Enova Reports First Quarter 2019 Results

- First quarter 2019 revenue grew 15% compared to a year ago to $293 million, and adjusted earnings per share and adjusted EBITDA grew 14% and 10%, respectively

Published

CHICAGO, April 25, 2019 /PRNewswire/ -- Enova International (NYSE: ENVA), a leading financial technology and analytics company offering consumer and small business loans and financing, today announced financial results for the quarter ended March 31, 2019.

"Our first quarter results demonstrate our continued ability to deliver meaningful growth with efficient marketing while leveraging our sophisticated analytics, flexible online operating model and quality balance sheet to deliver strong bottom line results that exceeded expectations," said David Fisher, Enova's CEO. "We believe our focused growth strategy, ongoing diversification and scalable online model coupled with prudent management of the business will ensure long-term, sustainable and profitable growth."

First Quarter 2019 Summary

  • Total revenue of $293 million in the first quarter of 2019 increased 15% from $254 million in the first quarter of 2018.
  • Gross profit margin was 52.6% in the first quarter of 2019, compared to 57.3% in the first quarter of 2018.
  • Net income of $35 million, or $1.02 per diluted share, in the first quarter of 2019 increased from $28 million, or $0.81 per diluted share, in the first quarter of 2018.
  • First quarter 2019 adjusted EBITDA of $75 million, a non-GAAP measure, increased from $68 million in the first quarter of 2018.
  • Adjusted earnings of $40 million, or $1.16 per diluted share, a non-GAAP measure, in the first quarter of 2019 increased from adjusted earnings of $35 million, or $1.02 per diluted share, in the first quarter of 2018.

"We are pleased to report another quarter of financial results that either met or exceeded our expectations," said Steve Cunningham, CFO of Enova. "The solid growth in the first quarter was combined with continued stable credit performance, which is reflected in our strong gross margins, leading to record first quarter profitability. The fundamentals of our operating model and balance sheet flexibility leave us well positioned to continue this momentum as we execute on the opportunities ahead of us."

Enova ended the first quarter of 2019 with unrestricted cash and cash equivalents of $93 million. As of March 31, 2019, the company had total debt outstanding of $792 million, which included $99 million outstanding under Enova's $350 million securitization facilities. During the first quarter, Enova generated $221 million of cash flow from operations.

Outlook

For the second quarter of 2019, Enova expects total revenue of $265 million to $285 million, GAAP diluted earnings per share of $0.41 to $0.63, adjusted EBITDA of $45 million to $55 million and adjusted earnings per share of $0.48 to $0.70. For the full year 2019, Enova expects total revenue of $1.25 billion to $1.31 billion, GAAP diluted earnings per share of $2.83 to $3.48, adjusted EBITDA of $237 million to $267 million and adjusted earnings per share of $3.17 to $3.82.

For information regarding the non-GAAP financial measures discussed in this release, please see "Non-GAAP Financial Measures" and "Reconciliation of GAAP to Non-GAAP Financial Measures" below.

Conference Call

Enova will host a conference call to discuss its results at 4 p.m. Central Time / 5 p.m. Eastern Time today, Thursday, April 25th. The live webcast of the call can be accessed at the Enova Investor Relations website at http://ir.enova.com, along with the company's earnings press release and supplemental financial information. The U.S. dial-in for the call is 1-855-560-2575 (1-412-542-4161 for non-U.S. callers). Please ask to be joined to the Enova International call. A replay of the conference call will be available until May 2, 2019, at 10:59 p.m. Central Time / 11:59 p.m. Eastern Time, while an archived version of the webcast will be available on the Enova Investor Relations website for 90 days. The U.S. dial-in for the conference call replay is 1-877-344-7529 (1-412-317-0088). The replay access code is 10130025.

About Enova

Enova (NYSE: ENVA) is a leading provider of online financial services to non-prime consumers and small businesses, providing access to credit powered by its advanced analytics, innovative technology, and world-class online platform and services. Enova has provided more than 5 million customers around the globe with access to more than $20 billion in loans and financing. The financial technology company has a portfolio of trusted brands serving consumers, including CashNetUSA®, NetCredit®, On Stride Financial®, QuickQuid® and Simplic®; two brands serving small businesses, Headway Capital® and The Business Backer®; and offers online lending platform services to lenders. Through its Enova Decisions™ brand, it also delivers on-demand decision-making technology and real-time predictive analytics services to clients. You can learn more about the company and its brands at www.enova.com

Cautionary Statement Concerning Forward Looking Statements
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 about the business, financial condition and prospects of Enova. These forward-looking statements give current expectations or forecasts of future events and reflect the views and assumptions of Enova's senior management with respect to the business, financial condition and prospects of Enova as of the date of this release and are not guarantees of future performance. The actual results of Enova could differ materially from those indicated by such forward-looking statements because of various risks and uncertainties applicable to Enova's business, including, without limitation, those risks and uncertainties indicated in Enova's filings with the Securities and Exchange Commission ("SEC"), including our annual report on Form 10-K, quarterly reports on Forms 10-Q and current reports on Forms 8-K. These risks and uncertainties are beyond the ability of Enova to control, and, in many cases, Enova cannot predict all of the risks and uncertainties that could cause its actual results to differ materially from those indicated by the forward-looking statements. When used in this release, the words "believes," "estimates," "plans," "expects," "anticipates" and similar expressions or variations as they relate to Enova or its management are intended to identify forward-looking statements. Enova cautions you not to put undue reliance on these statements. Enova disclaims any intention or obligation to update or revise any forward-looking statements after the date of this release.

Non-GAAP Financial Measures
In addition to the financial information prepared in conformity with generally accepted accounting principles, or GAAP, Enova provides historical non-GAAP financial information. Management believes that presentation of non-GAAP financial information is meaningful and useful in understanding the activities and business metrics of Enova's operations. Management believes that these non-GAAP financial measures reflect an additional way of viewing aspects of Enova's business that, when viewed with its GAAP results, provide a more complete understanding of factors and trends affecting its business.

Management provides non-GAAP financial information for informational purposes and to enhance understanding of Enova's GAAP consolidated financial statements. Readers should consider the information in addition to, but not instead of or superior to, Enova's financial statements prepared in accordance with GAAP. This non-GAAP financial information may be determined or calculated differently by other companies, limiting the usefulness of those measures for comparative purposes.

Combined Loans and Finance Receivables
The combined loans and finance receivables measures are non-GAAP measures that include loans and finance receivables that Enova owns or has purchased and loans that Enova guarantees. Management believes these non-GAAP measures provide investors with important information needed to evaluate the magnitude of potential receivable losses and the opportunity for revenue performance of the loans and finance receivable portfolio on an aggregate basis. Management also believes that the comparison of the aggregate amounts from period to period is more meaningful than comparing only the amounts reflected on Enova's consolidated balance sheet since both revenue and cost of revenue are impacted by the aggregate amount of receivables owned by Enova and those guaranteed by Enova as reflected in its consolidated financial statements.

Adjusted Earnings Measures
In addition to reporting financial results in accordance with GAAP, Enova has provided adjusted earnings and adjusted earnings per share, or, collectively, the Adjusted Earnings Measures, which are non-GAAP measures. Management believes that the presentation of these measures provides investors with greater transparency and facilitates comparison of operating results across a broad spectrum of companies with varying capital structures, compensation strategies, derivative instruments and amortization methods, which provides a more complete understanding of Enova's financial performance, competitive position and prospects for the future. Management also believes that investors regularly rely on non-GAAP financial measures, such as the Adjusted Earnings Measures, to assess operating performance and that such measures may highlight trends in Enova's business that may not otherwise be apparent when relying on financial measures calculated in accordance with GAAP. In addition, management believes that the adjustments shown below are useful to investors in order to allow them to compare Enova's financial results during the periods shown without the effect of each of these expense items.

Adjusted EBITDA Measures
In addition to reporting financial results in accordance with GAAP, Enova has provided Adjusted EBITDA and Adjusted EBITDA margin, or, collectively, the Adjusted EBITDA measures, which are non-GAAP measures. Adjusted EBITDA is a non-GAAP measure that Enova defines as earnings excluding depreciation, amortization, interest, foreign currency transaction gains or losses, taxes and stock-based compensation. In addition, management believes that the adjustments for lease termination and cease-use costs and losses on early extinguishment of debt shown below are useful to investors in order to allow them to compare our financial results during the periods shown without the effect of the expense items. Adjusted EBITDA margin is a non-GAAP measure that Enova defines as Adjusted EBITDA as a percentage of total revenue. Management believes Adjusted EBITDA Measures are used by investors to analyze operating performance and evaluate Enova's ability to incur and service debt and Enova's capacity for making capital expenditures. Adjusted EBITDA Measures are also useful to investors to help assess Enova's estimated enterprise value.

