Pagaya Technologies Ltd (PGY) 2024 Q1 法說會逐字稿

Good day, and welcome to the Pagaya 1Q 2024 earnings conference call. (Operator Instructions) Please note that this event is being recorded.

美好的一天，歡迎參加 Pagaya 2024 年第一季財報電話會議。（操作員說明）請注意，該事件正在被記錄。

I would now like to turn the conference over to Jency John, Head of Investor Relations. Please go ahead.

我現在想將會議交給投資者關係主管珍西·約翰 (Jency John)。請繼續。

Thank you, and welcome to Pagaya's first-quarter 2024 earnings conference call. Joining me today to talk about our business and results are Gal Krubiner, Chief Executive Officer of Pagaya; Sanjiv Das, President; and Evangelos Perros, Chief Financial Officer. You can find the materials that accompany our prepared remarks and a replay of today's webcast on the Investor Relations section of our website at investor.pagaya.com.

謝謝，歡迎參加 Pagaya 2024 年第一季財報電話會議。今天與我一起談論我們的業務和業績的是 Pagaya 執行長 Gal Krubiner；桑吉夫·達斯，總裁；艾萬傑洛斯‧佩羅斯 (Evangelos Perros)，財務長。您可以在我們網站的投資者關係部分找到我們準備好的評論的材料以及今天網絡廣播的重播，網址為investor.pagaya.com。

Our remarks today will include forward-looking statements that are based on our current expectations and forecasts and involve certain risks and uncertainties. These statements include, but are not limited to, our competitive advantages and strategy, macroeconomic conditions and outlook, future products and services, and future business and financial performance, including our financial outlook for the second quarter and full year of 2024.

我們今天的言論將包括基於我們當前預期和預測的前瞻性陳述，並涉及某些風險和不確定性。這些陳述包括但不限於我們的競爭優勢和策略、宏觀經濟狀況和前景、未來產品和服務以及未來業務和財務業績，包括我們對 2024 年第二季和全年的財務展望。

Our actual results may differ from those contemplated by these forward-looking statements. Factors that could cause these results to differ materially are described in today's press release and filings, in our Form 10-K filed on April 25, 2024, with the US Securities and Exchange Commission as well as our subsequent filings made with the SEC.

我們的實際結果可能與這些前瞻性陳述中預期的結果有所不同。今天的新聞稿和文件、我們於 2024 年 4 月 25 日向美國證券交易委員會提交的 10-K 表格以及我們隨後向 SEC 提交的文件中描述了可能導致這些結果出現重大差異的因素。

Any forward-looking statements that we make on this call are based on assumptions as of today. And we undertake no obligation to update these statements as a result of new information or future events.

我們在本次電話會議中所做的任何前瞻性陳述均基於截至目前的假設。我們不承擔因新資訊或未來事件而更新這些聲明的義務。

Additionally, non-GAAP financial measures, including adjusted EBITDA, adjusted EBITDA margin, adjusted net income, fee revenue less production costs or FRLPC, FRLPC margin, and core operating expenses, will be discussed on the call. Reconciliations to the most directly comparable GAAP financial measures are available to the extent available without unreasonable efforts in our earnings release and other materials, which are posted on our Investor Relations website.

此外，電話會議還將討論非公認會計準則財務指標，包括調整後 EBITDA、調整後 EBITDA 利潤率、調整後淨利潤、費用收入減去生產成本或 FRLPC、FRLPC 利潤率和核心營運費用。在我們的收益發布和其他資料（發佈在我們的投資者關係網站上）中，我們可以盡可能地與最直接可比較的 GAAP 財務指標進行調節，而無需做出不合理的努力。

We encourage you to review the shareholder letter, which was furnished with the SEC on Form 8-K today for detailed commentary on our business and performance in conjunction with accompanying earnings supplement and press release.

我們鼓勵您閱讀今天向 SEC 提供的 8-K 表格中的股東信函，其中包括對我們業務和業績的詳細評論以及隨附的收益補充和新聞稿。

With that, let me turn the call over to Gal.

那麼，讓我把電話轉給蓋爾。

Thanks, Jency, and good morning, everyone. I'm actually very pleased with our first-quarter results. At Pagaya, we are always striving to build the future where more Americans have access to the financial products they deserve through our technology.

謝謝，珍西，大家早安。事實上，我對我們第一季的業績非常滿意。在 Pagaya，我們始終致力於建立未來，讓更多美國人能夠透過我們的技術獲得他們應得的金融產品。

Our operating performance was strong. We grew fees with our lending partners and raised a record of $2 billion in funding. I'm very proud to announce that this month we added Elavon to our network, a top-five global payment company, and 18 new funding investors. Our network is now connected to 30 lenders and 116 funding partners.

我們的經營業績強勁。我們與貸款合作夥伴一起提高了費用，並籌集了創紀錄的 20 億美元資金。我非常自豪地宣布，本月我們將全球排名前五的支付公司 Elavon 和 18 位新融資投資者加入我們的網路。我們的網路現已連接 30 家貸款機構和 116 家融資合作夥伴。

This accomplishment speaks to the power of our business, but I'm especially proud of the progress we are making on our bank enterprise sales strategy. Let's go back to 2022 for one second.

這項成就說明了我們業務的力量，但我對我們在銀行企業銷售策略方面的進展尤其感到自豪。讓我們先回到 2022 年。

When we reported earnings for the very first time as a public company, I spoke about one of the key reasons why we decided to go public, which was to execute our enterprise bank sales strategy, partnering with the largest banks in the country. Now, fast forward two years, we now have three of the country's top banks using the Pagaya product and many more in the pipeline.

當我們作為一家上市公司第一次報告收益時，我談到了我們決定上市的一個關鍵原因，即執行我們的企業銀行銷售策略，與國內最大的銀行合作。現在，快轉兩年，我們國內已有三家頂級銀行使用 Pagaya 產品，還有更多銀行正在籌備中。

And as I shared, we also added Elavon, US Bank's Merchant Services, and Payment Solutions to our POS vertical just one quarter after announcing the addition of US Bank to our personal loan vertical. That speaks to the value of our products.

正如我所分享的，在宣布美國銀行加入我們的個人貸款垂直領域僅四分之一後，我們還將 Elavon、美國銀行的商業服務和支付解決方案添加到了我們的 POS 垂直領域。這說明了我們產品的價值。

On the financial side, we once again delivered record-breaking financial results, exceeding our outlook with network volume of $2.4 billion, total revenues of $245 million, and adjusted EBITDA of $40 million. Fee revenue less production costs was up 84% year over year to $92 million, and our FRLPC margin extended 109 basis points year over year to 3.8%.

在財務方面，我們再次實現了創紀錄的財務業績，超出了我們的預期，網絡規模達 24 億美元，總收入達 2.45 億美元，調整後 EBITDA 達 4000 萬美元。扣除製作成本後的費用收入年增 84%，達到 9,200 萬美元，我們的 FRLPC 利潤率年增 109 個基點，達到 3.8%。

That's the highest level we have seen since the beginning of the rate high cycle in early 2022. This is obviously a clear proof that our strategy is working and that there are more room to increase our unit economics going forward.

這是自 2022 年初利率高週期開始以來我們看到的最高水準。這顯然清楚地證明了我們的策略正在發揮作用，未來還有更多的空間來提高我們的單位經濟效益。

We delivered a fifth back-to-back quarter of improvement in adjusted EBITDA and positive quarterly GAAP operating income for a third time of $8 million. We reported our third quarter of positive and growing operating cash flow in a row, delivering $20 million of operating cash flow this quarter.

我們實現了調整後 EBITDA 連續第五個季度的改善，並且 GAAP 季度營業收入第三次達到 800 萬美元。我們公佈了第三季營運現金流連續成長的正數，本季營運現金流達 2,000 萬美元。

We continue to manage credit performance very closely to deliver strong and consistent asset return to our funding partners. We are seeing continued strong performance on our 2023 vintages with delinquencies trending at their lowest level since early 2021. Sanjiv will speak to this in more details in just a moment.

我們持續密切管理信貸績效，為我們的融資合作夥伴提供強勁且一致的資產回報。我們看到 2023 年份酒的表現持續強勁，拖欠率趨於 2021 年初以來的最低水準。Sanjiv 稍後將詳細討論這一點。

As I look ahead, Pagaya is on a path to be connecting infrastructure between all major US loan originating systems and public and private capital markets. Since we started back in 2016, our teams have been working day-in and day-out, weaving the right infrastructure and capabilities to put us on this path. The connectivity we built thus far, 30 of the country's largest loan origination and over 100 of the country's largest funding providers, is the foundation of the enterprise value of our business.

