Regional Management Corp. Announces First Quarter 2015 Results

- Total delinquencies as percentage of receivables lowest since IPO -

- 37.3% sequential and 51.3% year-over-year growth for large loan receivables -

- Non-operating costs impact operating expenses and net income -

GREENVILLE, S.C.--()--Regional Management Corp. (NYSE:RM), a diversified specialty consumer finance company, today announced results for the first quarter ended March 31, 2015.

“Given the success we achieved in the first quarter with our small and large loan portfolios, we continue to believe they will be the core drivers of our growth strategy going forward”

First Quarter 2015 Highlights

  • Net income for the first quarter 2015 was $4.1 million, an increase of 20.8% sequentially, and down 27.2% from the prior-year period. Diluted earnings per share were $0.31 based on a diluted share count of 13.1 million. Excluding non-operating compensation-related costs of $2.1 million and loan system implementation costs of $0.6 million in the first quarter of 2015, non-GAAP diluted earnings per share for the first quarter were $0.44.
  • Total delinquencies as a percentage of total finance receivables as of March 31, 2015 improved to 19.2%, compared to 21.7% as of March 31, 2014 and 22.6% as of December 31, 2014. The total delinquencies as a percentage of receivables was the lowest since the Company’s initial public offering in March 2012.
  • Regional Management’s most important loan categories continue to grow:
    • Large loan finance receivables as of March 31, 2015 increased 37.3% sequentially and 51.3% compared to the prior-year period.
    • Branch small loan and convenience check finance receivables, collectively, as of March 31, 2015 increased 14.3% over the prior-year period.
  • Seasonal portfolio liquidation of $20.3 million was a 53% improvement compared to prior year seasonal portfolio liquidation of $43.0 million, primarily due to a 22% increase in net originations from the prior-year period.
  • Total finance receivables as of March 31, 2015 were $525.9 million, an increase of 4.8% from the prior-year period.
  • Total first quarter 2015 revenue was $52.5 million, a 5.9% increase from the prior-year period.
  • Annualized net charge-offs as a percentage of average finance receivables for the first quarter of 2015 were 9.9%, a slight increase from 9.7% in the prior-year period. Provision for credit losses for the first quarter of 2015 was 18.5% of revenue, a decline from 34.2% in the prior-year period.
  • Regional Management opened 6 new branches in the first quarter of 2015. As of March 31, 2015, Regional Management’s branch network consisted of 306 locations.

“We were pleased that our progress from the fourth quarter continued in the first quarter of the year,” said Michael R. Dunn, Chief Executive Officer of Regional Management Corp. “Our total delinquency levels declined to the lowest level since our IPO due to the improved marketing and underwriting practices that were initiated in the fourth quarter of last year. To that end, we increased our marketing spend in the quarter by $0.6 million sequentially and $1.5 million over the prior-year period to capitalize on our large loan opportunity and to reduce the normal seasonal portfolio liquidation in our industry. Partially due to those efforts, we successfully grew large loan finance receivables 37% sequentially and 51% from the prior-year period and our overall finance receivable portfolio liquidation was more than cut in half compared to the first quarter of 2014. In addition, our combined branch small loan and convenience check categories saw double-digit finance receivable growth from the prior-year period. Considering the first quarter is typically our lightest from a seasonal perspective, we are particularly pleased with the performance of these portfolio segments.”

“Given the success we achieved in the first quarter with our small and large loan portfolios, we continue to believe they will be the core drivers of our growth strategy going forward,” continued Mr. Dunn. “While we still have some work to do to further curtail the growth in our general and administrative expenses, we believe we have identified several opportunities to generate operational efficiencies with respect to our personnel expense, and would expect to see operating margin improvement from current levels over the remainder of 2015. Overall, we believe we are positioning ourselves well to grow both our top and bottom lines through the course of the year.”

First Quarter 2015 Results

Finance receivables outstanding at March 31, 2015 were $525.9 million, a 4.8% increase from $501.7 million in the prior-year period. Finance receivables increased primarily due to the addition of 25 de novo branches since March 31, 2014.

For the first quarter ended March 31, 2015, Regional Management reported total revenue of $52.5 million, a 5.9% increase from $49.6 million in the prior-year period. Interest and fee income for the first quarter of 2015 was $47.1 million, a 6.8% increase from $44.1 million in the prior-year period, primarily due to a significant increase in originations of both small and large installment loans compared to the prior-year period. Insurance income for the first quarter of 2015 was $2.9 million, an 11.1% decrease from the prior-year period. Same-store revenue for the first quarter of 2015 was down 0.6%.

