8-K
Regional Management Corp. (RM)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): February 4, 2026
Regional Management Corp.
(Exact name of registrant as specified in its charter)
| Delaware | 001-35477 | 57-0847115 |
|---|---|---|
| (State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
979 Batesville Road, Suite B
Greer, South Carolina 29651
(Address of principal executive offices) (zip code)
(864)
448-7000
(Registrant’s telephone number, including area code)
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
| Title of Each Class | Trading Symbol | Name of Each Exchange on Which Registered |
|---|---|---|
| Common Stock, $0.10 par value | RM | New York Stock Exchange |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
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. ☐
Item 2.02. Results of Operations and Financial Condition.
On February 4, 2026, Regional Management Corp. (the “Company”) issued a press release announcing financial results for the three and twelve months ended December 31, 2025. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference. On February 4, 2026, the Company will host a conference call to discuss financial results for the three and twelve months ended December 31, 2025. A copy of the presentation to be used during the conference call is attached hereto as Exhibit 99.2 and is incorporated herein by reference.
All information in the press release and the presentation is furnished under Item 2.02 of Form 8-K, “Results of Operations and Financial Condition,” and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.
Item 8.01. Other Events.
On February 4, 2026, the Company also announced that its Board of Directors has declared a quarterly cash dividend of $0.30 per share of outstanding common stock, payable on March 12, 2026 to stockholders of record as of the close of business on February 19, 2026.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits.
| Exhibit No. | Description |
|---|---|
| 99.1 | Press Release issued by Regional Management Corp. on February 4, 2026, announcing financial results for Regional Management Corp. for the three and twelve months ended December 31, 2025. |
| 99.2 | Presentation of Regional Management Corp., dated February 4, 2026. |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). |
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 hereunto duly authorized.
| Regional Management Corp. | ||
|---|---|---|
| Date: February 4, 2026 | By: | /s/ Harpreet Rana |
| Name: | Harpreet Rana | |
| Title: | Executive Vice President and Chief Financial and Administrative Officer |
EX-99.1
Exhibit 99.1
Regional Management Corp. Announces Fourth Quarter 2025 Results
Net income of $12.9 million and diluted earnings per share of $1.30, up 30% and 33% year-over-year, respectively -
Record originations and 13.1% year-over-year portfolio growth drive record revenue -
Annualized operating expense ratio of 12.4%, an all-time best -
Greenville, South Carolina – February 4, 2026 – Regional Management Corp. (NYSE: RM), a diversified consumer finance company, today announced results for the fourth quarter ended December 31, 2025.
“We delivered strong financial and operating results in the fourth quarter and finished 2025 with excellent momentum,” said Lakhbir S. Lamba, President and Chief Executive Officer of Regional Management Corp. “Fourth quarter net income increased more than 30% year-over-year, driven by solid portfolio growth, record quarterly revenue, improving underlying credit performance, and continued expense discipline. For the full year, we generated net income of $44.4 million, while growing our total portfolio by 13% year-over-year.”
“As I step into this role, I am encouraged by the strength of the platform we have built and the opportunities ahead,” added Mr. Lamba. “Our auto-secured portfolio continues to grow rapidly with compelling credit performance and returns, and we are expanding thoughtfully into new markets. At the same time, we are investing in our people, technology, data and analytics, and credit risk management to drive sustainable, profitable growth and higher return on equity. Regional enters 2026 from a position of strength, and I am confident in our ability to continue creating long-term value for our customers, communities, and shareholders.”
Fourth Quarter 2025 Highlights
Net income for the fourth quarter of 2025 was $12.9 million and diluted earnings per share was $1.30, up 30.2% and 32.7% year-over-year, respectively.
Net finance receivables as of December 31, 2025 were a record $2.1 billion, an improvement of $247.7 million, or 13.1%, from the prior-year period, driven by strong performance from digital leads, demand for auto-secured products, and 17 new branches opened in 2025.
Record total originations of $537.3 million, up 12.9% from the prior-year period, while maintaining prudent underwriting criteria.
Large loan net finance receivables of $1.6 billion increased $256.4 million, or 19.2%, from the prior-year period and represented 74.4% of the total loan portfolio, compared to 70.6% in the prior-year period.
Auto-secured net finance receivables of $294.3 million increased $87.7 million, or 42.4%, from the prior-year period and represented 13.7% of the total loan portfolio, compared to 10.9% in the prior-year period.
Small loan net finance receivables of $547.0 million decreased $8.7 million, or 1.6%, from the prior-year period and represented 25.6% of the total loan portfolio, compared to 29.4% in the prior-year period.
Net finance receivables with annual percentage rates (APRs) above 36% increased by 9.3% year-over-year and represented 17.9% of the portfolio, compared to 18.5% in the prior-year period.
Customer accounts improved by 2.7% from the prior-year period.
Record quarterly total revenue of $169.7 million, an increase of $14.9 million, or 9.6%, from the prior-year period, primarily due to growth in average net finance receivables.
Total revenue yield (annualized total revenue as a percentage of average net finance receivables) for the fourth quarter of 2025 was 32.5%, compared to 33.4% in the prior-year period, a decrease of 90 basis points due to product mix shift and a 20 basis point benefit in the prior-year period from the release of personal property insurance reserves related to hurricane activity.
Interest and fee yield (annualized interest and fee income as a percentage of average net finance receivables) decreased 50 basis points from the prior-year period due to product mix shift.
Provision for credit losses for the fourth quarter of 2025 was $66.4 million, an increase of $8.8 million, or 15.2%, from the prior-year period, driven by portfolio growth.
The net credit loss rate (annualized net credit losses as a percentage of average net finance receivables) for the fourth quarter of 2025 was 11.0%, a 20 basis point increase compared to 10.8% in the prior-year period but a 30 basis point year-over-year improvement after adjusting for the prior-year 50 basis point impact from disaster deferrals.
The provision for credit losses for the fourth quarter of 2025 included a sequential reserve increase of $8.9 million due to portfolio growth occurring during the fourth quarter of 2025.
The allowance for credit losses was $220.9 million as of December 31, 2025, or 10.3% of net finance receivables, stable sequentially and an improvement compared to 10.5% in the prior-year period, which included an estimated 10 basis points related to prior-year hurricane activity.
As of December 31, 2025, 30+ day contractual delinquencies totaled $161.2 million, or 7.5% of net finance receivables, a 50 basis point increase sequentially due to seasonality and a 20 basis point improvement from the prior-year period.
