RPAY - Earnings call transcript Q4 2021 | Repay Holdings Corporation

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Greetings, and welcome to today's earnings conference call being hosted by Repay. With us today are John Morris, Co-Founder and Chief Executive Officer; and Tim Murphy, Chief Financial Officer.

During this call, we will be making forward-looking statements about our beliefs and estimates regarding future events and results. These forward-looking statements are subject to risks and uncertainties, including those set forth in the SEC filings related to today's results and in our most recent Form 10-K filed with the SEC. Actual results might differ materially from any forward-looking statements that we may make today. only obligation today, them, or required law. speak not we except statements by any assume intent forward-looking as and of do as The to update and discussion provide site. financial the non-GAAP an nearest supplement, measures can on as explanation earnings financial measures to In reconciliation to non-GAAP measures, additional be those GAAP our as company's effort include references the financial which to investors, an earnings of found to today's are measures, will of of also certain non-GAAP release information each in well these available IR I turn Mr. now call over would to like to the Morris. go Please ahead, sir.

John Morris

you, our Thank for review fourth you quarter Thank and results. afternoon, and operator, full everyone. to joining us today year good

growth XX%, included a growth total During the company. of caps growth. for quarter, XX%, the and XX%, which profit we of growth XX% of organic successful year off This volume revenue very reported gross payment card

growth XX%, and full XX%. payment revenue card year XXXX, profit of gross total reported For the we growth growth of volume of XX%

Kontrol we expanding December, loan market. enhances position the accelerates position in Also vertical AP and in management. side for June, Payables, approximately XXXX, the total and $XXX of we in capital work successful buy-now-pay-later In through us able by that our accounts in year, to acquisition and Unions business the XXXX. in common well we Payix, Early million, further concurrent in capital acquired a our through June, putting notes acquisitions. positioning BillingTree, many financials, opportunities. Credit verticals, additional proceeds acquired expanding further which we auto In in expanded key on inorganic largest our the organic care, we for secure our offerings date, our our some offering, of we and convertible to expansion had to developments acquired key health were in in Beyond further gross receivable BXB. stock capabilities And

acquisitions very We continue future playbook, going are The integration help to our integrations us which invest should well. in our with XXXX M&A. from

XXXX opportunities. and organic with growth achieve product, growth our of us growth investments gross year, XX% the well which investment on spend in organic technology Some to in XXXX. focused went and during paid positions off strong talent, towards organic These profit

As well We've an relationships added for increased year, of talent, during we with on team distribution XXX-plus new both as partners which the adding existing and penetrating resources, sales from further XX% referral and sales members, our ones. focusing as XXXX. our direct is approximately increase software

We on well product We development Ireland-based a integrating and internally, consultancy partnership For focus partnership teams expect this helps additional Protego Ireland hired and with technology, technology specialized add as an have strategic acquisitions. approximately extend we Repay XX for that departments project now to talent developer to and dedicated XXXX. as in Technologies, in announced and members through talent technology team management.

enhancements Some towards successfully XXXX. of we product, which our solutions, BXB investments around our in cross-selling were implemented geared

in We to of more this do expect XXXX.

in year-over-year. We X.X at the for last partners, XXXX. when representing and year Credit penetrating XXX XX, same In went have by software our customers, Xx XXXX, XX now added growing base the highlights ending space, Additional with approximately customer compared further year, nearly point we over members. to include, we Union Credit XXX XXX new Union XXXX million the public

growth Services look experience and to and We and of our and the Repay to and evolving Place our Repay, of that Emnet the with Rios, services XXXX, from named perspective. governance we We Fortune Insurance. XXXX Work support Best expertise customers Workplaces Great is strengthened as who technology executive, an needs appointment partners. accomplished to financial in blockchain brings In our an Financial expanded also of and the employee board further one organization

$X.X XX-plus inaugural X,XXX We BXB business our have and focused representing continued our quarter. We XX software payments the sustainability integrations, also which during clients. vertical, have highlighting now enormous approximately markets vertical perform the published efforts. is TAM, corporate to end on fourth Shifting our highlights; quarter trillion ESG report, to our well over

On almost TotalPay. our network was hospital XX% saw with similar the one to We in solution. to been we to that great over on AP able success close property XXX,XXX. have side, the success We've and multifamily of grown we've had to card, XX% our conversion example, with TotalPay increase virtual space. our to clients management supplier An and averaging

our need in for in consumer momentum XXXX, side loans the expect to the and payment continue business throughout increases. We strength QX, also the of saw as

