Nicholas Financial Files 2024 10-K

TL;DR

NICHolas Financial filed its 2024 10-K. Shows financial details for FY ending 3/31/24.

AI Summary

Nicholas Financial Inc. filed its 10-K for the fiscal year ending March 31, 2024. The company, operating in short-term business credit, is based in Clearwater, Florida. The filing details various financial aspects, including finance receivables, debt, and treasury stock, with specific references to data points from March 31, 2023, and March 31, 2024.

Why It Matters

This filing provides a comprehensive overview of Nicholas Financial Inc.'s financial health and operational performance for the past fiscal year, crucial for investors and stakeholders to assess the company's stability and future prospects.

Risk Assessment

Risk Level: medium — As a financial institution, Nicholas Financial Inc. is subject to inherent risks related to credit, market fluctuations, and regulatory changes.

Key Numbers

• 2024-03-31 — Fiscal Year End (Reporting period for the 10-K)
• 2023-03-31 — Prior Year End (Comparison point for financial data)
• 2024-07-01 — Filing Date (Date the 10-K was submitted to the SEC)

Key Players & Entities

• NICHOLAS FINANCIAL INC (company) — Filer of the 10-K
• 20240331 (date) — Fiscal year end date
• 20240701 (date) — Filing date
• Clearwater, FL (location) — Company headquarters
• 6153 (industry_code) — Standard Industrial Classification for Short-Term Business Credit Institutions

FAQ

Key Financial Figures

• $0.01 — nge on which registered Common Stock, $0.01 par value per share NICK NASDAQ Glo
• $3,000 — tates — Alabama, Florida, Georgia (over $3,000), Illinois, Indiana, Kansas, Kentucky,
• $1,000 — ayee with a deductible of not more than $1,000 and (c) the Contract had been fully and
• $5,000 — est rate with respect to Contracts over $5,000. The following table presents selecte
• $500 — were typically for amounts ranging from $500 to $11,000 and are generally secured by
• $11,000 — ically for amounts ranging from $500 to $11,000 and are generally secured by a lien on
• $4,300 — tial principal balance of approximately $4,300. Most of the Direct Loans were originat

Filing Documents

• nick-20240331.htm (10-K) — 2595KB
• nick-ex4_1.htm (EX-4.1) — 29KB
• nick-ex4_2.htm (EX-4.2) — 17KB
• nick-ex21.htm (EX-21) — 7KB
• nick-ex23_1.htm (EX-23.1) — 2KB
• nick-ex31_1.htm (EX-31.1) — 15KB
• nick-ex31_2.htm (EX-31.2) — 17KB
• nick-ex32_1.htm (EX-32.1) — 5KB
• nick-ex32_2.htm (EX-32.2) — 5KB
• nick-ex97.htm (EX-97) — 62KB
• img192092124_0.jpg (GRAPHIC) — 165KB
• img192092124_1.jpg (GRAPHIC) — 3KB
• 0000950170-24-079650.txt ( ) — 12123KB
• nick-20240331.xsd (EX-101.SCH) — 1619KB
• nick-20240331_htm.xml (XML) — 2480KB

Business

Business 1 Item 1A.

Risk Factors

Risk Factors 13 Item 1B. Unresolved Staff Comments 25 Item 1C. Cybersecurity 25 Item 2.

Properties

Properties 26 Item 3.

Legal Proceedings

Legal Proceedings 26 Item 4. Mine Safety Disclosures 26 PART II Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 27 Item 6. [Reserved] 28 Item 7.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 29 Item 7A.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 35 Item 8.

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 36 Item 9. Changes in and Disagreements With Accountants on Accounting and Financial Disclosure 68 Item 9A.

Controls and Procedures

Controls and Procedures 68 Item 9B. Other Information 69 Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 69 PART III Item 10. Directors, Executive Officers and Corporate Governance 70 Item 11.

Executive Compensation

Executive Compensation 70 Item 12.

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 70 Item 13. Certain Relationships and Related Transactions, and Director Independence 70 Item 14. Principal Accountant Fees and Services 70 PART IV Item 15. Exhibits and Financial Statement Schedules 71 Item 16. Form 10-K Summary 73 Forward-Looking Information This Annual Report on Form 10-K (this "Report" or "Annual Report") contains various forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). Such statements are based on management's current beliefs and assumptions, as well as information currently available to management. When used in this document, the words "anticipate," "estimate," "expect," "will," "may," "plan," "believe," "intend" and similar expressions are intended to identify forward-looking statements. Although Nicholas Financial, Inc. and its subsidiaries (collectively the "Company," "we," "us," or "our") believes that the expectations reflected or implied in such forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. As a result, actual results could differ materially from those indicated in these forward-looking statements. Forward-looking statements in this Annual Report may include, without limitation: (1) projections of revenue, income, and other items relating to our financial position and results of operations, (2) statements of our capital allocation plans, particularly alternatives for future use of excess equity capital, (3) statements of other plans, objectives, strategies, goals and intentions, (4) statements regarding the capabilities, capacities, market position and expected development of our business operations, and (5) statements of expected industry and general economic trends. These state

B usiness

Item 1. B usiness General Nicholas Financial, Inc. ("Nicholas Financial Parent") started as a Canadian holding company incorporated under the laws of British Columbia in 1986. The business activities of Nicholas Financial Parent are currently conducted exclusively through its wholly-owned indirect subsidiary, Nicholas Financial, Inc., a Florida corporation ("Nicholas Financial"). Nicholas Financial has been a specialized consumer finance company engaged primarily in acquiring and servicing automobile finance installment contracts ("Contracts") for purchases of used and new automobiles and light trucks. Additionally, Nicholas Financial, prior to the end of the third fiscal quarter of the fiscal year 2024, sold consumer-finance related products and, prior to the end of the third fiscal quarter of the fiscal year ended March 31, 2023, Nicholas Financial originated direct consumer loans ("Direct Loans"). Nicholas Data Services, Inc. ("NDS"), is a second Florida subsidiary of Nicholas Financial Parent and it serves as the intermediate holding company for Nicholas Financial. NF Funding I, LLC ("NF Funding I"), was a wholly-owned, special purpose financing subsidiary of Nicholas Financial, but that subsidiary no longer served any purpose and, as a result, it was dissolved prior to the end of the fiscal year ended March 31, 2023. Nicholas Financial Parent, Nicholas Financial, and NDS are hereafter collectively referred to as the "Company". On April 18, 2024, Nicholas Financial Parent filed its Certificate of Corporate Domestication and Certificate of Incorporation in the State of Delaware in order to complete its continuation and domestication from a company incorporated under the laws of British Columbia to a corporation incorporated under the laws of the State of Delaware, as further described and set forth in its Registration Statement on Form S-4 (File No. 333-275704), as amended, filed with the SEC on January 29, 2024, and its Proxy Circular/Prospectus (File No

View Full Filing

View this 10-K filing on SEC EDGAR