Corpay, Inc. (CPAY) Earnings Call Transcript & Summary

Good morning, and welcome to Citi Fintech 11. My name is Peter Christiansen. I'm on the U.S. Payments Processors and IT Services team. This morning, I'm pleased to be hosting Charles Freund, CFO of FLEETCOR Technologies. And before we get started, I just want to remind you that today's chat, Charles may make forward-looking statements. Actual results may vary materially from today's statements. Information containing risks, uncertainties and other factors that could cause results to differ from these forward-looking statements is included in FLEETCOR's SEC filings and Investor Relations website. Our discussion today will include references to non-GAAP financial measures. A reconciliation of non-GAAP financial measures is included in the company's most recent SEC filings. And with that, welcome, Charles. Great to have you back this year.

Thanks, Pete.

Why don't we dive right in, certainly, a topic that has been on many investors' minds these days is certainly, inflation. And I was just hoping if you could help us understand that spend volumes, fuel prices certainly benefit from inflationary pressures. But generally, how should we think about where we are in FLEETCOR's overall pricing power across the various segments now that we're exiting or hopefully exiting the pandemic here? And how do you -- how does FLEETCOR think about balancing their pricing approach against continual 94% retention rates, which have been really high? How do you think about balancing that trade-off looking forward?

Sure. So just starting on your inflation comment, yes, so we do benefit from inflation. So in certain places like Brazil, where inflation is high, it's built into the contracts automatically. And that's a standard in the country. So all boats rise with the tide. Certainly in other categories like corporate payments and such or fuel, as you mentioned, where a portion of our revenue is tied to the spend as a percent will benefit from rising prices as well. Then I guess on the flip side, so we'll also have vendor inflation and things but with our high margins, in general, inflation kind of helps us overall. Speaking specifically around pricing, no surprise. SMBs tend to be a bit less price sensitive and enterprise or big resellers tend to be more. They have more sophisticated procurement processes, and so they'll take things out to bid at times of renewal. So what we find is, basically, we generate rate opportunities through mix by selling more small businesses, which we're doing in a host of ways. So one, lots of digital selling, right, particularly in our fuel card business, which by its very nature, attracts more small businesses. So you get benefit of mix there. And then with the launch of our Corpay One product where we're going to take corporate payments down market to SMBs, big companies with less than kind of $10 million of revenue, that will also help in terms of rate mix as we move through the next couple of years. In terms of [indiscernible] we're at record levels in the last couple of quarters and a couple of other things that we think can be helpful there is by selling some stickier products. So we find that full AP once fully adopted, tends to be a stickier product than just a pure card product. And then by selling either multiple products as a bundle or creating multiple use cases like with tolls that use fuel and drive-thru and things, when you use the product for more than one purpose, we actually find the retention is higher. So again, by selling that full AP solutions and cross-selling multiple products, we think we can hold that retention.

That's super helpful. And it's a good segue and I was going to touch upon how digital marketing has certainly impacted the fuel card business but broadly across the entire organization, how do you see that mix evolving over time? I guess -- potentially, I guess, against your telesales effort, which has been a big engine, growth engine for the fuel card business but as you start adding more direct digital marketing efforts, potentially even client onboarding, is that continue to become a bigger part of the overall mix on the go-to-market side?

Absolutely. So I think all of us, myself included, are addicted to our cell phones. And so in the past, digital marketing was buying Google ads, right, and seeing who does a search and what comes up for fuel cards. It's a different game today, right? Everything is touching us from multiple angles, whether it's Facebook, it's Instagram, it's LinkedIn, it's you're on some portal somewhere and ad pops up, it's even television, digitally targeted television, where the commercials you see are different than the ones that I see on my Smart TV. And so we're in all of those channels at different degrees, different levels, where we're playing across the entire spectrum to make sure that we can reach people in the best way. And so yes, digital will become more and more of our selling, but it's not always end-to-end. So what I mean by that is not everyone who comes in through a digital channel, completes an application accurately. They may have questions while they're applying. There may be some follow-up information we need before we can underwrite the accounts. In all of these cases, we'll be following up with live people, making calls or chatting while people are online and such, and that requires human beings. And so what you're seeing is a transition of what we call outbound telesales into what we now call inbound telesales, where it's a lead or someone has tried to apply. And in some cases, they just leave their name and number. I'm interested, but I just don't want to apply online. And so in that case, those people initiated an outbound call, but it's from an inbound lead. And so what you're seeing is headcount being stable, but it's shifting in what they do. And so we're creating way more digitally enabled leads and sales going forward. Now it does differ by product. And so as you're selling -- certain of our products are targeted more small business. And we've evolved the digital selling engine there to be more end-to-end full fulfillment. In cases where, say, full AP or virtual card and such, where we -- in the past, they focused on the mid-market, it's more of an account-based marketing approach, where we're trying to soften people, bring brand awareness, educate people, multiple constituents within a target prospect. So that way, when we come in with our proposal, they have multiple decision-makers or influencers. They will have known our brand, they'll be familiar with the products, the benefits, et cetera. So it kind of softens the beach a little bit, but it's not an end-to-end sale. Mid-market sales are more complex, more timely and generally will require some human interaction along the way.