Payix loan auto in a by foothold. well and the driven is used increased seeing of the large quarter, growing prices. strong is loans was positioned high to which market, Our demand repayment existing efforts business market This combined car of and in that with to our still are the the penetrate, we and continue

our from our side strong mortgage seeking On through of with originators, solutions we origination Mae. payment Ellie business, first-time experiencing the demand are integration

many of solutions. side, large that products this continue our mortgage space, players to and there are in the On servicing use many

transfer processing efficiencies transactions in solution clients value and is exchange are the real gained. service Our seeing

demand velocity additional the increase, We will rising our originations, expect interest generating offering. and the MSR with rates decreased for STX of that transactions

the customers. moment The buy-now-pay-later share to discussed, generate Signature a the engagement, delinquencies while and acquisition past the innovative take to of market offers various white-labeled for our its and to more customers X approximately clinics want low, services the platform a payments over one The buy-now-pay-later continue lender grown expenses. customer and space. XXXX has in pet highlight growth. XX,XXX branded MedTech is space. an to self-service defaults enabled financing California-based through option mobile accelerates years has with the its Payix across than Scratchpay scale seize keeping Scratchpay over of its Scratchpay XX% helped has been X, Take the growing including Payix originating platform, has able now application. options, company expansion XXX% drive to and rapidly the quality to of I company software through previously Canada. U.S. in which As our company Payix omnichannel Payix's

of On these started that payments. card from walk borrowers lenders X-plus physically instant our they customers, years the ago, digital accept payments. wanted both heard not and accepting speaking would debit it completely we for for consider When loan side, they they thought with some unheard are branches. to going several of personal to in funding of They funding, largest because was we've loan lending

Now solutions the the our digital that experience consumer provide. is demanding modern

November is across a volume origination with we consumer possible the which solutions Also, really partnership consumer lenders software December possible. funding and funding management specializing volume auto strong. the instant XX% as sign our service Megasys, XXXX looking above that for volume country, their Recently, forward our announced instant good very as provide ended XXX% year Our our above volume. XXXX and in activity. industry. finance long January was monthly them was December roughly volume, find to system, make to best a the We're helping successful business for

previously, well. the integration I As BillingTree is with going mentioned

discussed. realize the on track previously to are synergies We

omnichannel efficiently. solution solutions announced a leading to a the development BillingTree's Software, payment collections help technology recovery industry of will the in C&R with integration, provider organizations and collections multiple On payments side, industries. more the Through integration business we accept

services management at that space, leading management hospitals, signed recently That provides in a resolution physician cycle healthcare positions intersection of and the revenue also for balanced AR company healthcare. the patient We groups. BillingTree

year a successful are really very growth of So well another productive with XXXX. off again, that believe strong positioned capped for we year, a quarter. We in

have have we take and secular been be all there which top for that will out the a card all will years verticals will drive be initiatives, trends specific We a further clients. To come. across trends, laid many year. to payments, investments our to guiding to further continue As know, few frictionless our penetration with digital tailwind business that advantage increase these for of are we towards look our our

penetration base. our existing expect the derived of further our be growth We of majority client from to

costs our grow continue We to focus in reduce infrastructure, will optimizing order we on volume. as to processing

our commercialize, the formally We will AR/AP during unified cross-sell and capabilities market look to year.

who integrated We're our We demo several continue had virtual a large a card BXB out successes, Summit Acumatica late XXXX Acumatica. them recent sales the the signing also us seeing strong solution new of of AP customer competitor, card in selected our from from have AP and our We'll grow with away including supplier sign expand of to January. clients virtual coming well as as network because adoption.

payment technology David very of baron of David To also and and experience Officer. will product to strategies, Guthrie strong to with welcome focus all verticals. we Chief in are technology integrating businesses. background brings the as support the on solutions software extensive Technology software our a developing conversion also technology new for We a pleased has technologies. He acquired best continue this, deep understanding driving

As broaden will our important growth to use we business. driver look our to M&A continue we market solutions, addressable strategic as and for an

