Firstcash Holdings, Inc. · NASDAQ:FCFS
Firstcash — Investor Presentation (September 2023)
33 slides from Firstcash's investor presentation, Sep 11, 2023
Slide 1: FirstCash Holdings Investor Presentation September 2023
P . 1F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS Investor Presentation September 2023 EXHIBIT 99.1
Slide 2: Forward-Looking Statements
P . 2F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS THIS PRESENTATION CONTAINS FORWARD-LOOKING STATEMENTS ABOUT THE BUSINESS, FINANCIAL CONDITION, OUTLOOK AND PROSPECTS OF FIRSTCASH HOLDINGS, INC. AND ITS WHOLLY OWNED SUBSIDIARIES (TOGETHER, THE “COMPANY”). FORWARD-LOOKING STATEMENTS, AS T
Slide 3: Leading operator of pawn stores and POS payment solutions
P . 3F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS WE ARE THE LEADING OPERATOR OF PAWN STORES IN THE U.S. AND LATIN AMERICA, AND WITH THE ACQUISITION OF AMERICAN FIRST FINANCE, ARE A LEADING PROVIDER OF RETAIL POINT-OF-SALE (“POS”) PAYMENT SOLUTIONS FOCUSED ON SERVING CREDIT-CONSTRAINED C
Slide 4: Pawn Operations
P . 4F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS PAWN OPERATIONS
Slide 5: Q3 2023 Business Update — Results Through August 31, 2023
P . 5F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFSQ3 2023 Business Update — Results Thru August 31, 2023 o FIRSTCASH CONTINUES TO EXPAND THE FOOTPRINT OF ITS CORE PAWN OPERATIONS — 92 TOTAL PAWN LOCATIONS ADDED IN Q3-TO-DATE THROUGH A COMBINATION OF ACQUISITIONS AND NEW STORE OPENINGS; 12
Slide 6: Pawn Product Overview
P . 6F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFSPAWN PRODUCT OVERVIEW PAWN LOANS ARE CUSTOMER FRIENDLY ‒ NON-RECOURSE LOANS ‒ NO CREDIT CHECK OR BANK ACCOUNT REQUIRED ‒ NO COLLECTION ACTIVITY OR REPORTING TO CREDIT BUREAUS PAWN LOANS ARE SMALL AND AFFORDABLE ‒ TYPICALLY, 30-TO-60-DAY TE
Slide 7: Extensive Data Analytics Deliver High Performance Operations
P . 7F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFSExtensive Data Analytics Deliver High Performance Operations DATA CONTINUALLY CAPTURED AND REFRESHED FROM MORE THAN 12 MILLION ANNUAL RESALE TRANSACTIONS IN OVER 2,900 STORES ‒ MERCHANDISE SALES DATABASE PROVIDES REAL-TIME PRICING, TURNOVE
Slide 8: Pawn Performs Well Across Economic Cycles
P . 8F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS $3.3 $3.9 $4.3 $4.8 $4.9 $5.2 $5.3 $5.2 $5.2 $5.4 $5.9 $6.0 $6.0 $5.0 $5.3 $5.7 $5.8 $0.0 $2.0 $4.0 $6.0 $8.0 $10.0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Q2 2023 Financial Crisis COVID $551 $608 $
Slide 9: Pawn Collateral and Inventory Composition
P . 9F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFSPawn Collateral and Inventory Composition U.S. PAWN LATAM PAWN CONSOLIDATED PAWN 34% 58%69% 47%31%56% 47%12% 23% 51%14% 27% PAWN COLLATERAL PAWN COLLATERAL PAWN COLLATERAL INVENTORY INVENTORY INVENTORY As of 06/30/2023 JEWELRY ELECTRONICS
Slide 10: FirstCash Pawn Segment History
P . 1 0F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS 66 123 282 595 906 2,085 2,679 2,979 1988 1989 – 1996 1997 – 2001 2002 – 2005 2006 - 2010 2011 – 2013 2014 – 2016 2017 – 2019 2020 – August 2023 FirstCash Pawn Segment History Primary long-term business plan is to continue growing pawn
Slide 11: ESG: Sustainability is Core to FirstCash
P . 1 1F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS PAWNSHOPS PIONEERED CIRCULAR ECONOMY ‒ NEIGHBORHOOD-BASED STORES CONTRIBUTE TO THE MODERN “CIRCULAR ECONOMY” EXTENDING LIFE CYCLE OF CONSUMER PRODUCTS – INVENTORY IS PRE-OWNED MERCHANDISE WHICH IS SOURCED AND THEN RECYCLED WITHIN EACH S
