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3Q 26 Earnings Presentation October 28, 2026
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Legal Disclosures This document contains summarized information concerning Regional Management Corp. (the “Company”) and the Company’s business , operations, financial performance, and trends. No representation is made that the information in this document is complete. For additional financial, statistical, and business information, p lease see the Company’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q filed with the U.S. Securities and Exchange Commission (the “SEC”), as well as the Company’s other reports filed with the SEC from time to time. Such reports are or will be available on the Company’s website (www.regionalmanagement.com) and on the SEC’s website (www.sec.gov). The information and opinions co ntained in this document are provided as of the date of this presentation and are subject to change without notice. This document has not been approved by any regulatory or supervisory a uthority. This presentation, the related remarks, and the responses to various questions 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 the Company’s expectations or belie fs concerning future events. Forward-looking statements include, without limitation, statements concerning financial outlook or future plans, objectives, goals, projections, strategies, events, or p erformance, 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 inh erently subject to risks and uncertainties, many of which are outside of the control of the Company. As a result, actual performance and results may differ materially from those contemplated by thes e forward-looking statements. Therefore, investors should not place undue reliance on such statements. 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 the Company’s growth strategy, opening new branches as planned, and continuing to expand our lendin g partnership with Column N.A.; the Company’s convenience check strategy; the Company’s policies and procedures for underwriting, processing, and servicing loans; the Company’s ability to c ollect on its loan portfolio; the Company’s insurance operations; exposure to credit risk and repayment risk, which risks may increase in light of adverse or recessionary economic conditions; the impleme ntation of evolving underwriting models and processes, including as to the effectiveness of the Company’s custom scorecards; changes in the competitive environment in which the Company operates or a d ecrease in the demand for its products; the geographic concentration of the Company’s loan portfolio; the failure of third-party service providers, including those providing information technology products; changes in economic conditions in the markets the Company serves, including levels of unemployment and bankruptcies; the ability to achieve successful acquisitions and strategic alliances; the ability to realize the anticipated benefits from our lending partnership with Column N.A.; the ability to make technological improvements as quickly as competitors; security breaches, cyber -attacks, failures in information systems, or fraudulent activity; the development and use of artificial intelligence; the ability to originate loans; reliance on information technology resources and providers, inclu ding the risk of prolonged system outages; changes in current revenue and expense trends, including trends affecting delinquencies and credit losses; any future public health crises, including the impact of such crises on our operations and financial condition; changes in operating and administrative expenses; the departure, transition, or replacement of key personnel; the ability to timely and effectively implement, transition to, and maintain the necessary information technology systems, infrastructure, processes, and controls to support the Company’s operations and initiatives; changes