FirstCash (FCFS) Q3 2024 earnings summary

Executive summary

• Q3 2024 net income was $64.8 million, up 13% year-over-year; nine-month net income rose 17% to $175.3 million.

• Q3 2024 revenue increased 6% to $837.3 million; nine-month revenue grew 9% to $2.50 billion.

• Growth driven by U.S. pawn segment expansion, higher pawn loan demand, and increased retail sales.

• Opened 16 new pawn stores in Q3 and 83 year-to-date, totaling 3,025 locations as of September 30, 2024.

• Declared a quarterly cash dividend of $0.38 per share, payable in November 2024.

Financial highlights

• Q3 2024 EPS was $1.45 (basic) and $1.44 (diluted), up from $1.27 and $1.26 in Q3 2023.

• Adjusted net income for Q3 2024 was $75.2 million ($1.67/share), up from $70.8 million ($1.56/share) in Q3 2023.

• EBITDA for Q3 2024 was $138.1 million; adjusted EBITDA was $139.3 million.

• Operating cash flows for the trailing twelve months were $441 million; adjusted free cash flow was $217 million.

• Cash and cash equivalents at period end were $106.3 million.

Outlook and guidance

• Expects continued year-over-year growth in consolidated revenue and earnings for the remainder of 2024.

• Targeting approximately 90 new pawn locations in 2024.

• Pawn operations projected to contribute over 80% of total segment pre-tax income for the full year.

• U.S. pawn receivables and fees expected to grow 10–12%; Latin America results to be impacted by peso exchange rates.

• Net interest expense anticipated to rise in 2024 due to higher borrowings and interest rates.