualified professionals. But in the end of the day, the important is the overall experience that you offer to your public. I know that you asked the second question. So just to give you some spoiler of what Leão will tell you, but today, if we think about the health system as a whole, diagnostics accounts for 20%. So when we think about everything that we can do beyond diagnostics and when we incorporate these technologies in order to achieve that, that gives us an idea of the size of the addressable market. But now I hand it over to Dr. Jeane, and she's going to say a few more words. And then we go back to Leão.

Thank you, Carlos. Thank you, Joseph, for your question. And I think that you touched on a very relevant point, which is how are we going to maintain our differentiation in the market. First of all, I think we have a history of striving to know the customers' needs. So for every test, every new test, every new solution, every new service that we create, we deeply understand the needs of our customers. For example, with homes or home services and the large growth that we saw in home services, some people would ask, well, is it the same experience? But what we see is that the level of service in our home service is extremely high because we are able to maintain personalization. We are able to maintain the warmth and the care and the excellence even when we're servicing customers at home. And we also previously raised the needs of our customers. So this expressive growth in our home services is not just because we extended the offer of this service but also because we added more tests to the home service platform. This is how we meet the needs of our customers. This is how we create this very high level of loyalty and satisfaction. And most importantly, Joseph, when we talk about all this technology, we need to effectively integrate care. And this is our utmost purpose, is to put patients in the center and use technologies. And we always say that telemedicine is yet another tool to improve the care to our patients. The responsibility of physicians for that patient remains the same. And now with the new devices such as the TytoCare, we can bring comfort and convenience to the patient's home, maintaining the same logic of integrated care. And now with these new services, what we want is to provide an end-to-end solution in patient care. And this hybrid work, both physically and remotely, will increasingly help us to monitor the entire care journey from patients who are healthy and just want guidance on how to keep healthy to those patients that have a clinical condition and require care. So our purpose here is to build a platform in order to improve the health care journey of individuals and to be present at all points of contact. This is how we will maintain our differentiation in the market and our history of technical and medical excellence, combining this with increased convenience, more technology. And this is all aiming at meeting customers' needs. So we have a very clear positioning. We want to have a leading role in the health chain.

Thank you, Jeane. Thank you for your question. I think that Carlos' spoiler was really good because for diagnostic medicine, we know the diagnostic medicine is a fraction of the total health care market today. So when we talk about potential and along the lines of what Dr. Jeane said, there's much more we can do than just diagnostics even in the hospital facilities. So there's a good size of the chain where we can navigate really well with offers and technical skills and executive capacity. So the point here is that there is a huge potential. It's much more than just a Fleury considering the potential of what we can do in terms of new services and how to bring these new services into our platform. So we're very confident in the potential growth of the company in the future.

Next question is from Marcio Osako from Santander.

I have 2 questions. The first is regarding competition in the health care chain. Do you think we can expect changes with this more integrated service offer? And do you think this change will be more for the outpatient care sphere? Or do you think it will be broader than that with bundles and packages that will go to the inpatient care as well? And then wouldn't it make sense for Grupo Fleury to also expand to the hospital business? And the second question is about the Saúde iD platform. I would like to know in what stage is your conversations with the other companies and the health care operators. Are they prepared to deal with this platform with the data on this platform for better health management? And also, can you please recap what will be the incentives and costs involved to the HMOs and companies to take part in this project?

