International Money Express, Inc.

Good day and thank you for standing by. Welcome to the International Money Express Inc. Second Quarter 2024 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you will need to press star 1-1 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 1-1 again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker today, Alex Sadowski, Investor Relations Coordinator. Please go ahead.

Good morning, and welcome to the Intermex second quarter 2024 earnings call. I would like to remind everyone that today's call includes forward-looking statements, including our 2024 guidance, and actual results may differ materially from expectation. For additional information on International Money Express, which we refer to as Intermex or the company, please see our SEC filings, including the risk factors described therein. All forward-looking statements on this call are based on assumptions and beliefs as of today. You should not rely on our forward-looking statements as predictions of future events. Please refer to slide two of our presentation for a description of certain forward-looking statements. The company undertakes no obligation to update such information except as required by applicable law. On this conference call, we will discuss certain non-GAAP financial measures. Information required by Regulation G under the Securities and Exchange Act for such non-GAAP financial measures is included in the presentation slides, our earnings press release, and our annual report on Form 10-K and quarterly reports on Form 10-Q. including reconciliation of certain non-GAAP financial measures to the appropriate GAAP measures. These can be obtained in the Investors section of our website at intermexonline.com. Presenting on today's call is our Chairman, Chief Executive Officer, and President, Bob Lissy, and Chief Financial Officer, Andrew Spendy, as well as other members of the Senior Leadership Team. Let me now turn the call over to Bob.

Good morning, shareholders, analysts, partners, and media representatives. I appreciate you joining us today. It's a pleasure to share the progress International Money Express has made in the second quarter of 2024. We are proud to report that our momentum has continued and we are seeing substantial progress across our key focus areas. While just as IBIDEA ended up just shy of our own expectations, we successfully delivered on all metrics within our guided ranges. underscoring our robust performance and strong execution in a challenging market environment. Our total revenue for Q2 reached a record of $171.5 million, marking another significant achievement for the company. Additionally, we produced an impressive performance with regard to adjusted EBITDA, reaching $31.1 million, a margin of 18.1%. Our EPS and adjusted EPS for this quarter were 42 cents and 55 cents, respectively. We're extremely proud to have grown adjusted EPS by 10% versus last year, considering the very challenging market environment. This underscores our laser focus on operational efficiencies and our ability to deliver value to our shareholders during difficult times. Our digital business outpaced market growth by further expanding our margins and profitabilities. We feel our strategic agility and deep market understanding is a significant differentiator for the company, enabling us to excel across multiple metrics for digital at precisely the right moment for that product. This quarter, we have not only sustained our financial performance, but also achieved significant milestones in strategic initiatives. The integration of La Nationale continues to pay off with a threefold increase in its EBITDA, underscoring the strategic merits of our acquisitions and the ability to enhance value by operating that division with a highly efficient, metrical approach that has become the Intermex way. Our global strategies are yielding revenue records in nine countries, reflecting our strong market presence and execution capabilities. Our retail operations remain a cornerstone of our success, delivering excellent margins and generating substantial free cash for the business. Our keen financial management and strategic initiatives driving our performance create the perfect backdrop to grow our digital business as a part of our omni-channel offering. Our digital channels have reached unprecedented levels of user engagement and profitability, showcasing the effectiveness of our disciplined growth approach and our strategic investments in product development marketing. We're continuously enhancing our digital offering through strategic partnerships, particularly within our Wires as a Service platform. The European market in particular holds immense potential, and we anticipate that our best-in-class digital solutions will be a great growth driver for us in that region in the coming months and years. During Q2, we encountered several economic and market-specific challenges. However, our nimble culture and adaptive business model enabled us to not only cope but to excel. Our success demonstrates our deep understanding of market dynamics and our ability to swiftly adjust our strategies to maintain momentum and deliver profitability as exemplified in our digital business. Our digital business has been a stand-up performer growing significantly and boosting our bottom line. Recognizing the market's embrace of these solutions, we see a tremendous opportunity to accelerate our expansion. At the same time, our robust retail base, contributing over $600 million in revenue to our portfolio, provides us with a foundation to strategically invest in our digital business. The decision by our competitors to de-emphasize retail has put us in a great position to outperform that market and enhance our returns as a company. The balance between retail and digital growth highlights our omnichannel strategy, which leverages the strength of both the traditional and the online digital financial services to drive future growth. By investing in our digital capabilities while maintaining our strong retail operations, we are well-positioned to capture diverse market opportunities and sustain our growth trajectory. The long-term resilience of retail, combined with our own strategic digital investments, wrapped with the culture of metrically-based efficiency, positions us to remain adaptable and poised to continue success. International Money Express stands at the forefront of fintech innovation, pioneering the omni-channel remittance model. Our business is anchored by a robust retail network and a rapidly expanding digital sector. The omni-channel strategy ensures seamless integration of traditional retail transactions with cutting-edge digital solutions, providing comprehensive coverage across various customer touchpoints. At the core of our identity is our focus on quality service targeted growth, and homing in on the most profitable agent retail locations in geographies to maximize profitability. Our ability to price services efficiently below the zip code level and to and by specific agent level underscores our sophisticated rifle shot operational capabilities. Our world-class call center, exceptional customer service, and strong banking and payer relationships are pivotal to our success in taking years to build and would take equally as long to replicate. We take pride in our reliability, having never failed to honor or pay out a transaction in a timely manner. Our retail operations are renowned for their cost efficiency and effectiveness and enable us to strategically nurture our digital ventures. This balance safeguards investor funds and promotes sustainable business growth. Leveraging cutting edge proprietary technology, we deliver exceptional value added services that strengthen our relationship with a highly productive network of retail agents. These small, locally owned businesses benefit from solutions that set us apart in the marketplace. By blending the strength of both retail and digital technologies, Intermex captures diverse marketing opportunities driving future growth. This strategic equilibrium not only expands our service capabilities, but also solidifies our position as a leader in the financial technology landscape. The second quarter of 2024 has brought transformative advancements for IMXI. Our strategic breakthroughs and operational progress has set a solid foundation for future growth. Our digital business has been particularly impressive with consumer acquisition costs decreasing while unit economics have continued to become increasingly more profitable. This is due to increased revenue per transaction and significant processing cost efficiencies. Our diversification efforts have led to a full suite of products and services, enhancing our value proposition to consumers. In July, we closed on the acquisition of a small remittance company in England. This acquisition secures a remittance license for the company in the UK, enhancing our ability to expand and grow in the European market. This addition complements our existing passportable EU license, providing us with access to the most critical markets in the region. Our presence significantly bolsters our growth prospects, especially in our digital segment, and positions us to leverage new opportunities across the region. Domestically, we reworked our retail sales organization, bringing in new leadership, including head of retail sales, director of inside sales, and a regional vice president in the Northeast. This infusion of new talent is expected to drive strategic growth and enhance our strong market presence. While their competitors have retreated from retail in the face of challenging times, we have invested, with a total cost of sales and marketing and retail remaining at just 7% of gross profit, leaving ample room for future expansion of our retail and digital initiatives. That fact, coupled with the reality that about 75% or more of remittances to key Latin American destinations originate at retail, makes that channel a key component of any true omnichannel offering. Unlike many others, Intermex has the capacity and the will to compete and succeed at both the digital and retail markets. Moving into the second half of the year, we will be supported by a strengthened sales effort led by our enhanced and upgraded team. Our focus remains to continue to be a lead player from any key market through the retail channel while growing our digital business efficiently and, most importantly, profitably. With that, I return the call to our CFO, Andrew Spendy, who will provide greater detail on our financial performance.