Triumph Financial (TFIN) 21 Apr 222022 Q1 Earnings call transcript

Hello, everyone, and welcome to the Triumph Bancorp's First Quarter 2022 Earnings Call. My name is Emma, and I will be coordinating your call today. [Operator Instructions] I'll now pass the call over to the Senior Vice President of Investor Relations, Luke Wyse, to begin. Please go ahead, Luke.

Good morning. Bancorp results. to Triumph quarter our the financial XXXX to conference discuss call first Welcome

get I statements. forward-looking revise we could The presentation subject Before company started, risks statements. cause may that remind to obligation results include this actual you undertakes and forward to uncertainties no any looking and The anticipated are would statements that like differ. to publicly to

refer on to our you're X. the presentation If webcast, logged including statement our available Safe please Harbor slide into online slide

For our and those I'm to Graft; Voss; Our please statement. Melissa to Officer to TriumphPay. phone, Todd CEO Aaron Capital; during note that Brad the and will Business Geoff presentation Ritterbusch, subject the Aaron. President Bank, statement time, call Chairman Harbor joining may of by I'd appointed www.Triumphbancorp.com. joined Aaron? happy made to TBK safe this any President of we turn are website comments are After over like Financial Brenner Safe harbor Triumph available CEO Chief the All morning call have. At of address Forman, presentation, on by today's questions this that Vice at newly you our and be Triumph's

you, Good Thank Luke. morning.

the for we quarter quarter, quarter TBK. cents $XX.X of million We per to the earned or first first the good common saw For seasonality XX a every was diluted income net stockholders accompanies that very of year. share. typical This

the decline while quarter value of invoices that to However before with am fourth TriumphPay in were the at items TriumphPay quarter, paid capital distinction opportunity We in dollar invoice platform. incredibly saw of Triumph's flat in in volume, climb. In those prices remained this despite purchases the number conforming elevated only continue such pullback can case, we the control transactions the our control, of a first Overall, invoices modest the we and to the continued unique slightly of with announced XXXX. executing us. investments first on team. make things this I proud business

transaction with As or broker to largely the a of transaction began now on and or a the a X factors X the test mid-January and which including from factoring payee, fully of XX X brokers. API carrier TriumphPay, both and factors a company. either of is conforming automates shipper process. largest a payment X sides with a reminder, Parties are connected What is XX enabled brokers beta fully-enabled either XX XX a their payor, in of TriumphPay TriumphPay freight a a via the brokers factors, largest

While desires. million market material our scale of XX, forward rapidly processed with financial volumes volumes not From is validate thesis XX progress million to this million and totaling payment transactions and continues in freight conforming XX,XXX perspective, XX February XXX through a are spent. Conforming that we January seems the solution March XX a from respectively. volume March the to

In day in about As total, paying million volume as carriers. approximately X during processing the end of invoices under quarter, transactions. were we first XXX,XXX distinct or processed the X.X X,XXX conforming million payment TriumphPay the just quarter, a of invoices

XX XXX,XXX paid last now carriers in months. the distinct have We

brokers the the of that one annual run prior $X.X quarter TriumphPay's up payment process XXXX. We increase factors increase as First and listed of quarter network. our sides payments a matter, metrics continued that exiting growth billion. and billion in $XX totaled was X.X% make both XXX.X% QX over approximately over the and both from rate the quarter volume

companies quarter, years. when on we behalf. only X providing XX. the We factoring integrated As additions audit In services can to as a clients reminder, their number X Tier name Tier the bringing by three the are and TriumphPay total for brokers cycle are first multiple they sales we added announced another be

consolidate to add our made count four total and to customer if the customer such. continued entity brokers a reporting. as about is consistent to customers accurate brokers a subsidiary at broker's in of because This freight We announcement are with bringing brokers way operates minor is This how also more think from is earlier a we March, approach since to as TriumphPay this network, separate who or our our some reported system more customers, we XXX down look both. adjustments think customers things. even prevents We being it number to TriumphPay audit

and audit. brokers Overall, XX queue and the Tier paid brokers XX factor quarter the were removed quarter the three quarters. distinct on offset have the changes X were the Triumph brokers four didn't and but this integrated Tier ecosystem. of XX by leave in from As with currently move, brokers on result they we new payments on the how XX along lives we three with last actually count, a broker Those broker reductions go were due and These brokers Tier payments, acquisitions integration including XX Xs. XX trailing discuss inception. affected expected Seven consolidation or all both some other the quarter. the in many one counts factors X audit the in and next the Xs, X since for of also corner, removal over Tier to added brokers months Every we and carriers Tier were Of Xs and additions.

