FirstCash Holdings, Inc.
For the period ended Sep 30, 2025. Filed Nov 3, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2025 · Filed Nov 3, 2025
FCFS$185.67-1.0%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-06-30; filed 2025-07-28.
0000840489-25-000098
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-09-30; filed 2025-11-03.
0000840489-25-000120
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 206 previous paragraphs and 181 current paragraphs.
77 unchanged; 87 reworded; 16 added; 37 removed; 5 previous and 1 current paragraphs rearranged.
Tables are not compared: 22 previous and 20 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (16)
Current report
The Company completed the acquisition of H&T, the leading pawn operator in the United Kingdom with 286 store locations, on August 14, 2025, the date which the balance sheet and operating results of H&T were included in the Company’s consolidated financial results. For further detail, see Note 3 of Notes to Consolidated Financial Statements.
Current report
The U.S. segment pre-tax operating income for the third quarter of 2025 was $112.0 million, which generated a pre-tax segment operating margin of 26% compared to $98.3 million and 25% in the prior year, respectively. The increase in the segment pre-tax operating income and margin reflected increased net revenue, partially offset by an increase in segment expenses.
Current report
U.K. Pawn Segment
Current report
The segment contribution reflects the results of operations of H&T for the period August 14, 2025 to September 30, 2025 as a result of the completion of the H&T Acquisition on August 14, 2025. See Note 3 of Notes to Consolidated Financial Statements for additional information about the H&T Acquisition.
Current report
The U.K. pawn segment contributed $55.0 million in revenue and $17.9 million in pre-tax segment operating income for the third quarter of 2025. The resulting pre-tax segment operating margin was 33%.
Current report
Provision for lease losses decreased 29% to $28.0 million during the third quarter of 2025 compared to $39.3 million during the third quarter of 2024, which was primarily due to the 27% decrease in gross transaction volumes. As a percentage of gross transaction volume, the provision for lease losses was 27% during both the third quarter of 2025 and 2024.
Current report
Provision for loan losses decreased 1% to $40.3 million during the third quarter of 2025 compared to $40.6 million during the third quarter of 2024, which was relatively consistent with the slight increase in gross transaction volume. As a percentage of gross transaction volume, the provision for loan losses was 28% during both the third quarter of 2025 and 2024.
Current report
Depreciation and amortization increased 11% to $14.7 million during the third quarter of 2025 compared to $13.2 million in the third quarter of 2024, primarily due to the addition of depreciation and amortization expenses of H&T during the third quarter of 2025.
Current report
Operating Results for the Nine Months Ended September 30, 2025 Compared to the Nine Months Ended September 30, 2024
Current report
U.K. Pawn Segment
Current report
The segment contribution reflects the results of operations of H&T for the period August 14, 2025 to September 30, 2025 as a result of the completion of the H&T Acquisition on August 14, 2025. See Note 3 of Notes to Consolidated Financial Statements for additional information about the H&T Acquisition.
Current report
The U.K. pawn segment contributed $55.0 million in revenue and $17.9 million in pre-tax segment operating income for the nine months ended September 30, 2025. The resulting pre-tax segment operating margin was 33%.
Current report
Depreciation and amortization increased 2% to $40.2 million during the nine months ended September 30, 2025 compared to $39.6 million in the nine months ended September 30, 2024, primarily due to the addition of depreciation and amortization expenses of H&T during the nine months ended September 30, 2025.
Current report
GOVERNMENTAL REGULATION
Current report
The following table presents segment information for the Latin America pawn segment for the three and nine month periods ended September 30, 2025 using the exchange rate from the prior-year comparable periods (in thousands):
Current report
The following table presents earning assets for the Latin America pawn segment as of September 30, 2025 using the exchange rate from the prior-year comparable period (in thousands):
Removed paragraphs (37)
Previous report
On May 14, 2025, the Company agreed on final terms of the acquisition of H&T, the leading pawn operator in the United Kingdom with 285 store locations. The Company will acquire the entire issued and to be issued share capital of H&T by means of a court-sanctioned scheme of arrangement under Part 26 of the United Kingdom Companies Act 2006, as amended. On July 2, 2025, the H&T shareholders approved the H&T Acquisition, which is expected to be consummated in the third quarter of 2025, subject to the satisfaction of the remaining closing conditions, including, but not limited to, receipt of the required approvals by the FCA.
Previous report
The following table presents segment pre-tax operating income and other operating metrics of the U.S. pawn segment for the three months ended June 30, 2025 compared to the three months ended June 30, 2024 (dollars in thousands). Operating expenses include salary and benefit expenses of pawn store-level employees, occupancy costs, bank charges, security, insurance, utilities, supplies and other costs incurred by the pawn stores.
Previous report
(1)Includes $0.7 million and $1.1 million of retail merchandise sales from intersegment transactions for the three months ended June 30, 2025 and 2024, respectively, related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores that are eliminated upon consolidation. Excluding these intersegment sales, consolidated U.S. retail merchandise sales for the three months ended June 30, 2025 and 2024 totaled $249.2 million and $229.0 million, respectively.
Previous report
(2)Includes $0.4 million and $0.6 million of cost of retail merchandise sold from intersegment transactions for the three months ended June 30, 2025 and 2024, respectively, related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores that are eliminated upon consolidation. Excluding these intersegment sales, consolidated U.S. cost of retail merchandise sold for the three months ended June 30, 2025 and 2024 totaled $142.7 million and $131.9 million, respectively.
