Segment Information

12 Months Ended

Sep. 30, 2021

Segment Reporting [Abstract]

Segment Information

NOTE 14: SEGMENT INFORMATION

Our operations are primarily managed on a geographical basis and consist of three reportable segments. The factors for determining our reportable segments include the manner in which our chief operating decision maker (CODM) evaluates performance for purposes of allocating resources and assessing performance. During the first quarter of fiscal 2021, the financial information of our Lana business activities were no longer reviewed by the CODM for evaluating performance since Lana no longer has business activities but, rather, offers support activities to our U.S. Pawn and Latin America Pawn operating segments. As a result, Lana is no longer an operating or reportable segment. Our historical segment results have been recast to conform to current presentation.

We currently report our segments as follows:

•U.S. Pawn — All pawn activities in the United States;

•Latin America Pawn — All pawn activities in Mexico and other parts of Latin America; and

•Other International — Primarily our equity interest in the net income of Cash Converters and RDC.

There are no inter-segment revenues presented below, and the amounts below were determined in accordance with the same accounting principles used in our condensed consolidated financial statements.

The following tables present revenue for each reportable segment, disaggregated revenue within our three reportable segments and Corporate, segment profits and segment contribution.

	Fiscal Year Ended September 30, 2021
(in thousands)	U.S. Pawn		Latin America Pawn		Other International		Total Segments		Corporate Items		Consolidated
Revenues:
Merchandise sales	$	341,495	$	101,303	$	—	$	442,798	$	—	$	442,798
Jewelry scrapping sales	15,260		10,765		—		26,025		—		26,025
Pawn service charges	196,721		63,475		—		260,196		—		260,196
Other revenues	105		7		420		532		—		532
Total revenues	553,581		175,550		420		729,551		—		729,551
Merchandise cost of goods sold	191,039		66,179		—		257,218		—		257,218
Jewelry scrapping cost of goods sold	13,001		9,847		—		22,848		—		22,848
Net revenues	349,541		99,524		420		449,485		—		449,485
Segment and corporate expenses (income):
Store expenses	253,344		77,493		—		330,837		—		330,837
General and administrative	—		—		—		—		56,495		56,495
Depreciation and amortization	10,650		7,371		—		18,021		12,651		30,672
Gain (loss) on sale or disposal of assets and other	27		(6)		—		21		62		83
Other Charges	—		229		—		229		—		229
Interest expense	—		—		—		—		22,177		22,177
Interest income	—		(2,016)		—		(2,016)		(461)		(2,477)
Equity in net income of unconsolidated affiliates	—		—		(3,803)		(3,803)		—		(3,803)
Other (income) expense	—		(840)		(173)		(1,013)		223		(790)
Segment contribution	$	85,520	$	17,293	$	4,396	$	107,209
Income (loss) from continuing operations before income taxes							$	107,209	$	(91,147)	$	16,062

	Fiscal Year Ended September 30, 2020
(in thousands)	U.S. Pawn		Latin America Pawn		Other International		Total Segments		Corporate Items		Consolidated
Revenues:
Merchandise sales	$	391,921	$	106,292	$	—	$	498,213	$	—	$	498,213
Jewelry scrapping sales	36,691		11,262		—		47,953		—		47,953
Pawn service charges	210,081		62,557		—		272,638		—		272,638
Other revenues	150		—		3,823		3,973		—		3,973
Total revenues	638,843		180,111		3,823		822,777		—		822,777
Merchandise cost of goods sold	251,544		82,937		—		334,481		—		334,481
Jewelry scrapping cost of goods sold	28,064		9,977		—		38,041		—		38,041
Other cost of revenues	—		101		953		1,054		—		1,054
Net revenues	359,235		87,096		2,870		449,201		—		449,201
Operating expenses (income):
Store expenses	261,608		69,916		5,246		336,770		—		336,770
General and administrative	—		—		—		—		54,133		54,133
Impairment of goodwill, intangible and other assets	10,000		35,938		1,149		47,087		7,579		54,666
Depreciation and amortization	11,030		7,315		68		18,413		12,414		30,827
Gain (loss) on sale or disposal of assets	385		(72)		(20)		293		508		801
Other Charges	3,106		1,715		3,802		8,623		11,765		20,388
Interest expense	—		685		549		1,234		21,238		22,472
Interest income	—		(1,586)		—		(1,586)		(1,587)		(3,173)
Equity in net loss of unconsolidated affiliates	—		—		2,429		2,429		—		2,429
Other (income) expense	—		(156)		6		(150)		133		(17)
Segment contribution (loss)	$	73,106	$	(26,659)	$	(10,359)	$	36,088
Income (loss) from continuing operations before income taxes							$	36,088	$	(106,183)	$	(70,095)