in interest rat es; existing sources of liquidity may become insufficient or access to these sources may become unexpectedly restricted; exposure to financial risk due to asset-backed securitization transactions; risks related to regulation and legal proceedings, including changes in laws or regulations or in the interpretation or enforcement of laws or regulations; changes in accounting standards, rules, and inter pretations and the failure of related assumptions and estimates; the impact of changes in tax laws and guidance, including the timing and amount of revenues that may be recognized; risks related to the ow nership of the Company's common stock, including volatility in the market price of shares of the Company's common stock; the timing and amount of future cash dividend payments; and anti -takeover provisions in the Company's charter documents and applicable state law. The foregoing factors and others are discussed in greater detail in the Company's filings with the SEC. The Company will not upda te or revise forward-looking statements to reflect events or circumstances after the date of this presentation or to reflect the occurrence of unanticipated events or the non-occurrence of anticipated events, whether as a result of new information, future developments, or otherwise, except as required by law. This presentation contains certain non-GAAP measures. Please refer to the Appendix accompanying this presentation for a reconciliation of non-GAAP measures to the most comparable GAAP measures. This presentation also contains certain financial terms and abbreviations. Please refer to the Appendix accompanying this pre sentation for a glossary of terms and abbreviations. 2
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3Q 26 Highlights Portfolio Trends $157MM ENR Growth YoY Up 7.6% YoY $62MM Sequential ENR Growth In line with seasonal norms $530MM Origination Volume Up $8MM, or 1.5%, YoY $6.2MM ENR per Branch Up 6.1% YoY $345MM Auto-Secured Portfolio Up $70MM, or 25.2%, YoY Operating Effectiveness 7.5% 30+ DQ % Up 50 bps both sequentially and YoY 10.9% Net Credit Loss Rate Better by 130 bps sequentially; up 70 bps YoY 12.6% Operating Expense Ratio 20 bps decrease YoY, inclusive of 40 bps impact from bank partnership program 74% Fixed-Rate Debt WAC of 4.8% $324MM Unused Capacity Substantial bandwidth to fund growth Returns $1.61 Diluted EPS Up 13.4% YoY 15.9% ROE / 2.8% ROA Up 30 bps YoY / Down 10 bps YoY 4.0% Dividend Yield 3Q 26 $0.30 dividend per share $31MM Capital Return and $8MM Increase in Stockholders’ Equity (YTD) $50MM Capital Generation (YTD)¹ Strategic Execution Bank Partnership Program • Expanded the bank partnership • NC (launched 3Q, completion 4Q) • LA and MO (launched 4Q) • 40%+ of current run-rate originations • Pre-tax margin projected to improve 200+ bps vs. similar state-licensed loans Omni-Channel Lending End-to-end digital lending capability launched July 2026 Technology, Analytics, & AI • Completion of new branch origination platform rollout expected in 4Q • Proprietary origination scorecard live in three states during 3Q; full rollout expected in 4Q 2026 (1) This is a non-GAAP measure. Refer to the Appendix for a reconciliation to the most comparable GAAP measure. 3
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3Q 26 Financial Highlights • Net income of $15.1MM and diluted EPS of $1.61 • ENR up $156.9MM, or 7.6%, YoY • Record total revenue of $178.8MM grew 8.0% YoY • Operating expense ratio of 12.6%, a YoY improvement of 20 bps, inclusive of 40 bps impact from bank partnership program 4 $ in millions (except per share amounts) 3Q 26 3Q 25 Total revenue 178.8$ 165.5$ 13.3$ 8.0% Provision for credit losses 66.2 60.5 (5.7) (9.4%) G&A expense 68.6 64.1 (4.6) (7.1%) Interest expense 24.1 22.0 (2.2) (9.9%) Income taxes 4.7 4.6 (0.1) (2.3%) Net income 15.1$ 14.4$ 0.8$ 5.3% Diluted EPS 1.61$ 1.42$ 0.19$ 13.4% Ending net finance receivables 2,209.9$ 2,053.0$ 156.9$ 7.6% Average net finance receivables 2,170.7$ 2,001.4$ 169.4$ 8.5% Operating expense ratio 12.6% 12.8% Return on assets 2.8% 2.9% Return on equity 15.9% 15.6% $ Chg B/(W) % Chg B/(W)
