Regional Management Corp. · NYSE:RM
Regional Management — Q3 2018 Earnings Presentation
11 slides from Regional Management's earnings presentation, Nov 8, 2018
Slide 1: 3Q 2018 Earnings Call Supplemental Presentation
3Q 2018 Earnings Call Supplemental Presentation November 8, 2018
Slide 2: Safe Harbor Statement
Safe Harbor Statement This document contains summarized information concerning Regional Management Corp. (the “Company”) and the Company’s business, operations, financial performance, and trends. No representation is made that the information in this document is complete. For additional financial, s
Slide 3: 3Q 18 Highlights – Continued Double-Digit Growth
3Q 18 Highlights – Continued Double‐Digit Growth (dollars in millions, except EPS) 3Q 18 3Q 17 Chg B/(W) % Chg B/(W) Total Finance Receivables $888.1 $774.9 $113.2 14.6% Total Revenue 77.9 69.2 8.7 12.6% Provision for Credit Losses 23.6 20.2 (3.5) (17.3%) G&A Expense 35.9 33.8 (2.0) (6.0%) Net Incom
Slide 4: Consecutive Quarters of Double-Digit Portfolio Growth
14 Consecutive Quarters of Double‐Digit Portfolio Growth in millions vs. 2Q 18 vs. 3Q 17 Finance Receivables 2Q 16 3Q 16 4Q 16 1Q 17 2Q 17 3Q 17 4Q 17 1Q 18 2Q 18 3Q 18 $ Chg I/(D) % Chg I/(D) $ Chg I/(D) % Chg I/(D) Small Loans (≤ $2,500) $320 $349 $358 $336 $349 $363 $376 $360 $385 $414 $30 7.7% $
Slide 5: Revenue Driven by Strong Year-Over-Year Portfolio Growth
Revenue Driven by Strong Year‐Over‐Year Portfolio Growth $80.0 Revenue $77.9 $75.0 $72.1 $72.6 $72.4 $70.0 $69.2 • 9 consecutive quarters of $65.8 $65.3 $64.0 year‐over‐year double‐ $65.0 $62.5 digit revenue growth Millions $60.0 $57.3 $55.0 • 3Q 18 interest and fee $50.0 yield improved 50 basis poi
Slide 6: Provision Tracking with Growth; NCL Rate Down Year-Over-Year
Provision Tracking with Growth; NCL Rate Down Year‐Over‐Year Net Credit Loss Rates 12.0% 12.0% 10.9% • NCL rate in 3Q 18 Net Credit Losses (Annualized % of AFR) 9.9% 10.2% 9.8% 10.0% 9.0% 9.5% 10.0% decreased 10 basis points 8.6% 8.0% 7.8% 7.7% compared to 3Q 17 8.0% 8.0% • Provision as a percentage
Slide 7: Seasonal Pattern of Delinquency
Seasonal Pattern of Delinquency $70.0 30+ Delinquency Trend $60.0 $6.8 $7.3 $8.5 $25.5 $50.0 $6.9 $6.2 $8.9 $6.7 Delinquency in Millions $27.5 $8.8 $5.8 $5.5 $6.8 $4.9 $8.2 $6.6 $22.7 $6.9 $22.0 $10.2 $40.0 $7.2 $21.4 $25.1 $6.3 $11.3 $7.9 $26.4 $5.4 $17.5 $19.6 $7.0 $21.2 $9.7 $8.4 $8.4 $10.0 $30.0
Slide 8: G&A Expense Ratio Improved
G&A Expense Ratio Improved 150 Basis Points Total G&A Expenses $50.0 18.9% 20.0% 18.1% 17.7% 17.9% 18.0% 17.1% 17.0% 18.0% 16.3% 16.2% 16.5% $40.0 16.0% Annualized % of AFR 14.0% $34.6 $35.9 $30.0 $33.8 $34.0 $33.2 12.0% $31.5 $31.6 Millions $29.5 $30.5 $28.8 10.0% $20.0 8.0% 6.0% $10.0 4.0% 2.0% $0
Slide 9: Appendix
@REGIONAL MANAGEMENT Appendix pi
Slide 10: GAAP to Non-GAAP Reconciliation
GAAP to Non‐GAAP Reconciliation We utilize certain non‐GAAP measures as additional metrics to aid in, and enhance, the understanding of our financial results and related measures. We believe that these non‐GAAP measures provide useful information by excluding certain material items that may not be i
Slide 11: CREGIONAL
CREGIONAL MANAGEMENT @ REGIONAL i MANAGEMENT L™*