Enova(US:ENVA)2026-01-27 21:16Financial Performance - Originations increased by 32% and total company revenue rose by 15% year-over-year, reaching $839 million in Q4 2025 compared to $730 million in Q4 2024[6]. - Diluted earnings per share were $3.00, a 30% increase from $2.30 in Q4 2024, while adjusted earnings per share rose by 33% to $3.46 from $2.61[6]. - Full year 2025 total revenue was $3.2 billion, a 19% increase from $2.7 billion in 2024, with net income rising by 47% to $308 million[11]. - For the fourth quarter of 2025, the company reported a net income of $78.981 million, compared to $63.695 million in the same quarter of 2024, representing a year-over-year increase of 24.5%[31]. - Adjusted EBITDA for Q4 2025 was $211 million, a 21% increase from $174 million in Q4 2024[7]. - Adjusted EBITDA for the fourth quarter of 2025 was $210.798 million, up from $173.689 million in the fourth quarter of 2024, reflecting a growth of 21.4%[31]. - Total revenue for the year ended December 31, 2025, was $3.151653 billion, compared to $2.6578 billion in 2024, marking a growth of 18.5%[31]. Credit Quality - The net revenue margin improved to 60% in Q4 2025, up from 57% in Q4 2024, reflecting strong credit performance[7]. - The company reported a net charge-off ratio of 8.3% and a 30+ day delinquency ratio improved to 6.7%, indicating a stable credit outlook[6]. - The company reported a net revenue margin of 59.5% for the three months ended December 31, 2025, compared to 56.3% in the same period of 2024, indicating an improvement of 3.2 percentage points[28]. - Charge-offs (net of recoveries) increased to $392,075 thousand in 2025 from $342,183 thousand in 2024, reflecting a rise of 14.6%[28]. Assets and Liquidity - Total company combined loans and finance receivables reached a record $4.9 billion, marking a 23% increase from the end of Q4 2024[7]. - Liquidity, including cash and marketable securities, totaled $1.1 billion as of December 31, 2025[6]. - Total assets increased to $6,468,432 thousand in 2025 from $5,266,131 thousand in 2024, representing a growth of 22.8%[22]. - The ending combined loan and finance receivable fair value balance was $5,497,692 thousand in 2025, up from $4,414,858 thousand in 2024, showing an increase of 24.5%[28]. - The average combined loan and finance receivable balance increased to $4,706,155 thousand in 2025 from $3,864,204 thousand in 2024, a rise of 21.8%[28]. Expenses and Costs - Marketing expenses for the year ended December 31, 2025, were $621,077 thousand, up from $523,569 thousand in 2024, representing an increase of 18.7%[24]. - Interest expense for the year ended December 31, 2025, was $339.305 million, up from $290.442 million in 2024, reflecting an increase of 16.8%[31]. - The provision for income taxes for the year ended December 31, 2025, was $92.645 million, compared to $61.653 million in 2024, indicating a rise of 50.2%[31]. - Stock-based compensation expense for the year ended December 31, 2025, was $33.096 million, up from $31.816 million in 2024, showing an increase of 4.0%[31]. - Other nonoperating expenses for the year ended December 31, 2025, included $1.0 million related to early extinguishment of debt, compared to $5.7 million in 2024[32]. Acquisition - Enova announced the acquisition of Grasshopper Bancorp, expected to close in the second half of 2026, enhancing its digital banking capabilities[3]. - The company incurred $6.566 million in transaction-related costs for the acquisition of Grasshopper Bancorp, Inc. in Q4 2025[31]. - An equity method investment loss of $16.6 million was recorded in Q3 2024 due to the write-down of the investment in Linear[32].