Ezcorp Inc 10-Q for FY2026 Q3
Ezcorp Inc (EZPW)
10-Q
2026-08-05
For: 2026-06-30
View Original
Added on
August 06, 2026
About this 10-Q
Ezcorp Inc filed this 10-Q on August 5, 2026, covering the quarter ended June 30, 2026 (FY2026 Q3).
Headline figures
Quarter ended June 30, 2026, as reported in this filing, compared with the same period a year earlier where the filing states it.
- Revenue
- $418.75M
- up 34.7% from $310.98M a year earlier
- Net income
- $38.2M
- up 44.1% from net income of $26.5M a year earlier
- Diluted EPS
- $0.48
- up 41.2% from $0.34 a year earlier
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 10-Q
| QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | |||||
For the quarterly period ended June 30, 2026 or
| TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | |||||
For the transition period from to
Commission File No. 0-19424
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) | ||||||||||||||||
| (Address of principal executive offices) | (Zip Code) | ||||||||||||||||
Registrant’s telephone number, including area code: (512 ) 314-3400
Securities registered pursuant to Section 12(b) of the Act
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||||||||
| (NASDAQ Global Select Market) | ||||||||||||||
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See definition of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.
| Large accelerated filer | ☐ | ☒ | |||||||||
| Non-accelerated filer | ☐ | Smaller reporting company | |||||||||
| Emerging growth company | |||||||||||
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes☐ No ☒
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes
The only class of voting securities of the registrant issued and outstanding is the Class B Voting Common Stock, par value $.01 per share, all of which is owned by an affiliate of the registrant. There is no trading market for the Class B Voting Common Stock.
As of July 30, 2026, 58,473,206 shares of the registrant’s Class A Non-voting Common Stock (“Class A Common Stock”), par value $.01 per share, and 2,970,171 shares of the registrant’s Class B Voting Common Stock, par value $.01 per share, were outstanding.
EZCORP, Inc.
INDEX TO FORM 10-Q
PART I — FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
EZCORP, Inc.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
| (in thousands, except per share amount) | June 30, 2026 | June 30, 2025 | September 30, 2025 | |||||||||||||||||
| Assets: | ||||||||||||||||||||
| Current assets: | ||||||||||||||||||||
| Cash and cash equivalents | $ | $ | $ | |||||||||||||||||
| Short-term restricted cash | ||||||||||||||||||||
| Pawn loans | ||||||||||||||||||||
| Pawn service charges receivable, net | ||||||||||||||||||||
Inventory, net | ||||||||||||||||||||
| Prepaid expenses and other current assets | ||||||||||||||||||||
| Total current assets | ||||||||||||||||||||
| Investments in unconsolidated affiliates | ||||||||||||||||||||
| Other investments | ||||||||||||||||||||
| Property and equipment, net | ||||||||||||||||||||
| Right-of-use assets | ||||||||||||||||||||
| Long-term restricted cash | ||||||||||||||||||||
| Goodwill | ||||||||||||||||||||
| Intangible assets, net | ||||||||||||||||||||
| Deferred tax asset, net | ||||||||||||||||||||
| Other assets, net | ||||||||||||||||||||
| Total assets | $ | $ | $ | |||||||||||||||||
| Liabilities and equity: | ||||||||||||||||||||
| Current liabilities: | ||||||||||||||||||||
| Accounts payable, accrued expenses and other current liabilities | $ | $ | $ | |||||||||||||||||
| Customer layaway deposits | ||||||||||||||||||||
| Operating lease liabilities, current | ||||||||||||||||||||
| Total current liabilities | ||||||||||||||||||||
| Long-term debt, net | ||||||||||||||||||||
| Deferred tax liability, net | ||||||||||||||||||||
| Operating lease liabilities | ||||||||||||||||||||
| Other long-term liabilities | ||||||||||||||||||||
| Total liabilities | ||||||||||||||||||||
| Commitments and contingencies (Note 10) | ||||||||||||||||||||
| Stockholders’ equity: | ||||||||||||||||||||
Class A Non-Voting Common Stock, par value $ | ||||||||||||||||||||
Class B Voting Common Stock, convertible, par value $ | ||||||||||||||||||||
| Additional paid-in capital | ||||||||||||||||||||
| Retained earnings | ||||||||||||||||||||
| Accumulated other comprehensive loss | ( | ( | ( | |||||||||||||||||
| Total EZCORP equity | ||||||||||||||||||||
| Non-controlling interest | ||||||||||||||||||||
| Total equity | ||||||||||||||||||||
| Total liabilities and equity | $ | $ | $ | |||||||||||||||||
See accompanying notes to unaudited condensed consolidated financial statements.
1
EZCORP, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
| Three Months Ended June 30, | Nine Months Ended June 30, | |||||||||||||||||||||||||
| (in thousands, except per share amount) | 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||||
| Revenues: | ||||||||||||||||||||||||||
| Merchandise sales | $ | $ | $ | $ | ||||||||||||||||||||||
| Jewelry scrap sales | ||||||||||||||||||||||||||
| Pawn service charges | ||||||||||||||||||||||||||
| Other revenues | ||||||||||||||||||||||||||
| Total revenues | ||||||||||||||||||||||||||
| Merchandise cost of goods sold | ||||||||||||||||||||||||||
| Jewelry scrap cost of goods sold | ||||||||||||||||||||||||||
| Gross profit | ||||||||||||||||||||||||||
| Operating expenses: | ||||||||||||||||||||||||||
| Store expenses | ||||||||||||||||||||||||||
| General and administrative | ||||||||||||||||||||||||||
| Depreciation and amortization | ||||||||||||||||||||||||||
| Loss on sale or disposal of assets and other | ||||||||||||||||||||||||||
| Other operating income | ( | ( | ||||||||||||||||||||||||
| Total operating expenses | ||||||||||||||||||||||||||
| Operating income | ||||||||||||||||||||||||||
| Interest expense | ||||||||||||||||||||||||||
| Interest income | ( | ( | ( | ( | ||||||||||||||||||||||
| Equity in net income of unconsolidated affiliates | ( | ( | ( | ( | ||||||||||||||||||||||
| Other (income) expense | ( | ( | ( | |||||||||||||||||||||||
| Income before income taxes | ||||||||||||||||||||||||||
| Income tax expense | ||||||||||||||||||||||||||
| Consolidated net income | ||||||||||||||||||||||||||
| Consolidated net (income) attributable to non-controlling interest | ( | ( | ||||||||||||||||||||||||
| Consolidated net income attributable to EZCORP | $ | $ | $ | $ | ||||||||||||||||||||||
| Basic earnings per share attributable to EZCORP | $ | $ | $ | $ | ||||||||||||||||||||||
| Diluted earnings per share attributable to EZCORP | $ | $ | $ | $ | ||||||||||||||||||||||
| Weighted-average basic shares outstanding | ||||||||||||||||||||||||||
| Weighted-average diluted shares outstanding | ||||||||||||||||||||||||||
See accompanying notes to unaudited condensed consolidated financial statements.
2
EZCORP, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(Unaudited)
| Three Months Ended June 30, | Nine Months Ended June 30, | |||||||||||||||||||||||||
| (in thousands) | 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||||
| Consolidated net income | $ | $ | $ | $ | ||||||||||||||||||||||
| Other comprehensive income: | ||||||||||||||||||||||||||
Foreign currency translation adjustment, net of income tax (expense) for our investment in unconsolidated affiliate of $( | ||||||||||||||||||||||||||
| Consolidated comprehensive income | ||||||||||||||||||||||||||
| Consolidated comprehensive (income) attributable to non-controlling interest | ( | ( | ||||||||||||||||||||||||
| Comprehensive income attributable to EZCORP | $ | $ | $ | $ | ||||||||||||||||||||||
See accompanying notes to unaudited condensed consolidated financial statements.
3
EZCORP, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY
(Unaudited)
| Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Total EZCORP Equity | Non-Controlling Interest | Total Equity | ||||||||||||||||||||||||||||||||||||||||||||
| (in thousands) | Shares | Par Value | ||||||||||||||||||||||||||||||||||||||||||||||||
| Balances as of September 30, 2025 | $ | $ | $ | $ | ( | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||
| Stock compensation | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||
| Release of restricted stock, net of shares withheld for taxes | ( | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
| Taxes paid related to net share settlement of equity awards | — | — | ( | — | — | ( | — | ( | ||||||||||||||||||||||||||||||||||||||||||
| Foreign currency translation gain | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||
| Consolidated net income | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||
| Balances as of December 31, 2025 | $ | $ | $ | $ | ( | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||
| Stock compensation | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||
| Release of restricted stock, net of shares withheld for taxes | ( | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
| Taxes paid related to net share settlement of equity awards | — | — | ( | — | — | ( | — | ( | ||||||||||||||||||||||||||||||||||||||||||
| Foreign currency translation loss | — | — | — | — | ( | ( | — | ( | ||||||||||||||||||||||||||||||||||||||||||
| Purchase and retirement of treasury stock | ( | ( | ( | ( | — | ( | — | ( | ||||||||||||||||||||||||||||||||||||||||||
| Non-controlling interest in Founders net assets at acquisition | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||
| Consolidated net income | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
| Balances as of March 31, 2026 | $ | $ | $ | $ | ( | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||
| Stock compensation | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||
| Release of restricted stock, net of shares withheld for taxes | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||
| Foreign currency translation gain | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||
| Purchase and retirement of treasury stock | ( | ( | ( | ( | — | ( | — | ( | ||||||||||||||||||||||||||||||||||||||||||
| Purchase of non-controlling interest in Founders and SMG | — | — | ( | — | — | ( | ( | ( | ||||||||||||||||||||||||||||||||||||||||||
| Consolidated net income | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||
| Balances as of June 30, 2026 | $ | $ | $ | $ | ( | $ | $ | $ | ||||||||||||||||||||||||||||||||||||||||||
4
| Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Total Equity | ||||||||||||||||||||||||||||||||||
| (in thousands) | Shares | Par Value | ||||||||||||||||||||||||||||||||||||
| Balances as of September 30, 2024 | $ | $ | $ | $ | ( | $ | ||||||||||||||||||||||||||||||||
| Stock compensation | — | — | — | — | ||||||||||||||||||||||||||||||||||
| Release of restricted stock, net of shares withheld for taxes | ( | — | — | |||||||||||||||||||||||||||||||||||
| Taxes paid related to net share settlement of equity awards | — | — | ( | — | — | ( | ||||||||||||||||||||||||||||||||
| Foreign currency translation loss | — | — | — | — | ( | ( | ||||||||||||||||||||||||||||||||
| Purchase and retirement of treasury stock | ( | ( | ( | ( | — | ( | ||||||||||||||||||||||||||||||||
| Net income | — | — | — | — | ||||||||||||||||||||||||||||||||||
| Balances as of December 31, 2024 | $ | $ | $ | $ | ( | $ | ||||||||||||||||||||||||||||||||
| Stock compensation | — | — | — | — | ||||||||||||||||||||||||||||||||||
| Release of restricted stock, net of shares withheld for taxes | ( | — | — | |||||||||||||||||||||||||||||||||||
| Foreign currency translation gain | — | — | — | — | ||||||||||||||||||||||||||||||||||
| Purchase and retirement of treasury stock | ( | ( | ( | ( | — | ( | ||||||||||||||||||||||||||||||||
| Net income | — | — | — | — | ||||||||||||||||||||||||||||||||||
| Balances as of March 31, 2025 | $ | $ | $ | $ | ( | $ | ||||||||||||||||||||||||||||||||
| Stock compensation | — | — | — | — | ||||||||||||||||||||||||||||||||||
| Settlement of convertibles notes due 2025 | — | — | ||||||||||||||||||||||||||||||||||||
| Foreign currency translation gain | — | — | — | — | ||||||||||||||||||||||||||||||||||
| Purchase and retirement of treasury stock | ( | ( | ( | ( | — | ( | ||||||||||||||||||||||||||||||||
| Net income | — | — | — | — | ||||||||||||||||||||||||||||||||||
| Balances as of June 30, 2025 | $ | $ | $ | $ | ( | $ | ||||||||||||||||||||||||||||||||
See accompanying notes to unaudited condensed consolidated financial statements.
5
EZCORP, Inc.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
| Nine Months Ended June 30, | ||||||||||||||
| (in thousands) | 2026 | 2025 | ||||||||||||
| Operating activities: | ||||||||||||||
| Net income | $ | $ | ||||||||||||
| Adjustments to reconcile net income to net cash flows from operating activities: | ||||||||||||||
| Depreciation and amortization | ||||||||||||||
| Amortization of deferred financing costs | ||||||||||||||
| Non-cash lease expense | ||||||||||||||
| Deferred income taxes | ( | |||||||||||||
| Other adjustments | ( | ( | ||||||||||||
| Provision for inventory reserve | ( | |||||||||||||
| Stock compensation expense | ||||||||||||||
| Equity in net income from investment in unconsolidated affiliates | ( | ( | ||||||||||||
| Gain from remeasurement of previously held equity interest | ( | |||||||||||||
| Changes in operating assets and liabilities, net of business acquisitions: | ||||||||||||||
| Pawn service charges receivable | ( | ( | ||||||||||||
| Inventory | ( | ( | ||||||||||||
| Prepaid expenses, other current assets and other assets | ( | |||||||||||||
| Accounts payable, accrued expenses and other liabilities | ( | ( | ||||||||||||
| Customer layaway deposits | ||||||||||||||
| Income taxes | ( | ( | ||||||||||||
| Net cash provided by operating activities | ||||||||||||||
| Investing activities: | ||||||||||||||
| Loans made | ( | ( | ||||||||||||
| Loans repaid | ||||||||||||||
| Recovery of pawn loan principal through sale of forfeited collateral | ||||||||||||||
| Capital expenditures | ( | ( | ||||||||||||
| Acquisitions, net of cash acquired | ( | ( | ||||||||||||
| Issuance of notes receivable | ( | |||||||||||||
| Proceeds of notes receivable | ||||||||||||||
| Investment in unconsolidated affiliate | ( | ( | ||||||||||||
| Dividends from unconsolidated affiliates | ||||||||||||||
| Net cash used in investing activities | ( | ( | ||||||||||||
| Financing activities: | ||||||||||||||
| Taxes paid related to net share settlement of equity awards | ( | ( | ||||||||||||
| Proceeds from issuance of debt | ||||||||||||||
| Debt issuance cost | ( | |||||||||||||
| Payments on debt | ( | ( | ||||||||||||
| Purchase and retirement of treasury stock | ( | ( | ||||||||||||
| Payment of contingent consideration | ( | |||||||||||||
| Acquisition of non-controlling interest | ( | |||||||||||||
| Payments of finance leases | ( | ( | ||||||||||||
| Net cash (used in) provided by financing activities | ( | |||||||||||||
| Effect of exchange rate changes on cash and cash equivalents and restricted cash | ( | |||||||||||||
| Net (decrease) increase in cash, cash equivalents and restricted cash | ( | |||||||||||||
| Cash and cash equivalents and restricted cash at beginning of period | ||||||||||||||
| Cash and cash equivalents and restricted cash at end of period | $ | $ | ||||||||||||
See accompanying notes to unaudited condensed consolidated financial statements.