Thank you, Marcio, for your questions. I'll start with your first question. And then Eduardo can talk about Saúde iD. Regarding the hospital business, when we look at our hospital system or a large hospital, we know that inside that hospital, there are many outpatient services, services that are accessed by people, they use the services there, the facility and then they go back home. We have in this sphere diagnostics, treatments, outpatient consultations and other things. And what we are expanding in terms of new links of the chain is to be able to bring more services to people in a more convenient way and also in a multichannel hybrid manner. So today, we have more than 100,000 telemedicine visits. So this means that people are now into telemedicine and people actually prefer not having go to the doctor's office, at least for that first point of entry consultation. And this is a huge advantage, to be able to have a teleconsult with your physician because you can get an opinion about something that you're feeling or getting a medical opinion in a much more convenient, fast and easy way without the friction that sometimes is created by the need to go to a health facility. And by doing that, you can improve your capacity of having the right resources at the right time in the right amount to the right patients. And as we transform the way people relate with health care, new markets will arise. So if in the past, we needed to physically displace -- and that was preceded by a phone call to schedule that appointment. Today, with one click, you can talk to a physician and discuss your condition and not just talk with the physician but understand from the physician actually based on your past history what it is that you have and what you should do. So there's a huge space here to evolve in outpatient services like the ones we presented here today and that we are already developing. We have already made acquisitions that will continue to develop in the future and revisit the way -- because we are a health company that brings health to people, and it's much beyond diagnostics. But this is our foundation, I would say. And I am sure that looking forward, there's a huge spectrum of services, particularly outpatient services that can be provided at a patient's home or in our service facilities or remotely. This is a transformation that is here to stay, and we want to increasingly lead this transformation. And now I hand it over to Dr. Eduardo Oliveira to talk about Saúde iD.

Thank you, Carlos, and thank you, Marcio, for your question. When we look at this platform model, and we have been intensively working on this model, the greatest purpose here is to integrate all the data that we're receiving from different sources, from different players. The information comes from HMOs, from companies, from primary care facilities, from telemedicine appointments. And today, we're creating a repository for this data so that we can have all the data in the same location. And through data science, we can start to assess user behavior, either patients or -- either ill patients or healthy patients. Now looking more from the standpoint of companies and HMOs, which are also very important in this chain and one of the players to which we have been offering services today, they have this increasingly -- there's increasing need to integrate more and more quality in their services to their users. And on the other hand, they also have the challenge of controlling costs and to make ends meet. So through the Saúde iD platform and connecting different players in the chain that complement this journey, touching each point of the journey, the patient's journey with the patient in the center, we are able to return this information in a much more optimized, integrated way using data science and behavioral science, offering to each of these points in the journey exactly what they need. So companies can better manage the health of their population, delivering more quality, and HMOs can do the same. Actually, Saúde iD can offer services to fully white-label operators. So we deliver these services the same way the HMO delivers services to their customers. In this way, we're adding more value, we're adding more health with better costs. So this improves the sustainability of the system.

Our next question comes from Mariana Ferraz.

Congratulations for the event. We have 2 questions here. The first, we see that motivation to transform the business model and the need for growth. Now in terms of the expansion plan that you had already launched and that was on the right path, the question is, if anything will change, will you continue on with the goals that you have? Or does this not make any more sense because of the transformation in your business unit? Perhaps there will be the disinvestment of some of your units. The second question also refers to the platform. But looking at it from the perspective of education, you have other big players also working on platforms. You have some veteran groups as well. Does it make sense to consider a partnership? Or would this be something exclusively for Fleury? And how are you thinking of monetizing this?