That's helpful. Maybe -- and it's a good segue we could skip to the strategy with Corpay One going forward, and now that's certainly an important part of your growth algorithm, helping bringing the payables business to the fuel card side. And certainly, there's a really interesting cross-sell opportunity there. I think last call, you talked about targeting 20,000 fuel card accounts in 2022. How would you characterize the initial effort here? Are you targeting certain client sizes or fleet types? And also, how should we think about the overall opportunity here? And then maybe I have some follow-ups.

Sure. So in terms of targeting those, I think Ron said 10,000 to 20,000 accounts, it's really what we hope to onboard by the end of the year onto the platform. So we'll be targeting far more, right, not everyone bites at the apple the first time around. And so what we're looking at is mostly local fleets, so not so much over-the-road trucking but more local fleets. And they'll be in that small business segment, so less than $10 million of annual revenue and so the small local fleets that aren't super fuel consumers. So trucking fuel is 30% of their expense base, right? So the incremental spend that you would get from a trucking fleet, but bringing on bill pay is not so much because they're more fuel centric. So going to other fleets, let's say, the construction fleet where, yes, we drive around for jobs and such, but we're buying all kinds of supplies, wood, concrete and all of those things that you need for a building project, as well as renting equipment and doing other things, right? I'm going to rent the cement mixer for the day or whatever it may be. And so there, we see a potential for a lot more spend. And the take rate on bill pay is less than fuel card, but it's a multitude of spec for those types of clients. So in terms of the balance of, call it, revenue opportunity for FLEETCOR, if we get full adoption from a nonfuel centric, so non-trucking type of fleet, we would see that opportunity as a kind of a 50% to 100% uplift in revenue per account going from just fuel cards to fuel cards plus full bill pay.

I recall that previously, that was the BuilderPro product, I believe, at some point on the construction side. How does this -- the Corpay One solution generally compare versus that? And then I guess as you think about approaching this underlying customer segment, are you -- is this like a greenfield opportunity for you? Are these users that haven't been on any type of payment -- payables solution before? Or do you find situations where you're actually -- your value prop is, "Hey, you can have a unified solution with us, you can do your fuel cards and payables at once." You're ripping and replacing some other type of systems. Just if you could give us some -- characterize some of the -- that outlook for us, that would be helpful.

Sure. You mentioned the BuilderPro card, which is basically a purchasing card for the owner or a central AP person within a firm, and it would leverage the fuel card credit account, but to make these card-based purchases. The big difference with bill pay is that we take all your bills, regardless of whether a person takes cards or you're writing checks or you need to do ACH or you need to do foreign exchange, do any kind of cross-border stuff. So you basically just give us your entire payment file and we can do it all for you. So in that case, we can capture a lot of spend, and it gives us the opportunity to bring virtual card acceptance to your vendor base. Using the BuilderPro card, you call up, "Hey, do you take credit cards?" "No, I don't." "Okay, we're done talking." But if you write a check to that vendor, I can have a different conversation because I have other relationships potentially with that vendor. So you can leverage the entire vendor database that we already have, both domestically and internationally. And so that's super helpful from a monetization perspective, and you can capture way more spend and then monetize that in the most optimal fashion. In terms of second part of your question, remind me again, Pete?

Greenfield opportunity versus potentially -- versus competitive situation where it makes sense to unify the fuel card business with the payables functionality. Is that a value proposition onto itself for some of these clients?