6
Notes to Condensed Consolidated Financial Statements
(Unaudited)
(Unaudited)
NOTE 1: ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Description of Business
EZCORP, Inc. (collectively with its subsidiaries, the “Company,” “we,” “us,” or “our”) is a provider of pawn loans in the United States (“U.S.”), Latin America and the Caribbean. Pawn loans are non-recourse loans collateralized by tangible property. We also sell merchandise, primarily collateral forfeited from pawn lending operations and pre-owned merchandise purchased from customers.
Basis of Presentation
The accompanying interim unaudited condensed consolidated financial statements (“Condensed Consolidated Financial Statements”) have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10-01 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements.
These Condensed Consolidated Financial Statements should be read in conjunction with the audited consolidated financial statements and related notes contained in our Annual Report on Form 10-K for the year ended September 30, 2025, filed with the Securities and Exchange Commission (“SEC”) on November 13, 2025 (“2025 Annual Report”).
In the opinion of management, the accompanying Condensed Consolidated Financial Statements include all adjustments, consisting of normal recurring adjustments, considered necessary for a fair presentation. Financial results for the periods presented are not necessarily indicative of results that may be expected for the fiscal year ending September 30, 2026 or any other period due, in part, to seasonal variations.
Beginning in the first quarter of fiscal 2026, following a review of segment expenses to better align direct operating expenses with the respective segments, we modified our methodology for allocating certain expenses used in evaluating financial and segment performance and resource allocation. Specifically, we no longer allocate certain administrative expenses to our Latin America Pawn and U.S. Pawn segments; these costs are now reported within the "General and administrative" line in our Condensed Consolidated Statements of Operations.
We have recast the Condensed Consolidated Statements of Operations and segment contribution for prior periods to conform to this methodology. This resulted in a classification change of certain expenses totaling $5.7 16.7
There was no impact to Total operating expenses, Operating income, or Consolidated net income on our Condensed Consolidated Statements of Operations.
Summary of Significant Accounting Policies
There were no material changes to our significant accounting policies during the nine months ended June 30, 2026 from the policies described in our 2025 Annual Report.
7
Use of Estimates and Assumptions
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Such estimates and assumptions include the determination of inventory reserves, expected credit losses, useful lives of long-lived and intangible assets, valuation of share-based compensation, valuation of equity investments, valuation of deferred tax assets and liabilities, loss contingencies related to litigation and discount rates used for operating leases. We base our estimates on historical experience, observable trends and various other assumptions we believe are reasonable. Actual results may differ materially from these estimates under different assumptions or conditions.
Merchandise Sales Revenues Recognition
Recently Issued Accounting Pronouncements
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). ASU 2023-09 requires disclosure of specific categories and disaggregation of information in the rate reconciliation table. The ASU also requires disclosure of disaggregated information related to income taxes paid, income or loss from continuing operations before income tax expense or benefit and income tax expense or benefit from continuing operations. The requirements of this ASU 2023-09 are effective for the Company for annual periods beginning after December 15, 2024. Early adoption is permitted, and the amendments should be applied on a prospective basis. Retrospective application is permitted. The adoption of this ASU is expected to only impact disclosures with respect to the Company’s consolidated financial statements.
In November 2024, the FASB issued ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses (“ASU 2024-03”). Additionally, in January 2025, the FASB issued ASU 2025-01 to clarify the effective date of ASU 2024-03. ASU 2024-03 requires disclosure in the notes to the financial statements of specified information about certain costs and expenses. The requirements of ASU 2024-03 are effective for the Company for fiscal years beginning after December 15, 2026 and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted and should be applied either prospectively to financial statements issued for reporting periods after the effective date of this ASU or retrospectively to any or all periods presented in the financial statements. We are currently evaluating the impact of this standard on our consolidated financial statements and related disclosures.
In May 2025, the FASB issued ASU 2025-03, Business Combinations (Topic 805) and Consolidation (Topic 810): Determining the Accounting Acquirer in the Acquisition of a Variable Interest Entity (“ASU 2025-03”). ASU 2025-03 revises current guidance for determining the accounting acquirer for a transaction effected primarily by exchanging equity interests in which the legal acquiree is a variable interest entity that meets the definition of a business. The amendments require that an entity consider the same factors that are currently required for determining which entity is the accounting acquirer in other acquisition transactions. The requirements of ASU 2025-03 are effective for the Company for fiscal years beginning after December 15, 2026, and interim periods within those periods. Early adoption is permitted as of the beginning of an interim or annual reporting period. We are currently evaluating the impact of this standard on our consolidated financial statements and related disclosures.
In September 2025, the FASB issued ASU 2025-06, Intangibles - Goodwill and Other - Internal-use Software: Targeted Improvements to the Accounting for Internal-use Software which amends the guidance in ASC 350-40, Intangibles-Goodwill and Other-Internal-Use Software. The amendments modernize the recognition and disclosure framework for internal-use software costs, removing the previous “development stage” model and introducing a more judgment-based approach. ASU 2025-06 is effective for fiscal years beginning after December 15, 2027 with early adoption permitted. We are currently evaluating the impact of this standard on our consolidated financial statements and related disclosures.
In November 2025, the FASB issued ASU 2025-08, Financial Instruments - Credit Losses (Topic 326): Purchased Loans. ASU 2025-08 expands the use of the gross up method to certain acquired loans. Purchased season loans will be accounted for using the gross-up approach. The ASU is effective for fiscal years beginning after December 15, 2026, including interim periods within those fiscal years. We are currently evaluating the impact of this standard on our consolidated financial statements and related disclosures.
8
In December 2025, the FASB issued ASU 2025-11, Interim Reporting (Topic 270), which clarifies the scope of interim reporting requirements and introduces a principles-based framework for disclosure of material events occurring after the most recent annual period. The ASU also consolidates interim disclosure requirements from other Codification topics into ASC 270. The guidance is effective for interim periods beginning after December 15, 2027, with early adoption permitted. We are currently evaluating the impact of this standard on our interim reporting disclosures.
NOTE 2: ACQUISITIONS
Founders One Acquisition
On January 2, 2026, we acquired an 87.7 % controlling interest in Founders by exchanging our existing $45.0 million preferred equity investment and $15.0 million demand promissory note into common equity and contributing an additional $4.4 million in cash. At the time of acquisition, Founders, through its subsidiary SMG, operated 105 pawn stores in the United States and 11 additional countries, primarily under the names "La Familia Pawn and Jewelry" and "CashWiz." Founders held 85.1 % ownership interest in SMG as of January 2, 2026. The acquisition advances our strategy to expand our global pawn operations by consolidating our interest in an established multi-country platform and existing operational infrastructure. Following the departure of the SMG CEO in April, we have assumed direct operational management of SMG.
This transaction was accounted for as a business combination achieved in stages. Immediately prior to the acquisition date, we remeasured our previously held preferred equity investment to its acquisition-date fair value of $46.6 million, resulting in a pre-tax gain of $1.6 million recognized in Other (income) expense in our Condensed Consolidated Statements of Operations during the nine months ended June 30, 2026. The acquisition-date fair value of the previously held preferred equity interest was determined using the income approach (discounted cash flow method) and the market approach (guideline public company method). The value attributable to the preferred equity class was determined using an option pricing model, with significant inputs including expected volatility, a risk-free rate, and an estimated time to liquidity.
Our previously held demand promissory note was remeasured to its acquisition-date fair value of $15.0 million, with no gain or loss recognized. In connection with the acquisition, a demand promissory note with a principal balance of $15.0 million and accrued interest of $3.9 million previously held by us at the Founders level was repaid through proceeds of a new debt facility entered into by SMG. This repayment represented the settlement of a pre-existing creditor relationship and was accounted for separately from the business combination. The settlement amount was determined based on the carrying value of the note, which approximated fair value due to its demand nature and market interest rate. No gain or loss resulted from the settlement, and no amount was recognized in our Condensed Consolidated Statements of Operations.
This transaction qualifies as a business combination under ASC 805 due to the acquisition of an integrated set of inputs and processes that are capable of generating outputs. The acquisition included an organized workforce, established pawn operations, and the intellectual property and operational systems across 105 stores. The assets acquired and liabilities assumed are based upon the fair values at the date of acquisition. The excess of the aggregate of consideration transferred, the acquisition-date fair value of previously held interests, and the fair values of non-controlling interests over the estimated fair value of net identifiable liabilities assumed has been recorded as goodwill.
9
The purchase price allocation is as follows (in thousands):
| Assets acquired: | ||||||||
| Cash and cash equivalents | $ | |||||||
| Pawn loans | ||||||||
| Pawn service charges receivable | ||||||||
| Inventory | ||||||||
| Prepaid expenses and other current assets | ||||||||
| Property and equipment | ||||||||
| Right-of-use assets | ||||||||
| Tradenames | ||||||||
| Total assets acquired | ||||||||
| Liabilities assumed: | ||||||||
| Accounts payable, accrued expenses and other current liabilities | $ | |||||||
| Long-term debt | ||||||||
| Operating lease liabilities | ||||||||
| Deferred tax liability | ||||||||
| Total liabilities assumed | ||||||||
| Net liabilities assumed | $ | ( | ||||||
Goodwill was calculated as follows (in thousands):
| Consideration transferred | $ | |||||||
| Fair value of previously held preferred equity interest | ||||||||
| Fair value of previously held demand promissory note | ||||||||
| Fair value of non-controlling interest in Founders | ||||||||
| Fair value of non-controlling interest in SMG | ||||||||
| Total | ||||||||
| Less: net identifiable liabilities assumed | ( | |||||||
| Goodwill | $ | |||||||
The fair values of the non-controlling interests in Founders and SMG were determined using a combination of the income approach (discounted cash flow method) and the market approach (guideline public company method), with significant inputs including projected cash flows, a discount rate, and market multiples.
In connection with the acquisition, we entered into a three-year senior secured intercompany debt facility with SMG providing $156.4 million in funding at 13 % per annum. SMG used the facility proceeds to retire its pre-existing third-party debt, which is reflected as assumed debt in the purchase price allocation above. The cash outflow is presented within “Payments of debt” on the Condensed Consolidated Statements of Cash Flows. This intercompany facility eliminates upon consolidation.
The factors contributing to the recognition of goodwill, which is recorded in our SMG segment, include the value of SMG's assembled workforce, established multi-country store network, and expected synergies with our existing U.S. and Latin America pawn operations. None of the goodwill resulting from this business combination is expected to be deductible for income tax purposes.
The tradenames acquired have been assigned indefinite useful lives and will not be amortized. They will be tested for impairment at least annually in accordance with ASC 350.
The purchase price allocation presented above is preliminary. The fair values of tradenames, certain payroll related liabilities, and deferred taxes have not been finalized. All other amounts are also subject to adjustment during the measurement period as additional information is obtained about facts and circumstances that existed as of the acquisition date. No measurement period adjustments were recorded to date.
The results of this acquisition have been included in our Condensed Consolidated Financial Statements from January 2, 2026 and are reported in our SMG segment. The acquired business contributed revenues of $43.1 million and income before income tax of $5.9 million for the three months ended June 30, 2026, and revenues of $94.4 million and income before income tax of $14.7 million for the period from January 2, 2026 through June 30, 2026.
10
During the nine months ended June 30, 2026, we incurred total acquisition costs of approximately $0.6 million related to the Founders acquisition. Cumulative acquisition-related costs incurred through June 30, 2026 were approximately $1.5 million. The acquisition costs were primarily related to legal, accounting and consulting services, were expensed as incurred and are included in general and administrative expenses in the Condensed Consolidated Statements of Operations.
Acquisition of Non-controlling Interests
During the third quarter of fiscal 2026, we acquired the remaining 12.3 % membership interest in Founders held by its third-party member, and Founders became a wholly owned subsidiary. Also during the third quarter, we acquired additional shares of SMG's common stock from third-party shareholders, increasing our ownership interest in SMG from 85.1 % to 97.4 % as of June 30, 2026. Because we retained our controlling financial interests, these transactions were accounted for as equity transactions, and the excess of the consideration over the carrying amount of the non-controlling interests acquired was recognized as a reduction of additional paid-in capital. No gain or loss was recognized in our Condensed Consolidated Statements of Operations.
Subsequent to the balance sheet date, in July 2026, we acquired the remaining outstanding 2.6 % of SMG common stock, and SMG became a wholly owned subsidiary. This transaction will be accounted for as an equity transaction in the fourth quarter of fiscal 2026.
Variable Interest Entities
Founders and SMG are variable interest entities, as neither entity has sufficient equity at risk to finance its activities without additional subordinated financial support. We are now the primary beneficiary of both entities and directly or indirectly hold a majority voting interest in each. We determined that we are the primary beneficiary based on our role as sole Manager of Founders, which controls SMG's board of directors, and our obligation to absorb losses or receive benefits through our 100 % equity interest in Founders and related lending arrangements. Founders is a holding entity whose sole asset is its equity interest in SMG, which eliminates upon consolidation. SMG is the operating entity whose assets and liabilities are included in our Condensed Consolidated Financial Statements. As SMG meets the definition of a business, we indirectly hold a majority voting interest through Founders, which owns 97.4 % of SMG's outstanding common stock, and SMG's assets can be used for purposes other than the settlement of its obligations, certain incremental VIE disclosures are not required in accordance with ASC 810-10-50-5B. Founders is a wholly owned subsidiary. Third-party shareholders hold 2.6 % of SMG's outstanding common stock. This non-controlling interest is presented separately within Stockholders’ equity on our Condensed Consolidated Balance Sheets.
El Bufalo Pawn Acquisition
On January 12, 2026, we acquired the business operations of 12 pawn stores in Texas, primarily in the Laredo area, operating under the name "El Bufalo Pawn," from LBP, L.P. and certain individual sellers. The total consideration was approximately $27.8 million in cash, of which approximately $1.4 million was retained for standard indemnification purposes and is expected to be paid within twelve months of the acquisition date. The retained payment is included in Accounts payable, accrued expenses and other current liabilities on our Condensed Consolidated Balance Sheets as of June 30, 2026.
This transaction qualifies as a business combination under ASC 805 due to the acquisition of an integrated set of inputs and processes that are capable of generating outputs. Although the transaction includes tangible assets such as loans and inventory, the inclusion of operating infrastructure, licenses, and a functioning workforce supports the conclusion that a business, rather than a group of assets, was acquired.
The assets acquired and liabilities assumed are based upon the fair values at the date of acquisition. The excess purchase price over the estimated fair market value of the net assets acquired has been recorded as goodwill.
