Atlanticus Holdings Corporation Leverages Data and Technology for Underserved Americans

Atlanticus Holdings Corporation has recently released its 10-Q report, providing insight into the company's financial performance and operations. The company, headquartered in Atlanta, Georgia, operates in two segments: Credit as a Service and Auto Finance. In the Credit as a Service segment, Atlanticus offers a range of consumer loan products, including private label and general purpose credit cards, and provides credit for the purchase of various goods and services. The Auto Finance segment purchases and services loans secured by automobiles, provides floor plan financing, and offers installment lending products.

In ITEM 2 of the report, "MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS," Atlanticus emphasizes its focus on leveraging data, analytics, and technology to provide financial solutions for underserved Americans. The company aims to empower better financial outcomes for consumers with lower credit scores by offering appropriately priced credit and financial service alternatives. Atlanticus also discusses its regulatory compliance and the impact of factors such as inflation, rising interest rates, and the COVID-19 pandemic on its operations.

The consolidated results of operations for the three months ended March 31, 2024, reveal a total operating revenue of $290,174,000, marking an increase of $29,192,000 from the same period in 2023. The net income attributable to controlling interests for the period was $26,170,000, with a net income attributable to common shareholders of $19,878,000.

The company attributes the growth in total operating revenue to the expansion of private label credit and general purpose credit card products, with an increase in receivables contributing to higher interest income and related fees. Atlanticus also highlights the impact of recent rules enacted by the Consumer Financial Protection Bureau, which are expected to affect the revenue recognized on receivables. The company's bank partners have taken steps to modify products, policies, and pricing to mitigate these impacts.

Today the company's shares have moved -0.0% to a price of $28.91. For more information, read the company's full 10-Q submission here.

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