UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 104 S Main Street Greenville, South Carolina 29601 (Address of principal executive offices) (Zip Code) (864) 298-9800 (registrant's telephone number, including area code) Securities registered pursuant to Section 12(b) of the Act: Title of each class Trading Symbol Name of each exchange on which registered Common Stock, no par value WRLD The NASDAQ Stock Market LLC (NASDAQ Global Select Market) __________________________________ Form 10 ...

Company Performance - World Acceptance (WRLD) reported quarterly earnings of $3.99 per share, exceeding the Zacks Consensus Estimate of $1.99 per share, and up from $2.71 per share a year ago, representing an earnings surprise of 100.50% [1] - The company posted revenues of $131.41 million for the quarter ended September 2024, which missed the Zacks Consensus Estimate by 5.81% and decreased from $136.88 million year-over-year [1] - Over the last four quarters, World Acceptance has surpassed consensus EPS estimates four times and topped consensus revenue estimates two times [1] Stock Performance - World Acceptance shares have declined approximately 11.1% since the beginning of the year, contrasting with the S&P 500's gain of 21.8% [2] - The current Zacks Rank for World Acceptance is 3 (Hold), indicating that the shares are expected to perform in line with the market in the near future [4] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $2.11 on revenues of $144.23 million, and for the current fiscal year, it is $13.34 on revenues of $580.36 million [4] - The estimate revisions trend for World Acceptance is mixed, and future changes in estimates will be closely monitored following the recent earnings report [4] Industry Context - The Financial - Consumer Loans industry, to which World Acceptance belongs, is currently ranked in the bottom 43% of over 250 Zacks industries, suggesting potential challenges for stock performance [5] - Another company in the same industry, OneMain Holdings (OMF), is expected to report quarterly earnings of $1.23 per share, reflecting a year-over-year decline of 21.7% [5]

NEWS RELEASE For Immediate Release Contact: John L. Calmes, Jr. Executive VP, Chief Financial & Strategy Officer, and Treasurer (864) 298-9800 GREENVILLE, S.C. (October 25, 2024) - World Acceptance Corporation (NASDAQ: WRLD) today reported financial results for its second quarter of fiscal 2025. WORLD ACCEPTANCE CORPORATION REPORTS FISCAL 2025 SECOND QUARTER RESULTS Second fiscal quarter highlights During its second fiscal quarter, World Acceptance Corporation achieved improved loan growth while continuing ...

World Acceptance Corporation (NASDAQ:WRLD) Q1 2025 Earnings Conference Call July 26, 2024 10:00 AM ET Company Participants Chad Prashad - President and CEO Johnny Calmes - Chief Financial and Strategy Officer Conference Call Participants John Rowan - Janney Guy Riegel - Ingalls & Snyder Operator Good morning, and welcome to World Acceptance Corporation's First Quarter 2025 Earnings Conference Call. This call is being recorded. At this time, all participants have been placed in a listen-only mode. Before we ...

Over the last four quarters, the company has surpassed consensus EPS estimates four times. World Acceptance (WRLD) came out with quarterly earnings of $1.79 per share, beating the Zacks Consensus Estimate of $1.69 per share. This compares to earnings of $1.62 per share a year ago. These figures are adjusted for non-recurring items. World Acceptance, which belongs to the Zacks Financial - Consumer Loans industry, posted revenues of $129.53 million for the quarter ended June 2024, missing the Zacks Consensus ...

Exhibit 99.1 NEWS RELEASE For Immediate Release Contact:John L. Calmes, Jr. Executive VP, Chief Financial & Strategy Officer, and Treasurer (864) 298-9800 GREENVILLE, S.C. (July 26, 2024) - World Acceptance Corporation (NASDAQ: WRLD) today reported financial results for its first quarter of fiscal 2025. WORLD ACCEPTANCE CORPORATION REPORTS FISCAL 2025 FIRST QUARTER RESULTS First fiscal quarter highlights During its first fiscal quarter, World Acceptance Corporation continued to focus on credit quality and a ...

