Company: FCFS
Filing Date: 2025-07-28
Form Type: 10-Q
Source: 0000840489-25-000098
Chunk: 52

Company: FirstCash Holdings, Inc.
Filing Date: 2025-07-28
Form: 10-Q
Item: Part I, Item 1
Chunk 52
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103.3 million as of June 30, 2024, which was primarily due to the decrease in leased merchandise and lower lease loss provisioning rates used during the second quarter of 2025 as compared to second quarter of 2024. As a percentage of lease merchandise, the allowance was 41% at June 30, 2025 and 42% at June 30, 2024.

Leased merchandise income decreased 28% to $139.8 million during the second quarter of 2025 compared to $194.6 million during the second quarter of 2024, which was primarily due to lower average leased merchandise balances outstanding during the second quarter of 2025 compared to the second quarter of 2024.  

Depreciation of leased merchandise decreased 29% to $78.5 million during the second quarter of 2025 compared to $110.6 million during the second quarter of 2024, primarily due to the decrease in leased merchandise balances outstanding. As a percentage of leased merchandise income, depreciation of leased merchandise decreased slightly to 56% during the second quarter of 2025 from 57% during the second quarter of 2024.

Provision for lease losses decreased 32% to $32.7 million during the second quarter of 2025 compared to $47.8 million during the second quarter of 2024, which was primarily due to the 25% decrease in gross transaction volumes and a decrease in the net provisioning rates used during the second quarter of 2025. As a percentage of gross transaction volume, the provision for lease losses decreased to 30% during the second quarter of 2025 compared to 33% during the second quarter of 2024. 

Retail Finance Operations

Finance receivables, before allowance for loan losses, increased 35% as of June 30, 2025 compared to June 30, 2024. The increase was primarily due to increased gross transaction volumes in certain non-furniture industry verticals. 

The allowance for loan losses increased 23% to $122.9 million as of June 30, 2025 compared to $100.0 million as of June 30, 2024, which was primarily due to the increase in finance receivables, partially offset by lower loan loss provisioning rates used during the second quarter of 2025 compared to the second quarter of 2024. As a percentage of finance receivables, the allowance was 44% at June 30,