Company: FCFS
Filing Date: 2025-07-28
Form Type: 10-Q
Source: 0000840489-25-000098
Chunk: 61

Company: FirstCash Holdings, Inc.
Filing Date: 2025-07-28
Form: 10-Q
Item: Part I, Item 1
Chunk 61
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)%Provision for lease losses (1)60,271 91,004 (34)%Charge-offs(75,272)(87,122)(14)%Recoveries4,312 3,667 18 %Balance at end of period$69,972 $103,301 (32)%Leased merchandise portfolio metrics:Provision rate (2)29 %30 %Average monthly net charge-off rate (3)6.2 %5.4 %Delinquency rate (4)23.2 %23.0 %Allowance for loan losses:Balance at beginning of period$117,005 $96,454 21 %Provision for loan losses78,121 61,534 27 %Charge-offs(78,497)(62,092)26 %Recoveries6,245 4,065 54 %Balance at end of period$122,874 $99,961 23 %Finance receivables portfolio metrics:Provision rate (2)27 %30 %Average monthly net charge-off rate (3)4.4 %4.7 %Delinquency rate (4)20.6 %20.0 %

(1)Includes $0.2 million and $0.3 million of provision for lease losses from intersegment transactions for the six months ended June 30, 2025 and 2024, respectively, related to the Company offering AFF’s LTO payment solution in its U.S. pawn stores that are eliminated upon consolidation. Excluding these intersegment transactions, consolidated provision for lease losses for the six months ended June 30, 2025 and 2024 totaled $60.1 million and $90.7 million, respectively.

(2)Calculated as provision for lease or loan losses as a percentage of the respective gross transaction volume originated. 

(3)Calculated as charge-offs, net of recoveries, as a percentage of the respective average earning asset balance before allowance for lease or loan losses.

(4)Calculated as the percentage of the respective contractual earning asset balance owed that is 1 to 89 days past due (the Company charges off leases and finance receivables when they are 90 days or more contractually past due).

44

LTO Operations

Leased merchandise income decreased 26% to $296.7 million during the six months ended June 30, 2025 compared to $400