Branch Operations - As of March 31, 2024, the company had 1,048 branches across 16 states, having opened 3 new branches and merged 28 branches during fiscal 2024[17] - The company may merge branches on a case-by-case basis based on profitability and operational efficiency[17] - The company plans to continue expanding operations in existing markets and potentially enter new states based on demographic profiles and regulatory environments[17] - The company’s ability to expand is contingent upon obtaining necessary regulatory approvals and identifying suitable locations for new branches[19] - As of March 31, 2024, the company had 1,048 branches across 16 states, with over 100 branches located in Texas and Georgia[17] - In fiscal 2024, the company opened 3 new branches and merged 28 branches into existing ones due to insufficient returns or for efficiency reasons[17] Financial Performance - Interest and fee income from installment loans accounted for 81.7% of total revenues in fiscal 2024, with an average annual percentage rate of 47.5% for the loan portfolio[20] - The company prepared approximately 83,000 tax returns in fiscal 2024, generating net revenue of approximately $29.5 million from tax preparation services[27] - The captive insurance subsidiary reinsured approximately 12.6% of the credit insurance sold, contributing approximately $2.9 million to total revenue in fiscal 2024[24] - The Company reported a total of 670,160 loans with an average gross loan balance of $1,906, resulting in a total gross loan balance of $1,277,149,000 as of March 31, 2024[29] - Loan originations for fiscal 2024 included 67.3% refinancings of existing loans, compared to 71.4% in fiscal 2023 and 63.9% in fiscal 2022[33] - Approximately 18.8% of the Company's loans in fiscal 2024 were generated through new loans to previous customers, up from 16.9% in fiscal 2023[35] - The Company experienced significant seasonal fluctuations, with the highest loan demand typically occurring from October to December[30] - Advertising expenses as a percentage of revenue were approximately 1.7% in fiscal 2024, compared to 1.0% in fiscal 2023 and 3.1% in fiscal 2022[40] Loan Portfolio - The company offers small loans with amounts ranging from $250 to $2,450 and large loans from $2,500 to $32,400, with terms generally from 6 to 14 months[21] - As of March 31, 2024, 46.5% of gross loans receivable had annual percentage rates of 0 to 36%, while 53.5% had rates greater than 36%[21] - The Company operates in states where it can garnish wages for loan repayment, but generally does not resort to litigation for collections[36] - The Company has a proprietary credit score system to evaluate potential customers, focusing on attributes like payment history and outstanding debt[31] - The total number of loans and average gross loan balance varied by state, with Texas having the highest number of loans at 162,542 and an average balance of $1,586[29] Regulatory Environment - The company is subject to extensive regulation, which includes state laws that impose constraints on lending activities and require annual license renewals for branches[54][57] - Regulatory changes, including potential federal legislation, could significantly impact the company's ability to operate profitably, particularly if a national interest rate cap is imposed[66] - The company actively participates in trade associations and lobbying efforts to address changes in consumer credit regulations that could affect its operations[61] - The company faces challenges related to compliance with both state and federal regulations, which could lead to penalties or operational restrictions if not adhered to[62][64] Employee Relations and Diversity - As of March 31, 2024, the company employed 2,872 full and part-time employees, with approximately 2,600 branch-based team members across 16 states[48] - The gender demographics of the team members show 85.38% female and 14.59% male, while the racial demographics include 55.27% White, 20.71% Hispanic or Latino, and 16.08% Black or African American[50] - The company offers a comprehensive suite of benefits, including healthcare, a 401(k) plan with employer matching, and various paid time off programs[51] - The company maintains strong employee relations, with a focus on promoting from within for field leadership positions[47] - The company has a commitment to workplace diversity and inclusion, recognizing the value of different perspectives[49] - The company has a diverse executive team with extensive experience in various financial and operational roles, enhancing its strategic capabilities[52][53] - The company is focused on training and development to increase internal talent pools, which is key to its future success[50] Technology and Operations - The Company has invested in technology for workforce management to enhance operational agility and meet changing business needs[47] - The company maintains an online platform for stakeholders to access financial reports and other relevant information[67]

World Acceptance Corporation (NASDAQ:WRLD) Q4 2024 Earnings Conference Call May 2, 2024 10:00 AM ET Company Participants Chad Prashad - President and CEO Johnny Calmes - Chief Financial and Strategy Officer Conference Call Participants John Rowan - Janney Operator Good morning, and welcome to the World Acceptance Corporation Fourth Quarter 2024 Earnings Conference Call. This call is being recorded. At this time, all participants have been placed in a listen-only mode. Before we begin, the corporation has re ...

