Regional Management Corp. Announces First Quarter 2024 Results
- Net income of
- 30+ day contractual delinquency rate of 7.1% as of
- Continued expense discipline with operating expense ratio of 13.7% -
“We had a very strong start to 2024, as we outperformed our outlook on both the top and bottom lines,” said
“We are very pleased with our first quarter results, and I continue to be very proud of the way that our team members are navigating through the current environment,” added
“Against the current economic backdrop, we will continue to operate based on a few key guiding principles,” continued
By making fundamentally sound business decisions in line with these key principles, we expect to deliver sustainable returns and long-term value to our shareholders.”
First Quarter 2024 Highlights
-
Net income for the first quarter of 2024 was
$15.2 million and diluted earnings per share was$1.56 , up 73% from$0.90 in the prior-year period.
-
Net finance receivables as of
March 31, 2024 were$1.7 billion , an increase of$68.1 million , or 4.1%, from the prior-year period.
- Large loan net finance receivables of
- Small loan net finance receivables were
- Total loan originations were
-
Total revenue for the first quarter of 2024 was
$144.3 million , an increase of$8.9 million , or 6.6%, from the prior-year period, primarily due to an increase in interest and fee income of$8.4 million related to higher average net finance receivables and 80 basis points of higher interest and fee yield compared to the prior-year period.
-
Provision for credit losses for the first quarter of 2024 was
$46.4 million , a decrease of$1.2 million , or 2.6%, from the prior-year period.
- Annualized net credit losses as a percentage of average net finance receivables for the first quarter of 2024 were 10.6%, compared to 10.1% in the prior-year period.
- The provision for credit losses for the first quarter of 2024 included a reserve decrease of
- Allowance for credit losses was
-
As of
March 31, 2024 , 30+ day contractual delinquencies totaled$124.2 million , or 7.1% of net finance receivables, an improvement of 10 basis points compared toMarch 31, 2023 .
-
General and administrative expenses for the first quarter of 2024 were
$60.4 million , an increase of$1.1 million from the prior-year period.
- The operating expense ratio (annualized general and administrative expenses as a percentage of average net finance receivables) for the first quarter of 2024 was 13.7%.
Second Quarter 2024 Dividend
The company’s Board of Directors has declared a dividend of
Liquidity and Capital Resources
As of
-
$154.2 million on the company’s$355 million senior revolving credit facility, -
$99.4 million on the company’s aggregate$375 million revolving warehouse credit facilities, and -
$1.1 billion through the company’s asset-backed securitizations.
As of
The company had a funded debt-to-equity ratio of 4.0 to 1.0 and a stockholders’ equity ratio of 19.2%, each as of
Conference Call Information
The dial-in number for the conference call is (855) 327-6837 (toll-free) or (631) 891-4304 (direct). Please dial the number 10 minutes prior to the scheduled start time.
*** A supplemental slide presentation will be made available on Regional’s website prior to the earnings call at www.RegionalManagement.com. ***
In addition, a live webcast of the conference call will be available on Regional’s website at www.RegionalManagement.com.
A webcast replay of the call will be available at www.RegionalManagement.com for one year following the call.
