PRTH Priority Technology

Dave Faupel Chief Marketing Director
Tom Priore Chairman and Chief Executive Officer
Mike Vollkommer Chief Financial Officer
Brian Kinstlinger Alliance Global
Andrew Scutt ROTH Capital Partners
George Mihalos Cowen
Call transcript
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Good day, and thank you for standing by, and welcome to the Priority Technology Holdings' First Quarter 2021 Earnings Call. [Operator Instructions] Please be advised that today's conference is being recorded. [Operator Instructions] I would now like to hand the conference over to your speaker today, Dave Faupel. Please go ahead.

Dave Faupel

Thank you, Victor. everyone, us thanks, and morning, for today. joining Good are Chairman Technology and me Officer. and on Executive Priore, call the Financial Chief Priority With Chief Tom Officer Vollkommer, our Mike Holdings, of

prepared we our our results the a to cause that will number remarks, Before risks today statements. our I like The uncertainties all comments which to statements, forward-looking from actual and differ forward-looking would Company include forward-looking of materially participants remind involves may provide otherwise. no that whether to detailed obligation and or revise you review information, factors or undertakes result we a events discussion risk to new filings these We statements of our various update as a SEC filings. in encourage of future the provide

our With measures, non-GAAP performance measures the press the liquidity to appropriate release may and CEO, not of EBITDA can in our to go Chairman to but be adjusted and I Tom the we call limited and now that, our the our EBITDA refer turn over ahead. call. of and found GAAP during in like non-GAAP section including measures to Investor Reconciliations Tom, would Priore. SEC to filings available Additionally, website.

Tom Priore

of Ares acquisition XXXX Dave, overview related Capital remainder from for update success first of our thanks we're us providing strong the this begin you, perpetual in Finxera the for provide over in I for preferred would to debt brief for everyone I'll and positioning an long Priority growth quarter and and on Management. the financing joining investment Thank term. also and to our like call. by how earnings morning's a QX, call

share history improvement highlights our balance are a our public a quick post financial brief I'd and financial the few to results we like on Finxera company, our future. positioning perspective review upfront. would Mike's quarter first offer some to like for metrics, There Following as and our on sheet, of the

we purely of organic $XX established in contributions. budget excellent total commercial XXXX first profit financial approximately release, last the growth XX% million in the interest underpinned that existing revenue, merchant results billion to key or As XX% increase first $XXX.X reduces we've for refinancing $XX.X conjunction XXXX. in earnings revenue, the increased outperformance Gross to of with our basis including outlined a partners These in quarter the recently strong to bankcard our processing integrated financial quarter, closed volume X% In and segment. We million. we across trajectory Revenue and A the On growth a pandemic met the our which were outperformance metrics $XX.X $X results which quarter in business EBITDA debt, nearly and results, continued XXXX Acquiring profit, by in expense XX% by forecast payments gross with XXXX. RentPayments our million year. year-over-year adjusted approximately and EBITDA. first was per increased in EBITDA year with excludes results, the our to our September increased comparing quarter sold adjusted of XX% exceeded XX.X%. million X%

to the the also further acquisitions. of items million the Finxera remains for Management regards closing, powder We status are acquisition on investment QX key $XXX from delayed-draw dry the preferred and pending facility combination us close. for Ares help to perpetual execution of provide a track up place to added Capital and in finance With the and to Finxera

progressing smoothly. for financing locked the down, licenses previously, for process regulatory and noted the closing money transmission is the the of As transfer is

financial CFTPay the line the integrated of results payments in year-to-date terms expectations. platform are with In performance, business our

who our to that been this segment, teams leadership upon opportunities. greatest customers' further would and insights collective points and so organize pain on the revenue our to point, our resources largest immediately Mike? resources over the At how solving towards hand improvement best the have our into deploying and are will business on provide coordinating call our our trends close Importantly, and balance to like quarter, pause current sheet each I in liquidity. Mike, performance during we

