Company: FCFS
Filing Date: 2025-04-28
Form Type: 10-Q
Source: 0000840489-25-000061
Chunk: 124

Company: FirstCash Holdings, Inc.
Filing Date: 2025-04-28
Form: 10-Q
Item: Part I, Item 2
Chunk 124
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 Company’s future ability to fully borrow on its credit facilities under current leverage covenants. Regulatory developments affecting the Company’s operations may also impact profitability and liquidity. See “Governmental Regulation Update.” 

If needed, the Company could seek to raise additional funds from a variety of sources, including, but not limited to, repatriation of excess cash held in Latin America, the sale of assets, reductions in operating expenses, capital expenditures and dividends, the forbearance or deferral of operating expenses, the issuance of debt or equity securities, utilizing other structured financing arrangements, the leveraging of currently unencumbered real estate owned by the Company and/or changes to its management of current assets. The characteristics of the Company’s current assets, specifically the ability to rapidly liquidate gold jewelry inventory, which accounts for 55% of total inventory, give the Company flexibility to quickly increase cash flow if necessary. 

35

Cash Flows and Liquidity Metrics

The following tables set forth certain historical information with respect to the Company’s sources and uses of cash and other key indicators of liquidity (dollars in thousands):

Three Months Ended March 31,20252024Cash flow provided by operating activities$126,640 $122,532 Cash flow used in investing activities$(50,147)$(29,634)Cash flow used in financing activities$(105,317)$(84,934)

As of March 31,20252024Working capital $1,024,447 $942,026 Current ratio4.4:14.0:1

Cash Flow Provided by Operating Activities

Net cash provided by operating activities increased $4.1 million, or 3%, from $122.5 million for the three months ended March 31, 2024 to $126.6 million for the three months ended March 31, 2025 due to net changes in certain non-cash adjustments to reconcile net income to operating cash flow and net changes in other operating assets and liabilities (as detailed in the consolidated statements of cash flows) and an increase in net income of $22.2 million.

Cash Flow Used in Investing Activities

Net cash used in investing activities increased $20.5 million, or 69%, from $29.6 million for the three months ended March 31, 2024 to $50.1 million for the three months ended March 31, 2025. Cash flows from investing activities are utilized primarily to fund acquisitions, purchase furniture, fixtures, equipment and improvements, which includes capital