Previous report
The U.S. segment pre-tax operating income for the second quarter of 2025 was $98.3 million, which generated a pre-tax segment operating margin of 24% compared to $90.6 million and 24% in the prior year, respectively. The increase in the segment pre-tax operating income reflected increased net revenue, partially offset by an increase in segment expenses.
Previous report
The following table presents segment pre-tax operating income and other operating metrics of the Latin America pawn segment for the three months ended June 30, 2025 compared to the three months ended June 30, 2024 (dollars in thousands). Operating expenses include salary and benefit expenses of pawn store-level employees, occupancy costs, bank charges, security, insurance, utilities, supplies and other costs incurred by the pawn stores.
Previous report
Retail POS Payment Solutions Operating Results
Previous report
(1)Includes $0.3 million and $0.4 million of depreciation of leased merchandise from intersegment transactions for the three months ended June 30, 2025 and 2024, respectively, related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores that are eliminated upon consolidation. Excluding these intersegment transactions, consolidated depreciation of leased merchandise for the three months ended June 30, 2025 and 2024 totaled $78.3 million and $110.2 million, respectively.
Previous report
(2)Includes $0.1 million and $0.2 million of provision for lease losses from intersegment transactions for the three months ended June 30, 2025 and 2024, respectively, related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores that are eliminated upon consolidation. Excluding these intersegment transactions, consolidated provision for lease losses for the three months ended June 30, 2025 and 2024 totaled $32.5 million and $47.7 million, respectively.
Previous report
(1)Includes $0.1 million and $0.2 million of provision for lease losses from intersegment transactions for the three months ended June 30, 2025 and 2024, respectively, related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores that are eliminated upon consolidation. Excluding these intersegment transactions, consolidated provision for lease losses for the three months ended June 30, 2025 and 2024 totaled $32.5 million and $47.7 million, respectively.
Previous report
Consolidated Results of Operations
Previous report
The following table reconciles pre-tax operating income of the Company’s U.S. pawn segment, Latin America pawn segment and retail POS payment solutions segment, discussed above, to consolidated net income for the three months ended June 30, 2025 compared to the three months ended June 30, 2024 (dollars in thousands):
Previous report
(1)Represents the elimination of intersegment transactions related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores. For further detail, see Note 10 of Notes to Consolidated Financial Statements.
Previous report
Depreciation and amortization decreased 3% to $12.8 million during the second quarter of 2025 compared to $13.2 million in the second quarter of 2024, primarily due to a scheduled $0.4 million decrease in amortization of acquired AFF intangible assets.
Previous report
Consolidated effective income tax rates for the second quarter of 2025 and 2024 were 26.2% and 25.8%, respectively. On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”), which includes a broad range of tax reform provisions, was signed into law in the United States. The Company is currently evaluating the impact on future periods but does not expect the OBBBA to have a material impact on its effective tax rate in 2025.
Previous report
Operating Results for the Six Months Ended June 30, 2025 Compared to the Six Months Ended June 30, 2024
Previous report
The following table presents segment pre-tax operating income and other operating metrics of the U.S. pawn segment for the six months ended June 30, 2025 compared to the six months ended June 30, 2024 (dollars in thousands). Operating expenses include salary and benefit expenses of pawn store-level employees, occupancy costs, bank charges, security, insurance, utilities, supplies and other costs incurred by the pawn stores.
Previous report
(1)Includes $1.5 million and $2.1 million of retail merchandise sales from intersegment transactions for the six months ended June 30, 2025 and 2024, respectively, related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores that are eliminated upon consolidation. Excluding these intersegment sales, consolidated U.S. retail merchandise sales for the six months ended June 30, 2025 and 2024 totaled $499.7 million and $465.0 million, respectively.
Previous report
(2)Includes $0.8 million and $1.1 million of cost of retail merchandise sold from intersegment transactions for the six months ended June 30, 2025 and 2024, respectively, related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores that are eliminated upon consolidation. Excluding these intersegment sales, consolidated U.S. cost of retail merchandise sold for the six months ended June 30, 2025 and 2024 totaled $288.1 million and $271.2 million, respectively.
Previous report
The following table presents segment pre-tax operating income and other operating metrics of the Latin America pawn segment for the six months ended June 30, 2025 compared to the six months ended June 30, 2024 (dollars in thousands). Operating expenses include salary and benefit expenses of pawn store-level employees, occupancy costs, bank charges, security, insurance, utilities, supplies and other costs incurred by the pawn stores.
Previous report
Retail POS Payment Solutions Operating Results
Previous report
(1)Includes $0.6 million and $0.9 million of depreciation of leased merchandise from intersegment transactions for the six months ended June 30, 2025 and 2024, respectively, related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores that are eliminated upon consolidation. Excluding these intersegment transactions, consolidated depreciation of leased merchandise for the six months ended June 30, 2025 and 2024 totaled $167.1 million and $230.4 million, respectively.
Previous report
(2)Includes $0.2 millionand $0.3 million of provision for lease losses from intersegment transactions for the six months ended June 30, 2025 and 2024, respectively, related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores that are eliminated upon consolidation. Excluding these intersegment transactions, consolidated provision for lease losses for the six months ended June 30, 2025 and 2024 totaled $60.1 million and $90.7 million, respectively.
