☒
|
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
☐
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
Delaware
|
|
90-0934597
|
(State or other jurisdiction
of incorporation or organization)
|
|
(I.R.S. Employer
Identification No.)
|
|
|
|
3527 North Ridge Road, Wichita, KS
|
|
67205
|
(Address of principal executive offices)
|
|
(Zip Code)
|
Title of Each Class
|
|
Name of Each Exchange on Which Registered
|
Common Stock, $0.001 par value per share
|
|
New York Stock Exchange
|
Large accelerated filer
|
☐
|
|
Accelerated filer
|
☐
|
Non-accelerated filer
|
☒
|
(Do not check if a smaller reporting company)
|
||
Smaller reporting company
|
☐
|
|
Emerging growth company
|
☒
|
|
December 31, 2017
|
|
December 31, 2016
|
||||
ASSETS
|
|
|
|
||||
Cash
|
$
|
162,374
|
|
|
$
|
193,525
|
|
Restricted cash (includes restricted cash of consolidated VIEs of $6,871 and $2,770 as of December 31, 2017 and 2016, respectively)
|
12,117
|
|
|
7,828
|
|
||
Gross loans receivable (includes loans of consolidated VIEs of $213,846 and $130,199 as of December 31, 2017 and 2016, respectively)
|
432,837
|
|
|
286,196
|
|
||
Less: allowance for loan losses (includes allowance for losses of consolidated VIEs of $46,140 and $22,134 as of December 31, 2017 and 2016, respectively)
|
(69,568
|
)
|
|
(39,192
|
)
|
||
Loans receivable, net
|
363,269
|
|
|
247,004
|
|
||
Deferred income taxes
|
772
|
|
|
12,635
|
|
||
Income taxes receivable
|
3,455
|
|
|
9,378
|
|
||
Prepaid expenses and other
|
42,512
|
|
|
39,248
|
|
||
Property and equipment, net
|
87,086
|
|
|
95,896
|
|
||
Goodwill
|
145,607
|
|
|
141,554
|
|
||
Other intangibles, net of accumulated amortization of $41,156 and $36,985
|
32,769
|
|
|
30,901
|
|
||
Other
|
9,770
|
|
|
2,829
|
|
||
Total Assets
|
$
|
859,731
|
|
|
$
|
780,798
|
|
LIABILITIES AND STOCKHOLDERS' EQUITY
|
|
|
|
||||
Accounts payable and accrued liabilities
|
$
|
55,792
|
|
|
$
|
42,663
|
|
Deferred revenue
|
11,984
|
|
|
12,342
|
|
||
Income taxes payable
|
4,120
|
|
|
1,372
|
|
||
Current maturities of long-term debt
|
—
|
|
|
147,771
|
|
||
Accrued interest (includes accrued interest of consolidated VIEs of $1,266 and $775 as of December 31, 2017 and 2016, respectively)
|
25,467
|
|
|
8,183
|
|
||
Credit services organization guarantee liability
|
17,795
|
|
|
17,052
|
|
||
Deferred rent
|
11,577
|
|
|
11,868
|
|
||
Long-term debt (includes long-term debt and issuance costs of consolidated VIEs of $124,590 and $4,188 and $68,311 and $5,257 as of December 31, 2017 and 2016, respectively)
|
706,225
|
|
|
477,136
|
|
||
Subordinated shareholder debt
|
2,381
|
|
|
2,227
|
|
||
Other long-term liabilities
|
5,768
|
|
|
5,016
|
|
||
Deferred tax liabilities
|
11,486
|
|
|
14,313
|
|
||
Total Liabilities
|
852,595
|
|
|
739,943
|
|
||
Commitments and contingencies
|
|
|
|
|
|
||
Stockholders' Equity
|
|
|
|
|
|
||
Preferred stock - $0.001 par value; 25,000,000 and no shares authorized, respectively, and no shares were issued at either period end
|
—
|
|
|
—
|
|
||
Common stock - $0.001 par value; 225,000,000 and 72,000,000 shares authorized, and 44,561,419 and 37,894,752 issued and outstanding at the respective period ends
|
8
|
|
|
1
|
|
||
Dividends in excess of paid-in capital
|
46,079
|
|
|
(35,996
|
)
|
||
Retained earnings
|
3,988
|
|
|
136,835
|
|
||
Accumulated other comprehensive loss
|
(42,939
|
)
|
|
(59,985
|
)
|
||
Total Stockholders' Equity
|
7,136
|
|
|
40,855
|
|
||
Total Liabilities and Stockholders' Equity
|
$
|
859,731
|
|
|
$
|
780,798
|
|
|
Year Ended December 31,
|
||||||||||
|
2017
|
|
2016
|
|
2015
|
||||||
Revenue
|
$
|
963,633
|
|
|
$
|
828,596
|
|
|
$
|
813,131
|
|
Provision for losses
|
326,226
|
|
|
258,289
|
|
|
281,210
|
|
|||
Net revenue
|
637,407
|
|
|
570,307
|
|
|
531,921
|
|
|||
|
|
|
|
|
|
||||||
Cost of providing services
|
|
|
|
|
|
||||||
Salaries and benefits
|
105,196
|
|
|
104,541
|
|
|
107,059
|
|
|||
Occupancy
|
54,612
|
|
|
54,509
|
|
|
53,288
|
|
|||
Office
|
21,402
|
|
|
20,463
|
|
|
19,929
|
|
|||
Other costs of providing services
|
54,902
|
|
|
53,617
|
|
|
47,380
|
|
|||
Advertising
|
52,058
|
|
|
43,921
|
|
|
65,664
|
|
|||
Total cost of providing services
|
288,170
|
|
|
277,051
|
|
|
293,320
|
|
|||
Gross margin
|
349,237
|
|
|
293,256
|
|
|
238,601
|
|
|||
|
|
|
|
|
|
||||||
Operating (income) expense
|
|
|
|
|
|
||||||
Corporate, district and other
|
154,973
|
|
|
124,274
|
|
|
130,534
|
|
|||
Interest expense
|
82,684
|
|
|
64,334
|
|
|
65,020
|
|
|||
Loss (Gain) on extinguishment of debt
|
12,458
|
|
|
(6,991
|
)
|
|
—
|
|
|||
Restructuring costs
|
7,393
|
|
|
3,618
|
|
|
4,291
|
|
|||
Goodwill and intangible asset impairment charges
|
—
|
|
|
—
|
|
|
2,882
|
|
|||
Total operating expense
|
257,508
|
|
|
185,235
|
|
|
202,727
|
|
|||
Net income before income taxes
|
91,729
|
|
|
108,021
|
|
|
35,874
|
|
|||
Provision for income taxes
|
42,576
|
|
|
42,577
|
|
|
18,105
|
|
|||
Net income
|
$
|
49,153
|
|
|
$
|
65,444
|
|
|
$
|
17,769
|
|
|
|
|
|
|
|
||||||
Weighted average common shares outstanding:
|
|
|
|
|
|
||||||
Basic
|
38,351
|
|
|
37,908
|
|
|
37,908
|
|
|||
Diluted
|
39,277
|
|
|
38,803
|
|
|
38,895
|
|
|||
Net income per common share:
|
|
|
|
|
|
||||||
Basic earnings per share
|
$
|
1.28
|
|
|
$
|
1.73
|
|
|
$
|
0.47
|
|
Diluted earnings per share
|
$
|
1.25
|
|
|
$
|
1.69
|
|
|
$
|
0.46
|
|
|
Year Ended December 31,
|
||||||||||
|
2017
|
|
2016
|
|
2015
|
||||||
Net income
|
$
|
49,153
|
|
|
$
|
65,444
|
|
|
$
|
17,769
|
|
Other comprehensive income (loss):
|
|
|
|
|
|
|
|
||||
Cash flow hedges, net of $0 tax in all periods
|
333
|
|
|
(333
|
)
|
|
—
|
|
|||
Foreign currency translation adjustment, net of $0 tax in all periods
|
16,713
|
|
|
(6,022
|
)
|
|
(30,512
|
)
|
|||
Other comprehensive income (loss)
|
17,046
|
|
|
(6,355
|
)
|
|
(30,512
|
)
|
|||
Comprehensive income (loss)
|
$
|
66,199
|
|
|
$
|
59,089
|
|
|
$
|
(12,743
|
)
|
|
Common Stock
|
|
Dividends in excess of paid-in capital
|
|
Retained Earnings
|
|
AOCI
(1)
|
|
Total Stockholders' Equity
|
|||||||||||||
|
Shares Outstanding
|
|
Par Value
|
|
|
|
|
|||||||||||||||
Balances at December 31, 2014
|
37,894,752
|
|
|
$
|
1
|
|
|
$
|
(38,044
|
)
|
|
$
|
53,622
|
|
|
$
|
(23,118
|
)
|
|
$
|
(7,539
|
)
|
Net income
|
|
|
|
|
|
|
17,769
|
|
|
|
|
17,769
|
|
|||||||||
Foreign currency translation adjustment
|
|
|
|
|
|
|
|
|
(30,512
|
)
|
|
(30,512
|
)
|
|||||||||
Repurchase of equity award
|
|
|
|
|
(371
|
)
|
|
|
|
|
|
(371
|
)
|
|||||||||
Share based compensation expense
|
|
|
|
|
1,271
|
|
|
|
|
|
|
1,271
|
|
|||||||||
Balances at December 31, 2015
|
37,894,752
|
|
|
1
|
|
|
(37,144
|
)
|
|
71,391
|
|
|
(53,630
|
)
|
|
(19,382
|
)
|
|||||
Net income
|
|
|
|
|
|
|
65,444
|
|
|
|
|
65,444
|
|
|||||||||
Foreign currency translation adjustment
|
|
|
|
|
|
|
|
|
(6,022
|
)
|
|
(6,022
|
)
|
|||||||||
Cash flow hedge
|
|
|
|
|
|
|
|
|
(333
|
)
|
|
(333
|
)
|
|||||||||
Share based compensation expense
|
|
|
|
|
1,148
|
|
|
|
|
|
|
1,148
|
|
|||||||||
Balances at December 31, 2016
|
37,894,752
|
|
|
1
|
|
|
(35,996
|
)
|
|
136,835
|
|
|
(59,985
|
)
|
|
40,855
|
|
|||||
Net income
|
|
|
|
|
|
|
49,153
|
|
|
|
|
49,153
|
|
|||||||||
Foreign currency translation adjustment
|
|
|
|
|
|
|
|
|
16,713
|
|
|
16,713
|
|
|||||||||
Cash flow hedge expiration
|
|
|
|
|
|
|
|
|
333
|
|
|
333
|
|
|||||||||
Initial Public Offering
|
6,666,667
|
|
|
7
|
|
|
81,110
|
|
|
|
|
|
|
81,117
|
|
|||||||
Dividends
|
|
|
|
|
—
|
|
|
(182,000
|
)
|
|
|
|
(182,000
|
)
|
||||||||
Share based compensation expense
|
|
|
|
|
965
|
|
|
|
|
|
|
965
|
|
|||||||||
Balances at December 31, 2017
|
44,561,419
|
|
|
$
|
8
|
|
|
$
|
46,079
|
|
|
$
|
3,988
|
|
|
$
|
(42,939
|
)
|
|
$
|
7,136
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
(1)
Accumulated other comprehensive income (loss)
|
|
Year Ended December 31,
|
||||||||||
|
2017
|
2016
|
|
2015
|
|||||||
Cash flows from operating activities
|
|
|
|
|
|
||||||
Net income
|
$
|
49,153
|
|
|
$
|
65,444
|
|
|
$
|
17,769
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
||||||
Depreciation and amortization
|
18,837
|
|
|
18,905
|
|
|
19,112
|
|
|||
Provision for loan losses
|
326,226
|
|
|
258,289
|
|
|
281,210
|
|
|||
Goodwill and intangible asset impairment charges
|
—
|
|
|
—
|
|
|
2,882
|
|
|||
Restructuring costs
|
3,161
|
|
|
523
|
|
|
2,249
|
|
|||
Amortization of debt issuance costs
|
3,329
|
|
|
3,289
|
|
|
3,221
|
|
|||
Amortization of bond discount/(premium)
|
1,225
|
|
|
(1,541
|
)
|
|
(1,404
|
)
|
|||
Deferred income taxes
|
9,036
|
|
|
(680
|
)
|
|
(2,190
|
)
|
|||
Loss on disposal of property and equipment
|
2,278
|
|
|
217
|
|
|
628
|
|
|||
Loss (gain) on extinguishment of debt
|
12,458
|
|
|
(6,991
|
)
|
|
—
|
|
|||
Increase in cash surrender value of life insurance
|
(1,308
|
)
|
|
(918
|
)
|