Provision for credit losses in the first quarter of 2015 was $9.7 million versus $16.9 million in the prior-year period. On a sequential basis, provision for credit losses declined 39.1%, reflecting further improvements in credit quality during the first quarter of 2015. Annualized net charge-offs as a percentage of average finance receivables for the first quarter of 2015 were 9.9%, a slight increase from 9.7% in the prior-year period. Net charge-offs of $13.3 million in the first quarter of 2015 exceeded the provision as the Company released a portion of the allowance recorded in 2014 for convenience checks.

General and administrative expenses for the first quarter of 2015 were $32.6 million, an increase of $12.7 million, or 64.0%, from $19.9 million in the prior-year period. Included in first quarter 2015 results were a total of $2.7 million in non-operating expenses, while first quarter 2014 results included a non-operating benefit of $1.4 million related to a change in the Company’s vacation pay policy. The balance of the expense increase was driven primarily by $5.2 million in additional personnel expense due to the expansion of branches and additional home office hiring, a $1.5 million increase in marketing expense to help further build our loan portfolio, and a $1.5 million increase (excluding non-operating costs) in other expense related to additional consulting and legal expenses, as well as other costs related to the larger number of branches.

Net income for the first quarter of 2015 was $4.1 million, a 27.2% decrease compared to net income of $5.6 million in the prior-year period. Diluted earnings per share for the first quarter of 2015 were $0.31, a decrease from $0.43 in the prior-year period. Excluding the aforementioned non-operating expenses, non-GAAP diluted earnings per share for the first quarter of 2015 were $0.44. For a reconciliation of non-GAAP financial measures to the nearest comparable GAAP financial measure, please refer to the reconciliation table accompanying this release.

2015 De Novo Outlook

As of March 31, 2015, Regional Management’s branch network consisted of 306 locations. Regional Management opened 6 de novo branches in the first quarter of 2015 and, for the full year 2015, maintains its plan to open between 25 and 30 de novo branches.

Liquidity and Capital Resources

As of March 31, 2015, Regional Management had finance receivables of $525.9 million and outstanding debt of $312.5 million on its $500.0 million senior revolving credit facility.

Conference Call Information

Regional Management Corp. will host a conference call and webcast today at 4:30 PM ET to discuss these results.

The dial-in number for the conference call is (866) 953-6857 (toll-free) or (617) 399-3481 (direct), passcode 86162507. Please dial the number 10 minutes prior to the scheduled start time. A live webcast of the conference call will also be available on Regional Management’s website at www.RegionalManagement.com.

A replay will be available following the end of the call through Friday, May 1, 2015, by telephone at (888) 286-8010 (toll-free) or (617) 801-6888 (direct), passcode 75453218. A webcast replay of the call will be available at http://www.RegionalManagement.com for one year following the call.

Forward-Looking Statements

This press release may contain various “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, which represent Regional Management Corp.’s expectations or beliefs concerning future events. Words such as “may,” “will,” “should,” “likely,” “anticipates,” “expects,” “intends,” “plans,” “projects,” “believes,” “estimates,” “outlook” and similar expressions may be used to identify these forward-looking statements. Such forward-looking statements are about matters that are inherently subject to risks and uncertainties, many of which are outside of the control of Regional Management. Factors that could cause actual results or performance to differ from the expectations expressed or implied in such forward-looking statements include, but are not limited to, the following: the continuation or worsening of adverse conditions in the global and domestic credit markets and uncertainties regarding, or the impact of, governmental responses to those conditions; changes in interest rates; risks related to acquisitions and new branches; risks inherent in making loans, including repayment risks and value of collateral, which risks may increase in light of adverse or recessionary economic conditions; recently-enacted or proposed legislation; the timing and amount of revenues that may be recognized by Regional Management; changes in current revenue and expense trends (including trends affecting delinquencies and charge-offs); changes in Regional Management’s markets and general changes in the economy (particularly in the markets served by Regional Management); and the departure, transition or replacement of key personnel. Such factors and others are discussed in greater detail in Regional Management’s filings with the Securities and Exchange Commission. Regional Management will not and is not responsible for updating the information contained in this press release beyond the publication date, or for changes made to this document by wire services or Internet services.

About Regional Management Corp.