About
Forward-Looking Statements
This press release may contain various “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact but instead represent Regional Management Corp.’s expectations or beliefs concerning future events. Forward-looking statements include, without limitation, statements concerning financial outlooks or future plans, objectives, goals, projections, strategies, events, or performance, and underlying assumptions and other statements related thereto. Words such as “may,” “will,” “should,” “likely,” “anticipates,” “expects,” “intends,” “plans,” “projects,” “believes,” “estimates,” “outlook,” and similar expressions may be used to identify these forward-looking statements. Such forward-looking statements speak only as of the date on which they were made and are about matters that are inherently subject to risks and uncertainties, many of which are outside of the control of
Factors that could cause actual results or performance to differ from the expectations expressed or implied in forward-looking statements include, but are not limited to, the following: managing growth effectively, implementing Regional Management’s growth strategy, and opening new branches as planned; Regional Management’s convenience check strategy; Regional Management’s policies and procedures for underwriting, processing, and servicing loans; Regional Management’s ability to collect on its loan portfolio; Regional Management’s insurance operations; exposure to credit risk and repayment risk, which risks may increase in light of adverse or recessionary economic conditions; the implementation of evolving underwriting models and processes, including as to the effectiveness of
The foregoing factors and others are discussed in greater detail in Regional Management’s filings with the
Consolidated Statements of Income (Unaudited) (dollars in thousands, except per share amounts) |
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Better (Worse) |
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1Q 24 |
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1Q 23 |
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$ |
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% |
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Revenue |
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||||
Interest and fee income |
|
$ |
128,818 |
|
|
$ |
120,407 |
|
|
$ |
8,411 |
|
|
|
7.0 |
% |
Insurance income, net |
|
|
10,974 |
|
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|
10,959 |
|
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|
15 |
|
|
|
0.1 |
% |
Other income |
|
|
4,516 |
|
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|
4,012 |
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|
504 |
|
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|
12.6 |
% |
Total revenue |
|
|
144,308 |
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|
135,378 |
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|
8,930 |
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6.6 |
% |
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Expenses |
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Provision for credit losses |
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|
46,423 |
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|
47,668 |
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|
1,245 |
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2.6 |
% |
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Personnel |
