Two 59%+ winners, four above 25% in Aug – How this AI model keeps picking winners
FORT WORTH, Texas -On Thursday, FirstCash Holdings, Inc. (NASDAQ:FCFS) reported first quarter earnings that exceeded analyst expectations, driven by strong demand for pawn loans and improved performance in its retail point-of-sale payment solutions segment.
The company’s stock edged up 0.01% in premarket trading following the results.
The leading pawn store operator posted adjusted earnings per share of $2.07, beating the consensus estimate of $1.73. Revenue came in at $836.4 million, slightly above expectations of $835.4 million and flat compared to the same quarter last year.
FirstCash saw robust pawn loan demand, with same-store pawn receivables increasing 13% in the U.S. and 14% in Latin America on a constant currency basis. This marked the seventh consecutive quarter of double-digit same-store receivable growth in the U.S. segment.
"FirstCash posted record first quarter results, driven by the continued revenue and earnings growth from core pawn operations coupled with strong operating margins in the AFF POS payment solutions segment," said CEO Rick Wessel.
The company’s U.S. pawn segment pre-tax operating income rose 17% YoY to $113 million. In Latin America, segment pre-tax operating income increased 13% on a constant currency basis.
The retail POS payment solutions segment also showed improvement, with pre-tax operating income surging 58% to $52 million. This growth was attributed to gross margin improvement and operating expense reductions.
FirstCash opened 12 new pawn locations during the quarter through acquisitions and new store openings across four countries. As of March 31, the company operated 3,023 pawn stores.
Looking ahead, management expects continued growth in 2025 driven by increasing earning asset balances and store additions. The company raised its full-year earnings outlook for the retail POS payment solutions segment.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.