Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Jun. 30, 2018 | Aug. 01, 2018 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | NICHOLAS FINANCIAL INC | |
Entity Central Index Key | 1,000,045 | |
Trading Symbol | nick | |
Current Fiscal Year End Date | --03-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock Shares Outstanding | 12,622,926 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2018 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,019 | |
Document Fiscal Period Focus | Q1 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2018 | Mar. 31, 2018 |
Assets | ||
Cash | $ 4,981 | $ 2,626 |
Finance receivables, net | 256,590 | 269,876 |
Assets held for resale | 2,187 | 2,117 |
Income taxes receivable | 1,256 | 1,505 |
Prepaid expenses and other assets | 1,175 | 906 |
Property and equipment, net | 755 | 843 |
Deferred income taxes | 5,966 | 6,289 |
Total assets | 272,910 | 284,162 |
Liabilities and shareholders' equity | ||
Line of credit | 151,000 | 165,750 |
Drafts payable | 3,164 | 1,672 |
Accounts payable and accrued expenses | 5,505 | 5,000 |
Deferred revenues | 3,253 | 3,303 |
Total liabilities | 162,922 | 175,725 |
Shareholders' equity | ||
Preferred stock, no par: 5,000 shares authorized; none issued | ||
Common stock, no par: 50,000 shares authorized; 12,623 and 12,609 shares issued, respectively; and 7,909 and 7,895 shares outstanding, respectively | 34,695 | 34,564 |
Treasury stock: 4,714 common shares, at cost | (70,459) | (70,459) |
Retained earnings | 145,752 | 144,332 |
Total shareholders' equity | 109,988 | 108,437 |
Total liabilities and shareholders' equity | $ 272,910 | $ 284,162 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - $ / shares shares in Thousands | Jun. 30, 2018 | Mar. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Preferred stock, no par value (in dollars per share) | $ 0 | $ 0 |
Preferred stock, shares authorized | 5,000 | 5,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, no par value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized | 50,000 | 50,000 |
Common stock, shares issued | 12,623 | 12,609 |
Common stock, shares outstanding | 7,909 | 7,895 |
Treasury stock, shares | 4,714 | 4,714 |
Consolidated Statements of Inco
Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Income Statement [Abstract] | ||
Interest and fee income on finance receivables | $ 18,759 | $ 22,198 |
Expenses: | ||
Marketing | 367 | 391 |
Salaries and employee benefits | 5,266 | 5,162 |
Administrative | 3,065 | 2,995 |
Provision for credit losses | 5,426 | 9,752 |
Depreciation | 103 | 121 |
Interest expense | 2,540 | 2,455 |
Change in fair value of interest rate swap agreements | 9 | |
Total operating expenses | 16,767 | 20,885 |
Operating income before income taxes | 1,992 | 1,313 |
Income tax expense | 572 | 500 |
Net income | $ 1,420 | $ 813 |
Earnings per share: | ||
Basic (in dollars per share) | $ 0.18 | $ 0.10 |
Diluted (in dollars per share) | $ 0.18 | $ 0.10 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Cash flows from operating activities | ||
Net income | $ 1,420 | $ 813 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation | 103 | 121 |
Gain on sale of property and equipment | (8) | |
Provision for credit losses | 5,426 | 9,752 |
Amortization of dealer discounts | (2,247) | (3,043) |
Amortization of commission for products | (538) | (433) |
Deferred income taxes | 323 | (620) |
Share-based compensation | 60 | 124 |
Excess tax (deficiency) benefit from share-based compensation | (16) | |
Change in fair value of interest rate swap agreements | 9 | |
Changes in operating assets and liabilities: | ||
Accrued interest receivable | 33 | 211 |
Prepaid expenses and other assets | (69) | (102) |
Accounts payable and accrued expenses | 505 | (953) |
Income taxes payable and receivable | 249 | 1,125 |
Deferred revenues | (50) | (262) |
Net cash provided by operating activities | 5,215 | 6,718 |
Cash flows from investing activities | ||
Purchase and origination of finance receivables | (22,173) | (25,056) |
Principal payments received | 32,785 | 32,243 |
Decrease (increase) in assets held for resale | (70) | 51 |
Purchase of property and equipment | (15) | (117) |
Proceeds from sale of property and equipment | 9 | |
Net cash provided by investing activities | 10,527 | 7,130 |
Cash flows from financing activities | ||
Decrease on line of credit | (14,750) | (9,000) |
Change in drafts payable | 1,492 | 14 |
Proceeds from exercise of stock options | 71 | |
Payment of loan origination fees | (200) | |
Net cash provided by financing activities | (13,387) | (8,986) |
Net increase in cash | 2,355 | 4,862 |
Cash, beginning of period | 2,626 | 2,855 |
Cash, end of period | $ 4,981 | $ 7,717 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Jun. 30, 2018 | |
Organization, Consolidation and Presentation Of Financial Statements [Abstract] | |
Basis of Presentation | 1. Basis of Presentation The accompanying consolidated balance sheet as of March 31, 2018, which has been derived from audited financial statements, and the accompanying unaudited interim consolidated financial statements of Nicholas Financial, Inc., a Canadian holding company incorporated under the laws of British Columbia (including its subsidiaries, the “Company”), have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q S-X. 10-K 10-K. The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for credit losses on finance receivables and the fair value of interest rate swap agreements. |
Revenue Recognition
Revenue Recognition | 3 Months Ended |
