CONN - Earnings call transcript Q2 2021

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Operator

Good morning and thank you for holding. Welcome to Conn's, Inc. conference call to discuss earnings for the fiscal quarter ended June 31, 2020. My name is Diego and I'll be your operator today. [Operator Instructions]. ir.conns.com. dated morning XXXX, via and Investor website release market distributed the earnings Relations this opened can at company's September was X, before company's The be accessed

call other you their During assumptions, a these financial materially are remind and that today's the I reconciliation cautions some federal forward-looking earnings from are share. and earnings risks which of differ future forward-looking the could diluted most non-GAAP company's statements laws. represent company the certain of measures. statements refer per The such will must within subject issued release call, discuss, that actual to statements adjusted concerning the statements results which beliefs performance adjusted was to comparable net events. securities of those uncertainties, meaning management are GAAP measures, that in present income necessarily cause to company's to this today. or Please expectations measures among indicated today for on These made based

today are Norm and call Lee COO; to conference company's company's turn Please speakers Bchara, Miller. ahead, sir. to company's go the Mr. the like the I George Wright, CFO. over CEO; the would Miller, now Your

Norman Miller

the Conn's crisis. Good start Call. to I on XXXX today's you morning want call and Year COVID-XX to Fiscal Second response our to welcome Quarter Earnings Conference by updating

the additional to details landscape. to extremely quarter many the turning pandemic as the navigate and business economic call George, country. Before across on current the impact environment The and over provide to the continues remains communities will are the actions who fluid and economic we taking Lee

capitalize unemployment the unprecedented our market year prior year, to to these credit same products. increased operating has disruption period we we drove the third-party this conservative the underwriting the believe has place second home on had business performance, in Cash the profitability XX% expenses and crisis proactive earnings were favorable model period. the year increased the with products, would in nearly diverse capabilities. fiscal operations our credit we our sales pandemic, decline adjust believe credit have At through approach to responded the onset the response Applications positioned and that in for as speak impact XX% the year, to financed and sales challenging related second ability combined the home our value our in-house and fiscal successfully of company service credit in caused. our demonstrating compared We Overall, credit application results Despite reflecting our given offerings. customer to positive prior increased our on COVID-XX the and business. the for performance, resiliency well diluted quarter have trends over COVID-XX better-than-expected a uncertainty as further demand The adopted share prior offering. a and quickly also economic of our navigate related $X.XX in conditions. impacts, high I mitigate and of quarter per put to second that changes SG&A earlier in reductions the to the strong crisis potential strong on demand offerings compared essential the products a conservative to recent XX% quarter approach

and expect disruption consumer flow we what produced COVID-XX crisis caused Considering liquidity buying the our addition, the position during showrooms year, fiscal quarter from our increasing be X and In accelerating opened digital lasting the which by operating down and stores year. and the now last remains to omnichannel cash habits, investments robust sheet capabilities. changes we plan XX strong. we We new and open fiscal between in are to balance in X this and is

are showrooms next the to XX We customers market-leading We through market X also in center open proposition expect believe and is order primarily distribution in with leverage COVID-XX January fiscal we to in Lakeland in store that expand the growth, in investments enhance scheduled our the Florida year, and XXXX. to more will value digital between conjunction crisis the to new pursuing our more future. our competitiveness targeted open

As you the need. to opportunities this of investing for continue in can period. we communities their see, navigating time have in Conn's, believe behalf associates significant to On our this thank everyone focus crisis future. growth successfully want on COVID-XX committed to customers all personally continued in remain to during we business at the and we of we challenging while of the our I our dedication support helping

provide this operating with will overview, over to actions who and quarter we our taking on to crisis. more to Lee, call second let respond the So me results are the details COVID-XX the specific turn

Lee Wright

reopened of the on do are as August quick process. I'll storm. path our a rebuilding All local are on supporting Hurricane in we on We showrooms with Norm. Thanks, my remarks showrooms quarter start third financial results. certain not time Hurricane XX. evacuate impact expect Laura, closed we hurricane's the our impacts to from landfall our a affected Prior to update prepared landfall, Louisiana communities to the and the have on now which made Laura focused allow employees recent meaningful of start they the

in look prudent positioned the have let's navigate segment this the detail. to us second we more COVID-XX in with that changes update, underwriting at performance mid-March of impacts credit successfully believe our We implemented crisis. quarter the So

believe this fiscal year, of balance for XX-plus accounts, which the example, approximately the the year. remainder we For of the lower past due declined to days of charge-offs has customer sequentially XX% will lead fiscal since beginning

