OppFi Reports Fourth Quarter and Full-Year 2021 Financial Results
OppFi reported solid financial results for Q4 and full-year 2021 with net income of $17 million for Q4 and $90 million for the year. The company's adjusted net income rose by 19% year over year to $66 million. Revenue increased 4% to $95.96 million in Q4 and 20.5% to $350.57 million for the full year. Notable metrics include a 25% growth in net originations and a record total of $595 million for the year. Ending receivables also grew by 22% year over year. For 2022, the company anticipates revenue growth between 20% to 25% year-over-year.
- Net income for Q4 2021 was $17 million and $90 million for the full year 2021.
- Adjusted net income for full-year 2021 increased by 19% to $66 million.
- Total revenue grew 20.5% year over year to $350.57 million.
- Net originations increased by 25% year over year for Q4 2021, totaling $187 million.
- Adjusted net income decreased by 46.1% to $11.38 million for Q4 2021 compared to the previous year.
- Operating expenses rose by 68.2% year over year to $206.42 million for 2021.
- Net charge-offs as a percentage of average receivables increased to 53% in Q4 2021 from 31% in the same quarter of 2020.
Net income for the fourth quarter of
Adjusted Net Income of
Basic and Diluted EPS of
Adjusted Basic and Diluted EPS of
Revenue up
Net Originations increased
Ending Receivables for the fourth quarter of 2021 up
“I am excited and proud to return as CEO of the company that I founded 10 years ago,” said
“We ended 2021 achieving record origination volume for the second consecutive quarter, with
“In 2022, we plan to further leverage demand for our strong, profitable core installment loan business to expand market share while reducing credit risk,” continued Schwartz. “We have already introduced our next-generation credit and continuous process improvement models, which are designed to enable us to target more prospective customers while achieving our target return hurdles, and we expect to fully launch market-based offers for the OppLoans product. In addition, we continue to build our proprietary technology platform and artificial intelligence systems to expand underwriting automation, which more than doubled in 2021.”
“I am confident in our future and the opportunities ahead,” concluded Schwartz. “To this end, we recently announced our
Financial Summary
The following tables present a summary of OppFi’s results for the three and twelve months ended
(in thousands, except share and per share data) Unaudited |
|
Three Months Ended |
|
Variance |
||||
|
|
2021 |
2020 |
|
% |
|||
Total revenue |
|
$ |
95,958 |
$ |
92,321 |
|
3.9 |
% |
Adjusted revenue1 |
|
$ |
95,958 |
$ |
86,797 |
|
10.6 |
% |
Net income |
|
$ |
17,032 |
$ |
16,158 |
|
5.4 |
% |
Adjusted net income1 |
|
$ |
11,378 |
$ |
21,123 |
|
(46.1 |
%) |
Adjusted EBITDA1 |
|
$ |
20,442 |
$ |
34,702 |
|
(41.1 |
%) |
Basic and diluted EPS |
|
$ |
0.84 |
$ |
— |
|
— |
|
Adjusted basic and diluted EPS1 |
|
$ |
0.13 |
$ |
— |
|
— |
|
(in thousands, except share and per share data) Unaudited |
|
Year Ended |
|
Variance |
||||
|
|
2021 |
2020 |
|
% |
|||
Total revenue |
|
$ |
350,568 |
$ |
291,014 |
|
20.5 |
% |
Adjusted revenue1 |
|
$ |
350,568 |
$ |
322,954 |
|
8.6 |
% |
Net income |
|
$ |
89,795 |
$ |
77,516 |
|
15.8 |
% |
Adjusted net income1 |
|
$ |
65,819 |
$ |
55,205 |
|
19.2 |
% |
Adjusted EBITDA1 |
|
$ |
116,863 |
$ |
101,150 |
|
15.5 |
% |
Basic and diluted EPS |
|
$ |
1.93 |
$ |
— |
|
— |
|
Adjusted basic and diluted EPS1 |
|
$ |
0.78 |
$ |
— |
|
— |
|
Fourth Quarter & Full-Year 2021 Key Performance Metrics
The following tables represent key fourth quarter and full-year metrics.
