AFCG - Earnings call transcript Q2 2022

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Operator

Good day, and thank you for standing by. Welcome to the AFC Gamma Second Quarter 2022 Earnings Call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question-and-answer session. [Operator Instructions] Please be advised that today's conference is being recorded. to Officer. conference like Katz, to now Legal Chief would hand over the Gabriel I ahead. go Please

Gabriel Katz

Good morning, XXXX. Investor Originations you Chief Real for our this and Estate; thank Kaufman, by Relations; Executive the earnings AFC morning Financial our our Chief second and call Officer; Gamma's Robyn Jonathan Brett quarter Head Tannenbaum, Tannenbaum, and of Leonard I Kalikow, joined all am Officer. our for of joining of Head

call to like projections XXXX the developments, website to and would Relations reflect growth recorded. in statements to Today's market to, current differ financial is I is begin, respect forward-looking conditions, second actual includes this predicting in performance XX, those being AFC at in statements. and and materially subject statements information that factors with July posted we these our presentation. inherent with press call Company's things, These could forward-looking projections quarter included is Gamma's that results projected certain Before along among future section of Investor Replay release note earnings other cause investor future results views and and the afcgamma.com, on anticipated our XXXX. the release uncertainties and yield from in portfolio and are and

these to AFC factors from forward-looking could with SEC significant Therefore, predict uncertainties the refer materially that not over and should to how and these events those filings not on these projections. forward-looking results you for Company time, reliance arise actual the statements. or statements. risks may Gamma's possible most statements New and it place for is to periodic recent they Please cause undue certain differ affect

for is most AFC Gamma's presentation will GAAP found refer follows; commentary; introductory of as to format AFC the call, discuss a today's in be I'll Len remarks, website. the Reconciliations our to overview earnings measure. AFC Gamma's we Chief Executive Q&A. an which the our Gamma's this of provide Leonard that, investor available origination release the strategic measure now then comparable Robyn on distributable call During financial our can net is income, will results. non-GAAP discuss earnings, earnings, The call distributable turn financial will will quarter portfolio; pipeline, over Tannenbaum. for Brett With line summarize performance Officer, Jon, will and we And open to second and will

Leonard Tannenbaum

Thank today investors Gamma's to XXXX. you, quarter Gabriel. to morning, for us of like earnings the to our for AFC joining discuss results. I'd and analysts Good our and second welcome call thank

second pressure cannabis Before times compression, especially quarter to to to equity. touch turning has to our the upon and results, due been sector The long under regulatory of change, broader uncertainty raise I'd licenses the like lead pricing unlimited market. the

result difficult many generating versus a As focused expenditures operators are are of additional on cannabis environment, capital operations built that in and earnings markets states. the new capital currently

their utilize acquisitions Additionally, markets to due the occur resources existing slowed has difficult we integrate last capital part businesses. has digest into boom previously down in to and This caused limited many saw cannabis to their year [main] environment. that M&A the operators

interest year, Although of of capital the to velocity our selectivity have the This for finance has maintain enabled operators capital while demand Gamma of slowed their margins. its AFC need while still that course level maintaining to over increased. this growth, has rates high

in a markets, has interest been Turning market. rates. well rates in substantial as to as broader cannabis interest There rise the

reflect the and These to have cannabis. credits dollar multi-state Gamma, now existing of in to debt are yields the the AFC in market cost best industry. multi-billion operators they be trading that also perceived XXX have the increased at leading noticed of caps we that operators wider points approximately issued. At basis We is from adjusted were capital the pricing have

Now turning weighted common earnings per share AFC XXXX of to stock. generated of distributable of our the $X.XX quarter average Gamma second In earnings.

As and refinancing we quarter the within this Gamma's in have the we velocity seen going primary portfolio declaring the since metric when is drivers earnings as of have sales Distributable discussed repayment, the evidence of dividend. of considers is the earnings in quarterly quarterly past, every Board public. that one AMC

record of paid in share each have per the of to of or $X.XX we increase and a quarter, paid on $X.X As to was outstanding. July quarterly in shareholders distributable Directors approximately our dividend have June Since earnings excess reminder, Board XXXX. public, share XX, going fourth consecutive income million XX, This currently which the was June $X.XX of generated the quarter, to a dividend as for dividend of XXXX the shareholders. per our public rollover declared

second million. of $XX.X quarter, commitments the new on and closed fundings During $XXX.X a million had we of gross