Thank you, Mariana, for the question. To speak about the expansion plan, of course, it is still in place. We launched that expansion plan in 2016. We went from 60 to 90 units. We have 55 new units since then. And the new unit that we're going to deliver in terms of reproductive health will be the 56th unit that we are delivering. And once again, the plan is still in effect because we believe that there is that need for that hybrid service. I was responding to the question on hospitals. And of course, hospitals will definitely continue to be highly important places for high-complexity surgery, and patients will require intense hospital care. But in 80% of our lives, and all of us want to live until we're 100, we truly do not intend to spend a whole year of our lives in hospitals. Some might have to, but we don't intend to do that because this issue of the proactive health, of caring for health with data that comes from our smart watch or that comes from the iPhone that tells us how many stairs we have climbed or how much we have walked, we have an enormous amount of information that is possible based on integrated digital care. This should enable us to use that outpatient health. And for that outpatient health, you will have to connect technology with a physical facility and with professional competencies. We can already do this at our customer's home with a home service, with diagnostic service or a fusion of these. We can do this digitally through telemedicine and other services at the customer's home or any other place where we can have that interaction with the physician data and the patient's journey. But of course, the unit, the patient care unit will also be important. That part that already carries out diagnostic medicine can work on primary attention or the infusion of drugs. And of course, they will be able to carry out other services using their full capacity at a scale that we have never seen before. Now if we have a good return for shareholders on the diagnostic viewpoint, other services will also be connected into those patient care units. Once again, the plan is still valid. Our intention is to have more patient care units, but connected to more hybrid offers in the health system, insurance that the person's experience will be so good, so deeply satisfactory, both for the patient and the physician, that there will be continued engagement in this. Regarding Pupilla, this is a platform that lives within an ecosystem. And what we believe is that the only way of offering more knowledge to physicians and health professionals is to have several people participating in that ecosystem. And the way we thought of the Saúde iD platform, we think it should have the participation of competitors. The same applies for Pupilla. We can have content material and classes from other competitors in the sector as part of Pupilla. This is precisely the idea of having an open platform that will bring together the best quality content from throughout the world. And that is why we're focusing on international partnerships to have the very best content possible. And this platform will be a big wish for professionals who wish to become updated.

If you allow me to complement that information, Carlos. Thank you, Mariana, for the question. When we spoke about the expansion plan for patient service units, we carried out significant acquisitions. We added 17 new units. We acquired Inlab, CPC and Natal, LAFE in Rio de Janeiro, Diagmax in Recife. So this expansion plan of 56 units was complemented by the units that we acquired through M&A. Presently, we have huge capillarity, a large number of patient service units that we're making the best of to expand our work and offering new services. With the acquisition of CIP, we have 6 new units for the infusion of immunobiological drugs. But we already do this in our present patient care units in São Paulo. Regarding Pupilla, we have 485,000 physicians in São Paulo with their CRM, their accreditation. And when we add medical students to this, the total population would be 700,000 people. Physicians are a bit overwhelmed with the amount of content that we have at present to have a digital platform that will have curated content that comes from opinion leaders. And specialized physicians will be something innovative and will help these physicians to obtain all of the information they need to become updated. And the potential in medical education is fantastic. As Carlos mentioned, we can hold partnerships to truly play a leading role in the medical education market. Historically, we have already been very active by producing Web meetings, events and contact, taking knowledge to the medical community.

Next question comes from Stephen from FAMA.

Congratulations for the event. My first question is about Saúde iD platform. We know that the other side of the coin of sustainability of the system is the access. We have a repressed demand for quality of services. And I would like to know which is the size of your ambition when it comes to Saúde ID, if you're going to work with much larger populations geographically and perhaps make partners with operators as of the start-up. B2C was also mentioned. So which is the size of your dream for this specific product if we can imagine that perhaps you will go beyond community health, carry out partnerships with the sole health system, the SUS in Brazil. My second question refers to something that was said in the introduction, the goals for management linked to ESG. And I would like to know which is the motivation, what underlies all of this and if this is going to change your culture and management in the company going forward.

