PSQ Holdings Inc (PSQH) 2024 Q3 法說會逐字稿

Greetings and welcome to Public Square's third quarter, 2024 earnings conference call and webcast.

歡迎參加 Public Square 2024 年第三季財報電話會議和網路廣播。

At this time, all participants are in a listen-only mode.

此時，所有參與者都處於只聽模式。

If anyone should require operator assistance during the conference, please press star followed by the number zero on your telephone keypad.

如果有人在會議期間需要接線員協助，請按電話鍵盤上的星號，然後再按數字零。

As a reminder, this conference is being recorded.

提醒一下，本次會議正在錄製中。

It is now my pleasure to introduce your host, William Kent VP of Investor Relations. Thank you. You may begin.

現在我很高興向您介紹主持人，投資者關係副總裁威廉·肯特 (William Kent)。謝謝。你可以開始了。

Good afternoon, everyone and welcome to Public Square's third quarter, 2024 earnings conference call. Joining me today are Michael Seiffert, Chairman and Chief Executive Officer and Brad Searle, Chief Financial Officer of Public Square.

大家下午好，歡迎參加 Public Square 2024 年第三季財報電話會議。今天與我一起出席的還有 Public Square 董事長兼執行長 Michael Seiffert 和財務長 Brad Searle。

Before we get started, we want to emphasize that the information discussed on this call including our outlook is based on information as of today and contains forward-looking statements that involve risks, uncertainties and assumptions.

在開始之前，我們想強調，本次電話會議中討論的資訊（包括我們的前景）基於截至目前的信息，並包含涉及風險、不確定性和假設的前瞻性陳述。

We undertake no duty or obligation to update such statements as a result of new information or future events.

我們不承擔因新資訊或未來事件而更新此類聲明的責任或義務。

Please refer to today's earnings press release and our sec filings including our most recent 10-Q 1,020 23 10-K for factors that may cause actual results to differ materially from our forward-looking statements. We'd also like to point out that we present nongaap measures in addition to and not as a substitute for financial measures calculated in accordance with GAAP. I'll now hand the call over to Michael Michael. Please go ahead.

請參閱今天的收益新聞稿和我們的 sec 文件，包括我們最近的 10-Q 1,020 23 10-K，以了解可能導致實際結果與我們的前瞻性陳述有重大差異的因素。我們還想指出的是，我們提出的非公認會計準則指標是根據公認會計原則計算的財務指標的補充，而不是替代方案。我現在將把電話轉給邁克爾·邁克爾。請繼續。

Thank you, will and welcome everybody to our third quarter. 2024 earnings call the third quarter was a pivotal period for public square as we shifted resources to prioritize our fintech opportunities, Fintech, meaning financial technology. With the aim of delivering the distinct business services, our merchants have been demanding to be more specific. Over the past two years, we have learned from our tens of thousands of merchants on our public square platform that they are desperately seeking payment infrastructure that will provide a cancel proof promise and reliable technology.

謝謝大家，歡迎大家來到我們的第三季。2024 年第三季的財報電話會議是 Public Square 的關鍵時期，因為我們轉移資源來優先考慮我們的金融科技機會，Fintech，意思是金融科技。為了提供獨特的商業服務，我們的商家一直要求更具體。在過去的兩年裡，我們從公共廣場平台上數以萬計的商家了解到，他們正在迫切尋求能夠提供取消證明承諾和可靠技術的支付基礎設施。

If you pair these findings with our desire to own and operate the entirety of the transaction experience, it makes sense that payments have become our primary focus as we enter Q4 2024 our focus on fintech is clearer than ever. This refined focus includes shifting our customer acquisition strategy to more of A B two B model and transitioning our marketplace to more of an affiliate fee based approach. Simply put the marketplace moving forward exists to drive customer and merchant acquisition and activation. While our payment stack and buy now pay later technology drive monetization of the ecosystem.

如果將這些發現與我們擁有和經營整個交易體驗的願望結合起來，那麼隨著進入2024 年第四季度，支付已成為我們的主要關注點，這是有道理的，我們對金融科技的關注比以往任何時候都更加明確。這種精細化的重點包括將我們的客戶獲取策略轉變為更多的 A B 2 B 模式，並將我們的市場轉變為更多基於聯盟費用的方法。簡而言之，市場的發展是為了推動客戶和商家的獲取和活化。我們的支付堆疊和先買後付技術推動了生態系統的貨幣化。

With a fintech team with decades of industry experience in under seven months. We have truly built a world class payments platform that has already proven its value in the market. And we're excited to tell you more about that here today, starting from zero and with less than 120 days of sales, we have now signed contracts that have the potential to result in over $1 billion in annualized GMV or gross merchandise value. And as we entered Q4 2024 we actually activated our first enterprise merchant who is expected to process more than $100 million annually on our public square payment platform. This incredible milestone ahead of schedule, speaks directly to the demand. We are meeting and the strength of our product for businesses of all sizes that resonate with our cancel proof promise and reliable technology. While the bulk of our contracted volume thus far comes largely from the shoot sports industry which is a largely unaddressed and ignored market. We have a strong representation of merchants in our pipeline from a myriad of different industries largely due to our public square merchant database of over 80,000 businesses that is actually industry agnostic.

擁有一支擁有數十年產業經驗的金融科技團隊，不到七個月的時間。我們真正建立了一個世界一流的支付平台，並已在市場上證明了其價值。今天，我們很高興在這裡向您介紹更多相關信息，從零開始，不到 120 天的銷售時間，我們現已簽署了有望帶來超過 10 億美元年化 GMV 或商品總價值的合約。當我們進入 2024 年第四季時，我們實際上啟動了我們的第一個企業商家，預計每年在我們的公共廣場支付平台上處理超過 1 億美元。這一令人難以置信的提前里程碑直接說明了需求。我們正在為各種規模的企業提供產品的優勢，這些企業與我們的取消證明承諾和可靠的技術產生共鳴。到目前為止，我們的大部分合約量主要來自射擊運動產業，這是一個很大程度上未被解決和忽視的市場。我們的管道中擁有大量來自不同行業的商家，這主要是因為我們的公共廣場商家資料庫包含超過 80,000 家企業，而該資料庫實際上與行業無關。

And when we talk about GM V and the billion dollar threshold that we have crossed, it's crucial for investors to understand how this potential GM V or annual processing volume can translate to top line revenue going forward for the over billion dollars currently under contract. We expect these merchants in their entirety to be integrated. Between Q4 and 24 and Q1 of 2025. With the full impact of revenue for these merchants being realized at the beginning of Q2 2025 we expect a blended take rate for this annual processing volume to be between 1.9 and 2.3%. So practically for every $1 billion of annual volume, we process, we expect to receive approximately 19 to $23 million in annualized top line revenue. One last item on this is that our take rates as we ramp our offering are not consistent across all of our merchant customers. That's the reason for the range. As our payments vertically scale, we expect to see upward movements in our take rates as we integrate more small and medium sized businesses from our existing ecosystem.

當我們談論 GM V 和我們已經跨越的 10 億美元門檻時，投資者必須了解這一潛在的 GM V 或年度處理量如何轉化為當前合約下超過 10 億美元的未來收入。我們期望這些商家能夠整體整合。2025 年第 4 季至第 24 季以及第 1 季。隨著這些商家收入的全面影響在 2025 年第二季初實現，我們預計年度處理量的混合利用率將在 1.9% 至 2.3% 之間。因此，實際上，我們每年處理的每 10 億美元交易量，預計將獲得約 1,900 至 2,300 萬美元的年化總收入。最後一點是，當我們增加產品時，我們所有商家客戶的接受率並不一致。這就是範圍的原因。隨著我們的支付垂直擴展，隨著我們從現有生態系統中整合更多中小型企業，我們預計我們的收費率將會上升。

Alongside these advancements, we've actually optimized our cost structure and sharpened and shapen our strategic direction for future growth.

除了這些進步之外，我們實際上還優化了成本結構，並強化和塑造了我們未來成長的策略方向。

In late October, we enacted a strategic plan where we reorganized vital business functions to improve efficiency, reducing our workforce by over 35% in the process. The strategic reorganization of the business is expected to save our company approximately $11 million on an annualized basis and is therefore expected to lower our cash burn meaningfully while positioning us to reach positive cash flows in 2025. While maintaining strong revenue growth, we expect cost savings associated with these changes to be realized beginning this month and for the full year 2025 looking toward 2025 we believe with our refined road map and reduced cash burn all three segments, meaning marketplace, fintech and brands including the public Square marketplace will achieve positive cash flows on a standalone basis during 2025. While maintaining strong growth and this solid foundation in our segment performance bolsters our confidence that we can actually become cash flow positive as an overall organization. By the latter half of 2025 we're thrilled for this next chapter of our growth and we are encouraged by the enthusiasm throughout our ecosystem from both our customers, meaning shoppers and our merchants.

