International Money Express(US:IMXI)2024-05-08 21:05Financial Performance - Total revenues for Q1 2024 were $150,412, an increase of 3.6% compared to $145,364 in Q1 2023[18] - Net income for Q1 2024 was $12,106, representing a 2.9% increase from $11,762 in Q1 2023[18] - Operating income for Q1 2024 was $19,586, up from $18,839 in Q1 2023, reflecting a growth of 4.0%[18] - The company reported a basic earnings per share of $0.36 for Q1 2024, compared to $0.32 for Q1 2023, an increase of 12.5%[18] - Net income for the three months ended March 31, 2024, was $12,106,000, an increase of 2.9% compared to $11,762,000 in the same period of 2023[88] - Basic earnings per share increased to $0.36 for Q1 2024, up from $0.32 in Q1 2023, representing a growth of 12.5%[88] - Adjusted net income for Q1 2024 was $14.7 million, up $0.5 million or 3.5% from $14.2 million in Q1 2023[154] - Adjusted EBITDA for Q1 2024 was $25.4 million, representing an increase of $1.3 million or 5.5% from $24.1 million in Q1 2023[162] Cash Flow and Liquidity - Cash flows from operating activities for Q1 2024 were $48,236, significantly higher than $1,158 in Q1 2023[20] - Cash and cash equivalents decreased to $218,795 as of March 31, 2024, down from $239,203 at the end of 2023, a decline of 8.5%[20] - Net cash provided by operating activities was $48.2 million for the three months ended March 31, 2024, an increase of $47.0 million from $1.2 million for the same period in 2023[185] - Net cash used in investing activities was $13.5 million for the three months ended March 31, 2024, an increase of $11.4 million from $2.1 million for the same period in 2023[186] - Net cash used in financing activities was $55.1 million for the three months ended March 31, 2024, primarily consisting of $28.5 million of net repayments of the revolving credit facility and $23.4 million used for repurchases of common stock[187] Assets and Liabilities - Total assets decreased to $548,702 as of March 31, 2024, down from $576,812 at the end of 2023, a reduction of 4.9%[17] - Total current liabilities increased to $238,618 as of March 31, 2024, compared to $223,373 at the end of 2023, an increase of 6.8%[17] - The net accounts receivable as of March 31, 2024, was $149,054,000, a decrease from $155,237,000 as of December 31, 2023, indicating a decline of 3.99%[40] - The total debt decreased from $189,469,000 as of December 31, 2023, to $159,328,000 as of March 31, 2024[57] - The balance of accrued and other liabilities decreased from $54,661,000 on December 31, 2023, to $53,477,000 on March 31, 2024[56] Expenses - Operating expenses totaled $130.8 million for the three months ended March 31, 2024, up from $126.5 million in the same period of 2023, representing an increase of 3.0%[129] - Salaries and benefits increased by $1.9 million, or 11.7%, to $18.1 million for the three months ended March 31, 2024, mainly due to an expanded workforce from the LAN Holdings acquisition[135] - Depreciation and amortization for Q1 2024 was $3.2 million, an increase of $0.3 million or 10.3% from $2.9 million in Q1 2023[139] - Interest expense for Q1 2024 rose to $2.7 million, up $0.5 million or 22.7% from $2.2 million in Q1 2023, primarily due to higher market interest rates[140] Share Repurchase and Stock Options - The company repurchased $23,423 worth of common stock in Q1 2024, compared to $7,584 in Q1 2023, indicating an increase in stock buybacks[20] - The Company purchased 1,124,476 shares for an aggregate price of $23.4 million during Q1 2024, compared to 316,459 shares for $7.6 million in Q1 2023[85] - As of March 31, 2024, there was $50.7 million available for future share repurchases under the Repurchase Program[85] - The Company recognized stock option compensation expense of approximately $44.4 thousand for Q1 2024, compared to $139.9 thousand for Q1 2023[72] - The aggregate intrinsic value of stock options exercised during Q1 2024 was approximately $2.4 million[73] Acquisitions and Goodwill - The company completed the acquisition of LAN Holdings, Corp. for a total consideration of $13.4 million, which included $10.3 million in cash[32] - The goodwill recognized from the LAN Acquisition increased to $5,536,000 after measurement period adjustments[34] - Goodwill remained unchanged at $53,986,000 from December 31, 2023, to March 31, 2024, while intangible assets decreased from $18,143,000 to $17,130,000[48] Regulatory and Future Plans - The company plans to implement a Restructuring Plan in Q2 2024, expecting to incur approximately $2.4 million in restructuring costs[103] - The anticipated reduction in expenses from the Restructuring Plan is expected to be approximately $2.0 million annually, primarily realized in 2025[106] - The company expects ongoing regulatory requirements to lead to changes in business practices and potentially increased costs in the future[110] Foreign Exchange and Transactions - Wire transfer and money order fees for Q1 2024 were $127,484,000, compared to $125,007,000 in Q1 2023, reflecting an increase of 1.98%[36] - Principal amount sent through the company's services increased by approximately 2.6% to $5.5 billion for the three months ended March 31, 2024, compared to the same period in 2023[102] - Total remittances processed rose by approximately 4.8% to approximately 13.5 million transactions in Q1 2024, compared to the same period in 2023[102] - Foreign exchange gain, net, increased by $1.1 million, or 5.7%, to $20.3 million for the three months ended March 31, 2024, attributed to higher transaction volume and a higher foreign exchange spread[132]