Tom, we're happy to have you back as our moderator. In this initial segment, we will be talking and moving into a presentation. That is a review of the 2021 financial highlights presented by Jeff Whiteside, CFO and Chief Collaboration Officer of -eXp World Holdings; followed by Jason Gesing, our CEO of eXp Realty, who will share our accelerated growth as well as operational excellence and agent-employee satisfaction. Finally, we returned to Tom White and our leadership team for a Q&A. Let's begin the earnings fireside chat with a review of the forward-looking statements. There will be a number of forward-looking statements made today that should be considered in conjunction with the cautionary statements contained in the company's SEC filings. Forward-looking statements are subject to various risks and uncertainties that could cause our actual results to differ materially from these statements. Please see our filings with the SEC, including our most recent quarterly report on Form 10-K for a discussion of specific risks that may affect our business, performance and financial condition. We assume no obligation to update or revise any forward-looking statements or information. As a reminder today's call is being recorded and a replay will also be made available on expworldholdings.com. Now for a few logistics and we’ll get started. For those of you on the eXp World, did you wish to see all three screens, hit the stage zoom button to the right of your chat box to zoom to a specific a screen, you can hit the plus icon button above that screen. If you happen to see no slides or a gray slide hit the refresh icon at the top of the right hand corner of that screen to correct. While in eXp campus, should you need any help or have questions, please enter your comments in the chat box at the bottom on the left and a member of the team will contact you. As mentioned the last segment of our fireside chat is a Q&A. We want to talk quickly about Slideo, to ask a question during our presentation, you can enter questions by scanning the QR code presented on the screen with your phone, or go to slideo.com and type in the event code, EXPI. From there, you can submit a question or vote up an existing question by giving a thumbs up. If you also like that question ask the screen will remain up on the left hand side of the stage. At this time, I would like to turn the fireside chat over to Glenn Sanford and Tom White to start the earnings conversation.

Hey, Tom, are you are you there?

Yeah, I'm here, Glenn. Do you want me to get kick things off here?

Yeah, why don't you go ahead and kick things off.

Terrific, great. Good morning, everyone. Thanks for joining us. And thanks to the folks at EXPI for inviting me to host. I'm a research analyst at D.A. Davidson. I cover disruptive companies in the residential real estate space. And I've had the pleasure of covering eXp World Holdings since early 2018. I'm going to ask a question here of Glenn to get things going and then we'll go through a couple of presentations from Jeff and Jason. And then we'll circle back and, and do some more Q&A. But I guess first off, Glenn, congrats on a really strong end to the year. Maybe just comment on your high level thoughts about how you thought the business performed last year, how you've managed to sustain the growth that you've put up, and really manage your overall growth rate, would just be curious to hear your high level thoughts?

Thanks Tom for being here. It's been -- you've been following us for quite some time. And it's been a fun journey so far. It's, one, I kind of describe, pay attention to just a couple little stats. I know Jason's going to cover a bit of this in his section. But -- we just went over 76,000 agents, so we were continuing to grow at a very rapid rate. In fact, another interesting stat is that as of now in the United States, 125 real tours, the United States is actually an eXp agent. So we've obviously grown very fast. But I think the key for our growth is really around being truly mission driven. That's been kind of our -- I don't want to call our secret sauce, but it really is the driver for growth. We're continuing to be the most agent centric real estate brokerage on the planet. And that's really how we approach everything. We're approaching it. How do we truly build the market share and turning this industry into -- an industry that's really agent lead and an agent driven in that, we want to provide the best opportunity for agents and brokers. And we also enhancing that already exciting value proposition for agents, something you'll hear a bit about later on this year. And even now is, how we're enhancing even our revenue share program, our revenue share program pays out 50% of our company dollar. And we're actually enhancing that with profits from our affiliated company services to actually pay out more than 50% of company dollar in 2022, to our agents and brokers who helped us grow. And even in 2021, we shared almost $170 million in revenue share, and actually shared approximately $50 million in equity to our productive agents…