(in thousands, except marketing cost per loan information) Unaudited |
|
As of and for the Three Months Ended |
||||||||||
|
|
|
|
|
|
|
||||||
Total Net Originations(a) |
|
$ |
186,685 |
|
|
$ |
164,546 |
|
|
$ |
149,870 |
|
Ending Receivables(b) |
|
$ |
337,529 |
|
|
$ |
293,279 |
|
|
$ |
275,670 |
|
% of Originations by |
|
|
94 |
% |
|
|
93 |
% |
|
|
67 |
% |
Net Charge-Offs as % of Average Receivables(c) |
|
|
53 |
% |
|
|
36 |
% |
|
|
31 |
% |
Auto-Approval Rate(d) |
|
|
60 |
% |
|
|
58 |
% |
|
|
26 |
% |
Marketing Cost per Funded Loan(e) |
|
$ |
89 |
|
|
$ |
89 |
|
|
$ |
65 |
|
Marketing Cost per New Funded Loan(f) |
|
$ |
260 |
|
|
$ |
255 |
|
|
$ |
212 |
|
(in thousands, except marketing cost per loan information) Unaudited |
|
As of and for the Year Ended
|
||||||
|
|
2021 |
|
2020 |
||||
Total Net Originations(a) |
|
$ |
595,079 |
|
|
$ |
483,350 |
|
Ending Receivables(b) |
|
$ |
337,529 |
|
|
$ |
275,670 |
|
% of Originations by |
|
|
91 |
% |
|
|
65 |
% |
Net Charge-Offs as % of Average Receivables(c) |
|
|
38 |
% |
|
|
36 |
% |
Auto-Approval Rate(d) |
|
|
60 |
% |
|
|
26 |
% |
Marketing Cost per Funded Loan(e) |
|
$ |
78 |
|
|
$ |
62 |
|
Marketing Cost per New Funded Loan(f) |
|
$ |
254 |
|
|
$ |
211 |
|
(a) |
Total net originations include both originations by bank partners on the |
(b) | Receivables are defined as unpaid principal balances of both on- and off-balance sheet loans. |
(c) |
Annualized net charge-offs as a percentage of average receivables (defined as unpaid principal of both on- and off-balance sheet loans) represents total charge offs from the period less recoveries as a percent of average receivables. Finance receivables are charged off at the earlier of the time when accounts reach 90 days past due on a recency basis, when |
(d) | Auto-Approval Rate is calculated by taking the number of approved loans that are not decisioned by a loan advocate or underwriter (auto-approval) divided by the total number of loans approved. |
(e) | Marketing Cost per Funded Loan represents marketing cost per funded loan for new and refinanced loans. This metric is the amount of direct marketing costs incurred during a period divided by the number of loans originated during that same period. |
(f) | Marketing Cost per New Funded Loan represents marketing cost for new loans. This metric is the amount of direct marketing costs incurred during a period divided by the number of new loans originated during that same period. |
Financial Capacity and Capital Resources
As of
Full Year 2022 Guidance
-
Total revenue and ending receivables growth of
20% to25% year over year -
Net revenue margin (defined as gross revenues less change in fair value divided by total revenue) between
60% and65% -
Adjusted operating expenses (defined as total expenses excluding interest expenses, add backs and one-time items), as percentage of total revenue between
43% and47% -
Adjusted EBITDA margin between
20% to25% -
Adjusted net income margin between
8% and12%
“Our full year 2022 guidance is based on our key assumption that the credit cycle is renormalizing after being temporarily supported by lower demand reflecting the influx of cash from government stimulus programs,” said
“We expect adjusted net income to ramp up throughout 2022, as we realize the benefits of our tighter underwriting parameters and savings from operating efficiency initiatives that are underway currently,” continued Shah. “Adjusted net income will be impacted by elevated charge-offs in the first half of the year related to late 2021 vintages, especially in the first quarter. As those loans run-off, we expect lower net charge offs, beginning in the second quarter of 2022, driven by higher growth in lower-risk customer segments. Consequently, we expect the first quarter will be our weakest this year, with profitability muted as we anticipate adjusted net income margin to be approximately break-even.”
