Consumer Portfolio Services Inc (CPSS) 2024 Q2 法說會逐字稿

Good day everyone, and welcome to the Consumer Portfolio Services 2024 second quarter operating results conference call. Today’s call is being recorded. Before we begin, management has asked me to inform you that this conference call may contain forward-looking statements.

大家好，歡迎參加消費者投資組合服務 2024 年第二季營運業績電話會議。今天的通話正在錄音。在我們開始之前，管理層要求我通知您，本次電話會議可能包含前瞻性陳述。

Any statements made during this call that are not statements of historical facts may be deemed forward-looking statements regarding current or historical valuation of receivables because dependent on estimates of future events are also forward-looking statements.

本次電話會議期間所做的任何非歷史事實陳述的陳述都可能被視為有關應收帳款當前或歷史估值的前瞻性陳述，因為依賴於對未來事件的估計也是前瞻性陳述。

All such forward-looking statements are subject to risks that could cause actual results to differ materially from those projected. I refer you to the company’s annual report filed March 15th for further clarification.

所有此類前瞻性陳述都存在可能導致實際結果與預測有重大差異的風險。請您參閱該公司 3 月 15 日提交的年度報告以取得進一步說明。

The company assumes no obligation to update publicly any forward-looking statements, whether as a result of new information, further events or otherwise. With us here is Mr. Charles Bradley, Chief Executive Officer; Mr. Danny Bharwani, Chief Financial Officer; and Mr. Mike Lavin, President and Chief Operating Officer of Consumer Portfolio Services.

本公司不承擔公開更新任何前瞻性陳述的義務，無論是由於新資訊、進一步事件或其他原因。與我們在一起的是首席執行官查爾斯·布拉德利 (Charles Bradley) 先生； Danny Bharwani 先生，財務長；以及 Consumer Portfolio Services 總裁兼營運長 Mike Lavin 先生。

I will now turn the call over to Mr. Bradley.

我現在會把電話轉給布拉德利先生。

Thank you and welcome to our second quarter earnings call. Probably the best way to sum up the quarter, it was a good quarter, but we’re still trying. We’re beginning to make that transition from what we’ll call watchful waiting on our portfolio to where we can start growing again.

謝謝並歡迎參加我們的第二季財報電話會議。這可能是總結本季度的最佳方式，這是一個不錯的季度，但我們仍在努力。我們正開始從對投資組合的「警惕等待」過渡到可以再次開始成長的狀態。

We probably need in terms of being absolutely certain that credit is made to turn another six to nine months, but we have gotten to the point where we’re confident enough in the performance of the pools that we’ve been restarted to grow this quarter.

我們可能需要絕對確定信貸可以再持續六到九個月，但我們已經到了這樣的地步：我們對池的表現有足夠的信心，我們已經重新開始增長本季。

Our quarter-over-quarter growth is 25%, year-over-year it’s 36%, so really putting an effort and start growing again. Mostly because we finally think we’re looking at most of what would be the 23-C, 23-D and 24-A securitizations, 24-A being the newest that we’re looking at. And the performance there has turned a corner enough to where we’re confident that the overall performance going forward will be fine. And with that we’ve been able to start growing again.

我們的季度環比成長率為 25%，年成長率為 36%，所以要真正努力並再次開始成長。主要是因為我們最終認為我們正在研究大部分 23-C、23-D 和 24-A 證券化，其中 24-A 是我們正在研究的最新證券。那裡的表現已經發生了足夠大的轉變，我們相信未來的整體表現將會很好。這樣我們就能夠再次開始成長。

So, but still, even at that point, and at least in the second quarter, we’re still concerned with making sure our credit is very good. We’re working on expanding our footprint in terms of sales and we, of course, anxiously waiting some word on whether interest rates will go down towards the end of the year.