10 月下旬，我們制定了一項策略計劃，重組了重要的業務職能以提高效率，在此過程中減少了超過 35% 的員工隊伍。該業務的策略重組預計將為我們公司每年節省約 1,100 萬美元，因此預計將顯著降低我們的現金消耗，同時使我們能夠在 2025 年實現正現金流。在保持強勁收入成長的同時，我們預計從本月開始以及2025 年全年將實現與這些變化相關的成本節約，展望2025 年，我們相信，透過完善路線圖並減少所有三個細分市場（即市場、金融科技和品牌）的現金消耗包括 public Square 市場在內的獨立市場將在 2025 年實現正現金流。在保持強勁成長的同時，我們部門業績的堅實基礎增強了我們的信心，即我們作為一個整體組織實際上可以實現正現金流。到 2025 年下半年，我們對新的成長篇章感到興奮，我們的客戶（即購物者和商家）對整個生態系統的熱情也讓我們深受鼓舞。

So to break this down further, for a few key highlights from across our segments that embolden our view that the business is well positioned for future growth. I will start with payments at public square payments. We have developed a fully cancel proof payment stack with advanced tokenization and secure wallet technology to protect customer data. This has been a major selling point as we are serving businesses that are very focused on the security of their customer data.

因此，為了進一步細分，我們各個細分市場的一些關鍵亮點增強了我們的觀點，即該業務已為未來的成長做好了準備。我將從公共廣場付款開始。我們開發了一個完全取消證明的支付堆疊，具有先進的標記化和安全錢包技術，以保護客戶資料。這是一個主要賣點，因為我們為非常注重客戶資料安全的企業提供服務。

We've secured contracts that could potentially result in over $1 billion in annualized GM V which is ahead of our goal of achieving this billion dollar threshold by the Christmas shopping season.

我們已經獲得了可能導致年化 GM V 價值超過 10 億美元的合同，這超出了我們在聖誕節購物季之前實現 10 億美元門檻的目標。

We activated our 1st $100 million plus merchant on the Public Square payments platform last month. And additionally, as we look at the pipeline. Approximately 80% of our company's sales pipeline stem from existing buy. Now pay later merchants or public square marketplace, merchants who are values aligned and have actively sought out our payment stack on the credit side of the business. The buy now pay later functionality. We have signed contracts that could potentially result in $5.8 billion in annualized GM V. Year-to-date with billions more currently under negotiation year-to-date, we have facilitated $53 million in consumer financing transactions with an average contract value of $1024.

上個月，我們在 Public Square 支付平台上啟動了第一個價值超過 1 億美元的商家。此外，當我們觀察管道時。我們公司大約 80% 的銷售管道來自現有購買。現在向後來的商家或公共廣場市場付款，這些商家的價值觀一致，並在業務的信貸方面積極尋找我們的支付堆疊。先買後付功能。我們已經簽署了可能導致 GM V 年化價值 58 億美元的合約。年初至今，我們已促成了 5,300 萬美元的消費者融資交易，平均合約價值為 1,024 美元，目前正在談判的金額達數十億美元。

Buy. Now pay later for us generated approximately $3.2 million in net revenue in Q3 2024 and attracted over 200,000 applications in our marketplace segment. We made the choice around the mid year to switch to a CPM model for advertising and moved more away from a subscription model which helps significantly automate the advertising experience for both merchants and our team reducing expenses in the process. Also on the marketplace, we saw 13% growth in order volume from Q2 2024 to Q3 2024. And now that we've invested in the foundation of the marketplace, we were subsequently able to reduce costs and focus on breaking even with the marketplace in the near term.

買。Now pay after for us 在 2024 年第三季產生了約 320 萬美元的淨收入，並在我們的市場領域吸引了超過 200,000 個應用程式。我們在年中左右決定切換到 CPM 廣告模式，並進一步放棄訂閱模式，這有助於顯著自動化商家和我們團隊的廣告體驗，從而減少在此過程中的費用。同樣在市場上，我們發現從 2024 年第二季到 2024 年第三季訂單量增加了 13%。現在我們已經投資了市場的基礎，我們隨後能夠降低成本並專注於在短期內與市場實現收支平衡。

Simply put, we have built the ecosystem that can now generate customers and merchants for us. And it's time to monetize that marketplace engine on the brands division, every life, our premium diapers and wipes brand that celebrates every miracle of life. Our revenue grew quarter over quarter 14% and year over year grew 126%.

簡而言之，我們已經建立了一個生態系統，現在可以為我們產生客戶和商家。現在是時候將品牌部門、每個生命、我們慶祝每個生命奇蹟的優質尿布和濕紙巾品牌的市場引擎貨幣化了。我們的營收季增 14%，年增 126%。

We also experienced significant subscriber growth. Our active subscriber base grew 18% from Q224 to Q324. Our repeat customer rate at the end of Q3 was an astonishing 76% total orders with every life increased 14% from Q2 to Q3. And our nonprofit partnerships, meaning churches, pregnancy centers, other affiliated pro-life and profamily nonprofit organizations. Our nonprofit partnerships grew 49% quarter over quarter with every life ending Q3 with 866 verified nonprofit partners.

我們也經歷了用戶的顯著成長。從 2024 年第二季到 2024 年第三季度，我們的活躍用戶群成長了 18%。第三季末，我們的回頭客率達到驚人的 76%，訂單總數比第二季到第三季增加了 14%。還有我們的非營利合作關係，即教會、懷孕中心、其他附屬的反墮胎和支持家庭非營利組織。在第三季末，我們的非營利合作夥伴關係較上季成長了 49%，共有 866 個經過驗證的非營利合作夥伴。

October as a subsequent event was the 1st month that we actually eclipsed over $1 million in every life sales. And finally, the number of diapers and Ws donated through our Buy for a cause program. With the help of our devoted customers inception to date totals over 2.5 million wipes and over 3 million diapers to mothers and fathers in need, looking to care for the next generation.

作為後續事件，10 月是我們每筆壽險銷售額實際超過 100 萬美元的第一個月。最後，透過我們的「Buy for a Cause」計畫捐贈的尿布和 W 的數量。在我們忠實客戶的幫助下，迄今為止，我們已向有需要的母親和父親提供了超過 250 萬張濕紙巾和超過 300 萬張尿布，以照顧下一代。

So we went through payments, credit marketplace and every life and it's safe to say it's a truly exciting season for Public Square. We firmly believe that our fintech positioning will strengthen us long term by allowing us to pursue multiple monetization opportunities coupled with meaningful leverage of our existing merchant base.

我們經歷了支付、信貸市場和每一個生活，可以肯定地說，這對 Public Square 來說是一個真正令人興奮的季節。我們堅信，我們的金融科技定位將使我們能夠尋求多種貨幣化機會，並充分利用我們現有的商業基礎，從而長期增強我們的實力。

With that said, I will now turn the call over to Brad to discuss financial highlights from the quarter, Brad over to.

話雖如此，我現在將電話轉給布拉德，討論本季的財務亮點，布拉德轉給。

Thank you, Michael and good afternoon everybody. I'm honored to be with you here today to discuss our third quarter. 2024 results. I'd like to present a few items to note from the quarter. Starting with revenue. We increased net revenue by 222% to $6.5 million compared to the third quarter in 2023. Breaking that down a bit, $3.2 million of this came from fintech segment. Keeping in mind that this revenue is only from the buy. Now pay later transactions as payments revenue will not hit our statement of operations or our P&L until Q4, every life generated $2.6 million of net revenue. An increase of 126% from Q3 2023 which was the quarter in which we launched every life. Our overall gross margin expanded year over year from 27% to 64% due in large part to the high margin revenue on credit products in the fintech segment.

