Segment Information

9 Months Ended

Jun. 30, 2024

Segment Reporting [Abstract]

Segment Information

NOTE 10: SEGMENT INFORMATION

Our operations are primarily managed on a geographical basis and are comprised of three reportable segments. The factors for determining our reportable segments include the manner in which our chief operating decision maker evaluates performance for purposes of allocating resources and assessing performance.

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 Investments — primarily our equity interest in the net income of Cash Converters along with our investment in RDC and our investment in and notes receivable from Founders.

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 income (loss) before income taxes tables present revenue for each reportable segment, disaggregated revenue within our reportable segments and Corporate, segment profits and segment contribution.

	Three Months Ended June 30, 2024
(in thousands)	U.S. Pawn		Latin America Pawn		Other Investments		Total Segments		Corporate Items		Consolidated
Revenues:
Merchandise sales	$	107,849	$	50,291	$	—	$	158,140	$	—	$	158,140
Jewelry scrapping sales	13,757		1,638		—		15,395		—		15,395
Pawn service charges	77,416		30,414		—		107,830		—		107,830
Other revenues	28		28		—		56		—		56
Total revenues	199,050		82,371		—		281,421		—		281,421
Merchandise cost of goods sold	67,229		33,982		—		101,211		—		101,211
Jewelry scrapping cost of goods sold	11,887		1,596		—		13,483		—		13,483
Gross profit	119,934		46,793		—		166,727		—		166,727
Segment and corporate expenses (income):
Store expenses	81,441		34,894		—		116,335		—		116,335
General and administrative	—		—		—		—		20,060		20,060
Depreciation and amortization	2,408		2,090		—		4,498		3,660		8,158
(Gain) loss on sale or disposal of assets and other	(2)		22		—		20		—		20
Interest expense	—		—		—		—		3,539		3,539
Interest income	—		(370)		(605)		(975)		(1,956)		(2,931)
Equity in net (income) loss of unconsolidated affiliates	—		—		(1,406)		(1,406)		143		(1,263)
Other (income) expense	—		(184)		12		(172)		(19)		(191)
Segment contribution	$	36,087	$	10,341	$	1,999	$	48,427
Income (loss) before income taxes							$	48,427	$	(25,427)	$	23,000

	Three Months Ended June 30, 2023
(in thousands)	U.S. Pawn		Latin America Pawn		Other Investments		Total Segments		Corporate Items		Consolidated
Revenues:
Merchandise sales	$	102,177	$	45,803	$	—	$	147,980	$	—	$	147,980
Jewelry scrapping sales	13,098		833		—		13,931		—		13,931
Pawn service charges	68,790		25,029		—		93,819		—		93,819
Other revenues	27		40		15		82		—		82
Total revenues	184,092		71,705		15		255,812		—		255,812
Merchandise cost of goods sold	62,799		32,270		—		95,069		—		95,069
Jewelry scrapping cost of goods sold	11,101		857		—		11,958		—		11,958
Gross profit	110,192		38,578		15		148,785		—		148,785
Segment and corporate expenses (income):
Store expenses	75,389		29,543		—		104,932		—		104,932
General and administrative	—		—		—		—		17,876		17,876
Depreciation and amortization	2,505		2,303		—		4,808		3,218		8,026
Gain on sale or disposal of assets	—		(29)		—		(29)		—		(29)
Other income	—		(2,632)		—		(2,632)		—		(2,632)
Interest expense	—		—		—		—		3,414		3,414
Interest income	(1)		(256)		—		(257)		(2,327)		(2,584)
Equity in net income of unconsolidated affiliates	—		—		(1,523)		(1,523)		—		(1,523)
Other (income) expense	—		(65)		10		(55)		50		(5)
Segment contribution	$	32,299	$	9,714	$	1,528	$	43,541
Income (loss) before income taxes							$	43,541	$	(22,231)	$	21,310

