Credit Acceptance Corporation

Good day everyone and welcome to the Credit Acceptance Corporation's first quarter 2022 earnings call. Today's call is being recorded. A webcast and transcript of today's earnings call will be made available on Credit Acceptance's website. At this time, I would like to turn the call over to Credit Acceptance Chief Treasury Officer Doug Busk. Sir, the floor is yours.

Thank you. Good afternoon and welcome to the Credit Acceptance Corporation first quarter 2022 earnings call. As you read our news release posted on the investor relations section of our website at ir.creditexceptance.com, and as you listen to this conference call, please recognize that both contain forward-looking statements within the meaning of federal securities law. These forward looking statements are subject to a number of risks and uncertainties, many of which are beyond our control and which could cause actual results to differ materially from such statements. These risks and uncertainties include those spelled out in the cautionary statement regarding forward looking information included in the news release. Consider all forward looking statements in light of those and other risks and uncertainties. Additionally, I should mention that to comply with the SEC's Regulation G, please refer to the financial results section of our news release, which provides tables showing how non-GAAP measures reconcile to GAAP measures. Our results for the quarter include unit and dollar volumes declined 22.1% and 10.5%, respectively, as compared to the first quarter of 2021. An increase in forecasted collection rates for loans originated in 2016, 2017, and 2019 through 2021, which increased forecasted net cash flows from our loan portfolio by $110 million. Adjusted net income increased 20% from the first quarter of 2021 to $197 million. Adjusted earnings per share increased 43%, from the first quarter of 2021 to $13.76. Stock repurchases of approximately 802,000 shares, 5.7% of the shares outstanding at the beginning of the quarter. At this time, Ken Booth, our Chief Executive Officer, Jay Martin, our Senior Vice President, Finance and Accounting, and I will take your questions.

Thank you. To ask a question, you will need to press star 1 on your telephone. To withdraw your question, please press the pound key. Stand by as we compile the Q&A roster. Our first question comes from Moshe Orenbach of Credit Suisse.