Walker & Dunlop, Inc. (NYSE:WD) Q2 2023 Earnings Conference Call August 3, 2023 8:00 AM ET

Company Participants

Kelsey Duffey – Senior Vice President-Investor Relations

Willy Walker – Chairman and Chief Executive Officer

Greg Florkowski – Chief Financial Officer

Conference Call Participants

Steven DeLaney – JMP Securities

Jay McCanless – Wedbush

Jade Rahmani – KBW

Operator

Good day, and welcome to the Q2 2023 Walker & Dunlop, Inc. Earnings Call. Today’s call is being recorded. [Operator Instructions]

At this time I will like to turn the conference over to Kelsey Duffey. Please go ahead.

Kelsey Duffey

Thank you, Ruth. Good morning, everyone. Thank you for joining Walker & Dunlop's second quarter 2023 earnings call.

I have with me this morning our Chairman and CEO, Willy Walker; and our CFO, Greg Florkowski.

This call is being webcast live on our website and a recording will be available later today. Both our earnings press release and website provide details on accessing the archived webcast.

This morning, we posted our earnings release and presentation to the investor relations section of our website, www.walkerdunlop.com. These slides serve as a reference point for some of what Willy and Greg will touch on during the call.

Please also note that we will reference to non-GAAP financial metrics, adjusted EBITDA, and adjusted core EPS during the course of this call. Please refer to the appendix of the earnings presentation for a reconciliation of these non-GAAP financial metrics.

Investors are urged to carefully read the forward-looking statements language in our earnings release. Statements made on this call, which are not historical facts, may be deemed forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements describe our current expectations, and actual results may differ materially. Walker & Dunlop is under no obligation to update or alter our forward-looking statements, whether as a result of new information, future events, or otherwise, and we expressly disclaims any obligation to do so. More detailed information about risk factors can be found in our annual and quarterly reports filed with the SEC.

I will now turn the call over to Willy.

Willy Walker

Thank you, Kelsey. And good morning everyone.

The great tightening started by the Federal Reserve in March of 2022 has added 525 basis points to the Fed funds rate and dramatically reduced transaction volumes across the commercial real estate industry. We believe the majority of tightening is behind us and expect pricing to adjust and transaction volumes to recover in the coming quarters.