謝謝邁克爾，大家下午好。我很榮幸今天能在這裡與大家一起討論我們的第三季。2024 年結果。我想介紹本季需要注意的一些事項。從收入開始。與 2023 年第三季相比，我們的淨收入成長了 222%，達到 650 萬美元。細分來看，其中 320 萬美元來自金融科技領域。請記住，該收入僅來自購買。現在支付稍後交易，因為支付收入直到第四季度才會影響我們的營運報表或損益表，每個人壽產生 260 萬美元的淨收入。與 2023 年第三季（我們推出每種生活的季度）相比成長了 126%。我們的整體毛利率年比從 27% 成長至 64%，這在很大程度上歸功於金融科技領域信貸產品的高利潤收入。

Speaking of segments, you will notice that we made a change in our segment footnote to split out corporate operating expenses that are not directly attributable to a specific segment.

說到分部，您會注意到我們對分部腳註進行了更改，以將不直接歸屬於特定分部的公司營運費用分開。

So these expenses include but are not limited to outside counsel and board fees, public company expenses such as quarterly and annual report, filing fees and insurance for directors and officers, excluding these corporate operating expenses, our Q3 adjusted ebita loss for the three segments was $4.4 million. Please note the PNL includes stock based compensation expense, a non cash item of $5.8 million in Q3.

因此，這些費用包括但不限於外部顧問和董事會費用、上市公司費用（例如季度和年度報告）、備案費以及董事和高級管理人員的保險，不包括這些公司營運費用，我們第三季調整後三個部門的息稅前利潤損失為440萬美元。請注意，PNL 包括基於股票的補償費用，這是第三季 580 萬美元的非現金項目。

As we are very much still a growth company, we expect stock comp to remain a significant, a significant expense on our P&L for the foreseeable future.

由於我們仍然是一家成長型公司，因此我們預計在可預見的未來，股票補償仍將是我們損益表中的一項重大支出。

Moving on to cash. We ended the third quarter, 2024 with cash and cash equivalents of $5.7 million of which $1 million was restricted cash.

轉向現金。截至 2024 年第三季末，我們的現金及現金等價物為 570 萬美元，其中 100 萬美元為限制性現金。

During the quarter, we completed a private placement for a $10 million convertible note with a board member and his affiliates. And in early Q4, we closed a pipe of $5.35 million led by a board member as well.

本季度，我們與一名董事會成員及其關聯公司完成了 1000 萬美元可轉換票據的私募。在第四季初，我們還關閉了由董事會成員領導的 535 萬美元管道。

During the quarter, we had $1.2 million of cash outflow related to the Public Square Business Summit which was booked to prepaid expenses and other assets and thus did not impact the P&L approximately 900,000 of the cash outflow was returned to us in October after the cancellation of the summit due to hurricane Milton.

本季度，我們有120 萬美元與公共廣場商業高峰會相關的現金流出，該現金流出已記入預付費用和其他資產，因此不會影響損益表。給我們。

One significant item I want to reiterate from Michael's previous remarks is that management and the board have enacted a plan to significantly reduce spending on payroll on contractors and on corporate operating expenses overall, the plan is expected to save an estimated $11 million annually as we streamline efforts to focus on B two B opportunities in the fintech segment.

我想從邁克爾之前的言論中重申的一個重要事項是，管理層和董事會已經制定了一項計劃，以大幅減少承包商的工資支出和整體公司運營支出，隨著我們的精簡，該計劃預計每年節省約1,100 萬美元努力專注於金融科技領域的 B 2 B 機會。

Lastly, in terms of share count as of September 30th 2024 we had 29,451,684 class a common shares outstanding and 3,213,678 class C common shares outstanding.

最後，就截至 2024 年 9 月 30 日的股份數量而言，我們已發行的 A 類普通股為 29,451,684 股，已發行的 C 類普通股為 3,213,678 股。

I will now hand the call back to Michael for some closing remarks. And Q&A.

現在我將把電話轉回給邁克爾，讓他發表一些結束語。以及問答。

Thank you, Brad.

謝謝你，布拉德。

Well, to wrap up as we look to the future, we are dedicated to expanding our fintech offerings with a strategic emphasis on sustainable growth, customer engagement and values alignment. We have found an unaddressed market that we have a unique opportunity to go and reach and we intend to do so with quality and excellence at the forefront and thankfully in the first few months of our payments, as we are already seeing that reflected in the responses we are receiving from merchants 2025 will present us with a unique opportunity to bolster our existing business and build upon the solid foundation. We have set this past year. We aim to increasingly market our buy now pay later and payment processing solutions bolstering our cancel proof ecosystem to meet the demands of values aligned merchants and consumers. We will also be working to achieve a seamless integration of our fintech suite of solutions across our merchant network to offer this unified cancel proof and largely automated experience.

總而言之，展望未來，我們致力於擴展我們的金融科技產品，策略重點是永續成長、客戶參與和價值觀一致。我們發現了一個尚未解決的市場，我們有一個獨特的機會去進入這個市場，我們打算以品質和卓越為先，值得慶幸的是，在我們付款的頭幾個月裡，我們已經看到這一點反映在回覆中我們收到來自商家的回饋，2025 年將為我們提供一個獨特的機會來加強我們現有的業務並在堅實的基礎上再接再厲。我們在過去的一年裡設定了這個目標。我們的目標是越來越多地行銷我們的「先買後付」和支付處理解決方案，以支援我們的取消證明生態系統，以滿足價值一致的商家和消費者的需求。我們還將努力在整個商家網路中實現金融科技解決方案套件的無縫集成，以提供統一的取消證明和高度自動化的體驗。

Importantly, we will also be working on monetizing our customer life cycle by optimizing revenue from customer interactions throughout the customer experience. From the initial point of purchase with the merchant on the merchant site all the way to repeat transactions within the public square marketplace. Finally, we will work to expand our B two B centric model, leveraging our merchant partnerships to generate more customers, organically increasing lifetime value while significantly reducing customer acquisition costs, simply put, we have built the engine. Now as we head into 2025 we focus on monetizing it. We firmly believe that these key steps will allow us to not only grow our top line in 2025 but also allow us to achieve cash flow positivity across all segments and the combined business in 2025. Our journey thus far has been a remarkable one as we've had the opportunity to serve millions of consumers and tens of thousands of business owners who value life, family freedom, and patriotism across our great country in just a few short years. And we look forward to continuing our success in attaining new milestones along the way with a significant electoral win. Last week, we have fresh wind in our sails and we're anticipating major moves for our business as we head forward into 2025 for the economy as a whole. And for our business specifically, we are focused on changing the country through the power of commerce. And we're glad to have you on the journey with us without further ado. Let's now head to question and answers.

重要的是，我們還將致力於透過優化整個客戶體驗中客戶互動的收入來實現客戶生命週期的貨幣化。從最初在商家網站上與商家進行購買，一直到在公共廣場市場內重複交易。最後，我們將努力擴展我們以B 2 B 為中心的模式，利用我們的商家合作夥伴關係來產生更多客戶，有機地增加終身價值，同時顯著降低客戶獲取成本，簡單地說，我們已經構建了引擎。現在，當我們進入 2025 年時，我們的重點是貨幣化。我們堅信，這些關鍵步驟不僅能讓我們在 2025 年實現營收成長，還能讓我們在 2025 年實現所有部門和合併業務的正現金流。到目前為止，我們的旅程是一段非凡的旅程，因為我們有機會在短短幾年內為我們偉大國家的數百萬消費者和數以萬計珍惜生命、家庭自由和愛國主義的企業主提供服務。我們期待在選舉中取得重大勝利，繼續取得新的里程碑。上週，我們迎來了新的風帆，隨著我們的整體經濟邁入 2025 年，我們預計我們的業務將出現重大變化。具體到我們的業務，我們專注於透過商業的力量改變國家。我們很高興您能與我們一起踏上旅程，無需多言。現在讓我們進入問答環節。

Thank you. At this time. If you would like to ask a question, please press star fall by the number one on your telephone keypad. Once again, that is star fall by the number one on your telephone keypad.

謝謝。此時。如果您想提問，請按下電話鍵盤上數字 1 旁的星號。再一次，這就是你電話鍵盤上的第一個星星的跌倒。

Our first question comes from the line of Darren Aftahi with Roth Capital. Your line is open.

我們的第一個問題來自達倫·阿夫塔希（Darren Aftahi）與羅斯資本（Roth Capital）的關係。您的線路已開通。

Hey guys, thanks for taking my questions. Good afternoon. Few, if I may 1st of all, I guess Michael, you kind of teased this at the end of your comments. Just obviously the election recently Consummated just any impact on your business kind of short term, longer term as we, we kind of move into the new administration.

