UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 __________________________________________________________________ FORM 10-Q __________________________________________________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from__________to__________ Co ...

Financial Data and Key Metrics Changes - Total revenue increased by 5.8% year-over-year to $127.3 million, with a revenue yield improvement of 3.5 percentage points to 129.5% [6][24] - Net income rose to $10.1 million, up from $3.9 million, representing an increase of $6.2 million year-over-year [8] - Adjusted net income was $8.8 million, an increase of $4.9 million from the previous year [8][26] - Total expenses as a percentage of total revenue increased by 110 basis points year-over-year to 45.5%, but decreased by 270 basis points to 40.6% when excluding one-time expenses [7][18] Business Line Data and Key Metrics Changes - Total net originations increased by 2.4% to $163.5 million, while total retained net originations decreased by 2% to $152.5 million [24] - New customer originations decreased by 1.7% year-over-year, while existing customer originations increased by 5.7% [25] - The annualized net charge-off rate as a percentage of total revenue decreased by 110 basis points to 47.9% [25] Market Data and Key Metrics Changes - The company operates in 40 states through three bank partners, with a strong national footprint [31] - The addressable market expanded as bank partners entered new states, contributing to improved customer payment activity [12] Company Strategy and Development Direction - The company is focused on profitable growth and has increased its full-year adjusted net income guidance to $50 million to $54 million [20] - A new credit model is set to launch in Q2, aimed at improving risk evaluation for applicants [11] - The company plans to explore partnerships and acquisitions in adjacent services, particularly in small business lending and consumer financing [43] Management's Comments on Operating Environment and Future Outlook - Management noted that core inflation remains sticky, and interest rates are unlikely to decrease until late 2024 or early 2025 [13] - The tightening of credit standards by banks may present selective growth opportunities for the company [14] - Management expressed confidence in the company's ability to generate free cash flow and maintain a strong balance sheet [9][22] Other Important Information - The company declared its first-ever special dividend of $0.12 per share, reflecting its commitment to rewarding shareholders [9][22] - Unrestricted cash increased by 48.4% to $47.2 million, providing confidence for capital allocation decisions [19] Q&A Session Summary Question: Update on bank partnership model and states of operation - The company currently has three bank partners and operates in 40 states, with variations in loan ownership percentages due to state laws [31] Question: Sustainability of revenue yield performance - Management indicated that the Q1 yield performance is on the higher end and attributed it to strong payment recovery and operational efficiencies [32][33] Question: Operational expenses run rate for the year - Management suggested that operational expenses may decrease slightly going forward, excluding one-time expenses [34] Question: Drivers of outperformance and challenges - Strong payment activity and reduced acquisition costs contributed to outperformance, while sticky inflation and interest costs remain challenges [36] Question: Competitive environment updates - The tightening of credit standards above the company is allowing more segment one customers into the funnel, but the company remains cautious in its underwriting [37] Question: Special dividend declaration process - The special dividend is not formulaic but will be considered based on cash levels and needs [41] Question: Targeting adjacent services for growth - The company is looking at small business lending and consumer financing for goods as potential areas for expansion [43] Question: New versus existing customer underwriting processes - The company has optimized its funnel and improved operational efficiencies, contributing to lower acquisition costs [44]

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OppFi Inc. (OPFI) came out with quarterly earnings of $0.10 per share, beating the Zacks Consensus Estimate of $0.05 per share. This compares to earnings of $0.05 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 100%. A quarter ago, it was expected that this company would post earnings of $0.07 per share when it actually produced earnings of $0.10, delivering a surprise of 42.86%.Over the last four quarters, the company has sur ...

Q1 2024 Earnings Presentation May 8, 2024 A Tech-Enabled, Mission-Driven Specialty Finance Platform that Broadens the Reach of Community Banks to Extend Credit Access to Everyday Americans Disclaimer This presentation (the "Presentation") of OppFi Inc. ("OppF" or be "Compony") is for information purposes only. Certain information on thereal mor soucces propered by thir information contained herein does not purport to be all-inclusive. This Presentation does not constitute investment, tax, or legal advice. N ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 __________________________________________________________________ FORM 10-K __________________________________________________________________ (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from__________to__________ Commiss ...

