OppFi (OPFI) - 2024 Q2 - Quarterly Report

Earnings Per Share (EPS) - Basic and diluted earnings per share (EPS) of $0.16 and$0.16, respectively, for the three months ended June 30, 2024[101] - Adjusted earnings per share (Adjusted EPS) of $0.29 for the three months ended June 30, 2024, an increase of$0.10 from $0.19 for the three months ended June 30, 2023[101] - Basic earnings per share increased to$0.44 for Q2 2024, up from $0.16 in Q2 2023[132] - Adjusted EPS for Q2 2024 was$0.29, up from $0.19 in Q2 2023, driven by higher adjusted net income[158] Net Income - Net income of$27.7 million for the three months ended June 30, 2024, an increase of $9.6 million from$18.1 million for the three months ended June 30, 2023[101] - Adjusted net income (Adjusted Net Income) of $24.8 million for the three months ended June 30, 2024, an increase of$8.9 million from $15.9 million for the three months ended June 30, 2023[101] - Net income increased by$9.6 million to $27.7 million for the three months ended June 30, 2024, from$18.1 million in 2023[129] - Net income attributable to OppFi Inc. increased to $3.1 million for Q2 2024, up from$2.1 million in Q2 2023[130] - Net income attributable to OppFi Inc. surged by 259.5% to $8.6 million for the six months ended June 30, 2024, from$2.4 million in the same period in 2023[134] - Net income for the three months ended June 30, 2024 increased by $9.6 million (53.1$15.8 million (71.8%) compared to the same period in 2023[155] - Net income for Q2 2024 increased to $27.7 million, compared to$18.1 million in Q2 2023[158] - Adjusted net income for H1 2024 was $33.6 million, up from$19.7 million in H1 2023[160] - Adjusted net income for the six months ended June 30, 2024 increased by $13.8 million (70.2$126.3 million from $122.5 million for the three months ended June 30, 2024 and 2023, respectively[101] - Total revenue increased by$3.8 million, or 3.1%, to $126.3 million for the three months ended June 30, 2024, from$122.5 million in 2023[119] - Total revenue for the six months ended June 30, 2024, increased by 4.4% to $253.6 million compared to$242.9 million in the same period in 2023[135] - Net revenue increased by $11.7 million, or 15.7$86.3 million for the three months ended June 30, 2024, from $74.6 million in 2023[124] - Net revenue rose by 13.5$149.5 million for the six months ended June 30, 2024, from $131.8 million in the same period in 2023[139] Originations and Receivables - Net originations increased 2.4$205.5 million from $200.6 million for the three months ended June 30, 2024 and 2023, respectively[101] - Ending receivables decreased 2.7$387.1 million from $397.8 million as of June 30, 2024 and 2023, respectively[101] - Total net originations by bank partners increased to 100.0$32.8 million (7.1%) as of June 30, 2024 compared to December 31, 2023[148] Credit and Charge-offs - Net charge-offs as a percentage of total revenue decreased to 32.5% for the three months ended June 30, 2024, from 36.2% in 2023, a decrease of 10.2%[115] - Net charge-offs as a percentage of average receivables decreased to 43.8% for the three months ended June 30, 2024, from 46.6% in 2023, a decrease of 6.0%[115] - Provision for credit losses on finance receivables decreased by 99.2% to $30.8 thousand for the six months ended June 30, 2024, from$3.9 million in the same period in 2023[138] Operational Performance - Income from operations increased by $11.2 million to$29.5 million for the three months ended June 30, 2024, from $18.3 million in 2023[127] - Income from operations increased by 57.6$34.8 million for the six months ended June 30, 2024, compared to $22.1 million in the same period in 2023[142] - Income before income taxes increased by$9.8 million, or 52.4%, to $28.6 million for the three months ended June 30, 2024, from$18.8 million in 2023[128] - Income before income taxes rose by 71.3% to $39.1 million for the six months ended June 30, 2024, from$22.8 million in the same period in 2023[144] - Adjusted EBT for the three months ended June 30, 2024 increased by $11.5 million (55.0$17.9 million (68.8%) compared to the same period in 2023[155] Cash and Liquidity - Total cash and restricted cash increased by $6.9 million (9.3$46.6 million, a $14.8 million increase from December 31, 2023[161] - Undrawn debt capacity reached$223.2 million as of June 30, 2024, representing a 43% overall undrawn capacity[161] - Total funding capacity as of June 30, 2024, was approximately $605.8 million, including cash and financing commitments[161] - Net cash provided by operating activities for H1 2024 was$151.7 million, a 9.5% increase from H1 2023[163] - Net cash used in investing activities for H1 2024 decreased by 25.1% to $77.3 million compared to H1 2023[163] - Net cash used in financing activities for H1 2024 increased by 194.4$67.5 million compared to H1 2023[163] Debt and Liabilities - Total debt decreased by $32.3 million (9.7$4.2 million (61.1%) as of June 30, 2024 compared to December 31, 2023[149] - Change in fair value of warrant liabilities totaled $4.2 million for the six months ended June 30, 2024, compared to$0.5 million in the same period in 2023[143] - Total revolving lines of credit amount to $475,000, with$262,100 utilized as of June 30, 2024[170] - Opportunity Funding SPE V, LLC (Tranche B) has a borrowing capacity of $125,000, with$62,500 utilized as of June 30, 2024[170] - Opportunity Funding SPE V, LLC (Tranche C) has a borrowing capacity of $125,000, with$62,500 utilized as of June 30, 2024[170] - Opportunity Funding SPE IX, LLC (Castlelake) has a borrowing capacity of $150,000, with$85,871 utilized as of June 30, 2024[170] - Gray Rock SPV LLC has a borrowing capacity of $75,000, with$51,229 utilized as of June 30, 2024[170] - All LIBOR-based credit facilities have been transitioned to SOFR as of June 30, 2024[171] - The transition from LIBOR to SOFR did not materially affect the company's liquidity or financial terms of credit facilities[171] Expenses - Expenses increased by 4.6% to $114.7 million for the six months ended June 30, 2024, compared to$109.7 million in the same period in 2023[141] Share Repurchase - The company repurchased 769,715 shares of Class A Common Stock for an aggregate purchase price of $2.5 million at an average purchase price per share of$3.27[102] Yield and Approval Rates - Average yield increased to 134.8% for the three months ended June 30, 2024 from 128.8% for the three months ended June 30, 2023[113] - Auto-approval rate increased to 75.8% for the three months ended June 30, 2024, from 72.1% in 2023, an increase of 5.1%[116] Shares Outstanding - Weighted average diluted shares outstanding for Q2 2024 were 86.3 million, compared to 84.8 million in Q2 2023[158]