World Acceptance Corporation (WRLD) Q2 2025 Earnings Call Transcript
Customer Base Increase 350-basis-points increase year-over-year, compared to a 100-basis-point increase in the second quarter of last year.
Average Balance Decreased almost 6% year-over-year from September 30, 2023, while the customer base increased.
Non-Refinance Volume Stronger year-over-year gains, surpassing all recent prior years except for fiscal year 2022.
Gross Yield Improved by 113 basis points year-over-year.
Refinanced Loan Volume Increased 3% in dollars year-over-year, while the number of refinances increased 10.7%.
Ledger Year-over-Year Change Expected to end October with a ledger that's down around 4% year-over-year, improved from down about 8.8% at the start of the year.
Earnings Per Share (EPS) Expected to achieve $16.35 EPS for the year.
Reversal Impact Included a significant $18.5 million reversal in the second quarter.
Revolving Credit Facility Availability Approximately $300 million available under the revolver.
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World Acceptance Q3 Earnings Report Analysis
- Earnings Performance: World Acceptance reported a Q3 GAAP EPS of -$0.19, missing expectations by $0.95, indicating pressure on profitability that may affect investor confidence.
- Revenue Growth: The company achieved revenue of $141.3M, a 1.9% year-over-year increase, surpassing market expectations by $8.16M, suggesting some revenue growth potential in a competitive market.
- Customer Base Expansion: As of December 31, 2025, the customer base grew by 4.1% year-over-year, demonstrating success in attracting new customers despite declining overall profitability.
- Increased Credit Loss Provision: The provision for credit losses rose from $44.1M to $51.4M, an increase of $7.3M, reflecting rising credit risk that could pose a threat to future financial health.
World Acceptance Corporation to Host Q3 Earnings Call on January 27, 2026
- Earnings Call Schedule: World Acceptance Corporation will hold its third quarter earnings call on January 27, 2026, starting at 10:00 a.m. Eastern Time, during which the earnings report will be released to showcase the company's latest financial status.
- Live Broadcast and Replay: The conference call will be available for live streaming online, with a replay accessible for 30 days post-call, ensuring that investors and stakeholders can stay informed at their convenience.
- Company Background: Founded in 1962, World Acceptance Corporation focuses on providing personal installment loan solutions and personal tax preparation services to over one million customers annually, demonstrating its strong foundation in the financial services sector.
- Community Service Network: The company operates more than 1,000 community-based World Finance branches across 16 states, primarily serving individuals with limited access to credit, and is committed to helping customers achieve their financial goals and enhance their financial stability.
Monday's Top Sectors: Credit Services & Lending, Semiconductors
Semiconductor Performance: Semiconductor shares are showing relative strength, increasing by approximately 1% overall, with notable gains from Amkor Technology (up 15.5%) and Canadian Solar (up 11.2%) on Monday.
Sector Leaders: The video highlights Monday's sector leaders, focusing on Credit Services & Lending as well as Semiconductors.
Author's Perspective: The views expressed in the article are solely those of the author and do not necessarily represent the opinions of Nasdaq, Inc.
Market Trends: The article reflects current market trends, particularly in the semiconductor sector, indicating positive movement in stock prices.
Daily Upgrade Report for Validea's Peter Lynch Strategy - October 31, 2025
Validea's Upgrades: Today's upgrades for Validea's P/E/Growth Investor model, based on Peter Lynch's strategy, highlight significant rating increases for several stocks, indicating strong interest based on their fundamentals and valuations.
Sumitomo Mitsui Financial Group: The rating for Sumitomo Mitsui Financial Group (SMFG) improved from 87% to 96%, reflecting its strong balance sheet and favorable valuation in the Money Center Banks industry.
Corpay Inc.: Corpay Inc. saw its rating rise from 0% to 91%, showcasing its robust fundamentals and valuation as a corporate payments company in the Consumer Financial Services sector.
NVR Inc. and Upbound Group Inc.: Both NVR Inc. and Upbound Group Inc. experienced significant rating increases to 91%, indicating strong interest in their growth potential within the Construction Services and Consumer Financial Services industries, respectively.
Projected 12-Month Target for SPTM by Analysts
ETF Analysis: The SPDR Portfolio S&P 1500 Composite Stock Market ETF (SPTM) has an implied analyst target price of $91.05, indicating a potential upside of 9.66% from its current trading price of $83.03.
Notable Holdings: Key underlying holdings with significant upside potential include Cytek BioSciences Inc (CTKB), World Acceptance Corp. (WRLD), and Pursuit Attractions and Hospitality Inc (PRSU), with expected price increases of 22.02%, 14.19%, and 13.70% respectively.
Analyst Target Justification: The article raises questions about whether analysts' target prices are justified or overly optimistic, suggesting that high targets could lead to downgrades if they are based on outdated information.
