EZCORP — Fiscal 2026 Q4 Earnings Summary

Financial Performance:

• Total revenues increased 33% year-over-year to $447.1 million for Q4 and 33% to $1,694.7 million for the full year.
• Consolidated net income attributable to EZCORP increased 28% to $34.3 million in Q4 and 51% to $165.9 million for the full year.
• Diluted earnings per share (EPS) increased 26% to $0.43 in Q4 and 46% to $2.07 for the full year.
• Adjusted EBITDA increased 33% to $64.0 million in Q4 and 47% to $276.7 million for the full year.
• Gross profit increased 29% to $255.8 million in Q4 and 32% to $985.0 million for the full year.
• Pawn loans outstanding (PLO) increased 31% to $402.8 million.
• Net inventory increased 44% to $358.3 million.
• Cash and cash equivalents decreased to $295.1 million from $469.5 million, driven by the retirement of SMG's third-party indebtedness ($134.2 million) and acquisition spending.
• Long-term debt, net increased slightly to $520.0 million from $518.1 million.
• Store expenses increased 21% in Q4 and 25% for the full year.
• General and administrative expenses increased 30% in Q4 and 26% for the full year.

Guidance and Future Outlook:

• Management expressed confidence in carrying momentum into fiscal 2027, citing the strength and durability of the core pawn business.
• Priorities include strengthening the core pawn business, expanding footprint through de novo stores and disciplined acquisitions, and allocating capital prudently.
• The company highlighted a strong, liquid balance sheet to support future growth.
• The company expects to file its Annual Report on Form 10-K for the year ended September 30, 2026, on or about November 12, 2026.

Business Segments and Product Lines:

• Core Pawn Revenue: Increased 27% to $383.4 million in Q4 and 24% to $1,453.2 million for the full year.
• U.S. Pawn: PLO ended the year at $269.4 million (up 15%); segment contribution increased 29% to $70.3 million in Q4 and 35% to $280.7 million for the full year. Store count reached 563.
• Latin America Pawn: PLO increased 35% to $99.6 million; segment contribution increased 56% to $24.4 million in Q4 and 46% to $88.5 million for the full year. Store count increased to 922.
• SMG: Acquired remaining interest in July 2026, making it wholly owned. Q4 revenues were $42.3 million with a segment contribution of $4.3 million. Full year revenues were $136.7 million with a segment contribution of $19.0 million. Store count is 105.
• Merchandise Sales: Gross margin increased to 37% in Q4 and 35% for the full year.
• Jewelry Scrap Sales: Q4 sales increased 86% (margin decreased to 19%); Full year sales increased 144% (margin increased to 30%).
• Pawn Service Charges (PSC): Increased 29% in Q4 and 26% for the full year.

Market and Competitive Landscape:

• The company expanded its footprint by 41 stores in Q4 and 230 stores for the full year, bringing the total to 1,590 locations across 15 countries.
• Expansion included 25 de novo stores, 22 acquired stores, 4 consolidations, and 2 closures in Q4.
• SMG integration added new markets across the Caribbean and Central America.
• Strong loan demand and improved operational performance were noted in Latin America.
• Rising gold prices drove higher jewelry collateral values and increased jewelry scrap sales.

Risks and Challenges:

• Jewelry scrap sales gross margins normalized or decreased in Q4 due to gold price declines from third-quarter levels compared to sharp increases in the prior year quarter.
• Store expenses increased due to labor costs, including minimum wage increases in Latin America.
• Forward-looking statements note risks including operating risks, liquidity risks, legislative or regulatory developments, market factors, litigation, and pandemic risks.

Management Commentary and Tone:

• CEO Lachie Given described the quarter as "exceptional" and the full year as "one of the best in our history."
• Management emphasized the "strength, durability and compelling growth profile" of the core pawn business.
• The tone was confident regarding the integration of SMG and the ability to enhance financial performance through operating discipline.
• Management thanked nearly 10,000 team members for their contribution to the results.

Other Key Points:

• EZCORP acquired the remaining interest in SMG in July 2026, resulting in full consolidation of the segment.
• The company retired SMG's existing third-party indebtedness of $134.2 million.
• Store count activity for the full year included 190 acquired stores, 48 de novo stores, 6 consolidations, and 2 closures.
• Inventory turnover decreased to 2.2x in Q4 from 2.3x, while remaining flat at 2.4x for the full year.
• Aged general merchandise decreased to 1.4% of total inventory in Q4 and below 1% in Latin America.
• The company hosts a conference call on November 12, 2026, to discuss results.