Yes. So in terms of the market, in this segment that we're talking about, we see penetration, it's less than 5%. So these are not competitive takeaways. This is bill pay for the first time for many of these clients. In terms of the value proposition, while we think our bill pay solution stacks up quite nicely versus competition, it's brand new. It's only built in the last couple of years, totally cloud-based, it's terrific. But we want to get a leg up on the marketing side. So we think combining that with either our fuel card or a centralized purchasing card or other FLEETCOR products and creating one credit account where I can go out and buy fuel, I go buy a lot and do other things, but I can also pay other bills. And so you can have a fuel card that has a credit account that if you don't use it all, great, pay other bills using your credit line. And so in most bill pay situations, you're basically tapping into the bank account and getting good funds. But because I've already underwritten you, I know I'm okay to take you to a certain credit limit. And that flexibility for working capital for small businesses is incredibly important. And so we think that's a really interesting proposition that's required us to do a few things with the platform to make sure it's more unified and how people can view their total spend whether it's on card products or on bill pay product, but that is getting launched later this year.

That's helpful. And it certainly makes sense. Product development versus in silos versus actually designing solutions around the customer or customer-centric kind of approach, I think, is particularly attractive. And I guess this is a great segue into how FLEETCOR's tech stack is kind of evolved over recent years. This has certainly been an area where you've put some resources to work especially moving to the cloud in many ways. How should investors think about some of these investments starting to pay off in terms of either expense reductions or speed to market on developing new types of products or even improving operating efficiencies. If you could just give us some high-level overview of how your investments in FleetCor's infrastructure tech stack is starting to bear fruit.

Sure. So our tech stack is quite diverse across our various products and such, and we continue to buy companies, whether it's Roger, you get the Corpay One solution, ALE, AFEX and other things. So we continue to build out our stack, so to speak. With that said, some of the things that -- where we're really focused on growth, so Corpay One is brand-new technology, as I mentioned, even Nvoicepay, which we bought a couple of years ago, again, a very modern platform. We do have other things that are more legacy in various businesses. And our approach to that is a multiyear strategy where we compartmentalize the systems into their functional components. So think about it this way, I may have 3 or 4 different fuel card systems because they serve different purposes in different geographies. But they may have -- they all have similar functions, have authorization, have card management. I have -- may have some kind of credit engine built in, I may have billing, I have merchant settlement. And these are functions that are similar across all. And so what we're doing is we're compartmentalizing, pulling those pieces out, bringing them to the cloud and then all the systems can touch that single component. So it's a micro services strategy, but it's literally compartmentalized first, make sure that is similar enough, taken to the cloud, point those other systems there, and then over time, you just transition more and more. What we're not doing is big scale. I'm going to take the entire platform and move it all at once. We've made incredible strides in the last 2 or 3 years in terms of system performance, the stuff is humming. And we're -- I'm convinced that that's part of the reason why our retention is good because people are happy, right? Because it's -- I'm not having an interruption in service, and that's a good thing. So I don't want to risk that. And so we're taking a very methodical approach to step our way to the future. And so we're on that journey. We've made some good progress this year, but it's too early in terms of that migration because you're moving parts at a time. It's not [indiscernible] the whole thing, move it, shut it down. And so it is going to be a multiyear journey, and we're underway, but I'd say we're still a couple of years out.

But we should think of this Corpay One initiative is really accelerating that vision, I guess, longer term, right? As you start adding some of these accounts and that functionality is certainly a sign that the cloud strategy is actually starting to form.

Yes, for sure.

That's helpful. Why don't we transition a little bit into credit trends? Certainly, we've seen very low credit provision issues in this environment, and you've managed credit really, really well. How should we think about the interplay between credit extension driving new sales I guess at this point of certainly exiting the pandemic here, and as I think about a credit is certainly valued in the marketplace, but do you see that credit availability becoming more and more of a competitive component, I guess, over the near future?

