Consumer credit services provider Ezcorp, Inc. (EZPW) reported Thursday a profit for the first quarter that increased 43 percent from last year, reflecting double digit revenue growth, margin expansion, and expense controls. Both earnings per share and quarterly revenues missed analysts' expectations. The company also affirmed its earnings guidance for the full-year 2012.
"Our performance was in line with our expectations as we made planned investments in talent and technology to support our long term growth strategy. We also experienced some headwinds as U.S. holiday sales were soft; gold prices declined inside the quarter; and we were negatively impacted by currency exchange rates in Mexico," President and CEO Paul Rothamel said in a statement.
The Austin, Texas-based company reported net income of $39.35 million or $0.78 per share for the first quarter, higher than $27.43 million or $0.55 per share in the prior-year quarter.
Excluding charges related to the retirement of the company's former CEO of $7.11 million, net income for the year-ago quarter was $34.54 million or $0.69 per share.
On average, nine analysts polled by Thomson Reuters expected the company to report earnings of $0.81 per share for the first quarter. Analysts' estimates typically exclude special items.
Total revenues for the quarter rose 14 percent to $248.87 million from $218.83 million in the same quarter last year, but missed six Wall Street analysts' consensus estimate of $249.07 million by a whisker.
On a segmental basis, Empeno Facil revenues for the quarter grew 56 percent to $19.42 million from a year ago, and revenue from U.S. Pawn operations increased 15 percent to $184.48 million from last year. EZMONEY operations revenue edged down a percent to $44.97 million from the previous year.
Merchandise sales grew 20.9 percent to $86.89 million, jewelry scrapping sales improved 11.3 percent to $56.40 million, and pawn service charges rose 20 percent to $59.79 million from a year ago. Meanwhile, signature loan fees declined 1.1 percent to $39.62 million, and auto title loan fees decreased 12.4 percent to $5.57 million from the previous year.
Gross margin for the quarter improved 150 basis points to 41.5 percent from the year-ago quarter.
Looking ahead to fiscal 2012, the company continues to anticipate earnings in a range of $3.05 to $3.10 per share. Analysts currently expect full-year 2012 earnings of $3.05 per share.
"With our ongoing domestic and international investments, we believe our company is well positioned for both short and long term growth. Through our existing channels, as well as our newest channels, we are excited to be bringing our suite of retail and financial services to an ever widening audience," Rothamel added.
EZPW closed Thursday's regular trading session at $27.16, up $0.36 or 1.34% on a volume of 0.61 million shares. However, the stock lost $0.78 or 2.87% in after hours trading.
For comments and feedback contact: editorial@rttnews.com
Business News
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.