Encore Capital (ECPG) 3 May 232023 Q1 Earnings call transcript

Good day, and thank you for standing by. Welcome to the Encore Capital Group Q1 2023 Earnings Conference Call. [Operator Instructions] Please be advised that today's conference is being recorded. I would now like to hand the conference over to today's first speaker, Bruce Thomas, the Vice President of Global Investor Relations for Encore Capital Group. The floor is yours, Mr. Thomas.

operator. you, Thank welcome Earnings and Capital First Group's Good to XXXX Call. Quarter afternoon Encore

on are Vice Joining President call Bell, the me today Credit Midland Executive Financial and Management. Jonathan President Chief of and Ashish Officer; Clark, and Executive President Officer; Ryan Chief our Masih,

and we be quarter otherwise Jon on noted, will then this remarks first made to first happy the conference today, prepared and be XXXX. XXXX take will between of comparisons of the Ashish and call make will quarter your questions. Unless

future In our statements addition, forward-looking today's subject a and to discussion to could of will filings SEC include risks forward-looking and differ discussion uncertainties. results refer risks detailed these from materially for statements. Please potential Actual uncertainties.

use of the will abbreviations this call, brevity. rounding sake we for and During

discussing most X-K We included are filed our Reconciliations financial non-GAAP GAAP comparable will financial on measures. also today. was directly which measures to be Form earnings presentation, in earlier the

also the Masih, reminder, be will our a As the Ashish for prepared turn where call. With let and the remarks to section Executive conclusion also Chief me our Investors replay over call we post that, following President this website, available made this of of our call Officer. conference will on

markets. afternoon, key for quarter performance in reflected Thanks, everyone. the Thank Bruce, our joining and first each in normalized good you us. of Encore's consumer behavior

in and to have QX have year supply increases collections billion, time, in than U.S. returned U.S. in in purchased portfolio we levels MCM Consequently, is a twice with to the returns are portfolio which our the our in the the same in challenging pre-pandemic record seeing to ago a at steadily ERC continue. the amount over the collections few our expect stabilized first the are lending in were At point performance, we year and for XXXX. the the This growing. U.S., accelerating growth significant rates for Earnings to quarter in a business of attractive trend turning Cabot purchases quarter charge-off U.S. anticipated, first now such, ago. Due especially increases as grew more quarter. to in quarter we As in U.S. sequentially a the over MCM forecast the past comparison $XXX portfolio in first purchasing cash Europe. our impact of the and collections from in is the quarters, generation, due business

the balance of execution is strategy, capitalize to a on the purchasing opportunities with in market. the sheet disciplined our of growing Encore capacity operational well-positioned As portfolio and result the

in reiterate the We also consumer well debts, are remain rising by helpful to to regain as as outcome as believe ever the to credit credit their environment. I rate role model. consumer especially an we of role both committed play in charge-off unpaid in in we provide assisting ecosystem critical to it's of the support ecosystem which play freedom, lending as critical business the the the this consumers financial the expected we resolution

the consumers for serve We and resolve honest, is respectful debts. past create their we engaging empathetic due in by freedom pathways that to helping mission help by Our consumers economic conversations. to them do

costs. purchase minimizing attractive of while loans is returns portfolios to non-performing Our business at funding

opportunities. capitalize on to objectives us future well strategy through our We and us enables is outstanding and an ensuring these achieve of X-pillar deliver that strive shareholder both portfolio the strategy. as instrumental efficient compliance highest our cost each level in collection to value. long this consumer while believe as exceed maintaining We For focus. we expectations, own, structure performance financial building The term positions we to well consistently

Market Focus, the highest where markets we risk-adjusted can the our pillar first concentrates our on returns. The of achieve strategy, efforts

U.S. Changes and behavior a below in the at look resulted level a to during low beginning card pandemic reduced led the our which largest to portfolio take turn charge-offs, unusually of balances banks. now consumer Let's average by X in with credit markets, sales