General and administrative expenses for the fourth quarter of 2025 were $64.5 million, an improvement of $0.1 million from the prior-year period. The operating expense ratio (annualized general and administrative expenses as a percentage of average net finance receivables) for the fourth quarter of 2025 was 12.4%, an all-time best. The ratio reflected improvements of 40 basis points and 160 basis points from 12.8% and 14.0% in the prior-quarter and prior-year periods, respectively.
In the fourth quarter of 2025, the company repurchased 196,999 shares of its common stock at a weighted-average price of $38.07 per share under the company's stock repurchase program.
First Quarter 2026 Dividend
The company’s Board of Directors has declared a dividend of $0.30 per common share for the first quarter of 2026. The dividend will be paid on March 12, 2026 to shareholders of record as of the close of business on February 19, 2026. The declaration and payment of any future dividend is subject to the discretion of the Board of Directors and will depend on a variety of factors, including the company’s financial condition and results of operations.
Liquidity and Capital Resources
As of December 31, 2025, the company had net finance receivables of $2.1 billion and debt of $1.7 billion. The debt consisted of:
- $188.6 million on the company’s $355 million senior revolving credit facility,
- $81.6 million on the company’s aggregate $425 million revolving warehouse credit facilities, and
- $1.4 billion through the company’s asset-backed securitizations.
As of December 31, 2025, the company’s unused capacity to fund future growth on its revolving credit facilities (subject to the borrowing base) was $511 million, or 65.6%, and the company had
available liquidity of $149.2 million, including unrestricted cash on hand and immediate availability to draw down cash from its revolving credit facilities. As of December 31, 2025, the company’s fixed-rate debt as a percentage of total debt was 84%, with a weighted-average coupon of 4.7% and a weighted-average revolving duration of 1.1 years.
The company had a funded debt-to-equity ratio of 4.4 to 1.0 and a stockholders’ equity ratio of 17.7%, each as of December 31, 2025. On a non-GAAP basis, the company had a funded debt-to-tangible equity ratio of 4.8 to 1.0, as of December 31, 2025. Please refer to the reconciliations of non-GAAP measures to comparable GAAP measures included at the end of this press release.
Conference Call Information
Regional Management Corp. will host a conference call and webcast today at 5:00 PM ET to discuss these results.
The dial-in number for the conference call is (877) 407-0752 (toll-free) or (201) 389-0912 (international). Please dial the number 10 minutes prior to the scheduled start time.
*** A supplemental slide presentation will be made available on Regional’s website prior to the earnings call at www.RegionalManagement.com. ***
In addition, a live webcast of the conference call will be available on Regional’s website at www.RegionalManagement.com.
A webcast replay of the call will be available at www.RegionalManagement.com for one year following the call.
About Regional Management Corp.
Regional Management Corp. (NYSE: RM) is a diversified consumer finance company that provides attractive, easy-to-understand installment loan products primarily to customers with limited access to consumer credit from banks, thrifts, credit card companies, and other lenders. Regional Management operates under the name “Regional Finance” online and in branch locations in 19 states across the United States. Most of its loan products are secured, and each is structured on a fixed-rate, fixed-term basis with fully amortizing equal monthly installment payments, repayable at any time without penalty. Regional Management sources loans through its multiple channel platform, which includes branches, centrally managed direct mail campaigns, digital partners, and its consumer website. For more information, please visit www.RegionalManagement.com.
Forward-Looking Statements
This press release may contain various “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact but instead represent Regional Management Corp.’s expectations or beliefs concerning future events. Forward-looking statements include, without limitation, statements
concerning financial outlooks or future plans, objectives, goals, projections, strategies, events, or performance, and underlying assumptions and other statements related thereto. Words such as “may,” “will,” “should,” “likely,” “anticipates,” “expects,” “intends,” “plans,” “projects,” “believes,” “estimates,” “outlook,” and similar expressions may be used to identify these forward-looking statements. Such forward-looking statements speak only as of the date on which they were made and are about matters that are inherently subject to risks and uncertainties, many of which are outside of the control of Regional Management. As a result, actual performance and results may differ materially from those contemplated by these forward-looking statements. Therefore, investors should not place undue reliance on forward-looking statements.
Factors that could cause actual results or performance to differ from the expectations expressed or implied in forward-looking statements include, but are not limited to, the following: managing growth effectively, implementing Regional Management’s growth strategy, and opening new branches as planned; Regional Management’s convenience check strategy; Regional Management’s policies and procedures for underwriting, processing, and servicing loans; Regional Management’s ability to collect on its loan portfolio; Regional Management’s insurance operations; exposure to credit risk and repayment risk, which risks may increase in light of adverse or recessionary economic conditions; the implementation of evolving underwriting models and processes, including as to the effectiveness of Regional Management's custom scorecards; changes in the competitive environment in which Regional Management operates or a decrease in the demand for its products; the geographic concentration of Regional Management’s loan portfolio; the failure of third-party service providers, including those providing information technology products; changes in economic conditions in the markets Regional Management serves, including levels of unemployment and bankruptcies; impacts of a prolonged U.S. federal government shutdown; the ability to achieve successful acquisitions and strategic alliances; the ability to make technological improvements as quickly as competitors; security breaches, cyber-attacks, failures in information systems, or fraudulent activity; the ability to originate loans; reliance on information technology resources and providers, including the risk of prolonged system outages; changes in current revenue and expense trends, including trends affecting delinquencies and credit losses; any future public health crises, including the impact of such crisis on our operations and financial condition; changes in operating and administrative expenses; the departure, transition, or replacement of key personnel; the ability to timely and effectively implement, transition to, and maintain the necessary information technology systems, infrastructure, processes, and controls to support Regional Management’s operations and initiatives; changes in interest rates; existing sources of liquidity may become insufficient or access to these sources may become unexpectedly restricted; exposure to financial risk due to asset-backed securitization transactions; risks related to regulation and legal proceedings, including changes in laws or regulations or in the interpretation or enforcement of laws or regulations; changes in accounting standards, rules, and interpretations and the failure of related assumptions and estimates; the impact of changes in tax laws and guidance, including the timing and amount of revenues that may be recognized; risks related to the ownership of Regional Management’s common stock, including volatility in the market price of shares of Regional Management’s common stock; the timing and amount of future cash dividend payments; and anti-takeover provisions in Regional Management’s charter documents and applicable state law.