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37,820 |
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|
38,597 |
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|
777 |
|
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|
2.0 |
% |
Occupancy |
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|
6,375 |
|
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|
6,288 |
|
|
|
(87 |
) |
|
|
(1.4 |
)% |
Marketing |
|
|
4,315 |
|
|
|
3,379 |
|
|
|
(936 |
) |
|
|
(27.7 |
)% |
Other |
|
|
11,938 |
|
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|
11,059 |
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|
(879 |
) |
|
|
(7.9 |
)% |
Total general and administrative |
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60,448 |
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|
59,323 |
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|
(1,125 |
) |
|
|
(1.9 |
)% |
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||||
Interest expense |
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|
17,504 |
|
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|
16,782 |
|
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|
(722 |
) |
|
|
(4.3 |
)% |
Income before income taxes |
|
|
19,933 |
|
|
|
11,605 |
|
|
|
8,328 |
|
|
|
71.8 |
% |
Income taxes |
|
|
4,728 |
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|
2,916 |
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|
(1,812 |
) |
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(62.1 |
)% |
Net income |
|
$ |
15,205 |
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|
$ |
8,689 |
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|
$ |
6,516 |
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|
75.0 |
% |
Net income per common share: |
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Basic |
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$ |
1.59 |
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$ |
0.93 |
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$ |
0.66 |
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|
71.0 |
% |
Diluted |
|
$ |
1.56 |
|
|
$ |
0.90 |
|
|
$ |
0.66 |
|
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|
73.3 |
% |
Weighted-average common shares outstanding: |
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Basic |
|
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9,569 |
|
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|
9,325 |
|
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|
(244 |
) |
|
|
(2.6 |
)% |
Diluted |
|
|
9,746 |
|
|
|
9,622 |
|
|
|
(124 |
) |
|
|
(1.3 |
)% |
Return on average assets (annualized) |
|
|
3.4 |
% |
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2.0 |
% |
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Return on average equity (annualized) |
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|
18.4 |
% |
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11.0 |
% |
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Consolidated Balance Sheets (Unaudited) (dollars in thousands, except par value amounts) |
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Increase (Decrease) |
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1Q 24 |
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1Q 23 |
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$ |
|
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% |
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Assets |
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Cash |