Thank you for the question, Stephen. I'd like to begin speaking about the second question, speak about Saúde ID, and Eduardo will respond to the rest. When it comes to ESG management, we are a company where this has been a priority for many years already. And all of this is carefully reflected in the recognition that the market has given us as a company. It's the seventh or eighth year that we are the ICE (sic) [ ISE ] portfolio of BOVESPA. And for the first time, we're in the Dow Jones Sustainability Index. We are part of the list of companies with the best practices. And I have heard that in health specifically, we are a benchmark in terms of ESG practices even before we became a listed company. I have been in the company for more than 15 years. When I entered the company, there was a social responsibility area and other issues. So this has always been a deeply important issue for the company. Such so that it was already pegged to our short-term and long-term remuneration goals. Why? Because this is linked to a list of strategic projects that was part of our remuneration, our variable remuneration. Now what is going to happen? As of this moment, we will have a committee devoted to ESG as of March and executives will have specific ESG KPIs linked directly to their remuneration. Formerly, it was indirect. It will now be directly linked to their remuneration. And this practice or this innovation, something different than what we used to do, does represent an evolution. The entire market has evolved and sees the benefit of doing this, and we're now connecting this ever more to our day to day, and it is part of our day-to-day work as executives in the company. When it comes to Saúde iD and the ambition, I can guarantee that this is a huge ambition. Why? When we begin working in the digitalization of health, we didn't want to digitalize what we were already doing. We wanted to understand how digital could transform health and create markets that basically had not existed before. When we look at telemedicine, it is simply one more resource to have access to health. It is not replacing other elements. We're going to be able to use other elements in the health care chain better and offer greater sustainability to health. The cost of telemedicine consultation is a fraction of what it would cost at an emergency service in a hospital, and having the telemedicine consultation linked to TytoCare, for example, as was presented today, will be significant. So we have a series of elements that show that this is an enormous ambition of working in markets that do not exist. They are accessible, but they need to find the demand, the need of the individual, with technology, with knowledge and a professional that can provide this service. When we bring all of this together, we create a brand new market. And when we look at this market, we're not taking away from others. We're simply speaking about how to offer more access to health. How more people can have access to quality health and how we can offer quality health in a scalable way to more people. Now this is the main dream. Eduardo will complement this.

Thank you for the question. And initially, I would like to speak about the purpose of Saúde iD to offer health for the life of all people. This is a highly ambitious goal when we think of a continental country like Brazil. Now when we look at the private sector, at present, that services 25% of the Brazilian population. We do have the challenge of making this sustainable through the quality offered by operators. It's an enormous challenge. When we look at the rest of the population that only accesses the SUS care system, the SUS, I think there is a great deal to do when it comes to offering health at this population. And what we have been developing for B2B and mid-sized operators, it's the same technology that we will offer to B2C to deliver quality health care and coordinated health care. And remember that we're putting all of the patient's health background in their hand. This will help in the coordination of health care. And of course, the consumer will be able to deal with the professionals that he or she will find more convenient. We were the first marketplace and we will work towards being the largest marketplace in health in the country. Why? We're not offering a single health product here. We offer a great deal, and we have mentioned this, but we do need to connect other players and partners into this chain to complement these services. And why not also work with competitors to add ever more value to our delivery and a highly differentiated experience for the user in Saúde iD.

The next question comes from Vinicius Ribeiro from UBS.

We have 2 questions. We have seen that you're investing in new growth factors in several different areas. And the trend that was mentioned by Carlos of the opportunities brought about by pandemic also reduces the barriers that existed in the health field. There is a greater capacity to obtain volume or accelerate the use of new health systems. Now all of these movements seem to be very positive for the sector and for society at large. But I would like to mention some figures. When we think of this potential of increase in competition and the return perhaps that we can have from health. When we think about Fleury, what is going to happen in terms of the margins that you would like to have the revenues? And to link this to the former question, that ability to carry out exempts, which are the premises that are implicit in this perhaps the entry into new business models, more specifically?