|
—
|
|
|||
Share-based compensation expense
|
965
|
|
|
1,148
|
|
|
1,271
|
|
|||
Realized loss on cash flow hedge
|
333
|
|
|
—
|
|
|
—
|
|
|||
Changes in operating assets and liabilities:
|
|
|
|
|
|
||||||
Loans receivable
|
(435,458
|
)
|
|
(287,827
|
)
|
|
(301,581
|
)
|
|||
Prepaid expenses and other assets
|
(3,264
|
)
|
|
(5,733
|
)
|
|
(3,152
|
)
|
|||
Accounts payable and accrued liabilities
|
8,896
|
|
|
2,010
|
|
|
(2,168
|
)
|
|||
Deferred revenue
|
(752
|
)
|
|
(2,080
|
)
|
|
4,644
|
|
|||
Income taxes payable
|
1,213
|
|
|
6,852
|
|
|
(4,278
|
)
|
|||
Income taxes receivable
|
3,486
|
|
|
(7,154
|
)
|
|
(1,713
|
)
|
|||
Other assets and liabilities
|
17,596
|
|
|
3,959
|
|
|
614
|
|
|||
Net cash provided by operating activities
|
17,410
|
|
|
47,712
|
|
|
17,114
|
|
|||
Cash flows from investing activities
|
|
|
|
|
|
||||||
Purchase of property, equipment and software
|
(9,757
|
)
|
|
(16,026
|
)
|
|
(19,832
|
)
|
|||
Cash paid for Cognical Holdings preferred shares
|
(5,600
|
)
|
|
—
|
|
|
—
|
|
|||
Changes in restricted cash
|
(3,975
|
)
|
|
3,104
|
|
|
(6,423
|
)
|
|||
Net cash (used in) investing activities
|
(19,332
|
)
|
|
(12,922
|
)
|
|
(26,255
|
)
|
|||
Cash flows from financing activities
|
|
|
|
|
|
||||||
Net proceeds from issuance of common stock
|
81,117
|
|
|
—
|
|
|
—
|
|
|||
Proceeds from Non-Recourse U.S. SPV facility and ABL facility
|
60,130
|
|
|
91,717
|
|
|
—
|
|
|||
Payments on Non-Recourse U.S. SPV facility and ABL facility
|
(27,257
|
)
|
|
—
|
|
|
—
|
|
|||
Proceeds from issuance of 12.00% Senior Secured Notes
|
601,054
|
|
|
—
|
|
|
—
|
|
|||
Payments on 10.75% Senior Secured Notes
|
(426,034
|
)
|
|
(18,939
|
)
|
|
—
|
|
|||
Payments on 12.00% Senior Cash Pay Notes
|
(125,000
|
)
|
|
—
|
|
|
—
|
|
|||
Debt issuance costs paid
|
(18,701
|
)
|
|
(5,346
|
)
|
|
—
|
|
|||
Proceeds from credit facilities
|
43,084
|
|
|
30,000
|
|
|
57,050
|
|
|||
Payments on credit facilities
|
(43,084
|
)
|
|
(38,050
|
)
|
|
(69,000
|
)
|
|||
Payment for cash settlement of equity award
|
—
|
|
|
—
|
|
|
(371
|
)
|
|||
Dividends paid to stockholders
|
(182,000
|
)
|
|
—
|
|
|
—
|
|
|||
Net cash (used in) provided by financing activities
|
(36,691
|
)
|
|
59,382
|
|
|
(12,321
|
)
|
|||
Effect of exchange rate changes on cash
|
7,462
|
|
|
(1,208
|
)
|
|
(8,064
|
)
|
|||
Net (decrease) increase in cash
|
(31,151
|
)
|
|
92,964
|
|
|
(29,526
|
)
|
|||
Cash at beginning of period
|
193,525
|
|
|
100,561
|
|
|
130,087
|
|
|||
Cash at end of period
|
$
|
162,374
|
|
|
$
|
193,525
|
|
|
$
|
100,561
|
|
•
|
we are not required to present selected financial data for any period prior to the earliest audited period presented in our initial registration statement;
|
•
|
we are not required to engage an auditor to report on the effectiveness of our internal controls over financial reporting pursuant to Section 404(b) of the Sarbanes-Oxley Act of 2002, or Sarbanes-Oxley Act;
|
•
|
we are not required to comply with any requirement that may be adopted by the Public Company Accounting Oversight Board, or PCAOB, regarding a supplement to the auditor’s report providing additional information about the audit and the financial statements (
i.e.
, an auditor discussion and analysis);
|
•
|
we are not required to submit certain executive compensation matters to stockholder advisory votes, such as “say-on-pay,” “say-on-frequency” and “say-on-golden parachutes”;
|
•
|
we are not required to disclose certain executive compensation-related items, such as the correlation between executive compensation and performance and comparisons of the Chief Executive Officer’s compensation to median employee compensation, or to include a compensation committee report, provided we comply with the scaled compensation disclosure rules applicable to smaller reporting companies; and
|
•
|
we may take advantage of an extended transition period for complying with new or revised accounting standards, allowing us to delay the adoption of some accounting standards until those standards would otherwise apply to private companies.
|
|
December 31
|
||||||
(in thousands)
|
2017
|
|
2016
|
||||
Foreign currency translation adjustment
|
$
|
(42,939
|
)
|
|
$
|
(59,652
|
)
|
Cash flow hedge
|
—
|
|
|
(333
|
)
|
||
Total
|
$
|
(42,939
|
)
|
|
$
|
(59,985
|
)
|
(dollars in thousands)
|
December 31, 2017
|
|
December 31, 2016
|
||||
Settlements and collateral due from third-party lenders
|
$
|
17,943
|
|
|
$
|
18,576
|
|
Fees receivable for third-party loans
|
15,059
|
|
|
9,181
|
|
||
Prepaid expenses
|
6,728
|
|
|
5,892
|
|
||
Other assets
|
2,782
|
|
|
5,599
|
|
||
Total
|
$
|
42,512
|
|
|
$
|
39,248
|
|
(dollars in thousands)
|
December 31, 2017
|
|
December 31, 2016
|
||||
Leasehold improvements
|
$
|
126,897
|
|
|
$
|
122,419
|
|
Furniture, fixtures and equipment
|
36,488
|
|
|
35,060
|
|
||
Property and equipment, gross
|
163,385
|
|
|
157,479
|
|
||
Accumulated depreciation
|
(76,299
|
)
|
|
(61,583
|
)
|
||
Property and equipment, net
|
$
|
87,086
|
|
|
$
|
95,896
|
|
(dollars in thousands)
|
U.S.
|
|
U.K.
|
|
Canada
|
|
Total
|
||||||||
Balance as of December 31, 2015
|
$
|
91,131
|
|
|
$
|
54,275
|
|
|
$
|
27,707
|
|
|
$
|
173,113
|
|
Accumulated Impairment Charges
|
—
|
|
|
(28,078
|
)
|
|
—
|
|
|
(28,078
|
)
|
||||
Goodwill at December 31, 2015
|
91,131
|
|
|
26,197
|
|
|
27,707
|
|
|
145,035
|
|
||||
Foreign currency translation - 2016
|
—
|
|
|
(4,315
|
)
|
|
834
|
|
|
(3,481
|
)
|
||||
Balance as of December 31, 2016
|
91,131
|
|
|
49,960
|
|
|
28,541
|
|
|
169,632
|
|
||||
Accumulated Impairment Charges
|
—
|
|
|
(28,078
|
)
|
|
—
|
|
|
(28,078
|
)
|
||||
Goodwill at December 31, 2016
|
91,131
|
|
|
21,882
|
|
|
28,541
|
|
|
141,554
|
|
||||
Foreign currency translation - 2017
|
—
|
|
|
2,078
|
|
|
1,975
|
|
|
4,053
|
|
||||
Balance as of December 31, 2017
|
91,131
|
|
|
52,038
|
|
|
30,516
|
|
|
173,685
|
|
||||
Accumulated Impairment Charges
|
—
|
|
|
(28,078
|
)
|
|
—
|
|
|
(28,078
|
)
|
||||
Goodwill at December 31, 2017
|
91,131
|
|
|
23,960
|
|
|
30,516
|
|
|
145,607
|
|
|
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||
(dollars in thousands)
|
Weighted-Average Remaining Life (Years)
|
|
Gross
Carrying
Amount
|
|
Accumulated
Amortization
|
|
Gross
Carrying
Amount
|
|
Accumulated
Amortization
|
||||||||
Trade name
|
8.2
|
|
$
|
26,872
|
|
|
$
|
(20
|
)
|
|
$
|
25,046
|
|
|
$
|
(12
|
)
|
Customer relationships
|
1.3
|
|
27,823
|
|
|
(26,137
|
)
|
|
26,411
|
|
|
(23,603
|
)
|
||||
Computer software
|
9.6
|
|
19,230
|
|
|
(14,999
|
)
|
|
16,429
|
|
|
(13,370
|
)
|
||||
Balance, end of year
|
|
|
$
|
73,925
|
|
|
$
|
(41,156
|
)
|
|
$
|
67,886
|
|
|
$
|
(36,985
|
)
|
(dollars in thousands)
|
Year Ending December 31,
|
||
2018
|
$
|
2,641
|
|
2019
|
1,889
|
|
|
2020
|
555
|
|
|
2021
|
128
|
|
|
2022
|
128
|
|
(in thousands)
|
December 31, 2017
|
|
December 31, 2016
|
||||
Assets
|
|
|
|
||||
Restricted Cash
|
$
|
6,871
|
|
|
$
|
2,770
|
|
Loans receivable less allowance for loan losses
|
167,706
|
|
|
108,065
|
|
||
Total Assets
|
$
|
174,577
|
|
|
$
|
110,835
|
|
Liabilities
|
|
|
|
||||
Accounts payable and accrued liabilities
|
$
|
12
|
|
|
$
|
—
|
|
Accrued interest
|
1,266
|
|
|
775
|
|
||
Long-term debt
|
120,402
|
|
|
63,054
|
|
||
Total Liabilities
|
$
|
121,680
|
|
|
$
|
63,829
|
|
|
Year Ended December 31,
|
||||||||
(in thousands)
|
2017
|
2016
|
2015
|
||||||
Unsecured Installment
|
$
|
480,243
|
|
$
|
330,713
|
|
$
|
314,383
|
|
Secured Installment
|
100,981
|
|
81,453
|
|
86,325
|
|
|||
Open-End
|
73,496
|
|
66,948
|
|
51,311
|
|
|||
Single-Pay
|
268,794
|
|
313,276
|
|
321,597
|
|
|||
Ancillary
|
40,119
|
|
36,206
|
|
39,515
|
|
|||
Total revenue
|
$
|
963,633
|
|
$
|
828,596
|
|
$
|
813,131
|
|
|
|
December 31, 2017
|
||||||||||||||
(in thousands)
|
|
Single-Pay
|
Unsecured Installment
|
Secured Installment
|
Open-End
|
Total
|
||||||||||
Current loans receivable
|
|
$
|
99,400
|
|
$
|
151,343
|
|
$
|
73,165
|
|
$
|
47,949
|
|
$
|
371,857
|
|
Delinquent loans receivable
|
|
—
|
|
44,963
|
|
16,017
|
|
—
|
|
60,980
|
|
|||||
Total loans receivable
|
|
99,400
|
|
196,306
|
|
89,182
|
|
47,949
|
|
432,837
|
|
|||||
Less: allowance for losses
|
|
(5,916
|
)
|
(43,754
|
)
|
(13,472
|
)
|
(6,426
|
)
|
(69,568
|
)
|
|||||
Loans receivable, net
|
|
$
|
93,484
|
|
$
|
152,552
|
|
$
|
75,710
|
|
$
|
41,523
|
|
$
|
363,269
|
|
|
|
December 31, 2017
|
||||||||
(in thousands)
|
|
Unsecured Installment
|
Secured Installment
|
Total
|
||||||
Delinquent loans receivable
|
|
|
|
|
||||||
0-30 days past due
|
|
$
|
18,358
|
|
$
|
8,116
|
|
$
|
26,474
|
|
31-60 days past due
|
|
12,836
|
|
3,628
|
|
16,464
|
|
|||
61-90 days past due
|
|
13,769
|
|
4,273
|
|
18,042
|
|
|||
Total delinquent loans receivable
|
|
$
|
44,963
|
|
$
|
16,017
|
|
$
|
60,980
|
|
|
|
December 31, 2016