|
$ |
4,215 |
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$ |
7,108 |
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$ |
(2,893 |
) |
|
|
(40.7 |
)% |
Net finance receivables |
|
|
1,744,286 |
|
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|
1,676,230 |
|
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|
68,056 |
|
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|
4.1 |
% |
Unearned insurance premiums |
|
|
(45,675 |
) |
|
|
(49,126 |
) |
|
|
3,451 |
|
|
|
7.0 |
% |
Allowance for credit losses |
|
|
(187,100 |
) |
|
|
(183,800 |
) |
|
|
(3,300 |
) |
|
|
(1.8 |
)% |
Net finance receivables, less unearned insurance premiums and allowance for credit losses |
|
|
1,511,511 |
|
|
|
1,443,304 |
|
|
|
68,207 |
|
|
|
4.7 |
% |
Restricted cash |
|
|
118,194 |
|
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|
127,178 |
|
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|
(8,984 |
) |
|
|
(7.1 |
)% |
Lease assets |
|
|
33,400 |
|
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|
34,507 |
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(1,107 |
) |
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(3.2 |
)% |
Restricted available-for-sale investments |
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|
22,596 |
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|
22,489 |
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|
107 |
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|
0.5 |
% |
Intangible assets |
|
|
17,360 |
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|
12,972 |
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|
4,388 |
|
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|
33.8 |
% |
Deferred tax assets, net |
|
|
13,491 |
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|
14,690 |
|
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|
(1,199 |
) |
|
|
(8.2 |
)% |
Property and equipment |
|
|
13,440 |
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|
14,999 |
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|
(1,559 |
) |
|
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(10.4 |
)% |
Other assets |
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|
22,541 |
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|
23,867 |
|
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(1,326 |
) |
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(5.6 |
)% |
Total assets |
|
$ |
1,756,748 |
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$ |
1,701,114 |
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$ |
55,634 |
|
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|
3.3 |
% |
Liabilities and Stockholders’ Equity |
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Liabilities: |
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Debt |
|
$ |
1,358,795 |
|
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$ |
1,329,677 |
|
|
$ |
29,118 |
|
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|
2.2 |
% |
Unamortized debt issuance costs |
|
|
(3,948 |
) |
|
|
(8,215 |
) |
|
|
4,267 |
|
|
|
51.9 |
% |
Net debt |
|
|
1,354,847 |
|
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|
1,321,462 |
|
|
|
33,385 |
|
|
|
2.5 |
% |
Lease liabilities |
|
|
35,679 |
|
|
|
36,905 |
|
|
|
(1,226 |
) |
|
|
(3.3 |
)% |
Accounts payable and accrued expenses |
|
|
29,762 |
|
|
|
26,054 |
|
|
|
3,708 |
|
|
|
14.2 |
% |
Total liabilities |
|
|
1,420,288 |
|
|
|
1,384,421 |
|
|
|
35,867 |
|
|
|
2.6 |
% |
Stockholders’ equity: |