因此，但即使在那個時候，至少在第二季度，我們仍然關心確保我們的信用非常好。我們正在努力擴大我們在銷售方面的足跡，當然，我們也在焦急地等待利率是否會在年底下降的消息。

So, I think, we’ll go through some of the other highlights, but basically, we’re about to turn the corner. We’re really focused on growing again and hopefully this timing will all go together towards the end of the year when interest rates come down.

因此，我認為，我們將討論其他一些亮點，但基本上，我們即將迎來轉機。我們確實專注於再次成長，希望這個時機能夠在年底利率下降時齊頭並進。

I’ll talk more about that, but for the moment I’ll turn it over to Danny for the financial stuff.

我會詳細討論這個問題，但目前我會將財務問題交給丹尼。

Thanks Brad. Going over the financial results for the quarter, revenues were $95.9 million, which is a 5% increase over the $91.7 last quarter and a 13% increase over the $84.9 million in the June quarter last year.

謝謝布拉德。縱觀本季的財務業績，營收為 9,590 萬美元，比上一季的 91.7 美元成長 5%，比去年 6 月季度的 8,490 萬美元成長 13%。

For the six months, $187.6 million is a 12% increase over the $168 million last year. Included in the revenue numbers are a mark to finance receivables on our fair value portfolio I would say. Mark that shows the $5.5 million mark shows the outperformance of that portfolio during the quarter. That compares to we didn’t have a mark in the same quarter last year and for the six months that mark was $10.5 million in the six months for 2024.

這六個月的營收為 1.876 億美元，比去年的 1.68 億美元成長了 12%。我想說，收入數字中包含了為我們的公允價值投資組合中的應收帳款融資的標誌。顯示 550 萬美元大關的標記表明該投資組合在本季度表現出色。相較之下，我們在去年同一季度沒有取得這一成績，而在 2024 年的六個月中，這一成績為 1,050 萬美元。

Also included in the revenue numbers are the increase in interest income, driven by the growth, as Brad said, the growth in new loan originations. We originated $431.9 million in the second quarter, which is a 25% increase over our first quarter and a 36% increase over the $318.4 million last year.

正如布拉德所說，新貸款發放的成長推動了利息收入的成長，這也包括在收入數據中。第二季我們發起了 4.319 億美元的融資，比第一季成長了 25%，比去年的 3.184 億美元成長了 36%。

So that those two facts are driving the increase in revenues. Moving over to expenses, $89.2 million for the quarter is up 5% over the $85.2 million last quarter, compared to $66.3 million in the second quarter last year. For the six months, expenses were $174.4 million, which is a 33% increase over the $131 million for the six months last year.

因此，這兩個事實正在推動收入的成長。說到費用，本季的費用為 8,920 萬美元，比上一季的 8,520 萬美元增長 5%，而去年第二季的費用為 6,630 萬美元。這六個月的支出為 1.744 億美元，比去年 6 個月的 1.31 億美元增加了 33%。

A couple of items to note for expenses, we had a reversal in the provision for losses on our legacy portfolio. You might recall our legacy portfolio is the loans we originated prior to 2018, which is mostly gone by now. It’s mostly amortized. There’s only about $13 million of that left. But during the quarter we did reverse about $2 million of credit losses. That was previously reserved. That was no longer required because the performance had been better than expected. That compares to a reversal of $9.7 million in the second quarter of last year. And for the six-month period that reversal was $3.6 million for the 2024 quarter and $18.7 million last year.

需要注意的幾個費用項目是，我們對遺留投資組合的損失撥備進行了逆轉。您可能還記得我們的遺留投資組合是我們在 2018 年之前發放的貸款，但現在大部分都已經消失了。它大部分是攤銷的。其中只剩下約 1300 萬美元。但在本季度，我們確實扭轉了約 200 萬美元的信貸損失。這是之前保留的。不再需要這樣做，因為效能比預期要好。相比之下，去年第二季的逆轉為 970 萬美元。在六個月期間，2024 年季度的逆轉為 360 萬美元，去年為 1870 萬美元。

The other increase in expense, primarily driven by the increase in interest expense, which has increased to $46.7 million this quarter, compared to $35.7 million last year. Now, obviously the increase in interest rates had something to do with that increase in interest expense, but part of that increase is also due to portfolio growth, again driven by the higher origination levels during the year. Moving on to pretax income, $6.7 million is comparable to the $6.6 million last quarter versus $18.6 million last year. For the six months pretax income was $13.2 million, down from $37 million last year.