Mike Vollkommer

amounts Yesterday's to the GAAP comments both prominent MRI XXXX the quarters. of of morning. meant from non-recurring you, results results for and under Those in first XXXX GAAP in This my release on comparability rather my are not comparison press Thank first RentPayment the quarter from quarter expenses expenses reconciliations It was XXXX compared first of performance, include as sold describe provides XXXX Tom, be $XX.X year. expenses quarter. non-recurring exclude XXXX press GAAP the our consolidated quarter certain release non-GAAP results excludes quarters. good results order and will basis. for comparisons. provides ongoing substitute RentPayment Yesterday's includes the highlights and XXXX, in business is non-GAAP of non-recurring also of we with comparisons of the comparisons provide that and of press $XXX.X also first a complement details in understanding focus XXXX first first a quarter quarter in amounts quarters a GAAP-based to last September quarter revenue a million, the million both In to from provides comments business to In increase to the our release. both XX.X% RentPayment on

anticipated plan. adjusted the quarter. XXXX XX% from improvement mix in $XX as and Income Tom a in XX% XXXX our million, were mentioned, $XX new of merchants from continued merchant Gross million quarter XX.X%. was of in was was And Over profit quarter. X,XXX During planned the was our of increase board million boarding. that the QX the XXXX operations $X.X million margin quarter. over Gross distribution margin coming first volume factor XX,XXX channels million reduction We million EBITDA from March. with XXX.X% $X.X $XX.X strong the nearly for on a in in increased added $XX.X diverse a XXXX, profit

volume business. segment payments Now in in Growth An quarter. X.X% ticket bankcard is the million $XX.XX X.X% let's revenue million within margin $XX.X from bankcard million in in processed Consumer was XXXX $XXX.X the was over base consumer $X.X from Merchant a $XXX.X and driven of the transactions quarter. from was segments. e-commerce by million, over Merchant this quarter. billion average in grew XXX% year quarter. the XXXX this is increase increased $XX.X payments billion. XX.X% our revenue prior of $XX.XX $XXX.X in This XXXX a $XX.X the XX.X% or growth this down million $XX specialized revenue high or XX% increase growth break merchants million

pandemic of beginning we at March higher Now in and back transactions saw transactions fewer the following payment declaration card-not-present tickets consumers XXXX, to increased. conduct average

a and favorable pricing types transactions. average offers than In generally volume card-not-present in of again both to first ticket. quarter the payment growth other experienced more us we transactions of Now XXXX,

SG&A model. performance in trend $X.X million. first had XXXX continued month, the payable million, $X.X million growth quarter million payments solutions Commercial from $XX.X overall million, of the XXXX was the revenue quarter. of in XX.X% million. processing a was curtailment million from automated for bodes by response X,XXX decrease was customer's nearly remained and managed Payments X.X% in I within in of by XXXX and payments as in Consumer and COVID-related increase Key $X.X revenue earlier mentioned employee in over customer's $X.X million conditions, decline with in and X,XXX this $X.X merchant The then the reduction this million reductions operations were this in range caused income accounts subsequent historical addition Revenue steady April its reductions mentioned quarter. increased merchant is a $X.X As growth. drivers financing an revenue $X services. merchants a new the of new merchants from $X.X I of This gross XXXX well Commercial to $X.X driven ongoing our of salaries very profit economic segment's in the over is of XXXX in boarding quarter. was benefits changes and XXXX revenue of million CPX per And program a to X,XXX business March

million its this will first enablement volume $X However, supplier experienced segment quarter are contract Managed in revenue the signings impact salary million, strengthening. new million. is $X.X the employee decrease partner which $X.X new by profit, over the quarter that pipeline CPX $X.X XXX% a increased of revenue and growing. with payments by XXXX $X.X annual quarter. Integrated And over million is revenue channel in quarter million. of XXXX was slightly over income beginning services XXX% benefits operations compared and its and revenue in in the to in in million in growth to first revenue from Gross SG&A. net a for managed offset of program sales the which generate due was was from operations was FI loss And first million Commercial trends compared $X.X partners channel. $X.X services was down XXXX

million increased this of Health and processing sale of and growth and XXXX, segment's Station was first quarter RentPayment compared million $X.X trends. Payright revenue revenue with PRET which provide $X.X Hospitality services Landlord Revenue support ongoing with first into excludes September from of of million to Simultaneous customers reminder, of MRI business. the entered comprised healthy from business payment and opportunity and expand remainder RentPayment RentPayment PRET us $X.X of $X.X to the provide in Solutions our relationship offers Through continue agreements Priority the a ongoing XXXX. million services, of quarter this to processing payment the both XX, an Technology PRET's this As existing revenue XXXX. comparison comprised MRI. business revenue-producing with our technology