|
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|
||||
Preferred stock ( |
|
|
— |
|
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|
— |
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|
— |
|
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|
— |
|
Common stock ( |
|
|
1,468 |
|
|
|
1,438 |
|
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|
30 |
|
|
|
2.1 |
% |
Additional paid-in capital |
|
|
123,563 |
|
|
|
114,452 |
|
|
|
9,111 |
|
|
|
8.0 |
% |
Retained earnings |
|
|
361,791 |
|
|
|
351,324 |
|
|
|
10,467 |
|
|
|
3.0 |
% |
Accumulated other comprehensive loss |
|
|
(219 |
) |
|
|
(378 |
) |
|
|
159 |
|
|
|
42.1 |
% |
|
|
|
(150,143 |
) |
|
|
(150,143 |
) |
|
|
— |
|
|
|
— |
|
Total stockholders’ equity |
|
|
336,460 |
|
|
|
316,693 |
|
|
|
19,767 |
|
|
|
6.2 |
% |
Total liabilities and stockholders’ equity |
|
$ |
1,756,748 |
|
|
$ |
1,701,114 |
|
|
$ |
55,634 |
|
|
|
3.3 |
% |
Selected Financial Data (Unaudited) (dollars in thousands, except per share amounts) |
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Net Finance Receivables |
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|
|
1Q 24 |
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4Q 23 |
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QoQ $
|
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|
QoQ %
|
|
|
1Q 23 |
|
|
YoY $
|
|
|
YoY %
|
|
|||||||
Large loans |
|
$ |
1,250,647 |
|
|
$ |
1,274,137 |
|
|
$ |
(23,490 |
) |
|
|
(1.8 |
)% |
|
$ |
1,211,836 |
|
|
$ |
38,811 |
|
|
|
3.2 |
% |
Small loans |
|
|
490,830 |
|
|
|
493,473 |
|
|
|
(2,643 |
) |
|
|
(0.5 |
)% |
|
|
456,313 |
|
|
|
34,517 |
|
|
|
7.6 |
% |
Retail loans |
|
|
2,809 |
|
|
|
3,800 |
|
|
|
(991 |
) |
|
|
(26.1 |
)% |
|
|
8,081 |
|
|
|
(5,272 |
) |
|
|
(65.2 |
)% |
Total net finance receivables |
|
$ |
1,744,286 |
|
|
$ |
1,771,410 |
|
|
$ |
(27,124 |
) |
|
|
(1.5 |
)% |
|
$ |
1,676,230 |
|
|
$ |
68,056 |
|
|
|
4.1 |
% |
Number of branches at period end |
|
|
343 |
|
|
|
346 |
|
|
|
(3 |
) |
|
|
(0.9 |
)% |
|
|
344 |
|
|
|
(1 |
) |
|
|
(0.3 |
)% |
Net finance receivables per branch |
|
$ |
5,085 |
|
|
$ |
5,120 |
|
|
$ |
(35 |
) |
|
|
(0.7 |
)% |
|
$ |
4,873 |
|
|
$ |
212 |
|
|
|
4.4 |
% |
|
|
Averages and Yields |
|
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|
|
1Q 24 |
|
|
4Q 23 |
|
|
1Q 23 |
|
|||||||||||||||
|
|
Average Net Finance Receivables |
|
|
Average
|
|
|
Average Net Finance Receivables |
|
|
Average
|
|
|
Average Net Finance Receivables |
|
|
Average
|
|
||||||
Large loans |
|
$ |
1,263,491 |
|
|
|
26.0 |
% |
|
$ |
1,273,268 |
|
|
|
26.0 |
% |
|
$ |
1,215,547 |
|
|
|
26.0 |
% |
Small loans |
|
|
491,911 |
|
|
|
37.8 |
% |
|
|
477,615 |
|
|
|
36.3 |
% |
|
|
467,851 |
|
|
|
35.0 |
% |
Retail loans |
|
|
3,341 |
|
|
|
15.8 |
% |
|
|
4,356 |
|
|
|
16.3 |
% |
|
|
8,954 |
|
|
|
18.6 |
% |
Total interest and fee yield |
|
$ |
1,758,743 |
|
|
|
29.3 |
% |
|
$ |
1,755,239 |
|
|
|
28.8 |
% |
|
$ |
1,692,352 |
|
|
|
28.5 |
% |
Total revenue yield |
|
$ |
1,758,743 |
|
|
|
32.8 |
% |
|
$ |
1,755,239 |
|
|
|
32.3 |
% |
|
$ |
1,692,352 |
|
|
|
32.0 |
% |
(1) Annualized interest and fee income as a percentage of average net finance receivables. |
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|
|
Components of Increase in Interest and Fee Income |
|
|||||||||||||
|
|
1Q 24 Compared to 1Q 23 |
|
|||||||||||||
|
|
Increase (Decrease) |
|
|||||||||||||
|
|
Volume |
|
|
Rate |
|
|
Volume & Rate |
|
|
Total |
|
||||
Large loans |
|
$ |
3,116 |
|
|
$ |