Share Repurchase Program
On
Conference Call
Management will host a webcast and conference call on
The conference call can also be accessed by the following dial-in information:
- Conference ID: 13726901
- Domestic: 1-877-705-6003
- International: 1-201-493-6725
A replay of the call will also be available on the Company’s website approximately two hours after the live call through
Fourth Quarter Results of Operations
The following tables present OppFi’s consolidated results of operations for the three and twelve months ended
GAAP Income Statements
(in thousands, except share and per share data) |
|
Three Months Ended
|
|
Change |
|||||||
|
|
2021 |
|
2020 |
|
% |
|||||
Interest and loan related income, gross(a) |
|
$ |
95,448 |
|
|
$ |
86,514 |
|
|
10.3 |
% |
Other income |
|
510 |
|
|
283 |
|
|
80.2 |
% |
||
Interest, loan related, and other Income |
|
$ |
95,958 |
|
|
$ |
86,797 |
|
|
10.6 |
% |
Amortization of loan origination costs |
|
— |
|
|
5,524 |
|
|
(100.0) |
% |
||
Total revenue |
|
$ |
95,958 |
|
|
$ |
92,321 |
|
|
3.9 |
% |
Total provision |
|
(748) |
|
|
(28,032) |
|
|
(97.3) |
% |
||
Change in fair value of finance receivables |
|
(33,326) |
|
|
— |
|
|
— |
|
||
Net revenue |
|
$ |
61,884 |
|
|
$ |
64,289 |
|
|
(3.7) |
% |
Expenses |
|
58,510 |
|
|
48,131 |
|
|
21.6 |
% |
||
Income from operations |
|
$ |
3,374 |
|
|
$ |
16,158 |
|
|
(79.1) |
% |
Gain on forgiveness of Paycheck Protection Program loan |
|
|
— |
|
|
|
— |
|
|
— |
|
Change in fair value of warrant liability |
|
|
13,266 |
|
|
|
— |
|
|
— |
|
Income before income taxes |
|
$ |
16,640 |
|
|
$ |
16,158 |
|
|
3.0 |
% |
Income tax benefit |
|
|
392 |
|
|
|
— |
|
|
— |
|
Net income |
|
$ |
17,032 |
|
|
$ |
16,158 |
|
|
5.4 |
% |
Less: net income attributable to noncontrolling interest |
|
|
5,603 |
|
|
|
|
|
|
|
|
Net income attributable to |
|
$ |
11,429 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share attributable to |
|
|
|
|
|
|
|
|
|
|
|
Earnings per common share: |
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
0.84 |
|
|
$ |
— |
|
|
|
|
Diluted |
|
$ |
0.84 |
|
|
$ |
— |
|
|
|
|
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
13,545,261 |
|
|
|
— |
|
|
|
|
Diluted |
|
|
13,580,979 |
|
|
|
— |
|
|
|
|
(a) |
Loan Related Income primarily consists of non-sufficient funds fees, which are immaterial and were discontinued during Q1 2021. Interest income related to finance receivables accounted for under the fair value option is included in “Interest and loan related income, gross” in the consolidated statements of operations. |
(b) |
Prior to the Reverse Recapitalization, all net income was attributable to the noncontrolling interest. For the periods prior to |
(in thousands, except share and per share data) |
|
Year Ended
|
|
Change |
|||||||
|
|
2021 |
|
2020 |
|
% |
|||||
Interest and loan related income, gross (a) |
|
$ |
349,029 |
|
|
$ |
322,165 |
|
|
8.3 |
% |
Other income |
|
1,539 |
|
|
789 |
|
|
95.0 |
% |
||
Interest, loan related, and other Income |
|
$ |
350,568 |
|
|
$ |
322,954 |
|
|
8.6 |
% |
Amortization of loan origination costs |
|
— |
|
|
(31,940) |
|
|
(100.0) |
% |
||
Total revenue |
|
$ |
350,568 |
|
|
$ |
291,014 |
|
|
20.5 |
% |
Total provision |
|
(929) |
|
|
(90,787) |
|
|
(99.0) |
% |
||
Change in fair value of finance receivables |
|
(85,960) |
|
|
— |
|
|
— |
|
||
Net revenue |
|
$ |
263,679 |
|
|
$ |
200,227 |
|
|
31.7 |
% |
Expenses |
|
206,422 |
|
|
122,711 |
|
|
68.2 |
% |
||
Income from operations |
|
$ |
57,257 |
|
|
$ |
77,516 |
|
|
(26.1) |
% |
Gain on forgiveness of Paycheck Protection Program loan |
|
|
6,444 |
|
|
|
— |
|
|
— |
|
Change in fair value of warrant liability |
|
|
26,405 |
|
|
|
— |
|
|
— |
|
Income before income taxes |
|
$ |
90,106 |
|
|
$ |
77,516 |
|
|
16. |
|
Provision for income taxes |
|
|
(311) |
|
|
|
— |
|
|
— |
|
Net income |
|
$ |
89,795 |
|
|
$ |
77,516 |
|
|
15.8 |
% |
Less: net income attributable to noncontrolling interest |
|
|
64,241 |
|
|
|
|
|
|
|
|
Net income attributable to |
|
$ |
25,554 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share attributable to |
|
|
|
|
|
|
|
|
|
|
|
Earnings per common share: |
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
1.93 |
|
|
$ |
— |
|
|
|
|
Diluted |
|
$ |
1.93 |
|
|
$ |
