Nicholas Financial Inc - NICK STOCK NEWS

Nicholas Financial, Inc. (NASDAQ: NICK) has extended the employment agreement of Chief Financial Officer Irina Nashtatik until June 30, 2024. This extension ensures continuity in financial leadership as the company continues its operations in the consumer finance sector, particularly in acquiring and servicing automobile finance installment contracts. The material terms of the extension were disclosed in a Form 8-K filing.

Nicholas Financial reported record originations of $27.1 million in new contracts for Q4 FY2022, a 10.2% increase year-over-year. Direct loan originations surged 127.1% compared to the previous year. Despite these successes, net income fell to $0.4 million from $1.9 million a year prior, with diluted EPS dropping to $0.05 from $0.24. Interest and fee income decreased by 4.0% to $12.3 million. For FY2022, net income totaled $3.0 million, down from $8.4 million in FY2021, while interest income on finance receivables decreased by 8.3% to $49.7 million.

Nicholas Financial (NASDAQ: NICK) appointed Michael Rost as the interim CEO effective May 9, 2022, following the resignation of Douglas Marohn. Rost, a 20-year veteran of the company, previously served as Vice President of Branch Operations. The Board expressed confidence in his ability to lead the company and plans to search for a permanent CEO soon, considering Rost as a potential candidate. The company specializes in consumer finance, mainly in auto financing and associated products.

Nicholas Financial reported a net loss of $0.7 million for Q3 FY2022, down from net income of $3.8 million in Q3 FY2021. Total revenue decreased 15.4% year-over-year to $12.2 million. A decrease in interest and fee income was noted, dropping 7.1% to $12.2 million. Operating expenses rose to $8.9 million from $7.4 million in the prior year. Despite these challenges, originations for new contracts increased 27.4% and direct loans by 84.7%. The company aims to expand and maintain low credit losses.

Nicholas Financial, Inc. (NASDAQ: NICK) has announced the grand opening of its new branch in Houston, Texas, on January 13, 2022. The event will feature an open house starting at 3:00 PM CST and a ribbon cutting ceremony at 4:00 PM CST, continuing until 7:00 PM CST. This marks the company's re-entry into the Texas market, with plans for further expansion into Dallas, Ft. Worth, and San Antonio. Nicholas Financial now operates 47 branches across 18 states, focusing on subprime auto lending and consumer finance services.

Nicholas Financial, Inc. (NASDAQ: NICK) announced a new senior secured credit facility with Wells Fargo Bank, providing a line of credit of up to $175 million. This replaces the previous credit arrangement with Ares Agent Services, L.P. The credit facility will allow for advances based on 80%-85% of eligible receivables, accruing interest at the Secured Overnight Financing Rate plus 2.25%. The company expects to incur $1.9 million in one-time expenses related to this transition but believes the long-term benefits will outweigh this cost.

Nicholas Financial, Inc. (NASDAQ: NICK) reported a 57.4% increase in pre-tax income for Q2 2021 compared to the previous year, totaling $2.1 million. Net income rose to $1.6 million, up from $1.3 million, with diluted EPS at $0.21 versus $0.16. However, revenue decreased by 10.6% to $12.6 million. The company saw an 83.7% increase in Direct Loan originations and a 9.1% rise in Contracts purchased. Notably, accounts delinquent over 60 days fell to 2.3%. Nicholas Financial is expanding with new branches in Texas and a Central Business Operations facility in Charlotte, NC.

Nicholas Financial announced a net income of $1.7 million for Q2 2021, up from $1.4 million in Q2 2020, with diluted EPS of $0.22 compared to $0.18 year-over-year. However, revenue decreased 11.0% to $12.6 million from $14.2 million. The company reported a 25.2% increase in income before taxes, reaching $2.3 million. Originations for new contracts rose 20.9%, while direct loans surged 136.4%. Accounts over 60 days delinquent fell to 1.9% from 2.5%.

Nicholas Financial, Inc. (NASDAQ: NICK) has announced the grand opening of its new branch in Boise, Idaho, on June 15, 2021. The celebration will kick off at 3:00 PM MDT, culminating in a ribbon-cutting ceremony at 4:00 PM MDT. According to President and CEO Doug Marohn, this new location symbolizes the company's commitment to expanding its branch network in vibrant markets. Nicholas Financial is also licensed to operate in Arizona, New Mexico, and Texas, further strengthening its presence in the Western U.S.