Jun. 30, 2018 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Revenue Recognition | 2. Revenue Recognition Finance receivables consist of automobile finance installment contracts (“Contracts”) and direct consumer loans (“Direct Loans”). Interest income on finance receivables is recognized using the interest method. Accrual of interest income on finance receivables is suspended when a loan enters bankruptcy status, is contractually delinquent for 61 days or more or the collateral is repossessed; whichever is earliest. Chapter 13 bankruptcy accounts are accounted for under the cost-recovery method. Interest income on Chapter 13 bankruptcy accounts does not resume until all principal amounts are recovered (see Note 4). A dealer discount represents the difference between the finance receivable of a Contract, and the amount of money the Company actually pays for the Contract. The discount negotiated by the Company is a function of the lender, the wholesale value of the vehicle and competition in any given market. In making decisions regarding the purchase of a particular Contract, the Company considers the following factors related to the borrower: place and length of residence, current and prior job status, history in making installment payments for automobiles, current income, and credit history. In addition, the Company examines its prior experience with Contracts purchased from the selling dealer and the value of the automobile in relation to the purchase price and the term of the Contract. The entire amount of discount is amortized as an adjustment to yield using the interest method over the life of the loan. The weighted average dealer discount associated with new volume for the three months ended June 30, 2018 and 2017 was 8.19% and 7.56%, respectively in relation to the total amount financed. The amount of future unearned income is computed as the product of the Contract rate, the Contract term and the Contract amount. Deferred revenues consist primarily of commissions received from the sale of ancillary products. These products include automobile warranties, roadside assistance programs, accident and health insurance, credit life insurance, involuntary unemployment insurance coverage, and forced placed automobile insurance. These commissions are amortized over the life of the Contract using the interest method. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Jun. 30, 2018 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 3. Earnings Per Share The Company has granted stock compensation awards with nonforfeitable dividend rights, which are considered participating securities. As such, earnings per share is calculated using the two-class Three months ended (In thousands, except per 2018 2017 Numerator: Net income per consolidated statements of income $ 1,420 $ 813 Less: Allocation of earnings to participating securities (11 ) (14 ) Net income allocated to common stock 1,409 799 Basic earnings per share computation: Net income allocated to common stock $ 1,409 $ 799 Weighted average common shares outstanding, including shares considered participating securities 7,890 7,851 Less: Weighted average participating securities outstanding (71 ) (131 ) Weighted average shares of common stock 7,819 7,720 Basic earnings per share $ 0.18 $ 0.10 Diluted earnings per share computation: Net income allocated to common stock $ 1,420 $ 799 Undistributed earnings re-allocated — — Numerator for diluted earnings per share $ 1,420 $ 799 Weighted average common shares outstanding for basic earnings per share 7,819 7,720 Incremental shares from stock options 11 53 Weighted average shares and dilutive potential common shares 7,830 7,773 Diluted earnings per share $ 0.18 $ 0.10 Diluted earnings per share do not include the effect of certain stock options as their impact would be anti-dilutive. For the three months ended June 30, 2018 and 2017, potential shares of common stock from stock options totaling 116,100 and 155,000, respectively, were not included in the diluted earnings per share calculation because their effect is anti-dilutive. |
Finance Receivables
Finance Receivables | 3 Months Ended |
Jun. 30, 2018 | |
Receivables [Abstract] | |
Finance Receivables | 4. Finance Receivables Finance receivables consist of Contracts and Direct Loans and are detailed as follows: (In thousands) June 30, March 31, Finance receivables $ 286,391 $ 301,155 Accrued Interest 2,609 2,642 Unearned dealer discounts (13,345 ) (13,655 ) Finance receivables, net of unearned dealer discounts 275,655 290,142 Allowance for credit losses (19,065 ) (20,266 ) Finance receivables, net $ 256,590 $ 269,876 Contracts and Direct Loans each comprise a portfolio segment. The following tables present selected information on the entire portfolio of the Company: As of June 30, 2018 2017 Contract Portfolio Weighted APR 22.38 % 22.34 % Weighted average discount 7.44 % 7.37 % Weighted average term (months) 54 57 Number of active contracts 32,069 36,174 As of June 30, 2018 2017 Direct Loan Portfolio Weighted APR 25.16 % 25.47 % Weighted average term (months) 28 33 Number of active contracts 2,498 2,774 The Company purchases Contracts from automobile dealers at a negotiated price that is less than the original principal amount being financed by the purchaser of the automobile. The Contracts are predominately for used vehicles. As of June 30, 2018, the average model year of vehicles collateralizing the portfolio was a 2010 vehicle. The following table sets forth a reconciliation of the changes in the allowance for credit losses on Contracts : Three months ended June 30, (In thousands) 2018 2017 Balance at beginning of period $ 19,433 $ 16,885 Provision for credit losses 5,227 9,658 Charge-offs (7,049 ) (8,691 ) Recoveries 505 527 Balance at end of period $ 18,116 $ 18,379 Direct Loans are typically for amounts ranging from $1,000 to $11,000 and are generally secured by a lien on an automobile, watercraft or other permissible tangible personal property. Many Direct Loans are originated with current or former customers under the Company’s automobile financing program. The typical Direct Loan represents a better credit risk than the typical Contract due to the customer’s historical payment history with the Company; however, the underlying collateral is less valuable. In deciding wether to grant a loan, the Company considers the individual’s credit history, job stability, income and impression left of the Company’s loan officer during a personal interview. Additionally, because most of the Direct Loans made by the Company to date have been made to borrowers under Contracts previously purchased by the