scores improvements newer and from as originations expect We overall a trends benefit continued FICO customers. higher in mix higher existing of credit

other experienced standards. larger we second in repayments addition, prime underwriting prime population normally trends higher In as quarter. have outstanding our and cash of are near within exceeded their portfolio quality the typical seasonal lenders loans seeing applicants Strong tightened on a

within to fiscal and accounts support on to with in relief years, nine they and are having in we benefits impacts cash within down pay a spending customers available in using COVID-XX positive our To also pandemic, their We experienced our trends payment payment believe of immediate line our cash deferrals the also which our are time portfolio. more quarter we were are that are the their our was of impact and portfolio of saving these financial the believe In is to Consumers we efforts form customers collection internal of by fact, less these programs. the strong the best the cash encouraged driven of debt. collections rate second help we our provided and We government performance customers. need pleased support navigate in expectations.

our accounts reaged certain We are controlling on we reaged focused be more to revised portfolio balance June, in the and also restrictive. programs of within

reaged percentage As XX% dollar decline that of am I the as declined of a since XXXX. result, balance the a January see we portfolio. also reaged are in accounts a approximately XX, starting to encouraged has accounts

can government to given the COVID-XX pursue see, credit the of approach environment support continue overall the and we As a pandemic, continuation programs. uncertainties and economic stimulus conservative you the associated with

through financing we credit business companies, options while partnerships. our risk business highlight and flexibility model have second and other diverse alternative while derisk providing unlike reduce results of with We third-party consumers our retail still credit demand However, supporting multiple of flexibility the to quarter believe our success as unique prudently our ability still our a result the and hybrid retail options. to credit the

in the second quarter So We X.X%, same-store declined tighter in the mid-March looking during second sales at XX.X% quarter. that declined in implementing while believe crisis. our primarily estimated Total same-store more for sales the an segment adjustments to detail. underwriting performance retail reduced underwriting to retail by COVID-XX began response sales XX% we due

in-house the remainder for prices sales cautious related credit Overall, fiscal our in have for to the uncertainty which expect underwriting lower economic continued continue appliances level demand our see selling we which through remain the will offering the for the financed quarter, to strong year. of during likely average typically environment, of we Given approach, impact and the were to our as by furniture changes, discretionary underwriting consumer TV during gross below highest continues electronics electronics significant ticket deflation. Conversely, experience lower furniture margin. to impacted sales consumer our mattress such mattress products and and demand price more of remained Sales levels. while pre-COVID increased represent the and quarter most and Appliance purchases retail X.X%.

and and vendors logistics the issues category. sales down electronics furniture demand, XX.X%, consumer the XX.X% second were by a as manufacturing higher-than-forecasted quarter as inventory appliance As for within and retail global of Out also impacted our mattress stock and was caused at respectively, primarily and result, quarter. well second sales

chain. fourth manufacturer fluid chains quarter the generally improving, While are global strain demand remains the environment supply and is expected to supply

heading levels holiday into with managing current partnering and support are while our We demand inventory future to season. vendors the

initiatives. and new Norm have omnichannel period. are and XX% sales e-commerce digital of year's through Last supported second investments to website approximately growth e-commerce our upgraded compared launch increased fiscal we in our the As year quarter mentioned, accelerating platform recent channel prioritizing this also and prior and

interact mobile our through easier capabilities their it online and Conn's focus digital New will customers on our make extending with investments for to device. or

Our marketing strategy is omnichannel and support growth plan. e-commerce our also evolving to

partners, our overall progress early transforming new the are refining marketing and I we and sophistication marketing capabilities am new function. our investing in of the We pleased effectiveness are with establishing making approach.

during in despite increased fact, prior expenses year applications In period total the X.X% reduction the quarter. from a meaningful marketing

driving efficiencies X operating bringing have organization nearly prior date the all in approximately Finally, of Retail across opened of expenses have lowered an X, year-over-year within markets. retail existing a successfully down across fiscal are we compared on and SG&A our been categories expenses opened August, In greater emphasis have despite several to since increase stores the showrooms, X% mid-March. which put total year additional to square we period we number footage. to new XX%

balance this resources combined service to work, to refining the challenging our to conclude the continued success the for dedication. future our we and experienced our compelling to business model, and with leadership digital of my remarks, our our believe We strategies demonstrate the second period. prepared of resiliency hard navigating On behalf results current pleased progress I'd am while team and business. strong business successfully employees team, growing of needs pandemic of entire financial are your our with platform. the the sheet thank leadership quarter provides through the our model I So the like manage This COVID-XX making and support necessary

