00:00I'd like to start, if I may, with the Affirm card.
00:03How's that coming along?
00:04And Max, with you, if I may, what's the endgame with the Affirm card?
00:11You know, there is no endgame.
00:13There's so much to do.
00:15I have a hard time saying it will be done when this feature ships.
00:19Affirm card rocketed once again.
00:22For a long time, I think it looked like a gently super linear growth curve.
00:26And in our latest letter, we finally showed that it's...
00:28That's kind of what I mean.
00:29You know, the trajectory's changed.
00:32It's, you know, we didn't do anything very specific to make it go, obviously, exponential.
00:38But it is accelerating.
00:39And it's just the great work of our product teams that have been putting in new features,
00:44integrating all of our 0% deals into the card.
00:48The card grew, you know, something like four times the rest of the business.
00:53You know, it's just a rocket ship that we built a few years ago.
00:56And it just keeps going.
00:57The endgame is to get you to put away your credit card forever and use a debit card powered by Affirm.
01:07The other growth part of the story, because it is a growth story, and whatever you feel about the analysts saying you're being conservative, is international expansion a bit.
01:16So in my home country, in Caroline's home country, the UK, it's a really interesting case study.
01:20How's that going? But then what comes next after that?
01:24Well, we've just announced some exciting brands.
01:27We're live with Shopify, our great partner in the US, now in the UK.
01:31It's a real business now.
01:32So for a couple of quarters, we said, look, we've crossed the pond.
01:35We're in London.
01:36We're hiring.
01:37We're building.
01:38It's now a business.
01:39It's making real revenue.
01:40It's generating some very significant sales lifts for our merchant partners.
01:43We have a whole slew of new partnerships to go live with soon.
01:49So feeling great about it.
01:50And I and Continental Europe next, of course.
01:52And so we're definitely not going to be a North American phenomenon only, but we're still very, very committed and very focused on our North American stronghold.
01:59So is TD Securities' truest, is Bloomberg Intelligence Analysis right that you do guide conservatively and you just feel that that's the right thing to do in this consumer context?
02:09I think the guide is the guide, as our CFO always reminds me to say.
02:16You know, I encourage folks that hold our stock or eyeing our stock to see how we've done in the past, quarter after quarter.
02:23We make promises and we deliver on them.
02:25So we take our guidance very seriously.
02:28We intend to always do well relative to what we said we'll do and better.
02:33And that's what it is.
02:36I mean, ultimately, the results speak for themselves and we are in it for a very long term.
02:40So at some point, people will figure out exactly just how much more growth there is in this business.
02:47Credit quality holding up clearly.
02:49And that's the litmus test in many ways for success within within delinquencies.
02:53Are they on the rise?
02:54How are you seeing a consumer right now, Max?
02:56You know, we have underwritten tens of millions of American households on the order of 70 million, 26 million actives just last 12 months alone, we reported.
03:09We see a pretty big swath of America.
03:12Our consumer is healthy.
03:13They are paying us back.
03:14They're shopping.
03:15They had a great holiday season.
03:17A lot of outside observers underestimated our growth over the holidays.
03:20We proved them wrong yesterday.
03:22Once again, American consumer, as we see her, is doing just fine.
03:28Max, I think this is the first opportunity we've had to speak since the president's initiative to cap credit card interest rates.
03:35You know, we start this conversation by you saying, well, we want people to put their credit card away.
03:39You obviously have some bias in that narrative, but just your viewpoint on it, please, and what's happened in the weeks that followed.
03:49We just have 30 seconds.
03:50Sorry.
03:51I think the most important thing in this conversation about affordability is transparency.
03:56Like, rate caps are a conversation for the legislators, but the most important thing is people understand what they're getting into.
04:02The reason a firm has been successful is because of upfront pricing.
04:05If you know what you'll pay, you'll be just fine.
Comments