of first $X.X of generated compared $X.X XXXX. in segment income million improvement quarter first Partners from Integrated an Our to the XXXX, operations quarter million

acquisition and It costs preferred in first first professional the in from debt XXXX, Now million this with of of for XXXX million of the that first comparison $X.X costs April expenses expense XXXX. and XXXX. March of refinancing, for incurred with RentPayment pending facility first April the the incurred issuance was expenses professional This quarter operations comparison the from increase $X.X debt of connection from $X.X fees stock. the expenses of quarter XXXX million Finxera, XXXX XXXX in in the of excludes first $X.X quarter quarter million were excludes an quarter excludes $X.X of amendment. million million Corporate $X.X XXXX income connection also

first back XX. I'll and significantly X.XXx our March net December Now, at ended leverage review was to million. net liquidity. We sheet total ratio improved debt reduced before from turning balance the XX call The Tom, quarter $XXX.X XXXX with to X.XXx at of

The delayed-draw is fully the reduced million The on fifth XX, Xx. refinancing facility fees available debt to ratio includes our total used the revolver. X% of in of XXXX $XX its term our quarterly which under in its was pay capacity matures a of of $X.X senior Our committed loan facility, interest April the and The we in unrestricted and anniversary. of has cash was have principal by improves anniversary. portion debt XXXX. debt basis issuance. maturity with refinance matures credit and to credit due $XXX Finxera XX million preferred On to equity expense be borrowing completed also us. $XXX a and is loan $XX finance which and term principal debt leverage million, to balance upon existing balance placement which Annual million loan million, new initial below used revolving the net equal position amortization This to term sixth points on paid It expenses. we has had XXXX original a revolving will acquisition, we an which facility,

over assumes use and within debt portion finance refinance pay $XX in add strategic $XX preferred issuance million, a preferred back And investment a expenses, reduces an that's scheduled the cash sheet when XX other Ares Finxera million repayments there for affiliates used issuance principal executed We facilities scheduled acquisition. stock fees acquisition million, This to by scheduled by of quarter of in This additional repayments million. stand to months XXXX. was then includes It has now by with finance a call Tom. were we $XX principal will an $XX.X delayed balance mature the less Finxera issuance additional committed debt, available to million the I'll of delayed-draw used $XXX XXXX payments also of a over to is senior million managed XXXX, to finance issuance reduces which acquisitions. to which of million old turn and now $XXX issuance perpetual the It for funds of principal be Management. in and certain the That initial number to acquisitions. from equity of third $XXX an refinancing XXXX. existing

Tom Priore

Mike. Thanks,

at an mission single currently existing we personnel a regarded our place of As emerge are realization to which and platform XXXX delivers bold, a payments, Priority's same international the platform our are plans activate out money XXXX, Mike execute. see significant finish settlement strong send term, facilitation store of Despite In market new both We transformation, the to verticals. XXXX. in-house extremely time, and to processing to well powerhouse we opportunities. quickly excellent as have collect, a shared, on the to the payment the equipped as near represent heels to had will scale. of start our recognize year the and you pandemic, an be but and we solutions to with products and including new Priority into At payments differentiated in will of segments roll that growth long-term

care, Now temporary resilience. none Priority managed grow million payment changes building focusing now experience Shortly environment. the over of hospitality, pointing network of in in million of have estate. product $XX was revenue after and results upward. team in clients It loss segments to line the differentiated with we us on delivering this through course out focus line enabled side bottom $XXX all but are our without possible BXB, countercyclical and a it company service easy, in would annual top rule health It signs the public XXXX, became mobile a and and Priority been resulted EBITDA. SMB in the XXXX's not acquiring other payment real Diligently and and to through and on COVID team's

debt the the asset over differentiation platform a proved payments at the RentPayment's EBITDA helped reduce successful by we with of multiple, $XXX out which million. our XXx Importantly, operating of monetization to