[Fourth Quarter Highlights](index=1&type=section&id=Fourth%20Quarter%20Highlights) The company's fourth quarter saw a focus on credit quality, a slowdown in customer base decline, and improved net income and diluted EPS despite slightly lower revenues [Operational Overview](index=1&type=section&id=Operational%20Overview) World Acceptance Corporation maintained a focus on credit quality and conservative lending, with gross loans outstanding decreasing but the customer base decline slowing significantly - Gross loans outstanding were **$1.28 billion** as of March 31, 2024, an **8.1% decrease** from **$1.39 billion** as of March 31, 2023, with a sequential decrease of **8.8% ($123.5 million)** from December 31, 2023[3](index=3&type=chunk) - The customer base decreased by **1.5%** during the twelve-month period ended March 31, 2024, a significant improvement compared to a **15.9% decrease** in the comparable prior-year period[4](index=4&type=chunk) Volume of Gross Loan Origination Balances (excluding tax advance loans) by Customer Type | Customer Type | Q4 FY 2024 (USD) | Q4 FY 2023 (USD) | | :--- | :--- | :--- | | New Customers | $26,511,522 | $25,669,834 | | Former Customers | $58,583,919 | $62,965,426 | | Refinance Customers | $432,270,234 | $449,571,142 | - The Company operated **1,048 open branches** as of March 31, 2024, with same-store gross loans decreasing **6.7%** for branches open at least twelve months[5](index=5&type=chunk) [Key Financial Metrics (Q4 FY2024)](index=1&type=section&id=Key%20Financial%20Metrics%20(Q4%20FY2024)) The fourth fiscal quarter saw a notable increase in net income and diluted EPS, despite a slight decline in total revenues, with improved credit quality evidenced by reduced delinquency rates - Net income for the fourth fiscal quarter was **$35.1 million**[6](index=6&type=chunk) - Diluted net income per share was **$6.09**[6](index=6&type=chunk) - Recency delinquency on accounts 90+ days past due improved to **3.1%** at March 31, 2024, from **3.5%** at March 31, 2023[6](index=6&type=chunk) - Total revenues were **$159.3 million**, including a **34 basis point yield increase** compared to the same quarter in the prior year[6](index=6&type=chunk) [Detailed Fourth Quarter Financial Results (Three Months Ended March 31, 2024)](index=3&type=section&id=Detailed%20Fourth%20Quarter%20Financial%20Results%20(Three%20Months%20Ended%20March%2031,%202024)) This section provides an in-depth analysis of the company's Q4 FY2024 financial performance, covering income, credit quality, loan portfolio, operating expenses, and capital management [Income and Revenue Analysis](index=3&type=section&id=Income%20and%20Revenue%20Analysis) Net income and diluted EPS significantly increased in Q4 FY2024 compared to the prior year, despite a slight decrease in total revenues, driven by a decline in interest and insurance income partially offset by strong growth in other income Q4 Financial Performance (Three Months Ended March 31) | Metric | Q4 FY 2024 (USD) | Q4 FY 2023 (USD) | Change | | :--- | :--- | :--- | :--- | | Net income | $35.1 million | $24.6 million | +42.7% | | Diluted net income per share | $6.09 | $4.20 | +45.0% | | Total revenues | $159.3 million | $160.8 million | -1.0% | Revenue Breakdown (Q4 FY2024 vs. Q4 FY2023) | Revenue Type | Q4 FY 2024 (USD) | Q4 FY 2023 (USD) | Change | | :--- | :--- | :--- | :--- | | Interest and fee income | $116.3 million | $121.5 million | -4.3% | | Insurance income | $13.2 million | $16.0 million | -17.8% | | Other income | $29.8 million | $23.3 million | +27.7% | - Revenues from the tax return preparation business increased by **$6.2 million**, or **30.5%**, due to a **13.6% increase** in the number of tax returns prepared and an increase in the average preparation fee per return[9](index=9&type=chunk) [Credit Quality and Provision for Credit Losses](index=3&type=section&id=Credit%20Quality%20and%20Provision%20for%20Credit%20Losses) The company experienced significant improvements in credit quality during Q4 FY2024, with a substantial decrease in the provision for credit losses and net charge-offs, alongside lower delinquency rates - The provision for credit losses decreased **$16.1 million** to **$29.3 million** in Q4 FY2024 from **$45.4 million** in Q4 FY2023[10](index=10&type=chunk) - Net charge-offs for the quarter decreased **$17.0 million**, from **$64.4 million** in Q4 FY2023 to **$47.4 million** in Q4 FY2024[12](index=12&type=chunk) - Net charge-offs as a percentage of average net loan receivables on an annualized basis decreased to **18.8%** in Q4 FY2024 from **23.9%** in Q4 