其他費用的增加主要是由於利息費用的增加，本季利息費用增加至 4,670 萬美元，而去年為 3,570 萬美元。現在，利率的上升顯然與利息支出的增加有關，但這種增長的部分原因也是由於投資組合的增長，而投資組合的增長又是由年內較高的發起水平推動的。稅前收入為 670 萬美元，上季為 660 萬美元，去年為 1,860 萬美元。這六個月的稅前收入為 1,320 萬美元，低於去年的 3,700 萬美元。

Similarly, net income is $4.7 million for the second quarter, down from $14 million the second quarter last year. For the six-month period, net income is $9.3 million, down from $27.8 million last year. The same trends follow for earnings per share, $0.19 for the second quarter this year, down from $0.55 last year. For the six months, $0.38 per diluted share compared to $1.09 last year. So again, these trends are all driven by the increase in interest expense and expenses overall, somewhat offset by the increase in revenues from the higher portfolio balance.

同樣，第二季淨利為 470 萬美元，低於去年第二季的 1,400 萬美元。這六個月期間的淨利潤為 930 萬美元，低於去年的 2,780 萬美元。每股盈餘也呈現相同的趨勢，今年第二季每股收益為 0.19 美元，低於去年的 0.55 美元。這六個月稀釋後每股收益為 0.38 美元，而去年為 1.09 美元。同樣，這些趨勢都是由利息支出和總體支出的增加所推動的，但在一定程度上被較高的投資組合餘額帶來的收入增加所抵消。

Moving on to the balance sheet, our finance receivables at fair value is $2.960 billion is a 6% increase from the first quarter and a 13% increase from the $2.6 billion last year. Our total debt balance is $2.9 million for as of June 2024, is up 16% from the $2.5 billion last year. And lastly, on the balance sheet, our shareholders equity, another record high for the company, $280.3 million, is up 10% from the $255 million last June of last year. Looking at other metrics, the net interest margin, $49.2 million in the second quarter, is flat from $49.2 million last year. For the six months, it’s $99 million as compared to $99.5 million last year.

轉向資產負債表，我們以公允價值計算的金融應收帳款為 29.6 億美元，比第一季成長 6%，比去年的 26 億美元成長 13%。截至 2024 年 6 月，我們的總債務餘額為 290 萬美元，比去年的 25 億美元增加了 16%。最後，在資產負債表上，我們的股東權益為公司再創歷史新高，達到 2.803 億美元，比去年 6 月的 2.55 億美元成長了 10%。從其他指標來看，第二季淨利差為 4,920 萬美元，與去年同期的 4,920 萬美元持平。這六個月的收入為 9,900 萬美元，而去年為 9,950 萬美元。

Core operating expenses is down 1% this quarter from last quarter, but it’s up 10% from the $40.3 million last year. On a year-to-date basis, core operating expenses were $89.3 million is up 10% from the $81.2 million in the June quarter of last year. As a percentage of the managed portfolio, core operating expenses is down to 5.7% from 6% in the first quarter, but it’s up from 5.5% in the second quarter of 2023. And lastly, the return on managed assets 0.9% in the second quarter compared to 2.6% in the second quarter last year. The same numbers for the year-to-date period, 0.9% for the six months compared to 2.6% for the six months of 2023.

