Earnings release
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Exhibit 99.1 1 Regional Management Corp. Announces Third Quarter 2025 Results - Net income of $14.4 million and diluted earnings per share of $1.42, up 87% year-over-year - - Record origina ons and 12.8% year-over-year por olio growth drive record revenue - - Net credit loss rate of 10.2%, an improvement of 40 basis points year-over-year - - Annualized opera ng expense ra o of 12.8%, an all- me best - - Increases authoriza on under stock repurchase program from $30 million to $60 million - Greenville, South Carolina ā November 5, 2025 ā Regional Management Corp. (NYSE: RM), a diversiļ¬ed consumer ļ¬nance company, today announced results for the third quarter ended September 30, 2025. āBuilding on our strong second-quarter momentum, we delivered another outstanding performance in the third quarter,ā said Robert W. Beck, President and Chief Execu ve Oļ¬cer of Regional Management Corp. āWe achieved net income of $14.4 million and diluted EPS of $1.42 ā an 87% year-over-year improvement ā and crossed the $2 billion milestone in ending net receivables for the ļ¬rst me in our companyās history. Total revenue reached a record $165 million, while our opera ng expense ra o improved to an all- me best 12.8%.ā āOur success reļ¬ects disciplined execu on of our growth strategies, strong credit management, and con nued investment in technology and analy cs,ā added Mr. Beck. āTotal origina ons hit another record, up 23% from prior year, and our auto-secured por olio grew 41% year-over-year, demonstra ng healthy consumer demand. We are also seeing notable improvements in credit performance across our por olio, as our net credit loss rate improved 40 basis points year-over-year.ā āAt the same me, we have maintained expense discipline, with revenue growth outpacing G&A expense growth by 12 mes, even as we invest in innova on and new branches,ā con nued Mr. Beck. āOur consistent capital genera on has supported $26 million in shareholder returns through dividends and share repurchases year-to-date. Based on the strength of our balance sheet, excess capital, and ability to generate income, our Board of Directors increased our authoriza on under our stock repurchase program from $30 million to $60 million.ā
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2 āLooking ahead, we are conļ¬dent in our posi on and strategy,ā added Mr. Beck. āWe plan to open addi onal branches in Louisiana and California before year-end and to enter one to two new states in 2026. We remain focused on expanding our high-quality, auto-secured and higher-margin small-loan por olios, enhancing our data and analy c capabili es, and delivering consistent value to shareholders. With a healthy balance sheet and a larger $60 million share repurchase authoriza on, we are well-posi oned to sustain strong performance and long-term growth.ā Third Quarter 2025 Highlights ā¢ Net income for the third quarter of 2025 was $14.4 million and diluted earnings per share was $1.42, up 87.3% and 86.8% year-over-year, respec vely. ā¢ Net ļ¬nance receivables as of September 30, 2025 were a record $2.1 billion, an improvement of $233.3 million, or 12.8%, from the prior-year period, driven by strong performance from the digital channel, receivables growth in 16 new branches opened since the third quarter of 2024, and strong execu on of the companyās barbell strategy, which balances growth in higher-quality, auto-secured products with growth in the higher-margin small loan por olio. o Record total origina ons of $522.3 million, up 22.5% from the prior-year period, while maintaining conserva ve underwri ng criteria. o Large loan net ļ¬nance receivables of $1.5 billion increased $218.7 million, or 16.9%, from the prior-year period and represented 73.7% of the total loan por olio, compared to 71.1% in the prior-year period. āŖ Auto-secured net ļ¬nance receivables of $275.4 million increased $79.6 million, or 40.6%, from the prior-year period and represented 13.4% of the total loan por olio, compared to 10.8% in the prior-year period. o Small loan net ļ¬nance receivables of $540.9 million increased $14.5 million, or 2.8%, from the prior-year period and represented 26.3% of the total loan por olio, compared to 28.9% in the prior-year period. o Net ļ¬nance receivables with annual percentage rates (APRs) above 36% increased by 12.9% year-over-year and represent 17.8% of the por olio, consistent with the prior-year period. o Customer accounts improved by 5.0% from the prior-year period. ā¢ Record quarterly total revenue of $165.5 million, an increase of $19.1 million, or 13.1%, from the prior-year period, primarily due to growth in average net ļ¬nance receivables.
