Visit LLS.org
LIZ: SO, WHAT WE’RE GOING TO DO
IS CONTINUE TO INTERRUPT AND
JUST LET YOU KNOW AS BREAKING
NEWS HEADLINES HIT THE TAPE.
WE NOW HAVE ROYAL CARIBBEAN
INTERNATIONAL DECIDING TO CANCEL
ALL CRUISE VISITS TO ST.
PETERSBURG, RUSSIA ON ALL SUMMER
2022 ITINERARIES THE STOCK IS
STILL UP ABOUT 2.5% AT THE
MOMENT ROYAL CARIBBEAN NO MORE
SUMMER 2022 MOVES TO RUSSIA.
SOFI, LET’S GET TO THAT SOFI IS
SO FLY IN THIS FINAL HOUR OF
TRADE, SHARES OF THE FINTECH
BUOYED BY A NARROWER THAN
EXPECTED FOURTH QUARTER LOSS,
SOFI LOST A PENNILESS THAN WALL
STREET EXPECTED.
THAT WAS $0.16 LOSS CAME IN AT $
0.15 BUT $285.6 MILLION REVENUE
BLEW AWAY THE $279 MILLION
ESTIMATE.
SOFI, A FAVORITE WITH MILLENNIAL
S ALSO REPORTED RECORD
NEW MEMBERS IN THE QUARTER,
GAINING 523,000 FOR A TOTAL OF
3.5 MILLION SOFI CUSTOMERS.
THAT’S AN 87% YEAR-OVER-YEAR
GAIN.
SO, IS PROFITABILITY AROUND THE
CORNER AND WHAT’LL GET THEM
THERE LET’S BRING IN SOFI CEO
ANTHONY NOTO.
GREAT TO HAVE YOU NOT ONLY IS
SOFI A ONE STOP PLATFORM FOR
PERSONAL FINANCE YOU GOT
YOUR BANK LICENSE APPROVED IN
JANUARY YOU NEED TO START
WEARING A THREE-PIECE SUIT BUT
YOU’RE A BANKER NOW TOO BUT HOW
MANY QUARTERS BEFORE YOU START
TO SEE IT REALLY BE ACCRETIVE TO
YOUR NUMBERS?
>> CHRIS, OUR CFO LAST NIGHT,
LAID OUT THIS SORT OF TRAJECTORY
AND THE IMPACT OF THE BANK,
REALLY IMPACTINGQ 2 IN THE FIRST
INSTANCES IN TERMS OF THE
SAVINGS WE HAVE ON OUR LOANS
, AS WELL AS OUR ABILITY TO
HAVE LOWER COST OF FUNDING.
INQ 1, WE DID LAUNCH THE BANK
AND WE NOW OFFER CHECKING
ACCOUNT WITH REALLY AN
UNPRECEDENTED INTEREST RATE.
WE’RE OFFERING PEOPLE 1% UNDER
CHECKING, NO MINIMUM BALANCE, NO
RESTRICTION ON YOUR CASH, WE
GIVE YOU YOUR PAYCHECK TWO DAYS
EARLY IF YOU DO DIRECT DEPOSIT
WITH US IN ADDITION TO THAT NO
OVERDRAFT FEES, NO FEES
WHATSOEVER YOU CAN PAY FROM YOUR
PHONE, YOUR DEBIT CARD, EVEN DO
PERSON TO PERSON PAYMENTS, SO
IT’S ALL THE FLEXIBILITY YOU
WANT WITH YOUR CASH, BUT WE’RE
GIVING YOU INTEREST ON TOP OF IT
, AND WE’RE GIVING THE BIG
BANKS THE TRADITIONAL LEGACY
BANKS FOR THEIR MONEY, WE’LL
START TO SEE THAT ADD TO OUR
DEPOSITS AND ADD TO THE GROWTH
OF OUR CHECKING AND SAVINGS
ACCOUNTS IN Q 1 BUT THE REAL
ECONOMIC BENEFIT WILL COME IN Q
2 AND REST OF THE YEAR.
LIZ: THIS SWIFT SITUATION, SWIFT
OF COURSE IS THE SOCIETY OF
WORLD INTERBANK FINANCIAL TEXT
ING MESSAGING, AND ALLOWING
PEOPLE TO ENABLE TRADES AND
MONEY TRANSFERS, OBVIOUSLY NOW,
BEING A PART OF THE BANKING
INDUSTRY, YOU’VE GOT TO BE AWARE
OF ALL OF THIS AND WHAT’S GOING
ON WITH UKRAINE AND RUSSIA.
DO YOU HAVE UKRAINIAN AND
RUSSIAN MEMBERS AS PART OF SOFI?
>> WE DO NOT TODAY.
WE OPERATE SOFI AND THE BANK
JUST IN THE CONTINENTAL, IN THE
UNITED STATES.
WE DO HAVE AN INVEST PRODUCT IN
HONG KONG THAT’S OUR ONLY
INTERNATIONAL MARKET THAT WE
OPERATE IN AS IT RELATES TO THE
SOFI PRODUCTS AND SERVICES
THEMSELVES.