本季核心營運支出較上季下降 1%，但較去年的 4,030 萬美元成長 10%。今年迄今，核心營運支出為 8,930 萬美元，比去年 6 月季度的 8,120 萬美元成長 10%。作為管理投資組合的百分比，核心營運費用從第一季的 6% 下降至 5.7%，但高於 2023 年第二季的 5.5%。最後，第二季管理資產報酬率為 0.9%，而去年第二季為 2.6%。今年迄今的數字相同，前六個月增長 0.9%，而 2023 年前六個月增長 2.6%。

I’ll turn the call over to Mike.

我會將電話轉給麥克。

Thanks, Danny. In operations, a couple follow-up comments in originations and sales. The demand for subprime business remains strong. We received 310,000 apps in the second quarter of 2024 that compares to 281,000 apps in the second quarter of 2023. That’s a 10% increase in apps year-over-year. That’s in light of the fact that we did 500 million less in 2023 than what we’re projected to do this year.

謝謝，丹尼。在營運方面，有一些關於起源和銷售的後續評論。次級貸款業務的需求依然強勁。我們在 2024 年第二季度收到了 310,000 個應用程序，而 2023 年第二季度收到了 281,000 個應用程式。也就是說，應用程式數量年增了 10%。這是因為我們 2023 年的工作量比今年的預期少了 5 億。

In terms of sales, we hired 14 new reps in the second quarter, going from 72 reps to 86 reps, that’s a 19% increase. And as Brad and Danny mentioned, as we continue to grow the business, we will continue to grow our outside sales and our inside sales team with a goal to be around 110 reps at the end of the year and growing that rep force even further as we dig into 2025.

在銷售方面，我們在第二季僱用了 14 位新銷售代表，從 72 位銷售代表增加到 86 位銷售代表，增幅為 19%。正如 Brad 和 Danny 所提到的，隨著我們業務的不斷發展，我們將繼續擴大我們的外部銷售和內部銷售團隊，目標是在年底時達到 110 名代表左右，並進一步擴大代表隊伍我們深入探討2025 年。

One aspect of growing the business in the second quarter and beyond was we continue to expand our large dealer group base. That’s dealer groups with more than ten rooftops under their umbrella. We reached 99 large dealer groups in the second quarter, taking that from 76 in the second quarter of 2023 and 61 in the second quarter of 2022.

第二季及以後業務成長的一方面是我們繼續擴大我們的大型經銷商集團基礎。這是擁有十多個屋頂的經銷商集團。我們在第二季度涵蓋了 99 個大型經銷商集團，而 2023 年第二季為 76 個，2022 年第二季為 61 個。

All told, that’s a 62% increase over the last two years in our large dealer group additions. What that’s done is that it’s allowed us to add roughly 900 rooftops to our dealer base, with only increasing, say, 30 dealerships in total, that’s super-efficient.

總而言之，我們的大型經銷商集團新增數量比過去兩年增加了 62%。這樣做的結果是，我們可以在經銷商基礎上增加約 900 個屋頂經銷商，而總共只增加 30 個經銷商，這是非常有效率的。

That’s a meaningful increase in large dealer groups as we have taken that footprint from 17% of our business in 2022 to 26% of our business as of the end of the second quarter. We are well on our way to meeting our goal of that being 30% by the end of the year. As part of that large dealer group base, we continue to originate volume from the major rental car companies, including Enterprise, Hertz and Avis.

這是大型經銷商集團的顯著成長，因為我們已將這一比例從 2022 年占我們業務的 17% 增加到截至第二季末的 26%。我們正在順利實現年底前 30% 的目標。作為大型經銷商集團的一部分，我們繼續從主要的汽車租賃公司（包括 Enterprise、Hertz 和 Avis）獲得銷售。

A few other organic metrics of growth, we were able to grow our dealer loyalty in the second quarter. That’s how many deals per dealer we do on a monthly basis. So we were able to grow that. We were able to increase our capture percentage in the second quarter.