M&A Our very remains active. pipeline

the entire in members. I'll want forward team Tim financials I I'm our keeping detail. thank looking all XXXX, guidance it Finally, for all turn team and to Repay with Tim? to discuss to work you over of new that, their the hard of momentum the and welcome greater to XXXX. in in up With

Timothy Murphy

Thank you, John.

financial move QX let's XXXX. I for results, review our guidance Now financial on before our to

XX% a reflecting of a across fourth increase all and volume year metrics. and of quarter, billion, quarter. was strong an XXX million, rate key revenue in mentioned, take increase of points, million approximately the basis benefits prior financial results of over profile the year $XX.X BillingTree, quarter. This Payix card contributed of fourth $X.X payment Total quarter. over XX% of during the the fourth approximately increased prior virtual revenue John As an the adoption, $XX strong Repay delivered BillingTree. of Card our mainly incremental was Kontrol represents

in fourth $X.X from of costs million other the Moving profit million the incremental $XX.X year quarter. prior cost services in $XX.X to and services over Kontrol million, increase $XX and XX% million the were The on for Payix of Other was fourth XXXX. compared BillingTree, to were and Gross expenses an QX. quarter. quarter

or XX% on supplement the our saw adjusted growth. very of SG&A As $X.XX site. million growth organic was an to We fourth accelerating million as XXXX, million of we profit of income fourth on X John $XX.X the was mentioned, per quarter by encouraged QX the organic shown quarter share. of compared $XX.X IR in $XX to quarter basis, to XXXX. compared Slide Fourth net gross remain posted

unique quarter the a Fourth $XX.X product year sales, XX%. prior quarter. We increase still increased total us over an million, accelerated proper of with do our was putting into adjusted organic double-digit the margins, combination that believe anticipate fourth and place when We organic as Lastly, best-in-class to XX% growth continue beyond. was growth, technology compared revenue the quarter EBITDA of to adjusted adjusted infrastructure EBITDA fourth EBITDA and in investment makes in along percentage of line for XXXX top peers.

net is release. included in periods. our and definitions well Moving between updated financial and presentation, the we simplify to confidence, is forma have ability our pro of net adjusted stay previous income leverage acquisition. of Beginning a sustainable. forward, EBITDA, XXXX, income our is enhance revised of high our our both above of XX rule Payix earnings Historical net the reconciliation with measures share, that we the degree of adjusted comparability adjusted fourth Combined net quarter to and approximately income X.Xx for definitions our of non-GAAP to per

continue Xx will opportunities. We below XXXX, well expect of fund allow by organic to end which level, and very inorganic this a the be to comfortable us to

on and amount for of $XXX As million access balance of had of a to undrawn we million. cash million the XXst, $XXX capacity, total of $XX revolver December liquidity sheet

shares on As of XX, approximately basis. XX fully diluted million December outstanding a we had

fast-growing in between to volume moving methodology and the gross our will of expect in billion, the XXXX, contribution for be mentioned, for P&L approximately The $XXX Finally, to $XX Please XX to and $XXX with half QX and million estimate between that between XX% adjusted the back With total come we more expect be first the on be outlook to change note, and XXX XX% profit XXX This any be million; measures slightly heavily in periods. contribution of half EBITDA no XXXX. said, currently year. the the has remaining weighted. of $XXX and company's business, expect to The impact we well in the driven million. assets to that end our share by to XXXX other of XXX revenue non-GAAP between which growth is of subsequent in comprise by XXXX, as our financial we Payix. greater outlook primarily BXB a I for overall mix on as be such as continued

margins As million gross and $XX EBITDA a with to respectively. of XXXX, Payix reminder, and in we contribute XX%, approximately adjusted XX% year revenue expect approximately of full

is announced mentioned, to high-growth mode. business. than January, assumes early XXXX. that gross growth this prior of when expect quarter of organic very QX approximately stimulus comp that each rounds there were in in in XXXX consumers a for we profit We As Payix X given in that transaction is quarter to This tough stronger XXXX outlook would Please for note the us, QX of XX%. sent be

We expect the organic year. year, to the second the half growth gradually throughout stronger growth much of increase in

the start We forward turn of are take to year. I'll momentum to a already Operator? over the call look in XXXX, throughout now operator continuing strong the questions. and off to your back the to this remainder

Operator

[Operator Instructions].