Previous report
(1)Includes $0.2 millionand $0.3 million of provision for lease losses from intersegment transactions for the six months ended June 30, 2025 and 2024, respectively, related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores that are eliminated upon consolidation. Excluding these intersegment transactions, consolidated provision for lease losses for the six months ended June 30, 2025 and 2024 totaled $60.1 million and $90.7 million, respectively.
Previous report
Provision for lease losses decreased 34% to $60.3 million during the six months ended June 30, 2025 compared to $91.0 million for the six months ended June 30, 2024, which was primarily due to the 32% decrease in gross transaction volumes and slightly lower lease loss provisioning rates used during the six months ended June 30, 2025 compared to the six months ended June 30, 2024. As a percentage of gross transaction volume, the provision for lease losses decreased slightly to 29% during the six months ended June 30, 2025 compared to 30% during the six months ended June 30, 2024.
Previous report
Consolidated Results of Operations
Previous report
The following table reconciles pre-tax operating income of the Company’s U.S. pawn segment, Latin America pawn segment and retail POS payment solutions segment, discussed above, to consolidated net income for the six months ended June 30, 2025 compared to the six months ended June 30, 2024 (dollars in thousands):
Previous report
(1)Represents the elimination of intersegment transactions related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores. For further detail, see Note 10 of Notes to Consolidated Financial Statements.
Previous report
Depreciation and amortization decreased 3% to $25.5 million during the six months ended June 30, 2025 compared to $26.4 million in the six months ended June 30, 2024, primarily due to a scheduled $0.8 million decrease in amortization of acquired AFF intangible assets.
Previous report
Consolidated effective income tax rates for both the six months ended June 30, 2025 and 2024 were 25.4%. The Company is currently evaluating the impact of the OBBBA on future periods but does not expect it to have a material impact on its effective tax rate in 2025.
Previous report
Table of Contents
Previous report
GOVERNMENTAL REGULATION UPDATE
Previous report
On October 6, 2017, the CFPB issued its small-dollar lending rule (the “SDL Rule”), which was subsequently revised on July 7, 2020. The SDL Rule imposes certain obligations and limitations associated with the origination and servicing of covered transactions. Traditional possessory, non-recourse pawn loans are not covered under the SDL Rule but some of the RISA transactions that AFF purchases and some of the bank loans that AFF sub-services are covered under the rule. After resolution of some challenges to the SDL Rule itself and the constitutionality of the CFPB, on July 3, 2024, trade groups filed a petition for a rehearing with the Fifth Circuiten banc. The Fifth Circuit did not grant the petition and the SDL Rule went into effect on March 30, 2025. However, on March 28, 2025, the CFPB announced that enforcement of the SDL Rule will not be a priority and that the agency may seek new rulemaking to narrow its scope. At this time, the Company does not believe that the implementation of the SDL Rule will have a material impact on the Company’s future results of operations or financial condition.
Previous report
Table of Contents
Previous report
Table of Contents
Previous report
Table of Contents
Previous report
Table of Contents
Reworded paragraphs (87)
Previous wording
The Company’s primary line of business is the operation of retail pawn stores, also known as “pawnshops,” which focus on serving cash- and credit-constrained consumers. The Company is the leading operator of pawn stores in the U.S. and Latin America. Pawn stores help customers meet small short-term cash needs by providing non-recourse pawn loans and buying merchandise directly from customers. Personal property, such as jewelry, electronics, tools, appliances, sporting goods and musical instruments, is pledged and held as collateral for the pawn loans over the typical 30-day term of the loan. Pawn stores also generate retail sales primarily from the merchandise acquired through collateral forfeitures and over-the-counter purchases from customers.
Current wording
The Company’s primary line of business is the operation of retail pawn stores, also known as “pawnshops,” which focus on serving cash- and credit-constrained consumers. The Company is the leading operator of pawn stores in the U.S., Latin America and the U.K. Pawn stores help customers meet small short-term cash needs by providing non-recourse pawn loans and buying merchandise directly from customers. Personal property, such as jewelry, electronics, tools, appliances, sporting goods and musical instruments, is pledged and held as collateral for the pawn loans over the term of the loan. Pawn stores also generate retail sales primarily from the merchandise acquired through collateral forfeitures and over-the-counter purchases from customers.
Previous wording
The Company is also a leading provider of technology-driven, retail POS payment solutions focused on serving credit-constrained consumers. The Company’s retail POS payment solutions business line consists solely of the operations of AFF, which focuses on LTO products and facilitating other retail financing payment options across a large network of traditional and e-commerce merchant partners in the U.S. and Puerto Rico. AFF’s retail partners provide consumer goods and services to their customers and use AFF’s LTO and retail finance solutions to facilitate payments on such transactions.
Current wording
The Company is also a leading provider of customer payment solutions at the point-of-sale for retailers of consumer goods and services. The Company’s retail POS payment solutions business line consists solely of the operations of AFF, which focuses on LTO products and facilitating other retail financing payment options across a large network of traditional and e-commerce merchant partners in the U.S. AFF’s retail partners provide consumer goods and services to their customers and use AFF’s LTO and retail finance solutions to facilitate payments on such transactions.