Thank you. Now when it comes to margins and the return for shareholders, I think you should take a look at our results. And of course, if we exclude the second quarter of this year, which was the most impacted by the pandemic, you will see that we built everything that we are delivering today: the fertility center; an acquisition and of ophthalmology, a very significant acquisition in the field of infusions, all of the acquisitions that we carried out recently, entering new markets. We're speaking about Saúde iD that was launched as the first health platform in Brazil, and we have almost 4 million lives only in telemedicine. And when you look at the data in telemedicine, when you see where the person is using the mobile phone to have access, many of them, and this is a guess, but I think that 50% are from places where we do not have a physical presence. And we were able to do all of this bringing results in terms of return on investment and EBITDA that are a market benchmark. And our figures speak for themselves here. Of course, we're accelerating this journey ever more. And the idea is to include other services additionally to the ones that we announced so that they can became a part of this ecosystem, this platform that will work not only with our offers, but with the offers of others as well. And as we're speaking of markets that basically do not exist yet, we have to test and experiment in terms of the return of these markets, and we have been doing this for some time. Our commitment here is to have a diagnostic medicine business that is strong, that is robust with benchmark indicators and to follow that path of inexistent markets that we're opening up thanks to the digital world and that were sped up because of the pandemic. Were it not for the pandemic, we perhaps would not be speaking here. Telemedicine would still be crawling. And we would perhaps be advancing more slowly. But it was our understanding that this tipping point of 2020 in health will take place throughout the world. A recent publication of the economists stated that the health care market represents $250 billion only in the United States. Imagine in other countries of the world, where you have access to medical information. We have the case of Brazil as well. So when you put technology along with these offers, you do have that ability of supplying something and providing an experience that did not exist before. Regarding your question about our technical area, we're going to increase our capacity of offering exempts by threefold. And today, we're here in our office in Jabaquara. I'm sure that you've been here before. And actually, there was no way to expand our laboratories here. There was just no space. And we're always -- whenever we change, we make a change or change a process, we need more space. What we see then in future, considering the volume that we want to have with our diagnostic services and other services that we're planning to launch and that we already have today, for example, of precision medicine, which is part of diagnostics, but it's a different branch of diagnostics, or even for other services that we will acquire a physical structure. This is what will allow us to have these synergies, these levers in our business that will expand the need for diagnostic results. So what we're doing here is responding to a market need. And we have the surveys and projections and forecasts that indicate that this volume, this daily production volume of tests will be required in the future. Here in Jabaquara, it's close to 150,000, and we are moving to a potential of 500,000 tests per day in our new technical area.

The next question comes from Gustavo Miele, Itaú.

Thank you for your presentation. I have 2 quick questions. First, I'd like to hear from you about the acquisition of the ophthalmology clinic that you announced last week, not just for the acquisition itself, but because of the ophthalmology market. We know that eye care is today a very fragmented market with a huge potential for growth. So I want to hear from you whether this acquisition was a more one-off opportunity? Or if the ophthalmologic market is something that you're going to focus on going forward? And the second question is I'd like to understand whether you have new therapeutic glasses that you're monitoring, what is the range of opportunities in terms of new therapeutic glasses looking into '21 and '22?

Thank you, for your questions, Gustavo. I think the best person to answer your questions is Dr. Jeane. But I can tell you that it's not by chance that we're doing this. It's not just an opportunistic decision that happened by chance. And I have to be honest with you. I think that about 8 years ago or 9 years ago, at the time, it was a new business management. And I took a very deep dive into this market because before our IPO, we had our day hospital, which now is called a day clinic, but that was one of the fronts that we truly believed would grow in the future. So we've been looking at the ophthalmology market for a long time now. And it is indeed a market that connects different trends. First, the issue of longevity. People are living longer. So they will certainly have some level of degradation of their visual condition. The second thing is very related with our purpose, which is to be in the everyday lives of people, bringing well-being in health. People with visual limitations that can be treated, should be treated to have a complete life. So we see a huge potential in that for us because that will bring the completeness that we want for the services that we offer to our customers. And the third point is that this is mostly an outpatient service. Most of the -- ophthalmologic services are outpatient-based. Even if you need surgery, most of these surgeries can be performed in an outpatient facility, in a day clinic, for example, where you can be admitted and discharged in the same day, which is convenient to the patient, which provides scalability to the physician's work. And this certainly increases accessibility and sustainability of this type of service. And now Dr. Jeane will continue answer your question.