Barclays. with Our first Ramsey question El-Assal is from

Ramsey El-Assal

kind organic about that XX% back year, were gives quarter? from the you level the we drivers where kind of and of organic Can to about seeing what of growth year, growth accelerate acceleration confidence this you up talk this of

Timothy Murphy

Yeah. Sure.

growth good business, A So strength in space, lot volumes. seeing that's Ventanex with season. strong. loan organic the we our feel personal very in of We refund positive continues And in We're about of Auto really XXXX helped has with growth. QX. to in tax lot be recovery early mortgage strong loan personal continued signs the recovery far refunds. to it the in organic seeing really continued within so signs auto, do see do a so tax around We're in space

has then become of to part probably bigger much our expect and We and fastest-growing will BXB of and become that's part a grow mix, the the mortgage business.

XX%. that profit we about throughout XXXX, stronger of organic as outlook So the even grows feel good we gross that mentioned

Ramsey El-Assal

which derived that one your of could the interest, comments is made prepared growth And you of penetration which we client from majority something about kind in you of the my think further Okay. probably talk I kind revenue you deal about base, in parts? was of now, remarks, moving But it revenue that the understood. -- more a how become visibility or than business better worse is little a in little it's it in has years has evolved, few of great as more complex, of your past? a or been a visibility Do have piqued

Timothy Murphy

Yes. and mean diversified. I certainly we've grown

have you We're increase comes We with customers. of seeing and in now. we visibility we more see from of of we think our see growth But lot adoption AP existing customers, still like that lot just card a additional clients a with payments. the now mentioned, penetration majority side a existing as card there, BXB as well, virtual

which think time, over have bit more visibility. new majority a is high going partners, we come we've so customer existing degree still versus tilted growth. And acquisition it existing customer to to added software a from a But of as customers, provides that may of

John Morris

Yes Ramsey, well. this is afternoon. John Good

of the obviously, XX new this months that understand you last as get all -- had deals of closed in -- year, also well, We adds our we businesses everything we year.

coming approach a of as also pipelines. contributing that things our stepped well And implementation as out factor, so is

Operator

you. Thank

Bob next Napoli Our William from is Blair. with question

Robert Napoli

afternoon. you, good and Nice Thank job.

So from guess cross-border I cards on the on -- growth of virtual revenue a and question payments. the your

Some I and virtual know of X growth of about can today, cross-border. -- have rate positive mentioned business revenue the do on is had the the cross-border much is revenue you Do virtual partnership penetration streams? have cards. think Veem I you on a you of take from maybe you with talk talk rates, about growth those see you cards? what And from

Timothy Murphy

Sure. Yes.

penetration, card increase call, So us solution, example the penetration. helping an in terms TotalPay virtual to mentioned we our on of of

penetration where to space, we've then seen one go the customer, we're by for file, XX% XX%, and TotalPayment almost the hospital large from access TotalPay hospital to getting cards. to the example, in our using card we're up solution, virtual monetize with virtual So payments, able all

today. to that's how But think XX% XX%. have So up XX% to continue can how of could penetrated XX% example probably you see an We're we it -- we alone, about that could go example in grow. that to

John Morris

our Good customers, giving. we platforms we're Yes, which finding evening target over, we're on methodically let side. lift as customers were some our me solution, BXB combine technology those moving total technology paid that we move as in add we color. some the of moving, larger overall to some is as example We're Bob. inside platform, that

us gives confidence we're that of great So in the some things seeing.

We are to But continue continue -- methodical switch just cross-border did requesting also about is -- if you obviously that. side, promote on not cross-border. of -- as it, will existing And so -- that and we automatically. book predominantly, business then was our we'll not recall, the

offer see when of numbers. to to towards it's quarter year, end we'll So the first the not that's of up it -- activity immediately picking that significant but we'll some but continue not -- comes there, traction a -- and don't We gate. on something it's [indiscernible], that the out our second

Robert Napoli

just business? forecasted? growth Then XX% much of AR? AP talked the is grow unified what was gross And you do and the organic you to you've AP expect And AR, the potential unified above about and that BXB margin how it size

Timothy Murphy

Yes.

we [indiscernible] mentioned grow. $X with earnings continue billion, ended think we volume can close year in within we I to to an the that -- expect So see and you to supplement, of annualized amount our

of So is XX%. business growing north that

faster combined it's average. corporate So our than

toward We XXXX. the about XX% mix by expect end to see more that moving of the of total

with year in just outlook. alone, growth that full XX% so confidence gives organic us the And

Robert Napoli

And the unified AP/AR.