Sure. So as you mentioned, we've had unbelievable credit performance year-to-date. We have seen some normalization. So if you look at our Q2 credit results versus Q3, you'll see it ticked up a little bit. We anticipate it will tick up a little bit in Q4 as well, as we're selling so many more new accounts than we ever have before. So sales are at our all-time records. And so some of those new accounts, although we try to do really good underwriting, some of them slip through, some bad apples will get into the bunch. And so we'll be flushing those out through the course of next year. And so as credit normalizes going into next year, I'd say our underwriting policies are pretty much at or even better than pre-COVID levels. So in terms of we're open, we've gotten smarter, continue to get smarter, we're willing to extend credit, there are a couple of places, whether for size reasons or certain industry verticals that haven't quite recovered yet, that we're still holding off of -- from, but in the main, I'd say our credit policies are pretty open as it relates to kind of pre-COVID versus now. Certainly helpful. It's an enabler for sales. I think it's going to be a big differentiator when it comes to selling the Corpay One solution because we'll be able to underwrite and extend credit for bill pay that maybe others don't.

That's interesting. So by having this Corpay One solution, selling it to the underlying fuel card SMB clients there, you're also enabling another layer for credit decisioning. And perhaps these are clients that may not have requested or sought credit from FLEETCOR previously, but now there's an opportunity with this Corpay One solution.

Absolutely. And how we think about credit evolves when you do that solution, let me give you an example. I'm a plumbing company, and I have 5 drivers and the drivers drive vans. Well, I know how much fuel a van can consume. I know how big the tank is. And so I limit their credit based on the expected fuel usage. Well, now when you go into a bill pay or a beyond fuel type of scenario, I have to underwrite for how much would a plumber spend on all kinds of pipes and tools and all of that stuff. And so it creates a different type of underwriting, which we're doing, and then an expansion to grab all that spend and even offer them to pay the bills on credit versus just debiting their bank account. And so we think it's a really interesting opportunity. So it goes beyond just cross sell, becomes more of a working capital type of opportunity for the small business.

But credit I would imagine, is that -- I mean, you talked earlier about the spend being so much greater than just the fuel card purchase itself, but now getting into these other categories, you really are scaling a credit solution quite a bit.

Yes.

Why don't we -- this is certainly a topic that's come up in the last 1 to 2 years and how the move, the trend towards electric vehicles, how can that impact FLEETCOR's business on the fuel card side. And you've been pretty successful so far, lining up a number of accounts, I recall last quarter, you talked about Hertz being one of them notable, considering they're looking to buy a bunch of Teslas. But how have you been successful so far in this category, lining up some of these initial agreements with fleets that are thinking to go there? And then maybe what's your sense from the actual fleets themselves? What are their motives here to move towards more electric vehicles? Is it more PR trendy kind of stuff? Or is there actually -- do you think a cost benefit kind of total cost of ownership or operating performance or consumer preference in the case of Hertz? What are some of these underlying motives that you're hearing from your fleet customers who are beginning to embrace EVs?

Yes. So we've seen things play out a little bit differently depending on geography. So let me give you an example, like, in the Netherlands, they're way further down the EV journey and our products are accepted, our fuel card products are accepted all different charge points and such, and we've embraced that there. In the U.K., they're making progress certainly faster than the U.S. and adoption there has been mostly driven by tax incentives, right? And so not only are they giving kind of tax breaks to people, but you don't pay any road tax when you're charging an electric vehicle. And in the U.K., if you go to the pump and buy fuel, more than 50% of the cost of that fuel is for road taxes, for the bridges, repairing roads, et cetera. I mean, at some point, the government is going to come back and tax EVs in a different way, it just hasn't happened yet. But nonetheless, to make the transition, they're providing lots of tax breaks, and so we're seeing fleets take advantage of that. Here in the U.S., I think it's moving slower and people are more dipping their toe in the water right? So no one is converting their entire fleet overnight. Everyone's buying some vehicles and seeing how it goes. And I'd say part of it is driven by -- for, say, leasing companies, you're going to have a maintenance concern, right, which is vehicles have lots of moving parts. EVs have fewer parts, a bit less to maintain. So my total cost of ownership or my residual value, which is where the leasing company needs to be concerned might be better, but I don't know. And so why do I hesitate there is because of battery usage, right? As the batteries are supercharged and people want to go fast, that's great, but it degrades the battery over time. And so the resale value of a car that doesn't have many moving parts but has a massive battery that weighs a couple of thousand pounds. And is that thing -- does the range go from 300 miles to 200 miles, I don't know. But I'm saying that, that's something that every EV owner, when they want to resell or trade in their vehicle has to be mindful of. How you charge that vehicle affects what that resale value is going to look like. So keep that in mind. So I'd say here in the U.S., it's slow. There's interest. People are inquisitive in buying a few and then they are like, now what do I do? And that's where we benefit because we have fuel card relationships with lots of these clients, we say, "Oh, of your 500 vehicles, you want to get 10 EVs and see how it goes, [ fine], plug them into our system, and it's great. We can provide all the same data, where they charge, how they charge, even if they charge at home, what's the expected cost of that, how much do you reimburse people. So all the same type of reporting, energy or fuel usage and consumption, geo-fencing, if you want it and then even at home reimbursement. So Pete, if you decide to plug it at home, it's not free. People think it's free, but it's not free. And you're going to do it every night, there's lots of transactions coming through, and we want to make sure we understand that you get reimbursed as a driver the appropriate amount or the IRS is going to come a-knocking or your employees are going to be quite upset. And so either way, we provide a service that can enable that.