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% YoY Δ 10.5% 12.8% 13.1% 11.3% 9.6% 7.6% Total sequential change $70.0 $92.7 $87.2 ($36.2) $44.3 $61.7 $1,960.4 $2,053.0 $2,140.2 $2,104.0 $2,148.3 $2,209.9 72.1% 73.7% 74.4% 75.6% 77.3% 78.8% 27.9% 26.3% 25.6% 24.4% 22.7% 21.2% $0.0 $500.0 $1,000.0 $1,500.0 $2,000.0 $2,500.0 $3,000.0 2Q 25 3Q 25 4Q 25 1Q 26 2Q 26 3Q 26 Large Loans (> $2,500) Small Loans (≤ $2,500) % YoY Δ 19.8% 22.5% 12.9% (1.1%) (1.3%) 1.5% $510.3 $522.3 $537.3 $388.0 $503.6 $530.3 638 640 639 639 640 642 2Q 25 3Q 25 4Q 25 1Q 26 2Q 26 3Q 26 Total Originations Average FICO Responsible Portfolio Growth 5 Portfolio Growth Trend ($ in millions) • Total originations up 5.3% from 2Q 26 and 1.5% from 3Q 25 • Achieved 7.6% YoY portfolio growth driven by large loans, including high-quality auto- secured loans, and new branch openings • Auto-secured product portfolio grew $69.5MM to 15.6% of the total portfolio, compared to 13.4% in the prior-year period • New branches opened since 3Q 25 have generated $23.4MM, or 14.9%, of total YoY portfolio growth Quarterly Origination Trend ($ in millions)
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Increased ENR Per Branch is Driving Efficiency • 14 new branches opened since 3Q 25 have generated $23.4MM, or 14.9%, of the $156.9MM YoY portfolio growth • Same store receivables grew 6.7% YoY, compared to 3Q 25 YoY growth of 9.9% 6Note: ENR per branch in the age cohorts less than 5+ years may fluctuate period-over-period due to differences in average branch maturity within each cohort and the timing of new branch openings. # of branches (3Q 25) # of branches (3Q 26) 354 349 290 288 14 16 19 16 31 29 $3,272 $7,792 $7,482 $5,760 $5,883 $1,669 $5,907 $8,730 $6,220 $6,243 < 1 Year 1-3 Years 3-5 Years 5+ Years All ENR Per Branch ($ in thousands) ENR Per Branch (3Q 25) ENR Per Branch (3Q 26)
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Sequential Δ 2.9% 5.1% 2.5% (1.4%) 0.4% 6.4% YoY Δ 10.1% 13.1% 9.6% 9.4% 6.7% 8.0% Total revenue sequential Δ 0.5% 0.2% (0.6%) (1.0%) 0.3% 1.1% Total revenue YoY Δ 0.2% 0.5% (0.9%) (0.9%) (1.1%) (0.2%) 32.9% 33.1% 32.5% 31.5% 31.8% 32.9% 29.4% 29.7% 29.3% 28.3% 28.4% 28.7% 2Q 25 3Q 25 4Q 25 1Q 26 2Q 26 3Q 26 Total Revenue Yield Interest and Fee Yield $157.4 $165.5 $169.7 $167.3 $168.0 $178.8 2Q 25 3Q 25 4Q 25 1Q 26 2Q 26 3Q 26 Other Income Insurance Income Interest and Fee Income 7 Revenue Up 8.0% on Receivable Growth and Bank Partnership Expansion Total Revenue and Interest and Fee Yields Total Revenue ($ in millions) • Record total revenue of $178.8MM grew 8.0% YoY, driven by a $169.4MM increase in ANR and fee income from the bank partnership rollout • Total revenue yield decreased 20 bps YoY primarily due to mix shift toward larger loans and auto- secured products, which typically carry lower yields and lower loss rates, partially offset by bank partnership fee income of 120 bps • Total revenue yield up 110 bps sequentially, driven by bank partnership expansion and seasonality
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30+ DQ % Sequential Δ (0.5%) 0.4% 0.5% (0.3%) (0.2%) 0.5% YoY Δ (0.3%) 0.1% (0.2%) 0.1% 0.4% 0.5% 90+ DQ % Sequential Δ (0.5%) 0.2% 0.4% 0.1% (0.5%) 0.3% YoY Δ (0.1%) - - 0.2% 0.2% 0.3% Sequential Δ (0.5%) (1.7%) 0.8% 1.5% (0.3%) (1.3%) YoY Δ (0.8%) (0.4%) 0.2% 0.1% 0.3% 0.7% $65.1 $72.3 $82.8 $83.4 $75.6 $84.9 $64.3 $72.0 $78.4 $67.5 $73.7 $80.9 $129.4 $144.3 $161.2 $150.9 $149.4 $165.8 3.3% 3.5% 3.9% 4.0% 3.5% 3.8% 6.6% 7.0% 7.5% 7.2% 7.0% 7.5% -0.2% 1.8% 3.8% 5.8% 7.8% 9.8% 11.8% 2Q 25 3Q 25 4Q 25 1Q 26 2Q 26 3Q 26 30-89 Days 90-179 Days 90+ DQ % 30+ DQ % 11.9% 10.2% 11.0% 12.5% 12.2% 10.9% 2Q 25 3Q 25 4Q 25 1Q 26 2Q 26 3Q 26 Net Credit Loss Rate Recent