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3 o Total revenue yield for the third quarter of 2025 was 33.1%, compared to 32.6% in the prior-year period, an improvement of 50 basis points. The prior-year period was inclusive of lower revenue from personal property insurance claims and reserves associated with hurricane ac vity, nega vely impac ng the prior-year period total revenue yield by 80 basis points. Due to product mix shi to large loans, total revenue yield for the third quarter 2025 was 30 basis points lower year-over-year a er adjus ng for the prior-year hurricane impact. o Interest and fee yield decreased 20 basis points from the prior-year period due to product mix shi to large loans. ā¢ Provision for credit losses for the third quarter of 2025 was $60.5 million, an increase of $6.1 million, or 11.3%, from the prior-year period, driven by por olio growth. o The net credit loss rate (annualized net credit losses as a percentage of average net ļ¬nance receivables) for the third quarter of 2025 was 10.2%, a 40 basis point improvement compared to 10.6% in the prior-year period, due to credit ghtening, eļ¬ec ve por olio management, and product mix. o The provision for credit losses for the third quarter of 2025 included a sequen al reserve increase of $9.2 million, primarily due to por olio growth occurring during the third quarter of 2025. o The allowance for credit losses was $212.0 million as of September 30, 2025, or 10.3% of net ļ¬nance receivables, stable sequen ally and an improvement compared to 10.6% in the prior-year period, which included an es mated 20 basis points related to prior-year hurricane ac vity. ā¢ As of September 30, 2025, 30+ day contractual delinquencies totaled $144.3 million, or 7.0% of net ļ¬nance receivables, a 40 basis point seasonal increase sequen ally and a 10 basis point increase from the prior-year period. The 30+ day contractual delinquency rate improved 30 basis points year-over-year a er adjus ng for the impact in the prior year of special borrower assistance programs associated with hurricane ac vity. o The delinquency rate of the large loan por olio was 5.7% as of the end of the third quarter of 2025, a 20 basis point improvement from the prior-year period and a 60 basis point improvement from the prior-year period a er adjus ng for the prior-year hurricane impact. o The delinquency rate of the small loan por olio was 10.8% as of the end of the third quarter of 2025, a 140 basis point increase from the prior-year period and a 90 basis point increase from the prior-year period a er adjus ng for the prior-year hurricane impact, reļ¬ec ng faster growth in the higher-margin por olio in 2024 compared to 2025.
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4 ā¢ General and administra ve expenses for the third quarter of 2025 were $64.1 million, an increase of $1.6 million from the prior-year period. The opera ng expense ra o (annualized general and administra ve expenses as a percentage of average net ļ¬nance receivables) for the third quarter of 2025 was 12.8%, an all- me best despite investment in innova on and growth. The ra o reļ¬ected improvements of 40 basis points and 110 basis points from 13.2% and 13.9% in the prior-quarter and prior-year periods, respec vely. Revenue growth outpaced G&A expense growth by 12x in the third quarter. ā¢ In the third quarter of 2025, the company repurchased 153,552 shares of its common stock at a weighted-average price of $32.56 per share under the company's stock repurchase program. Fourth Quarter 2025 Dividend and Increase in Stock Repurchase Program Authoriza on The companyās Board of Directors has declared a dividend of $0.30 per common share for the fourth quarter of 2025. The dividend will be paid on December 16, 2025 to shareholders of record as of the close of business on November 25, 2025. The declara on and payment of any future dividend is subject to the discre on of the Board of Directors and will depend on a variety of factors, including the companyās ļ¬nancial condi on and results of opera ons. In addi on, the companyās Board of Directors has approved a $30 million increase in the amount authorized under the stock repurchase program announced in December 2024, from $30 million to $60 million. The authoriza on is eļ¬ec ve immediately and will con nue through June 30, 2027. As of the end of October 2025, the company had repurchased $23.5 million of stock under the $60 million stock repurchase program. Share repurchases under the stock repurchase program may be made in the open market at prevailing market prices, through privately nego ated transac ons, or through other structures in accordance with applicable federal securi es laws, at mes and in amounts as management deems appropriate. The ming and the amount of any common stock repurchases will be determined by the companyās management based on its evalua on of market condi ons, the companyās liquidity needs, legal and contractual requirements and restric ons (including covenants in the companyās credit agreements), share price, and other factors. Repurchases of common stock may be made under a Rule 10b5-1 plan, which would permit common stock to be repurchased when the company might otherwise be precluded from doing so under insider trading laws. The repurchase program does not obligate the company to purchase any par cular number of shares and may be suspended, modiļ¬ed, or discon nued at any me without prior no ce.
