Company: FCFS
Filing Date: 2025-07-28
Form Type: 10-Q
Source: 0000840489-25-000098
Chunk: 59

Company: FirstCash Holdings, Inc.
Filing Date: 2025-07-28
Form: 10-Q
Item: Part I, Item 1
Chunk 59
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 months ended June 30, 2025 compared to the six months ended June 30, 2024. The constant currency increase in total and same-store pawn loan fees was primarily due to increased constant currency pawn receivables. 

Segment Expenses 

Operating expenses decreased 7% (7% increase on a constant currency basis) to $125.8 million during the six months ended June 30, 2025 compared to $135.3 million during the six months ended June 30, 2024. Same-store operating expenses also decreased 7% (8% increase on a constant currency basis) compared to the prior-year period. The constant currency increase in total and same-store operating expenses was primarily driven by slightly increased store counts, general inflationary impacts and the increased federal minimum wage for 2025.

Segment Pre-Tax Operating Income

The segment pre-tax operating income for the six months ended June 30, 2025 was $72.4 million, which generated a pre-tax segment operating margin of 19% compared to $69.0 million and 17% in the prior year, respectively. The increase in the segment pre-tax operating income and margin reflected the decrease in operating expenses.

42

Retail POS Payment Solutions Segment  

Retail POS Payment Solutions Operating Results

The following table presents segment pre-tax operating income of the retail POS payment solutions segment for the six months ended June 30, 2025 as compared to the six months ended June 30, 2024 (dollars in thousands). Operating expenses include salary and benefit expenses of certain operations-focused departments, merchant partner incentives, bank and other payment processing charges, credit reporting costs, information technology costs, advertising costs and other operational costs incurred by AFF. Administrative expenses and amortization expense of intangible assets related to the purchase of AFF are not included in the segment pre-tax operating income.

Six Months EndedJune 30,Increase /20252024(Decrease)Retail POS Payment Solutions SegmentRevenue:Leased merchandise income$296,702 $400,241 (26)%Interest and fees on finance receivables149,488 114,186 31 %Total revenue446,190 514,427 (13)%Cost of revenue: Depreciation of leased merchandise (1)167,672 231,341 (28)%Provision for lease losses (2)60,271 91,004 (34)%Provision for loan losses78,121 61,534 27 %Total cost