investment remain We to to decisions. continue prudent to and disciplined implement approach criteria in make lending stringent underwriting our

the Although, to closed new quarter, AFC the environment. this capacity borrowers’ in expected in to that raise closed to transactions. by closed equity due lead any additional have third we now has yet longer not not deals have complete we have Deals Gamma would time

deals to with and to this quarter. one close work close borrowers potentially continue still to these We transactions, potential we to expect two

portfolio, us in infusions some equity have been the to require our which borrowers, having date. risk borrowers adjusted generate risk capital. to cannabis pleased well cases inflation, dialogue and or our as strong capital, many manage many and of operators of to is As actively able environment supply regular enterprise a due cost an of are loans is license protect our pressures We our up a for lender, value portfolio, to satisfy We returns. which our and operators with to increased believe on to that coverage to set due storages have It we challenging led basis. states as pricing our in on targeting is mitigate for chain first covenants tighten focuses priority shareholder which expansion with limited

and current payments non-accrual. interest are our no their with a on loans of All borrowers

X, August was the average portfolio yield of of As weighted XX%. the XXXX, approximately

benchmark and pricing of Given rates, lack in believe is the interest we in firming. capital the the increase the market

As maturity the believe we future. for foreseeable generally the yield weighted we stated to will average quarter, remain last consistent

remind intend sell our we last as to not stock book investors, do to value. below Just we stated quarter,

Looking am excited portfolio our ahead, opportunity the our set. about I market over turn positioning, Jon. now I'll composition to and call

Jonathan Kalikow

Len. you, Thank

commitments August of funded. AFC in As $XXX.X X, XX million with million has XXXX, outstanding loans Gamma $XXX.X and

$XX deals billion We have construct current looked to over portfolio. of since XXXX our worth at

in first As rigorous portfolio up borrower. with risk our our bottoms a of each priority, we management a is selectivity of high constructing degree exhibited review

operational proven cultivation in enterprise. their cannabis borrowers with We equity invested and experience sufficient on knowledge, are focused in

borrower our in inflationary So while of we cohort of Len the our interest and rising labor value that specific number, and facing, of rates, are such maybe reform. challenges many including factors, very as the borrowers spoke are industry shortages, previously federal and asset collateral. cannabis cannabis and lack forces, small markets confident in compression broader these pricing

is this seen result, growth shoring quality that mindset up on our a believe mode and market. production. from we to borrowers As turning businesses, product their correct We have focusing in operational the instead efficiency

to will shake enable and returns. out and Looking operators ahead, market reward adjusted believe we continue risk generate AFC strong the Gamma to strong

can that I there with when companies and make at able be we happens, sure to these assets want now turn Robyn. capital we our up opportunities to call believe they requisite to support the low distress will Going that we purchase snap for quality to forward, prices. borrowers when assets are at over levels will

Robyn Tannenbaum

you, Jon. Thank

through a variety loans is with of $XX platform expanding new on over X, August sourcing have continually billion and of January, we represents both XXXX focused sourced transactions, origination From which XXXX, deals. Our borrowers existing our XXX over borrowers.

of was X%. an X, The active million. our pipeline deals. selectivity time difficult of and those converting to closing ratio Yet predict for it As approximately pipeline with remains of same the August both remains $XXX period, the strong timing

described deals earlier, by been have delayed many due lead borrowers Len equity. times to raise longer to As

us Additionally, a market range selectivity $XXX predicated has Gamma's we anticipated successful we targets market to exhibiting and a a early of ability of the of between commitments million as generate gross million that XXXX, In $XXX additional $XXX XXXX, degree Those the repayments to challenged. originations our $XXX between bringing believed raise after being million capital were similar target higher and year. on to prudent we and are the cannabis over AFC off XXXX, coming $XXX also to the of million being $XXX net on originations million. predicated environment capital million, and been course would with with

targets. Given faced, our lack of and difficult the reform, to less that has capital the have markets certainty meaningful environment origination we headwinds market

repayments, and refinancing our loans will in on. and of Over of year early we from on pipeline the difficult next the how strong timing we refinancing a of is number course much these or to calendar expect to of repayments refinancing this or these the repayments year. borrowers. Depending predict have execute It be of year, a

million is originations anticipated $XXX With $XXX will currently, repayments and and a between best result, to As originations. to million we million. generate us million between net $XXX gross $XXX of $XXX that a bringing of our million million target estimate $XXX range