Timothy Murphy

Yes, sure.

AP brings AR -- out, to side, TotalPay out. there. the of that the We've to both there. adoption that invested AR on AP our a We're solution the the key that wants so we traction we're roll continue last as side. seen in that talked seeing roll our marketplace some one-stop we ERP seeing with we We'll and We're to integrations. the about the more, year So great side and shop. finding And side, continue AR desiring

continue, be to XXXX. in for that expect successful we We this year to started us what

Operator

you. Thank

question Andrew Jeffrey Our Truist is from with next Securities.

Andrew Jeffrey

Appreciate BXB you if you mentioned, I you and BXB if but now a the -- all I of of businesses XX% mentioned acquiring you're just talk that growth a can nonvertical by a kind BXB BNPL, business. different other market taking much I'm rate, yield and here. run in beyond? gross I'm considering margin. question the higher higher you for vertical. overall at and businesses, at wondering, I'm you Is materially how market yield of wondering and was that, about have it you the sure growing year than volume you think faster and slide, said about just the Tim, think not nonvertical in debit look you the this these of is the can some cross-border support

Timothy Murphy

Yes.

is do, study BNPL that. a example, an -- example Payix mentioned BNPL had where ourselves, them. of a a they That's and So lot We customer is. as the good with that's lot on call a the good grown Scratchpay the business we some but of case

great this mix. to ramping into year platform. be business so that once comes reason that we and think into we're like back-end of how and organic a we could bought XX%-plus growing That's and it platform. been the Payix example customers owning so the that's accelerated continue good few can support And And for early growth, XXXX, a the RCS on we it organic think we us, then

the businesses of maybe case support are them So than the do the mentioning, Payix you're some faster in growing overall fact, non-traditional business. of and more in growth,

John Morris

Yes.

we as see low press and that in fourth quarter, exchange, always And release, there. proposition, year. quarter. we've about mortgage -- there, first move seen, add expand, in seen our we starting have obviously this some Solutions to in to seeing opportunities think Ventanex that our as that I we've are as through great of me Saw will Payment said the STX the Tim, our we definitely which business acquisition, we see continue the value Let throughout great always known adoption we that, servicing to

many to to sell the So in our lots space. opportunity of continue servicing for mortgage us of solutions

Andrew Jeffrey

all Sounds a should consolidated? we you And nice little the is really might bit. blend changes what we the mean, a quarter? go were which Payix in -- about of Should down forward? about the fourth as impact tailwind changing I that be gross in margin sort materially, like looked thinking we at mix, be do think like thinking

Timothy Murphy

on like of not Payix find some to call. probably the We we beyond, pretty have in other terms costs, can margins, we with We time, has businesses. done strong over maybe think expand margins. reducing of mentioned those ways the in XXXX, those but processing

implies XX% EBITDA adjusted you to So at of margins gross -- of similar it if XX%, very XX%. look margins guidance, similar the XX% and to profit then

in continue profile, impact, years, we as to So really XXXX. mix the not even that we in ways the with then And outer we and shifts growth. think accelerated a with said, even the can material like find margin

Operator

with next from is Our question Schmidt Citigroup. Andrew

Andrew Schmidt

in Hey organic John, to the gross Tim. growth. profit Good acceleration see the

Just a from a credit us a and loans. remind of understanding spectrum some where impact duration question the the on to are some business parts perspective, to are consumer exposed duration underlying sort of in sort consumer health. is? the consumer from shorter exposure And that exposed cycle, or longer just Could then your health loans that change longer of you consumer

us you to exposure curious, Just remind if cyclicality? just could

John Morris

Yes.

as know, payment. -- the you we are we just process obviously, So

still season. We've loan we're that as on -- side get, positive that. consumer as feedback various obviously, with really late has days all health February the things instruments we've the can't repayment seeing of We're been strong the the different here continue loans middle not we From seeing in tax the that of trends the itself, verticals that things our we different and we're installment So best we're but far seen seeing, in strong, and repayment lender leading part in that. it We're quarter repayment seeing first volume parts of into to the in the seeing well. refund as we're seen actual as years. here is some the of of

sign. People obligations. good are paying really a usually their that's So

consumer that people still the is see, from at think least side from health robust strong, we and obligations. paying that we so their And

