Open Lending Corporation (NASDAQ:LPRO) Q3 2023 Earnings Call Transcript

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Keith A. Jezek: Yes. And again, Keith, happy to take that one. As we mentioned, credit unions moving from number one to number three, the segment of the market of auto lenders that has moved to number one is the OEM captives. And we actually see that in our volumes. We see year-to-date volumes of our captive customers up 19% strong growth there. And our share of that growth is continuing to improve. The pipeline is as strong as it’s ever been. I think in past calls, I’ve talked about the fact that that pipeline is the highest count it’s been. Happy to report that that count is even higher. Our value proposition is as strong as it’s ever been and our offering to this the segment. And, then I would finally just say that with multiple of the large accounts in the pipeline, we’ve achieved really important milestones on the way to a path to a sale.

All that to be caveated, of course, by the fact that these are very large enterprises many of them global and approvals and launches can take some time.

Lance Jessurun: Got it. Thanks so much.

Keith A. Jezek: Thank you.

Operator: And our next question comes again from the line of Vincent Caintic with Stephens. Please proceed.

Vincent Caintic: Hey, thanks for the follow-up. Just one more question. Just your thoughts about share repurchases the stop has been under pressure. It seems like aftermarket, it’s also looking like it’s under pressure. And understanding that maybe there’s some macro industry difficulties, but you’re, sounds very optimistic in terms of the long-term trajectory of the Company, you’ve had low leverage and good cash balances. So, just wanted to get your updated thoughts about share repurchases and how do you think about the value of the Company?

Charles D. Jehl: Thank you. Yes, thanks, Vincent. Yes, I mean, we currently have a Board authorized $75 million plan that’s out there. And we acquired about $10 million of our stock at $8.32 a share in the third quarter and we still have about $26 million under our current authorization that was going to expire here in a couple of weeks and our Board extended it to the end of the first quarter. So obviously, we see that as a good investment and a good use of capital to buy our stock.

Vincent Caintic: Okay. Great. Thanks again.

Keith A. Jezek: Thank you.

Operator: Thank you. Ladies and gentlemen, there are no further questions at this time. I’d like to turn the call back to management for closing remarks.

Keith A. Jezek: Well, thank you. Let me just conclude, and this is Keith speaking by saying that the opportunity to lead this Company, as I have said, from day one, remains compelling as ever as Open Lending exhibits all the attributes I look for in a great Company. We have a large and growing total addressable market, and importantly, our penetration into this market remains low. We have a profound competitive advantage and significant barriers to entry and a business model that leverages both one and two. With that, I’d like to thank everybody for joining the call today.

Operator: This concludes today’s conference. You may now disconnect your lines at this time, and thank you for your participation.

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