	Fiscal Year Ended September 30, 2019
(in thousands)	U.S. Pawn		Latin America Pawn		Other International		Total Segments		Corporate Items		Consolidated
Revenues:
Merchandise sales	$	355,996	$	97,379	$	—	$	453,375	$	—	$	453,375
Jewelry scrapping sales	45,815		14,630		—		60,445		—		60,445
Pawn service charges	248,369		78,997		—		327,366		—		327,366
Other revenues	233		179		5,631		6,043		—		6,043
Total revenues	650,413		191,185		5,631		847,229		—		847,229
Merchandise cost of goods sold	225,136		72,372		—		297,508		—		297,508
Jewelry scrapping cost of goods sold	39,318		13,617		—		52,935		—		52,935
Other cost of revenues	—		—		2,338		2,338		—		2,338
Net revenues	385,959		105,196		3,293		494,448		—		494,448
Operating expenses (income):
Store expenses	269,003		74,199		7,376		350,578		—		350,578
General and administrative	—		—		—		—		63,665		63,665
Depreciation and amortization	11,879		6,267		219		18,365		10,432		28,797
Loss on sale or disposal of assets	3,402		691		282		4,375		24		4,399
Interest expense	—		1,609		491		2,100		30,537		32,637
Interest income	—		(1,601)		—		(1,601)		(9,485)		(11,086)
Equity in net loss of unconsolidated affiliates	—		—		135		135		—		135
Impairment of investment in unconsolidated affiliates	—		—		19,725		19,725		—		19,725
Other (income) expense	—		(93)		1,895		1,802		(378)		1,424
Segment contribution (loss)	$	101,675	$	24,124	$	(26,830)	$	98,969
Income (loss) from continuing operations before income taxes							$	98,969	$	(94,795)	$	4,174

The following table presents separately identified segment assets:

(in thousands)	U.S. Pawn		Latin America Pawn		Other International		Corporate		Total
Assets as of September 30, 2021
Pawn loans	$	135,931	$	39,970	$	—	$	—	$	175,901
Pawn service charges receivable, net	24,365		4,972		—		—		29,337
Inventory, net	82,386		28,603		—		—		110,989
Total assets	779,271		233,347		38,993		215,300		1,266,911
Assets as of September 30, 2020
Pawn loans	$	106,340	$	24,983	$	—	$	—	131,323
Pawn service charges receivable, net	17,931		2,649		—		—		20,580
Inventory, net	75,807		20,084		—		—		95,891
Total assets	690,157		191,827		34,118		280,921		1,197,023

The net assets of our Latin America Pawn segment, exclusive of intercompany amounts and inclusive of certain other assets not separately identified above, were $199.2 million as of September 30, 2021.

The following tables provide geographic information:

	Fiscal Year Ended September 30,
(in thousands)	2021		2020		2019
Revenues:
United States	$	553,581	$	638,844	$	650,413
Mexico	128,773		131,965		138,897
Other Latin America	46,777		48,146		52,288
Canada and other	420		3,822		5,631
Total revenues	$	729,551	$	822,777	$	847,229

	September 30,
(in thousands)	2021		2020
Long-lived tangible assets:
United States	$	30,651	$	36,361
Mexico	19,255		$	15,141
Other Latin America	3,905		$	5,484
Total long-lived tangible assets	$	53,811	$	56,986