World Acceptance Corp Q3 2024 10-Q Filing

TL;DR

WRLD filed its 10-Q for Q3 2024, showing financial updates. Check equity changes.

AI Summary

World Acceptance Corp filed its 10-Q for the period ending September 30, 2024. The company, operating in personal credit institutions, reported financial data for the third quarter of fiscal year 2024. Key financial figures and changes in equity accounts were disclosed.

Why It Matters

This filing provides investors with an update on World Acceptance Corp's financial performance and position as of the end of the third quarter of fiscal year 2024.

Risk Assessment

Risk Level: medium — The filing contains standard financial disclosures for a public company, but the nature of personal credit institutions can carry inherent risks.

Key Numbers

• 2024-09-30 — Report End Date (Financial reporting period)
• 2024-07-01 — Quarter Start Date (Financial reporting period)
• 2023-09-30 — Prior Year Quarter End (Comparative financial data)

Key Players & Entities

• WORLD ACCEPTANCE CORP (company) — Filer
• 20240930 (date) — Period of Report
• 20241107 (date) — Filed as of Date
• SC (location) — State of Incorporation
• GREENVILLE (location) — Business Address City

FAQ

Key Financial Figures

• $20.45 — Corporation 2017 Stock Incentive Plan $20.45 Performance Shares Performance shares
• $300 million — RS U.S. Internal Revenue Service Notes $300 million in aggregate principal amount of 7.0% u

Filing Documents

• wrld-20240930.htm (10-Q) — 1610KB
• exhibit3101q2fy25.htm (EX-31.01) — 11KB
• exhibit3102q2fy25.htm (EX-31.02) — 11KB
• exhibit3201q2fy25.htm (EX-32.01) — 5KB
• exhibit3202q2fy25.htm (EX-32.02) — 5KB
• 0000108385-24-000062.txt ( ) — 8974KB
• wrld-20240930.xsd (EX-101.SCH) — 40KB
• wrld-20240930_cal.xml (EX-101.CAL) — 66KB
• wrld-20240930_def.xml (EX-101.DEF) — 231KB
• wrld-20240930_lab.xml (EX-101.LAB) — 632KB
• wrld-20240930_pre.xml (EX-101.PRE) — 442KB
• wrld-20240930_htm.xml (XML) — 1907KB

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION 1. Consolidated Financial Statements (unaudited): 5 Consolidated Balance Sheets as of September 30, 2024 and March 31, 2024 5 Consolidated Statements of Operations for the three and six months ended September 30, 2024 and September 30, 2023 6 Consolidated Statements of Shareholders' Equity for the three and six months ended September 30, 2024 and September 30, 2023 7 Consolidated Statements of Cash Flows for the six months ended September 30, 2024 and September 30, 2023 9

Notes to Consolidated Financial Statements 11

Notes to Consolidated Financial Statements 11 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 34 3. Quantitative and Qualitative Disclosures about Market Risk 44 4. Controls and Procedures 44

- OTHER INFORMATION

PART II - OTHER INFORMATION 1. Legal Proceedings 45 1A. Risk Factors 45 2. Unregistered Sales of Equity Securities and Use of Proceeds 45 3. Defaults Upon Senior Securities 45 4. Mine Safety Disclosures 45 5. Other Information 45 6. Exhibits 45 EXHIBIT INDEX 46 SIGNATURES 47 Introductory Note: As used herein, the "Company," "we," "our," "us," or similar formulations include World Acceptance Corporation and each of its subsidiaries, unless otherwise expressly noted or the context otherwise requires that it include only World Acceptance Corporation. All references in this report to "fiscal 2025" are to the Company's fiscal year ending March 31, 2025; all references in this report to "fiscal 2024" are to the Company's fiscal year ended March 31, 2024; and all references to "fiscal 2019" are to the Company's fiscal year ended March 31, 2019. 3 Table of Contents GLOSSARY OF DEFINED TERMS The following terms may be used throughout this Report, including consolidated financial statements and related notes. Term Definition 2008 Plan World Acceptance Corporation 2008 Stock Option Plan 2011 Plan World Acceptance Corporation 2011 Stock Option Plan 2017 Plan World Acceptance Corporation 2017 Stock Incentive Plan $20.45 Performance Shares Performance shares associated with the $20.45 trailing 4-Quarter EPS target for September 30, 2018 through March 31, 2025 ASC Accounting Standards Codification ASU Accounting Standards Update CECL Current Expected Credit Loss CEO Chief Executive Officer CFO Chief Financial Officer CFPB U.S. Consumer Financial Protection Bureau Compensation Committee Compensation and Stock Option Committee Customer Tenure The number of months since a customer was first serviced by the Company EPS Earnings per share ERISA Employee Retirement Income Security Act Exchange Act Securities Exchange Act of 1934, as amended FASB Financial Accounting Standards Board FICO The Fair Isaac Corporation G&A General and