The foregoing factors and others are discussed in greater detail in Regional Management’s filings with the Securities and Exchange Commission. Regional Management will not update or revise forward-looking statements to reflect events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events or the non-occurrence of anticipated events, whether as a result of new information, future developments, or otherwise, except as required by law. Regional Management is not responsible for changes made to this document by wire services or Internet services.
Contact
Investor Relations
Garrett Edson, (203) 682-8331
investor.relations@regionalmanagement.com
Regional Management Corp. and Subsidiaries
Consolidated Statements of Income
(Unaudited)
(dollars in thousands, except per share amounts)
| Better (Worse) | Better (Worse) | |||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 4Q 25 | 4Q 24 | % | FY 25 | FY 24 | % | |||||||||||||||||
| Revenue | ||||||||||||||||||||||
| Interest and fee income | $ | 153,029 | $ | 138,246 | 10.7 | % | $ | 578,949 | $ | 528,894 | 9.5 | % | ||||||||||
| Insurance income, net | 11,386 | 11,792 | ) | (3.4 | )% | 45,573 | 40,695 | 12.0 | % | |||||||||||||
| Other income | 5,287 | 4,794 | 10.3 | % | 21,076 | 18,914 | 11.4 | % | ||||||||||||||
| Total revenue | 169,702 | 154,832 | 9.6 | % | 645,598 | 588,503 | 9.7 | % | ||||||||||||||
| Expenses | ||||||||||||||||||||||
| Provision for credit losses | 66,379 | 57,626 | ) | (15.2 | )% | 245,432 | 212,200 | ) | (15.7 | )% | ||||||||||||
| Personnel | 40,394 | 40,549 | 0.4 | % | 159,637 | 153,789 | ) | (3.8 | )% | |||||||||||||
| Occupancy | 7,227 | 6,748 | ) | (7.1 | )% | 28,204 | 25,823 | ) | (9.2 | )% | ||||||||||||
| Marketing | 3,874 | 4,777 | 18.9 | % | 18,551 | 19,006 | 2.4 | % | ||||||||||||||
| Other | 13,024 | 12,572 | ) | (3.6 | )% | 51,183 | 49,080 | ) | (4.3 | )% | ||||||||||||
| Total general and administrative | 64,519 | 64,646 | 0.2 | % | 257,575 | 247,698 | ) | (4.0 | )% | |||||||||||||
| Interest expense | 22,646 | 19,805 | ) | (14.3 | )% | 84,814 | 74,530 | ) | (13.8 | )% | ||||||||||||
| Income before income taxes | 16,158 | 12,755 | 26.7 | % | 57,777 | 54,075 | 6.8 | % | ||||||||||||||
| Income taxes | 3,249 | 2,841 | ) | (14.4 | )% | 13,365 | 12,848 | ) | (4.0 | )% | ||||||||||||
| Net income | $ | 12,909 | $ | 9,914 | 30.2 | % | $ | 44,412 | $ | 41,227 | 7.7 | % | ||||||||||
| Net income per common share: | ||||||||||||||||||||||
| Basic | $ | 1.40 | $ | 1.02 | 37.3 | % | $ | 4.71 | $ | 4.28 | 10.0 | % | ||||||||||
| Diluted | $ | 1.30 | $ | 0.98 | 32.7 | % | $ | 4.45 | $ | 4.14 | 7.5 | % | ||||||||||
| Weighted-average common shares outstanding: | ||||||||||||||||||||||
| Basic | 9,233 | 9,691 | 4.7 | % | 9,428 | 9,640 | 2.2 | % | ||||||||||||||
| Diluted | 9,941 | 10,128 | 1.8 | % | 9,984 | 9,957 | ) | (0.3 | )% | |||||||||||||
| Return on average assets (annualized) | 2.5 | % | 2.1 | % | 2.3 | % | 2.3 | % | ||||||||||||||
| Return on average equity (annualized) | 13.8 | % | 11.1 | % | 12.2 | % | 12.0 | % |
All values are in US Dollars.
Regional Management Corp. and Subsidiaries
Consolidated Balance Sheets
(Unaudited)
(dollars in thousands, except par value amounts)
| Increase (Decrease) | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| 4Q 24 | % | |||||||||
| Assets | ||||||||||
| Cash | 3,823 | $ | 3,951 | ) | (3.2 | )% | ||||
| Net finance receivables | 2,140,199 | 1,892,535 | 13.1 | % | ||||||
| Unearned insurance premiums | (52,896 | ) | (48,068 | ) | ) | (10.0 | )% | |||
| Allowance for credit losses | (220,900 | ) | (199,500 | ) | ) | (10.7 | )% | |||
| Net finance receivables, less unearned insurance premiums and allowance for credit losses | 1,866,403 | 1,644,967 | 13.5 | % | ||||||
| Restricted cash | 94,174 | 131,684 | ) | (28.5 | )% | |||||
| Lease assets | 43,828 | 38,442 | 14.0 | % | ||||||
| Intangible assets | 31,781 | 24,524 | 29.6 | % | ||||||
| Restricted available-for-sale investments | 24,211 | 21,712 | 11.5 | % | ||||||
| Property and equipment | 13,156 | 13,677 | ) | (3.8 | )% | |||||
| Deferred tax assets, net | — | 9,286 | ) | (100.0 | )% | |||||
| Other assets | 26,554 | 20,866 | 27.3 | % | ||||||
| Total assets | 2,103,930 | $ | 1,909,109 | 10.2 | % | |||||
| Liabilities and Stockholders’ Equity | ||||||||||
| Liabilities: | ||||||||||
| Debt | 1,650,764 | $ | 1,478,336 | 11.7 | % | |||||
| Unamortized debt issuance costs | (8,591 | ) | (6,338 | ) | ) | (35.5 | )% | |||
| Net debt | 1,642,173 | 1,471,998 | 11.6 | % | ||||||
| Lease liabilities | 45,968 | 40,579 | 13.3 | % | ||||||
| Deferred tax liabilities, net | 3,345 | — | 100.0 | % | ||||||
| Other liabilities | 39,352 | 39,454 | ) | (0.3 | )% | |||||
| Total liabilities | 1,730,838 | 1,552,031 | 11.5 | % | ||||||
| Stockholders’ equity: | ||||||||||
| Preferred stock (0.10 par value, 100,000 shares authorized, none issued or outstanding) | — | — | — | |||||||
| Common stock (0.10 par value, 1,000,000 shares authorized, 15,168 shares issued and 9,554 shares outstanding at December 31, 2025 and 14,921 shares issued and 10,010 shares outstanding at December 31, 2024) | 1,517 | 1,492 | 1.7 | % | ||||||
| Additional paid-in capital | 138,666 | 130,725 | 6.1 | % | ||||||
| Retained earnings | 410,721 | 378,482 | 8.5 | % | ||||||
| Accumulated other comprehensive income (loss) | (2 | ) | 62 | ) | (103.2 | )% | ||||
| Treasury stock (5,614 shares at December 31, 2025 and 4,911 shares atDecember 31, 2024) | (177,810 | ) | (153,683 | ) | ) | (15.7 | )% | |||
| Total stockholders’ equity | 373,092 | 357,078 | 4.5 | % | ||||||
| Total liabilities and stockholders’ equity | 2,103,930 | $ | 1,909,109 | 10.2 | % |
All values are in US Dollars.