Thank you for your question. I would just like to add that what we have here in Brazil is a trend in terms of population aging, which will certainly increase this potential. We know that with aging, we have an increased rate of visual problems that will require treatment. So our positioning to bring outpatient service solutions to this aging population makes a lot of sense, particularly in eye care. When we look at people over 40, they start to have visual problems. And when you compare them with 80-year olds, you have 13x more visual problems at the age range of 40. So it's a huge potential. In Brazil, we have about BRL 6 billion being spent with ophthalmology only. So this is our first acquisition, the Moacir Cunha eye clinic. And this brings a lot of synergy to our current business. The Moacir Cunha clinic is an 80-year old facility, a very traditional facility with a very high level of expertise, with the physicians that have always worked there. And this allows us to create this capacity to create synergies with our current facilities and grow in the ophthalmology business in the future. Because, as Carlos said, we're talking about outpatient-based solutions here. And we see an increase in visual problems in the population. Second, we see that these services are mostly outpatient services, and we already have this culture of being a one-stop shop where they can have consultations, tests and surgeries being done in the same place. And then we also have the potential to expand in this specialty, like in others. So to answer your question about new therapeutic glasses, yes, I do see that, of course, we are keeping up with the trends, and we see a lot of investment from the pharma industry in new drugs, not just for precision medicine modalities, but also to bring solutions to different clinical situations. And it's interesting to see that these drugs usually -- well, first, they're easy to use. So our positioning of starting with immunotherapy and immuno biologics, because we see an increasing investment in this type of drug. And also an increase in the use of drugs, not just for specific chronic conditions, but drugs that can also be administered at home. That's why in our immuno biologic infusion center, we are also including home services using the structure that we already have. We see a huge potential. We're going to see more and more therapies for different clinical conditions and this is a type of service that can be decentralized. We can leave the hospital facility for higher complexity cases. And this will improve the balance in the health system. Our vision is to have more people being assisted by Grupo Fleury and appropriately using the resources that we have. This is key for any discussion regarding sustainability in the health system.

The next question is from Tobias Stingelin from Citibank.

Thank you for your presentation. It was very interesting. I have a question that's similar to Joseph's first question, but let me try to ask it differently. You have a very well-designed plan with different work fronts. But if we look at your idea for 5 years from now, where you want to be -- or 3 years from now? Because we're talking -- of course, we don't want any type of guidance. I just want to understand, are you going to invest more in diagnostics? So what -- which will be the work fronts that you will focus on? So if you consider what you have today, and 5 years from now, you think you're going to have 50-50, what you have today, 50%, what you have today and 50% of new initiatives? And the other question that I have in related to this one because you're going into new work fronts now. They're all complementary. So there's a lot going on. And from the standpoint of capital allocation, looking from the outside, considering everything that's going on right now, do you think that there's 1, 2, 3 points that we should focus more and that will be -- that will show how your strategy will evolve in the future? So do you have a working horse that we should focus more on in the near future? And my last question is, how can you focus and measure everything that is happening? You have a lot going on. So if you work in different work fronts -- of course, you have a highly qualified team. But if you open all these fronts, sometimes, some things can go missed. So these are interconnected questions. But I want to know how we can estimate the success of all these initiatives looking forward.

So 3 or 5 years from now, without giving any guidance, of course, because we don't usually give guidance, I can tell you that we believe that our company will continue to fulfill its purpose, taking care of people, bringing health and well-being. But the way we're going to do this is going to be much more diversified than it is today. When I joined the company in 2005, we were the Fleury Lab, although we already had imaging services. But today, when we hear about Fleury, it's no longer a lab. It's a diagnostic group, and we already hear about personalized precision medicine. We talk about individual platforms. We talk about telemedicine and all these other things. And now with the ophthalmology clinic and infusion center and other things that are planned in our pipeline, even medical education, reproductive medicine that's how we're building the spectrum of what Fleury will be in the coming years, including in terms of revenue. So we're bringing in these new competencies, and we're building an ecosystem in which we'll have, of course, the solutions and the platforms that we offer. But at the same time, we can have a global view of what health will look like and how health will be consumed in the future. Because health will not be consumed or used in the future just based on traditional methods of having to go to a hospital or an ER or a private practice or a clinic. We're going to have different ways, and some of them don't even exist today. For example, we have the example of the TytoCare application, which sounds like the Jetsons Cartoon in the past -- that we had in the past, having telemedicine connected to what you have in your home. But with this in mind, Tobias, and of course, Claudio is also going to answer your question about the focus. But what we have today is strategic planning that looks forward and challenges us because we know that the future market will be nothing like the past market. It won't even be a marginal version of what the past market was. There will be huge changes in the future. And of course, right now, it may sound like something really innovative to do telemedicine consultation. But for millennials, it sounds really obvious. Why do I have to go somewhere to talk to someone if we can talk on the Internet? But for that purpose, you have to have the right infrastructure. You have to have the right skills. And this is something we've been doing not just for the current physical structure that we already have, but also for the one we're planning for the future. So Claudio is going to give you more details about this transformation and showing that not just we have this huge ambition for the vision, but we're also building in the present everything that we'll need to support this vision in the future.