展望未來，Pagaya 正走在連接美國所有主要貸款發放系統與公共和私人資本市場之間基礎設施的道路上。自 2016 年開始以來，我們的團隊日復一日地工作，建立正確的基礎設施和能力，讓我們走上這條道路。迄今為止，我們與全國最大的 30 個貸款機構和 100 多家最大的融資提供者建立的連接是我們業務的企業價值的基礎。

We got here faster than I thought possible. Just three years ago, our business was connected to 10 lending partners and around 20 investors. As you can imagine, each new partner we onboard is adding to our institutional knowledge and capabilities to build better and smarter products for lenders across the country.

我們到達這裡的速度比我想像的還要快。就在三年前，我們的業務也與 10 個貸款合作夥伴和大約 20 個投資者建立了聯繫。正如您可以想像的那樣，我們加入的每個新合作夥伴都在增加我們的機構知識和能力，為全國各地的貸方打造更好、更聰明的產品。

As we build our product ecosystem, we're making our relationships with our lending partners stickier and increasing the overall pool of economics we can share in. And we are growing new enterprise-grade lenders to the network from top-five consumer bank to the world's largest payment providers.

在我們建立產品生態系統的過程中，我們與貸款合作夥伴的關係變得更加緊密，並增加了我們可以分享的整體經濟池。我們正在為網路增加新的企業級貸款機構，從排名前五的消費者銀行到全球最大的支付提供者。

Now let's talk strategy. From a strategy perspective, we're focused on two simple priorities: first, operating in a smart way to optimize for the current environment; and second, setting the stage for long-term growth.

現在我們來談談策略。從策略角度來看，我們專注於兩個簡單的優先事項：第一，以智慧方式運營，針對當前環境進行最佳化；其次，為長期成長奠定基礎。

On near-term operational execution, our priorities are maximizing the profitability potential of the business and doing so with efficient use of our capital. We are seeing an increasing ability to earn more fees as we scale.

在近期營運執行方面，我們的首要任務是最大限度地提高業務的獲利潛力，並透過有效利用我們的資本來實現這一目標。我們發現，隨著規模的擴大，賺取更多費用的能力越來越強。

Now on the capital side, our focus is to become more capital-efficient as we grow. That means reducing how much upfront capital we use to fund new network volume. In order to achieve this, we are diversifying our funding and financing mechanisms to reduce net risk retention.

現在在資本方面，我們的重點是隨著我們的發展提高資本效率。這意味著減少我們用於資助新網路容量的前期資本。為了實現這一目標，我們正在實現融資和融資機制多元化，以減少淨風險保留。

We landed a $100 million secured borrowing facility in the quarter to finance our risk retention needs and a new whole loan sale structure transaction that resulted in a low 1% net risk retention on that [deal]. We are in advanced conversations now with several counterparties to execute forward flow and whole loan sale arrangements. This could exceed $1 billion in total size.

我們在本季度獲得了 1 億美元的擔保借款融資，為我們的風險保留需求提供資金，並進行了一項新的整體貸款銷售結構交易，該交易導致淨風險保留率低至 1%[交易]。我們現在正在與幾個交易對手進行高級對話，以執行遠期流動和整個貸款銷售安排。總規模可能超過 10 億美元。

Based on our ongoing conversation with new funding and financing counterparties, we can meaningfully reduce net risk retention over the next few quarters. These initiatives are key to our strategy to reach cash flow positive in early 2025. EP will speak more to this in a moment.

根據我們與新融資和融資對手方的持續對話，我們可以在未來幾季大幅降低淨風險保留。這些措施是我們在 2025 年初實現正向現金流策略的關鍵。EP 稍後將詳細討論這一點。

Thinking about our long-term growth plan, we're not taking our foot off the gas in lending new enterprise-grade lending partners. That has been and remain our North Star for our future growth and company potential. That will ensure that we have the [rates] in place to achieve our ambition to become the lending tech partner of choice for the largest banks in the country.

考慮到我們的長期成長計劃，我們不會停止向新的企業級貸款合作夥伴提供貸款。這一直是並且仍然是我們未來發展和公司潛力的北極星。這將確保我們有適當的[利率]來實現我們成為該國最大銀行首選的貸款技術合作夥伴的雄心。

Adding Elavon, as I mentioned, this quarter in our point-of-sale vertical is a great example and speaks to the power of enterprise sales with large banks, the ability to expand our product across multiple consumer divisions within a single enterprise. Let me spend a minute on point of sale.

正如我所提到的，本季在我們的銷售點垂直領域中添加Elavon 就是一個很好的例子，它說明了大型銀行的企業銷售的力量，以及將我們的產品擴展到單一企業內多個消費者部門的能力。讓我花一點時間談談銷售點。

This is, what we believe, the next frontier of growth for Pagaya. Point of sale is a fastest-growing consumer credit market, far outpacing the growth of total consumer credits. Pagaya is a leading white-label point-of-sale solution provider in the market today, allowing payments businesses and banks to offer point-of-sale financing under their own brands.

我們相信，這是 Pagaya 的下一個成長領域。銷售點是成長最快的消費信貸市場，遠超過消費信貸總額的成長。Pagaya 是當今市場上領先的白標銷售點解決方案提供商，允許支付企業和銀行以自己的品牌提供銷售點融資。

Now this is a super important point. The value prop is very strong. Why give your customer away when you can partner with Pagaya? The power of that value prop is creating momentum for our future pipeline. And as such, we are in discussions with several large payment businesses that we aim to integrate over the next 12 to 18 months.

這是非常重要的一點。價值支柱非常強大。當您可以與 Pagaya 合作時，為什麼要放棄您的客戶？這價值支柱的力量正在為我們未來的管道創造動力。因此，我們正在與幾家大型支付企業進行討論，我們的目標是在未來 12 到 18 個月內整合這些企業。

Additionally, discussions with banks in our pipeline are increasingly turning to how Pagaya can help them break into point of sale. As we expand the offering to more industry leaders, we believe we can be a truly disruptive solution in the traditional buy-now, pay-later universe.

此外，我們與銀行的討論越來越多地轉向 Pagaya 如何幫助他們打入銷售點。隨著我們將產品擴展到更多的行業領導者，我們相信我們可以成為傳統的「先買後付」領域中真正的顛覆性解決方案。

The top-line opportunity is also huge. We believe our point-of-sale vertical has the potential to generate billions of dollars in incremental network volume to our business, [SK].

收入機會也巨大。我們相信我們的銷售點垂直業務有潛力為我們的業務帶來數十億美元的增量網路量，[SK]。

Now looking at our broader pipeline of prospective lending partners, we are currently in late-stage discussions with six large lenders across our main verticals of personal loan, auto, and point of sale. We are advancing our bank pipeline and expect to integrate three new point-of-sale providers or banks in our point-of-sale vertical over the next 12 to 18 months.

現在，我們著眼於更廣泛的潛在貸款合作夥伴管道，目前正在與個人貸款、汽車和銷售點等主要垂直領域的六家大型貸方進行後期討論。我們正在推進我們的銀行管道，並預計在未來 12 至 18 個月內將三個新的銷售點提供者或銀行整合到我們的銷售點垂直領域。

On our existing lending partners, we continue to deepen our relationship with them, which is leading to better unit economics. Our 2023 cohort ramp-up is tracking according to plan while we continue to prioritize our most profitable personal loan partnerships in a continued constrained funding environment.

對於現有的貸款合作夥伴，我們繼續深化與他們的關係，從而帶來更好的單位經濟效益。我們 2023 年的隊列成長正在按計劃進行，同時我們在持續受限的融資環境中繼續優先考慮最有利可圖的個人貸款合作夥伴關係。

These actions are adding to our bottom line. Our average personal loan FRLPC margin more than doubled year over year to 6%. We are also in late stage talks to expand our personal loan product with an existing bank partner. More to come on that later this year.

這些行動增加了我們的利潤。我們的平均個人貸款 FRLPC 利潤率年增了一倍多，達到 6%。我們也正在與現有銀行合作夥伴就擴大個人貸款產品進行後期談判。今年晚些時候還會有更多內容。

With that, let me pass it over to Sanjiv to discuss our bank enterprise strategy and other operational updates.

接下來，讓我將其轉交給 Sanjiv，討論我們的銀行企業策略和其他營運更新。

Thanks, Gal. In Q1, we reorganized the operating business to increase capital efficiency and enhance our margin profile while still continuing to grow the business.

謝謝，加爾。在第一季度，我們重組了營運業務，以提高資本效率並提高我們的利潤率，同時繼續發展業務。

We refocused the operations of Pagaya into two distinct areas: growth and monetization. Our growth team is focused on adding new partners across banks, fintechs, auto, captives, and POS lenders. And we put a new product organization in place that is designed to extend the Pagaya solution to our existing network of 30 partners.

我們將 Pagaya 的營運重新聚焦於兩個不同的領域：成長和貨幣化。我們的成長團隊專注於在銀行、金融科技、汽車、自保公司和 POS 貸款機構中增加新的合作夥伴。我們建立了一個新的產品組織，旨在將 Pagaya 解決方案擴展到我們現有的 30 個合作夥伴網路。

On the monetization side, the team is laser-focused on Pagaya's economic disciplines of maximizing partner revenue opportunities and efficiently allocating capital to volumes that deliver the highest IRR. The benefit of this transformation is a highly disciplined approach in our core operating business, both in the growth of our network volume as well as enhanced economic returns through more efficient capital allocation.