AFC in marginalized our and service, professional Brett organization from the the social and to, AFC Ella. discuss organization of deserving in as AFC spaces domestic in organization's I allow Ella to make women donation development, education President the of to Chicago, tenures to Chicago. dedicated the the will Foundation, non-profit Yo violence am that Brett, pleased more to Based excited which of call was a of Soy donated to healing over now services turning for prevention another to mental should Soy over turn Foundation and groups. highlight financials. emotional therapy, Before Yo call creation Foundation this I to honor enrichment, for is women providing

Brett Kaufman

you, Robyn. Thank

June basic XXXX, compared average For of increase per recorded net $XX.X we an earnings weighted the basic of as $X.XX of or XXX% net $X.XX the $X.X or of second of where per of share ended we quarter earnings XX, income share. average common million to quarter income GAAP GAAP XXXX, million had common weighted

quarter of net and the of XXXX, of income $X.X For the distributable million common earnings weighted second $XX.X we distributable second compared interest basic during share net average million common XXXX. of $X.XX income $X.XX $X.X of and average or quarter earnings of per basic million or million weighted interest $XX.X share per to generated

of million XXXX. at As were XX, our XXXX, $XXX.X assets $XXX.X and total at $XXX.X as compared XXXX million December XX, XX, June June million to

of of funded AFC of portfolio August current loans. consisted XXXX, million $XXX.X million Gamma’s with commitments As XX $XXX.X X, across

the we additional commitments of Year-to-date, commitments. existing of funded we $XXX.X from million were to new existing $XX.X and commitments new and of $XX.X maturity, each investments. second $XX investments, XX, new we four was approximately closed average investments quarter, have which three million portfolio measured such borrowers. million is and from weighted million, on sold closed life yield two of we June were the We During XXXX. as $XX.X over repaid XX% to repaid of on we an million from million $XXX.X on The loan for loan

losses, such net or in loss as for providing the items stockholders AFC gains excluding represents as GAAP, equity As non-cash in income non-cash also performance business. to income items, compensation recorded earnings known losses expected or previously accordance net assessing in period. helpful expense, mentioned, believe the current the overall CECL with credit distributable and earnings we unrealized other the or is for Distributable of provision computed Gamma’s

at X.XX% of XX, compared approximately CECL the XX, reserve loans June XXXX. March of at XXXX, X.X% represents carrying our to approximately As value

increase. of the During The other the in well second record macroeconomic in assessing paid XX, each during AFC of of increase of $X.X current the the estimating share of On the quarter the our by new as loan consecutive changes Gamma factors, the in second is fourth June use shareholders for due primarily reserve and by addition the July the first increased portfolio, in loan We increase reserve quality in XXXX. data to each points repayments, $XXX,XXX we XX, $X.XX the quarter evaluate to XXXX, dividend commitments in XXXX, the to credit dividend million the factors of continuously we reserve. including the as quarter as loan. common risk quarter, changes per CECL

to is distributable As and a dividend XXX% a year. over between the of reminder, an on XX% policy annual basis, our earnings pay

cash now Q&A. and quarter the facility as $XX.X that, $XXX.X our We and Operator? $XX back remains undrawn. With million $XX.XX the start of XXXX, of as cash of million equity value As the share December with stockholders book was million turn I our $XX.XX operator XX, was XX, equivalents of to credit June per our over it and compared will to to XXXX. ended total

Operator

Thank you.

with first at line session. [Operator Group. time, Our of a portion question from As a our Hutton this of Gaurav Instructions] reminder, Mehta will conduct comes we the question-and-answer EF

Your line is now open.

Gaurav Mehta

Thank Good guys. Yes. morning, you.

your to and that's from growing the commented impacting time? the I operators operators more efficiencies. about how facing, are cannabis about the this you if maybe back cannabis Going are cannabis turning challenges to operators the you at loans that Can remarks talk for demand growth operational not think on

Leonard Tannenbaum

a efficiencies. capital and money providers from stringent to of see to operating we are lot there's path to loans, because our flow don't problem is the especially other actually cash think criteria I loans. have demand of want satisfy environment quite who those The underwriting in this for operating

to lot a get definitely opportunity So our in we're going being expand. very doing. borrowers them We're discerning for supporting we ones there's to believe be that and to of we're the

Gaurav Mehta

think guys $XXX of this $XXX you guys do originations year year-to-date, planning I and you you of are new $XXX million have done that gross to to And Okay. commitments. said million million

the I guess, what year, that? you to how part So of do guess then fund expect sort and on for that of your I number remaining achieving the expectations

Leonard Tannenbaum

as going is as the get velocity year, have well capacity. we're some still to we Well, news good this

undrawn We sheet. cash credit balance line and on our have

more So expect year, velocity. we've to deals. to excited were we got to continued and do the we're have about during – selective doing the them capacity We

the had or I quarter, As the on single I said categories one refinancings think, every call, we've of paybacks. sales, three

this the into capital generate additional more to So to them year, additional have some also put a we good but should earnings, work. which visibility of

Gaurav Mehta

Okay. Thank you.