FY2023[12](index=12&type=chunk) - Accounts 61 days or more past due decreased to **5.0%** on a recency basis at March 31, 2024, compared to **5.5%** at March 31, 2023, while allowance for credit losses as a percent of net loans receivable was **10.8%** at March 31, 2024, compared to **12.4%** at March 31, 2023[13](index=13&type=chunk) [Loan Portfolio Composition and Management](index=4&type=section&id=Loan%20Portfolio%20Composition%20and%20Management) The company has strategically tightened lending to new customers over the past two years, resulting in a shift in the loan portfolio mix towards customers with more than two years of tenure Gross Loan Balance By Customer Tenure at Origination (As of March 31) | As of | Less Than 2 Years (USD) | More Than 2 Years (USD) | Total (USD) | | :--- | :--- | :--- | :--- | | 03/31/2024 | $270,069,839 | $1,007,164,462 | $1,277,234,301 | | 03/31/2023 | $348,513,335 | $1,041,619,563 | $1,390,132,898 | Portfolio Mix by Customer Tenure at Origination (As of March 31) | As of | Less Than 2 Years (%) | More Than 2 Years (%) | | :--- | :--- | :--- | | 03/31/2024 | 21.1% | 78.9% | | 03/31/2023 | 25.1% | 74.9% | Year-Over-Year Growth (Decline) in Gross Loan Balance by Customer Tenure at Origination (12 Month Period Ended March 31, 2024) | 12 Month Period Ended | Less Than 2 Years (USD) | More Than 2 Years (USD) | Total (USD) | | :--- | :--- | :--- | :--- | | 03/31/2024 | $(78,443,496) | $(34,455,101) | $(112,898,597) | [Operating Expenses Analysis](index=4&type=section&id=Operating%20Expenses%20Analysis) General and administrative (G&A) expenses decreased in Q4 FY2024, primarily due to lower personnel and advertising costs, leading to a slight improvement in G&A expenses as a percentage of revenues - General and administrative (G&A) expenses decreased **$1.6 million**, or **2.1%**, to **$71.6 million** in Q4 FY2024 compared to **$73.2 million** in the same quarter of the prior fiscal year[16](index=16&type=chunk) - As a percentage of revenues, G&A expenses decreased from **45.5%** during Q4 FY2023 to **45.0%** during Q4 FY2024[16](index=16&type=chunk) - Personnel expense decreased **$2.2 million**, or **4.7%**, during Q4 FY2024, with headcount decreasing **6.6%** compared to March 31, 2023[17](index=17&type=chunk) - Advertising expense decreased **$0.3 million**, or **21.5%**, in Q4 FY2024 due to decreased spending on customer acquisition programs[18](index=18&type=chunk) [Debt and Capital Management](index=4&type=section&id=Debt%20and%20Capital%20Management) Interest expense decreased in Q4 FY2024, driven by a significant reduction in average debt outstanding, which also contributed to an improved debt-to-equity ratio - Interest expense for Q4 FY2024 decreased by **$0.4 million**, or **3.5%**, from the corresponding quarter of the previous year[19](index=19&type=chunk) - Average debt outstanding decreased **17.2%** from **$674.5 million** to **$558.3 million** when comparing Q4 FY2024 and Q4 FY2023, despite a **5.7% increase** in the effective interest rate[20](index=20&type=chunk) - The Company's debt to equity ratio decreased to **1.2:1** at March 31, 2024, compared to **1.6:1** at March 31, 2023[20](index=20&type=chunk) - The Company repurchased and canceled **$7.6 million** of its previously issued bonds for a purchase price of **$7.1 million** during the quarter[20](index=20&type=chunk) [Shareholder Returns and Performance Ratios](index=6&type=section&id=Shareholder%20Returns%20and%20Performance%20Ratios) The company demonstrated strong financial performance with improved return on average assets and equity on a trailing twelve-month basis, alongside continued share repurchase activities - Key return ratios for Q4 FY2024 included a **7.0% return on average assets** and a **19.1% return on average equity** (both on a trailing twelve-month basis)[21](index=21&type=chunk) - The Company repurchased **146,436 shares** of its common stock for approximately **$19.0 million** during Q4 FY2024[22](index=22&type=chunk) - For the full fiscal year 2024, a total of **295,201 shares** were repurchased for approximately **$36.2 million**[22](index=22&type=chunk) [Full Fiscal Year 2024 Results (Twelve Months Ended March 31, 2024)](index=6&type=section&id=Full%20Fiscal%20Year%202024%20Results%20(Twelve%20Months%20Ended%20March%2031,%202024)) For the full fiscal year 2024, World Acceptance Corporation reported a substantial increase in net income and diluted EPS, despite a decrease in total revenues, and achieved a significant improvement in annualized net charge-offs Full Fiscal Year Performance (Twelve Months Ended March 