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5 Liquidity and Capital Resources As of September 30, 2025, the company had net ļ¬nance receivables of $2.1 billion and debt of $1.6 billion. The debt consisted of: ā¢ $196.2 million on the companyās $355 million senior revolving credit facility,ā¢ $186.2 million on the companyās aggregate $425 million revolving warehouse credit facili es, andā¢ $1.2 billion through the companyās asset-backed securi za ons. As of September 30, 2025, the companyās unused capacity to fund future growth on its revolving credit facili es (subject to the borrowing base) was $400 million, or 51.3%, and the company had available liquidity of $155.4 million, including unrestricted cash on hand and immediate availability to draw down cash from its revolving credit facili es. As of September 30, 2025, the companyās ļ¬xed-rate debt as a percentage of total debt was 76%, with a weighted-average coupon of 4.6% and a weighted-average revolving dura on of 1.1 years. In October, the company closed a $253 million asset-backed securi za on transac on at a weighted-average coupon of 4.8%, a 50-basis point improvement over the companyās ļ¬rst quarter 2025 securi za on transac on. The Class A notes of the securi za on received a top ra ng of āAAAā from Standard & Poorās and Morningstar DBRS. The company used a por on of the proceeds from the securi za on to pay down variable rate debt facili es, as well as fully pay oļ¬ the remaining notes from its RMIT 2021-1 securi za on. Following the closing of the October securi za on, ļ¬xed-rate debt represented 89% of total debt, with a weighted-average coupon of 4.7% and a weighted-average revolving dura on of 1.2 years. The company had a funded debt-to-equity ra o of 4.3 to 1.0 and a stockholdersā equity ra o of 18.3%, each as of September 30, 2025. On a non-GAAP basis, the company had a funded debt-to-tangible equity ra o of 4.6 to 1.0, as of September 30, 2025. Please refer to the reconcilia ons of non-GAAP measures to comparable GAAP measures included at the end of this press release. Conference Call Informa on Regional Management Corp. will host a conference call and webcast today at 5:00 PM ET to discuss these results. The dial-in number for the conference call is (877) 407-0752 (toll-free) or (201) 389-0912 (interna onal). Please dial the number 10 minutes prior to the scheduled start me. *** A supplemental slide presenta on will be made available on Regionalās website prior to the earnings call at www.RegionalManagement.com. *** In addi on, a live webcast of the conference call will be available on Regionalās website at www.RegionalManagement.com.
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6 A webcast replay of the call will be available at www.RegionalManagement.com for one year following the call. About Regional Management Corp. Regional Management Corp. (NYSE: RM) is a diversiļ¬ed consumer ļ¬nance company that provides a rac ve, easy-to-understand installment loan products primarily to customers with limited access to consumer credit from banks, thri s, credit card companies, and other lenders. Regional Management operates under the name āRegional Financeā online and in branch loca ons in 19 states across the United States. Most of its loan products are secured, and each is structured on a ļ¬xed-rate, ļ¬xed-term basis with fully amor zing equal monthly installment payments, repayable at any me without penalty. Regional Management sources loans through its mul ple channel pla orm, which includes branches, centrally managed direct mail campaigns, digital partners, and its consumer website. For more informa on, please visit www.RegionalManagement.com. Forward-Looking Statements This press release may contain various āforward-looking statementsā within the meaning of the Private Securi es Li ga on Reform Act of 1995. Forward-looking statements are not statements of historical fact but instead represent Regional Management Corp.