Regional Management Corp. (NYSE:RM) is a diversified specialty consumer finance company providing a broad array of loan products primarily to customers with limited access to consumer credit from banks, thrifts, credit card companies and other traditional lenders. Regional Management began operations in 1987 with four branches in South Carolina and has since expanded its branch network across South Carolina, Texas, North Carolina, Tennessee, Alabama, Oklahoma, New Mexico and Georgia. Each of its loan products is structured on a fixed rate, fixed term basis with fully amortizing equal monthly installment payments and is repayable at any time without penalty. Regional Management’s loans are sourced through its multiple channel platform, including in its branches, through direct mail campaigns, independent and franchise automobile dealerships, online credit application networks, retailers and its consumer website. For more information, please visit http://www.RegionalManagement.com.

 

Regional Management Corp. and Subsidiaries

Consolidated Statements of Income

(Unaudited)

(in thousands, except per share amounts)

       
Better (Worse)
1Q’15 1Q’14 YoY $   YoY %
Revenue
Interest and fee income $ 47,065 $ 44,080 $ 2,985 6.8 %
Insurance income, net 2,929 3,295 (366 ) -11.1 %
Other income   2,530   2,206   324   14.7 %
Total revenue   52,524   49,581   2,943   5.9 %
 
Expenses
Provision for credit losses 9,712 16,945 7,233 42.7 %
Personnel 19,760 11,174 (8,586 ) -76.8 %
Occupancy 4,125 3,420 (705 ) -20.6 %
Marketing 2,471 982 (1,489 ) -151.6 %
Other   6,267   4,322   (1,945 ) -45.0 %
 
Total general and administrative expenses 32,623 19,898 (12,725 ) -64.0 %
 
Interest expense   3,604   3,763   159   4.2 %
 
Income before income taxes 6,585 8,975 (2,390 ) -26.6 %
Income taxes   2,502   3,365   863   25.6 %
 
Net income $ 4,083 $ 5,610 $ (1,527 ) -27.2 %
 
Net income per common share:
Basic $ 0.32 $ 0.44 $ (0.12 ) -27.3 %
 
Diluted $ 0.31 $ 0.43 $ (0.12 ) -27.9 %
 
Weighted-average shares outstanding:
Basic   12,838   12,655   183   1.4 %
 
Diluted   13,061   13,000   61   0.5 %
 
     

Regional Management Corp. and Subsidiaries

Consolidated Balance Sheets

(Unaudited)

(in thousands, except par value amounts)

 
Increase (Decrease)
1Q’15 1Q’14 YoY $   YoY %
Assets
Cash $ 2,060 $ 6,265 $ (4,205 ) -67.1 %
Gross finance receivables 638,809 601,514 37,295 6.2 %
Less unearned finance charges, insurance premiums, and commissions   (112,902 )   (99,780 )   (13,122 ) -13.2 %
Finance receivables 525,907 501,734 24,173 4.8 %
Allowance for credit losses   (36,950 )   (34,325 )   (2,625 ) -7.6 %
Net finance receivables 488,957 467,409 21,548 4.6 %
Property and equipment, net of accumulated depreciation 8,211 7,370 841 11.4 %
Deferred tax asset, net 1,372 1,372 100.0 %
Repossessed assets at net realizable value 400 806 (406 ) -50.4 %
Goodwill 716 716 0.0 %
Intangible assets, net 745 1,219 (474 ) -38.9 %
Other assets   5,281     4,826     455   9.4 %
Total assets $ 507,742   $ 488,611   $ 19,131   3.9 %
 
Liabilities and Stockholders’ Equity
Liabilities:
Senior revolving credit facility $ 312,538 $ 310,315 $ 2,223 0.7 %
Accounts payable and accrued expenses 10,905 9,320 1,585 17.0 %
Deferred tax liability, net       1,802     (1,802 ) -100.0 %
Total liabilities 323,443 321,437 2,006 0.6 %
Commitments and Contingencies
Stockholders’ equity:
Preferred stock, $0.10 par value, 100,000 shares authorized, no shares issued or outstanding
Common stock, $0.10 par value, 1,000,000 shares authorized, 12,848 and 12,748 shares issued and outstanding at March 31, 2015 and December 31, 2014, respectively 1,285 1,267 18 1.4 %
Additional paid-in-capital 87,538 83,706 3,832 4.6 %
Retained earnings   95,476     82,201     13,275   16.1 %
Total stockholders’ equity   184,299     167,174     17,125   10.2 %
Total liabilities and stockholders’ equity $ 507,742   $ 488,611   $ 19,131   3.9 %
 
 

Regional Management Corp. and Subsidiaries

Selected Financial Data

(Unaudited)

(in thousands, except per share amounts)