在貨幣化方面，該團隊專注於 Pagaya 的經濟原則，即最大化合作夥伴的收入機會，並有效地將資本分配到可提供最高 IRR 的數量。這種轉型的好處是我們的核心營運業務採用了高度嚴格的方法，無論是在網路容量的成長方面，還是透過更有效的資本配置來提高經濟回報方面。

So the outcomes are clear. Because of this operating discipline, the benefits of higher margin are already evidenced in the growth of our FRLPC to the highest level in eight quarters. As a result of this more deliberate and disciplined capital allocation process towards partner flow, we not only deliver a higher FRLPC for Pagaya, but also a higher IRR for our funding investors.

所以結果就很明顯了。由於這種經營紀律，較高利潤率的好處已經在我們的 FRLPC 增長至八個季度以來的最高水平中得到了證明。由於針對合作夥伴流採取了更審慎和嚴格的資本分配流程，我們不僅為 Pagaya 提供了更高的 FRLPC，而且還為我們的融資投資者提供了更高的 IRR。

Additionally, in our credit underwriting discipline, we are making methodical flow decisions that are demonstrating an improvement in our performance. Based on [MOB30] DPD, it's fair to say that in both PL and auto, Pagaya is already outperforming the market. 30-day delinquencies for 6-, 9-, and 12-month seasoned personal loans are at their lowest levels since April 2021 -- on average, 30% to 40% lower than peak levels in 2021 -- and have been in continuous steady decline since then.

此外，在我們的信貸核保紀律中，我們正在製定有條不紊的流程決策，這表明我們的績效有所改善。根據[MOB30] DPD，可以公平地說，無論是在PL還是汽車領域，Pagaya都已經跑贏了市場。 6個月、9個月和12個月的個人貸款的30天拖欠率處於2021年4月以來的最低水平，平均比2021年的峰值水平低30%至40%，並且一直保持穩定從那時起開始下降。

Our most recent personal loan vintages from later 2023 are showing similar performance with early-stage delinquencies at their lowest levels since January 2021. We continue to be encouraged by these trends even as we are carefully monitoring consumer trends in the industry.

我們 2023 年稍後的最新個人貸款年份表現出類似的表現，早期拖欠率處於 2021 年 1 月以來的最低水平。儘管我們正在仔細監控該行業的消費者趨勢，但我們仍繼續受到這些趨勢的鼓舞。

Our vision is for Pagaya to be the lending technology partner of choice for banks and other large financial institutions. Despite being an eight-year-old company, we've already built up an extensive network of 30 lending partners of diverse size and scale. What we've learned from our enterprise bank partnerships is that there is a massive opportunity for Pagaya's product solution.

我們的願景是讓 Pagaya 成為銀行和其他大型金融機構首選的貸款技術合作夥伴。儘管是一家成立八年的公司，我們已經建立了由 30 個不同規模和規模的貸款合作夥伴組成的廣泛網絡。我們從企業銀行合作關係中了解到，Pagaya 的產品解決方案存在巨大的機會。

Expanding from one bank consumer division to another consumer business in a bank is significantly easier as we demonstrate the value our product can create. As you would expect, this enterprise strategy significantly shortens our average sales and onboarding cycle.

當我們展示我們的產品可以創造的價值時，從一個銀行消費者部門擴展到銀行的另一個消費者業務變得更加容易。正如您所期望的，這項企業策略顯著縮短了我們的平均銷售和入職週期。

Landing Elavon at US Bank is a great example of this. In just one quarter after announcing our US Bank personal loans partnership, we are now in the process of offering our solution to Elavon, which is another business within US Bank. Deployment of our product across the banking ecosystem also demonstrates the industrial strength of Pagaya's offering in the face of the highest regulatory and compliance standards that banks have to comply with.

Elavon 登陸美國銀行就是一個很好的例子。在宣布與美國銀行個人貸款合作夥伴關係後僅一個季度，我們現在正在向美國銀行內的另一項業務 Elavon 提供我們的解決方案。我們的產品在整個銀行生態系統中的部署也證明了 Pagaya 的產品在銀行必須遵守的最高監管和合規標準方面的行業實力。

I take great pride in what the teams and leaders have achieved in just one quarter of focus on discipline and operational efficiency. I do believe there is more to be done. As we stay focused on this, I believe that we will have the opportunity to further reduce expenses and improve our operating efficiency, which will set us up to invest in the key strategic needs of the business.

我對團隊和領導者僅用四分之一的時間專注於紀律和營運效率所取得的成就感到非常自豪。我確實相信還有更多工作要做。當我們繼續專注於此時，我相信我們將有機會進一步減少開支並提高營運效率，這將使我們能夠投資於業務的關鍵策略需求。

With that, let me hand it over to EP to discuss our financials in more depth.

接下來，讓我將其交給 EP 來更深入地討論我們的財務狀況。

Thank you, Sanjiv, and good morning, everyone. We delivered another record quarter across our key metrics. While we continue to operate in a higher for longer rate environment, we remain focused on profitability and capital efficiency.

謝謝你，桑吉夫，大家早安。我們的關鍵指標再創歷史新季紀錄。雖然我們繼續在更高、更長的利率環境下運營，但我們仍然專注於獲利能力和資本效率。

Network volumes reached a record $2.4 billion in the quarter, up 31% year over year and up for the fifth consecutive quarter. Application flow grew year over year.

本季網路交易量達到創紀錄的 24 億美元，年增 31%，連續第五個季度成長。申請流量逐年增加。

Our conversion rate remains low as we optimize for our most profitable lending channels and returns for our funding partners. As a result, personal loans are more scaled, and highest margin product continued to be the largest driver of network volume at 55%.

隨著我們優化最有利可圖的貸款管道和融資合作夥伴的回報，我們的轉換率仍然很低。因此，個人貸款規模更大，利潤率最高的產品仍然是網路交易量的最大驅動力，佔 55%。

Total revenue and other income grew 31% to a record $245 million compared to the same quarter in 2023, driven by a 35% increase in fee revenue. We continue to improve our unit economics.

與 2023 年同季度相比，總收入和其他收入增長了 31%，達到創紀錄的 2.45 億美元，其中費用收入增長了 35%。我們不斷提高單位經濟效益。

Fee revenue less production costs once again outpaced network volume growth by a significant margin. FRLPC grew by 84% to a record $92 million compared to network volume growth of 31%. Sequentially, this equated to FRLPC growth of $16 million, the largest quarterly increase in our history.

費用收入減去製作成本再次大幅超過網路流量成長。FRLPC 成長了 84%，達到創紀錄的 9,200 萬美元，而網路流量增加了 31%。因此，這相當於 FRLPC 成長了 1600 萬美元，這是我們歷史上最大的季度成長。

Fees from our lending partnerships amounted to 63% of total FRLPC in the quarter compared to 43% in the prior year. This is a testament to the growing fee generating power of our business, making us increasingly less reliant on network volume expansion to drive bottom-line growth.

本季來自我們貸款合作夥伴的費用佔 FRLPC 總額的 63%，而前一年為 43%。這證明了我們業務的收費能力不斷增長，使我們越來越不依賴網路容量擴張來推動利潤成長。

FRLPC margin increased 109 basis points year over year to 3.8%, the highest level since early 2022. Our personal loan business generated an average FRLPC margin of 6%, over 200 basis points above the blended average and up 300 basis points compared to the same quarter last year.

FRLPC利潤率年增109個基點至3.8%，為2022年初以來的最高水準。我們的個人貸款業務平均 FRLPC 利潤率為 6%，比混合平均高出 200 個基點以上，比去年同期上升 300 個基點。

We grew fee rates across almost all of our personal loan lending partners in the quarter. Additionally, in the first few weeks of the second quarter, we further improved unit economics with some of our lending partners as we scaled these channels.

本季度，我們幾乎所有個人貸款合作夥伴都提高了費率。此外，在第二季的前幾週，隨著我們擴大這些管道，我們與一些貸款合作夥伴進一步改善了單位經濟效益。

Higher FRLPC is translating directly to our bottom line. We delivered record adjusted EBITDA of $40 million with an adjusted EBITDA margin of 16.2%. We also delivered our third consecutive quarter of positive GAAP operating income, which was $8 million in the quarter.

更高的 FRLPC 直接轉化為我們的利潤。我們的調整後 EBITDA 達到創紀錄的 4,000 萬美元，調整後 EBITDA 利潤率為 16.2%。我們也連續第三個季度實現 GAAP 營業收入正值，本季為 800 萬美元。

Core operating expenses, which excludes stock-based compensation, depreciation, and one-time expenses increased $4 million year over year and $10 million sequentially. Record funding of $1.9 billion led to elevated ABS setup costs sequentially, which we expect to normalize in the second quarter given the excess dry powder we raised to fund network volume. Additionally, we are lapping a one-time compensation benefit from the fourth quarter.