Awesome. All right. Well, thank you very much, Glenn. Courtney, really appreciate it. Thank you, Tom for moderating today. Good morning all and thanks for joining us at our fourth quarter 2021 virtual fireside chat. The EXPI had another phenomenal quarter in the fourth quarter 2021 and full year 2021 of growth. And I'm proud on behalf of our team to share results today. And we'll be talking about the fourth quarter and the full year 2021. So on our first page, at a highlight level, starting with the revenue in Q4, our revenue was $1.1 billion of 77% year over year. Our gross profit in Q4 was $83.1 million, an increase of 65% year over year. And our net income in Q4 was $15.5 million, which was an increase of 101% year over year. As noted, it includes $14.2 million income tax provision benefits primarily driven by our stock based compensation deduction and the fact that we shown sustainable profitability. So from a diluted share standpoint, earnings per share was $0.10 and that was up 100% year over year. Now, if I look at the adjusted EBITDA and so there is a bit of a difference this quarter on adjusted EBITDA, so the adjusted EBITDA, as reported, it was $13.1 million, which was down 21%. But we did have a one time legal settlement cost that we booked in Q4 and that was $10 million. So after that adjustment, our adjusted EBITDA would be at $23.1 million, which was up to 39%. And lastly, on the fourth quarter, summary page our property cash flow was $48.5 million and increase 59% year over year, quarter over quarter. So now just go back into the same highlights for the full year of 2021, starting again with revenue. And our revenue for…

Thank you very much, Jeff, and good morning, everybody. I just want to start by saying thank you, and congratulations to all of our agents and brokers and staff, who really make this possible, make 2021 possible, and who are driven by the mission right alongside us. As Jeff noted, we've continued to grow at a really rapid and accelerated pace, 72% increase in agent growth year-over-year, and total revenues of $3.8 billion. Today, we have built a metaverse community of more than 76,000 agents, brokers and staff who work together daily, across geographies and in our eXp World. We can attribute our growth, as we have in recent quarters, to a couple of different things. The first is really strong growth and performance inside of the United States. Jeff talked about the network effect. And we continue to bring on top performers in all markets, and they come with other folks. And so, every time somebody comes over, people turn heads, and they inquire about the company, they learned about the company and ultimately they join. And that just continues and continues to grow. Additionally, we've been able to expand globally by utilizing our platform. We've been able to, in 2021, add nine countries to our footprint, and already this year, we've opened operations in the Dominican Republic, Greece and New Zealand are coming later in the quarter. And we've done this really without having to get on any planes or visit any of these markets. And as Jeff noted, we also continue to expand the commercial division and I think with great success. We have a lot of agents who will practice both on the residential and the commercial side. It's a great opportunity and offering for them on the realty side of the business. But we've really…

Great. That was terrific. Thank you, Jason. Okay, so now I guess, we'll jump back into the kind of the Q&A here, Glenn. And I just want to remind folks, if you are listening and want to pose a question, you can submit it via Slido. But Glenn, maybe first a couple of questions just on kind of the state of the housing market. You know, last year was obviously another strong year for volumes, despite pretty rapid home price appreciation and some pressure on inventory. But how do you think the market is kind of shaping up so far in 2022?

Well, I think, the reality is, is we do we are on -- we've got interest rates are supposedly going to go up next month with the FED raising interest rates. We've already seen mortgage rating price in anticipation of some of the rate increases. I think you've got still a lot of people buying homes. The question is, at what levels will the FED raise interest rates which, ironically, I thought that there was going to be -- we were going to be in a lower interest rate environment. And now so that was my crystal ball broke a long-time ago. And that was definitely the case last year, when I sort of suggested we continue to have low interest rates this year. But I think the reality is, is that we're likely going to see fewer transactions, starting sometime maybe second half of 2022, than we we've seen previously. I think between, interest rates and some other factors. That would be my prediction. And so we'll see some softening toward the latter half of the year. And then, we'll just have to see, how it goes into 2023.

Okay. How should we think about or how should investors think about, how the eXp model performs, in that type of environment sort of a slower industry growth or maybe even a year of, maybe contraction in the industry. I mean, on one of the platform, I feel like might be relatively more appealing to agents, just given kind of the economic value prop that agents have here. But just be curious, to hear your view on, how you think the business kind of performs generally, in the environment you just got?

Yeah. So we're uniquely positioned where a lot of our bricks and mortar counterpart competitors have had to answer, we'll say, the eXp model, with either reducing the amount that they charge to agents or what have you, they haven't been able to impact they've probably seen the reverse happen in terms of their cost of their bricks and mortar footprint and some of the other answers that it takes to run a brokerage. And so we were actually designed from day one to be a model that could increase or decrease its expenses really, at whatever the market throws at us. And sort of our case, and there would be you know what happened in Q1, Q2 of 2020, we were able to not that we were excited to do it. But we were able to reduce our expenses substantially and actually put up one of our best quarters, if not our best quarter ever, at that point in time, because we're able to really contract a lot of the expenses it takes to run a brokerage whilst providing a high-quality of service for agents. And so our value prop for our agents doesn't change at all. In fact, I think it continues to get by almost 5,000 agents so far year-to-date, which are only quite two months in. So, we're coming up on the two-month mark. And so the idea that we can grow by some number, we think about something above 50% year-over-year is pretty predictable, just based on our value prop. Now, what could be a headwind is if the housing market takes a hit, for some reason, second half the year that might change it, but I think our market share continues to grow rapidly. The other piece is, we always wanted to focus on…