However, the surpassed thereafter, early a each has in the levels outstandings of in revolving Federal outstandings. reported U.S. U.S. early been record And XXXX. credit rising, pre-pandemic XXXX since Reserve month have level new

banks in report to continue growth Additionally, first quarter results. lending in financial their

leading In sustained volume $XXX by card to charge-offs, of It's increased quarters. to being and credit of to in and issuers. and supply of increase U.S. cycle addition is have to as in that year terms record have of increases Credit was forward more twice of in rising, which supply recent rates flow U.S. lending for U.S. continued favorable deployment last clear banks the steadily the month a continued market market by in total we period transition from U.S. additional capital well banks delinquency MCM passing agreements records significant outstandings. This to our the credit increasingly million and the in portfolio for are purchasing upward card trend to same purchasing rise delinquency brought each business. and portfolio rates becomes purchasing for in portion consumer into represents the returns. the QX portfolios charge-off now both the such level volumes debt and seeing than as as in buyers, we with rates Encore. With continuing set existing new higher under in

level in XXXX the supply QX total. QX elevated be U.S., similar a market to we As expect MCM's portfolio to in our at remains purchases

line which that robust purchasing the volumes remains collection to QX was when normalized ago. behavior pre-pandemic has In consumer the returns. in with XXXX and improvement for remainder largely expected in an $XXX compared MCM collections year both in indication of with pipeline addition, a levels, were million,

is supply focused on U.S., market expanding in MCM the growth capacity. accelerates collections As

headwinds. broadly Cabot's million in remained XX% and as lower Turning our was to competitive the in to purchases. by Cabot's strikes QX with the system. collections Cabot portfolio declined a consumer currency, Spanish only In purchases in with foreign in of in macroeconomic reported, $XX line QX, expectations. on impacted currency impact Overall, in somewhat outlier our seeing portfolio any Europe. business court decline not are a largest still of due in The $XXX million. behavior collections basis constant we X% collections Spain, was to was due were changes and

impact higher Importantly, see not interest from market funding costs do rates yet of the pricing. higher we reflected in portfolio

a in have purchasing. approach our As we remained result, disciplined to portfolio

growing As costs in higher past, capital to we said deployments allocate the Europe. with our additional before need in pricing align have ultimately, funding toward will we

reduced during that us an generate significant to QX, These base. quarter. We which component provides manage competitive is our a of Cabot in outlined advantage, XXXX second functions, the key our cash order resulted in charge in results, $X the our in our pre-tax cost headcount believe As to of our ability we support in strategy. our within primarily pillar important million a reductions

on that instructive Now some our it's to and many perspective behind the us, back of impacts the cause effect pandemic look affected relationships offer of that and the are performance. business

supply then the generation to these higher of generation came higher portfolio led overall same that incremental also purchases card period to lower pressure subside, cash and For reduced atypical our began industry, prolonged the cash collections market reduced collections. behavior consumer our in example, When from credit namely for lead under lower in as the rates drove to our U.S. collections balances charge-off business.

However, have in generation quarters and grow. trend, as now our QX reversed returns cash begun this expected, higher portfolio recent to purchases has at in attractive

our continue. Executing to a trend X-pillar of this constant expect that ensures balance priority. a We strategy sheet strength on the is

at company our financial of financing, pre-pandemic to hand structure lower over Over strong and level has results. call has We increased collections provides cash unified lower Encore leverage of financial compared strong years, stronger opportunities the contributed past have our over the ahead. I'd drove a now by our recently, like generation and with capital extended much fund well-positioned to years, that several quarters. deployment the our portfolio driven over to our the few of a Through and global significantly reduced detailed a balance flexibility, both portfolio to look focused a sheet, maturities. now debt, purchasing performance with operating leverage more to remain higher diversified that lie purchasing last More risen, us levels time. for When and lower which we leverage. the Jon funding sources become

QX When mind to results part level keep U.S. consumer from last Ashish. that collections that normalized. year of those from comparing in the was a behavior resulted since in year ago, has elevated you, Thank and atypical

few in other believe addition, recoveries. items first the year, a I benefited revenues like changes of and earnings In quarter our million that of from highlight to I'd noteworthy. are also last in $XXX

emphasize $X.XX. growth Elsewhere, that over the expenses a have but pre-tax a with X% consistent Cabot's resulted our building a of purchasing which reduced ERC, As ago cost decisions, compared This a of were shareholder by than accounting results, earnings controlled the functions CECL base. employing $X.X forecast, ERC, continue in last reported doubled a collections, manage in in very global cost effectively way to the results we yet less a converge QX to Collections was flat is with increase call, with This is QX quarter as estimated million lower was reason to headcount run billion. purchasing. and the new $X to that order as important These last approximately than below year, pressures. and $X This increased resulted more in compared of $X.XX. I'd purchasing view can in year quarterly cycle despite reductions to at in operating value. Portfolio during credit a recoveries principally business we during million metrics. mentioned million QX small believe fluctuations expected our on our remain financial which our X%, we it's we remaining Changes perspective or by by our to the base thus is support EPS significant our XXXX EPS charge of the cause phase they result EPS in in future take to to which in do reduced $X.XX. like in the basis in reducing reported long-term we QX U.S. recoveries well existing long reflected first manage than we make in another long-term. increased expected cash totaling also QX, $XX transitioned inflationary QX

