Thank you for standing by. This is the conference operator. Welcome to the Beeline Holdings third quarter 2025 earnings conference call. As a reminder, all participants are in a listen-only mode, and the conference is being recorded. After the presentation, there will be an opportunity to ask questions. To join the question queue, you may press star, then one on your telephone keypad. Should you need assistance during the conference call, you may signal an operator by pressing star, then zero. I’ll now like to turn the conference over to Tiffany Milton, Chief Accounting Officer. Please go ahead. Tiffany Milton, Chief Accounting Officer, Beeline Holdings: Thank you. Good evening, everyone, and thank you for joining us today to discuss Beeline Holdings’ financial results for the third quarter of 2025. I’m Tiffany Milton, Beeline Holdings’ Chief Accounting Officer, and joining us on today’s call to discuss these results is Nick Liuzza, our Chief Executive Officer, and Chris Moe, our Chief Financial Officer. Following our remarks, we will open the call to your questions. Now, before we begin with prepared remarks, we submit for the record the following statement: this conference call contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including but not limited to statements regarding Beeline Holdings’ expected future growth, expected future operating results, and financial condition, including projections concerning our ability to be cash flow positive and profitable and achieve other milestones within specified time frames, expected reductions to interest rates and the impact on our business, the anticipated Beeline Equity closings, the future development and potential of our technology offerings, and the introduction of new products and features. Forward-looking statements are typically identified by words such as believe, expect, anticipate, plan, intend, seek, estimate, will, would, could, may, continue, forecast, target, potential, project, undertake, and similar expressions. These statements are based on management’s current assumptions, beliefs, and expectations and are not guarantees of future performance. Actual results may differ materially from those described in forward-looking statements due to various risks and uncertainties. These include, without limitation, the risk factors we provided in our 2024 Form 10-K and prospective supplements. In addition, there is a risk that our new technologies we are developing may not work as expected. We caution investors not to place undue reliance on any forward-looking statements made during this call. All forward-looking statements speak only as of the date of this presentation and are based on information available to Beeline Holdings as of today. We undertake no obligation to publicly update or revise these statements to reflect events or circumstances occurring after today’s date, except as required by law. Now, with that said, I’d like to turn the call over to Nick Liuzza. Nick, please proceed.

Good afternoon, everyone, and thanks for joining us today. I’m Nick Liuzza, co-founder and CEO of Beeline Holdings. With me is our Chief Financial Officer, Chris Moe. We appreciate you spending time with us on our third quarter 2025 earnings call. Before we jump into our Q3 performance, I would like to start with a key subsequent event. Beeline Loans Incorporated, our lending subsidiary, achieved its first positive cash flow month in October of 2025. Beeline Loans increased monthly closed loan units by 91% since January of 2025, while keeping our production payroll virtually unchanged, underscoring the scalability and efficiency of our digital mortgage platform. This is certainly a key development. When we started 2025, we identified two critical goals related to our financials, with targeted completion by Q1 2026. The first goal was to be debt-free, which we accomplished in September. Our second goal was for the company to be cash flow positive by Q1 2026. Now that Beeline Loans is cash flow positive, we’re very confident about achieving this goal, which will eliminate our need to raise capital in 2026 to support operations. Now, let me turn to some macro points related to interest rates. As of the Federal Reserve’s announcement on October 29, the effective Fed funds rate is now 3.9% versus its peak of 5.3% in September 2024. The market yield on the 10-year Treasury securities hit nearly 5% as of October 19, 2024, and is now eased to 4.1%. Also relevant, the spread between the 30-year fixed mortgage and 10-year Treasuries has tightened from 152 basis points to 127 basis points. All of these are beneficial to the demand for mortgages, as well as the margin Beeline makes on them. The market is expecting the Fed to make further cuts this December or January, and…

Thanks, Nick. As a reminder, due to pro forma accounting adjustments and GAAP purchase accounting rules, our income statement and balance sheet reflect the impact of the recent Ford merger transaction, which had its final closing on March 7, 2025, and as such, certain comparative periods are not directly comparable. Additionally, Magic Blocks, our AI product technology company in which we hold a significant minority stake, is not consolidated in our income statement under GAAP. Lastly, our legacy spirits business, Bridgetown Spirits Corporation, was reclassified during Q2 as discontinued operations and was subsequently sold in Q3, resulting in a $718,000 loss on the extinguishment of debt. Let me now walk you through the Q3 2025 financial highlights. Total net revenues were approximately $2.3 million for Q3 and $5.4 million for nine months year-to-date, driven primarily by Beeline’s mortgage activities, which accounted for over 78% of revenue year-to-date, with the remainder from the Beeline Title business and a small amount from other revenues. Our total net revenue growth rate was 27% for Q1 to Q2 and 37% Q2 to Q3. Preliminary results from October and now early November suggest an even stronger growth rate for Q4, spurred in part by declining interest rates. In terms of unit growth of our mortgage business, in January, we closed 43 loans. In September, we closed 82 loans, up 91%. In October, we closed 98 loans, generating just under $863,000 in revenue, representing 44% of our total lending revenue for Q3. In terms of unit growth for our title business, in January, we closed 45 titles. In September, we closed 85 titles, up 89%. October was a record revenue month for title, coming in at $175,000 in revenue, representing 45% of our title Q3 revenue, with 106 title closings. Turning to the expense side of…

We will begin the question and answer session. To join the question queue, you may press star then one on your telephone keypad. You will hear a tone acknowledging your request. If you’re using a speakerphone, please pick up your handset before pressing any keys. To withdraw your question, please press star one again. We will pause for a moment for callers to join the queue. Your first question comes from a line of Glenn Matson of Leidenberg. Your line is open.

