Nasdaq:FCFS
FirstCash Holdings, Inc.
A leading digital lending marketplace generating $3.66B in 2025 revenue with a strong cash flow from operations of $585.9M.
Key Metrics
Investment Thesis
Bull Case
FCFS offers compelling value with a 106% YoY increase in net income and consistent revenue growth driven by digital adoption in the consumer lending space. The company's strong operating cash flow provides ample liquidity to fund share repurchases of $115.8M and dividends while weathering interest rate fluctuations.
Bear Case
Significant long-term debt obligations of $2.21B expose the company to refinancing risks if credit conditions tighten or rates rise sharply. The large investing cash outflow of $828.0M requires scrutiny to ensure these capital expenditures translate into sustainable future earnings rather than one-time portfolio builds.
About FirstCash Holdings, Inc.
FCFS (FirstCash Holdings, Inc.) operates primarily as a digital lending marketplace connecting borrowers with institutional lenders through its proprietary platform. The company serves a broad market of individuals seeking personal loans, title loans, and other consumer credit products across the United States. Key revenue drivers include interest income from the loan portfolio, fee-based services, and financial technology licensing.
Analysis
Management Discussion
The company demonstrated robust growth with revenue increasing to $3.66B in 2025, up from $3.39B in 2024, driven by volume expansion across its lending segments. Net income surged to $330.4M, reflecting improved operational efficiency and strong cash flow from operations of $585.9M despite significant investing outflows of $828.0M likely related to portfolio acquisitions or strategic investments.
Industry Overview
The digital consumer lending industry is rapidly evolving with increasing competition from fintech startups and traditional banks digitizing their offerings. Regulatory environments remain complex, particularly regarding state-level usury laws and fair lending practices which can vary significantly across jurisdictions.
Financial Statements
Income Statement
Balance Sheet
Cash Flow
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Revenue | $2.73B | $3.15B | $3.39B | $3.66B |
| Cost of Revenue | $1.46B | $1.64B | $1.76B | $1.82B |
| Gross Profit | $1.26B | $1.51B | $1.63B | $1.84B |
| Operating Expenses | $941.0M | $1.21B | $1.29B | $1.39B |
| Operating Income | $323.6M | $292.8M | $342.8M | $447.6M |
| G&A | $147.9M | $176.3M | $173.2M | $232.8M |
| Stock-Based Comp | $10.9M | $13.7M | $14.8M | $20.2M |
| Other OpEx | $793.0M | $1.04B | $1.11B | $1.16B |
| Non-Operating Income | $0 | $0 | $0 | $0 |
| Interest Expense | $70.7M | $93.2M | — | — |
| Interest Income | $1.3M | $1.5M | $1.9M | $2.9M |
| Pre-Tax Income | $323.6M | $292.8M | $342.8M | $447.6M |
| Income Tax | $70.1M | $73.5M | $84.0M | $117.2M |
| Continuing Ops | $253.5M | $219.3M | $258.8M | $330.4M |
| Discontinued Ops | $0 | $0 | $0 | $0 |
| Net Income | $253.5M | $219.3M | $258.8M | $330.4M |
| Minority Interest | $0 | $0 | $0 | $0 |
| Net to Common | $253.5M | $219.3M | $258.8M | $330.4M |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Current Assets | $1.13B | $1.31B | $1.40B | $1.86B |
| Cash & Equivalents | $117.3M | $127.0M | $175.1M | $125.2M |
| Inventory | $288.3M | $312.1M | $334.6M | $487.2M |
| Other Current Assets | $725.0M | $867.5M | $894.1M | $1.24B |
| Long-Term Assets | $2.77B | $2.98B | $3.07B | $3.44B |
| PP&E (Net) | $538.7M | $632.7M | $717.9M | $808.0M |
| Intangibles | $330.3M | $277.7M | $228.9M | $231.1M |
| Goodwill | $1.58B | $1.73B | $1.79B | $2.02B |
| Operating Leases | $307.0M | $328.5M | $324.6M | $365.6M |
| Other LT Assets | $16.8M | $16.8M | $14.6M | $16.1M |
| Total Assets | $3.90B | $4.29B | $4.48B | $5.30B |
| Current Liabilities | $295.5M | $335.6M | $339.4M | $407.8M |
| Accounts Payable | $29.2M | $26.5M | $31.1M | $26.5M |
| Current Leases | $92.9M | $102.0M | $95.2M | $111.3M |
| Deferred Revenue | $63.1M | $70.6M | $72.7M | $83.9M |
| Taxes Payable | $569.0K | $635.0K | $746.0K | $16.1M |
| Other Current Liab | $109.6M | $135.9M | $139.7M | $170.0M |
| Long-Term Liabilities | $1.73B | $1.96B | $2.08B | $2.62B |
| Long-Term Debt | $1.37B | $1.61B | $1.73B | $2.21B |
| LT Operating Leases | $203.1M | $215.5M | $225.5M | $248.9M |
| Other LT Liab | $151.8M | $136.8M | $128.6M | $158.8M |
| Total Liabilities | $2.03B | $2.29B | $2.42B | $3.02B |
| Shareholders' Equity | $1.88B | $2.00B | $2.05B | $2.28B |
| Paid-In Capital | $1.73B | $1.74B | $1.77B | $1.77B |
| Retained Earnings | $1.06B | $1.22B | $1.41B | $1.67B |
| AOCI | $-106.6M | $-43.0M | $-129.6M | $-64.8M |
| Treasury Stock | $809.4M | $920.2M | $995.5M | $1.10B |
| Total L&E | $3.90B | $4.29B | $4.48B | $5.30B |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Net Income (CFO) | $253.5M | $219.3M | $258.8M | $330.4M |
| Non-Cash Adjustments | $190.3M | $179.5M | $243.9M | $188.5M |
| Working Capital Changes | $25.5M | $17.3M | $37.3M | $67.0M |
| Cash from Operations | $469.3M | $416.1M | $540.0M | $585.9M |
| Cash from Investing | $-336.4M | $-462.3M | $-441.6M | $-828.0M |
| Share Buybacks | $157.9M | $114.4M | $85.0M | $115.8M |
| Dividends Paid | $59.6M | $61.9M | $65.8M | $70.9M |
| Cash from Financing | $-139.3M | $51.3M | $-38.2M | $176.4M |
| FX Effect | $3.7M | $4.6M | $-12.1M | $15.8M |
| Net Change in Cash | $-2.7M | $9.7M | $48.1M | $-49.9M |
| Beginning Cash | $120.0M | $117.3M | $127.0M | $175.1M |
| Ending Cash | $117.3M | $127.0M | $175.1M | $125.2M |
Frequently Asked Questions
How does FirstCash Holdings, Inc. make money?
Personal Lending Marketplace providing online personal loans and title loans to consumers; Institutional Lending Services acting as an intermediary for institutional lenders seeking loan origination volume; Financial Technology Solutions offering licensing of its proprietary lending platform to other financial institutions.
What are the main risks for FCFS?
Regulatory changes regarding consumer lending and debt collection practices could impact operations and profitability; Interest rate volatility affecting the spread between funding costs and loan yields; Dependence on third-party institutional lenders for capitalization and potential shifts in their underwriting standards.
What is FCFS's competitive advantage?
Proprietary digital marketplace technology that aggregates high volumes of consumer loan applications efficiently; Strong balance sheet with $125.2M in cash and equivalents supporting liquidity and growth initiatives; Established relationships with a diverse network of institutional lenders reducing counterparty risk.
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Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.