I mean it's really difficult to talk about unit economics between potential EV account versus a fuel card, kind of, [indiscernible] fuel prices, electricity prices are going to be. And surely, they vary by region. But I guess as I think about it, it seems like the need for FLEETCOR servicing, reporting, the tax documentation, the tracking, permissioning, all that stuff and also at-home charging, which you just discussed, seems like you're doing more than you were with a typical fuel card account. So is that a way that we could kind of think about this maybe more of an opportunity than a trade-off with the existing business because you're simply performing more services?

Yes. And that's actually how we packaged the program, particularly in the U.K., we're at-home reporting in such as a separate service, which we charge for. And I think it's important that people understand our economic model isn't one of just there's a purchase and we make 3%, and that's our revenue, right? We have account-based fees for account management, card management, et cetera. We have transaction fees for access to the network and grabbing all the data, enhanced data and such. And yes, we'll make some portion of fees for merchants. The interesting dynamic that we're seeing in the U.K. is fascinating, when we make merchant discount revenue on fuel, the large fleets, they take it all, right, forgetting my volume, you're going to have to give me a massive rebate and they leave us pennies on the dollar, right, small like nothing. Right? And so very, very tiny, they take most of the rebate. On the EV side, we're not seeing that as much. And so yes, big volumes, great, but you don't do a lot of EV volume and you value that data so much. And so what we're finding is the economics there are slightly to our favor in the U.K. at the moment for large fleets. And will that dynamic change over time? Probably. But what we're seeing is that people really do value access to data and comprehensive fleet-wide data.

That's helpful. Super interesting. We have time for, I think, a couple more here, but I really want to get into corporate payments. Thank you very much for that added disclosure last quarter, breaking down the various products within the segment. Now you've added AFEX to the mix, so cross-border is going to be a bigger component of the business. And certainly, the Corpay One effort and the cross-sells with the fuel cards big parts of the growth algorithm going forward. But thinking outside of that, how should we think about how the go-to-market strategy maybe has evolved exiting kind of the pandemic world and landing new logos and bringing more accounts into the FLEETCOR ecosystem. And how should investors also think about within that, the full AP solution, kind of how are you driving that land and grab -- I'm sorry, that land and expand strategy? How is that evolving, I guess, on that front as well? That would be helpful.

Sure. So as you mentioned, we've acquired various businesses over the last several years. Just in this past year, we've rebranded all of those things now to Corpay, and that transition is almost, almost complete. And so now we're going to go to market with one single brand, which we believe will enhance our digital marketing efforts, create a more unified discussion with prospects, right. And we can basically serve whatever product you need, but under that umbrella. And so as you're buying words and creating brand awareness, we can focus on just the one brand, which is helpful. In terms of how do we continue to grow sales there, we're obviously investing in more people. We're also investing a lot in these ERP integrations, which can generate more leads for the salespeople, right? So one, if I reach a prospect I'm already integrated, it's an easier sale. The other thing we can get is, if the ERP can actually send leads, right? And so, "Hey, I've got this many customers only 5% or 10% of them are actually using your product, you're, let me feed more leads to your salespeople, so you can sell them," which is incredibly, incredibly helpful because again, it's an easier sale. So we're working on those 2 fronts. As it relates to full AP, certainly, ERP is a big driver for that, as well as shifting the unified sales group. So before, we had people who would sell more cards and virtual cards and we had folks who would sell more full AP. Cards and virtual cards tend to be more of an economic sale. I'm going to Issue some credit, I'm going to give you some rebates. That's the end of the story. Full AP is more of a process, I'm going to take over your payables, you don't have to write checks anymore, you can reorganize your AP group, however you wish, whatever you want to do there. But I'm going to handle a process for you. So it's a bit more of a software type of sale. And good news is, we've been successful in transitioning some of the more economic salespeople to more of these process type salespeople, which has generated a lot of new sales on that full AP product. I think we called out last quarter. So again, a unified approach, a shifting of resources to focus on full AP, as well as leveraging the ERP relationships that we have to generate more and more leads for that sales group.