嘿夥計們，謝謝你回答我的問題。午安.很少，如果我可以的話，首先，我想邁克爾，你在評論的最後有點嘲笑這一點。顯然，最近的選舉對您的業務產生了任何短期影響，從長期來看，我們即將進入新政府。

Thank you, Darren. Great to hear from you. We are obviously thrilled as an economic actor that seeks the prosperity of the American economy and the growth and vitality of American communities. We feel a great deal of hope coming out of the election last week for our business specifically, we feel like we have wind in the sails, we feel like we have fresh energy as we head into 2025 and I'll give a few practical examples. One is, you know, for the last few years, we've been talking as a company about the beauty of a marketplace that's focused on meritocracy, excellence, innovation, a love of country and community. Now that we have seen these same values reflected in the election results. We feel like we get to be the economic manifestation of the electoral victory that took place last week. And we've already seen that drive growth for our business even in the past seven days. So number one is, we have obviously celebrated this message that I think was reflected very clearly in the election results last week. And so we don't feel like a sidebar economic actor. We feel like we really represent the mainstream American viewpoint at this point. The second thing I'd mention that obviously, for our business, given how much we operate in spaces like the firearms and ammunition industry, it's refreshing to know that we have an administration coming into office in 2025 that seems to value that industry with greater affection. And so as we look to the regulatory environment, we are excited about the decrease of the administrative state and how that might positively impact our business. And ultimately, we believe that as we head into 2025 with our emphasis on American small businesses in our community, paired with some of the messages out of the incoming Trump administration that they want to value those same American small businesses as well. We think we can be a great catalyst and a real pioneer of the next chapter of the American economy's growth for the small business community and main Street America specifically. So we're happy over here, Darren and we're looking forward to the hopeful economic growth that we hope to experience over the course of the coming years for our business, but also the broader macro economy in general.

謝謝你，達倫。很高興收到你的來信。作為一個尋求美國經濟繁榮以及美國社區成長和活力的經濟參與者，我們顯然感到很興奮。上週的選舉給我們帶來了極大的希望，特別是對我們的業務，我們感覺風帆正揚，我們感覺在邁向 2025 年時擁有新鮮的活力，我將舉幾個實際例子。一是，你知道，在過去的幾年裡，作為一家公司，我們一直在談論一個專注於精英管理、卓越、創新、對國家和社區的熱愛的市場之美。現在我們已經看到這些相同的價值觀反映在選舉結果中。我們覺得我們將成為上週選舉勝利的經濟體現。即使在過去 7 天裡，我們也已經看到這推動了我們業務的成長。第一，我們顯然已經慶祝了這個訊息，我認為這在上週的選舉結果中得到了非常明確的體現。因此，我們並不覺得自己是個邊線經濟演員。我們覺得現在確實代表了美國的主流觀點。我要提到的第二件事顯然是，對於我們的業務來說，考慮到我們在槍支彈藥行業等領域的業務量，令人耳目一新的是，我們的政府將於2025 年上任，似乎更加重視該行業感情。因此，當我們關注監管環境時，我們對行政狀態的減少以及這可能對我們的業務產生的積極影響感到興奮。最終，我們相信，當我們進入 2025 年時，我們將專注於社區中的美國小型企業，同時即將上任的川普政府也發出了一些訊息，即他們也希望重視這些美國小型企業。我們認為，我們可以成為美國經濟成長新篇章的偉大催化劑和真正的先驅，特別是對於小企業界和美國大街而言。因此，達倫，我們在這裡很高興，我們期待我們的業務在未來幾年內實現充滿希望的經濟成長，同時也期待更廣泛的宏觀經濟。

Great, thanks for that a couple more if I may. So on, on the fintech side, you mentioned a few figures on pipeline, one was kind of the billion dollar annualized figure. And then I think you mentioned on payments 5.8 billion. I I'm just kind of curious collectively, what does that represent relative to existing merchants versus perspective?

太好了，如果可以的話，謝謝你再多說幾句。那麼，在金融科技方面，您提到了一些正在醞釀中的數字，其中一個是十億美元的年化數字。然後我想你提到了付款58億。我只是集體好奇，相對於現有商家和觀點而言，這代表什麼？

Great question Darren. So on the payment side of the business, public square payments, the billion dollar threshold of contracted expected GM V is actually entirely representative from businesses that are already in our community, meaning these were not cold leads that existed outside of the Public Square or Cordova existing ecosystem. So this speaks to the health of our pipeline, that much of our early traction is actually coming from folks that already trust us, whether that's a trust that they've developed through the onboarding onto the public square marketplace or the utilization of the consumer financing products through the Cordova buy. Now pay later business. So out of the billion, all of those merchants are actually represented from the existing ecosystem. We have already ascertained I would also speak to the near term pipeline that that is very much the same. In fact, I mentioned a figure here in the earlier earnings call comments about how over 80% of our entire pipeline right now comes from existing merchants within the Public Square or Cordova ecosystem. We have not had to focus on going out and paying for external leads. So when we speak to decreased customer acquisition costs on the merchant side, this is obviously a big win for us and we feel that it's truly a differentiator compared to our competitors in the fintech ecosystem. We started with the audience and now as we monetize it, we're not having to go out and find green pastures that we have not yet spoken to. We are actually targeting a network of merchants that already trust us for existing services.

好問題達倫。因此，在業務的支付方面，公共廣場支付，合約預期GM V 的十億美元門檻實際上完全代表了我們社區中已有的企業，這意味著這些不是公共廣場或科爾多瓦之外存在的冷線索。因此，這說明了我們管道的健康狀況，我們早期的大部分吸引力實際上來自已經信任我們的人們，無論是他們透過進入公共廣場市場還是利用消費者融資而建立的信任產品透過Cordova購買。現在付款以後做生意。因此，在這十億商家中，所有這些商家實際上都來自現有的生態系統。我們已經確定，我也會對近期的管道說，這是非常相同的。事實上，我在先前的財報電話會議評論中提到了一個數字，即我們目前整個管道的 80% 以上來自 Public Square 或 Cordova 生態系統內的現有商家。我們不必專注於走出去並為外部線索付費。因此，當我們談到商家方面降低客戶獲取成本時，這對我們來說顯然是一個巨大的勝利，我們認為與金融科技生態系統中的競爭對手相比，這確實是一個差異化因素。我們從觀眾開始，現在當我們將其貨幣化時，我們不必出去尋找我們尚未交談過的綠色牧場。我們的目標實際上是一個已經信任我們現有服務的商家網路。

So on that point, in order to hit your fintech goals, let's just say in the next 15 months to the end of 25 what sort of investment do you need to make? If any into that business?

那麼在這一點上，為了實現您的金融科技目標，我們可以說在接下來的 15 個月到 25 年底之間您需要進行什麼樣的投資？如果有從事該業務的人嗎？

I will say very little. We have actually spent much of the investment capital into developing both the product itself as well as the sales engine to go and attract the existing merchants within our ecosystem in Q3. So our customer acquisition cost on the 80,000 businesses now that we have the sales team spun up is zero, we're not having to spend money to attract the merchants that are already in our ecosystem. And much of the early development work on the actual core payments platform has been completed. So while we anticipate that we will continue to obviously invest in refinement to the platform in the years to come, we never want to stop the continued improvements of our core platform. Much of the heavy lifting has actually been completed and that's why we feel comfortable processing billions on the platform that we have now invested in to build. The other piece that I would mention is that you gave the 15 month time frame. I would tell you that we are actually very comfortable, confident and content for the next 15 months, solely focusing our sales efforts toward merchants that are already in our ecosystem. So even over the next 15 months to go and achieve our payment goals, we do not anticipate that we will have to go outside of our existing audience to attract the desired GM V and respective revenue associated with those merchants.

