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Villagio Panamby – Salvador (BA)Investor Relations Contact:Julia Freitasir@gafisa.com.br

First Quarter 2008 ResultsEarnings Release and Supplemental Financial Information

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Overview of 1Q08 results - Wilson Amaral, CEO

Financial and Operational Performance

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Highlights of the Quarter

Consolidated Launches increased 91% over 1Q07Launches increased to R$578 million in 1Q08 from R$303 million in 1Q07

Pre-sales increased 97% q-o-qPre-sales increased to R$503 million in 1Q08 from R$255 million in 1Q07

Net Operating Revenues rose 42% q-o-qNet operating revenues increased to R$319 million in 1Q08 from R$224 million in 1Q07

1Q08 EBITDA reached R$51 million (15.9% EBITDA margin) a 51% increase q-o-q

Net Income increased to R$42 million in 1Q08, from the adjusted¹ net income of R$21 million in 1Q07

Launches in 2 new markets: João Pessoa in the state of Paraiba and São Bernardo in the state ofSão Paulo

Upgrade on Fitch corporate rating to A bra (stable outlook) from A- (A minus) bra

¹ Adjusted for follow on expenses

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Recent Developments

Fit sales reached R$80 million. Fit now has 11 developments in 6 metropolitan areas.

Successful launch in January of Horto - Villagio Panamby, located in Salvador, Bahia: 98% of units pre-sold.

Gafisa Vendas expands to the North East: Gafisa established Gafisa Vendasto shore up the performance of third party sales teams and ensure sales speed and excellence in the region.

Bairro Novo Cotia started construction this quarter for phases 1 and 2, launched in December 2007.

Conservative Accounting Practices: the Company began capitalizing interest cost from corporate debt.

Potential Financing Program: recently, the Company submitted an initial filing with the CVM for a potential R$1 billion debenture program. Currently, we are registering the first tranche, of R$200 million.

2,2 3,0

18,4

2,95,5

3,83,9

5,5

7,0

6,9

4,9

9,3

2003 2004 2005 2006 2007 1Q07 1Q08

Mortgages using resources from FGTSMortgages using resources from SBPE

5Sources: ABECIP, Central Bank of Brazil, CEF and FGV.

Mortgage Lending Expanding Rapidly

Strong growth in mortgage lending still does not meet pent-up demand

143158

168187

235 243

2003 2004 2005 2006 2007 1Q08

Saving Deposits (R$bn)

• FGTS funds can now be used to finance mortgages of up to R$ 245 thousand

• CEF increases mortgages tenors to 30 years.

Savings Accounts Outstanding Balance (R$ bn)

25,3

16,3

6,06,9

10,4

Housing Credit (R$ bn)

+57%

+51%

+15%

3%

36%

41%

63%90%

27%98%

-1%

+55%

CAGR (2003-2007): 43%

88%

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Increasing Commercial Mortgage Penetration

16%34%

64%30%

32%

20% 18%54%34%

16% 16%

66%

2005 2006 2007 1Q08Gafisa direct financing longer than 36 monthsGafisa direct financing up to delivery of keysMortgage Loans

Gafisa is benefiting from higher mortgage availability and is working with banks to develop innovative mortgage products

Pre Sales financed by Gafisa vs financed by Banks

Reduction in accounts receivables duration, improves Gafisa’s working capitalHigher returns Higher asset turnoverImproving terms for clients with lower rates and longer payment periods

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Delivering on Growth Strategy: Strong LaunchesLaunches (R$ million)

85%

10% 5%

Gafisa

AlphaVille

Fit Residencial

93

252

108

218

151

60

1Q07 1Q08

New Markets

Rio de Janeiro

São Paulo

303

578

91%

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Delivering on Growth Strategy: Strong Pre-salesPre-sales (R$ million)

129195

78

230

73

52

1Q07 1Q08

New Markets

Rio de Janeiro

São Paulo

255

503

97%

72%

11%

16% 1%

GafisaAlphaVilleFit ResidencialBairro Novo

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127 projects under development

One of the Most Geographically Diverse Homebuilder already present in 18 states

Riviera de Ponta Negra – Manaus (AM)

*States in which Gafisa or its subsidiaries already launched projects.