— |
|
|
|
|
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
13,218,119 |
|
|
|
— |
|
|
|
|
Diluted |
|
|
13,227,049 |
|
|
|
— |
|
|
|
|
(a) |
Loan Related Income primarily consists of non-sufficient funds fees, which are immaterial and were discontinued during Q1 2021. Interest income related to finance receivables accounted for under the fair value option is included in “Interest and loan related income, gross” in the consolidated statements of operations. |
(b) |
Prior to the Reverse Recapitalization, all net income was attributable to the noncontrolling interest. For the periods prior to |
Fair Value Pro Forma Income Statements (a)
(in thousands, except share and per share data) Unaudited |
|
Three Months Ended
|
|
Change |
|||||||
|
|
2021 |
|
2020 |
|
% |
|||||
Interest, loan related, and other income |
|
$ |
95,958 |
|
|
$ |
86,797 |
|
|
10.6 |
% |
Total provision |
|
(748) |
|
|
— |
|
|
— |
|
||
Fair value adjustment (b) |
|
(33,326) |
|
|
(16,559) |
|
|
101.3 |
% |
||
Net revenue |
|
$ |
61,884 |
|
|
$ |
70,238 |
|
|
(11.9) |
% |
Expenses |
|
|
|
|
|
|
|||||
Sales and marketing |
|
17,508 |
|
|
12,484 |
|
|
40.2 |
% |
||
Customer operations |
|
10,225 |
|
|
10,150 |
|
|
0.7 |
% |
||
Technology, products, and analytics |
|
7,774 |
|
|
5,491 |
|
|
41.6 |
% |
||
General, administrative, and other |
|
16,153 |
|
|
11,509 |
|
|
40.4 |
% |
||
Total expenses before interest expense |
|
$ |
51,660 |
|
|
$ |
39,634 |
|
|
30.3 |
% |
Interest expense (c) |
|
6,850 |
|
|
4,647 |
|
|
47.4 |
% |
||
Income from operations |
|
$ |
3,374 |
|
|
$ |
25,957 |
|
|
(87.0) |
% |
Gain on forgiveness of Paycheck Protection Program loan |
|
— |
|
|
— |
|
|
— |
|
||
Change in fair value of warrant liability |
|
13,266 |
|
|
— |
|
|
— |
|
||
Income before income taxes |
|
$ |
16,640 |
|
|
$ |
25,957 |
|
|
(35.9 |
)% |
Income tax benefit |
|
|
392 |
|
|
|
— |
|
|
— |
|
Net income |
|
$ |
17,032 |
|
|
$ |
25,957 |
|
|
(34.4) |
% |
Less: net income attributable to noncontrolling interest |
|
|
5,603 |
|
|
|
|
|
|
|
|
Net income attributable to |
|
$ |
11,429 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share attributable to |
|
|
|
|
|
|
|
|
|
|
|
Earnings per common share: |
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
0.84 |
|
|
$ |
— |
|
|
|
|
Diluted |
|
$ |
0.84 |
|
|
$ |
— |
|
|
|
|
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
13,545,261 |
|
|
|
— |
|
|
|
|
Diluted |
|
|
13,580,979 |
|
|
|
— |
|
|
|
|
(a) |
The pro forma fair value accounting adjustments are due to OppFi’s transition from an incurred credit loss application to a fair value application acceptable under US GAAP. Historically, under the incurred credit loss application, |
(b) |
Fair value adjustment of |
(c) | Includes debt amortization costs. |
(d) |
Prior to the Reverse Recapitalization, all net income was attributable to the noncontrolling interest. For the periods prior to |
(in thousands, except share and per share data) Unaudited |
|
Year Ended
|
|
Change |
|||||||
|
|
2021 |
|
2020 |
|
% |
|||||
Interest, loan related, and other income |
|
$ |
350,568 |
|
|
$ |
322,954 |
|
|
8.6 |
% |
Total provision |
|
(929) |
|
|
— |
|
|
— |
|
||
Fair value adjustment (a) |
|
(85,960) |
|
|
(104,028) |
|
|
(17.4) |
% |
||
Net revenue |
|
$ |
263,679 |
|
|
$ |
218,926 |
|
|
20.4 |
% |
Expenses |
|
|
|
|
|
|
|||||
Sales and marketing |
|
52,622 |
|
|
37,843 |
|
|
39.1 |
% |
||
Customer operations |
|
40,260 |
|
|
38,179 |
|
|
5.5 |
% |
||
Technology, products, and analytics |
|
27,442 |
|
|
19,745 |
|
|
39.0 |
% |
||
General, administrative, and other |
|
61,842 |
|
|
32,708 |
|
|
89.1 |
% |
||
Total expenses before interest expense |
|
$ |
182,166 |
|
|
$ |
128,475 |
|
|
41.8 |
% |
Interest expense (b) |
|
24,256 |
|
|
21,228 |
|
|
14.3 |
% |
||
Income from operations |
|
$ |
57,257 |
|
|
$ |
69,223 |
|
|
(17.3) |
% |
Gain on forgiveness of Paycheck Protection Program loan |
|
|
6,444 |
|
|
|
— |
|
|
— |
|
Change in fair value of warrant liability |
|
|
26,405 |
|
|
|
— |
|
|
— |
|
Income before income taxes |
|
$ |
90,106 |
|
|
$ |
69,223 |
|
|
30.2 |
% |
Provision for income taxes |
|
|
(311) |
|
|
|
— |
|
|
— |
|
Net income |
|
$ |
89,795 |
|
|
$ |
69,223 |
|
|
29.7 |
% |
Less: net income attributable to noncontrolling interest |
