Abacus Global Management, Inc. Q3 FY2025 earnings call

• Delivered record third quarter results with total revenue up 124% YOY to $63 million, adjusted net income up 60% to $23.6 million, and adjusted EBITDA up 127% to $37.9 million. • Initiated an annual dividend of $0.20 per share and a $10 million share repurchase program. • Announced a $50 million above investment-grade securitization product note backed by life insurance assets. • Acquired AccuQuote, a premier online life insurance brokerage, which will serve as a scalable growth engine. • Longevity-based assets are uncorrelated to traditional markets, driven by actuarial and demographic trends. • Balance sheet and cash generation at record levels, supported by increasing capital inflows into longevity funds, growing fee income, and expanding margins.

Total revenue increased 124% year-over-year to $63 million. The Life Solutions segment saw capital deployed increase 10% to $102.4 million in Q3, with realized gains of $46.4 million and 522 policies valued at $424.7 million on the balance sheet. The Asset Management segment generated $8.6 million in revenue during Q3 with $102 million of new inflows. Technology Services contributed to the overall revenue growth.

• Raised 2025 guidance to $80 million to $84 million, resulting in a year-over-year growth of 72% to 81% for 2025. • Expect to continue funding strategic initiatives while returning capital to shareholders.

• Risks associated with forward-looking statements, which if materialize could materially affect results. • Market uncertainties and regulatory risks that could impact the business.

Q: Could we see larger securitizations going forward, maybe upwards of like $75 million?

A: Yes, we will see larger securitizations over time as the platform is effective and there is excess demand.

Q: How quickly do the lives turn from in trial to paid for ABL?

A: Typically turns within the quarter, with the underlying pipeline for number of lives being significant, on track for north of 3 million lives by end of Q4.