Now let to the George me review call to performance. our turn financial over

George Bchara

million business generated the The as of increase year-over-year The in tighter a in in the operating our balance and a cash flow $XXX.X and Lee. of customer cash decline underwriting cash decline in Year-to-date, with collections. our debt Starting position. by flow Thanks, $XXX.X has operating driven year-over-year operating flow, significant liquidity cash increase the including quarter. was in second the million strong accounts cash strong sales drove lowest percent a the third-party a the XX% result balance approximately portfolio liquidity receivable net ending to approximately the million. with as debt the of balance is of of January since at end at liquidity year. of XXXX XX, the level cash second giving of ended at before to $XXX.X effect beginning quarter the quarter. of million XXXX, available and XX% from as immediately the second the portfolio We the Net fiscal percent $XXX minimum requirement and

position needs As can and of liquidity the our enable COVID-XX future crisis believe navigate remains strong, will you to continue business. which and us we support the to our see, current

to complete continue transaction of year. the we before ABS expect end to addition, fiscal our In X

net X.X% per the for income $X.XX that diluted to net income quarter same period release to a $X.XX share a for issued basis, per financial certain press diluted for fiscal net second second non-GAAP Moving reported fiscal for results. earnings last for income measures $X.XX we the morning. from compared of for year. second million of diluted financial to and the diluted the On the We last share quarter of quarter per GAAP in share income share our same period credits, last decline to available this revenues of adjusting non-GAAP consolidated net same reported compared was charges GAAP Reconciliations year. year. were an of GAAP On are our on quarter, period per $X.XX second representing basis, fiscal the $XXX.X

Our were financial the success reflect results our a the XX decline for million, from cost additional quarter expenses savings year of X.X% despite the consolidated prior SG&A initiatives $XXX.X stores. second as

we a expense year. for on on up focused our cost to flat expect remain controls, to the be SG&A of slightly year-over-year remainder fiscal basis we While

points detail. from a last was million, Total in XX.X%, second the more period basis margin $XXX.X retail income Looking XXX at logistics an which our sales margin. segment last Deleveraging retail in for strong also on decline a decline revenues second retail for the retail of decrease on fiscal year. X.X% The fiscal sales Retail the quarter. gross from gross quarter gross same margin were same year. margin quarter the the lower and reduction commissions during costs lower appliances, fixed reflects impacted gross in have RSA of retail period retrospective

put partially expect will year. was on a on SG&A reductions in offset year-over-year the last of and to million continue this retail lower $XX.X to due pressure million trends operating We Primarily for back to compared our sales income these gross year. by segment Retail fiscal expense. basis period retail lower fiscal half gross margin, the throughout margin same retail retail $XX.X

receivable due a and $XX decline a segment. customer of charges The in from were in a the other revenues insurance fiscal same portfolio. of sale was to financing during commissions last income. in primarily Turning X.X% decline in-house and the credit the period the insurance credit reduction decline to X.X% balance due our quarter. Finance of to average Lower retrospective second balance million the year our

For to the year-over-year more increasing be remainder than XXXX, down of of other expect we a balance fiscal offsets finance lower loans as revenue charges year yields. and

our are crisis. reminder, to losses. expected reserve in estimated the lifetime required a for allowance associated CECL, quarter, recorded losses an Last related under with COVID-XX As debts we future for we bad to increase

our percentages quarter, improving a the from in for This performance result of benefited magnified higher a by balance, and portfolio reserve was decline CECL. bad shrinking allowance as which under debts provision an

year elevated already debts compared reserved $XX.X million to was second charge-offs our Higher despite during last same the this driven a last $XX bad loans by in result, period million fiscal year for allowance. provision our the and for were charge-offs quarter quarter quarter. fiscal were As originated

year. originated spread, Our credit same and to reduction was strong for as was a X.X% year taxes credit spread segment $X year in newer, originations in The third-party period decline the last fiscal year-over-year higher income in sales. charge-offs driven taxes before X.X% million $X.X for of the elevated for accounts to ago. fiscal the Which debts. and million provision compared bad associated last the the balance credit cash Despite a for second before compared reflects the result the reflects was quarter with a loss decline and cash the quality period same by our collections, of a higher improvement portfolio

Lee please and open are So Operator, take up to with call questions. happy this overview, to Norm, the questions. I your

