Abacus Global Management, Inc.

Greetings and welcome to Abacus Life 4th Quarter 2023 Earnings Conference Call. At this time, all participants are in a listen-only mode. The question and answer session will follow the formal presentation. If anyone should require operator assistance during a conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce Garrett Edson of ICR. Thank you. You may begin.

Good day, ladies and gentlemen. Thank you for standing by. Abacus Life refers participants on this call to the investor webpage, www.abacuslife.com slash investors, for the press release, the investor information, and filings with the SEC for a discussion of the risks that then affect the business. Abacus Life specifically refers participants to the presentation furnished today on Form 8K with the Securities and Exchange Commission and to remind listeners that some of the comments today may contain forward-looking statements and, as such, will be subject to risks and uncertainties, which, if they materialize, can materially affect results. Reference is made to the section titled Forward-Looking Statements in the Company's Earnings Press Release for the Fourth Quarter of 2023, which is incorporated herein by reference. We note forward-looking statements, whether written or oral, include but are not limited to abacus life's expectation or prediction of financial and business performance and conditions, as well as its competitive and industry outlook. Forward-looking statements are subject to risks, uncertainties, and assumptions, including the risk factors set forth in Item 1A of our most recent 10-K, which if they materialize, could materially affect results, and such forward-looking statements do not guarantee performance, and Abacus Life gives no such assurances. Abacus Life is under no obligation and expressly disclaims any obligation to update, alter, or otherwise revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law. In addition, historical data pertaining to the operating results and other performance indicators applicable to Abacus Life are not necessarily indicative of results to be achieved in succeeding periods. I will now turn the call over to Jay Jackson, Chief Executive Officer of Abacus Life.

Thank you to everyone listening today for your interest in Abacus, and welcome to our 2023 fourth quarter earnings call. With me today is our Chief Financial Officer, Bill McCauley, and after our remarks, we'll open it up to your questions. We finished off 2023 with another strong quarter of positive results and profitable growth, capping off a record year for Abacus, exceeding our previous record year in 2022. As we look to 2024, our differentiated business model has positioned us well to further capitalize on our momentum. And with the recent launches of ABL Wealth and ABL Tech, which I'll discuss in a moment, we are progressing toward leveraging our technology advantages, expanding our total addressable market, and becoming a full-fledged alternative asset manager. For the fourth quarter of 2023, we grew total revenues 25% year-over-year to $23.6 million and delivered strong earnings with adjusted EBITDA of $11 million and adjusted net income of $5.9 million. For the full year of 2023, we generated total revenues of $79.6 million or 14% growth from the prior year. while growing adjusted EBITDA 13% year over year to $39.3 million and delivered adjusted net income of $29.4 million. In 2023, we increased our new policy originations by 30% to 633 in 2023 and paid over $200 million to policyholders. Much of this growth was driven by our carrier partnerships and expanding reinsurer relationships. Also, during the fourth quarter, our Board of Directors authorized a $15 million stock repurchase program. As of March 19, 2024, $8.1 million of stock had been repurchased at a weighted average price of $11.20 per share. There is currently $6.9 million of availability remaining under this program. Warrant holders have started to exercise their warrants at the strike price of $11.50, and we have received $3.5 million in proceeds to date. Bill will be along shortly to discuss more of the fourth quarter and full year 2023 financial performance in further detail. Our proven business model, expert team, wealth of data, and innovative technology positions us well to execute on our various strategic initiatives. take advantage of the many exciting opportunities that lie ahead, and ultimately create long-term value for our shareholders. Over the past few months, we've made considerable strides in launching and expanding our newest initiatives, ABL Wealth and ABL Tech. And I wanted to spend a couple of minutes telling you about how we expect both of them to enhance our business model in the years ahead. First, as you may recall, in November, we launched ABL Wealth to offer clients custom, lifespan-based financial solutions in partnership with one of the country's leading wealth management platforms for independent wealth management firms. The thesis for ABL Wealth rests in our belief that using lifespan and longevity as a core tool in designing customized personal wealth solutions will fundamentally change the retail financial services industry. At Abacus Wealth, We occupy the intersection of life insurance, lifespan and longevity and wealth management. In 2024, we've started to capitalize on our abacus marketing leads, including the thousands of in-house inquiries. And we are beginning to design custom asset management solutions for our clients. We will continue to partner with RIAs and broker dealers to expand our product offerings and align our interest as we further progress. In addition, Last month, we launched ABL Tech to the pension fund and financial services industries. Over our 20-year history, we have accumulated a trove of longevity data and developed proprietary technology and analytics that drive our investment decision process to acquire policies. Now, ABL Tech seeks to leverage that wealth of data and technology along with AI and advanced algorithms to create a suite of tech-driven solutions for the pension fund and financial services industries. Among the solutions we are providing, mortality verification and participant verification. We are utilizing AI and advanced algorithms to more efficiently verify mortality and participant locations, which will aid pension funds in protecting assets and preventing fraud. We are also leveraging AI in real-time lifespan data to provide strategic wealth distribution analysis and lifespan valuation, which is crucial for insurers and wealth managers to better forecast the asset value of investor wealth over their lifespan. In addition, we've created the Abacus Marketplace, which is a multi-platform digital portal enhancing life settlement sector communication and transparency, and which simplifies end-to-end access and processes for clients, advisors, and investors. We expect to see top-line contributions from both ABL Wealth and ABL TAC in 2024. Along with our new initiatives, our core origination and asset management vertical, also known as ABL Longevity Funds, continues to hum along well as we just completed our 20th consecutive year of GAAP profitability while continuing to generate strong margins. Additionally, our new mutual fund, ABL Longevity Growth and Income Fund, remains on pace to launch later this year, and we are very excited for its potential. As we move ahead, we remain confident in our business. The opportunities within our total addressable core market and in the incredible stability of our asset class. As a reminder, our industry currently only has about 2% market penetration, of a $233 billion-plus opportunity with a significant financial incentive to the individuals selling their policies. With new investor interest from both institutions and life insurance companies, that's a significant gap that we believe we can close over time. We will continue to educate policyholders about the value of their policies through our network of over 30,000 financial professionals and through television and digital campaigns for our growing direct-to-consumer channel. And with our expanded verticals and deep data and technology advantages, we are well on our way toward creating a true vertically integrated alternative asset manager with multiple revenue and profit streams. We remain excited about our historical, current, and future trends, as well as our potential for expected origination growth and sustainable long-term profitability. With that, I will now hand it over to our CFO, Bill McCauley. to discuss the specifics on our Q4 results in financials.