First Cash Financial Services, Inc. (FCFS) reported Tuesday an increase in first-quarter net income. On a continuing operations basis, earnings beat analysts' estimates by a penny. The company also reaffirmed its fiscal 2009 earnings guidance.
The Arlington, Texas-based company's quarterly net income surged to $11.24 million or $0.38 per share from $6.69 million or $0.22 per share in the previous year.
Income from continuing operations was $9.57 million or $0.32 per share, compared to $9.86 million or $0.31 per share a year ago. On average, seven analysts polled by Thomson Reuters expected the company to report earnings of $0.31 per share for the quarter. Analysts' estimates typically exclude special items.
Earnings per share from discontinued operations were $0.06 for the quarter, as a result of strong cash collections of Auto Master customer receivables held by the company as a discontinued asset.
After-tax net income from the discontinued Auto Master operation was $2.3 million, or $0.08 per share. The Company discontinued its Auto Master buy-here/pay-here automotive operation in the third quarter of 2008 and subsequently sold the inventory and retail operations to a third party.
Revenues for the quarter increased to $82.7 million from $77.23 million in the earlier year. Four analysts had a consensus revenue estimate of $82.87 million for the quarter.
Pawn merchandise sales revenues grew to $49.63 million from $44 million in the prior year. Finance and service fees were $32.12 million compared to $32.2 million in the preceding year.
First Cash said its consolidated revenues for the quarter increased by 14% on a constant currency basis. Same-store sales increased by 7% in the U.S. and Mexico pawn stores on a constant currency basis.
Looking ahead, the company continues to expect its 2009 earnings from continuing operations in the range of $1.36 to $1.38 per share, an 8% to 10% growth rate over 2008. Analysts currently expect earnings of $1.37 per share for the year.
FCFS closed Monday's regular trading at $17.63 on the Nasdaq.
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