我會說很少。實際上，我們在第三季花費了大量投資資金來開發產品本身以及銷售引擎，以吸引我們生態系統中的現有商家。因此，既然我們已經組建了銷售團隊，那麼我們在 80,000 家企業上的客戶獲取成本就為零，我們不必花錢來吸引已經進入我們生態系統的商家。實際核心支付平台的大部分早期開發工作已經完成。因此，雖然我們預計未來幾年我們將繼續明顯投資於平台的改進，但我們永遠不想停止對核心平台的持續改進。大部分繁重的工作實際上已經完成，這就是為什麼我們對在我們現在投資建設的平台上處理數十億美元感到放心。我要提到的另一件事是您給出了 15 個月的時間範圍。我想告訴你的是，在接下來的 15 個月裡，我們實際上非常自在、自信和滿足，我們只將銷售工作重點放在我們生態系統中已經存在的商家上。因此，即使在未來 15 個月內實現我們的支付目標，我們預計也不需要走出現有受眾群體來吸引所需的 GM V 以及與這些商家相關的相應收入。

Yeah, that's helpful. I see more if I may maybe for Brad O on the cost savings side, the the annualized $11 million. I I know you guys had spent on some professional fees and consulting along the way. So I I guess I'm just trying to contextualize the run rate of $11 million in cost savings, I assume sort of starts fully. Gen one of next year but can you help me understand? It's $11 million run rate off of kind of like what, what level of cost?

是的，這很有幫助。我對 Brad O 的成本節省方面了解更多，即年化 1,100 萬美元。我知道你們一路上花了一些專業費用和諮詢費用。所以我想我只是想將 1100 萬美元的成本節省的運行率放在背景中，我認為這已經完全開始了。明年第一代，但你能幫我理解嗎？營運費用為 1100 萬美元，成本水平如何？

Yeah, good question Darren. This is Brad. We're actually starting to see those savings. We have been for about a month now. So we had this reduction in force last month and there's a little bit of severance to pay out as was mentioned in the queue.

是的，達倫，問得好。這是布拉德.我們實際上已經開始看到這些節省。我們已經待了大約一個月了。因此，我們上個月減少了人力，並且需要支付一些遣散費，正如隊列中提到的那樣。

But that's the majority of the cost savings. So that's about just over half of those savings are related to personnel as we focus on the B two B segment or the B two B focus the fintech segment. Of course. And like Michael said, the customer acquisition cost is virtually zero because we already have these businesses in one of the segments. It's just transitioning them to offer them services that another segment can provide. So that that's a big chunk. Another one like you mentioned is contractors, consultants. We're starting to bring a lot in house as we have more based on our plate to take on additional things that we used to outsource. We're learning, we've been a public company for over a year now.

但這是節省的大部分成本。因此，其中大約一半以上的節省與人員有關，因為我們專注於 B 2 B 細分市場或 B 2 B 專注於金融科技細分市場。當然。正如邁克爾所說，客戶獲取成本幾乎為零，因為我們已經在其中一個細分市場擁有這些業務。它只是將他們轉變為向他們提供其他部門可以提供的服務。所以這是一個很大的塊。你提到的另一種是承包商、顧問。我們開始在內部引入很多東西，因為我們有更多的基於我們的盤子來承擔我們過去外包的額外事情。我們了解到，我們成為上市公司已經一年多了。

So we see we're seeing some savings there and then just general tightening the belt if you will and looking at every dollar that's being spent and saying, can we get something that's more affordable, that has a higher ro I So overall that $11 million is a significant part of our burn. If you look at our adjusted EBITDA, as I mentioned, of course, taking out corporate OpEx, it's $4.4 million. So you're looking at $1.5 million max a month in Q in Q3 of cash burn. Of course, this is back in the napkin math. If you take $11 million annualized out, that's a million of spend per month per month, that's no longer there. So it's, it's taking place right now. But you're correct in that the full cost will be annualized. We'll achieve that in 2025.

所以我們看到我們在那裡看到了一些節省，然後如果你願意的話，就普遍勒緊褲腰帶，看看所花的每一美元，然後說，我們能否得到一些更實惠、投資回報率更高的東西，所以總的來說，1100萬美元是我們燒傷的重要組成部分。當然，正如我所提到的，如果您看看我們調整後的 EBITDA，扣除企業營運支出，則為 440 萬美元。因此，您會看到第三季每月最多 150 萬美元的現金消耗。當然，這又回到了餐巾紙上的數學計算中。如果你每年拿出 1,100 萬美元，那麼每個月的支出就不再是 100 萬美元。所以，它現在正在發生。但你是對的，全部成本將按年計算。我們將在 2025 年實現這一目標。

And then I guess, and this might be in the queue. I know you guys just filed it but I can't multitask right now. How should we think about gross margins, high level on your fintech product?

然後我猜，這可能在隊列中。我知道你們剛剛提交了它，但我現在無法同時處理多項任務。我們該如何考慮金融科技產品的毛利率和高水準？

Yeah. Happy to take that one. And then Michael, you can fill in after if you'd like for credit. It's the reason that we had the growth in margin from 27 to 64% year over year was mainly due to the fintech segment. It was purely credit and those are, that revenue is pretty much purely margin. So when you look at there's three different streams of revenue within credit, all of them are 99%. Plus there's some servicing and underwriting costs that are cost of revenue on payments. On the other hand, it's a little different. So payments, the take rate as Michael mentioned 1.9 to 2.3% is anywhere between 10 and 20%. And it depends on the size of the merchant. So higher merchants generally yield a lower margin and vice versa as well. So that's kind of what we're looking on the fintech segment on the brand segment. It remained pretty stagnant from Q2. We expect to see that increase slightly just as we scale over time and get those kind of bulk discounts as you will and then the marketplace segment should remain fairly steady as well. Those are kind of all fixed costs and a lot of the 35% headcount reduction was cost of sales related to the marketplace. But we should see that improving, moving forward, Michael, anything to add there.

是的。很高興接受那個。然後，邁克爾，如果您想獲得榮譽，可以在後面填寫。我們的利潤率年增從 27% 成長到 64%，主要歸功於金融科技領域。這純粹是信貸，收入幾乎純粹是利潤。因此，當您查看信貸中的三種不同收入來源時，您會發現它們都是 99%。另外，還有一些服務和核保成本，這些成本都是付款收入成本。另一方面，又有些不同。因此，麥可提到的付款率為 1.9% 至 2.3%，收視率為 10% 至 20% 之間。這取決於商家的規模。因此，較高的商家通常會產生較低的利潤，反之亦然。這就是我們在品牌領域的金融科技領域所關注的。自第二季以來，它仍然相當停滯。我們預計，隨著我們隨著時間的推移擴大規模並獲得大量折扣，這一數字將會略有增加，然後市場部分也應該保持相當穩定。這些都是固定成本，而 35% 的員工減少有很大一部分是與市場相關的銷售成本。但我們應該看到進步，前進，邁克爾，任何可以補充的東西。

Yeah, I would just add that on the payments margin.

是的，我只想在付款保證金上加上這一點。

So obviously, yes, the take rate 1.9 to 2.3% for this first over a billion tranche with a margin of about 10 to 20%. We scale into a greater margin over time as we bring more of the services associated with payments in house. We're looking forward to that as well as the focus on more s and bty merchants that yield a higher margin for the business. So we are anticipating that payments over time becomes a business vertical with virtually no margin cap. That's our goal is that as we build over the next 2 to 3 to 5 years, we see the Hallmark of our success as reflected in the greater margin that we're actually taking home on these payments transactions. And then I would also mention to put a fine point on Brad's comments, the margin on the brand segment should increase heading into Q4 with the launch of additional skews and bundled products like soaps, lotions, training pants, et cetera for the Everylife brand.

很明顯，是的，第一批超過 10 億美元的收益率為 1.9% 至 2.3%，利潤率約為 10% 至 20%。隨著時間的推移，我們會提供更多與內部支付相關的服務，從而獲得更大的利潤。我們期待這一點，並專注於更多能為業務帶來更高利潤的商家。因此，我們預計隨著時間的推移，支付將成為一個幾乎沒有利潤上限的垂直業務。我們的目標是，隨著我們在未來 2 到 3 到 5 年的發展，我們看到了我們成功的標誌，這反映在我們在這些支付交易中實際獲得的更大利潤中。然後我還要提一下布拉德的評論，隨著 Everylife 品牌推出額外的傾斜和捆綁產品，如肥皂、乳液、訓練褲等，進入第四季度，該品牌細分市場的利潤應該會增加。

It's I'll pass it on. Thanks.

是我就傳給你吧謝謝。

Thank you.

謝謝。

Our next question comes from the line of Barry Haimes with Sage Asset Management. Your line is open.

我們的下一個問題來自 Sage Asset Management 的 Barry Haimes。您的線路已開通。

Thanks so much and lots of exciting changes. I just want to be sure, I understand them. So I totally get that. You're trying to get the merchants onto the payment system.