in Priority continued strength highlighted has from move Mike strength to As his to financial in XXXX. remarks,

all businesses without We Nevertheless, with to Priority's and We like past performance Integrated backend each card including consumer clients' moving built payments a are that month new our the us among our relationships partners is friction and sight world offer networks hope payment that building leaders settlement and card-issuing. easy consistently for intention, and single this automated A of why with reveals the fast the and be are positioned full payments hospitality, money commercial estate, we is unified X,XXX released. smart manner. with payments. our board in of of numbers reflect as and U.S., fifth and of diversified merchant economy and ledgering the facilitation a to low today through sales our demonstrate an connections of the infrastructure response payables On Federal commercial poised many collect, we our the we to of the well channels operate well virtual acquirer in of seeing the software goes our in largest of overcame. as that care. the the soon losing certainly are a future of an merchant the finance, and and to that brief each in critical account segments leverage payments needs send future. for real direct most the Partners service non-bank BXB customers, provider, capabilities proud Taking platform several Reserve. powering by go-to-platform the can into for health and and challenges With commerce integrated month, array and These acknowledgment today as for partners that is businesses fast-moving our Payment managing platforms obstacles ever ISV power we perspective so channels competitors. banking, be store that and full reselling, approximately capability marketplaces and inventory

As And transactions $XXX does Finxera and to growth and accretive pro and acquisition is ready for deleveraging financing run technology including recent our our EBITDA $XXX we and synergies platform, that on in that projected from million. note rate acquisitions. trajectory, acquiring, forma sit additional, factor is in forma approximately the access pro not Finxera current revenue when the today million transaction,

to Before its Q&A, system India health would outbreak has in we from personally located family many have away. in situation members has current Finxera country the open the remiss who crisis acknowledge the and this family I is team also worst where to the XXX line be team we The have of overwhelmed. during the trying for India experiencing with and colleagues are situation Priority Chandigarh. been world The navigate miles lost impacted in outbreak, several not thousands COVID-XX members care over the in

if our is As they for to in of local well and employees, help support has India already we're the questions. our course, of an as COVID-XX families us going business much to safety Chandigarh in Priority and of taking in their crisis. open pandemic please $XXX,XXX of equipment the vaccinations lifesaving the hospitals the area. navigate our will we for the committed line during height people, would the stability Operator, as did donation as organization the maintain you the communities money now U.S. colleagues That steps in the their same The and the families, way to


first from of Our comes question Kinstlinger Alliance Instructions] line from Global. the Brian [Operator

Brian Kinstlinger

margin business should mix return forward? that going e-commerce second changed the and said something during Can quarter the keep that payments 'XX you was the Nice results. the volume gross of will half Great. the lower lower planned, has a we e-commerce transaction or to you comment March on and consumer mix expect

Tom Priore

factors, Brian. of couple a Well,

and to just the would and because expect of people feel our trajectory. were in time growth fact that to card happen weighted segment. operating that do retail e-com we're shut trade merchants is mostly So not card to and more more the very, to present we comfortable I did very that economy of in our little its some we segment, going from down up, expect time present. to vaccinated a mix growth we We bit the is opening expect, that the segment be more becoming is to are Nevertheless, re-establish standard would say would we substantial this seeing

expect long the the did of from put game compression of of was with markers a merchants it that see -- would would that at but why was, a I'll we pairing mitigation bit So when we we we some it had us one the transaction of felt a -- it reasons standpoint. ahead knew term those look was some from a regulatory as unfavorable risk just activity say like

Brian Kinstlinger

And should end, margins XXs in dynamics, it? the as those that so will of acquisition we pre-Finxera think that to the of result is be how about both high a

Tom Priore

in from I improve. would I would neighborhood. that that a say only modeling a view it differently, this you you know in don't can standpoint would Mike, that if voice I would that offer conservative to be but

Mike Vollkommer

that. -- revenue, in same year. again, Yes, seeing have but But QX agree volume right. volume with I what had over a And -- trajectory bankcard would we quarters we in the with earlier That's the only and did merchant last those but card in in merchants drives of growth. is -- the that QX component of been specialized grew

think had circle total in we back can I why see decline you if volume. to with you So --