Timothy Murphy

that John I lenders we're in for And repayments And helps the seems eye reason, getting terms -- add some on of lenders. metrics would the very tick more up, we an consumer to are actually and that, did delinquencies quickly credit repaid at with our like those said, loan efficiently. looking we and and when keeping solution our strong

So the that we actually could, us. also recovery don't there there. exposure then we in to and And is our think on benefit and some consumer think -- full there that's through side, ways, that healthcare, have we a and it's don't BillingTree -- business,

there's volume terms consumer we of this pent-up going So of the well. will the year think some end or demand as in healthcare us, that middle into benefit

Andrew Schmidt

to in the that diversified cyclical say fair cycle less That fair business, the years sort over that just business given just to component that the BXB the -- the of -- couple would I years? perhaps makes should impact? nature sense. more mix than it's fair say of it's And a of It's and changes past given sensitivity the Is is say or -- business say to sensitive assessment, the is the that I less last

John Morris

on as in have sure not a world first because is repayment but of -- side. year in unusual that remember could the the will there as be difficult quarter first we comp there was well, quarter. mentioned this It Tim tax quarter, the But make loan And those seasonality as refund seasonality I'm I stimulus it consumer X well, the seasonality, first call -- call season, in of because events for is payments, onetime us. last large which the

Timothy Murphy

and be bigger of Yes. we that. think I as you're get do mix, diversified a there of the should becomes over right, part more though, BXB less time,

Andrew Schmidt

And helpful. Very just if it. could I more in. one Got sneak

there smaller larger the Just the to to the there it over in about are consisting tuck-ins? Is on now. likelihood right X of pipe, things next, let's is right how more XX integrating -- you at, going leverage curious to leverage and Just pipeline? is pipeline doing months? with it, currently? larger it given is your about think pipe? you're What's M&A of think you're call Just Are given acquisitions, larger the -- your way the where X the deals where be acquisitions

John Morris

Yes, sure.

speak to So us, for Payix that near likely, those followed of that, and that financial going to of we well. the being But we when in very strategic acquisition. strategic last you a we've term, let Tim to all see recent we a we decide we very case. at that all as years. the very order the pipeline metrics. aware, as the don't active we made, -- us acquisitions look something one as to have But choose of make is get be at tuck-ins most opportunities to are have, mentioned would comes But But a end as have the are -- you I'll some we in do December. have an Most well, And few we you market. we towards lean what's absorbing we if great will there. out couple on the criteria are

Timothy Murphy

we'd mean to adding part the capacity capacity want of where today, some additional delevering through did is right, transaction. and find I think you're I with our a flow the cash We it on leverage increase revolver, Yes. Payix as bit.

And So something wanted all it we to we but have beyond, Xx we say, beyond to much likely do decide there. stretch have have to -- some strategic, we available very that. wouldn't just be if would for

be EBITDA growing, would depends smaller target also capacity it likely also something the John side. was the additional But much the and on how on fast transactions. how for point, could EBITDA, provide ahead said, target it like So at this

Operator

with Davidson. Our Peter D.A. question next is from Heckmann

Peter Heckmann

new you quarter, of the new and you the X would -- of when in cars for auto of on X, impacts that would in if inventory quarters Did to manifest curious so, some higher out? rate, it that see growth be used on cars. any, pricing X, constraints for originations, Just terms loan given and growth expect the if

Timothy Murphy

Yes.

much as used we're as -- we're Pete, to nearly the know, exposed not new. much So more car you space,

for so seen impact that issues. or And inventory from shortages, we -- chip supply any really haven't example,

We in that strong X elevated not we're it to somewhat car space, see used even seeing duration, X these demand portfolio. continue loans probably And and of for years or we any because the are macro change. environment, at the change repayment very would the prices, with quarters in such few to volume strong long feel have us take a because repayment existing volume just and in sort

So chain to not the more supply or much again, issues we're space just car focused the on feeling strong and seeing demand. reiterate, used still

Peter Heckmann

terms Does there, just BillingTree, then bit around light looked little if the was quarter? any inferring BillingTree have And our correctly, the like versus I'm in it it seasonality a of fourth forecast. great. That's Okay. just revenue

John Morris

around similar truly the tax refund they quarter, get our or -- quarter. from season. cycle fourth collection our some management first may They in loan benefits in they the space, repayment have revenue to business, Not where may the actually have