Slide 12: ESG: Commitment to Social Responsibility
P . 1 2F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS EMPLOYEE EMPOWERMENT ‒ EMPLOYEE-TRAINING PROGRAMS THAT PROMOTE CUSTOMER SERVICE AND PROFESSIONALISM ‒ SPECIALIZED SKILL TRAINING PROGRAMS IN LENDING PRACTICES, MERCHANDISE VALUATION AND REGULATORY COMPLIANCE ‒ PROFIT SHARING PROGRAMS WH
Slide 13: Domestic Pawn Segment
P . 1 3F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS OVER 1,100 FULL-SERVICE U.S. LOCATIONS 29 STATES AND THE DISTRICT OF COLUMBIA DOMESTIC PAWN SEGMENT
Slide 14: U.S. Pawn Segment
P . 1 4F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFSU.S. Pawn Segment 29 U.S. States and the District of Columbia 1,046 1,081 1,101 1,182 0 250 500 750 1,000 1,250 2020 2021 2022 2023 YTD PAWN LOCATIONS BY STATE CONTINUED GROWTH OPPORTUNITIES U.S. PAWN MARKET IS LARGE AND HIGHLY FRAGMENTE
Slide 15: Q2 2023 U.S. Pawn Segment Highlights
F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS P . 1 5 $299 $313 $171 $187 $0 $100 $200 $300 $400 $500 Q2 2022 Q2 2023 Q2 2022 Q2 2023 REVENUE NET REVENUE RETAIL PAWN FEES SCRAP Q2 2023 U.S. Pawn Segment Highlights — $ in Millions +5% +9% $158 $204 $271 $291 $0 $100 $200 $300 $400 Q 2 Q 3
Slide 16: Nearly 1,800 Latin America Locations in Four Countries
P . 1 6F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS NEARLY 1,800 LATIN AMERICA LOCATIONS IN FOUR COUNTRIES o LATIN AMERICAN MARKETS ARE RECEPTIVE TO PAWN GIVEN THE HIGH CONCENTRATION OF UNBANKED AND UNDERBANKED CONSUMERS o FIRSTCASH’S WELL-ESTABLISHED LATIN AMERICAN INFRASTRUCTURE AND ST
Slide 17: FirstCash LatAm Growth: Store Count and Net Revenue
P . 1 7F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFSFirstCash LatAm Growth Store Count and Net Revenue — $ in Millions STORE COUNT NET REVENUE GROWTH $196 $227 $255 $289 $343 $288 $319 $354 $385 $196 $263 $299 $343 $407 $369 $396 $434 $452 $0 $100 $200 $300 $400 $500 2015 2016 2017 2018 2
Slide 18: LatAm Pawn Segment Highlights Q2 2023
F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS P . 1 8 $157 $192 $86 $102 $0 $50 $100 $150 $200 $250 Q2 2022 Q2 2023 Q2 2022 Q2 2023 REVENUE NET REVENUE RETAIL PAWN FEES SCRAP Q2 2023 LatAm Pawn Segment Highlights — All in U.S $ Millions +22% +19% $72 $108 $114 $135 $0.0 $40.0 $80.0 $120.0
Slide 19: Retail POS Payment Solutions Operations
P . 1 9F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFSRETAIL POS PAYMENT SOLUTIONS OPERATIONS
Slide 20: AFF Acquisition Expands Product Offerings
P . 2 0F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFSAFF Acquisition Expands Product Offerings Enhances FirstCash’s Core Pawn Business SIGNIFICANTLY DIVERSIFYING FIRSTCASH’S BUSINESS AND PROVIDING A NEW SOURCE OF REVENUE GROWTH 3 PROVIDES PRODUCT AND REVENUE DIVERSIFICATION UTILIZING TECHN
Slide 21: Retail POS Payment Solution Overview
P . 2 1F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS CUSTOMERS TAKE ITEMS HOME SAME DAY OR ARRANGE FOR DELIVERY TAKE ITEMS HOME — SAME DAY! AUTO-PAY MANAGED ONLINE BY THE CUSTOMER AUTO-PAYMENTS — PAY AS YOU GO PAYMENT SOLUTIONS FOR ALL 50 STATES LEASE-TO-OWN BANK LOANSRETAIL INSTALLMENT A
Slide 22: AFF POS Payment Solutions Segment Highlights
F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS P . 2 2 GROSS TRANSACTION VOLUME $206 $256 Q2 2022 Q2 2023 Q2 2023 AFF POS Payment Solutions Segment Highlights — $ in Millions DOOR COUNT 7,600 10,500 Q2 2022 Q2 2023 $203 $248 Q2 2022 Q2 2023 +38% +24% +22% REVENUE GROWTH ‒ SEGMENT REVENUES