|
||||||||||||||
(in thousands)
|
|
Single-Pay
|
Unsecured Installment
|
Secured Installment
|
Open-End
|
Total
|
||||||||||
Current loans receivable
|
|
$
|
90,487
|
|
$
|
102,090
|
|
$
|
63,157
|
|
$
|
30,462
|
|
$
|
286,196
|
|
Delinquent loans receivable
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|||||
Total loans receivable
|
|
90,487
|
|
102,090
|
|
63,157
|
|
30,462
|
|
286,196
|
|
|||||
Less: allowance for losses
|
|
(5,501
|
)
|
(17,775
|
)
|
(10,737
|
)
|
(5,179
|
)
|
(39,192
|
)
|
|||||
Loans receivable, net
|
|
$
|
84,986
|
|
$
|
84,315
|
|
$
|
52,420
|
|
$
|
25,283
|
|
$
|
247,004
|
|
|
|
December 31, 2017
|
||||||||
(in thousands)
|
|
Unsecured Installment
|
Secured Installment
|
Total
|
||||||
Current loans receivable guaranteed by the Company
|
|
$
|
62,676
|
|
$
|
3,098
|
|
$
|
65,774
|
|
Delinquent loans receivable guaranteed by the Company
|
|
12,480
|
|
537
|
|
13,017
|
|
|||
Total loans receivable guaranteed by the Company
|
|
75,156
|
|
3,635
|
|
78,791
|
|
|||
Less: CSO guarantee liability
|
|
(17,073
|
)
|
(722
|
)
|
(17,795
|
)
|
|||
Loans receivable guaranteed by the Company, net
|
|
$
|
58,083
|
|
$
|
2,913
|
|
$
|
60,996
|
|
|
|
December 31, 2017
|
||||||||
(in thousands)
|
|
Unsecured Installment
|
Secured Installment
|
Total
|
||||||
Delinquent loans receivable
|
|
|
|
|
||||||
0-30 days past due
|
|
$
|
10,477
|
|
$
|
459
|
|
$
|
10,936
|
|
31-60 days past due
|
|
1,364
|
|
41
|
|
1,405
|
|
|||
61-90 days past due
|
|
639
|
|
37
|
|
676
|
|
|||
Total delinquent loans receivable
|
|
$
|
12,480
|
|
$
|
537
|
|
$
|
13,017
|
|
|
|
December 31, 2016
|
|||||||||||
(in thousands)
|
|
Single-Pay
|
Unsecured Installment
|
Secured Installment
|
Total
|
||||||||
Current loans receivable guaranteed by the Company
|
|
$
|
1,092
|
|
$
|
62,360
|
|
$
|
4,581
|
|
$
|
68,033
|
|
Delinquent loans receivable guaranteed by the Company
|
|
—
|
|
—
|
|
—
|
|
—
|
|
||||
Total loans receivable guaranteed by the Company
|
|
1,092
|
|
62,360
|
|
4,581
|
|
68,033
|
|
||||
Less: CSO guarantee liability
|
|
(274
|
)
|
(15,630
|
)
|
(1,148
|
)
|
(17,052
|
)
|
||||
Loans receivable guaranteed by the Company, net
|
|
$
|
818
|
|
$
|
46,730
|
|
$
|
3,433
|
|
$
|
50,981
|
|
|
Year Ended December 31, 2017
|
|||||||||||||||||
(in thousands)
|
Single-Pay
|
Unsecured Installment
|
Secured Installment
|
Open-End
|
Other
|
Total
|
||||||||||||
Balance, beginning of period
|
$
|
5,501
|
|
$
|
17,775
|
|
$
|
10,737
|
|
$
|
5,179
|
|
$
|
—
|
|
$
|
39,192
|
|
Charge-offs
|
(190,623
|
)
|
(88,694
|
)
|
(30,005
|
)
|
(39,752
|
)
|
(5,254
|
)
|
(354,328
|
)
|
||||||
Recoveries
|
127,184
|
|
18,002
|
|
9,517
|
|
18,743
|
|
3,291
|
|
176,737
|
|
||||||
Net charge-offs
|
(63,439
|
)
|
(70,692
|
)
|
(20,488
|
)
|
(21,009
|
)
|
(1,963
|
)
|
(177,591
|
)
|
||||||
Provision for losses
|
63,760
|
|
96,150
|
|
23,223
|
|
22,245
|
|
1,963
|
|
207,341
|
|
||||||
Effect of foreign currency translation
|
93
|
|
522
|
|
—
|
|
11
|
|
—
|
|
626
|
|
||||||
Balance, end of period
|
$
|
5,915
|
|
$
|
43,755
|
|
$
|
13,472
|
|
$
|
6,426
|
|
$
|
—
|
|
$
|
69,568
|
|
Allowance for loan losses as a percentage of gross loan receivables
|
6.0
|
%
|
22.3
|
%
|
15.1
|
%
|
13.4
|
%
|
N/A
|
|
16.1
|
%
|
|
Year Ended December 31, 2017
|
|||||||||||
(in thousands)
|
Single-Pay
|
Unsecured Installment
|
Secured Installment
|
Total
|
||||||||
Balance, beginning of period
|
$
|
274
|
|
$
|
15,630
|
|
$
|
1,148
|
|
$
|
17,052
|
|
Charge-offs
|
(2,121
|
)
|
(141,429
|
)
|
(10,551
|
)
|
(154,101
|
)
|
||||
Recoveries
|
1,335
|
|
30,230
|
|
4,394
|
|
35,959
|
|
||||
Net charge-offs
|
(786
|
)
|
(111,199
|
)
|
(6,157
|
)
|
(118,142
|
)
|
||||
Provision for losses
|
512
|
|
112,642
|
|
5,731
|
|
118,885
|
|
||||
Balance, end of period
|
$
|
—
|
|
$
|
17,073
|
|
$
|
722
|
|
$
|
17,795
|
|
|
Year Ended December 31, 2017
|
|||||||||||||||||
(in thousands)
|
Single-Pay
|
Unsecured Installment
|
Secured Installment
|
Open-End
|
Other
|
Total
|
||||||||||||
Balance, beginning of period
|
$
|
5,775
|
|
$
|
33,405
|
|
$
|
11,885
|
|
$
|
5,179
|
|
$
|
—
|
|
$
|
56,244
|
|
Charge-offs
|
(192,744
|
)
|
(230,123
|
)
|
(40,556
|
)
|
(39,752
|
)
|
(5,254
|
)
|
(508,429
|
)
|
||||||
Recoveries
|
128,519
|
|
48,232
|
|
13,911
|
|
18,743
|
|
3,291
|
|
212,696
|
|
||||||
Net charge-offs
|
(64,225
|
)
|
(181,891
|
)
|
(26,645
|
)
|
(21,009
|
)
|
(1,963
|
)
|
(295,733
|
)
|
||||||
Provision for losses
|
64,272
|
|
208,792
|
|
28,954
|
|
22,245
|
|
1,963
|
|
326,226
|
|
||||||
Effect of foreign currency translation
|
93
|
|
522
|
|
—
|
|
11
|
|
—
|
|
626
|
|
||||||
Balance, end of period
|
$
|
5,915
|
|
$
|
60,828
|
|
$
|
14,194
|
|
$
|
6,426
|
|
$
|
—
|
|
$
|
87,363
|
|
|
Year Ended December 31, 2016
|
|||||||||||||||||
(in thousands)
|
Single-Pay
|
Unsecured Installment
|
Secured Installment
|
Open-End
|
Other
|
Total
|
||||||||||||
Balance, beginning of period
|
$
|
8,313
|
|
$
|
10,603
|
|
$
|
9,209
|
|
$
|
4,823
|
|
$
|
—
|
|
$
|
32,948
|
|
Charge-offs
|
(225,066
|
)
|
(165,843
|
)
|
(145,160
|
)
|
(86,586
|
)
|
(5,786
|
)
|
(628,441
|
)
|
||||||
Recoveries
|
157,398
|
|
120,446
|
|
128,886
|
|
62,859
|
|
3,671
|
|
473,260
|
|
||||||
Net charge-offs
|
(67,668
|
)
|
(45,397
|
)
|
(16,274
|
)
|
(23,727
|
)
|
(2,115
|
)
|
(155,181
|
)
|
||||||
Provision for losses
|
64,919
|
|
52,776
|
|
17,802
|
|
24,083
|
|
2,115
|
|
161,695
|
|
||||||
Effect of foreign currency translation
|
(63
|
)
|
(207
|
)
|
—
|
|
—
|
|
—
|
|
(270
|
)
|
||||||
Balance, end of period
|
$
|
5,501
|
|
$
|
17,775
|
|
$
|
10,737
|
|
$
|
5,179
|
|
$
|
—
|
|
$
|
39,192
|
|
Allowance for loan losses as a percentage of gross loan receivables
|
6.1
|
%
|
17.4
|
%
|
17.0
|
%
|
17.0
|
%
|
N/A
|
13.7
|
%
|
|
Year Ended December 31, 2016
|
|||||||||||
(in thousands)
|
Single-Pay
|
Unsecured Installment
|
Secured Installment
|
Total
|
||||||||
Balance, beginning of period
|
$
|
334
|
|
$
|
15,910
|
|
$
|
1,507
|
|
$
|
17,751
|
|
Charge-offs
|
(17,379
|
)
|
(164,853
|
)
|
(16,930
|
)
|
(199,162
|
)
|
||||
Recoveries
|
4,807
|
|
83,112
|
|
13,950
|
|
101,869
|
|
||||
Net charge-offs
|
(12,572
|
)
|
(81,741
|
)
|
(2,980
|
)
|
(97,293
|
)
|
||||
Provision for losses
|
12,512
|
|
81,461
|
|
2,621
|
|
96,594
|
|
||||
Balance, end of period
|
$
|
274
|
|
$
|
15,630
|
|
$
|
1,148
|
|
$
|
17,052
|
|
|
Year Ended December 31, 2016
|
|||||||||||||||||
(in thousands)
|
Single-Pay
|
Unsecured Installment
|
Secured Installment
|
Open-End
|
Other
|
Total
|
||||||||||||
Balance, beginning of period
|
$
|
8,647
|
|
$
|
26,513
|
|
$
|
10,716
|
|
$
|
4,823
|
|
$
|
—
|
|
$
|
50,699
|
|
Charge-offs
|
(242,445
|
)
|
(330,696
|
)
|
(162,090
|
)
|
(86,586
|
)
|
(5,786
|
)
|
(827,603
|
)
|
||||||
Recoveries
|
162,205
|
|
203,558
|
|
142,836
|
|
62,859
|
|
3,671
|
|
575,129
|
|
||||||
Net charge-offs
|
(80,240
|
)
|
(127,138
|
)
|
(19,254
|
)
|
(23,727
|
)
|
(2,115
|
)
|
(252,474
|
)
|
||||||
Provision for losses
|
77,431
|
|
134,237
|
|
20,423
|
|
24,083
|
|
2,115
|
|
258,289
|
|
||||||
Effect of foreign currency translation
|
(63
|
)
|
(207
|
)
|
—
|
|
—
|
|
—
|
|
(270
|
)
|
||||||
Balance, end of period
|
$
|
5,775
|
|
$
|
33,405
|
|
$
|
11,885
|
|
$
|
5,179
|
|
$
|
—
|
|
$
|
56,244
|
|
|
December 31,
|
|
December 31,
|
||||
(dollars in thousands)
|
2017
|
|
2016
|
||||
Trade accounts payable
|
$
|
22,483
|
|
|
$
|
18,588
|
|
Money orders payable
|
8,131
|
|
|
7,356
|
|
||
Accrued taxes, other than income taxes
|
678
|
|
|
447
|
|
||
Accrued payroll and fringe benefits
|
18,890
|
|
|
14,621
|
|
||
Reserve for store closure costs
|
4,419
|
|
|
1,258
|
|
||
Other accrued liabilities
|
1,191
|
|
|
393
|
|
||
Total
|
$
|
55,792
|
|
|
$
|
42,663
|
|
|
Year Ended December 31,
|
||||||||||
(dollars in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
Lease obligations and related costs
|
$
|
5,883
|
|
|
1,620
|
|
|
1,711
|
|
||
Write-down and loss on disposal of fixed assets
|
1,510
|
|
|
772
|
|
|
2,253
|
|
|||
Severance costs
|
—
|
|
|
1,226
|
|
|
327
|
|
|||
Total restructuring costs
|
$
|
7,393
|
|
|
$
|
3,618
|
|
|
$
|
4,291
|
|
|
Year Ended December 31,
|
||||||
(dollars in thousands)
|
2017
|
|
2016
|
||||
Beginning balance - January 1
|
$
|
1,258
|
|
|
$
|
1,972
|
|
Additions and adjustments
|
7,393
|
|
|
3,618
|
|
||
Payments and write-downs
|
(4,232
|
)
|
|
(4,332
|
)
|
||
Ending balance - December 31
|
$
|
4,419
|
|
|
$
|
1,258
|
|
|
December 31,
|
|
December 31,
|
||||
(in thousands)
|
2017
|
|
2016
|
||||
12.00% Senior Secured Notes (due 2022)
|
$
|
585,823
|
|
|
$
|
—
|
|
May 2011 Senior Secured Notes (due 2018)
|
—
|
|
|
223,164
|
|
||
May 2012 Senior Secured Notes (due 2018)
|
—
|
|
|
89,734
|
|
||
February 2013 Senior Secured Notes (due 2018)
|
—
|
|
|
101,184
|
|
||
February 2013 Cash Pay Notes (due 2017)
|
—
|
|
|
124,365
|
|
||
Non-Recourse U.S. SPV Facility
|