Previous wording
The Company’s two business lines are organized into three reportable segments. The U.S. pawn segment consists of pawn operations in the U.S. while the Latin America pawn segment consists of pawn operations in Mexico, Guatemala, El Salvador and Colombia. The retail POS payment solutions segment consists of the operations of AFF in the U.S. and Puerto Rico.
Current wording
The Company’s two business lines are organized into four reportable segments. The U.S. pawn segment consists of pawn operations in the U.S., the Latin America pawn segment consists of pawn operations in Mexico, Guatemala, El Salvador and Colombia and the U.K. pawn segment consists of pawn operations in the U.K. The retail POS payment solutions segment consists of the operations of AFF in the U.S.
Previous wording
As of June 30, 2025, the Company operated 3,027 pawn store locations composed of 1,194 stores in 29 U.S. states and the District of Columbia, 1,731 stores in 32 states in Mexico, 72 stores in Guatemala, 18 stores in El Salvador and 12 stores in Colombia.
Current wording
As of September 30, 2025, the Company operated 3,311 pawn store locations composed of 1,193 stores in 29 U.S. states and the District of Columbia, 1,729 stores in 32 states in Mexico, 73 stores in Guatemala, 18 stores in El Salvador, 12 stores in Colombia and 286 stores in the U.K.
Previous wording
The following tables detail pawn store count activity for the three and six months ended June 30, 2025:
Current wording
The following tables detail pawn store count activity for the three and nine months ended September 30, 2025:
Previous wording
As of June 30, 2025, AFF provided LTO and retail POS payment solutions for consumer goods and services through a network of approximately 15,300 active retail merchant partner locations located in all 50 U.S. states, the District of Columbia and Puerto Rico. This compares to the active door count of approximately 12,800 locations at June 30, 2024.
Current wording
As of September 30, 2025, AFF provided LTO and retail POS payment solutions for consumer goods and services through a network of approximately 15,800 active retail merchant partner locations located in all 50 U.S. states and the District of Columbia. This compares to the active door count of approximately 13,500 locations at September 30, 2024.
Previous wording
The financial statements have been prepared in accordance with GAAP. The significant accounting policies and estimates that the Company believes are the most critical to aid in fully understanding and evaluating its reported financial results have been reported in the Company’s 2024 Annual Report on Form 10-K. There have been no changes to the Company’s significant accounting policies for the six months ended June 30, 2025.
Current wording
The financial statements have been prepared in accordance with GAAP. The significant accounting policies and estimates that the Company believes are the most critical to aid in fully understanding and evaluating its reported financial results have been reported in the Company’s 2024 Annual Report on Form 10-K. There have been no changes to the Company’s significant accounting policies for the nine months ended September 30, 2025.
Previous wording
The following table presents segment pre-tax operating income of the retail POS payment solutions segment for the three months ended June 30, 2025 as compared to the three months ended June 30, 2024 (dollars in thousands). Operating expenses include salary and benefit expenses of certain operations-focused departments, merchant partner incentives, bank and other payment processing charges, credit reporting costs, information technology costs, advertising costs and other operational costs incurred by AFF. Administrative expenses and amortization expense of intangible assets related to the purchase of AFF are not included in the segment pre-tax operating income.
Current wording
The following tables present segment information for the three months ended September 30, 2025 compared to the three months ended September 30, 2024 (in thousands). Operating expenses include salary and benefit expenses of pawn store-level employees and certain of AFF’s operations-focused departments, occupancy costs, bank and other payment processing charges, data analytics and decisioning costs, information technology costs, advertising costs, security, insurance, utilities, supplies, other costs incurred by the pawn stores and other operational costs incurred by AFF. Administrative expenses and amortization expense of acquired intangible assets are not included in the segment pre-tax operating income.
Previous wording
The following table details earning assets, which consist of pawn loans and inventories as well as other earning asset metrics of the U.S. pawn segment, as of June 30, 2025 compared to June 30, 2024 (dollars in thousands, except as otherwise noted):
Current wording
The following tables detail earning assets, which consist of pawn loans and inventories as well as other earning asset metrics of the Company’s pawn segments, as of September 30, 2025 compared to September 30, 2024 (dollars in thousands, except as otherwise noted):
Previous wording
The following table provides a detail of gross transaction volumes originated during the three months ended June 30, 2025 as compared to the three months ended June 30, 2024 (dollars in thousands):
Current wording
The following table details retail POS payment solutions gross transaction volumes originated during the three months ended September 30, 2025 as compared to the three months ended September 30, 2024 (in thousands):
Previous wording
The following table details retail POS payment solutions earning assets as of June 30, 2025 as compared to June 30, 2024 (dollars in thousands):
Current wording
The following table details retail POS payment solutions earning assets as of September 30, 2025 as compared to September 30, 2024 (in thousands):
Previous wording
(1)Includes $0.2 million of intersegment transactions as of both June 30, 2025 and 2024, respectively, related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores that are eliminated upon consolidation. Excluding these intersegment transactions, consolidated net leased merchandise as of June 30, 2025 and 2024 totaled $100.7 million and $142.9 million, respectively.
Current wording
(1)Includes $0.2 million of intersegment transactions as of both September 30, 2025 and 2024 related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores that are eliminated upon consolidation.
