Reliance Global Group Inc (RELI) 2023 Q2 法說會逐字稿

Greetings. Welcome to the Reliance Global second-quarter 2023 financial results and business update conference call. (Operator Instructions) Please note this conference is being recorded.

問候。歡迎參加 Reliance Global 2023 年第二季度財務業績和業務更新電話會議。 （操作員說明）請注意，本次會議正在錄製中。

I will now turn the conference over to your host, Ted Ayvas, Investor Relations. You may begin.

現在我將會議轉交給主持人投資者關係部門的特德·艾瓦斯 (Ted Ayvas)。你可以開始了。

Thank you, Holly. Good afternoon and thank you for joining Reliance Global Group's 2023 second-quarter financial results and business update conference call. On the call with us today are Ezra Beyman, Chairman and Chief Executive Officer of Reliance Global Group; Joel Markovitz, Chief Financial Officer of Reliance; Grant Barra, Senior Vice President of Operations at Reliance; and Moshe Fishman, Director of Insurtech Operations at Reliance.

謝謝你，霍莉。下午好，感謝您參加 Reliance Global Group 2023 年第二季度財務業績和業務更新電話會議。今天與我們通話的是 Reliance Global Group 董事長兼首席執行官 Ezra Beyman； Joel Markovitz，Reliance 首席財務官； Grant Barra，Reliance 運營高級副總裁；以及 Reliance 保險科技運營總監 Moshe Fishman。

Earlier today, the company announced its operating results for the three months ended June 30, 2023. The press release is posted on the company's website, www.relianceglobalgroup.com. In addition, the company has filed its quarterly report on Form 10-Q with the US Securities and Exchange Commission today, which could also be accessed on the company's website as well as the SEC's website at www.sec.gov.

今天早些時候，該公司公佈了截至 2023 年 6 月 30 日的三個月經營業績。該新聞稿發佈在該公司網站 www.relianceglobalgroup.com 上。此外，該公司已於今日向美國證券交易委員會提交了 10-Q 表季度報告，該報告也可在該公司網站以及 SEC 網站 www.sec.gov 上獲取。

If you have any questions after the call or would like any additional information about the company, please contact Crescendo Communications at 212-671-1020.

如果您在通話後有任何疑問或想了解有關該公司的任何其他信息，請致電 212-671-1020 聯繫 Crescendo Communications。

Before we Mr. Beyman review the company's operating results for the quarter ended June 30, 2023, we would like to remind everyone that this conference call may contain forward-looking statements. All statements other than statements of historical facts contained in this conference call, including statements regarding our future results of operations and financial position, strategy and plans, and our expectations for future operations are forward-looking statements.

在貝曼先生回顧公司截至 2023 年 6 月 30 日的季度經營業績之前，我們想提醒大家，本次電話會議可能包含前瞻性陳述。本次電話會議中除歷史事實陳述外的所有陳述，包括有關我們未來經營業績和財務狀況、戰略和計劃以及我們對未來經營的預期的陳述，均為前瞻性陳述。

The words anticipate, estimate, expect, project, plan, seek, intend, believe, may, might, will, should, could likely, continue, design, and the negative of such terms and other words and terms and similar expressions are intended to identify forward-looking statements. These forward-looking statements are based largely on the company's current expectations and projections about future events and trends that it believes may affect its financial condition, results of operations, strategy, short-term and long-term business operations and objectives, and financial needs.

預期、估計、期望、項目、計劃、尋求、打算、相信、可能、可能、將、應該、可能、繼續、設計等詞語以及這些術語和其他詞語和術語以及類似表達的否定意在識別前瞻性陳述。這些前瞻性陳述主要基於公司當前對其認為可能影響其財務狀況、經營業績、戰略、短期和長期業務運營和目標以及財務需求的未來事件和趨勢的預期和預測。 。

These forward-looking statements are subject to several risks, uncertainties, and assumptions as described in the company's Form 10-K filed with the US Securities and Exchange Commission on March 30, 2023. Because of these risks, uncertainties, and assumptions, the forward-looking events and circumstances discussed in this conference call may not occur and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements.

這些前瞻性陳述受到公司於2023 年3 月30 日向美國證券交易委員會提交的10-K 表格中所述的多項風險、不確定性和假設的影響。由於這些風險、不確定性和假設，前瞻性陳述- 本次電話會議中討論的事件和情況可能不會發生，實際結果可能與前瞻性陳述中預期或暗示的結果存在重大和不利的差異。

You should not rely upon forward-looking statements as predictions of future events. Although the company believes that the expectations reflected in the forward-looking statements are reasonable, it cannot guarantee future results, level of activity, performance, or achievements.

您不應依賴前瞻性陳述作為對未來事件的預測。儘管公司認為前瞻性陳述中反映的預期是合理的，但它不能保證未來的結果、活動水平、業績或成就。

In addition, neither the company, nor any other person assumes responsibility for the accuracy and completeness of any of these forward-looking statements. The company disclaims any duty to update any of these forward-looking statements.

此外，公司或任何其他人均不對任何這些前瞻性陳述的準確性和完整性承擔責任。該公司不承擔更新任何這些前瞻性陳述的責任。

All forward-looking statements attributable to the company are expressly qualified in their entirety by these cautionary statements as well as others made in this conference call. You should evaluate all forward-looking statements made by the company in the context of these risks and uncertainties.

