World Acceptance Corporation Reports Fiscal 2023 First Quarter Results

About this update from World Acceptance Corporation

[{"type":"text","content":" GREENVILLE, S.C.--(BUSINESS WIRE)--\nWorld Acceptance Corporation (NASDAQ: WRLD) today reported financial results for its first quarter of fiscal 2023 and three months ended June 30, 2022.\n\nFirst quarter highlights\n\nDuring its first quarter, the World Acceptance Corporation experienced exceptional growth in both loan balances and customer base even while tightening our underwriting at the beginning of the quarter. While this growth initially depresses current earnings due to the day one provisioning for anticipated credit losses under the current accounting standards, it positions the company well for the future as these customers continue to generate revenue over the long term.\n\nHighlights from the first quarter include:\n\n\nUnique customer base grew 11.4% from same quarter prior year\n\n\nGross loans outstanding of $1.64 billion, a 34.2% increase from same quarter prior year\n\n\nTotal revenues of $157.6 million, a 21.5% increase from the same quarter prior year\n\n\nNet loss of $8.8 million and adjusted net income of $6.6 million\n\n\nNet loss per diluted share of $1.53, and adjusted net income per diluted share of $1.15\n\n\nCash flow from operating activities of $58.2 million over the last three months, a 18.8% increase from FY2022\n\n\nPortfolio results\n\nGross loans outstanding increased to $1.64 billion as of June 30, 2022, a 34.2% increase from the $1.22 billion of gross loans outstanding for the period ended June 30, 2021. During the most recent quarter, gross loans outstanding increased 7.8%, or $119.0 million, from Q4 fiscal 2022 compared to an increase of 10.7%, or $118.4 million, in the comparable quarter of the prior year. During the quarter, we saw an increase in borrowing from new, current and former customers that exceeded comparable pre-pandemic volumes. We have seen increased demand for new customer applications since the third quarter of fiscal 2022. The borrowing increase was driven by an increase in applications under tightened underwriting standards initiated during the third quarter of fiscal 2022. Underwriting was tightened further in April for the current fiscal year.\n\nThe following table includes the volume of gross loan origination balances, excluding tax advance loans, by customer type for the following comparative quarterly periods:\n\n\n\n \n\n\n\n\nQ1 FY 2023\n\n\n\n \n\n\n\nQ1 FY 2022...

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