Brian Kinstlinger

a here? growth the I'm I but so needed, cycles, then I on more revenue they're of for on revenue to and up bit that is recognition? little missed XXX% marginally, at is do catalyst development what's revenue I lead growth sense accelerating more a what so why modest the sales going sales sales, increases in is dollars -- growth the it CPX as maybe looking platform? you the think And CPX and people, payables and XXX% it maybe Just to acceleration for was BXB see mentioned, You confused, Okay. total technology,

Mike Vollkommer

our in richly into very QX with -- was which -- priced pipeline the QX versus contract That is of reason those year of the higher more which base. volume revenue actually, our we channels, Yes. the is in was last why the in looking that strong. that I'd one customers, say, line growth other repriced growth and customer with ago didn't a The equate became that's market was, overall year continuing,

why that And amount kind volume pipeline we was that some growth the cited experienced. I the building. of volume quarter-over-quarter growth is and the that it then... one customer had of But a is momentum So just we that's decent those -- suppressed strong,

Tom Priore

I just that I'm offer you to point. on sorry. just further would

the just the been -- our when distribution, far anything, didn't Just the and during largely just previous didn't the personnel on to you launch had look kind community FI do as the as right. pipeline at it. focused they have of They pandemic

to to and poised adapted, sales the already that's yet But very confident either ISV. kind -- contracted quickly been has launch. tip we in in initiatives are and are to that So of customer direct pipeline and we're contract our negotiation our -- or we've

Brian Kinstlinger

Great. others. Last some get queue question the back I'll with in and

While the the preparations, if to being just talked and base? talk about your that you're thought so about can closed customers with about cross-sold, that's you offering customer response how be you acquisition banking can you the obviously and going new accepted have hasn't approach begun Finxera

Tom Priore

I been fantastic. Yes. appreciate The the has question. response

the Fed. which can more to much that more endpoints their to takes to lot efficiently. that already existing going we much are connection customers are efficient companies now a X, are with in platforms on are connections in into platform And implement to for to new because money-sending operate into are realizing how opened as their banks them with we discussions deploy We've we channels ISVs. X So they're payment X, then that to into directly facilitation instance their consolidate business of the existing X a with up --

examples. and just X -- are So those

happening. more be we estate think that I around noted the already our deeply in real we'd That's penetrating space. initial Finxera comments

relationship, and working deposits, -- start then into security in for prepped deposit handle securities an MRI -- our adjacent that are on we'll et that to for We to accounts segment. cetera launch solution immediately solution

team a and outlining that's So just touching roadmap scratching the -- just is frankly, together. like the we've already And the got surface. that working on

have payment that about a however, wallet are virtual solution implementing that of board in with acquiring want customer-driven you across are banking think combination it. and to electronic projects We the commercial our or

-- So intended ground hit that's we're to we happened. the and running


next ROTH Our Andrew line Scutt question comes the from from Capital Partners. of

Andrew Scutt

which question, on in First you about guys that supplier talked the just enablement you comments can in additional the should provide some business to the expect the substantial business over year? where you feedback commercial BXB payments to what generate rest that revenue, in cadence $X has product kind million of said of annual of their it and the would you we customers can talked be if been rollouts

Mike Vollkommer

have obviously, Express Express supplier an us do a and American relationship program. -- said, and for big came with a They That's Sure. want American to enablement. you we that's we to

of payables. their use take to card Express us does has is, -- their to merchants So with working pay what American certain it to that

bills. staffing So up. say now. enablement, those and going ramping need of we're to make supplier when for that people we're to we the to program, use suppliers get it cards in We seats payments and merchants Amex It's enabling

million there'll So in ramped $X about QX see we're will we to a run and those -- coming of start going to fully on estimate be $X it million rate annually. results be and

Tom Priore

The are contracted. heads And contracted. maybe on it, a to put point it's fine

salespeople, of filling pace with the just seats moving our are expectations. at and is the that We

that grow $X and seats will on then we referenced. the million be and revenue keep off on and filled, what's just has get will first kind are grow We can we phase So with there we'll that from actually that's the that of those there, optimistic been us to based over that, voiced Mike sort which also spot historically results. ground, of case the this from been the

Andrew Scutt

was helpful. That very Great.