here. Collections X from X% year collections high compared down euro Breaking year, MCM's as XX% level currency the grow into ago. XX% expected years due to our primarily the first U.S. a were ERC result foreign currency compared pound of is the quarter $XXX compared weakening and collections ago. in the down actually grew quarter to atypically due first to businesses, primarily declined to of reported, the QX, However, the to in that purchasing major collections in million and a constant XX% lower of Cabot's normalization the consumer the British QX portfolio and last behavior. in to year in recent declined in effect

currency, were constant down In collections QX X%. only Cabot's

through the first XXXX, XX% year-end at global owned portfolio the Encore's end portfolios For collections of of quarter our performance ERC. was

XX% and for same Cabot, this MCM For through measure and XX%, respectively. QX collections by were

in recently mainly appears collections transition QX back more to as vintages the shortfall MCM, collection be we issue acquired timing patterns. For normalized for a to

costs moderating Having expect Spain were Europe For us generally the In we on costs balance environment, are pricing our behaviors when global costs portfolio effect by in financing expectations, flexibility higher adapt over to like in the environment Ashish. our bond us compared funding interest conditions does of to challenging the position approach to impacted this sheet were we that, from somewhat in their turn in competitive their competitors. it will horsepower, believe this a also yet Cabot, sources provides importance diversified U.S. I'd to the effect, strikes higher to over with of reflect cannot We supply the we financial strength. collections line growing our market, of beginning peers that, system. With to provides have overstate as back financial rates rising buyers funding time. With believe capital. the funding and current we it structure. and very said It not but though, debt and in court in collections a pricing moderating believe bidding

our of Before cannot The in highly everyone I'd we I anticipated balance sheet like priorities in long established U.S. commitment growth overstated, ago. to financial of in strong, as set market that diversified supply close, especially remind a of has consistent a importance industry be the arrived our to

is cycle. has stewards good supply be credit the and purchases long-term normalized taking to continue to always behavior will we've consumer long accelerating, in portfolio transitioned it's We and order of by the next now attractive your view at portfolio capital U.S., prioritizing to consumer of returns shareholder phase growth the that that build value. In the clear

in As a and support help ready consistent to lower mission A and with health, ago, need of them their quarters our ecosystem. play and their credit about due purchasing and the more recent are our ever will normalization we consumer role consumers essential financial we facing consumer result, we years behavior. debts earnings on the to restore than collections, resolve pressure few the spoke revenues and in

have reflected results expected these recent pressures. Our

business that Now pressures the U.S. market subside as and of we the confident corner and are returns evolving U.S. recovery opportunity. well-positioned we purchasing capitalize to in begun is see our in generation. The on remain expected our to has are the the portfolio improving, turned on these this of and cash have view we

remain and the we confident to position opportunities year best that portfolio is driven strong the in that U.S. business our our business by market slowly, actions more right will when we started more unfolding of becomes recovery constructive. XXXX the for the growth off has taking for the come in a that as U.K. are Although Europe purchasing,

ahead, MCM U.S. in pipeline business, portfolio and our to in to both And earlier, similar we total, as a record generation quarterly we also returns. robust look QX our grown mentioned cash of expect will QX we be a was the the trend year the second and expect purchases quarterly quarter, in see we for As sequentially continue. in first which I half has volumes a for MCM

that questions we'd questions. be lines any open for answer have. may please Operator, to the you up happy Now

line [Operator the Instructions] Mike Grondahl of Our Securities. first comes of from speaker Northland

question I for first the guess Ashish.