Credit Trends 30+ & 90+ DQ % ($ in millions) Net Credit Loss Rates 8 • 3Q 26 30+ delinquency rate increased 50 bps both sequentially and YoY to 7.5%. The increase primarily reflects slower portfolio growth and the performance of higher-risk segments that we have since tightened. • Total delinquency of $165.8MM compares favorably to the allowance for credit losses of $230.8MM as of 3Q 26 • 3Q 26 net credit loss rate decreased 130 bps sequentially, due to seasonality • 3Q 26 net credit loss rate increased 70 bps YoY primarily due to loans originated in 2025 in higher-risk segments and slower portfolio growth than the prior- year period
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Allowance for Credit Losses Sequential $ ∆ $3.7 $9.2 $8.9 ($1.4) $4.5 $6.8 $202.8 $212.0 $220.9 $219.5 $224.0 $230.8 10.3% 10.3% 10.3% 10.4% 10.4% 10.4% 2Q 25 3Q 25 4Q 25 1Q 26 2Q 26 3Q 26 ACL ACL Rate Reserves For Credit Losses • ACL increased $6.8MM in 3Q 26, driven by portfolio growth; ACL rate remained flat sequentially at 10.4%. The 10 bps YoY increase in the ACL rate reflects updates to macroeconomic assumptions. Allowance for Credit Losses ($ in millions) 9
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10 Operating Expense Ratio ($ in millions) • Operating expense ratio of 12.6%, a YoY improvement of 20 bps, despite bank partnership impact and investment in technology, digital capabilities, and growth (including 14 new branches opened since 3Q 25) • Inclusive of 40 bps from bank partnership loans, where origination costs are expensed upfront rather than deferred • YoY total revenue growth outpaced G&A expense growth by 2.9x Investing for Long-Term Growth While Maintaining Expense Discipline Operating Expense Ratio YoY Δ (0.6%) (1.1%) (1.6%) (1.8%) (0.8%) (0.2%) $62.9 $64.1 $64.5 $64.7 $65.4 $68.6 13.2% 12.8% 12.4% 12.2% 12.4% 12.6% 2Q 25 3Q 25 4Q 25 1Q 26 2Q 26 3Q 26 Total G&A Expense Operating Expense Ratio
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Cost of Funds YoY Δ 0.2% 0.1% 0.1% 0.1% 0.2% - $20.4 $22.0 $22.6 $22.9 $23.0 $24.1 4.2% 4.4% 4.3% 4.3% 4.4% 4.4% 2Q 25 3Q 25 4Q 25 1Q 26 2Q 26 3Q 26 Interest Expense Cost of Funds Cost of Funds 11 Interest Expense ($ in millions) • Cost of funds stable at 4.4% both sequentially and YoY
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$552 $466 $511 $324 2023 2024 2025 3Q 26 0.8 0.8 0.8 0.8 4.3 4.1 4.4 4.64.6 4.4 4.8 5.1 2023 2024 2025 3Q 26 Funded Debt Ratio Funded Debt-to- Equity Ratio Funded Debt-to- Tangible Equity Ratio (1) 82% 79% 84% 74% 18% 21% 16% 26% 2023 2024 2025 3Q 26 % Variable Debt % Fixed Debt • Total unused capacity was $324MM (subject to borrowing base) as of September 30, 2026 • Available liquidity of $104MM as of September 30, 2026 • Fixed-rate debt represented 74% of total debt as of September 30, 2026, with WAC of 4.8% Strong Funding Profile Unused Capacity ($ in millions) Fixed vs. Variable Debt Funded Debt Ratios 12(1) This is a non-GAAP measure. Refer to the Appendix for a reconciliation to the most comparable GAAP measure. Cost of funds (YTD) 3.9% 4.2% 4.3% 4.4% Transaction Period Debt Balance Revolving Maturity Maturity Date WAC 3Q 21 $172 Jul 2026 Aug 2033 2.4% 4Q 21 $125 Sep 2026 Oct 2033 3.9% 1Q 22 $37 Feb 2025 Mar 2032 5.8% 2Q 24 $188 May 2027 Jul 2036 6.2% 4Q 24 $251 Nov 2026 Dec 2033 5.3% 1Q 25 $266 Mar 2027 Apr 2034 5.3% 4Q 25 $253 Oct 2027 Nov 2037 4.8% Securitizations as of September 30, 2026 ($ in millions)