31) | Metric | FY 2024 (USD) | FY 2023 (USD) | Change | | :--- | :--- | :--- | :--- | | Net income | $77.3 million | $21.2 million | +264.6% | | Diluted net income per share | $13.19 | $3.60 | +266.4% | | Total revenues | $573.2 million | $616.5 million | -7.0% | - Annualized net charge-offs as a percent of average net loans decreased from **23.7%** during fiscal 2023 to **17.7%** for fiscal 2024[23](index=23&type=chunk) [Company Information](index=6&type=section&id=Company%20Information) This section provides an overview of World Acceptance Corporation's business model and details regarding its upcoming financial results conference call [About World Acceptance Corporation](index=6&type=section&id=About%20World%20Acceptance%20Corporation) World Acceptance Corporation, operating as World Finance, is a people-focused finance company established in 1962, providing personal installment loans and tax preparation services through over 1,000 branches - Founded in 1962, World Acceptance Corporation (NASDAQ: WRLD) provides personal installment loan solutions and personal tax preparation and filing services[24](index=24&type=chunk) - The Company operates more than **1,000 community-based World Finance branches** across **16 states**, headquartered in Greenville, South Carolina[24](index=24&type=chunk) - It primarily serves a segment of the population that does not have ready access to credit, focusing on understanding customers' financial pictures and ensuring their ability to make payments[24](index=24&type=chunk) [Conference Call Details](index=6&type=section&id=Conference%20Call%20Details) World Acceptance Corporation's senior management will host a conference call to discuss the financial results, with a live simulcast and replay available online - A quarterly conference call will be held at **10:00 a.m. Eastern Time on May 2, 2024**[25](index=25&type=chunk) - A simulcast of the conference call will be available on the Internet at https://event.choruscall.com/mediaframe/webcast.html?webcastid=jzCjKJe2 and will be available for replay for approximately **30 days**[25](index=25&type=chunk) [Legal Disclosures](index=7&type=section&id=Legal%20Disclosures) This section outlines important legal disclaimers regarding forward-looking statements, emphasizing inherent risks and the company's non-obligation to update such information [Cautionary Note Regarding Forward-Looking Information](index=7&type=section&id=Cautionary%20Note%20Regarding%20Forward-Looking%20Information) This section advises that the press release contains forward-looking statements subject to inherent risks and uncertainties, which could cause actual results to differ materially from those projected - The press release may contain 'forward-looking statements' subject to risks and uncertainties, including legislative changes, regulatory authority, litigation, employee misconduct, management turnover, economic factors, interest rates, inflation, cybersecurity threats, and dependence on debt[28](index=28&type=chunk) - The Company's actual results and financial condition may differ materially from those indicated in the forward-looking statements, and readers should not rely on them[28](index=28&type=chunk) - World Acceptance Corporation does not undertake any obligation to update any forward-looking statements[29](index=29&type=chunk) [Consolidated Financial Statements](index=8&type=section&id=Consolidated%20Financial%20Statements) This section provides the unaudited consolidated financial statements, including statements of operations, balance sheets, and selected key statistics for the reported periods [Consolidated Statements of Operations](index=8&type=section&id=Consolidated%20Statements%20of%20Operations) This section presents the unaudited consolidated statements of operations for the three and twelve months ended March 31, 2024, and 2023, detailing revenues, expenses, and net income Consolidated Statements of Operations (unaudited, in thousands, except per share amounts) | Metric | Three months ended March 31, 2024 (USD) | Three months ended March 31, 2023 (USD) | Twelve months ended March 31, 2024 (USD) | Twelve months ended March 31, 2023 (USD) | | :--- | :--- | :--- | :--- | :--- | | Total revenues | $159,265 | $160,837 | $573,214 | $616,546 | | Provision for credit losses | $29,276 | $45,412 | $156,973 | $259,463 | | Total general and administrative expenses | $71,619 | $73,178 | $268,600 | $279,475 | | Interest expense | $11,757 | $12,185 | $48,232 | $50,463 | | Total expenses | $112,652 | $130,775 | $473,805 | $589,401 | | Income before income taxes | $46,613 | $30,062 | $99,409 | $27,145 | | Net income | $35,058 | $24,632 | $77,346 | $21,231 | | Net income per common share, diluted | $6.09 | $4.20 | $13.19 | $3.60 | [Consolidated Balance Sheets](index=9&type=section&id=Consolidated%20Balance%20Sheets) This section provides the unaudited consolidated balance sheets as of March 31, 2024, 2023, and 2022, detailing the company's assets, liabilities, and shareholders' equity Consolidated Balance Sheets (unaudited, in thousands) | Metric | March 31, 2024 (USD) | March 31, 2023 (USD) | March 31, 2022 (USD) | | :--- | :--- | :--- | :--- | | Total assets | $1,056,351 | $1,117,319 | $1,218,296 | | Gross loans receivable | $1,277,149 | $1,390,016 | $1,522,789 | | Allowance for credit losses | $(102,963) | $(125,553) | $(134,243) | | Loans receivable, net | $847,440 | $887,788 | $985,515 | | Total liabilities | $631,924 | $732,092 | $845,272 | | Senior notes payable | $223,419 | $307,911 | $396,973 | | Senior unsecured notes payable, net | $272,610 | $287,353 | $295,394 | | Shareholders' equity | $424,427 | $385,227 | $373,024 | [Selected Consolidated Statistics](index=10&type=section&id=Selected%20Consolidated%20Statistics) This section provides selected unaudited consolidated statistics for the three and twelve months ended March 31, 2024, and 2023, including loan metrics, expense ratios, and key performance indicators Selected Consolidated Statistics (unaudited, in thousands, except percentages and branches) | Metric | Q4 FY24 (USD) | Q4 FY23 (USD) | FY24 (USD) | FY23 (USD) | | :--- | :--- | :--- | :--- | :--- | | Gross loans receivable | $1,277,149 | $1,390,016 | $1,277,149 | $1,390,016 | | Average gross loans receivable | $1,357,845 | $1,481,111 | $1,378,329 | $1,555,655 | | Net charge-offs as percent of average net loans receivable on an annualized basis | 18.8% | 23.9% | 17.7% | 23.7% | | Return on average assets (trailing 12 months) | 7.0% | 1.7% | 7.0% | 1.7% | | Return on average equity (trailing 12 months) | 19.1% | 5.8% | 19.1% | 5.8% | | Branches open (at period end) | 1,048 | 1,073 | 1,048 | 1,073 | | Provision for credit losses as % of total revenue | 18.4% | 28.2% | 27.4% | 42.1% | | General and administrative as % of total revenue | 45.0% | 45.5% | 46.9% | 45.3% | | Operating income as a % of total revenue | 36.7% | 26.3% | 25.8% | 12.6% |

[PART I - FINANCIAL INFORMATION](index=5&type=section&id=PART%20I%20-%20FINANCIAL%20INFORMATION) This section presents the company's consolidated financial statements, management's analysis, market risk disclosures, and internal controls [Item 1. Consolidated Financial Statements](index=5&type=section&id=Item%201.%20Consolidated%20Financial%20Statements) The unaudited consolidated financial statements for the period ended December 31, 2023, show improved profitability, with net income reaching **$16.7 million** for the quarter and **$42.3 million** for the nine-month period, reversing a prior-year loss, primarily due to a lower provision for credit losses [Consolidated Balance Sheets](index=5&type=section&id=Consolidated%20Balance%20Sheets) As of December 31, 2023, total assets were **$1.12 billion**, a slight increase from **$1.12 billion** at March 31, 2023, driven by higher net loans receivable, while total liabilities decreased, leading to an increase in shareholders' equity to **$407.0 million** | Balance Sheet Items | Dec 31, 2023 ($) | Mar 31, 2023 ($) | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | 12,775,524 | 16,508,935 | | Loans receivable, net | 907,229,249 | 887,788,486 | | Total assets | 1,119,538,669 | 1,117,318,141 | | **Liabilities & Equity** | | | | Senior notes payable | 305,089,480 | 307,910,824 | | Senior unsecured notes payable, net | 279,915,756 | 287,352,892 | | Total liabilities | 712,519,503 | 732,091,404 | | Total shareholders' equity | 407,019,166 | 385,226,737 | [Consolidated Statements of Operations](index=6&type=section&id=Consolidated%20Statements%20of%20Operations) For Q3 FY24, net income was **$16.7 million**, a **187% increase** from the prior-year quarter, and for the nine months, net income was **$42.3 million**, a significant turnaround from a **$3.4 million loss**, primarily due to a substantial reduction in the provision for credit losses | Metric | Three Months Ended Dec 31, 2023 ($) | Three Months Ended Dec 31, 2022 ($) | Nine Months Ended Dec 31, 2023 ($) | Nine Months Ended Dec 31, 2022 ($) | | :--- | :--- | :--- | :--- | :--- | | Total revenues | 137,749,387 | 146,532,150 | 413,948,499 | 455,708,616 | | Provision for credit losses | 40,631,994 | 59,608,655 | 127,697,072 | 214,051,068 | | Net income (loss) | 