Company, the payment history of the borrower under the Contract is a significant factor in making the loan decision. As of June 30, 2018, loans made by the Company pursuant to its Direct Loan program constituted approximately 2% of the aggregate principal amount of the Company’s loan portfolio. Changes in the allowance for credit losses for both Contracts and Direct Loans were driven by current economic conditions and credit loss trends over several reporting periods which are utilized in estimating future losses and overall portfolio performance. They were also influenced by a change in the Company’s method for calculating the allowance for credit losses, as described below. The following table sets forth a reconciliation of the changes in the allowance for credit losses on Direct Loans: Three months ended June 30, (In thousands) 2018 2017 Balance at beginning of period $ 833 $ 773 Provision for credit losses 199 94 Charge-offs (90 ) (101 ) Recoveries 7 8 Balance at end of period $ 949 $ 774 Each portfolio segment consists of smaller balance homogeneous loans which are collectively evaluated for impairment. During the first quarter of the fiscal year ended March 31, 2019, the Company began using the trailing six month charge-offs, annualized, to calculate the allowance for credit losses. This change was made to reflect changes in the Company’s lending policies and underwriting standards, which were a result on the Company changing its business strategies. The Company changed its focus on financing primary transportation to and from work for the subprime borrower. This change resulted in higher yielding loans, smaller amounts financed and shorter monthly terms. In addition the Company takes into consideration the composition of the portfolio, current economic conditions, the estimated net realizable value of the underlying collateral, historical loan loss experience, delinquency, non-performing Using the prior calculation the allowance for credit losses and provision expense for the quarter would have been approximately $151,000 lower. Prior to June 30, 2018, the Company calculated the allowance for credit losses by reference to static pools, which each pool consisting of Contracts purchased during a three-month period for each branch location as management considers these pools to have similar risk characteristics and are considered smaller-balance homogenous loans. The Company analyzed each consolidated static pool at specific points in time to estimate losses that are probable of being incurred as of the reporting date. The Company maintained historical write-off write-off-to The following table is an assessment of the finance receivables: (In thousands) June 30, 2018 June 30, 2017 Contracts Direct Loans Contracts Direct Loans Performing accounts $ 265,267 $ 7,292 $ 306,185 $ 8,059 Non-performing 10,059 230 17,441 200 Total $ 275,326 $ 7,522 $ 323,626 $ 8,259 Chapter 13 bankruptcy accounts 3,486 57 3,880 39 Finance receivables $ 278,812 $ 7,579 $ 327,506 $ 8,298 A performing account is defined as an account that is less than 61 days past due. We define an automobile contract as delinquent when more than 25% of a payment contractually due by a certain date has not been paid by the immediately following due date, which date may have been extended within limits specified in the servicing agreements or as a result of a deferral. The period of delinquency is based on the number of days payments are contractually past due, as extended where applicable. In certain circumstances, we will grant obligors one-month A non-performing The following tables present certain information regarding the delinquency rates experienced by the Company with respect to Contracts and Direct Loans, excluding Chapter 13 bankruptcy accounts: (In thousands) Contracts Balance 31 – 60 days 61 – 90 days 90-120 days Over Total June 30, 2018 $ 275,326 $ 17,333 $ 6,281 $ 2,074 $ 1,704 $ 27,392 6.30 % 2.28 % 0.75 % 0.62 % 9.95 % June 30, 2017 $ 323,626 $ 21,490 $ 10,095 $ 4,208 $ 3,138 $ 38,931 6.64 % 3.12 % 1.30 % 0.97 % 12.03 % Direct Loans Balance 31 – 60 days 61 – 90 days 90-120 Over Total June 30, 2018 $ 7,522 $ 171 $ 83 $ 32 $ 115 $ 401 2.27 % 1.10 % 0.43 % 1.53 % 5.33 % June 30, 2017 $ 8,259 $ 237 $ 81 $ 48 71 $ 437 2.87 % 0.98 % 0.58 % 0.86 % 5.29 % |
Line of Credit
Line of Credit | 3 Months Ended |
Jun. 30, 2018 | |
Line Of Credit Facility [Abstract] | |
Line of Credit | 5. Line of Credit The Company had a line of credit facility (the “Line of Credit”) up to $225 million during fiscal year 2018. On March 30, 2018, the Company executed Amendment 8, a one-year renewal On November 8, 2017, the Company had executed Amendment 7 to the then existing Line of Credit which extended the maturity date to March 31, 2018 and increased the pricing of the Line of Credit to 400 basis points above 30 day LIBOR, while maintaining the 1% floor on LIBOR. The amendment also increased the beneficial ownership limit from 20% to 30%, and revised the calculation of availability and the minimum interest coverage ratio. The threshold for the minimum interest coverage ratio was lowered for the period ending December 31, 2017. Pledged as collateral for this Line of Credit are all the assets of the Company. The facility requires compliance with certain financial ratios and covenants and satisfaction of specified financial tests, including maintenance of asset quality and performance tests. As of June 30, 2018, the Company was in compliance with all debt covenants. Failure to meet any financial ratios, covenants or financial tests can result in an event of default under our Line of Credit. If an event of default occurs, our lenders could increase our borrowing costs, restrict our ability to obtain additional borrowings under the facility, accelerate all amounts outstanding under the facility, and/or enforce their interest against collateral pledged under the facility. The Company’s operating results over the past two years provide indicators that the Company may not be able to continue to comply with certain of the required financial ratios, covenants and financial