120,402
|
|
|
63,054
|
|
||
ABL Facility
|
—
|
|
|
23,406
|
|
||
Senior Revolver
|
—
|
|
|
—
|
|
||
Total long-term debt, including current portion
|
706,225
|
|
|
624,907
|
|
||
Less: current maturities of long-term debt
|
—
|
|
|
147,771
|
|
||
Long-term debt
|
$
|
706,225
|
|
|
$
|
477,136
|
|
(in thousands)
|
Amount
|
||
2018
|
$
|
—
|
|
2019
|
—
|
|
|
2020
|
—
|
|
|
2021
|
124,590
|
|
|
2022
|
605,000
|
|
|
|
$
|
729,590
|
|
|
Stock Options
|
|
Weighted Average Exercise Price
|
|
Weighted Average Contractual Term (years)
|
|
Aggregate Intrinsic Value (in thousands)
|
||||||
Outstanding at December 31, 2016
|
1,879,308
|
|
|
$
|
2.73
|
|
|
|
|
|
|||
Granted
|
99,396
|
|
|
$
|
8.86
|
|
|
|
|
|
|||
Exercised
|
—
|
|
|
—
|
|
|
|
|
|
|
|
||
Forfeited
|
(1,224
|
)
|
|
$
|
3.39
|
|
|
|
|
|
|||
Outstanding at December 31, 2017
|
1,977,480
|
|
|
$
|
3.04
|
|
|
5.2
|
|
|
$
|
21,831
|
|
Options exercisable at December 31, 2017
|
1,520,688
|
|
|
$
|
2.52
|
|
|
4.2
|
|
|
$
|
17,579
|
|
Non-vested Restricted Stock
|
Shares
|
|
Weighted
Average
Grant Date
Fair Value
|
|||
December 31, 2016
|
—
|
|
|
—
|
|
|
Granted
|
1,516,241
|
|
|
$
|
14.00
|
|
Vested
|
—
|
|
|
—
|
|
|
Forfeited
|
—
|
|
|
—
|
|
|
December 31, 2017
|
1,516,241
|
|
|
$
|
14.00
|
|
(dollars in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
Pre-tax share-based compensation expense
|
$
|
965
|
|
|
$
|
1,148
|
|
|
$
|
1,271
|
|
Income tax benefit
|
(386
|
)
|
|
(459
|
)
|
|
(508
|
)
|
|||
Total share-based compensation expense, net of tax
|
$
|
579
|
|
|
$
|
689
|
|
|
$
|
763
|
|
(in thousands)
|
2017
|
2016
|
2015
|
||||||
Current tax provision
|
|
|
|
||||||
Federal
|
$
|
20,829
|
|
$
|
24,508
|
|
$
|
8,716
|
|
State
|
2,445
|
|
5,495
|
|
486
|
|
|||
Foreign
|
10,542
|
|
13,254
|
|
11,146
|
|
|||
Total current provision
|
33,816
|
|
43,257
|
|
20,348
|
|
|||
Deferred tax provision (benefit)
|
|
|
|
||||||
Federal
|
6,283
|
|
186
|
|
(1,167
|
)
|
|||
State
|
2,647
|
|
(134
|
)
|
(221
|
)
|
|||
Foreign
|
(170
|
)
|
(732
|
)
|
(855
|
)
|
|||
Total deferred tax provision (benefit)
|
8,760
|
|
(680
|
)
|
(2,243
|
)
|
|||
Total provision for income taxes
|
$
|
42,576
|
|
$
|
42,577
|
|
$
|
18,105
|
|
Tax Period
|
Payment Due
(in thousands)
|
||
2017
|
$
|
644
|
|
2018
|
644
|
|
|
2019
|
644
|
|
|
2020
|
644
|
|
|
2021
|
644
|
|
|
2022
|
1,208
|
|
|
2023
|
1,610
|
|
|
2024
|
2,013
|
|
|
Total
|
$
|
8,051
|
|
(in thousands)
|
2017
|
2016
|
||||
Deferred tax assets related to:
|
|
|
||||
Loans receivable
|
$
|
1,027
|
|
$
|
8,142
|
|
Accrued expenses and other reserves
|
3,668
|
|
8,630
|
|
||
Compensation accruals
|
3,921
|
|
4,387
|
|
||
Deferred revenue
|
86
|
|
247
|
|
||
State and provincial net operating loss carryforwards
|
822
|
|
516
|
|
||
Foreign net operating loss and capital loss carryforwards
|
15,847
|
|
12,953
|
|
||
Tax credit carryforwards
|
—
|
|
284
|
|
||
Gross deferred tax assets
|
25,371
|
|
35,159
|
|
||
Less: Valuation allowance
|
(17,570
|
)
|
(14,072
|
)
|
||
Net deferred tax assets
|
$
|
7,801
|
|
$
|
21,087
|
|
Deferred tax liabilities related to:
|
|
|
||||
Property and equipment
|
$
|
(2,776
|
)
|
$
|
(5,564
|
)
|
Goodwill and other intangible assets
|
(15,395
|
)
|
(17,015
|
)
|
||
Prepaid expenses and other assets
|
(344
|
)
|
(186
|
)
|
||
Gross deferred tax liabilities
|
(18,515
|
)
|
(22,765
|
)
|
||
Net deferred tax liabilities
|
$
|
(10,714
|
)
|
$
|
(1,678
|
)
|
(in thousands)
|
2017
|
2016
|
||||
Net current deferred tax assets
|
$
|
772
|
|
$
|
12,635
|
|
Net long-term deferred tax liabilities
|
(11,486
|
)
|
(14,313
|
)
|
||
Net deferred tax liabilities
|
$
|
(10,714
|
)
|
$
|
(1,678
|
)
|
(in thousands)
|
2017
|
2016
|
2015
|
||||||
Income tax expense using the statutory federal rate in effect
|
$
|
32,105
|
|
$
|
37,807
|
|
$
|
12,556
|
|
Tax effect of:
|
|
|
|
||||||
State, local and provincial income taxes, net of federal benefit
|
7,164
|
|
9,045
|
|
4,373
|
|
|||
Tax credits
|
(450
|
)
|
(713
|
)
|
—
|
|
|||
Nondeductible expenses
|
536
|
|
521
|
|
263
|
|
|||
Impact of goodwill impairment charges
|
—
|
|
—
|
|
310
|
|
|||
Nontaxable income
|
—
|
|
—
|
|
—
|
|
|||
Foreign exchange gain/loss on intercompany loan
|
899
|
|
—
|
|
(1,423
|
)
|
|||
Valuation allowance for foreign and state net operating loss and capital loss carryforwards
|
2,393
|
|
3,129
|
|
5,827
|
|
|||
Effects of foreign rates different than U.S. statutory rate
|
(5,370
|
)
|
(7,569
|
)
|
(3,350
|
)
|
|||
Deferred remeasurement
|
886
|
|
205
|
|
62
|
|
|||
Repatriation tax
|
8,100
|
|
—
|
|
—
|
|
|||
Deferred remeasurement due to the TCJA
|
(4,162
|
)
|
—
|
|
—
|
|
|||
Other
|
476
|
|
152
|
|
(513
|
)
|
|||
Total provision for income taxes
|
$
|
42,577
|
|
$
|
42,577
|
|
$
|
18,105
|
|
Effective tax rate
|
46.4
|
%
|
39.4
|
%
|
50.5
|
%
|
|||
Statutory federal tax rate
|
35.0
|
%
|
35.0
|
%
|
35.0
|
%
|
(in thousands)
|
2017
|
2016
|
2015
|
||||||
Balance at the beginning of year
|
$
|
14,072
|
|
$
|
13,097
|
|
$
|
5,447
|
|
Revaluation of valuation allowance due to change in statutory rates
|
—
|
|
(1,234
|
)
|
—
|
|
|||
Increase to balance charged as expense
|
2,393
|
|
3,129
|
|
5,827
|
|
|||
(Decrease) increase to balance charged to Other Comprehensive Income
|
(101
|
)
|
1,627
|
|
2,099
|
|
|||
Effect of foreign currency translation
|
1,209
|
|
(2,547
|
)
|
(276
|
)
|
|||
Balance at end of year
|
$
|
17,573
|
|
$
|
14,072
|
|
$
|
13,097
|
|
|
|
Estimated Fair Value
|
|||||||||||||
(dollars in thousands)
|
Carrying Value December 31,
2017 |
Level 1
|
Level 2
|
Level 3
|
December 31, 2017
|
||||||||||
Financial assets:
|
|
|
|
|
|
||||||||||
Cash
|
$
|
162,374
|
|
$
|
162,374
|
|
$
|
—
|
|
$
|
—
|
|
$
|
162,374
|
|
Restricted cash
|
12,117
|
|
12,117
|
|
—
|
|
—
|
|
12,117
|
|
|||||
Loans receivable, net
|
363,269
|
|
—
|
|
—
|
|
363,269
|
|
363,269
|
|
|||||
Investment
|
5,600
|
|
—
|
|
—
|
|
5,600
|
|
5,600
|
|
|||||
Financial liabilities:
|
|
|
|
|
|
||||||||||
Credit services organization guarantee liability
|
$
|
17,795
|
|
$
|
—
|
|
$
|
—
|
|
$
|
17,795
|
|
$
|
17,795
|
|
2017 Senior Secured Notes
|
585,823
|
|
—
|
|
—
|
|
663,475
|
|
663,475
|
|
|||||
Non-Recourse U.S. SPV facility
|
120,402
|
|
—
|
|
—
|
|
124,590
|
|
124,590
|
|
|
|
Estimated Fair Value
|
|||||||||||||
(dollars in thousands)
|
Carrying Value December 31,
2016 |
Level 1
|
Level 2
|
Level 3
|
December 31, 2016
|
||||||||||
Financial assets:
|
|
|
|
|
|
||||||||||
Cash
|
$
|
193,525
|
|
$
|
193,525
|
|
$
|
—
|
|
$
|
—
|
|
$
|
193,525
|
|
Restricted cash
|
7,828
|
|
7,828
|
|
—
|
|
—
|
|
7,828
|
|
|||||
Loans receivable, net
|
247,004
|
|
—
|
|
—
|
|
247,004
|
|
247,004
|
|
|||||
Financial liabilities:
|
|
|
|
|
|
||||||||||
Credit services organization guarantee liability
|
$
|
17,052
|
|
$
|
—
|
|
$
|
—
|
|
$
|
17,052
|
|
$
|
17,052
|
|
May 2011 Senior Secured Notes
|
223,164
|
|
216,449
|
|
—
|
|
—
|
|
216,449
|
|
|||||
May 2012 Senior Secured Notes
|
89,734
|
|
86,625
|
|
—
|
|
—
|
|
86,625
|
|
|||||
February 2013 Senior Secured Notes
|
101,184
|
|
96,250
|
|
—
|
|
—
|
|
96,250
|
|
|||||
February 2013 Cash Pay Notes
|
124,365
|
|
118,301
|
|
—
|
|
—
|
|
118,301
|
|
|||||
Non-Recourse U.S. SPV facility
|
63,054
|
|
—
|
|
—
|
|
68,311
|
|
68,311
|
|
|||||
ABL facility
|
23,406
|
|
—
|
|
—
|
|
23,406
|
|
23,406
|
|
|
Year Ended December 31,
|
||||||||||
(dollars in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
Cash paid for:
|
|
|
|
|
|
||||||
Interest
|
$
|
60,054
|
|
|
$
|
61,019
|
|
|
$
|
61,802
|
|
Income taxes
|
26,863
|
|
|
43,650
|
|
|
26,001
|
|
|||
Non-cash investing activities:
|
|
|
|
|
|
||||||
Payment for repurchase of May 2011 Senior Secured Notes accrued in accounts payable
|
—
|
|
|
18,939
|
|
|
—
|
|
|||
Property and equipment accrued in accounts payable
|
1,631
|
|
|
3,338
|
|
|
4,758
|
|
|
Year Ended December 31,
|
||||||||||
(dollars in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
Revenues by segment:
|
|
|
|
|
|
||||||
U.S.
|
$
|
737,729
|
|
|
$
|
606,798
|
|
|
$
|
573,664
|
|
Canada
|
186,408
|
|
|
188,078
|
|
|
184,859
|
|
|||
U.K.
|
39,496
|
|
|
33,720
|
|
|
54,608
|
|
|||
Consolidated revenue
|
$
|
963,633
|
|
|
$
|
828,596
|
|
|
$
|
813,131
|
|
Gross margin by segment:
|
|
|
|
|
|
||||||
U.S.
|
$
|
267,215
|
|
|
$
|
204,328
|
|
|
$
|
151,628
|
|
Canada
|
67,950
|
|
|
78,639
|
|
|
77,469
|
|
|||
U.K.
|
14,072
|
|
|
10,289
|
|
|
9,504
|
|
|||
Consolidated gross margin
|
$
|
349,237
|
|
|
$
|
293,256
|
|
|
$
|
238,601
|
|
Segment operating income (loss):
|
|
|
|
|
|
||||||
U.S.
|
$
|
51,459
|
|
|
$
|
56,778
|
|
|
$
|
4,200
|
|
Canada
|
50,797
|
|
|
60,482
|
|
|
56,208
|
|
|||
U.K.
|
(10,527
|
)
|
|
(9,239
|
)
|
|
(24,534
|
)
|
|||
Consolidated operating profit
|
$
|
91,729
|
|
|
$
|
108,021
|
|
|
$
|
35,874
|
|
Expenditures for long-lived assets by segment:
|
|
|
|
|
|
||||||
U.S.