16,664,818 | 5,804,586 | 42,285,985 | (3,399,465) | | Diluted EPS | 2.84 | 0.99 | 7.17 | (0.59) | [Consolidated Statements of Shareholders' Equity](index=7&type=section&id=Consolidated%20Statements%20of%20Shareholders'%20Equity) Shareholders' equity increased from **$385.2 million** to **$407.0 million** by December 31, 2023, driven by **$42.3 million** in net income, partially offset by **$17.3 million** in common stock repurchases - For the nine months ended December 31, 2023, total shareholders' equity increased by **$21.8 million**, reflecting the net effect of **$42.3 million** in net income and **$17.3 million** in common stock repurchases[21](index=21&type=chunk) [Consolidated Statements of Cash Flows](index=9&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) For the nine months ended December 31, 2023, the company generated **$182.0 million** in cash from operating activities, used **$157.3 million** in investing activities, and **$28.4 million** in financing activities, resulting in a net decrease in cash of **$3.7 million** | Cash Flow Activity (Nine months ended Dec 31, 2023) | Amount ($) | | :--- | :--- | | Net cash provided by operating activities | 181,969,945 | | Net cash used in investing activities | (157,309,595) | | Net cash provided by (used in) financing activities | (28,393,761) | | **Net change in cash and cash equivalents** | **(3,733,411)** | [Notes to Consolidated Financial Statements](index=12&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) The notes detail accounting policies, including the CECL model for credit losses, debt structure, stock-based compensation reversals, operating lease obligations, and income tax positions - The company's allowance for credit losses is primarily determined by segmenting its loan portfolio into pools based on customer tenure, which management identified as the strongest predictor of default risk[53](index=53&type=chunk)[55](index=55&type=chunk) | Allowance for Credit Losses Roll-forward | Nine Months Ended Dec 31, 2023 ($) | Nine Months Ended Dec 31, 2022 ($) | | :--- | :--- | :--- | | Beginning balance | 125,552,733 | 134,242,862 | | Provision for credit losses | 127,697,072 | 214,051,068 | | Net charge-offs | (132,167,737) | (203,754,387) | | **Ending Balance** | **121,082,068** | **144,539,543** | - During the first nine months of fiscal 2024, the company repurchased and extinguished **$8.25 million** of its senior unsecured notes, recognizing a **$1.2 million** gain on extinguishment[106](index=106&type=chunk) - A reversal of **$4.9 million** in previously recognized stock-based compensation occurred in the second quarter of fiscal 2024, as it was determined that the performance targets for certain Performance Options were no longer probable of being achieved[89](index=89&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=34&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management reported a **187.1% increase** in Q3 net income year-over-year, driven by a **31.8% decrease** in the provision for credit losses, despite a **6.0% decline** in revenue, while addressing regulatory matters and improving the debt-to-equity ratio [Results of Operations](index=35&type=section&id=Results%20of%20Operations) For Q3 FY24, net income surged **187.1%** to **$16.7 million**, primarily due to a **$19.0 million (31.8%) decrease** in the provision for credit losses, despite a **6.0%** fall in total revenues, with net charge-offs improving significantly - Gross loans outstanding decreased **9.9%** YoY to **$1.40 billion** as of December 31, 2023, but the company eased underwriting standards, resulting in a **2.4% increase** in unique borrowers during the quarter[125](index=125&type=chunk) | Metric (Q3 FY24 vs Q3 FY23) | Q3 FY2024 | Q3 FY2023 | Change | | :--- | :--- | :--- | :--- | | Net Income | $16.7M | $5.8M | +187.1% | | Total Revenues | $137.7M | $146.5M | -6.0% | | Provision for Credit Losses | $40.6M | $59.6M | -31.8% | | Net Charge-offs (annualized %) | 19.1% | 25.1% | -6.0 p.p. | - For the nine months ended Dec 31, 2023, net income increased to **$42.3 million** from a **$3.4 million loss** in the prior year, driven by an **$86.4 million (40.3%) decrease** in the provision for credit losses[143](index=143&type=chunk)[147](index=147&type=chunk) [Regulatory Matters](index=40&type=section&id=Regulatory%20Matters) The company is monitoring a CFPB rule on payment requirements, currently under U.S. Supreme Court review, and expects a supervisory review soon after the CFPB asserted its "dormant authority" over the company - A CFPB rule imposing payment requirements