tests prior to the maturity date of the line of credit facility in the absence of an amendment to the corresponding credit agreement. Failure to meet any financial ratios, covenants or financial tests could result in an event of default under our line of credit facility. If an event of default occurs under the credit facility, our lenders could increase our borrowing costs, restrict our ability to obtain additional borrowings under the facility, accelerate all amounts outstanding under the facility, or enforce their interest against collateral pledged under the facility. In March 2018, the Company executed Amendment 8, which extended the maturity to March 30, 2019 and reduced the line of credit to $200 million. While management believes that it will be able to obtain a renewal or extension of the credit facility within the next year, there are no assurances that the lenders will approve the renewal or extension, or, assuming that they will approve it, that the facility will not be on terms less favorable than the current agreement. In the event that the Company obtains information that the existing lenders do not intend to extend the relationship, the Company will seek alternative financing. The Company believes it is probable that it will be able to obtain financing from either its existing lenders or from other sources; however, it can provide no assurances that it will be successful in replacing the line of credit facility on reasonable terms or at all. |
Interest Rate Swap Agreements
Interest Rate Swap Agreements | 3 Months Ended |
Jun. 30, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Interest Rate Swap Agreements | 6. Interest Rate Swap Agreements From time to time, the Company utilizes interest rate swap agreements to manage exposure to variability in expected cash flows attributable to interest rate risk. The interest rate swap agreements convert a portion of the floating rate debt to a fixed rate, more closely matching the interest rate characteristics of finance receivables. As of June 30, 2018 and June 30, 2017, the Company had no interest rate swap agreements in place. On June 13, 2017 an interest rate swap agreement with an effective date of June 13, 2012, a notional amount of $25.0 million, and a fixed rate of interest of 1.00% expired. The impact of the swap is included in the gain recognized in income amount below. The locations and amounts of loss and gain in income are as follows: Three months ended June 30, 2017 (In thousands) Periodic change in fair value of interest rate swap agreements $ (9 ) Periodic settlement differentials included in interest expense 10 Gain recognized in income $ 1 Net realized gains from the interest rate swap agreement were recorded in the interest expense line item of the consolidated statements of income. The following table summarizes the average variable rates received and average fixed rates paid under the swap agreement. Three months ended June 30, 2017 Variable rate received 1.02 % Fixed rate paid 0.92 % |
Income Taxes
Income Taxes | 3 Months Ended |
Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 7. Income Taxes The provision for income taxes decreased to approximately $0.6 million for the three months ended June 30, 2018 from approximately $0.5 million for the three months ended June 30, 2017. The Company’s effective tax rate decreased to 28.7% for the three months ended June 30, 2018 from 38.11% for the three months ended June 30, 2017. The change in the effective rate was attributed to the Tax Cuts and Jobs Act. |
Fair Value Disclosures
Fair Value Disclosures | 3 Months Ended |
Jun. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures | 8. Fair Value Disclosures The Company measures specific assets and liabilities at fair value, which is an exit price, representing the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When applicable, the Company utilizes market data or assumptions that market participants would use in pricing the asset or liability under a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs about which little or no market data exists, thereby requiring an entity to develop its own assumptions. Financial Instruments Not Measured at Fair Value The Company’s financial instruments consist of cash, finance receivables and the Line of Credit. For each of these financial instruments, the carrying value approximates fair value. Finance receivables, net approximates fair value based on the price paid to acquire Contracts. The price paid reflects competitive market interest rates and purchase discounts for the Company’s chosen credit grade in the economic environment. This market is highly liquid as the Company acquires individual loans on a daily basis from dealers. The initial terms of the Contracts generally range from 12 to 72 months. The initial terms of the Direct Loans generally range from 12 to 72 months. If liquidated outside of the normal course of business, the amount received may not be the carrying value. Based on current market conditions, any new or renewed credit facility is expected to contain pricing that approximates the Company’s current Line of Credit. Based on these market conditions, the fair value of the Line as of June 30, 2018 was estimated to be equal to the book value. The interest rate for the Line of Credit is a variable rate based on LIBOR pricing options. (In thousands) Fair Value Measurement Using Fair Carrying Description Level 1 Level 2 Level 3 Value Value Cash: June 30, 2018 $ 4,981 $ — $ — $ 4,981 $ 4,981 March 31, 2018 $ 2,626 $ — $ — $ 2,626 $ 2,626 Finance receivables: June 30, 2018 $ — $ — $ 256,590 $ 256,590 $ 256,590 March 31, 2018 $ — $ — $ 270,404 $ 270,404 $ 269,876 Line of credit: June 30, 2018 $ — $ 151,000 $ — $ 151,000 $ 151,000 March 31, 2018 $ — $ 165,750 $ — $ 165,750 $ 165,750 Assets and Liabilities Recorded at Fair Value on a Nonrecurring Basis The Company may be required, from time to time, to measure certain assets and liabilities at fair value on a nonrecurring basis. The Company does not have any assets or liabilities measured at fair value on a nonrecurring basis as of June 30, 2018 and March 31, 2018. |
