Enova International, Inc.

Good afternoon, and welcome to the Enova International Second Quarter 2026 Earnings Conference Call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your telephone keypad. I would now like to turn the conference over to Lindsay Savarese, Investor Relations, Enova. Please go ahead.

Thank you, Operator, and good afternoon, everyone. Enova released results for the second quarter of 2026, ended June 30, 2026, this afternoon after market close. If you did not receive a copy of our earnings press release, you may obtain it from the Investor Relations section of our website at ir.enova.com. With me on today's call are Steve Cunningham, Chief Executive Officer, and Scott Cornelis, Chief Financial Officer. This call is being webcast and will be archived on our investor relations section of our website. Before I turn the call over to Steve, I'd like to note that today's discussion will contain forward-looking statements. and as such is subject to risks and uncertainties. Actual results may differ materially as a result from various important risk factors, including those discussed in our earnings press release and in our annual report on Form 10-K, quarterly reports on Forms 10-Q, and current reports on Forms 8-K. Please note that any forward-looking statements that are made on this call are based on assumptions as of today, and we undertake no obligation to update these statements as a result of new information or future events. In addition to U.S. GAAP reporting, Enova reports certain financial measures that do not conform the generally accepted accounting principles. We believe these non-GAAP measures enhance the understanding of our performance. Reconciliations between these GAAP and non-GAAP measures are included in the tables found in today's press release. As noted in our earnings release, we have posted supplemental financial information on the IR portion of our website. And with that, I'd like to turn the call over to Steve.

Thank you, Lindsay. And good afternoon, everyone. I appreciate you joining our call today. In the second quarter, Healthy Origination's growth in credit supported by a stable macro environment drove top and bottom line financial results that exceeded our expectations. Our second quarter results and our long track record of consistent and differentiated financial performance reflect the strength and resiliency of our business that is powered by our talented team, diversified product offerings, Scalable operating model and world-class risk management capabilities. Second quarter originations were strong across both consumer and small business, driving consolidated originations 27% higher year-over-year to nearly $2.3 billion and marked the 11th consecutive quarter of consolidated year-over-year originations growth of 20% or more. Originations growth drove 28% year-over-year growth in the portfolio to $5.5 billion, with small business products representing 69% of the portfolio and consumer products accounting for 31%. Market demand and the credit we observed across our products drove our marketing spend this quarter, allowing us to efficiently scale our investments and originate loans with attractive unit economics. As we've discussed in the past, our unit economics framework combined with our sophisticated technology and analytics are designed to assess risk in real time. And the short duration and payment frequency of our products provide rapid feedback. This lets us react quickly, not only to emerging risks, but to also quickly respond to opportunities we see in the market, as we did in the second quarter. With strong portfolio growth, revenue growth accelerated, growing 22% year-over-year to $929 million. Profitability grew even faster, with adjusted EPS growing 33% from the second quarter of 2025, marking our eighth consecutive quarter of year-over-year adjusted EPS growth of 30% or more. Positive credit was a key driver of our EPS growth as the consolidated net charge-off rate of 7.3% declined both sequentially and year-over-year and was the best we've seen in quite some time as consumer credit improved and small business credit remained stable. Turning to our consumer business, year-over-year originations growth and credit performance were the best we've seen in two years. Consumer originations growth accelerated to 23% and revenue grew 11% as we captured higher demand in the market with attractive unit economics. The consumer net charge-off rate improved sequentially as is typical with seasonality and declined 170 basis points from the second quarter of 2025 to 12.8%. Our consumer results reflect the resiliency of the U.S. consumer that's benefiting from a stable labor market, Steady wage gains and moderating inflation. During June, the unemployment rate improved to 4.2%. Average hourly earnings grew 3.5%, and recent weekly unemployment claims remain low. In addition, even with persistent geopolitical headlines and energy price volatility, consumer sentiment has improved and consumer spending has remained solid. Consumer spending is a critical component of overall economic growth and a key driver of the health of small businesses. The June 2026 FiveServe Small Business Index showed expanding consumer spending at small businesses with both sales and transaction volume increasing. In addition, the latest Federal Reserve page book highlighted a resilient economy with expansion noted across most districts. In light of these trends, the most recent NFIB Small Business Optimism Index increased, reaching its highest level since earlier this year, driven by expectations for better business conditions and higher retail sales. In that survey, two-thirds of small business owners rated the overall health of their businesses as excellent or good. Additionally, our 11th Small Business Cash Flow Trend Report, released in conjunction with OPERALIS, found that 93% of small businesses expect moderate to significant growth over the next year, and 75% of these small businesses reported bypassing a traditional bank for their capital needs in favor of capital providers like Enova. Supported by this constructive backdrop, our S&B business had another solid quarter of growth in stable credit as we continued to leverage our leading brand presence, scale, competitive position, and intentional diversification across geographies and industries. Second quarter SMB originations grew 29% year over year. Revenue grew 35% and the SMB net charge off ratio remained relatively stable at 4.8%. Before I wrap up, I'd like to spend a few moments discussing our strategy and outlook for the remainder of this year and beyond. Our long track record of financial consistency across a wide range of operating environments demonstrates that our focused growth strategy works. We remain well positioned to deliver meaningful financial results for the rest of this year and beyond as our experienced and talented team leverages our unit economics discipline, diversified product offerings, flexible online only business model, sophisticated machine learning powered risk management capabilities, and our solid balance sheet. We're excited to build upon our proven capabilities with our plan combination with Grasshopper Bank, which we look forward to closing later this year. We remain engaged in a constructive dialogue with both the OCC and the Federal Reserve as the agencies continue their application review process. In addition, our integration planning is largely complete, and once we receive approval, We stand ready for a speedy close and will immediately start delivering on the significant synergies from geographic expansion of our existing products and lower funding costs from Grasshopper's existing deposit businesses. As a reminder, we expect the net synergies related to the transaction to drive adjusted EPS accretion of more than 25% once the synergies are fully realized in the first two years post-closing. To wrap up, we're pleased with our second quarter results, and based on what we're seeing today, we're raising our outlook for the year, which Scott will describe in more detail. We remain focused on continuing to generate sustainable and profitable growth while delivering on our commitment to driving long-term shareholder value and on our mission of helping hardworking people get access to fast, trustworthy credit. With that, I'd like to turn the call over to Scott Cornelis, our CFO, who will discuss our financial results and outlook in more detail. And following Scott's remarks, we'll be happy to answer any questions you might ask. Scott?