Financial Data and Key Metrics - Total revenue for Q4 2023 increased by 10.7% to $132.9 million compared to the prior year [12] - Net originations grew by 3.3% to $191.9 million in Q4 2023 [12] - Annualized net charge-off rate as a percentage of total revenue improved by 12.9 percentage points to 46.4% in Q4 2023 [12] - Total expenses, excluding interest expense, as a percentage of total revenue decreased by 5.6 percentage points to 33.8% in Q4 2023 [12] - Net income for Q4 2023 was $1.9 million, up from a loss of $5.2 million in the prior year [12] - Adjusted net income for Q4 2023 was $8.9 million, up from a loss of $2.8 million in the prior year [12] - Full-year 2023 total revenue reached a record $508.9 million, a 12.4% increase year-over-year [13] - Ending receivables for 2023 were $416.5 million, a 3.6% increase year-over-year [13] - Net income for 2023 was $39.5 million, compared to $3.3 million in the prior year [13] - Adjusted net income for 2023 was $43.3 million, up from $5 million in the prior year [13] Business Line Performance - Credit performance improved year-over-year, with the total first payment default rate decreasing by 40 basis points and the total delinquency rate declining by 90 basis points [15] - Yield expanded by 8.4 percentage points to 126.8% in Q4 2023 compared to 118.4% in the prior year [16] - Recoveries of previously charged-off loan balances increased by 40.8% year-over-year in Q4 2023 [16] - Marketing cost per funded loan decreased by 6.3% year-over-year in Q4 2023 [17] Market and Geographic Expansion - The platform expanded geographically with bank partners entering new states [17] - A new credit model incorporating an updated dynamic risk model is expected to launch in Q2 2024, aimed at driving lower risk origination volume and reducing credit losses [21] Strategic Priorities and Industry Outlook - The company plans to maintain a disciplined underwriting strategy, emphasizing profitability over portfolio growth in 2024 [10] - The macroeconomic environment for 2024 is expected to be similar to 2023, with sticky inflation and higher interest rates [19] - The company is cautious about macroeconomic headwinds but believes it is well-positioned to operate in this environment [20] - Corporate development opportunities, including potential partnerships and acquisitions, are being evaluated to create shareholder value [18] Management Commentary - Management expressed confidence in the long-term strategy, citing a strong balance sheet with unrestricted cash of $31.8 million, nearly doubling year-over-year [23] - The company plans to focus on top-of-funnel optimization, operating efficiencies, and geographic expansion in 2024 [22] Q&A Session Question: Growth Outlook and Macroeconomic Environment - The company is emphasizing profitability over growth due to the macroeconomic environment and has tightened the credit box to manage risks [36][37] - Growth will depend on sustained loss curves resembling 2019 levels, and the company is exploring other growth avenues such as geographic expansion [40][42] Question: Drivers for 2024 Revenue Guidance - Revenue guidance for 2024 is driven by maintaining strong yields and not chasing growth through higher customer acquisition costs [49] - The company expects its new credit model, launching in Q2 2024, to support growth [50] Question: Charge-off Rate Dynamics - The charge-off rate as a percentage of revenue is expected to remain similar year-over-year, with minor fluctuations due to seasonality [53][54][76] Question: M&A and Acquisition Criteria - The company is refining its criteria for acquisitions, focusing on verticals that complement its brand and are accretive to shareholder value [61] Question: Auto Approval Rate - The auto approval rate is currently at 72%, with incremental improvements expected through AI tools and process optimizations [62][63] Question: Geographic Expansion Impact - New state entries are expected to provide growth opportunities, but the company is cautious due to the higher risk associated with new originations [69][71]

Q4 2023 Earnings Presentation This presentation (the "Presentation") of OppFi Inc. ("OppFi" or the "Company") is for information purposes only. Certain information contained herein has been derived from sources prepared by third parties. While such information is believed to be reliable for the purposes used herein, the Company makes no representation or warranty with respect to the accuracy of such information. Trademarks and trade names referred to in this Presentation are the property of their respective ...