ās expecta ons or beliefs concerning future events. Forward-looking statements include, without limita on, statements concerning ļ¬nancial outlooks or future plans, objec ves, goals, projec ons, strategies, events, or performance, and underlying assump ons and other statements related thereto. Words such as āmay,ā āwill,ā āshould,ā ālikely,ā āan cipates,ā āexpects,ā āintends,ā āplans,ā āprojects,ā ābelieves,ā āes mates,ā āoutlook,ā and similar expressions may be used to iden fy these forward-looking statements. Such forward-looking statements speak only as of the date on which they were made and are about ma ers that are inherently subject to risks and uncertain es, many of which are outside of the control of Regional Management. As a result, actual performance and results may diļ¬er materially from those contemplated by these forward-looking statements. Therefore, investors should not place undue reliance on forward-looking statements. Factors that could cause actual results or performance to diļ¬er from the expecta ons expressed or implied in forward-looking statements include, but are not limited to, the following: managing growth eļ¬ec vely, implemen ng Regional Managementās growth strategy, and opening new branches as planned; Regional Managementās convenience check strategy; Regional Managementās policies and procedures for underwri ng, processing, and servicing loans; Regional Managementās ability to collect on its loan por olio; Regional Managementās insurance opera ons; exposure to credit risk and repayment risk, which risks may increase in light of adverse or recessionary economic condi ons; the implementa on of evolving underwri ng models and processes, including as to the eļ¬ec veness of Regional Management's custom scorecards; changes in the compe ve environment in which Regional Management operates or a decrease in the demand for its products; the geographic concentra on of Regional Managementās loan por olio; the failure of third-party service providers, including those providing informa on technology products; changes in economic condi ons in the markets Regional Management serves, including levels of unemployment and bankruptcies; impacts of a prolonged U.S. federal
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7 government shutdown; the ability to achieve successful acquisi ons and strategic alliances; the ability to make technological improvements as quickly as compe tors; security breaches, cyber-a acks, failures in informa on systems, or fraudulent ac vity; the ability to originate loans; reliance on informa on technology resources and providers, including the risk of prolonged system outages; changes in current revenue and expense trends, including trends aļ¬ec ng delinquencies and credit losses; any future public health crises, including the impact of such crisis on our opera ons and ļ¬nancial condi on; changes in opera ng and administra ve expenses; the departure, transi on, or replacement of key personnel; the ability to mely and eļ¬ec vely implement, transi on to, and maintain the necessary informa on technology systems, infrastructure, processes, and controls to support Regional Managementās opera ons and ini a ves; changes in interest rates; exis ng sources of liquidity may become insuļ¬cient or access to these sources may become unexpectedly restricted; exposure to ļ¬nancial risk due to asset-backed securi za on transac ons; risks related to regula on and legal proceedings, including changes in laws or regula ons or in the interpreta on or enforcement of