VICI Properties Inc.

Good morning, ladies and gentlemen, and welcome to the Bancorp Inc. Q3 2025 Earnings Conference Call. At this time, online is in a listen-only mode. Following the presentation, we will conduct a question-and-answer session. If at any time during this call you require immediate assistance, please press the star zero for the operator. This call is being recorded on Friday, October 31, 2025. I would now like to turn the conference over to Andres Bierslob. Please go ahead.

Thank you, Operator. Good morning, and thank you for joining us today for the Bancorp's third quarter 2025 financial results conference call. On the call with me today are Damian Kozlowski, Chief Executive Officer, and Marty Egan, our Interim Chief Financial Officer. This morning's call is being webcast on our website at www.thebancorp.com. There will be a replay of the call available via webcast on our website beginning at approximately 12 p.m. Eastern time today. The dial-in for the replay is 1-888-660-6264. with the passcode of 37073. Before I turn the call over to Damian, I would like to remind everyone that our comments and responses to questions reflects management's view as of today, October 31st, 2025. Yesterday, we issued our third quarter earnings release and updated investor presentation. Both are available on our investor relations website. We will make certain forward-looking statements on this call. These statements are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, and are subject to risks and uncertainties that could cause actual results to differ materially from the expectations and assumptions we mentioned today. These factors and uncertainties are discussed in our reports and filings with the Securities and Exchange Commission. In addition, we will be referring to certain non-GAAP financial measures during this call. Additional details and reconciliations of GAAP to adjusted non-GAAP financial measures are in the earnings release and the investor presentation. Please note that the bank corporate undertakes no obligation to publicly release the results of any revisions to forward-looking statements which may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Now I'd like to turn the call over to the Bancorp's Chief Executive Officer, Damian Kozlowski. Damian?

Thank you, Andres. Good morning, everyone. In the third quarter, the Bancorp earned $1.18 earnings per share on revenue growth of 7%, excluding consumer fintech loan credit enhancement income and expense growth of 6%. EPS growth was 13% year over year. FinTech GDV continues to grow above trend at 16%. Revenue growth in the quarter, which includes both fee and related interest income revenue, was 23%. Our three main FinTech initiatives continue to make substantial progress. First, our credit sponsorship balances ended at 785, up 15% from second quarter, and 180% year over year. We are expecting increasing volumes with new product enhancements and increased utilization. Second, our embedded finance platform development has continued to progress with an expected launch next year. And third, new program implementation timelines, Cash App being the largest, are on track with expected revenue in the first quarter of 2026. All three initiatives should have an increasingly positive effect on our financials as we move forward through 2026 and into 2027. We also made progress in reducing our criticized rebel assets, which include both substandard and special mention assets. These assets declined from 216 to 185 million or 14% quarter over quarter. We expect more progress in the fourth quarter. Under our project seven initiative, which looks to achieve $7 earnings per share run rate by the fourth quarter of 26, we'll be conducting a restructuring of our institutional banking business in the fourth quarter of 25. Headcount is being reduced by 30 as we de-emphasize growth and reallocate space in our balance sheet for credit sponsorship balances. This will reduce run rate expenses by approximately $8 million while incurring approximately $1.3 million restructuring charge in the fourth quarter. We also are implementing our first AI-powered use case. We have developed a new tool to reduce the writing of narratives in financial crimes risk management. For a $300,000 investment, we anticipate that we'll be able to avoid approximately 1.5 million run rate expenses over time based on increasing volumes. This tool will be operational in the first quarter of 26. This is the first of many AI tools to come in the future. We expect to develop and implement these tools as quickly and as prudently as possible in areas that will lead to increasing efficiency and productivity of our people and platform. These tools should have an increasing positive impact on our already best-in-class profitability. Lastly, we are lowering guidance to 510 a share for 25, primarily due to lower projected balances on our traditional lending businesses and an increased credit provision for leasing due to losses on the disposition of previously identified credits in trucking. In addition, we are not giving specific guidance in 26, other than we are targeting a minimum $7 earning per share run rate by the end of 26. We are, however, initiating preliminary guidance for 27 of 825 earnings per share. As discussed, we believe that our three main FinTech initiatives, platform efficiency and productivity gains from platform restructuring and AI tools, plus a high level of capital return through continued share buybacks, will contribute to EPS accretion. EPS gains are subject to uncertainty, particularly as it relates to the development implementation timelines in fintech and our stock price for buybacks. We'll now turn the call over to our interim CFO, Marty Egan.