Investor Research: Investors are encouraged to conduct further research to assess the validity of analyst targets in light of recent company and industry developments.
World Acceptance Reports Fiscal Q2 Loss Despite Increase in Revenue
Fiscal Q2 Performance: World Acceptance (WRLD) reported a net loss of $0.38 per diluted share for fiscal Q2.
Financial Impact: The reported loss indicates a significant swing in the company's financial performance compared to previous periods.
World Acceptance Q3 Earnings Report Analysis
- Earnings Performance: World Acceptance reported a Q3 GAAP EPS of -$0.19, missing expectations by $0.95, indicating pressure on profitability that may affect investor confidence.
- Revenue Growth: The company achieved revenue of $141.3M, a 1.9% year-over-year increase, surpassing market expectations by $8.16M, suggesting some revenue growth potential in a competitive market.
- Customer Base Expansion: As of December 31, 2025, the customer base grew by 4.1% year-over-year, demonstrating success in attracting new customers despite declining overall profitability.
- Increased Credit Loss Provision: The provision for credit losses rose from $44.1M to $51.4M, an increase of $7.3M, reflecting rising credit risk that could pose a threat to future financial health.
World Acceptance Corporation to Host Q3 Earnings Call on January 27, 2026
- Earnings Call Schedule: World Acceptance Corporation will hold its third quarter earnings call on January 27, 2026, starting at 10:00 a.m. Eastern Time, during which the earnings report will be released to showcase the company's latest financial status.
- Live Broadcast and Replay: The conference call will be available for live streaming online, with a replay accessible for 30 days post-call, ensuring that investors and stakeholders can stay informed at their convenience.
- Company Background: Founded in 1962, World Acceptance Corporation focuses on providing personal installment loan solutions and personal tax preparation services to over one million customers annually, demonstrating its strong foundation in the financial services sector.
- Community Service Network: The company operates more than 1,000 community-based World Finance branches across 16 states, primarily serving individuals with limited access to credit, and is committed to helping customers achieve their financial goals and enhance their financial stability.
Monday's Top Sectors: Credit Services & Lending, Semiconductors
Semiconductor Performance: Semiconductor shares are showing relative strength, increasing by approximately 1% overall, with notable gains from Amkor Technology (up 15.5%) and Canadian Solar (up 11.2%) on Monday.
Sector Leaders: The video highlights Monday's sector leaders, focusing on Credit Services & Lending as well as Semiconductors.
Author's Perspective: The views expressed in the article are solely those of the author and do not necessarily represent the opinions of Nasdaq, Inc.
Market Trends: The article reflects current market trends, particularly in the semiconductor sector, indicating positive movement in stock prices.
Daily Upgrade Report for Validea's Peter Lynch Strategy - October 31, 2025
Validea's Upgrades: Today's upgrades for Validea's P/E/Growth Investor model, based on Peter Lynch's strategy, highlight significant rating increases for several stocks, indicating strong interest based on their fundamentals and valuations.
Sumitomo Mitsui Financial Group: The rating for Sumitomo Mitsui Financial Group (SMFG) improved from 87% to 96%, reflecting its strong balance sheet and favorable valuation in the Money Center Banks industry.
Corpay Inc.: Corpay Inc. saw its rating rise from 0% to 91%, showcasing its robust fundamentals and valuation as a corporate payments company in the Consumer Financial Services sector.
NVR Inc. and Upbound Group Inc.: Both NVR Inc. and Upbound Group Inc. experienced significant rating increases to 91%, indicating strong interest in their growth potential within the Construction Services and Consumer Financial Services industries, respectively.
Projected 12-Month Target for SPTM by Analysts
ETF Analysis: The SPDR Portfolio S&P 1500 Composite Stock Market ETF (SPTM) has an implied analyst target price of $91.05, indicating a potential upside of 9.66% from its current trading price of $83.03.
Notable Holdings: Key underlying holdings with significant upside potential include Cytek BioSciences Inc (CTKB), World Acceptance Corp. (WRLD), and Pursuit Attractions and Hospitality Inc (PRSU), with expected price increases of 22.02%, 14.19%, and 13.70% respectively.
Analyst Target Justification: The article raises questions about whether analysts' target prices are justified or overly optimistic, suggesting that high targets could lead to downgrades if they are based on outdated information.
Investor Research: Investors are encouraged to conduct further research to assess the validity of analyst targets in light of recent company and industry developments.
World Acceptance Reports Fiscal Q2 Loss Despite Increase in Revenue
Fiscal Q2 Performance: World Acceptance (WRLD) reported a net loss of $0.38 per diluted share for fiscal Q2.
Financial Impact: The reported loss indicates a significant swing in the company's financial performance compared to previous periods.