|
|
64,241 |
|
|
|
|
|
|
|
|
Net income attributable to |
|
$ |
25,554 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share attributable to |
|
|
|
|
|
|
|
|
|
|
|
Earnings per common share: |
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
1.93 |
|
|
$ |
— |
|
|
|
|
Diluted |
|
$ |
1.93 |
|
|
$ |
— |
|
|
|
|
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
13,218,119 |
|
|
|
— |
|
|
|
|
Diluted |
|
|
13,227,049 |
|
|
|
— |
|
|
|
|
(a) |
Fair value adjustment of |
(b) | Includes debt amortization costs. |
(c) |
Prior to the Reverse Recapitalization, all net income was attributable to the noncontrolling interest. For the periods prior to |
Condensed Balance Sheets
Comparison
The following table presents OppFi’s condensed balance sheet for
(in thousands) Unaudited |
|
|
|
||
Assets |
|
|
|
||
Cash and restricted cash |
|
$ |
62,362 |
$ |
45,657 |
Finance receivables at fair value |
|
|
383,890 |
|
- |
Finance receivables at amortized cost, net |
|
|
4,220 |
|
222,243 |
Other Assets |
|
|
51,634 |
|
17,943 |
Total assets |
|
$ |
502,106 |
$ |
285,843 |
|
|
|
|
||
Liabilities and stockholders’/members’ equity |
|
|
|
||
Other liabilities |
|
$ |
58,967 |
$ |
28,406 |
Total debt |
|
|
274,021 |
|
158,105 |
Warrant liabilities |
|
|
11,240 |
|
- |
Total liabilities |
|
|
344,228 |
|
186,511 |
Total stockholders’/members’ equity |
|
|
157,878 |
|
99,332 |
Total liabilities and stockholders’/members’ equity |
|
$ |
502,106 |
$ |
285,843 |
Total cash and restricted cash increased by
Other liabilities increased by
Total equity increased by
As of
About
Forward-Looking Statements
This press release includes "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. OppFi’s actual results may differ from its expectations, estimates and projections and consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," “possible,” "continue," and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. These forward-looking statements include, without limitation, OppFi’s expectations for its full year 2022 net revenue, receivables growth, net revenue margin, Adjusted Operating Expenses, Adjusted EBITDA and Adjusted Net Income, OppFi’s expectations with respect to the future performance of OppFi’s platform, OppFi’s expectations for its growth, and including growth of loan automation, and profitability and OppFi’s new products and their performance. These forward-looking statements are based on OppFi’s current expectations and assumptions about future events and are based on currently available information as to the outcome and timing of future events. These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. Most of these factors are outside OppFi’s control and are difficult to predict. Factors that may cause such differences include, but are not limited to: the impact of COVID-19 on OppFi’s business; the impact of stimulus or other government programs; whether
Non-GAAP Financial Measures
This press release includes certain non-GAAP financial measures that are unaudited and do not conform to GAAP, such as Fair Value Pro Forma information, Adjusted Revenue, Adjusted Basic and Diluted EPS, Adjusted Net Income (and margin thereof), Adjusted EBITDA (and margin thereof) and Adjusted Operating Expenses. Adjusted Revenue is defined as Total Revenue adjusted to include amortization of loan origination costs for periods prior to the adoption of the fair value option. Adjusted Net Income is defined as Net Income, pro forma for fair value accounting for finance receivables adoption, plus (1) recruiting fees, severance and relocation, (2) amortization of debt transaction costs and (3) other addbacks and one-time expenses following the closing of the business combination, including one-time implementation fees, stock compensation expenses, IPO readiness costs and management fees, adjusted for taxes assuming a tax rate of
The Non-GAAP financial measures of Adjusted EBITDA Margin, Adjusted Net Income Margin and Adjusted Operating Expense as a percentage of revenue for the full year 2022 are provided in this press release only on a non-GAAP basis because a reconciliation to the most comparable GAAP financial measures, Net Revenue, Net Income, and Total Expenses, is not available without unreasonable effort.
