NewtekOne Inc (NEWT) 2024 Q1 法說會逐字稿

Good day, and thank you for standing by, and welcome to the new tech one E. 2024 first quarter earnings conference call. (Operator Instructions) Please be advised that today's conference is being recorded. And I would now like to hand the conference over to your first speaker for today, Barry Sloane, Chief Executive Officer. Please go ahead.

美好的一天，感謝您的支持，歡迎參加新技術 E. 2024 年第一季財報電話會議。 （操作員指示）請注意，今天的會議正在錄製中。現在我想將會議交給今天的第一位發言人，執行長巴里·斯隆 (Barry Sloane)。請繼續。

Thank you very much, and welcome, everyone to our first quarter 2024 financial results conference call. We're very pleased to present our results to you today. Joining me on the call is Scott Price, our Chief Financial Officer of New Tech one, a publicly traded company as well as new tech Bank National Association. In addition, Frank DeMaria, Chief Accounting Officer, EVP for New Tech Bank. Our new tech one, Inc. And I also have Nick Young, the President and Chief Operating Officer of New Tech.

非常感謝並歡迎大家參加我們的 2024 年第一季財務業績電話會議。我們很高興今天向您展示我們的結果。與我一起參加電話會議的是 Scott Price，他是 New Tech one 的財務官，New Tech one 是一家上市公司，也是全國新技術銀行協會。此外，新科技銀行首席會計長兼執行副總裁 Frank DeMaria。我們的新科技公司。

One should when you take bank joining me today for all of you that want to follow along with the PowerPoint presentation, you can do so by going to our website, new tech, one.com and UWTKONE. dot com. While you're there, you may want to take a look at new tech bank.com and the new tech advantage, all valuable information to understanding our organization would also like to welcome the analyst coverage from KBW. Tim Switzer; from Raymond James, Steve Moss; from Compass Point, No Ross; from Ladenburg Crystal, Chris Nolan; from B. Riley, Bryce Rowe. And last but not least Crispin Love from Piper Sandler.

今天，當您與我一起為所有想要觀看 PowerPoint 簡報的人採取銀行行動時，您可以透過造訪我們的網站、new tech、one.com 和 UWTKONE 來完成此操作。 .com。當您在那裡時，您可能想看看新技術 Bank.com 和新技術優勢，了解我們組織的所有有價值的資訊也歡迎 KBW 的分析師報告。提姆‧斯威策；雷蒙德詹姆斯、史蒂夫莫斯；從 Compass Point 出發，沒有羅斯；來自拉登堡水晶，克里斯諾蘭；來自 B. Riley、布萊斯羅。最後但並非最不重要的一點是 Piper Sandler 的 Crispin Love。

On this call today show illuminate a management company that is building a business that's important to note, take a look at all the building blocks that we put in our presentation from growing the accounting and finance departments, growing our ability to take deposits and new tech bank and A.

在今天的電話會議上，我們展示了一家管理公司正在建立一項值得注意的業務，看看我們在演示中加入的所有構建模組，包括不斷發展的會計和財務部門、提高我們吸收存款的能力和新科技銀行和A.

So our ability to move our lending operation into the bank and making a growing high-quality group of loans that have generous risk reward provisions as well as to being compliant LeuTech. One is clearly a long-term opportunity to invest in a technology enabled business that provides Business Solutions and financial solutions and depository services. So the 30 million independent business owners across the United States.

因此，我們有能力將貸款業務轉移到銀行，並提供不斷增長的高品質貸款，這些貸款具有豐厚的風險回報條款，並且符合 LeuTech 的要求。其中之一顯然是投資提供業務解決方案、金融解決方案和託管服務的技術支援型企業的長期機會。美國有 3000 萬獨立企業主。

I do want to call everyone's attention to Slide Number one in the presentation deck, which once again you can find in our website in the Investor Relations section. Slide Number one is note regarding forward-looking statements.

我確實想提請大家注意簡報中的第一張投影片，您可以再次在我們網站的投資者關係部分找到該投影片。第一張投影片是有關前瞻性陳述的註記。

So I'll move forward to slide number two. Clearly, the biggest takeaway from our results that we published last night for up in our press release, the biggest takeaways from Q1 in 2024 for first quarter 2024 for core earnings of $0.38 per basic and diluted common share exceeded our previously issued guidance of $19.25 per basic and common diluted share. Also important to note that in comparison to Q1 2023 earnings, we reported $0.76 and $0.74.

我將繼續看第二張投影片。顯然，我們昨晚在新聞稿中發布的業績的最大收穫，即2024 年第一季的最大收穫，每股基本和稀釋普通股核心收益為0.38 美元，超過了我們之前發布的每股19.25 美元的指導。同樣重要的是要注意，與 2023 年第一季的收益相比，我們報告的收益為 0.76 美元和 0.74 美元。

There was an income tax benefit of approximately $0.59 for basic [50] per diluted share of $0.6. Without that income tax benefit, EPS would have been [17] and [16]. So we really beat on a core basis from an operating perspective year over year comparison by about $0.20 conservatively, we raised our guidance for fiscal year 2024 to above [85] to [$0.05] from previous $1.80 to $2 .

基本 [50] 稀釋後每股收益約為 0.59 美元，所得稅收益約為 0.6 美元。如果沒有所得稅優惠，每股盈餘將是[17]和[16]。因此，從營運角度來看，我們確實在核心基礎上保守地擊敗了約 0.20 美元，我們將 2024 財年的指導從之前的 1.80 美元至 2 美元上調至 [85] 至 [0.05 美元] 以上。

Important to note sequentially quarterly deposit growth at the bank, 9% growth according to S&P Global U.S. based banks grew 1.2% in deposits from December 31, 2023 to March 31, 2024. So we're clearly proud of that ability to grow deposits, sequential loan growth also at a level of 11%. That's on a consolidated basis at New Tech one over Q4 2023.

值得注意的是，根據標準普爾全球銀行的數據，該銀行的季度存款增加了9%，從2023 年12 月31 日到2024 年3 月31 日，美國銀行的存款增加了1.2%。顯然對這種增加存款的能力感到自豪，貸款季增也達到 11% 的水平。這是在 2023 年第四季 New Tech one 的合併基礎上得出的。

Also important to note that of the SBA seven a. business, we sell 75% of the government guaranteed loans typically within the quarter that we produced up. Therefore, the growth obviously would have been higher. It is important to note that this organization that has a consolidated total asset base of $1.4 billion and about $700 million of the bank really has the loan generation capability of an institution that is four or five times larger. Important to note that interest margin at New Tech banks grew sequentially by 37 basis points from [4.43] to [4.80] growth in NIM. as banks is hard to find.

另外值得注意的是 SBA 七項 a。業務方面，我們通常會在生產的季度內出售 75% 的政府擔保貸款。因此，成長顯然會更高。值得注意的是，這個擁有 14 億美元綜合總資產和約 7 億美元銀行資金的組織確實擁有比其規模大四五倍的機構的貸款產生能力。值得注意的是，新科技銀行的息差較上季成長了 37 個基點，從淨利差成長[4.43]到[4.80]。因為銀行很難找到。

Clearly, we are very proud of this extraordinary accomplishment. In addition, while we were able to grow NIM. 45 basis points of loan loss reserve coverage at March 31, 2024 for growing loan loss reserves while growing profits, not an easy thing to do, these are accomplishments, we're extremely proud of. We also increased the quarterly dividend in the first quarter by 5.5% to $0.19 a share from $0.18.

顯然，我們對這項非凡成就感到非常自豪。此外，雖然我們能夠發展 NIM。截至2024年3月31日，貸款損失準備金覆蓋率提高45個基點，在增加利潤的同時增加貸款損失準備金，這不是一件容易的事，這些都是成就，我們感到非常自豪。我們也將第一季的季度股息從每股 0.18 美元提高了 5.5%，至每股 0.19 美元。

That was an indicative sign of confidence that these dividends will be paid out of earnings with the Board. And the management feels comfortable that what we're doing is they're consistent stable, and we'll be able to repeated quarter-after-quarter on slide number three, we've got new tech bank. Financial summary highlights, ROAA, 5.8% ROTCE, 37% efficiency ratio of 15%.

這是一個跡象，表明人們有信心這些股息將從董事會的收益中支付。管理階層對我們正在做的事情感到放心，他們始終保持穩定，我們將能夠在第三張投影片上逐季重複，我們擁有新科技銀行。財務摘要亮點，ROAA、ROTCE 5.8%、效率37%、比率15%。

I don't know where you find financial institutions or banks that have this type of performance. Frankly, people are looking at it and saying, I don't know if this can be kept up. I don't believe it will run out this quarter, right? And I hope we keep producing these kinds of numbers and we'll continue to work hard to produce these kinds of numbers for our shareholders.

我不知道你在哪裡可以找到有這種績效的金融機構或銀行。坦白說，人們看著它並說，我不知道這是否可以保持下去。我不相信這個季度會用完，對嗎？我希望我們繼續創造這些數字，我們將繼續努力為我們的股東創造這些數字。

So net interest margin at the bank, 4.8%, up from [4.43] average yield on loans at the bank increased. A lot of that is based upon I would say an overperformance in the seven A. business. We're going to talk about the other loans that we do with the bank that prospectively are lower margin, lower yielding, and we'll have less charge-offs. Deposit rates increased slightly from [4.4] to [4.48], and that's a trend that probably will continue.

因此銀行淨利差為 4.8%，較銀行貸款平均收益率[4.43]增加。我想說，這很大程度上是基於七A業務的超常表現。我們將討論我們向銀行提供的其他貸款，這些貸款的利潤率較低，收益率較低，我們的沖銷也會較少。存款利率從[4.4]小幅上升至[4.48]，而且這一趨勢可能會持續下去。

But we think modestly not to any great extent that will affect net interest margins, net interest margin will be more effective by putting on lower risk, more vanilla bank card loans in the bank to diversify the portfolio to take a look at our capital and credit for the all over to the right-hand side of the slide, you can see our institution continues to be well capitalized. Our Q1 returns clearly were were impacted by higher volumes of loans, greater price, also higher expenses compared to fourth quarter of 2023. I think it's important to note that new tech one is not an organization that's built to be a $1.5 billion financial holding company. It's projected to be much, much larger. So we're putting in the infrastructure to be able to continue to achieve growth rates in deposits and lending as well as the ancillary services that come out of the holding company that make us extraordinarily unique.

但我們謙虛地認為，這不會在很大程度上影響淨息差，透過在銀行發放風險較低、更多普通銀行卡貸款來分散投資組合，看看我們的資本和信用，淨息差會更有效。與2023 年第四季相比，我們第一季的回報顯然受到了貸款量增加、價格上漲以及費用增加的影響。控股公司的組織。預計它會大得多。因此，我們正在投入基礎設施，以便能夠繼續實現存款和貸款以及控股公司提供的輔助服務的成長率，這使我們顯得異常獨特。

So the net interest margin and yields on loans are primarily due to a higher concentration of SBA seven a. loans were prime plus three lender today, and that would be 11.5%. So once again, we're very, very proud of the results and the performance at New Tech banks consolidating it up to the holding company. The ROA 2.8 ROTCE is still very high at 20%.

因此，淨利差和貸款收益率主要是由於 SBA 7 a 的集中度較高。今天的貸款是主要貸款加上三個貸款人，即 11.5%。因此，我們再次對新科技銀行將其整合到控股公司的結果和表現感到非常非常自豪。 ROTCE 2.8 的 ROA 仍然很高，為 20%。

And obviously, as you take a look at the difference between the holdco and the bank, clearly we've got our institutional funding up at the holding company. So less opportunity to take advantage of deposits, which are lower cost down in the bank. We do our alternative loan program funding at a holding company first on the balance sheet and then into joint ventures. But once again, important to note for a financial holding company, these are still extraordinary numbers that you can find when you run your finger down the page of other financial holding companies and new tech on towards the bottom of the page.