所有歸屬於該公司的前瞻性陳述均完全受到這些警告性陳述以及本次電話會議中所做的其他陳述的明確限制。您應該在這些風險和不確定性的背景下評估公司做出的所有前瞻性陳述。

Having said that, I'd now like to turn the call over to Ezra Beyman, Chairman and Chief Executive Officer of Reliance Global Group. Ezra?

話雖如此，我現在想將電話轉給 Reliance Global Group 董事長兼首席執行官埃茲拉·貝曼 (Ezra Beyman)。以斯拉？

Thank you, Ted. Good afternoon and thanks for everyone for joining us today.

謝謝你，特德。下午好，感謝大家今天加入我們。

We are pleased to report that our revenue grew 12% compared to the same period of 2022, which primarily reflects the organic growth of the business. It's important to note that we acquired Barra & Associates in April of 2022, so we had two full months of revenue for the second quarter of last year and all of our other acquisitions were reflected in our revenues in both periods.

我們很高興地報告，與 2022 年同期相比，我們的收入增長了 12%，這主要反映了業務的有機增長。值得注意的是，我們於 2022 年 4 月收購了 Barra & Associates，因此去年第二季度我們有整整兩個月的收入，我們所有其他收購都反映在這兩個時期的收入中。

Since the acquisition of Barra and its rebranding as RELI Exchange, we have experienced steady growth of the agency network. And despite significant investments in RELI Exchange, we reduced our loss from operations by 30% in the first six months of 2023 over the same period in 2022. We view RELI Exchange as core to the company's long-term strategic growth plan and are extremely pleased with our progress to date.

自從收購 Barra 並將其更名為 RELI Exchange 以來，我們的代理網絡經歷了穩步增長。儘管對 RELI Exchange 進行了大量投資，但我們在 2023 年前 6 個月的運營損失比 2022 年同期減少了 30%。我們將 RELI Exchange 視為公司長期戰略增長計劃的核心，對此感到非常高興以及我們迄今為止的進展。

RELI Exchange continues to expand currently supporting over 310 agency partners, representing a more than 100% increase since the beginning of the year. This achievement stems from the unique value proposition that RELI Exchange offers independent insurance agents.

RELI Exchange 繼續擴張，目前支持超過 310 家代理合作夥伴，自年初以來增長超過 100%。這一成就源於 RELI Exchange 為獨立保險代理人提供的獨特價值主張。

By leveraging the most recent technologies and AI capabilities, the platform provides independent agents with a comprehensive toolbox for the businesses, allowing them to not only compete against larger national agencies, but offer surpassed them in their services and offerings.

通過利用最新的技術和人工智能功能，該平台為獨立代理商提供了一個全面的企業工具箱，使他們不僅能夠與較大的國家機構競爭，而且能夠在服務和產品方面超越他們。

I would like now to turn the call over to Grant Barra, Senior Vice President of Operations, to provide an overview of how we at Reliance Global view of the market opportunities and growth drivers in our industry. Grant?

現在，我想將電話轉給運營高級副總裁 Grant Barra，他將概述我們 Reliance Global 如何看待我們行業的市場機會和增長動力。授予？

Thanks, Ezra, and good afternoon to all the listeners.

謝謝，以斯拉，祝所有聽眾下午好。

The total US insurance market is sizable. The current value is approximately $2.7 trillion, which accounts for more than 39% of the total global insurance market. It is expected that by 2027, the US market will grow by 26%, reaching $3.4 trillion.

美國保險市場規模龐大。目前價值約為2.7萬億美元，佔全球保險市場總額的39%以上。預計到2027年，美國市場將增長26%，達到3.4萬億美元。

Serving this industry are approximately 410,000 licensed US insurance agent. That's comprised of nearly 60% of them being independents and the other 40% being captive insurance agents. Of the 60% of the market that are independent agents, our strategy is to recruit many of these agents onto our platform. The feedback that we've been receiving from this group has been overwhelmingly positive.

大約有 410,000 名持有執照的美國保險代理人為該行業提供服務。其中近 60% 是獨立人士，另外 40% 是自保保險代理人。在 60% 的市場中，有獨立代理商，我們的策略是招募許多這樣的代理商到我們的平台上。我們從該小組收到的反饋非常積極。

At the same time amongst the 40% that are captive to a particular carrier, our goal is to either recruit them away, offering them the ability to become independent agent agency partners with RELI Exchange; or simply winning the business controlled by the captive carriers with our much more attractive offerings.

與此同時，在被特定運營商俘虜的 40% 中，我們的目標是要么將他們招募走，讓他們有能力成為 RELI Exchange 的獨立代理機構合作夥伴；或者只是通過我們更具吸引力的產品來贏得專屬運營商控制的業務。

Not only are we focused on gaining market share. But the overall market is also expected to grow. So there are several factors driving this growth, including an aging population and a growing demand for health property, casualty, and other forms of insurance.

我們不僅專注於贏得市場份額。但整體市場預計也會增長。因此，推動這一增長的因素有很多，包括人口老齡化以及對健康財產、意外傷害和其他形式保險不斷增長的需求。

So it's also important to note that as an agency, we do not have the same risk exposure as the carriers. To the contrary, the increasing premiums positively affect our margins. Also with inflation and rising premiums, customers often seek alternative options, alternative quotes, replacing their existing policies with ones that offer greater value at a more competitive price. It's exactly how we're positioned.