 


ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(dollars in thousands, except per share data)
(Unaudited)
March 31, December 31,
2019 2018 2018
Assets
Cash and cash equivalents(1) $ 92,829 $ 69,900 $ 52,917
Restricted cash(1) 25,391 34,765 24,342
Loans and finance receivables, net(1) 815,856 703,076 859,946
Income taxes receivable 20,672 28,914
Other receivables and prepaid expenses(1) 29,354 22,164 29,983
Property and equipment, net 50,522 47,698 49,553
Operating lease right-of-use assets 21,453
Goodwill 267,013 267,013 267,013
Intangible assets, net 2,987 4,058 3,255
Other assets(1) 12,342 9,526 12,262
Total assets $ 1,338,419 $ 1,158,200 $ 1,328,185
Liabilities and Stockholders' Equity
Accounts payable and accrued expenses(1) $ 87,434 $ 70,473 $ 89,317
Operating lease liabilities 38,731
Income taxes currently payable 257
Deferred tax liabilities, net 41,132 17,087 33,171
Long-term debt(1) 791,908 754,650 857,929
Total liabilities 959,205 842,467 980,417
Commitments and contingencies
Stockholders' equity:
Common stock, $0.00001 par value, 250,000,000 shares authorized, 35,339,678, 34,340,242 and 34,856,553 shares issued and 33,683,763, 33,862,388 and 33,584,606 outstanding as of March 31, 2019 and 2018 and December 31, 2018, respectively
Preferred stock, $0.00001 par value, 25,000,000 shares authorized, no shares issued and outstanding
Additional paid in capital 51,638 32,671 48,175
Retained earnings 371,086 294,215 336,415
Accumulated other comprehensive loss (12,251) (4,322) (13,805)
Treasury stock, at cost (1,655,915, 477,854 and 1,271,947 shares as of March 31, 2019 and 2018 and December 31, 2018, respectively) (31,259) (6,831) (23,017)
Total stockholders' equity 379,214 315,733 347,768
Total liabilities and stockholders' equity $ 1,338,419 $ 1,158,200 $ 1,328,185

ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS (1) Includes amounts in wholly owned, bankruptcy-remote special purpose subsidiaries ("VIEs") presented separately in the table below.
(dollars in thousands, except per share data)
(Unaudited)
March 31, December 31,
2019 2018 2018
Assets
Cash and cash equivalents(1) $ 92,829 $ 69,900 $ 52,917
Restricted cash(1) 25,391 34,765 24,342
Loans and finance receivables, net(1) 815,856 703,076 859,946
Income taxes receivable 20,672 28,914
Other receivables and prepaid expenses(1) 29,354 22,164 29,983
Property and equipment, net 50,522 47,698 49,553
Operating lease right-of-use assets 21,453
Goodwill 267,013 267,013 267,013
Intangible assets, net 2,987 4,058 3,255
Other assets(1) 12,342 9,526 12,262
Total assets $ 1,338,419 $ 1,158,200 $ 1,328,185
Liabilities and Stockholders' Equity
Accounts payable and accrued expenses(1) $ 87,434 $ 70,473 $ 89,317
Operating lease liabilities 38,731
Income taxes currently payable 257
Deferred tax liabilities, net 41,132 17,087 33,171
Long-term debt(1) 791,908 754,650 857,929
Total liabilities 959,205 842,467 980,417
Commitments and contingencies
Stockholders' equity:
Common stock, $0.00001 par value, 250,000,000 shares authorized, 35,339,678, 34,340,242 and 34,856,553 shares issued and 33,683,763, 33,862,388 and 33,584,606 outstanding as of March 31, 2019 and 2018 and December 31, 2018, respectively
Preferred stock, $0.00001 par value, 25,000,000 shares authorized, no shares issued and outstanding
Additional paid in capital 51,638 32,671 48,175
Retained earnings 371,086 294,215 336,415
Accumulated other comprehensive loss (12,251) (4,322) (13,805)
Treasury stock, at cost (1,655,915, 477,854 and 1,271,947 shares as of March 31, 2019 and 2018 and December 31, 2018, respectively) (31,259) (6,831) (23,017)
Total stockholders' equity 379,214 315,733 347,768
Total liabilities and stockholders' equity $ 1,338,419 $ 1,158,200 $ 1,328,185

 

ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS (1) Includes amounts in wholly owned, bankruptcy-remote special purpose subsidiaries ("VIEs") presented separately in the table below. CONSOLIDATED BALANCE SHEETS
(dollars in thousands, except per share data) (dollars in thousands, except per share data)
(Unaudited) (Unaudited)
March 31, December 31, The following table presents the aggregated assets and liabilities of consolidated VIEs, which are included in the Consolidated Balance Sheets above. The assets in the table below may only be used to settle obligations of consolidated VIEs and are in excess of those obligations.
2019 2018 2018
Assets March 31, December 31,
Cash and cash equivalents(1) $ 92,829 $ 69,900 $ 52,917 2019 2018 2018
Restricted cash(1) 25,391 34,765 24,342 Assets of consolidated VIEs, included in total assets above
Loans and finance receivables, net(1) 815,856 703,076 859,946 Cash and cash equivalents $ 420 $ $ 210
Income taxes receivable 20,672 28,914 Restricted cash 23,167 26,746 22,168
Other receivables and prepaid expenses(1) 29,354 22,164 29,983 Loans and finance receivables, net (includes allowance for losses of $27,227, $24,471 and $27,255 as of March 31, 2019 and 2018 and December 31, 2018, respectively) 280,711 278,272 318,961
Property and equipment, net 50,522 47,698 49,553 Other receivables and prepaid expenses 5,914 1 2,712
Operating lease right-of-use assets 21,453 Other assets 2,737 155 2,544
Goodwill 267,013 267,013 267,013 Total assets $ 312,949 $ 305,174 $ 346,595
Intangible assets, net 2,987 4,058 3,255 Liabilities of consolidated VIEs, included in total liabilities above
Other assets(1) 12,342 9,526 12,262 Accounts payable and accrued expenses $ 2,711 $ 1,677 $ 3,087
Total assets $ 1,338,419 $ 1,158,200 $ 1,328,185 Long-term debt 178,841 214,459 223,368
Liabilities and Stockholders' Equity Total liabilities $ 181,552 $ 216,136 $ 226,455
Accounts payable and accrued expenses(1) $ 87,434 $ 70,473 $ 89,317
Operating lease liabilities 38,731
Income taxes currently payable 257
Deferred tax liabilities, net 41,132 17,087 33,171
Long-term debt(1) 791,908 754,650 857,929
Total liabilities 959,205 842,467 980,417
Commitments and contingencies
Stockholders' equity:
Common stock, $0.00001 par value, 250,000,000 shares authorized, 35,339,678, 34,340,242 and 34,856,553 shares issued and 33,683,763, 33,862,388 and 33,584,606 outstanding as of March 31, 2019 and 2018 and December 31, 2018, respectively
Preferred stock, $0.00001 par value, 25,000,000 shares authorized, no shares issued and outstanding
Additional paid in capital 51,638 32,671 48,175
Retained earnings 371,086 294,215 336,415
Accumulated other comprehensive loss (12,251) (4,322) (13,805)
Treasury stock, at cost (1,655,915, 477,854 and 1,271,947 shares as of March 31, 2019 and 2018 and December 31, 2018, respectively) (31,259) (6,831) (23,017)
Total stockholders' equity 379,214 315,733 347,768
Total liabilities and stockholders' equity $ 1,338,419 $ 1,158,200 $ 1,328,185

 


ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS (1) Includes amounts in wholly owned, bankruptcy-remote special purpose subsidiaries ("VIEs") presented separately in the table below. CONSOLIDATED BALANCE SHEETS CONSOLIDATED STATEMENTS OF INCOME
(dollars in thousands, except per share data) (dollars in thousands, except per share data) (in thousands, except per share data)
(Unaudited) (Unaudited) (Unaudited)
March 31, December 31, The following table presents the aggregated assets and liabilities of consolidated VIEs, which are included in the Consolidated Balance Sheets above. The assets in the table below may only be used to settle obligations of consolidated VIEs and are in excess of those obligations. Three Months Ended
2019 2018 2018 March 31,
Assets March 31, December 31, 2019 2018
Cash and cash equivalents(1) $ 92,829 $ 69,900 $ 52,917 2019 2018 2018 Revenue $ 293,183 $ 254,298
Restricted cash(1) 25,391 34,765 24,342 Assets of consolidated VIEs, included in total assets above Cost of Revenue 139,045 108,553
Loans and finance receivables, net(1) 815,856 703,076 859,946 Cash and cash equivalents $ 420 $ $ 210 Gross Profit 154,138 145,745
Income taxes receivable 20,672 28,914 Restricted cash 23,167 26,746 22,168 Expenses
Other receivables and prepaid expenses(1) 29,354 22,164 29,983 Loans and finance receivables, net (includes allowance for losses of $27,227, $24,471 and $27,255 as of March 31, 2019 and 2018 and December 31, 2018, respectively) 280,711 278,272 318,961 Marketing 23,662 27,736
Property and equipment, net 50,522 47,698 49,553 Other receivables and prepaid expenses 5,914 1 2,712 Operations and technology 29,600 25,538
Operating lease right-of-use assets 21,453 Other assets 2,737 155 2,544 General and administrative 29,573 26,921
Goodwill 267,013 267,013 267,013 Total assets $ 312,949 $ 305,174 $ 346,595 Depreciation and amortization 4,184 3,838
Intangible assets, net 2,987 4,058 3,255 Liabilities of consolidated VIEs, included in total liabilities above Total Expenses 87,019 84,033
Other assets(1) 12,342 9,526 12,262 Accounts payable and accrued expenses $ 2,711 $ 1,677 $ 3,087 Income from Operations 67,119 61,712
Total assets $ 1,338,419 $ 1,158,200 $ 1,328,185 Long-term debt 178,841 214,459 223,368 Interest expense, net (19,500) (19,673)
Liabilities and Stockholders' Equity Total liabilities $ 181,552 $ 216,136 $ 226,455 Foreign currency transaction loss (143) (2,088)
Accounts payable and accrued expenses(1) $ 87,434 $ 70,473 $ 89,317 Loss on early extinguishment of debt (2,321) (4,710)
Operating lease liabilities 38,731 Income before Income Taxes 45,155 35,241
Income taxes currently payable 257 Provision for income taxes 10,138 7,343
Deferred tax liabilities, net 41,132 17,087 33,171 Net Income $ 35,017 $ 27,898
Long-term debt(1) 791,908 754,650 857,929 Earnings Per Share:
Total liabilities 959,205 842,467 980,417 Net income per common share:
Commitments and contingencies Basic $ 1.05 $ 0.83
Stockholders' equity: Diluted $ 1.02 $ 0.81
Common stock, $0.00001 par value, 250,000,000 shares authorized, 35,339,678, 34,340,242 and 34,856,553 shares issued and 33,683,763, 33,862,388 and 33,584,606 outstanding as of March 31, 2019 and 2018 and December 31, 2018, respectively Weighted average common shares outstanding:
Preferred stock, $0.00001 par value, 25,000,000 shares authorized, no shares issued and outstanding Basic 33,481 33,669
Additional paid in capital 51,638 32,671 48,175 Diluted 34,421 34,572
Retained earnings 371,086 294,215 336,415
Accumulated other comprehensive loss (12,251) (4,322) (13,805)
Treasury stock, at cost (1,655,915, 477,854 and 1,271,947 shares as of March 31, 2019 and 2018 and December 31, 2018, respectively) (31,259) (6,831) (23,017)
Total stockholders' equity 379,214 315,733 347,768
Total liabilities and stockholders' equity $ 1,338,419 $ 1,158,200 $ 1,328,185

