Company: FCFS
Filing Date: 2025-07-28
Form Type: 10-Q
Source: 0000840489-25-000098
Chunk: 157

Company: FirstCash Holdings, Inc.
Filing Date: 2025-07-28
Form: 10-Q
Item: Part I, Item 2
Chunk 157
---
 offering AFF’s LTO payment solution in its U.S. pawn stores that are eliminated upon consolidation. Excluding these intersegment sales, consolidated U.S. cost of retail merchandise sold for the six months ended June 30, 2025 and 2024 totaled $288.1 million and $271.2 million, respectively.

39

Retail Merchandise Sales Operations

U.S. retail merchandise sales increased 7% to $501.1 million during the six months ended June 30, 2025 compared to $467.1 million for the six months ended June 30, 2024. Same-store retail sales increased 5% during the six months ended June 30, 2025 compared to the six months ended June 30, 2024. The increase in total and same-store retail sales was primarily due to continued strong demand for value priced merchandise and increased inventory levels during the six months ended June 30, 2025 compared to the six months ended June 30, 2024. The gross profit margin on retail merchandise sales in the U.S. was 42% during both the six months ended June 30, 2025 and 2024.

Pawn Lending Operations

U.S. pawn loan fees increased 11% to $268.9 million during the six months ended June 30, 2025 compared to $243.3 million for the six months ended June 30, 2024. Same-store pawn loan fees increased 9% during the six months ended June 30, 2025 compared to the six months ended June 30, 2024. The increase in total and same-store pawn loan fees was primarily due to the higher pawn loan balances.

Segment Expenses

U.S. operating expenses increased 8% to $262.8 million during the six months ended June 30, 2025 compared to $244.1 million during the six months ended June 30, 2024 while same-store operating expenses increased 6% compared with the prior-year period. The increase in operating expenses was primarily due to increased labor and variable compensation expenses.

Segment Pre-Tax Operating Income

The U.S. segment pre-tax operating income for the six months ended June 30, 2025 was $211.4 million, which generated a pre-tax segment operating margin of 25% compared to $187.2 million and 25% in the prior year, respectively. The increase in the segment pre-tax operating income reflected increased net revenue, partially offset