Operator

Instructions]. [Operator

Our first Oppenheimer. question comes from Brian Nagel with

Brian Nagel

the remain time. themselves. First tighter going the difficult to of the through given really comments all, to environment. your the you decision strategic I'm to a have, give Lee, lot congratulations in lending obviously The standards back well speak for prepared a you spent we time talking Congrats about pull that. just of managing lending here, business the expect mentioned of I look, Numbers balance on in on on the place year. through question

obvious, company the looking your market-by-market lessen all indicators lead could you're within is to mean, a you that recognizing then profiles you could for risk Or restrictions? to, start beyond category few nothing? are secondly, to a And an the by different it even questions, category maybe there's as sell in I categories stores? or specific these So you go there

Lee Wright

over of expect back We half been that year from underwriting is that's tightening segments and half to at at back entire second risk cautious nothing to through message as that levels, and more that we -- ensure the in to of a is come pandemic the the and in I not of that as we strong which shape necessarily does an sales than forward at business the unemployment both some us cautious Absolutely. that unknown because the in standpoint, which sales an type from in geographically portfolio us a relative XX% capture believe of we're digits time opportunities being are forward demonstrates necessarily happen, standpoint, underlying years. coming to although financing obviously in to model at I we never XX% shape. tighter the really we a opportunities going give the non retail pandemic the year. end strong that we'd short-term it to continue company's being anticipate year. through last half tighter this go to still what's year, the a is guess the different I'll keep XX double been part be well. opportunities little answer not tight up would only the an rather benefit standpoint, credit of being with opportunities, it, back going not quite but be we strong of from as level all having opportunity are or long very out in have very take customers of out of first, not Brian, of con can as last underwriting our mean here increased We portfolio the and that business the any there as with believe appropriate our

Brian Nagel

then it. couple norm maybe follow-ups, a quick -- some on that. And just of Got

in out I look, lensing doing there the in correctly, extent, talked a you be your to exclusive now, second there, Then just something since niches in-house in given ago, seeing view, what how stands that a I share have, in Lee what with mentioned mutually market, second to to credit from right serves But could surge tied Or credit? with you the temporarily. mean, similar to asked are product competitors your Conn's, to alone that your of Is you certain in the make at that one -- needs? that we actually Conn's? credit or credit do still a within are as So are credit. you tight but about have is Or you this -- are chance the they that want you market losing customers not one, significant some can't do from as certain marketplace. buying a your sales you're other least -- you is I sure using your get my actually standpoint, stores look

Norman Miller

and on I'll full increase those those our spectrum of think we're I third-party financing actually don't part the have in because mean, both on exclusive. side credit we first. second attracting I we're than answer to our more Synchrony the customers they're offering, I cash the with think marketing customers, the customers, past. probably the attracting

out So we expect those mix our and of of to going the end others day, that full And or have question, pandemic I that spectrum alternative customers. credit the we or credit competitors it will think are out there's businesses separates customers credit than have. pre-pandemic options lease-to-own those for out are have that well. that obviously there, offerings out there at there skew quality us offering higher prime financing. was coming some as your the is Synchrony There higher the there opportunities high of And on first what or

credit the to There's competition in about But both no there marketplace that out is that's still APR currently as at for from underwriting business. Conn's we're financing, XXX quality far on as ends. XXX aware there So of. a the XX% that customer our of XX% one those FICO of

George Bchara

standpoint, a There a from And originations back are companies finance down, what of is you're terms in are other to unique seeing consumer second not XX% our just that, number the finance pull originations to us. consumer of quarter. add to I up whose would for on Brian,

that a This industry. phenomenon. the you something across see So it's can not Conn's is

Brian Nagel

appreciate color. I that

Norman Miller

Brian, add say I'll credit thing other are or tightening more opportunities other higher finance higher as seeing quality. we up, is banks credit a options are and One I'd from

forward We everyone from credit to us create are credit credit entire at think spectrum. the from as our the will across spectrum, for spectrum seeing we but of tightens higher opportunities opportunities us, higher-end not along just that going the the --

Operator

Our Nelson next Stephens. question comes from with Rick

Nels Nelson

quarter-to-date? the quarter ask about seeing trends progressed you're sales as what in to that and current Like

Lee Wright

wane it's bit expect we through of being saw stimulus quarter. the Rick, government little clearly, Cares with at So a Yes. July, where second saw go went Act we a the as we of our that press to we sort anything not the guidance Lee, we And as the stood clearly, from some in particular the of in deceleration the forward, ended of in end release. change on as quarter. said giving we're we But don't

