EZCORP (EZPW) Q4 2025 earnings summary

Executive summary

• Achieved record revenue of $1.3 billion for fiscal 2025, up 12% year-over-year, and record Q4 revenue of $336.8 million, up 14%, with net income up 30% for the year and 76% in Q4, reflecting strong operational execution across five countries.

• Store count expanded to 1,360, with 81 new locations added through acquisitions and de novo openings, including significant growth in Mexico and Texas.

• Digital transformation, including omnichannel engagement and a loyalty program, drove a 26% increase in EZ+ Rewards membership and a 49% rise in website traffic.

• The business model remains resilient, focusing on underserved customers and non-recourse loans, supporting robust demand across all regions.

• Maintained disciplined capital deployment, high-return store growth, and opportunistic share repurchases.

Financial highlights

• Adjusted EBITDA reached $191.2 million for the year, up 26%, and $47.9 million in Q4, up 33%, with EBITDA margin expanding to 14.7% for the year and 14.3% in Q4.

• Pawn loans outstanding (PLO) hit a record $307.5 million, up 12% year-over-year, and inventory rose 29% to $248.5 million.

• Merchandise sales for the year were $721 million, with gross profit of $746.1 million for the year and $198.6 million in Q4.

• Diluted EPS increased 62% to $0.34 in Q4 and 29% for the year to $1.42.

• Cash and cash equivalents rose to $469.5 million, mainly due to a $300 million senior notes offering.

Outlook and guidance

• Focus remains on growing PLO, improving inventory efficiency, scaling operational best practices, and expanding digital initiatives.

• Management expects continued strong earnings momentum, ongoing store growth, and cost efficiency for sustainable long-term value.

• Expectation for sequential increase in expenses in 2026, with scrap margins normalizing after recent highs.

• M&A pipeline remains robust, with disciplined evaluation of opportunities in existing and potentially new markets.