Triumph Financial, Inc.

Good morning. It's 9.30 in Dallas, and we're looking forward to our time with you this morning. I'd like to start by thanking you for your interest in Triumph Financial. I speak with enough of you to know what a busy time of year this is, and we sincerely appreciate you taking a moment to discuss our fourth quarter results with us. With that, let's get to business. We had some great developments this quarter and we're carrying a lot of momentum despite a persistently challenging freight environment. As you read in the letter last evening, we are also working on some interesting opportunities and seeing positive results from our efforts and investments. We remain encouraged and optimistic. Last evening, we published our quarterly shareholder letter. That letter and our quarterly results will form the basis of our call today. However, before we get started, I would like to remind you that this conversation may include forward-looking statements. Those statements are subject to risks and uncertainties that could cause actual and anticipated results to differ. The company undertakes no obligation to publicly revise any forward-looking statement. For details, please refer to the Safe Harbor Statement in our shareholder letter published last evening. All comments made during today's call are subject to that Safe Harbor Statement. With that, I'd like to turn the call over to Aaron for a welcome and to kick off our Q&A. Aaron?

Thank you, Luke. Good morning, everyone, and welcome. I, too, hope that you found the shareholder letter informative and even thought-provoking. Before turning it over to questions, I do want to reiterate the four things that I think investors should know. First, Triad Pay hit the much-anticipated target of being break-even one year ahead of schedule. We're not calling this a mission accomplished moment, but it is encouraging to see this performance in the face of a very soft transportation market. Second, we use this letter to announce load pay as a natural extension of the payments network. This wallet is targeted towards smaller truckers, which make up 95% of the entire trucking universe. And we believe that the total addressable market for load pay will be very large. We further believe that our unique positioning for distribution will set load pay apart from any others who've come before, and we hope and expect we will see widespread adoption. Third, we did recognize some credit expense during the quarter that was outside our normal performance. The majority of that was tied to the rate and freight environment. And while we don't ever love having that happen, I would say overall I'm pleased with how our credit performed through one of the most challenging years in recent memory. And finally, the year ahead could continue to be difficult from a short-term or near-term earnings perspective, especially if interest rates fall as projected and transportation remains weak. Now, we have the ability to adjust our strategy at the margins to offset some of those headwinds, but we will not deviate from the plan. If you own our stock or considering owning our stock, you need to be prepared to accept the revenue volatility that we talk about associated with our business. It would also be helpful if you're considering investing to understand we think in longer windows of time. five-year increments generally. We are not distracted by one or two or even three years of headwinds if we are seeing progress on the long-term vision. And there is no question in my mind we are seeing progress on the long-term vision. 2023 was not a great year for earnings, but it was a great year for Triumph Financials. We are far better as a company and far further on our journey than we were when we began the year. The plan is the same for 2024. And with that, I'll turn the call over for questions.

We will now go to Q&A. If you have joined, if you've connected via Zoom and would like to ask a question, please use the raise hand feature at the bottom of your Zoom window. Or if you have dialed in, please press star nine. Once called upon, please feel free to unmute and ask your question. Our first question comes from Joe from Raymond James.