laws or regula ons; changes in accoun ng standards, rules, and interpreta ons and the failure of related assump ons and es mates; the impact of changes in tax laws and guidance, including the ming and amount of revenues that may be recognized; risks related to the ownership of Regional Managementās common stock, including vola lity in the market price of shares of Regional Managementās common stock; the ming and amount of future cash dividend payments; and an -takeover provisions in Regional Managementās charter documents and applicable state law. The foregoing factors and others are discussed in greater detail in Regional Managementās ļ¬lings with the Securi es and Exchange Commission. Regional Management will not update or revise forward-looking statements to reļ¬ect events or circumstances a er the date of this press release or to reļ¬ect the occurrence of unan cipated events or the non-occurrence of an cipated events, whether as a result of new informa on, future developments, or otherwise, except as required by law. Regional Management is not responsible for changes made to this document by wire services or Internet services. Contact Investor Rela onsGarre Edson, (203) 682-8331investor.rela ons@regionalmanagement.com
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8 Regional Management Corp. and SubsidiariesConsolidated Statements of Income(Unaudited)(dollars in thousands, except per share amounts) Be er (Worse) Be er (Worse) 3Q 25 3Q 24 $ % YTD 25 YTD 24 $ % Revenue Interest and fee income $ 148,672 $ 133,932 $ 14,740 11.0%$ 425,920 $ 390,648 $ 35,272 9.0% Insurance income, net 11,391 7,422 3,969 53.5% 34,187 28,903 5,284 18.3% Other income 5,424 4,984 440 8.8% 15,789 14,120 1,669 11.8% Total revenue 165,487 146,338 19,149 13.1% 475,896 433,671 42,225 9.7% Expenses Provision for credit losses 60,474 54,349 (6,125) (11.3)% 179,053 154,574 (24,479) (15.8)% Personnel 39,517 38,323 (1,194) (3.1)% 119,243 113,240 (6,003) (5.3)%Occupancy 7,160 6,551 (609) (9.3)% 20,977 19,075 (1,902) (10.0)% Marke ng 4,212 5,078 866 17.1% 14,677 14,229 (448) (3.1)% Other 13,179 12,516 (663) (5.3)% 38,159 36,508 (1,651) (4.5)% Total general and administra ve 64,068 62,468 (1,600) (2.6)% 193,056 183,052 (10,004) (5.5)% Interest expense 21,971 19,356 (2,615) (13.5)% 62,168 54,725 (7,443) (13.6)% Income before income taxes 18,974 10,165 8,809 86.7% 41,619 41,320 299 0.7% Income taxes 4,618 2,502 (2,116) (84.6)% 10,116 10,007 (109) (1.1)% Net income $ 14,356 $ 7,663 $ 6,693 87.3%$ 31,503 $ 31,313 $ 190 0.6% Net income per common share: Basic $ 1.53 $ 0.79 $ 0.74 93.7%$ 3.32 $ 3.25 $ 0.07 2.2% Diluted $ 1.42 $ 0.76 $ 0.66 86.8%$ 3.15 $ 3.16 $ (0.01) (0.3)% Weighted-average common shares outstanding: Basic 9,370 9,683 313 3.2% 9,493 9,622 129 1.3% Diluted 10,133 10,090 (43) (0.4)% 10,000 9,900 (100) (1.0)% Return on average assets (annualized) 2.9% 1.7% 2.2% 2.3% Return on average equity (annualized) 15.6% 8.7% 11.7% 12.3%
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9 Regional Management Corp. and SubsidiariesConsolidated Balance Sheets(Unaudited)(dollars in thousands, except par value amounts) Increase (Decrease) 3Q 25 3Q 24 $ % Assets Cash $ 4,084 $ 4,745 $ (661) (13.9)%Net ļ¬nance receivables 2,053,017 1,819,756 233,261 12.8% Unearned insurance premiums (50,987) (46,508) (4,479) (9.6)% Allowance for credit losses (212,000) (192,100) (19,900) (10.4)% Net ļ¬nance receivables, less unearned insurance premiums and allowance for credit losses 1,790,030 1,581,148 208,882 13.2% Restricted cash 104,459 115,576 (11,117) (9.6)% Lease assets 40,782 37,229 3,553 9.5% Intangible assets 30,385 22,250 8,135 36.6% Restricted available-for-sale investments 22,344 21,727 617 2.8% Property and equipment 12,996 13,425 (429) (3.2)% Deferred tax assets, net 587 11,833 (11,246) (95.0)% Other assets 22,599 13,898 8,701 62.6% Total assets $ 2,028,266 $ 1,821,831 $ 206,435 11.3% Liabili es and Stockholdersā Equity Liabili es: Debt $ 1,581,992 $ 1,395,892 $ 186,100 13.3% Unamor zed debt issuance costs (7,521) (4,645) (2,876) (61.9)% Net debt 1,574,471 1,391,247 183,224 13.2% Lease liabili es 42,906 39,350 3,556 9.0% Other liabili es 38,971 38,306 665 1.7% Total liabili es 1,656,348 1,468,903 187,445 12.8% Stockholdersā equity: Preferred stock ($0.10 par value, 100,000 shares authorized, none issued or outstanding) ā ā ā ā Common stock ($0.10 par value, 1,000,000 shares authorized, 15,220 shares issued and 9,803 shares outstanding at September 30, 2025 and 14,971 shares issued and 10,164 shares outstanding at September 30, 2024) 1,522 1,497 25 1.7% Addi onal paid-in capital 139,868 129,936 9,932 7.6% Retained earnings 400,844 371,725 29,119 7.8% Accumulated other comprehensive loss (10) (87) 77 88.5% Treasury stock (5,417 shares at September 30, 2025 and 4,807 shares atSeptember 30, 2024) (170,306) (150,143) (20,163) (13.4)% Total stockholdersā equity 371,918 352,928 18,990 5.4% Total liabili es and stockholdersā equity $ 2,028,266 $ 1,821,831 $ 206,435 11.3%
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10 Regional Management Corp. and SubsidiariesSelected Financial Data(Unaudited)(dollars in thousands, except per share amounts) Net Finance Receivables 3Q 25 2Q 25 QoQ $Inc (Dec) QoQ %Inc (Dec) 3Q 24 YoY $Inc (Dec) YoY %Inc (Dec) Large loans $ 1,512,140 $ 1,413,367 $ 98,773 7.0% $ 1,293,410 $ 218,730 16.9% Small loans 540,877 546,997 (6,120) (1.1)% 526,346 14,531 2.8% Total $ 2,053,017 $ 1,960,364 $ 92,653 4.7% $ 1,819,756 $ 233,261 12.8% Number of branches 349 352 (3) (0.9)% 340 9 2.6% Net ļ¬nance receivables per branch $ 5,883 $ 5,569 $ 314 5.6% $ 5,352 $ 531 9.9% Average Net Finance Receivables 3Q 25 2Q 25 QoQ $Inc (Dec) QoQ %Inc (Dec) 3Q 24 YoY $Inc (Dec) YoY %Inc (Dec) Large loans $ 1,460,187 $ 1,372,783 $ 87,404 6.4% $ 1,279,720 $ 180,467 14.1% Small loans 541,201 540,106 1,095 0.2% 513,089 28,112 5.5% Total $ 2,001,388 $ 1,912,889 $ 88,499 4.6% $ 1,792,809 $ 208,579 11.6% Revenue Yields (1) 3Q 25 2Q 25 QoQ Inc (Dec) 3Q 24 YoY Inc (Dec) Large loans 27.1% 26.6% 0.5% 26.7% 0.4% Small loans 36.7% 36.5% 0.2% 37.8% (1.1)% Total interest and fee yield 29.7% 29.4% 0.3% 29.9% (0.2)% Total revenue yield 33.1% 32.9% 0.2% 32.6% 0.5% (1) Annualized as a percentage of average net ļ¬nance receivables. Components of Increase in Interest and Fee Income 3Q 25 Compared to 3Q 24 Increase (Decrease) Volume Rate Volume & Rate Total Large loans $ 12,056 $ 1,242 $ 176 $ 13,474 Small loans 2,654 (1,316) (72) 1,266 Product mix 872 (680) (192) ā Total $ 15,582 $ (754) $ (88) $ 14,740
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11 Loans Originated (1) 3Q 25 2Q 25 QoQ $Inc (Dec) QoQ %Inc (Dec) 3Q 24 YoY $Inc (Dec) YoY %Inc (Dec) Large loans $ 363,055 $ 336,473 $ 26,582 7.9% $ 251,563 $ 111,492 44.3% Small loans 159,210 173,856 (14,646) (8.4)% 174,632 (15,422) (8.8)% Total $ 522,265 $ 510,329 $ 11,936 2.3% $ 426,195 $ 96,070 22.5% (1) Represents the principal balance of loan origina ons and reļ¬nancings. Other Key Metrics 3Q 25 2Q 25 3Q 24 Net credit losses $ 51,274 $ 56,887 $ 47,649 Percentage of average net ļ¬nance receivables (annualized) 10.2% 11.9% 10.6% Provision for credit losses $ 60,474 $ 60,587 $ 54,349 Percentage of average net ļ¬nance receivables (annualized) 12.1% 12.7% 12.1% Percentage of total revenue 36.5% 38.5% 37.1% General and administra ve expenses $ 64,068 $ 62,945 $ 62,468 Percentage of average net ļ¬nance receivables (annualized) 12.8% 13.2% 13.9% Percentage of total revenue 38.7% 40.0% 42.7% Same store