Reconciliation of Non-GAAP Financial Measures
Adjusted EBITDA
(in thousands, except share and per share data) Unaudited |
|
Three Months Ended
|
|
Change |
|||||||
|
|
2021 |
|
2020 |
|
% |
|||||
Net income |
|
$ |
17,032 |
|
|
$ |
16,158 |
|
|
5.4 |
% |
Income tax benefit |
|
(392) |
|
|
— |
|
|
— |
|
||
FV adjustments |
|
— |
|
|
9,799 |
|
|
(100.0) |
% |
||
Debt issuance cost amortization |
|
574 |
|
|
494 |
|
|
16.2 |
% |
||
Other addback and one-time expenses (a) |
|
(5,530) |
|
|
1,713 |
|
|
(422.8) |
% |
||
Adjusted EBT1 |
|
$ |
11,684 |
|
|
$ |
28,164 |
|
|
(58.5) |
% |
Less: pro forma taxes (b) |
|
(306) |
|
|
(7,041) |
|
|
(95.7) |
% |
||
Adjusted net income1 |
|
$ |
11,378 |
|
|
$ |
21,123 |
|
|
(46.1) |
% |
Pro forma taxes (b) |
|
306 |
|
|
7,041 |
|
|
(95.7) |
% |
||
Depreciation and amortization |
|
2,992 |
|
|
1,958 |
|
|
52.8 |
% |
||
Interest expense |
|
6,275 |
|
|
4,153 |
|
|
51.1 |
% |
||
Business (non-income) taxes |
|
(510) |
|
|
427 |
|
|
(219.4) |
% |
||
Loss on disposition of equipment |
|
1 |
|
|
— |
|
|
— |
|
||
Adjusted EBITDA1 |
|
$ |
20,442 |
|
|
$ |
34,702 |
|
|
(41.1) |
% |
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP earnings per share: |
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
0.13 |
|
|
$ |
— |
|
|
|
|
Diluted |
|
$ |
0.13 |
|
|
$ |
— |
|
|
|
|
Weighted average adjusted shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
84,466,077 |
|
|
|
— |
|
|
|
|
Diluted |
|
|
84,501,795 |
|
|
|
— |
|
|
|
|
(a) |
Other addback and one-time expense of ( |
(b) |
Assumes a tax rate of |
(c) |
Prior to the Reverse Recapitalization, all net income was attributable to the noncontrolling interest. For the periods prior to |
(in thousands, except share and per share data) Unaudited |
|
Year Ended
|
|
Change |
|||||||
|
|
2021 |
|
2020 |
|
% |
|||||
Net income |
|
$ |
89,795 |
|
|
$ |
77,516 |
|
|
15.8 |
% |
Provision for income taxes |
|
|
311 |
|
|
|
— |
|
|
— |
|
FV adjustments |
|
|
— |
|
|
|
(8,293) |
|
|
(100.0) |
% |
Debt issuance cost amortization |
|
|
2,310 |
|
|
|
1,945 |
|
|
18.8 |
% |
Other addback and one-time expenses (a) |
|
|
(8,452) |
|
|
|
2,439 |
|
|
(446.5) |
% |
Adjusted EBT1 |
|
$ |
83,964 |
|
|
$ |
73,607 |
|
|
14.1 |
% |
Less: pro forma taxes (b) |
|
|
(18,145) |
|
|
|
(18,402) |
|
|
(1.4) |
% |
Adjusted net income1 |
|
$ |
65,819 |
|
|
$ |
55,205 |
|
|
19.2 |
% |
Pro forma taxes (b) |
|
|
18,145 |
|
|
|
18,402 |
|
|
(1.4) |
% |
Depreciation and amortization |
|
|
10,282 |
|
|
|
6,732 |
|
|
52.7 |
% |
Interest expense |
|
|
21,946 |
|
|
|
19,284 |
|
|
13.8 |
% |
Business (non-income) taxes |
|
|
665 |
|
|
|
1,527 |
|
|
(56.5) |
% |
Loss on disposition of equipment |
|
|
6 |
|
|
|
— |
|
|
— |
% |
Adjusted EBITDA1 |
|
$ |
116,863 |
|
|
$ |
101,150 |
|
|
15.5 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP earnings per share: |
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
0.78 |
|
|
$ |
— |
|
|
|
|
Diluted |
|
$ |
0.78 |
|
|
$ |
— |
|
|
|
|