核心營運費用（不含股票薪酬、折舊和一次性費用）較去年同期增加 400 萬美元，較上季增加 1,000 萬美元。創紀錄的 19 億美元融資導致 ABS 設置成本連續上升，考慮到我們為網路規模融資籌集了過量的乾粉，我們預計這一成本將在第二季度正常化。此外，我們還將從第四季開始享受一次性補償福利。

Net loss attributable to Pagaya was $21 million, an improvement of $40 million from the prior year. Share-based compensation expense amounted to $15 million. Higher interest expense of $15 million reflects the addition of our new term loan facility in the first quarter.

Pagaya 的淨虧損為 2,100 萬美元，比上年減少 4,000 萬美元。股權激勵費用達 1500 萬美元。利息支出增加 1500 萬美元，反映出我們在第一季增加了新的定期貸款安排。

Credit impairments of $19 million after accounting for non-controlling interest on our investments in loan and securities represented less than 3% of our portfolio. We reported our fourth consecutive quarter of positive adjusted net income of $13 million, an improvement of $24 million compared to the prior year.

考慮到我們貸款和證券投資的非控制權益後，信用減值為 1,900 萬美元，占我們投資組合的比例不到 3%。我們報告連續第四個季度的正調整淨利潤為 1,300 萬美元，比上一年增加了 2,400 萬美元。

Shifting now to discuss our approach to capital efficiency. First, let me discuss our funding in the quarter. Overall funding markets are on a stronger footing than in 2023. We are seeing spreads in our 2024 deals reduce by 150 basis points to 200 basis points compared to the peak in 2023.

現在轉向討論我們的資本效率方法。首先，讓我討論一下我們本季的融資情況。整體融資市場的基礎比 2023 年更為強勁。與 2023 年的高峰相比，我們看到 2024 年交易的利差減少了 150 個基點至 200 個基點。

We took advantage of more favorable market conditions at the start of the year to raise $1.9 billion in funding, giving us excess dry powder of approximately $1 billion at the start of Q2. We added another 18 funding partners in the quarter.

我們利用年初更有利的市場條件籌集了 19 億美元的資金，為我們在第二季初提供了約 10 億美元的過剩乾粉。本季我們又增加了 18 個融資合作夥伴。

The tailwind of private credit deployment in consumer credit markets continues to work in our favor with alternative asset managers being the majority of new funding partners we added in the quarter. Capital efficiency is a key enabler as we march toward our next financial milestone of reaching cash flow positive.

消費信貸市場私人信貸部署的順風繼續對我們有利，另類資產管理公司是我們在本季度新增的融資合作夥伴中的大多數。當我們邁向實現正現金流的下一個財務里程碑時，資本效率是關鍵推動因素。

Our strategy is focused on minimizing the amount of upfront capital we utilize to fund new network volume. We plan to do this in two ways: first, by diversifying our funding model with structures like whole loan sales or forward flow; and second, by executing more efficient ABS structures and financing arrangements.

我們的策略重點是最大限度地減少用於資助新網路容量的前期資本。我們計劃透過兩種方式做到這一點：首先，透過整體貸款銷售或遠期流動等結構使我們的融資模式多樣化；其次，透過執行更有效的資產支持證券結構和融資安排。

On diversifying our funding strategy, we executed a $50 million securitization in March that was uniquely structured to mimic a whole loan sale to investors. With this deal, we retained a net 1% vertical slice of the transaction.

在實現融資策略多元化方面，我們在 3 月執行了 5,000 萬美元的證券化，該證券化的結構獨特，旨在模仿向投資者出售的整個貸款。透過這筆交易，我們保留了交易的淨 1% 垂直份額。

We have strong confidence we can scale programs like this one to reduce our upfront capital needs. We are in the midst of advanced discussions with several large asset managers to execute new forward flow and whole loan sale arrangements, which we believe could exceed $1 billion in total size.

我們有信心能夠擴大此類項目的規模，以減少我們的前期資本需求。我們正在與幾家大型資產管理公司進行深入討論，以執行新的遠期流動和整體貸款銷售安排，我們認為總規模可能超過 10 億美元。

In our core ABS funding model, we're solving for two things: lowering net risk retention and improving the quality of the assets retained. We are accomplishing this by taking a larger gross portion of our deals with a higher quality mix of both debt and equity securities. This enables more efficient financing, which results in single-digit net risk retention.

在我們的核心 ABS 融資模型中，我們正在解決兩件事：降低淨風險保留和提高保留資產的品質。我們透過提高債務和股本證券組合的交易總額來實現這一目標。這使得融資更加高效，從而實現個位數的淨風險自留。

While we will dynamically adapt our funding strategy based on market conditions, our aim is to target an average net risk retention rate of 2% to 3% of network volume with a diverse mix of funding sources. This is a key driver of our strategy to get to positive net cash flow by early 2025.

雖然我們將根據市場狀況動態調整我們的融資策略，但我們的目標是透過多樣化的融資來源組合實現網路量的 2% 至 3% 的平均淨風險保留率。這是我們在 2025 年初實現正淨現金流策略的關鍵驅動力。

Moving on to our balance sheet and cash flow. As of March 31, our investments in loan and securities, net of non-controlling interest, was $804 million. As a result of excess funding issuance, we added gross new investments in loan and securities of $262 million, offset by proceeds from securities of $36 million.

繼續我們的資產負債表和現金流。截至 3 月 31 日，我們的貸款和證券投資（扣除非控制權益）為 8.04 億美元。由於超額發行資金，我們增加了 2.62 億美元的貸款和證券新投資總額，被 3,600 萬美元的證券收益所抵銷。

We recorded net fair value adjustments, which reduced the carrying value of the portfolio, of $40 million in the quarter. Cash and cash equivalents amounted to $310 million. We delivered our third consecutive quarter of positive cash flow from operating activities of $20 million, driven by FRLPC growth and continued operating leverage.

我們記錄了本季 4,000 萬美元的淨公允價值調整，這減少了投資組合的帳面價值。現金及現金等價物達3.1億美元。在 FRLPC 成長和持續營運槓桿的推動下，我們連續第三個季度實現了 2000 萬美元的營運活動正現金流。

Combined cash flow from investing and financing activities was $68 million, driven by our debt and equity capital raises in the quarter, offset by excess funding issuance. We expect additional financing on these issuances to be executed in the second quarter.

投資和融資活動產生的現金流量合計為 6,800 萬美元，主要受到本季債務和股權融資的推動，並被超額融資發行所抵銷。我們預計這些發行的額外融資將在第二季執行。

To close, our fee-generating business continues to deliver. We see a significant opportunity for further FRLPC expansion as we bring our newer lending partners to the similar economics as our mature partners. We've demonstrated the operating leverage inherent in our B2B business, and we see opportunities to be more cost-efficient and plan to execute on some of those initiatives over the next few months.

截至收盤，我們的收費業務繼續交付。我們看到了 FRLPC 進一步擴張的重大機會，因為我們將新的貸款合作夥伴引入與成熟合作夥伴類似的經濟體系。我們已經展示了 B2B 業務固有的營運槓桿，我們看到了提高成本效益的機會，並計劃在未來幾個月內執行其中一些舉措。

On the capital side, we're entering 2024 in a stronger position to execute on our funding strategy, already proving our ability to do so in the first quarter even in a continued challenging market environment. As we expand our fee-generation and drive capital efficiency, we remain confident we can reach cash flow positive next year.

在資本方面，進入 2024 年，我們在執行融資策略方面處於更有利的地位，即使在持續充滿挑戰的市場環境中，我們也已經在第一季證明了我們有能力做到這一點。隨著我們擴大費用產生並提高資本效率，我們仍然有信心明年能夠實現正現金流。

Now, let me switch gears to our second quarter and 2024 financial outlook. Our key priorities this year are enhancing profitability and capital efficiency.

現在，讓我談談第二季和 2024 年的財務展望。我們今年的首要任務是提高獲利能力和資本效率。

Our guidance for the second quarter and the full year reflects a few key assumptions. First, we expect to continue to drive improved unit economics with our lending partnerships. We are focused on dynamically managing our portfolio as market conditions evolve to direct capital to our more profitable lending channels. Second, we expect to significantly scale our whole loan sale funding program and execute other structures like forward flow, along with raising additional secured borrowing to drive our net risk retention lower over the remainder of the year.