Regional Management Corp. and Subsidiaries
Selected Financial Data
(Unaudited)
(dollars in thousands, except per share amounts)
| Net Finance Receivables | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 4Q 25 | 3Q 25 | QoQ Inc (Dec) | QoQ %<br>Inc (Dec) | 4Q 24 | YoY Inc (Dec) | YoY %<br>Inc (Dec) | |||||||||
| Large loans | $ | 1,593,171 | $ | 1,512,140 | 5.4 | % | $ | 1,336,780 | 19.2 | % | |||||
| Small loans | 547,028 | 540,877 | 1.1 | % | 555,755 | ) | (1.6 | )% | |||||||
| Total | $ | 2,140,199 | $ | 2,053,017 | 4.2 | % | $ | 1,892,535 | 13.1 | % | |||||
| Number of branches | 353 | 349 | 1.1 | % | 344 | 2.6 | % | ||||||||
| Net finance receivables per branch | $ | 6,063 | $ | 5,883 | 3.1 | % | $ | 5,502 | 10.2 | % |
All values are in US Dollars.
| Average Net Finance Receivables | ||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 4Q 25 | 3Q 25 | QoQ Inc (Dec) | QoQ %<br>Inc (Dec) | 4Q 24 | YoY Inc (Dec) | YoY %<br>Inc (Dec) | ||||||||||
| Large loans | $ | 1,552,956 | $ | 1,460,187 | 6.4 | % | $ | 1,315,375 | 18.1 | % | ||||||
| Small loans | 535,316 | 541,201 | ) | (1.1 | )% | 537,463 | ) | (0.4 | )% | |||||||
| Total | $ | 2,088,272 | $ | 2,001,388 | 4.3 | % | $ | 1,852,838 | 12.7 | % |
All values are in US Dollars.
| Revenue Yields (1) | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 4Q 25 | 3Q 25 | QoQ <br>Inc (Dec) | 4Q 24 | YoY <br>Inc (Dec) | |||||||||||
| Large loans | 27.1 | % | 27.1 | % | 0.0 | % | 26.8 | % | 0.3 | % | |||||
| Small loans | 35.8 | % | 36.7 | % | (0.9 | )% | 37.4 | % | (1.6 | )% | |||||
| Total interest and fee yield | 29.3 | % | 29.7 | % | (0.4 | )% | 29.8 | % | (0.5 | )% | |||||
| Total revenue yield | 32.5 | % | 33.1 | % | (0.6 | )% | 33.4 | % | (0.9 | )% |
(1) Annualized as a percentage of average net finance receivables.
| Components of Increase in Interest and Fee Income | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 4Q 25 Compared to 4Q 24 | |||||||||||||||
| Increase (Decrease) | |||||||||||||||
| Volume | Rate | Volume & Rate | Total | ||||||||||||
| Large loans | $ | 15,904 | $ | 1,026 | $ | 186 | $ | 17,116 | |||||||
| Small loans | (200 | ) | (2,141 | ) | 8 | (2,333 | ) | ||||||||
| Product mix | 1,862 | (1,355 | ) | (507 | ) | — | |||||||||
| Total | $ | 17,566 | $ | (2,470 | ) | $ | (313 | ) | $ | 14,783 | |||||
| Loans Originated (1) | |||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| 4Q 25 | 3Q 25 | QoQ Inc (Dec) | QoQ %<br>Inc (Dec) | 4Q 24 | YoY Inc (Dec) | YoY %<br>Inc (Dec) | |||||||||
| Large loans | $ | 364,194 | $ | 363,055 | 0.3 | % | $ | 281,632 | 29.3 | % | |||||
| Small loans | 173,122 | 159,210 | 8.7 | % | 194,268 | ) | (10.9 | )% | |||||||
| Total | $ | 537,316 | $ | 522,265 | 2.9 | % | $ | 475,900 | 12.9 | % |
All values are in US Dollars.
(1) Represents the principal balance of loan originations and refinancings.
| Other Key Metrics | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| 4Q 25 | 3Q 25 | 4Q 24 | |||||||
| Net credit losses | $ | 57,479 | $ | 51,274 | $ | 50,226 | |||
| Percentage of average net finance receivables (annualized) | 11.0 | % | 10.2 | % | 10.8 | % | |||
| Provision for credit losses | $ | 66,379 | $ | 60,474 | $ | 57,626 | |||
| Percentage of average net finance receivables (annualized) | 12.7 | % | 12.1 | % | 12.4 | % | |||
| Percentage of total revenue | 39.1 | % | 36.5 | % | 37.2 | % | |||
| General and administrative expenses | $ | 64,519 | $ | 64,068 | $ | 64,646 | |||
| Percentage of average net finance receivables (annualized) | 12.4 | % | 12.8 | % | 14.0 | % | |||
| Percentage of total revenue | 38.0 | % | 38.7 | % | 41.8 | % | |||
| Same store results (1): | |||||||||
| Net finance receivables at period-end | $ | 2,087,903 | $ | 2,000,665 | $ | 1,880,251 | |||
| Net finance receivable growth rate | 10.9 | % | 9.9 | % | 6.1 | % | |||
| Number of branches in calculation | 336 | 333 | 337 |
(1) Same store sales reflect the change in year-over-year sales for the comparable branch base. The comparable branch base includes those branches open for at least one year.
