goeasy (GSY) Q3 2025 earnings summary

Executive summary

• Achieved record quarterly revenue of CAD 440 million (USD 440 million), up 15% year-over-year, driven by strong loan originations of CAD 946 million and robust application volumes across all lending products and channels.

• Consumer loan portfolio grew to CAD 5.44 billion, with organic loan book growth of CAD 336 million and applications up 22% year-over-year.

• Adjusted diluted EPS was CAD 4.12, down 5% year-over-year, impacted by higher credit loss provisions and macroeconomic weakness; net income fell 61% to CAD 33 million due to a significant non-cash charge.

• Maintained a conservative underwriting posture, funding 11% of applications at an average credit score of 624, with additional requirements for auto and powersports loans.

• Recognized as a top employer and for community contributions, including raising over CAD 400,000 for charity.

Financial highlights

• Revenue reached a record CAD 440 million, up 15% year-over-year, with adjusted operating income at CAD 170 million, up 4%.

• Net income for Q3 2025 was CAD 33 million, down 61% year-over-year; adjusted net income was CAD 69 million, down 8%.

• Adjusted diluted EPS was CAD 4.12, flat sequentially but down 5% year-over-year.

• Adjusted operating margin declined to 38.6% from 42.6% last year, mainly due to lower yield and higher credit loss allowance.

• Allowance for credit losses increased to 8.13% from 7.92% sequentially, with total allowance at CAD 442 million.

Outlook and guidance

• Q4 loan book growth targeted between CAD 250 million and CAD 275 million, with yield outlook for Q4 set at 30.5%-31.5%.

• Net charge-off range for Q4 remains consistent with Q3, projected between 8.75% and 9.75%.

• Three-year forecasts to be updated in February, with targets for gross consumer loans receivable of CAD 6.4–6.7 billion by 2026 and CAD 7.35–7.75 billion by 2027.

• Management remains confident in long-term business potential despite challenging macroeconomic conditions.

• Guidance and targets are subject to change based on evolving business conditions.