Financial Performance - GAAP net income of $1.9 million, up from a net loss of $5.2 million year over year, and adjusted net income of $8.9 million, up from an adjusted net loss of $2.8 million year over year[2] - Net income for 2023 was $39.5 million, a significant increase from $3.3 million in 2022, representing a growth of $36.1 million[26] - Q4 2023 Net Income was $1.9 million, a significant improvement from a loss of $5.2 million in Q4 2022[39] - Adjusted Net Income for Full Year 2023 was $43.3 million, compared to $5.0 million in 2022[44] Revenue and Profitability - Total revenue increased by 10.7% year over year, with a 12.9 percentage point decrease in annualized net charge-off rate to 46.4%[2] - Total revenue for 2023 was $508.9 million, compared to $452.9 million in 2022, showing a $56.1 million increase[34] - Total Revenue for Full Year 2023 increased by 12% year-over-year to $509 million[42] - Q4 2023 Total Revenue increased by 11% year-over-year, driven by higher credit demand[51] - Adjusted EBITDA for 2023 reached $114.7 million, up from $53.9 million in 2022, reflecting a $60.8 million increase[26] - Adjusted EBITDA for Q4 2023 increased to $25.8 million, up from $9.9 million in Q4 2022[39] Loan and Receivables Metrics - Net originations increased by 3% year over year to $192 million, with ending receivables up 4% to $416 million[6][19] - Annualized net charge-offs as a percentage of average receivables decreased to 46% from 59% year over year[19] - Yield increased to 127% from 118% year over year, reflecting a decrease in delinquent loans and a shift in interest rates[19][20] - Net Originations for Full Year 2023 decreased by 1% to $748 million[42] - Ending Receivables for Full Year 2023 increased by 4% to $416 million[42] Cash and Debt Management - Total cash and restricted cash increased to $73.9 million from $49.7 million year over year[8][22] - Total debt decreased by $13 million to $334.1 million, driven by the repayment of revolving lines of credit[8][22] - Cash and restricted cash increased to $73.9 million in 2023 from $49.7 million in 2022, a $24.3 million rise[35] - Total debt decreased to $334.1 million in 2023 from $347.1 million in 2022, a reduction of $12.9 million[35] Earnings Per Share (EPS) - Adjusted EPS guidance for 2024 is projected to be between $0.53 and $0.57[24] - Adjusted earnings per share for 2023 was $0.51, compared to $0.06 in 2022[26] - Q4 2023 Adjusted Earnings Per Share was $0.10, compared to a loss of $0.19 in Q4 2022[39] - Full Year 2023 Adjusted Earnings Per Share was $0.51, compared to $0.06 in 2022[44] Operational Metrics - Real-time AI drove automation for 89% of decisions in 2023[3] - 63 million U.S. consumers are credit marginalized, and 62% of U.S. consumers live paycheck to paycheck[4] - OppFi facilitated over $5.8 billion in gross loan issuance since inception, covering more than 3.4 million loans[47] Cash Flow and Share Metrics - Net cash provided by operating activities in 2023 was $296.1 million, up from $243.3 million in 2022, an increase of $52.8 million[37] - Weighted average diluted shares outstanding for 2023 were 85.1 million, slightly up from 84.3 million in 2022[26] Interest and Asset Metrics - Interest expense for 2023 was $46.8 million, compared to $35.2 million in 2022, an increase of $11.6 million[34] - Total assets as of December 31, 2023, were $601.5 million, up from $579.8 million in 2022, reflecting a $21.7 million increase[35]

Market Leading Terms Total Revenue • Total revenue increased 13% year over year to $376M ▪ No prepayment penalties Net Originations2 • Net originations decreased 2% year over year to $556M Ending Receivables2 • Ending receivables increased 3% year over year at $416M 1. Non-GAAP Financial Measures: Adjusted Net Income and Adjusted EPS are financial measures that have not been prepared in accordance with GAAP. See the disclaimer on "Non-GAAP Financial Measures" on slide 1 for a detailed description of such No ...