透過其他一些有機成長指標，我們在第二季提高了經銷商忠誠度。這就是我們每個經銷商每月完成的交易數量。所以我們能夠發展它。我們在第二季度提高了捕獲率。

We were able to increase our average funding dealers per rep in the second quarter, quarter-over-quarter, and year-over-year. And we were able to lower our funding time to get the dealers paid to just over two days. That’s the facets that’s the fastest it’s been in company history. And we all know that dealers like to get paid fast, and that goes to our efforts to increase our customer service to the dealerships.

我們在第二季、季比和年比上增加了每位代表的平均融資經銷商數量。我們能夠將向經銷商付款的融資時間縮短到兩天多一點。這是公司歷史上最快的方面。我們都知道經銷商喜歡快速獲得報酬，這需要我們努力加強對經銷商的客戶服務。

In terms of our current risk profile, we’re holding a strong 20.49% APR, and we’ve been able to hold that APR strong during our growth inflection so far in 2024.

就我們目前的風險狀況而言，我們保持著 20.49% 的強勁年利率，並且在 2024 年迄今為止的成長轉折點期間，我們能夠保持強勁的年利率。

Our FICO has increased to 578, which is higher than our historical FICO of 565. That’s reflected of our emphasis on getting more upper tier paper, so we’re earmarking the upper tranche of the subprime branch.

我們的 FICO 已增至 578，高於我們歷史上的 FICO 565。這反映了我們對獲得更多上層票據的重視，因此我們指定了次級貸款分支的上層部分。

Our LTVs remain flat in the second quarter, running around 119%, which is down from 120% in 2023 and down from 125% in 2022. So, we’ve made some progress in hammering down our LTVs, moving from ‘22 into the second quarter of ‘24. Of exceptional note, we were able to lower our debt-to-income and our payment-to-income in the second quarter over our first quarter. So overall, we have a strong risk profile during our growth cycle.

我們第二季的生命週期價值保持平穩，約 119%，低於 2023 年的 120%，也低於 2022 年的 125%。因此，我們在降低生命週期價值方面取得了一些進展，從 22 美元進入第二季的 24 美元。值得注意的是，與第一季相比，第二季我們的債務與收入之比和支付與收入之比有所下降。整體而言，我們在成長週期中面臨著強烈的風險狀況。

Switching to portfolio performance, DQ greater than 30 days for the second quarter was 13.29%, that’s compared to 11.72% in the second quarter of 2023. That said, so far in 2024 we’ve been able to lower the DQ month-over-month for the first six weeks of 2024. So, we are seeing some positive trends in lowering the DQ so far in 2024. Annualized net charge-offs for the second quarter was 7.2%. That’s compared to 6.29% in the second quarter of 2023. As with our DQ, we have also been able to moderately lower our charge-offs month over month in the first six months of 2024. So good trends in the charge-off rate so far in 2024 as well.

轉向投資組合表現，第二季超過 30 天的 DQ 為 13.29%，而 2023 年第二季為 11.72%。也就是說，2024 年到目前為止，我們已經能夠在 2024 年的前六週逐月降低 DQ。因此，我們看到 2024 年迄今降低 DQ 的一些正面趨勢。第二季年化淨沖銷率為 7.2%。相比之下，2023 年第二季的成長率為 6.29%。就像我們的 DQ 一樣，我們在 2024 年前 6 個月也逐月適度降低了沖銷額。2024 年迄今為止，沖銷率也呈現良好趨勢。

Our extensions remain flat in the second quarter. And benchmarking those extensions with our competitors, we remain at market average. We continue to see remarkable success in the use of our extensions. We do have an extension model that uses algorithms to provide those extensions and we recently did a study of extensions granted in December of 2023 and compared those two accounts that did not get an extension in 2023 and ran that study through June of 2024. And we found that the accounts that did get extensions versus the accounts that didn’t get extensions saw a 41% decrease in charge offs. So our extension methodology is working.

