goeasy Ltd.

Good morning. My name is Aubrey and I will be your conference operator today. At this time, I would like to welcome everyone to the GOESA limited second quarter 2025 earnings conference call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press the star, then the number one on your telephone keypad. If you would like to withdraw your question, please press the star, then the number two. Thank you. Mr. James O'Bright, you may begin your conference.

Thank you, Operator, and good morning, everyone. I'm James O'Bright, President of Investor Relations and Capital Markets. Thank you for joining us to discuss CoEasy Limited's results for the second quarter ended June 30, 2025. The news release, which was issued yesterday after market close, is available on Cision and on the GoEasy website. On today's call, Dan Reese, GoEasy's Chief Executive Officer, will review key highlights for the second quarter and provide an outlook for the business. Al Khoury, our Chief Financial Officer, will provide an overview of our financial results, as well as our capital and liquidity position. Jason Appel, the company's Chief Risk Officer, will then provide an update on our credit and underwriting. After the prepared remarks, we will open the lines for questions from analysts. The operator will poll for questions and will provide instructions at the appropriate time. Before we begin, I remind you that this conference call is open to all investors and is being webcast through the company's investor website and supplemented by a quarterly earnings presentation, which will be referred to by our speakers today. For those dialing in by phone, the presentation can be found on our investor website. As a reminder, The slide presentation and our MD&A contain a disclaimer on forward-looking statements, which also applies to our discussion on this conference call. Business media are welcome to listen to this call and to use management's comments and responses to questions in any coverage. However, we would ask that they do not quote callers unless that individual has granted their consent. I'll now turn the call over to Dan Reese.

Great. Thank you, James. Given this is the first earnings call I'm leading since joining GoEasy, I would like to begin by extending a personal welcome to all of those listening, including our employees, investors, and the research analysts that follow the company. I would like to start by echoing some of the initial comments I made during our Q1 call. My first few months in this role have confirmed my confidence in GoEasy. With my direct engagement with our employees across Canada, as well as many of our external stakeholders, I continue to believe this business is already operating at a high level and that we continue to have substantial potential for more. My initial focus across the business has surfaced many positive insights. And as you can see now in our Q2 results, we have begun to deliver on a few operational refinements. As we press ahead, I would like to reiterate a comment I made on a prior call. Expect broad continuity in terms of strategic direction. What has been working well at Go Easy has been working well for a reason. My aim is to ensure Go Easy has the talent, systems, and capital to build on the legacy of growth and strong returns that David Ingram and Jason Mullins have both established. That said, with increasing size comes both opportunity and responsibility. So as we continue to level up, we will scale up. In keeping with the heritage and norms of Go Easy over the years, we will continue to be growth-minded, deliberate, thoughtful, and forward-leading as we enter this exciting new chapter in Go Easy's history. With that, let's now get into the quarter. I'll ask you to turn to slide four of the Q2 2025 earnings presentation available on our website. I am pleased to report that our loan book increased a record $313 million in Q2, driven by a record origination level of $904 million. This exceeded our previously stated quarterly outlook. This strong performance lifted our receivables to $5.1 billion in the quarter. On June 12th, you will have noticed that we proudly press released that we moved through the $5 billion level. And as you can imagine, this was a major milestone for us internally and was rightly celebrated throughout the organization. I was reminded the other day that when Hal joined GoEasy just over six years ago, our loan portfolio was actually slightly below $1 billion. For reference, last year at this point, it was $4.1 billion. So even as we get bigger, our rate of loan growth has been very impressive and very well managed. Our record growth together with improved cash collections helped to generate record quarterly revenue of $408 million of 11% from Q2 of last year. Tailwinds in the quarter, which we will dive into shortly, included an important 50 basis point uptick in our total yield relative to Q1, now at a very encouraging 31.8%. Yields benefited specifically from improved product mix, stronger pricing, and better performance in ancillary sales. We also saw the continuation of recent trends in credit performance this quarter. In Q2, we reported another decline in our net charge-offs, down 50 basis points from the prior year, now at 8.8%. Net charge-offs benefited from an increased contribution from secured lending, as well as underwriting enhancements. As we continue to expand our business and as we drive increased volumes through our merchant partners, we are seeing a benefit in our efficiency ratio, which now at 25.6% came in 130 basis points lower or better than last year. Our adjusted EPS at $4.11 was the same level for the same period in 2024, despite, as you know, the impact of the rate cap. These results in combination underscore the resilience of our business model coming off just a slightly lower yield in Q1. Looking ahead, our board and the management team are aligned on pursuing our successful strategy and executing our plans relentlessly. We are advancing well and considering all of our growth potential options with ongoing and more fulsome discussions as we pass through the fall. In keeping with past practice, we will affirm our priorities, and three-year growth outlook early in 2026 in conjunction with the release of our full-year results. We continue to expect to deliver against the 2025 forecast we shared earlier this year, and now, based on these Q2 numbers, expect our loan book to finish at the top end of our original expectations of $5.4 to $5.7 billion. Turning to slide five, I would note that our strong Q2 performance was made possible by the focus and dedication of all of our 2,600 employees. Personally, as part of a group of 30 Go Easy leaders, I recently had the opportunity to participate in our annual leadership tour. Collectively, the group of us visited over 225 of our locations across Canada. I met with many Go Easy leaders at our annual national conference recently, which was attended by 600 managers from across the organization. Throughout all of this engagement with the Go Easy team, at all levels, I've been struck by how consistent and how powerful our passion is for our customers and our culture. I've been spending a lot of time with our LendCare business, including our merchant partners. These partners, which now number more than 11,000, remain a critical component of our growth, particularly in the auto sector. In the quarter, automotive as well as unsecured lending, home equity loans, and point of sale all delivered strong sequential loan growth. Rounding out my opening comments, I'm very proud to highlight what the Go Easy team delivered this quarter. Turning to slide six, you can see that our performance in Q2 met or exceeded the outlook we shared recently with you just in May. All of this despite a complex macro backdrop. This is a testament to the strength and adaptability of our business model, and it underpins our confidence in the future. With that, I will pass the call to our Chief Financial Officer, Hal Corey, to provide an update on our financial performance and balance sheet.