The final purchase price allocation is as follows (in thousands):
11
| Assets acquired: | ||||||||
| Cash and cash equivalents | $ | |||||||
| Pawn loans | ||||||||
| Pawn service charges receivable | ||||||||
Inventory | ||||||||
Property and equipment | ||||||||
| Intangible assets - Trade names | ||||||||
Right-of-use assets | ||||||||
| Other assets | ||||||||
| Goodwill | ||||||||
| Total assets acquired | ||||||||
| Liabilities assumed: | ||||||||
| Customer layaway deposits | $ | |||||||
| Operating lease liabilities | ||||||||
| Total liabilities assumed | ||||||||
| Total consideration | ||||||||
| Retained Payment | ( | |||||||
| Cash Paid | $ | |||||||
The factors contributing to the recognition of goodwill, which is recorded in our U.S. Pawn segment, were based on several strategic benefits we expect to realize from the acquisition, including expansion of our store base in the Laredo market and the ability to further leverage our pawn expertise. We expect all of the goodwill resulting from this business combination will be deductible for income tax purposes.
The results of this acquisition have been included in our Condensed Consolidated Financial Statements from January 12, 2026 and are reported in our U.S. Pawn segment. The acquired business contributed revenues of $5.9 million and income before income tax of $1.4 million for the period from January 12, 2026 through June 30, 2026, and contributed revenues of $3.2 million and income before income tax of $0.8 million during the three months ended June 30, 2026.
During the nine months ended June 30, 2026, total acquisition costs were immaterial. The acquisition costs were primarily related to legal, accounting and consulting services, were expensed as incurred and are included in general and administrative expenses in the Condensed Consolidated Statements of Operations.
Unaudited Supplementary Pro Forma Financial Information
The following unaudited pro forma summary presents consolidated information for us as if both business combinations described in this note had occurred on October 1, 2024. The pro forma information is not necessarily indicative of our results of operations had the acquisitions been completed on the above date, nor is it necessarily indicative of our future results. The pro forma information does not reflect any cost savings from operating efficiencies or synergies that could result from the acquisitions, nor does it reflect additional revenue opportunities following the acquisitions.
| Three Months Ended June 30, | Nine Months Ended June 30, | ||||||||||||||||||||||
| (in thousands) | 2026 | 2025 | 2026 | 2025 | |||||||||||||||||||
| Total revenues | $ | $ | $ | $ | |||||||||||||||||||
| Consolidated net income | $ | $ | $ | $ | |||||||||||||||||||
Pro forma net income for the nine months ended June 30, 2026 was adjusted to exclude the $1.6 million gain on remeasurement of the previously held equity interest in Founders and approximately $0.7
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NOTE 3: GOODWILL
The following table summarizes the changes in the carrying amount of goodwill by segment and in total:
| (in thousands) | U.S. Pawn | Latin America Pawn | SMG | Consolidated | ||||||||||||||||||||||
| Balance as of September 30, 2025 | $ | $ | $ | $ | ||||||||||||||||||||||
Acquisitions(a) | ||||||||||||||||||||||||||
| Effect of foreign currency translation changes | ||||||||||||||||||||||||||
| Balance as of June 30, 2026 | $ | $ | $ | $ | ||||||||||||||||||||||
(a) Amount includes goodwill recognized in connection with acquisitions during the nine months ended June 30, 2026 that were immaterial, individually and in the aggregate, and we have therefore omitted certain disclosures in this Form 10-Q.
| (in thousands) | U.S. Pawn | Latin America Pawn | Consolidated | |||||||||||||||||
| Balance as of September 30, 2024 | $ | $ | $ | |||||||||||||||||
| Acquisitions | ||||||||||||||||||||
| Effect of foreign currency translation changes | ||||||||||||||||||||
| Balance as of June 30, 2025 | $ | $ | $ | |||||||||||||||||
NOTE 4: EARNINGS PER SHARE
The following table reconciles the number of common shares used to compute basic and diluted earnings per share attributable to EZCORP Inc., shareholders:
| Three Months Ended June 30, | Nine Months Ended June 30, | ||||||||||||||||||||||
| (in thousands, except per share amounts) | 2026 | 2025 | 2026 | 2025 | |||||||||||||||||||
| Basic earnings per common share: | |||||||||||||||||||||||
| Consolidated net income | $ | $ | $ | $ | |||||||||||||||||||
| Consolidated net (income) attributable to non-controlling interest | ( | ( | |||||||||||||||||||||
| Consolidated net income attributable to EZCORP - basic | |||||||||||||||||||||||
| Weighted shares outstanding - basic | |||||||||||||||||||||||
| Basic earnings per common share attributable to EZCORP | $ | $ | $ | $ | |||||||||||||||||||
| Diluted earnings per common share: | |||||||||||||||||||||||
| Consolidated net income attributable to EZCORP - basic | $ | $ | $ | $ | |||||||||||||||||||
Add: Convertible Notes interest expense, net of tax (a) | |||||||||||||||||||||||
| Consolidated net income attributable to EZCORP - diluted | $ | $ | $ | $ | |||||||||||||||||||
| Weighted shares outstanding - basic | |||||||||||||||||||||||
Equity-based compensation awards - effect of dilution (b) | |||||||||||||||||||||||
Convertible Notes - effect of dilution (c) | |||||||||||||||||||||||
| Weighted shares outstanding - diluted | |||||||||||||||||||||||
| Diluted earnings per common share attributable to EZCORP | $ | $ | $ | $ | |||||||||||||||||||
| Potential common shares excluded from the calculation of diluted earnings per common share above: | |||||||||||||||||||||||
Restricted stock (d) | |||||||||||||||||||||||
(a) The Company’s convertible debt for the three and nine months ended June 30, 2026 consists of the 3.750 % Convertible Senior Notes Due 2029 (the “2029 Convertible Notes”). The three and nine months ended June 30, 2025 also includes the 2.375 % Convertible Senior Notes Due 2025 (the “2025 Convertible Notes”), which were settled in a combination of cash and shares during the three months ended June 30, 2025.
(b) Includes time-based share-based awards and performance-based awards for which targets for fiscal year tranches have been achieved and vesting is subject only to achievement of service conditions.
(c) As the 2025 Convertible Notes were settled during the third quarter of fiscal 2025, approximately 2.1 million and 5.0 million of weighted average shares were included for the three and nine months ended June 30, 2025, which were settled in the third quarter of fiscal 2025 with a combination of cash and shares.
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NOTE 5: LEASES
We determine if a contract contains a lease at inception. Our lease portfolio consists primarily of operating leases for pawn store locations and corporate offices with lease terms ranging from to ten years and finance leases for vehicles with lease terms ranging from to five years .
The table below presents balances of our lease assets and liabilities and their balance sheet locations for both operating and financing leases:
| (in thousands) | Balance Sheet Location | June 30, 2026 | June 30, 2025 | September 30, 2025 | ||||||||||||||||||||||
| Lease assets: | ||||||||||||||||||||||||||
| Operating lease right-of-use assets | Right-of-use assets | $ | $ | $ | ||||||||||||||||||||||
| Financing lease assets | ||||||||||||||||||||||||||
| Total lease assets | $ | $ | $ | |||||||||||||||||||||||
| Lease liabilities: | ||||||||||||||||||||||||||
| Current: | ||||||||||||||||||||||||||
| Operating lease liabilities | Operating lease liabilities, current | $ | $ | $ | ||||||||||||||||||||||
| Financing lease liabilities | ||||||||||||||||||||||||||
| Total current lease liabilities | $ | $ | $ | |||||||||||||||||||||||
| Non-current: | ||||||||||||||||||||||||||
| Operating lease liabilities | Operating lease liabilities | $ | $ | $ | ||||||||||||||||||||||
| Financing lease liabilities | ||||||||||||||||||||||||||
| Total non-current lease liabilities | $ | $ | $ | |||||||||||||||||||||||
| Total lease liabilities | $ | $ | $ | |||||||||||||||||||||||
The table below provides major components of our lease costs:
| Three Months Ended June 30, | Nine Months Ended June 30, | |||||||||||||||||||||||||
| (in thousands) | 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||||
| Operating lease cost: | ||||||||||||||||||||||||||
| Operating lease cost* | $ | $ | $ | $ | ||||||||||||||||||||||
| Variable lease cost | ||||||||||||||||||||||||||
| Total operating lease cost | $ | $ | $ | $ | ||||||||||||||||||||||
| Financing lease cost: | ||||||||||||||||||||||||||
| Amortization of financing lease assets | $ | $ | $ | $ | ||||||||||||||||||||||
| Interest on financing lease liabilities | ||||||||||||||||||||||||||
| Total financing lease cost | $ | $ | $ | $ | ||||||||||||||||||||||
| Total lease cost | $ | $ | $ | $ | ||||||||||||||||||||||
* Includes reductions for sublease rental income for the three and nine-month periods ended June 30, 2026 and 2025 of $
Lease expense is recognized on a straight-line basis over the lease term with variable lease expense recognized in the period in which the costs are incurred. The components of lease expense are included in “Store expenses” and “General and administrative” under Operating expenses, based on the underlying lease use. Cash paid for operating leases for the three and nine-month periods ended June 30, 2026 and 2025, was $24.2 million and $20.3 million, and $68.9 million and $60.3 million, respectively.
14
The weighted-average term and discount rates for leases are as follows:
| Nine Months Ended June 30, | ||||||||||||||
| 2026 | 2025 | |||||||||||||
| Weighted-average remaining lease term (years): | ||||||||||||||
| Operating leases | ||||||||||||||
| Financing leases | ||||||||||||||
| Weighted-average discount rate: | ||||||||||||||
| Operating leases | % | % | ||||||||||||
| Financing leases | % | % | ||||||||||||
| (in thousands) | Operating Leases | Financing Leases | ||||||||||||
| Remaining 2026 | $ | $ | ||||||||||||
| Fiscal 2027 | ||||||||||||||
| Fiscal 2028 | ||||||||||||||
| Fiscal 2029 | ||||||||||||||
| Fiscal 2030 | ||||||||||||||
| Thereafter | ||||||||||||||
| Total lease liabilities | $ | $ | ||||||||||||
| Less: portion representing imputed interest | ||||||||||||||
| Total net lease liabilities | $ | $ | ||||||||||||
| Less: current portion | ||||||||||||||
Total long-term net lease liabilities | $ | $ | ||||||||||||
NOTE 6: STRATEGIC INVESTMENTS
Cash Converters International Limited
As of June 30, 2026, we owned approximately 43.5 % of Cash Converters. We acquired our original investment in November 2009 and have increased our ownership through the acquisition of additional shares periodically since that time. During the nine months ended June 30, 2026, we acquired an additional 35,780,747 shares for $7.1 million and received 16,052 shares from the dividend reinvestment program, bringing our total shares owned to 309,735,956 shares.
We received cash dividends from Cash Converters of $3.9 million and $3.6 million during the nine months ended June 30, 2026 and 2025, respectively.
During the three and nine-month periods ended June 30, 2026 and 2025, we recorded our share of income of $1.9 million and $1.4 million, and $4.8 million and $4.9 million, respectively, from Cash Converters, included in “Equity in net income of unconsolidated affiliates” in the Condensed Consolidated Statements of Operations.
See Note 7: Fair Value Measurements for the fair value and carrying value of our investment in Cash Converters.
Founders One, LLC
In fiscal 2022, we invested $15.0 million in exchange for a non-redeemable voting participating preferred equity interest in Founders, a then newly-formed entity with one other member. In fiscal 2023, we contributed an additional $15.0 million associated with our preferred interest and loaned Founders $15.0 million in exchange for a Demand Promissory Note secured by the common interest held by the other member. In fiscal 2024, we contributed an additional $15.0 million associated with our preferred interest, bringing our total preferred equity investment in Founders to $45.0 million.
15
NOTE 7: FAIR VALUE MEASUREMENTS
The fair value of a financial instrument is the amount that could be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy prioritizes the quality and reliability of the information used to determine fair values. Categorization within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The fair value hierarchy is defined into the following three categories:
•Level 1 — Quoted market prices in active markets for identical assets or liabilities.
•Level 2 — Other observable market-based inputs or unobservable inputs that are corroborated by market data.
•Level 3 — Unobservable inputs that are not corroborated by market data.
We have elected not to measure at fair value any eligible items for which fair value measurement is optional.
There were no transfers in or out of Level 1, Level 2 or Level 3 for financial assets or liabilities measured at fair value on a recurring basis during the periods presented.
Financial Assets and Liabilities Not Measured at Fair Value
The tables below present our estimates of fair value of financial assets and liabilities that were not measured at fair value:
| Carrying Value | Estimated Fair Value | |||||||||||||||||||||||||||||||
| June 30, 2026 | June 30, 2026 | Fair Value Measurement Using | ||||||||||||||||||||||||||||||
| (in thousands) | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||||
| Financial assets: | ||||||||||||||||||||||||||||||||
| Investments in unconsolidated affiliates | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||
| Financial liabilities: | ||||||||||||||||||||||||||||||||
| 2029 Convertible Notes | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||
| 2032 Senior Notes | ||||||||||||||||||||||||||||||||
| Carrying Value | Estimated Fair Value | |||||||||||||||||||||||||||||||
| June 30, 2025 | June 30, 2025 | Fair Value Measurement Using | ||||||||||||||||||||||||||||||
| (in thousands) | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||||
| Financial assets: | ||||||||||||||||||||||||||||||||
| Promissory note receivable from Founders | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||
| Investments in unconsolidated affiliates | ||||||||||||||||||||||||||||||||
| Financial liabilities: | ||||||||||||||||||||||||||||||||
| 2029 Convertible Notes | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||
| 2032 Senior Notes | ||||||||||||||||||||||||||||||||
| Carrying Value | Estimated Fair Value | |||||||||||||||||||||||||||||||
| September 30, 2025 | September 30, 2025 | Fair Value Measurement Using | ||||||||||||||||||||||||||||||
| (in thousands) | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||||
| Financial assets: | ||||||||||||||||||||||||||||||||
| Promissory note receivable from Founders | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||
| Investments in unconsolidated affiliates | ||||||||||||||||||||||||||||||||
| Financial liabilities: | ||||||||||||||||||||||||||||||||
| 2029 Convertible Notes | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||
| 2032 Senior Notes | ||||||||||||||||||||||||||||||||
16
Based primarily on the short-term nature of cash and cash equivalents, pawn loans, pawn service charges receivable and other liabilities, we estimate that their carrying value approximates fair value. We consider our cash and cash equivalents to be measured using Level 1 inputs and our pawn loans, pawn service charges receivable and other liabilities to be measured using Level 3 inputs. Significant increases or decreases in the underlying assumptions used to value pawn loans, pawn service charges receivable, consumer loans, fees and interest receivable and other debt could significantly increase or decrease these fair value estimates.