Operator

with Thank [Operator Instructions] from next Cowen. Our question Vivas you. Harrison comes

line now is Your open.

Harrison Vivas

Great. quarter. and continued my questions taking in so Thanks execution for much congratulations on the

in $XX the would for midpoint First at one the maybe $XX of million roughly million had the that year-to-date, me, just year. rest understanding you've for prepayments, imply

of in I about if if down You and – expect to guess, loans how to think you how you don't your timing the prepayments, two should how think thinking timing about – facility? prepayments XQ, guess, said I are on I you you guess, internally, for one pipeline we credit have drawing about those fund the not of do

Leonard Tannenbaum

it's all to close delayed the when hard really and answer know things We really cannabis. things That's because time. get never

environments, year. it temporarily the quarter-by-quarter. our timing to goal exact when the right. that ideas. a – come very that's drawn, with like difficult for So of But sure you facility also try I difficult. into credit months to have to take credit, give at always me to lots be the end we to of great six predicting start up is existing capacity to what is money have ample view but advantage to of of the so the customers It's more the do make market they But

Harrison Vivas

about Okay. in of seeing general That's I activity. you've terms Historically, talked just helpful. some think the seasonality loaning

this year to So backdrop? I guess, level seasonality macro XQ, given the expect did of you same and see the kind in

Leonard Tannenbaum

amazing or is going always busiest the XX done how be middle it's different loans fourth It's years. don't even to when the you quarter, It's think – for having amazing dynamics. market quarter

some have coming to debt to months yes, – of continue for will on I that extremely be the six it. audits And is put and past that that audit, drivers of if number due believe they of if a cannabis. busy refinance their out the the issues We quarter December they debt fourth So number by don't have in extend one know may they way the companies a have XX. or of companies the with

to them fourth So the quarters. that may lead refinancing consider in for

August, Day, a wanting the pick people the up bankers of year, the the that done there's seasonality, of things wanting the to earn so end sort months, at the summer at Labor end And of dynamics a after the some get slower to of drive including lot year. fees

lot of I but busy. be a the quarter drive there's So do to fourth it, that quite dynamics expect

Harrison Vivas

any on potential thoughts Good. we're SAFE one SAFE Capitol or That's seeing Plus? on passage Hill, of Act for Last very me, just what given the to offer helpful.

Leonard Tannenbaum

wrong far duck. going said so been yet lame fortunately because bones bare I it's and haven't pass I've to

at last it's I think passing. – that's shot

been session focused been say. it. because it [indiscernible] on commented of I've there's lot passes hope seriously I doubt to as has think committee. a I continued normal it passes do lobbyists I on during

sort I watching state supply More and is mean, states and dynamics. think and Michigan different the of absolutely state importantly I terrible. dynamics demand is

do production. producing very and there's is You've seen state product top in of auctioned smashed, any We been and high that actually, making well. good Oregon, now, state you'd imagine brand people money. in prices The end high And can modified support cross Oklahoma, £XX,XXX Washington, Michigan, greenhouse or making at end absolutely you're end into are want one Colorado if But across the and producing with can't sells the dispensaries, you the greenhouse high brands money. it flowers you're country regardless market, to nobody only be – end all are money smashed. mediocre California, you because few producer. I where of a High and right are now Michigan making mediocre these

in are like a But of one states do great produces this with that fortunate stay Michigan, the flower all extremely high underwritten – out fortunate brand. we're we that that to end for of have we we've So those good very we really in we borrower states. to except stay

Harrison Vivas

the makes I'll a color. jump lot queue. sense. That the back of Thanks in for

Operator

[Operator Our John question you. next Instructions] from comes with Jefferies. Thank Hecht

open. now is line Your

John Hecht

I you the by and your same I down going well of yields, competitive bit in market. to industry Hey question just think what institutionalized. became covenants maybe question overall I little yield you given able that over the ask. rates the the more? was the or spreads was just time, number to time, able the more But as and was disruption But Actually for get in I come that of two, at are got guys credit we've with number in telecasted a picture do to kind last consistent ask with spreads rising terms you what And has guys. yields overall guess to portfolio rising this the more is, turning one, in think anticipate structure – the what's you Are markets? the