WE DO A TECHNOLOGY PLATFORM, GAL
LILEO, DEBIT AND AC
H PROCESSING AS WELL AS
BANKING AS A SERVICE
AND OPERATES IN THE U.S. AS WELL
AS MEXICO AND
COLOMBIA SO NO OPERATIONS IN
UKRAINE OR IN SOVIET UNION.
LIZ: IT REALLY REALLY IS A BRAVE
NEW WORLD, AND IT’S RATHER
FASCINATING AND ALSO A LITTLE
DISCONCERTING TO KNOW HOW THE
FINANCIAL WORLD IS SO TIED
IN, BUT CLEARLY, AS THESE
SANCTIONS COME OUT AGAINST
RUSSIA, THIS IS THE THIRD DAY IN
A ROW THAT THE MOAX, THE MOSCOW
STOCK EXCHANGE HAS BEEN UNABLE
TO OPEN SO WE’RE CLEARLY ON THIS
AS WELL BUT BACK TO SOFI,
TALK TO ME A LITTLE BIT ABOUT
WHAT YOU’RE NOW REALLY BEING
ABLE TO OFFER THESE CUSTOMERS,
THAT YOU BELIEVE NOBODY ELSE CAN
>> YEAH, I THINK FOUR YEARS AGO
WHEN WE ARTICULATED A STRATEGY
OF WANTING TO BE A ONE STOP SHOP
AS YOU ALLUDED TO FOR ALL YOUR
FINANCIAL SERVICES NEEDS PEOPLE
DIDN’T REALLY BELIEVE IT WAS
POSSIBLE TO LAUNCH THAT MANY
PRODUCTS ON A MOBILE DEVICE AND
REALLY FUND ALL OF THE GROWTH
THAT THAT WOULD REQUIRE IN THE
TECHNOLOGY INVESTMENT.
FOUR YEARS LATER WE NOW HAVE ALL
THOSE PRODUCTS, THEY’RE SCALING
INCREDIBLY WELL, WE JUST EXCEED
ED $1 BILLION IN REVENUE
FOR THE FIRST TIME, FULL YEAR EB
IDTA PROFITABILITY AT
30 MILLION AND LOOKING AT 50%
GROWTH INTO NEXT YEAR FOR
$1.5 BILLION OF REVENUE AND
$180 MILLION OF POSITIVE EBITDA
SO THE STRATEGY HAS REALLY COME
TO FRUITION AND NOW IT’S SHOWING
UP IN BOTH THE FINANCIAL METRICS
BUT ALSO THE METRICS OF OUR
MEMBER BASE AS YOU MENTIONED
OVER 3.5 MILLION MEMBERS AND
OVER 6 MILLION PRODUCTS AT THIS
POINT, SO IT’S REALLY COME
TO LIGHT AND WE’RE ACQUIRING
PEOPLE AND TAKING A SECOND AND
THIRD PRODUCT WHICH IS DRIVING
EFFICIENCIES IN OUR MARKETING.
LIZ: ANTHONY, I FOUND IT SO
INTERESTING DURING THE SUPER
BOWL THAT A LOT OF THE SPORTS
CASTERS KEPT SAYING
SOFI STADIUM THINKING
IT’S SOFI, WHAT DID HAVING SOFI
SLAPPED ON THE ROOF OF SOFI
STADIUM NOW FOR THE SUPER BOWL
ALL THOSE AERIALS AND ALL OF
THOSE DRONE SHOTS DO FOR YOUR
BRAND RECOGNITION?
>> SOFI STADIUM IS A KEY PART
OF OUR STRATEGY TO BECOME A
HOUSEHOLD BRAND NAME, A TRUSTED
BRAND NAME, AND WE REALLY
BENEFITED IN THE FOURTH QUARTER
FROM ALL THE GAMES THAT WERE ON
NATIONAL TELEVISION, AS YOU
MENTIONED THE AWARENESS OF SOFI
THROUGH SOFI STADIUM REALLY HELP
ED INCREASE UNAIDED BRAND
AWARENESS AND AS YOUR UNAIDED
BRAND AWARENESS INCREASES IT
MAKES ALL OF YOUR MARKETING MORE
EFFICIENT, THE CLICK THROUGH
RATES ON OFFERS ARE HIGHER, THE
RESPONSIVE RATES AND
DIFFERENT TYPES OF DIRECT MAIL,
AND OTHER EFFORTS THAT WE HAVE
WITH MEMBERS THAT MAY NOT HAVE
BEEN FAMILIAR WITH THE NAME
BECOME A LOT MORE RESPONSIVE,
AND SO WE DID THE STADIUM
LICENSING DEAL TO DRIVE UNAIDED
BRAND AWARENESS AND BECOME A
HOUSEHOLD BRAND NAME THAT REALLY
PAID OFF IN THE FOURTH QUARTER
AND WE MENTIONED IN THE CALL
LAST NIGHT WE HIT A RECORD HIGH
LEVEL OF UNAIDED BRAND AWARENESS
DAYS AFTER THE SUPER BOWL SO ITS
BEEN AN IMPORTANT STRATEGIC
DECISION AND REALLY PAYING OFF.
LIZ: I CAN SEE WHY.
SOFI, NOT SOFI, EVERYBODY,
ANTHONY GOOD TO SEE YOU THANK