Ashish, up, back normalizing, And there'd a said kind in ramp of a collections be said, but going quarters. to weak August, you bit to of we're "Hey, of are couple take purchases that's little you starting time."

it Do sitting weak had how you Where today? of are so are or weak today? X see you far. quarters too, You've handicapping you know, another quarter, kind don't I

Mike, thanks question. for your

the right, we we now. pressure back collections absolutely and where under will this year, started years, collections be pressure our pandemic talking to August compared about You're last revenues in and earnings said

period unusually improving. has and that to remarks, period. at long purchases. corner was But reflected in purchasing have for from supply to as U.S. a was X in quarterly of said to expect a We One lower during record indeed as I same as collections our pandemic And a set pressures. due Just the these And we recap, high time for quarters that portfolio reasons. U.S. well the a in QX U.S. turned returns are be similar level. recent

do to in to subsiding, I ways. some so start And subside have begun expect these pressures

key For sequentially key grew and to example, point expect we metric a we of -- a and a that continue. generation, turning metric highlighted it cash

the subside. ahead. and purchasing as pressures continues a and at confident So we higher over very these good level and like continue time, will to at returns, looking today position I'm And stand where

year of MCM had reasons explain you portfolios. I think Got the collections that And recently XQ. little one XX% some it. bit? timing on end MCM's you said I of in of the acquired you think maybe Could said just Jonathan, collections a And was their expected

revisit going the you of back course It's your into that's the Well, that every you you I good number I to ERC year. back Okay. the I'll our is go good the to But our in a the book, on at we of the what metric it ground during if I'll is to year. the think will, clarity number number is, MCM. have to over compare want turn which number talk do some give solid quarter. -- you to And about a comparing then year-end. just something go-forward as Ashish We and

quarter, basis, think, was first a was I XX% The it and combined MCM, was higher, Cabot on it it XX% XX%, for XX%. was

it so make And every grounded that to just metric revisit and and quarter. go sure on is, we we wanted back what then I you we

that. to add could I if So

was, point if we of terms ones and of the in the say that that than or actually you negative that the the in and a 'XX of expected there are 'XX vintages from payment set I timing, is, would, vintages, So are would timing of up. Jon some as And payment level saw. in seeing we we're plan the faced most recent mentioned, lower cash seeing the payment, better initial even terms bit consumers down performance

So get we over cash more, expect but to that perhaps get time. over time, even sure cash that for

can vintages. on and initial K in cash 'XX So vintages it's our you 'XX and those those recent and well lower filing just of Q as see on some

Truist from comes Mark question next the Securities. line of of Hughes Our

around, thought it XX%. I XX% time MCM Cabot and I heard was was first Jonathan, was

No.

You and combined The was Cabot think. was I XX% wrong, was wrote XX%. down MCM XX%.

under Very credit The good. facility, quarter total right. All Okay. what that end? at your availability is

have And also $XXX we million have we $XXX non-client sorry, a million. -- cash $XXX I'm well. in million as

question. be would my That Yes.

I anticipated that question.

did season? first that I XX% How was tax were think saw something What you the or tax receipts the refunds maybe quarter. down experience? your in find like or I

attribute U.S., Yes. that behavior We different kind from we're the rates not refund seeing seeing In impact of consumers. any track the our we're But not regarding taxes. any can operations. kind to tax we very closely do of in

Now willingness to cash less up seeing upfront a more mentioned, overall, bit as tend to just pretty and payment behavior, over hold I is well set plans time. consumer which

front. the So that's front what we're tax seeing U.S. and currently consumer on

then Q collections was And Okay. the out that didn't you and Q paper? the or have Cabot XXXX paper multiples? I do then see that

Yes.

for is XXXX Cabot X.X So X.X. and U.S. multiple multiple is

do in you think then these expense, of floating think I up the what is it debt maybe What And with about QX? interest like X/X looks your Jonathan, days. Okay. to Feds

by last quarter. gave as would we stick think indicator our I I Yes, mid-XXs

reasonably there's probably think a number. good I

that, to, if subject to, like an supposed guess, be to. As assumption. rate, subject reasonable I constant say I'm at a subject would you to a know, was, everything Mark, environment But that

Yes.

and to flow paper order Is order Ashish, quickly in little jive more you from that mentioned banks activity. experience? in banks a lead like them capital. might Are your I hearing higher pressure that? additional raise does anything on guess, sell volume to you addition to issuers idea the that with one --

around hearing driver. that Mark, not talk no, a any we're being

lot. vintages X we issuers months a has are And is are grown charge-off and just as rates seeing credit banks lent those lot, Lending right? now card several what and clearly So a for drivers, rising. these season delinquencies, have

flows higher coming than from more level combined market and we're consumer the both issuer, type seeing same being X, new actually, fintech before the issuers, So lenders, of players. due to some and