| Contractual Delinquency | |||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 4Q 25 | 3Q 25 | 4Q 24 | |||||||||||||||||
| Allowance for credit losses | $ | 220,900 | 10.3 | % | $ | 212,000 | 10.3 | % | $ | 199,500 | 10.5 | % | |||||||
| Current | 1,809,107 | 84.5 | % | 1,740,356 | 84.8 | % | 1,590,381 | 84.0 | % | ||||||||||
| 1 to 29 days past due | 169,858 | 8.0 | % | 168,380 | 8.2 | % | 156,312 | 8.3 | % | ||||||||||
| Delinquent accounts: | |||||||||||||||||||
| 30 to 59 days | 41,235 | 1.9 | % | 40,100 | 1.9 | % | 36,948 | 1.9 | % | ||||||||||
| 60 to 89 days | 37,158 | 1.7 | % | 31,914 | 1.6 | % | 35,242 | 1.9 | % | ||||||||||
| 90 to 119 days | 30,818 | 1.5 | % | 26,304 | 1.2 | % | 28,085 | 1.5 | % | ||||||||||
| 120 to 149 days | 27,765 | 1.3 | % | 23,722 | 1.2 | % | 23,987 | 1.3 | % | ||||||||||
| 150 to 179 days | 24,258 | 1.1 | % | 22,241 | 1.1 | % | 21,580 | 1.1 | % | ||||||||||
| Total delinquency | $ | 161,234 | 7.5 | % | $ | 144,281 | 7.0 | % | $ | 145,842 | 7.7 | % | |||||||
| Total net finance receivables | $ | 2,140,199 | 100.0 | % | $ | 2,053,017 | 100.0 | % | $ | 1,892,535 | 100.0 | % | |||||||
| 1 day and over past due | $ | 331,092 | 15.5 | % | $ | 312,661 | 15.2 | % | $ | 302,154 | 16.0 | % | |||||||
| Contractual Delinquency by Product | |||||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |||||||
| 4Q 25 | 3Q 25 | 4Q 24 | |||||||||||||||||
| Large loans | $ | 99,956 | 6.3 | % | $ | 85,865 | 5.7 | % | $ | 88,054 | 6.6 | % | |||||||
| Small loans | 61,278 | 11.2 | % | 58,416 | 10.8 | % | 57,788 | 10.4 | % | ||||||||||
| Total | $ | 161,234 | 7.5 | % | $ | 144,281 | 7.0 | % | $ | 145,842 | 7.7 | % | |||||||
| Income Statement Quarterly Trend | |||||||||||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| 4Q 24 | 1Q 25 | 2Q 25 | 3Q 25 | 4Q 25 | QoQ B(W) | YoY B(W) | |||||||||||||
| Revenue | |||||||||||||||||||
| Interest and fee income | $ | 138,246 | $ | 136,553 | $ | 140,695 | $ | 148,672 | $ | 153,029 | |||||||||
| Insurance income, net | 11,792 | 11,297 | 11,499 | 11,391 | 11,386 | ) | ) | ||||||||||||
| Other income | 4,794 | 5,117 | 5,248 | 5,424 | 5,287 | ) | |||||||||||||
| Total revenue | 154,832 | 152,967 | 157,442 | 165,487 | 169,702 | ||||||||||||||
| Expenses | |||||||||||||||||||
| Provision for credit losses | 57,626 | 57,992 | 60,587 | 60,474 | 66,379 | ) | ) | ||||||||||||
| Personnel | 40,549 | 41,142 | 38,584 | 39,517 | 40,394 | ) | |||||||||||||
| Occupancy | 6,748 | 6,906 | 6,911 | 7,160 | 7,227 | ) | ) | ||||||||||||
| Marketing | 4,777 | 5,406 | 5,059 | 4,212 | 3,874 | ||||||||||||||
| Other | 12,572 | 12,589 | 12,391 | 13,179 | 13,024 | ) | |||||||||||||
| Total general and administrative | 64,646 | 66,043 | 62,945 | 64,068 | 64,519 | ) | |||||||||||||
| Interest expense | 19,805 | 19,771 | 20,426 | 21,971 | 22,646 | ) | ) | ||||||||||||
| Income before income taxes | 12,755 | 9,161 | 13,484 | 18,974 | 16,158 | ) | |||||||||||||
| Income taxes | 2,841 | 2,154 | 3,344 | 4,618 | 3,249 | ) | |||||||||||||
| Net income | $ | 9,914 | $ | 7,007 | $ | 10,140 | $ | 14,356 | $ | 12,909 | ) | ||||||||
| Net income per common share: | |||||||||||||||||||
| Basic | $ | 1.02 | $ | 0.73 | $ | 1.07 | $ | 1.53 | $ | 1.40 | ) | ||||||||
| Diluted | $ | 0.98 | $ | 0.70 | $ | 1.03 | $ | 1.42 | $ | 1.30 | ) | ||||||||
| Weighted-average shares outstanding: | |||||||||||||||||||
| Basic | 9,691 | 9,610 | 9,504 | 9,370 | 9,233 | ||||||||||||||
| Diluted | 10,128 | 10,025 | 9,843 | 10,133 | 9,941 | ||||||||||||||
| Balance Sheet & Other Key Metrics Quarterly Trends | |||||||||||||||||||
| 4Q 24 | 1Q 25 | 2Q 25 | 3Q 25 | 4Q 25 | QoQ Inc (Dec) | YoY Inc (Dec) | |||||||||||||
| Total assets | $ | 1,909,109 | $ | 1,900,683 | $ | 1,967,131 | $ | 2,028,266 | $ | 2,103,930 | |||||||||
| Net finance receivables | $ | 1,892,535 | $ | 1,890,351 | $ | 1,960,364 | $ | 2,053,017 | $ | 2,140,199 | |||||||||
| Allowance for credit losses | $ | 199,500 | $ | 199,100 | $ | 202,800 | $ | 212,000 | $ | 220,900 | |||||||||
| Debt | $ | 1,478,336 | $ | 1,477,860 | $ | 1,509,133 | $ | 1,581,992 | $ | 1,650,764 | |||||||||
| Interest and fee yield (1) | 29.8 | % | 28.9 | % | 29.4 | % | 29.7 | % | 29.3 | % | )% | )% | |||||||
| Efficiency ratio (2) | 41.8 | % | 43.2 | % | 40.0 | % | 38.7 | % | 38.0 | % | )% | )% | |||||||
| Operating expense ratio (3) | 14.0 | % | 14.0 | % | 13.2 | % | 12.8 | % | 12.4 | % | )% | )% | |||||||
| Delinquency rate (4) | 7.7 | % | 7.1 | % | 6.6 | % | 7.0 | % | 7.5 | % | % | )% | |||||||
| Net credit loss rate (5) | 10.8 | % | 12.4 | % | 11.9 | % | 10.2 | % | 11.0 | % | % | % | |||||||
| Book value per share | $ | 35.67 | $ | 35.48 | $ | 36.43 | $ | 37.94 | $ | 39.05 |
All values are in US Dollars.
