FirstCash Holdings, Inc.

What they do

FirstCash operates retail pawnshops that make small non-recourse pawn loans secured by pledged personal property such as jewelry, electronics, tools, appliances, sporting goods and musical instruments, and that buy merchandise directly from customers. Stores also generate retail sales, primarily from forfeited collateral and over-the-counter purchases. The company operates four reportable segments: U.S. pawn, Latin America pawn (Mexico, Guatemala, El Salvador, Colombia), U.K. pawn, and retail POS payment solutions through its American First Finance (AFF) subsidiary, which offers lease-to-own (LTO) and other retail financing options.

Revenue drivers

• U.S. pawn segment — Pawn operations in 29 states and the District of Columbia, with 1,212 stores as of June 30, 2026. Revenue comes from pawn loan fees and retail sales of merchandise acquired through collateral forfeitures and over-the-counter purchases.
• Latin America pawn segment — Pawn operations in Mexico (1,729 stores), Guatemala (77), El Salvador (18) and Colombia (12), totaling 1,836 stores as of June 30, 2026. Stores are mostly larger-format, full-service locations that buy, sell and lend on a wide array of merchandise.
• U.K. pawn segment — Pawn operations in England, Scotland and Wales, with 295 stores as of June 30, 2026, following the August 14, 2025 acquisition of H&T, which added 286 locations at acquisition and is included in consolidated results from that date.
• Retail POS payment solutions (AFF) — Offers LTO products and other retail financing payment options through a network of approximately 16,700 active retail merchant partner locations in all 50 U.S. states and the District of Columbia as of June 30, 2026, up from approximately 15,300 at June 30, 2025.

Recent performance

For the second quarter of 2026, FirstCash reported revenue of $1.075 billion, up 29% from $830.6 million in the prior-year quarter, with GAAP net income of $93.5 million and GAAP diluted EPS of $2.12, up 58%. Adjusted net income was $110.1 million and adjusted diluted EPS was $2.50, up 40% year over year. For the first six months of 2026, revenue was $2.126 billion versus $1.667 billion a year earlier, GAAP net income was $201.2 million and GAAP diluted EPS was $4.56. Consolidated pawn receivables were up 63% in total and 22% on a same-store basis over the prior year, according to the company's earnings release.

Strategy

Management is pursuing store expansion across its major geographic markets through acquisitions and new store openings. The company completed the acquisition of H&T in the U.K. on August 14, 2025, and expects to complete its previously announced acquisition of Ramsdens Holdings plc, a U.K. pawn operator with 174 locations, by the end of 2026, subject to shareholder, anti-trust and regulatory approvals, which would expand its U.K. footprint to more than 450 locations. During the second quarter of 2026, FirstCash completed a $750 million bond offering and used the proceeds to pay down a significant portion of its revolving credit facility and to provide long-term funding for expansion and shareholder returns. The company declared a quarterly cash dividend of $0.42 per share and authorized a new $150 million share repurchase plan after completing its previous $150 million plan. Management also raised its full-year consolidated pawn revenue guidance.

Risks

• Competition — FirstCash faces significant competition from other pawnshops, branch-based and online consumer lenders, banks, credit unions, POS consumer finance companies, LTO companies and buy-now/pay-later providers.
• Acquisition integration and identification — The inability to identify attractive acquisition targets, realize anticipated benefits from completed acquisitions such as H&T and Ramsdens, or integrate them successfully could adversely affect results.
• Currency exchange rates — The company's financial position and results of operations may fluctuate significantly due to currency exchange rate movements in most Latin American markets.
• Technology and cyber threats — Security breaches, cyber attacks or fraudulent activity could damage operations or reputation and expose the company to significant liabilities, while future growth depends on keeping pace with technological advances including generative artificial intelligence and machine learning.

Outlook

Management stated that pawn demand remains extremely robust and raised consolidated full-year pawn revenue guidance based on second-quarter results and continuing demand for pawn products and its deep-value retail sales model. The company expects to complete the Ramsdens acquisition by the end of 2026, subject to shareholder, anti-trust and regulatory approvals and other closing conditions, expanding its U.K. footprint to more than 450 locations. It also expects additional 2026 store expansion opportunities across each major geographic market through acquisitions and new store openings.