Chad Prashad: 'We are focused on modest, single-digit, high credit quality growth this year.'
— Chad Prashad
03Detailed Report
WRLD
World Acceptance Corporation
Period
Q1 2025
CurrencyUSD
Report TypeQuarterly Earnings
GeneratedJun 25, 2026
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Executive Summary
In the first quarter of fiscal year 2025, World Acceptance Corporation (WRLD) reported a total revenue of $129.5 million, reflecting a decline of 7.03% year-over-year and a substantial drop of 18.67% compared to the previous quarter. Despite these challenges, the management indicated a strategy centered on rightsizing and derisking the portfolio, with a focus on attaining moderation in customer growth amidst improving average loan yields. Net income for the quarter was reported at approximately $9.95 million, translating to an EPS of $1.79, marking an 8.48% increase from the same quarter last year but a significant decrease of 71.41% quarter-over-quarter. Management's remarks during the earnings call emphasized their commitment to achieving sustainable growth while managing costs and improving credit quality in the customer portfolio.
Key Performance Indicators
Revenue
Decreasing
129.53M
QoQ: -18.67% | YoY: -7.03%
Gross Profit
Decreasing
84.11M
64.93% margin
QoQ: -46.26% | YoY: -9.29%
Operating Income
Increasing
22.70M
QoQ: -61.12% | YoY: 83.70%
Net Income
Increasing
9.95M
QoQ: -71.63% | YoY: 4.28%
EPS
Increasing
1.79
QoQ: -71.41% | YoY: 8.48%
Revenue Trend
Margin Analysis
Financial Highlights
- Revenue: $129.5 million (YoY: -7.03%, QoQ: -18.67%)
- Gross Profit: $84.1 million (YoY: -9.29%, QoQ: -46.26%)
- Operating Income: $22.7 million (YoY: 83.70%, QoQ: -61.12%)
- Net Income: $9.95 million (YoY: 4.28%, QoQ: -71.63%)
- EPS: $1.79 (YoY: 8.48%, QoQ: -71.41%)
- Current Ratio: 17.02
- Quick Ratio: 17.02.
Income Statement
Metric
Value
YoY Change
QoQ Change
Revenue
129.53M
-7.03%
-18.67%
Gross Profit
84.11M
-9.29%
-46.26%
Operating Income
22.70M
83.70%
-61.12%
Net Income
9.95M
4.28%
-71.63%
EPS
1.79
8.48%
-71.41%
Key Financial Ratios
Gross Profit Margin
Excellent
64.90%
Gross profit margin is exceptional, indicating strong pricing power and operational efficiency
Operating Profit Margin
Good
17.50%
Operating margin is healthy and competitive within industry standards
Net Profit Margin
Fair
7.68%
Net profit margin is moderate, room for improvement in cost management
Return on Assets
Weak
0.95%
Return on assets suggests inefficient capital allocation
Return on Equity
Weak
2.35%
Return on equity suggests inefficient capital allocation
Current Ratio
Strong
17.02
Current ratio indicates excellent liquidity and financial flexibility
Debt to Equity
High Risk
1.36
Debt-to-equity indicates high leverage and elevated financial risk
P/E Ratio
Fair Value
17.50x
P/E ratio in line with market averages
Price to Book
Fair Value
1.65x
Price-to-book ratio reasonable for profitable companies
Management Insights Available for Members
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