We use the equity method of accounting to account for our ownership interest in Cash Converters. The inputs used to generate the fair value of the investment in Cash Converters were considered Level 1 inputs. These inputs consist of (a) the quoted stock price on the Australian Stock Exchange multiplied by (b) the number of shares we owned multiplied by (c) the applicable foreign currency exchange rate as of the end of our reporting period. We included no control premium for owning a large percentage of outstanding shares.
We measured the fair value of the 2029 Convertible Notes and 2032 Senior Notes using quoted price inputs. The notes are not actively traded, and thus the price inputs represent a Level 2 measurement. As the quoted price inputs are highly variable from day to day, the fair value estimates disclosed above could significantly increase or decrease.
The following table presents the Company's debt instruments outstanding:
| June 30, 2026 | June 30, 2025 | September 30, 2025 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| (in thousands) | Gross Amount | Deferred Financing Costs | Carrying Amount | Gross Amount | Deferred Financing Costs | Carrying Amount | Gross Amount | Deferred Financing Costs | Carrying Amount | |||||||||||||||||||||||||||||||||||||||||||||||
| 2032 Senior Notes | $ | $ | ( | $ | $ | $ | ( | $ | $ | $ | ( | $ | ||||||||||||||||||||||||||||||||||||||||||||
| 2029 Convertible Notes | ( | ( | ( | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Total | $ | $ | ( | $ | $ | $ | ( | $ | $ | $ | ( | $ | ||||||||||||||||||||||||||||||||||||||||||||
The following table presents the Company’s interest expense related to its debt for the three and nine months ended June 30, 2026 and 2025:
| Three Months Ended June 30, | Nine Months Ended June 30, | |||||||||||||||||||||||||
| (in thousands) | 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||||
| 2032 Senior Notes: | ||||||||||||||||||||||||||
| Contractual interest expense | $ | $ | $ | $ | ||||||||||||||||||||||
| Amortization of deferred financing costs | ||||||||||||||||||||||||||
| Total interest expense | $ | $ | $ | $ | ||||||||||||||||||||||
| 2029 Convertible Notes: | ||||||||||||||||||||||||||
| Contractual interest expense | $ | $ | $ | $ | ||||||||||||||||||||||
| Amortization of deferred financing costs | ||||||||||||||||||||||||||
| Total interest expense | $ | $ | $ | $ | ||||||||||||||||||||||
| 2025 Convertible Notes: | ||||||||||||||||||||||||||
| Contractual interest expense | $ | $ | $ | $ | ||||||||||||||||||||||
| Amortization of deferred financing costs | ||||||||||||||||||||||||||
| Total interest expense | $ | $ | $ | $ | ||||||||||||||||||||||
As of June 30, 2026, the Company was in compliance with all covenants related to the 2032 Senior Notes.
The reported sale price of our Class A Common Stock was greater than or equal to 130 % of the applicable conversion price for the 2029 Convertible Notes for at least 20 trading days in the 30 consecutive trading days ended on June 30, 2026. As a result, the 2029 Convertible Notes are convertible at the option of the holders during the fiscal quarter ending September 30, 2026.
17
NOTE 9: COMMON STOCK AND STOCK COMPENSATION
Common Stock Repurchase Program
On November 11, 2025, the Company’s Board of Directors (the “Board”) authorized the repurchase of up to $50 million of our Class A Non-Voting common shares over the next three years (the “2026 Common Stock Repurchase Program”). For the nine-month period ended June 30, 2026, the Company repurchased and retired 287,627 of our Class A Common Stock for $8.0 million, of which 131,789 shares were repurchased and retired for $4.0 million during the three months ended June 30, 2026.
The Board previously authorized a repurchase program on May 3, 2022 (the “2022 Common Stock Repurchase Program”) which expired on May 3, 2025. The 2022 Common Stock Repurchase Program authorized the repurchase of up to $50 million of our Class A Common Stock over three years . During the nine-month period ended June 30, 2025, the Company repurchased and retired 332,599 shares for $4.0 million, under the 2022 Common Stock Repurchase Program. There were no shares repurchased under the 2022 Common Stock Repurchase Program for the three months ended June 30, 2025.
The amount and timing of purchases was dependent on a variety of factors, including stock price, trading volume, general market conditions, legal and regulatory requirements, general business conditions, the level of cash flows, and corporate considerations determined by management and the Board, such as liquidity and capital needs and the availability of attractive alternative investment opportunities. The repurchase amount is allocated between “Additional paid-in capital” and “Retained earnings” in our condensed consolidated balance sheets.
Other Common Stock Repurchases
During the three months ended June 30, 2025, the Company repurchased 148,921 shares of its Class A Common Stock for $2.0 million. Such transactions were authorized separately from, and not considered a part of the 2022 Common Stock Repurchase Program.
Stock Compensation
We maintain a Board-approved incentive plan to retain the services of our valued officers, directors and employees and to incentivize such persons to make contributions to our company and motivate excellent performance (the “Incentive Plan”). Under the Incentive Plan, we grant awards of restricted stock or restricted stock units to employees and non-employee directors. Awards granted to employees are typically subject to performance and service conditions. Awards granted to non-employee directors are time-based awards subject only to service conditions. Awards granted under the Incentive Plan are measured at the grant date fair value with compensation costs associated with the awards recognized over the requisite service period, usually the vesting period, on a straight-line basis.
The following table presents a summary of stock compensation activity:
| Shares | Weighted Average Grant Date Fair Value | ||||||||||
| Outstanding as of September 30, 2025 | $ | ||||||||||
| Granted | |||||||||||
| Released | ( | ||||||||||
| Cancelled | ( | ||||||||||
| Outstanding as of June 30, 2026 | $ | ||||||||||
NOTE 10: COMMITMENTS AND CONTINGENCIES
Currently, and from time to time, we are involved in various claims, disputes, lawsuits, investigations, and legal and regulatory proceedings. We accrue for contingencies if it is probable that a liability has been incurred and the amount of the loss can be reasonably estimated. For matters where a loss is reasonably possible but not probable, or where a probable loss cannot be reasonably estimated, we disclose the nature of the matter and, where estimable, the possible loss or range of loss. Because these matters are inherently unpredictable and unfavorable developments or resolutions can occur, assessing contingencies requires judgments and is highly subjective about future events, and the amount of resulting loss may differ from these estimates. We do not believe the resolution of any particular matter will have a material adverse effect on our financial condition, results of operations or liquidity.
One of our Latin American subsidiaries is subject to a tax authority position asserting that it should have withheld and submitted tax amounts on certain transactions on behalf of third parties. We believe withholding is not required under applicable law and are contesting the matter. We estimate the range of reasonably possible loss to be between zero and approximately $10 million. No amount has been accrued, as we do not believe a loss is probable.
18
Our operations are primarily managed on a geographical basis and are comprised of three
We regularly monitor for changes in facts and circumstances that would necessitate changes in our determination of operating segments. As indicated in Note 1, our results below reflect our updated methodology used in allocating certain expenses beginning in the first quarter of fiscal 2026, and the results from the prior period presented have been recast to conform with the current presentation.
As a result of the acquisition of Founders and SMG effective January 2, 2026, the composition of our reportable segments changed beginning in the second quarter of fiscal 2026. Refer to Note 2: Acquisitions for further details. SMG is now reported as a standalone reportable segment. Our equity interest in CCV is now included within Corporate as it is not a reportable segment. Prior period segment information has been recast to reclassify CCV equity income and interest income from notes receivable from Founders from the "Other Investments" segment to Corporate. Because SMG was not a consolidated subsidiary prior to January 2, 2026, no SMG segment results prior to January 2, 2026 are presented in our consolidated financial statements.
We currently report our segments as follows:
•U.S. Pawn — all pawn activities in the United States, except for SMG;
•Latin America Pawn — all pawn activities in Mexico and other parts of Latin America, except for SMG; and
•SMG — all pawn activities of Simple Management Group, Inc.
Corporate items include administrative expenses, depreciation and amortization, loss (gain) on sale or disposal of assets, interest income and expense, equity in net income of unconsolidated affiliates, and other (income) expense, and are not allocated between the segments. There are no inter-segment revenues presented below, and the amounts below were determined in accordance with the same accounting principles used in our consolidated financial statements.
The following income (loss) before income taxes tables present revenue for each reportable segment, disaggregated revenue within our reportable segments and Corporate, segment profits, and segment contribution.
19
| Three Months Ended June 30, 2026 | ||||||||||||||||||||||||||||||||||||||
| (in thousands) | U.S. Pawn | Latin America Pawn | SMG | Total Segments | Corporate Items | Consolidated | ||||||||||||||||||||||||||||||||
| Revenues: | ||||||||||||||||||||||||||||||||||||||
| Merchandise sales | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||||||||||||||
| Jewelry scrap sales | ||||||||||||||||||||||||||||||||||||||
| Pawn service charges | ||||||||||||||||||||||||||||||||||||||
| Other revenues | ||||||||||||||||||||||||||||||||||||||
| Total revenues | ||||||||||||||||||||||||||||||||||||||
| Merchandise cost of goods sold | ||||||||||||||||||||||||||||||||||||||
| Jewelry scrap cost of goods sold | ||||||||||||||||||||||||||||||||||||||
| Gross profit | ||||||||||||||||||||||||||||||||||||||
| Segment and corporate expenses (income): | ||||||||||||||||||||||||||||||||||||||
| Store expenses | ||||||||||||||||||||||||||||||||||||||
| General and administrative | ||||||||||||||||||||||||||||||||||||||
| Depreciation and amortization | ||||||||||||||||||||||||||||||||||||||
| Loss on sale or disposal of assets and other | ||||||||||||||||||||||||||||||||||||||
| Interest expense | ||||||||||||||||||||||||||||||||||||||
| Interest income | ( | ( | ||||||||||||||||||||||||||||||||||||
| Equity in net income of unconsolidated affiliates | ( | ( | ||||||||||||||||||||||||||||||||||||
| Other (income) expense | ( | ( | ( | ( | ( | |||||||||||||||||||||||||||||||||
| Segment contribution | $ | $ | $ | $ | ||||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | $ | $ | ( | $ | ||||||||||||||||||||||||||||||||||
| Three Months Ended June 30, 2025 | ||||||||||||||||||||||||||||||||||||||
| (in thousands) | U.S. Pawn | Latin America Pawn | Total Segments | Corporate Items | Consolidated | |||||||||||||||||||||||||||||||||
| Revenues: | ||||||||||||||||||||||||||||||||||||||
| Merchandise sales | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||||||||
| Jewelry scrap sales | ||||||||||||||||||||||||||||||||||||||
| Pawn service charges | ||||||||||||||||||||||||||||||||||||||
| Other revenues | ||||||||||||||||||||||||||||||||||||||
| Total revenues | ||||||||||||||||||||||||||||||||||||||
| Merchandise cost of goods sold | ||||||||||||||||||||||||||||||||||||||
| Jewelry scrap cost of goods sold | ||||||||||||||||||||||||||||||||||||||
| Gross profit | ||||||||||||||||||||||||||||||||||||||
| Segment and corporate expenses (income): | ||||||||||||||||||||||||||||||||||||||
| Store expenses | ||||||||||||||||||||||||||||||||||||||
| General and administrative | ||||||||||||||||||||||||||||||||||||||
| Depreciation and amortization | ||||||||||||||||||||||||||||||||||||||
| Other operating income | ( | ( | ||||||||||||||||||||||||||||||||||||
| Interest expense | ||||||||||||||||||||||||||||||||||||||
Interest income (a) | ( | ( | ||||||||||||||||||||||||||||||||||||
Equity in net income of unconsolidated affiliates (b) | ( | ( | ||||||||||||||||||||||||||||||||||||
| Other (income) expense | ( | ( | ( | ( | ||||||||||||||||||||||||||||||||||
| Segment contribution | $ | $ | $ | |||||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | $ | $ | ( | $ | ||||||||||||||||||||||||||||||||||
| (a) | Interest income includes $ | ||||
| (b) | Equity in net income of unconsolidated affiliates includes $ | ||||
20
| Nine Months Ended June 30, 2026 | ||||||||||||||||||||||||||||||||||||||
| (in thousands) | U.S. Pawn | Latin America Pawn | SMG | Total Segments | Corporate Items | Consolidated | ||||||||||||||||||||||||||||||||
| Revenues: | ||||||||||||||||||||||||||||||||||||||
| Merchandise sales | $ | $ | $ | $ | $ | $ | ||||||||||||||||||||||||||||||||
| Jewelry scrap sales | ||||||||||||||||||||||||||||||||||||||
| Pawn service charges | ||||||||||||||||||||||||||||||||||||||
| Other revenues | ||||||||||||||||||||||||||||||||||||||
| Total revenues | ||||||||||||||||||||||||||||||||||||||
| Merchandise cost of goods sold | ||||||||||||||||||||||||||||||||||||||
| Jewelry scrap cost of goods sold | ||||||||||||||||||||||||||||||||||||||
| Gross profit | ||||||||||||||||||||||||||||||||||||||
| Segment and corporate expenses (income): | ||||||||||||||||||||||||||||||||||||||
| Store expenses | ||||||||||||||||||||||||||||||||||||||
| General and administrative | ||||||||||||||||||||||||||||||||||||||
| Depreciation and amortization | ||||||||||||||||||||||||||||||||||||||
| Loss on sale or disposal of assets and other | ||||||||||||||||||||||||||||||||||||||
| Interest expense | ||||||||||||||||||||||||||||||||||||||
Interest income (c) | ( | ( | ||||||||||||||||||||||||||||||||||||
Equity in net income of unconsolidated affiliates (d) | ( | ( | ||||||||||||||||||||||||||||||||||||
| Other (income) expense | ( | ( | ( | ( | ( | |||||||||||||||||||||||||||||||||
| Segment contribution | $ | $ | $ | $ | ||||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | $ | $ | ( | $ | ||||||||||||||||||||||||||||||||||
| (c) | Interest income includes $ | ||||
| (d) | Equity in net income of unconsolidated affiliates includes $ | ||||
| Nine Months Ended June 30, 2025 | ||||||||||||||||||||||||||||||||||||||
| (in thousands) | U.S. Pawn | Latin America Pawn | Total Segments | Corporate Items | Consolidated | |||||||||||||||||||||||||||||||||
| Revenues: | ||||||||||||||||||||||||||||||||||||||
| Merchandise sales | $ | $ | $ | $ | $ | |||||||||||||||||||||||||||||||||
| Jewelry scrap sales | ||||||||||||||||||||||||||||||||||||||
| Pawn service charges | ||||||||||||||||||||||||||||||||||||||
| Other revenues | ||||||||||||||||||||||||||||||||||||||
| Total revenues | ||||||||||||||||||||||||||||||||||||||
| Merchandise cost of goods sold | ||||||||||||||||||||||||||||||||||||||
| Jewelry scrap cost of goods sold | ||||||||||||||||||||||||||||||||||||||
| Gross profit | ||||||||||||||||||||||||||||||||||||||
| Segment and corporate expenses (income): | ||||||||||||||||||||||||||||||||||||||
| Store expenses | ||||||||||||||||||||||||||||||||||||||
| General and administrative | ||||||||||||||||||||||||||||||||||||||
| Depreciation and amortization | ||||||||||||||||||||||||||||||||||||||
| Loss on sale or disposal of assets and other | ||||||||||||||||||||||||||||||||||||||
| Other operating income | ( | ( | ||||||||||||||||||||||||||||||||||||
| Interest expense | ||||||||||||||||||||||||||||||||||||||
Interest income (e) | ( | ( | ||||||||||||||||||||||||||||||||||||