我們的延期在第二季保持穩定。並將這些擴展與我們的競爭對手進行比較，我們仍然處於市場平均水平。我們繼續看到我們的擴展的使用取得了顯著的成功。我們確實有一個使用演算法來提供這些延期的延期模型，我們最近對2023 年12 月授予的延期進行了研究，比較了2023 年未獲得延期的兩個帳戶，並在2024 年6 月進行了該研究。我們發現，與未獲得延期的帳戶相比，獲得延期的帳戶的沖銷減少了 41%。所以我們的擴展方法正在發揮作用。

As Brad said, generally speaking, we’re sort of quickly exiting or flushing through the challenging 2022 vintages. The second half of 2023 is showing market improvement. And while it’s early in the game, the ‘24s are looking great and we’re cautiously optimistic that the CNLs will return to the historical norms.

正如 Brad 所說，一般來說，我們正在快速退出或衝過充滿挑戰的 2022 年。2023 年下半年市場出現改善。雖然現在還處於比賽初期，但 24 場比賽看起來很棒，我們對 CNL 將恢復到歷史正常水平持謹慎樂觀的態度。

Turning to technology, we continue to layer in AI based technologies into our operations in the front end of the business and the back end of the business. Our latest project, we completed our pilot of a conversational AI voice bot that is actually used by a few of our competitors in the industry. We expect to fully launch this AI voice bot in August. We’re probably going to use it on collecting our potential delinquencies. That’s 1 to 29 days. And we expect that will reduce our roll rate and help our collections in the later buckets.

在技​​術方面，我們繼續將基於人工智慧的技術分層融入業務前端和業務後端的營運中。我們的最新項目，我們完成了對話式人工智慧語音機器人的試點，該機器人實際上已被業內的一些競爭對手使用。我們預計在八月全面推出這款人工智慧語音機器人。我們可能會用它來追收潛在的拖欠款項。即 1 到 29 天。我們預計這將降低我們的滾動率並幫助我們在以後的桶中收集。

The pilot testing revealed incredible efficiency in making a high volume of calls, establishing right-party contact, and converting that RPC to promises to pay and at least 10% of the time in real-time payments on the spot. So we’re excited about that.

試點測試顯示，在撥打大量電話、建立正確方聯繫、將 RPC 轉換為承諾支付以及至少 10% 的現場即時支付方面，效率令人難以置信。所以我們對此感到興奮。

The other thing we did in the quarter was we launched our second phase of our document processing AI bot in originations. We’ve had the first phase implemented for the last year. The second phase concentrates on checking proof of income upfront, which allows us to process the deal faster and pay the dealer faster. And it’s also more accurate and detects fraud upfront.

我們在本季做的另一件事是我們啟動了文件處理人工智慧機器人的第二階段。我們去年已經實施了第一階段。第二階段的重點是預先檢查收入證明，這使我們能夠更快地處理交易並更快地向經銷商付款。而且它也更加準確，可以預先偵測詐欺行為。

A few miscellaneous things. In the second quarter, or actually in the first six months of 2024, we were able to reduce our occupancy costs significantly by renegotiating and renewing four of our five leases. Our fifth lease is up for renewal now and we are working on that as we speak.

一些雜七雜八的東西。在第二季度，或實際上是 2024 年的前六個月，我們透過重新談判和續簽五份租約中的四份，顯著降低了入住成本。我們的第五份租約現在即將續簽，就在我們發言之際，我們正在處理此事。

So all good things. And with that, I’ll kick it back to Brad.

所以一切都是好事。說到這裡，我會把它踢回給布萊德。

Thanks Mike. Looking at the industry, we sit in a pretty good place. By and large, everyone in our industry is trying to deal with the performance problems created in 2022 and 2023. As we mentioned in previous calls, we’ve done better than most, if not even better than that. So, we’re very comfortable with how those pools are performing.