因此，同樣重要的是要注意，作為一個機構，我們沒有與承運人相同的風險敞口。相反，保費的增加對我們的利潤產生積極影響。此外，隨著通貨膨脹和保費上漲，客戶經常尋求替代選擇、替代報價，以更具競爭力的價格提供更大價值的保單取代現有保單。這正是我們的定位。

Customers are much more likely to get the best pricing through independent agencies as opposed to captive agents who can only sell policies from one single carrier. In fact, the average quota close ratio for a captive agent is very low for that reason.

與只能從一家運營商銷售保單的專屬代理人相比，客戶更有可能通過獨立機構獲得最佳定價。事實上，由於這個原因，專屬代理的平均配額關閉率非常低。

In contrast, our platform allows agents to compare quotes across a very wide selection of carriers within minutes. It makes sure customers are not only getting the best price, but also the best offering to suit their specific needs. As a result, we believe RELI Exchange is perfectly positioned in the market to offer real value for both agents and the consumers.

相比之下，我們的平台允許代理商在幾分鐘內比較眾多運營商的報價。它確保客戶不僅能獲得最優惠的價格，還能獲得滿足其特定需求的最佳產品。因此，我們相信 RELI Exchange 在市場上處於完美的地位，可以為代理商和消費者提供真正的價值。

As we discussed in the past, RELI Exchange allows agents to maintain their independent brand. And we can even provide them with their own professional and interactive website on day one. We not only allow them to access many of the major carriers in the insurance market, but we also provide support and mentorship both in the startup of their individual agencies. And that mentorship continues as long as they're with RELI Exchange.

正如我們過去所討論的，RELI Exchange 允許代理商保持其獨立品牌。我們甚至可以在第一天為他們提供自己的專業互動網站。我們不僅允許他們接觸保險市場上的許多主要承運人，而且還在他們各自機構的啟動過程中提供支持和指導。只要他們在 RELI Exchange，這種指導就會持續下去。

So what does that mean to the agents and why are more and more of them switching to RELI Exchange? The simple answer is simple; we can offer them more opportunity. The way they are able to conduct business with their clients on our platform is easier, it's faster. It puts our agency partners in a more competitive position.

那麼這對代理商意味著什麼？為什麼越來越多的代理商轉向 RELI Exchange？答案很簡單；我們可以為他們提供更多機會。他們在我們的平台上與客戶開展業務的方式更容易、更快捷。它使我們的代理合作夥伴處於更具競爭力的地位。

When they start their agency, they are immediately able to compete against some of the biggest players in our industry. This results in more business, more premiums that drive more revenue into our company.

當他們開始代理時，他們立即能夠與我們行業中的一些最大的參與者競爭。這會帶來更多的業務、更多的保費，從而為我們公司帶來更多的收入。

I would like to now turn over the call to Moshe Fishman, Director of Insurtech and Operations, to review our operating subsidiaries and plans to consolidate them in the future. Moshe?

我現在想將電話轉給保險科技和運營總監 Moshe Fishman，以審查我們的運營子公司併計劃在未來整合它們。摩西？

Thanks, Grant, and good afternoon. Before discussing our one firm plan, which is well underway designed to consolidate our wholly owned standalone operating agencies to have the strength and efficiencies of a single firm, I would like to quickly take a look at each of our current services:

謝謝，格蘭特，下午好。在討論我們的單一公司計劃之前，我想快速瀏覽一下我們當前的每項服務：

Fortman Insurance Services provides all lines of insurance and operates in 49 states across the United States; Altruis provides group and individual health insurance; Southwest Montana Insurance Center provides group health insurance and is very respected amongst government clients; Employee Benefits Solutions provide group health to middle market customers; US Benefits Alliance provides individual and group health insurance; UIS Agency provides specialty line transportation insurance; JP Kush and Associates provide individual health insurance across the United States; and lastly, RELI Exchange, our exclusive agency partner network and distribution platform.

Fortman Insurance Services 提供所有險種，在美國 49 個州開展業務； Altruis 提供團體和個人健康保險；蒙大拿州西南部保險中心提供團體健康保險，深受政府客戶的尊重；員工福利解決方案為中端市場客戶提供團體健康；美國福利聯盟提供個人和團體健康保險； UIS Agency提供專線運輸保險； JP Kush and Associates 在美國各地提供個人健康保險；最後，RELI Exchange，我們的獨家代理合作夥伴網絡和分銷平台。

So as you can see, we have very broad capabilities across a wide range of insurance category, and we now have a very strong nationwide presence. Collectively, these agencies have more than 1,100 total producing agents with an estimated 58,500 active policies under management, representing an estimated $450 million of premiums.

正如您所看到的，我們在廣泛的保險類別中擁有非常廣泛的能力，而且我們現在在全國范圍內擁有非常強大的影響力。這些機構總共擁有超過 1,100 名生產代理人，管理著約 58,500 份有效保單，保費估計為 4.5 億美元。

Looking ahead, we are in the process of merging our standalone agencies under a single brand of the Reliance Global Group. We anticipate that this consolidation will furnish the company with considerable advantages and operational efficiencies. By uniting under one brand across all lines of business, Reliance Global Group's market presence throughout the United States will be immediately enhanced.