非常感謝，還有很多令人興奮的變化。我只是想確定，我理解他們。所以我完全明白。您正試圖讓商家進入支付系統。

When, when a merchant goes on your payment system, is it for what they sell on your site or generally everything that they sell wherever else they may sell? That's one question and, and for someone who doesn't take your payments is their experience with you the same as it has been and is the consumer experience on marketplace the same as it has been. So, that's my first question. I have 11 quick followup.

當商家進入您的支付系統時，是為了他們在您網站上銷售的商品，還是為了他們在其他地方銷售的所有商品？這是一個問題，對於那些不接受您付款的人來說，他們對您的體驗是否與以前一樣，市場上的消費者體驗是否與以前一樣。這是我的第一個問題。我有 11 個快速跟進。

Great. Thank you, Barry. Great to hear from you. I'll, I'll start with the question around is payments. When we onboard, a merchant purely for their representation on our marketplace or for their own site. This is actually their own website. So when we have a merchant join us, for example, last month, we sent our first major enterprise merchant live and we expect that they will process over $100 million annually with us that is processing that's actually taking place on their checkout on their website. So that's not referring to their experience on the public square marketplace. This is very advantageous for us obviously, because we have the opportunity to process the payments on the merchants own websites where they conduct the vast majority of their own transactions. And it also allows for unique marketing opportunities where we can actually help businesses that have a presence on our own website, but have their own websites. Also, we can actually monetize transactions and bring awareness to those business vendors both on our site as well as off our site as a more holistic partner. So we no longer see a merchant just as they're represented on public square or utilizing the Cordova buy. Now pay later technologies, we actually also get to have a major part in the merchant's journey on their own website as they conduct the growth of their own business. That's number one. So when we say over a billion in expected contracted GM V volume, what we mean is that that's a billion dollars of sales annualized that are taking place on these businesses own websites. To address your second question, the consumer experience on the marketplace, you won't notice any changes. We still have our one card checkout and consumers are still able to transact through that checkout system. Merchants are also able to link their products to our checkout system where we take a blended take rate of about 8% on those transactions that consumers take part in with our merchants that are listed with our Public Square technology on the marketplace. And the final thing that I would mention is that while you won't notice any changes that we have planned for that consumer experience, the merchant experience, we plan to evolve as we head into 2025. You know, one challenge we've had on the Public Square marketplace to date is that we make our money on the marketplace side of things, we generate revenue from either advertising or from the take rate at the point of sale checkout at publics square dotcom. But what happens is that there are a large quantity of businesses on our platform that have a listing but do not have their products linked to our checkouts. So historically, we've had a hard time monetizing those folks because you can have a free listing that doesn't necessarily mean you advertise and it doesn't necessarily mean that you're linked to our one cart checkout. So in my remarks earlier in the earnings call, when I talked about us trying to create a real priority here in the next two quarters for developing an affiliate fee based approach that's really targeted the merchants that have a presence on our site, but don't have products linked to our checkout. Our goal as we move forward with the marketplace is that we would be able to create an affiliate system where merchants list their company on our public square dotcom marketplace. Consumers can see that listing. And even if the consumers go off to the merchant's own website, we are still monetizing that transaction by essentially acting as an affiliate of the merchant.

偉大的。謝謝你，巴里。很高興收到你的來信。我將從付款問題開始。當我們加入時，商家純粹是為了他們在我們的市場或他們自己的網站上的代表。這實際上是他們自己的網站。因此，當我們有一個商家加入我們時，例如，上個月，我們向我們的第一個大型企業商家發送了實時信息，我們預計他們每年將與我們一起處理超過1 億美元的交易，這些處理實際上是在他們的網站結帳時進行的。所以這並不是指他們在公共廣場市場的經驗。顯然，這對我們來說非常有利，因為我們有機會在商家自己的網站上處理付款，他們在網站上進行絕大多數交易。它還提供了獨特的行銷機會，我們可以真正幫助那些在我們自己的網站上有業務但擁有自己的網站的企業。此外，我們實際上可以將交易貨幣化，並作為更全面的合作夥伴提高我們網站上和網站外的業務供應商的知名度。因此，我們不再像商人在公共廣場上或利用科爾多瓦購買那樣看到他們。現在支付稍後的技術，我們實際上也可以在商家自己網站上的旅程中發揮重要作用，因為他們進行自己的業務成長。這是第一名。因此，當我們說 GM V 的預期合約銷售超過 10 億美元時，我們的意思是這些企業自己的網站上發生的年銷售額達 10 億美元。為了解決你的第二個問題，即市場上的消費者體驗，你不會注意到任何變化。我們仍採用一卡結帳方式，消費者仍可透過此結帳系統進行交易。商家也能夠將他們的產品連結到我們的結帳系統，對於消費者與我們的商家（在市場上使用我們的 Public Square 技術列出的商家）進行的交易，我們收取約 8% 的混合佣金。我要提到的最後一件事是，雖然您不會注意到我們為消費者體驗和商家體驗計劃的任何變化，但我們計劃在進入 2025 年時不斷發展。您知道，到目前為止，我們在 Public Square 市場上遇到的一個挑戰是，我們在市場方面賺錢，我們透過廣告或 publics square dotcom 銷售點結帳時的收款率產生收入。但實際情況是，我們的平台上有大量企業有列表，但他們的產品沒有連結到我們的結帳。因此，從歷史上看，我們很難透過這些人獲利，因為你可以擁有一個免費列表，但這並不一定意味著你在做廣告，也不一定意味著你連結到我們的一車結帳。因此，在我早些時候在財報電話會議上的演講中，當我談到我們試圖在接下來的兩個季度中製定真正的優先事項時，開發一種基於聯盟費用的方法，該方法真正針對的是我們網站上有業務的商家，但不要'沒有與我們的結帳連結的產品。隨著市場的發展，我們的目標是能夠創建一個聯盟系統，商家可以在該系統中在我們的公共廣場網路市場上列出他們的公司。消費者可以看到該清單。即使消費者造訪商家自己的網站，我們仍然透過本質上充當商家的附屬機構來透過交易獲利。

So in recap, obviously, the the payment technology is actually primarily utilized for the merchants own website. The consumer experience at checkout, you will not notice any changes and the merchant experience won't notice any changes on the public square marketplace. But we are developing new ways that we can actually attract affiliate fee revenue with the merchants that may not be selling on our own site but have a listing on our site that we are generating traffic for. I hope that's helpful clarity.

綜上所述，顯然，支付技術實際上主要用於商家自己的網站。結帳時的消費者體驗，您不會注意到任何變化，商家體驗也不會注意到公共廣場市場上的任何變化。但我們正在開發新的方法，我們實際上可以吸引那些可能不在我們自己的網站上銷售但在我們的網站上有列表並為其產生流量的商家吸引聯屬費用收入。我希望這有助於澄清。

Very much. 11 quick follow up in the main, what, what's the main selling point because presumably a merchant is using someone else for payments. So to switch to you guys, what's, what's your main selling point? What's resonating? And then finally, just wanted to doublecheck the brand strategy. Is that unchanged through all this? Thanks.

非常。11 主要快速跟進，什麼，主要賣點是什麼，因為大概是商家正在使用其他人進行付款。那麼，轉向你們，你們的主要賣點是什麼？什麼引起共鳴？最後，只是想仔細檢查品牌策略。這一切都沒有改變嗎？謝謝。