So seeing. that's what we are

not consumer in is with, heard credit any future them not around driver so we credit of any deal have players course driving ways, Perhaps felt in that a that for in that. just banking some, least supply increase to the becomes we're situation cycle that the happening It's reason some the nothing At the our of for more. we from sell but far. the due seeing accelerating recent We card industry. have

more, one if might. And Yes. I

more and here -- measured the maybe being perhaps until but tempering later? near leverage a well but in of delaying a your that purchases still there appetite been the supply. thought bit not terms some a here continue to in in your measured, up about moving target, not you're thinking to it's direction term within You're move right things if maybe Is little being

we our a seriously. very take question. just it's start to leverage We Mark, perfectly Yes. off, valid --

And so X told we've know, to you people is our Xx. as target

of of to explanation, growth the bit some to the it's driving worth giving because a right, easy I is, misperception it's it. the what's leverage, of a saying of and explanation come little color, And think

cycles the in times, been have does Ashish haven't result, therefore, recently. as until when We up pressure, and second, adjusted naturally And a our you've of number charge-off receivables much way say our here. collections -- of a as think you been right? And our heard, buying about under our the debt go EBITDA

flows as good It at it stronger from come then it's the and to Our works those front and loaded. cash you attractive very -- and have does to to stronger we buy, go metrics. as end up we're be multiples. debt buying news, purchases, naturally leverage we're happens more where give And

as know, we because we're take So want through from we just range dynamics. best the managing our our balance but bit explain I I we and seriously. conclusion just target as can within recent to to levels, don't want will extrapolate stay anyone to And you to about our that the be ratings our come trajectory as and going soar just -- a we to sheet take necessary our very little

pretty I starting off know to portfolio is Yes. throw the quickly. cash And

certainly paper perspective buy your they so the give on ability get now and wanted you but I And to later, that. to

for good So me. that's

Scharf Our next line question of David from of the Securities. comes JMP

one, high being is just magnitude. a to be from wanted I guess, orders versus the or of there In sure, for you this setting First Ashish, call make I ago? level, question, time sort a the aside one this accounting months may softball X very of message on we but were on new any

different seeing consistent it to Yes. But now we quarter. kind are as what we continued message. that were of an compared in say we've last signaled kind U.S. in seeing sure are acceleration purchase the of market. mean, we delinquencies is, I supply flows, we charge-off to insurers, results of supply rising rates QX, in the I in for built deals message had to up real. going I our would now as increase with And charts it's the accelerating coming continued shared after would and in we is size, banks say increase we the we've QX the as shown see, and well. and today

couple of we would months, the saw say, rather price in also improvement, U.S. price market. I in And or decrease the last

rises, the reflected see the not of if year. more may hold. flows which booked multiples because improvement, as over in 'XX Now better when those And that should there's being ones run result should new off, time, pricing and you take it's through normally previously early signed and see supply flows are QX and happen you those

extent, anticipated are it message seeing situations that's through. in had we very different. coming the to real now some And new -- very a real that we it to deals but are that's So

more helpful just and I vintages putting plans. for the be guess, provided to a additionally, payments, better guess, And about the reflected and the sense I I in going guess, I where being that, in. feel with good get related accept it. color. more Got extended a be the going indicator anecdote forecast what's plans? on to on the U.S. maybe does is there or consumer to signals U.S. perhaps timing 'XX related, That's the that and headwind wanted desire to 'XX seems you specifically have months a a I'm on collection lower plan mean, debtor. shoes I been for a offers reflection forward? make little not that in, of of Is for consumer me of on a a a can payment and that payments more headed myself going for payment little Obviously, upfront just get going I recession cautious in forecasts leading will forward to there more behaviorally, when I now. If that any see lot upfront yielding can't payment payments that's usually cautious you more lower -- somebody

you David. U.S. terms few to absolutely kind things So consumer, the mentioned there. of right there's of you're But a trying in read

had see. to or during and consumers more money when levels, much it's right? more What a it's saved of to savings we And rate happening in years I So pre-pandemic saw back payments, support pandemic for was much high what's we mean, is, couple the if used a cash line with go shot up. liquidity unusually has excess you what normalized.

ways. rates in some actually And pre-pandemic below now savings

pressures. absolutely So consumer but But kind unemployment not inflation we low. behavior. is word, recession rate which new, yet record right, there, there they're more are because facing fully certain normal much a of you're seeing is is as is But

to So are at leading our adjusting and time. to normal what addressing we a combined we out much of this more changes sure course, operations dealing But their watching those will, are and with of situations for consumer the all things behavior now. be of make are consumers behavior

down gas prices again. come has reduced inflation example, and For bit a have

behaving see of that's consumers we given conversation. their normally But charge-off of So less more recent consumers are kind a before pandemic. that the absolutely usual