展望未來，我們正在將我們的獨立代理機構合併到 Reliance Global Group 的單一品牌下。我們預計此次合併將為公司帶來相當大的優勢和運營效率。通過將所有業務線整合到一個品牌下，Reliance Global Group 在美國各地的市場影響力將立即得到增強。

Furthermore, the consolidation is expected to improve our commissions and bonus structure with the carrier due to increased volume. It will also foster greater cross-selling opportunities and enable more effective utilization of our talent across the organization with their respective insurance specialties.

此外，由於交易量增加，預計合併將改善我們與航空公司的佣金和獎金結構。它還將創造更多的交叉銷售機會，並能夠更有效地利用整個組織內各自保險專業的人才。

With the majority of the investment of RELI Exchange now behind us and consistent strong performance across our operating subsidiaries, we have effectively built what we consider to be a highly scalable business model. As we persist in our organic growth and deepen our presence across the United States, we believe we are well positioned for success in the immediate future while simultaneously laying the groundwork for substantial and sustained long-term growth.

憑藉 RELI Exchange 的大部分投資以及我們運營子公司持續強勁的業績，我們已經有效地建立了我們認為高度可擴展的業務模式。隨著我們堅持有機增長並深化我們在美國的業務，我們相信我們已經做好了在不久的將來取得成功的準備，同時為實質性和持續的長期增長奠定了基礎。

Our strategic cost effective and unique approach to the market gives us tremendous confidence in our ability to generate significant long-term returns for our shareholders.

我們的戰略成本效益和獨特的市場方法使我們對為股東創造顯著的長期回報的能力充滿信心。

I would now like to turn the call over to Joel Markovitz, Chief Financial Officer of Reliance Global, who will review the financial results for the quarter ended June 30, 2023. Joel?

我現在想將電話轉給 Reliance Global 首席財務官喬爾·馬科維茨 (Joel Markovitz)，他將審查截至 2023 年 6 月 30 日的季度的財務業績。喬爾？

Thanks, Moshe. Good afternoon to all. It's great to be here with you today. Super excited to share our financial results for the second quarter of 2023. Figures presented are approximates.

謝謝，摩西。大家下午好。很高興今天能和大家在一起。非常高興分享我們 2023 年第二季度的財務業績。提供的數據為近似值。

The company's revenue for the three and six months ended June 30, 2023, are $3.2 million and $7.1 million, respectively. For the three months, this represents a 12% increase from $2.8 million in the previous year. For the six months, this presents a 21% increase from $5.9 million in the previous year. Ezra and the team did a great job of presenting the movement behind these positive revenue increases.

截至2023年6月30日的三個月和六個月，該公司的收入分別為320萬美元和710萬美元。這三個月比去年的 280 萬美元增加了 12%。在這六個月中，這比去年的 590 萬美元增加了 21%。 Ezra 和團隊出色地展示了這些積極的收入增長背後的動向。

Total operating expense for the three months ended June 30, 2023, increased by only 9% or $414,000 from the same period in the prior year, notwithstanding a 12% increase in top-line revenue. For the six months ended June 30, 2023, total operating expense decreased by 1%, notwithstanding a 21% increase in top-line revenue. This illustrates the efficiencies the company has incorporated, which are demonstrated in these enhanced financial results.

截至 2023 年 6 月 30 日的三個月總運營費用僅比上年同期增長 9%，即 414,000 美元，儘管營收增長了 12%。截至 2023 年 6 月 30 日的六個月，儘管總收入增長了 21%，但總運營費用下降了 1%。這說明了公司所提高的效率，這在這些增強的財務業績中得到了體現。

Loss from operations increased by a modest 4% or $65,000 for the three months ended June 30, 2023, whereas for the six months, loss from operations decreased by 31% or $1.3 million. Net loss for the three and six months ended June 30, 2023, was $1.1 million and $2.8 million, respectively. For the same period in the prior year, there was net income that was due to significant unrealized gains in the valuation of our derivative positions which did not occur in 2023.

截至 2023 年 6 月 30 日的三個月，運營虧損小幅增加 4%，即 65,000 美元；而在這六個月中，運營虧損下降了 31%，即 130 萬美元。截至 2023 年 6 月 30 日的三個月和六個月的淨虧損分別為 110 萬美元和 280 萬美元。上一年同期，淨利潤是由於我們的衍生品頭寸估值中出現重大未實現收益，而 2023 年並未出現這種收益。

Working capital increased by $6.8 million or 150% as of June 30, 2023, from December 31, 2022. This represents a healthy balance sheet of the current assets [out] to current liabilities that close to 1.5 times.

截至 2023 年 6 月 30 日，營運資本較 2022 年 12 月 31 日增加了 680 萬美元，即 150%。這代表著流動資產與流動負債接近 1.5 倍的健康資產負債表。

With this, we conclude our prepared remarks. Happy to answer any questions or comments participants may have. Operator, kindly open the line.

至此，我們結束了準備好的發言。很樂意回答參與者可能提出的任何問題或意見。接線員，請接通線路。

(Operator Instructions) Mike Albanese, EF Hutton

（操作員說明）Mike Albanese，EF Hutton

Hey, guys. Thanks for taking my question. I just wanted to dive into the agency consolidation a bit. Can you just kind of walk us through how or what your expectation is regarding kind of the, I guess, uptick in commissions and volumes as a result of the rebranding. So could you just kind of dissect that a little bit?