顯然，當你看看控股公司和銀行之間的差異時，顯然我們已經在控股公司獲得了機構資金。因此，利用存款的機會較少，銀行的成本較低。我們先在資產負債表上為一家控股公司提供替代貸款計畫資金，然後再注入合資企業。但再次要注意的是，對於一家金融控股公司來說，當你用手指向下滑動其他金融控股公司的頁面和頁面底部的新技術時，你可以找到這些非凡的數字。

You could see on slide 4, the core EPS non-GAAP last year, it took out the tax benefit from the first quarter about $1.30-ish, and we're looking at a revised forecast for 2024 of a $1.85 to [$2.05]. Clearly some nice growth there, particularly in core. We think that that growth should start to sequence to the investor and analyst community to start to achieve a more normalized market multiple as the market and investors start to get a better understanding of our financials, our balance sheet, our income statement and how we project going forward.

您可以在投影片 4 上看到，去年的核心 EPS 非 GAAP 扣除了第一季約 1.30 美元左右的稅收優惠，我們正在研究 2024 年修正後的預測，即 1.85 美元至 [2.05 美元]。顯然，那裡有一些不錯的成長，特別是在核心領域。我們認為，隨著市場和投資者開始更了解我們的財務狀況、資產負債表、損益表以及我們的預測方式，這種成長應該開始向投資者和分析師群體開始實現更正常化的市場倍數向前走。

Slide number five, I think this is important I get asked as Scott raised a lot of questions once again, very unlike the comparison to a traditional bank. First of all, we offer so much more to our clients and we do this without branches, brokers, bankers on a traditional sense. And BDOs were more focused on return on tangible common equity and return on average assets, not assets under management I used the term coupon clipping our competitors in the banking industry that make loans, they tried to get as much non-interest bearing deposits as they can.

第五張投影片，我認為這很重要，因為史考特再次提出了許多問題，這與傳統銀行的比較非常不同。首先，我們為客戶提供更多服務，而且我們在沒有傳統意義上的分行、經紀人、銀行家的情況下做到這一點。 BDO 更關注有形普通股回報率和平均資產回報率，而不是管理下的資產。 。

And they're given that coupon clearly, we have an overweighting of non-interest income versus traditional bank interest income, which we think is an envy of most other banks. But this is something that's been inherent in new tech and it's one and its business model for over the course of 25 years. And since we became a public company in September of 2000. Our margins and returns are higher than a traditional bank and bank holding company. Important to note, we believe our credit remains strong lending to the small and medium size business. Now some people say, gee, these small business loans aren't these really bad credits?

他們清楚地得到了優惠券，與傳統銀行利息收入相比，我們的非利息收入比重過高，我們認為這是大多數其他銀行羨慕的。但這是新技術所固有的東西，它及其商業模式已經存在了 25 年。自從我們在 2000 年 9 月成為上市公司以來，我們的利潤率和回報率高於傳統銀行和銀行控股公司。值得注意的是，我們相信我們對中小企業的信貸仍然強勁。現在有人說，哎呀，這些小企業貸款不是信用很差嗎？

Aren't these the credits are they're going to go bad first, first of all, we've been doing this for 20 years. We've been through oh eight, oh nine. We did through the pandemic. We understand this, but our investors are rewarded from the programs that generate an 11.5% coupon and even net of the expectation, which we believe our history and our management team has very good knowledge of how this portfolio is going to perform, provides excessive returns.

這些片子不是會先壞掉嗎，首先，我們已經這樣做了20年了。我們已經經歷了八點、九點。我們確實度過了大流行。我們理解這一點，但我們的投資者從產生 11.5％ 息票甚至淨預期的計劃中獲得回報，我們相信我們的歷史和我們的管理團隊非常了解該投資組合將如何表現，提供超額回報。

That's why our ROAs and ROTCE.s are much, much higher than our competitors, even while we're posting loan loss reserves that are north of currently of 4%, which we think will modify down to 3.5% when we started diversify the portfolio into some for traditional banking types of loans. But when you look at what we're doing in the bank from a risk perspective, we love our business model much more, then they deem to be low risk, low charge of low margin loans that our competitors are doing, hoping that their non-interest bearing deposits don't run away into money market accounts, which is a trend that we see continuing to go on.

這就是為什麼我們的ROA 和ROTCE.s 比我們的競爭對手高得多，即使我們公佈的貸款損失準備金高於目前的4%，我們認為當我們開始實現投資組合多元化時，該準備金將下調至3.5%分為一些傳統銀行類型的貸款。但是，當你從風險的角度來看我們在銀行所做的事情時，我們更喜歡我們的商業模式，然後他們認為我們的競爭對手正在做的低風險、低收費的低利潤貸款，希望他們的非-計息存款不會流入貨幣市場帳戶，我們認為這種趨勢將持續下去。

As far as the agency, it's way too easy to move money on a phone into the right accounts. So maybe I don't leave [250] over $2.5 million in the bank, mainly through our $250,000 people and a money market funds and keep moving the money back and forth. That's where we see the trends. We're very well positioned for that. And we certainly even with the higher cost of consumer deposits that we've got and we're going to talk about reducing that cost of commercial deposits. We are very well situated for the risk inherent in the business industry going forward.

就該機構而言，將手機上的錢轉入正確的帳戶太容易了。因此，也許我不會在銀行留下[250]超過250萬美元，主要是透過我們25萬美元的人員​​和貨幣市場基金，並不斷地來回轉移資金。這就是我們看到的趨勢。我們為此做好了充分準備。當然，即使我們的消費者存款成本較高，我們也會討論降低商業存款的成本。我們已經做好了應對商業產業未來固有風險的準備。

Yes, we're able to raise deposits. We brought in approximately 6,000 depository accounts in our early stages of life. Yes, gain on sale is a reoccurring event and it's reoccurring income. I've got a beautiful slide on slide 17 that shows this beyond. People don't like gain on sale. They may not like it, but we made money doing this for 20 years. We make loans and we sell them and it generates a higher return on equity and a high return on assets. It's a better strategy than a financial or a bank holding company be a growth company?

是的，我們能夠籌集存款。我們在人生的早期階段開設了大約 6,000 個存款帳戶。是的，銷售收益是經常性事件，也是經常性收入。我在幻燈片 17 上有一張漂亮的幻燈片，展示了這一點。人們不喜歡出售收益。他們可能不喜歡它，但我們這樣做已經賺了20年錢了。我們發放貸款並出售它們，這會產生更高的股本回報率和高資產回報率。這是比金融或銀行控股公司成為成長型公司更好的策略嗎？

Yes, we don't know how the others can do that within their model. But yes, we can be our alternative loan program. We'll talk about this. We've demonstrated in earlier presentations, it's a 20% to 30% return on equity business for our company on it was slower in 2023 due to the issues that were occurring in the market with respect to rates, volatility, capital availability for banks, it's an important growth aspect that you could see had a great first quarter have a great pipeline, and we think we're in pretty good shape going forward.

是的，我們不知道其他人如何在他們的模型中做到這一點。但是，是的，我們可以成為我們的替代貸款計劃。我們會討論這個。我們在先前的演示中已經證明，我們公司的股本業務回報率為 20% 至 30%，但由於市場上出現的利率、波動性、銀行資本可用性等問題，2023 年的股本回報率較慢，這是一個重要的成長方面，你可以看到，如果第一季表現出色，就有大量的管道，我們認為我們未來的狀況非常好。

I'd like to turn the next few slides over to Scott Price to go over six seven and eight.

我想把接下來的幾張幻燈片交給斯科特·普萊斯（Scott Price）來討論六七和八。

Thanks, very good morning, everyone. Turning to slide 6, our net interest income expanded 16 basis points during the quarter. Despite higher deposit costs. Average earning assets increased $31.1 million, and we experienced a sizable mix shift, with average cash balances declining $45 million and average loans increasing $73 million, a higher percentage of the loan portfolio in the SBA seven a. product versus last quarter drove the increase in yields on loans.

謝謝，大家早安。轉向投影片 6，本季我們的淨利息收入成長了 16 個基點。儘管存款成本較高。平均獲利資產增加了 3,110 萬美元，我們經歷了相當大的組合轉變，平均現金餘額減少了 4,500 萬美元，平均貸款增加了 7,300 萬美元，在 SBA 七 a 的貸款組合中所佔比例較高。與上季相比，產品的成長推動了貸款收益率的成長。

On the funding side, our cost of deposits on a consolidated basis increased 20 basis points as the acquired CD portfolio continues to mature lower costs. Separately, our interest expense on borrowings was lower as we experienced with prepays on the NSBF. seven a. portfolio, which led to reductions in notes payable to securitization trusts.

在融資方面，隨著收購的 CD 投資組合的成本不斷降低，我們的綜合存款成本增加了 20 個基點。另外，我們的借款利息支出較低，因為我們經歷了 NSBF 的預付款。七 a.投資組合，導致應付證券化信託的票據減少。

Slide 7. As a graphical representation of the ins and outs of net interest income, most of which I've already covered. To summarize, we were able to increase our balance sheet efficiency by deploying excess funds to originate loans. I do expect higher levels of leverage at the bank as we roll out our business checking products and continue our retail deposit gathering.

投影片 7。總而言之，我們能夠透過利用多餘資金發放貸款來提高資產負債表效率。隨著我們推出業務支票產品並繼續吸收零售存款，我確實預計銀行的槓桿水平會更高。

Shifting to slide 8, our deposit mix was relatively unchanged towards our high-yield savings balances staying relatively stable and CD portfolio balances increasing. We expect our business checking account product and business money market products increase at lower on balances to increase at lower rates as we move into the last three quarters of the year, the maturing digital CDs during the quarter largely rolled on to the same product at similar rates.

轉向投影片 8，我們的存款組合相對不變，高收益儲蓄餘額保持相對穩定，CD 投資組合餘額增加。我們預計，隨著進入今年最後三個季度，我們的商業支票帳戶產品和商業貨幣市場產品將以較低的餘額增長，以較低的利率增長，本季度成熟的數位CD 大部分以相似的價格捲動到同一產品上。

Important to note, our retention that we've experienced on CDs maturing in the last few months, March and April, I've been above industry standards at 90%.

值得注意的是，過去幾個月（3 月和 4 月）我們在 CD 上經歷的保留率已經高於行業標準 90%。

Barry, I'll turn the call back to you.

巴里，我會把電話轉給你。

Thank you, Scott. Slide number nine, the new tech advantage. This is our advantage in the marketplace we believe that the new take advantage will become a market place destination for our clients. We offer customers more than just taking their deposits with the hope that they can get alone, when a client opens up an advantage account, they get free unlimited document storage.

謝謝你，斯科特。第九張投影片，新技術優勢。這是我們在市場上的優勢，我們相信新的優勢將成為我們客戶的市場目的地。我們為客戶提供的不僅僅是接受存款，希望他們能夠獨處，當客戶開設優勢帳戶時，他們可以獲得免費的無限文件儲存。

They get free real-time, upgraded updated web traffic analytics. If they're processing payments with us, they're going to receive real time chargeback and batch information, they can get same-day funding. If there are payroll clients, they can make payroll directly from the business portal. The new tech advantage extremely valuable.

他們獲得免費的即時、升級的網路流量分析。如果他們與我們一起處理付款，他們將收到實時退款和批次信息，他們可以獲得當日資金。如果有薪資客戶，他們可以直接從業務入口網站進行薪資核算。新技術的優勢極為寶貴。

We believe this on our technology that we've developed is also something that we can package white label and resell to other financial institutions within their marketplace. And we're very excited about the new tech advantage. We believe it gives us the ability to gather more deposits from verticals like payroll, insurance and payment processing.

我們相信，我們開發的技術也可以打包白標並轉售給市場內的其他金融機構。我們對新技術的優勢感到非常興奮。我們相信，它使我們能夠從工資、保險和支付處理等垂直領域收集更多存款。

Slide number 10, artificial intelligence on AI is going to change all companies in the United States and across the world where businesses have the opportunity to unify to utilize AI, it's going to be extremely beneficial. It's in new tech ones. Dna were disruptors or entrepreneurial, but important were prudent, but not afraid to use these types of technologies when they could really provide tremendous efficiencies and the way the Company is positioned for a unique position to take advantage of these opportunities.