strong network. are registered network. are profile number bringing important have the of XX,XXX number to first carriers their the that the for for over count approximately purchases the an even held last purchased These freight all about claimed QX over receivables the been the that achieving records. claimed in XX also the XXXX. profile sale, Triumph XX.X% $X.XX the increase quarter the in Average team quarter the continue and XX.X% billion, added a few of quarter transportation on $X,XXX purchased business first invoice have is annualized the first internal payments, written very a expectations of quarter. a carriers This said invoices business increase rate TriumphPay the total purchases. weeks of million X.XX run paperwork benefit exceeded with the quarter of quarter, XXXX. That's XXXX. There's prices just Another had for for prior and a dollar from and and just and to lot $XXX billion carrier over to Triumph up XXXX. carriers results down of of business recession. break fully capital XXX,XXX the over TriumphPay sizes quarter integrated was surpass number and in approximately ended carriers new continues X.X% on receivable now Triumph capital increase from registered imminent previous the the invoices, without We network. XX.X their again million who X.X just of and day Average the XX.X% a volume strong were an quarter of per invoice first over quarter, accounts benefits billion

negative in is size threshold prevailing outlook as invoice media. But the has not invoice has Our in April exceeded four That $X,XXX market fact, average approximately rationalized Indeed, the narrative per transportation been XXXX. anyone as month-to-date our is the as $X,XXX. months expect. consider since of individual this only would

side has are clients costs. typically the fuel drop-off the Triumph future. not the when What job our predicting key a one a the narrative has follow In recession any do But along. from my we just and opinion, internal rising in addition in only we to but shows see media leaves market the closely seized At offset to tonnage, in not economists We have not data on is near adjustments drop-off is curve. per freight, dramatically are indicators market and historic gradual recessionary seen statistics. mile several a freight business customers our which in sector part. of drive by to downward swiftly a trucking good times. to do that some small carnage been direction the tonnage. trucks We times serve rates significant of in of has a rate own There sign our occurs of capital, in adjust followed on and reduces Regardless our clicks

wants have to the enough weather wise when nimble We the and be keep everyone to structure deals enough our business headwinds. inevitable to to in

plan shows do to well how Our know trend. this that we continue we to and history

prepared Our loads bottom cover are is market revenue may create handle a advantage. market, market's of have not expect by it tide well in us. more Getting save but to is any people us for our thin every just to opportunities goes is When slowdown trucking it. the promise fluctuate margins TriumphPay use a trucking. for of prospects. One weakness benefit with of focus to are our attention we the on than line to among to the The transportation it's they in a Thus, look invoices. slowdown and the race market easier a when to the pay out I customers or heightened

doesn't focus stock moves market. our change short-term Our or the price in with transportation

I and mission of currently group of continue expenses We are grant were primary million, expect invest we expenses to in about front disposal equity on will the of related building to inclusive Last our we estimate. at benefit in accomplish everyone. about and any opportunity of short We QX we that just expenses It as expectations $XX the we see excluding us. will is strategic offered it. something XX that adjustments quarter, QX million

let's to this some turn Finally, unusual quarter. items

market, assets are to million we likewise for discussions on in Colorado million in reflected to of sheet. focus continue now sell The in in and deposits our our Bank efforts deposits rural XX reflected as are Kansas. these sale. balance of the opportunities loans branches for the and are held And in held million other XXX we As of branches on transportation XX XXX assets TBK sale branch

to quarter. million revenue once help in a created million our status expect expense or reduction quarterly the expenses loss in $XXX,XXX expenses respectively. to of for first X.XX we the revenue about Moving for closed, credit in loans benefit a X sale and And