Contingencies
Contingencies | 3 Months Ended |
Jun. 30, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies | 9. Contingencies The Company currently is not a party to any pending legal proceedings other than ordinary routine litigation incidental to its business: none of which, if decided adversely to the Company, would, in the opinion of management, have a material adverse effect on the Company’s financial condition or results of operations. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 10. Summary of Significant Accounting Policies Reclassifications The Company made certain reclassifications to finance receivables, as a result of which it no longer reports a gross receivable and unearned interest balance. Therefore, the prior balance sheet reflects a reclass, to net the gross receivable and the unearned interest balance. Net income and shareholders’ equity was not changed. Recently Adopted Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, “Revenue ASU 2014-09 by ASU 2014-09 is In May 2017, the FASB issued ASU 2017-09, Compensation In January 2017, the FASB issued ASU 2017-01, Business In August 2016, the FASB issued the Accounting Standards Update (“ASU”) 2016-15 Statement ASU 2016-15 had Recent Accounting Pronouncements In February 2018, the FASB issued Accounting Standards Update (ASU) No. 2018-02, “Income ASU No. 2018-02 permits ASU No. 2018-02 is In August 2017, the Financial Accounting Standards Board (“FASB”) issued ASU 2017-12 Derivatives In June 2016, the FASB issued the ASU 2016-13 Financial In February 2016, the FASB issued ASU No. 2016-02, “Leases”, ASU 2016-02 is The Company does not believe there are any other recently issued accounting standards that have not yet been adopted that will have a material impact on the Company’s consolidated financial statements. |
Summary of Significant Accoun16
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated balance sheet as of March 31, 2018, which has been derived from audited financial statements, and the accompanying unaudited interim consolidated financial statements of Nicholas Financial, Inc., a Canadian holding company incorporated under the laws of British Columbia (including its subsidiaries, the “Company”), have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q S-X. 10-K 10-K. The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for credit losses on finance receivables and the fair value of interest rate swap agreements. |
Revenue Recognition | Revenue Recognition Finance receivables consist of automobile finance installment contracts (“Contracts”) and direct consumer loans (“Direct Loans”). Interest income on finance receivables is recognized using the interest method. Accrual of interest income on finance receivables is suspended when a loan enters bankruptcy status, is contractually delinquent for 61 days or more or the collateral is repossessed; whichever is earliest. Chapter 13 bankruptcy accounts are accounted for under the cost-recovery method. Interest income on Chapter 13 bankruptcy accounts does not resume until all principal amounts are recovered (see Note 4). A dealer discount represents the difference between the finance receivable of a Contract, and the amount of money the Company actually pays for the Contract. The discount negotiated by the Company is a function of the lender, the wholesale value of the vehicle and competition in any given market. In making decisions regarding the purchase of a particular Contract, the Company considers the following factors related to the borrower: place and length of residence, current and prior job status, history in making installment payments for automobiles, current income, and credit history. In addition, the Company examines its prior experience with Contracts purchased from the selling dealer and the value of the automobile in relation to the purchase price and the term of the Contract. The entire amount of discount is amortized as an adjustment to yield using the interest method over the life of the loan. The weighted average dealer discount associated with new volume for the three months ended June 30, 2018 and 2017 was 8.19% and 7.56%, respectively in relation to the total amount financed. The amount of future unearned income is computed as the product of the Contract rate, the Contract term and the Contract amount. Deferred revenues consist primarily of commissions received from the sale of ancillary products. These products include automobile warranties, roadside assistance programs, accident and health insurance, credit life insurance, involuntary unemployment insurance coverage, and forced placed automobile insurance. These commissions are amortized over the life of the Contract using the interest method. |
Reclassifications | Reclassifications The Company made certain reclassifications to finance receivables, as a result of which it no longer reports a gross receivable and unearned interest balance. Therefore, the prior balance sheet reflects a reclass, to net the gross receivable and the unearned interest balance. Net income and shareholders’ equity was not changed. |
Recent Accounting Pronouncements | Recently Adopted Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, “Revenue ASU 2014-09 by ASU 2014-09 is In May 2017, the FASB issued ASU 2017-09, Compensation In January 2017, the FASB issued ASU 2017-01, Business In August 2016, the FASB issued the Accounting Standards Update (“ASU”) 2016-15 Statement ASU 2016-15 had Recent Accounting Pronouncements In February 2018, the FASB issued Accounting Standards Update (ASU) No. 2018-02, “Income ASU No. 2018-02 permits ASU No. 2018-02 is In August 2017, the Financial Accounting Standards Board (“FASB”) issued ASU 2017-12 Derivatives In June 2016, the FASB issued the ASU 2016-13 Financial In February 2016, the FASB issued ASU No. 2016-02, “Leases”, ASU 2016-02 is The Company does not believe there are any other recently issued accounting standards that have not yet been adopted that will have a material impact on the Company’s consolidated financial statements. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Jun. 30, 2018 | |