大家好。感謝您提出我的問題。我只是想深入了解一下機構整合。您能否向我們介紹一下您對品牌重塑帶來的佣金和銷量增加的期望如何或是什麼？那麼你能稍微剖析一下嗎？

Sure. Thank you, Mike. It's Moshe Fishman speaking. With the different carrier relationships that we have, when you come with a bigger book of business to a particular carrier, not only you have better bargaining power on the first commission, but you also open up for better bonuses based on the loss ratios.

當然。謝謝你，邁克。我是摩西·菲什曼（Moshe Fishman）發言。憑藉我們與不同承運商的關係，當您向特定承運商提供更大的業務時，您不僅在第一筆佣金上擁有更好的議價能力，而且還可以根據損失率獲得更好的獎金。

So the simple consolidation, even before writing new business should immediately enhance the revenue with the consolidation aside more about the benefits that it brings.

因此，即使在編寫新業務之前進行簡單的整合也應該立即提高收入，而除了更多地了解整合帶來的好處之外。

Got it. Thank you. Okay. And then just regarding kind of reaching that inflection point of producing positive cash flow. I guess just bluntly, how do you get there from here? What is kind of your expectation on reaching that milestone?

知道了。謝謝。好的。然後只是關於達到產生正現金流的拐點。我想直白地說，你如何從這裡到達那裡？您對達到這一里程碑有何期望？

Hi, it's Ezra Beyman. I mean, the organic growth is picking up. And we're actually now focused on going after agents that produce business on day one, that helps. And we're only actually one acquisition away in all probability from being cash positive. NAV, we're looking at various options and we're close enough to the breakeven point that any acquisition should bring us over the line.

嗨，我是埃茲拉·貝曼。我的意思是，有機增長正在加速。事實上，我們現在專注於尋找在第一天就產生業務的代理商，這很有幫助。事實上，我們距離實現現金正數很可能只差一次收購。資產淨值，我們正在考慮各種選擇，我們已經足夠接近盈虧平衡點，任何收購都應該讓我們突破界限。

And that combined with the organic and the streamlining of the consolidation as much -- Fishman was talking about is already well underway. It doesn't reflect yet in this quarter as much, but it's not long term. So I think all these components combined should be a very solid business, very healthy, profitable operation.

菲什曼所說的有機整合和精簡整合已經在順利進行。它在本季度還沒有反映出來，但它不是長期的。所以我認為所有這些組成部分結合起來應該是一個非常堅實的業務，非常健康，盈利的運營。

Got it. Thank you. And then just my last question, I think you said in your prepared remarks, you have about 310 agencies on the platform up significantly. I mean, can you give us some additional color maybe on what are your expectation for that number is, call it the end of the year or maybe like a monthly growth rate or just how you're thinking about scaling the platform?

知道了。謝謝。我的最後一個問題，我想你在準備好的發言中說過，平台上大約有 310 家機構，數量顯著增加。我的意思是，您能否給我們一些額外的信息，也許您對該數字的期望是多少，稱之為年底，或者可能是每月增長率，或者只是您如何考慮擴展平台？

I think Grant, that's on your ballpark.

我想格蘭特，這在你的範圍內。

Yeah. This is a Grant Barra. Let me go ahead and take that question. So the growth of the agency partner network is a core focus of the organization. And the way that that happens is there's really two target markets, two targets candidate prospect pools that we find drive the best results.

是的。這是格蘭特·巴拉。讓我繼續回答這個問題。因此，代理合作夥伴網絡的增長是該組織的核心關注點。發生這種情況的方式是，實際上有兩個目標市場，兩個目標候選前景庫，我們發現它們可以帶來最佳結果。

The first prospect pools is going to be an independent or a captive individual that works for an agent or an agency owner, and they aspire to what time as most insurance agents in our industry to have their own agency. These are experienced individuals who have existing relationships and have a very dialed in process in how to generate new opportunities and new clients that will allow them to quote them in the existing system that they have in place.

第一批潛在客戶將是為代理人或機構所有者工作的獨立或自保個人，他們渴望像我們行業中的大多數保險代理人一樣擁有自己的機構。這些人都是經驗豐富的人，他們擁有現有的關係，並且在如何產生新機會和新客戶方面有著非常熟練的流程，這將使他們能夠在現有的現有系統中引用它們。

The second group, our captive agency owners. So these are agency owners that are captive with a single insurance carrier. And these are also individuals that or they're very dialed in new business process. So they're very good at developing opportunities that allow them to quote through their existing platform.

第二組是我們的專屬代理機構所有者。因此，這些機構所有者受單一保險公司的約束。這些人也是非常熟悉新業務流程的人。因此，他們非常善於開發機會，讓他們可以通過現有平台進行報價。

Now in many of these circumstances, these agency owners in the field are only able to offer a single carrier as a solution for the end clients. That is very limiting and does not allow them to be competitive. Very often in the field, that rates really hovers in the very low teens. So by bringing those agency partners onto our platform, they are immediately able to continue that same existing prospecting new business, prospecting process that they have already established and proven successful at lower close rates.

