Repay Holdings Corporation Class A Common Stock Canaccord Genuity's 46th Annual Growth Conference

Sounds great. Yeah, so thank you for joining us today. From a Repay perspective, on a post-KUBRA basis, the new Repay is we think we're one of the leading providers of consumer bill payment, bill presentment across the U.S. and Canada. We offer the most modern consumer experience where the modern consumer is today, and that consumer is us, and how we're operating, how we interact with a large biller. We provide services to some of the largest billers in the U.S., whether it may be on the consumer finance side, and now on the utility municipality side, and the government side. And our ability to offer that end-to-end comprehensive solution, that we can provide all those communication services, those bill presentment services, and obviously the payment services of that.

And we'll share a little bit more about that as we walk through today, but our ability to offer that end-to-end enhanced consumer experience on behalf of our clients, which will be many of the large billers that you interact with as consumers.

Sure. We delivered on our expectations for the quarter for Q2. We had 6% organic growth. 2 points of that organic growth was our political media business, which we'll talk more about in a few minutes. With the primary season going right now, we had a nice uptick from that for the first half of the year. In Q2, our consumer business organic growth was around 4%, and we're starting to ramp that as we go into the year. We gave a guide this year that we'll exit the year on organic growth of 10%-12%. If you exclude that political media number that I talked about, it's more around 7%-9%. We do expect to ramp in the back half of the year. Things are going as planned with the KUBRA integration.

We had a strong free cash flow conversion at 75%, or $27.4 million of free cash flow in the second quarter. The story that I gave on the call, and the story I continue to give is this, it's a cash story. Both businesses generate a decent amount of cash, and we feel strong about our guide for the rest of the year. We expect a free cash flow conversion of around 30%. That will ramp down because of the term loan that we took to buy KUBRA. Some of the interest will start hitting on the back half of the year for that. But we're starting to expect a decent ramp for the back half of the year as we have new business coming online in our consumer space.

As I said on the call, we're seeing some of that ramp come through even in the month of July. It's starting to really materialize. We're really excited about that, and we're excited about returning to double-digit reported organic growth, and then we're excited obviously to talk about KUBRA. Only owned it one month for the quarter, but plans are executing quite well.

Yeah. We've made a lot of investments we've talked about over the past few quarters, in people, process, and technology. We're launching some new technology in our consumer business. We've talked about some of the voice AI, John talked about on our call, and our Dynamic Wallet where we can put actual physical bills into your iOS or Google device. New technologies coming out, and our customers are excited about it, and we're ramping some new volume. For any of us who tracked us, we had some non-competitive losses that we had ramped or lapped from 2024, of a few clients that were part of an M&A and sold and went with the parent company. But we have since lapped that, and we continue to have pretty strong growth on the back half of the year.