Leonard Tannenbaum

this mean, capital people a to don't I expect a providers Absolutely. back market. yields I lot. up of in I – think there's think lot that of

again, which fact, retrench seen In banks terrific. we've is

So few support the trading charge that market. pick we're sure when them, and we but you leverage, the doesn't good credits, XX.X%, I at and you off buy GTI a that's to – providers, credit not top include look Look, that good as go top-tier of support pay as them, capital benchmarks And enough great make diversified, them everything of to low cost that operator, the fee a able for one can to our very the they on have the operations, bankers. for capital have there. loan one like view what view I That's as the of them providers, best – it.

rotate us And portfolio. the really turnover XX% that up, yields and to to move to see so higher the to for in velocity need you

market, other turnover the equity, even is even yield, start more is for borrow see thing look, costly. it's XX%, this you raise at much mention to our than rates current because IRR which XX%, and companies higher – a yielding still And market is continues, if higher. in these equity you'll cheaper XX% the type going velocity is I'll far As portfolio, see the

support benefits symbiotic but it's clients. happy And we're leverage our to a relationship. them. equity, good do We so some require And

John Hecht

Thanks Right. Len. the for color, much very

Leonard Tannenbaum

Sure.

Operator

question with the Instructions] Our Hecht Aaron comes of JMP Thank Securities. you. from [Operator next line

now line Your open. is

Aaron Hecht

questions. do my many cash give revolved in on that morning. in are the do and insight your you're the the when terms Good operators burns how Can discussing then headwinds portfolio, the any assume the on underwrite issue as of burns you that us prepared remarks taking In scope around of the industry, your cash risk? I many Thanks experiencing. that borrowers side? private And for you of have of

Leonard Tannenbaum

if finally for leasebacks of I frustrating that that is how signed them escalating pretty of lend operators they of even with be it Look, a because restructure to had estate when things escalators those money. are and within to and good it to compression, have With makes number I It there which a operators compression, those long-term up, really to to they to happen which they is love up to it that lend makes margin to see questions. real we're are because sustainable. like – Good us some very people. underwrite excited difficult coming now operators margin their the that sale do difficult it's leases, operators. believe Then don't coverage, lot

that we're operators They For real don't real own other typically they their estate. types we leasebacks. lend those resecured to, compressed have estate. by of sale Obviously,

the so compression not – allowing weather be operations. good. their and more we're you sure they're getting liquidity that's working their them them, because storm capital bit is to and your over companies But my the that also levered, a for prepared you'll little business. These margin which capital making working And constraints, in I better, start of in hurt efficient – exists but are more said as remarks,

absolute when more credit, So they've to liquidity and raised their focused them equity and asked to we've we're raise it. very necessary,

the partnership. as and really we pleased very and a communication that we're our with So do coordination borrowers with treat

Aaron Hecht

and And scale that your percentage is operations of Right. That integrated? in makes borrowers sustain vertical think of integration, important to what you and and portfolio are ability do functional profitability vertically as sense. how that to terms the

Leonard Tannenbaum

Okay.

dispensaries an two just vertical So additional be that vertical I a quickly are they Nature's you and dispensary many to good there. example go hurts, I a mean, from fully getting where to believe in have not because this wholesale it Medicines are and compression the purchase some is still They but are business. down continues those environment great others, in Arizona vertical. businesses fully have be like prices Arizona almost to Arizona

profitability in that's really preserved and their so Arizona. And margins

work across – take thinking it, look pretty a everybody's So and Robyn? if you really about

Robyn Tannenbaum

is which one] flower small. [Pepper

Leonard Tannenbaum

which now with one, you that is – quarter. and guys flower last saw Pepper

that talked first we That that think I million loan. loan. paid. in I left dollars couple mean, about just being a of was my

on being to important XXXE and avoid Here especially that's because this there's for you're problem, mitigation lots And necessarily being degree it some vertical, vertical everybody but is really vertical, also if XXXE not company. ways you're really to fully work focused have of them right private to we teams if paying a taxes we the that recommend legal overpaying And of we making clients our with sure very to on taxes, some good that not amount they're and help them. is.