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Excess Capital Consistently Returned to Stockholders 13 (1) This is a non-GAAP measure. Refer to the Appendix for a reconciliation to the most comparable GAAP measure. (2) Cumulative change since year-end 2020 through the period ended 3Q 26. Capital Performance Since Year-End 2020 (2) • $190MM total capital increase • $205MM returned to stockholders • $395MM (1) capital generated at 12.2% CAGR • 20.9% ratio of capital generation to average stockholders’ equity (1) Proven Track Record • Proven track record of excess capital generation • Returning capital to stockholders • Reinvesting to drive sustainable, long-term profitable growth • Significant capital generated even during recent periods of high inflation 2021 2022 2023 2024 2025 YTD 26 $442.0 $487.4 $509.7 $556.6 $594.0 $612.2 $519.4 $597.2 $631.4 $694.1 $767.8 $817.5 Capital Generation ($ in millions) Total Capital, Net of Capital Return Total Capital and Capital Return (1) 12.2% CAGR (+$395MM)(1) 6.7% CAGR (+$190MM) Capital Return (2) of $205MM
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Earnings Drivers and Long-Term Objectives 2026: Targeting YoY net income growth of 6%–9%, EPS growth of 10%–13%, and ENR growth of 5%–7% 2027: Strong YoY net income growth, driven by portfolio growth, bank partnership, and credit improvement Long-term: ROE ≥18%, ROA ≥ 3%, and NCL rate below 10% 3Q 2026 Results Originations & Loan Growth CECL Provision Reserve Impact Net Credit Loss Rate Strategic Initiatives Net Income Benefit ~$3.0MM Primarily driven by bank partnership Note: Ranges reflect current expectations and are subject to change based on geopolitical and macroeconomic conditions that m ay affect loan demand and resulting economics. Long-term objectives are not tied to a specific year and are distinct from 2027 expectations. NCL Rate of 10.9% Seasonal decrease vs. prior quarter Build of $6.8MM Seasonal increase in portfolio growth drove reserve build Growth of $62MM Growth from large loans, including high- quality auto-secured loans and new branch openings NCL Rate of ~11.5% Recent credit trends and expected seasonal increase vs. prior quarter Build of ~$6.0MM Reserve build expected to align with portfolio growth Growth of ~$60MM Loan demand expected to remain higher in 4Q driven by holiday demand 4Q 2026 Guidance Net Income Benefit ~$5.0MM Strategic initiative economics are included in full-year net income guidance Long-Term Objectives Return on Equity ≥18% Return on equity supported by portfolio growth, bank partnership, improved credit performance, and operating efficiency Return on Assets ≥3% Return on assets driven by strong risk-adjusted returns and efficient capital deployment Net Credit Loss Rate <10% Net credit loss rate below 10% achieved through enhanced credit models and investments in data, analytics, and collections 14
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Appendix 15
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• Digitally sourced origination volume represented 32.2% of total new borrower volume • Large loans (inclusive of auto-secured) represented 84.4% of new borrower digitally sourced loans originated in 3Q 26 Digitally Sourced Origination Volume ($ in millions) Digitally Sourced Originations 16 Total Digitally Sourced Volume % YoY Δ 27.5% 51.7% 16.2% 5.4% 4.8% (12.8%) $64.6 $76.9 $62.5 $48.0 $67.6 $67.1 32.2% 36.5% 31.5% 34.6% 33.9% 32.2% 2Q 25 3Q 25 4Q 25 1Q 26 2Q 26 3Q 26 Large Loans Small Loans % of Total New Borrowers
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Consolidated Income Statements 17 $ in thousands 3Q 26 3Q 25 2025 2024 2023 2022 Revenue Interest and fee income 155,747$ 148,672$ 578,949$ 528,894$ 489,698$ 450,854$ Insurance income, net 10,727 11,391 45,573 40,695 44,529 43,502 Other income 12,302 5,424 21,076 18,914 17,172 12,831 Total revenue 178,776 165,487 645,598 588,503 551,399 507,187 Expenses Provision for credit losses 66,163 60,474 245,432 212,200 220,034 185,115 Personnel 40,546 39,517 159,637 153,789 156,872 141,243 Occupancy 7,451 7,160 28,204 25,823 25,029 23,809 Marketing 5,312 4,212 18,551 19,006 15,774 15,378 Other 15,318 13,179 51,183 49,080 45,444 42,098 Total general and administrative 68,627 64,068 257,575 247,698 243,119 222,528 Interest expense 24,148 21,971 84,814 74,530 67,463 34,223 Income before income taxes 19,838 18,974 57,777 54,075 20,783 65,321 Income taxes 4,725 4,618 13,365 12,848 4,825 14,097 Net income 15,113$ 14,356$ 44,412$ 41,227$ 15,958$ 51,224$