Thank you, Barry. Yes. So on the on the I'll start with the brand strategy and I might need you to remind me of the first question. Brand strategy is unchanged. We are continuing to grow every life. We're grateful for the performance over the past few months as we look at not just Q3 but also the month of October as we actually eclipsed our 1st month of over $1 million in sales. And we're looking forward to the way in which that the data from our marketplace customers continues to inform how we excel the brands division moving forward. As a reminder, we launched every life because we were made clear from our consumers on the public marketplace that they were seeking a life affirming diaper and wipes brand. We have many moms in our audience that were specifically requesting this. We created the brand to be able to meet their needs, which allowed for us to deploy this brand to market without overwhelming customer acquisition costs. And the first question you asked related to the main selling points of payments that are actually giving me a lot of confidence as they leave their existing provider and join us in this endeavor. I break it down into two categories. Number one, I would talk about our cancel proof promise. So the reason that the firearms industry, for example, is so unaddressed and ignored is because many financial institutions are timid or afraid or completely opposed to working with the firearms and shooting sports industry. So we have great companies on our platform, great companies that are currently utilizing Cordova that have been canceled by over three payment processors. It's a story we hear way too often and so when we're able to come to a merchant and say we have a cancel proof promise. Once you are in the family, you're not leaving, we're not canceling you. And we actually have multiple points of redundancy to ensure that that would never happen from any of our partners. We can attract a merchant through the promise of feeling like they have a real sense of peace of mind. They can sleep easier at night knowing that their experience at the checkout is protected by a merchant that shares the same love for their business that they do. The second thing that I would address is actually that our technology, especially given the way that we handle consumer data and allow for the merchant to actually independently store it through a tokenized encrypted vault is a main and major differentiator. You know, many small businesses are generally faced with one of two options as it relates to customer data. They can either allow the processor to store it or they can store it independently on their own. The problem with storing it on their own is they're having to handle all the compliance burden of doing so. So it sometimes gets easier to just trust the processor to store it. This becomes a major problem though when you want to leave your processor or you no longer feel like the processor has your best interest in mind. And so what we've allowed for the merchant to actually do is utilize a vault that stores the customer information and merchant data independently that's actually not held by us. And it gives the merchant more autonomy to be able to trust that their consumer data is safe and secure and fully encrypted without having to handle the compliance burden. This is a major win and has attracted many merchants to come and join our payments platform. I'd kind of add on one more piece here and that's that many businesses because they operate in spaces that are deemed more reputationally risky. So again, I'll use firearms as an example. Given that the shooting sports industry is a large chunk our early volume here. What financial institutions will do that are willing to work with the merchants is they will charge them serious premiums in terms of the take rate because of the reputational risk that they associate with firearms for us. We don't see any reputational risk in firearms. We are red blooded Americans that value the Second Amendment and because of that, we do not charge a premium for merchants that are wanting to exercise their second amendment rights and help their customers do the same. That's been a major selling point because it's allowed for us to not only provide the cancel proof promise and reliable technology with multiple points of redundancy. It has also allowed for us to say let's save you money in the process because we're not going to charge you a premium just because you happen to sell firearms. This sales pitch has worked incredibly well as we've attracted these merchants, especially when you build upon the fact that we already had existing trust developed with them because they were either a buy now pay later merchant with us already or a public square merchant with us already.

謝謝你，巴里。是的。因此，我將從品牌策略開始，我可能需要你提醒我第一個問題。品牌策略不變。我們每個生命都在不斷成長。我們對過去幾個月的表現表示感謝，因為我們不僅關注第三季度，還關注 10 月份，因為我們實際上超過了第一個月超過 100 萬美元的銷售額。我們期待著來自市場客戶的數據能夠持續引導我們如何超越品牌部門的發展。提醒一下，我們推出了every life，因為我們的消費者在公共市場上明確表示，他們正在尋找一個肯定生命的尿布和濕紙巾品牌。我們的觀眾中有很多媽媽特別要求這樣做。我們創建這個品牌是為了能夠滿足他們的需求，這使我們能夠將這個品牌推向市場，而不會產生巨大的客戶獲取成本。您問的第一個問題與支付的主要賣點有關，當他們離開現有的提供者並加入我們的這項努力時，這些賣點實際上給了我很大的信心。我把它分為兩類。第一，我要談談我們的取消證明承諾。例如，槍械行業之所以如此未被解決和忽視，是因為許多金融機構膽怯、害怕或完全反對與槍械和射擊體育行業合作。因此，我們的平台上有很多很棒的公司，這些公司目前正在使用 Cordova，但已被三個以上的支付處理商取消。這是我們經常聽到的故事，因此當我們能夠找到商家並說我們有取消證明承諾時。一旦您加入這個家庭，您就不會離開，我們也不會取消您的資格。實際上，我們有多個冗餘點，以確保我們的任何合作夥伴都不會發生這種情況。我們可以透過承諾讓商家感到真正的安心來吸引他們。他們知道他們在結帳時的體驗受到與他們一樣熱愛他們的業務的商家的保護，因此他們晚上可以睡得更安穩。我要解決的第二件事實際上是我們的技術，特別是考慮到我們處理消費者資料並允許商家透過代幣化加密庫實際獨立儲存資料的方式，是一個主要的差異化因素。您知道，許多小型企業通常面臨與客戶資料相關的兩種選擇之一。他們可以允許處理器儲存它，也可以自己獨立儲存它。自行儲存的問題是他們必須承擔這樣做的所有合規負擔。因此，有時信任處理器來儲存它會變得更容易。然而，當您想要離開處理器或您不再覺得處理器將您的最大利益放在心上時，這就會成為一個主要問題。因此，我們允許商家實際做的是利用一個保險庫來獨立儲存客戶資訊和商家數據，而這些數據實際上並不由我們持有。它還為商家提供了更多的自主權，讓他們能夠相信他們的消費者資料是安全可靠且完全加密的，而無需處理合規負擔。這是一個重大勝利，吸引了許多商家加入我們的支付平台。我想在這裡再補充一點，那就是許多企業因為他們在被認為聲譽風險更大的空間中運作。我再次以槍支為例。鑑於射擊運動產業占我們早期的很大一部分。願意與商家合作的金融機構會向他們收取高額費用，因為他們將我們的槍支與聲譽風險聯繫在一起。我們沒有看到槍支有任何聲譽風險。我們是熱血的美國人，重視第二修正案，因此，我們不會向想要行使其第二修正案權利並幫助他們的客戶這樣做的商家收取額外費用。這是一個主要賣點，因為它使我們不僅能夠提供取消證明承諾和具有多個冗餘點的可靠技術。它還允許我們在這個過程中為您省錢，因為我們不會僅僅因為您碰巧出售槍支而向您收取額外費用。這種銷售宣傳非常有效，因為我們吸引了這些商家，特別是當你建立在我們已經與他們建立現有信任的事實之上時，因為他們要么是我們的「先買後付」商家，要么是公共廣場商家我們已經。

Great. Thanks so much for all the insight. Appreciate it.

偉大的。非常感謝您的所有見解。欣賞它。

Of course. Thank you Barry and we don't have any.

當然。謝謝巴里，我們沒有。

Questions on the conference side for now. I'd like to hand things back over to William Kent. Thank you.

目前會議方面的問題。我想把事情交還給威廉·肯特。謝謝。

Thank you, Ian. We'll now address a couple of questions that we received through the State Technologies Platform. Before closing up the call.

謝謝你，伊恩。我們現在將解決透過國家技術平台收到的幾個問題。在結束通話之前。

Our first question is prior to your purchase of Cordova, we were told that Public Square would reach cash flow positivity within the next quarter after your purchase of Cordova, this milestone has expectedly moved. Where do you place it now? And is growth limited prior to hitting this milestone?

我們的第一個問題是在您購買 Cordova 之前，我們被告知 Public Square 將在您購買 Cordova 後的下一個季度內實現現金流正值，這一里程碑已按預期移動。現在你把它放在哪裡？在達到這一里程碑之前，成長是否有限？

Great question. I love the Say Technologies platform. By the way, it's a great opportunity to interact with all of you. So as we look to forward quarters, we would encourage everybody to use that say technologies platform, we value it quite a bit. It's great to hear from our shareholders. So this question is exactly correct before the acquisition of Cordova, we had anticipated cash flow positivity actually this year and that was due to the asset like nature of the marketplace and the ability that we have the ability to generate profit from the marketplace. When we say profits, obviously, we mean cash flow positivity without an increasing level of spend, post the acquisition of Cordova and truly the refinements of our vision to be able to capitalize on the payments opportunity and own the entire checkout stack, either through processing or through buy. Now pay later technology, we discovered that we were onto something special here. And so we decided over the last six months to invest in the development of what would become a major revenue and profit driver for us in the months and years to come. So over the last six months, we made a strategic decision to push out our cash flow positivity milestone to 2025 in order that we could actually experience exponentially more growth than we would have been able to with just marketplace and brands alone. So in recap, when we initially anticipated cash flow positivity in 2024 that was before the fintech focus post, the fintech focus, we have made the strategic decision as management and a board of directors to say let's have that milestone take place in 2025 which to answer the latter part of your question allows for us to actually ride the balance of seeking profits while maintaining in a state of hyper growth. So as we look to 2025 we do not believe that our approach handicaps growth at all. We actually believe that our approach will allow for us to find a sweet spot of generating profits while refusing to handicap growth. We're excited about the next few quarters and to be very specific, we would anticipate that each of the segments on a stand alone basis would achieve cash flow positivity in 2025 with cash flow positivity across the entire operating company in the latter half of 2025.