現在，在許多此類情況下，該領域的這些代理所有者只能提供單一運營商作為最終客戶的解決方案。這是非常有限的，不允許他們具有競爭力。在現場，這個比率經常徘徊在非常低的十幾歲之間。因此，通過將這些代理合作夥伴引入我們的平台，他們立即能夠繼續他們已經建立的相同的現有勘探新業務和勘探流程，並以較低的成交率證明是成功的。

It allows them to be on our platform, instantly increasing the number of opportunities that they have to close new business because of our wide variety of existing carrier relations and also the technology that allows them to process all the information from all the different carriers much faster, much more efficient, and much more accurate in order to give those rates to the end clients. So these are tremendous benefits.

它使他們能夠在我們的平台上，立即增加他們關閉新業務的機會數量，因為我們現有的運營商關係多種多樣，而且技術使他們能夠更快地處理來自所有不同運營商的所有信息，更高效、更準確，以便將這些費率提供給最終客戶。所以這些都是巨大的好處。

We continue to grow our agency partner offering through courting of these captive and independent insurance agents through our team of sales directors in the office who have experience in our industry and court them and help them understand the advantages in the industry of coming over and transitioning from being captive to independent or transitioning from working for an agent or agency owner to having their own agency as an agency partner with RELI Exchange.

我們通過辦公室的銷售總監團隊吸引這些自保和獨立保險代理人，繼續擴大我們的代理合作夥伴產品，這些銷售總監在我們的行業擁有豐富的經驗，並幫助他們了解從行業過來和轉型的優勢。從受束縛到獨立，或從為代理人或機構所有者工作過渡到擁有自己的機構作為RELI Exchange 的代理合作夥伴。

If you'd like me to go into any additional detail, please ask more questions.

如果您希望我了解更多細節，請提出更多問題。

Sure. No, that's all great contexts. I appreciate it. So I guess specifically regarding RELI Exchange. I mean, I think, 310 agents on the platform, I mean, what's your expectation for growth? I mean, since this is win-win, it seems like a good value proposition obviously to the agents and then the customer as well. I mean, you grew at over 100% from I think, you know, Q4.

當然。不，這都是很好的背景。我很感激。所以我想特別是關於RELI Exchange。我的意思是，我認為平台上有 310 個代理商，我的意思是，您對增長的期望是什麼？我的意思是，由於這是雙贏的，因此對於代理商和客戶來說，這顯然都是一個很好的價值主張。我的意思是，從第四季度開始，您的增長率超過 100%。

I'm just trying to come up with some perspective in terms of moving forward. 100% growth rate maybe is unsustainable and maybe sustainable for a short amount of time. Can you just help provide some perspective and what I can expect for growth?

我只是想提出一些關於前進的觀點。 100%的增長率也許是不可持續的，但也許可以在短時間內維持。您能幫忙提供一些觀點以及我對成長的期望嗎？

Let me add some color around that. So if we chose to, I do believe we can grow RELI Exchange at just about any clip that we choose to. I mean, there's that many opportunities out there to bring agents into a platform that provides them significant benefits and being able to close business and drive revenue into their agencies.

讓我在周圍添加一些顏色。因此，如果我們選擇這樣做，我確實相信我們可以以我們選擇的任何速度發展 RELI Exchange。我的意思是，有很多機會將代理商引入一個平台，為他們提供顯著的好處，並能夠完成業務並為他們的代理商帶來收入。

With that said, we want to focus our efforts on agencies who are going to drive the most value to both for themselves and for the organization. So we have a rating system of every individual that we potentially are going to work with in the field. And we prioritize these agents based on their experience, their past activity, their attitude.

話雖如此，我們希望將我們的努力集中在那些將為自己和組織帶來最大價值的機構上。因此，我們對我們可能在該領域合作的每個人都有一個評級系統。我們根據這些代理的經驗、過去的活動和態度對他們進行優先排序。

And we want to make sure we're spending a majority of our time with the individuals who are going to drive the most revenue. So while I do not believe our recruiting is going to slow because we've continued to ramp up, I actually believe our current pace where we've added more than 150 agency partners this year will remain stable to increase.

我們希望確保我們將大部分時間花在那些將帶來最大收入的個人身上。因此，雖然我不認為我們的招聘會因為我們繼續增加而放緩，但我實際上相信我們今年增加了 150 多家代理合作夥伴的當前步伐將保持穩定增長。

So over the next same period, we will increase the number that we've brought on. With that said, though, the individuals that we bring on are significantly stronger as we've dialed in our process, and we'll be able to return significantly more premium volume into the company. Ultimately, they're going to earn more on an individual basis.

因此，在接下來的同一時期，我們將增加引進的人數。儘管如此，隨著我們在流程中的努力，我們引進的人才明顯更強大，我們將能夠為公司帶來更多的溢價。最終，他們將獲得更多的個人收入。

So I wanted to go into a little detail on why our focus is on the individuals, why our focus is on these individuals. So the growth rate will be 20-plus experienced agency partners on a monthly basis data.

所以我想詳細說明為什麼我們的重點是個人，為什麼我們的重點是這些個人。因此，增長率將是 20 多個經驗豐富的代理合作夥伴的月度數據。

Got it. Okay. And then you take this agency essentially, put them on a better platform for higher conversion rate? I mean, you only have so many quarters here of data. I understand that. But I mean, if you just think about as a kind of like a unit level basis, meaning the agent being the unit. That should be driving higher revenues per unit moving forward. Is that fair to say that's kind of the expectation?