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Consolidated Balance Sheets 18 $ in thousands 3Q 26 3Q 25 2025 2024 2023 2022 Cash 7,628$ 4,084$ 3,823$ 3,951$ 4,509$ 3,873$ Net finance receivables 2,209,925 2,053,017 2,140,199 1,892,535 1,771,410 1,699,393 Unearned insurance premiums (49,073) (50,987) (52,896) (48,068) (47,892) (51,008) Allowance for credit losses (230,800) (212,000) (220,900) (199,500) (187,400) (178,800) Net finance receivables, less unearned insurance premiums and allowance for credit losses 1,930,052 1,790,030 1,866,403 1,644,967 1,536,118 1,469,585 Restricted cash 133,276 104,459 94,174 131,684 124,164 127,926 Lease assets 45,903 40,782 43,828 38,442 34,303 34,521 Intangible assets 36,355 30,385 31,781 24,524 15,846 12,122 Restricted available-for-sale investments 24,015 22,344 24,211 21,712 22,740 20,416 Property and equipment 12,576 12,996 13,156 13,677 13,787 14,526 Deferred tax assets, net - 587 - 9,286 13,641 13,810 Other assets 20,634 22,599 26,554 20,866 29,419 28,208 Total assets 2,210,439$ 2,028,266$ 2,103,930$ 1,909,109$ 1,794,527$ 1,724,987$ Debt 1,749,991$ 1,581,992$ 1,650,764$ 1,478,336$ 1,399,814$ 1,355,359$ Unamortized debt issuance costs (4,141) (7,521) (8,591) (6,338) (4,578) (9,512) Net debt 1,745,850 1,574,471 1,642,173 1,471,998 1,395,236 1,345,847 Lease liabilities 48,018 42,906 45,968 40,579 36,576 36,712 Deferred tax liabilities, net 1,090 - 3,345 - - - Accounts payable and accrued expenses 34,131 38,971 39,352 39,454 40,442 33,795 Total liabilities 1,829,089 1,656,348 1,730,838 1,552,031 1,472,254 1,416,354 Common stock 1,541 1,522 1,517 1,492 1,457 1,433 Additional paid-in capital 144,101 139,868 138,666 130,725 121,752 112,384 Retained earnings 436,623 400,844 410,721 378,482 349,579 345,545 Accumulated other comprehensive income (loss) (392) (10) (2) 62 (372) (586) Treasury stock (200,523) (170,306) (177,810) (153,683) (150,143) (150,143) Total stockholders' equity 381,350 371,918 373,092 357,078 322,273 308,633 Total liabilities and stockholders' equity 2,210,439$ 2,028,266$ 2,103,930$ 1,909,109$ 1,794,527$ 1,724,987$
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Non-GAAP Financial Measures In addition to financial measures presented in accordance with generally accepted accounting principles (“GAAP”), this presentation 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. The Company believes that these non-GAAP measures provide useful information by excluding certain material items that may not be indicative of our operating results. As a result, the Company believes that the non-GAAP measures that it has presented will aid in the evaluation of the operating performance of the business. Total capital and capital return, capital generation, and capital generation as a percentage of average stockholders’ equity are non- GAAP measures that incorporate stock repurchases and dividends returned to stockholders into measures of total capital. Management uses these measures to evaluate the Company's ability to generate capital to return to stockholders, reinvest in strategic initiatives, and evaluate its capacity to absorb losses. The Company also believes that these capital and absorption measures provide useful information to users of the Company’s financial statements in the evaluation of its ability to generate capital to return to stockholders, reinvest in strategic initiatives, and evaluate its capacity to absorb losses. 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. The Company believes that the aforementioned non-GAAP measures will aid users of its financial statements in the evaluation of its operating performance. 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 reconciliations of GAAP measures to non-GAAP measures. 19