27 |
|
|
$ |
1 |
|
|
$ |
3,144 |
|
Small loans |
|
|
2,107 |
|
|
|
3,276 |
|
|
|
169 |
|
|
|
5,552 |
|
Retail loans |
|
|
(261 |
) |
|
|
(63 |
) |
|
|
39 |
|
|
|
(285 |
) |
Product mix |
|
|
(238 |
) |
|
|
308 |
|
|
|
(70 |
) |
|
|
— |
|
Total increase in interest and fee income |
|
$ |
4,724 |
|
|
$ |
3,548 |
|
|
$ |
139 |
|
|
$ |
8,411 |
|
|
|
Loans Originated (1) |
|
|||||||||||||||||||||||||
|
|
1Q 24 |
|
|
4Q 23 |
|
|
QoQ $
|
|
|
QoQ %
|
|
|
1Q 23 |
|
|
YoY $
|
|
|
YoY %
|
|
|||||||
Large loans |
|
$ |
185,074 |
|
|
$ |
233,415 |
|
|
$ |
(48,341 |
) |
|
|
(20.7 |
)% |
|
$ |
193,571 |
|
|
$ |
(8,497 |
) |
|
|
(4.4 |
)% |
Small loans |
|
|
141,281 |
|
|
|
174,394 |
|
|
|
(33,113 |
) |
|
|
(19.0 |
)% |
|
|
109,484 |
|
|
|
31,797 |
|
|
|
29.0 |
% |
Retail loans |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
146 |
|
|
|
(146 |
) |
|
|
(100.0 |
)% |
Total loans originated |
|
$ |
326,355 |
|
|
$ |
407,809 |
|
|
$ |
(81,454 |
) |
|
|
(20.0 |
)% |
|
$ |
303,201 |
|
|
$ |
23,154 |
|
|
|
7.6 |
% |
(1) Represents the principal balance of loan originations and refinancings. |
||||||||||||||||||||||||||||
|
|
Other Key Metrics |
|
|||||||||
|
|
1Q 24 |
|
|
4Q 23 |
|
|
1Q 23 |
|
|||
Net credit losses |
|
$ |
46,723 |
|
|
$ |
66,385 |
|
|
$ |
42,668 |
|
Percentage of average net finance receivables (annualized) |
|
|
10.6 |
% |
|
|
15.1 |
% |
|
|
10.1 |
% |
Provision for credit losses |
|
$ |
46,423 |
|
|
$ |
68,885 |
|
|
$ |
47,668 |
|
Percentage of average net finance receivables (annualized) |
|
|
10.6 |
% |
|
|
15.7 |
% |
|
|
11.3 |
% |
Percentage of total revenue |
|
|
32.2 |
% |
|
|
48.6 |
% |
|
|
35.2 |
% |
General and administrative expenses |
|
$ |
60,448 |
|
|
$ |
64,796 |
|
|
$ |
59,323 |
|
Percentage of average net finance receivables (annualized) |
|
|
13.7 |
% |
|
|
14.8 |
% |
|
|
14.0 |
% |
Percentage of total revenue |
|
|
41.9 |
% |
|
|
45.7 |
% |
|
|
43.8 |
% |
Same store results (1): |
|
|
|
|
|
|
|
|
|
|||
Net finance receivables at period-end |
|
$ |
1,733,237 |
|
|
$ |
1,718,367 |
|
|
$ |
1,619,407 |
|
Net finance receivable growth rate |
|
|
3.4 |
% |
|
|
1.5 |
% |
|
|
12.3 |
% |
Number of branches in calculation |
|
|
340 |
|
|
|
333 |
|
|
|
325 |
|
(1) Same store sales reflect the change in year-over-year sales for the comparable branch base. The comparable branch base includes those branches open for at least one year. |
||||||||||||
|
|
Contractual Delinquency |
|
|||||||||||||||||||||
|
|
1Q 24 |
|
|
4Q 23 |
|
|
1Q 23 |
|
|||||||||||||||
Allowance for credit losses |
|
$ |
187,100 |
|
|
|
10.7 |
% |
|
$ |
187,400 |
|
|
|
10.6 |
% |
|
$ |
183,800 |
|
|
|
11.0 |
% |
|
|
|
1,489,510 |
|
|
|
85.4 |
% |
|
|
1,493,341 |
|
|
|
84.3 |
% |
|
|
1,438,354 |
|
|
|
85.8 |
% |
1 to 29 days past due |
|
|
130,578 |
|
|
|
7.5 |
% |
|
|
155,196 |
|
|
|
8.8 |
% |
|
|
116,723 |
|
|
|
7.0 |
% |
Delinquent accounts: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
30 to 59 days |
|
|
30,020 |
|
|
|
1.7 |
% |
|
|
34,756 |
|
|
|
1.9 |
% |
|
|
27,428 |
|
|
|
1.6 |
% |
60 to 89 days |
|
|
25,409 |
|
|
|
1.5 |
% |
|
|
31,212 |
|
|
|
1.8 |
% |
|
|
25,178 |
|
|
|
1.5 |
% |
90 to 119 days |
|
|
23,460 |
|
|
|
1.3 |
% |
|
|
27,107 |
|
|
|
1.5 |
% |
|
|
23,148 |
|
|
|
1.4 |
% |
120 to 149 days |
|
|
22,163 |
|
|
|
1.3 |
% |
|
|
15,317 |
|
|
|
0.9 |
% |
|
|
22,263 |
|
|
|
1.3 |
% |
150 to 179 days |
|
|
23,146 |
|
|
|
1.3 |
% |
|
|
14,481 |
|
|
|
0.8 |
% |
|
|
23,136 |
|
|
|
1.4 |
% |
Total contractual delinquency |
|
$ |
124,198 |
|
|
|
7.1 |
