Mogo Finance Technology Inc. (NASDAQ:MOGO) Q3 2019 Earnings Conference Call - Final Transcript

Nov 07, 2019 • 05:00 pm ET


Mogo Finance Technology Inc. (NASDAQ:MOGO) Q3 2019 Earnings Conference Call - Final Transcript


Loading Event

Loading Transcript


Good afternoon. My name is Leone, and I'll be your conference operator today. At this time, I would like to welcome everyone to Mogo's Third Quarter 2019 Earnings Conference Call.

I would now like to turn the call over to Craig Armitage. Please go ahead.

Craig Armitage

Good afternoon. Please note that today's call contains forward-looking statements, statements that are based on current assumptions and subject to risks and uncertainties that could cause actual results to differ materially from those projected. The Company undertakes no obligation to update these statements except as required by law. Information about these risks and uncertainties is included in Mogo's press release for Q3 as well as our filings with regulators in Canada and the United States.

Also, today's discussion will include adjusted financial measures, which are non-IFRS measures. These should be considered as a supplement to and not a substitute for IFRS financial measures. We do have a slide presentation to accompany the results today, which you can find through our investor website as well as a link to the webcast. And this presentation does include reconciliations for these adjusted financial measures. And finally, I would note that all amounts discussed today are in Canadian dollars unless otherwise indicated.

And with that, I'll turn the call over to David Feller.

David Feller

Thanks, Craig. Good afternoon, and welcome to Mogo's third quarter 2019 results call. I'm joined today by Greg Feller, President and CFO. As mentioned in the intro we have prepared a presentation that accompanies our call, and it's available on our investor site.

It was another active quarter at Mogo with several important product and strategic milestones achieved and another big step forward in our mission to improve the financial health of Canadians. The reason we have such a big opportunity is because the problem we are focused on solving is not only a massive problem, it's a really important problem and consumers want to solve it. In fact, financial stress is by far the biggest stressor affecting all Canadians and it's even higher for millennials with 76% of them saying it's their number one stressor, and that's up from the year before. Financial stress also affects the other important areas of your life like relationships. In fact, it's still the number one cause of relationship breakups.

Our research has shown that there are two key drivers of financial stress. The first one is debt, driven primarily by credit cards. Today, 57% of Canadians carry credit card debt. And if you carry credit card debt, that means you don't have money for saving and investing. You've got to get out of debt first. Getting out of debt has been the number one financial goal for Canadians nine years in a row. The second financial stressor is lack of saving and investing. Without it, you can't achieve major financial and life goals like buying a home and retiring. And with recent stats showing it takes up to 21 years to save for a down payment for a home