 
Averages and Yields
1Q’15   4Q’14   1Q’14
Average Finance
Receivables
 

Average Yield
(Annualized)

Average Finance
Receivables
 

Average Yield
(Annualized)

Average Finance
Receivables
 

Average Yield
(Annualized)

Branch small loans $ 124,350 46.2 % $ 119,097 48.4 % $ 105,332 48.1 %
Convenience checks 181,425 45.9 % 192,951 46.8 % 169,456 43.5 %
Large loans 52,738 26.7 % 43,464 27.1 % 42,607 26.7 %
Automobile loans 150,107 19.2 % 159,047 19.5 % 177,962 19.7 %
Retail loans   25,121 18.2 %   26,493 18.7 %   30,465 17.9 %
 
Total interest and fee yield $ 533,741 35.3 % $ 541,052 36.2 % $ 525,822 33.5 %
 
Total revenue yield $ 533,741 39.4 % $ 541,052 39.8 % $ 525,822 37.7 %
 
     

Components of Increase in Interest and Fee Income
1Q’15 Compared to 1Q’14
Increase/(Decrease)

Volume   Rate   Net
Branch small loans $ 2,215 $ (513 ) $ 1,702
Convenience checks 1,343 1,024 2,367
Large loans 677 7 684
Automobile loans (1,400 ) (150 ) (1,550 )
Retail loans   (234 )   16     (218 )
 
Total increase in interest and fee income $ 2,601   $ 384   $ 2,985  
 
 
Net Loans Originated (1)
1Q’15   4Q’14   1Q’14  

QoQ $
Inc (Dec)

 

QoQ %
Inc (Dec)

 

YoY $
Inc (Dec)

 

YoY %
Inc (Dec)

Branch small loans $ 51,371 $ 80,170 $ 42,846 $ (28,799 ) -35.9 % $ 8,525 19.9 %
Convenience checks 60,653 95,330 52,656 (34,677 ) -36.4 % 7,997 15.2 %
Large loans 29,829 17,737 10,358 12,092 68.2 % 19,471 188.0 %
Automobile loans 14,590 13,516 18,898 1,074 7.9 % (4,308 ) -22.8 %
Retail loans   6,727   7,634   8,517   (907 ) -11.9 %   (1,790 ) -21.0 %
 
Total net loans originated $ 163,170 $ 214,387 $ 133,275 $ (51,217 ) -23.9 % $ 29,895   22.4 %
 

(1) Represents the balance of loan origination and refinancing net of unearned finance charges

 
     
Other Key Metrics
1Q’15   4Q’14   1Q’14
Net charge-offs $ 13,273 $ 18,740 $ 12,709
Percentage of average finance receivables (annualized) 9.9 % 13.9 % 9.7 %
 
Provision for credit losses $ 9,712 $ 15,950 $ 16,945
Percentage of average finance receivables (annualized) 7.3 % 11.8 % 12.9 %
Percentage of total revenue 18.5 % 29.7 % 34.2 %
 
General and administrative expenses $ 32,623 $ 28,396 $ 19,898
Percentage of average finance receivables (annualized) 24.4 % 21.0 % 15.1 %
Percentage of total revenue 62.1 % 52.8 % 40.1 %
 
Same store results:
Finance receivables at period-end $ 480,768 $ 504,697 $ 446,814
Finance receivable growth rate -2.0 % -6.0 % 5.7 %
Revenue during period $ 48,821 $ 50,875 $ 44,583
Revenue growth rate -0.6 % 4.8 % 16.8 %
Number of branches in calculation 264 264 221
 
 
Finance Receivables by Product
1Q’15   4Q’14  

QoQ $
Inc (Dec)

 

QoQ %
Inc (Dec)

  1Q’14  

YoY $
Inc (Dec)

 

YoY %
Inc (Dec)

Branch small loans $ 121,649 $ 128,217 $ (6,568 ) -5.1 % $ 100,031 $ 21,618 21.6 %
Convenience checks 170,013 191,316 (21,303 ) -11.1 % 155,030 14,983 9.7 %
Large loans 63,338 46,147 17,191 37.3 % 41,868 21,470 51.3 %
Automobile loans 146,724 154,382 (7,658 ) -5.0 % 175,152 (28,428 ) -16.2 %
Retail loans   24,183   26,130   (1,947 ) -7.5 %   29,653   (5,470 ) -18.4 %
 
Total finance receivables $ 525,907 $ 546,192 $ (20,285 ) -3.7 % $ 501,734 $ 24,173   4.8 %
             