Equity in net income of unconsolidated affiliates (f) | ( | ( | ||||||||||||||||||||||||||||||||||||
| Other (income) expense | ( | ( | ( | |||||||||||||||||||||||||||||||||||
| Segment contribution | $ | $ | $ | |||||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | $ | $ | ( | $ | ||||||||||||||||||||||||||||||||||
| (e) | Interest income includes $ | ||||
| (f) | Equity in net income of unconsolidated affiliates includes $ | ||||
21
| (in thousands) | Pawn Loans | Inventory | Total | |||||||||||||||||
| Assets as of June 30, 2026 | ||||||||||||||||||||
| U.S. Pawn | $ | $ | $ | |||||||||||||||||
| Latin America Pawn | ||||||||||||||||||||
| SMG | ||||||||||||||||||||
| Total segment assets | $ | |||||||||||||||||||
| Total other assets | ||||||||||||||||||||
| Total consolidated assets | $ | |||||||||||||||||||
| Assets as of June 30, 2025 | ||||||||||||||||||||
| U.S. Pawn | $ | $ | $ | |||||||||||||||||
| Latin America Pawn | ||||||||||||||||||||
| Total segment assets | $ | |||||||||||||||||||
| Total other assets | ||||||||||||||||||||
| Total consolidated assets | $ | |||||||||||||||||||
| Assets as of September 30, 2025 | ||||||||||||||||||||
| U.S. Pawn | $ | $ | $ | |||||||||||||||||
| Latin America Pawn | ||||||||||||||||||||
| Total segment assets | $ | |||||||||||||||||||
| Total other assets | ||||||||||||||||||||
| Total consolidated assets | $ | |||||||||||||||||||
22
NOTE 12: SUPPLEMENTAL CONSOLIDATED FINANCIAL INFORMATION
The following table provides supplemental information on net amounts included in our condensed consolidated balance sheets:
| (in thousands) | June 30, 2026 | June 30, 2025 | September 30, 2025 | |||||||||||||||||
| Gross pawn service charges receivable | $ | $ | $ | |||||||||||||||||
| Allowance for uncollectible pawn service charges receivable | ( | ( | ( | |||||||||||||||||
| Pawn service charges receivable, net | $ | $ | $ | |||||||||||||||||
| Gross inventory | $ | $ | $ | |||||||||||||||||
| Inventory reserves | ( | ( | ( | |||||||||||||||||
| Inventory, net | $ | $ | $ | |||||||||||||||||
| Prepaid expenses and other | $ | $ | $ | |||||||||||||||||
| Accounts receivable and other | ||||||||||||||||||||
| Notes receivable | ||||||||||||||||||||
| Income taxes prepaid and receivable | ||||||||||||||||||||
| Prepaid expenses and other current assets | $ | $ | $ | |||||||||||||||||
| Property and equipment, gross | $ | $ | $ | |||||||||||||||||
| Accumulated depreciation | ( | ( | ( | |||||||||||||||||
| Property and equipment, net | $ | $ | $ | |||||||||||||||||
| Accounts payable | $ | $ | $ | |||||||||||||||||
| Accrued payroll | ||||||||||||||||||||
| Incentive accrual | ||||||||||||||||||||
| Accrued interest payable | ||||||||||||||||||||
| Other payroll related expenses | ||||||||||||||||||||
| Accrued sales and VAT taxes | ||||||||||||||||||||
| Accrued income taxes payable | ||||||||||||||||||||
| Other current liabilities | ||||||||||||||||||||
| Accounts payable, accrued expenses and other current liabilities | $ | $ | $ | |||||||||||||||||
The following table provides supplemental disclosure of condensed consolidated statements of cash flows information:
| Nine Months Ended June 30, | ||||||||||||||
| (in thousands) | 2026 | 2025 | ||||||||||||
| Supplemental disclosure of cash flow information | ||||||||||||||
| Cash and cash equivalents at beginning of period | $ | $ | ||||||||||||
| Short-term restricted cash at beginning of period | ||||||||||||||
| Long-term restricted cash at beginning of period | ||||||||||||||
| Total cash and cash equivalents and restricted cash at beginning of period | $ | $ | ||||||||||||
| Cash and cash equivalents at end of period | $ | $ | ||||||||||||
| Short-term restricted cash at end of period | ||||||||||||||
| Long-term restricted cash at end of period | ||||||||||||||
| Total cash and cash equivalents and restricted cash at end of period | $ | $ | ||||||||||||
| Non-cash investing and financing activities: | ||||||||||||||
| Pawn loans forfeited and transferred to inventory | $ | $ | ||||||||||||
| Settlement of 2025 Convertible Notes in shares of common stock | $ | $ | ||||||||||||
| Accrued acquisition consideration | $ | $ | ||||||||||||
| Conversion of promissory note to equity | $ | $ | ||||||||||||
| Accrued consideration for non-controlling interest purchase | $ | $ | ||||||||||||
| Fair value of preferred equity investment converted to equity in Founders | $ | $ | ||||||||||||
23
ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Management’s Discussion and Analysis of Financial Condition and Results of Operations is intended to inform the reader about matters affecting the financial condition and results of operations of EZCORP, Inc. and its subsidiaries (collectively, “we,” “us”, “our”, “EZCORP” or the “Company”). The following discussion should be read together with our condensed consolidated financial statements and related notes included elsewhere within this report. This discussion contains forward-looking statements. Our actual results could differ materially from those anticipated in these forward-looking statements. See “Part I, Item 1A — Risk Factors” of our Annual Report on Form 10-K for the year ended September 30, 2025, as supplemented by the information set forth in “Part I, Item 3 — Quantitative and Qualitative Disclosures about Market Risk” and “Part II, Item 1A — Risk Factors” of this Report, for a discussion of certain risks, uncertainties and assumptions associated with these statements.
Business Developments
Share Repurchase Program
On November 11, 2025, the Board of Directors (“Board”) approved a new share repurchase program which replaced the previous program that expired on May 3, 2025. See Note 9 of Notes to Condensed Consolidated Financial Statements included in “Part I, Item 1 — Financial Statements.” Under the new program, we are authorized to repurchase up to $50 million of our Class A Non-Voting common shares over the next three years. Execution of the program will be responsive to fluctuating market conditions and valuations, liquidity needs and the expected return on investment compared to other opportunities.
The amount and timing of purchases will be dependent on a variety of factors, including stock price, trading volume, general market conditions, legal and regulatory requirements, general business conditions, the level of cash flows, and corporate considerations determined by management and the Board, such as liquidity and capital needs and the availability of attractive alternative investment opportunities. The Board of Directors has reserved the right to modify, suspend or terminate the program at any time.
Acquisition of Founders One, LLC
On January 2, 2026, we acquired a controlling interest in Founders One, LLC ("Founders"), which through its subsidiary, Simple Management Group, Inc. ("SMG"), operated 105 pawn stores in the U.S. and 11 additional countries at the time of acquisition. See Note 2 of Notes to Condensed Consolidated Financial Statements included in “Part I, Item 1 — Financial Statements.” This transaction expands our geographic footprint in attractive markets, including Florida and Puerto Rico and provides a platform for domestic and international growth. Following the transaction and subsequent non-controlling interest acquisitions during the third quarter of fiscal 2026, we owned 100% of Founders and held an effective 97.4% ownership interest in SMG as of June 30, 2026. In July 2026, we acquired the remaining noncontrolling interest in SMG, increasing our ownership of SMG to 100%. SMG's results are consolidated in our financial statements from January 2, 2026 and are reported within our SMG segment.
Business Overview
EZCORP is a Delaware corporation headquartered in Austin, Texas. We are a leading provider of pawn services in the United States, Latin America and the Caribbean. Pawn loans are non-recourse loans collateralized by personal property. We also sell merchandise, primarily collateral forfeited from unpaid loans and pre-owned merchandise purchased from customers.
We exist to serve our customers’ short-term cash needs, helping them to live and enjoy their lives. We are focused on three strategic pillars:
| Strengthen the Core | Relentless focus on superior execution and operational excellence in our pawn business | ||||
| Cost Efficiency and Simplification | Shape a culture of cost efficiency through ongoing focus on simplification and optimization | ||||
| Innovate and Grow | Broaden customer engagement to service more customers more frequently in more locations | ||||
24
Pawn Activities
At our pawn stores, we advance cash against the value of collateralized tangible personal property. We earn pawn service charges (“PSC”) for those cash advances, and the PSC rate varies by state and transaction size. At the time of the transaction, we take possession of the pawned collateral, which consists of tangible personal property, generally jewelry, consumer electronics, tools, sporting goods and musical instruments. If the customer chooses to redeem their pawn, they repay the amount advanced plus any PSC. If the customer chooses not to redeem their pawn, the pawned collateral becomes our inventory, which we sell in our retail merchandise sales activities or, in some cases, scrap for its inherent gold or precious stone content. Consequently, the success of our pawn business is largely dependent on our ability to accurately assess the probability of pawn redemption and the estimated resale or scrap value of the collateralized personal property.
Our ability to offer quality pre-owned goods for sale at prices significantly lower than original retail prices attracts value-conscious customers. The gross profit on sales of inventory depends primarily on our assessment of the estimated resale or scrap value at the time the property is either accepted as pawn collateral or purchased and our ability to sell that merchandise in a timely manner. Because a significant portion of our inventory and sales involve gold and jewelry, our results can be influenced by the market price of gold and diamonds.
Growth and Expansion
Part of our strategy is to grow the number of locations we operate through opening new (“de novo”) locations and through acquisitions in both Latin America and the U.S. and potential new markets. Our ability to add new stores is dependent on several variables, such as projected achievement of internal investment hurdles, the availability of acceptable sites or acquisition candidates, the alignment of acquirer/seller price expectations, the regulatory environment, local zoning ordinances, access to capital and availability of qualified personnel.
Seasonality and Quarterly Results
In the U.S., PSC historically is highest in our fourth fiscal quarter (July through September) due to a higher average PLO balance during the summer and is lowest in our third fiscal quarter (April through June) following the tax refund season. Merchandise sales historically are highest in the U.S. in our first and second fiscal quarters (October through March) due to the holiday season, Valentine’s Day jewelry sales and our customers’ receipt of tax refunds. In Latin America, most of our customers receive additional compensation from their employers in December, and many receive additional compensation in June or July, applying downward pressure on PLO balances and fueling merchandise sales in those periods. As a net effect of these and other factors and excluding discrete charges, our consolidated income before tax is generally highest in our first fiscal quarter (October through December) and lowest in our third fiscal quarter (April through June).
25
Financial Highlights
We remain focused on optimizing our balance of pawn loans outstanding (“PLO”) and the resulting higher PSC. The following chart presents sources of gross profit, including PSC, merchandise sales gross profit (“Merchandise sales GP”) and jewelry scrap gross profit (“Jewelry scrap GP”) for the three and nine months ended June 30, 2026 and 2025:
The following chart presents sources of gross profit by segment for the three and nine months ended June 30, 2026 and 2025:
26
Results of Operations
Non-GAAP Constant Currency and Same-Store Financial Information
To supplement our condensed consolidated financial statements, which are prepared and presented in accordance with GAAP, we provide certain other non-GAAP financial information on a constant currency basis (“constant currency”) and “same-store” basis. We use constant currency results to evaluate our Latin America Pawn operations, which are denominated primarily in Mexican pesos, Guatemalan quetzales and other Latin American currencies. We analyze results on a same-store basis (which is defined as stores open during the entirety of the comparable periods) to better understand existing store performance without the influence of increases or decreases resulting solely from changes in store count. We believe presentation of constant currency and same-store results is meaningful and useful in understanding the activities and business metrics of our Latin America Pawn operations and reflects an additional way of viewing aspects of our business that, when viewed with GAAP results, provides a better understanding and evaluation of factors and trends affecting our business. We provide non-GAAP financial information for informational purposes and to enhance understanding of our GAAP consolidated financial statements. We use this non-GAAP financial information to evaluate and compare operating results across accounting periods. Readers should consider the information in addition to, but not rather than or superior to, our financial statements prepared in accordance with GAAP. This non-GAAP financial information may be determined or calculated differently by other companies, limiting the usefulness of those measures for comparative purposes.
Constant currency results reported herein are calculated by translating consolidated balance sheet and consolidated statement of operations items denominated in local currency to U.S. dollars using the exchange rate from the prior-year comparable period, as opposed to the current period, in order to exclude the effects of foreign currency rate fluctuations. In addition, we have an equity method investment that is denominated in Australian dollars and is translated into U.S. dollars. We used the end-of-period rate for balance sheet items and the average closing daily exchange rate on a monthly basis during the appropriate period for statement of operations items. Our statement of operations constant currency results reflect the monthly exchange rate fluctuations and are not directly calculable from the rates below. Constant currency results, where presented, also exclude the foreign currency gain or loss. The end-of-period and approximate average exchange rates for each applicable currency as compared to U.S. dollars as of and for the three and nine months ended June 30, 2026 and 2025 were as follows:
| June 30, | Three Months Ended June 30, | Nine Months Ended June 30, | |||||||||||||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||||||||||||
| Mexican peso | 17.5 | 18.8 | 17.4 | 19.5 | 17.8 | 20.0 | |||||||||||||||||||||||||||||
| Guatemalan quetzal | 7.5 | 7.6 | 7.5 | 7.6 | 7.5 | 7.6 | |||||||||||||||||||||||||||||
| Honduran lempira | 26.4 | 25.8 | 26.4 | 25.7 | 26.3 | 25.2 | |||||||||||||||||||||||||||||
| Australian dollar | 1.5 | 1.5 | 1.4 | 1.6 | 1.5 | 1.6 | |||||||||||||||||||||||||||||
27
Operating Results
Segments
As a result of the acquisition of Founders and SMG effective January 2, 2026, the composition of our reportable segments changed beginning in the second quarter of fiscal 2026. Refer to Note 2: Acquisitions of Notes to Condensed Consolidated Financial Statements included in “Part I, Item 1 — Financial Statements.” for further details. SMG is now reported as a standalone reportable segment. Our equity interest in CCV is now included within Corporate. Prior period segment information has been recast to reclassify CCV equity income and interest income from notes receivable from Founders from the "Other Investments" segment to Corporate. Because SMG was not a consolidated subsidiary in any prior period presented, no prior period SMG segment results exist in our consolidated financial statements.
