Company: FCFS
Filing Date: 2025-07-28
Form Type: 10-Q
Source: 0000840489-25-000098
Chunk: 64

Company: FirstCash Holdings, Inc.
Filing Date: 2025-07-28
Form: 10-Q
Item: Part I, Item 1
Chunk 64
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Other income, net(5,514)(2,338)Total corporate expenses and other income181,819 167,503 Income before income taxes192,296 148,063 Provision for income taxes48,900 37,622 Net income$143,396 $110,441 

(1)Represents the elimination of intersegment transactions related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores. For further detail, see Note 10 of Notes to Consolidated Financial Statements.

Corporate Expenses and Taxes

Administrative expenses increased 19% to $107.8 million during the six months ended June 30, 2025 compared to $90.6 million during the six months ended June 30, 2024, primarily due to the $11.0 million CFPB litigation settlement accrued for in the second quarter of 2025, a slight increase in pawn store count and general inflationary impacts, partially offset by a 17% change in the average value of the Mexican peso resulting in lower U.S. dollar translated administrative expenses in Latin America. As a percentage of revenue, administrative expenses were 6% during the six months ended June 30, 2025 compared to 5% during the six months ended June 30, 2024. 

Depreciation and amortization decreased 3% to $25.5 million during the six months ended June 30, 2025 compared to $26.4 million in the six months ended June 30, 2024, primarily due to a scheduled $0.8 million decrease in amortization of acquired AFF intangible assets.

Interest expense increased 6% to $53.8 million during the six months ended June 30, 2025 compared to $50.6 million for the six months ended June 30, 2024, primarily due to higher average total long-term debt balances outstanding. See Note 8 of Notes to Consolidated Financial Statements and “Liquidity and Capital Resources.”

46

Merger and acquisition expenses increased 65% to $3.2 million during the six months ended June 30, 2025 compared to $2.0 million in the six months ended June 30, 2024, due primarily to expenses associated with the H&T Acquisition.

Consolidated effective income tax rates for both the six months ended June 30, 2025 and 2024 were 25.4%. The Company is currently evaluating