|
$
|
7,405
|
|
|
$
|
10,125
|
|
|
$
|
8,642
|
|
Canada
|
1,309
|
|
|
5,872
|
|
|
11,062
|
|
|||
U.K.
|
1,043
|
|
|
29
|
|
|
128
|
|
|||
Consolidated expenditures for long-lived assets
|
$
|
9,757
|
|
|
$
|
16,026
|
|
|
$
|
19,832
|
|
(dollars in thousands)
|
December 31,
2017 |
|
December 31,
2016 |
||||
U.S.
|
$
|
308,696
|
|
|
$
|
206,215
|
|
Canada
|
104,551
|
|
|
66,988
|
|
||
U.K.
|
19,590
|
|
|
12,993
|
|
||
Total gross loans receivable
|
$
|
432,837
|
|
|
$
|
286,196
|
|
(dollars in thousands)
|
December 31, 2017
|
|
December 31, 2016
|
||||
U.S.
|
$
|
52,627
|
|
|
$
|
58,733
|
|
Canada
|
32,924
|
|
|
34,310
|
|
||
U.K.
|
1,535
|
|
|
2,853
|
|
||
Total
|
$
|
87,086
|
|
|
$
|
95,896
|
|
|
Third Party
|
|
Related Party
|
|
Total
|
||||||
2018
|
$
|
22,920
|
|
|
$
|
3,396
|
|
|
$
|
26,316
|
|
2019
|
20,046
|
|
|
3,241
|
|
|
23,286
|
|
|||
2020
|
16,335
|
|
|
3,242
|
|
|
19,578
|
|
|||
2021
|
13,212
|
|
|
3,278
|
|
|
16,489
|
|
|||
2022
|
10,665
|
|
|
3,266
|
|
|
13,931
|
|
|||
Thereafter
|
18,532
|
|
|
784
|
|
|
19,316
|
|
|||
Total
|
$
|
101,709
|
|
|
$
|
17,207
|
|
|
$
|
118,916
|
|
|
|
Year Ended December 31,
|
||||||||||
|
|
2017
|
|
2016
|
|
2015
|
||||||
Basic:
(1)
|
|
|
|
|
|
|
||||||
Net income
|
|
$
|
49,153
|
|
|
$
|
65,444
|
|
|
$
|
17,769
|
|
Weight average common shares
|
|
38,351
|
|
|
37,908
|
|
|
37,908
|
|
|||
Basic earnings per share
|
|
$
|
1.28
|
|
|
$
|
1.73
|
|
|
$
|
0.47
|
|
(1) The per share information has been adjusted to give effect to the 36-to-1 stock split of our common stock which was effective December 6, 2017.
|
Year ended December 31, 2017
|
March 31
|
|
June 30
|
|
September 30
|
|
December 31
|
|
Fiscal Year
|
||||||||||
Net Revenue
|
$
|
162,844
|
|
|
$
|
151,498
|
|
|
$
|
155,778
|
|
|
$
|
167,287
|
|
|
$
|
637,407
|
|
Gross Margin
|
94,905
|
|
|
82,002
|
|
|
80,166
|
|
|
92,164
|
|
|
349,237
|
|
|||||
Net income before income taxes
|
26,088
|
|
|
26,961
|
|
|
19,682
|
|
|
18,998
|
|
|
91,729
|
|
|||||
Net Income
|
16,638
|
|
|
16,342
|
|
|
9,762
|
|
|
6,411
|
|
|
49,153
|
|
|||||
Net Income per share - Basic
|
$
|
0.44
|
|
|
$
|
0.43
|
|
|
$
|
0.26
|
|
|
$
|
0.15
|
|
|
$
|
1.28
|
|
Net Income per share - Diluted
|
$
|
0.43
|
|
|
$
|
0.42
|
|
|
$
|
0.25
|
|
|
$
|
0.15
|
|
|
$
|
1.25
|
|
Year ended December 31, 2016
|
March 31
|
|
June 30
|
|
September 30
|
|
December 31
|
|
Fiscal Year
|
||||||||||
Net Revenue
|
$
|
160,212
|
|
|
$
|
136,278
|
|
|
$
|
135,900
|
|
|
$
|
137,917
|
|
|
$
|
570,307
|
|
Gross Margin
|
94,173
|
|
|
68,851
|
|
|
67,035
|
|
|
63,197
|
|
|
293,256
|
|
|||||
Net income before income taxes
|
44,006
|
|
|
21,034
|
|
|
25,860
|
|
|
17,121
|
|
|
108,021
|
|
|||||
Net Income
|
26,910
|
|
|
13,172
|
|
|
15,777
|
|
|
9,585
|
|
|
65,444
|
|
|||||
Net Income per share - Basic
|
$
|
0.71
|
|
|
$
|
0.35
|
|
|
$
|
0.42
|
|
|
$
|
0.25
|
|
|
$
|
1.73
|
|
Net Income per share - Diluted
|
$
|
0.70
|
|
|
$
|
0.34
|
|
|
$
|
0.41
|
|
|
$
|
0.24
|
|
|
$
|
1.69
|
|
(i)
|
CFTC as the issuer of the 12.00% senior secured notes;
|
(ii)
|
CURO Intermediate as the issuer of the 10.75% senior secured notes that were redeemed in February 2017;
|
(iii)
|
Our subsidiary guarantors, which are comprised of our domestic subsidiaries, excluding CFTC and CURO Intermediate (the “Subsidiary Guarantors”), on a consolidated basis, which are 100% owned by CURO, and which are guarantors of the 12.00% senior secured notes issued in February 2017 and the 10.75% senior secured notes redeemed in February 2017;
|
(iv)
|
Our other subsidiaries on a consolidated basis, which are not guarantors of the 12.00% senior secured notes or the 10.75% senior secured notes (the “Subsidiary Non-Guarantors”)
|
(v)
|
Consolidating and eliminating entries representing adjustments to:
|
a.
|
eliminate intercompany transactions between or among us, the Subsidiary Guarantors and the Subsidiary Non-Guarantors; and
|
b.
|
eliminate the investments in our subsidiaries;
|
(vi)
|
Us and our subsidiaries on a consolidated basis.
|
|
December 31, 2017
|
|||||||||||||||||||||||||||||
(dollars in thousands)
|
CFTC
|
CURO Intermediate
|
Subsidiary
Guarantors
|
Subsidiary
Non-Guarantors
|
SPV Subs
|
Eliminations
|
Consolidated
|
CURO
|
Eliminations
|
CURO
Consolidated |
||||||||||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Cash
|
$
|
—
|
|
$
|
—
|
|
$
|
117,379
|
|
$
|
44,915
|
|
$
|
—
|
|
$
|
—
|
|
$
|
162,294
|
|
$
|
80
|
|
$
|
—
|
|
$
|
162,374
|
|
Restricted cash
|
—
|
|
—
|
|
1,677
|
|
3,569
|
|
6,871
|
|
—
|
|
12,117
|
|
—
|
|
—
|
|
$
|
12,117
|
|
|||||||||
Loans receivable, net
|
—
|
|
—
|
|
84,912
|
|
110,651
|
|
167,706
|
|
—
|
|
363,269
|
|
—
|
|
—
|
|
$
|
363,269
|
|
|||||||||
Deferred income taxes
|
—
|
|
2,154
|
|
(4,646
|
)
|
3,502
|
|
—
|
|
—
|
|
1,010
|
|
(238
|
)
|
—
|
|
$
|
772
|
|
|||||||||
Income taxes receivable
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
3,455
|
|
—
|
|
$
|
3,455
|
|
|||||||||
Prepaid expenses and other
|
—
|
|
—
|
|
38,277
|
|
3,353
|
|
—
|
|
—
|
|
41,630
|
|
882
|
|
—
|
|
$
|
42,512
|
|
|||||||||
Property and equipment, net
|
—
|
|
—
|
|
52,627
|
|
34,459
|
|
—
|
|
—
|
|
87,086
|
|
—
|
|
—
|
|
$
|
87,086
|
|
|||||||||
Goodwill
|
—
|
|
—
|
|
91,131
|
|
54,476
|
|
—
|
|
—
|
|
145,607
|
|
—
|
|
—
|
|
$
|
145,607
|
|
|||||||||
Other intangibles, net
|
16
|
|
—
|
|
5,418
|
|
27,335
|
|
—
|
|
—
|
|
32,769
|
|
—
|
|
—
|
|
$
|
32,769
|
|
|||||||||
Intercompany receivable
|
—
|
|
37,877
|
|
33,062
|
|
(30,588
|
)
|
—
|
|
(40,351
|
)
|
—
|
|
—
|
|
—
|
|
$
|
—
|
|
|||||||||
Investment in subsidiaries
|
(14,504
|
)
|
899,371
|
|
—
|
|
—
|
|
—
|
|
(884,867
|
)
|
—
|
|
(84,889
|
)
|
84,889
|
|
$
|
—
|
|
|||||||||
Other
|
5,713
|
|
—
|
|
3,017
|
|
1,040
|
|
—
|
|
—
|
|
9,770
|
|
—
|
|
—
|
|
$
|
9,770
|
|
|||||||||
Total assets
|
$
|
(8,775
|
)
|
$
|
939,402
|
|
$
|
422,854
|
|
$
|
252,712
|
|
$
|
174,577
|
|
$
|
(925,218
|
)
|
$
|
855,552
|
|
$
|
(80,710
|
)
|
$
|
84,889
|
|
$
|
859,731
|
|
Liabilities and Stockholders' equity:
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Accounts payable and accrued liabilities
|
$
|
2,606
|
|
$
|
13
|
|
$
|
35,753
|
|
$
|
15,954
|
|
$
|
12
|
|
$
|
—
|
|
$
|
54,338
|
|
$
|
1,454
|
|
$
|
—
|
|
$
|
55,792
|
|
Deferred revenue
|
—
|
|
—
|
|
6,529
|
|
5,455
|
|
—
|
|
—
|
|
11,984
|
|
—
|
|
—
|
|
11,984
|
|
||||||||||
Income taxes payable
|
(49,738
|
)
|
70,231
|
|
(18,450
|
)
|
2,077
|
|
—
|
|
—
|
|
4,120
|
|
—
|
|
—
|
|
4,120
|
|
||||||||||
Accrued interest
|
24,201
|
|
—
|
|
—
|
|
—
|
|
1,266
|
|
—
|
|
25,467
|
|
—
|
|
—
|
|
25,467
|
|
||||||||||
Payable to CURO
|
184,348
|
|
—
|
|
(95,048
|
)
|
—
|
|
—
|
|
—
|
|
89,300
|
|
(89,300
|
)
|
—
|
|
—
|
|
||||||||||
CSO guarantee liability
|
—
|
|
—
|
|
17,795
|
|
—
|
|
—
|
|
—
|
|
17,795
|
|
—
|
|
—
|
|
17,795
|
|
||||||||||
Deferred rent
|
—
|
|
—
|
|
9,896
|
|
1,681
|
|
—
|
|
—
|
|
11,577
|
|
—
|
|
—
|
|
11,577
|
|
||||||||||
Long-term debt (excluding current maturities)
|
585,823
|
|
—
|
|
—
|
|
—
|
|
120,402
|
|
—
|
|
706,225
|
|
—
|
|
—
|
|
706,225
|
|
||||||||||
Subordinated shareholder debt
|
—
|
|
—
|
|
—
|
|
2,381
|
|
—
|
|
—
|
|
2,381
|
|
—
|
|
—
|
|
2,381
|
|
||||||||||
Intercompany payable
|
(668,536
|
)
|
876,869
|
|
(124,332
|
)
|
40,351
|
|
(84,001
|
)
|
(40,351
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||
Other long-term liabilities
|
—
|
|
—
|
|
3,969
|
|
1,799
|
|
—
|
|
—
|
|
5,768
|
|
—
|
|
—
|
|
5,768
|
|
||||||||||
Deferred tax liabilities
|
(2,590
|
)
|
6,793
|
|
(143
|
)
|
7,426
|
|
—
|
|
—
|
|
11,486
|
|
—
|
|
—
|
|
11,486
|
|
||||||||||
Total liabilities
|
76,114
|
|
953,906
|
|
(164,031
|
)
|
77,124
|
|
37,679
|
|
(40,351
|
)
|
940,441
|
|
(87,846
|
)
|
—
|
|
852,595
|
|
||||||||||
Stockholders' equity
|
(84,889
|
)
|
(14,504
|
)
|
586,885
|
|
175,588
|
|
136,898
|
|
(884,867
|
)
|
(84,889
|
)
|
7,136
|
|
84,889
|
|
7,136
|
|
||||||||||
Total liabilities and stockholders' equity
|
$
|
(8,775
|
)
|
$
|
939,402
|
|
$
|
422,854
|
|
$
|
252,712
|
|
$
|
174,577
|
|
$
|
(925,218
|
)
|
$
|
855,552
|
|
$
|
(80,710
|
)
|
$
|
84,889
|
|
$
|
859,731
|
|
|
December 31, 2016
|
|||||||||||||||||||||||||||||
(dollars in thousands)
|
CFTC
|
CURO Intermediate
|
Subsidiary
Guarantors |
Subsidiary
Non-Guarantors |
SPV Subs
|
Eliminations
|
Consolidated
|
CURO
|
Eliminations
|
CURO
Consolidated |
||||||||||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Cash
|
$
|
—
|
|
$
|
1,954
|
|
$
|
127,712
|
|
$
|
63,779
|
|
$
|
—
|
|
$
|
—
|
|
$
|
193,445
|
|
$
|
80
|
|
$
|
—
|
|
$
|
193,525
|
|
Restricted cash
|
—
|
|
459
|
|
1,223
|
|
3,376
|
|
2,770
|
|
—
|
|
7,828
|
|
—
|
|
—
|
|
7,828
|
|
||||||||||
Loans receivable, net
|