謝謝邁克。縱觀整個產業，我們處於一個非常好的位置。總的來說，我們行業的每個人都在努力應對 2022 年和 2023 年產生的效能問題。正如我們在之前的電話會議中提到的，我們做得比大多數人都好，甚至更好。因此，我們對這些池的表現非常滿意。

We think it’s going to take some time for some other folks to work through it. We’ll see how that affects the industry. I think it can only affect the positively. As few of the weaker players go away, the big players will pick them up.

我們認為其他人需要一些時間來解決這個問題。我們將看看這對行業有何影響。我認為這只會產生正面的影響。由於很少有較弱的玩家離開，大玩家將會接住他們。

So we don’t have that problem. One of the things we have pointed out in the past is the barriers to entry in our industry now are very extreme. No one has come in in the last five or almost ten years. And so I think that gives the people here a leg up, gives people who are doing the credit better than most, like us, an even bigger leg up. And so the real trick now is we’re focused on growth. We want to get to the position where we’re growing a lot and we have real production as we roll into the new year and hopefully experience some declining interest rates, then we’ll start making lots of money again.

所以我們不存在這個問題。我們過去指出的一件事是，現在我們這個行業的進入障礙非常極端。在過去的五年或近十年裡沒有人進來。所以我認為這給了這裡的人們一個優勢，給那些比大多數人（像我們）做得更好的人一個更大的優勢。因此，現在真正的訣竅是我們專注於成長。我們希望在進入新的一年時實現大幅增長並實現實際生產，並希望利率有所下降，然後我們將再次開始賺很多錢。

So, that’s really the plan. I think in terms of the economy, our number one thing is unemployment. Unemployment seems to be fine. We think the economy looks healthy. We’ll see what the elections do, but probably we’re even more interested in what the rates will do. So, with the current economic conditions, it would appear, and sooner or later they’ll begin to lower rates. And that’s where it really helps us.

所以，這確實是計劃。我認為就經濟而言，我們的首要任務是失業。看來失業還好。我們認為經濟看起來很健康。我們會看看選舉會發生什麼，但我們可能更感興趣的是利率會發生什麼。因此，在當前的經濟狀況下，他們遲早會開始降低利率。這就是它真正幫助我們的地方。

So our goal is to do probably two things in preparation for that time. One is to make sure that a credit is exactly where we think it’s going. And two, to get in a growth position where we’re funding lots and lots of loans as we roll into declining interest rates.

所以我們的目標是為那個時候做兩件事做準備。一是確保信貸準確無誤地流向我們認為的方向。第二，為了獲得成長，在利率下降的情況下，我們提供大量貸款。

So second quarter, somewhat like the first quarter, not all exciting. It’s like building blocks. We are building things so that when the time is right, we’ll be in the best possible position, take advantage of it, both economically and financially. We’re strong on cash. Having done that residual deal, we have lots of money tied up in our securitizations that money is beginning to flow out. So we’re really in a very good position to take advantage of the next few quarters.

所以第二季度，有點像第一季度，不那麼令人興奮。這就像搭積木一樣。我們正在建立一些東西，以便在時機成熟時，我們能夠處於最佳位置，並在經濟和財務上充分利用它。我們的現金充足。完成剩餘交易後，我們有大量資金被綁在證券化中，資金開始外流。因此，我們確實處於非常有利的位置，可以利用接下來的幾季。

So, with that, we’ll let it go and we’ll see you next quarter. Thank you all for attending.

因此，我們就放手吧，我們下個季度再見。感謝大家的出席。

Thank you. This concludes today’s teleconference. A replay will be available beginning two hours from now for 12 months via the company’s website at www.consumerportfolio.com.

謝謝。今天的電話會議到此結束。從現在開始兩小時起，您可以透過公司網站 www.consumerportfolio.com 重播，為期 12 個月。

Please disconnect your lines at this time and have a wonderful day.

請此時斷開線路，祝您有美好的一天。