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION WORLD ACCEPTANCE CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (Unaudited) September 30, 2024 March 31, 2024 ASSETS Cash and cash equivalents $ 9,745,763 $ 11,839,460 Gross loans receivable 1,295,869,592 1,277,149,256 Less: Unearned interest, insurance and fees ( 338,707,505 ) ( 326,746,136 ) Allowance for credit losses ( 114,455,495 ) ( 102,962,811 ) Loans receivable, net 842,706,592 847,440,309 Income taxes receivable 4,768,517 3,091,229 Operating lease rightofuse assets, net 80,604,346 79,501,238 Property and equipment, net 21,445,113 22,897,197 Deferred income taxes, net 32,231,220 30,942,844 Other assets, net 41,182,963 42,198,242 Goodwill 7,370,791 7,370,791 Intangible assets, net 9,106,517 11,069,733 Total assets $ 1,049,161,822 $ 1,056,351,043 LIABILITIES & SHAREHOLDERS' EQUITY Liabilities: Senior notes payable $ 265,629,893 $ 223,419,132 Senior unsecured notes payable, net 239,310,556 272,609,632 Operating lease liability 82,859,962 81,920,865 Accounts payable and accrued expenses 43,897,657 53,974,198 Total liabilities 631,698,068 631,923,827 Commitments and contingencies Shareholders' equity: Preferred stock, no par value Authorized 5,000,000 , no shares issued or outstanding — — Common stock, no par value Authorized 95,000,000 shares; issued and outstanding 5,769,530 and 5,938,665 shares at September 30, 2024 and March 31, 2024, respectively — — Additional paid-in capital 268,746,030 286,432,952 Retained earnings 148,717,724 137,994,264 Total shareholders' equity 417,463,754 424,427,216 Total liabilities and shareholders' equity $ 1,049,161,822 $ 1,056,351,043 See accompanying notes to consolidated financial statements. 5 Table of Contents WORLD ACCEPTANCE CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) Three months ended September 30, Six months ended September 30, 2024 2023 2024 2023 Revenues: Interest and fee income

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) NOTE 1 – BASIS OF PRESENTATION The consolidated financial statements of the Company at September 30, 2024 and 2023 and for the three and six months then ended were prepared in accordance with the instructions for Form 10-Q and are unaudited; however, in the opinion of management, all adjustments (consisting only of items of a normal, recurring nature) necessary for a fair presentation of the financial position at September 30, 2024, and the results of operations and cash flows for the periods ended September 30, 2024 and 2023, have been included. The results for the interim periods are not necessarily indicative of the results that may be expected for the full year or any other interim period. The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent liabilities at the date of the consolidated financial statements and the reported amount of revenue and expenses during the reporting period. Actual results could differ from those estimates. The consolidated financial statements do not include all disclosures required by GAAP and should be read in conjunction with the Company's audited consolidated financial statements and related notes for the fiscal year ended March 31, 2024, included in the Company's Annual Report on Form 10-K for the fiscal year ended March 31, 2024, as filed with the SEC (the "fiscal 2024 Annual Report"). The Company applies the accounting policies contained in Note 1 to the Consolidated Financial Statements included in fiscal 2024 Annual Report. The Company believes that the disclosures are adequate to make the information presented not misleading. NOTE 2 – SUMMARY OF SIGNIFICANT POLICIES Nature of Operations The Company is a small-loan consumer finance company headquartered in Greenville, South Carolina that offers shor

View Full Filing

View this 10-Q filing on SEC EDGAR