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Gafisa has a Diversified, High-Quality Land Bank144 different sites, all over the country

Company Potential Units 100%

Potential Units% Gafisa

Future Sales%Gafisa(R$ bn)

Swap Agreements %

Gafisa 26,466 19,163 6,122 45%

AlphaVille 34,612 16,342 2,998 98%

Fit Residencial 17,203 13,382 1,401 7%

Bairro Novo 19,807 9,904 615 78%

Total 98,088 58,791 11,136 81%

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Our Product Lines: Focused Management Teams for Each Market

Mid, Mid High and High

Vertical

Metropolitan areas

Financing: Banks

Unique Projects

Unit Prices: > R$200K

60% owned by Gafisa

Mid High and High

Horizontal (lots)

Outside Metropolitan areas

Financing: direct

Unique Projects

Unit prices: R$70K –R$500K

100% Gafisa

Affordable Entry Level

Vertical

Metropolitan Areas and Outskirts

Financing: CEF and Banks

Standardized Projects

Unit Prices: R$80K –R$200K

50/50 JV with Odebrecht

Low Affordable Entry Level

Horizontal / Vertical

Metropolitan areas and Outskirts

Financing: CEF and Banks

Standardized Projects

Unit Prices: < R$100K

Own sales force

In São Paulo, Rio de Janeiro and Northeast

Selling Machine

Management of Channels & CRM

Management of Outsourced & Local SC

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Our Differentials

ProfessionalManagement

and Established Organization World-class

Shareholdersand the Highest

Standards of Corporate

Governance

Growth Through Product

Diversification

Industry Leadership and Strong Brand Recognition

Geographic Diversification

Supported by Strategic Land Bank

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Financial and Operational Performance – Duilio Calciolari, CFO

Overview of 1Q08 results

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Interest Capitalization

Targeting the best accounting practices, in 4Q07 we began to capitalize interest cost from corporate debt….

…. now we recognize it on a Percentage of Completion basis on COGS

21,03734,914Properties for Sale (Current Assets)

0.110.030.030.020.020.07Earnings per share (R$)

13,8733,8723,9473,1282,9259,159Net Income

(7,146)(1,995)(2,034)(1,611)(1,507)(4,718)Income Taxes

32,5549,0879,2647,3396,86516,626Financial Expenses

(11,535)(3,220)(3,283)(2,600)(2,433)(2,749)COGS

20074Q073Q072Q071Q071Q08

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1Q08: Operating Highlights

10766

33.5%

29.2%

1Q07 1Q08

Gross Profit Gross Margin

5134

15.9%15.1%

1Q07 1Q08

Adjusted EBITDA Adjusted EBITDA Margin

Net Revenues (R$ million) Gross Profit (R$ million)

Adjusted EBITDA¹ (R$ million)

224319

1Q07 1Q08

Net Revenues

42%

63%

51%

Adjusted Net Income¹ (R$ million)

4221

13.0%

9.2%

1Q07 1Q08

Adjusted Net Income Adjusted Net Margin

103%

¹ Adjusted for Follow on expenses

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Strong Pre-Sales Positively Impact BacklogR$665 million of results to be recognized (79% growth compared to 1Q07)

30bps80bps37.7%38.2%38.5%Backlog Margin - yet to be recognized

14.0%78.9%371.9583.4665.2Backlog of Results to be recognized

12.5%72.8%(613.8)(943.2)(1,060.7)Cost of units sold to be recognized - end of period

13.1%75.1%985.71,526.61,725.9Sales to be recognized—end of period

1Q08 x 4Q071Q08 x 1Q071Q074Q071Q08

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Current Revenues Come From Previous Years’ Sales88% of the 1Q08 sales come from projects launched after 2007….