我們對第二季和全年的指導反映了一些關鍵假設。首先，我們期望透過我們的貸款合作夥伴關係繼續推動單位經濟效益的改善。我們專注於隨著市場狀況的發展動態管理我們的投資組合，將資本引導至我們利潤更高的貸款管道。其次，我們預計將大幅擴大整個貸款銷售融資計劃，並執行遠期流動等其他結構，同時籌集額外的擔保借款，以降低我們在今年剩餘時間內的淨風險保留。

In the second quarter of 2024, we expect network volume to range between $2.2 billion and $2.4 billion, total revenue and other income to range between $235 million and $245 million, and adjusted EBITDA to range between $40 million and $45 million. We are reiterating our full-year 2024 outlook. We expect network volume to range between $9 billion and $10.5 billion, total revenue and other income to range between $925 million and $1.05 billion, and adjusted EBITDA to range between $150 million and $190 million.

到2024 年第二季度，我們預計網路交易量將在22 億美元至24 億美元之間，總營收和其他營收將在2.35 億美元至2.45 億美元之間，調整後的EBITDA 將在4,000 萬美元至4500 萬美元之間。我們重申 2024 年全年展望。我們預計網路規模將在 90 億美元至 105 億美元之間，總收入和其他收入將在 9.25 億美元至 10.5 億美元之間，調整後的 EBITDA 將在 1.5 億美元至 1.9 億美元之間。

With that, let me turn it back to the operator for Q&A.

接下來，讓我將其轉回給接線員進行問答。

Thank you. We will now begin the question-and-answer session. (Operator Instructions) John Hecht, Jefferies.

謝謝。我們現在開始問答環節。（操作員說明）John Hecht，Jefferies。

Very much for taking my question, and thanks for all the great detail on the call. You spent a lot of time on the capital efficiency going forward, and you talked about forward flows agreements and whole loan sales. And Gal, you even -- I think you cited maybe $1 billion in the pipeline and a 2% goal for the committed capital.

非常感謝您回答我的問題，並感謝您在通話中提供的所有詳細資訊。您花了很多時間討論未來的資本效率，並談到了遠期資金流動協議和整體貸款銷售。Gal，你甚至 - 我認為你提到了可能 10 億美元的管道和 2% 的承諾資本目標。

I'm just wondering, what -- those $1 billion flow arrangements, are they -- that are going to come into effect in this quarter or is this just development over the course of the year? I'm just wondering about the cadence of how to think about this.

我只是想知道，那些 10 億美元的流量安排是在本季生效還是只是在這一年中取得進展？我只是想知道如何思考這個問題的節奏。

Hi, John. It's Gal here. Thank you very much for your question.

你好，約翰。這裡是加爾。非常感謝您的提問。

I think the way to think about it is we are very focused on these points, as you mentioned. And we -- and I did mention that in my previous script. The main thing to consider is the following. Because we have such a vast majority of connections to the biggest asset managers in the world, we actually already have all the connectivity to the folks we are discussing with.

我認為思考這個問題的方法是，正如您所提到的，我們非常關注這些點。我們——我在之前的劇本中確實提到過這一點。需要考慮的主要事項如下。因為我們與世界上最大的資產管理公司擁有絕大多數的聯繫，所以我們實際上已經與我們正在討論的人建立了所有的聯繫。

So what we're just now focusing is to move these relationships that has been, as you can imagine, very strong and robust on the ABS to bleed to a transactions that are both on the pass-through structures, which are making us retain much smaller piece, and both on the forward flow agreements that we're actually having with few counterparties to be able to come fruit in the very near future. So we are now in the [midst] of negotiation, and we hope very, very soon we are going to land and to announce this as such.

因此，我們現在關注的重點是將這些關係轉移到 ABS 上，正如您可以想像的那樣，這些關係非常強大和穩健，以滲透到傳遞結構上的交易，這使我們保留了很多較小的部分，以及我們實際上與少數對手方簽訂的遠期流量協議，這些協議能夠在不久的將來取得成果。因此，我們現在正處於談判之中，我們希望很快我們就能登陸並宣布這一點。

Okay, great. Thanks very much. And you had a lot of very big adds of partners on the lending front in the latter part of last year. I know there's an onboarding process and a period of ramp that occurs. I'm wondering how those new partnerships are ramping relative to expectations.

好的，太好了。非常感謝。去年下半年，在貸款方面增加了許多合作夥伴。我知道有一個入職流程和一段上升期。我想知道這些新的合作關係相對於預期的成長情況如何。

Hi, John. I'll take this. This is Sanjiv.

你好，約翰。我要這個。這是桑吉夫。

A couple of things. One is we talked about the new partners that we've onboarded last quarter, but we also talked about the disciplined approach with which we monitor the volumes. There are a couple of things, John, that I have looked at.

有幾件事。一是我們討論了上季度加入的新合作夥伴，但我們也討論了我們監控數量的嚴格方法。約翰，我看過一些事。

One is I want to make sure that the quality of the flow is -- before we turn on the taps completely -- that the quality of the flow is very carefully monitored. That's what we are doing in the first quarter. We are watching for DTI, LTV, those kinds of things that we're taking on new partners and getting ready for the flow. What I'm seeing so far is that the quality is actually pretty good.

一是我想確保在我們完全打開水龍頭之前，水流的品質受到非常仔細的監控。這就是我們第一季所做的事情。我們正在關注 DTI、LTV，以及我們正在與新合作夥伴合作並為流程做好準備的此類事情。到目前為止我所看到的是品質實際上相當不錯。

And the other thing is with some of these auto partners -- obviously, as you know, we go dealer by dealer by dealer, and so it takes a little bit of time to ramp it up. By the time we get the full potential, it's normally six to nine months in terms of steady state.

另一件事是與其中一些汽車合作夥伴合作 - 顯然，如您所知，我們逐個經銷商逐個經銷商，因此需要一點時間來提升它。當我們充分發揮潛力時，通常需要六到九個月的穩定狀態。

And we want to do this the right and disciplined way. Take the case of a different sector, US Bank, for example. We are seeing enriched customer data coming in. So we started to look at that to see how we can continue to improve the quality of the flow. So pacing ourselves and -- before we ramp this up.

我們希望以正確且有紀律的方式做到這一點。以美國銀行這一不同行業為例。我們看到豐富的客戶資料不斷湧現。因此我們開始研究這個問題，看看如何繼續提高流程的品質。因此，在我們加大力度之前，先調整一下自己的步調。

That's very helpful. Appreciate the focus on the flow. Final question is -- the point-of-sale verticals, it's becoming increasingly important and a good driver of growth. I'm wondering, can you maybe just give us the characteristics of the typical loan, the structure of the typical loan, in that channel relative to, say, the installment loan business?

這非常有幫助。欣賞對流程的關注。最後一個問題是——銷售點垂直行業，它變得越來越重要，並且是成長的良好驅動力。我想知道，您能否為我們介紹典型貸款的特點，典型貸款的結構，在這個管道中相對於分期貸款業務？

Yeah, John. So let me start giving the high level of how we think about it, and then Sanjiv will get into specifics and details.

是的，約翰。因此，讓我開始概述我們的想法，然後 Sanjiv 將詳細介紹細節。

So POS is definitely one of the frontiers for growth for us mainly because today, literally all of the banks are looking to have that as a product. And this is one of the areas where we have the strongest pipeline of partners. And banks are calling us and asking the question of how can we help them accelerate their penetration into this market.

因此，POS 絕對是我們成長的前沿領域之一，主要是因為今天幾乎所有銀行都希望將其作為產品。這是我們擁有最強大合作夥伴的領域之一。銀行打電話給我們，詢問我們如何幫助他們加速滲透到這個市場。

So it's a market that the banks were a little bit left behind, and they are now looking to keep up with the fintechs. And Pagaya, quite frankly, is maybe the -- only the best solution that allows them actually to keep the customers and not give it to anyone else but, in the same time, to offer that outcome.

因此，在這個市場上，銀行有點落後，他們現在正在尋求跟上金融科技的腳步。坦白說，Pagaya 可能是唯一最好的解決方案，可以讓他們真正留住客戶，而不是將其交給其他任何人，但同時又能提供這種結果。

And for us and for the banks, it's very clear why to partner with someone that you need to give up on the customer when you can partner with Pagaya to be able to completely keep the customer. So that's the thesis that we have, and that's what the excitement that we see from the banks.

對於我們和銀行來說，當你可以與 Pagaya 合作以完全保留客戶時，為什麼要與你需要放棄客戶的人合作是非常清楚的。這就是我們的論點，這就是我們從銀行看到的令人興奮的事情。

The first piece that you can appreciate on the non-bank side is a typical [pain for] that exists out there. And then there is some kind of a progression or mature into loans of like 6 to 12 months. Again, a very interesting play for Pagaya because we have so much knowledge and capabilities on the full personal loan spectrum.

在非銀行方面，您可以欣賞到的第一個部分是存在的典型[痛苦]。然後會有某種進展或成熟為 6 至 12 個月的貸款。這對 Pagaya 來說又是一次非常有趣的比賽，因為我們在整個個人貸款領域擁有豐富的知識和能力。

So we are coming as a very natural add-on for this and helping the BNPL providers to have an enhancement in their ability to collect fees by extending loans to that. Sanjiv, do you want to add anything?

