FCFS · FirstCash Holdings, Inc

FirstCash delivered another record quarter, with Q2 2026 revenue reaching $1.07 billion (+29% YoY) and GAAP EPS of $2.12 (+58%), reflecting the powerful momentum in its pawn operations. The core pawn segments combined for a 44% revenue increase driven by 63% consolidated pawn receivable growth and 22% same-store growth. U.S. pawn revenue rose 22%, with record margins of 26% (vs 24% last year) as pawn fees grew 15% and retail sales 10%. Latin America pawn saw 42% revenue growth (29% constant currency), benefiting from favorable peso exchange rates and strong demand. The U.K. segment, acquired in August 2025, contributed $95 million in revenue and $34 million in pre-tax income, showcasing solid execution. American First Finance (AFF) faced headwinds with a 14% decline in gross transaction volume due to furniture industry weakness, but net charge-offs improved sequentially to 5.2%. Adjusted EBITDA rose 39% to $201 million, and the company generated $673 million in TTM operating cash flow. The balance sheet strengthened with a successful $750 million bond offering; net debt to adjusted EBITDA stood at 2.7x (2.6x pro forma). Management raised full-year pawn revenue guidance, expecting U.K. pawn segment income of $135–$140 million and U.S. retail sales growth of 10–15%. Shareholder returns remain robust: a $0.42 quarterly dividend was declared (payable Aug 28), and a new $150 million share repurchase authorization was approved, replacing the completed $150 million program. The pending acquisition of Ramsdens Holdings for £232 million is expected to close by year-end, adding 174 U.K. locations. Overall, FirstCash’s pawn-centric model continues to deliver strong growth, margin expansion, and cash generation, positioning it well for the remainder of 2026.