第 10 張投影片，AI 上的人工智慧將改變美國和世界各地的所有公司，企業有機會統一利用 AI，這將是極其有益的。這是新技術。 DNA 是顛覆者或創業者，但重要的是謹慎，但不要害怕使用這些類型的技術，因為它們確實可以提供巨大的效率，而公司定位於利用這些機會的獨特地位。

The process of gathering data without the use of brokers, bankers, branches and BDOs is inherent to our model utilizing that data to futuristically be able to mine that data and make decisions about which clients we should contact for various opportunities from an email message or a phone call to provide additional services to use AI to manage our remote customer facing staff. Labor management is key.

在不使用經紀人、銀行家、分行和BDO 的情況下收集資料的過程是我們的模型所固有的，我們利用該資料在未來能夠挖掘該資料並決定我們應該透過電子郵件或電子郵件聯繫哪些客戶以獲取各種機會。勞動力管理是關鍵。

We currently use certain softwares within our organization that do this at today to basically ensure that our staff is consistent and comprehensive in their messaging with our existing and prospective customers going forward, utilizing AI to aggregate and analyze data to be able to assist in making credit decisions and opening up a bank account is clearly within our future plans.

我們目前在我們的組織內使用某些軟體來執行此操作，基本上確保我們的員工在與現有和潛在客戶的資訊傳遞中保持一致和全面，利用人工智慧來匯總和分析數據，以便能夠協助建立信用決定和開設銀行帳戶顯然屬於我們未來的計劃。

On slide number 11, relative to the Financial first quarter highlights, most of this data you'll be able to read in our press release, we're very, very pleased with how it rolled out. Once again, most importantly is the quarter over quarter comparison, '24 versus '23 $0.38 versus a core of [17] and [16] per basic and diluted common shares for Q1 2023.

在第 11 張投影片上，相對於第一季財務亮點，您可以在我們的新聞稿中閱讀大部分數據，我們對其推出方式非常非常滿意。再說一遍，最重要的是季度與季度的比較，2023 年第一季與 23 年相比，每股基本股和稀釋普通股的核心價格為 [17] 和 [16] 美元 0.38 美元。

Important slide on number 12, credit and risk management. Clearly something that based upon our legacy history as a BDC using fair value and certain limitations to being able to move Newtek Small Business Finance in the bank leaves us with accounting that needs a little bit further explanation. Newtek Small Business Finance is currently and formerly the non-bank SBA seven a. lender, which does not make anymore seven a. loans. All those loans are now made down in the bank.

第 12 號重要投影片「信用與風險管理」。顯然，基於我們作為 BDC 的傳統歷史，使用公允價值和某些限制能夠將 Newtek Small Business Finance 轉移到銀行，這讓我們的會計需要進一步解釋。 Newtek Small Business Finance 目前和以前都是非銀行 SBA 七家之一。貸款人，不再讓七了。貸款。所有這些貸款現在都存入銀行。

So Newtek Small Business Finance arm sits up at the holding company has about $633 million of total assets at [1231] 2023 for capital book of $300 million. And the important aspect, if you want to track credit and trends, take a look at the fair value adjustment, sliding all the way across the five quarters, $33 million. That's a big number.

因此，Newtek Small Business Finance 部門在[1231] 2023 年的控股公司總資產約為 6.33 億美元，資本帳面為 3 億美元。重要的是，如果你想追蹤信貸和趨勢，看看公允價值調整，五個季度一路下滑，3300萬美元。這是一個很大的數字。

Here's the good news. It's already been written off. It's been written off the book. It's been written off of earnings sorry effect in our past earning and you're left with a fair value of $37 million. If you run your finger back across the page, it's fairly stable over five quarters hasn't moved very much. These are loans that most likely will a re-performing get back into payment status.

這是好消息。已經被註銷了。已經從書上註銷了。它已被沖銷掉對我們過去收益的影響，剩下的公允價值為 3700 萬美元。如果你用手指滑過頁面，它在五個季度內相當穩定，沒有太大變化。這些貸款很可能在重新履行後恢復付款狀態。

Yes, nonaccrual small business loans frequently do come back into payment status. They still sit in this particular category or makes it. However, the important part is they may come back why there's multiple joint and several personal guarantees on these loans something that is not quite familiar to most banks or analysts or investors in this particular space.

是的，非應計小型企業貸款確實經常回到付款狀態。他們仍然屬於這一特定類別或成功。然而，重要的是，他們可能會回來，為什麼這些貸款有多重連帶和個人擔保，而這對這個特定領域的大多數銀行、分析師或投資者來說並不是很熟悉。

Also the $37 million most likely will if it doesn't come back, the other choice is to liquidate the collateral. These are evaluated every quarter. We mark the collateral, the market. We estimate how long it's going to take to liquidate is it six months is it 18, is it a tough state like Illinois that might be '24 in our bankruptcy, we look at the fair value. We put the cost to liquidate and we come up with a price. So nobody needs to go crazy over this if in fact, these numbers to increase that this is a portfolio that's a trading down.

此外，如果 3700 萬美元無法收回，則另一個選擇是清算抵押品。每季都會對這些進行評估。我們標記抵押品，即市場。我們估計清算需要多長時間，是六個月還是18，是像伊利諾伊州這樣的艱難州，可能是我們破產的“24”，我們會考慮公允價值。我們將成本清算並提出價格。因此，如果事實上這些數字增加表明這是一個正在下跌的投資組合，那麼沒有人需要為此瘋狂。

So as a percentage of the total assets in SPF arguably is only going to get bigger because the portfolio is paying down quite rapidly of the performing loans because the important part we have this in our capital plan. We have this in our financial projections. This is not something that we're not new to. We own Newtek Small Business Finance since September, -- January of 2003.

因此，SPF 佔總資產的百分比可以說只會變得更大，因為投資組合正在快速償還不良貸款，因為這是我們資本計畫中的重要部分。我們的財務預測中有這一點。這對我們來說並不陌生。自 2003 年 9 月至 1 月以來，我們擁有 Newtek Small Business Finance。

So that's important to understand the nonaccrual portfolio, which is at fair value in NSBF. This is the nonaccrual. When you look at the accrual portfolio, it's priced assuming an approximate 8% charge-off over the life on a new loans have seasoned loan could be 5% or 6% because we've already experienced most of the charge-offs in the first 36 or 48 months, I would say 40 -- 35% to 40% of the portfolio is, I'll say, four-plus years old, all sitting in securitizations The rest will probably vintage '21, '22 and a little bit in '23.

因此，了解非應計投資組合非常重要，該投資組合在 NSBF 中以公允價值計算。這就是非應計。當你查看應計投資組合時，它的定價假設在新貸款的生命週期內大約有8% 的沖銷，而經驗豐富的貸款可能是5% 或6%，因為我們已經在第一個階段經歷了大部分沖銷36 或 48 個月，我會說 40 - 35% 到 40% 的投資組合已經有四年多了，全部都在證券化中，其餘的可能是 21 年、22 年等一些年份在' 23。

Now let's go down the new tech bank. So past due [31] to [89] $12 million or $12 million. It's really not an enormous number. It's 3% of total Mind you we sell off the government guaranteed piece. So if you would have kept that on the books and you use your percentages, probably 2% or some 1% number.

現在讓我們去新科技銀行吧。因此逾期 [31] 至 [89] 1,200 萬美元或 1,200 萬美元。這確實不是一個龐大的數字。佔總數的 3% 請注意，我們出售政府擔保的部分。因此，如果您將其記錄在案並使用百分比，可能是 2% 或 1% 左右的數字。

The other thing to point out is we make loans in the bank that we sell. We originate five or four loans, which we've never had a charge-off on to date. Those loans go out of the bank. We originate them and sell them. The first and the second are taken out by debentures. The alternative loan program loans also are originated. They go on the balance sheet briefly, then they go into joint ventures. So when you look at these numbers, these numbers are consistent with our projections.

另一件需要指出的事情是我們在我們出售的銀行發放貸款。我們發放了五、四筆貸款，迄今為止我們從未沖銷過這些貸款。這些貸款從銀行流出。我們生產並銷售它們。第一個和第二個是透過債券取出的。另類貸款計劃貸款也隨之產生。他們短暫地進入資產負債表，然後進入合資企業。因此，當您查看這些數字時，這些數字與我們的預測一致。

They're consistent with our plans. You'll see our currency rate is [95.5%] at the bank. Look that currency rate could go down much lower. That does not return as we've had currency rates of 88% or 89% small businesses fall behind. Sometimes it's seasonal. Sometimes the owner gets sick and they fall behind. So these numbers are not extraordinarily high and they're within our expectation.

它們與我們的計劃是一致的。您會在銀行看到我們的貨幣匯率為 [95.5%]。看看匯率可能會跌得更低。這種情況不會再出現，因為我們的匯率已經有 88% 或 89% 的小企業落後了。有時是季節性的。有時主人生病了，他們就會落後。所以這些數字並不是特別高，而且在我們的預期之內。

The nonaccrual loans at $8 million in the bank, a little over $5 million of those are Old National Bank of New York City loans will discuss the character of those loans. We've looked at these loans. We've analyzed them with a $369,000 allowance for credit losses. It's not a big number. It is going to get bigger.

該銀行的非應計貸款為 800 萬美元，其中略高於 500 萬美元是紐約市舊國家銀行的貸款，我們將討論這些貸款的性質。我們已經研究過這些貸款。我們對它們進行了分析，並設定了 369,000 美元的信用損失準備金。這不是一個大數字。它會變得更大。

Okay. However, the benefit of this is you get a big gain on sale, you get a servicing asset and the performing loans are on the books at 11.5% floating at prime, our quarterly adjust and once again, our loan loss reserves north of 4% more than adequate to be able to hold this. And we'll be we will be and have been looking at this every single quarter. I would say credit is not understood why the market for SBA seven a. loans. We've been doing this for 20 years. We know it. We understand it, and we're very comfortable managing the greater reward that you get for the charge-offs and delinquencies that you're going to have in this type portfolio.

好的。然而，這樣做的好處是，你在出售時獲得了巨大的收益，你獲得了服務資產，並且賬面上的履約貸款按最高利率浮動11.5%，我們的季度調整，我們的貸款損失準備金再次超過4%足以容納這個。我們每季都會關注這個問題。我想說信用是不明白為什麼市場對於SBA 七a。貸款。我們這樣做已經有 20 年了。我們知道。我們理解這一點，我們非常樂意管理您在此類投資組合中因沖銷和拖欠而獲得的更大回報。

Slide number 13 talks about quarterly lending activity. Obviously, we crested in the seven a. space, an increase of 35.9% over the prior quarter in the prior year. The alternative loan program, which is important, it was starting to get some nice traction $53.8 million in Q1. We see that continuing to ramp. This will help our profitability. And on a total loan area, you're going to see in the bank, hopefully in the second quarter.

第 13 號投影片討論了季度貸款活動。顯然，我們在七強中登頂。空間，較去年同期成長35.9%。替代貸款計劃很重要，它在第一季開始獲得 5380 萬美元的良好牽引力。我們看到這種情況繼續增加。這將有助於我們的獲利能力。在總貸款方面，您將在銀行看到，希望是在第二季。

But certainly in the third or fourth, the bank is going to put on the more traditional vanilla of low margin, low risk, low loan loss reserve, low charge-off types of loans that most of the banks lend to. But that's not our thesis. We do believe in a diversified portfolio. We think that's important and we will have it through the purchase origination of what I call conforming CRE and conforming C&I loans in the bank.