(1) Annualized interest and fee income as a percentage of average net finance receivables.
(2) General and administrative expenses as a percentage of total revenue.
(3) Annualized general and administrative expenses as a percentage of average net finance receivables.
(4) Delinquent loans outstanding as a percentage of ending net finance receivables.
(5) Annualized net credit losses as a percentage of average net finance receivables.
| Average Net Finance Receivables | ||||||||
|---|---|---|---|---|---|---|---|---|
| FY 25 | FY 24 | YoY Inc (Dec) | YoY %<br>Inc (Dec) | |||||
| Large loans | $ | 1,432,174 | $ | 1,278,683 | 12.0 | % | ||
| Small loans | 541,363 | 509,798 | 6.2 | % | ||||
| Total | $ | 1,973,537 | $ | 1,788,481 | 10.3 | % |
All values are in US Dollars.
| Revenue Yields | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| FY 25 | FY 24 | YoY <br>Inc (Dec) | ||||||||
| Large loans | 26.7 | % | 26.4 | % | 0.3 | % | ||||
| Small loans | 36.2 | % | 37.5 | % | (1.3 | )% | ||||
| Total interest and fee yield | 29.3 | % | 29.6 | % | (0.3 | )% | ||||
| Total revenue yield | 32.7 | % | 32.9 | % | (0.2 | )% | ||||
| Components of Increase in Interest and Fee Income | ||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| FY 25 Compared to FY 24 | ||||||||||
| Increase (Decrease) | ||||||||||
| Volume | Rate | Volume & Rate | Total | |||||||
| Large loans | $ | 40,538 | $ | 4,189 | $ | 503 | $ | 45,230 | ||
| Small loans | 11,838 | (6,604 | ) | (409 | ) | 4,825 | ||||
| Product mix | 2,349 | (1,817 | ) | (532 | ) | — | ||||
| Total | $ | 54,725 | $ | (4,232 | ) | $ | (438 | ) | $ | 50,055 |
| Loans Originated (1) | ||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |
| FY 25 | FY 24 | FY Inc (Dec) | FY %<br>Inc (Dec) | |||||||
| Large loans | $ | 1,305,531 | $ | 973,048 | 34.2 | % | ||||
| Small loans | 656,499 | 681,463 | ) | (3.7 | )% | |||||
| Total | $ | 1,962,030 | $ | 1,654,511 | 18.6 | % |
All values are in US Dollars.
(1) Represents the principal balance of loan originations and refinancings.
| Other Key Metrics | ||||||
|---|---|---|---|---|---|---|
| FY 25 | FY 24 | |||||
| Net credit losses | $ | 224,032 | $ | 200,100 | ||
| Percentage of average net finance receivables | 11.4 | % | 11.2 | % | ||
| Provision for credit losses | $ | 245,432 | $ | 212,200 | ||
| Percentage of average net finance receivables | 12.4 | % | 11.9 | % | ||
| Percentage of total revenue | 38.0 | % | 36.1 | % | ||
| General and administrative expenses | $ | 257,575 | $ | 247,698 | ||
| Percentage of average net finance receivables | 13.1 | % | 13.8 | % | ||
| Percentage of total revenue | 39.9 | % | 42.1 | % |
Non-GAAP Financial Measures
In addition to financial measures presented in accordance with generally accepted accounting principles (“GAAP”), this press release contains certain non-GAAP financial measures. The company’s management utilizes non-GAAP measures as additional metrics to aid in, and enhance, its understanding of the company’s financial results. Tangible equity and the funded debt-to-tangible equity ratio are non-GAAP measures that adjust GAAP measures to exclude intangible assets. Management uses these equity measures to evaluate and manage the company’s capital and leverage position. The company also believes that these equity measures are commonly used in the financial services industry and provide useful information to users of the company’s financial statements in the evaluation of its capital and leverage position.
This non-GAAP financial information should be considered in addition to, not as a substitute for or superior to, measures of financial performance prepared in accordance with GAAP. In addition, the company’s non-GAAP measures may not be comparable to similarly titled non-GAAP measures of other companies. The following tables provide a reconciliation of GAAP measures to non-GAAP measures.
| 4Q 25 | |||
|---|---|---|---|
| Debt | $ | 1,650,764 | |
| Total stockholders' equity | 373,092 | ||
| Less: Intangible assets | 31,781 | ||
| Tangible equity (non-GAAP) | $ | 341,311 | |
| Funded debt-to-equity ratio | 4.4 | x | |
| Funded debt-to-tangible equity ratio (non-GAAP) | 4.8 | x |
4Q 25 Earnings Presentation February 4, 2026 Exhibit 99.2
Legal Disclosures This document contains summarized information concerning Regional Management Corp. (the “Company”) and the Company’s business, operations, financial performance, and trends. No representation is made that the information in this document is complete. For additional financial, statistical, and business information, please see the Company’s most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q filed with the U.S. Securities and Exchange Commission (the “SEC”), as well as the Company’s other reports filed with the SEC from time to time. Such reports are or will be available on the Company’s website (www.regionalmanagement.com) and on the SEC’s website (www.sec.gov). The information and opinions contained in this document are provided as of the date of this presentation and are subject to change without notice. This document has not been approved by any regulatory or supervisory authority. This presentation, the related remarks, and the responses to various questions may contain various “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact but instead represent the Company’s expectations or beliefs concerning future events. Forward-looking statements include, without limitation, statements concerning financial outlook or future plans, objectives, goals, projections, strategies, events, or performance, and underlying assumptions and other statements related thereto. Words such as “may,” “will,” “should,” “likely,” “anticipates,” “expects,” “intends,” “plans,” “projects,” “believes,” “estimates,” “outlook,” and similar expressions may be used to identify these forward-looking statements. Such forward-looking statements speak only as of the date on which they were made and are about matters that are inherently subject to risks and uncertainties, many of which are outside of the control of the Company. As a result, actual performance and results may differ materially from those contemplated by these forward-looking statements. Therefore, investors should not place undue reliance on such statements. Factors that could cause actual results or performance to differ from the expectations expressed or implied in forward-looking statements include, but are not limited to, the following: managing growth effectively, implementing the Company’s growth strategy, and opening new branches as planned; the Company’s convenience check strategy; the Company’s policies and procedures for underwriting, processing, and servicing loans; the Company’s ability to collect on its loan portfolio; the Company’s insurance operations; exposure to credit risk and repayment risk, which risks may increase in light of adverse or recessionary economic conditions; the implementation of evolving underwriting models and processes, including as to the effectiveness of the Company’s custom scorecards; changes in the competitive environment in which the Company operates or a decrease in the demand for its products; the geographic concentration of the Company’s loan portfolio; the failure of third-party service providers, including those providing information technology products; changes in economic conditions in the markets the Company serves, including levels of unemployment and bankruptcies; the ability to achieve successful acquisitions and strategic alliances; the ability to make technological improvements as quickly as competitors; security breaches, cyber-attacks, failures in information systems, or fraudulent activity; the ability to originate loans; reliance on information technology resources and providers, including the risk of prolonged system outages; changes in current revenue and expense trends, including trends affecting delinquencies and credit losses; any future public health crises, including the impact of such crisis on our operations and financial condition; changes in operating and administrative expenses; the departure, transition, or replacement of key personnel; the ability to timely and effectively implement, transition to, and maintain the necessary information technology systems, infrastructure, processes, and controls to support the Company’s operations and initiatives; changes in interest rates; existing sources of liquidity may become insufficient or access to these sources may become unexpectedly restricted; exposure to financial risk due to asset-backed securitization transactions; risks related to regulation and legal proceedings, including changes in laws or regulations or in the interpretation or enforcement of laws or regulations; changes in accounting standards, rules, and interpretations and the failure of related assumptions and estimates; the impact of changes in tax laws and guidance, including the timing and amount of revenues that may be recognized; risks related to the ownership of the Company's common stock, including volatility in the market price of shares of the Company's common stock; the timing and amount of future cash dividend payments; and anti-takeover provisions in the Company's charter documents and applicable state law. The foregoing factors and others are discussed in greater detail in the Company's filings with the SEC. The Company will not update or revise forward-looking statements to reflect events or circumstances after the date of this presentation or to reflect the occurrence of unanticipated events or the non-occurrence of anticipated events, whether as a result of new information, future developments, or otherwise, except as required by law. This presentation contains certain non-GAAP measures. Please refer to the Appendix accompanying this presentation for a reconciliation of non-GAAP measures to the most comparable GAAP measures. This presentation also contains certain financial terms and abbreviations. Please refer to the Appendix accompanying this presentation for a glossary of terms and abbreviations. 2
FY 25 Highlights Increased share repurchase program from $30MM to $60MM $44.4MM net income $4.45 diluted EPS 13.1% net finance receivables growth Dividends of $1.20 per common share Repurchased $24MM or 702 thousand shares of our common stock at a weighted-average price of $34.12 per share Dividend yield of 3.1% Opened 17 new branches in 2025 to expand addressable market; revenue increased 9.7% YoY 18.6% YoY increase in originations 13.1% operating expense ratio Five years of YoY improvement Improved 70 bps YoY $2.0B originations Net income and diluted EPS up 7.7% and 7.5% YoY, respectively 3
4Q 25 Highlights 590,800 Customer Accounts Up 2.7% YoY $87MM Sequential ENR Growth Up $248MM, or 13.1% YoY $537MM Origination Volume Up $61MM, or 12.9% YoY $6.1MM ENR per Branch Up 10.2% YoY $294MM Auto-Secured Portfolio Up $88MM, or 42.4% YoY 4 Growth Operating Effectiveness Returns 7.5% 30+ DQ % 20 bps improvement YoY 11.0% Net Credit Loss Rate 30 bps improvement YoY after adjusting for 4Q 24 hurricane impact 12.4% Operating Expense Ratio Historic best, 160 bps improvement YoY 84% Fixed-Rate Debt WAC of 4.7% $511MM Unused Capacity Substantial bandwidth to fund growth $1.30 Diluted Earnings Per Share Up 32.7% YoY 13.8% ROE / 2.5% ROA Up 270 bps YoY / Up 40 bps YoY 3.1% Dividend Yield 4Q 25 $0.30 dividend per share $36MM Capital Return and $16MM Increase in Stockholders’ Equity (YTD) $74MM Capital Generation (YTD) (1) (1) This is a non-GAAP measure. Refer to the Appendix for a reconciliation to the most comparable GAAP measure.
4Q 25 Financial Highlights Significant improvement across key financial metrics: Net income up $3.0MM or 30.2% YoY ROE and ROA up 270 bps and 40 bps YoY, respectively Record total revenue of $169.7MM grew 9.6% YoY All-time best operating expense ratio of 12.4%, YoY improvement of 160 bps 5
Portfolio Growth Trend ($ in millions) Accelerating Portfolio Growth 6 Record total originations, driven by strong performance from digital leads, demand for auto-secured products, and 17 new branches opened since 4Q 24 Achieved 13.1% YoY portfolio growth from new branch openings and from growth in high-quality auto-secured and higher-margin small loan portfolios Auto-secured product portfolio grew $87.7MM to 13.7% of the total portfolio, compared to 10.9% in the prior-year period Portfolio of loans with an APR greater than 36% grew $32.5MM, or 9.3%, and represents 17.9% of the total portfolio Quarterly Origination Trend ($ in millions)
Increased ENR Per Branch is Driving Efficiency The 17 new branches opened since 4Q 24 have generated $52.3MM, or 21.1%, of the $247.7MM YoY portfolio growth Same store receivables grew 10.9% YoY, outpacing 4Q 24 YoY growth of 6.1% 7 (1) The less than 1 year branch cohort as of 4Q 25 consisted of branches with an average age of approximately 8 months compared to the cohort as of 4Q 24 with an average age of approximately 4 months
Record total revenue of $169.7MM grew 9.6% YoY Total revenue yield down 90 bps YoY primarily due to mix shift to larger loans Total revenue yield 70 bps lower YoY after adjusting for the 4Q 24 release of personal property insurance reserves of $1MM, or 20 bps, related to hurricane activity 8 Revenue Up 9.6% on Continued Receivable Growth Total Revenue and Interest & Fee Yields Total Revenue ($ in millions) (1) The favorable/(unfavorable) impact from 3Q 24 hurricane activity on total revenue yield
Recent Credit Trends 30+ & 90+ DQ % ($ in millions) Net Credit Loss Rates 9 (1) The favorable impact on the net credit loss rate in 4Q 24 from 3Q 24 hurricane activity, and the unfavorable impact to 2Q 25 4Q 25 delinquency improved 20 bps YoY to 7.5% 30+ days past due of $161.2MM compares favorably to the allowance for credit losses of $220.9MM as of 4Q 25 4Q 25 net credit loss rate increased 20 bps YoY Prior year included a 50 bps benefit from hurricane activity Net credit loss rate improved by 30 bps YoY after adjusting for hurricane benefit due to credit tightening and product mix