因此，我們作為一個非常自然的附加組件，幫助 BNPL 提供者透過向其提供貸款來增強收取費用的能力。Sanjiv，你想補充什麼嗎？

Sure. I mean, look, as both of you said, the POS is, in fact, the fastest-growing sector in the consumer world. As a former banker, I know that when we were moving from personal installment loans to purpose-driven loans that the quality of the credit was substantially higher.

當然。我的意思是，正如你們倆所說，POS 實際上是消費世界中成長最快的產業。作為一名前銀行家，我知道當我們從個人分期貸款轉向目的驅動貸款時，信貸品質要高得多。

There are three major categories, John, that we are seeing this growth in within POS. One is in health, one is in education, and then, of course, in medical -- sorry, in-home improvement. So those are the three major sectors where we are seeing growth. And the term structure is very similar to personal loans, which is why it fits Pagaya's model perfectly.

John，我們看到 POS 內的三個主要類別出現了成長。一是健康方面，一是教育方面，當然還有醫療方面──抱歉，是居家裝潢。這些是我們看到成長的三個主要領域。而且期限結構與個人貸款非常相似，這就是為什麼它非常適合Pagaya的模式。

Great. Appreciate all that color. Thanks, guys.

偉大的。欣賞所有這些顏色。多謝你們。

Thank you. Joseph Vafi, Canaccord Genuity.

謝謝。約瑟夫‧瓦菲 (Joseph Vafi)，Canaccord Genuity。

Hey, everyone. Good morning, and great to see all the progress both on partners, P&L, balance sheet, all facets of the business. That's great.

嘿大家。早上好，很高興看到合作夥伴、損益表、資產負債表以及業務各個方面的所有進展。那太棒了。

Just -- I thought we'd start looking at the shareholder letter. It looked like total application flow was up about 5%. But obviously, network volume was up more than application flow. I was wondering if you could kind of drill down into underwriting in the quarter a little bit and what might have been driving the higher network volume versus application flow. And then I have a follow-up.

只是──我想我們應該開始看股東信。看起來總申請流量增加了約 5%。但顯然，網路流量的增幅超過了應用程式流量的增幅。我想知道您是否可以深入了解本季的承保情況，以及是什麼推動了網路量與應用程式流量的增加。然後我有一個後續行動。

Yeah. Thanks for the question. I'll take that.

是的。謝謝你的提問。我會接受的。

So look, application flow continues to grow. And as Gal and Jency mentioned, the value proposition of our product is quite unique. So as we add more partners, application flow will continue to grow and has been doing that for the last few quarters.

所以看，應用程式流量持續成長。正如 Gal 和 Jency 所提到的，我們產品的價值主張非常獨特。因此，隨著我們添加更多合作夥伴，應用程式流量將繼續增長，並且在過去幾季中一直如此。

What we are doing, we're very disciplined in our approach and focusing significantly more on the channels that will drive -- that have higher unit economics and drive higher FRLPC. And as a result, those are the channels where we will have more mature relationships.

我們正在做的事情是，我們的方法非常嚴格，並且更專注於那些能夠推動的管道——具有更高的單位經濟效益並推動更高的 FRLPC。因此，我們將透過這些管道建立更成熟的關係。

So that's why you would see effectively network volume growing by a faster rate than the application flow that we're seeing. So just think about it as a higher conversion ratio for those types of channels that we get higher economics.

這就是為什麼您會看到網路容量的有效成長速度比我們看到的應用程式串流的成長速度更快。因此，只需將其視為我們獲得更高經濟效益的那些類型管道的更高轉換率。

And Joe, maybe one add-on on this. If you think about it that as we move into stronger institutionals that have higher quality of flow, you will expect to see lower growth on the application. But every application means much more because it's much more, call it, likely borrower that we would like to lend to. So there is an inverse of like -- as the company gets bigger and, therefore, we are lending more unique marquee partners, the ratio between the two is rather different.

喬，也許是對此的補充。如果您考慮一下，當我們進入具有更高流量品質的更強大的機構時，您將期望看到應用程式的成長速度較低。但每一次申請都意味著更多，因為它更多的是我們想要藉錢給的可能的借款人。因此，存在著相反的情況——隨著公司規模的擴大，我們會向更多獨特的合作夥伴提供貸款，兩者之間的比率會相當不同。

Sure. That's great. That makes a lot of sense.

當然。那太棒了。這很有意義。

And then secondly, I appreciate the movement to new funding sources to reduce net retention. I think that's a big positive here. Just wondering, if you move to forward flows or other vehicles, is there a potential impact on the line in FRLPC upside from the investment side of the business? Thanks a lot, guys. Great results.

其次，我很欣賞為減少淨保留而轉向新的資金來源的做法。我認為這是一個很大的正面因素。只是想知道，如果您轉向遠期流量或其他工具，業務投資方面是否會對 FRLPC 上行線產生潛在影響？非常感謝，夥計們。很好的結果。

No, thank you for the question. No, I think we'll continue to -- as you have seen, right, we're accelerating the fee generation power of the business and improving the unit economics. Obviously, the diversification of the funding sources will allow us to lower the net retention of what we're keeping from the deals.

不，謝謝你的提問。不，我認為我們會繼續下去——正如你所看到的，我們正在加速業務的收費能力並改善單位經濟效益。顯然，資金來源的多元化將使我們能夠降低從交易中保留的淨保留額。

But I think over time, we will continue to see that growth in FRLPC while we continue to diversify this type of -- diversify the funding sources. So overall, as we look forward, we do expect the FRLPC to range between the 3% to 4%, in line with what we have provided in terms of guidance before.

但我認為隨著時間的推移，我們將繼續看到 FRLPC 的成長，同時我們繼續使這種類型的資金來源多樣化。因此，總體而言，正如我們展望的那樣，我們確實預計 FRLPC 的範圍在 3% 到 4% 之間，這與我們之前提供的指導一致。

Great. Thanks a lot.

偉大的。多謝。

Thank you. Michael Legg, Benchmark.

謝謝。邁克爾·萊格，基準。

Thanks. Good morning, and great results, guys. A question on the $1.9 billion raised. What was the cost of capital [after] fees and expenses for that?

謝謝。早安，夥計們，取得了很好的成果。關於籌集的 19 億美元的問題。扣除費用和開支後的資本成本是多少？

Hi, Mike. It's Gal. So cost of capital for this transaction, think about it from an IG perspective. It's trending below the 7%, so really robust and much stronger -- like, lower cost of capital as what we had in the past and even a little bit the IG, something around the 8%.

嗨，麥克。是加爾。所以這筆交易的資金成本，從IG的角度來考慮。它的趨勢低於 7%，所以非常強勁，而且更強——就像我們過去的資本成本更低，甚至還有一點 IG，大約在 8% 左右。

Okay, great. Thanks. And then on the investment in loans and securities of the $800 million, do you have the tranches on that? Like how many are from '23 issuances versus '21, '22? Do we have a breakout on that?

好的，太好了。謝謝。那麼關於 8 億美元的貸款和證券投資，你們有分期嗎？例如有多少是來自 23 年發行的，與 21 年、22 年發行的？我們在這方面有突破嗎？

Yeah, I'll take that. So majority of what we currently have in the portfolio is driven by the 2023 and then 2024 vintages, as the previous vintages has mostly paid down or amortized.

是的，我會接受的。因此，我們目前投資組合中的大部分資產都是由 2023 年和 2024 年年份驅動的，因為先前的年份大多已償還或攤提。

As we look forward, one thing I want to highlight is that in the recent transactions that we did, what's important to remember is that the mix of the portfolio is shifting. And the last deal that we did, we did get much more of the debt versus the equity securities.

展望未來，我想強調的一件事是，在我們最近進行的交易中，需要記住的重要一點是投資組合的組合正在改變。在我們所做的最後一筆交易中，我們確實獲得了比股本證券更多的債務。

So the quality of the portfolio is improving. And actually, that has two very positive implications. First, we are able to secure better financing because the debt can now support the paydown of the secured borrowings. And more importantly, given the mix and the quality of what we're retaining, it is actually accretive to both the -- expected to be accretive both to the P&L and the balance sheet overall.

因此，投資組合的品質正在提高。實際上，這有兩個非常正面的影響。首先，我們能夠獲得更好的融資，因為債務現在可以支持償還有擔保借款。更重要的是，考慮到我們保留的內容的組合和質量，它實際上會增加——預計會增加損益表和整體資產負債表。

Great. Thanks. And then just last question, just on the consumer. Are you seeing anything regionally or anything that gives any indication of what you're seeing with the consumer? Thanks.

偉大的。謝謝。最後一個問題，關於消費者。您是否看到任何區域性的信息或任何可以表明您所看到的消費者情況的信息？謝謝。

Yeah. So I just want to set the stage, as you know, but just repeating for all the folks on the call. Pagaya is in a unique place that can see, quite frankly, most of the consumer credit trends. The fact that we are connecting to 30-plus originators give us a very wide understanding of how these trends are actually happening.