So But bit we numbers we've right came there. I a expected. a where in think seen around little quarter in pickup in, the first of the QX

Operator

question with next Canaccord. Joseph Our Vafi from is

Joseph Vafi

most that know of I sounds -- customers. like of you've is line existing got the 'XX, for sight growth it your Just in with

have software And organic an a adds Just idea looking in quick 'XX? partner of then at how follow-up. wanted get I to you're

John Morris

what relationships, add with do we mean to not to team, point, only -- Yes. penetrate new but that customer try to relationship partner quarter. help we organically to adding further We've ones, each existing new are and expanded more call we acquisition. your I go software management,

in X% And X say And X% a expanded of was maybe and number we've so that quarter, verticals. also, is to probably to number now, we're like I'd as more X team. different that quarter a that sort

and more go develop. Now verticals, software more to that is partners we're in there

Joseph Vafi

could could and you where just with base, across you like, think, remind penetrated results, how your us great then you are, And looked if Sure. your Thanks existing again, lot you partners? existing guys. you and go a

John Morris

and less It's we're We of that. in don't to Absolutely. tough always but partner, average, base somewhere software maybe XX% situations, customer the I'd the really some than teens. to in the say penetrated have on estimate access full

Operator

you. Thank

with Stanley. James Our next from Faucette comes question Morgan

James Faucette

to wanted that. give of so new addressed, appreciate look growth that's ask, can of of your or terms brand key expansion I how forecast, existing now a between being a In at at in growth and -- customers? you customers sense outlook just us right when your and have lot you questions my I with split least been But

Timothy Murphy

probably majority existing from still and Yes. balance new. around existing customers, expansion a from I'd so with say the X/X it's

customer So adoption our very of growth. channels. it's strong still existing We're seeing various

rolled adding customers and on -- So of side, but then now we increased mobile the we penetration. solution, card virtual starting card as those think, card text, seeing facilitate to And only that all -- base. roll the we're and customer payments, IVR things, within using phone web TotalPay the we've out mentioned earlier, virtual not and existing adoption

as call, us earlier we lot me. this So that, to outlook mentioned of excuse year's outlook, us, -- next the visibility, in gives a into year's

James Faucette

and to us this, BNPL, about address already Payix. And and we're expanding your talk from, as but of the today? a then a Yes, fans that you release there I exposure ability kind would least in come of know touched we've exposure kind on that think was what through. and can mechanism bit it almost quarter acquisition, little you as big the be, commentary always where I would some Payix at far through of been that press

Timothy Murphy

So, yes.

we the the number us and talked and like of card that's an of buy-now-pay-later a has of which only is and customer technology Payix a tremendously relying growing, for processing to using years payment processors Payix's they've these just had is facilitate a space example call, and but Payix not on example about how transactions. had grown the buy-now-pay-later on great through of So Scratchpay that

other pipeline, Payix customers And Payix within in buying of some have of couple existing a names and there. so space, then opportunity studies see well. case in they that a we and to that their Repay as like is prior at There lot we had

us. transactions, And so to us they're-- great a as their them and rapidly, of do they for example, lot process Scratchpay by growing the and need are again, card that's evidenced

John Morris

John. this evening. Good James, So, is

well, I'd we now are a some into workflows those auto it of financial sales have key add you were in some of color respects touching historically, installment probably type just a obligation, power we tracking So so will some of basically turning that. the those that. drive of sales turning integrations was ERP many into transactions, installment technology into and was fits that some that out the retail turning an systems to some loan, system and the not retail processor unless and still and need there, Obviously repayment of that and are of financial that and that repayments into and

for well fits that us. So

that a into way as ability that collection offer, of have well that think will there to, that, leans service channels helping and with additional fit things to that also our -- industry. repaid, bit overall our towards We all more that little we get side the think world offerings of the we will the