Got it. Maybe just a follow-up. I mean how do you think about the performance of the stock in terms of like the agent's overall value prop, all that kind of -- like all sort of front end monetization, right? You got paid splits, low fees, you've got the revenue share. And you continue to sort of make those benefits sweeter or enhance them for agents. One of the 10 questions we get a lot from investors is, would you guys ever like raise the cap or do stuff like that, which might not benefit agents immediately, but it might be benefit the stock which would then agents or also shareholders in the company, so curious how you think about like the performance of the stock, I guess relative to the broader portfolio of benefit [Technical Difficulty] price increase margins comes from.

Great. Maybe I'll ask one more and then a pose a couple of questions to Jeff. But can you just give us an update on success lending and how that launch is going? And your latest thoughts on how you kind of drive adoption of the product with your agents?

Yes, so success lending, we're now licensed in probably about a dozen or so states. We've had our loans that are being closed basically as we speak through the success lending platform and the relationship that we built there. So, it's coming together. We -- one unique piece is that we're actually hiring local on-the-ground loan officers. So, we've hired a group in Illinois, we're hiring folks in Colorado. We're hiring folks in Texas. We're hiring local on the ground successful Hello teams that can benefit from purchase business for the last number of years. It's all been about refinance. And now, to the extent that they they're looking for where can they get new purchase business, we that right now is actually a great time for us specifically, to be going into the retail lending. Business was successful lending, because there's a lot of great talent out there that is looking for the type of access that that eXp would provide with a partnership. So, that's coming together quite well. We're working on our integrations now with our real estate portal, our kvCORE platform. There's a platform that will be rolled out a little bit later this year, for agents that will create a seamless experience that will allow consumers to get pre-approved during the home search process. Last year, -- actually we just had some data around our kvCORE platform. We have 38 million consumers that are in our instance of kvCORE, which is our real estate portal from to consumer perspective. 10 million of those have active list searches and listing alerts going on. And in that we think that introducing successful lending is going to be a great way to create awareness, and then also deal flow. So pretty excited about how that all comes together as the year goes on.

Terrific. Maybe we'll switch over to some financial questions, Jeff. It’s available. I guess first on gross margins, they were up sequentially, but down a little bit year-over-year. Could you talk maybe just about kind of the main drivers there? And how should we how should we think about the trajectory of gross margins in calendar 2022.

Yeah. The pressure on the gross margins is coming from volume or massive volume in the business. And then any increased price, down results in capping -- lot more capping going on the business. I mean, our focus really is on the gross margin dollars. So in fourth quarter, we're at 83.1 Up 65% year-to-date, 296 million, up 85% it and what I'm seeing. I think what we're seeing is a business. It seems to be where they're landing at the end of the year, seems to kind of stabilize that's kind of what it looks like as we look into 2022 we're kind of seeing at around the same number. But as Glenn said, and as you know, our model is designed to give back most of the revenue generated by the broker or the agents whether it's in the form of commissions, rev share or equity. And what we'll be working on is the affiliate services where we believe there's significant percentages in there from an operating margin standpoint to build higher margins across the business. But to me it looks like what we're seeing is it kind of stabilized, we think around this point in time. And I think if we do get back to more seasonal relationship from a volume standpoint, it should go back to higher in Q1 and Q4, lower in Q2 and Q3 but who knows what's going to happen, but we're feeling pretty good [Technical Difficulty].

Yes, that's helpful. Is 2022, the year where some of the affiliated services like mortgage and maybe title might have a more appreciable impact on gross margins? Or are really the main drivers of growth? And maybe I'd add to that list International where I think your gross margin percentages are structurally kind of better than the domestic brokerage? Is this year where those three things, you know, have an appreciable impact? Or is 2022 gross margin really going to be driven by kind of the volume and capping dynamic that you've just touched on?

Yeah, I think in 2022, I mean, we're going to make substantial progress and building these businesses, whether it be the mortgage, international and coaching and other affiliate services businesses, I don't think the impacts we're going to see a material impact from a percentage of gross margin, I think that's going to show up in 2023. But I think we're going to make some new features like I hired Jairek Robbins to lead our business on the coaching side. So we feel very, very bullish that that's going to happen this year mortgages. It we're actually in 23 states right now. So and then International as you can see, we're in the 20 plus countries. So we think that the real business is happening as it for the marginally catch up. I think that's going to be more towards the end of this year going into next year.