World Acceptance (WRLD) - 2025 Q3 - Quarterly Results

Financial Performance - Total revenues for the third quarter of fiscal 2025 increased to $138.6 million, a 0.6% increase from $137.7 million for the same quarter of the prior year[7] - Net income for the third quarter of fiscal 2025 decreased to $13.4 million compared to $16.7 million for the same quarter of the prior year, with diluted net income per share decreasing to $2.45 from $2.84[6] - Net income for the nine months ended December 31, 2024, increased by $3.2 million to $45.5 million, resulting in a net income of $8.23 per diluted share, compared to $7.17 per diluted share in the prior-year period[21] - Total revenues for the first nine months of fiscal 2025 decreased by 3.5% to $399.6 million, down from $413.9 million during the same period of the previous year due to a decrease in loans outstanding[21] Loan and Credit Metrics - Gross loans outstanding were $1.38 billion as of December 31, 2024, a 1.4% decrease from $1.40 billion as of December 31, 2023, but increased sequentially by 6.6% from $1.30 billion as of September 30, 2024[3] - The provision for credit losses increased by $3.5 million to $44.1 million compared to $40.6 million in the third quarter of fiscal 2024[8] - Annualized net charge-offs as a percent of average net loans decreased from 17.4% during the first nine months of fiscal 2024 to 17.1% for the first nine months of fiscal 2025[21] - Net charge-offs for the quarter decreased by $6.0 million to $42.4 million, with net charge-offs as a percentage of average net loan receivables decreasing to 17.2% from 19.1%[11] - Provision for credit losses increased to $136.19 million for the nine months ended December 31, 2024, compared to $127.70 million in the previous year[30] Income and Expenses - Interest and fee income increased by 3.1% to $122.4 million in the third quarter of fiscal 2025 from $118.7 million in the same quarter of fiscal 2024[7] - Total expenses for the nine months ended December 31, 2024, were $342.70 million, down from $361.15 million in the prior year[30] Customer and Branch Metrics - The customer base increased by 3.7% during the twelve-month period ended December 31, 2024, compared to a decrease of 2.4% for the comparable period ended December 31, 2023[4] - The company opened or acquired a net of 10 branches during the nine months ended December 31, 2024, bringing the total branches open at period end to 1,035[35] Ratios and Returns - The debt to equity ratio decreased to 1.3:1 at December 31, 2024, compared to 1.4:1 at December 31, 2023[18] - Return on average assets for the trailing 12 months was 7.5%, up from 6.0% in the previous year[35] - Return on average equity for the trailing 12 months was 19.2%, compared to 17.3% in the prior year[35] Stock Activity - The company repurchased 9,465 shares of its common stock at an aggregate purchase price of approximately $1.0 million during the third quarter of fiscal 2025[20] Delinquency Metrics - Recency delinquency on accounts 90+ days past due improved to 3.4% at December 31, 2024, from 3.7% at December 31, 2023[5] - Interest and fee income for the three months ended December 31, 2024, was $122.39 million, compared to $118.67 million for the same period in 2023[30]