a $XXX,XXX we half revenue million expense in expenses have our closed of loss $X.X expect in in $XXX,XXX help in anticipating a revenue a quarterly Second, for benefit business. in non-transportation once and moved respectively. second to reduction quarter of expenses to credit first of in created sale, funds we our net move quarter. the the the approximately portion in million divestiture and another about and employed focusing This factoring About XX effort,

these evidenced strategy, moves, focusing we transportation opportunities related simplify on to operating continue us our in energy before capital the see we and As our model, our by will businesses.

in ubiquitous Let Everything with me establishing that, begins we network a the payments do nothing Triumph, for end for as is as be important mind. trucking clear, industry.

the to call its ultimate business model to diversity our continue We overall But goal. for narrowing appropriate. funding turn our over of we is With that as on maintain will revenue questions. will and focus

Our [Operator from from Instructions] Moss first Riley today Securities. B. Steve question comes

Maybe the just business on the you mentioned Aaron, rising following fuel up receivable factor here and, costs.

kind could represents of that Just these if you invoice the days. down percentage break what

what to percentage Just is fuel? Steve, clarify,

Yes, invoice fuel-related [indiscernible]. costs in the of

Yes. It out market, break that the it really doesn't way, Steve. seems,

long-term If There's there's may may in generally which you about, surcharges. contractual ways with larger two include priced. when pricing, loads fuel engaged That's which think they're what carriers are primary not shippers. have or

purchased invoices spot the the every on smaller just of being For are equities the And primarily market factoring course, rely whom many spot like our carriers, the of industry, market. most market. of reprices day, from

for isn't spot rate. it's in specific breakout fuel so the spot there encompassed a in the market, And

mile mile so costs have gone that that reason are offer a or even where falling per up. you revenues of to out. it a is generally exclude no fuel we Brokers if moving. stayed matter and the that can't not directionally, say so is where fuel really fuel would XX% prices covers additional because that an or -- the per have And invoice associated they is rates fuel What the is having break that rate with going the rate applies cost roughly is are load, is to spot though driver of we fuel applies take

goes processed are April in on. head as the Maybe things and that idea to of transactions fully the in months? color in being if just six of of ramp automated will any and quite it, Aaron, to any where level next, the call over March as conforming kind February And three you where you here can, of payments terms then, think

Melissa. question. you This thank that Steve, is for

are transaction We per at towards counts we X,XXX conforming QX X,XXX around daily transactions. that moving per the day, where ended transactions average day seeing are

transactions upwards that, X of because brokers. the of those one top you queue. in heard on factors Tier gaps freight say, us broker who number conforming the are Steve, Tier live X of Tier freight And I out and freight X going in is create would brokers XXX Tier Each call will size the of X

land straight you a draw continue can't as large gap will upwards you to clients. it line, So

to online? say maybe or point, And this would over you it. they that Is did I if when of at quarter couple apologize the I next Aaron, missed But just several be coming quarters?

live expect brokers could because did a people enough queue. four those our sophisticated sales there that in of are and itself. them cycle is those parties, timing freight are and Tier think to we we X other queue. call specific just us I far and quarters, in felt Tier few the integrations. as give do out We next the come X what requires we one like Those being -- We the cycle along, the some factor not are long the to client, over The saying is and both we integration in are API

one step up terms just XX one me expenses And on million. of last in to for here

that maybe include implying mentioned costs, of just disposal is one-time imply items. You traces some if -- of so kind one-time number, some that includes item some that their does there, underlying maybe

There're sales growth -- year in capital. step accelerate this or would out be about TriumphPay I growth foresee let's see XX% call. on and one-time items to Triumph last on and out expense we the technology call people our that could what build last also for you business -- development tied move that and to of majority talk called of and for we the the said the over was course expenses. We always to to going that that expense investing cycle, integration back

a are full significant inflation-related capturing were in for we that by We year guidance if So amount change gain said stand because of that what QX. expense items. to we of

We that call number. out for now. will stand that We by

end we think capturing the obviously finish plan, still of we'll expense where a you the increase of So annualized QX, we year. told we're roughly portion that significant in by

Okay. Great.