Weighted average adjusted shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
84,465,109 |
|
|
|
— |
|
|
|
|
Diluted |
|
|
84,474,039 |
|
|
|
— |
|
|
|
|
(a) |
Other addback and one-time expense of ( |
(b) |
Assumes a tax rate of |
(c) |
Prior to the Reverse Recapitalization, all net income was attributable to the noncontrolling interest. For the periods prior to |
Adjusted Revenue
(in thousands) Unaudited |
|
Three Months Ended |
|
Variance |
|||||
|
|
2021 |
2020 |
|
% |
||||
Total revenue |
|
$ |
95,958 |
$ |
92,321 |
|
|
3.9 |
% |
Amortization of loan origination costs |
|
|
- |
|
(5,524 |
) |
|
-- |
|
Adjusted revenue1 |
|
$ |
95,958 |
$ |
86,797 |
|
|
10.6 |
% |
|
|
|
|
|
|||||
(in thousands) Unaudited |
|
Year Ended |
|
Variance |
|||||
|
|
2021 |
2020 |
|
% |
||||
Total revenue |
|
$ |
350,568 |
$ |
291,014 |
|
|
20.5 |
% |
Amortization of loan origination costs |
|
|
- |
|
31,940 |
|
|
-- |
|
Adjusted revenue1 |
|
$ |
350,568 |
$ |
322,954 |
|
|
8.6 |
% |
Adjusted Shares as Reflected in Adjusted Basic and Diluted Earnings Per Share
|
|
Three Months Ended |
||||||
Unaudited |
|
2021 |
|
2020 |
||||
Weighted average Class A common stock outstanding |
|
|
13,545,261 |
|
|
|
— |
|
Weighted average Class V voting stock outstanding |
|
96,420,816 |
|
|
— |
|
||
Elimination of earnouts at period end |
|
(25,500,000) |
|
|
— |
|
||
Weighted average adjusted basic shares |
|
84,466,077 |
|
|
— |
|
||
Dilutive impact of unvested restricted stock units |
|
35,718 |
|
|
— |
|
||
Weighted average adjusted diluted shares |
|
84,501,795 |
|
|
— |
|
|
|
Year Ended |
||||||
Unaudited |
|
2021 |
|
2020 |
||||
Weighted average Class A common stock outstanding |
|
|
13,218,119 |
|
|
|
— |
|
Weighted average Class V voting stock outstanding |
|
96,746,990 |
|
|
— |
|
||
Elimination of earnouts at period end |
|
(25,500,000) |
|
|
— |
|
||
Weighted average adjusted basic shares |
|
84,465,109 |
|
|
— |
|
||
Dilutive impact of unvested restricted stock units |
|
8,930 |
|
|
— |
|
||
Weighted average adjusted diluted shares |
|
84,474,039 |
|
|
— |
|
Adjusted Basic and Diluted EPS
|
|
Three Months Ended |
||||||
Unaudited |
|
2021 |
|
2020 |
||||
Adjusted net income (thousands)1 |
|
$ |
11,378 |
|
|
$ |
21,123 |
|
Weighted average adjusted basic shares |
|
84,466,077 |
|
|
— |
|
||
Adjusted basic EPS: |
|
$ |
0.13 |
|
|
$ |
— |
|
|
|
Three Months Ended |
||||||
Unaudited |
|
2021 |
|
2020 |
||||
Adjusted net income (thousands)1 |
|
$ |
11,378 |
|
|
$ |
21,123 |
|
Weighted average adjusted diluted shares |
|
84,501,795 |
|
|
— |
|
||
Adjusted diluted EPS: |
|
$ |
0.13 |
|
|
$ |
— |
|
|
|
Year Ended |
||||||
Unaudited |
|
2021 |
|
2020 |
||||
Adjusted net income (in thousands)1 |
|
$ |
65,819 |
|
|
$ |
55,205 |
|
Weighted average adjusted basic shares |
|
84,465,109 |
|
|
— |
|
||
Adjusted basic EPS: |
|
$ |
0.78 |
|
|
$ |
— |
|
|
|
Year Ended |
||||||
Unaudited |
|
2021 |
|
2020 |
||||
Adjusted net income (in thousands)1 |
|
$ |
65,819 |