Previous wording
The following table details the changes in the allowance for lease and loan losses and other portfolio metrics for the three months ended June 30, 2025 as compared to the three months ended June 30, 2024 (dollars in thousands):
Current wording
The following table details retail POS payment solutions changes in the allowance for lease and loan losses and other portfolio metrics for the three months ended September 30, 2025 as compared to the three months ended September 30, 2024:
Previous wording
(2)Calculated as provision for lease or loan losses as a percentage of the respective gross transaction volume originated.
Current wording
(1)Calculated as provision for lease or loan losses as a percentage of the respective gross transaction volume originated.
Previous wording
(3)Calculated as charge-offs, net of recoveries, as a percentage of the respective average earning asset balance before allowance for lease or loan losses.
Current wording
(2)Calculated as charge-offs, net of recoveries, as a percentage of the respective average earning asset balance before allowance for lease or loan losses.
Previous wording
(4)Calculated as the percentage of the respective contractual earning asset balance owed that is 1 to 89 days past due (the Company charges off leases and finance receivables when they are 90 days or more contractually past due).
Current wording
(3)Calculated as the percentage of the respective contractual earning asset balance owed that is 1 to 89 days past due (the Company charges off leases and finance receivables when they are 90 days or more contractually past due).
Previous wording
U.S. retail merchandise sales increased 9% to $249.9 million during the second quarter of 2025 compared to $230.1 million for the second quarter of 2024. Same-store retail sales increased 7% in the second quarter of 2025 compared to the second quarter of 2024. The increase in total and same-store retail sales was primarily due to continued strong demand for value priced merchandise and increased inventory levels during the second quarter of 2025 compared to the second quarter of 2024. The gross profit margin on retail merchandise sales in the U.S. was 43% during the second quarter of 2025 compared to 42% during the second quarter of 2024.
Current wording
U.S. retail merchandise sales increased 8% to $253.0 million during the third quarter of 2025 compared to $235.0 million for the third quarter of 2024. Same-store retail sales increased 7% in the third quarter of 2025 compared to the third quarter of 2024. The increase in total and same-store retail sales was primarily due to continued strong demand for value priced merchandise and increased inventory levels during the third quarter of 2025 compared to the third quarter of 2024. The gross profit margin on retail merchandise sales in the U.S. was 43% during both the third quarter of 2025 and 2024.
Previous wording
U.S. inventories increased 13% to $252.9 million at June 30, 2025 compared to $223.4 million at June 30, 2024. The increase was primarily due to increases in pawn loan receivable balances creating more forfeited inventory. Inventories aged greater than one year in the U.S. were 1.9% at June 30, 2025 compared to 1.3% at June 30, 2024.
Current wording
U.S. inventories increased 12% to $266.5 million at September 30, 2025 compared to $238.7 million at September 30, 2024. The increase was primarily due to increases in pawn loan receivable balances creating more forfeited inventory. Inventories aged greater than one year in the U.S. were 1.9% at September 30, 2025 compared to 1.5% at September 30, 2024.
Previous wording
U.S. pawn loan receivables as of June 30, 2025 increased 12% in total and 13% on a same-store basis compared to June 30, 2024. The Company believes the increase in same-store pawn receivables was primarily due to higher gold prices, which increased customers’ collateral value to borrow against.
Current wording
U.S. pawn loan receivables as of September 30, 2025 increased 12% in total and 13% on a same-store basis compared to September 30, 2024. The Company believes the increase in same-store pawn receivables was primarily due to continued strong customer demand from a combination of more customer transactions and larger loan amounts requested by the Company’s customers.
Previous wording
U.S. pawn loan fees increased 9% to $130.9 million during the second quarter of 2025 compared to $120.3 million for the second quarter of 2024. Same-store pawn loan fees also increased 9% in the second quarter of 2025 compared to the second quarter of 2024. The increase in total and same-store pawn loan fees was primarily due to the higher pawn loan balances.
Current wording
U.S. pawn loan fees increased 8% to $138.9 million during the third quarter of 2025 compared to $128.4 million for the third quarter of 2024. Same-store pawn loan fees increased 9% in the third quarter of 2025 compared to the third quarter of 2024. The increase in total and same-store pawn loan fees was due to the higher pawn loan balances.
Previous wording
U.S. operating expenses increased 7% to $133.8 million during the second quarter of 2025 compared to $125.2 million during the second quarter of 2024 while same-store operating expenses increased 6% compared with the prior-year period. The increase in operating expenses was primarily due to increased labor and variable compensation expenses.
Current wording
U.S. operating expenses increased 4% to $133.0 million during the third quarter of 2025 compared to $128.1 million during the third quarter of 2024 while same-store operating expenses also increased 4% compared with the prior-year period. The increase in operating expenses was primarily due to increased labor and variable compensation expenses.
Previous wording
Latin American segment pre-tax operating income for the three months ended June 30, 2025 compared to the three months ended June 30, 2024 was impacted by a 13% unfavorable change in the average value of the Mexican peso compared to the U.S. dollar. The translated value of Latin American earning assets as of June 30, 2025 compared to June 30, 2024 was also impacted by a 3% unfavorable change in the end-of-period Mexican peso compared to the U.S. dollar. Constant currency results are non-GAAP financial measures, which exclude the effects of foreign currency translation and are calculated by translating current-year results at prior-year average exchange rates. See the “Constant Currency Results” section in “Non-GAAP Financial Information” below for additional discussion of constant currency operating results.