1Q’14 4Q’13

QoQ $
Inc (Dec)

QoQ %
Inc (Dec)

Total finance receivables $ 501,734 $ 544,684 $ (42,950 ) -7.9 %
 
           
Contractual Delinquency by Aging
1Q’15 4Q’14 1Q’14
Amount

Percentage of
Total Finance
Receivables

Amount Percentage of
Total Finance
Receivables
Amount Percentage of
Total Finance
Receivables
Allowance for credit losses $ 36,950 7.0 % $ 40,511 7.4 % $ 34,325 6.8 %
 
Current 425,088 80.8 % 422,342 77.4 % 392,804 78.3 %
1 to 29 days past due   67,653 12.9 %   82,714 15.1 %   72,265 14.4 %
 
Delinquent accounts:
30 to 59 days 11,596 2.2 % 15,951 2.9 % 12,034 2.4 %
60 to 89 days 6,824 1.3 % 9,624 1.8 % 7,479 1.5 %
90 to 119 days 4,844 0.9 % 6,899 1.2 % 5,653 1.2 %
120 to 149 days 4,881 0.9 % 4,988 0.9 % 4,242 0.8 %
150 to 179 days 5,021 1.0 % 3,674 0.7 % 3,557 0.7 %
180 days and over   0.0 %   0.0 %   3,700 0.7 %
 
Total contractual delinquency $ 33,166 6.3 % $ 41,136 7.5 % $ 36,665 7.3 %
 
Total finance receivables $ 525,907 100.0 % $ 546,192 100.0 % $ 501,734 100.0 %
 
 
1 day and over past due $ 100,819 19.2 % $ 123,850 22.6 % $ 108,930 21.7 %
 
  Contractual Delinquency by Product
1Q’15   4Q’14   1Q’14
Amount  

Percentage of
Product Finance
Receivables

Amount   Percentage of
Product Finance
Receivables
Amount   Percentage of
Product Finance
Receivables
Branch small loans $ 8,890 7.3 % $ 10,247 8.0 % $ 8,804 8.8 %
Convenience checks 14,681 8.6 % 17,165 9.0 % 13,533 8.7 %
Large loans 1,704 2.7 % 2,106 4.6 % 2,469 5.9 %
Automobile loans 6,854 4.7 % 10,302 6.7 % 10,353 5.9 %
Retail loans   1,037 4.3 % 1,316 5.0 % 1,506 5.1 %
 
Total contractual delinquency   33,166 6.3 % 41,136 7.5 % 36,665 7.3 %
 
    Subset of Convenience Checks (1)
1Q’15   4Q’14
 
Current $ 10,750 $ 20,717
1 to 29 days contractually delinquent 2,200 4,965
30 days and over contractually delinquent $ 4,975   $ 7,534  
 
Total finance receivables $ 17,925   $ 33,216  
 
 
Allowance for credit losses 4,972 9,337
Allowance as a % of 30 days and over contractually delinquent 100 % 124 %
Allowance as a % of 1 day and over contractually delinquent 69 % 75 %
        (1)   Remaining balance of convenience checks originated in the summer of 2014 that contained a higher percentage of lower credit quality customers
 
 
Quarterly Trend
1Q’14   2Q’14   3Q’14   4Q’14   1Q’15  

QoQ $
B(W)

 

YoY $
B(W)

Revenue
Interest and fee income $ 44,080 $ 42,962 $ 48,792 $ 48,964 $ 47,065 $ (1,899 ) $ 2,985
Insurance income, net 3,295 2,481 2,636 2,261 2,929 668 (366 )
Other income   2,206   1,994   2,481   2,567   2,530   (37 )   324  
 
Total revenue   49,581   47,437   53,909   53,792   52,524   (1,268 )   2,943  
 
Expenses
Provision for credit losses 16,945 13,620 22,542 15,950 9,712 6,238 7,233
 
Personnel 11,174 13,068 14,042 17,099 19,760 (2,661 ) (8,586 )
Occupancy 3,420 3,713 4,179 4,115 4,125 (10 ) (705 )
Marketing 982 1,750 1,756 1,842 2,471 (629 ) (1,489 )
Other   4,322   4,667   5,307   5,340   6,267   (927 )   (1,945 )
 
Total general and administrative 19,898 23,198 25,284 28,396 32,623 (4,227 ) (12,725 )
 
Interest expense   3,763   3,556   3,848   3,780   3,604   176     159  
 
Income before income taxes 8,975 7,063 2,235 5,666 6,585 919 (2,390 )
Income taxes   3,365   2,649   838   2,285   2,502   (217 )   863  
 