That's helpful. I just want to follow up there. I mean, a number of B2B payments talk about how integrated they are with the various accounting systems that are out there in the ERPs. Maybe you can just tell us where we are in that journey and how do you expect that to evolve over the next year or so?

Yes, I'd say in the mid-market, the focus is really on vertical-specific ERPs. So there's a group of them in construction, there might be a group of them in manufacturing, in education services, and they're specific because they're designed to support the operation of that type of business. And so what we've done has gone deep in places where we tend to focus construction being a main one, health care being another. But what you'll see is in the mid-market, it's more of that vertical industry by industry, where do I want to focus sales, where do I want to -- and so therefore, you create this ecosystem. As you get into the more the Corpay One kind of product, you get further down market, then you're going to go more horizontal. So think more of the QuickBooks or Sage Intacct or Xero, whatever it may be in that kind of group. And I'd say that we're very well positioned there. But they're very different, right? Vertical specific in the mid-market, horizontal, open any company when you get down market because the needs are just less complex.

And that ERP integration giving you a lead gen. Is that helping you on the initiative -- also with the cross-sell initiative with your existing fuel card clients?

I'd say in the Corpay One area, less so. There, it's much more direct marketing of us going to our clients and such. It's that ERP component in terms of lead gen, is way more of a mid-market benefit for us.

Okay. That's great. I think we have time for one more. Maybe it would be great if you can just give us a quick update on the Beyond Toll initiative. The company has clearly spent some capital this year and the tag fueling opportunity, expanding locations. And certainly, the pandemic has introduced its own challenges in scaling that opportunity there. But maybe you could just remind us where we are with the Beyond Toll opportunity, specifically as it relates to tag fueling.

Sure. And so Beyond Toll comes in a couple of different flavors. You've got fueling, fast food, parking. And what I tell you is that they're all incremental and helpful, but fuel is the gorilla. And it's because the size of the transaction, every vehicle needs to fuel. Brazil is a little slower on the uptake in terms of EVs that -- because they use the biodiesel, so they kind of feel like they're doing their part. And so nonetheless, we think that, that fueling opportunity is multiples larger than the others. But all of them are helpful in terms of selling tags, retaining tag holders and creating incremental revenue. On the fuel side, we started the year with about 500 gas stations around the country, and we'll exit the year with just over 1,000. Next year, our plan is to go from 1,000 to, call it, around 3,000. And the year thereafter from 3,000 to get up to 5,000, maybe finish off from around 6,000. We think that would give us the right type of coverage in the right geographies, right? I think major cities, lots of urban dwellers, as well as along the major highways connecting the cities or taking people out to vacation spots along the coast where they tend to use our tags during the holidays. And so it's a multiyear build, right? I'm not going to deploy all that capital and hope the business comes. So what happens is, we deploy the capital, we'll see almost an immediate uptick in terms of existing tag holders start using the sites because they're already using it for fuel where it's convenient. Now, oh, this site came on board. We notified people, obviously, hey, we tell people when things come up and they start to use it where it's either closer to home or more on a route that they take. So that's great. We get uplift from existing. Then what we wind up doing is we do targeted marketing. So geographic-specific marketing in and around the new sites. So I go to this city and I add 10 sites. I want to market to people digitally and otherwise in that geography to make them aware and hopefully get them to buy the tags. And I'd say that, that's a longer-term approach, right? Because I'm already trying to sell tags to everybody. And now I'm just trying to sell a tag to you in a place where you get extra benefit because I have a network now. And so does that tip you over the edge, maybe, maybe not, don't know. But it's a long-term sales play. So you get immediate uplift in fuel purchasing from existing tag holders and a longer-term extra sales value proposition for people in and around where the network was built.

That's super interesting. And thank you for your thoughtful responses throughout this conversation. Charles, always great to have you, and thank you so much for participating in Citi Fintech 11.

Thanks, Pete.