Current wording
Latin America segment pre-tax operating income for the three months ended September 30, 2025 compared to the three months ended September 30, 2024 benefited from a 2% favorable change in the average value of the Mexican peso compared to the U.S. dollar. The translated value of Latin American earning assets as of September 30, 2025 compared to September 30, 2024 also benefited from a 6% favorable change in the end-of-period Mexican peso compared to the U.S. dollar. Constant currency results are non-GAAP financial measures, which exclude the effects of foreign currency translation and are calculated by translating current-year results at prior-year average exchange rates. See the “Constant Currency Results” section in “Non-GAAP Financial Information” below for additional discussion of constant currency operating results.
Previous wording
Latin America retail merchandise sales increased 1% (14% on a constant currency basis) to $136.0 million during the second quarter of 2025 compared to $134.4 million for the second quarter of 2024. Same-store retail sales were flat (13% increase on a constant currency basis) during the second quarter of 2025 compared to the second quarter of 2024. The increase in constant currency total and same-store retail sales was primarily due to strong demand for value priced merchandise and increased inventory levels during the second quarter of 2025 compared to the second quarter of 2024. The gross profit margin on retail merchandise sales was 36% during both the second quarter of 2025 and 2024.
Current wording
Latin America retail merchandise sales increased 12% (10% on a constant currency basis) to $144.6 million during the third quarter of 2025 compared to $129.1 million for the third quarter of 2024. Same-store retail sales increased 11% (10% on a constant currency basis) during the third quarter of 2025 compared to the third quarter of 2024. The increase in constant currency total and same-store retail sales was primarily due to strong demand for value priced merchandise and increased inventory levels during the third quarter of 2025 compared to the third quarter of 2024. The gross profit margin on retail merchandise sales was 36% during the third quarter of 2025 compared to 35% during the third quarter of 2024.
Previous wording
Latin America inventories increased 12% (15% on a constant currency basis) to $102.8 million at June 30, 2025 compared to $92.0 million at June 30, 2024. The increase in constant currency inventories was primarily due to increases in pawn loan receivable balances over the past several quarters creating more forfeited inventory and a slightly increased mix of higher value jewelry inventory. Inventories aged greater than one year in Latin America were 1.5% at both June 30, 2025 and 2024.
Current wording
Latin America inventories increased 30% (22% on a constant currency basis) to $124.1 million at September 30, 2025 compared to $95.7 million at September 30, 2024. The increase in constant currency inventories was primarily due to increases in pawn loan receivable balances over the past several quarters creating more forfeited inventory and a slightly increased mix of higher value jewelry inventory. Inventories aged greater than one year in Latin America were 1.4% at September 30, 2025 compared to 1.2% at September 30, 2024.
Previous wording
Latin America pawn loan receivables increased 11% (14% increase on a constant currency basis) as of June 30, 2025 compared to June 30, 2024. On a same-store basis, pawn loan receivables increased 10% (13% increase on a constant currency basis) as of June 30, 2025 compared to June 30, 2024. The increase in constant currency total and same-store pawn receivables is primarily due to increasing demand for pawn loans and larger loan sizes, driven in part by higher gold prices and a slightly increased mix of higher value jewelry loans.
Current wording
Latin America pawn loan receivables increased 27% (19% on a constant currency basis) as of September 30, 2025 compared to September 30, 2024. On a same-store basis, pawn loan receivables increased 25% (18% on a constant currency basis) as of September 30, 2025 compared to September 30, 2024. The increase in constant currency total and same-store pawn receivables is primarily due to increasing demand for pawn loans and larger loan sizes, driven in part by higher gold prices and a slightly increased mix of higher value jewelry loans.
Previous wording
Latin America pawn loan fees decreased 1% (11% increase on a constant currency basis), totaling $59.9 million during the second quarter of 2025 compared to $60.7 million for the second quarter of 2024. Same-store pawn fees decreased 2% (11% increase on a constant currency basis) in the second quarter of 2025 compared to the second quarter of 2024. The constant currency increase in total and same-store pawn loan fees was primarily due to increased constant currency pawn receivables.
Current wording
Latin America pawn loan fees increased 16% (14% on a constant currency basis), totaling $67.2 million during the third quarter of 2025 compared to $58.2 million for the third quarter of 2024. Same-store pawn fees increased 15% (13% on a constant currency basis) in the third quarter of 2025 compared to the third quarter of 2024. The constant currency increase in total and same-store pawn loan fees was primarily due to increased constant currency pawn receivables.
Previous wording
Operating expenses decreased 5% (7% increase on a constant currency basis) to $64.4 million during the second quarter of 2025 compared to $67.9 million during the second quarter of 2024. Same-store operating expenses also decreased 5% (7% increase on a constant currency basis) compared to the prior-year period. The constant currency increase in total and same-store operating expenses was primarily driven by slightly increased store counts, general inflationary impacts and continued increases in the federally mandated minimum wage.
Current wording
Operating expenses increased 12% (10% on a constant currency basis) to $70.3 million during the third quarter of 2025 compared to $63.1 million during the third quarter of 2024. Same-store operating expenses also increased 12% (10% on a constant currency basis) compared to the prior-year period. The constant currency increase in total and same-store operating expenses was primarily driven by general inflationary impacts and continued increases in the federally mandated minimum wage.