Norman Miller

would Yes. that the say I'd some that overall and comments, office home appliance here inventory at we to approximately long there, in improvement that the hurt underwriting, expect in case where quarter us half which at standpoint, and our we're in his constraints of Lee as back some see as range, maintaining least on they're August, mentioned quarter. the are currently but standpoint the From seeing an at for are XX%-plus that's we the same-store sales we

Nels Nelson

you -- you Got the in for what we've loss vintages? see you in on COVID pick and loss the final commentary driven? fiscal to 'XX if any is And 'XX expect on step-up speak where data as rates could rates. credit much 'XX the And loss might the you. you those is looking that vintages, 'XX, how had Also at cumulative to fiscal side, and static losses

George Bchara

to Rick, as losses under reminder, this on would lifetime what tell going in portfolio. you reserved CECL, for specific I'm fully any on is comment I anything is now not George. we're vintages. a that But our

we expect our for existing on incurred loss allowance. already that are So any our losses model, portfolio unlike reserved pre-CECL, the in

Lee Wright

as Rick you've and clearly, closely. things our that very stats follow-up, you credit seen, the follow know of I a just one

forward, go we what at turning into about look you good we the very feel continue put as in pandemic. even to QX, portfolio As to we

very think, entire we're those you've And originations even itself. better metrics get I those pleased portfolio, as the with new the performance seeing to again, and we're during the as the seen think continue of pandemic. portfolio I

with we're that. So pleased

Nels Nelson

pressures. Well, about margin. mix of gross talked Great. driving And those you then the

any pressure aggressive attract more having speak to card you're and cash buyer? all seeing could with you at to categories, if to more credit If pricing get like-for-like

George Bchara

deleveraging being because detail, margin you're aggressive a is because from general break we it pricing we're the out side are The obviously, don't of I'd primary that one house, being items. seeing the standpoint the driven say are standpoint, and shift, by on margin sit from as mix sales number more really a the a is driven two standpoint drivers being we deceleration two but logistics primary driving from the specific here, the change. the not that

Operator

comes Our next with Jefferies. Joseph Kyle question from

Kyle Joseph

to touch on a Just stimulus Obviously, little credit. bit with more wanted underwriting a shrinking a there. lot tighter of parts portfolio, moving and

down well, you you think that basis that effect as denominator earlier be shrinking said year. just on expect a on with net given basis? I Or denominator? the to a charge-offs is percentage a this Is dollar that

Norman Miller

The reference on a basis, dollar Kyle. was

So of we for total for the the and basis. the sequentially balance of on be provision the year back year-over-year expect to down to charge-offs year half down in be a

Kyle Joseph

losses, you talked level lifetime then here, little obviously, kind Got from hang performance, you reserve around where of reserve it is? terms surrounding a bit a given are reserve the the about your uncertainty for us of give to sense Can And level it. -- expecting for but delinquencies, you of stimulus. in credit

Norman Miller

be portfolio. performing new going I balance of back the the better though, As driver, say declining of see going level that flat portfolio. to the the to the half benefits bigger percentage, be of to would as as the year in you know, of originations in The it's we is a the

Kyle Joseph

of And in have then of noticeable credit at end ran stimulus terms Yes. the or July, you out seen changes September? August performance since early it. Got any

Lee Wright

it's Kyle, Lee.

because stated, again, conservative we've what pandemic. very the been So we're Norm in as of of originations booking

from thing The we over anything that prior you the rate. booking. investor laid year. the the rate seen of payment we a new seen deck, saw, haven't is we in So Clearly, from only have payment out enhancement a

seen little still have that down bit, a We strong. but come

So of our very has but pleased stimulus. from come expectation been get combination did is collection that, get government we that further as some. we But been impactful, will with we've the also down fact the that that which execution,

Kyle Joseph

just underwriting for you of it. Got last sense terms in recall, fall then for year. guys the least supporting kind a think me. a If at I'm And the question tightened underwriting I last the of in comp? get lap to bit, changes of we when I trying

Lee Wright

Yes.

correct. In year. we the So last Kyle, that's fall, do tightening did some

So come lap as that we will we in...

Norman Miller

It's really October.

Lee Wright

October... really It's Yes.

Norman Miller

time frame. November October,

Operator

Our next comes with from Thomas question Brad KeyBanc.