但可以肯定的是，在第三或第四年，銀行將提供大多數銀行放款的更傳統的低利潤、低風險、低貸款損失準備金、低沖銷類型的貸款。但這不是我們的論點。我們確實相信多元化的投資組合。我們認為這很重要，我們將透過在銀行購買我所說的合格 CRE 和合格 C&I 貸款來實現這一點。

Slide number 14 addresses the loan pipeline growth. Clearly, when you look at the alternative loan program on Slide 14. That's obviously our biggest delta that we have there. So as of the end of April to nice our pipeline of approved pending closing of $48.5 million, seven A business looks pretty good. I feel very, very good about where we are at the bottom of slide 14, you could see the alternative loan program closings through the first four months of the year, $61 million. You could straight line that and annualize it. We think it will wind up growing to bigger numbers and that's part of our forecast, but we actually have forecasted that pretty conservatively going forward.

第 14 號投影片討論了貸款管道的成長。顯然，當您查看幻燈片 14 上的替代貸款計劃時。因此，截至 4 月底，我們已批准待交割的管道已達 4,850 萬美元，其中 7 個 A 業務看起來相當不錯。我對幻燈片 14 底部的情況感覺非常非常好，您可以看到今年前四個月的替代貸款計劃關閉，金額為 6100 萬美元。你可以將其直線化並按年化。我們認為它最終會成長到更大的數字，這是我們預測的一部分，但實際上我們對未來的預測相當保守。

On slide number 15, once again, the makeup of the portfolio is important at the bank. We talk about our currency rate percentage of CRE composition. Obviously, the National Bank of New York City portfolio continues to get diluted as a percentage. We believe in geographic and industry diversification through our new tech sourcing and clearly our lending operation very scalable that will continue to grow year after year.

在第 15 號投影片中，投資組合的組成對銀行來說非常重要。我們討論我們的貨幣匯率佔 CRE 構成的百分比。顯然，紐約國家銀行的投資組合的百分比繼續被稀釋。我們相信透過我們的新技術採購可以實現地理和行業多元化，而且我們的貸款業務顯然具有很強的可擴展性，並將繼續年復一年地成長。

Slide number 16 talks about that CRE portfolio of new tech banks I'd like to draw your attention towards the bottom end of Slide 16. Once again important, there are a lot of banks out there that would certainly trade my weighted average LTV per CRE portfolio at [59.4] and look at these lower numbers on multi office and retail, that's driven up a little bit by the fiber for lending of which the second lien gets taken out by debentures, slide number 17.

第 16 號投影片討論了新科技銀行的 CRE 投資組合 我想提請您注意投影片 16 的底部。 ，看看多辦公室和零售業的這些較低數字，這是由貸款纖維推動的，其中第二留置權被債券取出，幻燈片17。

Okay. Is gain on sale or reoccurring events?

好的。收益是出售還是重複發生的事件？

Well, the numbers don't lie. So let's focus on sort of what I'll call the near term history, 2021, 2022, 2023. These are big numbers. And I tell me this isn't going to be reoccurring 5, 10, 20 years from now, you're going to see these numbers add new tech one for right? These numbers are there. We make loans, we sell them. I mean, if the math ever change and I haven't seen it in my two decades of experience in the business where it didn't pay to sell the government piece, we might hold it for income, but the highest return on assets, the highest return on equity.

好吧，數字不會說謊。因此，讓我們專注於我所說的近期歷史，2021 年、2022 年、2023 年。我告訴我，從現在起 5 年、10 年、20 年之後，這種情況不會再發生，你會看到這些數字增加了新技術，對吧？這些數字就在那裡。我們發放貸款，我們出售它們。我的意思是，如果數學發生變化，而我在二十年的行業經驗中沒有看到這樣的情況，即出售政府部分是沒有代價的，我們可能會為了收入而持有它，但資產回報率最高，股本報酬率最高。

It's clearly by selling the government-guaranteed piece. And these are the cash premiums Important to note for non SBA seven a. aficionados, anything you sell to the 11 pool assemblers above one 10, the premium gets split 50/50. So you look at the weighted average net sales price, you could see it down the far right-hand column on slide number 17, the average over this time, [11.34]. If you go to the next slide, the first quarter is pretty much where we've been at the 10-year average. So I mean it can go a little lower, it can go a little higher, all manageable for us in managing our business.

顯然是透過出售政府擔保的部分來實現的。這些是非 SBA 需要注意的現金溢價七 a。愛好者們，任何你賣給超過 10 個 11 個泳池組裝商的東西，溢價都會分成 50/50。因此，您查看加權平均淨銷售價格，您可以在第 17 號投影片的最右側欄中看到它，即這段時間的平均值，[11.34]。如果你看下一張投影片，第一季幾乎處於 10 年平均值。所以我的意思是它可以低一點，也可以高一點，這對我們管理業務來說都是可控制的。

Slide number 19, everybody always forgets about the payments business. It just generates a lot of income and a lot of cash, the forecast for 2024 for which we're comfortable with pretax income, $16 million EBITDA, $16.6 million to nice growth from the prior year. Also important to note, this business is not factored into our tangible book on that's just accounting.

第 19 張投影片，每個人總是忘記支付業務。它只會產生大量收入和大量現金，我們對 2024 年稅前收入的預測感到滿意，即 1600 萬美元的 EBITDA，比上一年有 1660 萬美元的良好增長。同樣重要的是要注意，這項業務並未計入我們的有形帳簿中，這只是會計。

It was basically put in and I feel pretty much close to zero. I'll just leave it at that on and when we were holding this as a BDC and it was being marked to the market I think we had valuations net of its debt on NAV of about $115 million. So I had one investor say, Well, gee, to do lose all that money in equity, though it's just the change of accounting from NAV to bank accounting or book value accounting. And obviously is one of the reasons why we continue to educate our analysts our investors on a regular basis. There are a lot of accounting changes, but I think people are starting to get a handle on this, and it's going to become easier to follow.

它基本上已經投入使用了，我感覺幾乎接近零。我就這樣吧，當我們將其作為 BDC 持有並按市場定價時，我認為扣除資產淨值債務後，我們的估值約為 1.15 億美元。所以我有一位投資者說，好吧，哎呀，確實損失了所有的股權資金，儘管這只是會計從資產淨值到銀行會計或賬面價值會計的變化。顯然，這也是我們繼續定期對分析師和投資者進行教育的原因之一。會計方面有很多變化，但我認為人們已經開始掌握這一點，並且會變得更容易遵循。

Slide number 20 is a breakdown within Merchant Solutions. Slide number 21 is indicative of the dollars that we recently spent to bolster our accounting and finance and compliance team I think you could add about another $800,000 of expense to this number, which is factored into our projections. Once again, we don't aim to be a $1.5 billion bank for long. This is a business that is built for scale. It's a business that industry participants are going to look at and go.

第 20 號投影片是商家解決方案中的細分。第 21 張投影片顯示了我們最近為加強我們的會計、財務和合規團隊而花費的美元，我認為您可以在這個數字上再增加大約 800,000 美元的費用，這已納入我們的預測。再次強調，我們的目標並不是長期成為一家價值 15 億美元的銀行。這是一項為了規模而建立的業務。這是行業參與者將會關注並參與的業務。

How do we raise deposits with the bank branch bankers, branches, brokers or BDOs, how they make those loans the way they make them and make those loans those prices can they do his business is technology utilization of technology, dedicated staff willing that's willing to adopt. So that technology, I should say, adapt to the technology on and continuing to add to make sure, but we could manage our risks be compliant, have the right policies and procedures in place.

我們如何向銀行分行銀行家、分行、經紀人或BDO 籌集存款，他們如何以他們的方式發放這些貸款，並以這些價格發放這些貸款，他們可以做他的業務是技術利用技術，敬業的員工願意，願意採納。因此，我應該說，技術要適應技術並繼續增加以確保我們可以管理我們的風險，使其合規，並制定正確的政策和程序。

I will point out once again, when you think about where we started with a 61 year old bank that had and really no ability to open up a deposit account unless you went into the bank loans were made primarily through a brokerage network. So we had to put a lot of things in place that was 2023. We're still doing it. So against the backdrop of a lot of headwinds, this is a company that's building a business for the future to be a technology-enabled organization that can provide superior solutions to a huge economic engine and demographics in the marketplace. The independent business owner, Scott, if you go over the slide 22 on the financial projections that will be appreciated

我會再次指出，當你想到我們從一家有 61 年歷史的銀行開始時，這家銀行實際上沒有能力開設存款帳戶，除非你進入銀行貸款主要是透過經紀網路進行的。所以我們必須在 2023 年把很多事情落實到位。因此，在許多不利因素的背景下，這家公司正在為未來打造一家技術支援型組織，能夠為市場中龐大的經濟引擎和人口統計數據提供卓越的解決方案。獨立企業主斯科特，如果您仔細閱讀幻燈片 22 上的財務預測，我們將不勝感激

Cervarix, Slide 22 outlines our updated guidance for the remainder of 2020 for many of the KPI.s that we assumed and disclosed in our call in March remain unchanged. Our forecast assumes no change in interest rates. Consistent with prior quarter, we expect loan demand to hold them.

Cervarix，幻燈片 22 概述了我們在 3 月的電話會議中假設和披露的許多 KPI 的 2020 年剩餘時間的更新指南保持不變。我們的預測假設利率沒有變動。與上一季一致，我們預計貸款需求將支撐它們。

We did widen the ranges for Q3 and Q4 in light of the soft landing, the Fed is trying to pull off and the future of interest rates being data dependent. There are two items I want to point out regarding our results relative to our March forecast. First, our net interest income and provision expense came in on top of our expectations. And second our noninterest expenses for the quarter came in slightly better than we forecasted.

鑑於軟著陸、聯準會正在努力實現軟著陸以及利率的未來取決於數據，我們確實擴大了第三季和第四季的區間。關於我們相對於 3 月預測的結果，我想指出兩點。首先，我們的淨利息收入和撥備支出超出了我們的預期。其次，我們本季的非利息支出略優於我們的預測。

Barry, I'll turn it over to you.

巴里，我會把它交給你。

Thank you. Slide number 23, I did make some comments about the 2023 calendar year and the investments that we made some I think I've covered most of this once again against a lot of headwinds in 2023, we are very pleased and proud of our performance and the fact that we can now with a little bit less on the headwinds, be able to continue to grow the business with a forecast of a $0.85 to $2.5, which we think is conservative for calendar year 2024.

謝謝。第23 張投影片，我確實對2023 年曆年以及我們所做的一些投資發表了一些評論，我想我已經在2023 年面臨許多逆風的情況下再次討論了其中的大部分內容，我們對我們的表現感到非常高興和自豪，事實上，我們現在可以在阻力稍微減少的情況下繼續發展業務，預測為 0.85 至 2.5 美元，我們認為這對 2024 年來說是保守的。

2024 initiatives to continue to grow the new tech advantage and increased impressions that's going to go along with our ability to bring in commercial transaction deposits. We added about 17 heads in the commercial deposit area in Q1 2024 with another two coming in in April.

2024 年計畫繼續增強新技術優勢並增加印象，這將與我們引入商業交易存款的能力相結合。 2024 年第一季度，我們在商業存款領域增加了約 17 個頭，另外兩個頭在 4 月加入。

Most of those heads are used for the back office of accepting transactional deposits, customer service, teaching people how to use the technology, making sure we're compliant, making sure we can surveil all that stuff. So a major investment, all of these expenses are part of it. What will that lead to future growth in 1% commercial DDA and 3.5% commercial money market, which will come in from our payroll businesses.

這些負責人中的大多數用於接受交易存款、客戶服務、教導人們如何使用科技、確保我們合規、確保我們能夠監視所有這些東西的後台辦公室。所以這是一項重大投資，所有這些費用都是其中的一部分。這將導致 1% 的商業 DDA 和 3.5% 的商業貨幣市場未來的成長，這將來自我們的薪資業務。

Our merchant businesses, our lending business, which we started to get some traction towards the tail end of the first quarter 2024. We can't just be in that business without having the people process and technology wanted to make sure we were able to do this in a compliant manner because you don't want to make a mistake in this particular early stages.