on certain loans was vacated by the Fifth Circuit, but the decision is currently under review by the U.S. Supreme Court, creating uncertainty about its future implementation[156](index=156&type=chunk) - The CFPB has asserted its supervisory authority over the company using its "dormant authority" to examine nonbank entities that pose risks to consumers, and the company expects a supervisory review soon[158](index=158&type=chunk) [Liquidity and Capital Resources](index=40&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains liquidity through cash from operations and its revolving credit facility, with **$274.4 million** available as of December 31, 2023, an improved debt-to-equity ratio of **1.4:1.0**, and ongoing share repurchase programs - Primary sources of liquidity are cash flows from operations (**$182.0 million** for the nine months ended Dec 31, 2023) and borrowings from institutional lenders[160](index=160&type=chunk) - As of December 31, 2023, the company had **$274.4 million** of unused availability under its revolving credit facility, and its debt-to-equity ratio was **1.4:1.0**[169](index=169&type=chunk)[174](index=174&type=chunk) - The Board of Directors authorized a **$20.0 million** share repurchase program in November 2023, with **$2.8 million** remaining under this authorization and approximately **$33.2 million** permitted under debt covenants as of December 31, 2023[176](index=176&type=chunk)[177](index=177&type=chunk) [Item 3. Quantitative and Qualitative Disclosures about Market Risk](index=44&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) The company's primary market risk is interest rate fluctuations on its variable-rate revolving credit facility, where a **1.0%** change would alter annual interest expense by approximately **$3.1 million** - The company's main market risk is interest rate risk, where a **1.0%** change in interest rates would cause an annual change in interest expense of approximately **$3.1 million** on its revolving credit facility balance as of December 31, 2023[189](index=189&type=chunk) [Item 4. Controls and Procedures](index=44&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, concluded that the company's disclosure controls and procedures were effective as of December 31, 2023, with no material changes to internal control over financial reporting during the quarter - The CEO and CFO concluded that the company's disclosure controls and procedures are effective to provide reasonable assurance of timely and accurate reporting[191](index=191&type=chunk) - No changes occurred during the quarter that have materially affected, or are reasonably likely to materially affect, the company's internal control over financial reporting[190](index=190&type=chunk) [PART II - OTHER INFORMATION](index=45&type=section&id=PART%20II%20-%20OTHER%20INFORMATION) This section covers legal proceedings, risk factors, and details on unregistered sales of equity securities and use of proceeds [Item 1. Legal Proceedings](index=45&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various litigation matters arising from normal business operations, and while estimating potential losses is difficult, an adverse outcome could materially affect its financial condition - The company is subject to litigation in the normal course of business, and while it cannot easily estimate losses, an adverse outcome could have a material adverse effect on financial results[116](index=116&type=chunk)[117](index=117&type=chunk) [Item 1A. Risk Factors](index=45&type=section&id=Item%201A.%20Risk%20Factors) No material changes to the risk factors previously disclosed in the company's Annual Report on Form 10-K for the fiscal year ended March 31, 2023, were reported - No material changes to the company's risk factors were reported for the quarter[195](index=195&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=45&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During Q3 FY24, the company repurchased **148,765** shares of common stock at an average price of **$115.42** per share, totaling approximately **$17.2 million**, with **$2.8 million** remaining available for repurchase | Period | Total Shares Purchased | Average Price Paid ($) | Total Cost ($) | | :--- | :--- | :--- | :--- | | Oct 2023 | 0 | — | 0 | | Nov 2023 | 64,062 | 110.18 | 7,058,424 | | Dec 2023 | 84,703 | 119.38 | 10,112,101 | | **Total for Quarter** | **148,765** | **115.42** | **17,170,525** | - As of December 31, 2023, the company had **$2.8 million** remaining in its share repurchase authorization[196](index=196&type=chunk)[197](index=197&type=chunk)