 

ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS (1) Includes amounts in wholly owned, bankruptcy-remote special purpose subsidiaries ("VIEs") presented separately in the table below. CONSOLIDATED BALANCE SHEETS CONSOLIDATED STATEMENTS OF INCOME CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW
(dollars in thousands, except per share data) (dollars in thousands, except per share data) (in thousands, except per share data) (dollars in thousands)
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
March 31, December 31, The following table presents the aggregated assets and liabilities of consolidated VIEs, which are included in the Consolidated Balance Sheets above. The assets in the table below may only be used to settle obligations of consolidated VIEs and are in excess of those obligations. Three Months Ended Three Months Ended March 31,
2019 2018 2018 March 31, 2019 2018
Assets March 31, December 31, 2019 2018 Cash flows provided by operating activities $ 221,080 $ 153,002
Cash and cash equivalents(1) $ 92,829 $ 69,900 $ 52,917 2019 2018 2018 Revenue $ 293,183 $ 254,298 Cash flows used in investing activities
Restricted cash(1) 25,391 34,765 24,342 Assets of consolidated VIEs, included in total assets above Cost of Revenue 139,045 108,553 Loans and finance receivables (99,271) (108,081)
Loans and finance receivables, net(1) 815,856 703,076 859,946 Cash and cash equivalents $ 420 $ $ 210 Gross Profit 154,138 145,745 Property and equipment additions (4,884) (3,349)
Income taxes receivable 20,672 28,914 Restricted cash 23,167 26,746 22,168 Expenses Other investing activities 24
Other receivables and prepaid expenses(1) 29,354 22,164 29,983 Loans and finance receivables, net (includes allowance for losses of $27,227, $24,471 and $27,255 as of March 31, 2019 and 2018 and December 31, 2018, respectively) 280,711 278,272 318,961 Marketing 23,662 27,736 Total cash flows used in investing activities (104,155) (111,406)
Property and equipment, net 50,522 47,698 49,553 Other receivables and prepaid expenses 5,914 1 2,712 Operations and technology 29,600 25,538 Cash flows used in financing activities (77,913) (40,608)
Operating lease right-of-use assets 21,453 Other assets 2,737 155 2,544 General and administrative 29,573 26,921 Effect of exchange rates on cash, cash equivalents and restricted cash 1,949 5,533
Goodwill 267,013 267,013 267,013 Total assets $ 312,949 $ 305,174 $ 346,595 Depreciation and amortization 4,184 3,838 Net increase in cash, cash equivalents and restricted cash 40,961 6,521
Intangible assets, net 2,987 4,058 3,255 Liabilities of consolidated VIEs, included in total liabilities above Total Expenses 87,019 84,033 Cash, cash equivalents and restricted cash at beginning of year 77,259 98,144
Other assets(1) 12,342 9,526 12,262 Accounts payable and accrued expenses $ 2,711 $ 1,677 $ 3,087 Income from Operations 67,119 61,712 Cash, cash equivalents and restricted cash at end of period $ 118,220 $ 104,665
Total assets $ 1,338,419 $ 1,158,200 $ 1,328,185 Long-term debt 178,841 214,459 223,368 Interest expense, net (19,500) (19,673)
Liabilities and Stockholders' Equity Total liabilities $ 181,552 $ 216,136 $ 226,455 Foreign currency transaction loss (143) (2,088)
Accounts payable and accrued expenses(1) $ 87,434 $ 70,473 $ 89,317 Loss on early extinguishment of debt (2,321) (4,710)
Operating lease liabilities 38,731 Income before Income Taxes 45,155 35,241
Income taxes currently payable 257 Provision for income taxes 10,138 7,343
Deferred tax liabilities, net 41,132 17,087 33,171 Net Income $ 35,017 $ 27,898
Long-term debt(1) 791,908 754,650 857,929 Earnings Per Share:
Total liabilities 959,205 842,467 980,417 Net income per common share:
Commitments and contingencies Basic $ 1.05 $ 0.83
Stockholders' equity: Diluted $ 1.02 $ 0.81
Common stock, $0.00001 par value, 250,000,000 shares authorized, 35,339,678, 34,340,242 and 34,856,553 shares issued and 33,683,763, 33,862,388 and 33,584,606 outstanding as of March 31, 2019 and 2018 and December 31, 2018, respectively Weighted average common shares outstanding:
Preferred stock, $0.00001 par value, 25,000,000 shares authorized, no shares issued and outstanding Basic 33,481 33,669
Additional paid in capital 51,638 32,671 48,175 Diluted 34,421 34,572
Retained earnings 371,086 294,215 336,415
Accumulated other comprehensive loss (12,251) (4,322) (13,805)
Treasury stock, at cost (1,655,915, 477,854 and 1,271,947 shares as of March 31, 2019 and 2018 and December 31, 2018, respectively) (31,259) (6,831) (23,017)
Total stockholders' equity 379,214 315,733 347,768
Total liabilities and stockholders' equity $ 1,338,419 $ 1,158,200 $ 1,328,185

 

ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS (1) Includes amounts in wholly owned, bankruptcy-remote special purpose subsidiaries ("VIEs") presented separately in the table below. CONSOLIDATED BALANCE SHEETS CONSOLIDATED STATEMENTS OF INCOME CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW GEOGRAPHIC INFORMATION
(dollars in thousands, except per share data) (dollars in thousands, except per share data) (in thousands, except per share data) (dollars in thousands) (dollars in thousands)
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
The following table presents information on Enova's domestic and international operations for the three months ended March 31, 2019 and 2018.
March 31, December 31, The following table presents the aggregated assets and liabilities of consolidated VIEs, which are included in the Consolidated Balance Sheets above. The assets in the table below may only be used to settle obligations of consolidated VIEs and are in excess of those obligations. Three Months Ended Three Months Ended March 31,
2019 2018 2018 March 31, 2019 2018 Three Months EndedMarch 31,
Assets March 31, December 31, 2019 2018 Cash flows provided by operating activities $ 221,080 $ 153,002 2019 2018 $ Change % Change
Cash and cash equivalents(1) $ 92,829 $ 69,900 $ 52,917 2019 2018 2018 Revenue $ 293,183 $ 254,298 Cash flows used in investing activities Domestic:
Restricted cash(1) 25,391 34,765 24,342 Assets of consolidated VIEs, included in total assets above Cost of Revenue 139,045 108,553 Loans and finance receivables (99,271) (108,081) Revenue $ 257,988 $ 212,966 $ 45,022 21.1 %
Loans and finance receivables, net(1) 815,856 703,076 859,946 Cash and cash equivalents $ 420 $ $ 210 Gross Profit 154,138 145,745 Property and equipment additions (4,884) (3,349) Cost of revenue 113,871 88,113 25,758 29.2
Income taxes receivable 20,672 28,914 Restricted cash 23,167 26,746 22,168 Expenses Other investing activities 24 Gross profit $ 144,117 $ 124,853 $ 19,264 15.4
Other receivables and prepaid expenses(1) 29,354 22,164 29,983 Loans and finance receivables, net (includes allowance for losses of $27,227, $24,471 and $27,255 as of March 31, 2019 and 2018 and December 31, 2018, respectively) 280,711 278,272 318,961 Marketing 23,662 27,736 Total cash flows used in investing activities (104,155) (111,406) Gross profit margin 55.9 % 58.6 % (2.7) % (4.6) %
Property and equipment, net 50,522 47,698 49,553 Other receivables and prepaid expenses 5,914 1 2,712 Operations and technology 29,600 25,538 Cash flows used in financing activities (77,913) (40,608) International:
Operating lease right-of-use assets 21,453 Other assets 2,737 155 2,544 General and administrative 29,573 26,921 Effect of exchange rates on cash, cash equivalents and restricted cash 1,949 5,533 Revenue $ 35,195 $ 41,332 $ (6,137) (14.8) %
Goodwill 267,013 267,013 267,013 Total assets $ 312,949 $ 305,174 $ 346,595 Depreciation and amortization 4,184 3,838 Net increase in cash, cash equivalents and restricted cash 40,961 6,521 Cost of revenue 25,174 20,440 4,734 23.2
Intangible assets, net 2,987 4,058 3,255 Liabilities of consolidated VIEs, included in total liabilities above Total Expenses 87,019 84,033 Cash, cash equivalents and restricted cash at beginning of year 77,259 98,144 Gross profit $ 10,021 $ 20,892 $ (10,871) (52.0)
Other assets(1) 12,342 9,526 12,262 Accounts payable and accrued expenses $ 2,711 $ 1,677 $ 3,087 Income from Operations 67,119 61,712 Cash, cash equivalents and restricted cash at end of period $ 118,220 $ 104,665 Gross profit margin 28.5 % 50.5 % (22.0) % (43.6) %
Total assets $ 1,338,419 $ 1,158,200 $ 1,328,185 Long-term debt 178,841 214,459 223,368 Interest expense, net (19,500) (19,673) Total:
Liabilities and Stockholders' Equity Total liabilities $ 181,552 $ 216,136 $ 226,455 Foreign currency transaction loss (143) (2,088) Revenue $ 293,183 $ 254,298 $ 38,885 15.3 %
Accounts payable and accrued expenses(1) $ 87,434 $ 70,473 $ 89,317 Loss on early extinguishment of debt (2,321) (4,710) Cost of revenue 139,045 108,553 30,492 28.1
Operating lease liabilities 38,731 Income before Income Taxes 45,155 35,241 Gross profit $ 154,138 $ 145,745 $ 8,393 5.8
Income taxes currently payable 257 Provision for income taxes 10,138 7,343 Gross profit margin 52.6 % 57.3 % (4.7) % (8.2) %
Deferred tax liabilities, net 41,132 17,087 33,171 Net Income $ 35,017 $ 27,898
Long-term debt(1) 791,908 754,650 857,929 Earnings Per Share:
Total liabilities 959,205 842,467 980,417 Net income per common share:
Commitments and contingencies Basic $ 1.05 $ 0.83
Stockholders' equity: Diluted $ 1.02 $ 0.81
Common stock, $0.00001 par value, 250,000,000 shares authorized, 35,339,678, 34,340,242 and 34,856,553 shares issued and 33,683,763, 33,862,388 and 33,584,606 outstanding as of March 31, 2019 and 2018 and December 31, 2018, respectively Weighted average common shares outstanding:
Preferred stock, $0.00001 par value, 25,000,000 shares authorized, no shares issued and outstanding Basic 33,481 33,669
Additional paid in capital 51,638 32,671 48,175 Diluted 34,421 34,572
Retained earnings 371,086 294,215 336,415
Accumulated other comprehensive loss (12,251) (4,322) (13,805)
Treasury stock, at cost (1,655,915, 477,854 and 1,271,947 shares as of March 31, 2019 and 2018 and December 31, 2018, respectively) (31,259) (6,831) (23,017)
Total stockholders' equity 379,214 315,733 347,768
Total liabilities and stockholders' equity $ 1,338,419 $ 1,158,200 $ 1,328,185

