International Money Express, Inc.

Hello, and welcome to the International Money Express, Inc. Fourth Quarter 2024 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker 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 that your hand has been raised. To withdraw your question, please press star 1-1 again. Please be advised that today's conference is being recorded. It is now my pleasure to introduce Investor Relations Coordinator, Alex Sadowski.

Good morning, and welcome to the Intermex fourth quarter 2024 earnings call. I would like to remind everyone that today's call includes forward-looking statements, including our 2025 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 discussed 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, including reconciliation of certain non-GAAP financial measures to the appropriate GAAP measures. These can be obtained in the investor 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, everyone. Thanks for joining us.

This quarter, we were reporting solid performance across our business, while navigating a challenging and dynamic market environment. We remain focused on executing our strategy and adapting to changing consumer behaviors, ensuring that we continue to drive value for our stakeholders. We posted a total revenue of $164.8 million in Q4, bringing our full year revenue to $658.6 million. Our adjusted EVDA for the quarter was $30.9 million, resulting in adjusted IBDA margin of 18.8%. For the full year, adjusted IBDA grew to $121.3 million. We set a fourth quarter record for adjusted diluted EPS of $0.57, up 1.8% year over year, while diluted GAAP EPS came in at $0.49. This quarter highlights our continued ability to perform across both retail and digital channels. Digital transactions surged 71.7% year over year, while digital revenue was up 48.3%, reaching $5.6 million in Q4 and totaling $20.6 million for the full year. These results demonstrate the success of our omnichannel approach, designed to meet the customers wherever, whenever, and however they choose to send money. Our consumer base expanded to 5.7 million, up 1.8% year over year, demonstrating strong engagement and loyalty to our platform and a deep trust in our brand. As we move forward, our strategic direction remains clear. We are committed to driving accelerated digital growth while continuing to grow and reap the benefits from our highly profitable retail business. We believe Intermex is uniquely positioned to grow our digital business profitably while we benefit from the significant cash flow created by our powerful retail model. We estimate that approximately 30% of the remittance to Latin America are sent digitally, and we are now competing aggressively for that business. Our efforts and investments in our digital business have created a more profitable unit economics model, and we are leveraging our strong operational foundation to scale efficiently, reducing the digital customer acquisition cost even further as the necessary infrastructure is fully in place. At the same time, our retail business remains a critical component of our strategy. Unlike other industries where the traditional business model becomes a drain of capital, our retail business continues to be more profitable than any digital business in the market and is and should be seen as an asset for years to come. With over $600 million in annual revenue, it continues to be a significant contributor to our cash generation, fueling our expansion into digital. Retail has shown resilience in spite of the challenging macro backdrop to Latin America. Many of our competitors have stepped back from this segment. We believe that this creates an even greater opportunity for internets to strengthen our market position in a highly profitable retail market. The broader remittance market faced headwinds in Q4 with a notable slowdown in Mexico where growth was close to zero. This slowdown has had a disproportionate impact on retail as macroeconomic factors continue to challenge the industry. However, despite these pressures, our business remains strong, driven by a loyal customer segment that continue to rely on cash-based transactions. Strategically, we are positioning ourselves to capitalize on the unique dynamics of both digital and retail. Our new products and services, including mobile phone top-ups and enhancements to our bill payment product, further reinforce our leadership at retail while expanding our value proposition. These offerings not only enhance customer retention, but also drive incremental revenue. Our M&A activity continues to be a key pillar of our growth strategy. Since acquiring LaNationale, we have more than doubled its IVDA, underscoring the success of our integration efforts, which remain ongoing. Additionally, we recently closed the acquisition of Amigo Paisano, a former Wires as a Service partner. This acquisition enables us to leverage superior unit economics, access state-of-the-art talent, and scale our infrastructure, all of which will accelerate our digital growth. iTransfer is also progressing well with a newly focused strategy, which currently is delivering 30% plus year-over-year margin growth based on efficiencies delivered through the adoption of the Intermex model. At Intermex, our commitment to serving our customers with the highest standards remains unchanged. Our world-class proprietary technology, strong banking and payer relationships, and best-in-class customer service are the foundation of our success. We have built a brand that people trust, and that reliability is what differentiates us in the market. We are not just a retail company with a burgeoning digital segment. We're a multi-channel business with an omni-channel strategy. This enables us to service customers wherever and however they choose to send money. The value proposition of our app is now many times more economically promising than it was just a few years ago. With digital transactions now delivering a higher gross margin per transaction than retail, we are strategically positioned to grow profitably in both segments. With that, I turn the call over to Andres, who will give you the overview of our financial performance.