We currently report our segments as follows:
•U.S. Pawn — all pawn activities in the United States, except for SMG;
•Latin America Pawn — all pawn activities in Mexico and other parts of Latin America, except for SMG; and
•SMG — all pawn activities of Simple Management Group, Inc.
Store Count by Segment
| Nine Months Ended June 30, 2026 | |||||||||||||||||||||||
| U.S. Pawn | Latin America Pawn | SMG | Consolidated | ||||||||||||||||||||
| As of September 30, 2025 | 545 | 815 | — | 1,360 | |||||||||||||||||||
| New locations opened | — | 7 | — | 7 | |||||||||||||||||||
| Locations acquired | 3 | 14 | — | 17 | |||||||||||||||||||
| Locations combined or closed | (1) | — | — | (1) | |||||||||||||||||||
| As of December 31, 2025 | 547 | 836 | — | 1,383 | |||||||||||||||||||
| New locations opened | — | 4 | 2 | 6 | |||||||||||||||||||
| Locations acquired | 12 | — | 105 | 117 | |||||||||||||||||||
| As of March 31, 2026 | 559 | 840 | 107 | 1,506 | |||||||||||||||||||
| New locations opened | — | 9 | 1 | 10 | |||||||||||||||||||
| Locations acquired | 1 | 33 | — | 34 | |||||||||||||||||||
| Locations combined or closed | — | (1) | — | (1) | |||||||||||||||||||
| As of June 30, 2026 | 560 | 881 | 108 | 1,549 | |||||||||||||||||||
| Nine Months Ended June 30, 2025 | |||||||||||||||||
| U.S. Pawn | Latin America Pawn | Consolidated | |||||||||||||||
| As of September 30, 2024 | 542 | 737 | 1,279 | ||||||||||||||
| New locations opened | — | 4 | 4 | ||||||||||||||
| As of December 31, 2024 | 542 | 741 | 1,283 | ||||||||||||||
| New locations opened | — | 9 | 9 | ||||||||||||||
| Locations acquired | — | 1 | 1 | ||||||||||||||
| Locations combined or closed | — | (9) | (9) | ||||||||||||||
| As of March 31, 2025 | 542 | 742 | 1,284 | ||||||||||||||
| New locations opened | — | 10 | 10 | ||||||||||||||
| Locations acquired | 3 | 40 | 43 | ||||||||||||||
| Locations combined or closed | — | (1) | (1) | ||||||||||||||
| As of June 30, 2025 | 545 | 791 | 1,336 | ||||||||||||||
28
Three Months Ended June 30, 2026 vs. Three Months Ended June 30, 2025
These tables, as well as the discussion that follows, should be read in conjunction with the accompanying Condensed Consolidated Financial Statements and related notes.
These tables, as well as the discussion that follows, should be read in conjunction with the accompanying Condensed Consolidated Financial Statements and related notes.
U.S. Pawn
The following table presents selected summary financial data for our U.S. Pawn segment:
| Three Months Ended June 30, | Change | |||||||||||||||||||
| (in thousands) | 2026 | 2025 | ||||||||||||||||||
| Gross profit: | ||||||||||||||||||||
| Pawn service charges | $ | 95,209 | $ | 83,930 | 13% | |||||||||||||||
| Merchandise sales | 118,762 | 112,249 | 6% | |||||||||||||||||
| Merchandise sales gross profit | 47,232 | 43,165 | 9% | |||||||||||||||||
| Gross margin on merchandise sales | 39.8 | % | 38.5 | % | 130bps | |||||||||||||||
| Jewelry scrap sales | 37,231 | 23,750 | 57% | |||||||||||||||||
| Jewelry scrap sales gross profit | 10,048 | 6,936 | 45% | |||||||||||||||||
| Gross margin on jewelry scrap sales | 27.0 | % | 29.2 | % | (220)bps | |||||||||||||||
| Other revenues | 29 | 31 | (6)% | |||||||||||||||||
| Gross profit | 152,518 | 134,062 | 14% | |||||||||||||||||
| Segment operating expenses: | ||||||||||||||||||||
| Store expenses | 88,034 | 81,843 | 8% | |||||||||||||||||
| Depreciation and amortization | 2,837 | 2,651 | 7% | |||||||||||||||||
| Loss on sale or disposal of assets and other | 4 | — | * | |||||||||||||||||
| Segment operating contribution | 61,643 | 49,568 | 24% | |||||||||||||||||
| Other expense (income) | — | — | * | |||||||||||||||||
| Segment contribution | $ | 61,643 | $ | 49,568 | 24% | |||||||||||||||
| Other data: | ||||||||||||||||||||
Average monthly ending pawn loan balance per store (a) | $ | 439 | $ | 389 | 13% | |||||||||||||||
| Monthly average yield on pawn loans outstanding | 13 | % | 13 | % | —bps | |||||||||||||||
Pawn collateral - general merchandise (b) | 31 | % | 36 | % | (420)bps | |||||||||||||||
Pawn collateral - jewelry (b) | 69 | % | 64 | % | 420bps | |||||||||||||||
| * | Represents a percentage computation that is not mathematically meaningful. | ||||
| (a) | Balance is calculated based upon the average of the monthly ending balances during the applicable period. | ||||
| (b) | Prior period has been recast to conform to an updated allocation methodology implemented in the current period. The change was not material. | ||||
PLO ended the quarter at $254.5 million, an increase of 15% (13% on a same-store basis) due to an increase in average loan size and continued strong loan demand.
Net inventory increased 28% due to the increase in PLO, layaways and purchases. Inventory turnover remained consistent at 2.0x. Aged general merchandise decreased by 90 bps to 1.9%, or $0.7 million of total general merchandise inventory.
Total revenues and gross profit increased 14%, driven by increased jewelry scrap sales, PSC, and merchandise sales.
Pawn service charges increased 13% as a result of higher average PLO.
Merchandise sales increased 6% (3% on a same-store basis), and sales gross margin increased by 130 bps to 40%.
29
Jewelry scrap sales increased 57% due to increase in gold price and jewelry purchases, and jewelry scrap sales gross margin decreased to 27% from 29%.
Store expenses increased 8% (6% on a same-store basis) primarily due to increased labor, in line with store activity.
Segment contribution increased 24% to $61.6 million.
Segment store count increased to 560 due to the acquisition of 1 store during the quarter.
Latin America Pawn
The following table presents selected summary financial data for the Latin America Pawn segment, including constant currency results, after translation to U.S. dollars from its functional currencies noted above under “Results of Operations — Non-GAAP Constant Currency and Same-Store Financial Information.”
| Three Months Ended June 30, | ||||||||||||||||||||||||||||||||
| (in thousands) | 2026 (GAAP) | 2025 (GAAP) | Change (GAAP) | 2026 (Constant Currency) | Change (Constant Currency) | |||||||||||||||||||||||||||
| Gross profit: | ||||||||||||||||||||||||||||||||
| Pawn service charges | $ | 42,949 | $ | 31,409 | 37% | $ | 39,586 | 26% | ||||||||||||||||||||||||
| Merchandise sales | 73,776 | 56,375 | 31% | 67,655 | 20% | |||||||||||||||||||||||||||
| Merchandise sales gross profit | 26,299 | 17,233 | 53% | 24,038 | 39% | |||||||||||||||||||||||||||
| Gross margin on merchandise sales | 35.6 | % | 30.6 | % | 500bps | 35.5 | % | 490bps | ||||||||||||||||||||||||
| Jewelry scrap sales | 7,670 | 3,220 | 138% | 6,818 | 112% | |||||||||||||||||||||||||||
| Jewelry scrap sales gross profit | 1,969 | 918 | 114% | 1,745 | 90% | |||||||||||||||||||||||||||
| Gross margin on jewelry scrap sales | 25.7 | % | 28.5 | % | (284)bps | 25.6 | % | (292)bps | ||||||||||||||||||||||||
| Other revenues, net | 14 | 17 | (18)% | 13 | (24)% | |||||||||||||||||||||||||||
| Gross profit | 71,231 | 49,577 | 44% | 65,382 | 32% | |||||||||||||||||||||||||||
| Segment operating expenses: | ||||||||||||||||||||||||||||||||
| Store expenses | 43,633 | 31,539 | 38% | 39,952 | 27% | |||||||||||||||||||||||||||
| Depreciation and amortization | 2,891 | 2,156 | 34% | 2,659 | 23% | |||||||||||||||||||||||||||
| Loss on sale or disposal of assets and other | 21 | — | * | — | * | |||||||||||||||||||||||||||
| Segment operating contribution | 24,686 | 15,882 | 55% | 22,771 | 43% | |||||||||||||||||||||||||||
| Other segment (income) expense | (123) | (12) | * | 12 | (200)% | |||||||||||||||||||||||||||
| Segment contribution | $ | 24,809 | $ | 15,894 | 56% | $ | 22,759 | 43% | ||||||||||||||||||||||||
| Other data: | ||||||||||||||||||||||||||||||||
Average monthly ending pawn loan balance per store (a) | $ | 111 | $ | 88 | 26% | $ | 103 | 17% | ||||||||||||||||||||||||
| Monthly average yield on pawn loans outstanding | 15 | % | 16 | % | (100)bps | 15 | % | (100)bps | ||||||||||||||||||||||||
| Pawn collateral - general merchandise | 51 | % | 60 | % | (900)bps | 50 | % | (940)bps | ||||||||||||||||||||||||
| Pawn collateral - jewelry | 49 | % | 40 | % | 900bps | 50 | % | 940bps | ||||||||||||||||||||||||
| * | Represents a percentage computation that is not mathematically meaningful. | ||||
| (a) | Balance is calculated based upon the average of the monthly ending balances during the applicable period. | ||||
30
| 2026 Change (GAAP) | 2026 Change (Constant Currency) | |||||||||||||
| Same-store data: | ||||||||||||||
| PLO | 35% | 28% | ||||||||||||
| PSC | 26% | 16% | ||||||||||||
| Merchandise Sales | 21% | 11% | ||||||||||||
| Merchandise Sales Gross Profit | 41% | 29% | ||||||||||||
| Store Expenses | 28% | 17% | ||||||||||||
PLO improved to $98.9 million, an increase of 40% (33% on constant currency basis). On a same-store basis, PLO increased 35% (28% increase on a constant currency basis) due to strong loan demand and improved operational performance.
Net inventory increased 27% (21% on a constant currency basis) due to an increase in PLO. Inventory turnover remained consistent at 3.1x. On a same-store basis, net inventory increased by 11% (5% on a constant currency basis). Aged general merchandise decreased below 1% of total general merchandise inventory.
Total revenues increased 37% (25% on constant currency basis), and gross profit increased 44% (32% on a constant currency basis), primarily due to increased jewelry scrap sales, PSC, and merchandise sales.
PSC increased to $42.9 million, an increase of 37% (26% on a constant currency basis) as a result of higher average PLO.
Merchandise sales increased 31% (20% on constant currency basis) and 21% on a same-store basis (11% increase on a constant currency basis). Merchandise sales gross margin increased to 36% from 31%.
Jewelry scrap sales increased 138% due to increase in gold price, and jewelry scrap sales gross margin decreased to 26% from 29%.
Store expenses increased 38% (27% increase on a constant currency basis) and increased 28% on a same-store basis (17% increase on a constant currency basis) due to increased labor, in line with store activity and minimum wage increases.
Segment contribution increased 56% to $24.8 million (43% on a constant currency basis).
Segment store count increased by 41 to 881 during the quarter due to 33 acquired stores and 9 de novo stores, partially offset by 1 store consolidation.
31
SMG
The following table presents selected financial data for our SMG segment. As described above, SMG is consolidated in our financial statements beginning January 2, 2026; accordingly, prior period results do not include SMG operating results and period-over-period comparisons for this segment are not meaningful.
| Three Months Ended June 30, | ||||||||||||||||||||
| (in thousands) | 2026 | |||||||||||||||||||
| Gross profit: | ||||||||||||||||||||
| Pawn service charges | $ | 14,317 | ||||||||||||||||||
| Merchandise sales | 17,117 | |||||||||||||||||||
| Merchandise sales gross profit | 5,369 | |||||||||||||||||||
| Gross margin on merchandise sales | 31.4 | % | ||||||||||||||||||
| Jewelry scrap sales | 11,674 | |||||||||||||||||||
| Jewelry scrap sales gross profit | 2,752 | |||||||||||||||||||
| Gross margin on jewelry scrap sales | 23.6 | % | ||||||||||||||||||
| Gross profit | 22,438 | |||||||||||||||||||
| Segment operating expenses: | ||||||||||||||||||||
| Store expenses | 16,026 | |||||||||||||||||||
| Depreciation and amortization | 635 | |||||||||||||||||||
| Segment operating contribution | 5,777 | |||||||||||||||||||
| Other expense (income) | (157) | |||||||||||||||||||
| Segment contribution | $ | 5,934 | ||||||||||||||||||
| Other data: | ||||||||||||||||||||
Average monthly ending pawn loan balance per store (a) | $ | 312 | ||||||||||||||||||
| Monthly average yield on pawn loans outstanding | 14 | % | ||||||||||||||||||
| Pawn collateral - general merchandise | 51 | % | ||||||||||||||||||
| Pawn collateral - jewelry | 49 | % | ||||||||||||||||||
| (a) | Balance is calculated based upon the average of the monthly ending balances during the applicable period. | ||||
PLO of $33.8 million and net inventory of $28.9 million, with aged general merchandise at 1.1% of total general merchandise inventory.
Total revenues were $43.1 million, comprised of merchandise sales of $17.1 million (with a margin of 31%), PSC of $14.3 million, and jewelry scrap sales of $11.7 million (with a margin of 24%).
Gross profit was $22.4 million.
Store expenses totaled $16.0 million.
Segment contribution was $5.9 million.
Segment store count increased during the quarter to 108 due to the addition of 1 de novo.
32
Corporate Items
The following table reconciles our consolidated segment contribution discussed above to consolidated net income including items that affect our consolidated financial results but are not allocated among segments. Prior period amounts have been recast to conform to the current period presentation. See Note 11: Segment Information of Notes to Condensed Consolidated Financial Statements included in “Part I, Item 1 — Financial Statements.”
| Three Months Ended June 30, | Change | |||||||||||||||||||
| (in thousands) | 2026 | 2025 | ||||||||||||||||||
| Segment contribution | $ | 92,386 | $ | 65,462 | 41% | |||||||||||||||
| Corporate expenses (income): | ||||||||||||||||||||
| General and administrative | 33,999 | 27,521 | 24% | |||||||||||||||||
| Depreciation and amortization | 3,287 | 3,196 | 3% | |||||||||||||||||
| Other operating income | — | (1,262) | (100)% | |||||||||||||||||
| Interest expense | 8,353 | 8,458 | (1)% | |||||||||||||||||
| Interest income | (2,786) | (5,440) | (49)% | |||||||||||||||||
| Equity in net income of unconsolidated affiliates | (1,895) | (1,200) | 58% | |||||||||||||||||
| Other (income) expense | (581) | (524) | 11% | |||||||||||||||||
| Income before income taxes | 52,009 | 34,713 | 50% | |||||||||||||||||
| Income tax expense | 13,515 | 8,210 | 65% | |||||||||||||||||
| Consolidated net income | $ | 38,494 | $ | 26,503 | 45% | |||||||||||||||
General and administrative expense increased $6.5 million or 24%, primarily due to labor costs (including higher incentive compensation) and expenses associated with SMG.