Aaron Hecht

thoughts. Thanks queue. for the I'll in jump the back

Operator

Thank comes Our Street Instructions] final you. Markets. question from Mark with Lake Capital [Operator Smith

now Your line open. is

Mark Smith

guys. Hi,

maybe at in impacted As penalties that's refinancing, just in second outlook we and maybe outlook look anything repayments about about half? that for volatility the we about talk how coming talk else maybe you that, or model maybe your – as think more can for prepayment

Leonard Tannenbaum

impossible It's know to so timing. just out and figuring do almost that difficult our analysts predict, and I to model you have hard time it's and a

they that's taken keep not volatility be be is loan That's that, do company company right, when into debt, to taken into an on exit may remaining maybe but income. to things new there. to then the written of drive change, don't that's everyone not. have We something we going prepayment fee, happen. when yet would up, repays know we out quarter. have penalty, There not. – the or there lot a that. experiencing There's may – And If like that exit and call, The that a fees a could remind be its includes the going still would maybe that just or you whatever earnings or we the sell maybe to, exit could can OID

keep But So on difficult as We're focused every not quarter very quarter. each I the lumpy. saying, on it's every is determine. to quarter – We're very pretty year. focused

And really deliver to since for delivered shareholders. inception, hope continue we and our so we've far to

Mark Smith

fair. That's

Leonard Tannenbaum

We're do excited to that.

Mark Smith

as we floating floating think about of Okay. just the refinancing on And loans? rate mix loans there kind in on thoughts here, similarly

Leonard Tannenbaum

proposed are on proposing the And floors, of that closed think floating. quarter. different all floating. is I we're that haven't with worked But today we any So anything we this loans and

Mark Smith

And one Perfect. for just Len. last me,

at know that into having of these issues, just are think kind Western that on would thoughts exposed supply look you bottom as to that your I you're look all big are continue crystal broadly you If of at not industry industry a be here, your you other and ball states there, seeing the bleed yet? some maybe we on see into markets the great. there maybe you picture Do this just but

Leonard Tannenbaum

Yes.

So our and that is we Michigan don't states Colorado and Oklahoma, operate Washington, California, mess. Michigan I a Oregon, think now and because are thankfully

Missouri. I'm the states And excited so about are

is think going great. I Missouri Rec to be

think I bit. it's hurt going to Illinois a little

I Illinois. Maryland. deals too We many about I'm break dispensaries. think of sale saw excited two dispensaries there's some in still the for

markets in world, currently New I are what the on cannabis a more Jersey the amazing. orders. I think York New which is illicit, and more you're is press have big we'll see, how biggest but full cease-and-desist question seeing mark New of York controls, of where

legal of saying illegal you're in cease-and-desist guys If to cease-and-desist counties it, [indiscernible] seeing in you bunch other with not do the it's that. of seeing orders bunch Google a dispensary you're a orders

starting so they I crack hope they're down. to do. And

going be actually think exciting. quite I Connecticut's to

– I market. take of expand. new capital they It's where need the in trouble capital think to bigger the has a then Virginia to would a you have expand. I really the some is to market And who the XX go, dominant position to truly Florida don't how such licenses licenses these RSOs [indiscernible] other but going when know, long XXX knows issued. crazy. be That's will

demand new slowing, a gets are better. you so to is, But single but and And say it's but license just worse unlimited it market, what ads market with slowing. supply these patient right. We're will great don’t the it's think states politics. it's going watching before The I need capital, the I get every dynamics,

balance – and and supply wash bankruptcies weaker And the in may pretty And liquidations may excited the out of bottoms sure first and see states. all players, next actually my quarter after current it prices guess see is you you and can for you You those license rise. states may get because in demand limited year. then I'm

for really could year up next it. very that so of good us look and a advantage And mid to we taking forward for set opportunity

Mark Smith

you. great. Thank Sounds

Operator

Since more no Tannenbaum, questions, AFC closing there to over CEO you. Thank for are Len turn I'd like Gamma, to remarks. it

Leonard Tannenbaum

all for providing it it. and we to taken and partners, be it with from capital and comments Thank with continuing Look, with remarks. industry our to attending. to our in think We're and work you've excited you very look grow to this forward build I

So thank you all for listening.

Operator

the Thank you for concludes your This conference. program. participation in today's

now You disconnect. may

AFC Gamma (AFCG) 9 Aug 222022 Q2 Earnings call transcript