Medallion Financial Corp. · NASDAQ:MFIN
Medallion Financial — Q3 2024 Earnings Presentation
13 slides from Medallion Financial's earnings presentation, Oct 30, 2024
Slide 1: 3rd Quarter 2024 Earnings Supplement
3rd Quarter 2024 Earnings Supplement - October 29, 2024
Slide 2: Safe Harbor Information
Safe Harbor Information This presentation contains certain forward-looking statements, including statements with regard to the future performance of Medallion Financial Corp. (“MFIN” or the “Company”). Words such as “believes,” “expects,” “projects,” “anticipates” and “future” or similar expressions
Slide 3: Company Snapshot – 3Q24
Company Snapshot – 3Q24 Primary Business Lines Other Businesses Our Differentiation Consumer Lending – Recreation Taxi Medallion Lending Net Interest Margin • $1.6B of loans • Net assets of $8.8M • 8.11% on gross loans • $139.1M loan originations • $4.1M of cash collections • 8.42% on net loans • 14
Slide 4: Financial Summary – 3Q24
Financial Summary – 3Q24 • Net interest income grew 8% from the prior year quarter to $52.7M • Net interest margin of 8.11% on gross loans and 8.42% on net loans • Net income of $8.6M for the quarter, compared to $11.2M in the prior year quarter • Diluted EPS of $0.37 • Loan originations of $275.6M
Slide 5: Loan Portfolio Growth and Mix Optimization
Loan Portfolio Growth and Mix Optimization Loan Portfolio at 9/30/24 9/30/23 vs. Type of Loan 9/30/23 12/31/23 9/30/24 9/30/24 Recreation $ 1,346 (61%) $1,336 (60%) $1,555 (63%) +16% Home Improvement $751 (34%) $761 (34%) $814 (33%) +8% Commercial $100 (5%) $115 (5%) $110 (4%) +10% Home Improvement
Slide 6: Loan Portfolio Growth
Loan Portfolio Growth Loan Balance ($ in millions) $2,600 $2,485 $2,386 $2,400 $2,203 $2,216 $2,228 $2,200 $2,157 $1,984 $2,000 $1,917 $1,856 $1,800 $1,735 $1,600 $1,569 $1,489 $1,420 $1,400 $1,341 $1,259 $1,200 $1,000 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 Medall
Slide 7: Financial Performance – Net Interest Income
Financial Performance Net Interest Income ($ in millions) $55.0 $52.7 $49.9 $50.0 $48.8 $49.0 $47.9 $46.7 $45.0 $43.6 $43.6 $42.0 $40.0 $38.9 $35.6 $35.9 $35.0 $34.1 $29.5 $30.0 $28.7 $25.0 $20.0 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 Medallion Financial Corp. Qua
Slide 8: Financial Performance – Net Income
Financial Performance Net Income ($ in millions) (1) $20.0 $19.5 $18.0 $15.9 $16.0 $15.4 $14.2 $14.3 $14.0 $13.3 $13.1 $12.0 $11.2 $10.3 $10.0 $9.8 $10.0 $8.4 $8.6 $8.0 $7.6 $7.1 $6.0 $4.0 $2.0 $0.0 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 (1) Reflects Net Income At
Slide 9: Driving Net Interest Income
Driving Net Interest Income Interest Income vs. Interest Expense 80.0 ($ in millions) 3Q 23 3Q 24 70.0 60.0 Interest income $65.9 $76.4 Interest expense 17.1 23.7 50.0 Interest income, net $48.8 $52.7 40.0 Net Interest Income Interest Income Net interest margin – gross 8.35% 8.11% 30.0 Net interest
Slide 10: Net Charge-Off (NCO) Activity
Net Charge-Off (NCO) Activity 3Q 2024 ($ in millions) Charge-Off Recovery NCO NCO % Recreation $16.2 $4.0 $12.3 3.18% Home Improvement 4.3 0.7 3.5 1.76% Commercial % Taxi Medallion 2.3 (2.3) NM Total $20.5 $7.1 $13.4 2.2% 3Q 2023 ($ in millions) Charge-Off Recovery NCO NCO % Recreation $11.
Slide 11: Resilience of Consumer Lending Segments
Resilience of Consumer Lending Segments Medallion Bank Consumer Loan Charge-offs as a Percentage of Total Consumer Portfolio 10.00% Managed profitably through the Great Recession and returned to pre-Recession levels by the end of 2011 7.50% 6.01% 5.99% Added Home Improvement Prime Credit Lending S
Slide 12: Focus on Enhanced Operating Efficiency
Focus on Enhanced Operating Efficiency Quarterly Net Interest Income (NII) vs. Operating Costs(1) ($ In 000’s) YTD ($ in FY FY FY FY FY 3Q 60,000 millions) 2019 2020 2021 2022 2023 2024 55,000 NII $97.5 $110.8 $127.8 $160.4 $188.1 $150.5 50,000 Operating $52.2 $55.7 $56.4 $72.1 $75.6 $57.2 45,000 Co
Slide 13: Thank You.
Thank You. InvestorRelations@medallion.com (212) 328-2176 Building on a legacy of experience, diversification, and success