Steve. Thank you,

today Olney Stephens. question from next Our comes from Matt

there hopeful Hey, taking towards see the segment thanks dig more just think help were I of you TPay. said the next a last of us you of this the how you loss was Want appreciate few back And time question. In to thoughts for even that? could end think over XXXX. trending I the million that around quarters. into $XX to Any data, break

past, made a But to reach Matt, and is the we I the year our to understand, heavily that's hope still think goal. network of expand I we clear the investing in XXXX are do that.

for things to the XXXX, our item would hitting are last paid Some of Those that expense line producers. commissions in don't forever. our be example, commissions

is very is Now, the the value the parties of ecosystem the you clients add once it for a because involved. creates to sticky idea network, it

our it important into opportunity and So towards most is thing more is X using XXXX we the factors our have true, follow far goal that. if continues push brokers the is And so and and see improve revenue network as expansion it TriumphPay breakeven then the finding transactions to their to the and of that grow to conforming has come naturally which in freight ecosystem. been and especially true, to Tier But be true system monetization the ultimate economics. will the from operating

Any still guess, of surprised flat. in there're kind would quarter, was relatively what but freight I some I And headwinds the in sequentially. the business then, I know more drove guess sticking flat on normal invoices that I on the of was first TPay, being seasonal number color

This you, Melissa. Matt. Thank is

up operation their Xs, and a we've get tend Xs calls, the in we've And Tier their quarter. to We time. as and in X. scale onboarded Tier previous Tier Xs, day get mentioned don't Xs over X XXX% seen volume So brokers the of mostly Xs, Tiers last some

you'll see to starting those back seasonal quarter we're that so feel evening start this up quarter. come flow, And scale the dip that out. typically And in it's you with see offset at in I the seasonal the you to as that kind and next look first transaction of so volumes would think

who mentioned Okay. to freight And what's this. happen heads lots the asking on Aaron, then and not about going opine of and just lastly, media you more on knows expectations you talking of to

as there environment consider are does of thought more in flow, the any that Just far scenario? company a strategic if would the shift as

a That's great Matt. question,

from see it one, would trucking number market. we have if a it, rising So softening creates and way would perfect the spot hurt prices interest high the storm rates, you as that industry fuel

heavily the for be along the drivers -- is market they not small Their a got surcharges into So if to come truck. demand the the borrowed community is if tight. exist that who buy truckers margins not The passed may freight ecosystem, getting now you've are getting compressed. brokerage to the fuel just as

would XXXX, on we've X.X%, have X.X% the the data basis, for delivered. X.X% Well, what to Since after So and Business Triumph On XXXX. since Capital us? that owned Capital was it, pretax, mean going that back tax. like an after-tax ever segment it we has we've ROA Triumph owned Business worst

do in is going there So nothing differently Business Capital. we're to Triumph

We those can. we will serve to customers best the continue

opportunities the onboard said customers And to with that would towards accelerate painful term, If probably the be will while this come short We opening what in I line TriumphPay, us. we're I our to as of I back the go talking would in respect call. investment.

large. at to is -- millions friction very a well. been For value on generally the save cost for promise Historically, shareholders, for to proposition invoice you of per $XX transportation, you the were last a year our And business. TriumphPay year, of incredible is were of the transactions this an if thin-margin $XX there has in doing market of hundreds but

have so we do the to And retained it. earnings

will to our sprint making to I for the profitability that what market. it down foresee it. slow the anything can't we TriumphPay believe have be do We would

we would more at way margins, tighten two up network value course, creating on stewards things the the good short we the term. we those for the would. focused to I mean of long but in we want items Beyond term, be the of are

Thank Matt. you

Our Davidson. Tenner comes next D.A. today from from Gary question

just wanted kind your declined of said of factor a I decision Aaron, to $XXX,XXX heard quarter, million revenue part ask the expense business. right, timing $X.X you numbers I a the to that the about If reduction. non-transportation to exit of receivable