|
|
$ |
55,205 |
|
Weighted average adjusted diluted shares |
|
84,474,039 |
|
|
— |
|
||
Adjusted diluted EPS: |
|
$ |
0.78 |
|
|
$ |
— |
|
Fair Value Pro Forma
(in thousands) Unaudited |
|
Three Months Ended |
||||||||||
|
|
As Reported |
|
FV Adjustments |
|
FV Pro Forma |
||||||
Total revenue |
|
$ |
92,321 |
|
|
$ |
(5,524 |
) |
|
$ |
86,797 |
|
Total provision |
|
|
(28,032 |
) |
|
|
28,032 |
|
|
|
- |
|
Fair value adjustment (a) |
|
|
- |
|
|
|
(16,559 |
) |
|
|
(16,559 |
) |
Net revenue |
|
$ |
64,289 |
|
|
$ |
5,949 |
|
|
$ |
70,238 |
|
Expenses |
|
|
|
|
|
|
||||||
Sales and marketing |
|
|
5,149 |
|
|
|
7,335 |
|
|
|
12,484 |
|
Customer operations |
|
|
21,335 |
|
|
|
(11,185 |
) |
|
|
10,150 |
|
Technology, products, and analytics |
|
|
5,491 |
|
|
|
- |
|
|
|
5,491 |
|
General, administrative, and other |
|
|
11,509 |
|
|
|
- |
|
|
|
11,509 |
|
Total expenses before interest expense |
|
$ |
43,484 |
|
|
$ |
(3,850 |
) |
|
$ |
39,634 |
|
Interest expense (b) |
|
|
4,647 |
|
|
|
- |
|
|
|
4,647 |
|
Income from operations |
|
$ |
16,158 |
|
|
$ |
9,799 |
|
|
$ |
25,957 |
|
(a) |
FV Adjustment of |
(b) | Includes debt amortization costs. |
(in thousands) Unaudited |
|
Year Ended |
||||||||||
|
|
As Reported |
|
FV Adjustments |
|
FV Pro Forma |
||||||
Total revenue |
|
$ |
291,014 |
|
|
$ |
31,940 |
|
|
$ |
322,954 |
|
Total provision |
|
|
(90,787 |
) |
|
|
90,787 |
|
|
|
- |
|
Fair value adjustment (a) |
|
|
- |
|
|
|
(104,028 |
) |
|
|
(104,028 |
) |
Net revenue |
|
$ |
200,227 |
|
|
$ |
18,699 |
|
|
$ |
218,926 |
|
Expenses |
|
|
|
|
|
|
||||||
Sales and marketing |
|
|
15,333 |
|
|
|
22,510 |
|
|
|
37,843 |
|
Customer operations |
|
|
33,697 |
|
|
|
4,482 |
|
|
|
38,179 |
|
Technology, products, and analytics |
|
|
19,745 |
|
|
|
- |
|
|
|
19,745 |
|
General, administrative, and other |
|
|
32,708 |
|
|
|
- |
|
|
|
32,708 |
|
Total expenses before interest expense |
|
$ |
101,483 |
|
|
$ |
26,992 |
|
|
$ |
128,475 |
|
Interest expense (b) |
|
|
21,228 |
|
|
|
- |
|
|
|
21,228 |
|
Income from operations |
|
$ |
77,516 |
|
|
$ |
(8,293 |
) |
|
$ |
69,223 |
|
(a) |
FV Adjustment of |
(b) | Includes debt amortization costs. |
[1] Non-GAAP Financial Measures: Adjusted Net Income, Adjusted Revenue and Adjusted EBITDA are financial measures that have not been prepared in accordance with Generally Accepted Accounting Principles (“GAAP”). See the “Note Regarding Non-GAAP Financial Measures” below for a detailed description and reconciliation of such Non-GAAP financial measures to their most directly comparable GAAP financial measures. |
[2] Receivables defined as unpaid principal of both on- and off-balance sheet loans. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20220310005099/en/
Investor Relations: investors@oppfi.com
Media Relations: media@oppfi.com
Source:
FAQ
What were OppFi's earnings results for the fourth quarter of 2021?
How did OppFi's revenue change in 2021?
What is OppFi's guidance for 2022?