Second progress last onboarding -- I former been you you quarter, the from in job, question know on and quarter the of the contribution some provided especially doing provide good a mean, update on if you RentPayment's guys clients can I that? have here, a revenue maybe in MRI, the

Tom Priore


you had number. Mike, just you review want again? Do to think it I that mentioned

Mike Vollkommer

numbers until in were over day that We've of been And focused be penetrating $XXX,XXX on a but specific MRI's internationally but coming base, this it's revenue was our have we opportunity. the quarters. customers, don't moving the on Yes, the existing expanding XX-fold up into I customer renters quarter. that will that

Tom Priore

access about X the that moment they've book. the to the some been by we after are MRI's give XX% time sort sense. -- seats transaction transaction, just to call June, million October in, so over on more at in platform of remainder going of at after about moment XX% a opportunity, year, we'll And Yes, platform. were at we to it let's that their and got growing the closed in comment had aggressively the, earnest Mike's And expect call, of we and it, And there time all being everyone now XX.X September, million between that sort had of to renters that the to XX-fold really done The renters we you over July in working be a MRI, the in existing frame. of moving of and then found start increase at

through So we'll begin summer that in the months. earnest

Andrew Scutt

Great. Yes, that's a very exciting opportunity.

question off for kind first question. Another the me, of piggybacking

in have strong trends e-commerce, in were said positive little card-not-present some blip in but margins transactions dropping despite that e-commerce So guys down this gross customers so you the can expect something will momentum there you you seen not XX% were of in see to reoccurring any we substantially, to be rebound items or guys one-time pretty there gross kind so over that quarter's margins?

Tom Priore

in. you weigh let Mike, I'll

Mike Vollkommer

Yes, that's fine.

that margin margins the our was a that high excluding our at for look percentage. comparison. then to margin RentPayment have with because in You helped for -- But revenue us

forma will, we -- -- If headed for profit a basis Finxera with with the approaching that We're you put the margins. upwards numbers Priority, at new in pro XX% if quarter. gross pro forma you take those forma where look first we we're Pro were

bring the that the well. this are margin historical in, Finxera once margins we where XX% think had grow And their business, as on an we as we upper-XXs organic basis, and quarter, pushing business leverage we that's are overall. I the a high of in on book -- So just but technology,


George Our from Cowen. line comes next Mihalos the from question

George Mihalos

Congrats be that in realizing could on could terms see big of those a like company, you're what curious but a they're synergy pro could of you not if perspective opportunity from us maybe for moving a thinking high Finxera, maybe nice obviously just quarter. at contributions that of outlook? dimensionalize level nice the pro -- Tom, in sort are with for that forma look how to along forma a things your

Tom Priore

Well, so George, expense me actually so talk -- let about revenue. versus the

people expense synergies talking the straightforward And rid basics are very of Okay. feel when a for we have need of comfortable. not as very through to declines rather are getting We heads will budgeted these where that be SG&A. some we but about personnel would filled instance. acquisition, stand-alone we by really technologist, you very The because we longer a they the add are Finxera are no

synergies. any straightforward pro already we've going the the and insurance to we're even give examples. included in you very formas auditors, pro SG&A simple to and market, not $X et very cetera legal we've expense what side discussed just But hit we communicated that some management million that just synergies have projected. forma of between the we've X things the combining reductions or revenue that's expense this, And So on like comfortably contracted very I'll

take just cash, acceleration, charges let's cash, a flow -- X% lifeblood Cash, small And okay. level, funding a most right. open XX% are App business who bank of the cash is we Well, their at you merchants penetration acceleration of Square for the of the account. of There Cash logical any or on funding where offer, instant if what $XX had banks for some other up same-day One for plus just our a XXX,XXX immediate funding call, month. they

course, account. that create -- we to Of have linked accounts that every to virtual have ability they now merchant

processing FDIC funding sign account, can with So insured. for when Priority you you get up bank an immediate merchant

right XX% we account, penetration, there. the market If over $XX of So operating our it the gets minute $X that's a settlement account small a it merchant. credited synergies month for hits charge to rates, million that,