Thank you for the question. So when you ask about our focus, there is a simple question. Our focus is the patient. And then this creates all this mobilization inside the company to really meet the needs of the patient. And because we're focused on the patient, we need to have the right discipline to execute all the integrations to bring these new businesses into the company. There's another important aspect, which is the fact that we are perhaps the only company in diagnostic medicine that has one unified system. And we're just finishing an integration in one of our companies in the Northeast. But today, any of our companies, because of this long-lasting discipline that we have, any of our companies is inside the same system. And this makes it really easier to bring new businesses, new systems and new companies into the system because of this execution discipline that we have had for a long time now. And because of this,single base of customers, this single reporting system that we have and the single record system that we have, this really facilitates execution. In the past 4, 5 years, we increased more than fivefold our processing capacity by revisiting our architecture and modernizing our IT structure, which really leverages the creation of this ecosystem. And at the end of the day, as Dr. Jeane said, an ecosystem has to have all the synergy, right? There needs to be feedback between the services. For example, when we talk about the eye clinic, of course, the business per se has to make sense and be a stand-alone business. But still, we see in it a potential to strengthen our core with new tests, new therapies, new procedures, which are things that we always want to add to our platform. So despite this seemingly diverse business, everything is focused on one purpose, which is meeting the needs of the patient. The greatest KPI for us is the level of service to the patient. Is the patient satisfied? Are we able to bring better health and better well-being to the lives of our patients? This is what helps to smooth out our execution. And this is what makes our investments really assertive in terms of improving our structure. I think the main purpose of everything we're seeing today, Tobias, like Claudio just said, is that we are building all these competencies that we need to develop to reach our purpose of transforming the company with these critical levers that we mentioned, particularly the digital lever, which was possible by the new services that we adopted during the pandemic. So what I can tell you is that diagnostic medicine has always been something critical to us, something that makes us really proud. We are building a new technical facility that will triple the processing capacity that we currently have here in our Jabaquara site. And we're doing this because we believe diagnostics is really important when we want to improve the health of people. However, our mission will only be complete as we bring on new competencies and we better understand what will be the use dynamics for health care services in the future. It will no longer be in silos, and it will be integrated. It will no longer be fragmented. It will be fully interconnected. And we personally believe this because in a country where private health is only available to 1/4 of the population, you have a huge potential in terms of the number of people that will be able to consume private health in the future. This allows you to create new markets, create new products if you understand these dynamics really well and how you can bring these people into these dynamics of private health care systems. And of course, this can co-live with other well-established models in the system in the market. So the company has changed, it is still changing, and it will continue to change in the future. However, we will maintain what we're best known for, which is our excellence in diagnostics, excellence in patient service, focused on our patients. This excellence, which makes our customers use, like and recommend our services and all the specialties that we are involved in right now. And looking into the future, we need to focus on the intensive use of health care services, the proactive use and convenient use of health services with less friction in our value chain, and with increasing connection, which will improve the sustainability of this market. I think that we are already going through this change, this transformation, and we -- our leading role will become greater and greater through the new services and through the new partnerships that we're establishing right now.