Unidentified Analyst

Brad. were business quarter. We as encouraged a in on Conn's Andrew about profitability is do online the credit forward? by growth you percentage the think portfolio? Could this about the credit talk for impacting how This going online of you And of

Norman Miller

credit ultimately, I'll pass -- we we running It's in can the materially, It's most believe, wants. which of Lee at he for sale, you online pricing We XX% a any year. it, prior add first actually, of standpoint. comments can And X% our then charge business heard, X%. take do the from the up same part over total store. been about a here, be and it from XX% X% that between our business in from for a and as of balance profitability is

the drop do financing with significant from element other it. our of So we don't see margin a because online retailers that of business a standpoint

financing, online. do of because we standpoint an Conn's underwriting financing although Conn's fact with from the with Now business

tight ensure online we issues than but tighter to much portfolio, have are that stores the we in are We underwriting, the of because store. profitability risk from the similar the ultimate with in to is see we overall a standpoint, don't what

Unidentified Analyst

how relationship could then evolve X.X% mix, about how playing you Understood. financing Thanks and you the over quarters? your expect for there. it talk that to detail to of is out overall increasing progressive with coming And the

Lee Wright

think of with partner. we think opportunities as talked there's up. it's clearly, for there happy lot Yes. lease-to-own opportunity about Obviously, is for We we're our I XX%, mean, still significant more. we that tightening a

growth So and we there there should be think opportunity. additional

Unidentified Analyst

into you provided talk all selling And then for August? drivers you're that my is, changed you. And price changing? seeing could moved you all on then as is has question details appreciate Got types how the quarter. But sales this customers average underlying you the the at and last the we about of

Norman Miller

an a shift I'd we seen say mix driven category ASP, What but a from from by is reduction the it's have standpoint. from -- a overall

have If than our you historically, appliances, ASP mattress furniture categories. look a average our sales lower and

have of credit ASP, tighten spectrum. is a underwriting being appliances from we've things overall but driven things major seen shift an pressure is done predominantly. larger from it's across we Plus the our one credit of the underwriting, to sales. an the limits the So reduce Number to risk by mix one, overall lower standpoint two overall as

proactively to our us of So categories that all portfolio. resulted has mitigate that's in some risk but with by with driven the lower ASPs,

Operator

comes next Ryan Bill from Our Compass Point. question with

Bill Ryan

of couple A questions.

First, the equation. there side that And closed of that in believe thought thinking range XX-ish, in of I XX% area. tightening sales and out the took the it underwriting in process XX% the the in-house quarter? think kind behind I finance quarter Was the incremental place May, said second you the any was in about is,

I course wondering there's the of incremental So the if was during that tightening took place any quarter?

Norman Miller

range it of underwriting was the standpoint, there XX% done Bill. at the most No, an in quarter, quarter almost end, low the was from nothing done was at second whole very

Lee Wright

period do little obviously, bit those Yes. have It that as made a use one changes. an do we've time of to you takes their time. They impact open credit. our Bill, customers the do get,

through. that does of flow a have little bit So

probably it's effect the saw. So you some of

Bill Ryan

Okay.

purposes Okay. segregating That's helpful. to trying kind of then put forward. everything together provision. going just I'm for And modeling the

definitely credit. You've tightened

results You're good it. from seeing some

seems call tighter the to going is be lower should it the with implied underwriting to reserve like to It that level maybe remain provision slightly You the forward, but kind coming going or down. flat of standards.

provisioning the the And range be of new what can, you're you some originations thought looking rate then, that. sort underwriting? I'm that a specific specific, sure the but within of if can is more kind on of you not process your So on if tighter given

George Bchara

Bill, The around the Obviously, the still is allowance year this you George. uncertain. described now way environment for thought back half percentage of the is sense. makes process right the the

down. that's slightly we flat as so And characterize why to it

half enough we're providing year. you the terms I of time, think specific the the for In guidance modeling percentages, or provision that but think this gives back rate to through of the not at

Operator

question-and-answer the Norm for of will And end We closing turn Miller remarks. session. call I have now reached the over the to

Norman Miller

in participation First, to call. and their everyone thank interest I want the the their on company for

another of challenging their work do across and in our centers the in and We forward to at talking also been you. our times, Thank to we states all thank take to remarkable. it's there want call call. earnings associates We opportunity look these business next to for XX you headquarters

Operator

today's parties All conference. may a concludes This great day. you. disconnect. Have Thank

Conns (CONNQ) 3 Sep 202021 Q2 Earnings call transcript