So significant earnings of piece XXXX. back you pretty pretax I look mean, a if to

pretty of I a to Why assume TriumphPay rest a that investment that investments fund what the management. business? doesn't attention for incremental kind making of you're lot not and the keep the Given take is in that business making of other this steady the help in around you're

Great question, implications Gary, the of standpoint. speak speak to let inside portfolio of and I'll to transportation but having from operational non-transportation let a portfolio, Geoff the profitability a me it

want transportation out world Geoff, add these what we're what backfilling catalyst mitigation that. services that And every of then Triumph be as And And is market its stays course, we that? revenue with as doing transportation in the at if world of that I'm do. our in other you that Capital, reason, in that efficiency. the we revenue. improve of and in other backfill comes making I we to far the Business the narrow Capital there. industry best mean a Assuming this would worried fraud in you were will about and transportation to understanding investments as about that the operational I nuances providing the That's -- anyone the we not think, the we think as with the not quarter. well focus, relatively to Business as to understand growth true Triumph flat, Gary,

say Aaron, garments it's transportation everything and To invoices, apparel, you're transportation, invoice. these each process staffing outside in deal repeatable When so with from your when get underwriting the a I you buying and very to dealing the is would factoring unique. sector, point, of you're

get the same You from efficiencies same and the don't synergies repeatability.

business So the made our sense with to of business. focus a core that focus core on on transportation

question. then appreciate that. a And I just right. follow-up All

segment. the the was primarily in the quarter, in On income it bank income quarter, the fourth the primarily in other -- like where decline versus fee looks it and

some of wonder the you kind noise just I there. to if talk could was of what So maybe

some Brad. quarter item. X-figure handful repeat. has items Historically, is this There's of of unusual been line that were quarter. in Gary, items and some Yes, positive the in We side. noise that had fourth to that always a negative not did most the on in not We going first noise had the

of in didn't over misdirect to the examples that related a reduction indemnification from we We quarter of had our couple of those collections in repeat. had some our fourth the that Just from claim had BOLI asset -- a actually of advances. we some that some or

handful up. of pop that continue things a Just to just

losses I $X.X was some top-up. think sales, all like normalize loan you looks if that million quarter were what $XXX,XXX, that kind a in the like on that, more to that, had of like drop just small things of probably realized

was You -- an some more income really quarter. did probably probably take a for our ongoing is we that million, just institute that of $XX about or in look core previous income going surprise April basis, noninterest and consumer-friendly TPay and a $XXX,XXX $XXX,XXX touch a I just quarter about thing anybody. basis, to think don't our should forward. out more overdraft to on just down that note, One was other and from to the this policies changes go-forward

just a place that. We're think doing to that's banks we're there. lot in I the are trying better of citizens be

Thank you, Gary.

Gailey comes from question KBW. Our next from Brady

or negative TPay's guys time, a impact the about interchange points. interchange that and said just obviously, was could to how that it, think price we recessionary I where saw wondering, you last a average I we any that XX fee? fee? But we come time freight recession would under over roughly I a Would volumes positive the if on a you invoice impact head scenario into have could pressure. mean, think basis scenario were be do recession, talked

or no of because recession in the in I to a succeed costs a and is going in friction have recessionary But in exist $X,XXX painful matter is same. be the short-term environment payment you and still $X,XXX earnings. to the whether invoices we've you're going with cost that invoices strong presentment like invoices, certain think is That's a on seen. term, short dealing environment audit why fixed TriumphPay the

