Company: CPSS
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001683168-25-003436
Chunk: 150

Company: CONSUMER PORTFOLIO SERVICES, INC.
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 8
Chunk 150
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ization, if any, the increase
of credit enhancement to required levels in securitization transactions, and income taxes. There can be no assurance that internally generated
cash will be sufficient to meet our cash demands. The sufficiency of internally generated cash will depend on the performance of securitized
pools (which determines the level of releases from those pools and their related spread accounts), the rate of expansion or contraction
in our managed portfolio, and the terms upon which we are able to acquire and borrow against automobile contracts.

Net cash provided by operating
activities for the three-month period ended March 31, 2025, was $73.9 million, an increase of $24.2 million, compared to net cash provided
by operating activities for the three-month period ended March 31, 2024, of $52.7 million. Net cash from operating activities is generally
provided by net income from operations adjusted for significant non-cash items such as our provision for credit losses and marks to finance
receivables measured at fair value.

Net cash used in investing activities
was $194.1 million for the three months ended March 31, 2025, compared to $108.6 million in the prior year period. Net cash used in investing
activities generally relates to new purchases of automobile contracts net of principal payments and other proceeds received during the
period. Purchases of finance receivables excluding acquisition fees were $449.6 million and $328.9 million during the first three months
of 2025 and 2024, respectively.

 38 

Net cash provided by financing
activities for the three months ended March 31, 2025, was $166.3 million compared to $81.5 million in the prior year period. Cash provided
by financing activities is primarily related to the issuance of securitization trust debt, reduced by the amount of repayment of securitization
trust debt and net proceeds or repayments on our warehouse lines of credit and other debt. In the first three months of 2025, we issued
$442.4 million in new securitization trust debt compared to $280.9 million for the same period in 2024. We repaid $293.0 million in securitization
trust debt in the three months ended March 31, 2025, compared to repayments of securitization trust debt of $268.7 million in the prior
year period. In the three