我們的商業業務、貸款業務，我們在 2024 年第一季末開始獲得一些牽引力。 ，因為您不想在這個特定的早期階段犯錯。

I know financial people and I happen to be one of them saying, well, why can't you bring in more of this for this cheaper deposit money where we will be it will be, and it's something that we will be delivering on. So and we talked about this in previous calls, modestly in Q2 in 2024, but you'll start to see those numbers turn in Q3, 2024 and Q4 2024. And we believe that our accounts which charges no service fee for the account, no ACH and no wire fee will earn that business from the customer with an interest bearing rate.

我認識金融人士，而我恰好是其中之一，他們會說，好吧，為什麼你不能用更便宜的存款帶來更多的資金，而我們將實現這一點，這是我們將要實現的目標。因此，我們在先前的電話會議中（在2024 年第二季）謙虛地討論過這一點，但您將開始看到這些數字在2024 年第三季和2024 年第四季出現變化。我們的帳戶不收取任何服務費，不收取任何費用。

Our competitors can't do this, why they don't have the assets that they could put on the books on a risk adjusted basis that our floating rate asset liability manage to make this thing work. So our business model is unique. It works. It's worked historically in our career for those shareholders that have been patient. You've got to please excuse the transition, but it is working and our first quarter results are indicative of and we also look forward to Net Suite a new financial reporting platform that will enable us to close our books earlier.

我們的競爭對手做不到這一點，為什麼他們沒有可以在風險調整的基礎上記入帳簿的資產，而我們的浮動利率資產負債設法使這件事發揮作用。所以我們的商業模式是獨一無二的。有用。在我們的職業生涯中，對於那些一直有耐心的股東來說，這一直是有效的。請原諒這種轉變，但它正在發揮作用，我們第一季的業績表明了這一點，我們也期待 Net Suite 成為一個新的財務報告平台，使我們能夠更早結帳。

I think that's a second half 2024 initiative and continuing to add high-quality people, '24, we're obviously going to be attending investor conferences. We plan on hosting an Analyst Day, I would say the date will be June 13, 2024. We'll put out a press release will give people the opportunity to register ask as many questions as you like, and we look forward to getting together with analysts and investors in our corporate headquarters in Boca return our book over time.

我認為這是 2024 年下半年的舉措，並將繼續增加高素質人才，'24，我們顯然將參加投資者會議。我們計劃舉辦分析師日，我想說日期是 2024 年 6 月 13 日。 我們將發布新聞稿，讓人們有機會註冊並提出任意問題，我們期待相聚隨著時間的推移，我們博卡公司總部的分析師和投資者會歸還我們的書。

We also believe in the second quarter of 2024, we'll be able to show a cleaner, more normalized year-over-year growth comparisons without the tax effect that we dealt with in Q1 on continuing to maintain our dividend policy. And I think importantly, we exist to make our clients more successful. We exist to have a better experience for our clients. We exist for clients to interact with their important business and financial solutions provider in a way that has less friction and to improve their business on a regular basis. Otherwise, we haven't earned it.

我們也相信，到 2024 年第二季度，我們將能夠展示更乾淨、更正常的同比增長比較，而不會受到我們在第一季度處理的繼續維持股息政策的稅收影響。我認為重要的是，我們的存在是為了讓我們的客戶更成功。我們的存在是為了為客戶提供更好的體驗。我們的存在是為了讓客戶能夠以減少摩擦的方式與其重要的業務和金融解決方案提供者互動，並定期改善他們的業務。否則，我們還沒有贏得它。

Slide number 25 gives a comparison where new tech one sits on market multiples yield. Obviously, we look at these things with the exception of the transition and a lack of understanding, does these things don't make sense, but these have a way of working themselves out today's conference call is a way to get these things to work out to get people to have a better understanding of who we are, what we do, what our numbers need to stick.

第 25 號投影片對新技術的市場倍數收益率進行了比較。顯然，我們除了過渡和缺乏理解之外看待這些事情，這些事情沒有意義嗎？ 但這些事情有辦法解決，而今天的電話會議是解決這些事情的一種方法讓人們更好地了解我們是誰、我們做什麼、我們的數字需要堅持什麼。

Thanks, drilling. Slide number 26, most banks desire what we already have. They love to have a lot of noninterest income. They love to not have the interest rate risk management. They'd love to have names that we have. They'd like to have the loan. We've got all these things. Now it's important to continue to operationally execute on the strategy and get the message out for very, very excited about our future business. Raising commercial core deposits will increase margins, lower cost of funds.

謝謝，鑽探。第 26 張投影片，大多數銀行都想要我們已經擁有的東西。他們喜歡擁有大量的非利息收入。他們喜歡沒有利率風險管理。他們很想擁有我們擁有的名字。他們想獲得貸款。我們已經擁有了所有這些東西。現在，重要的是繼續在營運上執行該策略，並傳達出對我們未來業務非常非常興奮的訊息。提高商業核心存款將提高利潤率，降低資金成本。

And we do believe the new tech advantage once we have those deposits will become the gold standard in banking for deposit gathering because the customers want more from the institutions they do business with. They just don't want to give their money up and that get paid a fair rate of interest. We've overcome a lot of difficult hurdles. And while there are a few left, Finish Line is in sight.

我們確實相信，一旦我們擁有這些存款，新技術優勢將成為銀行存款收集的黃金標準，因為客戶希望從與他們有業務往來的機構中獲得更多。他們只是不想放棄自己的錢，而這些錢卻得到了公平的利率。我們克服了許多困難的障礙。雖然還剩下一些，但終點線就在眼前。

Slide number 27 before we go to Q&A, I mean you can ignore these numbers. I mean, you can, but I don't see how that's very helpful to ignoring the profitability of the bank and of the holdco versus our competitors in the marketplace. Eventually, there will be a better understanding people get comfort that we can continue to raise deposits, continue to make loans, make sure that we're managing our risk and we have the right amount of reserves, even though our losses are higher, income is materially higher.

在我們進行問答之前，請先投影片 27，我的意思是您可以忽略這些數字。我的意思是，你可以，但我不認為這對於忽視銀行和控股公司相對於我們市場上競爭對手的獲利能力有什麼幫助。最終，人們會更好地理解，我們可以繼續籌集存款，繼續發放貸款，確保我們管理風險並且擁有適量的準備金，即使我們的損失更高，收入也更高。

And on a net net basis, we have higher ROAs in our OTCs. We are excited about being able to bump their guidance up a little bit. We think that's conservative. We look forward to continue to pay dividends, which will be declared by the Board out of earnings. We have a current dividend yield of 6.8%. That's a bit of a head-scratcher for me, but I get it while it's hot, and I think it's important to note, new tech is a growth oriented differentiated technology-enabled business solutions company. That is also the depository, and we look forward to opening up the Q&A. Thank you, operator?

從淨值來看，我們的 OTC 擁有更高的 ROA。我們很高興能夠稍微提升他們的指導。我們認為這是保守的。我們期待繼續支付股息，董事會將從收益中宣布股息。我們目前的股利率為 6.8%。這對我來說有點令人頭疼，但我在它很熱的時候就明白了，我認為值得注意的是，新技術是一家以成長為導向的差異化技術支援的商業解決方案公司。這也是託管處，我們期待開放問答。謝謝你，接線生？

(Operator Instructions) Crispin Love of Piper Sandler.

（操作員說明）Piper Sandler 的 Crispin Love。

This is Barak Fuzeon for Crispin Love. Thanks for taking the question. Can you just remind us some of the economics on the non-conforming loans you're earning on day one in terms of fees you're generating there and how much see some reserves are you putting up as well on these loans care?

我是 Crispin Love 的 Barak Fuzeon。感謝您提出問題。您能否提醒我們一些您在第一天賺取的不合格貸款的經濟學原理，即您在那裡產生的費用，以及您在這些貸款護理上投入了多少準備金？

Appreciate the question on the alternative loan program we historically called it nonconforming, we changed it to alternative loan program to make sure it could better understood on, you know what I forgot to do. The MDNA. outage. I let me answer this question, then we'll go back to Scott's MD&A. Sorry about that.

感謝關於替代貸款計劃的問題，我們歷來將其稱為不合格，我們將其更改為替代貸款計劃，以確保它可以更好地理解，你知道我忘了做什麼。 MDNA。停電。我先回答這個問題，然後我們再回到 Scott 的 MD&A。對於那個很抱歉。

So let me answer this your questions, and we'll go to the MD&A. So on the ALP. loans, basically we are on the street today at about 3.5 points gross. We service for 100 basis points and the loans are net to the joint venture at a price of 12%. So about 13% growth. We have a., b and c credits we're 12%, 13% and 14% growth.

讓我來回答您的問題，然後我們將討論 MD&A。所以在 ALP 上。貸款，基本上我們今天在街上的毛利率約為 3.5 點。我們的服務利率為 100 個基點，貸款以 12% 的價格向合資企業淨值。約增長 13%。我們有 a、b 和 c 級信用，成長率分別為 12%、13% 和 14%。

Now regarding CECL reserve done at the holding company. So we have a estimated charge-offs historically on those loans of about 3%. So given the profitability of the fees to servicing any funding from our joint venture partners, it does provide a generous return to new debt.

現在關於在控股公司進行的 CECL 儲備。因此，我們估計這些貸款的歷史沖銷約為 3%。因此，考慮到為我們的合資夥伴提供的任何資金提供服務的費用的盈利能力，它確實為新債務提供了豐厚的回報。

One, Austin, I appreciate that. And then just following up, I know you guys mentioned on the call, but on the SBA gain on sale margins, you speak a little more on what has kept gain-on-sale margins elevated even north of 11% in the first quarter, which is higher than most peers?

一，奧斯汀，我很欣賞這一點。接下來，我知道你們在電話會議上提到了，但關於 SBA 銷售利潤率的增長，你們多談了一些是什麼讓第一季的銷售利潤率保持在 11% 以上，哪個比大多數同齡人要高？

And how is the demand for your paper? How would you expect margins to trend through 2024, the current rate environment?

您的論文需求如何？在當前利率環境下，您預期 2024 年利潤率趨勢如何？

Well, it's a great question. So if you look at, say our primary competitor or label who doesn't have the gain on sale margins when you're basically originating loans through brokers and bankers, they work for the borrower and it's much more competitive. It's much more manual. And because we're incredibly efficient work closely with our borrowers, we're able to get better margins. We've been match rate for 12 years. We don't cut it. We get to the borrower quickly. We get the data processed quickly. We make them an offer, and that's why our margins are better.

嗯，這是一個很好的問題。因此，如果你看看我們的主要競爭對手或品牌，當你基本上透過經紀人和銀行家發放貸款時，他們沒有獲得銷售利潤的收益，他們為借款人工作，而且更具競爭力。它更加手動。由於我們與借款人密切合作，效率極高，因此我們能夠獲得更好的利潤。我們的配對率已經有 12 年了。我們不剪它。我們很快就能找到借款人。我們快速處理數據。我們向他們提出報價，這就是我們的利潤更高的原因。

Awesome. I appreciate I appreciate the answers. That's it for me.

驚人的。我很感激我很感激你的答案。對我來說就是這樣。

Thank you, operator. I've got to apologize to the group. I messed up my water. So Scott was posted was MD&A, and I'd like to revert back to Scott Price if I can't do any more questions.

謝謝你，接線生。我必須向小組道歉。我把水弄髒了。因此，史考特被任命為 MD&A，如果我不能提出更多問題，我想回到史考特普萊斯。

Yes, very Thanks. Real quick. I just wanted to add also potential question. I just wanted to cover the changes in provision expense for the quarter, the provision expense is higher, as or excuse me, lower as a result of the seven day production at the bank. We did have some first quarter charge-offs that we covered in our provision expense.

