MEDALLION BANK F(MBNKP) - 2025 Q1 - Quarterly Results

Financial & Operational Highlights Q1 2025 Performance Summary Medallion Financial reported strong Q1 2025 results, with net income increasing 20% to $12.0 million, driven by higher net interest income and loan originations Q1 2025 Key Financial Metrics (vs. Q1 2024) | Metric | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | Net Income | $12.0 million | $10.0 million | +20% | | Diluted EPS | $0.50 | $0.42 | +19% | | Net Interest Income | $51.4 million | $47.9 million | +7% | | Loan Originations | $281.6 million | $173.1 million | +63% | | Total Loans | $2.5 billion | $2.2 billion | +12% | | Provision for Credit Losses | $22.0 million | $17.2 million | +28% | - The company has successfully transitioned from its legacy taxi medallion lending business, with strong performance from its consumer lending and commercial division, Medallion Capital[3] - Strategic partnership loan volume was a key growth driver, increasing to $136 million in Q1 2025 from just $16 million in Q1 2024[4] - Delinquencies in both consumer loan portfolios (Recreation and Home Improvement) improved compared to the previous quarter[4] Business Segment Performance Recreation and Home Improvement loan portfolios grew, while the taxi medallion segment continued its planned reduction, now under 0.5% of total assets Recreation Lending Segment (Q1 2025) | Metric | Value | YoY Comparison | | :--- | :--- | :--- | | Originations | $86.8 million | vs. $105.8 million | | Total Loans | $1.5 billion | +13% | | Interest Income | $50.5 million | +15% | | Average Interest Rate | 15.01% | vs. 14.80% | | 90+ Days Past Due | 0.48% of gross loans | Unchanged | Home Improvement Lending Segment (Q1 2025) | Metric | Value | YoY Comparison | | :--- | :--- | :--- | | Originations | $48.8 million | vs. $51.6 million | | Total Loans | $812.4 million | +8% | | Interest Income | $19.8 million | +13% | | Average Interest Rate | 9.83% | vs. 9.60% | | 90+ Days Past Due | 0.19% of gross loans | vs. 0.18% | - Commercial loans increased to $116.1 million from $106.6 million a year ago, with an average interest rate of 13.14%[10] - The taxi medallion business continues to be wound down, with net assets declining 37% YoY to $6.8 million, representing less than 0.5% of the Company's total assets[10] Capital Allocation The company demonstrated commitment to shareholder returns by increasing its quarterly dividend and repurchasing common stock - The Board of Directors increased the quarterly cash dividend to $0.12 per share, payable on May 30, 2025[5][8] - In Q1 2025, the Company repurchased 60,185 shares of common stock for $0.5 million, at an average price of $8.83 per share[10] - As of March 31, 2025, $14.9 million remained available under the company's $40 million stock repurchase program[10] Financial Statements Consolidated Balance Sheets As of March 31, 2025, total assets were $2.85 billion, with net loans receivable and total equity increasing year-over-year Balance Sheet Highlights | Account | March 31, 2025 ($ thousands) | December 31, 2024 ($ thousands) | March 31, 2024 ($ thousands) | | :--- | :--- | :--- | :--- | | Total Assets | $2,847,738 | $2,868,606 | $2,602,388 | | Net Loans Receivable | $2,261,334 | $2,265,428 | $2,144,599 | | Total Liabilities | $2,398,726 | $2,429,648 | $2,200,938 | | Total Equity | $449,012 | $438,958 | $417,824 | | Book Value Per Share | $16.36 | $16.00 | $14.93 | Consolidated Statements of Operations For Q1 2025, net interest income grew 7% YoY to $51.4 million, and net income rose 20% to $12.0 million, boosted by other income Statement of Operations Highlights | Account | Q1 2025 ($ thousands) | Q1 2024 ($ thousands) | | :--- | :--- | :--- | | Net Interest Income | $51,412 | $47,917 | | Provision for Credit Losses | $22,014 | $17,201 | | Total Other Income, net | $11,599 | $5,403 | | Total Other Expenses | $20,758 | $18,225 | | Net Income Attributable to MFIN | $12,014 | $10,024 | | Diluted Net Income Per Share | $0.50 | $0.42 | Corporate Information Conference Call Information The company will host a conference call and webcast on May 1, 2025, at 9:00 a.m. ET to discuss Q1 financial results Conference Call Details | Item | Detail | | :--- | :--- | | Date | Thursday, May 1, 2025 | | Time | 9:00 a.m. Eastern time | | U.S. Dial-in | (833) 816-1412 | | International Dial-in | (412) 317-0504 | | Webcast | Link available on company's IR website |