是的。如您所知，我只是想做好準備，但只是向所有參加電話會議的人重複一遍。坦白說，Pagaya 處於一個獨特的位置，可以看到大多數消費信貸趨勢。事實上，我們與 30 多名創辦人建立了聯繫，這讓我們對這些趨勢的實際發生方式有了非常廣泛的了解。

So we have a very unique vantage point on that. What we are seeing, and I think you heard us talking on the 2023 vintages, is, especially on the personal loan, but generally in consumer credit, that there is a very steady environment already since the start of 2023.

所以我們在這方面擁有非常獨特的優勢。我們所看到的，我想你們聽到我們談論 2023 年的情況，特別是在個人貸款方面，但一般在消費信貸方面，自 2023 年初以來已經存在一個非常穩定的環境。

You did hear some different narratives, I would say, with different earning calls of different companies. So we heard and saw a little bit of softening on the higher FICO type of thing. But from our perspective, it's really driven because of higher demand for these segments.

我想說，你確實聽到了一些不同的說法，不同公司有不同的獲利電話。因此，我們聽到並看到了較高 FICO 類型的事情有所軟化。但從我們的角度來看，這確實是由於對這些細分市場的更高需求而推動的。

So as think about it, as people migrated from the more average FICO to the higher FICO, they created a little bit over-competition. And therefore, losses are a little bit higher there.

想想看，當人們從更平均的 FICO 遷移到更高的 FICO 時，他們造成了一點過度競爭。因此，那裡的損失要高一些。

We are not playing in that segment because we don't see the value there, per se, right now. And we are sticking to -- the [670, 680], that's the areas where we are operating there. And over there, the performance, as I've mentioned, is very stable since 2023. And we are hopeful and looking forward to continue to watch it as a hawk as we go into 2024.

我們沒有涉足這一領域，因為我們現在看不到那裡的價值。我們堅持 [670, 680]，這就是我們在那裡開展業務的領域。正如我所提到的，自 2023 年以來，性能非常穩定。進入 2024 年，我們滿懷希望並期待繼續保持鷹派的觀察。

Great. Thanks. Great quarter, guys.

偉大的。謝謝。很棒的季度，夥計們。

Thank you. David Scharf, Citizens JMP.

謝謝。David Scharf，公民 JMP。

Great. Good morning, and thanks for taking my question as well. I had a general question about unit economics and how we ought to think about them evolving. There are obviously a lot of moving pieces associated with how rapidly you're growing both asset classes beyond personal loans as well as exploring new funding structures.

偉大的。早安，也感謝您提出我的問題。我有一個關於單位經濟學的一般性問題以及我們應該如何考慮它們的發展。顯然，有許多與個人貸款以外的資產類別成長速度以及探索新的融資結構相關的因素。

Maybe a question for you, Evangelos. Personal loans is the most profitable product. Does the FRLPC margin -- does it change over time as you do more auto and more point-of-sale lending versus personal loans?

也許有個問題想問你，伊凡傑洛斯。個人貸款是最賺錢的產品。隨著您進行更多的汽車貸款和更多的銷售點貸款（與個人貸款相比），FRLPC 利潤率是否會隨著時間的推移而變化？

And then on the funding side, do the fees from your capital markets partners -- do the economics of that change as you engage in more whole loan sales and forward flows? Just trying to understand as the business evolves, it sounds like it may be considerably different mix even just 12 months from now, whether that impacts the consolidated unit economics.

然後在融資方面，來自資本市場合作夥伴的費用是否會隨著您參與更多的整體貸款銷售和遠期流動而改變？只是想了解一下，隨著業務的發展，聽起來即使是從現在起僅僅 12 個月，它的組合也可能會發生很大的不同，這是否會影響合併的單位經濟效益。

Great. Thanks for the question. Look, we see very positive momentum on our FRLPC growth, right? I think it's actually faster than we expected, partly obviously because the value proposition that we're offering to our lending partners and also because of our disciplined approach this year to focus on the higher fee-paying partnerships.

偉大的。謝謝你的提問。看，我們看到 FRLPC 的成長勢頭非常積極，對吧？我認為這實際上比我們預期的要快，部分原因顯然是因為我們向貸款合作夥伴提供的價值主張，也因為我們今年採取了嚴格的方法，重點關注付費較高的合作夥伴關係。

And as you pointed out, PL is now at 6%. This quarter, which has -- it's the highest it has been in our history, up 300 basis points year over year. And we believe we can achieve the same things for auto and even POS over time.

正如您所指出的，PL 現在為 6%。本季度，這是我們歷史上最高的季度，年增 300 個基點。我們相信，隨著時間的推移，我們可以為汽車甚至 POS 實現相同的目標。

Obviously, those continue to be investment areas for us. So they're a few years behind, let's say, than the personal loan, but the playbook is the same. And we know we can achieve that in those verticals as well.

顯然，這些仍然是我們的投資領域。所以他們比個人貸款落後了幾年，但策略是一樣的。我們知道我們也可以在這些垂直領域實現這一目標。

Now to your question, generally, as we look ahead -- we have given you guidance historically of FRLPC being between 3% and 4%. And even now, this quarter again, it's 3.8%, one of -- on the higher end of the range.

現在回答你的問題，一般來說，當我們展望未來時，我們已經向你提供了歷史上 FRLPC 介於 3% 到 4% 之間的指導。即使現在，這個季度，這一比例仍為 3.8%，處於該範圍的較高端。

It's always going to be a mix of partners between new partners coming in that are coming in at lower economics and that being offset by the higher fee-paying channels. So we feel very comfortable about continuing that 3% to 4%.

新加入的合作夥伴總是以較低的經濟效益進入，並被較高的付費管道所抵消。因此，我們對繼續保持 3% 至 4% 的成長感到非常放心。

When it comes to funding, the capital markets fees are pretty much the same. They don't really change between the different products across ABS and some of the other funding sources that we're using. And over time, given the unmatched access to capital that we have to the network of over 115 partners, we can achieve these new diversified sources of funding with a goal of getting to an average 2% to 3% net retention over time across all verticals.

在融資方面，資本市場的費用幾乎相同。ABS 的不同產品和我們使用的其他一些資​​金來源之間的差異並沒有真正改變。隨著時間的推移，鑑於我們擁有超過115 個合作夥伴網絡所擁有的無與倫比的資本獲取渠道，我們可以實現這些新的多元化資金來源，目標是隨著時間的推移，在所有垂直領域實現平均2 % 至3% 的淨保留率。

Got it. No, that's very helpful. And on the risk retention front, it sounds like you're in a lot of advanced discussions and making terrific progress there. As we think about modeling the balance sheet exposure, with that 2% to 3% of network volume target, did you have a timeframe in mind when you hope to be able to achieve that? I mean, is that as early as the end of the current year or is that a kind of longer-term goal?

知道了。不，這非常有幫助。在風險保留方面，聽起來您正在進行許多高級討論並取得了巨大進展。當我們考慮對資產負債表風險進行建模時，以網路量的 2% 到 3% 為目標，您是否有一個希望能夠實現這一目標的時間表？我的意思是，這是最早在今年底實現的目標，還是一個更長期的目標？

Yeah. So obviously, the 2% to 3% is an average that we expect to achieve over time. And we have actually demonstrated that in our (inaudible) if you go back.

是的。顯然，2% 到 3% 是我們期望隨著時間的推移實現的平均值。我們實際上已經在我們的（聽不清楚）如果你回去的話中證明了這一點。

What I would say is we're progressing in a very fast way in diversifying our funding sources. We're already in discussions with multiple parties to execute on forward flow agreements or whole loan sales that could lead up to $1 billion each.

我想說的是，我們在資金來源多元化方面正在快速取得進展。我們已經與多方進行討論，以執行遠期流量協議或全部貸款銷售，每筆金額可能高達 10 億美元。

I can't speak specifically on the timing. But overall, we're progressing over the year. And we do expect to see some of those rare benefits for the remainder of the year.

具體時間我不能說。但總體而言，我們這一年取得了進步。我們確實預計在今年剩餘時間內會看到一些罕見的好處。

Great. Thanks. And if I can just add one quick maybe product question. Specifically for Elavon, I know it's the old NOVA Merchant Solutions. It's one of the world's largest merchant processors. Are they actually providing point-of-sale loans currently? I wasn't exactly sure maybe what the product set is at Elavon.

偉大的。謝謝。如果我可以添加一個快速的產品問題。特別是對於 Elavon，我知道它是舊的 NOVA Merchant Solutions。它是世界上最大的商業加工商之一。他們目前實際上提供銷售點貸款嗎？我不太確定 Elavon 的產品集是什麼。

Hi, David. I'll take this. This is Sanjiv.

嗨，大衛。我要這個。這是桑吉夫。

The short answer is they are about to with the Pagaya solution. And so for example, we met with the BNPL POS lending head. And we know that that's the direction they want to go in. And as you rightly pointed out, they are a top-five payment process.