是的，非常感謝。真快。我只是想補充一下潛在的問題。我只是想涵蓋本季撥備費用的變化，撥備費用較高，請原諒，由於銀行 7 天的生產，撥備費用較低。我們確實在第一季沖銷了一些費用，這些費用已計入撥備費用。

But the majority of the provision expense at least almost $3 million was driven by higher loan balances, the remainder between provision for balances and charge-offs was and specific reserves. We feel like we're prudently reserved and are not concerned about the the nonaccrual months that we have in the portfolio.

但大部分準備金支出（至少近 300 萬美元）是由較高的貸款餘額驅動的，餘額準備金和沖銷之間的剩餘部分是特定準備金。我們覺得我們是謹慎保留的，並不擔心投資組合中的非應計月份。

Operator, we'll turn it back to you for the next question, Paul.

接線員，我們將在下一個問題中將其轉回給您，Paul。

Tim Switzer of KBW.

KBW 的 Tim Switzer。

Hey, good morning. Thanks for taking my questions. Were on that. My first question is could you expand on your comments about the gain on sale premiums here? And were there certain trends in Q1 that may be elevated the premiums and margins you guys are able to receive, whereas, you know, the forward rate expectations moved lower earlier in the quarter into that and cause you to maybe sell more loans than you typically would take advantage of that? And should we expect that kind of step back down a little bit in Q2 since rate expectations have moved back up?

嗨，早安。感謝您回答我的問題。就在那件事上。我的第一個問題是，您能否詳細說明您對此處銷售溢價收益的評論？第一季是否存在某些趨勢可能會提高您們能夠獲得的保費和利潤，而你知道，遠期利率預期在本季度早些時候下降，導致你可能出售比平時更多的貸款會利用這一點嗎？由於利率預期回升，我們是否應該預期第二季利率會略有回落？

Yes, I do appreciate the question. I think that on we check the markets fairly frequently and we're at the moment, I would say they're fairly fairly stable on you could take a look at on we have for cash premium. Now. Cash premium is also a function of do you have longer-dated paper shorter-dated paper on?

是的，我確實很欣賞這個問題。我認為，我們相當頻繁地檢查市場，而且目前，我想說它們相當穩定，您可以看看我們的現金溢價。現在。現金溢價還取決於您是否有較長期的票據和較短期的票據？

And if you notice despite the fact that rates have risen, some prices of the SBA seven a. paper has gone higher. And that's because there is a tremendous demand right now for floating rate and government paper off the short end of the curve. So forecasting the prices of the premium is not an easy is not an easy task.

如果您注意到，儘管利率有所上漲，但 SBA 7a 的某些價格。紙張已經走高了。這是因為目前對浮動利率和短端政府票據的需求龐大。因此預測溢價的價格並不是一件容易的事。

The question that came in earlier, I think is important relative to on a competitive basis. We do this business in a more efficient, quicker, frictionless manner that allows us to get a wholesome price from our clients and get the business closed relative to the volatility of pricing. As I mentioned previously, we're kind of in the mid point of the 10-year range where prices can be.

我認為之前提出的問題相對於競爭而言很重要。我們以更有效率、更快速、無摩擦的方式開展這項業務，這使我們能夠從客戶那裡獲得合理的價格，並根據定價的波動完成業務。正如我之前提到的，我們正處於 10 年價格區間的中點。

And that can fluctuate from one side to another, depending upon whether you're doing 10-year paper, which trades you only have from [1.9] to [1.12] to 30 -- until the 25-year paper backed by commercial real estate, which could trade at [1.13], [1.14], [1.15] or higher, and then you're splitting a premium. So hopefully that helps answer your question. I would just strongly suggest that you use the guidance that Scott has given on a going forward basis to get to where you need to be.

這可能會從一側波動到另一側，具體取決於您是否正在做 10 年期票據，您的交易只有從 [1.9] 到 [1.12] 到 30 — 直到由商業房地產支持的 25 年期票據，其交易價格可能為[1.13]、[1.14]、[1.15] 或更高，然後您將分攤溢價。希望這有助於回答您的問題。我強烈建議您在未來的基礎上使用斯科特給出的指導來達到您需要達到的目標。

And Tim, I'd just to tack on to what Barry said, we sold in excess of what we anticipated because we generated more production. It's not a function of the market, but for production. So we are continuing to work on our business model, our operations to put more units through the pipe, and we expect that number the pipe to grow so that we can produce more units.

提姆，我只是補充一下巴里所說的，我們的銷量超出了我們的預期，因為我們產生了更多的產量。這不是市場的功能，而是生產的功能。因此，我們正在繼續致力於我們的商業模式和運營，以透過管道輸送更多的設備，我們預計管道的數量將會成長，以便我們能夠生產更多的設備。

But the production this quarter is a function of demand and a function of the improvements we continue to make in efficiencies and had nothing to do with the with the marketplace and the marketplace or Unum the pricing dynamics that you mentioned.

但本季的產量是需求的函數，也是我們不斷提高效率的函數，與市場和市場或你提到的定價動態無關。

Great. Yes, that was really helpful on. And could you guys also expand on your comments around the credit performance of the portfolio? And could you maybe review how like the seasoning of an SBA portfolio trends over time as the portfolio matures? Like how should we expect delinquencies and NPAs to trend for the bank portfolio that has more recently originated versus the NSBF. portfolio that's currently held for sale?

偉大的。是的，這確實很有幫助。你們還可以詳細闡述一下你們對投資組合信用表現的評論嗎？您能否回顧一下隨著時間的推移，隨著投資組合的成熟，SBA 投資組合的調味趨勢如何？就像我們應該如何預期最近起源的銀行投資組合相對於 NSBF 的拖欠和不良資產的趨勢一樣。目前待售的投資組合？

I think that the loss curve on a seven day portfolio, which we have two decades of experience is at its highest point between 18 months and 40 months. You probably have I used the word loss curve. That's probably the point where most of the loans would go into default based upon our accounting and the bank, you would then be marking that to market an unrealized loss.

我認為，我們擁有二十年經驗的 7 天投資組合的損失曲線在 18 個月到 40 個月之間達到最高點。您可能已經使用了“損失曲線”這個詞。根據我們的會計和銀行的說法，這可能是大多數貸款將陷入違約的時刻，然後您會將其標記為未實現的損失。

So fairly fairly current and up to date, depending upon whether we believe these loans are not collectible based upon the collateral or they can't come back and re perform, I think it's important to note that were weak down? I'll let Scott talk about how we do our CECL calculation. First of all, it's a on seven a portfolio. It's a current value provision for a future event. So we're using approximately 8%. That gets discounted back.

因此，相當相當當前和最新的，取決於我們是否認為這些貸款無法根據抵押品收回，或者它們無法回來並重新執行，我認為重要的是要注意這些貸款是否疲軟？我會讓 Scott 談談我們如何進行 CECL 計算。首先，這是一個七人組合。這是為未來事件提供的當前價值。所以我們使用了大約 8%。這樣就可以打折回來了。

I'll let Scott go into this, but that's free evaluated every single quarter based on what we see complicated processes models and third party consultants that evaluate that. That's relative to the bank's CECL reserves and where we are. And I would tell you that our CECL reserves are much higher than our competitors in this space. Scott, do you have anything to add or subtract to that?

我會讓斯科特來討論這個問題，但每個季度都會根據我們看到的複雜流程模型和評估該模型的第三方顧問進行免費評估。這與該銀行的 CECL 儲備和我們的情況有關。我想告訴您，我們的 CECL 儲備遠高於該領域的競爭對手。斯科特，你有什麼要添加或減少的嗎？

No, I think you knew the only thing I'd add is that as we project out our losses. We do have probabilities of default and loss given default that we expect, right. And that curve is based on, as Barry referenced, 20 years of history and the bank portfolio is what is coming up on one year old and so to connect the dots for everybody with a credit kind of peaking for a loan at between months 24 and 40, you can expect that that nonaccruals nonperformers past dues have the opportunity to increase from here, and that's expected and we're prudently reserved for the cause.

不，我想你知道我唯一要補充的是，當我們預測我們的損失時。我們確實有我們預期的違約機率和違約損失率，對吧。正如巴里所提到的，這條曲線是基於20 年的歷史，而銀行投資組合是一年前的情況，因此，將每個人的點與貸款的信貸高峰在24 個月到1 個月之間連接起來。

So if you contrast that in the bank with more of a traditional bank accounting model versus the fair value accounting model that we have, we project out losses. So we basically when we fair value, our loans. We project losses, reduced cash flows for those, and then we discount those back. So the losses are essentially already captured in the fair value marks. That's very pointed out, particularly on the nonaccrual loans and our loss rates that we're assuming on the performing portfolio, our in line with the same loss rates that we used for our CECL reserve.

因此，如果將銀行中的傳統銀行會計模型與我們擁有的公允價值會計模型進行對比，我們就會預測損失。所以我們基本上是在對我們的貸款進行公允價值評估時。我們預測損失，減少這些損失的現金流，然後我們將其折現回來。因此，損失基本上已經計入公允價值標記。這是非常指出的，特別是在非應計貸款和我們對錶現良好的投資組合假設的損失率方面，我們與我們用於 CECL 準備金的損失率一致。

And I want to give I want to give you an example of a situation. Borrower takes it alone in 2021 or 2022 to floating rate loan. If they'll experience several hundred basis points of what I'm going to call a rate shock. And they certainly haven't been able to adjust to what it was maybe in current months higher for longer has put stress on this, but I got to remind you this business owner has personally guaranteed joint and several every 20% owners.

我想給你們舉一個情況的例子。借款人在2021年或2022年單獨採取浮動利率貸款。如果他們會經歷數百個基點，我稱之為利率衝擊。他們當然無法適應最近幾個月的情況，更高的時間可能會給這一點帶來壓力，但我必須提醒您，這位企業主個人已為每 20% 所有者提供了聯合擔保。

There's multiple guarantors on many of these loans. In certain cases, they've got personal assets plates as well as business assets. So even though they fall behind in their delinquents as we work with borrowers, we have a very smart and aggressive servicing group will encourage people to liquidate collateral, stay current goods, the business, that's a form of repayment. It's very different than a CRE loan that's non-recourse where for goes upside down.

其中許多貸款都有多個擔保人。在某些情況下，他們既有個人資產板塊，也有商業資產。因此，即使他們在我們與借款人合作時拖欠了債務，我們也有一個非常聰明和積極的服務團隊，他們將鼓勵人們清算抵押品，保留當前的商品和業務，這是一種還款形式。這與 CRE 貸款有很大不同，後者是無追索權的，貸款的情況是顛倒的。

Okay. Unless my equity come flipping the keys or for that matter, a consumer loans on a car with a value eCommerce upside down, I'm unemployed. I have no way of coming back. So I think you're 20 years worth of experience in managing portfolios, understanding that these are businesses with personal assets behind it, extremely important. And we do anticipate and glad that brought this up.

好的。除非我的資產翻轉鑰匙或就此而言，一輛汽車的消費者貸款與價值電子商務顛倒，否則我就會失業。我已經沒有辦法回來了。因此，我認為您在管理投資組合方面擁有 20 年的經驗，了解這些企業背後有個人資產，這一點極為重要。我們確實期待並很高興提出這一點。

First of all, it's a brand new portfolio. So the fact that we finally have some delinquencies and some bad loans, well, we started off, they're all new openings. So of course, they're going to get worse. But this is not something that we don't have experience managing. We've managed it for 20 years and our loan loss reserves are for the next year or two for them for the term of the world. And we have done securitizations 12, 13 times in this particular space.

首先，這是一個全新的產品組合。事實上，我們最終出現了一些拖欠和一些不良貸款，好吧，我們開始了，它們都是新的空缺。所以當然，他們會變得更糟。但這並不是我們沒有管理經驗的事。我們已經管理了 20 年，我們的貸款損失準備金是為他們未來一兩年準備的。我們已經在這個特定領域進行了 12、13 次證券化。

That amount of on intakes that give us the data to be able to understand the scenarios of performance in this particular space. So hopefully, that's settled also also helpful. I won't argue that it's very hard for you and others to figure out. I was just going to project two. You do have a management team that is very much aligned with the interests of the shareholders take a look at our proxy. Our bonuses were for last year, too. And our stock ownership is this important to us is something we've done building a business over two decades Great.