So normalized. would is kind had that whole into normal the that I say liquidity more back it's of and that excess consumers gone we situation And are now.

then Okay, just for couple a And got it. Jonathan.

is million QX? variance kind in item. severance year? level reductions hit year Because headcount a to labor $XXX of the line think Europe this in costs, I which quarter as don't up if the per in the Salary item, there's always call thinking that million of we sequentially. about But as big are inflation of benefits the or know million, by quarterly well. biggest second And there employees. I First, a ought and we be XX% impacted imagine about some if It modeling know I $XX pretty is kind between last restructuring half line went $XXX obviously, don't and center

number there, take line sequential $X an chime hit absolutely right, from and you -- the I'll continue right, the the And some can of one, biggest closed then Jon there, are is, of and that positions, still mentioned to number managing that's last million equal we say. SMB whatnot a it managing charge of Yes, was sequential and time the changes David, productivity did of talk would the productivity, although are terms those of effects as we I and better some wage you're open we But in. and we watch that we The are is them. not reductions. actually around are of that and open positions, increases the well time about didn't performance. use technology And reductions, as through globally drive we what this to just in terms in impact, mean, is I impact. of inflation of

doing that functions changes are So through the reduction think in manage those mostly continue functions, I in we support effectively. Cabot support was we And in to effect, pretty primarily.

So capacity volume impacted. will we're collections ensuring that collections not preserving our and are come and our for capability the

Dodd comes line next [Operator of James. question Raymond the Instructions] Robert Our of from

look I Or there Europe can. the maybe geography mean, Just -- areas were were that going for you've if any or in particular back support to to product? returns don't get it there that the particular of focus that focused of any headcount they area in reduction? talked like the was about is charge to I reductions or any support kind was question, just that headcount? board that mean, across more and rationalization appealing going same they're But just is the deteriorated? it of I or

team terms in through in was U.K. was functions all it functions which critical. that of And certain a which are Europe it doing support opportunity, in Robert, primarily. there's Europe, very went teams that continental are exercise the and teams thoughtful

closing So open also positions. -- and or open requisitions, then

So that and all U.K. exercise in countries across was Europe

So I wouldn't say that -- it regarding in it's But was there. U.K. message Europe. any There's that from continental that. and one sub-market all would should I imply no particular

other support and to management headquarters and the the manage continue we Now position across were functions well here and including and all countries, open of Europe U.K. as but in all in the terms U.S. reductions that,

in already. then -- I the all And color the given it. U.S. can 'XX-'XX appreciate If Got the I vintages you've

there join particularly COVID how of into than modeled color -- where versus already norms? those for does versus worse kind payment historical down 'XX-'XX? you it be the and so can of -- is payment it an or what you look of speak, kind payment, a any curve mediate mix say, plan now you is comparable should look plan Or default there? what to a of it's And were in, to normalization was at that XXXX-XXXX the Is but like? if well-formed question, would this versus If of upfront assuming Or some assuming then not element is that? -- kind

Yes, that. of Again, to kind it well if lose to normal is any it it the to slice too to would of it's we you mean, as add? I on reverting find normalized behavior Ryan, more behavior. is much, try color that prior may Ryan here but pandemic. would see you meaning, kind reverting more

all you by the the consistent I No. through data, mean, have to tranches. with pre-pandemic it's data work but

behavior. saw just abundance in of to we back So and XXXX, now normal it's just XXXX, 'XX. XXXX, reverting XXXX And that an change

would turn to it I time, to any further this Masih Mr. comments. like back At for

Thank you.

of I'd the important like reiterate points. couple close call we to today, As a

by the in our As we the highest ways, to disciplined their with we to And to financial consumers our capital the ever our own cycle play this credit continue role have We're to essential forward effective enabled for second of us, we us their to with and taking our portion This has also results as in we begin again. when consumer our quarter to returns. in combined the key credit collections grow help each in look approach time operation, as the been once freedom. Thanks join and generation markets anticipating. the ecosystem the approach providing committed August. regain is evolve cycles our cash credit purchasing allocating to markets unique XXXX

your you This Thank program. does for conference. in participation today's conclude the

You may now disconnect.