簡短的回答是他們即將採用 Pagaya 解決方案。例如，我們會見了 BNPL POS 貸款負責人。我們知道這就是他們想要進入的方向。正如您正確指出的那樣，它們是排名前五的付款流程。

And listen, my background itself from (inaudible) demonstrates that the ability to -- for a payment processor to add more value to the merchant at the point-of-sale is really what is critical to them. And we've been talking about very, very late stage -- I mean, obviously, onboarding right now on -- in terms of making sure that we fulfill their [second look] value proposition.

聽著，我的背景本身（聽不清楚）表明，支付處理商在銷售點為商家增加更多價值的能力對他們來說確實至關重要。我們一直在談論非常非常晚的階段——我的意思是，顯然，現在就開始了——以確保我們實現他們的[第二次考察]價值主張。

And David, as you can think about that, it's exactly what I was mentioning when I spoke about POS. This is a great use case of someone who is looking to -- a bank that is looking to enhance their capabilities. And obviously, we love them, and they're a very good partner and has a lot of capabilities.

David，您可以想一想，這正是我在談論 POS 時所提到的內容。對於希望增強自身能力的銀行來說，這是一個很好的用例。顯然，我們愛他們，他們是一個非常好的合作夥伴並且擁有很多能力。

And together with Pagaya, the ability to open that and become a major business for them -- obviously, not just on us; we are a complementary piece -- is a very appealing value proposition for them and, quite frankly, for us, too.

與 Pagaya 一起，有能力打開它並成為他們的主要業務 - 顯然，不僅僅是我們；我們是一個互補的部分——這對他們來說是一個非常有吸引力的價值主張，坦白說，對我們來說也是如此。

Great. Great. No, that's an exciting development. I mean, it kind of potentially opens up the broader merchant processing vertical to the extent they want to get into point-of-sale lending. Thank you very much.

偉大的。偉大的。不，這是一個令人興奮的發展。我的意思是，這有可能打開更廣泛的商業處理垂直領域，達到他們想要進入銷售點貸款的程度。非常感謝。

Thank you. Hal Goetsch, B. Riley.

謝謝。哈爾·戈奇，B.萊利。

Hey. Great quarter, guys. My question is on the automotive channel. Could you just give us an update on the automotive partners, like Ally and others, and where they're at in their rollout by state or by a number of dealerships and how the overall auto business is going for you?

嘿。很棒的季度，夥計們。我的問題是關於汽車頻道的。您能否向我們介紹汽車合作夥伴（例如 Ally 和其他公司）的最新情況，以及他們按州或一些經銷商推出的情況以及整個汽車業務的發展情況？

Hi, Hal. It's Gal. I will take a question here.

嗨，哈爾。是加爾。我在這裡提出一個問題。

So yeah, definitely, as we said, auto loan -- the auto space is something that we had been working a lot less deal. And we are definitely focusing on completing the rollout on Ally. There are a few states left. And on Westlake and other, we are continuously improving the product and finding the right place where we can add the most amount of value.

所以，是的，當然，正如我們所說，汽車貸款——汽車領域是我們一直在做的事情少得多的領域。我們肯定會專注於完成 Ally 的推出。還剩下幾個州。在西湖和其他地區，我們不斷改進產品並尋找可以增加最大價值的合適地點。

Auto loan, in general, I would say was a little bit softer throughout the year from a world of funding, et cetera, and what has been through in this type of environment for that specifically versus auto loan. And therefore, when we are disciplined, focused on higher unit economics and on higher return, et cetera, we might shift more towards the PL or the other things or de-prioritize.

總的來說，我想說的是，由於融資等因素，汽車貸款全年略顯疲軟，尤其是與汽車貸款相比，在這種環境下所經歷的情況。因此，當我們遵守紀律，專注於更高的單位經濟效益和更高的回報等時，我們可能會更多地轉向 PL 或其他事物，或取消優先順序。

And as we see things are becoming stronger in different places, we are over-allocating there. I think it's a very good use case to how Pagaya is, having solved both the long-term growth and the ability to lend more partners and to increase the network capabilities. But in the same time, managing the short-term goals of shifting capital in between different parts to make sure we are lending on the right financial side.

當我們看到不同地方的情況變得越來越強時，我們在那裡過度分配。我認為這是 Pagaya 的一個非常好的用例，既解決了長期成長的問題，也解決了向更多合作夥伴提供貸款和增強網路能力的問題。但同時，管理在不同部分之間轉移資本的短期目標，以確保我們在正確的財務方面放款。

Does that answer your question, Sir Goetsch. Sanjay Sakhrani, KBW.

格奇爵士，這能回答你的問題嗎？桑傑·薩赫拉尼 (Sanjay Sakhrani)，KBW。

Hi. This is actually Steven Kwok filling in for Sanjay. Thanks for taking my questions.

你好。這實際上是史蒂文·郭（Steven Kwok）代替桑傑（Sanjay）。感謝您回答我的問題。

Within the prepared remarks, you talked about further improving the unit economics and that you made some additional changes in the first two weeks of the second quarter. Could you just provide an update around where we are within the process? And then how does the benefit like flow through? Do we see it on the take rate side or is it on the production cost side or is it both? Thanks.

在準備好的演講中，您談到了進一步改善單位經濟效益，並在第二季的前兩週做出了一些額外的改變。您能否提供有關我們目前進展的最新資訊？那麼這樣的利益是如何流轉的呢？我們是在接受率方面還是在生產成本方面看到它，或者兩者兼而有之？謝謝。

Hi. Thanks for the question and looking forward to working together.

你好。感謝您的提問並期待合作。

So to your point, what we are doing -- as we said, right, our strategy is now to continue to be very disciplined and improving unit economics across the portfolio. And what I wanted to highlight there in the prepared remarks is that we actually continue to take more action, as we did in the early part of Q2, to continue to improve the fees as our value proposition to our lenders continue to resonate.

因此，就您的觀點而言，我們正在做的事情 - 正如我們所說，我們的策略現在是繼續非常自律並改善整個投資組合的單位經濟效益。我想在準備好的發言中強調的是，我們實際上繼續採取更多行動，就像我們在第二季初期所做的那樣，繼續提高費用，因為我們對貸方的價值主張繼續引起共鳴。

So obviously, that will take over time, and we expect that to basically translate to higher -- on an apples-to-apples basis, higher FRLPC and get the full benefit of that into sort of second half, Q2; most importantly, into a full quarter impact in Q3. And that will come both to your point, reflected both on the take rate as well as obviously the FRLPC rate.

顯然，這需要一段時間，我們預計這基本上會轉化為更高的——在同類基礎上，更高的 FRLPC，並在下半年第二季度充分受益；最重要的是，進入第三季的整個季度影響。這將符合您的觀點，既反映在接受率上，也反映在 FRLPC 率上。

And if I may, I just wanted to add to what EP just said, which is again part of our remarks. And Sanjay, good to talk to you again.

如果可以的話，我只想對 EP 剛才所說的話進行補充，這也是我們演講的一部分。Sanjay，很高興能再次與您交談。

I will say that in terms of our pricing power today in the market, I feel very, very confident to be able to deliver FRLPC -- the FRLPC numbers that we are projecting to talking about in Q3. I will say to you, just cut to the chase here, in our -- many of our top five accounts, we have a dominant share of their business. And we are realizing that our ability to work closely with them to increase our pricing power is actually very, very high.

我想說的是，就我們今天在市場上的定價能力而言，我對能夠提供 FRLPC（我們預計在第三季度討論的 FRLPC 數字）感到非常非常有信心。我會對你說，直接切入正題，在我們的前五個客戶中，我們佔據了他們業務的主導份額。我們意識到，我們與他們密切合作以提高定價能力的能力實際上非常非常高。

Great. Thanks for taking my question.

偉大的。感謝您提出我的問題。

Thank you. This concludes our question-and-answer session. I would now like to turn the conference back over to Gal Krubiner for closing remarks.

謝謝。我們的問答環節到此結束。現在我想將會議轉回由蓋爾·克魯賓納（Gal Krubiner）發表閉幕詞。

Thank you. So to close, I want to speak for a minute on our growing value proposition in the US lending ecosystem.

謝謝。最後，我想談談我們在美國貸款生態系統中不斷增長的價值主張。

We have truly a unique solution for lenders in the US that can add real value immediately. You're seeing this reflected in the additions of top banks and lenders to our network, the increasing fees we're earning, and the rapid pace of funding that we are bringing to our network.

我們為美國的貸方提供了真正獨特的解決方案，可以立即增加實際價值。您將看到這一點反映在我們的網路中頂級銀行和貸方的增加、我們賺取的費用不斷增加以及我們為我們的網路提供的資金的快速增長。

Thank you all for joining today, and I look forward to our continued partnership in the future.

感謝大家今天的加入，我期待未來能繼續合作。

Thank you. The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

謝謝。會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。