—
|
|
—
|
|
67,558
|
|
71,381
|
|
108,065
|
|
—
|
|
247,004
|
|
—
|
|
—
|
|
247,004
|
|
||||||||||
Deferred income taxes
|
2,833
|
|
8,802
|
|
2,925
|
|
2,768
|
|
—
|
|
(4,693
|
)
|
12,635
|
|
—
|
|
—
|
|
12,635
|
|
||||||||||
Income taxes receivable
|
34,667
|
|
—
|
|
—
|
|
6,151
|
|
—
|
|
(37,710
|
)
|
3,108
|
|
6,270
|
|
—
|
|
9,378
|
|
||||||||||
Prepaid expenses and other
|
—
|
|
—
|
|
32,964
|
|
4,205
|
|
—
|
|
—
|
|
37,169
|
|
4,735
|
|
(2,656
|
)
|
39,248
|
|
||||||||||
Property and equipment, net
|
—
|
|
—
|
|
58,733
|
|
37,163
|
|
—
|
|
—
|
|
95,896
|
|
—
|
|
—
|
|
95,896
|
|
||||||||||
Goodwill
|
—
|
|
—
|
|
91,131
|
|
50,423
|
|
—
|
|
—
|
|
141,554
|
|
—
|
|
—
|
|
141,554
|
|
||||||||||
Other intangibles, net
|
19
|
|
—
|
|
5,616
|
|
25,266
|
|
—
|
|
—
|
|
30,901
|
|
—
|
|
—
|
|
30,901
|
|
||||||||||
Intercompany receivable
|
—
|
|
55,444
|
|
383,887
|
|
—
|
|
—
|
|
(439,331
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||
Investment in subsidiaries
|
187,473
|
|
830,443
|
|
—
|
|
—
|
|
—
|
|
(1,017,916
|
)
|
—
|
|
155,964
|
|
(155,964
|
)
|
—
|
|
||||||||||
Other
|
—
|
|
|
1,745
|
|
1,084
|
|
—
|
|
—
|
|
2,829
|
|
|
|
—
|
|
2,829
|
|
|||||||||||
Total assets
|
$
|
224,992
|
|
$
|
897,102
|
|
$
|
773,494
|
|
$
|
265,596
|
|
$
|
110,835
|
|
$
|
(1,499,650
|
)
|
$
|
772,369
|
|
$
|
167,049
|
|
$
|
(158,620
|
)
|
$
|
780,798
|
|
Liabilities and Stockholders' equity:
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Accounts payable and accrued liabilities
|
$
|
253
|
|
$
|
3
|
|
$
|
32,528
|
|
$
|
9,900
|
|
$
|
—
|
|
$
|
—
|
|
$
|
42,684
|
|
$
|
(21
|
)
|
$
|
—
|
|
$
|
42,663
|
|
Deferred revenue
|
—
|
|
—
|
|
6,520
|
|
5,822
|
|
—
|
|
—
|
|
12,342
|
|
|
|
—
|
|
12,342
|
|
||||||||||
Income taxes payable
|
—
|
|
23,087
|
|
12,952
|
|
3,043
|
|
—
|
|
(37,710
|
)
|
1,372
|
|
|
|
—
|
|
1,372
|
|
||||||||||
Current maturities of long-term debt
|
—
|
|
23,406
|
|
—
|
|
—
|
|
—
|
|
—
|
|
23,406
|
|
124,365
|
|
—
|
|
147,771
|
|
||||||||||
Accrued interest
|
—
|
|
5,575
|
|
—
|
|
—
|
|
775
|
|
—
|
|
6,350
|
|
1,833
|
|
—
|
|
8,183
|
|
||||||||||
Payable to CURO
|
2,656
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
2,656
|
|
|
|
(2,656
|
)
|
—
|
|
||||||||||
CSO guarantee liability
|
—
|
|
—
|
|
17,052
|
|
—
|
|
—
|
|
—
|
|
17,052
|
|
|
|
—
|
|
17,052
|
|
||||||||||
Deferred rent
|
—
|
|
—
|
|
10,006
|
|
1,862
|
|
—
|
|
—
|
|
11,868
|
|
|
|
—
|
|
11,868
|
|
||||||||||
Long-term debt (excluding current maturities)
|
—
|
|
414,082
|
|
—
|
|
—
|
|
63,054
|
|
—
|
|
477,136
|
|
|
|
—
|
|
477,136
|
|
||||||||||
Subordinated shareholder debt
|
—
|
|
—
|
|
—
|
|
2,227
|
|
—
|
|
—
|
|
2,227
|
|
|
|
—
|
|
2,227
|
|
||||||||||
Intercompany payable
|
65,822
|
|
233,537
|
|
—
|
|
85,346
|
|
54,626
|
|
(439,331
|
)
|
—
|
|
|
|
—
|
|
—
|
|
||||||||||
Other long-term liabilities
|
299
|
|
—
|
|
1,741
|
|
2,976
|
|
—
|
|
—
|
|
5,016
|
|
|
|
—
|
|
5,016
|
|
||||||||||
Deferred tax liabilities
|
(2
|
)
|
9,914
|
|
2,495
|
|
6,582
|
|
—
|
|
(4,693
|
)
|
14,296
|
|
17
|
|
—
|
|
14,313
|
|
||||||||||
Total liabilities
|
69,028
|
|
709,604
|
|
83,294
|
|
117,758
|
|
118,455
|
|
(481,734
|
)
|
616,405
|
|
126,194
|
|
(2,656
|
)
|
739,943
|
|
||||||||||
Stockholders' equity
|
155,964
|
|
187,498
|
|
690,200
|
|
147,838
|
|
(7,620
|
)
|
(1,017,916
|
)
|
155,964
|
|
40,855
|
|
(155,964
|
)
|
40,855
|
|
||||||||||
Total liabilities and stockholders' equity
|
$
|
224,992
|
|
$
|
897,102
|
|
$
|
773,494
|
|
$
|
265,596
|
|
$
|
110,835
|
|
$
|
(1,499,650
|
)
|
$
|
772,369
|
|
$
|
167,049
|
|
$
|
(158,620
|
)
|
$
|
780,798
|
|
|
Year Ended December 31, 2017
|
|||||||||||||||||||||||||||||
(dollars in thousands)
|
CFTC
|
CURO Intermediate
|
Subsidiary Guarantors
|
Subsidiary
Non-Guarantors
|
SPV Subs
|
Eliminations
|
CFTC
Consolidated
|
CURO
|
Eliminations
|
CURO
Consolidated |
||||||||||||||||||||
Revenue
|
$
|
—
|
|
$
|
—
|
|
$
|
465,170
|
|
$
|
225,904
|
|
$
|
272,559
|
|
$
|
—
|
|
$
|
963,633
|
|
$
|
—
|
|
$
|
—
|
|
$
|
963,633
|
|
Provision for losses
|
—
|
|
—
|
|
164,068
|
|
58,735
|
|
103,423
|
|
—
|
|
326,226
|
|
—
|
|
—
|
|
326,226
|
|
||||||||||
Net revenue
|
—
|
|
—
|
|
301,102
|
|
167,169
|
|
169,136
|
|
—
|
|
637,407
|
|
—
|
|
—
|
|
637,407
|
|
||||||||||
Cost of providing services:
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Salaries and benefits
|
—
|
|
—
|
|
69,927
|
|
35,269
|
|
—
|
|
—
|
|
105,196
|
|
—
|
|
—
|
|
105,196
|
|
||||||||||
Occupancy
|
—
|
|
—
|
|
31,393
|
|
23,219
|
|
—
|
|
—
|
|
54,612
|
|
—
|
|
—
|
|
54,612
|
|
||||||||||
Office
|
—
|
|
—
|
|
16,884
|
|
4,518
|
|
—
|
|
—
|
|
21,402
|
|
—
|
|
—
|
|
21,402
|
|
||||||||||
Other store operating expenses
|
—
|
|
—
|
|
48,163
|
|
6,231
|
|
508
|
|
—
|
|
54,902
|
|
—
|
|
—
|
|
54,902
|
|
||||||||||
Advertising
|
—
|
|
—
|
|
36,148
|
|
15,910
|
|
—
|
|
—
|
|
52,058
|
|
—
|
|
—
|
|
52,058
|
|
||||||||||
Total cost of providing services
|
—
|
|
—
|
|
202,515
|
|
85,147
|
|
508
|
|
—
|
|
288,170
|
|
—
|
|
—
|
|
288,170
|
|
||||||||||
Gross Margin
|
—
|
|
—
|
|
98,587
|
|
82,022
|
|
168,628
|
|
—
|
|
349,237
|
|
—
|
|
—
|
|
349,237
|
|
||||||||||
Operating (income) expense:
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Corporate, district and other
|
7,549
|
|
(25
|
)
|
108,901
|
|
34,170
|
|
451
|
|
—
|
|
151,046
|
|
3,927
|
|
—
|
|
154,973
|
|
||||||||||
Intercompany management fee
|
—
|
|
—
|
|
(23,741
|
)
|
13,970
|
|
9,771
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||
Interest expense
|
55,809
|
|
9,613
|
|
(124
|
)
|
189
|
|
13,887
|
|
—
|
|
79,374
|
|
3,310
|
|
—
|
|
82,684
|
|
||||||||||
Loss on extinguishment of debt
|
—
|
|
11,884
|
|
—
|
|
—
|
|
—
|
|
—
|
|
11,884
|
|
574
|
|
—
|
|
12,458
|
|
||||||||||
Restructuring costs
|
—
|
|
—
|
|
—
|
|
7,393
|
|
—
|
|
—
|
|
7,393
|
|
—
|
|
—
|
|
7,393
|
|
||||||||||
Intercompany interest (income) expense
|
—
|
|
(4,216
|
)
|
(678
|
)
|
4,894
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||
Total operating expense
|
63,358
|
|
17,256
|
|
84,358
|
|
60,616
|
|
24,109
|
|
—
|
|
249,697
|
|
7,811
|
|
—
|
|
257,508
|
|
||||||||||
Net income (loss) before income taxes
|
(63,358
|
)
|
(17,256
|
)
|
14,229
|
|
21,406
|
|
144,519
|
|
—
|
|
99,540
|
|
(7,811
|
)
|
—
|
|
91,729
|
|
||||||||||
Provision for income tax expense (benefit)
|
(24,077
|
)
|
73,218
|
|
(13,752
|
)
|
10,372
|
|
—
|
|
—
|
|
45,761
|
|
(3,185
|
)
|
—
|
|
42,576
|
|
||||||||||
Net income (loss)
|
(39,281
|
)
|
(90,474
|
)
|
27,981
|
|
11,034
|
|
144,519
|
|
—
|
|
53,779
|
|
(4,626
|
)
|
—
|
|
49,153
|
|
||||||||||
Equity in net income (loss) of subsidiaries:
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
CFTC
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
53,779
|
|
(53,779
|
)
|
—
|
|
||||||||||
CURO Intermediate
|
(90,474
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
90,474
|
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||
Guarantor Subsidiaries
|
27,981
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(27,981
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||
Non-Guarantor Subsidiaries
|
11,034
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(11,034
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||
SPV Subs
|
144,519
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(144,519
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||
Net income (loss) attributable to CURO
|
$
|
53,779
|
|
$
|
(90,474
|
)
|
$
|
27,981
|
|
$
|
11,034
|
|
$
|
144,519
|
|
$
|
(93,060
|
)
|
$
|
53,779
|
|
$
|
49,153
|
|
$
|
(53,779
|
)
|
$
|
49,153
|
|
|
Year Ended December 31, 2016
|
|||||||||||||||||||||||||||||
(dollars in thousands)
|
CFTC
|
CURO Intermediate
|
Subsidiary Guarantors
|
Subsidiary
Non-Guarantors
|
SPV Subs
|
Eliminations
|
CFTC
Consolidated
|
CURO
|
Eliminations
|
CURO
Consolidated |
||||||||||||||||||||
Revenue
|
$
|
—
|
|
$
|
—
|
|
$
|
581,820
|
|
$
|
221,799
|
|
$
|
24,977
|
|
$
|
—
|
|
$
|
828,596
|
|
$
|
—
|
|
$
|
—
|
|
$
|
828,596
|
|
Provision for losses
|
—
|
|
—
|
|
176,546
|
|
50,540
|
|
31,203
|
|
—
|
|
258,289
|
|
—
|
|
—
|
|
258,289
|
|
||||||||||
Net revenue
|
—
|
|
—
|
|
405,274
|
|
171,259
|
|
(6,226
|
)
|
—
|
|
570,307
|
|
—
|
|
—
|
|
570,307
|
|
||||||||||
Cost of providing services:
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Salaries and benefits
|
—
|
|
—
|
|
69,549
|
|
34,992
|
|
—
|
|
—
|
|
104,541
|
|
—
|
|
—
|
|
104,541
|
|
||||||||||
Occupancy
|
—
|
|
—
|
|
31,451
|
|
23,058
|
|
—
|
|
—
|
|
54,509
|
|
—
|
|
—
|
|
54,509
|
|
||||||||||
Office
|
—
|
|
—
|
|
15,883
|
|
4,580
|
|
—
|
|
—
|
|
20,463
|
|
—
|
|
—
|
|
20,463
|
|
||||||||||
Other store operating expenses
|
—
|
|
—
|
|