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20 (1) Cumulative change since year-end 2020 through the period ended 3Q 26 Non-GAAP Financial Measures (Cont’d) $ in millions 2021 2022 2023 2024 2025 YTD 26 Cumulative (1) Capital and cumulative capital return: Stockholders' equity 282.7$ 308.6$ 322.3$ 357.1$ 373.1$ 381.4$ 109.2$ Allowance for credit losses 159.3 178.8 187.4 199.5 220.9 230.8 80.8 Total capital 442.0$ 487.4$ 509.7$ 556.6$ 594.0$ 612.2$ 190.0$ Dividends to stockholders 9.9$ 11.8$ 11.9$ 12.3$ 12.2$ 8.8$ 66.9$ Stock repurchased 67.4 20.6 - 3.5 24.1 22.7 138.4 Cumulative capital return 77.4$ 109.8$ 121.7$ 137.6$ 173.9$ 205.3$ 205.3$ Total capital and cumulative capital return (non-GAAP) 519.4$ 597.2$ 631.4$ 694.1$ 767.8$ 817.5$ 395.4$ Capital generation: Change in total capital 19.9$ 45.4$ 22.2$ 46.9$ 37.4$ 18.2$ 190.0$ Capital return 77.4 32.4 11.9 15.9 36.3 31.5 205.3 Capital generation (non-GAAP) 97.3$ 77.8$ 34.2$ 62.8$ 73.7$ 49.6$ 395.4$ ÷ Average stockholders' equity (ASE) 280.8 301.4 321.1 344.6 363.8 376.2 329.6 ÷ Years included in average 1.00 1.00 1.00 1.00 1.00 0.75 5.75 Change in total capital as a % of ASE 7.1% 15.1% 6.9% 13.6% 10.3% 6.4% 10.0% Capital return as a % of ASE 27.6% 10.7% 3.7% 4.6% 10.0% 11.2% 10.9% Capital generation as % of ASE (non-GAAP) 34.7% 25.8% 10.6% 18.2% 20.3% 17.6% 20.9%
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Non-GAAP Financial Measures (Cont’d) 21 $ in thousands 3Q 26 2025 2024 2023 Debt 1,749,991$ 1,650,764$ 1,478,336$ 1,399,814$ Total stockholders' equity 381,350 373,092 357,078 322,273 Less: intangible assets 36,355 31,781 24,524 15,846 Tangible equity (non-GAAP) 344,995$ 341,311$ 332,554$ 306,427$ Funded debt-to-equity ratio 4.6 4.4 4.1 4.3 Funded debt-to-tangible equity ratio (non-GAAP) 5.1 4.8 4.4 4.6
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Glossary 22 • ACL – Allowance for Credit Losses • Allowance for credit losses (ACL) rate – allowance for credit losses as a percentage of ENR • ANR – average net finance receivables • Average FICO – weighted-average FICO score at origination, weighted by loan volume • Bank partnership fee income – marketing, processing, and servicing fees earned for services performed to administer the bank partnership program • Bps – basis points • Capital generation – the year-to-date change in total capital and capital return from the prior year-end • Cost of funds – annualized interest expense as a percentage of average net finance receivables • Cumulative capital return – dividend and common stock repurchase activity that has occurred since December 31, 2020 • Debt balance – the balance for each respective debt agreement, composed of principal balance and accrued interest • Dividend yield – annualized dividends per share divided by the closing share price as of the last day of the quarter • Delinquency rate (DQ %) – delinquent loans outstanding as a percentage of ending net finance receivables • ENR – ending net finance receivables • Funded debt ratio – total debt divided by total assets • Interest and fee yield – annualized interest and fee income as a percentage of average net finance receivables • Net credit loss (NCL) rate – annualized net credit losses as a percentage of average net finance receivables • Operating expense ratio – annualized general and administrative expenses as a percentage of average net finance receivables • Originations – the principal balance of loan originations, refinancings, and purchases • Return on assets (ROA) – annualized net income as a percentage of average total assets • Return on equity (ROE) – annualized net income as a percentage of average stockholders’ equity • Same store – comparison of branches with a comparable branch base; the comparable branch base includes those branches open for at least 1 year • Total capital – stockholders’ equity plus allowance for credit losses • Total revenue yield – annualized total revenue as a percentage of average net finance receivables • WAC – weighted-average coupon • YoY – year-over-year