Earnings Per Share [Abstract] | |
Schedule of computation of basic and diluted earnings (loss) per share | Three months ended (In thousands, except per 2018 2017 Numerator: Net income per consolidated statements of income $ 1,420 $ 813 Less: Allocation of earnings to participating securities (11 ) (14 ) Net income allocated to common stock 1,409 799 Basic earnings per share computation: Net income allocated to common stock $ 1,409 $ 799 Weighted average common shares outstanding, including shares considered participating securities 7,890 7,851 Less: Weighted average participating securities outstanding (71 ) (131 ) Weighted average shares of common stock 7,819 7,720 Basic earnings per share $ 0.18 $ 0.10 Diluted earnings per share computation: Net income allocated to common stock $ 1,420 $ 799 Undistributed earnings re-allocated — — Numerator for diluted earnings per share $ 1,420 $ 799 Weighted average common shares outstanding for basic earnings per share 7,819 7,720 Incremental shares from stock options 11 53 Weighted average shares and dilutive potential common shares 7,830 7,773 Diluted earnings per share $ 0.18 $ 0.10 |
Finance Receivables (Tables)
Finance Receivables (Tables) | 3 Months Ended |
Jun. 30, 2018 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Schedule of finance receivables consisting of automobile finance installment Contracts and Direct Loans | (In thousands) June 30, March 31, Finance receivables $ 286,391 $ 301,155 Accrued Interest 2,609 2,642 Unearned dealer discounts (13,345 ) (13,655 ) Finance receivables, net of unearned dealer discounts 275,655 290,142 Allowance for credit losses (19,065 ) (20,266 ) Finance receivables, net $ 256,590 $ 269,876 |
Schedule of selected information on entire comprise portfolio | As of June 30, 2018 2017 Contract Portfolio Weighted APR 22.38 % 22.34 % Weighted average discount 7.44 % 7.37 % Weighted average term (months) 54 57 Number of active contracts 32,069 36,174 As of June 30, 2018 2017 Direct Loan Portfolio Weighted APR 25.16 % 25.47 % Weighted average term (months) 28 33 Number of active contracts 2,498 2,774 |
Schedule of an assessment of the credit quality by creditworthiness | (In thousands) June 30, 2018 June 30, 2017 Contracts Direct Loans Contracts Direct Loans Performing accounts $ 265,267 $ 7,292 $ 306,185 $ 8,059 Non-performing 10,059 230 17,441 200 Total $ 275,326 $ 7,522 $ 323,626 $ 8,259 Chapter 13 bankruptcy accounts 3,486 57 3,880 39 Finance receivables $ 278,812 $ 7,579 $ 327,506 $ 8,298 |
Schedule of information regarding delinquency rates | (In thousands) Contracts Balance 31 – 60 days 61 – 90 days 90-120 days Over Total June 30, 2018 $ 275,326 $ 17,333 $ 6,281 $ 2,074 $ 1,704 $ 27,392 6.30 % 2.28 % 0.75 % 0.62 % 9.95 % June 30, 2017 $ 323,626 $ 21,490 $ 10,095 $ 4,208 $ 3,138 $ 38,931 6.64 % 3.12 % 1.30 % 0.97 % 12.03 % Direct Loans Balance 31 – 60 days 61 – 90 days 90-120 Over Total June 30, 2018 $ 7,522 $ 171 $ 83 $ 32 $ 115 $ 401 2.27 % 1.10 % 0.43 % 1.53 % 5.33 % June 30, 2017 $ 8,259 $ 237 $ 81 $ 48 71 $ 437 2.87 % 0.98 % 0.58 % 0.86 % 5.29 % |
Contracts | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Schedule of reconciliation of the changes in the allowance for credit losses | Three months ended June 30, (In thousands) 2018 2017 Balance at beginning of period $ 19,433 $ 16,885 Provision for credit losses 5,227 9,658 Charge-offs (7,049 ) (8,691 ) Recoveries 505 527 Balance at end of period $ 18,116 $ 18,379 |
Direct Loans | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Schedule of reconciliation of the changes in the allowance for credit losses | Three months ended June 30, (In thousands) 2018 2017 Balance at beginning of period $ 833 $ 773 Provision for credit losses 199 94 Charge-offs (90 ) (101 ) Recoveries 7 8 Balance at end of period $ 949 $ 774 |
Interest Rate Swap Agreements (
Interest Rate Swap Agreements (Tables) | 3 Months Ended |
Jun. 30, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of locations and amounts of losses recognized in income | Three months ended June 30, 2017 (In thousands) Periodic change in fair value of interest rate swap agreements $ (9 ) Periodic settlement differentials included in interest expense 10 Gain recognized in income $ 1 |
Schedule of variable rates received and average fixed rates paid under the swap agreements | Three months ended June 30, 2017 Variable rate received 1.02 % Fixed rate paid 0.92 % |
Fair Value Disclosures (Tables)
Fair Value Disclosures (Tables) | 3 Months Ended |
Jun. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Schedule of financial instruments not measured at fair value | (In thousands) Fair Value Measurement Using Fair Carrying Description Level 1 Level 2 Level 3 Value Value Cash: June 30, 2018 $ 4,981 $ — $ — $ 4,981 $ 4,981 March 31, 2018 $ 2,626 $ — $ — $ 2,626 $ 2,626 Finance receivables: June 30, 2018 $ — $ — $ 256,590 $ 256,590 $ 256,590 March 31, 2018 $ — $ — $ 270,404 $ 270,404 $ 269,876 Line of credit: June 30, 2018 $ — $ 151,000 $ — $ 151,000 $ 151,000 March 31, 2018 $ — $ 165,750 $ — $ 165,750 $ 165,750 |
Revenue Recognition (Detail Tex
Revenue Recognition (Detail Textuals) | 3 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Revenue Recognition and Deferred Revenue [Abstract] | ||
Interest income accrual on finance receivables suspension condition | Accrual of interest income on finance receivables is suspended when a loan enters bankruptcy status, is contractually delinquent for 61 days or more or the collateral is repossessed; whichever is earliest. Chapter 13 bankruptcy accounts are accounted for under the cost-recovery method. | |
Average dealer discount associated with new volume | 8.19% | 7.56% |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Numerator: | ||
Net income per consolidated statements of income | $ 1,420 | $ 813 |
Less: Allocation of earnings to participating securities | (11) | (14) |
Net income allocated to common stock | 1,409 | 799 |
Basic earnings per share computation: | ||
Net income allocated to common stock | $ 1,409 | $ 799 |