Hi. Yeah. Thanks for taking my questions. Might I ask, the last call you had was before the Fed started cutting rates? Curious if the market response has matched, exceeded, or fell below your expectations of what demand profile would look like in a rate-cutting environment, number one. Two, now that you’ve added this capacity to the warehouse line, is that enough to meet that demand or just kind of some color on your ability to meet that inflow?

I’m sorry, what was that in a second? Yeah, okay. Hey, Glenn, good to hear from you. I’ll take the first question, and then Chris Moe will take the second question. In regards to our expectations, I would say that we did expect to see that rate cut in September and then the second one that we just received. I would say that the volume kind of was where we thought it would be. We knew that we felt pretty strongly that the rate cuts were coming. As a result of that, we started negotiating with our warehouse lines to make sure that we had the capacity to close the loans we needed to close. You want to go ahead.

Yeah, I’ll just add to that. I mean, I think if we’re "suffering success," our existing warehouse lenders, as well as three or four others who are clamoring for our business, will be more than happy to step in and give us the ammunition, so to speak, to fight the war. Not concerned about it.

Yeah. I mean, the ability for us to raise our lines will not be difficult. But the $75 million capacity that we currently have is probably a little more than what we need until.

We’ll grow into it.

Yeah, but we’ll grow into it very quickly, and we have the ability to increase it very quickly as well.

Okay. Great. Thanks for that. On the cash-out equity business, can you just give a sense, Nick, as we get closer to a full launch or whenever that may be, what you’re learning about the market in terms of the demand and the willingness for end customer to go after this product, which is kind of unique in the market? Yeah.

Yeah. Listen, I mean, the demand is significant, right? I mean, we’re targeting initially baby boomers that maybe are outgrowing their retirement. In the areas that we’re targeting, there’s about $10 trillion of available equity. We have a product that meets their needs with virtually very little competition. The demand is quite significant. This is leveraging the blockchain and essentially connecting the blockchain with the real estate chain and, in this particular case, the public record. We need to be a bit careful in our first, call it, 50 transactions to make sure they go off correctly. We’re trying to anticipate regulatory matters as well because there’s not a blueprint for what we’re doing. We’re kind of out ahead of this, I think. I mean, I don’t see anyone else doing this except us, honestly. What we want to make sure is that we’re being transparent, we’re being quality-focused, we’re meeting the KPIs and the timelines that we set for the market. I think after we get about 50 transactions under our belt, you’ll see a wider launch, which means more marketing dollars behind it, more product awareness, more scale, and then we’re off to the races. I think I said in my call earlier today, we’ll close about 30 transactions this year and then probably another 20-25 in January, and then we’re off to the races. I’ll just add that it’s very, very important that we do this right. I know I’m saying that again, but not understanding the regulatory blueprint and what that means to our business, we just want to proceed carefully before we launch.

Right. I guess I’ll just follow up with that. You mentioned you don’t think anyone else is doing this. You’ll have a lead and perhaps be able to build some sort of momentum before you see competition. Is that fair to say?

Yeah. Let me answer that. I think if by, let’s say, third quarter next year, if we didn’t have any competition, that means we really overestimated the opportunity. We expect to have vigorous competition. I mean, the market is so huge, that’s actually good for everybody.

Yeah. The opportunity is tremendous. It’s a huge market. Remember, the reason why I say we don’t have a lot of competition is, remember, it’s a true fractional sale of equity, and we are recording a deed, not a deed of trust. A deed of trust is a mortgage or a lien. When you look around the other equity products out there, for the most part, they turn into P&I instruments, and they’re recording a deed of trust. Our product is a pure fractional sale of equity. It’s an equity product. Again, I’m not aware of many people that are doing this, certainly not any of the lenders. There are some other fractional equity sale of equity companies out there, but it’s my understanding that they’re recording a deed of trust and not a deed. Big difference.

Okay. Yeah. Sure. Thanks for all that, Tyler. I’ll jump back in with you. Thank you.

Thank you. Thank you, Glenn.

Thanks.

Once again, if you have a question, please press star one. With no further questions, this concludes the question and answer session. I would like to turn the conference back over to Nick Liuzza for closing remarks.

Thanks, operator. To wrap up, Q3 2025 marks yet another inflection point for Beeline. We have fully transitioned into a fintech mortgage company, one carefully designed to scale and compete with the largest lenders in the country. We have aimed Beeline to pursue a $2.3 trillion US mortgage market with a different technology-driven strategy focused on younger digitally native borrowers and real estate investors, and now offering a fractional equity product that will provide quick cash to asset-rich homeowners who may not qualify for a traditional mortgage or HELOC. Looking ahead, we have exciting initiatives in the pipeline, including new AI-driven solutions, potential SaaS products, and expanded strategic partnerships. These initiatives reflect our firm desire to reshape borrower behavior across the industry. I want to close by thanking our executive team, our employees, our customers, the investors who buy our loans, our tech partners, and our shareholders. We are grateful for the progress we’ve made and highly motivated by the long-term value we’re building. Thanks to everyone for joining the call.

This brings to a close today’s conference call. You may disconnect your lines. Thank you for participating and have a pleasant day.