Regional Managment ( (RM) ) has released its Q3 earnings. Here is a breakdown of the information Regional Managment presented to its investors.
Regional Management Corp. is a diversified consumer finance company that offers installment loan products primarily to customers with limited access to traditional credit. The company operates in 19 states across the United States under the name ‘Regional Finance.’
Regional Management Corp. reported its third-quarter 2024 earnings with a net income of $7.7 million and diluted earnings per share of $0.76. Despite the challenges posed by hurricane events during the quarter, the company achieved record revenue levels and continued to grow its portfolio.
The company experienced a sequential portfolio growth of $46 million, contributing to a record quarterly revenue of $146 million. This growth was supported by an increase in both large and small loan net finance receivables. The net credit loss rate improved to 10.6%, and the 30+ day contractual delinquency rate also showed a positive trend, both being 40 basis points better than the previous year. Regional Management maintained expense discipline with a slight increase in operating expenses by only 0.6% from the prior year.
Looking ahead, Regional Management Corp. remains focused on managing its portfolio growth, improving credit quality, and maintaining a strong financial position. The company plans to continue evaluating economic and competitive conditions to optimize its portfolio and achieve strong margins while balancing credit outcomes and customer needs.