Interest income decreased $2.7 million or 49%, primarily due to a decrease in the average Cash and cash equivalents held during the period as compared to the prior period.
Income tax expense increased $5.3 million primarily due to an increase in income before taxes of $17.3 million.
Income tax expense includes other items that do not necessarily correspond to pre-tax earnings and create volatility in our effective tax rate. These items include the net effect of state taxes, non-deductible items and the foreign rate differential. See Annual Report on Form 10-K for the year ended September 30, 2025, Note 10: Income Taxes of Notes to Consolidated Financial Statements included in “Part II, Item 8 — Financial Statements and Supplemental Data” for quantification of these items.
33
Nine Months Ended June 30, 2026 vs. Nine Months Ended June 30, 2025
The tables below and discussion that follows should be read in conjunction with the accompanying condensed consolidated financial statements and related notes.
U.S. Pawn
The following table presents selected summary financial data for the U.S. Pawn segment:
| Nine Months Ended June 30, | Change | |||||||||||||||||||
| (in thousands) | 2026 | 2025 | ||||||||||||||||||
| Gross profit: | ||||||||||||||||||||
| Pawn service charges | $ | 289,153 | $ | 259,354 | 11% | |||||||||||||||
| Merchandise sales | 385,688 | 357,964 | 8% | |||||||||||||||||
| Merchandise sales gross profit | 148,824 | 132,552 | 12% | |||||||||||||||||
| Gross margin on merchandise sales | 38.6 | % | 37.0 | % | 160bps | |||||||||||||||
| Jewelry scrap sales | 128,236 | 56,146 | 128% | |||||||||||||||||
| Jewelry scrap sales gross profit | 45,031 | 14,129 | 219% | |||||||||||||||||
| Gross margin on jewelry scrap sales | 35.1 | % | 25.2 | % | 990bps | |||||||||||||||
| Other revenues | 90 | 82 | 10% | |||||||||||||||||
| Gross profit | 483,098 | 406,117 | 19% | |||||||||||||||||
| Segment operating expenses: | ||||||||||||||||||||
| Store expenses | 264,182 | 245,042 | 8% | |||||||||||||||||
| Depreciation and amortization | 8,369 | 8,050 | 4% | |||||||||||||||||
| Loss on sale or disposal of assets and other | 91 | 17 | * | |||||||||||||||||
| Segment operating contribution | 210,456 | 153,008 | 38% | |||||||||||||||||
| Other segment income | — | (7) | (100)% | |||||||||||||||||
| Segment contribution | $ | 210,456 | $ | 153,015 | 38% | |||||||||||||||
| Other data: | ||||||||||||||||||||
Average monthly ending pawn loan balance per store (a) | $ | 430 | $ | 389 | 11% | |||||||||||||||
| Monthly average yield on pawn loans outstanding | 14 | % | 14 | % | (20)bps | |||||||||||||||
| * | Represents a percentage computation that is not mathematically meaningful. | ||||
| (a) | Balance is calculated based upon the average of the monthly ending balances during the applicable period. | ||||
Pawn service charges increased 11% as a result of higher average PLO.
Merchandise sales increased 8%, and merchandise sale gross margin increased 160 bps.
Jewelry scrap sales increased 128%, and jewelry scrap sales gross margin increased from 25% to 35%, due to increase in gold price and jewelry purchases
Store expenses increased 8% (6% on a same-store basis), primarily due to increased labor, in line with store activity.
Segment contribution increased $57.4 million, or 38%, primarily due to the changes described above.
34
Latin America Pawn
The following table presents selected summary financial data our Latin America Pawn segment, including constant currency results, after translation to U.S. dollars from functional currencies. See “Results of Operations — Non-GAAP Constant Currency and Same-Store Financial Information” above.
| Nine Months Ended June 30, | ||||||||||||||||||||||||||||||||
| (in thousands) | 2026 (GAAP) | 2025 (GAAP) | Change (GAAP) | 2026 (Constant Currency) | Change (Constant Currency) | |||||||||||||||||||||||||||
| Gross profit: | ||||||||||||||||||||||||||||||||
| Pawn service charges | $ | 117,668 | $ | 88,908 | 32% | $ | 108,232 | 22% | ||||||||||||||||||||||||
| Merchandise sales | 213,643 | 166,470 | 28% | 195,274 | 17% | |||||||||||||||||||||||||||
| Merchandise sales gross profit | 73,870 | 50,277 | 47% | 67,364 | 34% | |||||||||||||||||||||||||||
| Gross margin on merchandise sales | 34.6 | % | 30.2 | % | 440bps | 34.5 | % | 430bps | ||||||||||||||||||||||||
| Jewelry scrap sales | 18,704 | 8,494 | 120% | 16,688 | 96% | |||||||||||||||||||||||||||
| Jewelry scrap sales gross profit | 5,933 | 2,144 | 177% | 5,280 | 146% | |||||||||||||||||||||||||||
| Gross margin on jewelry scrap sales | 31.7 | % | 25.2 | % | 648bps | 31.6 | % | 640bps | ||||||||||||||||||||||||
| Other revenues, net | 47 | 49 | (4)% | 42 | (14)% | |||||||||||||||||||||||||||
| Gross profit | 197,518 | 141,378 | 40% | 180,918 | 28% | |||||||||||||||||||||||||||
| Segment operating expenses: | ||||||||||||||||||||||||||||||||
| Store expenses | 125,762 | 90,343 | 39% | 114,504 | 27% | |||||||||||||||||||||||||||
| Depreciation and amortization | 8,159 | 6,191 | 32% | 7,502 | 21% | |||||||||||||||||||||||||||
| Loss on sale or disposal of assets and other | 21 | 8 | 163% | — | (100)% | |||||||||||||||||||||||||||
| Segment operating contribution | 63,576 | 44,836 | 42% | 58,912 | 31% | |||||||||||||||||||||||||||
| Other segment (income) expense | (489) | (220) | 122% | 6 | (103)% | |||||||||||||||||||||||||||
| Segment contribution | $ | 64,065 | $ | 45,056 | 42% | $ | 58,906 | 31% | ||||||||||||||||||||||||
| Other data: | ||||||||||||||||||||||||||||||||
Average monthly ending pawn loan balance per store (a) | $ | 100 | $ | 85 | 18% | $ | 92 | 8% | ||||||||||||||||||||||||
| Monthly average yield on pawn loans outstanding | 16 | % | 16 | % | —bps | 15 | % | (100)bps | ||||||||||||||||||||||||
| (a) | Balance is calculated based upon the average of the monthly ending balances during the applicable period. | ||||
| 2026 Change (GAAP) | 2026 Change (Constant Currency) | |||||||||||||
| Same-store data: | ||||||||||||||
| PLO | 34% | 27% | ||||||||||||
| PSC | 22% | 12% | ||||||||||||
| Merchandise Sales | 19% | 9% | ||||||||||||
| Merchandise Sales Gross Profit | 37% | 25% | ||||||||||||
| Store Expenses | 28% | 17% | ||||||||||||
During the nine months ended June 30, 2026, net store count increased by 66 due to the acquisition of 47 stores and the opening of 20 de novo stores, partially offset by 1 store consolidation.
PSC increased 32% to $117.7 million (22% to $108.2 million on a constant currency basis) as a result of higher average PLO and new stores.
Merchandise sales increased 28% (17% on a constant currency basis) and 19% on a same-store basis (9% on a constant currency basis). Merchandise sales gross margin increased 440 bps to 35% from 30%.
35
Jewelry scrap sales increased 120% (96% constant currency basis), and jewelry scrap sales gross margin increased from 25% to 32% due to increase in gold price.
Store expenses increased 39% (27% increase on a constant currency basis) and increased by 28% on a same-store basis (17% increase on a constant currency basis). The constant currency increase was primarily due to increased labor, in line with store activity and minimum wage increases.
Segment contribution increased $19.0 million, or 42% ($13.9 million, or 31%, on a constant currency basis), due to the changes noted above.
SMG
The following table presents selected financial data for our SMG segment. As described above, SMG is consolidated in our financial statements beginning January 2, 2026; accordingly, prior period results do not include SMG operating results and period-over-period comparisons for this segment are not meaningful.
| Nine Months Ended June 30, | ||||||||||||||||||||
| (in thousands) | 2026 | |||||||||||||||||||
| Gross profit: | ||||||||||||||||||||
| Pawn service charges | $ | 28,699 | ||||||||||||||||||
| Merchandise sales | 34,936 | |||||||||||||||||||
| Merchandise sales gross profit | 11,274 | |||||||||||||||||||
| Gross margin on merchandise sales | 32.3 | % | ||||||||||||||||||
| Jewelry scrap sales | 30,784 | |||||||||||||||||||
| Jewelry scrap sales gross profit | 8,602 | |||||||||||||||||||
| Gross margin on jewelry scrap sales | 27.9 | % | ||||||||||||||||||
| Gross profit | 48,575 | |||||||||||||||||||
| Segment operating expenses: | ||||||||||||||||||||
| Store expenses | 32,640 | |||||||||||||||||||
| Depreciation and amortization | 1,309 | |||||||||||||||||||
| Segment operating contribution | 14,626 | |||||||||||||||||||
| Other expense (income) | (119) | |||||||||||||||||||
| Segment contribution | $ | 14,745 | ||||||||||||||||||
| Other data: | ||||||||||||||||||||
Average monthly ending pawn loan balance per store (a) | $ | 317 | ||||||||||||||||||
| Monthly average yield on pawn loans outstanding | 14 | % | ||||||||||||||||||
| (a) | Balance is calculated based upon the average of the monthly ending balances during the applicable period. | ||||
Total revenues were $94.4 million, comprised of merchandise sales of $34.9 million (with a margin of 32.3%), jewelry scrap sales of $30.8 million (with a margin of 27.9%), and PSC of $28.7 million.
Gross profit was $48.6 million.
Store expenses were $32.6 million.
Segment contribution was $14.7 million, reflecting SMG operating results from the January 2, 2026 consolidation date through June 30, 2026.
36
Corporate Items
The following table reconciles our consolidated segment contribution discussed above to consolidated net income including items that affect our consolidated financial results but are not allocated among segments. Prior period amounts have been recast to conform to the current period presentation. See Note 11: Segment Information of Notes to Condensed Consolidated Financial Statements included in “Part I, Item 1 — Financial Statements.”
| Nine Months Ended June 30, | Change | |||||||||||||||||||
| (in thousands) | 2026 | 2025 | ||||||||||||||||||
| Segment contribution | $ | 289,266 | $ | 198,071 | 46% | |||||||||||||||
| Corporate expenses (income): | ||||||||||||||||||||
| General and administrative | 95,230 | 76,805 | 24% | |||||||||||||||||
| Depreciation and amortization | 10,157 | 10,117 | —% | |||||||||||||||||
| Other operating income | — | (1,262) | (100)% | |||||||||||||||||
| Interest expense | 24,873 | 14,886 | 67% | |||||||||||||||||
| Interest income | (10,187) | (9,408) | 8% | |||||||||||||||||
| Equity in net income of unconsolidated affiliates | (4,884) | (4,180) | 17% | |||||||||||||||||
| Other (income) expense | (2,589) | 604 | * | |||||||||||||||||
| Income before income taxes | 176,666 | 110,509 | 60% | |||||||||||||||||
| Income tax expense | 44,284 | 27,600 | 60% | |||||||||||||||||
| Consolidated net income | $ | 132,382 | $ | 82,909 | 60% | |||||||||||||||
| * | Represents a percentage computation that is not mathematically meaningful. | ||||
Segment contribution increased $91.2 million or 46% over the prior year period, primarily due to improved operating results of the U.S. Pawn and Latin America Pawn segments, and the acquisition of SMG in the second quarter of fiscal 2026.
General and administrative expenses increased $18.4 million or 24%, primarily due to labor costs (including higher incentive compensation) and expenses associated with SMG.
Interest expense increased $10.0 million or 67%, primarily driven by the issuance of 2032 Senior Notes in the second quarter of fiscal 2025.
Interest income increased $0.8 million or 8%, primarily due to an increase in the average Cash and cash equivalents held during the period as compared to the prior period.
Other (income) expense improved $3.2 million primarily due to the non-cash gain on remeasurement of our previously held equity interest in Founders, in connection with the January 2, 2026 acquisition.
Income tax expense increased $16.7 million, primarily due to an increase in income before income taxes of $66.2 million for the nine months ended June 30, 2026 compared to the same period in the prior year.
Income tax expense includes other items that do not necessarily correspond to pre-tax earnings and create volatility in our effective tax rate. These items include the net effect of state taxes, non-deductible items and the foreign rate differential. See Annual Report on Form 10-K for the year ended September 30, 2025, Note 10: Income Taxes of Notes to Consolidated Financial Statements included in “Part II, Item 8 — Financial Statements and Supplemental Data” for quantification of these items.
Liquidity and Capital Resources
Cash and Cash Equivalents
Our cash and cash equivalents balance was $311.0 million at June 30, 2026 compared to $469.5 million at September 30, 2025. Our cash and equivalents are primarily held in cash depository accounts with banks in geographies we operate or invested in high quality, short-term liquid investments. The decrease in cash and cash equivalents is primarily driven by the retirement of SMG’s existing third-party indebtedness and cash used for acquisitions.
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Cash Flows
The table and discussion below presents a summary of the selected sources and uses of our cash:
| Nine Months Ended June 30, | Percentage Change | |||||||||||||||||||
| (in thousands) | 2026 | 2025 | ||||||||||||||||||
| Net cash provided by operating activities | $ | 130,388 | $ | 97,730 | 33% | |||||||||||||||
| Net cash used in investing activities | (125,466) | (66,040) | 90% | |||||||||||||||||
| Net cash (used in) provided by financing activities | (164,160) | 275,606 | (160)% | |||||||||||||||||
| Effect of exchange rate changes on cash and cash equivalents and restricted cash | 1,223 | (26) | * | |||||||||||||||||
| Net (decrease) increase in cash, cash equivalents and restricted cash | $ | (158,015) | $ | 307,270 | (151)% | |||||||||||||||
| * | Represents a percentage computation that is not mathematically meaningful. | ||||
The $32.7 million increase in cash flows provided by operating activities year-over-year was primarily due to an increase in net income and non-cash adjustments, partially offset by changes in working capital.