很好的問題。我喜歡 Say Technologies 平台。順便說一句，這是一個與大家互動的好機會。因此，當我們展望未來幾個季度時，我們會鼓勵每個人使用該技術平台，我們非常重視它。很高興收到我們股東的來信。所以這個問題在收購 Cordova 之前是完全正確的，我們實際上預計今年的現金流量會呈現正值，這是由於市場的資產性質以及我們有能力從市場中產生利潤的能力。當我們說利潤時，顯然，我們指的是在不增加支出水平的情況下實現正現金流，收購 Cordova 後，我們的願景真正得到改進，能夠利用支付機會並擁有整個結帳堆棧，無論是通過處理或透過購買。現在支付技術，我們發現我們在這裡做了一些特別的事情。因此，我們決定在過去六個月內投資於開發，這將成為我們未來幾個月和幾年的主要收入和利潤驅動因素。因此，在過去六個月中，我們做出了一項策略決策，將現金流積極里程碑推遲到 2025 年，以便我們能夠真正實現比僅靠市場和品牌實現的指數級增長。因此，回顧一下，當我們最初預計 2024 年（即金融科技焦點發布之前）現金流呈正值時，我們作為管理層和董事會做出了戰略決策，表示讓我們在 2025 年實現這一里程碑，回答您問題的後一部分使我們能夠真正平衡尋求利潤和保持高速成長的狀態。因此，當我們展望 2025 年時，我們認為我們的方法根本不會阻礙成長。我們實際上相信，我們的方法將使我們能夠找到創造利潤的最佳點，同時又不會阻礙成長。我們對未來幾季感到興奮，具體來說，我們預計每個細分市場都將在 2025 年實現正現金流，並在 2025 年下半年整個營運公司實現正現金流。

Thank you, Michael. Next question we have is about merchant feedback as it relates to our new payment system. I know you just answered some of that. But if there's anything more you want to add on that level.

謝謝你，麥可。我們的下一個問題是關於商家回饋，因為它與我們的新支付系統有關。我知道你剛剛回答了其中的一些問題。但如果您還想在該級別上添加任何內容。

We're really grateful for the feedback we received thus far. You know, I will tell you that the folks that we work with as merchants are the best of America. These are people that love their business. They want to operate with excellence and integrity. And I hope that they feel the same about how we conduct our business practices as we've grown in relationship with them. The feedback has largely been centered around the intentionality of our engineering team, the excellence of our sales force, the values alignment of our platform and ultimately the cancel proof promise we can provide our merchants have communicated that they feel a great deal of knowing they're operating with an entity that is not ignoring them, that is not abusing them and does not see them as a high reputational risk actor, but instead sees them as businesses that are fundamental to the American way of life because that is how we feel it has the benefit of being true. And so when we're able to actually put action behind our words and showcase to them with our reliable technology, multiple redundancies and focus on security and privacy. They have communicated a level of confidence that they feel going forward that they have not had previously with their existing service providers in the financial technology ecosystem.

我們非常感謝迄今為止收到的回饋。你知道，我會告訴你，與我們合作的商人都是美國最好的人。這些人熱愛他們的事業。他們希望以卓越和誠信的方式經營。我希望隨著我們與他們的關係不斷發展，他們對我們開展業務實踐的方式也有同樣的感受。回饋主要集中在我們的工程團隊的意圖、我們銷售團隊的卓越性、我們平台的價值觀一致性以及我們最終可以提供的取消證明承諾。 、不濫用他們、不將他們視為高聲譽風險行為者的實體重新開展業務，而是將他們視為對美國生活方式至關重要的企業，因為這就是我們的感受優點是真實。因此，當我們能夠真正付諸行動，並向他們展示我們可靠的技術、多重冗餘以及對安全和隱私的關注時。他們對金融科技生態系統中現有的服務提供者表達了前所未有的信心，並表示他們對未來充滿信心。

Again, we're grateful for this feedback and we're excited for much more of it to come in as we head forward into 2025.

我們再次感謝您的回饋，並很高興在 2025 年到來之際能收到更多回饋。

Thank you, Michael. And our last question from state that we'll take is around obviously the election and how we feel about that impact on our business going forward and what that means to values alignment, et cetera.

謝謝你，麥可。我們要提出的最後一個問題顯然是圍繞著選舉以及我們如何看待選舉對我們未來業務的影響以及這對價值觀一致性意味著什麼，等等。

Yeah, I love this question. Obviously, this mirror is a little bit of what Darren asked earlier. So I won't elaborate too much. I'll just say that I feel a great deal of hope.

是的，我喜歡這個問題。顯然，這面鏡子有點像是達倫之前問的問題。所以我就不做太多闡述了。我只想說我感到很大的希望。

I think that as we head into 2025 the United States population, both through the electoral college and the popular vote have made it clear that the incoming administration has a mandate, a mandate to embrace freedom, to embrace prosperity for the American business community. And to prioritize an America first agenda, given that we as a business prioritize those same things. We feel like we're going to have a movement at our back and wind in our sales as we look forward to future growth. So I feel a great deal of confidence coming out of the election. I'm going to feel an even greater level of confidence after January 20th. And so far in the first week as we have seen growth to our own company, just through the excitement of the American people looking to vote with their dollars and engage in companies that are prioritizing the same sort of values that they actually voted at the ballot box. It gives me a great bellwether for what we can hopefully anticipate over the course of the coming years. So I think America is at the dawn of what could potentially be a very special and unique golden age. And I don't think it's any coincidence that America will be celebrating its 250th birthday over the course of the four years. And we look forward to hosting a little bit of a party of our own. So we're excited about the wins in the political environment. More importantly, we're even excited about the wins for our small businesses in our ecosystem. They feel a great deal of hope as they look forward and hopefully the economic pressure on their shoulder eases with the incoming administration.

我認為，當我們邁入 2025 年時，美國民眾透過選舉團和普選都清楚地表明，即將上任的政府肩負著一項使命，一項擁抱自由、擁抱美國商界繁榮的使命。並優先考慮美國優先的議程，因為我們作為一個企業優先考慮同樣的事情。我們感覺，隨著我們期待未來的成長，我們的銷售將會有所進展。所以我對這次選舉充滿信心。1 月 20 日之後我會感到更有自信。到目前為止，在第一周，我們看到了我們自己公司的成長，僅僅是因為美國人民希望用自己的美元投票，並與那些優先考慮他們在投票中實際投票的價值觀的公司合作。它為我提供了一個很好的風向標，讓我們能夠預測未來幾年的情況。因此，我認為美國正處於一個可能非常特殊和獨特的黃金時代的黎明。我認為美國將在四年內慶祝 250 歲生日並非巧合。我們期待舉辦我們自己的聚會。因此，我們對政治環境中的勝利感到興奮。更重要的是，我們甚至對生態系統中小型企業的勝利感到興奮。當他們展望未來時，他們感到很大的希望，並希望他們肩上的經濟壓力隨著即將上任的政府而減輕。

Thank you, Michael. We'll hand it back to you for any closing comments.

謝謝你，麥可。我們會將其交還給您以徵求結束意見。

Thank you will. Thank you, Brad and thank you to all shareholders and interested parties that were tuning in for the call today. It is an honor to speak with you all. We are focused on embracing the values that have made our country strong and ultimately growing the American economy through the power of patriotic commerce that embraces merit, the excellence, innovation, a love for country and a love for community. We believe we are serving an unaddressed market that is enormous and thankfully due to the caliber of our team and the investment and support from shareholders and interested community members, we feel a great deal of confidence as we look forward into 2025 we look forward to most pressing Q4 results. We cannot wait to report those to you all in 2025 and we hope you have a fantastic remainder of the year. Thank you all for joining.

謝謝你會的。謝謝布拉德，也感謝今天收聽電話會議的所有股東和有興趣的各方。很榮幸能與大家交談。我們致力於擁抱使我們的國家強大並最終透過愛國商業的力量發展美國經濟的價值觀，這些價值觀包括優點、卓越、創新、對國家的熱愛和對社區的熱愛。我們相信，我們正在服務於一個巨大的尚未解決的市場，值得慶幸的是，由於我們團隊的能力以及股東和感興趣的社區成員的投資和支持，當我們展望2025 年時，我們充滿信心，我們期待著緊迫第四季的結果。我們迫不及待在 2025 年向大家報告這些情況，希望你們在今年剩下的時間裡過得愉快。感謝大家的加入。