47,491
|
|
6,120
|
|
6
|
|
—
|
|
53,617
|
|
—
|
|
—
|
|
53,617
|
|
||||||||||
Advertising
|
—
|
|
—
|
|
30,340
|
|
13,581
|
|
—
|
|
—
|
|
43,921
|
|
—
|
|
—
|
|
43,921
|
|
||||||||||
Total cost of providing services
|
—
|
|
—
|
|
194,714
|
|
82,331
|
|
6
|
|
—
|
|
277,051
|
|
—
|
|
—
|
|
277,051
|
|
||||||||||
Gross Margin
|
—
|
|
—
|
|
210,560
|
|
88,928
|
|
(6,232
|
)
|
—
|
|
293,256
|
|
—
|
|
—
|
|
293,256
|
|
||||||||||
Operating (income) expense:
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Corporate, district and other
|
1,898
|
|
338
|
|
85,452
|
|
36,140
|
|
—
|
|
—
|
|
123,828
|
|
446
|
|
—
|
|
124,274
|
|
||||||||||
Intercompany management fee
|
—
|
|
—
|
|
(12,632
|
)
|
12,632
|
|
—
|
|
—
|
|
—
|
|
|
|
|
|
—
|
|
||||||||||
Interest expense
|
—
|
|
47,684
|
|
2
|
|
58
|
|
864
|
|
—
|
|
48,608
|
|
15,726
|
|
—
|
|
64,334
|
|
||||||||||
Loss on extinguishment of debt
|
—
|
|
(4,961
|
)
|
(1,319
|
)
|
5,741
|
|
539
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||
Restructuring costs
|
—
|
|
(6,991
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(6,991
|
)
|
—
|
|
—
|
|
(6,991
|
)
|
||||||||||
Intercompany interest (income) expense
|
—
|
|
—
|
|
1,726
|
|
1,892
|
|
—
|
|
—
|
|
3,618
|
|
—
|
|
—
|
|
3,618
|
|
||||||||||
Total operating expense
|
1,898
|
|
36,070
|
|
73,229
|
|
56,463
|
|
1,403
|
|
—
|
|
169,063
|
|
16,172
|
|
—
|
|
185,235
|
|
||||||||||
Net income (loss) before income taxes
|
(1,898
|
)
|
(36,070
|
)
|
137,331
|
|
32,465
|
|
(7,635
|
)
|
—
|
|
124,193
|
|
(16,172
|
)
|
—
|
|
108,021
|
|
||||||||||
Provision for income tax expense (benefit)
|
(682
|
)
|
22,788
|
|
14,543
|
|
12,522
|
|
—
|
|
—
|
|
49,171
|
|
(6,594
|
)
|
—
|
|
42,577
|
|
||||||||||
Net income (loss)
|
(1,216
|
)
|
(58,858
|
)
|
122,788
|
|
19,943
|
|
(7,635
|
)
|
—
|
|
75,022
|
|
(9,578
|
)
|
—
|
|
65,444
|
|
||||||||||
Equity in net income (loss) of subsidiaries:
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
CFTC
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
75,022
|
|
(75,022
|
)
|
—
|
|
||||||||||
CURO Intermediate
|
(58,858
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
58,858
|
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||
Guarantor Subsidiaries
|
122,788
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(122,788
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||
Non-Guarantor Subsidiaries
|
19,943
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(19,943
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||
SPV Subs
|
(7,635
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
7,635
|
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||
Net income (loss) attributable to CURO
|
$
|
75,022
|
|
$
|
(58,858
|
)
|
$
|
122,788
|
|
$
|
19,943
|
|
$
|
(7,635
|
)
|
$
|
(76,238
|
)
|
$
|
75,022
|
|
$
|
65,444
|
|
$
|
(75,022
|
)
|
$
|
65,444
|
|
|
Year Ended December 31, 2015
|
||||||||||||||||||||||||||
(dollars in thousands)
|
CFTC
|
CURO Intermediate
|
Subsidiary Guarantors
|
Subsidiary
Non-Guarantors
|
Eliminations
|
CFTC
Consolidated
|
CURO
|
Eliminations
|
CURO
Consolidated |
||||||||||||||||||
Revenue
|
$
|
—
|
|
$
|
—
|
|
$
|
573,664
|
|
$
|
239,467
|
|
$
|
—
|
|
$
|
813,131
|
|
$
|
—
|
|
$
|
—
|
|
$
|
813,131
|
|
Provision for losses
|
—
|
|
—
|
|
222,868
|
|
58,342
|
|
—
|
|
281,210
|
|
—
|
|
—
|
|
281,210
|
|
|||||||||
Net revenue
|
—
|
|
—
|
|
350,796
|
|
181,125
|
|
—
|
|
531,921
|
|
—
|
|
—
|
|
531,921
|
|
|||||||||
Cost of providing services:
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Salaries and benefits
|
—
|
|
—
|
|
68,928
|
|
38,131
|
|
—
|
|
107,059
|
|
—
|
|
—
|
|
107,059
|
|
|||||||||
Occupancy
|
—
|
|
—
|
|
30,504
|
|
22,784
|
|
—
|
|
53,288
|
|
—
|
|
—
|
|
53,288
|
|
|||||||||
Office
|
—
|
|
—
|
|
15,089
|
|
4,840
|
|
—
|
|
19,929
|
|
—
|
|
—
|
|
19,929
|
|
|||||||||
Other store operating expenses
|
—
|
|
—
|
|
41,661
|
|
5,719
|
|
—
|
|
47,380
|
|
—
|
|
—
|
|
47,380
|
|
|||||||||
Advertising
|
—
|
|
—
|
|
42,986
|
|
22,678
|
|
—
|
|
65,664
|
|
—
|
|
—
|
|
65,664
|
|
|||||||||
Total cost of providing services
|
—
|
|
—
|
|
199,168
|
|
94,152
|
|
—
|
|
293,320
|
|
—
|
|
—
|
|
293,320
|
|
|||||||||
Gross Margin
|
—
|
|
—
|
|
151,628
|
|
86,973
|
|
—
|
|
238,601
|
|
—
|
|
—
|
|
238,601
|
|
|||||||||
Operating (income) expense:
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Corporate, district and other
|
2,035
|
|
178
|
|
79,155
|
|
48,017
|
|
—
|
|
129,385
|
|
1,149
|
|
—
|
|
130,534
|
|
|||||||||
Intercompany management fee
|
—
|
|
1
|
|
(13,064
|
)
|
13,063
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|||||||||
Interest expense
|
—
|
|
49,167
|
|
17
|
|
111
|
|
—
|
|
49,295
|
|
15,725
|
|
—
|
|
65,020
|
|
|||||||||
Intercompany interest (income) expense
|
—
|
|
(5,583
|
)
|
(265
|
)
|
5,848
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|||||||||
Goodwill and intangible asset impairment charges
|
—
|
|
—
|
|
—
|
|
2,882
|
|
—
|
|
2,882
|
|
—
|
|
—
|
|
2,882
|
|
|||||||||
Restructuring costs
|
—
|
|
—
|
|
—
|
|
4,291
|
|
—
|
|
4,291
|
|
—
|
|
—
|
|
4,291
|
|
|||||||||
Total operating expense
|
2,035
|
|
43,763
|
|
65,843
|
|
74,212
|
|
—
|
|
185,853
|
|
16,874
|
|
—
|
|
202,727
|
|
|||||||||
Net income (loss) before income taxes
|
(2,035
|
)
|
(43,763
|
)
|
85,785
|
|
12,761
|
|
—
|
|
52,748
|
|
(16,874
|
)
|
—
|
|
35,874
|
|
|||||||||
Provision for income tax (benefit) expense
|
(673
|
)
|
10,704
|
|
4,164
|
|
10,291
|
|
—
|
|
24,486
|
|
(6,381
|
)
|
—
|
|
18,105
|
|
|||||||||
Net income (loss)
|
(1,362
|
)
|
(54,467
|
)
|
81,621
|
|
2,470
|
|
—
|
|
28,262
|
|
(10,493
|
)
|
—
|
|
17,769
|
|
|||||||||
Equity in net income (loss) of subsidiaries:
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
CFTC
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
28,262
|
|
(28,262
|
)
|
—
|
|
|||||||||
CURO Intermediate
|
(54,467
|
)
|
—
|
|
—
|
|
—
|
|
54,467
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|||||||||
Guarantor Subsidiaries
|
81,621
|
|
—
|
|
—
|
|
—
|
|
(81,621
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
|||||||||
Non-Guarantor Subsidiaries
|
2,470
|
|
—
|
|
—
|
|
—
|
|
(2,470
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
|||||||||
Net income (loss) attributable to CURO
|
$
|
28,262
|
|
$
|
(54,467
|
)
|
$
|
81,621
|
|
$
|
2,470
|
|
$
|
(29,624
|
)
|
$
|
28,262
|
|
$
|
17,769
|
|
$
|
(28,262
|
)
|
$
|
17,769
|
|
|
Year Ended December 31, 2017
|
|||||||||||||||||||||||||||||
(dollars in thousands)
|
CFTC
|
CURO Intermediate
|
Subsidiary Guarantors
|
Subsidiary
Non-Guarantors |
SPV Subs
|
Eliminations
|
CFTC
Consolidated |
CURO
|
Eliminations
|
CURO Consolidated
|
||||||||||||||||||||
Cash flows from operating activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net cash provided (used)
|
$
|
(264,670
|
)
|
$
|
447,027
|
|
$
|
(2,472
|
)
|
$
|
(20,583
|
)
|
$
|
(52,178
|
)
|
$
|
(3,514
|
)
|
103,610
|
|
(86,200
|
)
|
|
|
17,410
|
|
||||
Cash flows from investing activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Purchase of property, equipment and software
|
—
|
|
—
|
|
(7,406
|
)
|
(2,351
|
)
|
—
|
|
—
|
|
(9,757
|
)
|
—
|
|
—
|
|
(9,757
|
)
|
||||||||||
Cash paid for Zibby Investment
|
(5,600
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(5,600
|
)
|
—
|
|
—
|
|
(5,600
|
)
|
||||||||||
Change in restricted cash
|
—
|
|
459
|
|
(454
|
)
|
121
|
|
(4,101
|
)
|
—
|
|
(3,975
|
)
|
—
|
|
—
|
|
(3,975
|
)
|
||||||||||
Net cash provided (used)
|
(5,600
|
)
|
459
|
|
(7,860
|
)
|
(2,230
|
)
|
(4,101
|
)
|
—
|
|
(19,332
|
)
|
—
|
|
—
|
|
(19,332
|
)
|
||||||||||
Cash flows from financing activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Proceeds from Non-Recourse U.S. SPV facility and ABL facility
|
—
|
|
1,590
|
|
—
|
|
—
|
|
58,540
|
|
—
|
|
60,130
|
|
—
|
|
—
|
|
60,130
|
|
||||||||||
Payments on Non-Recourse U.S. SPV facility and ABL facility
|
—
|
|
(24,996
|
)
|
—
|
|
—
|
|
(2,261
|
)
|
—
|
|
(27,257
|
)
|
—
|
|
—
|
|
(27,257
|
)
|
||||||||||
Proceeds from issuance of 12.00% Senior Secured Notes
|
601,054
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
601,054
|
|
—
|
|
—
|
|
601,054
|
|
||||||||||
Proceeds from revolving credit facilities
|
35,000
|
|
—
|
|
—
|
|
8,084
|
|
—
|
|
—
|
|
43,084
|
|
—
|
|
—
|
|
43,084
|
|
||||||||||
Payments on revolving credit facilities
|
(35,000
|
)
|
—
|
|
—
|
|
(8,084
|
)
|
—
|
|
—
|
|
(43,084
|
)
|
—
|
|
—
|
|
(43,084
|
)
|
||||||||||
Payments on 10.75% Senior Secured Notes
|
—
|
|
(426,034
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(426,034
|
)
|
—
|
|
—
|
|
(426,034
|
)
|
||||||||||
Dividends (paid) received to/from CURO Group Holdings Corp.