The $59.4 million increase in cash flows used in investing activities year-over-year was primarily due to a $91.7 million increase in net pawn lending outflows and a $34.5 million increase in net cash flows used related to acquisitions, investments and capital expenditures, partially offset by a $66.8 million increase in cash inflows from the sale of forfeited collateral.
In the nine months ended June 30, 2026, cash used in financing activities was driven primarily by the retirement of SMG’s existing third-party indebtedness. In the comparable prior year-period, cash provided by financing activities consisted primarily of proceeds from the issuance of the 2032 Senior Notes, partially offset by debt issuance costs paid in connection with that offering.
The net effect of these changes was a $158.0 million decrease during the current year to date period, resulting in a $326.7 million ending cash, cash equivalents and restricted cash balance.
Sources and Uses of Cash
On November 11, 2025, the Board approved a new share repurchase program which replaced the previous program that expired on May 3, 2025. Under the new program, we are authorized to repurchase up to $50 million of our Class A Non-Voting common shares over the next three years (the “2026 Common Stock Repurchase Program”). During the nine months ended June 30, 2026, the Company repurchased and retired 287,627 of our Class A Common Stock for $8.0 million under the 2026 Common Stock Repurchase Program. See Note 9 of Notes to Condensed Consolidated Financial Statements included in “Part I, Item 1 — Financial Statements.”
We anticipate that cash flows from operations and cash on hand will be adequate to fund ongoing operations, current debt service requirements, tax payments, any future stock repurchases, strategic investments, our contractual obligations, planned de novo store growth, capital expenditures and working capital requirements through the next twelve months. We continue to explore acquisition opportunities, both large and small, and may choose to pursue additional debt, equity or equity-linked financings in the future should the need arise. Depending on the level of acquisition activity and other factors, our ability to repay our longer term debt obligations, including the convertible debt maturing in December 2029 and the senior notes due April 2032, may require us to refinance these obligations through the issuance of new debt securities, equity securities, convertible securities or through new credit facilities.
Contractual Obligations
There have been no material changes to the contractual obligations disclosed in “Part II, Item 7 — Management’s Discussion and Analysis of Financial Condition and Results of Operations” of our Annual Report on Form 10-K for the year ended September 30, 2025.
Recently Adopted Accounting Policies and Recently Issued Accounting Pronouncements
See Note 1 of Notes to Condensed Consolidated Financial Statements included in “Part I, Item 1 — Financial Statements.” of this Quarterly Report for recently issued accounting pronouncements including the expected dates of adoption and estimated effects, if any, on our consolidated financial statements.
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Cautionary Statement Regarding Risks and Uncertainties that May Affect Future Results
This Quarterly Report on Form 10-Q, including Management’s Discussion and Analysis of Financial Condition and Results of Operations, includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. We intend that all forward-looking statements be subject to the safe harbors created by these laws. All statements, other than statements of historical facts, regarding our strategy, future operations, financial position, future revenues, projected costs, prospects, plans and objectives are forward-looking statements. These statements are often, but not always, made with words or phrases like “may,” “should,” “could,” “will,” “predict,” “anticipate,” “believe,” “estimate,” “expect,” “intend,” “plan,” “projection” and similar expressions. Such statements are only predictions of the outcome and timing of future events based on our current expectations and currently available information and, accordingly, are subject to substantial risks, uncertainties and assumptions. Actual results could differ materially from those expressed in the forward-looking statements due to a number of risks and uncertainties, many of which are beyond our control. In addition, we cannot predict all of the risks and uncertainties that could cause our actual results to differ from those expressed in the forward-looking statements. Accordingly, you should not regard any forward-looking statements as a representation that the expected results will be achieved. Important risk factors that could cause results or events to differ from current expectations are identified and described in “Part I, Item 1A — Risk Factors” of our Annual Report on Form 10-K for the year ended September 30, 2025 and “Part II, Item 1A — Risk Factors” of this Report.
We specifically disclaim any responsibility to publicly update any information contained in a forward-looking statement except as required by law. All forward-looking statements attributable to us are expressly qualified in their entirety by this cautionary statement.
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
Market risks relating to our operations result primarily from changes in interest rates, gold values and foreign currency exchange rates, and are described in detail in “Part II, Item 7A — Quantitative and Qualitative Disclosures about Market Risk” of our Annual Report on Form 10-K for the year ended September 30, 2025. There have been no material changes in our reported market risks or risk management policies since the filing of our Annual Report on Form 10-K for the year ended September 30, 2025.
ITEM 4. CONTROLS AND PROCEDURES
This report includes the certifications of our Chief Executive Officer and Chief Financial Officer required by Rule 13a-14 of the Securities Exchange Act of 1934 (the “Exchange Act”). See Exhibits 31.1 and 31.2. This Item 4 includes information concerning the controls and control evaluations referred to in those certifications.
Evaluation of Disclosure Controls and Procedures
Disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934) are designed to ensure that information required to be disclosed in the reports we file or submit under the Securities Exchange Act is recorded, processed, summarized and reported within the time periods specified in SEC rules and forms and that such information is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, to allow timely decisions regarding required disclosures.
Under the supervision and with the participation of our Chief Executive Officer and Chief Financial Officer, our management evaluated the effectiveness of the design and operation of our disclosure controls and procedures as of June 30, 2026. Our principal executive officer and principal financial officer have concluded that as of June 30, 2026, our disclosure controls and procedures were effective to provide reasonable assurance that information required to be disclosed in our reports under the Exchange Act is recorded, processed, summarized, and reported within the time periods specified in the SEC rules and forms and that such information is accumulated and communicated to management as appropriate to allow timely decisions regarding required disclosure
The Company acquired a controlling interest in Founders One, LLC on January 2, 2026 and 12 pawn stores in Texas in a purchase business combination completed on January 12, 2026. As discussed in SEC staff guidance, a company may conclude it will exclude acquired businesses from the assessment of internal control over financial reporting during the first year after completion of an acquisition. In light of the overlap between a company’s disclosure controls and procedures and its internal control over financial reporting, the evaluation of disclosure controls and procedures may also exclude an assessment of the disclosure controls and procedures of the acquired entity that are subsumed in internal control over financial reporting. In consideration of the SEC staff guidance, we excluded these acquisitions from our assessment of the effectiveness of disclosure controls and procedures as of June 30, 2026. The total assets and total revenues excluded from our assessment represented 15% and 11% of the Company’s consolidated total assets and consolidated total revenues, respectively, as of and for the three months ended June 30, 2026, and 8% of consolidated total revenues for the period from January 2, 2026 through June 30, 2026.
Changes in Internal Control Over Financial Reporting
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There were no changes in our internal control over financial reporting during the quarter ended June 30, 2026 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.
Inherent Limitations on Internal Controls
Our management, including our Chief Executive Officer and Chief Financial Officer, does not expect that our disclosure controls or our internal controls will prevent or detect all errors and all fraud. A control system, no matter how well designed and operated, can provide only reasonable, not absolute, assurance that the control system’s objectives will be met. Because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, within the Company have been detected. The design of any system of controls is based in part upon certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions. Over time, controls may become inadequate because of changes in conditions or deterioration in the degree of compliance with associated policies or procedures. Because of the inherent limitations in a cost-effective control system, misstatements due to error or fraud may occur and not be detected.
PART II — OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS
See Note 10: Commitments And Contingencies of Notes to Condensed Consolidated Financial Statements included in “Part I, Item 1 — Financial Statements.”
ITEM 1A. RISK FACTORS
Important risk factors that could affect our operations and financial performance, or that could cause results or events to differ from current expectations, are described in “Part I, Item 1A — Risk Factors” of our Annual Report on Form 10-K for the year ended September 30, 2025, as supplemented by the information set forth below.
Our use of artificial intelligence subjects us to incremental risks, which could adversely affect our financial condition and results of operations.
In the course of conducting our business, we utilize artificial intelligence (“AI”) and machine learning technologies (collectively, "AI Technologies"). Our use, non-use, misapplication of or failure to extract value from AI Technologies could negatively impact our financial position, results of operations, business prospects or reputation.
AI Technologies may generate incomplete, inaccurate or misleading outputs. Our integration of AI Technologies into our internal processes, systems, and operations may be delayed or unsuccessful, which could negatively affect our ability to enhance existing products or develop new products and could result in increased costs and system or other failures. If our competitors are able to deploy AI Technologies faster, more efficiently or more effectively, we may lose competitive advantage or market share. Also, our reputation or competitive position could also be adversely impacted if our use of AI Technologies becomes controversial. Evolving laws, regulatory frameworks, and advancements related to AI Technologies may impose incremental compliance burdens or expose us to liability. Our use of AI Technologies could inadvertently result in discriminatory or unfair outcomes, which could result in regulatory scrutiny, litigation or reputational harm.
We have programs in place to detect, contain, and respond to cybersecurity incidents; however, our use of AI Technologies may heighten our exposure to cybersecurity risks, including potential cyber-attacks, data breaches or misuse of data. As AI Technologies evolve, potential cyber-attacks may become more frequent or sophisticated and we may not be able to anticipate, prevent or detect security incidents or cyber-attacks.
We rely on third-party vendors for AI Technologies, and our business could be negatively impacted if the vendors or AI Technologies become unavailable, fail or are ineffective or otherwise flawed.
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ITEM 2. Unregistered Sale of Equity Security and Use of Proceeds
The table below provides certain information about our repurchase of shares of Class A Non-voting Common Stock during the quarter ended June 30, 2026.
| Share Repurchases | ||||||||||||||||||||||||||
| Total Number of Shares Purchased (1) | Average Price Paid Per Share | Total Number of Shares Purchased as Part of Publicly Announced Programs | Approximate Dollar Value of Shares That May Yet Be Purchased Under the Programs (1) | |||||||||||||||||||||||
| (in thousands, except number of shares and average price information) | ||||||||||||||||||||||||||
| April 1, 2026 through April 30, 2026 | 69,033 | $ | 28.97 | 69,033 | $ | 44,000 | ||||||||||||||||||||
| May 1, 2026 through May 31, 2026 | — | $ | — | — | $ | 44,000 | ||||||||||||||||||||
| June 1, 2026 through June 30, 2026 | 62,756 | $ | 31.87 | 62,756 | $ | 42,000 | ||||||||||||||||||||
| Quarter ended June 30, 2026 | 131,789 | $ | 30.35 | 131,789 | $ | 42,000 | ||||||||||||||||||||
(1) In November 2025, the Board of Directors approved a share repurchase program, under which we were authorized to repurchase up to $50.0 million of our Class A Non-Voting common shares over a three-year period. All repurchases under this program were in open market transactions at prevailing market prices and were executed pursuant to a trading plan under Rule 10b5-1 under the Securities Exchange Act of 1934. Execution of the program will be responsive to fluctuating market conditions and valuations, liquidity needs and the expected return on investment compared to other opportunities.
ITEM 5. Other Information
Insider Trading Arrangements
On June 12, 2026 , Ellen Bryant , Chief Legal Officer , entered into a prearranged trading plan to sell up to 40,000 shares of the Company’s Class A Non-Voting Common Stock, between September 11, 2026 and June 11, 2027 , pursuant to the terms of the plan. The plan is designed to satisfy the affirmative defense conditions of Rule 10b5-1(c) under the Exchange Act and comply with the Company’s policies regarding stock transactions.
Other than as described above, no Director or Executive Officer adopted , modified or terminated
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ITEM 6. EXHIBITS
The following exhibits are filed with, or incorporated by reference into, this report.
| Incorporated by Reference | Filed Herewith | |||||||||||||||||||||||||
| Exhibit | Description of Exhibit | Form | File No. | Exhibit | Filing Date | |||||||||||||||||||||
| 31.1 | x | |||||||||||||||||||||||||
| 31.2 | x | |||||||||||||||||||||||||
| 32.1† | x | |||||||||||||||||||||||||
| 101.INS | Inline XBRL Instance Document (the instance document does not appear in the interactive data files because the XBRL tags are embedded within the Inline XBRL document) | |||||||||||||||||||||||||
| 101.SCH | Inline XBRL Taxonomy Extension Schema Document | x | ||||||||||||||||||||||||
| 101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document | x | ||||||||||||||||||||||||
| 101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase Document | x | ||||||||||||||||||||||||
| 101.LAB | Inline XBRL Taxonomy Extension Labels Linkbase Document | x | ||||||||||||||||||||||||
| 101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document | x | ||||||||||||||||||||||||
| 104 | Cover Page Interactive Data File in Inline XBRL format (contained in Exhibit 101) | |||||||||||||||||||||||||
| † | The certifications furnished in Exhibit 32.1 hereto are deemed to accompany this Quarterly Report on Form 10-Q and will not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, except to the extent that the registrant specifically incorporates it by reference. | ||||
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
| EZCORP, INC. | |||||||||||
| Date: | August 5, 2026 | /s/ Timothy K. Jugmans | |||||||||
| Timothy K. Jugmans, Chief Financial Officer | |||||||||||
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Exhibit 31.1
Certification of Lachlan P. Given, Chief Executive Officer,
pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934,
as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
I, Lachlan P. Given, certify that:
1.I have reviewed this Quarterly Report on Form 10-Q of EZCORP, Inc.;
2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
a.Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b.Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c.Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d.Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
a.All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
b.Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
Date: August 5, 2026
| /s/ Lachlan P. Given | |||||||||||
| Lachlan P. Given | |||||||||||
| Chief Executive Officer | |||||||||||
Exhibit 31.2
Certification of Timothy K. Jugmans, Chief Financial Officer,
pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934,
as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
I, Timothy K. Jugmans, certify that:
1.I have reviewed this Quarterly Report on Form 10-Q of EZCORP, Inc.;
2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
a.Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b.Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c.Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d.Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
a.All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
b.Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
Date: August 5, 2026
| /s/ Timothy K. Jugmans | |||||||||||
| Timothy K. Jugmans | |||||||||||
| Chief Financial Officer | |||||||||||
Exhibit 32.1
Certification of Lachlan P. Given, Chief Executive Officer, and Timothy K. Jugmans, Chief Financial Officer,
pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
The undersigned officers of EZCORP, Inc. hereby certify that (a) EZCORP’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2026, as filed with the Securities and Exchange Commission, fully complies with the requirements of section 13(a) of the Securities Exchange Act of 1934, as amended, and (b) the information contained in the report fairly presents, in all material respects, the financial condition and results of operations of EZCORP.
Date: August 5, 2026 | /s/ Lachlan P. Given | ||||||||||
| Lachlan P. Given | |||||||||||
| Chief Executive Officer | |||||||||||
Date: August 5, 2026 | /s/ Timothy K. Jugmans | ||||||||||
| Timothy K. Jugmans | |||||||||||
| Chief Financial Officer | |||||||||||