	Nine Months Ended June 30, 2024
(in thousands)	U.S. Pawn		Latin America Pawn		Other Investments		Total Segments		Corporate Items		Consolidated
Revenues:
Merchandise sales	$	348,211	$	154,019	$	—	$	502,230	$	—	$	502,230
Jewelry scrapping sales	39,258		3,933		—		43,191		—		43,191
Pawn service charges	236,499		84,943		—		321,442		—		321,442
Other revenues	94		59		35		188		—		188
Total revenues	624,062		242,954		35		867,051		—		867,051
Merchandise cost of goods sold	218,736		103,944		—		322,680		—		322,680
Jewelry scrapping cost of goods sold	33,965		3,514		—		37,479		—		37,479
Gross profit	371,361		135,496		35		506,892		—		506,892
Segment and corporate expenses (income):
Store expenses	239,536		101,936		—		341,472		—		341,472
General and administrative	—		—		—		—		54,869		54,869
Depreciation and amortization	7,548		6,821		—		14,369		10,573		24,942
(Gain) loss on sale or disposal of assets and other	(6)		(240)		—		(246)		97		(149)
Other income	—		—		—		—		(765)		(765)
Interest expense	—		—		—		—		10,381		10,381
Interest income	—		(1,398)		(1,811)		(3,209)		(5,243)		(8,452)
Equity in net (income) loss of unconsolidated affiliates	—		—		(4,278)		(4,278)		143		(4,135)
Other (income) expense	—		(231)		27		(204)		(423)		(627)
Segment contribution	$	124,283	$	28,608	$	6,097	$	158,988
Income (loss) before income taxes							$	158,988	$	(69,632)	$	89,356

	Nine Months Ended June 30, 2023
(in thousands)	U.S. Pawn		Latin America Pawn		Other Investments		Total Segments		Corporate Items		Consolidated
Revenues:
Merchandise sales	$	329,231	$	135,043	$	—	$	464,274	$	—	$	464,274
Jewelry scrapping sales	30,088		4,552		—		34,640		—		34,640
Pawn service charges	208,045		71,397		—		279,442		—		279,442
Other revenues	84		75		47		206		—		206
Total revenues	567,448		211,067		47		778,562		—		778,562
Merchandise cost of goods sold	203,698		93,587		—		297,285		—		297,285
Jewelry scrapping cost of goods sold	25,867		4,946		—		30,813		—		30,813
Gross profit	337,883		112,534		47		450,464		—		450,464
Segment and corporate expenses (income):
Store expenses	220,639		86,365		—		307,004		—		307,004
General and administrative	—		(3)		—		(3)		48,964		48,961
Depreciation and amortization	7,820		6,850		—		14,670		9,307		23,977
Loss (gain) on sale or disposal of assets	84		(56)		—		28		—		28
Other income	—		(5,097)		—		(5,097)		—		(5,097)
Interest expense	—		—		—		—		12,994		12,994
Interest income	(2)		(723)		—		(725)		(4,421)		(5,146)
Equity in net loss of unconsolidated affiliates	—		—		29,394		29,394		—		29,394
Other (income) expense	—		(41)		20		(21)		(138)		(159)
Segment contribution (loss)	$	109,342	$	25,239	$	(29,367)	$	105,214
Income (loss) before income taxes							$	105,214	$	(66,706)	$	38,508

The following table presents separately identified segment assets:

(in thousands)	U.S. Pawn		Latin America Pawn		Other Investments (a)		Corporate Items		Total
As of June 30, 2024
Pawn loans	$	199,277	$	62,443	$	—	$	—	$	261,720
Pawn service charges receivable, net	35,489		5,149		—		—		40,638
Inventory, net	121,941		49,996		—		—		171,937
Total assets	1,030,571		317,888		78,136		83,568		1,510,163
As of June 30, 2023
Pawn loans	$	178,877	$	50,502	$	—	$	—	$	229,379
Pawn service charges receivable, net	30,668		4,291		—		—		34,959
Inventory, net	114,910		40,034		—		—		154,944
Total assets	943,438		312,156		66,032		136,052		1,457,678
As of September 30, 2023
Pawn loans	$	190,624	$	55,142	$	—	$	—	$	245,766
Pawn service charges receivable, net	34,318		4,567		—		—		38,885
Inventory, net	128,901		37,576		—		—		166,477
Total assets	984,539		313,164		63,707		106,301		1,467,711

(a) Segment assets as of September 30, 2023 have been recast to conform to current year presentation as CCV no longer meets the 10 percent threshold to be considered its own segment.