大量的攝取量為我們提供了能夠了解這個特定領域的表現場景的數據。希望這也能有所幫助。我不會說這對你和其他人來說很難弄清楚。我只想投影兩個。你們確實有一個與股東利益非常一致的管理團隊，看看我們的代理書。我們的獎金也是去年的。我們的股權對我們來說非常重要，這是我們在過去二十年建立企業所做的事情，非常棒。

That was good color. Are you able to quantify maybe the pace of increase over the next? I mean, if your loan portfolio, the weighted average life is less than 12 months, your charge-offs don't pick till at least 24 months or so. Can you projected that the pace of increase the charge offs as we move over the next few years? And where does it peak? Is it at that [350] ACL, Mark, you talked about in the press release or how should we think about that?

那是很好的顏色。您能否量化未來的成長速度？我的意思是，如果您的貸款組合的加權平均期限少於 12 個月，那麼您的沖銷至少要到 24 個月左右才會進行。您能否預測未來幾年沖銷增加的速度？它的峰值在哪裡？馬克，您在新聞稿中談到的那個 [350] ACL 是嗎？

I think you'll have approximately 70% of the charge-offs within 18 months to 40 months. Now I would have said that prior to COVID, I would have been dead wrong because COVID created PP. three tax credit programs, EIDL. loans. So but on the loss curve, the new business typically does not default early. Okay. And that's when from a seasoning perspective, you're going to get holding everything else constant, that's when you're going to get most of the write-downs.

我認為大約 70% 的沖銷將在 18 個月到 40 個月內完成。現在我想說，在新冠疫情之前，我就大錯特錯了，因為新冠疫情創造了 PP。三個稅收抵免計劃，EIDL。貸款。因此，但在損失曲線上，新業務通常不會提前違約。好的。從調味的角度來看，那時你將保持其他一切不變，那時你將獲得大部分減記。

And just to tack onto that, Tim, we would expect the charge-offs to kind of level out and stop increasing all economic conditions are equal.

提姆，為了解決這個問題，我們預期沖銷會趨於平穩並停止成長，所有經濟條件都是平等的。

Okay.

好的。

That's perfect.

那很完美。

Thank you, guys.

感謝你們。

Bryce Rowe of B. Riley.

B. Riley 的布萊斯羅 (Bryce Rowe)。

Thanks. Good morning and sorry to belabor the call here, but I do want to kind of get a couple of questions. And number one, I mean, I think you guys alluded to this in some of the prepared remarks, but but expenses have gone up as you've kind of built out the infrastructure.

謝謝。早安，很抱歉在這裡冗長地打電話，但我確實想問幾個問題。第一，我的意思是，我認為你們在一些準備好的發言中提到了這一點，但是隨著你們建立基礎設施，費用已經增加。

Is there there any maybe like nonrecurring in this and this level of expenses, whether it be and the salary and benefits line or in that professional services line, just trying to get a good feel for how the expense the operating expenses are going to are going to run. You obviously acknowledging that the balance sheet's going to continue to grow but just kind of trying to trying to calibrate what the expense growth might look like.

在這種程度的費用中是否有可能是一次性的，無論是工資和福利線還是專業服務線，只是想很好地了解營運費用的支出情況跑步。您顯然承認資產負債表將繼續成長，但只是試圖校準費用成長的情況。

I think I think, Brian, I'll let Scott finish up on this this year as a percentage of revenue, we're probably going to have the peak amount. Well, we hope this will be the peak amount of expenses as we continue to build out processes continuing to make sure that we've got all the right things required for a scalable, technology-enabled bank to compete in a in a different way in the marketplace.

我想，布萊恩，我會讓斯科特以佔收入的百分比來完成今年的工作，我們可能會達到高峰。好吧，我們希望這將是支出的最高金額，因為我們將繼續建立流程，繼續確保我們擁有一家可擴展的、技術支援的銀行以不同的方式參與競爭所需的所有正確的東西。

So we're hopeful that we start to get the benefits of operating leverage in 2025 and beyond. But we think if you look at all the bodies we're bringing in here on the software on the consultants to help us make sure we're doing exactly what we need to do on. We talked about headwinds in 2023 on there, a little less, but still fairly strong in 2024. That's factored into our EPS forecast and we think we'll get better margins next year in 2025.

因此，我們希望在 2025 年及以後開始獲得營運槓桿的好處。但我們認為，如果你看看我們在顧問軟體上引入的所有機構，他們會幫助我們確保我們正在做我們需要做的事情。我們談到了 2023 年的逆風，雖然稍微少了一點，但 2024 年仍然相當強勁。

Scott, anything to add or subtract to that yet?

斯科特，有什麼需要添加或減少的嗎？

Bryson so that's a good question. And I did want to reiterate what Barry just said and that, you know, we do have an expense forecast and it is included in our guidance and so we assure you that the forecast includes the current quarter and future quarter expenses.

布賴森，這是一個很好的問題。我確實想重申巴里剛才所說的，你知道，我們確實有一個費用預測，它包含在我們的指導中，所以我們向你保證，該預測包括當前季度和未來季度的費用。

I will say. Just to add on to what Barry said, maybe slightly modify it, we will have increased expenses from here, but the returns that we're going to be earning are going to definitely outweigh any expense increases we have. So I don't want you to think that this was a surprise to us. As I said earlier, we're slightly better than where we forecasted. I'd point out that and reiterate what Barry said, we are continuing to invest in our operations teams, whether that be in lending, whether that be in deposit operations, whether that be in some of our fee-generating businesses.

我會說。只是補充一下巴里所說的，也許稍微修改一下，我們將從這裡增加開支，但我們將獲得的回報肯定會超過我們增加的任何開支。所以我不想讓你認為這對我們來說是一個驚喜。正如我之前所說，我們的情況比我們的預測稍好。我想指出這一點並重申巴里所說的，我們將繼續投資於我們的營運團隊，無論是在貸款業務中，無論是在存款業務中，還是在我們的一些收費業務中。

We had headcount increases across all of those and we're investing for the future. We're investing for higher margins in the way of rolling out our business deposit products so that we can ensure that we comply and we keep in the middle of the road with respect to regulation. And then I'd point out that, you know, there are some seasonal aspects to this. We did have payroll tax resets this quarter, we had one month of merit increases that went in. So we'll you'll see a follow through increase increases in the future.

我們在所有這些方面都增加了員工人數，我們正在為未來進行投資。我們透過推出商業存款產品來投資以獲得更高的利潤，以便我們能夠確保遵守並保持在監管方面的中間立場。然後我想指出，你知道，這有一些季節性因素。本季我們確實進行了工資稅重置，我們進行了一個月的績效加薪。

And then some We also are looking at a pretty outsized performance here in terms of EPS growth and where in order to be able to keep this institution operating like a much larger institution than it is, we're going to have to make sure that we are competing in the talent war. And so we factored all that into the forecast.

然後，我們也看到了每股盈餘成長方面的相當大的表現，為了能夠讓這個機構像一個比現在大得多的機構一樣運營，我們必須確保我們都在人才大戰中展開競爭。因此，我們將所有這些因素納入了預測中。

This is not a surprise to me. It's not a surprise Barry, and I think we're on top of it as it relates to one-time items. I would say that there was a slight bump quarter over quarter and professional much of that was due to our annual audit. But Joe, we're rationalizing our expenses as it pertains to So audits, financial accounting compliance, and I expect that we will not have a repeat going forward.

這對我來說並不奇怪。巴里，這並不奇怪，我認為我們已經掌握了它，因為它與一次性物品有關。我想說的是，季度環比略有上升，而專業水平很大程度上歸功於我們的年度審計。但是喬，我們正在合理化我們的費用，因為它涉及審計、財務會計合規性，我希望我們以後不會再有類似情況。

Okay.

好的。

That's helpful.

這很有幫助。

And then maybe a question about kind of capital structure on a consolidated basis and then you all are talking about nice nice deposit growth at the bank just and you're also talking about increases in the alternative loan program and assume those will kind of make their way over to the holding company's balance sheet as opposed to sitting at sitting at the bank when it's all said and done, can you talk about how you're going to fund that at the holding company level? Because I assume the deposits have to stay at the back?

然後也許是關於綜合基礎上的資本結構類型的問題，然後你們都在談論銀行存款的良好增長，你們也在談論替代貸款計劃的增加，並假設這些將成為他們的目標。負債表上，而不是坐在銀行里，當這一切都說完了之後，你能談談你將如何在控股公司層面上為其提供資金嗎？因為我認為押金必須留在後面？

Yes, they do. I think, price that we have expectations of being able to use our debt up at the holding company, and we do have room to be able to do that. And that's where we will be able to fund our growth in addition to creating new joint ventures and to be able to fund the alternative loan program business from the capital is primarily needed for that and not much else at this point in time.

是的，他們確實這麼做了。我認為，我們期望能夠用完控股公司的債務，而我們確實有空間能夠做到這一點。除了創建新的合資企業之外，我們還能夠為我們的成長提供資金，並能夠從主要需要的資本中為另類貸款計劃業務提供資金，目前沒有太多其他資金。

Okay. And Barry, when I when I look at the balance sheet, that you lay out on a consolidated basis and you've got several different buckets of loans, you know, a couple of which are held for sale. And I think we can all identify what is held at the bank in the held-for-investment bucket amortized costs, but what does what does migrate eventually into the balance sheet of the joint venture? Just trying to kind of trying to identify what each of those buckets actually are.

好的。巴里，當我查看資產負債表時，你會發現你在合併的基礎上列出了幾筆不同的貸款，你知道，其中一些是待售的。我認為我們都可以確定銀行在投資目的攤餘成本中持有什麼，但最終遷移到合資企業資產負債表中的是什麼？只是想嘗試確定每個桶實際上是什麼。

Yes. And pricing, it's a good question. I think that our goal sans the alternative loan program is to have all the lending done in the bank, right, very little. We have some legacy loans still at the holding company that will pay off or get sold that are filed for construction on but for the most part, the only thing that would be at the hold co in lending would be ALP. and the rest of the activity will be down at the bank where we get lower cost of funding, obviously better leverage.

是的。定價，這是一個好問題。我認為，在沒有替代貸款計劃的情況下，我們的目標是讓所有貸款都在銀行完成，對吧，很少。我們仍有一些遺留貸款留在控股公司，這些貸款將被償還或出售，這些貸款已申請建設，但在大多數情況下，控股公司貸款中唯一的東西將是 ALP。銀行的其餘活動將減少，我們的融資成本更低，槓桿率顯然更高。

Okay.

好的。

All right.

好的。

I'll leave it there and appreciate the comments.

我會將其留在那裡並感謝您的評論。

Thank you.

謝謝。

Christopher Nolan, Ladenburg Thalmann .

克里斯多福諾蘭、拉登堡塔爾曼。

Hey, guys. Um, thank you for including the detail on the asset quality in this quarter. Very helpful information very from your perspective, where do you see the bank sector going in general?

大家好。嗯，謝謝您提供有關本季資產品質的詳細資訊。從您的角度來看，這是非常有用的信息，您認為銀行業的整體發展方向如何？

It's a tough industry. I'm just going to be frank with you. And this is from somebody that just got into it. So I always tried to answer honestly and transparently on. It's an industry currently that right now it's the still on low cost deposits. It's far easier to move money today from bank to bank, but doing it on your phone and even corporate treasurers are realizing yet I only need to keep a couple of bucks in my checking account and I can move the rest of it into a money market account, I guess, get the money back and forth.