Slide 23: Financial Highlights
P . 2 3F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS FINANCIAL HIGHLIGHTS
Slide 24: Consolidated Operating Highlights
P . 2 4F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS $3.81 $2.56 $3.04 $5.36 $4.99 $3.89 $3.01 $3.94 $5.19 $5.39 $0.00 $1.20 $2.40 $3.60 $4.80 $6.00 2019 2020 2021 2022 TTM Q2 2023 EPS ADJUSTED EPS 1 $165 $107 $125 $253 $232 $168 $125 $161 $246 $251 $0 $60 $120 $180 $240 $300 2019 2020 20
Slide 25: Cash Flows Drive Reduction in Leverage Ratio
P . 2 5F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFSCash Flows Drive Reduction in Leverage Ratio — $ in Millions, Except per Share Amounts 1 Non-GAAP financial measure. See reconciliation of non-GAAP financial measures elsewhere in this presentation 2 Adjusted EBITDA, which is a component
Slide 26: Cash Dividends & Share Repurchases
P . 2 6F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS As of 06/30/2023 Cash Dividends & Share Repurchases $0.125 $0.19 $0.22 $0.25 $0.27 $0.27 $0.30 $0.33 $0.125 $0.19 $0.22 $0.25 $0.27 $0.30 $0.30 $0.33 $0.125 $0.19 $0.22 $0.25 $0.27 $0.30 $0.33 $0.35 $0.19 $0.20 $0.25 $0.27 $0.27 $0.30 $
Slide 27: Growth Investments & Shareholder Payouts Since 2009
P . 2 7F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS As of 06/30/2023 Growth Investments & Shareholder Payouts Since 2009 — $ in Millions $0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 CUMULATIVE TOTAL $3.5 BILLION $789 $1,461 $1,218 STOCK REPURCHASES & DIVIDENDS ‒ 17 MILLION SHARES RE
Slide 28: Pawn Focused Business Model
P . 2 8F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS PAWN FOCUSED BUSINESS MODEL ‒ SMALL SECURED PAWN LOANS TO UNBANKED AND UNDERBANKED CONSUMERS WITH LIMITED OR NO ACCESS TO TRADITIONAL CREDIT PRODUCTS ‒ DIVERSIFIED LENDING AND RETAIL MODEL IS A SIGNIFICANT COMPETITIVE ADVANTAGE WITH STR
Slide 29: Financial Appendix
P . 2 9F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS FINANCIAL APPENDIX
Slide 30: Non-GAAP Financial Information
P . 3 0F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFSNon-GAAP Financial Information Please reference the Form 10-Q filed on 07/31/2023 for further explanation THE COMPANY USES CERTAIN FINANCIAL CALCULATIONS SUCH AS ADJUSTED NET INCOME, ADJUSTED DILUTED EARNINGS PER SHARE, EBITDA, ADJUSTED
Slide 31: Reconciliations of Non-GAAP Financial Measures
P . 3 1F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS TTM Q2 2023Y/E2022Y/E 2021Y/E 2020Y/E 2019 PER SHAREDOLLARSPER SHAREDOLLARSPER SHAREDOLLARSPER SHAREDOLLARSPER SHAREDOLLARS $4.99 $231,950 $5.36 $253,495 $3.04 $124,909 $2.56 $106,579 $3.81 $164,618 Net Income and Diluted Earnings per S
Slide 32: Reconciliations of Non-GAAP Financial Measures to GAAP
P . 3 2F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFSReconciliations of Non-GAAP Financial Measures to GAAP Financial Measures TTMY/EY/EY/EY/E Q2 20232022202120202019 $231,950 $253,495$124,909$106,579$164,618Net Income 68,78870,13841,59337,12059,993Income Taxes 106,469103,83245,90642,10541
Slide 33: Get in Touch With Us
P . 3 3F I R S T C A S H H O L D I N G S , I N C . NASDAQ: FCFS GAR JACKSON GLOBAL IR GROUP GAR@GLOBALIRGROUP.COM 817 886 6998 GET IN TOUCH WITH US INVESTOR RELATIONS INVESTORRELATIONS@FIRSTCASH.COM INVESTORS.FIRSTCASH.COM 817 258 2650 NASDAQ: FCFS
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