As balance of sits our of that the on we course, sheet carry. benefit money have

$X pretty basis we low that's points that, but is Let's XX on say made which million. another

so So line in together businesses. verticals technologies bounce or How much accelerated we the biggest sight year, funding is our the the need we business what is be small to out statistics could we just are right? just kind think we is clear to greater, be these advance average businesses. -- rate going of bringing on a we're one rates, businesses in where to to opportunities not value of least our to get and about in penetration but going but small by feel $XXX at go look, in mean want So of of are insufficient could average that one terms one penetration a single line clear, of of clear And checks it putting gives you small to just example think funds what solution. costs this. This high these

debit how merchant, and now Now taking by hey, PriorityOne would Mr. single way, right. saying, card that include that that on account, the doesn't like you a account

a after card all. are We issuer

a to your payables. card suppliers you adopt Here's automated CPX your pay use for or can

with pay right. card You back customers back earn virtual and money opportunity, a your can cash all as

So the already we preaching, don't out but market right. just or And business sound apologize and We're drivers headed. of George, and shop we a of of all appreciated, these built creating name receiving banking small fully marketplace, where think small from products what is the of comparable a I I sell. XXX,XXX -- being where to if bunch is for -- play a be we stop one you We've the we I the that's -- instead whole network that for payments. think a think it Uber businesses. come that's And Uber into lot card this on money you, marketplace, have a frankly

Our X,XXX boarded don't Other COVID. to businesses We've power. products every that during sell distribute month merchants. consistently even X,XXX with

you of the around has X really bought And for EBITDA, for close that's multiple you check there's tremendous you XXx just market. look combination one Priority card just if occurred out it. So smooths the supplier to automated give I'll I'm basically kind merchants at folks to high wallet REPAY paid kind excited has -- and mean okay. you we're don't to get by you of can and valued account acceptance have card, and but payables. to is the but example. right, talk out you has But and add for is one, premier this. to and for just going We're into of ACH, a value I on-boarding. now right business account, come about I digital get a a mean is are stack other think, BillingTree BXB business technology a serve, need and been now That with mix transaction of BXB that what into the appetite attached the really where that that the there entrepreneurs have quick the our we could by hey, this yet, we that, sure the small segment

mean think So line revenue clear be to their of come a can to it all going to payment see of I sight resolution I'm in think let's friction invoice. not low for Priority-sponsored a -- supplier I predictive will for But being experience what network to we a into it acceleration.

very hopefully, assessment that business' opportunities. in at make state We're you steady of So tools included just just forma of performance. But think we very, apply our of their how the again gives some sight line that's now. clear granularity mindset of it pointed, rate looking pro revenue have these current around we at some those right to our some and the and not

Mike Vollkommer

of pro forma also in clear, any we And I'd that that expense just not did synergies in either. to add to just those be that, add

George Mihalos

of a bit And sort That's onboarding sort plus you in you or that I out talk just a stands X,XXX about to merchants again, Okay. you've The quick congrats little of March, the terms Appreciate that in follow-up. great. color onboarded on verticals quarter. that process? that anything of can color. those mean around some

Mike Vollkommer

just onboarding. pointed nothing we it's the issue, steady is was out all it's normal the strongest on of It's there the the at It's because -- our that quarter board. got mean we've across that's month board particular March I across goes markets, Yes. unusual. -- cadence into level. in and we're our it just so And vertical selling but constantly

Tom Priore

probably some I realize put granularity it. look we're on at jumping mute, Yes. XX% if high-teens, our didn't I similarly generally space providers up in XX%. services and thanks George, wholesale care apologize was the just salon to kind in legal makes health hospitality for And on X, so to X-ish and of situated health of kind book you mid-teens, I care in Mike. -- trade percent The

So boarding sort of the been has trends. those consistent with

of seen right, channels. or in diverse of in higher and were probably, sort We have that's kind that really And have rate know, in have and haven't high we sales to that channel a what area effective more sort lot growing compliance unique us specialized of of make the still than of there. in one few bar reapproach the where 'XX. last very that acquiring over to a tools that frankly That's come sales e-commerce a segments we some at set very back tends of that a collectively you we years. which is already volatility The