|
(312,083
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(312,083
|
)
|
312,083
|
|
—
|
|
—
|
|
||||||||||
Payments on Cash Pay Senior Notes
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(125,000
|
)
|
—
|
|
(125,000
|
)
|
||||||||||
Dividends paid to stockholders
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(182,000
|
)
|
—
|
|
(182,000
|
)
|
||||||||||
Proceeds from issuance of common stock
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
81,117
|
|
—
|
|
81,117
|
|
||||||||||
Debt issuance costs paid
|
(18,701
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(18,701
|
)
|
—
|
|
—
|
|
(18,701
|
)
|
||||||||||
Net cash provided (used)
|
270,270
|
|
(449,440
|
)
|
—
|
|
—
|
|
56,279
|
|
—
|
|
(122,891
|
)
|
86,200
|
|
—
|
|
(36,691
|
)
|
||||||||||
Effect of exchange rate changes on cash
|
—
|
|
—
|
|
—
|
|
3,948
|
|
—
|
|
3,514
|
|
7,462
|
|
—
|
|
—
|
|
7,462
|
|
||||||||||
Net increase (decrease) in cash
|
—
|
|
(1,954
|
)
|
(10,332
|
)
|
(18,865
|
)
|
—
|
|
—
|
|
(31,151
|
)
|
—
|
|
—
|
|
(31,151
|
)
|
||||||||||
Cash at beginning of period
|
—
|
|
1,954
|
|
127,712
|
|
63,779
|
|
—
|
|
—
|
|
193,445
|
|
80
|
|
|
193,525
|
|
|||||||||||
Cash at end of period
|
$
|
—
|
|
$
|
—
|
|
$
|
117,380
|
|
$
|
44,914
|
|
$
|
—
|
|
$
|
—
|
|
$
|
162,294
|
|
$
|
80
|
|
$
|
—
|
|
$
|
162,374
|
|
|
Year Ended December 31, 2016
|
|||||||||||||||||||||||||||||
(dollars in thousands)
|
CFTC
|
CURO Intermediate
|
Subsidiary Guarantors
|
Subsidiary
Non-Guarantors
|
SPV Subs
|
Eliminations
|
CFTC
Consolidated
|
CURO
|
Eliminations
|
CURO
Consolidated |
||||||||||||||||||||
Cash flows from operating activities:
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Net cash provided (used)
|
$
|
20
|
|
$
|
29,400
|
|
$
|
76,191
|
|
$
|
27,731
|
|
$
|
(83,601
|
)
|
$
|
(627
|
)
|
49,114
|
|
(1,402
|
)
|
—
|
|
47,712
|
|
||||
Cash flows from investing activities:
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Purchase of property, equipment and software
|
(20
|
)
|
—
|
|
(10,105
|
)
|
(5,901
|
)
|
—
|
|
—
|
|
(16,026
|
)
|
—
|
|
—
|
|
(16,026
|
)
|
||||||||||
Change in restricted cash
|
—
|
|
(459
|
)
|
4,477
|
|
1,856
|
|
(2,770
|
)
|
—
|
|
3,104
|
|
—
|
|
—
|
|
3,104
|
|
||||||||||
Net cash used
|
(20
|
)
|
(459
|
)
|
(5,628
|
)
|
(4,045
|
)
|
(2,770
|
)
|
—
|
|
(12,922
|
)
|
—
|
|
—
|
|
(12,922
|
)
|
||||||||||
Cash flows from financing activities:
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
Proceeds from credit facility
|
—
|
|
30,000
|
|
—
|
|
—
|
|
—
|
|
—
|
|
30,000
|
|
—
|
|
—
|
|
30,000
|
|
||||||||||
Payments on credit facility
|
—
|
|
(38,050
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(38,050
|
)
|
—
|
|
—
|
|
(38,050
|
)
|
||||||||||
Deferred financing costs
|
—
|
|
—
|
|
—
|
|
—
|
|
(5,346
|
)
|
—
|
|
(5,346
|
)
|
—
|
|
—
|
|
(5,346
|
)
|
||||||||||
Proceeds from Non-Recourse U.S. SPV Facility and ABL facility
|
—
|
|
—
|
|
—
|
|
—
|
|
91,717
|
|
—
|
|
91,717
|
|
—
|
|
—
|
|
91,717
|
|
||||||||||
Purchase of May 2011 Senior Secured notes
|
—
|
|
(18,939
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(18,939
|
)
|
—
|
|
—
|
|
(18,939
|
)
|
||||||||||
Net cash provided (used)
|
—
|
|
(26,989
|
)
|
—
|
|
—
|
|
86,371
|
|
—
|
|
59,382
|
|
—
|
|
—
|
|
59,382
|
|
||||||||||
Effect of exchange rate changes on cash
|
—
|
|
—
|
|
—
|
|
(1,835
|
)
|
—
|
|
627
|
|
(1,208
|
)
|
—
|
|
—
|
|
(1,208
|
)
|
||||||||||
Net increase in cash
|
—
|
|
1,952
|
|
70,563
|
|
21,851
|
|
—
|
|
—
|
|
94,366
|
|
(1,402
|
)
|
—
|
|
92,964
|
|
||||||||||
Cash at beginning of period
|
—
|
|
2
|
|
57,149
|
|
41,928
|
|
—
|
|
—
|
|
99,079
|
|
1,482
|
|
—
|
|
100,561
|
|
||||||||||
Cash at end of period
|
$
|
—
|
|
$
|
1,954
|
|
$
|
127,712
|
|
$
|
63,779
|
|
$
|
—
|
|
$
|
—
|
|
$
|
193,445
|
|
$
|
80
|
|
$
|
—
|
|
$
|
193,525
|
|
(1)
|
Consolidated Financial Statements
|
|
|
|
The consolidated financial statements and related notes, together with the report of Grant Thornton LLP, appear in Item 8, Financial Statements and Supplementary Data, of this Form 10-K/A.
The consolidated financial statements consist of the following:
|
|
|
|
Consolidated Balance Sheets as of December 31, 2017 and 2016
|
|
|
|
Consolidated Statements of Income for the years ended December 31, 2017, 2016 and 2015
|
|
|
|
Consolidated Statements of Comprehensive Income for the years ended December 31, 2017, 2016 and 2015
|
|
|
|
Consolidated Statements of Changes in Equity for the years ended December 31, 2017, 2016 and 2015
|
|
|
|
Consolidated Statements of Cash Flows for the years ended December 31, 2017, 2016 and 2015
|
|
|
|
Notes to Consolidated Financial Statements
|
|
|
(2)
|
Consolidated Financial Statement Schedules
|
|
|
|
All schedules have been omitted because they are not applicable, are insignificant or the required information is shown in the consolidated financial statements or notes thereto.
|
|
|
(3)
|
Exhibits
|
|
|
|
The exhibits are listed on the Exhibit Index.
|
Exhibit Number
|
|
Description
|
3.1
|
|
|
3.2
|
|
|
4.1
|
|
|
4.2
|
|
|
10.1
|
|
|
10.2
|
|
|
10.3
|
|
|
10.4
|
|
|
10.5
|
|
|
10.6
|
|
|
10.7
|
|
|
10.8
|
|
|
10.9
|
|
|
10.10
|
|
|
10.11
|
|
|
10.12
|
|
|
10.13
|
|
|
10.14
|
|
|
10.15
|
|
|
10.16
|
|
|
10.17
|
|
|
10.18
|
|
|
10.19
|
|
|
10.20
|
|
|
10.21
|
|
|
10.22
|
|
|
10.23
|
|
|
10.24
|
|
|
10.25
|
|
|
10.26
|
|
10.27
|
|
|
10.28
|
|
|
10.29
|
|
|
10.30
|
|
|
10.31
|
|
|
10.32
|
|
|
10.33
|
|
|
10.34
|
|
|
10.35
|
|
|
10.36
|
|
|
10.37
|
|
|
10.38
|
|
|
10.39
|
|
|
10.40
|
|
|
10.41
|
|
|
10.42
|
|
|
10.43
|
|
|
10.44
|
|
|
10.45
|
|
|
10.46
|
|
|
10.47
|
|
|
10.48
|
|
|
10.49
|
|
|
10.50
|
|
|
10.51
|
|
|
10.52
|
|
|
10.53
|
|
|
10.54
|
|
Name of Participant:
|
|
Date of Grant:
|
|
Number of Restricted Stock Units
|
|
Vesting Schedule:
|
Provided that the Participant has not experienced a Termination prior to such date, the Award shall vest as follows: one-half of the Restricted Stock Units shall vest at the 2018 annual meeting of the Company’s stockholders and the remainder of the Restricted Stock Units shall vest at the 2019 annual meeting of the Company’s stockholders.
|
Issuance Schedule:
|
Subject to any change in respect of a capitalization adjustment (as provided in Section 11 of the Plan), one share of Stock will be issued for each Restricted Stock Unit that vests at the time set forth in Section 6 of the Award Agreement.
|
Restrictive Covenants:
|
As a condition of the grant of Restricted Stock Units hereunder, the undersigned Participant hereby affirms all confidentiality, non-interference, invention assignment or similar covenants previously made by the Participant in favor of the Company and acknowledges that such covenants are independent obligations of the Participant (such covenants, the “
Restrictive Covenant Agreement
”). The Participant hereby acknowledges and agrees that this Grant Notice and the Restrictive Covenant Agreement will be considered separate contracts, and the Restrictive Covenant Agreement will survive the termination of this Grant Notice for any reason.
|
Name of Participant:
|
|
Date of Grant:
|
|
Vesting Commencement Date:
|
|
Number of Restricted Stock Units
|
|
Vesting Schedule:
|
Provided that the Participant has not experienced a Termination prior to such date, the Award shall vest as follows: on each anniversary of the Vesting Commencement Date, one-third of the Restricted Stock Units shall vest.
|
Issuance Schedule:
|
Subject to any change in respect of a capitalization adjustment (as provided in Section 11 of the Plan), one share of Stock will be issued for each Restricted Stock Unit that vests at the time set forth in Section 6 of the Award Agreement.
|
Restrictive Covenants:
|
As a condition of the grant of Restricted Stock Units hereunder, the undersigned Participant hereby affirms all confidentiality, non-interference, invention assignment or similar covenants previously made by the Participant in favor of the Company and acknowledges that such covenants are independent obligations of the Participant (such covenants, the “
Restrictive Covenant Agreement
”). The Participant hereby acknowledges and agrees that this Grant Notice and the Restrictive Covenant Agreement will be considered separate contracts, and the Restrictive Covenant Agreement will survive the termination of this Grant Notice for any reason.
|
Subsidiaries of CURO Group Holdings Corp.
|
||
as of December 31, 2017
|
||
|
|
|
Entity Name
|
|
Jurisdiction of Incorporation/Organization
|
CURO Financial Technology Corp.
|
|
Delaware
|
CURO Intermediate Holdings Corp.
|
|
Delaware
|
A Speedy Cash Car Title Loans, LLC
|
|
Nevada
|
Advance Group, Inc.
|
|
Nevada
|
Attain Finance, LLC
|
|
Nevada
|
Attain Finance Canada, Inc.
|
|
Canada
|
Avio Credit, Inc.
|
|
Delaware
|
Cash Colorado, LLC.
|
|
Nevada
|
Cash Money Cheque Cashing, Inc.
|
|
Canada
|
Concord Finance, Inc.
|
|
Nevada
|
CFTC Finance, Inc.
|
|
Delaware
|
Evergreen Financial Investments, Inc.
|
|
Nevada
|
FMMR Investments, Inc.
|
|
Nevada
|
Galt Ventures, LLC
|
|
Kansas
|
LendDirect Corp.
|
|
Canada
|
Principal Investments, Inc.
|
|
Nevada
|
SCIL Texas, LLC
|
|
Nevada
|
SC Aurum, LLC
|
|
Nevada
|
SCIL, Inc.
|
|
Nevada
|
Speedy Cash
|
|
Nevada
|
Speedy Cash Illinois, Inc.
|
|
Nevada
|
SRC Transatlantic Limited
|
|
United Kingdom
|
SC Texas MB, Inc.
|
|
Nevada
|
The Money Store, L.P.
|
|
Texas
|
CURO Management LLC
|
|
Nevada
|
Todd Car Title, Inc.
|
|
Nevada
|
Todd Financial, Inc.
|
|
Nevada
|
CURO Transatlantic Limited
|
|
United Kingdom
|
Ennoble Finance, Inc.
|
|
Delaware
|
CURO Receivables Holdings I, LLC
|
|
Delaware
|
CURO Receivables Finance I, LLC
|
|
Delaware
|
1.
|
I have reviewed this annual report on Form 10-K/A of CURO Group Holdings Corp. (the “registrant”);
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) for the registrant and have:
|
a.
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b.
|
(Paragraph omitted pursuant to SEC Release Nos. 33-8238/34-47986 and 33-8392/34-49313);
|
c.
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d.
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
a.
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
b.
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
1.
|
I have reviewed this annual report on Form 10-K/A of CURO Group Holdings Corp. (the “registrant”);
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) for the registrant and have:
|
a.
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
b.
|
(Paragraph omitted pursuant to SEC Release Nos. 33-8238/34-47986 and 33-8392/34-49313);
|
c.
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d.
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
a.
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
b.
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|