Very well. We have an additional question here from the Q&A chat that refers to our profile as payers. That we have always worked with health plans as our payers as a tradition and what we deem will happen in the future if we launch B2C or other solutions, how would this happen? I'm going to begin by answering, and then I will give the floor to Jeane and Eduardo, Leão if you want to remark on this. Well, the truth is that the Brazilian system does have this dichotomy. We have some of the population in the private health system through the health plans, and the rest of the population is in the SUS. And of course, we are missing some products that could operate as a feasible and accessible solution with a great deal of quality for those individuals who do have access to the private health system, but who are working in a formal employment and cannot make that long-term commitment of paying a health plan. We do believe that there is room for this to perhaps be better understood from the viewpoint of the consumers' needs. And that we could benefit from buying that private health plan. Not buying services, of course, that will have better tickets relating to your own health, but also based on the fact that the public health system could benefit from this if you have those people who have that ability to contribute, but do not necessarily have a health plan, they could begin to use health plans. So I give the floor to Jeane and Eduardo to remark on this.

Thank you, Carlos, and I would like to add the following that even the companies that have faced significant challenges this year, historically have faced challenges to maintain the health benefit, which represents the second most expensive benefit offered. Now when we have a more integrated viewpoint where we think of preventive medicine, outpatient medicine that will juggle costs around better, we will be able to also benefit companies that pay operators to have access to health plans. Our focus here is how can we offer more sustainable solutions to the system. And what we tend to say is we don't want to carry out more exams. We want to carry out the right exam for the right patient at the right time and ensure that the result of the exam will truly point to an appropriate solution for that patient. So to have a broader customer base accessing our services making it more feasible for companies to pay health plans is the reason why we are in this market. And despite all of this, there will be individuals that have no access to health plans and eventually could gain access. Yes, when we think about that issue of the payer and when we see that only 25% of the population have access to health, these people are within a company, and they have the greater probability of maintaining their benefit. Now well-managed and quality health will cost less in terms of the precision of the diagnosis, lower times of hospitalization and better quality. And the work that we have done with Saúde iD is to allow this management to become ever more efficient. And if we look upon this from the viewpoint of Saúde iD, for people who have no access to health plans, as a platform, the goal is to create new products and so that people will not have to depend entirely on the sole health system. So people will be able perhaps to have a private health benefit. New start-ups could arise and service the population that presently does not have a health program in a more optimized fashion. And we have to preserve our business model, preserve that relationship with the payers, ensure that they have better relationships with their customers and offer something to those who have no access to health plans through start-ups and new offers for that specific segment.

Very well. I think that with this, we will come to an end of our Fleury Investors Day 2020. We would like to thank you very much for your participation. Unfortunately, you could not all be with us here in the auditorium, but I do believe that we were able to convey to you all of our initiatives while you were at home in safety. Now what we are trying to do is connect the points. We're speaking about a platform. We have gone into a year that was perhaps one of the most unprecedented years we have had in our entire lifetime. But what we did very early on in the year 2020 was to understand all of the possibilities that this year offer to us. And we very quickly understood that as part of our strategy, the possibilities were alive and that they address the market needs. They address the needs of our customers. And this is what we're doing through all of the launches that we have presented at Investor Day 2020. Others, you will discover as time goes by, showing you the full potential of the Fleury Group to offer health care to people at a scale that has never been seen before and in ways that had not even been imagined. This is our commitment going forward. It has been our commitment in the past. I hope that you are all well, that you are safe. Unfortunately, we still have very difficult times ahead of us we are speaking about the vaccine, but this will take some time to become a reality, enabling us to resume the life we had in the past. It's very important for all of you to take care of yourselves and to take care of those that are around you. That awareness of health is extremely important, enabling us to go through this very difficult moment. I would like to thank all of you once again for your participation. And I would like to remind you to please respond to the questionnaire regarding this event. This is important so that the event in 2021 can be even better. I wish you a very good end of the year with a great deal of joy, of course, maintaining social distancing so that we can enter into 2021 with new possibilities of taking health care to everybody. Thank you very much, once again. [Statements in English on this transcript were spoken by an interpreter present on the live call.]