Reserves for Credit Losses ACL increased $8.9MM in 4Q 25 on portfolio growth; ACL rate remained flat sequentially at 10.3% compared to 10.5% in the prior year which included an estimated 10 bps of hurricane impact. The Company is required to reserve for expected lifetime credit losses at the origination of each loan, while the revenue benefits are recognized over the life of the loan. Allowance for Credit Losses ($ in millions) 10
Improving Operating Leverage While Investing in Our Business 11 Operating Expense Ratio ($ in millions) All-time best operating expense ratio of 12.4%, YoY improvement of 160 bps, despite investment in technology, digital capabilities, and growth, including 17 new branches opened since 4Q 24 Achieved strong 4Q 25 revenue growth of 9.6%, or $14.9MM, while G&A expenses improved $0.1MM YoY
Cost of funds increased 10 bps YoY due to increased average debt and the maturation of lower-cost, fixed-rate debt Cost of Funds 12 Interest Expense ($ in millions)
Total unused capacity was $511MM (subject to borrowing base) as of December 31, 2025 Available liquidity of $149MM as of December 31, 2025 Fixed-rate debt represented 84% of total debt as of December 31, 2025, with WAC of 4.7% and a weighted-average revolving duration of 1.1 years 4Q 25 securitization WAC of 4.8%, a 50 bps improvement from 1Q 25 securitization WAC of 5.3% Strong Funding Profile Unused Capacity ($ in millions) Fixed vs. Variable Debt Funded Debt Ratios 13 (1) This is a non-GAAP measure. Refer to the Appendix for a reconciliation to the most comparable GAAP measure.
Excess Capital Consistently Returned to Stockholders Capital Performance Since 2020 $215MM total capital increase $188MM returned to stockholders $403MM capital generated 12.8% CAGR 21.4% ratio of capital generation to average stockholders’ equity Proven track record of excess capital generation allowing returns to stockholders and reinvestment in strategic initiatives to generate sustainable, long-term profitable growth Significant capital generated even during most recent periods of high inflation 14 (1) Cumulative change since year-end 2019 through year-end 2025. (2) This is a non-GAAP measure. Refer to the Appendix for a reconciliation to the most comparable GAAP measure.
Appendix 15
Digitally sourced origination volume increase YoY driven by geographic expansion and our auto-secured product Digitally sourced origination volume represented 31.5% of total new borrower volume Large loans represented 78.3% of new borrower digitally sourced loans booked in 4Q 25 Digitally Sourced Origination Volume ($ in millions) Digitally Sourced Originations 16
Diversified Liquidity Profile Long history of liquidity support from a strong group of banking partners Diversified funding platform with a senior revolving facility, warehouse facilities, and securitizations 17 Debt balance as of 12/31/2025
Consolidated Income Statements 18
Consolidated Balance Sheets 19
Non-GAAP Financial Measures In addition to financial measures presented in accordance with generally accepted accounting principles (“GAAP”), this presentation contains certain non-GAAP financial measures. The Company’s management utilizes non-GAAP measures as additional metrics to aid in, and enhance, its understanding of the Company’s financial results. The Company believes that these non-GAAP measures provide useful information by excluding certain material items that may not be indicative of our operating results. As a result, the Company believes that the non-GAAP measures that it has presented will aid in the evaluation of the operating performance of the business. Total capital and capital return, capital generation, and capital generation as a % of average stockholders' equity are non-GAAP measures to include stock repurchases and dividends returned to stockholders with total capital. Management uses these measures to evaluate the Company's ability to generate capital to return to stockholders, reinvest in strategic initiatives, and evaluate its capacity to absorb losses. The Company also believes that these capital and absorption measures provide useful information to users of the Company’s financial statements in the evaluation of its ability to generate capital to return to stockholders, reinvest in strategic initiatives, and evaluate its capacity to absorb losses. Tangible equity and the funded debt-to-tangible equity ratio are non-GAAP measures that adjust GAAP measures to exclude intangible assets. Management uses these equity measures to evaluate and manage the Company’s capital and leverage position. The Company also believes that these equity measures are commonly used in the financial services industry and provide useful information to users of the Company’s financial statements in the evaluation of its capital and leverage position. The Company believes that the aforementioned non-GAAP measures will aid users of its financial statements in the evaluation of its operating performance. This non-GAAP financial information should be considered in addition to, not as a substitute for or superior to, measures of financial performance prepared in accordance with GAAP. In addition, the Company’s non-GAAP measures may not be comparable to similarly titled non-GAAP measures of other companies. The following tables provide reconciliations of GAAP measures to non-GAAP measures. 20
Non-GAAP Financial Measures (Cont’d) 21
Non-GAAP Financial Measures (Cont’d) 22
Glossary 23 ACL – Allowance for Credit Losses Allowance for credit loss rate (ACL rate) – allowance for credit losses as a percentage of ending net finance receivables ANR – average net finance receivables Bps – basis points Capital generation – the year-to-date change in total capital and capital return from the prior year-end Cost of funds – annualized interest expense as a percentage of average net finance receivables Cumulative capital return – dividend and common stock repurchase activity that has occurred since December 31, 2019 Debt balance – the balance for each respective debt agreement, composed of principal balance and accrued interest Dividend yield – annualized dividends per share divided by the closing share price as of the last day of the quarter Delinquency rate (DQ %) – delinquent loans outstanding as a percentage of ending net finance receivables ENR – ending net finance receivables Funded debt ratio – total debt divided by total assets Interest and fee yield – annualized interest and fee income as a percentage of average net finance receivables Net credit loss rate – annualized net credit losses as a percentage of average net finance receivables Operating expense ratio – annualized general and administrative expenses as a percentage of average net finance receivables Return on assets (ROA) – annualized net income as a percentage of average total assets Return on equity (ROE) – annualized net income as a percentage of average stockholders’ equity Same store – comparison of branches with a comparable branch base; the comparable branch base includes those branches open for at least 1 year Total capital – stockholders’ equity plus allowance for credit losses Total revenue yield – annualized total revenue as a percentage of average net finance receivables WAC – weighted-average coupon YoY – year-over-year