results (1): Net ļ¬nance receivables at period-end $ 2,000,665 $ 1,915,667 $ 1,815,187 Net ļ¬nance receivable growth rate 9.9% 8.1% 3.7% Number of branches in calcula on 333 335 337 (1) Same store sales reļ¬ect 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 3Q 25 2Q 25 3Q 24 Allowance for credit losses $ 212,000 10.3% $ 202,800 10.3% $ 192,100 10.6% Current 1,740,356 84.8% 1,672,027 85.3% 1,529,171 84.1% 1 to 29 days past due 168,380 8.2% 158,951 8.1% 164,568 9.0% Delinquent accounts: 30 to 59 days 40,100 1.9% 35,362 1.8% 35,300 1.9% 60 to 89 days 31,914 1.6% 28,949 1.5% 27,704 1.5% 90 to 119 days 26,304 1.2% 22,348 1.1% 23,964 1.4% 120 to 149 days 23,722 1.2% 21,625 1.1% 22,544 1.2% 150 to 179 days 22,241 1.1% 21,102 1.1% 16,505 0.9% Total delinquency $ 144,281 7.0% $ 129,386 6.6% $ 126,017 6.9% Total net ļ¬nance receivables $ 2,053,017 100.0% $ 1,960,364 100.0% $ 1,819,756 100.0% 1 day and over past due $ 312,661 15.2% $ 288,337 14.7% $ 290,585 15.9% Contractual Delinquency by Product 3Q 25 2Q 25 3Q 24 Large loans $ 85,865 5.7% $ 76,690 5.4% $ 76,435 5.9% Small loans 58,416 10.8% 52,696 9.6% 49,582 9.4% Total $ 144,281 7.0% $ 129,386 6.6% $ 126,017 6.9%
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12 Income Statement Quarterly Trend 3Q 24 4Q 24 1Q 25 2Q 25 3Q 25 QoQ $B(W) YoY $B(W) Revenue Interest and fee income $ 133,932 $ 138,246 $ 136,553 $ 140,695 $ 148,672 $ 7,977 $ 14,740 Insurance income, net 7,422 11,792 11,297 11,499 11,391 (108) 3,969 Other income 4,984 4,794 5,117 5,248 5,424 176 440 Total revenue 146,338 154,832 152,967 157,442 165,487 8,045 19,149 Expenses Provision for credit losses 54,349 57,626 57,992 60,587 60,474 113 (6,125) Personnel 38,323 40,549 41,142 38,584 39,517 (933) (1,194) Occupancy 6,551 6,748 6,906 6,911 7,160 (249) (609) Marke ng 5,078 4,777 5,406 5,059 4,212 847 866 Other 12,516 12,572 12,589 12,391 13,179 (788) (663) Total general and administra ve 62,468 64,646 66,043 62,945 64,068 (1,123) (1,600) Interest expense 19,356 19,805 19,771 20,426 21,971 (1,545) (2,615) Income before income taxes 10,165 12,755 9,161 13,484 18,974 5,490 8,809 Income taxes 2,502 2,841 2,154 3,344 4,618 (1,274) (2,116) Net income $ 7,663 $ 9,914 $ 7,007 $ 10,140 $ 14,356 $ 4,216 $ 6,693 Net income per common share: Basic $ 0.79 $ 1.02 $ 0.73 $ 1.07 $ 1.53 $ 0.46 $ 0.74 Diluted $ 0.76 $ 0.98 $ 0.70 $ 1.03 $ 1.42 $ 0.39 $ 0.66 Weighted-average shares outstanding: Basic 9,683 9,691 9,610 9,504 9,370 134 313 Diluted 10,090 10,128 10,025 9,843 10,133 (290) (43) Balance Sheet & Other Key Metrics Quarterly Trends 3Q 24 4Q 24 1Q 25 2Q 25 3Q 25 QoQ $Inc (Dec) YoY $Inc (Dec) Total assets $ 1,821,831 $ 1,909,109 $ 1,900,683 $ 1,967,131 $ 2,028,266 $ 61,135 $ 206,435 Net ļ¬nance receivables $ 1,819,756 $ 1,892,535 $ 1,890,351 $ 1,960,364 $ 2,053,017 $ 92,653 $ 233,261 Allowance for credit losses $ 192,100 $ 199,500 $ 199,100 $ 202,800 $ 212,000 $ 9,200 $ 19,900 Debt $ 1,395,892 $ 1,478,336 $ 1,477,860 $ 1,509,133 $ 1,581,992 $ 72,859 $ 186,100 Interest and fee yield (annualized) 29.9% 29.8% 28.9% 29.4% 29.7% 0.3% (0.2)% Eļ¬ciency ra o (1) 42.7% 41.8% 43.2% 40.0% 38.7% (1.3)% (4.0)% Opera ng expense ra o (2) 13.9% 14.0% 14.0% 13.2% 12.8% (0.4)% (1.1)% Delinquency rate (3) 6.9% 7.7% 7.1% 6.6% 7.0% 0.4% 0.1% Net credit loss rate (4) 10.6% 10.8% 12.4% 11.9% 10.2% (1.7)% (0.4)% Book value per share $ 34.72 $ 35.67 $ 35.48 $ 36.43 $ 37.94 $ 1.51 $ 3.22 (1) General and administra ve expenses as a percentage of total revenue.(2) Annualized general and administra ve expenses as a percentage of average net ļ¬nance receivables.(3) Delinquent loans outstanding as a percentage of ending net ļ¬nance receivables.(4) Annualized net credit losses as a percentage of average net ļ¬nance receivables.