Operator

is question from Credit Timothy next Chiodo with Suisse. Our

Timothy Chiodo

the great argument here. personal take attach offer around more because But to merchant an due the But merchant, remove settlement, BNPL? might expanding I personal you've thinking It Fed of you it the a rail, money I do that where then there when a fast something offer that pipeline? of about a network business, provides digital at and list repayment a time, the the into, It's experience could loans is right. choice, over the and mechanical to More how debit loan goes evolve. there business buy-now-pay-later with the When a also a for for circumstances, you could the the the user. underlying to lower, maybe could it's is to There's transaction I'm repayments Plaid at that of relatively focus for meaning based that someone that Is over account-to-account for Finicity, in it -- know an been ACH has and a think those on. card-based something a similar question card interchange. the guess also doing has or that account look of Question total rules. are you future been of and or would lot debit good maybe I possible the can well would and there they been you for around still of business good you still on something, earn is Now money either rate, partner debit get debit a or to cost RTP good strong type you account? goodness, do in but be your moment. argument or certain similarly like that Is that that your that's something a

John Morris

is Timothy, this evening John. Good sure. Yes,

heard that those -- types we want to move are that and gives that by, one our of to look yes, are today the payment modalities we actually tend the is access and -- industry you've network most, I that before, Debit So industry if the -- say track as actually funds. And predominantly me to and at as to But to out guarantee used we networks one the the a today. be funds. the key we needs immediate for transact. us those

those our are So to add modalities all goal time. those therefore, is designed we There of is networks. over payment to it -- deliver

consumer-driven. the the that's everyone, though, to will latter account, something part, RTP to our We is remind part most on add have, account this for roadmap that the it's I of year. in

for least So it's payment, a difficult push means that more which in to form, automatically it's today's of at occur.

And be the to going popular still is so, ACH. today, payment still an most

at repayment If of greater overall the transactional volume you picture space. look loan in the

disruption very modalities, that. XXXX. and see don't as for into That all see XXXX continue ability to we'll be add we debit a to of strength major being but see will attractive We there, our one-stop be we continue throughout payment we a do still. So shop move any to ours,

Operator

[Operator Instructions].

a Our Bob Napoli next Blair. follow-up is question William with from

Robert Napoli

of ecosystem, the you're term? into model business crypto your how that investing if over medium fits Just wanted long to around ask if the to doing any there thoughts are

John Morris

evening Bob. I in be digital look just for to place at going to -- think Long wallet. possibly quarter, what's Good BXB when it, this crypto expand on I continued especially a itself, the overall term, Sure. We there's the side. we

do digitally, more funds out, a people that's and using -- a on our I looking we'll open So it's on people But about an expansion in et on want ability, that have that mainstream think to format, and and help concept the to what also with expanding expanding side, but digital as at from to I totally serve. invoices, X of and coins exchange we something be even that our high-quality sure. have BXB you to specifically don't said, the consumer payor we'll X us deliver cetera, maybe ability if And maybe we opportunity wallet. up. that to will for of years when stable that, payee being becomes blockchain that mainstream be between could side great as digital in that's help them XXXX, something more the the if the transact for see that becomes think roadmap networks wallet, mainstream, although the I obviously

Robert Napoli

to servicing be business size it's you purely and today? tied about it's originations, not what tied is to optimistic the And all is to Great. you that of it loan quickly, And for seem business? I the at -- mortgage mean just repayments.

Timothy Murphy

part predominantly been large are say a that growing some of It's are our XX%, with servicers. it's less than growing, the mortgage we large relationship. We've and the Ellie existing relatively space, but of very are. part now we in overall I'd market small the of customers part Mae still that Yes, but the mix, through on we're origination

seeing interim we're service now transfer facilitating an our and so, first mortgage traction get transfers there, the And originated. some well. to we're transferred exchange servicer, where And actually through ongoing and is servicing, as to for are once some then payments starting we opportunities it's

required that that with it's are large have of because we mortgage in repayments, loan these very there's there, some So of paper-based regulated. communication a originators, to there space, -- And customers and us, mix heavily business lot that's just our well. continuing support where grow then because either servicers we as or a providing and it's communications to just we're mortgage notifications growing part electronic or of a that's solutions,

originations. now so And of a the within predominantly servicing lot mortgage facets in on mortgage, also side, different there's but

Operator

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

John Morris

your time XXXX for heading Thank our And with were we're everyone, seeing thank outlook for us XXXX our in what looking what and excited our for in and you, fantastic today. we XXXX we're and see pleased into pipelines We and very as extremely and far your a about for we this results, today. as initiatives, to the you year what time year. have store forward we're

Operator

for conference, participation. may your lines disconnect concludes this you Thank time. your This and today's you at

Repay (RPAY) 2 Mar 222021 Q4 Earnings call transcript