… but only 37% of the 1Q08 revenues come from those projects

510 11

34

109

026

70

130

64

0

33

120

75

0

88

204

31

15

237

0

100

200

300

400

500

1Q07 Pre-Sales 1Q07 Revenues 1Q08 Pre-Sales 1Q08 Revenues

Launched up to 2004 Launched in 2005 Launched in 2006 Launched in 2007 Launched in 2008

87.7%28.4%

87.8%37.3%255

224

502

319

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Gafisa’s Operation is Highly Efficient

SG&A over launches and sales begins to be diluted…

…Gafisa adopts one of the most conservative accounting practices in the industry

14.0%17.6%SG&A / Revenues

8.7%10.1%G&A Expenses / Revenues

5.4%7.5%Selling Expenses / Revenues

12.4%11.2%SG&A / Sales

7.7%6.4%G&A Expenses / Sales

4.7%4.8%Selling Expenses / Sales

10.4%9.7%SG&A / Launches

6.4%5.6%G&A Expenses / Launches

4.0%4.2%Selling Expenses / Launches

31,49056,197SG&A Expenses

19,48432,150G&A Expenses

12,00624,047Selling Expenses

1Q071Q08SG&A expenses

2.5%3.5%Deferred Selling Expenses / LTM Revenues

1.7%2.4%Deferred Selling Expenses / LTM Sales

1.7%1.8%Deferred Selling Expenses / LTM Launches

18,97244,633Deferred Selling Expenses (R$ 000)

1Q071Q08Deferred selling expenses1

¹ Current assets account

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Strong Financial PositionGafisa is prepared to deliver on its aggressive growth strategy, with only 23% of net debt to equity ratio…

… over R$200 million of receivables of completed units which is available for securitization anytime

11.4%(18.6%)23.4%Net Debt / Equity

2,220 1,780 2,664 Total Capitalization

1,531 1,424 1,573 Shareholder’s Equity

175 (265)369 Net Debt (Net Cash)

514 621 722 Cash and Cash Equivalents

689 356 1,091 Total Debt

621 299 1,006 Long Term Debt

69 56 85 Short Term Debt

4Q07 1Q071Q08

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Our Shares

NYSE Listing: Gafisa is the only Brazilian Homebuilder to have an ADR program

Stock has highest trading volume of any company in real estate sector

Stock performanceSince IPO: 97% from R$18.50 to R$36.49 (Apr 30, 2008)

Since Follow on: 40% from R$26.00 to R$36.49 (Apr 30 2008)

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Avg. daily equity turnover from Jan - Abr.08 (R$ MM) Market Cap (R$ MM )

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0510152025303540Volume (R$ MM) Price (R$)

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Outlook for 2008

Launch guidance for 2008 of R$3.0 billionR$ 2.0 billion from Gafisa’s core business

R$ 700 million from Fit Residencial and Bairro NovoR$ 300 million from AlphaVille

EBITDA margin guidance of 16-17% for 2008

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“Safe-Harbor” Statement

We make forward-looking statements that are subject to risks and uncertainties. These statements are based on the beliefs and assumptions of our management, and on information currently available to us. Forward-looking statements include statements regarding our intent, belief or current expectations or that of our directors or executive officers.

Forward-looking statements also include information concerning our possible or assumed future results of operations, as well as statements preceded by, followed by, or that include the words ''believes,'' ''may,'' ''will,'' ''continues,'' ''expects,'‘ ''anticipates,'' ''intends,'' ''plans,'' ''estimates'' or similar expressions. Forward-looking statements are not guarantees of performance. They involve risks, uncertainties and assumptions because they relate to future events and therefore depend on circumstances that may or may not occur. Our future results and shareholder values may differ materially from those expressed in or suggested by these forward-looking statements. Many of the factors that will determine these results and values are beyond our ability to control or predict.