Net income $ 5,610 $ 4,414 $ 1,397 $ 3,381 $ 4,083 $ 702   $ (1,527 )
 
Net income per common share:
Basic $ 0.44 $ 0.35 $ 0.11 $ 0.27 $ 0.32 $ 0.05   $ (0.12 )
 
Diluted $ 0.43 $ 0.34 $ 0.11 $ 0.26 $ 0.31 $ 0.05   $ (0.12 )
 
Weighted-average shares outstanding:
Basic   12,655   12,691   12,714   12,744   12,838  

94

    183  
 
Diluted   13,000   12,916   12,934   12,955   13,061   106     61  
 
 
1Q’14 2Q’14 3Q’14 4Q’14 1Q’15

QoQ $
Inc (Dec)

YoY $
Inc (Dec)

Total assets   488,611   503,995   522,820   530,270   507,742   (22,528 )   19,131  
 
Finance receivables   501,734   517,975   543,353   546,192   525,907   (20,285 )   24,173  
 
Allowance for credit losses   34,325   34,584   43,301   40,511   36,950   3,561     (2,625 )
 
Senior revolving credit facility   310,315   324,570   339,323   341,419   312,538   (28,881 )   2,223  
 
 
Headcount Trend
1Q’14   2Q’14   3Q’14   4Q’14   1Q’15  

QoQ
Inc(Dec)

 

YoY
Inc(Dec)

Branch headcount 1,084 1,176 1,313 1,335 1,273 (62 ) 189
2015 new branches         15 15   15
 
Total branch headcount 1,084 1,176 1,313 1,335 1,288 (47 ) 204
Home office headcount 77 88 92 105 125 20   48
 
Total headcount 1,161 1,264 1,405 1,440 1,413 (27 ) 252
 
 
Number of branches 281 293 296 300 306 6   25
 
General & Administrative Expenses Trend
1Q’14   2Q’14   3Q’14   4Q’14   1Q’15  

QoQ $
B(W)

 

YoY $
B(W)

Branch G&A expenses $ 14,487 $ 15,525 $ 16,866 $ 18,020 $ 19,284 $ (1,264 ) $ (4,797 )
2015 new branches           86   (86 )   (86 )
 
Total branch G&A expenses 14,487 15,525 16,866 18,020 19,370 (1,350 ) (4,883 )
Marketing 982 1,750 1,756 1,842 2,471 (629 ) (1,489 )
Home office G&A expenses   4,429   5,923   6,662   8,534   10,782   (2,248 )   (6,353 )
 
Total G&A expenses $ 19,898 $ 23,198 $ 25,284 $ 28,396 $ 32,623 $ (4,227 ) $ (12,725 )
 

Because it adjusts for certain non-operating and non-cash items, the Company believes that non-GAAP measures are useful to investors as supplemental financial measures that, when viewed with its GAAP financial information, provide information regarding trends in the Company’s results of operations and credit metrics, which is intended to help investors meaningfully evaluate and compare the Company’s results of operations and credit metrics between periods.

         
Non-GAAP Reconciliation
1Q’15 Adjustments Non-GAAP
General and administrative expenses $ 32,623 $ (2,672 )(1)(2)(3) $ 29,951
Income taxes $ 2,502 $

1,015

(5)

$ 3,517
Net income $ 4,083 $ 1,657 $ 5,740
Diluted net income per common share $ 0.31 $ 0.13 $ 0.44
Efficiency ratio 62.1 % -5.1 % 57.0 %
         
Non-GAAP Reconciliation
1Q’14 Adjustments Non-GAAP
General and administrative expenses $ 19,898 $

1,151

(2)(4)

$ 21,049
Income taxes $ 3,365 $ (432 )(5) $ 2,933
Net income $ 5,610 $ (719 ) $ 4,891
Diluted net income per common share $ 0.43 $ (0.06 ) $ 0.38
Efficiency ratio 40.1 % 2.3 % 42.5 %
    (1)   Exclude executive retirement agreement costs of $533
(2) Exclude loan system conversion costs of $609 and $237 for 1Q’15 and 1Q’14
(3) Exclude CEO equity award costs of $1,530
(4) Benefit related to vacation policy change of $1,388
(5) Tax effect of the adjustments

Contacts

Investor Relations
Garrett Edson, 203-682-8331

Recent Stories

RSS feed for Regional Management Corp.

Regional Management Corp.