這是一個艱難的行業。我只是想對你開誠佈公。這是來自剛剛涉足其中的人。所以我總是試著誠實、透明地回答。目前這個產業仍依賴低成本存款。如今，在銀行之間轉移資金要容易得多，但在手機上進行轉移甚至企業財務主管都意識到，我只需要在支票帳戶中保留幾美元，就可以將其餘的資金轉移到貨幣市場帳戶，我猜，來回拿錢。

So that the deposit side is where banks have made money now on the asset side and what happened in oh eight, oh nine is the regulators and the banking industry said okay, we've just got to we've really tightened up on the risk profile for credit. So everyone's piled into this small bucket of car loans, residential mortgage loans, CRE loans, C&I loans that don't have a lot of margin. So I think I'm talking about an injury. I just got into it's not going to be an easy industry, make a lot of money.

因此，存款方面是銀行現在在資產方面賺錢的地方，八點九點發生的事情是監管機構和銀行業說好的，我們必須真正收緊風險信用檔案。因此，每個人都投入了這筆小桶汽車貸款、房屋抵押貸款、商業房地產貸款、工商業貸款，這些貸款的保證金不多。所以我想我正在談論受傷。我剛進入這個行業並不容易，賺很多錢。

I was thinking more along the lines forward of where do you see the healthy industry in terms of asset quality and so forth on kicking in there? A lot of concerns about commercial real estate in general.

我更多地思考的是，您認為在資產品質等方面健康的行業會在哪裡發揮作用？整體而言，人們對商業房地產有許多擔憂。

I think that on the industry will be able to get its capital. I do not believe short rates are going to remain here for that much longer. And that's going to reduce the pressure on our CRE assets, which is really where right now, there's the two problems with the industry relative to health and that would be CRE and that's very much rate driven. And the other aspect of it is obviously asset liability management because as long as bills are yielding 5%, there's going to be more pressure to migrate money into money, government guaranteed money market funds of personal bank account. So for me, thank you.

我認為靠產業一定能夠得到它的資本。我認為短期利率不會持續太久。這將減輕我們的商業房地產資產的壓力，目前該行業確實存在兩個與健康相關的問題，那就是商業房地產，這在很大程度上是由利率驅動的。另一方面顯然是資產負債管理，因為只要票據收益率為5%，就會有更大的壓力將資金轉移到貨幣、政府擔保的個人銀行帳戶的貨幣市場資金。所以對我來說，謝謝你。

Thank you.

謝謝。

Steve Moss of Raymond James.

雷蒙德詹姆斯的史蒂夫莫斯。

Good morning. Pointed out a varied morning, but a very you mentioned, we know or maybe, Scott, that with regard to SBA originations here on it, but you were kind of like, I guess what's the effect of driving efficiencies on given your guidance here to hold steady after a strong quarter in my mind on the SBA origination front, just kind of curious if maybe internally are you at capacity in the short to intermediate term for your SBA originations. Just kind of curious as to why that number isn't being revised higher balance.

早安.指出了一個不同的早晨，但你提到的，我們知道，或者也許，斯科特，關於 SBA 的起源，但你有點像，我猜考慮到你在這裡的指導，提高效率會產生什麼影響在我看來，在SBA 創始方面，經歷了一個強勁的季度後，保持穩定，只是有點好奇，您內部是否有能力在中短期內完成SBA 創始。只是有點好奇為什麼這個數字沒有被修改成更高的平衡。

Yes. No, Steve, I'm looking for the loan pipeline for seven day and on, it's up on prequalify 15% in underwriting, 54%. Now the approved pending closing is pretty flat because we're becoming more efficient and work or getting the loans in and out quickly. But now we are not we are not at capacity on.

是的。不，史蒂夫，我正在尋找為期 7 天的貸款管道，並且在承保方面比資格預審上升了 15%，54%。現在，核准的待交割金額相當平穩，因為我們的效率越來越高，工作或貸款的進出速度也越來越快。但現在我們不是，我們還沒有全力以赴。

We've got more alliance partners that are realizing we could help put them in the business on help them make loans either for their license or how the business model of us using alliance relationships and getting referrals continues to grow and outperform the BDO broker and banker model.

我們有更多的聯盟合作夥伴意識到我們可以幫助他們進入業務，幫助他們為他​​們的許可證發放貸款，或者我們利用聯盟關係和獲得推薦的商業模式如何繼續發展並超越 BDO 經紀人和銀行家模型。

The only thing I'd tack onto that, Steve, and it's a good question on the where we are in terms of soft landing, no soft landing, what's going to happen. It feels a little bit early to increase increase our production for the year in light of that uncertainty. So we decided that that was the most prudent course of action.

史蒂夫，我唯一想補充的是，這是一個很好的問題，關於我們在軟著陸、沒有軟著陸以及將會發生什麼方面的情況。鑑於這種不確定性，現在增加今年的產量感覺有點早。所以我們認為這是最謹慎的行動方針。

Could there be upside. Sure. But depending on where the economy, it can easily go the other way. So that's that was the thought process.

可能還有好處嗎？當然。但根據經濟狀況的不同，情況也很容易走向相反的方向。這就是思考過程。

Okay. Great. Appreciate all that. Appreciate that color there. And then in terms of. Yes, just circling back to the seasoning of the portfolio, I hear you guys in terms of the 8% loss content discounted back, maybe just kind of thinking about it delinquencies, if I look at them here on a trailing 12-month basis from loan balances around roughly 9% call it curious how we think about as things ease and you hit whether it's the 18 to 40 month time range. What is kind of like that peak delinquency number you guys expect kind of the peak nonperforming type number on in terms of the originations portfolio.

好的。偉大的。欣賞這一切。欣賞那裡的顏色。然後就而言。是的，回到投資組合的調整，我聽到你們提到了 8% 的損失內容折扣，也許只是考慮了拖欠，如果我在過去 12 個月的基礎上查看它們貸款餘額約為9% 左右，這讓人好奇，隨著情況緩和，我們會如何考慮，無論是18 到40 個月的時間範圍。你們預期的不良貸款高峰數字與創始投資組合的不良貸款高峰數字有點像。

I think you could you could see what I'll call the currency rate on that of that portion of the portfolio. By the way that's going to be blended in with, you know, the triple-A quality loans that banks currently do that have got low margins, et cetera. But and I mean you could see the currency rate in 90 plus or minus. We hope it doesn't get there, but that's not inconceivable.

我想你可以看到我所說的投資組合那部分的貨幣匯率。順便說一句，這將與銀行目前提供的 3A 級優質貸款混合在一起，這些貸款的利潤率較低，等等。但是我的意思是你可以看到匯率在 90 左右。我們希望它不會到達那裡，但這並非不可想像。

Yeah.

是的。

Okay. But that's over at some time. And I would tell you for doing this for 20 years on lower volumes and in earlier phases of our light, we've seen it on that doesn't mean that you're going to have extraordinary charge offs. I think it's just trying to say that if you do see it, you don't need to head for the head for the for the balcony or the with the focus on because the loans are personally guaranteed the collateral behind it. It's within the realm of what these charge-offs are.

好的。但這到了某個時候就結束了。我想告訴你，在我們的早期階段，我們已經看到了這一點，這並不意味著你將會有非凡的沖銷。我認為這只是想說，如果你確實看到了它，你不需要去陽台或集中註意力，因為貸款是由個人擔保其背後的抵押品的。它在這些沖銷的範圍內。

The other thing too, it is when you're looking at the charge-offs, these are spread out. It's a big number like, but these are spread out. These are these are not bank loans that are due in two years, three years or five years. These are spread out over a fairly lengthy periods of time. And we're actually putting new business on an old business on once again, we've we've got all the models after 20 years of doing this to be able to really analyze the static pool to make sure that we've got the right reserves against these loans.

另一件事也是，當你查看沖銷時，這些是分散的。這是一個很大的數字，但這些是分散的。這些不是兩年、三年或五年後到期的銀行貸款。這些分佈在相當長的一段時間內。實際上，我們再次將新業務放在舊業務上，經過 20 年的努力，我們已經獲得了所有模型，能夠真正分析靜態池，以確保我們獲得了針對這些貸款的權利準備金。

Right. Okay. Appreciate that color there. And then just one more question on the business checking and business money market you guys are rolling out here. Just kind of curious, did you share any thoughts on internal targets you may have for those products or how you're thinking about that our performance over the next 12 months. Scott, do you want to share some of those numbers if you have them?

正確的。好的。欣賞那裡的顏色。然後還有一個關於你們在這裡推出的商業支票和商業貨幣市場的問題。只是有點好奇，您是否分享了對這些產品的內部目標的任何想法，或者您如何看待我們在未來 12 個月的表現。史考特，如果你有這些數字，你想分享一下嗎？

Yes, Steve. So we expect to roll out in earnest. We have we have run a pilot with some select customers. We've got $20 million of balances, I believe, as of quarter end, and we believe that we can generate $150 million of business deposits.

是的，史蒂夫。因此，我們希望認真推出。我們已經與一些選定的客戶進行了試點。我相信，截至季度末，我們的餘額為 2000 萬美元，我們相信我們可以產生 1.5 億美元的商業存款。

And could that could be on the low side, the high side could be in $300 million. It is not inconceivable what I'd say and the real question that we're going to be grappling with as we get to know how this product performs with our customer base is what kind of retention we have on those funds. And that's something that we're going to be learning as we go along with certainly put our best foot forward in estimating how much a typical customer will retain in our bank. And so we believe that that is our key to profitability improvement going forward to various point offering products and services to small businesses.

這可能是偏低的，但偏高的可能是 3 億美元。我所說的並不是不可想像的，當我們了解該產品在我們的客戶群中的表現時，我們要解決的真正問題是我們對這些資金有什麼樣的保留。這是我們將要學習的東西，因為我們肯定會盡最大努力估計典型客戶將在我們的銀行中保留多少。因此，我們相信，這是我們向小型企業提供產品和服務的各個方面提高盈利能力的關鍵。

What we do I mean, we invest in America and we're confident that the the innovation of the American business person is going to continue and we want to offer products and services to enable them as much as possible. The SUCCEED we will have features with our with this product that we believe will be competitive, particularly on price.

我的意思是，我們在美國投資，我們相信美國商人的創新將繼續下去，我們希望提供產品和服務來盡可能地幫助他們。成功後，我們將擁有該產品的功能，我們相信該產品將具有競爭力，特別是在價格方面。

And certainly we don't have the same budget as some of the big guys do with slick apps and interfaces, et cetera. But we believe prices where we can compete and we can make we can give business owners opportunities to work in their business instead of under business. And so that's that's what we believe we're going to offer with this product, like I said, anywhere from $150 million to $300 million plus or minus. And so we're going to we're going to see how it plays out, and we'll be updating the market closely as we move forward.

當然，我們沒有像一些大公司那樣擁有光滑的應用程式和介面等的預算。但我們相信，我們可以提供具有競爭力的價格，我們可以為企業主提供在他們的業務中工作而不是在業務中工作的機會。正如我所說，這就是我們相信我們將透過該產品提供的產品，價格從 1.5 億美元到 3 億美元上下不等。因此，我們將看看結果如何，隨著我們的進展，我們將密切更新市場狀況。

Great. Thank you very much. Appreciate all the color, Sami, thanks for hanging in there with us.

偉大的。非常感謝。欣賞所有的顏色，薩米，感謝你和我們在一起。

Thank you.

謝謝。

This does now conclude our question and answer period. I would like to pass it back over to Mr. Brown for closing remarks.

我們的問答環節現在就結束了。我想將其轉交給布朗先生作結束語。

While we certainly appreciate everyone's attendance, the thoroughness of the questions on we've obviously tried to work hard to condense it, but there's a lot of information that obviously the marketplace wants to want to make sure that you have that on and feel free to e-mail or call with any further questions you might have. But once again, thank you for your attention and your thoughtful questions. We appreciate it. Thank you very much.

雖然我們當然感謝每個人的出席，但我們顯然已經盡力壓縮問題的徹底性，但顯然市場希望確保您了解很多信息並隨時了解這些信息如果您有任何其他問題，請發送電子郵件或致電。但再次感謝您的關注和深思熟慮的問題。我們很感激。非常感謝。

Thank you.

謝謝。

This does conclude today's presentation. You may now disconnect.

今天的演講到此結束。您現在可以斷開連線。