Previous wording
The segment pre-tax operating income for the second quarter of 2025 was $41.0 million, which generated a pre-tax segment operating margin of 20% compared to $37.1 million and 18% in the prior year, respectively. The increase in the segment pre-tax operating income and margin was primarily due to a decrease in operating expenses.
Current wording
The segment pre-tax operating income for the third quarter of 2025 was $47.0 million, which generated a pre-tax segment operating margin of 20% compared to $38.5 million and 19% in the prior year, respectively. The increase in the segment pre-tax operating income and margin reflected increased net revenue, partially offset by an increase in segment expenses.
Previous wording
Leased merchandise, before allowance for lease losses, decreased 31% to $170.8 million as of June 30, 2025 compared to $246.5 million as of June 30, 2024. The decrease was primarily due to reduced originations resulting from the bankruptcy filings in late 2024 for two of AFF’s larger retail furniture merchant partners, American Freight Warehouse (“A-Freight”) and Conn’s Home Plus (“Conn’s”).
Current wording
Leased merchandise, before allowance for lease losses, decreased 29% to $164.2 million as of September 30, 2025 compared to $231.8 million as of September 30, 2024. The decrease was primarily due to reduced originations resulting from the bankruptcy filings in late 2024 for two of AFF’s larger retail furniture merchant partners, American Freight (“A-Freight”) and Conn’s Home Plus (“Conn’s”).
Previous wording
The allowance for lease losses decreased 32% to $70.0 million as of June 30, 2025 compared to $103.3 million as of June 30, 2024, which was primarily due to the decrease in leased merchandise and lower lease loss provisioning rates used during the second quarter of 2025 as compared to second quarter of 2024. As a percentage of lease merchandise, the allowance was 41% at June 30, 2025 and 42% at June 30, 2024.
Current wording
The allowance for lease losses decreased 31% to $64.3 million as of September 30, 2025 compared to $93.8 million as of September 30, 2024, which was primarily due to the decrease in leased merchandise. As a percentage of lease merchandise, the allowance was 39% at September 30, 2025 and 40% at September 30, 2024.
Previous wording
Leased merchandise income decreased 28% to $139.8 million during the second quarter of 2025 compared to $194.6 million during the second quarter of 2024, which was primarily due to lower average leased merchandise balances outstanding during the second quarter of 2025 compared to the second quarter of 2024.
Current wording
Leased merchandise income decreased 30% to $132.5 million during the third quarter of 2025 compared to $188.6 million during the third quarter of 2024, which was primarily due to lower average leased merchandise balances outstanding during the third quarter of 2025 compared to the third quarter of 2024.
Previous wording
Depreciation of leased merchandise decreased 29% to $78.5 million during the second quarter of 2025 compared to $110.6 million during the second quarter of 2024, primarily due to the decrease in leased merchandise balances outstanding. As a percentage of leased merchandise income, depreciation of leased merchandise decreased slightly to 56% during the second quarter of 2025 from 57% during the second quarter of 2024.
Current wording
Depreciation of leased merchandise decreased 28% to $76.3 million during the third quarter of 2025 compared to $105.3 million during the third quarter of 2024, primarily due to the decrease in leased merchandise balances outstanding. As a percentage of leased merchandise income, depreciation of leased merchandise increased slightly to 58% during the third quarter of 2025 from 56% during the third quarter of 2024.
Previous wording
Finance receivables, before allowance for loan losses, increased 35% as of June 30, 2025 compared to June 30, 2024. The increase was primarily due to increased gross transaction volumes in certain non-furniture industry verticals.
Current wording
Finance receivables, before allowance for loan losses, increased 15% as of September 30, 2025 compared to September 30, 2024. The increase was primarily due to increased gross transaction volumes in certain non-furniture industry verticals over the past twelve months.
Previous wording
The allowance for loan losses increased 23% to $122.9 million as of June 30, 2025 compared to $100.0 million as of June 30, 2024, which was primarily due to the increase in finance receivables, partially offset by lower loan loss provisioning rates used during the second quarter of 2025 compared to the second quarter of 2024. As a percentage of finance receivables, the allowance was 44% at June 30, 2025 compared to 49% at June 30, 2024.
Current wording
The allowance for loan losses increased 6% to $115.7 million as of September 30, 2025 compared to $109.2 million as of September 30, 2024, which was primarily due to the increase in finance receivables, partially offset by lower loan loss provisioning rates used during the third quarter of 2025 compared to the third quarter of 2024. As a percentage of finance receivables, the allowance was 43% at September 30, 2025 compared to 47% at September 30, 2024.
Previous wording
Interest and fees on finance receivables increased 34% to $76.1 million during the second quarter of 2025 compared to $56.8 million during the second quarter of 2024. The increase was primarily due to the higher year-over-year finance receivable balances, partially offset by a slight decline in portfolio yield primarily as a result of AFF expanding its offerings and merchant relationships in certain services sector verticals during the second quarter of 2025, some of which are provided at lower interest rates.
Current wording
Interest and fees on finance receivables increased 33% to $81.7 million during the third quarter of 2025 compared to $61.2 million during the third quarter of 2024. The increase was primarily due to higher average finance receivable balances outstanding during the third quarter of 2025 compared to the third quarter of 2024, partially offset by a slight decline in portfolio yield primarily as a result of AFF expanding its offerings and merchant relationships in certain services sector verticals over the past twelve months, some of which are provided at lower interest rates.