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13 Average Net Finance Receivables YTD 25 YTD 24 YoY $Inc (Dec) YoY %Inc (Dec) Large loans $ 1,391,470 $ 1,266,363 $ 125,107 9.9% Small loans 543,402 500,508 42,894 8.6% Total $ 1,934,872 $ 1,766,871 $ 168,001 9.5% Revenue Yields (1) YTD 25 YTD 24 YoY Inc (Dec) Large loans 26.6% 26.3% 0.3% Small loans 36.4% 37.6% (1.2)% Total interest and fee yield 29.4% 29.5% (0.1)% Total revenue yield 32.8% 32.7% 0.1% (1) Annualized as a percentage of average net ļ¬nance receivables. Components of Increase in Interest and Fee Income YTD 25 Compared to YTD 24 Increase (Decrease) Volume Rate Volume & Rate Total Large loans $ 24,664 $ 3,140 $ 310 $ 28,114 Small loans 12,083 (4,537) (388) 7,158 Product mix 397 (313) (84) ā Total $ 37,144 $ (1,710) $ (162) $ 35,272 Loans Originated (1) YTD 25 YTD 24 YTD $Inc (Dec) YTD %Inc (Dec) Large loans $ 941,337 $ 691,416 $ 249,921 36.1% Small loans 483,377 487,195 (3,818) (0.8)% Total $ 1,424,714 $ 1,178,611 $ 246,103 20.9% (1) Represents the principal balance of loan origina ons and reļ¬nancings. Other Key Metrics YTD 25 YTD 24 Net credit losses $ 166,553 $ 149,874 Percentage of average net ļ¬nance receivables (annualized) 11.5% 11.3% Provision for credit losses $ 179,053 $ 154,574 Percentage of average net ļ¬nance receivables (annualized) 12.3% 11.7% Percentage of total revenue 37.6% 35.6% General and administra ve expenses $ 193,056 $ 183,052 Percentage of average net ļ¬nance receivables (annualized) 13.3% 13.8% Percentage of total revenue 40.6% 42.2%
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14 Non-GAAP Financial Measures In addi on to ļ¬nancial measures presented in accordance with generally accepted accoun ng principles (āGAAPā), this press release contains certain non-GAAP ļ¬nancial measures. The companyās management u lizes non-GAAP measures as addi onal metrics to aid in, and enhance, its understanding of the companyās ļ¬nancial results. Tangible equity and the funded debt-to-tangible equity ra o are non-GAAP measures that adjust GAAP measures to exclude intangible assets. Management uses these equity measures to evaluate and manage the companyās capital and leverage posi on. The company also believes that these equity measures are commonly used in the ļ¬nancial services industry and provide useful informa on to users of the companyās ļ¬nancial statements in the evalua on of its capital and leverage posi on. This non-GAAP ļ¬nancial informa on should be considered in addi on to, not as a subs tute for or superior to, measures of ļ¬nancial performance prepared in accordance with GAAP. In addi on, the companyās non-GAAP measures may not be comparable to similarly tled non-GAAP measures of other companies. The following tables provide a reconcilia on of GAAP measures to non-GAAP measures. 3Q 25 Debt $ 1,581,992 Total stockholders' equity 371,918 Less: Intangible assets 30,385 Tangible equity (non-GAAP) $ 341,533 Funded debt-to-equity ra o 4.3x Funded debt-to-tangible equity ra o (non-GAAP) 4.6x