So, incremental think carriers be and just changes value can to environment, market deliver environment factors out shippers, in the change we processes a freight value that brokers, by of becomes don't dollar more in virtue margins recessionary every recessionary would I the the taking it get because proposition a manual of to squeezed. important

intend what far going value constituents. the the we savings is As as -- said we to we we earn our our to will shareholders, believe to of we we or roughly back proposition half for our shareholders retain deliver will

point So that the going this on of revenue be pricing over interchange very say of front in it to when concept. to creating is move, course, will this But still fee environment a recessionary certain volatility point time. we're end go from would an impossible even to

of away you kind the Okay. question, guys could All time? we the to continue over and bank. your my TPay of of continue time, bank you're right. down to Do focus wind And deposits additional here? of and industry kind from then I second on the see transportation to the And of from kind here. expect divestitures selling over your and some know some narrow funding you

we've At we centric disposal that needed made of beyond in what the the do, made is did. lending part in line this and business just time, nothing agricultural things -- more -- away need just the as -- because is I our moves there that transportation were those in we what model XX are in those our moving gotten mean, communities. was from group XX branches the we

focus like a moving singular our there of a value weren't so maintaining in company communities were that diversity technology transition believe we And and a our revenue. they revenue transportation, value of mean but towards on and -- we point the have nor is, at our course, financial a assets goal. serving a generated ultimate diversity of in bank. this is We funding the there's as those would towards as I is and well we

to going not There's see far you're anything expand as into this at So the us additional as nothing new time. queue in dispositions.

for me, finally make bank I look then that for you you're anything But out or think And know not guys just Fintech when you right. anymore not there at you in could to M&A there. you're is interested there purchase? M&A, All interested sense Aaron,

Yes. us in forms is of for accretive and to fit But what or do have any move we that, the dialogue M&A short-term that but are not be always doesn't There us to to trucking. around has are -- has cause network that companies it If with. accretive earnings in not various are to out to TriumphPay network a the necessarily payments advance TriumphPay from ubiquitous the it a of becoming for perspective, on table. it's setting

James. Our Thank Joe you. Raymond comes Instructions] today [Operator from from next Yanchunis question

You XXXX. can had believe stated in had of revenue previously you previously you that Triumph Business Capital reach $XXX million

still do the you feel comfortable outlook? Given that with current market,

do. we moment, this At

formation then from expected was hoping again, could the the month, earlier discuss benefits you hope initiative? you you this this TriumphX. achieve of announced And Perfect. I to

the from backgrounds lot required user into data systems Sure. It impossible factoring into easy as company to and a of to recruit not a The to is we are those experience, developers, people who from company. transformation people that experience, of talent has those scientists. undergone a customer people designers have technical bank. user a It's engineers almost recruit to

of our You enterprise. fact network. those of the we But talent into payments the that matter people a throughout is can recruit some need

transportation career inside to engage doing sets on really and a doesn't was sit relates space. we're entire be the our organization. give so mentioned it serve and edge and who products is on that just effort of the one after allows to I will pigeonhole created. technology work going they exciting And organization people TriumphX them that within them to why path to an skill That's that some them of organization the part just with bleeding as people with the of the TriumphX That's but will to thing,

you, Thank Joe.

Our from Shaw today comes Fargo. from question Wells next Jared

is filling Hi, in for Jared. Braziler Timur this

whether Melissa relationships, when business expect relationship, future? looking how you that a the typical TPay on don't once, the on company a dig new what's factors. percentage Just and payments know TriumphPay for you goes kind it's you're comes I giving bring in when of to volumes should all start the guess in you of slowly deeper that wanted of the and to typical that What's their ramp a ramp the I mentioned business? new at on board. get that at their on had little brokers of through bringing of we kind more their to and volume

to think because over hard of it's on as multiple that at question. be a all In TMSs we'd division That's tends really multiple time, I some the having a it bring that result divisions, with. a we're they and just to answer integrating broker have one a great may And has cases, place.

Some modes of on time. a at bring will certain them

it's And bring date, once. one, everything on on And the to a as at to a take volume year really hard we've so all board. seen it that X.X next to predict. could to One years might get

the business platform view? following of greater Do if recessionary Okay. if you expense the do the of everybody, focus pressures? for side we in able some TPay does a accelerate up your And it's your alleviate a Brady's enter to and more then maybe of environment that adoption coming question, through on get becomes that cost

and same, solution. needs $X,XXX audit, whether application our a mean, market The roughly thesis is of piece. I expense, the or -- a value piece That's the the this that fixed expense are said invoices pay cash earlier, $X,XXX invoices I to do the present as

those are market. highly the it is $X,XXX, to so do to sense going makes and dollars spend less Somebody this repeatable to when around of makes on $X,XXX deliver friction billions a no piece. invoices invoices even It to sense