知道了。好的。然後你本質上把這個機構放在一個更好的平台上以獲得更高的轉化率？我的意思是，這裡只有這麼多季度的數據。我明白那個。但我的意思是，如果您只是將其視為一種單位級別的基礎，則意味著代理就是單位。這應該會推動未來單位收入的增長。可以公平地說這是一種期望嗎？

No, that's fair to say. So they're going to be driving higher revenues on a per unit basis. But you also need to take into consideration that the revenues that they produce year one for themselves. It's not like those revenues go away. Those revenues continue to renew year after year. So any additional efforts in new business that are put in year two, year three, year four, stack on top of the new business from all previous years that we're able to retain. And I'd estimate a retention ratio of those premiums upwards of 90%-plus.

不，可以這麼說。因此，他們將提高單位收入。但您還需要考慮他們第一年為自己創造的收入。這些收入並沒有消失。這些收入繼續年復一年地增長。因此，第二年、第三年、第四年在新業務方面所做的任何額外努力，都會疊加在我們能夠保留的前幾年的新業務之上。我估計這些保費的保留率高達 90% 以上。

[Nick Pincus, Forest Capital]

[尼克·平卡斯，森林之都]

Thanks for taking my call. Congrats on another solid quarter. You actually answered part of my question in your earlier response. But the second part is, are you are you finding more success recruiting agents that are already independent or is it easier to recruit talent from the captive agencies? And can you talk about the feedback that you've gotten from the agents once they're onboarded to the network?

感謝您接聽我的電話。祝賀又一個穩定的季度。您實際上在之前的回復中回答了我的部分問題。但第二部分是，您是否發現招募已經獨立的代理商更成功，或者從專屬代理商中招募人才更容易？您能談談代理加入網絡後您從他們那裡得到的反饋嗎？

So this is Grant, let me jump on this one again. We are finding exponentially more success with agents coming from captive platforms. So these agents on captive platforms are restricted in what they're able to offer the end clients. So they're going to provide the best solution that they have available to them for the clients.

這是格蘭特，讓我再講一遍。我們發現來自專屬平台的代理取得的成功呈指數級增長。因此，這些專屬平台上的代理商能夠為最終客戶提供的服務受到限制。因此，他們將為客戶提供可用的最佳解決方案。

Unfortunately, that solution is one carrier and no matter what the client's circumstances are, their best solution it's always going to be the one carrier that they have access to. It just doesn't work for everyone. The future is in independent agencies.

不幸的是，該解決方案是一家運營商，無論客戶的情況如何，他們的最佳解決方案始終是他們可以使用的一家運營商。它只是並不適合所有人。未來屬於獨立機構。

Now as these captive agents continue to lose premiums to the ultra-competitive independent agencies like RELI Exchange in the field, I mean their eyes are open. They have to make a change. And if they want to grow the organization at the same clip they did in the past or even faster. So when we're able to take a captive agent who already has the new business prospecting process absolutely dialed in, we can move them over to our platform, and it's instantaneous that they're able to have a significantly higher close ratio.

現在，隨著這些專屬代理商繼續向 RELI Exchange 等競爭激烈的獨立機構失去保費，我的意思是他們已經睜大了眼睛。他們必須做出改變。如果他們想要以與過去相同的速度甚至更快的速度發展組織。因此，當我們能夠聘請已經完全撥入新業務勘探流程的專屬代理時，我們可以將他們轉移到我們的平台，並且他們能夠立即獲得顯著更高的成交率。

Now when I say significantly higher close ratio, I'm talking a multiple of where they're coming from. So their ability to write and scale -- write new business and scale the amount of business that they're able to not only quote but close in bringing to their agency is very, very high.

現在，當我說顯著更高的關閉比率時，我指的是它們來自的倍數。因此，他們的寫作和擴展能力——編寫新業務並擴展他們不僅能夠引用而且能夠接近為他們的代理機構帶來的業務量是非常非常高的。

The feedback that we're getting from these captive agents, a lot of times the feedbacks along the lines of I wish I never joined a captive organization because of the limitations that are in place. Why didn't they start out as independent. But the reality is most insurance agents in our industry have no idea that when they're entering the insurance industry, an independent opportunity even exists.

我們從這些俘虜特工那裡得到的反饋，很多時候都是這樣的反饋，因為存在限制，我希望我從未加入俘虜組織。為什麼他們一開始不獨立呢？但現實情況是，我們行業中的大多數保險代理人並不知道，當他們進入保險行業時，甚至存在一個獨立的機會。

That's why we have the team of sales directors in place. So we can manage that outreach, educate these individuals, and court down from their existing situation, which is good to become independent and the RELI Exchange platform, which essentially makes their situation very good. I hope that answers your question.

這就是我們設立銷售總監團隊的原因。因此，我們可以管理外展活動，教育這些人，並從他們現有的情況中尋求幫助，這對獨立和 RELI 交換平台來說是件好事，這本質上使他們的情況變得非常好。我希望這能回答你的問題。

Definitely. Thanks. I know that part of it is it seems like a very scalable model. Can you talk about your cost to onboard the agents onto the platform?

確實。謝謝。我知道其中一部分原因是它看起來是一個非常可擴展的模型。您能談談將代理商引入平台的成本嗎？

Grant, I'm going to just start and hand it over to you. I'm excited about that part. Basically we've -- really the infrastructure is in place and we now have, I think, 9 or 10 as we call them sales director or recruiters. The technology is in place. So going from here to thousands of agents cost us almost nothing relatively speaking to increase. That's the beautiful part of it.