% |
|
$ |
122,873 |
|
|
|
6.9 |
% |
|
$ |
121,153 |
|
|
|
7.2 |
% |
Total net finance receivables |
|
$ |
1,744,286 |
|
|
|
100.0 |
% |
|
$ |
1,771,410 |
|
|
|
100.0 |
% |
|
$ |
1,676,230 |
|
|
|
100.0 |
% |
1 day and over past due |
|
$ |
254,776 |
|
|
|
14.6 |
% |
|
$ |
278,069 |
|
|
|
15.7 |
% |
|
$ |
237,876 |
|
|
|
14.2 |
% |
|
|
Contractual Delinquency by Product |
|
|||||||||||||||||||||
|
|
1Q 24 |
|
|
4Q 23 |
|
|
1Q 23 |
|
|||||||||||||||
Large loans |
|
$ |
78,055 |
|
|
|
6.2 |
% |
|
$ |
80,136 |
|
|
|
6.3 |
% |
|
$ |
74,606 |
|
|
|
6.2 |
% |
Small loans |
|
|
45,804 |
|
|
|
9.3 |
% |
|
|
42,151 |
|
|
|
8.5 |
% |
|
|
45,600 |
|
|
|
10.0 |
% |
Retail loans |
|
|
339 |
|
|
|
12.1 |
% |
|
|
586 |
|
|
|
15.4 |
% |
|
|
947 |
|
|
|
11.7 |
% |
Total contractual delinquency |
|
$ |
124,198 |
|
|
|
7.1 |
% |
|
$ |
122,873 |
|
|
|
6.9 |
% |
|
$ |
121,153 |
|
|
|
7.2 |
% |
|
|
Income Statement Quarterly Trend |
|
|||||||||||||||||||||||||
|
|
1Q 23 |
|
|
2Q 23 |
|
|
3Q 23 |
|
|
4Q 23 |
|
|
1Q 24 |
|
|
QoQ $
|
|
|
YoY $
|
|
|||||||
Revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Interest and fee income |
|
$ |
120,407 |
|
|
$ |
118,083 |
|
|
$ |
125,018 |
|
|
$ |
126,190 |
|
|
$ |
128,818 |
|
|
$ |
2,628 |
|
|
$ |
8,411 |
|
Insurance income, net |
|
|
10,959 |
|
|
|
11,203 |
|
|
|
11,382 |
|
|
|
10,985 |
|
|
|
10,974 |
|
|
|
(11 |
) |
|
|
15 |
|
Other income |
|
|
4,012 |
|
|
|
4,198 |
|
|
|
4,478 |
|
|
|
4,484 |
|
|
|
4,516 |
|
|
|
32 |
|
|
|
504 |
|
Total revenue |
|
|
135,378 |
|
|
|
133,484 |
|
|
|
140,878 |
|
|
|
141,659 |
|
|
|
144,308 |
|
|
|
2,649 |
|
|
|
8,930 |
|
Expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Provision for credit losses |
|
|
47,668 |
|
|
|
52,551 |
|
|
|
50,930 |
|
|
|
68,885 |
|
|
|
46,423 |
|
|
|
22,462 |
|
|
|
1,245 |
|
|
|
|
38,597 |
|
|
|
36,419 |
|
|
|
39,832 |
|
|
|
42,024 |
|
|
|
37,820 |
|
|
|
4,204 |
|
|
|
777 |
|
Occupancy |
|
|
6,288 |
|
|
|
6,158 |
|
|
|
6,315 |
|
|
|
6,268 |
|
|
|
6,375 |
|
|
|
(107 |
) |
|
|
(87 |
) |
Marketing |
|
|
3,379 |
|
|
|
3,844 |
|
|
|
4,077 |
|
|
|
4,474 |
|
|
|
4,315 |
|
|
|
159 |
|
|
|
(936 |
) |
Other |
|
|
11,059 |
|
|
|
10,475 |
|
|
|
11,880 |
|
|
|
12,030 |
|
|
|
11,938 |
|
|
|
92 |
|
|
|
(879 |
) |
Total general and administrative |
|
|
59,323 |
|
|
|
56,896 |
|
|
|
62,104 |
|
|
|
64,796 |
|
|
|
60,448 |
|
|
|
4,348 |
|
|
|
(1,125 |
) |
|
|
|
16,782 |
|
|
|
16,224 |
|
|
|
16,947 |
|
|
|
17,510 |
|
|
|
17,504 |
|
|
|
6 |
|
|
|
(722 |
) |
Income before income taxes |
|
|
11,605 |
|
|
|
7,813 |
|
|
|
10,897 |
|
|
|
(9,532 |
) |
|
|
19,933 |
|
|
|
29,465 |
|
|
|
8,328 |
|
Income taxes |
|
|
2,916 |
|
|
|
1,790 |
|
|
|
2,077 |
|
|
|
(1,958 |
) |
|
|
4,728 |
|
|
|
(6,686 |
) |
|
|
(1,812 |
) |
Net income (loss) |
|
$ |
8,689 |
|
|
$ |
6,023 |
|
|
$ |
8,820 |
|
|
$ |
(7,574 |
) |
|
$ |
15,205 |
|
|
$ |
22,779 |
|
|
$ |
6,516 |
|
Net income (loss) per common share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Basic |
|
$ |
0.93 |
|
|
$ |
0.64 |
|
|
$ |
0.94 |
|
|
$ |
(0.80 |
) |
|
$ |
1.59 |
|
|
$ |
2.39 |
|
|
$ |
0.66 |
|
Diluted |
|
$ |
0.90 |
|
|
$ |
0.63 |
|
|
$ |
0.91 |
|
|
$ |
(0.80 |
) |
|
$ |
1.56 |
|
|
$ |
2.36 |
|
|
$ |
0.66 |
|
Weighted-average shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Basic |
|
|
9,325 |
|
|
|
9,399 |
|
|
|
9,429 |
|
|
|
9,437 |
|
|
|
9,569 |
|
|
|
(132 |
) |
|
|
(244 |
) |
Diluted |
|
|
9,622 |
|
|
|
9,566 |
|
|
|
9,650 |
|
|
|
9,437 |
|
|
|
9,746 |
|
|
|
(309 |
) |
|
|
(124 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