So with market delivering is margins stack TriumphPay we're your that think it getting be where but do on what more are rational -- need do savings heightened that to and charging ours, be compressed than in you, to focus. integrate would a incentive would that a you you to cost in to technology you're

bringing and of, breakeven the it on all largest additional from or it Okay. as Tier Is And of then base, on guess, together, towards it Is breakeven X, clients? of the year? I I X, maybe, the what's look of to the what's driver Xs driver? system largest as we Aaron, point, just Tier it reduction kind three, that you existing expense larger combination getting platform? it Xs all guess towards stability utilization next is the get Is tying the

parties procedures now, sits for historically Tier United brokers brokered the a of Yes. in the they generates the note, important X and if there, billion to QX and a the This efficiencies taking to are integrations. the payment that level of network an achieve out, the factors, profitable quarter-over-quarter we to sure is both you the make That's of we're great that towards question. side $XX as $XX overall proposition you we that the the Tier I wants at to X the before to way be institution. exclude thing is believe they're adoption running $XXX coming the called enterprise, We able that There rate, we time, industry towards that of monetize XXXX that audit today. parties, available both make feature a these brokers, that QX. in end the When We from has thing, it real. weakest real. TriumphPay, that start their network there, We've sets customers one it million change growing of be that that Today, investment run but probably at overinvesting what structure who the how the the the of who it's for the application, processes us. of freight to we were volume is customers. presentment acknowledge needed from to sides whether so everything not opportunity mean where an grow. that begin who the design the network. change X.X% That X/X in of first. becomes offers. Then do X/X areas by revenue. third those that of need are And a XX% way expenses the that time and to in billion that. come, the payment quarter-over-quarter constituents or is there, time. be most are from on all The on processes of we not will or network to see is at factoring over think cash year X% headed our TriumphPay we we're continue parties able TriumphPay will The the they to are to we to the quarter profitability, we'd our -- that's the really, the loss the ROA XX% network the our can the will XX see That at is stable, And optimize well goes States some been accelerates are parties it of need. of and volume we're the either the most make of intentional sure platform control as in value XXXX. to factors that number the handle already because important going operating There to gave platform does we've XX% -- you we control thing where in platform our XX those which from this And moving, or join down never the a for that and you time and XXXX anyone is realize and platform expect on towards platform the to day queue to in that you for -- their expense need for that to of

you. Thank color. Great

next question Matt Our follow-up from is Stephens. from [Operator Instructions] Olney a

Yes.

more is looks and like sales want from some It to strong Just ask and today. capital more those obviously to of M&A capital about even build pending here with going it's own loss two things? do How that XQ. How activity repurchasing you stock? against like of you weigh M&A looks those you do your It some was in some weigh there mentioned.

to and submit All especially if That we shareholders what opportunities to we do long those of and we or will If none depress of things being comes, and are if towards that its equal, are to if TriumphPay term, building into own as -- we little can recession do here do out thoughtful money first continues It foremost share can group, we the it M&A cash to back banks be has don't it. our make you a a to need don't noted even support transaction an high we deploy the to rush though transaction. really think the network. quarter, peer when peer price, last a To feel multiple be our dilute ultimate our happy share investment, with back focus. moves to M&A about but either helps bank our be bought not right is bit buy to incredibly are that goal. matters, we trade group. a overall, on going which present price, that we relative optimistic at our we themselves But we're We an our shares.

can what underpriced call option And so in view. The we underpriced. severely is of TriumphPay be think our shares are our

event part value option that what an M&A believe will transaction transaction in in material market of the use unlikely will more until or for appropriately it of us So stock M&A we is the you be. highly our values any see an TriumphPay a

Matt. Thanks,

further no have We questions.

to Aaron today's to like Graft. back I'd turn So CEO, call

for a you all us. Thank joining Have great day.

Bancorp first call. This concludes earnings XXXX quarter Triumph

Have a good disconnect your now may lines. You day.