Weighted average common shares outstanding, including shares considered participating securities | 7,890 | 7,851 |
Less: Weighted average participating securities outstanding | (71) | (131) |
Weighted average shares of common stock | 7,819 | 7,720 |
Basic earnings per share | $ 0.18 | $ 0.10 |
Diluted earnings per share computation: | ||
Net income allocated to common stock | $ 1,420 | $ 799 |
Undistributed earnings re-allocated to participating securities | 0 | 0 |
Numerator for diluted earnings per share | $ 1,420 | $ 799 |
Weighted average common shares outstanding for basic earnings per share | 7,819 | 7,720 |
Incremental shares from stock options | 11 | 53 |
Weighted average shares and dilutive potential common shares | 7,828 | 7,773 |
Diluted earnings per share | $ 0.18 | $ 0.10 |
Earnings Per Share (Detail Text
Earnings Per Share (Detail Textuals) - shares | 3 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Stock options | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Potential common stock shares not included in diluted earnings per share calculation | 116,100 | 155,000 |
Finance Receivables - Summary o
Finance Receivables - Summary of contracts included in finance receivables (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Mar. 31, 2018 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Finance receivables, net | $ 256,590 | $ 269,876 |
Finance receivables | Contracts and direct loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Finance receivables | 286,391 | 301,155 |
Accrued Interest | 2,609 | 2,642 |
Unearned dealer discounts | (13,345) | (13,655) |
Finance receivables, net of unearned dealer discounts | 275,655 | 290,142 |
Allowance for credit losses | (19,065) | (20,266) |
Finance receivables, net | $ 256,590 | $ 269,876 |
Finance Receivables - Selected
Finance Receivables - Selected information on entire portfolio of Company (Details 1) - Contract | 3 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Contracts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Weighted APR | 22.38% | 22.34% |
Weighted average discount | 7.44% | 7.37% |
Weighted average term (months) | 54 months | 57 months |
Number of active contracts | 32,069 | 36,174 |
Direct Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Weighted APR | 25.16% | 25.47% |
Weighted average term (months) | 28 months | 33 months |
Number of active contracts | 2,498 | 2,774 |
Finance Receivables - Summary26
Finance Receivables - Summary of reconciliation of changes in allowance for credit losses on contracts (Details 2) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Provision for credit losses | $ 5,426 | $ 9,752 |
Finance receivables | Contracts | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Balance at beginning of period | 19,433 | 16,885 |
Provision for credit losses | 5,227 | 9,658 |
Charge-offs | (7,049) | (8,691) |
Recoveries | 505 | 527 |
Balance at end of period | $ 18,116 | $ 18,379 |
Finance Receivables - Reconcili
Finance Receivables - Reconciliation of changes in allowance for credit losses on direct loans (Details 3) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Provision for credit losses | $ 5,426 | $ 9,752 |
Finance receivables | Direct Loans | ||
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ||
Balance at beginning of period | 833 | 773 |
Provision for credit losses | 199 | 94 |
Charge-offs | (90) | (101) |
Recoveries | 7 | 8 |
Balance at end of period | $ 949 | $ 774 |
Finance Receivables - Assessmen
Finance Receivables - Assessment of credit quality by creditworthiness (Details 4) - Finance receivables - USD ($) $ in Thousands | Jun. 30, 2018 | Jun. 30, 2017 |
Contracts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 275,326 | $ 323,626 |
Finance receivables, net | 278,812 | 327,506 |
Contracts | Performing accounts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 265,267 | 306,185 |
Contracts | Non-performing accounts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 10,059 | 17,441 |
Contracts | Chapter 13 bankrupt accounts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Finance receivables, net | 3,486 | 3,880 |
Direct Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 7,522 | 8,259 |
Finance receivables, net | 7,579 | 8,298 |
Direct Loans | Performing accounts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 7,292 | 8,059 |
Direct Loans | Non-performing accounts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | 230 | 200 |
Direct Loans | Chapter 13 bankrupt accounts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Finance receivables, net | $ 57 | $ 39 |
Finance Receivables - Informati
Finance Receivables - Information regarding delinquency rates with respect to contracts and direct loans (Details 5) - USD ($) $ in Thousands | Jun. 30, 2018 | Jun. 30, 2017 |
Contracts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 27,392 | $ 38,931 |
Total (in percentage) | 9.95% | 12.03% |
Direct Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 401 | $ 437 |
Total (in percentage) | 5.33% | 5.29% |
Finance receivables | Contracts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance Outstanding | $ 275,326 | $ 323,626 |
Finance receivables | Direct Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Balance Outstanding | 7,522 | 8,259 |
Finance receivables | 31 - 60 days | Contracts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 17,333 | $ 21,490 |
Total (in percentage) | 6.30% | 6.64% |
Finance receivables | 31 - 60 days | Direct Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 171 | $ 237 |
Total (in percentage) | 2.27% | 2.87% |
Finance receivables | 61 - 90 days | Contracts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 6,281 | $ 10,095 |
Total (in percentage) | 2.28% | 3.12% |
Finance receivables | 61 - 90 days | Direct Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 83 | $ 81 |
Total (in percentage) | 1.10% | 0.98% |
Finance receivables | Over 90 days | Contracts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 2,074 | $ 4,208 |
Total (in percentage) | 0.75% | 1.30% |
