Katapult Holdings, Inc. (NASDAQ:KPLT) Q4 2022 Earnings Call Transcript

Derek Medlin: Yes, that’s a great question. Thank you, Anthony. So, what we’re seeing right now is actually remarkably similar behavior in terms of average cart sizes and average performance. Everything is in line with our expectations. In fact, exceeding our expectations, I think the most exciting part is the frequency of a consumer, who now having the ability to go to our marketplace on the website, understand that we have this large network of retailers that they can shop at. And so, we are seeing an increased frequency and a shortened time between transactions, which from our standpoint is great from a lifetime value and an engagement standpoint. And consumers are performing extremely well. So, it’s early days, but we’re really pleased with the results.

Anthony Chukumba: Got it. And not to bogart the Q&A session, but just have one final question. So, you mentioned deeper penetration with the wafer. So would that imply that your, I guess, the €“ your — I don’t cover Wayfair, so I’m not super close to it, but I know that their sales are declining. Would that imply that your gross originations with Wayfair declined at a slower rate than their U.S. sales bid? How should we think about that?

Orlando Zayas: Hi, Anthony, it’s Orlando. Yes, that’s directionally the right way to look at it. Obviously, we look at their North America, the U.S. sales and compare how we do to that. And so that’s how we look at that penetration rate. And, so while we can’t affect their sales and say magnitude as they make with other marketing and things that they do. But we like to see obviously, that penetration improved and we did and we saw a nice improvement in the last quarter and continue to. So, it’s all about working with their customers, getting them back in to buy more making sure we market to them effectively letting them know that they have the offer and it’s proven to be successful.

Anthony Chukumba: Got it. That’s very helpful. Thank you.

Operator: I show no further questions at this time. This concludes today’s conference call. Thank you for participating. You may now disconnect.