Company: FCFS
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0000840489-25-000120
Chunk: 63

Company: FirstCash Holdings, Inc.
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 1
Chunk 63
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 was primarily due to the higher pawn loan balances.

Segment Expenses

U.S. operating expenses increased 6% to $395.8 million during the nine months ended September 30, 2025 compared to $372.2 million during the nine months ended September 30, 2024 while same-store operating expenses increased 5% 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 nine months ended September 30, 2025 was $323.4 million, which generated a pre-tax segment operating margin of 25% compared to $285.5 million and 25% in the prior year, respectively. The increase in the segment pre-tax operating income reflected increased net revenue, partially offset by an increase in segment expenses.

Latin America Pawn Segment

Latin America segment pre-tax operating income for the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024 was impacted by a 10% unfavorable change in the average value of the Mexican peso compared to the U.S. dollar. See the “Constant Currency Results” section in “Non-GAAP Financial Information” below for additional discussion of constant currency operating results.

Retail Merchandise Sales Operations

Latin America retail merchandise sales increased 2% (12% on a constant currency basis) to $401.1 million during the nine months ended September 30, 2025 compared to $394.4 million for the nine months ended September 30, 2024. Same-store retail sales increased 1% (11% on a constant currency basis) during the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024. The increase in constant currency total and same-store retail sales was primarily due to strong demand for value priced merchandise and increased inventory levels during the nine months ended September 30, 2025 compared to nine months ended September 30, 2024. The gross profit margin on retail merchandise sales was 35% during the nine months ended September 30, 2025 and 36% during the nine months ended September 30, 2024. 

Pawn Lending Operations

Latin America pawn loan fees increased 3% (13% on a constant currency basis) totaling $181.0 million during the nine months ended September 30, 2025 compared to $175.4 million