格蘭特，我要開始並把它交給你了。我對那部分感到很興奮。基本上，我們的基礎設施已經就位，我認為我們現在有 9 或 10 名銷售總監或招聘人員。技術已經到位。因此，從這裡到數千名代理，相對而言，我們幾乎不需要增加任何費用。這就是它的美妙之處。

It's not like the direct-to-consumer models that are spending literally hundreds of millions of their marketing. We're spending almost nothing in marketing because the agents bring their business and we only pay for that business when money comes in. You bring money to the bank; we give you money.

它不像直接面向消費者的模式那樣花費數億美元進行營銷。我們在營銷上幾乎沒有花任何錢，因為代理商帶來了他們的業務，而我們只有在資金進來時才為該業務付費。我們給你錢。

So Grant, you can elaborate if you like, but that's the beauty of it. We've been working on the infrastructure for the last now a little over a year and not to ban in this world for to get everything in place ready to go. And now we want to go from a sedan to a rocket ship. Go ahead, Grant.

所以格蘭特，如果你願意，你可以詳細說明，但這就是它的美妙之處。我們在過去一年多的時間裡一直致力於基礎設施建設，並不是為了讓一切準備就緒而禁止這個世界。現在我們想從轎車變成火箭飛船。繼續吧，格蘭特。

So this is Grant Barra. Ezra really hit the nail on the head here. We have the existing infrastructure in place. There's little to no cost to grow from this point on. An individual that we are able to contract and bring into the fold, a cost of the company of our employees' time in the training and the set up and getting them up and running, which is incredibly fast. I'm not sure any organization can onboard people as fast as we can today. But as we are able to continue to do that, there's really no variable costs that we're experiencing.

這是格蘭特·巴拉。以斯拉在這裡確實一語中的。我們現有的基礎設施已經到位。從現在開始，增長幾乎沒有成本。我們能夠簽約並納入其中的個人，公司需要花費員工在培訓、設置、啟動和運行方面的時間成本，這是令人難以置信的快。我不確定是否有任何組織能夠像我們今天一樣快速地招募人員。但由於我們能夠繼續這樣做，所以我們實際上沒有遇到任何可變成本。

That's great. Thank you.

那太棒了。謝謝。

Emmanuel Kramer, Private Investor.

伊曼紐爾·克萊默，私人投資者。

Hey, good morning. Thanks for the call -- improvement. I recently got about $3 million from investment. The court approved it and we got it. Investors have been suffering for a while due to reverse splits. Do you think investors can participate in those cash that you received?

嗨，早上好。感謝您的來電——改進。我最近從投資中獲得了大約 300 萬美元。法院批准了，我們就得到了。由於反向分割，投資者已經遭受了一段時間的痛苦。您認為投資者可以參與您收到的這些現金嗎？

That's really a part of the business. And I think the way the investors can enjoy and benefit will be a little bit patient. And as we carry out our plan and the reverse split, when that's something that we chose, we were required to do them to grow. But might take a lot of patience and well -- I know, I'm disappointed as well. I'm the largest shareholder by far. I am an individual shareholder.

這確實是業務的一部分。而且我認為投資者享受和受益的方式會有點耐心。當我們執行我們的計劃和反向拆分時，當這是我們選擇的事情時，我們需要這樣做才能成長。但可能需要很大的耐心——我知道，我也很失望。我是目前最大的股東。我是個人股東。

So I've put a lot of millions of my own money into the company before. So I think just holding out, using the money that we have to grow the business more and have a little more patience. The model works. Now we just have to scale up big time, like I mentioned before. So that would be the best use of the funds.

所以我之前已經向公司投入了好幾百萬自己的錢。因此，我認為只要堅持下去，利用這些資金，我們就必須更多地發展業務，並且要有更多的耐心。該模型有效。現在我們只需要擴大規模，就像我之前提到的那樣。因此，這將是資金的最佳用途。

And we treat this like a private business. No one takes here great crazy salaries, not extravagant offices, very practical, down to earth, treating a lot -- so you should have confidence that we're running it with some hedges and delays, but we're on the way. God willing, we'll get there pretty quick. Thank you very much.

我們將其視為私人企業。這裡沒有人接受高額瘋狂的薪水，沒有奢侈的辦公室，非常實用，腳踏實地，待遇很好——所以你應該相信我們在運行它時有一些對沖和延誤，但我們正在路上。上帝保佑，我們很快就能到達那裡。非常感謝。

We have reached the end of the question-and-answer session, and I will now turn the call over to Ezra for closing remarks.

問答環節已經結束，現在我將把電話轉交給埃茲拉做總結髮言。

This is John. I'll take this and wrap the call up. So on behalf of Ezra, Grant, Moshe, and the entire Reliance team, we very much appreciate your participation in this business update. We're thrilled about the outlook on the business and considerable growth landscape. Until next time, thank you.

這是約翰。我會接過這個並結束通話。因此，我們謹代表 Ezra、Grant、Moshe 和整個 Reliance 團隊，非常感謝您參與本次業務更新。我們對業務前景和可觀的增長前景感到興奮。下次再見，謝謝。

Thank you. This concludes today's conference, and you may disconnect your lines at this time. Thank you for your participation.

謝謝。今天的會議到此結束，此時您可以掛斷電話了。感謝您的參與。