The following is a summary of the World Acceptance Corporation (WRLD) Q1 2025 Earnings Call Transcript:

Financial Performance:

• WRLD reported a moderate growth in customer base by 0.5% and a decrease in operating costs, contributing to improved financial outcomes.

• Average loan balance decreased by over 11%, while gross yields and credit quality showed significant improvements.

• Notable 9.9% reduction in G&A expenses from the same quarter last year reflects strengthened cost management and operational efficiency.

• Management expects an earnings per share target of $20.45 for the full fiscal year, indicating confidence in continued financial improvements.

Business Progress:

• WRLD has strategically optimized acquisition channels, improving approval rates and minimizing losses, reflecting a focus on high credit quality growth.

• A shift towards retaining a higher percentage of former customers has contributed to improved net yield and income, highlighted by increased customer returns and enhanced loan performance indicators.

• The company's focus on former customers aids in reducing acquisition costs and better managing credit risks, fostering sustainable growth.

Opportunities:

• With economic stability increasing, WRLD continues to invest in high credit quality growth with emphasis on portfolio performance and operational efficiency.

• Growth potential through new customer acquisition strategies and increasing investments in returning customers with lower default rates.

Risks:

• Modest growth targets may challenge current financial improvements if not managed with continued high credit quality.

• Operational adjustments and market conditions need careful monitoring to achieve EPS targets and long-term financial goals.

More details: World Acceptance IR

Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.