 

ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS (1) Includes amounts in wholly owned, bankruptcy-remote special purpose subsidiaries ("VIEs") presented separately in the table below. CONSOLIDATED BALANCE SHEETS CONSOLIDATED STATEMENTS OF INCOME CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW GEOGRAPHIC INFORMATION LOANS AND FINANCE RECEIVABLES FINANCIAL AND OPERATING DATA
(dollars in thousands, except per share data) (dollars in thousands, except per share data) (in thousands, except per share data) (dollars in thousands) (dollars in thousands) (dollars in thousands)
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
The following table presents information on Enova's domestic and international operations for the three months ended March 31, 2019 and 2018. The following table shows loans and finance receivables and related loan loss activity, which is based on loan and finance receivable balances, for the three months ended March 31, 2019 and 2018.
March 31, December 31, The following table presents the aggregated assets and liabilities of consolidated VIEs, which are included in the Consolidated Balance Sheets above. The assets in the table below may only be used to settle obligations of consolidated VIEs and are in excess of those obligations. Three Months Ended Three Months Ended March 31,
2019 2018 2018 March 31, 2019 2018 Three Months EndedMarch 31, Three Months Ended March 31, 2019 2018 Change
Assets March 31, December 31, 2019 2018 Cash flows provided by operating activities $ 221,080 $ 153,002 2019 2018 $ Change % Change Cost of revenue $ 139,045 $ 108,553 $ 30,492
Cash and cash equivalents(1) $ 92,829 $ 69,900 $ 52,917 2019 2018 2018 Revenue $ 293,183 $ 254,298 Cash flows used in investing activities Domestic: Charge-offs (net of recoveries) 162,250 118,705 43,545
Restricted cash(1) 25,391 34,765 24,342 Assets of consolidated VIEs, included in total assets above Cost of Revenue 139,045 108,553 Loans and finance receivables (99,271) (108,081) Revenue $ 257,988 $ 212,966 $ 45,022 21.1 % Average combined loans and finance receivables, gross:
Loans and finance receivables, net(1) 815,856 703,076 859,946 Cash and cash equivalents $ 420 $ $ 210 Gross Profit 154,138 145,745 Property and equipment additions (4,884) (3,349) Cost of revenue 113,871 88,113 25,758 29.2 Company owned(a) 998,662 831,299 167,363
Income taxes receivable 20,672 28,914 Restricted cash 23,167 26,746 22,168 Expenses Other investing activities 24 Gross profit $ 144,117 $ 124,853 $ 19,264 15.4 Guaranteed by Enova(a)(b) 26,855 32,143 (5,288)
Other receivables and prepaid expenses(1) 29,354 22,164 29,983 Loans and finance receivables, net (includes allowance for losses of $27,227, $24,471 and $27,255 as of March 31, 2019 and 2018 and December 31, 2018, respectively) 280,711 278,272 318,961 Marketing 23,662 27,736 Total cash flows used in investing activities (104,155) (111,406) Gross profit margin 55.9 % 58.6 % (2.7) % (4.6) % Average combined loans and finance receivables, gross(a)(c) $ 1,025,517 $ 863,442 $ 162,075
Property and equipment, net 50,522 47,698 49,553 Other receivables and prepaid expenses 5,914 1 2,712 Operations and technology 29,600 25,538 Cash flows used in financing activities (77,913) (40,608) International: Ending combined loans and finance receivables, gross:
Operating lease right-of-use assets 21,453 Other assets 2,737 155 2,544 General and administrative 29,573 26,921 Effect of exchange rates on cash, cash equivalents and restricted cash 1,949 5,533 Revenue $ 35,195 $ 41,332 $ (6,137) (14.8) % Company owned $ 957,257 $ 817,359 $ 139,898
Goodwill 267,013 267,013 267,013 Total assets $ 312,949 $ 305,174 $ 346,595 Depreciation and amortization 4,184 3,838 Net increase in cash, cash equivalents and restricted cash 40,961 6,521 Cost of revenue 25,174 20,440 4,734 23.2 Guaranteed by Enova(b) 22,296 26,594 (4,298)
Intangible assets, net 2,987 4,058 3,255 Liabilities of consolidated VIEs, included in total liabilities above Total Expenses 87,019 84,033 Cash, cash equivalents and restricted cash at beginning of year 77,259 98,144 Gross profit $ 10,021 $ 20,892 $ (10,871) (52.0) Ending combined loans and finance receivables, gross(c) $ 979,553 $ 843,953 $ 135,600
Other assets(1) 12,342 9,526 12,262 Accounts payable and accrued expenses $ 2,711 $ 1,677 $ 3,087 Income from Operations 67,119 61,712 Cash, cash equivalents and restricted cash at end of period $ 118,220 $ 104,665 Gross profit margin 28.5 % 50.5 % (22.0) % (43.6) % Ending allowance and liability for losses $ 142,665 $ 115,693 $ 26,972
Total assets $ 1,338,419 $ 1,158,200 $ 1,328,185 Long-term debt 178,841 214,459 223,368 Interest expense, net (19,500) (19,673) Total: Combined originations(d) $ 542,256 $ 557,424 $ (15,168)
Liabilities and Stockholders' Equity Total liabilities $ 181,552 $ 216,136 $ 226,455 Foreign currency transaction loss (143) (2,088) Revenue $ 293,183 $ 254,298 $ 38,885 15.3 %
Accounts payable and accrued expenses(1) $ 87,434 $ 70,473 $ 89,317 Loss on early extinguishment of debt (2,321) (4,710) Cost of revenue 139,045 108,553 30,492 28.1 Loans and finance receivables ratios:
Operating lease liabilities 38,731 Income before Income Taxes 45,155 35,241 Gross profit $ 154,138 $ 145,745 $ 8,393 5.8 Cost of revenue as a % of average combined loans and finance receivables, gross(a)(c) 13.6 % 12.6 % 1.0 %
Income taxes currently payable 257 Provision for income taxes 10,138 7,343 Gross profit margin 52.6 % 57.3 % (4.7) % (8.2) % Charge-offs (net of recoveries) as a % of average combined loans and finance receivables, gross(a)(c) 15.8 % 13.7 % 2.1 %
Deferred tax liabilities, net 41,132 17,087 33,171 Net Income $ 35,017 $ 27,898 Gross profit margin 52.6 % 57.3 % (4.7) %
Long-term debt(1) 791,908 754,650 857,929 Earnings Per Share: Allowance and liability for losses as a % of combined loans and finance receivables, gross(c)(e) 14.6 % 13.7 % 0.9 %
Total liabilities 959,205 842,467 980,417 Net income per common share:
Commitments and contingencies Basic $ 1.05 $ 0.83
Stockholders' equity: Diluted $ 1.02 $ 0.81
Common stock, $0.00001 par value, 250,000,000 shares authorized, 35,339,678, 34,340,242 and 34,856,553 shares issued and 33,683,763, 33,862,388 and 33,584,606 outstanding as of March 31, 2019 and 2018 and December 31, 2018, respectively Weighted average common shares outstanding:
Preferred stock, $0.00001 par value, 25,000,000 shares authorized, no shares issued and outstanding Basic 33,481 33,669
Additional paid in capital 51,638 32,671 48,175 Diluted 34,421 34,572
Retained earnings 371,086 294,215 336,415
Accumulated other comprehensive loss (12,251) (4,322) (13,805)
Treasury stock, at cost (1,655,915, 477,854 and 1,271,947 shares as of March 31, 2019 and 2018 and December 31, 2018, respectively) (31,259) (6,831) (23,017)
Total stockholders' equity 379,214 315,733 347,768
Total liabilities and stockholders' equity $ 1,338,419 $ 1,158,200 $ 1,328,185

ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS (1) Includes amounts in wholly owned, bankruptcy-remote special purpose subsidiaries ("VIEs") presented separately in the table below. CONSOLIDATED BALANCE SHEETS CONSOLIDATED STATEMENTS OF INCOME CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW GEOGRAPHIC INFORMATION LOANS AND FINANCE RECEIVABLES FINANCIAL AND OPERATING DATA (a)  The average combined loans and finance receivables, gross, is the average of the month-end balances during the period.
(dollars in thousands, except per share data) (dollars in thousands, except per share data) (in thousands, except per share data) (dollars in thousands) (dollars in thousands) (dollars in thousands) (b)  Represents loans originated by third-party lenders through the credit services organization (or CSO), which are not included in Enova's financial statements.
(Unaudited) (Unaudited) (Unaudited) (Unaudited) (c)  Non-GAAP measure. See the above discussion for additional information regarding combined loans and finance receivables.
The following table presents information on Enova's domestic and international operations for the three months ended March 31, 2019 and 2018. The following table shows loans and finance receivables and related loan loss activity, which is based on loan and finance receivable balances, for the three months ended March 31, 2019 and 2018. (d)  Represents loans and finance receivables originated by Enova and third-party lenders through the CSO and includes renewals of existing origination agreements to customers in good standing. The disclosure is statistical data that is not included in Enova's financial statements.
March 31, December 31, The following table presents the aggregated assets and liabilities of consolidated VIEs, which are included in the Consolidated Balance Sheets above. The assets in the table below may only be used to settle obligations of consolidated VIEs and are in excess of those obligations. Three Months Ended Three Months Ended March 31, (e)  Allowance and liability for losses as a percentage of combined loans and finance receivables, gross, is determined using period-end balances.
2019 2018 2018 March 31, 2019 2018 Three Months EndedMarch 31, Three Months Ended March 31, 2019 2018 Change
Assets March 31, December 31, 2019 2018 Cash flows provided by operating activities $ 221,080 $ 153,002 2019 2018 $ Change % Change Cost of revenue $ 139,045 $ 108,553 $ 30,492
Cash and cash equivalents(1) $ 92,829 $ 69,900 $ 52,917 2019 2018 2018 Revenue $ 293,183 $ 254,298 Cash flows used in investing activities Domestic: Charge-offs (net of recoveries) 162,250 118,705 43,545
Restricted cash(1) 25,391 34,765 24,342 Assets of consolidated VIEs, included in total assets above Cost of Revenue 139,045 108,553 Loans and finance receivables (99,271) (108,081) Revenue $ 257,988 $ 212,966 $ 45,022 21.1 % Average combined loans and finance receivables, gross:
Loans and finance receivables, net(1) 815,856 703,076 859,946 Cash and cash equivalents $ 420 $ $ 210 Gross Profit 154,138 145,745 Property and equipment additions (4,884) (3,349) Cost of revenue 113,871 88,113 25,758 29.2 Company owned(a) 998,662 831,299 167,363
Income taxes receivable 20,672 28,914 Restricted cash 23,167 26,746 22,168 Expenses Other investing activities 24 Gross profit $ 144,117 $ 124,853 $ 19,264 15.4 Guaranteed by Enova(a)(b) 26,855 32,143 (5,288)
Other receivables and prepaid expenses(1) 29,354 22,164 29,983 Loans and finance receivables, net (includes allowance for losses of $27,227, $24,471 and $27,255 as of March 31, 2019 and 2018 and December 31, 2018, respectively) 280,711 278,272 318,961 Marketing 23,662 27,736 Total cash flows used in investing activities (104,155) (111,406) Gross profit margin 55.9 % 58.6 % (2.7) % (4.6) % Average combined loans and finance receivables, gross(a)(c) $ 1,025,517 $ 863,442 $ 162,075
Property and equipment, net 50,522 47,698 49,553 Other receivables and prepaid expenses 5,914 1 2,712 Operations and technology 29,600 25,538 Cash flows used in financing activities (77,913) (40,608) International: Ending combined loans and finance receivables, gross:
Operating lease right-of-use assets 21,453 Other assets 2,737 155 2,544 General and administrative 29,573 26,921 Effect of exchange rates on cash, cash equivalents and restricted cash 1,949 5,533 Revenue $ 35,195 $ 41,332 $ (6,137) (14.8) % Company owned $ 957,257 $ 817,359 $ 139,898
Goodwill 267,013 267,013 267,013 Total assets $ 312,949 $ 305,174 $ 346,595 Depreciation and amortization 4,184 3,838 Net increase in cash, cash equivalents and restricted cash 40,961 6,521 Cost of revenue 25,174 20,440 4,734 23.2 Guaranteed by Enova(b) 22,296 26,594 (4,298)
Intangible assets, net 2,987 4,058 3,255 Liabilities of consolidated VIEs, included in total liabilities above Total Expenses 87,019 84,033 Cash, cash equivalents and restricted cash at beginning of year 77,259 98,144 Gross profit $ 10,021 $ 20,892 $ (10,871) (52.0) Ending combined loans and finance receivables, gross(c) $ 979,553 $ 843,953 $ 135,600
Other assets(1) 12,342 9,526 12,262 Accounts payable and accrued expenses $ 2,711 $ 1,677 $ 3,087 Income from Operations 67,119 61,712 Cash, cash equivalents and restricted cash at end of period $ 118,220 $ 104,665 Gross profit margin 28.5 % 50.5 % (22.0) % (43.6) % Ending allowance and liability for losses $ 142,665 $ 115,693 $ 26,972
Total assets $ 1,338,419 $ 1,158,200 $ 1,328,185 Long-term debt 178,841 214,459 223,368 Interest expense, net (19,500) (19,673) Total: Combined originations(d) $ 542,256 $ 557,424 $ (15,168)
Liabilities and Stockholders' Equity Total liabilities $ 181,552 $ 216,136 $ 226,455 Foreign currency transaction loss (143) (2,088) Revenue $ 293,183 $ 254,298 $ 38,885 15.3 %
Accounts payable and accrued expenses(1) $ 87,434 $ 70,473 $ 89,317 Loss on early extinguishment of debt (2,321) (4,710) Cost of revenue 139,045 108,553 30,492 28.1 Loans and finance receivables ratios:
Operating lease liabilities 38,731 Income before Income Taxes 45,155 35,241 Gross profit $ 154,138 $ 145,745 $ 8,393 5.8 Cost of revenue as a % of average combined loans and finance receivables, gross(a)(c) 13.6 % 12.6 % 1.0 %
Income taxes currently payable 257 Provision for income taxes 10,138 7,343 Gross profit margin 52.6 % 57.3 % (4.7) % (8.2) % Charge-offs (net of recoveries) as a % of average combined loans and finance receivables, gross(a)(c) 15.8 % 13.7 % 2.1 %
Deferred tax liabilities, net 41,132 17,087 33,171 Net Income $ 35,017 $ 27,898 Gross profit margin 52.6 % 57.3 % (4.7) %
Long-term debt(1) 791,908 754,650 857,929 Earnings Per Share: Allowance and liability for losses as a % of combined loans and finance receivables, gross(c)(e) 14.6 % 13.7 % 0.9 %
Total liabilities 959,205 842,467 980,417 Net income per common share:
Commitments and contingencies Basic $ 1.05 $ 0.83
Stockholders' equity: Diluted $ 1.02 $ 0.81
Common stock, $0.00001 par value, 250,000,000 shares authorized, 35,339,678, 34,340,242 and 34,856,553 shares issued and 33,683,763, 33,862,388 and 33,584,606 outstanding as of March 31, 2019 and 2018 and December 31, 2018, respectively Weighted average common shares outstanding:
Preferred stock, $0.00001 par value, 25,000,000 shares authorized, no shares issued and outstanding Basic 33,481 33,669
Additional paid in capital 51,638 32,671 48,175 Diluted 34,421 34,572
Retained earnings 371,086 294,215 336,415
Accumulated other comprehensive loss (12,251) (4,322) (13,805)
Treasury stock, at cost (1,655,915, 477,854 and 1,271,947 shares as of March 31, 2019 and 2018 and December 31, 2018, respectively) (31,259) (6,831) (23,017)
Total stockholders' equity 379,214 315,733 347,768
Total liabilities and stockholders' equity $ 1,338,419 $ 1,158,200 $ 1,328,185

 

ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS (1) Includes amounts in wholly owned, bankruptcy-remote special purpose subsidiaries ("VIEs") presented separately in the table below. CONSOLIDATED BALANCE SHEETS CONSOLIDATED STATEMENTS OF INCOME CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW GEOGRAPHIC INFORMATION LOANS AND FINANCE RECEIVABLES FINANCIAL AND OPERATING DATA (a)  The average combined loans and finance receivables, gross, is the average of the month-end balances during the period. RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES
(dollars in thousands, except per share data) (dollars in thousands, except per share data) (in thousands, except per share data) (dollars in thousands) (dollars in thousands) (dollars in thousands) (b)  Represents loans originated by third-party lenders through the credit services organization (or CSO), which are not included in Enova's financial statements. (dollars in thousands, except per share data)
(Unaudited) (Unaudited) (Unaudited) (Unaudited) (c)  Non-GAAP measure. See the above discussion for additional information regarding combined loans and finance receivables.
The following table presents information on Enova's domestic and international operations for the three months ended March 31, 2019 and 2018. The following table shows loans and finance receivables and related loan loss activity, which is based on loan and finance receivable balances, for the three months ended March 31, 2019 and 2018. (d)  Represents loans and finance receivables originated by Enova and third-party lenders through the CSO and includes renewals of existing origination agreements to customers in good standing. The disclosure is statistical data that is not included in Enova's financial statements. Adjusted Earnings Measures
March 31, December 31, The following table presents the aggregated assets and liabilities of consolidated VIEs, which are included in the Consolidated Balance Sheets above. The assets in the table below may only be used to settle obligations of consolidated VIEs and are in excess of those obligations. Three Months Ended Three Months Ended March 31, (e)  Allowance and liability for losses as a percentage of combined loans and finance receivables, gross, is determined using period-end balances.
2019 2018 2018 March 31, 2019 2018 Three Months EndedMarch 31, Three Months Ended March 31, 2019 2018 Change Three Months Ended
Assets March 31, December 31, 2019 2018 Cash flows provided by operating activities $ 221,080 $ 153,002 2019 2018 $ Change % Change Cost of revenue $ 139,045 $ 108,553 $ 30,492 March 31,
Cash and cash equivalents(1) $ 92,829 $ 69,900 $ 52,917 2019 2018 2018 Revenue $ 293,183 $ 254,298 Cash flows used in investing activities Domestic: Charge-offs (net of recoveries) 162,250 118,705 43,545 2019 2018
Restricted cash(1) 25,391 34,765 24,342 Assets of consolidated VIEs, included in total assets above Cost of Revenue 139,045 108,553 Loans and finance receivables (99,271) (108,081) Revenue $ 257,988 $ 212,966 $ 45,022 21.1 % Average combined loans and finance receivables, gross: Net Income $ 35,017 $ 27,898
Loans and finance receivables, net(1) 815,856 703,076 859,946 Cash and cash equivalents $ 420 $ $ 210 Gross Profit 154,138 145,745 Property and equipment additions (4,884) (3,349) Cost of revenue 113,871 88,113 25,758 29.2 Company owned(a) 998,662 831,299 167,363 Adjustments:
Income taxes receivable 20,672 28,914 Restricted cash 23,167 26,746 22,168 Expenses Other investing activities 24 Gross profit $ 144,117 $ 124,853 $ 19,264 15.4 Guaranteed by Enova(a)(b) 26,855 32,143 (5,288) Lease termination and cease-use costs(a) 726
Other receivables and prepaid expenses(1) 29,354 22,164 29,983 Loans and finance receivables, net (includes allowance for losses of $27,227, $24,471 and $27,255 as of March 31, 2019 and 2018 and December 31, 2018, respectively) 280,711 278,272 318,961 Marketing 23,662 27,736 Total cash flows used in investing activities (104,155) (111,406) Gross profit margin 55.9 % 58.6 % (2.7) % (4.6) % Average combined loans and finance receivables, gross(a)(c) $ 1,025,517 $ 863,442 $ 162,075 Loss on early extinguishment of debt(b) 2,321 4,710
Property and equipment, net 50,522 47,698 49,553 Other receivables and prepaid expenses 5,914 1 2,712 Operations and technology 29,600 25,538 Cash flows used in financing activities (77,913) (40,608) International: Ending combined loans and finance receivables, gross: Intangible asset amortization 268 267
Operating lease right-of-use assets 21,453 Other assets 2,737 155 2,544 General and administrative 29,573 26,921 Effect of exchange rates on cash, cash equivalents and restricted cash 1,949 5,533 Revenue $ 35,195 $ 41,332 $ (6,137) (14.8) % Company owned $ 957,257 $ 817,359 $ 139,898 Stock-based compensation expense 3,074 2,433
Goodwill 267,013 267,013 267,013 Total assets $ 312,949 $ 305,174 $ 346,595 Depreciation and amortization 4,184 3,838 Net increase in cash, cash equivalents and restricted cash 40,961 6,521 Cost of revenue 25,174 20,440 4,734 23.2 Guaranteed by Enova(b) 22,296 26,594 (4,298) Foreign currency transaction loss 143 2,088
Intangible assets, net 2,987 4,058 3,255 Liabilities of consolidated VIEs, included in total liabilities above Total Expenses 87,019 84,033 Cash, cash equivalents and restricted cash at beginning of year 77,259 98,144 Gross profit $ 10,021 $ 20,892 $ (10,871) (52.0) Ending combined loans and finance receivables, gross(c) $ 979,553 $ 843,953 $ 135,600 Cumulative tax effect of adjustments (1,519) (1,979)
Other assets(1) 12,342 9,526 12,262 Accounts payable and accrued expenses $ 2,711 $ 1,677 $ 3,087 Income from Operations 67,119 61,712 Cash, cash equivalents and restricted cash at end of period $ 118,220 $ 104,665 Gross profit margin 28.5 % 50.5 % (22.0) % (43.6) % Ending allowance and liability for losses $ 142,665 $ 115,693 $ 26,972 Discrete tax adjustments(c) (141)
Total assets $ 1,338,419 $ 1,158,200 $ 1,328,185 Long-term debt 178,841 214,459 223,368 Interest expense, net (19,500) (19,673) Total: Combined originations(d) $ 542,256 $ 557,424 $ (15,168)
Liabilities and Stockholders' Equity Total liabilities $ 181,552 $ 216,136 $ 226,455 Foreign currency transaction loss (143) (2,088) Revenue $ 293,183 $ 254,298 $ 38,885 15.3 % Adjusted earnings $ 39,889 $ 35,417
Accounts payable and accrued expenses(1) $ 87,434 $ 70,473 $ 89,317 Loss on early extinguishment of debt (2,321) (4,710) Cost of revenue 139,045 108,553 30,492 28.1 Loans and finance receivables ratios:
Operating lease liabilities 38,731 Income before Income Taxes 45,155 35,241 Gross profit $ 154,138 $ 145,745 $ 8,393 5.8 Cost of revenue as a % of average combined loans and finance receivables, gross(a)(c) 13.6 % 12.6 % 1.0 % Diluted earnings per share $ 1.02 $ 0.81
Income taxes currently payable 257 Provision for income taxes 10,138 7,343 Gross profit margin 52.6 % 57.3 % (4.7) % (8.2) % Charge-offs (net of recoveries) as a % of average combined loans and finance receivables, gross(a)(c) 15.8 % 13.7 % 2.1 %
Deferred tax liabilities, net 41,132 17,087 33,171 Net Income $ 35,017 $ 27,898 Gross profit margin 52.6 % 57.3 % (4.7) % Adjusted earnings per share $ 1.16 $ 1.02
Long-term debt(1) 791,908 754,650 857,929 Earnings Per Share: Allowance and liability for losses as a % of combined loans and finance receivables, gross(c)(e) 14.6 % 13.7 % 0.9 %
Total liabilities 959,205 842,467 980,417 Net income per common share: Adjusted EBITDA
Commitments and contingencies Basic $ 1.05 $ 0.83
Stockholders' equity: Diluted $ 1.02 $ 0.81 Three Months Ended
Common stock, $0.00001 par value, 250,000,000 shares authorized, 35,339,678, 34,340,242 and 34,856,553 shares issued and 33,683,763, 33,862,388 and 33,584,606 outstanding as of March 31, 2019 and 2018 and December 31, 2018, respectively Weighted average common shares outstanding: March 31,
Preferred stock, $0.00001 par value, 25,000,000 shares authorized, no shares issued and outstanding Basic 33,481 33,669 2019 2018
Additional paid in capital 51,638 32,671 48,175 Diluted 34,421 34,572 Net Income $ 35,017 $ 27,898
Retained earnings 371,086 294,215 336,415 Depreciation and amortization expenses 4,184 3,838
Accumulated other comprehensive loss (12,251) (4,322) (13,805) Interest expense, net 19,500 19,673
Treasury stock, at cost (1,655,915, 477,854 and 1,271,947 shares as of March 31, 2019 and 2018 and December 31, 2018, respectively) (31,259) (6,831) (23,017) Foreign currency transaction loss 143 2,088
Total stockholders' equity 379,214 315,733 347,768 Provision for income taxes 10,138 7,343
Total liabilities and stockholders' equity $ 1,338,419 $ 1,158,200 $ 1,328,185 Stock-based compensation expense 3,074 2,433
Adjustments:
Lease termination and cease-use costs(a) 370
Loss on early extinguishment of debt(b) 2,321 4,710
Adjusted EBITDA $ 74,747 $ 67,983
Adjusted EBITDA margin calculated as follows:
Total Revenue $ 293,183 $ 254,298
Adjusted EBITDA 74,747 67,983
Adjusted EBITDA as a percentage of total revenue 25.5 % 26.7 %

ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS (1) Includes amounts in wholly owned, bankruptcy-remote special purpose subsidiaries ("VIEs") presented separately in the table below. CONSOLIDATED BALANCE SHEETS CONSOLIDATED STATEMENTS OF INCOME CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW GEOGRAPHIC INFORMATION LOANS AND FINANCE RECEIVABLES FINANCIAL AND OPERATING DATA (a)  The average combined loans and finance receivables, gross, is the average of the month-end balances during the period. RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (a) In the first quarter of 2019, the Company recorded impairment charges of $0.4 million($0.3 million net of tax) to operating right-of-use lease assets and $0.3 million ($0.3 million net of tax) to leasehold improvement assets related to its decision to cease use and sublease a portion of a leased office space.
(dollars in thousands, except per share data) (dollars in thousands, except per share data) (in thousands, except per share data) (dollars in thousands) (dollars in thousands) (dollars in thousands) (b)  Represents loans originated by third-party lenders through the credit services organization (or CSO), which are not included in Enova's financial statements. (dollars in thousands, except per share data) (b)  In the first quarter of 2019 and the first quarter of 2018, the Company recorded losses on early extinguishment of debt of $2.3 million ($1.8 million net of tax) and $4.7 million ($3.7 million net of tax), respectively, related to the repurchase of $44.1 million principal amount of securitization notes and the repurchase of $50.0 million principal amount of senior notes .
(Unaudited) (Unaudited) (Unaudited) (Unaudited) (c)  Non-GAAP measure. See the above discussion for additional information regarding combined loans and finance receivables. (c)  In the first quarter of 2019, the Company recognized $0.1 million of interest income on a tax refund received as a result of the U.S. Tax Cuts and Jobs Act.
The following table presents information on Enova's domestic and international operations for the three months ended March 31, 2019 and 2018. The following table shows loans and finance receivables and related loan loss activity, which is based on loan and finance receivable balances, for the three months ended March 31, 2019 and 2018. (d)  Represents loans and finance receivables originated by Enova and third-party lenders through the CSO and includes renewals of existing origination agreements to customers in good standing. The disclosure is statistical data that is not included in Enova's financial statements. Adjusted Earnings Measures
March 31, December 31, The following table presents the aggregated assets and liabilities of consolidated VIEs, which are included in the Consolidated Balance Sheets above. The assets in the table below may only be used to settle obligations of consolidated VIEs and are in excess of those obligations. Three Months Ended Three Months Ended March 31, (e)  Allowance and liability for losses as a percentage of combined loans and finance receivables, gross, is determined using period-end balances.
2019 2018 2018 March 31, 2019 2018 Three Months EndedMarch 31, Three Months Ended March 31, 2019 2018 Change Three Months Ended
Assets March 31, December 31, 2019 2018 Cash flows provided by operating activities $ 221,080 $ 153,002 2019 2018 $ Change % Change Cost of revenue $ 139,045 $ 108,553 $ 30,492 March 31,
Cash and cash equivalents(1) $ 92,829 $ 69,900 $ 52,917 2019 2018 2018 Revenue $ 293,183 $ 254,298 Cash flows used in investing activities Domestic: Charge-offs (net of recoveries) 162,250 118,705 43,545 2019 2018
Restricted cash(1) 25,391 34,765 24,342 Assets of consolidated VIEs, included in total assets above Cost of Revenue 139,045 108,553 Loans and finance receivables (99,271) (108,081) Revenue $ 257,988 $ 212,966 $ 45,022 21.1 % Average combined loans and finance receivables, gross: Net Income $ 35,017 $ 27,898
Loans and finance receivables, net(1) 815,856 703,076 859,946 Cash and cash equivalents $ 420 $ $ 210 Gross Profit 154,138 145,745 Property and equipment additions (4,884) (3,349) Cost of revenue 113,871 88,113 25,758 29.2 Company owned(a) 998,662 831,299 167,363 Adjustments:
Income taxes receivable 20,672 28,914 Restricted cash 23,167 26,746 22,168 Expenses Other investing activities 24 Gross profit $ 144,117 $ 124,853 $ 19,264 15.4 Guaranteed by Enova(a)(b) 26,855 32,143 (5,288) Lease termination and cease-use costs(a) 726
Other receivables and prepaid expenses(1) 29,354 22,164 29,983 Loans and finance receivables, net (includes allowance for losses of $27,227, $24,471 and $27,255 as of March 31, 2019 and 2018 and December 31, 2018, respectively) 280,711 278,272 318,961 Marketing 23,662 27,736 Total cash flows used in investing activities (104,155) (111,406) Gross profit margin 55.9 % 58.6 % (2.7) % (4.6) % Average combined loans and finance receivables, gross(a)(c) $ 1,025,517 $ 863,442 $ 162,075 Loss on early extinguishment of debt(b) 2,321 4,710
Property and equipment, net 50,522 47,698 49,553 Other receivables and prepaid expenses 5,914 1 2,712 Operations and technology 29,600 25,538 Cash flows used in financing activities (77,913) (40,608) International: Ending combined loans and finance receivables, gross: Intangible asset amortization 268 267
Operating lease right-of-use assets 21,453 Other assets 2,737 155 2,544 General and administrative 29,573 26,921 Effect of exchange rates on cash, cash equivalents and restricted cash 1,949 5,533 Revenue $ 35,195 $ 41,332 $ (6,137) (14.8) % Company owned $ 957,257 $ 817,359 $ 139,898 Stock-based compensation expense 3,074 2,433
Goodwill 267,013 267,013 267,013 Total assets $ 312,949 $ 305,174 $ 346,595 Depreciation and amortization 4,184 3,838 Net increase in cash, cash equivalents and restricted cash 40,961 6,521 Cost of revenue 25,174 20,440 4,734 23.2 Guaranteed by Enova(b) 22,296 26,594 (4,298) Foreign currency transaction loss 143 2,088
Intangible assets, net 2,987 4,058 3,255 Liabilities of consolidated VIEs, included in total liabilities above Total Expenses 87,019 84,033 Cash, cash equivalents and restricted cash at beginning of year 77,259 98,144 Gross profit $ 10,021 $ 20,892 $ (10,871) (52.0) Ending combined loans and finance receivables, gross(c) $ 979,553 $ 843,953 $ 135,600 Cumulative tax effect of adjustments (1,519) (1,979)
Other assets(1) 12,342 9,526 12,262 Accounts payable and accrued expenses $ 2,711 $ 1,677 $ 3,087 Income from Operations 67,119 61,712 Cash, cash equivalents and restricted cash at end of period $ 118,220 $ 104,665 Gross profit margin 28.5 % 50.5 % (22.0) % (43.6) % Ending allowance and liability for losses $ 142,665 $ 115,693 $ 26,972 Discrete tax adjustments(c) (141)
Total assets $ 1,338,419 $ 1,158,200 $ 1,328,185 Long-term debt 178,841 214,459 223,368 Interest expense, net (19,500) (19,673) Total: Combined originations(d) $ 542,256 $ 557,424 $ (15,168)
Liabilities and Stockholders' Equity Total liabilities $ 181,552 $ 216,136 $ 226,455 Foreign currency transaction loss (143) (2,088) Revenue $ 293,183 $ 254,298 $ 38,885 15.3 % Adjusted earnings $ 39,889 $ 35,417
Accounts payable and accrued expenses(1) $ 87,434 $ 70,473 $ 89,317 Loss on early extinguishment of debt (2,321) (4,710) Cost of revenue 139,045 108,553 30,492 28.1 Loans and finance receivables ratios:
Operating lease liabilities 38,731 Income before Income Taxes 45,155 35,241 Gross profit $ 154,138 $ 145,745 $ 8,393 5.8 Cost of revenue as a % of average combined loans and finance receivables, gross(a)(c) 13.6 % 12.6 % 1.0 % Diluted earnings per share $ 1.02 $ 0.81
Income taxes currently payable 257 Provision for income taxes 10,138 7,343 Gross profit margin 52.6 % 57.3 % (4.7) % (8.2) % Charge-offs (net of recoveries) as a % of average combined loans and finance receivables, gross(a)(c) 15.8 % 13.7 % 2.1 %
Deferred tax liabilities, net 41,132 17,087 33,171 Net Income $ 35,017 $ 27,898 Gross profit margin 52.6 % 57.3 % (4.7) % Adjusted earnings per share $ 1.16 $ 1.02
Long-term debt(1) 791,908 754,650 857,929 Earnings Per Share: Allowance and liability for losses as a % of combined loans and finance receivables, gross(c)(e) 14.6 % 13.7 % 0.9 %
Total liabilities 959,205 842,467 980,417 Net income per common share: Adjusted EBITDA
Commitments and contingencies Basic $ 1.05 $ 0.83
Stockholders' equity: Diluted $ 1.02 $ 0.81 Three Months Ended
Common stock, $0.00001 par value, 250,000,000 shares authorized, 35,339,678, 34,340,242 and 34,856,553 shares issued and 33,683,763, 33,862,388 and 33,584,606 outstanding as of March 31, 2019 and 2018 and December 31, 2018, respectively Weighted average common shares outstanding: March 31,
Preferred stock, $0.00001 par value, 25,000,000 shares authorized, no shares issued and outstanding Basic 33,481 33,669 2019 2018
Additional paid in capital 51,638 32,671 48,175 Diluted 34,421 34,572 Net Income $ 35,017 $ 27,898
Retained earnings 371,086 294,215 336,415 Depreciation and amortization expenses 4,184 3,838
Accumulated other comprehensive loss (12,251) (4,322) (13,805) Interest expense, net 19,500 19,673
Treasury stock, at cost (1,655,915, 477,854 and 1,271,947 shares as of March 31, 2019 and 2018 and December 31, 2018, respectively) (31,259) (6,831) (23,017) Foreign currency transaction loss 143 2,088
Total stockholders' equity 379,214 315,733 347,768 Provision for income taxes 10,138 7,343
Total liabilities and stockholders' equity $ 1,338,419 $ 1,158,200 $ 1,328,185 Stock-based compensation expense 3,074 2,433
Adjustments:
Lease termination and cease-use costs(a) 370
Loss on early extinguishment of debt(b) 2,321 4,710
Adjusted EBITDA $ 74,747 $ 67,983
Adjusted EBITDA margin calculated as follows:
Total Revenue $ 293,183 $ 254,298
Adjusted EBITDA 74,747 67,983
Adjusted EBITDA as a percentage of total revenue 25.5 % 26.7 %

 

ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES ENOVA INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS (1) Includes amounts in wholly owned, bankruptcy-remote special purpose subsidiaries ("VIEs") presented separately in the table below. CONSOLIDATED BALANCE SHEETS CONSOLIDATED STATEMENTS OF INCOME CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW GEOGRAPHIC INFORMATION LOANS AND FINANCE RECEIVABLES FINANCIAL AND OPERATING DATA (a)  The average combined loans and finance receivables, gross, is the average of the month-end balances during the period. RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (a) In the first quarter of 2019, the Company recorded impairment charges of $0.4 million($0.3 million net of tax) to operating right-of-use lease assets and $0.3 million ($0.3 million net of tax) to leasehold improvement assets related to its decision to cease use and sublease a portion of a leased office space. RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES
(dollars in thousands, except per share data) (dollars in thousands, except per share data) (in thousands, except per share data) (dollars in thousands) (dollars in thousands) (dollars in thousands) (b)  Represents loans originated by third-party lenders through the credit services organization (or CSO), which are not included in Enova's financial statements. (dollars in thousands, except per share data) (b)  In the first quarter of 2019 and the first quarter of 2018, the Company recorded losses on early extinguishment of debt of $2.3 million ($1.8 million net of tax) and $4.7 million ($3.7 million net of tax), respectively, related to the repurchase of $44.1 million principal amount of securitization notes and the repurchase of $50.0 million principal amount of senior notes . (dollars in thousands)
(Unaudited) (Unaudited) (Unaudited) (Unaudited) (c)  Non-GAAP measure. See the above discussion for additional information regarding combined loans and finance receivables. (c)  In the first quarter of 2019, the Company recognized $0.1 million of interest income on a tax refund received as a result of the U.S. Tax Cuts and Jobs Act.
The following table presents information on Enova's domestic and international operations for the three months ended March 31, 2019 and 2018. The following table shows loans and finance receivables and related loan loss activity, which is based on loan and finance receivable balances, for the three months ended March 31, 2019 and 2018. (d)  Represents loans and finance receivables originated by Enova and third-party lenders through the CSO and includes renewals of existing origination agreements to customers in good standing. The disclosure is statistical data that is not included in Enova's financial statements. Adjusted Earnings Measures Estimated Adjusted EBITDA and Earnings Per Share For 2019
March 31, December 31, The following table presents the aggregated assets and liabilities of consolidated VIEs, which are included in the Consolidated Balance Sheets above. The assets in the table below may only be used to settle obligations of consolidated VIEs and are in excess of those obligations. Three Months Ended Three Months Ended March 31, (e)  Allowance and liability for losses as a percentage of combined loans and finance receivables, gross, is determined using period-end balances.
2019 2018 2018 March 31, 2019 2018 Three Months EndedMarch 31, Three Months Ended March 31, 2019 2018 Change Three Months Ended The following tables reconcile estimated Income from operations to Adjusted EBITDA, a non-GAAP measure and diluted income per share to adjusted earnings per share, a non-GAAP measure:
Assets March 31, December 31, 2019 2018 Cash flows provided by operating activities $ 221,080 $ 153,002 2019 2018 $ Change % Change Cost of revenue $ 139,045 $ 108,553 $ 30,492 March 31,
Cash and cash equivalents(1) $ 92,829 $ 69,900 $ 52,917 2019 2018 2018 Revenue $ 293,183 $ 254,298 Cash flows used in investing activities Domestic: Charge-offs (net of recoveries) 162,250 118,705 43,545 2019 2018 Estimated Results
Restricted cash(1) 25,391 34,765 24,342 Assets of consolidated VIEs, included in total assets above Cost of Revenue 139,045 108,553 Loans and finance receivables (99,271) (108,081) Revenue $ 257,988 $ 212,966 $ 45,022 21.1 % Average combined loans and finance receivables, gross: Net Income $ 35,017 $ 27,898 Three Months Ended June 30, 2019
Loans and finance receivables, net(1) 815,856 703,076 859,946 Cash and cash equivalents $ 420 $ $ 210 Gross Profit 154,138 145,745 Property and equipment additions (4,884) (3,349) Cost of revenue 113,871 88,113 25,758 29.2 Company owned(a) 998,662 831,299 167,363 Adjustments: Low High
Income taxes receivable 20,672 28,914 Restricted cash 23,167 26,746 22,168 Expenses Other investing activities 24 Gross profit $ 144,117 $ 124,853 $ 19,264 15.4 Guaranteed by Enova(a)(b) 26,855 32,143 (5,288) Lease termination and cease-use costs(a) 726 Unaudited
Other receivables and prepaid expenses(1) 29,354 22,164 29,983 Loans and finance receivables, net (includes allowance for losses of $27,227, $24,471 and $27,255 as of March 31, 2019 and 2018 and December 31, 2018, respectively) 280,711 278,272 318,961 Marketing 23,662 27,736 Total cash flows used in investing activities (104,155) (111,406) Gross profit margin 55.9 % 58.6 % (2.7) % (4.6) % Average combined loans and finance receivables, gross(a)(c) $ 1,025,517 $ 863,442 $ 162,075 Loss on early extinguishment of debt(b) 2,321 4,710 Income from operations $ 37,900 $ 47,900
Property and equipment, net 50,522 47,698 49,553 Other receivables and prepaid expenses 5,914 1 2,712 Operations and technology 29,600 25,538 Cash flows used in financing activities (77,913) (40,608) International: Ending combined loans and finance receivables, gross: Intangible asset amortization 268 267 Depreciation and amortization 4,300 4,300
Operating lease right-of-use assets 21,453 Other assets 2,737 155 2,544 General and administrative 29,573 26,921 Effect of exchange rates on cash, cash equivalents and restricted cash 1,949 5,533 Revenue $ 35,195 $ 41,332 $ (6,137) (14.8) % Company owned $ 957,257 $ 817,359 $ 139,898 Stock-based compensation expense 3,074 2,433 Stock-based compensation expense 2,800 2,800
Goodwill 267,013 267,013 267,013 Total assets $ 312,949 $ 305,174 $ 346,595 Depreciation and amortization 4,184 3,838 Net increase in cash, cash equivalents and restricted cash 40,961 6,521 Cost of revenue 25,174 20,440 4,734 23.2 Guaranteed by Enova(b) 22,296 26,594 (4,298) Foreign currency transaction loss 143 2,088 Adjusted EBITDA $ 45,000 $ 55,000
Intangible assets, net 2,987 4,058 3,255 Liabilities of consolidated VIEs, included in total liabilities above Total Expenses 87,019 84,033 Cash, cash equivalents and restricted cash at beginning of year 77,259 98,144 Gross profit $ 10,021 $ 20,892 $ (10,871) (52.0) Ending combined loans and finance receivables, gross(c) $ 979,553 $ 843,953 $ 135,600 Cumulative tax effect of adjustments (1,519) (1,979)
Other assets(1) 12,342 9,526 12,262 Accounts payable and accrued expenses $ 2,711 $ 1,677 $ 3,087 Income from Operations 67,119 61,712 Cash, cash equivalents and restricted cash at end of period $ 118,220 $ 104,665 Gross profit margin 28.5 % 50.5 % (22.0) % (43.6) % Ending allowance and liability for losses $ 142,665 $ 115,693 $ 26,972 Discrete tax adjustments(c) (141) Estimated Results
Total assets $ 1,338,419 $ 1,158,200 $ 1,328,185 Long-term debt 178,841 214,459 223,368 Interest expense, net (19,500) (19,673) Total: Combined originations(d) $ 542,256 $ 557,424 $ (15,168) Year Ended December 31, 2019
Liabilities and Stockholders' Equity Total liabilities $ 181,552 $ 216,136 $ 226,455 Foreign currency transaction loss (143) (2,088) Revenue $ 293,183 $ 254,298 $ 38,885 15.3 % Adjusted earnings $ 39,889 $ 35,417 Low High
Accounts payable and accrued expenses(1) $ 87,434 $ 70,473 $ 89,317 Loss on early extinguishment of debt (2,321) (4,710) Cost of revenue 139,045 108,553 30,492 28.1 Loans and finance receivables ratios: Unaudited
Operating lease liabilities 38,731 Income before Income Taxes 45,155 35,241 Gross profit $ 154,138 $ 145,745 $ 8,393 5.8 Cost of revenue as a % of average combined loans and finance receivables, gross(a)(c) 13.6 % 12.6 % 1.0 % Diluted earnings per share $ 1.02 $ 0.81 Income from operations $ 208,150 $ 238,150
Income taxes currently payable 257 Provision for income taxes 10,138 7,343 Gross profit margin 52.6 % 57.3 % (4.7) % (8.2) % Charge-offs (net of recoveries) as a % of average combined loans and finance receivables, gross(a)(c) 15.8 % 13.7 % 2.1 % Depreciation and amortization 17,350 17,350
Deferred tax liabilities, net 41,132 17,087 33,171 Net Income $ 35,017 $ 27,898 Gross profit margin 52.6 % 57.3 % (4.7) % Adjusted earnings per share $ 1.16 $ 1.02 Stock-based compensation expense 11,500 11,500
Long-term debt(1) 791,908 754,650 857,929 Earnings Per Share: Allowance and liability for losses as a % of combined loans and finance receivables, gross(c)(e) 14.6 % 13.7 % 0.9 % Adjusted EBITDA $ 237,000 $ 267,000
Total liabilities 959,205 842,467 980,417 Net income per common share: Adjusted EBITDA
Commitments and contingencies Basic $ 1.05 $ 0.83 Estimated Results
Stockholders' equity: Diluted $ 1.02 $ 0.81 Three Months Ended Three Months Ended June 30, 2019
Common stock, $0.00001 par value, 250,000,000 shares authorized, 35,339,678, 34,340,242 and 34,856,553 shares issued and 33,683,763, 33,862,388 and 33,584,606 outstanding as of March 31, 2019 and 2018 and December 31, 2018, respectively Weighted average common shares outstanding: March 31, Low High
Preferred stock, $0.00001 par value, 25,000,000 shares authorized, no shares issued and outstanding Basic 33,481 33,669 2019 2018 Unaudited
Additional paid in capital 51,638 32,671 48,175 Diluted 34,421 34,572 Net Income $ 35,017 $ 27,898 Diluted income per share $ 0.41 $ 0.63
Retained earnings 371,086 294,215 336,415 Depreciation and amortization expenses 4,184 3,838 Adjustments:
Accumulated other comprehensive loss (12,251) (4,322) (13,805) Interest expense, net 19,500 19,673 Intangible asset amortization 0.01 0.01
Treasury stock, at cost (1,655,915, 477,854 and 1,271,947 shares as of March 31, 2019 and 2018 and December 31, 2018, respectively) (31,259) (6,831) (23,017) Foreign currency transaction loss 143 2,088 Stock-based compensation expense 0.08 0.08
Total stockholders' equity 379,214 315,733 347,768 Provision for income taxes 10,138 7,343 Cumulative tax effect of adjustments (0.02) (0.02)
Total liabilities and stockholders' equity $ 1,338,419 $ 1,158,200 $ 1,328,185 Stock-based compensation expense 3,074 2,433 Adjusted earnings per share $ 0.48 $ 0.70
Adjustments:
Lease termination and cease-use costs(a) 370 Estimated Results
Loss on early extinguishment of debt(b) 2,321 4,710 Year Ended December 31, 2019
Low High
Adjusted EBITDA $ 74,747 $ 67,983 Unaudited
Diluted income per share $ 2.83 $ 3.48
Adjusted EBITDA margin calculated as follows: Adjustments:
Total Revenue $ 293,183 $ 254,298 Loss on early extinguishment of debt 0.07 0.07
Adjusted EBITDA 74,747 67,983 Intangible asset amortization 0.03 0.03
Adjusted EBITDA as a percentage of total revenue 25.5 % 26.7 % Stock-based compensation expense 0.33 0.33
Lease termination and cease-use costs 0.02 0.02
Cumulative tax effect of adjustments (0.11) (0.11)
Adjusted earnings per share $ 3.17 $ 3.82

 

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SOURCE Enova International, Inc.

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