ECN Capital Corp.

Welcome to the ECN Capital Second Quarter 2024 Results Conference Call. As a reminder, all participants are in listen-only mode and the conference is being recorded. After the presentation, there will be an opportunity to ask questions. To join the question queue, you may press star then one on your telephone keypad. Should you need assistance during the conference call, you may signal an operator by pressing star then zero. I would now like to turn the meeting over to Katrin Moragelis, VP of Finance and Investor Relations. Please go ahead, Katrin.

Thank you, Brenda. Good afternoon, everyone, and thank you all for joining this call. Joining us today on the call are Stephen Hudson, Chief Executive Officer, Jackie Weber, Chief Financial Officer, Chris Johnson, Senior Vice President and Head of Capital Markets, Lance Hull, President of Triad Financial, Matt Heidelberg, Chief Operating Officer of Triad Financial, Mike Opdahl, President of SourceOne, and Hans Krause, Founder and CEO of IFG. A news release summarizing these results was issued this afternoon, and the financial statements and MD&A for the three-month period ended June 30, 2024, have been filed with CDAR. These documents are available on our website at www.ecncapitalcorp.com. Presentation slides to be referenced during the call are accessible in the webcast as well as in PDF format under the presentation section of the company's website. Before we begin, I want to remind our listeners that some of the information we are sharing with you today includes forward-looking statements. These statements are based on assumptions that are subject to significant risk and uncertainties. I will refer you to the cautionary statement section of the MD&A for a description of such risk, uncertainties, and assumptions. Although management believes that the expectations reflected in these statements are reasonable, we can obviously give no assurance that the expectations of any forward-looking statements will prove to be correct. You should note that the company's earnings release, financial statements, MD&A, and today's call includes references to non-IFRS measures, which we believe help to present the company and its operations in ways that are useful to investors. A reconciliation of these non-IFRS measures to IFRS measures can be found in our MD&A. All figures are presented in U.S. dollars unless explicitly noted. With those introductory remarks complete, I will now turn the call over to Steve Hudson, CEO.

Thank you, Cathy, and good evening, and welcome to our second quarter conference call. Turning to slide five, I'd like to just highlight three key takeaways, if I can. The second bullet, the scaled originator, it's now been three years since we've developed our first institutional flow program. And this last quarter, we got our first detailed look at both the credit and yield performance of the portfolios for our large institutional investors. And they came in both yield and credit came in much better than expected. As a result, demand exceeds supply, and we truly have a scarcity of MH assets. Turning to the fourth bullet on diverse funding relationships, we have now completed our strategic flow shift to institutional versus bank credit unions. And that shift remains at 70% institutions and 30% banks and credit unions. We think that's a healthy balance from the perspective of our liquidity and profitability. And finally, on the second last bullet with respect to our investment grade rated loan servicing business, we've now created three pillars within Triad. our retail pillar, commercial finance pillar, and our servicing pillar, leading to further diversification and, I believe, improvement in the quality of earnings for the triad business. Turning to side six, a couple items I'd like to focus on. We're happy to report $0.03 of earnings per share and confirming our guidance of $0.10 to $0.16. $20.2 million of operating income from triad ahead of our plan and origination revenues came at 7.5%. evidence of our path to returning to our former profitability. Our funding programs, Carlyle, our partnership of Carlyle was extended and expanded, which is great news. And I'm very pleased to announce that Monroe Capital has joined our partnership group with a $300 million forward rental funding program launched in late June. It came a little later, but better late than never. I want to thank the team at Monroe, particularly our friend Kyle. Turning to RV Marine. It's nice to see growth coming back, up 14% year over year. Thank you, fellows. With 311 million originations. I do want to point out the two significant developments. First of all, we acquired a servicing platform, Paramount Capital, a great addition to our family, which will service our RV and marine assets. And as well, we've now, with Chris Johnson's leadership, we've now launched our institutional funding with a $250 million forward funding program with a AAA-rated program mutual insurance company, that signals the movement away from credit unions and to institutional funding. With that, I'll pass to Lance.