Greetings, and welcome to the RumbleOn, Inc. Second Quarter 2025 Earnings Call. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Jerene Makia, Vice President of Finance. Thank you. Please go ahead.

Thank you, Chloe. Good afternoon, everyone, and thank you for joining us on this conference call to discuss RumbleOn's second quarter 2025 financial results. Joining me on the call today is Michael Quartieri, RumbleOn's Chairman, Chief Executive Officer and Interim Chief Financial Officer. Our Q2 results are detailed in the press release we issued this afternoon and supplemental information will be available in our Form 10-Q once filed. Before we start, I would like to remind you that the following discussion contains forward-looking statements including, but not limited to, RumbleOn's market opportunities and future financial results and involve risks and uncertainties that may cause actual results to differ materially from those discussed here. Additional information that could cause actual results to differ from forward- looking statements can be found in RumbleOn's periodic and other SEC filings. The forward-looking statements and risks in this conference call, including responses to your questions, are based on current expectations as of today, and RumbleOn assumes no obligation to update or revise them whether as a result of new developments or otherwise, except as required by law. Also, the following discussion contains non-GAAP financial measures. For a reconciliation of these non-GAAP financial measures please see our earnings release issued earlier today. Now I'll turn the call over to Michael Quartieri, RumbleOn's CEO. Mike?

Good afternoon, and thank you for joining us for RumbleOn's Second Quarter 2025 Earnings Call. Before I take you through the Q2 results, I'd like to take a few minutes and update you on some key initiatives. Needless to say, it's been a busy 6 months since stepping into the role. The evolving landscape around tariffs continues to create volatility and uncertainty in the market coupled with optimism stemming from the recent tax reforms embedded in the Big Beautiful Bill. This creates risk and opportunities in our highly discretionary powersports business. Although new unit sales are coming in lower than last year, we are continuing to see robust demand in our pre-owned segment with strong margins as consumers shift to preowned products amidst tariffs and a tough purchasing environment for higher-priced new units. Regardless of the impact of tariffs, the current economic environment or the Big Beautiful Bill, we are focused on improving what we can control, approaching our business with fresh thinking, operational discipline and a renewed commitment to serving our customers. We are pleased with the actions we've taken to date, which have helped us achieve improved year-over-year adjusted EBITDA results despite the lower year-over-year sales volumes, a testament to the strong cost discipline we are instilling within our company. We are confident that we are taking the right actions today to position the company for success when the sales cycle returns positive again, and we can harness the true earnings power of this company. I've been in the seat for just about 6 months now and with each day that passes my conviction in our future success and value creation potential grows. Since our Q1 earnings call, we have continued to formulate and enact a tactical plan that's based on balance between near-term initiatives to improve financial…

[Operator Instructions] We have a question from Eric Wold from Texas Capital Securities.

Just a couple of questions. I guess one, there's still some uncertainty kind of with the demand environment, given the tariffs, just kind of the macro uncertainty still out there. But maybe just give us your thoughts on the kind of the current kind of pricing environment for new and pre-owned vehicles. Do you feel like we've gotten to a point where prices per vehicles have started to stabilize if inventories have gotten down to an appropriate level in your view and we could start seeing prices either stabilize or potentially can move higher from here in the quarters ahead?

Yes. Look, I think from a -- taking a look at it from an industry-wide perspective, it feels like the industry as a whole has really kind of bottomed out, and we're starting to see that upward trajectory that you're referring to. When I take a look back at the first 6 months of the year, obviously, January and February, we saw was a real rough start to the year. That's right at the start of the time when you were hearing about tariffs. There was a lot of uncertainty, inflation was high given the transition from the old administration to the new administration. We did see a bit of recovery in March, and then we've seen strong demand throughout Q2 for the preowned product. As we look forward through the end of Q2 and as we've seen some for July, I think with the passage of the Big Beautiful Bill that gave a lot of the middle class certainty around what their tax situation was going to be as it came to no tax on tips, no tax on overtime. Motorcycles being qualified as autos for the interest deduction has started to give more consumers more confidence, and we're seeing that pick up not only in the continued strength of our pre-owned product, but we're also seeing an uplift in the new products as well. So it seems like we're more stabilized. It feels like we've bumped off the bottom, and we're starting to see a nice trajectory going forward.

Perfect. And then on the Wholesale Express side of the business, I know you previously talked about an expectation for some disruption then. Maybe update us kind of on where you are with kind of the rebuilding that sales force and the team behind that, when you think you can get back to kind of maybe not necessarily prior levels or maybe kind of a more realistic level of business there? And maybe what that segment may look like going forward, if it wouldn't look like it was before, if this is an opportunity to kind of maybe rebuild it in a different way than how it was run previously.

Yes, that's the exact approach that we're taking. It's almost like you've got -- you hit the reset button and now you're starting with the blank sheet of paper. So two aspects. One is a very relationship-driven business. So the ability to find brokers that can come in and go back after our previous customers has proved to be very difficult as -- as I said, it's a relationship business and people are very sticky with the brokers that they had and who they've done business with for years. So that aspect of it has taken a bit longer to find those right brokers that either, a, can bring a book of business with them or that can grow and develop a new set of customers in this environment. Beyond that, we're also exploring and doing some testing around moving into what I call the B2C side of the business where you have individuals who are looking to move vehicles because they're part of a relocation or they're moving across state lines. They don't want to drive their vehicle. And so that's opening up a new avenue of business for us, which we historically have never even tapped into. The historical business was all auction houses to dealerships, dealerships back to the auction houses, this going from a B2C perspective, obviously, it opens up a new opportunity for us. But again, we've started that, I would say, probably within the last month at best. And so I'm looking to see what that's going to play out for us over the remaining of the year before we make a final determination as to what the status is going forward with the Wholesale Express business in its entirety.

There are no further questions at this time. This concludes today's conference call. Thank you for participating. You may now disconnect.