Global. from Brian Our next from Alliance Kinstlinger the of question line

Brian Kinstlinger

second onboarded, got we've seen and Great. board the -- there reason side everything on any quarter? goods seen play to that One up, inflation in first you've believe the where June merchants quarter are any the increased follow-up is of and consumer March is obviously growth versus across going the reason in believe won't and -- you've with the we there services half prices see on to out,

Tom Priore

see. feel we very can the in Certainly, nothing in now we we comfortable have trends Right place.

were COVID all and that at months be sell-through continuing that's in on catalyst reflected would thought still for delivering the the right certainly at and on we a as we're above kind rate, turned As same period that we the of volume to growth XXXX, right, earlier fact that trend -- we most rate.


follow-up Capital. Scutt have another from from ROTH We Andrew

Andrew Scutt

Two me. Yes. follow-ups from quick

the you you're about have preferred guys just the some So in the acquisition? you what in talk -- refinancing have refi, first, available and on issuance, powder anything preferred acquisition, specific $XX from million that's for congrats potential seeing guys additional if you is for the in completing you're I can a an there the market dry looking know

Tom Priore

nothing say the kind interested from years. would that's been I the of we've in last few segments changed

one of ISOs We the down presence, area a market and smaller particularly looking monetize business, the made. certainly that space. When in calls to resellers of pretty are their strong have are the acquiring we're

see business we what to on and horizon basis. Finxera more on be, already good is the going uniquely those would would is opportunities acquiring see is there example of our focusing -- attention, that think I we're the there regular is pretty of Unless situated transformational I there, So great we space. nothing We're it consider, have look, we -- see a a to acquiring the -- we a that in perform.

open that area examples estate, profile. types space of in our more countercyclical our technology finance the the to fit So certainly right eyes being verticalized CFTPay. core tended have that we BXB be with up ones real the offering, assets are most and that we'll course, are can strategies, those around And consumer and and of Finxera, opportunities enhances have those appealing opportunities pick where for our good

that able I say, really interest than I XXx greatest pretty in you we at that feel our that acquire lies we they favorable best where transaction acquiring efficiency in at we're Priority and executed the the the for that's did note very the So for reposition asset, improve and structure go business that -- confident maybe, let's we at complement was XXx what less and disciplined And with its we things. we that very -- way and that in would organically. purchased look to out MRI were EBITDA. a in exit those EBITDA. because RentPayment we have mean growing

to where won't that. built But folks be opportunities continue them in, to I into we organically or so cost, and long-term that clear consolidate think it XX.Xx referenced, to that that Systems which how at for integrated to verticals at insight for we key we that's We -- hopefully that. Deluxe's do pretty personally American just to think made very Payment continue REPAY am the that And look it's those better we're certainly to assets I invested we'll businesses belabor much overpay one one into can Look want for success. at This of So in industry purchase of already right. but we First lot to that is, long the the thinking, runway. long haul. the the already long, some hopefully, third under-appreciated not a transaction a we're gives think payments you operate a planet, We're folks. assets clear. payments, I we we for has accelerator and think in by which the secular largest opportunity is It's I we that just

of players So this be reckoned lot of the have with powerhouse we we a ever journey. the hand and about ways infrastructure real and to probably how good sophisticated that a to feel marketplace play, very ways as very, can than We more recognize continue lot successfully. in payments the leverage be to but force there's play on we built we've to a we certainly

Andrew Scutt

appreciate Really may, just housekeeping. kind if last, of And detail the I there.

of $XXX the revenue and to million to million $XX are year million in full on like color Finxera guys in an $XX offered guys the and EBITDA it you $XXX you On looks to pro organic million the guide those are going to want just you just those comfortable still numbers the so with forma an meet bonus, for guys on touched then numbers extra with you make I growth? organically and added sure numbers Finxera, annual

Mike Vollkommer

so We comfort we just on that in had greater gives out. plan QX, -- put we exceeded our organic it those numbers us


Priore for the remarks. I'll Tom closing And to call now turn over any

Tom Priore

support you is everyone's once understand Take the just to weekend, but great and our and again. the for Well, everyone everyone again week headed the that mission. of has of and and time want hope business quarter line thank not care, appreciate we I a where I thank questioning the everyone. in remainder just to certainly once


concludes This you for call. participating. today's conference Thank

You disconnect. may now