Previous wording
Operating expenses decreased 31% to $24.3 million during the second quarter of 2025 compared to $35.3 million during the second quarter of 2024. The decrease was primarily due to the elimination of certain expenses associated with supporting the A-Freight and Conn’s relationships along with continued realization of operating synergies, primarily in technology and development infrastructure, coupled with other cost reduction initiatives. As a percentage of segment revenues, operating expenses decreased to 11% during the second quarter of 2025 compared to 14% during the second quarter of 2024.
Current wording
Operating expenses decreased 32% to $23.0 million during the third quarter of 2025 compared to $33.8 million during the third quarter of 2024. The decrease was primarily due to the elimination of certain expenses associated with supporting the A-Freight and Conn’s relationships along with continued realization of operating synergies, primarily in technology and development infrastructure, coupled with other cost reduction initiatives. As a percentage of segment revenues, operating expenses decreased to 11% during the third quarter of 2025 compared to 14% during the third quarter of 2024.
Previous wording
The retail POS payment solutions segment pre-tax operating income for the second quarter of 2025 was $37.9 million compared to $25.9 million in the second quarter of 2024. The increase was primarily the result of the increase in segment net revenue and a decrease in operating expenses.
Current wording
The retail POS payment solutions segment pre-tax operating income for the third quarter of 2025 was $46.0 million compared to $30.2 million in the third quarter of 2024. The increase was primarily the result of the increase in segment net revenue and a decrease in operating expenses.
Previous wording
Administrative expenses increased 27% to $59.3 million during the second quarter of 2025 compared to $46.6 million in the second quarter of 2024, primarily due to the $11.0 million CFPB litigation settlement accrued for in the second quarter of 2025, a slight increase in the pawn store count and general inflationary impacts, partially offset by a 13% change in the average value of the Mexican peso resulting in lower U.S. dollar translated administrative expenses in Latin America. As a percentage of revenue, administrative expenses were 7% in the second quarter of 2025 compared to 6% during the second quarter of 2024.
Current wording
Administrative expenses increased 39% to $58.8 million during the third quarter of 2025 compared to $42.2 million in the third quarter of 2024, primarily due to the addition of administrative expenses of H&T, increased variable compensation, general inflationary impacts and a 2% change in the average value of the Mexican peso resulting in higher U.S. dollar translated administrative expenses in Latin America. As a percentage of revenue, administrative expenses were 6% in the third quarter of 2025 compared to 5% during the third quarter of 2024.
Previous wording
Interest expense increased 5% to $26.3 million during the second quarter of 2025 compared to $25.2 million in the second quarter of 2024, primarily due to higher average total long-term debt balances outstanding. See Note 8 of Notes to Consolidated Financial Statements and “Liquidity and Capital Resources.”
Current wording
Interest expense increased 17% to $32.2 million during the third quarter of 2025 compared to $27.4 million in the third quarter of 2024, primarily due to higher average total long-term debt balances outstanding. See Note 8 of Notes to Consolidated Financial Statements and “Liquidity and Capital Resources.”
Previous wording
Merger and acquisition expenses increased 104% to $2.8 million during the second quarter of 2025 compared to $1.4 million in the second quarter of 2024, due primarily to expenses associated with the H&T Acquisition.
Current wording
Merger and acquisition expenses were $9.5 million during the third quarter of 2025 compared to $0.2 million in the third quarter of 2024. The increase was due primarily to expenses associated with the H&T Acquisition.
Showing the first 40 of 87 pairs. Open the source sections for the rest.
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Current report — wording carried from elsewhere
Cash Flow Provided by Financing Activities
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Previous report — wording carried elsewhere
The following table details earning assets, which consist of pawn loans and inventories as well as other earning asset metrics of the Latin America pawn segment, as of June 30, 2025 compared to June 30, 2024 (dollars in thousands, except as otherwise noted):
Previous report — wording carried elsewhere
Provision for loan losses increased 34% to $41.8 million during the second quarter of 2025 compared to $31.1 million during the second quarter of 2024, which was primarily due to the 42% increase in gross transaction volume, partially offset by a decrease in the net provisioning rates used during the second quarter of 2025 based on lower than expected charge-off rates on older vintages. As a percentage of gross transaction volume, the provision for loan losses decreased to 28% during the second quarter of 2025 from 30% during the second quarter of 2024.
Previous report — wording carried elsewhere
credit facilities under current leverage covenants. Regulatory developments affecting the Company’s operations may also impact profitability and liquidity. See “Governmental Regulation Update.”
Previous report — wording carried elsewhere
Cash Flow Used in Financing Activities
Previous report — wording carried elsewhere
fees and expenses related to the offering. The Company paid debt issuance costs of $9.1 million during the six months ended June 30, 2024. The Company funded $60.5 million of share repurchases during the six months ended June 30, 2025 compared to $85.0 million during the six months ended June 30, 2024. The Company paid dividends of $33.8 million during the six months ended June 30, 2025 compared to $31.7 million during the six months ended June 30, 2024. In addition, the Company paid withholding taxes of $5.8 million on net share settlements of restricted stock awards during the six months ended June 30, 2025 compared to $7.0 million during the six months ended June 30, 2024.