Finance receivables | Over 90 days | Direct Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 32 | $ 48 |
Total (in percentage) | 0.43% | 0.58% |
Finance receivables | Over 120 days | Contracts | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 1,704 | $ 3,138 |
Total (in percentage) | 0.62% | 0.97% |
Finance receivables | Over 120 days | Direct Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total | $ 115 | $ 71 |
Total (in percentage) | 1.53% | 0.86% |
Finance Receivables (Detail Tex
Finance Receivables (Detail Textuals) - USD ($) | 3 Months Ended | |
Jun. 30, 2018 | Mar. 31, 2018 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Finance receivables, net | $ 256,590,000 | $ 269,876,000 |
Allowance for credit losses and provision expense | $ 151,000 | |
Period for maintaining historical write off information with respect to static pool | 10 years | |
Percentage of liquidation level assist in determining allowance for credit losses for 1st snapshot | 20.00% | |
Percentage of liquidation level assist in determining allowance for credit losses for 2nd snapshot | 40.00% | |
Percentage of liquidation level assist in determining allowance for credit losses for 3rd snapshot | 60.00% | |
Percentage of liquidation level assist in determining allowance for credit losses in 4th snapshot | 80.00% | |
Percentage of liquidation level assist in determining allowance for credit losses in 5th snapshot | 100.00% | |
Finance receivables | Direct Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Percentage of direct loan to total loan portfolio | 2.00% | |
Finance receivables | Direct Loans | Minimum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Finance receivables, net | $ 1,000 | |
Finance receivables | Direct Loans | Maximum | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Finance receivables, net | $ 11,000 |
Finance Receivables (Detail T31
Finance Receivables (Detail Textuals 1) - USD ($) | 3 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Receivables [Abstract] | ||
Maximum criteria for receivable to be a performing account | 61 days | |
Minimum criteria for receivable to be a non-performing account | 61 days | |
Percentage of more than payment contractually for delinquent | 25.00% | |
Criteria for receivable to be delinquent account | 180 days | |
Troubled debt restructuring allowance for credit losses | $ 750,000 | $ 0 |
Line of Credit (Detail Textuals
Line of Credit (Detail Textuals) - Line of credit facility - USD ($) $ in Millions | Nov. 08, 2017 | Nov. 07, 2017 | Jun. 30, 2018 | Mar. 30, 2018 |
Line of Credit Facility [Line Items] | ||||
Line of credit facility amount | $ 225 | $ 200 | ||
Maturity date | Mar. 31, 2018 | Mar. 30, 2019 | ||
Debt Instrument, Basis Spread on Variable Rate | 4.00% | 4.00% | ||
Debt instrument description of variable rate basis | 30 day LIBOR | 30 day LIBOR | ||
Line of credit facility, floor rate | 1.00% | 1.00% | ||
Increased the beneficial ownership limit | 30.00% | 20.00% | 30.00% |
Interest Rate Swap Agreements -
Interest Rate Swap Agreements - Summary of locations and amounts of losses in income (Details) $ in Thousands | 3 Months Ended |
Jun. 30, 2017USD ($) | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Periodic change in fair value of interest rate swap agreements | $ (9) |
Periodic settlement differentials included in interest expense | 10 |
Gain recognized in income | $ 1 |
Interest Rate Swap Agreements34
Interest Rate Swap Agreements - Summary of variable rates received and fixed rates paid under swap (Details 1) - Interest rate swap | 3 Months Ended |
Jun. 30, 2017 | |
Derivative [Line Items] | |
Average variable rate received | 1.02% |
Average fixed rate paid | 0.92% |
Interest Rate Swap Agreements35
Interest Rate Swap Agreements (Detail Textuals) - Interest rate swap $ in Millions | Jun. 13, 2017USD ($) |
Derivatives, Fair Value [Line Items] | |
Derivative notional amount | $ 25 |
Fixed interest rate | 1.00% |
Interest rate swap agreements, effective date | Jun. 13, 2012 |
Income Taxes (Detail Textuals)
Income Taxes (Detail Textuals) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | ||
Income tax expense | $ 572 | $ 500 |
Decrease in effective tax rate | 28.70% | 38.11% |
Fair Value Disclosures - Summar
Fair Value Disclosures - Summary of financial instruments not measured at fair value (Details) - USD ($) $ in Thousands | Jun. 30, 2018 | Mar. 31, 2018 |
Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash | $ 4,981 | $ 2,626 |
Finance receivables | 256,590 | 270,404 |
Line of credit | 151,000 | 165,750 |
Carrying Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash | 4,981 | 2,626 |
Finance receivables | 256,590 | 269,876 |
Line of credit | 151,000 | 165,750 |
Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash | 4,981 | 2,626 |
Finance receivables | 0 | 0 |
Line of credit | 0 | 0 |
Level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash | 0 | 0 |
Finance receivables | 0 | 0 |
Line of credit | 151,000 | 165,750 |
Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash | 0 | 0 |
Finance receivables | 256,590 | 270,404 |
Line of credit | $ 0 | $ 0 |
Fair Value Disclosures (Detail
Fair Value Disclosures (Detail Textuals) | 3 Months Ended |
Jun. 30, 2018 | |
Contracts | Minimum | |
Financial Instruments Not Measured At Fair Value [Line Items] | |
Initial terms of finance receivables | 12 months |
Contracts | Maximum | |
Financial Instruments Not Measured At Fair Value [Line Items] | |
Initial terms of finance receivables | 72 months |
Direct Loans | Minimum | |
Financial Instruments Not Measured At Fair Value [Line Items] | |
Initial terms of finance receivables | 12 months |
Direct Loans | Maximum | |
Financial Instruments Not Measured At Fair Value [Line Items] | |
Initial terms of finance receivables | 72 months |
Summary of Significant Accoun39
Summary of Significant Accounting Policies (Detail Textuals) | 3 Months Ended |
Jun. 30, 2018 | |
Tax year 2017 | |
Significant Accounting Policies [Line Items] | |
Corporate income tax rate | 35.00% |
Latest tax year | |
Significant Accounting Policies [Line Items] | |
Corporate income tax rate | 21.00% |