EZCORP (NASDAQ: EZPW) reported Q1 EPS of $0.23, $0.04 better than the analyst estimate of $0.19. Revenue for the quarter came in at $204.5 million versus the consensus estimate of $201.35 million.

HIGHLIGHTS FOR FIRST QUARTER OF FISCAL 2018

• Diluted earnings per share increased 53% to $0.23 — Eighth consecutive quarter of year-over-year (YOY) earnings growth.
• U.S. Pawn continued profit growth — Segment contribution increased 2% despite continuing impact of FY17 hurricanes.
• Latin America Pawn* more than doubled profit — Segment contribution up 114%, including strategic acquisitions.
• Strong PLO growth — Total consolidated pawn loans outstanding (PLO) grew 9%, including acquired stores. Latin American Pawn same store PLO grew 16% (11% on a constant currency basis1). U.S. Pawn same store PLO increased 3% in stores unaffected by the FY17 hurricanes. Including the affected stores, U.S. Pawn same store PLO decreased 1%.
• Latin American store count increased 56% — Acquired 133 pawn stores and opened four new stores in Latin America. The segment now comprises 43% of total consolidated pawn stores.
• Improved liquidity — Cash and cash equivalents increased 78% to $113.6 million, with operating cash flow in the quarter of $17.4 million.

CEO COMMENTARY AND OUTLOOK

Chief Executive Officer Stuart Grimshaw stated, “We maintained focus and delivered significant increases in net revenues, earnings and operating cash flow by driving growth in all areas of our operations.

“Latin America was a particular bright spot, more than doubling its contribution to the bottom line. In addition to strong organic growth in our Mexico pawn business, we acquired 112 stores in countries outside of Mexico and 21 stores in the northwest portion of Mexico where we were not previously represented. These acquired stores have exceeded our expectations in the short period we have owned them, and we have ample opportunity to open and acquire more stores as we continue to grow and diversify our revenue base.

“Profits also expanded in the U.S., despite some continuing short-term impacts from last quarter\'s hurricanes. With gross margin expansion and continued expense control, our U.S. Pawn contribution was up 2%.”

Mr. Grimshaw concluded, “Our team delivered over 50% growth in both pre-tax and after-tax earnings by executing on pawn fundamentals, expanding our revenue base in the high growth Latin American market and leveraging our systems and expense structure. Our continued focus on these initiatives provides a strong foundation for further profit growth.”

For earnings history and earnings-related data on EZCORP (EZPW) click here.