|
|
Balance Sheet Quarterly Trend |
|
|||||||||||||||||||||||||
|
|
1Q 23 |
|
|
2Q 23 |
|
|
3Q 23 |
|
|
4Q 23 |
|
|
1Q 24 |
|
|
QoQ $
|
|
|
YoY $
|
|
|||||||
Total assets |
|
$ |
1,701,114 |
|
|
$ |
1,723,616 |
|
|
$ |
1,765,340 |
|
|
$ |
1,794,527 |
|
|
$ |
1,756,748 |
|
|
$ |
(37,779 |
) |
|
$ |
55,634 |
|
Net finance receivables |
|
$ |
1,676,230 |
|
|
$ |
1,688,937 |
|
|
$ |
1,751,009 |
|
|
$ |
1,771,410 |
|
|
$ |
1,744,286 |
|
|
$ |
(27,124 |
) |
|
$ |
68,056 |
|
Allowance for credit losses |
|
$ |
183,800 |
|
|
$ |
181,400 |
|
|
$ |
184,900 |
|
|
$ |
187,400 |
|
|
$ |
187,100 |
|
|
$ |
(300 |
) |
|
$ |
3,300 |
|
Debt |
|
$ |
1,329,677 |
|
|
$ |
1,344,855 |
|
|
$ |
1,372,748 |
|
|
$ |
1,399,814 |
|
|
$ |
1,358,795 |
|
|
$ |
(41,019 |
) |
|
$ |
29,118 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
|
|
Other Key Metrics Quarterly Trend |
|
|||||||||||||||||||||||||
|
|
1Q 23 |
|
|
2Q 23 |
|
|
3Q 23 |
|
|
4Q 23 |
|
|
1Q 24 |
|
|
QoQ
|
|
|
YoY
|
|
|||||||
Interest and fee yield (annualized) |
|
|
28.5 |
% |
|
|
28.2 |
% |
|
|
29.0 |
% |
|
|
28.8 |
% |
|
|
29.3 |
% |
|
|
0.5 |
% |
|
|
0.8 |
% |
Efficiency ratio (1) |
|
|
43.8 |
% |
|
|
42.6 |
% |
|
|
44.1 |
% |
|
|
45.7 |
% |
|
|
41.9 |
% |
|
|
(3.8 |
)% |
|
|
(1.9 |
)% |
Operating expense ratio (2) |
|
|
14.0 |
% |
|
|
13.6 |
% |
|
|
14.4 |
% |
|
|
14.8 |
% |
|
|
13.7 |
% |
|
|
(1.1 |
)% |
|
|
(0.3 |
)% |
30+ contractual delinquency |
|
|
7.2 |
% |
|
|
6.9 |
% |
|
|
7.3 |
% |
|
|
6.9 |
% |
|
|
7.1 |
% |
|
|
0.2 |
% |
|
|
(0.1 |
)% |
Net credit loss ratio (3) |
|
|
10.1 |
% |
|
|
13.1 |
% |
|
|
11.0 |
% |
|
|
15.1 |
% |
|
|
10.6 |
% |
|
|
(4.5 |
)% |
|
|
0.5 |
% |
Book value per share |
|
$ |
33.06 |
|
|
$ |
32.71 |
|
|
$ |
33.61 |
|
|
$ |
33.02 |
|
|
$ |
34.10 |
|
|
$ |
1.08 |
|
|
$ |
1.04 |
|
(1) General and administrative expenses as a percentage of total revenue.
|
||||||||||||||||||||||||||||
Non-GAAP Financial Measures
In addition to financial measures presented in accordance with generally accepted accounting principles (“GAAP”), this press release contains certain non-GAAP financial measures. The company’s management utilizes non-GAAP measures as additional metrics to aid in, and enhance, its understanding of the company’s financial results. Tangible equity and the funded debt-to-tangible equity ratio are non-GAAP measures that adjust GAAP measures to exclude intangible assets. Management uses these equity measures to evaluate and manage the company’s capital and leverage position. The company also believes that these equity measures are commonly used in the financial services industry and provide useful information to users of the company’s financial statements in the evaluation of its capital and leverage position.
This non-GAAP financial information should be considered in addition to, not as a substitute for or superior to, measures of financial performance prepared in accordance with GAAP. In addition, the company’s non-GAAP measures may not be comparable to similarly titled non-GAAP measures of other companies. The following tables provide a reconciliation of GAAP measures to non-GAAP measures.
|
|
1Q 24 |
|
|
Debt |
|
$ |
1,358,795 |
|
|
|
|
336,460 |
|
Less: Intangible assets |
|
|
17,360 |
|
Tangible equity (non-GAAP) |
|
$ |
319,100 |
|
|
|
|
4.0 |
x |
Funded debt-to-tangible equity ratio (non-GAAP) |
|
|
4.3 |
x |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240501087836/en/
Investor Relations
investor.relations@regionalmanagement.com
Source: